Company Registration No. 2499006 Regred Charfty No. 803428 The Foundation and Friends of the Rordl Botsnic Gardens, Kew Trustees. Report and Financial Statements 31 March 2024
The Foundation and Frfends of the Rordl Botanic Gardens. Kew Year ended 31 March 2024 Trustees, Report and Financial Ststernents 2024 Contents Page Reference and admlnlstratlve detsils Strategic report Trustees, responsibilities statement Independent auditors, rewrt ststement of firpncial activities 11 Summary income and exwndrture accwnt Balan sheet 14 Statement of cash fl(Y Notss to the financial ststements 16
The Foundation and Friends of the Royal Botsnic Gardens, Kew Year ended 31 March 2024 Reference and administrative details Jan Pethick - Chair Nick Baird-until 31st October 2023 Kristina Kenworthy Jane Reeves Jantiene Klein Roseboom van der Veer Steve Almond-from 1st November 2023 Company registered No. 2499()J6 Charity reOstered No. 803428 Key Management Personnel The key management personnel are the Foundation's Trustees. Re@stered & principal office The Herbarium Kew Grn Richmond TW9 3AE Bankers Lloyds Bank PLC 3rd Floor 10 Gresham Street London EC2V 7AE CAF (Charities Aid Foundation) 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4TA Legal athrysers FarreT & Co LLP 66 knncoln's Inn Fields London WC2A 3L4 Audltor Haysmacintyre LLP Statutory Auditor 10 Queen Street Pla London EC4R IAG Investment managers Cazenove Capital Management l London Wall Place London EC2Y SAU
The Foundation and Friends of the Royal Botsnic Gardens. Kew Year ended 31 March 2024 Strategic report Objectives and activities The Trustees. who are also Directors of the Foundation and Friends of the Royal Botanic Gardens, Kew {the "Foundation") for the purposes of the Companies Act. submit their Trustees, Report, which includes the Directors. Report and StrateC Report for Companies Act purposes and the audited Financial Statements of the Foundation for the year ended 31 March 2024. Obj&t The Foundation's obiecL set out in its Artides of Association, is to SUPF(srt the purposes of Royal Botanic Gardens. Kew ('RBG Kew") in such manner as the Foundation shall think fiL The Foundation is a Public Benefit Entity. Public benefrt RBG Kew's general functions are set OLrt in the National Heritsge Act 1983 and are to: carry out investigation and research into the science of Plants and related subjects, and disseminate the results of the investigation and research: provide advi, instruction and education in relation to tht)se aspects of the science of plants with which RBG Kew is Concerned; provide other services (including quarantine} in relation to plants: care for its collections of plants. preserved plant material. other objects relating to plants, books and records," keep the collections as national reference collections. ensure that they are available to persons for the purposes of study. and add to and adapt them as scientific needs and RBG Kew resources allow. and afford to members of the public opportuntties to enter any land cUpied or managed by RBG Kew. for the purpose of gaining knowledge and enjoyment from RBG Kew's collections. The Trustees have reviewed the activities of RBG Kew against the public benefit principles outlined in the guidance issued by the Charity Commission and the Trustees believe that, as these meet the public benefit charitable aims. the Foundation in tum meets the public benefrt requirements. Strategic aims and activities The Foundation fundraises for RBG Kew. focusing on legacy fundraising and the management of investments. It also holds historic funds which are intended to support the work of RBG Kew through the provision of grants. Examples of projects supported in the year and the process for grant making are set out below. Grantfftking Total grants paid to RBG Kew to support its activfcies in 2023/24 year were £3.2M12022/23". £3.3M). of which £I.OM12022/23: £0.7M) was for specific projects from restricted funds and £2.2M12022/23: £2.6MI was for projects from unrestricted funds. Key projects supported ty the Foundation and grants given in the year include: Science (£0.9M granted in 2023/24. £LOM in 2022/23): RBG Kew's scients'fic vision is to help stop biodiversity loss and develop sustainable natur&based solutions to some of humanity's biggest global challenges. RBG Kew aims to understand and protect plants and fungi for the welkbeing of people and the future of all lrfe on Earth. Grants from Foundation include funds for multiple projects atthe Millennium Seed Bank and key strategic OLrtputs from Kew's Science Strategy including the Plant and Fungal Tree of Life and the Tropical Important Plant Areas ITIPA51. Learning Centre (£3.2M grarted in 2023/24, £L5M In 2022/23)." Support the construction of a new Learning Centre at Kew Gardens which will enable the expansion of leaming programmes. This money will be drawn down as the project progresses. Grant Folicy In order to secure the consent of the Foundation Trustees to release fvnds, RBG Kew submits a grant request to the Foundation for a particular purtx)se. Ai grants must be in line with the strategc aims of RBG Kew. conform
The Foundation and Friends of the Royal Botsnic Gardens. Kew Year ended 31 March 2024 Strategic report to the wishes of the donor where relevant and wnform to the statement of public benefit referred to above. If approved. funds are transferred subject to an appropriate audit trail evidencing use of funds. Fundraising approach and perfonnan The Trustees oversee all fundraising activities undertaken ty the Foundation. The Foundation has engaged R8G Kew Enterprises Limited to provide legacy fundraising services and services to support the management of grants held by the Foundation but has not worked with other professional fundraising agents in the year. RBG Kew Enterprises Limited adheres to the CcKle of Fundraising Practice issued by the Fundraising Regulator and the Trustees receive progress reports on fundraising at each Board mtIng in order to review and oversee aspects of fundraising undertaken on their behalf. The Foundation is regstered wrth the Fundraising Regulator. No fundraising complaints have been received ty the Foundation in 2023/24 regarding its fundraising practices. Achievements and performance In 2023/24. in collaboration with the staff and supporters of RBG Kew, the Foundation raised legacy income of £6.6M {2022/23: £5.3M) and gave grants totalling £3.2M12022/23: £3.3MI to RBG Kew. Investments income was £0.6M (2022/23: £0.IM). Investments recorded net gains of £0.8M for the 2023/24 financial year (2022-23: losses of £0.9MI. Structure. govemance and management The Foundation is a Registered Charity (number 803428) and a Company limited by guarantee (number 2499006}. It is governed by its Articles of ASslatIon {revised in October 2022). and Directors The Trustèes who held office during and at the end of the year are listed on page i. The Board votes on the election of new members at its fegular meetings. Any new Trustee is elected for a period of three years after which time they may be rfrappointed. New Trustees are gven an induction to introduce them to the Foundation as well as to the work of RBG Kew.. Trustees receive briefings from management and meet stsff to understand and review drfferent aspects of the organisation. New projects that are being undertaken by RBG Kew are explained. During 2023/24. the Foundation Board of Trustees held three meetings. Organlsats'onal structure The Foundation has no employees and the Trustees are considered the Key Management Personnel. servIs and support to manage legacy, grant and investment income are purchased from RBG Kew and RBG Kew Enterprises Limited. P8y and remuneration arrangements The Trustees are not remunerated for their role. Related parties The Foundation Board has a maximum of six Trustees. up to two Trustees can be recommended for appointment by RBG Kew. and up to four trustees are independent. Jantiene Klein Roseboom van der Veer was a Trustee of both RBG Kew and the Foundation during 2022/23. Jantiene Klein Roseboom van der Veer was appointed as an independent Trustee of the Foundation in November 2023 when she retired as an RBG Kew Trustee. In addition, there were thr other independent Trustees. The Foundation is fully consolidated into the RBG Kew group accounts following a change in RBG Kew's accounting policy in 2023/24 and reflecting the nature of activities undertaken by the Foundation, which are for the benefit of RBG Kew. RBG Kew dS not have the abilityto utilise the funds of the Foundation, which remain subject to decision-making by the Foundation's Board of Trustees. these funds are therefore shown as restricted funds in RBG Kew's financial statements.
The Foundation and Friends of the Royal Botsnic Gardens. Kew Year ended 31 March 2024 Strategic report The Foundation has related party transactions with RBG Kew and also wtth RBG Kew Enterprises Limited la wholly owned subsidiary of RBG Kew). RBG Kew Enterprises Limited provides legacy fundraising services and SeiceS to support the management of grants and investments to the Foundation. RBG Kew provides back office support services to the Foundation including accounting 5er¥ices. Two Kew Foundation Trustees (Jan Pethick and Steve Almond) were also members of RBG Kew's Development Council. an advisory commrtee of the RBG Kew's Executive Board. in the year. The Council promotes and supports RBG Kew's success in fundraising and provides advice on all aspects of RBG Kew's fundraising activities. SyBtsffts of intsmal control The systems of internal control are designed to provide reasonable, but not absolute, assurance against material misstatement or loss. They include: an annual budget approved by the Trustees: regular consideration by the Trustees of financial results. variances from budgets and non-financial performan indicators. delegation of authority and segregats'on of duties. where appropriate. and the identification and management of risks. Key risks for the Foundation are outlined on page 6. Going con(%m The Trustees are confident that the Foundation is a going concern. This assessment is based on: budgets and forecasts prepared for 2024/25 financial year and beyond. based on forecasts of legacy and investment income reserves held which allow the Foundation to meet grant and other expenditure commitments. with healthy unrestricted reserves providing security against any unforeseen operating risks cash and liquid investment holdings are sufficient to meet operating cash requirements for the nexi twelve months. Financial review Results for 2023/24 The results for the year are set out in the Ststement of Financial Activities (SOFA). Total income received in the year ended 31 March 2024 was £7.2M (2023: £5.5M). Grants and donations income remained £O.OM12023: £0.OM). Legacy income increased to £6.6M {2023: £5.3M), this includes legacies where income is expected but has yet to be received. The Foundation's pipeline of legacy notifications is relatively stron& SUPF)Orting expectstions for legacy income in future years. Net surplus for the year amounted to £4.4M12023: £LOM net surplus) after grants to RBG Kew of £3.2M (2023: £3.3M). At 31 March 2024, the Foundation's total funds amounted to £25.IM {2023: £20.7MI: consisting of £4.9M 12023: £4.6MI in endowments. £5.9M (2023: £5.5MI in donor restricted funds. £5.3M12023: £4.OM) in general unrestricted funds, and £9.OM12023: £6.5M) in unrestricted funds designated to projects. The current fund balances meet the Foundation's Reserves Policy detailed below. Reserves Policy The Foundation's policy is to hold at least £0.3M of reserves. This is the anticipated annual expenditure budget of the Foundation going forward. Given that legary inwme is variable. reserves will be held at a level to ensure all costs can be covered even rf no legacies are received in any one year. Unrestricted general reserves are currently £5.OM iri excess of £0.3M. This balan will be reviewed during 2024/25 to determine if funds could be granted to RBG Kew.
The Foundation and Friends of the Royal Botsnic Gardens. Kew Year ended 31 March 2024 StrateFJ"c report . Investment Policy and SL*mert of Investment Principles The Foundation holds funds sufficient funds to ensure liquidity and to meet the requirements for specific projects and purposes. These funds are invested in short and medium-term dep)sits and other short and medium-term instruments according to the guidelines set out by the Board. reviewed annually. The Trustees have delegated the investment management role over its investment rKJrtfolios to: Cazenove Capital for the Sainsbury Orchid Fund endowmenL Other endowment funds and unspent legacy funds; Handelsbanken Investment Managers for other endowment funds and unspent legacy funds {closed in June 2023). Funds invested ty Cazenove Capital for the Sainsbury Orchid Fund have an investment objective to maintain the real value of capital while generating a sustsinable.level of income to support the Research Fellowships at Kew. The remaining funds invested by Cazenove. have an 'Absolute Return, approach to investment. recognising the investment return from income and capitsl gains or losses. The wrtfolio is invested primarity in the Sustainable Charity Multi-Asset Fund. with some lower risk holdings of bonds and cash investments. Tlie target return is CPI plus 3% per annum, net of fees, overthe long term. The Trustees review annually the Servi of fund/investment managers. investment principles and guidelines for product investment. with performan reviewed at each meetin& Ethics p)licy The Trustees do not wish to impose any specific ethical investment policy. but the assets should be invested in line with the charity's aims and conform to RBG Kew's Ethical Policy. Third Party Engagement Policy and Donor Engagement Review Process. Investment performance The Trustees meet each investment advisor at least annualty and the commentsry below reflects their reporting on performance. Funds invested with Cazenove retumed a gain for 2023/24 of 9% (2022/23: loss 6%). while the Handelsbanken portfolios returned, until disposal in June 2023. an average of 4% gain per annum in the financial year {2022/23: 8% loss). Fundraising The Trustees thank the following for their generous support of our vital wort(: Legacies: Edward Bachell. Christine Bry. Colin Coles, Muriel Crocker. Jill Davis, Olive Elsbury, Oren Follows, Elizabeth Grenfell. Michael Hoban, Sarah Lax, Edward Levy. Gweslan Crawford Uoyd. Wendy Matthews. Richard Mosses. Elizabeth Parrott, Kathleen Pettitt. Anne Pickles, Jagna Pindelska. Eve Pollecoff. K Read, Nicola Rose. Alfred John Rowntree, Sabina Stevenson. Isabella Strachan. Andrew Wickham, Daphne Wilmot And all other supporters. including those who have chosen to remain anonymous.
The Foundation and Friends of the Roy31 Botanic Gardens. Kew Year ended 31 March 2024 Strategic report Rlsk management The Foundation has a robust risk management framework which is updated. presented to, and reviewed by Trustees once a year. Each risk has an assigned risk owner who will coordinate actions to mitigate the risk and record progress made and actions completed. The current most significant risks for the Foundation include low or negative investment returns, decreased legacy income and reputational risks associated with legators. Mitigations are in place to manage risks. including regular review of investment performance, a focus on increasirlg the legacy pipeline (including increased investment in resources). regular reporting to Trustees and due diligence on legators. Risks and mitigations continue to be monitored and managed. Plans for future periods The Foundation's focus is on developing and growing the legacy programme and stewarding donors to ensure income due from existing donor pledges is delivered. The Foundation will also continue to manage its investment portfolio. The Foundation will continue to pay existing grants to RBG Kew from unrestricted and restricted funds and review further funding applications from RBG Kew.
The Foundation and Friends of the Royal Botsnic Gardens, Kew Year ended 31 March 2024 Trustees. responsibilities ststement The Trustees (who are also directors of the Foundation for the purposes of company lawl are responsible for preparingthe Trustees, Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Stsndards (Untted Kingdom Generally Accepted Accounting Practice) including FRS 102 "The Financial Reporting standard applicable in the UK and Republic of Ireland.. Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charrtable company and of the incoming resources and application of resources, including the income and expenditure. of the charttable company for that period. In preparing these financial statements, the Trustees are required to: select suitable accounting wlicies and then apply them consistently. observe the methods and principles in the Charities SORP. make judgements and estimates that are reasonable and prudent: state whether applicable UK Accounting standards have been followed. subject to any material departures disclosed and explained in the financial statements: and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The Trustees are responsible for keeping adequate accounting records that disclose wtth reasonable accuracy at any time the financial position of the charitable company and enable them to ensure thatthe financial statements compty with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitsble company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware: there is no relevant audit information of which the charitable companys auditor is unaware., and the Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable companls website. Legslation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. The Trustees, Report and the Strateo"c RepK)rt were approved by the Trustees and signed on their behalf ty. Jan Pethick Chair 19 June 2024
Independent auditor's reportto the Members and Trustees of The Foundation and Friends of the Royal Botsnic Gardens. Kew Opinion We have audited the financial statements of The Foundation and Friends of the Royal Botanic Gardens. Kew for the year ended 31 March 2024 which comprise the Statement of Financial Activities. the Balan SheeL the Summary Income and Expenditure Account. the Statement of Cash Flows and notes to the financial statements. including a summary of significant accounting px)licies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accountingstsndards. including Financial Reporting Stsndard 102 The Financial Reporting Stsndard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion. the financial statements: glve a true and fair view of the state of the charitable company's affairs as at 31 March 2024 and of the charitable company's net movement in funds. including the income and expenditure, for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice. and. have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducte(J our audit in accordance with International Standards on A-uditing (UK) IISAS IUKI} and applicable law. Our resF)onsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our rewrt. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard. and we have fUilled our other ethical resFX)nsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relatingto going conrn In auditing the financial statements. we have concluded that the trustees. use of going concern basis of accounting in the preparation of the financial sLitements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or condrtions that. individually or collectively. may cast significant doubt on the charitable company's ability to continue as a going concem for a peric*J of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concem are described in the relevant sections of this report. Other infonnation The trustees are responsible for other information. The other information comprises the informats'on included in the Trustees, Report. Our opinion on the financial ststements does not cover the other information and, except to the extent otherwise expliciuy stated in our reporL we do not express any fomi of assuran conclusion thereon. In connection with our audit of the financial statements. our resrM)nsibilty IS to read the other information and. in doing so. consider whether the other information is materially inconsistent wtth the financial ststements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identfy such material inconsistencies or apparent material misststements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If." based on the work we have performed. we conclude that there is a material misstatement of this other information, we are required to rewrt that fact We have rK)thing to report in this regard.
Independent auditor's report to the Members and Trustees of The Foundation and Friends of the Rordl Botsnic Gardens, Kew (conL) Oplnlons C other matters presLYibed ty CA)mpanies P£t 2(X)6 In our opinion, based on the work undertaken in the course of the audiL" the information given in the Trustees. Report Iwhich include5 the strategic report and the directors. report prepared for the purposes of company lawl for the financial year for which the financial statements are prepared is consistent with the financial statements; and the strategic report and the directors. rewrt included within the Trustees. Report have been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of the knowledge and understanding of the charitsble company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees. Report (which incorporates the strategjc report and the directors, rewrt). We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to rerx)rt to you rf. in our opinion= adequate accounting records have not been kept by the charitable company; or the charitable company financial ststements are not in agreement wtth the accounting records and returns: or certain disclosures of trustees, remuneration specified by law are not made; or we have not received all the information and explanations we require for our audit; or the trustees were not entitled to prepa the financial statements in accordan with the small companies, regtme and take advantage of the small companies, exemptions in preparing the trustees. report and from the requirement to prepare a strategc rewrt. Responsibilities of trustees for the financial ststements As explained more fully in the trustees. responsibilrties statement set out on page 7. the trustees (who are also the directors of the charitable company for the purposes of company law} are responsible for the preparation of the financial ststements and for being satisfied that they gve a true and fair view. and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misststement. whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern. disclosin& as applicable. matters related to going concern and using the going conrn basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative bui to do so. Auditor's responslbllltles for audit of the financial statements Our objectives are to obtsin reasonable assurance about whether the financial statements as a whole are free from material misstatement. whether due to fraud or error. and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAS {UKI will alwa detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate. they could reasonably be expected to infiuence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud. are instances of norl-compliance with laws and regulations. We design procedures in line with out responsibilities. outlined above. to detect material misstatements in respect of irregularities. including fraud. The extent to which our procedures are capable of detecting irregularities. including fraud is detailed below- Based on our understanding of the company and the environment in which it operates, we identified that the principal risks of non<ompliance with laws and regulations related to regulatory requirements for the charitable company. and we considered the exient to which norFcomplian¢e might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 26 and the Charities Act 2011. and consider other factors such as the taxation environment.
Independent auditor's report to the Members and Trustees of The Foundation and Friends of the Rordl Botsnic Gardens, Kew (conL) We evaluated management's inntiveS and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls). and determined that the principal risks were related to posting inappropriate joumal entries to revenue and management bias in accounting estimates. Audit prOdureS performed by the engagement team induded: Inspecting correspondence with regulators and tsx authorities" Discussions with management including considerdtion of known or suspected instances of non- compliance with law5 and regulation and fraud: Evaluating management's controls designed to prevent and detect irregularities" Identifying and testing journals. in p8cUlarjoUrnal entries posted wrth unusual account combinations. postings by unusual users or with unusual descriptions- and Challen@ng assumptions and judgments made by management in their significant accounting estimates. Because of the inherent limvtations of an audiL there is a risk that we will not detect all irregularities. including those leading to a material misstatement in the financial statements or non-complian with regulation. This risk increases the more that compliance wtth a law or regulation is removed from the events and transactions reflected in the financial sL*ements. as we will be less likely to tEcome aware of inStanS of n¢)n-compliance. The risk is also greater regarding irregulartties occurring due to fraud rather than error. as fraud involves intentional conce8lmer)t. forgery. collusion, omission or misrepresentation. A further description of our respon5ibilibes for the audit of the financial statements is located on the Financial Reporting Council's website at: w . This description forms part of our auditor's report. Use of our report This report is made solely to the charitable companvs Tnembers, as a boty, in accordan with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable companvs members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibilrty to anyone other than the charitable company and the charitable companys members as a t()dy. for our audit work, for this report, orfor the opinions we have fonned. Richard Weaver (Senior Statutory Auditor) 10 Queen Street Place London EC4R IAG For and on behalf of Haysmacintyre LLP. StatLrtory Auditor Date.. 24 June 2024 10
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The Foundation and Friends of the Royal Botsnic Gardens. Kew Summary income and expenditure account Year ended 31 March 2024 2024 2023 Income Donations and legacies Interest and investrnent income Gains/(losses) on investments 6.586 372 563 5.327 52 1550) Grrjss income in the rekM)rting period 7.521 4,829 Totsl expenditure in the reporting period (3,565) {3.576) Net inC(e / (expenditure) for the reporting period 3,956 1.253 As required by the Companies Act 2006, this statement presents the movements on income and expenditure excluding endowment funds.
The Foundation and Friends of the Roydl Botsnic Gardens. Kew Balan Sheet as at 31 March 2024 2024 2023 Flxed assets Investments 15.198 14.067 Total red assets 14.067 Debtors 5.663 3.861 Cash at bank and in hand 3,200 Total current assets 13.707 7,061 Creditors: amounts falling due within one year (3,853) 1464} Net current assets 6.597 Totsl assets less cUTnt liabilities 25,052 20,664 NEf ASSETS 25,052 20.664 The funds of the chantr. Restricted income funds io 5.868 5.532 Permanent endowment funds io 2.731 2.605 Expendable endowment funds io 2.173 2.001 Unrestricted funds - designated io 8,955 6.502 Unrestricted funds - general io 5,325 4.024 TOTAL FUNDS 25,052 20,664 Notes I to 15 fomi part of these accounts. These financial statements of The Foundation and Friends of the Royal Botanic Gardens, Kew (registered number 24990061 were approved and authorised for issue by the Board of Trustees and signed on their behalf Lts> Jan Pethick Chair 19 June 2024 14
The Foundation and Friends of the Royal Botsnic Gardens. Kew ststement of cash flows Year ended 31 March 2024 2023/24 2022/23 Net cash flows from operattng actmtles 14 4,716 (4,414) Cash flows from InVesng ac*ivibe& Dividends and interest from investments Proceeds from the sale of investments Purchase of investments 445 8.059 (8.376) 106 291 13,8021 Net cash flows from irbvesting activitses 128 13.4051 Change in cash in the reporting period (7.819) Cash at the beonning crf the reporting period 3.200 11.019 Cash at the end of the reporting period 8,044 3,200 Notes 1- 15 form part of these accounts. All cash and cash equivalents are included in cash at bank and in hand 15
The Foundation and Friends of the Rordl Botsnic Gardens. Kew Notes to the accounts Year ended 31 March 2024 Statement of a(xounting wlicles The principal accounting wlicies are summarised below. All have been applied consistently throughout the year. Basis of weparation The financial statements have been prepared under the historical cost convention. with the exception of investments which are included at fair value. The financial statements have been prepared in accordance with the Statement of Recommended Practice (SORP 2019): Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Stsndard applicable in the UK and Republic of Ireland IFRS 102} issued on 16 July 2014, the Charities Act 2011 and in compliance with the Companies Act 2006. The financial statements present information for The Foundation and Friends of the Royal Botanic Gardens Kew ('Kew Foundation" or.the Foundation"). Foundation sLqtus The Foundation is a private company limited by guarantee, incorporated in England and Wales and is a charity registered in England and Wales. It is a Public Benefit Entity. The members of the Foundation are the Trustees. In the event of the Foundation being wound up. the liability in respect of the guarantee is limited to £1 per member of the Foundation. Going u)ncem Having reviewed cash flow forecasts and budgets for 2024/25 and beyond. the Trustees have a reasonable expectstion that the Foundation has adequate resources to continue in operational existence for the foreseeable future. not less than 12 months from the date of signing Accordingy. they continue to adopt the going concern basis in preparing the Trustees, Report and Financial Statements. The Foundation has a Reserves Policy that seeks to maintsin unrestricted reserves (excluding the designated reservesl at around one year of fLrture operating expenditure I£0.3MI. Unrestricted reserves are currently £4.7M in excess of £0.3M. This balance will be reviewed during 2024/25 to determine when funds can be granted to RBG Kew. Fund accounting General or unrestricted funds are available for use at the discretion of the Trustees in furtherance of the objectives of the Foundation. These are funds that have not been designated for other purposes. Designated funds comprise unrestricted funds set aside by the Trustees for particular purposes. The aim and use of each designated fund are set OLrt in the notes to the financial statements. Restricted.funds are funds which have bn raised by the Foundation for particular purposes and are to be used in accordance with specrfic restrictions imposed by donors. The aim and use of each material restricted fund are set out in the notes to the financial statements. Endowment funds are a mix of expendable and permanent funds. Permanent endowment funds are held by the Foundation as a Corporate trustee and do not form part of the corporate property of the charitable company. Investment income. gains and losses are allcKated to the appropriate fund. Income All income is included in the Statement of Financial Activities (SOFA) when the Foundation is legally entitled to the income. receipt is probable. and the amount can be measured with sufficient reliability. For pecuniary legacies. this is upon notification Iprobatel. Residuary legacies are recognised when probate is granted and there is sufficient information to value them (usually receipt of estate accounts). the amount recognised is 95% of the estate accounts to allow for administrative costs and uncertainty in property sale values where confirmations have not been reiVed from executors. Where legacies include the transfer of property. this is included at valuation. 16
The Foundation and Friends of the Roydl Botsnic Gardens, Kew Notes to the accounts Year ended 31 March 2024 No amounts are included in the financial statements for services donated by volunteers. Gifts in kind are included at fair value. Donated services or facilities are included in income at a valuation which is an estimate of the financial cost borne by a third paty. Income tax recoverable in relation to (Jonations received under Gift Aid or deeds of covenant is recognised at the time of the donation. Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable. Expendlture Expenditure is accounted for on an accruals basis. Where costs cannot be directly attribLrted to particular activities. they have been allocated on a basis consistent with the use of resources. Unrestricted grants to RBG Kew are recognised when approved and fomially communicated wtth the recipient. Restricted grants to RBG Kew are recognised and awarded to RBG Kew on approval of a valid claim. Gifts in kind to RBG Kew are recognised when the Foundation donates staff time or other assets. Fundraising costs are incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Support costs are those costs incurred directty in support of expendtture on the objects of the Foundation. Governance costs are incurred in connection wtth the administration and compliance of the Foundation. Governance and support costs are all(ated across the various activities of the Foundation based on an estimate of the time spent by staff. Grant rnang The Foundation raises monies for RBG Kew. A request for payment for various projects proposed ty RBG Kew is made to the Foundation Trustees. When applications are received. the Foundation gives independent due consideration to granting such funds: considering the strategy and wishes of the donor and. if approved ty the Trustees, payment is made. Proper evidence of expenditure is always required. to the satisfaction of the Trustees. Investments Investments are stated at market value at the balance sheet date. The SOFA includes the net gains and losses arising on revaluations and disposals throughoLrt the year. Investment movements as disclosed in the Statement of Cash Flows reflect addttions to and withdrawals from the investment portfolio. Ta10n accounting The Foundation is a rewstered charity and has no liability to corwration Lqx on ts charttable activities under the Corporation Tax Act 2010 (chapters 2 and 3 of part ii. section 466 onwards) or Section 256 of the Taxation for Chargeable Gains Act 1992. to the extent surpluses are applied to its charitable purposes. No tax charge has arisen in the years ended 31 March 2024 or 31 March 2023. Financial instnimerts Investments are accounted for at fair value through proftt and loss in accordance with the requirements of FRS 102 sections 11 and 12. Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid net of anytrade discounts due. Cash at bank includes Gash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. Creditors and provisions are recognised where the chartty has a present obligation resuFting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Credrtors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. Critical accounting judgements arKI W Sources of estimation uncertainty In the application of the Foundation's accounting Wlicies. which are described in this note, the Trustees are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and ass(Kiated assumptions are based on 17
The Foundation and Friends of the Royal Botanic Gardens, Kew Notes to the a(xounts Year ended 31 March 2024 historical experien and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that peri(xl, or in the period of the revision and fuiure periods if the revision affects both current and future peri$. Residuary legacies are ests'mated at 95% of the value of the estate. to take account of administrative fees and UnrtaInty in propety sale values. where confimiations have not been received from executors. The Trustees do not consider there are any other crttscal judgements or sources of estimation uncertainty requiring disclosure. Income and endowmerts from donaty'orB. grants and legacies 2023/24 Unrestricted ReStrirtj Endowment Totsi £'ooo Grants and donations Legacies 5.723 863 6,586 5,723 863 6,586 2022/23 Unrestricted Restricted Endowment £'ooo £'o Totsl £'ooo Grants and donations Legacies 4,855 472 5.327 4,855 472 5.327 s at 31 March 2024. the Foundation had been nottfied of 52 {2023: 67) legacies, estimated to be worth £5.97M of fLrture income12023: £5.68M). £4.87M {2023: £3.86M) of which has been recognised as receipt is probable and the amount can be measured with sufficient reliability. Of these. the Foundation has been notified of 31 {2023: 44) residuary legacies estimated to be worth £4.38M of fLrture income12023'. £5.57MI and of which £3.51M (2023: £3.82M) has been recognised. 18
The Foundation and Friends of the Royal Botsnic Gardens, Kew Notes to the accounts Year ended 31 March 2024 Income from Investments 2023/24 UnrestrÈcted Restricted Endowment Total Bank interest 56 119 Dividends & other distributions 255 189 445 311 61 192 564 2022/23 Unrestricted Restricted Endowment Totsl £'ooo Bank interest 25 25 Dividends & other distributions 27 79 106 52 79 131 19
The Foundation and Friends of the Roydl Botsnic Gardens. Kew Notes to the a(xounts Year ended 31 March 2024 Expenditure 2023/24 Grant Support arKI funding of govemance activities Marketing and other direci costs Total Raising funds - donations and legacies 232 95 327 Raisingfunds - investment income 22 22 Total Raising funds 254 95 349 Charitable activtties Science Horticulture and Learning Other support to RBG Kew 936 311 1.980 936 311 1.980 Total Charitable activities 3,227 3,227 Total Suprort costs 95 (95) Total 349 3,227 3,576 2022/23 Grant SupFK)rt and fundingof govemance activities Marketing and other direc* costs Total Raising funds - donations arid legacies 214 77 291 Raising funds - investment income Total Raising funds 219 77 296 Charitable activiiies Science Horticulture and Learning Other supportto RBG Kew 1.020 229 2.036 1.020 229 2.036 Total Charitable activities 3.285 3,285 Totsl Supwrt costs 77 (77) Total 296 3,285 3.581 20
The Foundation and Friends of the Royal Botsnic Gardens, Kew Notes to the accounts Year ended 31 March 2024 Supwrt and governance costs 2(Y23/24 Totsl Costs incurred Governance Office administration and other support 19 76 95 2022/23 Total Costs incurred Governance Office administration and other support 14 63 77 Net (expenditurewincome This is stated after chargn& Totsl Totsl 2023/24 2022/23 £'ooo Auditor's remuneration: Fees payable to the company's audiior for the audit of the Foundation's annual accounts 14 21
The Foundation and Friends of the Royal Botsnic Gardens, Kew Notes to the accounts Year ended 31 March 2024 Endowment Instments Investments Totsl At l April 2023 Sales proceeds Purchases Income r&invested Realised and unrealised gains/ (losses) 4.606 {2.1) 2.019 43 237 9,461 16,058) 6,040 275 576 14,067 (8.059) 8,059 318 813 At 31 March 2024 4.904 10,294 15.198 Endowment other Investments Investments Total At l April 2022 Sales proceeds Purchases Income r&invested Realised and unrealised gains/ {lossesl 4,925 (291} 197 79 1304} 6.485 11,410 1291} 3,696 106 {854} 3.499 27 1550) At 31 March 2023 4,606 9.461 14,067 2024 2023 £'ooo Investment at fair value comprise: Commodities Equity Bonds Propertyfunds Hedge funds Liquidity funds (including cash and cash equivalents) Charity Multi Asset Funds 77 4.768 2,424 696 197 462 5,443 807 905 13.486 At 31 March 15,198 14.067 All fixed asset investments are held in the UK. Investments at historical cost 10.455 10,455 22
The Foundation and Friends of the Royal Botsnic Gardens, Kew Notes to the accourrts Year ended 31 March 2024 Debtors: amounts due within one ypar 2024 2023 3,861 Accrued income 5.663 3,861 Contingent assets: at 31 March 2024 the Foundation has been notified of 3112023: 441 residuary legacies estimated to be worth £4.38M of future income {2023: £5.57MI and of which £4.29M {2023: £3.82MI has been 8rUe as receipt is probable and the amount can be measured with sufficient reliability1£3.51M recognised in 2023/24 and £0.78M in 2022/23). Future income from legacies is measured at 95% of estimated estate value to take account of administration fees and UnrtaInty in valuations of property. For the remaining £0.12M the executors have yet to establish if there are sufficient assets in these estates, after settling any liabilities. to pay these legacies. The Foundation is therefore unable to estimate with sufficient accuracy the amount receivable and has not accrued for these legacies on that basis. Creditors: arnnts falling due within one 2024 2023 Payable to related undertakings 3.838 447 Accruals 15 17 3.853 464 23
The Foundation and Friends of the Roydl Botsnic Gardens, Kew Notes to the accounts Year ended 31 March 2024 10. statement of funds Balan l April Recognlsed gairffj/(10sses ) Transfers £'(KK) £'OOO Balan 31 March 2024 £'ooo Restricted Income Funds 5.532 924 (991) 403 5.868 Endowment funds Sainsbury Orchid Fund 2,605 137 <9) 124 (126) 2.731 Expendable endowments Smythies Fund Lennox Boy¢ Fund Shawdon Fund Bewsey Fund 12 42 199 717 63 1,194 661 58 18 {1) (31 31 {1) 70 (51 Totsl endowment furKIs 192 (li) 251 (134) 4.904 Totsl restrictsd arKI endowment funds 10,138 1.116 {l.W2) 251 269 10.772 Unrestricted designated funds Property Fund Director of Science Research Kew Learning Centre Other 800 594 4.370 3,191 852 1.580 3.270 12581 2.790 15 181 {275) 6.502 181 {533) 2.805 8.955 Unrestricted funts General Fund 4.024 5.853 12.041) 563 {3.074} 5.325 Totsl unrestricted funds 10.526 6.034 12.574) 563 12691 14,280 Totsl funds 20,664 7.150 13.576) 814 25,052 24
The Foundation and Friends of the Roydl Botsnic Gardens. Kew Notes to the accounts Year ended 31 March 2024 10. Statement of funds (corrtlnued) Balan l April 2022 Income Exwiditure £'ooo £'o Balance 31 March 2023 £'ooo gains/llo&8es ) Transfers £'ooo £'ooo Restrlcted Income FurKIs 5.727 472 (7421 75 5,532 Endowment furmts Sainsbury Orchid Fund 2.758 52 (5) (iii) 1891 2.605 Expendable endowments Smythies Fund Lennox Boyd Fund Shawdon Fund Bewsey Fund 199 717 (16) {56) {5) {116) 183 661 58 1.099 1.188 27 Totsl endowment furKIs 4.925 79 15) 1304) 189) 4,606 Totsl restricted and endowrnent funds 10,152 551 (747) (304) {14) 10.138 Unrestricted designated fvnts Property Fund Director of Science Research Enhancing Visitor Experience Kew Learning Centre Other 800 852 1.205 441 {353) {4411 1,500 539 L580 3.270 2,868 (149) 5.314 92 (943) 2,039 6.502 Unrestrlcted funds General Fund 3,675 4.815 (1.891> (5501 (2,025} 4.024 Totsl unrestricted funds 8,989 4.7 (2.834) 15501 14 10.526 Totsl funds 19.641 5.458 13.581) 1854) 20.664 See Note 15 for details of general suppx)rt to RBG Kew. 25
The Foundation and Friends of the Royal Botsnic Gardens. Kew Notes to the accounts Year ended 31 March 2024 10. Statement of funts {continued) Funds Irrformatlon Restrictions on the endowment funds are as follows: The Sainsbury Orchid Fund is used to provide grants to RBG Kew connected with the advancement of education and learning by the promotion of study and enhancement of the orchid collection and orchid work. The Trust deed confers an oversight role on two other sets of Trustees: Robert and Lisa Sainsbury Art Trust Ltd Trustees (previously known as the Art Trustees) and the Gatsby Charitable Foundation Trustees (previously known as the Gatsby Trustees). The transfer from this fund represents realised income which is transferred to the related restricted fund on a quarterly basis. The Smythles Fund is an unrestricted expendable endowmenL Part of the fund should be used to support botanical illustration. The interest is used for budget relief. The Lennox Blyffj Fund is used by Kew to provide education for overseas students through the Lennox Boyd Programme. In particular, emphasis is placed on promoting exchanges of people between British institutions and their counterparts in Commonwealth countries. The Shawdon Fund is used to support Kew'sannual winter lecture series with an emphasis, but not exclusively on any aspects of the uses of plants for medicine. The Bewsey Fund was received by the Foundation in 2015/16. It is an expendable endowment restricted to conservation and research. Designations of unrestricted funds are as follows: The Property fund represented funds designated in 2016/17 for RBG Kew's capitsl projects. the balance is held for Kew's use on improvement work around the estate and will be repurposed in 2024/25. Director of Science research - £0.6M remains of the funds designated in 2019/20 to support the Kew Director of scien's research programme in furtherance of Kew's objectives. Kew Learning Centre- £4.7M was designated in 2023/24 and 2022/23 to support this infrastructure project which is designed to provide a modern leaming facility to expand Kew's educational programme. Other designated funds of £3.IM represent allctations to other, smaller activities and projects, and unrestricted legacy income recognised which the Trustees wish to designate for future use in line with the donors, non-binding wishes. This will be subject to proposals for use to be submitted by RBG Kew. 26
The Foundation and Friends of the Roydl Botsnic Gardens, Kew Notes to the accounts Year ended 31 March 2024 BalarK* Income Exrenditure Transfer8 Balance l April 31 2023 March 2024 £Y)00 £YXM) £'¢XJO furrtts £K) Restricted Funds Scien Seed conservation - supporting the collection, storage and viability of seeds, particularly at RBG Kew's Millennium Seed Banlf Tropical Imwrtant Plant Areas fflPks) - supporting identification and conservation of PAS Plant and Fungal Tree of Life (PAFfoL) State of the World's Plants Orchid Fellow Other scientific research and associated activity L987 46 (1431 25 1.915 167) (2) 11821 1641 {2201 237 1,235 605 319 531 Horticulture and I>tanle garder Evolution Garden Wakehurst Place Other horticultural activty 446 945 1252) 150) 199 910 14 Education and outreach Other education and outreach activity 374 17) (41) 874 Other Library. Art and Archives - supwrting acqui&tion and access to RBG Kew's Library collections Other activity in support of RBG Kew 514 165 (5) (238) 436 Grand Total 924 (991) 5,868 27
The Foundation and Friends of the Royal Botsnic Gardens, Kew Notes to the a(xounts Year ended 31 March 2024 Bala1 In(x)me l April 2022 £rKM) £Thx) Expen¢> Transfers Balance iture between 31 March funds 2023 £'ooo Restricted Funds Science Seed conservation - supporting the collection. storage and viability of seeds. particularFy at RBG Kew's Millennium Seed Bank Tropical Important Hant Areas (FIPAS) - supporting identification and conservation of TIPAS Plant and Fungal Tree of Life (poLl State of the World's Plants Orchid Fellow Other ientifiC research and aSslated activity L938 281 (2351 1.987 257 1129) {8) (6} 12} 1971 181 179 187 89 674 162 1167) 669 Horticulture and tM)tsnlc gardens Evolution Garden Children's Garden Wakehurst Place Other horticultural activity 1161 1421 42 435 1.022 li 14 446 946 {901 Education and outreac* Other education and outreach activ 562 {79) Other Library, Art and Archives - supporting acquisrtion and access to RBG Kew's Library collections Other activity in support of RBG Kew 32 {30) 372 151 (li) 512 Grand Totsl 5.727 472 (742) 75 5,532 All of the above funds are available to be granted to RBG Kew upon receipt by the Foundation of the necessary documentation detailing expenditure: Within restricted funds there are various levels of restriction. Transfers between funds are made as appropriate and reflect allocation to specific activity as confinned with the donor. 28
The Foundation and Friends of the Rordl Botsnic Gardens. Kew Notes to the accounts Year ended 31 March 2024 11. Anal13 of net assets between funds FurKI balan at 31 March are represented ty. 2024 Unrestricted Restricted Endowment Total £'ooo £.( £'(w £'o 7.653 2,641 4.904 15.198 5.272 2.772 8.044 4.071 1,592 5,663 (2.716) {1.137) {3.853} Long-term investments Cash at bank Debtors Creditors 14.280 4,904 25.052 2023 Unrestri(*ed Restricted ErKlowment Total £'OCM) £'(XX) £,( £,0 6.201 3.260 4.606 14,067 2.098 1.102 3.200 2.531 1.330 3,861 (304) (160) {4641 Long-term investments Cash at bank Debtors Creditors 10,526 5,532 4,606 20,664 Salary and staff costs No staff are employed by the Foundation. The total remuneration {including pension contributions) of the key management personnel forthe year was £nil12023: £nill. During the year Trustees received no remuneration or benefits in kind12023: £nil). No Trustees were reimbursed expenses for travel, subsistence or donor meetings12023: £nill. 13. Related partytransartions No donations were received from the Trustees in the year12023: £nil). There were no other related party transactions with trustees in either year. The Foundation has related paty transactions with RBG Kew and also with RBG Kew Enterprises Ltd. Expenditure includes an amount of £3.561k (2023 £3.283kl and credttors include an amount of £3,528k (2023.. £447kl relating to RBG Kew and RBG Kew Enterprises Ltd. Income includes an amount of £nil {2023." £nill and debtors include an amount of £nil {2023: £nill relating to RBG Kew and RBG Kew Enterprises Ltd. No other related party transactions are noted. 29
The Foundation and Friends of the Roydl Botsnic Gardens. Kew Notes to the accounts Year ended 31 March 2024 14. Reconciliion of net inc(xne to net flow ffThn okrating activrties 2023/24 2022/23 Net income for the rewrting period (as per the statement of financial activities) 4,388 1,023 justments for. (Gains) / losses on investments Dividends and interest from investments (814) (4451 854 1106} Operating cash flow before movement In working capitsl L771 {Increase}/Decrease in debtors Increase / Idecrease) in creditors 11,802) 3,389 {2,8121 {3.3731 Net cash pn)vided ty operating acb'vities 4.716 (4.4141 Grants awarded to RBG Kew Unrestiicied Restricted 2024 RBG Kew 2023/24 Support Specific purpose grants 1.700 534 1,700 1.521 987 Grants awarded 2.234 987 3.221 Unrestricted Restricted £'ooo 2023 RBG Kew 202¥23 Support Specific purpose grants 943 742 1,685 Grants awarded 2.543 742 3,285 2024 2023 Reix)nciliation of unrestricted grarrts payable Commitments as at 151 April Commitments made in the year Grants paid during the year 1.600 1,700 11,6001 1,600 1,600 {3,2001 Commitments as at 31 March 1.7C() 30