## **LSA CHARITABLE TRUST**
**Registered charity number: 803671**
**TRUSTEES' REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021**
## **LSA CHARITABLE TRUST**
## **CONTENTS**
||**Page**|
|---|---|
|Charity information|1|
|Chairman's review|2|
|Trustees' report|3 to 4|
|Statement of Financial Activities|5|
|Balance sheet|6|
|Notes to the financial statements|7 to 9|
|Independent Examiner's report|10|
## **LSA CHARITABLE TRUST**
## **CHARITY INFORMATION**
**Chairman** Simon Thornton-Wood **Trustees** Geoffrey Richards Paul Hadley Simon Thornton-Wood Martin Emmett Alex Spofforth FCA **Charity Registration Number** 803671 **Principal Address** Farrer & Co 66 Lincoln's Inn Fields London WC2A 3LH **Independent Examiner** Phil Butterworth Thomas Westcott Chartered Accountants 7 Castle Street Bridgwater Somerset TA6 3DT
1
**LSA CHARITABLE TRUST**
## **CHAIRMAN'S REVIEW**
I must start by marking the Trust’s debt to Geoffrey Richards, who has steered its development into a new productive and invigorated era in the past few years, as he steps down as Chair. Geoffrey has brought a cheerful and considered approach, drawing out the best amongst colleagues, to the great benefit of a new generation of beneficiaries in the Trust’s work. Geoffrey is not leaving the Trustee Board immediately and I am very grateful to have his wise counsel for a further period, and particularly through the challenging times that we have all faced in the past eighteen months.
The year ending March 2021 has indeed been a challenge for the Trust’s major activities, but we have been pleased to be able to continue our support for both the LSA Charitable Trust Fellowship participants, whose experiences through the pandemic have reflected the wider travails of the horticulture industry, and our small remaining group of people in need from the “old LSA”. This has been a traumatic experience for the whole nation; so many primary industries have gained new appreciation from the public and it is to be hoped that horticulture enjoys an increase in that respect too.
A new cohort of the Fellowship scheme was due to start in the Spring of 2021; inevitably this was pushed back to July as Covid-19 continued to create difficulties in society. However, we have been pleased to elicit continued interest in the scheme with a good number of applicants, from which we a full cohort of six were selected..
Fellows who were already engaged in the programme were provided a year’s extension to ensure that they could enjoy the full benefit of the scheme. The extension did not draw immediate activity to a halt, however, as webinars and Zoom meetings replaced face to face meetings – the order of the day for so many of us stuck at home – and we are pleased that the Fellows themselves stepped up to organise such activities themselves. We are also grateful for the kind support of senior industry figures who have met with the Fellows online.
We have continued to support a small number of people connected with the old LSA. This is a part of our remit that Trustees continue to take very seriously, and we continue in our appreciation of the work undertaken by the Royal Agricultural Benevolent Institution (RABI), through whom that support is provided with a professionalism that would not otherwise be available to a small Trust.
The financial position of the Trust has been relatively resilient through such a global shock, and whilst we are guarded about immediate greater investment in the Fellowship scheme, we remain keen to build upon its success to achieve more, and to play our part in rebuilding confidence in a vital industry.
My fellow Trustees and our able Secretary, Cheryl Boyce, continue in their tremendous work for the Trust; it is a very great pleasure to work with them all.
Simon Thornton-Wood 22 September 2021
2
**LSA CHARITABLE TRUST**
## **TRUSTEES' REPORT**
## **FOR THE YEAR ENDED 31 MARCH 2021**
The Trustees present their report and accounts for the year ended 31 March 2021.
The financial statements have been prepared in accordance with the accounting policies set out on page 7 and comply with the governing document, statutory requirements and the Statement of Recommended Practice: Accounting and Reporting by Charities 2015 (SORP).
## **Structure, Governance and Management**
The charity is organised so that the Trustees meet and communicate as necessary by email, to manage its affairs. There are currently five trustees who manage the charity. The trustees met four times in the year, online.
In selecting individuals for appointment as Trustees regard is had to the skills, knowledge and experience needed for the effective administration of the charity. New trustees are shown the trust deed and latest report and accounts, and apprised of the application of the charitable objectives set, and of the essential duties of a Trustee. This includes an annual evaluation of risks facing the Trust in pursuit of its charitable objectives.
## **Risk Management**
The Trustees have informally assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate the exposure to major risks.
## **Objectives**
The trust is constituted by a Trust Deed of 19 May 1989 for, first, the advancement of education in the field of horticulture and agriculture, and second, the relief of poverty of former members, employees and tenants of the Land Settlement Association Limited.
These objectives were met through the activities set out in the Achievements and performance note below.
## **Grant Making Policy**
Grant applications are considered by the Trustees and grants are given to deserving cases consistent with the charity's objectives.
## **Statement of Public Benefit**
We have reviewed the Trust’s objectives in accordance with the Charities Commission guidance on public benefit, when reviewing the charity's aims and in planning future activities. The trust is a public benefit entity as defined by FRS 102.
## **Financial Review**
The Statement of Financial Activities is shown on page 5. There was a net surplus of £5,384 (2020: £16,782), together with realised and unrealised gains/(losses) on investments on the unrestricted funds of £188,823 (2020: £206,011 losses).
The Trustees confirm that the charity’s assets are available and adequate to fulfil its financial obligations.
3
## **LSA CHARITABLE TRUST**
## **TRUSTEES' REPORT**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **Achievements and performance**
Grants to assist individuals continued to be assisted by the services of The Royal Agricultural Benevolent Institution.
## **Investment Policy and Performance**
There are no restrictions on the charity's investment powers. The investment strategy is set by the Trustees after consultation with Kleinwort Hambros, and balances the need for income against capital growth and maintenance. As less income was required during the year due to restrictions imposed from the covid-19 pandemic, the investment strategy reduced the income generation target in favour of rebalancing the portfolio to react to changing market conditions.
## **Reserves Policy**
Whilst the need for certain specific reserves are identified in the accounts, the balance representing the general fund is retained on the basis of working capital being required in order to allow the charity to fund future activities in furtherance of its charitable objects. The reserves were initiated as an expendable endowment.
## **Statement of trustees' responsibilities**
The trustees are responsible for preparing the Trustees' report and financial statements in accordance with applicable law and UK Generally Accepted Accounting Principles.
The law applicable to charities in England & Wales 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 charity and of its incoming resources and application of resources for that period. In preparing those financial statements, the trustees are required to:
- select suitable accounting policies 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 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 charity will continue in operation.
The trustees are responsible for keeping accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report was approved by the Trustees on 22 September 2021 and signed on their behalf by
Simon Thornton-Wood Chairman
4
## **LSA CHARITABLE TRUST**
## **STATEMENT OF FINANCIAL ACTIVITIES**
## **FOR THE YEAR ENDED 31 MARCH 2021**
|Note
**INCOME**
Investments
2
**Total Income**
**EXPENDITURE**
**Expenditure on**
Charitable activities
3
Support costs
4
**Total expenditure**
**Net gains/(losses) on investments**
**Net movement in funds**
**Total funds brought forward**
**Total funds carried forward**
**Net expenditure and net movement in**
**funds before gains on investments**
**Income from**|**General fund**
**£**
**41,054**
**41,054**
**14,117**
**21,553**
**35,670**
**5,384**
**188,823**
**194,207**
**1,331,440**
**Unrestricted Funds**
**1,525,647**|**2021**
**Total**
**£**
**41,054**|2020
Total
£
62,783|
|---|---|---|---|
|||**41,054**|62,783|
|||**14,117**
**21,553**|23,670
22,331|
|||**35,670**|46,001|
|||**5,384**
**188,823**|16,782
(206,011)|
|||**194,207**
**1,331,440**|(189,229)
1,520,669|
|||**1,525,647**|1,331,440|
5
## **LSA CHARITABLE TRUST**
## **BALANCE SHEET**
## **AS AT 31 MARCH 2021**
|**Notes**
**Fixed assets**
Investments
5
**Current assets**
Cash at bank and with brokers
Accruals
6
**Net current assets**
**Total assets less current liabilities**
Represented by:
**Unrestricted funds:**
General funds
**Total funds**
7|**£**
**82,700**
**(2,598)**|**2021**
**£**
**1,445,545**
**80,102**
**1,525,647**
**1,525,647**
**1,525,647**|2020
£
£
1,119,086
215,164
(2,810)
212,354
1,331,440
1,331,440
1,331,440|2020
£
1,119,086|
|---|---|---|---|---|
||||||
|||||1,331,440|
|||||1,331,440|
|||||1,331,440|
The financial statements were approved by the Trustees and authorised for issue on 22 September 2021 and signed on behalf of the Trustees by
Simon Thornton-Wood Trustee
6
**LSA CHARITABLE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **1 Principal accounting policies**
## **Basis of accounting**
The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their Accounts in accordance with the Financial Reporting Standard Applicable in the UK and Republic of Ireland (FRS102) and the Financial Reporting Standard applicable in the UK. The financial statements are prepared in sterling, which is the functional currency of the trust.
## **Incoming resources**
Income to the charity is recognised when the receipt is considered probable to occur.
## **Resources expended**
Expenses and grants payable are recognised in the accounts when they are incurred by the charity.
## **Investments**
Investments are stated at market value. Realised and unrealised gains and losses on investments are recognised within the Statement of Financial Activities. Dividend income is credited to income on an accruals basis, using the date of payment of the dividend.
## **Cash and cash equivalents**
Cash and cash equivalents comprise cash at bank and in hand, demand deposits with banks and other short term, highly liquid investments.
## **Judgements and key sources of estimation uncertainty**
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts supported. These estimates and judgements are continually reviewed and based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
## **Reserves**
The charity holds reserves in order to fund future charitable activities and grants in furtherance of the charitable objectives.
## **2 Investment income**
|Income from listed investments|**Unrestricted**
**funds**
**£**
**41,054**
**41,054**|**Total**
Total
**2021**
2020
**£**
£
**41,054**
62,783|
|---|---|---|
|||**41,054**
62,783|
7
## **LSA CHARITABLE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **3 Grants made**
|Charitable Grants
**Grants to Institutions (for advancement of education)**
Fellowship grants
Fellowship interview costs
British Growers as administrators of the LSA Fellowship Scheme|**Unrestricted**
**funds**
**£**
**14,117**
**14,117**|**Total**
Total
**2021**
2020
**£**
£
**14,117**
23,670|
|---|---|---|
|||**14,117**
23,670|
|||**2021**
2020
**£**
£
**-**
5,113
**-**
891
**6,696**
9,309|
|||**6,696**
15,313|
Actvities during the year were curtailed by covid-19 restrictions, but bursary grants to LSA Fellows had been agreed in principle to be drawn down against expenses to attend courses and events, which are unspent at the year end as to £30,747.
## **Grants to Individuals (for relief of poverty)**
|**Grants to Individuals (for relief of poverty)**|||
|---|---|---|
|Paid via RABI
Total
**Support costs**
Investment manager fees
Administration costs
Trustees expenses
Independent Examiners' fee|**Unrestricted**
**funds**
**£**
**10,273**
**10,080**
**-**
**1,200**|**7,421**
8,357|
||||
|||**14,117**
23,670|
|||**Total**
Total
**2021**
2020
**£**
£
**10,273**
9,176
**10,080**
11,607
**-**
348
**1,200**
1,200|
||**21,553**|**21,553**
22,331|
## **4 Support costs**
Annual costs and charges on the whole investment portfolio were reported under MiFID at £22,436 (2020:£22,355) for the year.
There were no employees during the year (2020: nil).
No (2020: five) trustees were reimbursed during the year for travel and subsistence costs relating to meetings, and totalling £0 (2020: £348). There were no other payments to Trustees or to other related parties.
## **5 Investments**
|**Cost or valuation**
At beginning of year
Additions
Disposal proceeds
Revaluations
**At end of year**|**Listed**
**investments**
**£**
**1,119,086**
**950,537**
**(812,901)**
**188,823**
**1,445,545**|**Total**
Total
**2021**
2020
**£**
£
**1,119,086**
1,366,613
**950,537**
203,168
**(812,901)**
(244,684)
**188,823**
(206,011)|
|---|---|---|
|||**1,445,545**
1,119,086|
8
## **LSA CHARITABLE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
|**6**
**Creditors: amounts falling due within one year**
Accruals
**7**
**Analysis of fund balances**|**Total**
Total
**2021**
2020|
|---|---|
||2,598
2,810|
|||
|**Unrestricted funds**
General fund
**Total Unrestricted Funds**|**At beginning**
**of year**
**£**
1,331,440
1,331,440|**Income**
**£**
41,054
41,054|**Expenditure**
**£**
(35,670)
(35,670)|**Investment**
**At end**
**losses**
**of year**
**£**
**£**
188,823
1,525,647|
|---|---|---|---|---|
|||||188,823
1,525,647|
## **8 Registered charity**
The charity is registered in England (No. 803671) and as such is not liable to tax.
9
**LSA CHARITABLE TRUST**
## **INDEPENDENT EXAMINER'S REPORT**
## **Independent examiner's report to the trustees on the unaudited accounts of LSA Charitable Trust**
I report on the accounts for the year ended 31 March 2021 set out on pages 5 to 9.
## **Respective responsibilities of trustees and examiner**
The charity's trustees are responsible for the preparation of the financial statements. The charity's trustees consider that an audit is not required for this year (under section 144(2) of the Charities Act 2011 (the 2011 Act)) and that an independent examination is needed.
The charity's gross income exceeded £25,000 but was less than £250,000 and I am qualified to undertake the examination by being a member of the Institute of Chartered Accountants in England and Wales.
It is my responsibility to
- examine the financial statements (under section 145 of the 2011 Act),
- follow the procedures laid down in the general directions given by the Charity Commission (under section 145(5)(b) of the 2011 Act), and
- state whether particular matters have come to my attention.
## **Basis of independent examiner’s statement**
My examination was carried out in accordance with general directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the statement below.
## **Independent examiner's statement**
In connection with my examination, no matter has come to my attention:
- (1) which gives me reasonable cause to believe that in any material respect the requirements
- to keep accounting records in accordance with section 130 of the 2011 Act; and
- to prepare financial statements which accord with the accounting records and to comply with the accounting requirements of the 2011 Act
## have not been met; or
(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.
**Philip Butterworth ACA Thomas Westcott Chartered Accountants 7 Castle Street Bridgwater Somerset TA6 3DT 27 September 2021**
10