**Charity registration number NIC100517**
**THE ROYAL IRISH REGIMENT BENEVOLENT FUND ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023**
**THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 MARCH 2023**_
|**Unrestricted**
**Restricted**
**funds**
**funds**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**4**
130,134
877,670
Charitable activities
**3**
68
-
Investments
**5**
492,079
-
**Total income**
622,281
877,670
**Expenditure on:**
Raising funds
**6**
33,933
-
Charitable activities
**7**
350,967
151,407
Other
**11**
6,324
-
**Total resources expended**
391,224
151,407
Net gains on investments
**12**
(722,003)
-
**Net (outgoing)/incoming resources before**
**transfers**
(490,946)
726,263
Gross transfers between funds
726,263
(726,263)
**Net income for the year/**
**Net movement in funds**
235,317
-
Fund balances at 1 April 2022
8,324,723
900
**Fund balances at 31 March 2023**
8,560,040
900|**Total**
**Total**
**2023**
**2022**
**As restated**
**£**
**£**
1,007,804
629,130
68
157
492,079
462,526
1,499,951
1,091,813
33,933
36,638
502,374
604,950
6,324
3,500
542,631
645,088
(722,003)
(40,493)
235,317
406,232
-
-
235,317
406,232
8,325,623
7,919,392
8,560,940
8,325,624|
|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
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## **THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **BALANCE SHEET**
## _**AS AT 31 MARCH 2023**_
|**Notes**
**Fixed assets**
Tangible assets
**14**
Investments
**Current assets**
Debtors
**15**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**17**
Net current assets
**Total assets less current liabilities**
**Income funds**
Restricted funds
Unrestricted funds|**2023**
**2022**
**£**
**£**
**£**
**£**
**As restated**
**As restated**
3,000,491
2,276,877
5,356,510
5,711,710
8,357,001
7,988,587
70,041
59,895
171,043
296,551
241,084
356,446
(37,145)
(19,409)
203,939
337,037
8,560,940
8,325,624
900
901
8,560,040
8,324,723
8,560,940
8,325,624|**2023**
**2022**
**£**
**£**
**£**
**£**
**As restated**
**As restated**
3,000,491
2,276,877
5,356,510
5,711,710
8,357,001
7,988,587
70,041
59,895
171,043
296,551
241,084
356,446
(37,145)
(19,409)
203,939
337,037
8,560,940
8,325,624
900
901
8,560,040
8,324,723
8,560,940
8,325,624|
|---|---|---|
|||7,988,587
337,037|
|||8,325,624|
|||901
8,324,723|
|||8,325,624|
The accounts were approved by the Trustees on 13 March 2024
AM Hart
## **Trustee**
- 3 -
## **THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **STATEMENT OF CASH FLOWS** _**FOR THE YEAR ENDED 31 MARCH 2023**_
||**2023**||**2022**||
|---|---|---|---|---|
|**Notes**|**£**|**£**|**£**|**£**|
|**Cash flows from operating activities**|||||
|Cash generated from operations||475,479||3,163|
|**Investing activities**|||||
|Purchase of tangible fixed assets|(726,263)||(235,123)||
|Proceeds from disposal of investments|(366,803)||(202,618)||
|Investment income received|492,079||462,526||
|**Net cash (used in)/generated from**|||||
|**investing activities**||(600,987)||24,785|
|**Net cash used in financing activities**||-||-|
|**Net (decrease)/increase in cash and cash**|||||
|**equivalents**||(125,508)||27,948|
|Cash and cash equivalents at beginning of year||296,551||268,603|
|**Cash and cash equivalents at end of year**||171,043||296,551|
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**THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **STATEMENT OF CASH FLOWS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **1 Critical accounting estimates and judgements**
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
## **2 Accounting policies**
Royal Irish Benevolent Fund is an unincorporated charity registered with the Charity Commission of Northern Ireland. Its registered charity number is NIC100517.
## **2.1 Accounting convention**
The accounts comply with the Charities (Accounts and Reports) Regulations (Northern Ireland) 2015, the Memorandum and Articles of Association, and Accounting and Reporting by Charities: Statement of Recommended Practice applicable in the UK and Republic of Ireland (FRS 102) (effective 1 Jan 2015).
The accounts have departed from the Charities (Accounts and Reports) Regulations (Northern Ireland) 2015 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
## **2.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **2.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
## **2.4 Incoming resources**
Income from charitable activities is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
- 5 -
## **THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **2 Accounting policies**
## **(Continued)**
Donations and legacies are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Grant income is recognised when there is evidence of entitlement, receipt is probable and the amount can be measured reliably. Evidence of entitlement exists when the formal offer of funding is communicated in writing.
Investment income is measured at the fair value of the consideration received or receivable and represents the return on investments held during the year.
## **2.5 Resources expended**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.
Benevolence is granted to individuals and institutions upon receipt of an application and approval by trustees.
## **2.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings 2% straight line Fixtures and fittings 20% straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
The Trustees have set a policy of 2% straight line based on their estimation of the life and residual value of the asset. however during the year various development works were started on this building by Royal Irish Regiment Charity and as such the Trustees have reassessed their estimations. In this regard they now believe that the building should not be depreciated and that this policy will be reassessed as the building is redeveloped. They believe this new policy provides a more reliable value of the building at the year end.
- 6 -
**THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **2 Accounting policies**
## **(Continued)**
## **2.7 Fixed asset investments**
## **Investments**
Investments are included at market value at the balance sheet date.
All gains and losses on investments are reflected in the Statement of Financial Activities as they arise and are seperated between realised and unrealised gains and losses.
Realised gains and losses on investments are the aggregate of the difference between sales proceeds and opening market value (or cost if purchased during the year).
Unrealised gains and losses represent the movement in market value during the year.
## **2.8 Impairment of fixed assets**
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
## **2.9 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
## **2.10 Financial instruments**
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
- 7 -
## **THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **2 Accounting policies**
**(Continued)**
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
## **3 Charitable activities**
||**Charitable**|**Charitable**|
|---|---|---|
||**Income**|**Income**|
||**2023**|**2022**|
||**£**|**£**|
|Sales within charitable activities|68|157|
## **4 Donations and legacies**
|**Unrestricted**
**funds**
**£**
Donations and gifts
69,315
Grants Received
60,819
130,134
**For the year ended 31 March 2022**
233,934
**Grants receivable for core activities**
Army Museum Ogilby Trust
-
Ministry of Defence
44,598
Royal Ulster Rifles Association
2,186
Royal Irish Rangers Association
14,035
Department of Finance & Communities
-
New Military Gallery
-
38 Irish
-
60,819|**Restricted**
**funds**
**£**
726,263
151,407
877,670
395,196
132,568
-
-
13,818
2,788
-
2,233
151,407|**Total**
**2023**
**£**
795,578
212,226
1,007,804
132,568
44,598
2,186
27,853
2,788
-
2,233
212,226|**Total**
**2022**
**£**
297,419
331,711|
|---|---|---|---|
||||629,130|
||||629,130|
||||105,125
76,776
750
22,451
4,543
122,066
-|
||||331,711|
- 8 -
## **THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **5 Investments**
||**Unrestricted**|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2023**|**2022**|
||**£**|**£**|
|Income from listed investments|491,966|462,520|
|Interest receivable|113|6|
||492,079|462,526|
## **6 Raising funds**
||**Unrestricted**|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2023**|**2022**|
||**£**|**£**|
|Investment management|33,933|36,638|
||33,933|36,638|
|**Charitable activities**|||
||**2023**|**2022**|
||**£**|**£**|
|Event Costs|33,370|80,773|
|Wages|188,782|177,786|
|Management Meeting Expenses|1,506|2,500|
|Travel|3,932|8,717|
|Depreciation|2,648|2,648|
|Professional Fees|1,200|-|
|Repairs|335|3,534|
|Light & Heat|28,534||
|Other Support Costs|11,758|8,922|
||272,065|284,880|
|Grant funding of activities (see note 8)|230,309|320,070|
||502,374|604,950|
## **7 Charitable activities**
- 9 -
## **THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **8 Grants payable**
|Grants to institutions
Grants to individuals|**2023**
**£**
78,828
151,488
230,316|**2022**
**£**
195,571
124,499
320,070|
|---|---|---|
-
## **9 Trustees**
Two Trustees were paid by Ministry of Defence as their work encompasses management of a few charities.
## **10 Employees**
## **Number of employees**
The average monthly number employees during the year was:
|**2023**|**2022**|
|---|---|
|**Number**|**Number**|
|11|8|
|**11**|**Other**|||
|---|---|---|---|
|||**Unrestricted**|Unrestricted|
|||**funds**|funds|
|||**2023**|2022|
||Governance|6,324|3,500|
- 10 -
## **THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **12 Net gains/(losses) on investments**
||**Unrestricted**|Unrestricted|
|---|---|---|
||**funds**|funds|
||**2023**|2022|
||**£**|£|
|Gain/(Loss) on revaluation of investments|(722,003)|(40,493)|
## **13 Taxation**
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
## **14 Tangible fixed assets**
|**Freehold land**
**and buildings**
**Fixtures and**
**fittings**
**£**
**£**
**Cost**
At 1 April 2022
2,353,671
15,217
Additions
726,263
-
At 31 March 2023
3,079,934
15,217
**Depreciation and impairment**
At 1 April 2022
84,742
7,270
Depreciation charged in the year
-
2,648
At 31 March 2023
84,742
9,918
**Carrying amount**
At 31 March 2023
2,995,192
5,299
At 31 March 2022
2,268,930
7,947|**Total**
**£**
2,368,888
726,263|
|---|---|
||3,095,151|
||92,012
2,648|
||94,660|
||3,000,491|
||2,276,877|
The trustees have agreed that as the renovation work is ongoing there should be no depreciation charged to the accounts as the value of the building is likely to increase.
- 11 -
## **THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **15 Debtors**
|**Debtors**|||
|---|---|---|
|**Amounts falling due within one year:**
Trade debtors
Other debtors|**2023**
**£**
-
70,041
70,041|**2022**
**£**
3,442
56,453|
|||59,895|
## **17 Creditors: amounts falling due within one year**
|**17**
**Creditors: amounts falling due within one year**|||||
|---|---|---|---|---|
|Other taxation and social security
Other creditors
Accruals and deferred income
**18**
**Analysis of net assets between funds**
**Unrestricted**
**funds**
**Restricted**
**funds**
**2023**
**2023**
**£**
**£**
Fund balances at 31
March 2023 are
represented by:
Tangible assets
3,000,491
-
Investments
5,356,510
-
Current assets/(liabilities)
203,039
900
8,560,040
900|**Total**Unrestricted
funds
**2023**
2022
**£**
£
3,000,491
2,276,877
5,356,510
5,711,710
203,939
336,137
8,560,940
8,324,724||**2023**
**£**
3,976
24,517
8,652
37,145
Restricted
funds
2022
£
-
-
900
900|**2022**
**£**
4,264
6,493
8,652|
|||||19,409|
|||||Total
2022
£
2,276,877
5,711,710
337,037|
|||||8,325,624|
- 12 -
## **THE ROYAL IRISH REGIMENT BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **19 Movement in Funds**
|**Incoming**
**Resources**
**Investment**
**Fund**
**At 01/04/22 Resources**
**Expended Gains/Losses**
**£**
**£**
**£**
**£**
**Unrestricted**
8,324,723
622,281
391,224
(722,003)
**Restricted**
900
877,670
151,407
-
8,325,623
1,499,951
542,631
(722,003)|**Transfers**
**At 31/03/23**
**£**
**£**
726,263
8,560,040
(726,263)
900
-
8,560,940|
|---|---|
## **20 Auditors Remuneration**
Auditors remuneration was £5,000 (£5,000, 2022).
## **21 Related Party Transactions**
Members of the Royal Irish Benevolent Fund who are also members of the Royal Irish Regimental Charity, and their dependents, can be entitled to financial assistance from both the Royal Irish benevolent Fund and the Royal Irish Regimental Charity.
In those cases the Royal Irish Regimental Charity make the total payment for financial assistance and are reimbursed by the Royal Irish Regiment Benevolent Fund for financial assistance due by the fund.
Note 22 contains information regarding a related party transaction and the payment of a trustee who is considered to be key management personnel. Employee costs include amounts for work undertaken on behalf of Royal Irish Regiment Charity.
During the year Royal Irish Regiment Charity received a £500,000 donation which was restricted for the purpose of refurbishing the building which will house the new museum. This building is owned by Royal Irish Regiment Benevolent Fund. Capital works of £726,263 were paid for by The Royal Irish Regimental Charity. This has been shown as a donation to Royal Irish Benevolent Fund and capitalised as part of the building cost.
## **22 Remuneration of Key Management Personnel**
The Assistant Regimental Secretary Funds is the Trustee deemed as the key personnel responsible for the day to day management of the accounts. There is no remuneration as the individual is employed by the Ministry of Defence who cover all their salary costs including pension contributions and employer contributions. This is also a related party transaction. The salary costs paid by Ministry of Defence is for work undertaken by Trustee's management of various charities including the Royal Irish Regiment Benevolent Fund.
- 13 -