THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023 Charlty Reglstration Number: NIC 107024
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023 CONTENTS Page Report of the Board of Trustees Independent auditors, report to the Trustees 8-12 Statement of financial aciivities 13 Balance sheet 14 C(ish Flow Stiitement 15 Noteii on the financial sldtements 16-28
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND REPORT OF THE BOARD OF TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023 The Board of Trustees present their report and financial statements of the Fund for the year ended 31 March 2023. 51 The financial statements have been prepared in accordance with ihc accounting policies set out in notc5 to the financial statements and comply with the Fund's governing document, the Charilies Act (Norihern Ireland) 2(K)8, the Charities Act (Northern Ireland) 2013, the Charities (Accounts and Reports) Regulations (Northern Ireland) 2015, Accounting and Reporting by Charities: Statement of Recommended Practice applicable lo charities preparing their accounts in accordance with ihe Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporiing Standard applicable in the UK and Republic of Ireland (FRS 102) and UK Generally Accepted Accounting Practice. CONSTITUTION The Ulster Defcnce Regiment Benevolent Fund was founded in 1972 under Charitable Trusi, m05t recently revised in 2017, its puiyose being helping and a5SiSting the fin<incial needs and affording support to the benefit of members of and former members of the Ulster Defence Regimeni and their dependants as set out in ihe Tru.st Deed. The Fund 1% recognised for charitable purposes by HM Ih Revenue & Customs and registered with The Charity Commission for Northern Irel(ind on I l July 2018. Further information on the Fund and the members of the Board of Trustee8 can be obt¢iined from the Secretury at the registered office addreS4i CHARITY ADMINISTRATIVE AND REFERENCE DETAILS Charity name Charlty registration number HMRC reference The Ulster Defence Regimenl Benevoleni Fund NIC107024 XN48435 Registered oifice Trustees Anderson House. P4ilace Barracks, Holywood, BT18 9QA The charity commission has accepled a requesi from the trustees for their personal details io be withheld. There were 14 trustees, who served during the year. Mr B Kennedy (delegated day to day management of the Fund) Julius Baer International Limited, I St Martins, Le Grand, London, EC IA 4AS Secretary Investment managers Quilter Cheviot Limited, Montgotnery House, 29133 Montgomery Sireet, Belfast, BTI 4NX GMCG Belfast, Alfred House, 19 Alfred Street,Belfast,BT2 8EQ Danske Bank, Donegall Square West, Belfast, BTI 6JS Edwards & Company, 28 Hill Street, Belfast, BTI 2LA Auditor Banker5 Solicitors Page I
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND REPORT OF THE BOARD OF TRUSTEES (continued) FOR THE YEAR ENDED 31ST MARCH 2023 STRUCTURE, GOVERNANCE AND MANAGEMENT Organisational structure and related parties Responsibility for the activities of ihe Fund is vested in and carried out by a Board of Trustees which meets at intervals throughout the year. The Board of Truslees consists of elected members. Trustees are appointed or are eligible for re- appointment immediately following the completion of their term of office at a General Meeting of the Fund for a term of four years. The number of irustees shall consist of not more than fifteen. The Chairman of the Board of Trustees is appointed annually at a General Meeting of the Fund. Recruitment, appointment, inductlon and training The Board of TrLlStees have been involved in the Fund for a number of years and so are familiar with its work. The iru.stees regul¢irly review the requirements of the Fund and the possibility of il need for additional tru8iee.s. Any new trustees would be elected by the Board of Trustees. Appropriate training and induction ill Kivailable to all trustees. INVESTMENT POWERS AND POLICY Under ihe ti'ust deed, Ihe trLlStees have iinreslricted investment powers, and may invest ai iheir ab.solute discrelion. The Iru.qtees have appointed two independent investment managers, who have discretionary powers, with a mandate which is reviewed on a quarterly bJsi.s, to maintain and grow income, with a moderate risk profile. OBJECTIVES AND ACTIVITES The Ulster Defence Regiment Benevolent Fund exists lo provide assistance to those former members of The Ulster tkfence Regiment and the extended Ulster Defence Regiment family who are in need of support as a consequence of poverty caused by sickness, disability, accident, infirmity, social exclusion OT Other adversity through the provi.sion of griints and respite support. PUBLIC BENEFIT STATEMENT The trustees of The Ulster Defence Regiment Benevolent Fund confirni that they have had due regard for the ouidance on Public Benefit by the Chariiy Commission for Northern Ireland and are pleased to report (hat during the year the charity has continued to provide Public Benefits. PUBLIC BENEFIT The trustees believe that the Fund provides the following public benefits in supporting those former members of the Ulster Defence Regiment and their dependants who are in need: I, The relief of poverty or assisting those in need by reason of aLTe, ill health, disability, financial hardship or other disadvantage. Page 2
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND REPORT OF THE BOARD OF TRUSTEES (continued) FOR THE YEAR ENDED 31ST MARCH 2023 PUBLIC BENEFIT (coiitinued) The Ulster Defence Regiment Benevolent Fund meets this puryose through the provision of granis or other assistance, both financial and through the provision of goods and respite support. The provision of this assistance has enabled the Fund to help lift its beneficiaiies out of a potential poverty trap by alleviating some of the financial difficulties that they face, for example where statutory benefits do not cover what is required, where a beneficiary has special needs or a neurological, psychological or physical disability or where a beneficiary is facing homelessness or poverty as a result of a debt. 2. The advancement of human rights, conflict iesolution or concl11aÈI0n. The Ulster Defence Regiment Benevolent Fund provide.s support to its beneficiarie.s in relieving social exclusion (due to poveriy. financial or otherwise, by being a member of the Regiment oi. a widow, widower, dependant or family member of such member) by providing them with the opportunity to meet wilh other victims lind survivors of the 'Troubles' in Northern Irel¢ind and of oiher conflicts. The direct benefit.s which flow from ihis purpose include an opporiunity for victims and .survivor.s io avoid the poverty tr&iP caused by Socidl exclusion and illl other hardships (financial or otherwise) Ihat flow from .such social excliision, to refleci upon and share iheir experiences lind to be8in lo come to terms with their involvement in .such conflicts and the %ocial, politlcdl and fin¢incial consequence5 relating thereio. In turn, this promoies healing and reconciliation among the beneficiaries and socieiy as a whole. The 'poverty exccption, applie% in ihis case. the Fund seeks to relieve poverty in a number of circumstances and ihis is regarded as being for ihe public benefit even where ihere is a restricted or smuller potential group of beneficiaries. There is no harm arising from any of the purposes. The charity's beneficiaries are those former member8 of the Ulster Defence Regiment or members or former members of the Roy(il Irish Regiment who are serving or have served on a similar limited commilment of service ils the members of the Ulster Defence Regiment ("Homc Service Conditions of Service") and their widows, widowers. dependants and families who are in need. There may be a private benefit flowing from the purposes, which is incidental and necessary in the circumstances. where a trustee may have been a servino member of the Regiment in hislher past who may find himlherself in necessitous circumstiinces because of social or financial reasons. The trustees are fully aware of the guidclines cominu from The Charity Commission for Northern Ireland. They believe they are operating entirely within those guidelines which have been released so far and look forward with confidence to the development of ihe Fund's work in the future. Page 3
THE ULSTER DEFENCE REGIMENf BENEVOLENT FUND REPORT OF THE BOARD OF TRUSTEES (continued) FOR THE YEAR ENDED 31ST MARCH 2023 PUBLIC BENEFIT (continued) The Ulster Defence Regiment Benevolent Fund meets this purpose through the provision of grants or other assistance. both financial and through the provision of goods and respite support. The provision of this assistance has enabled the Fund to help lift its beneficiaries out of a potential poverty trap by alleviating some of the financial difficulties that they face, for example where statutory benefits do not cover what is required, where a beneficiary has special needs or a neurological, psychological or physical disability or where a beneficiary 15 facing homelessness or poverty as a result of a debt. 3. The advancement of human rights, conflict resolution or reconciliation. The Ulster Defence Regiment Benevolent Fund provides support to its bencficiaries in relieving social exclusion (due to poverly, financial or otherwise, by being d member of the Regiment or a widow, widower, dependant or family member of such metnbei) by providing them with the opportunity to meet with other ViCiim.8 and 8urvivors of the 'Troubles' in Northern Ireland and of other conflicts. The direct benefits which flow from this purpo.se include an opportunity for victims und survivors to avoid the poverty trap caused by social exclusion lind all other hardships (financial or otherwise) that flow from such social exclusion, to refleci upon and share their experiences and 10 begin io come to terms with their involvement in %uch conflicts dnd the social, politicdl and financiul con8equenc¢s relating thereto. In turn, Ihis promotes healing and reconcili4ilion Étmong the beneficidries and society as a whole. The 'poverty exception, applies in this ca%e' the Fund seeks to relieve poverty in a number of circumstances (ind thi.s is regarded as being for the public benefit even where there i.s a I'cstricied or smaller poteniitil group of beneficiaries. There is no harm arising from Éiny of the pUrpoS. The charity's beneficiaries <ire those former members of the Ulsier Defence Regiment or members or former members of the Royal Irish Regiment who ¢ire serving 01 have served on a similar limited commitment of service as the members of the Ulster Defence Regiment ("Home Service Condiiions of Service") and their widows, widower.s. dependants and families who are in need. The may be a private benefii flowing from the purposes, which is incidental and necessary in the circumstances. where a truslee may have been a serving member of the Regiment in his/her past who may find himlherself in necessitous circumstances because of social or financiiil reasons. The trustees are fully aware of the guidelines coming from The Charity Commission for Northern Ireland. They believe they are operaiing entirely within those guidelines which have been released so far and look forward wilh confidence lo the developtncnt of the Fund's work in the future. ACHIEVEMENTS AND PERFORMANCE During the year the Fund undertook numerous welfare activities givino financial help to assist the needs and afford support to the benefit of former members of the Ulster Defence Regiment and iheir dependants. The Fund also sponsored numerous respite activities for family groups comprisinLW of widows, bereaved parents, disabled ex-soldiers and d¢pendants of former members of the Regiment. During the year, 114 (2022 - 114) applications for benevolence were dealt with, 534 (2022 519) families benefited from respite in the apartments and 233 (2022 - 221) family or disabled ex-soldiers groups availed of respite activitie5 durinu the year. Page 4
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND REPORT OF THE BOARD OF TRUSTEES (continued) FOR THE YEAR ENDED 31ST MARCH 2023 ACHIEVEMENTS AND PERFORMANCE (continued) The Fund also extended the Pilot Health Care Scheme for a further year with 604 beneficiaries now benefiting from the scheme. The overall increase in beneficiary contact during the year was 41fo. Total income for the period amounted to £309,148 (2022 £268,767) and total expenditure for the period amounted 10 £514,625 (2022 £456,644). Investments were held by Julius Baer and Quilter Cheviot as discretionary investment managers and ihere was a loss on investtnents of £646,575 (2022 gain of £405.885) in the year. The trustees continually review the level of welfare grants given and respite activilies for family groups comprising of widows, bereaved parents, disabled ex-soldiers and dependants of former members of Ihe Ulster Defence Regiment in relation to projecied investment income and donations together with any sury)lus funds. Direct charitable expenditure increased in the year by £60,308 from £396,413 to £456,721. The trusiees do not anticipate any .significant increase in the level of grants given in the incoming yeur. The iriistee% consider Ihat the Fund is in a S¢ltisfactory position to sustain its chiirit4ible dCtivitie% for the foreseeable future. RISK MANAGEMENT The trustee.s have a.ssessed the major risks to which ihe Fund is exposed, in particular those related to the operations and finiinces of the Fund, and are satisfied that sysiems are in place to mitigaie an expo.SLire io major risk.s. In particular, the trustees instruct external accountants io review the accounting records and prepare interim management (iccounts during the course of the Fin<incial yellr. The triistees. atlitude to inve.%tment risk is man(Iged through the two professional inve4imeni mdnagers. Whei'e appropriate; systems or procedure.s have been established io miligate the risks faced by the Fund. Internal contiol risks &ire minimised by the implementation of procedures for authorisation of all transactions and projects. Procedures are in place to en.sure compliance with health and safety of officers, volunteerg and applicants. These procedures ur¢ periodically reviewed at leasi 4innually to ensure that they continue to meet the needs of the Fund. FINANCIAL REVIEW Details of income and expenditure for the year and of the year end financial position are given on pages 13 and 14 of the accounts atlached to this report. There was a decrease in the market value of the Fund's investment portfolio during the year and reserves decreased by £852,052 in 2022123 from £ 11.200,468 to £10,348,416. The irustees considci the financial position of the Fund as satisfactory in order to sustain its charitable activities for the foreseeable future. FUNDING The principal fundino is from donations and investments. Page 5
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND REPORT OF THE BOARD OF TRUSTEES (continued) FOR THE YEAR ENDED 31ST MARCH 2023 FINANCIAL REVIEW (continued) RESERVES POLICY Cash and deposii balances are maintained so as to be able to meet expenditure on charitable activities and other outgoings as they arise. However, thc majority of the Charity's assets are held in investment funds and in fixed assets used to help fulfil its charitable objectives. The Charity's income is mainly derived from investment income and the Trustees are aware of the need to minimise the risk that the Charity cannot meet its obligations by maintaining the value of the charity's underlying investments. The Charity's obligaiions cannot be reiidily ascertained but the Trustees adopt a reserves policy which allows free reserves lo be available in any financial year in line with an annual budget sei in advance of the year. The total unrestricted funds of Ihe charity are £10,348,416 (2022: £11,200,468) which includes fixed assets of £9,836,237 (2022: £10,360,154) leaving the charity wilh free reserves of £512,179 (2022: £840.314). PLANS FOR FUTURE PERIODS There have been no major changes in ihe year, nor are any envisaged in the foreseeable future. STATEMFNT OF THE RESPONSIBILITIES OF THE BOARD OF TRUSTEES The irustees are respon.sible for prepui'ing the Trusiees, Annlial Report and the financial statemenis in accordiince with applicable law and United Kingdom Accounting Stiind¢irds (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in Northern Ireland requires the trustees to prepare financial siatement.s for eiich fin<incial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In prep<iring ihese financial statements, the trusiees are required to: select suitable accounting policies and then dpply them consistently; observe the methods and principles in the Charities SORP 2019. make judgements and estimates that are reasonable and prudent. slate whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in ihe fin&incial statemen18; and prepare the financial statctnents on the going concern basis unles5 It is inappropriate to presume ihat the charity will continue in operation. The trustees are responsible for keeping proper accounting records thai disclose with Teasonable accuracy at any time the financial posilion of the charity and enable them to ensure ihat the financial siatemenis comply with the Charities Act (Northern Ireland) 2008, the Chariiies (Accounts and Reports) Regulations (Northern Ireland) 2015 and the provisions of the trust deed. They are also responsible for safeguarding assets of the charity and hence for iaking reasonable steps for the pVention and detection of fraud and other irregularities. Page 6
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND REPORT OF THE BOARD OF TRUSTEES (contsnueif) FOR THE YEAR ENDED 31ST MARCH 2023 STATEMENT OF THE RESPONSIBILITIES OF THE BOARD OF TRUSTEES (continued) The trustees are responsible for the maintenance and integrily of the charity and financial information included on the charity's website. Legislation in the United Kingdom governing ihe preparation and dissemination of financial statements may differ from legislation in other jurisdictions. AUDITOR GMCG Belfast offer themselves for re-appointment as auditor for the ensuing year. Signed on behalf of the trustees Chairman Dale: 31" October 2023 Page 7
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND INDEPENDENT AUDITORS, REPORT TO THE TRUSTEES YEAR ENDED 31ST MARCH 2023 HARTERED ACCOUNTANTS OplnioD We have auditcd the financial statements of The Ulster Dcfence Regiment Benevolent Fund for the year ended 31 March 2023 which comprise the Statement of Financial Activities, Balance Sheet, Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). st In our opinion the financial statements: give a true and fair view of the state of the Fund's affairs as at 31$1 March 2023, and of its incoming resources and expenditure of resources, 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 Charities Act (Northern Ireland) 2008. Basis of our opinion We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are further deribed in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Fund in accordance with the ethica) requirements that ar¢ relevant to our audit of the financial slatements in the UK, including FRC'S Ethical Standard. and the provisions available for small entities, in the circumstances set out in note 21 to the financial statements, and we have fulfilled our ethical responsibilities in accordance with these requirements. We believe that the audit evidence we hav¢ obtained is suificient and appropriate to provide a basis for our opinion. Conclusions relatlng to going CODeern In auditing the financial statement5. we have concluded that the trustees, usc of the going concern basis of accounting in the preparation of th¢ financial SLqt¢ments is appropriate. Based on the work we have p¢rfornied, we have not id¢ntified any material uncertainties relating to events or conditions that, individually or collectively? may &qst significant doubt on the Fund's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authoris¢d for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. Alfred Hou 19 Alfr¢dStreet BELFAST BT2 8EQ DX3910 NR Belfast 50 Ceiilury 40 Crescent Busines5 Pai.k LISBUiiN BT28 2GN 17 Mandeville Streei VORTADOWN CroigJvon BT62 3PB Tell +44 (0)28 9031 1113 Fox: +44 (0)28 9031 0 Tel: +44 {f))28 9260 7355 Fax: +4410)28 9260 1656 Tel: +44 (0)28 3833 2801 Fay: 44 (0)28 3835 0293 Page 8 G}•¢rdINgrbNnKdfGOG¢tQVP UmiidR¢8F&)., NT059660. Relat<0dU¢tvdllkbYthC In$te0(c1erV1QcWntsrt%7Jrthnd AMEnLtsetOfT.Wdwh1pbwryQfjeTrtACwvnI1tyFIrM$
THE ULSTER DEFENCE REGIMENT BENEVOLKNT FIIND INDEPENDENT AUDITORS, REPORT TO THE TRUSTEES (conllnued) YEAR ENDED 31ST MARCH 2023 Other informatlon The other inforn]ation comprises the inforniation included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other infonnation contained within the annual report. Our opinion on the financial statements does not cover the other infomiation and we do not eXpsS any fonn of assurance conclusion thereon. Our responsibility is to read the other infonnation and, in doing so, consider whether the other infomiation is Materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements. we are required to d¢t¢rmine wheiher this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have perfonned, we conclude that there is a material rnisstatcment of this other infonnation, we are required to report that fact. We have nothing to report in this regard. Matters on which we are requlred to report by exception We have nothing to report in respeci of the following matters in relation to which Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion: the infonnation given in the financial stalements is inconsistent in any material respect with th¢ trustees, report: or sufficient accounting records have not been kept. or the financial statements are not in agreement with the accounting records. or we have not received all the inforniation and explanations we require for our audit. Responsibilities of trustees As explained mor¢ fully in the trustees, responsibilities statement set out on pages 6 and 7, the trustees are responsible for the preparation of financial statemenis and for being satisfied that they give a true and fair view. and for such internal control as the trustees detennine is necessary to enable the preparation of financial ststements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements. the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going Concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations. or have no realistic alternative but to do so. Page 9
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND INDEPENDENT AUDITORSI REPORT TO THE TRUSTEES {conlinued) YEAR ENDED 31ST MARCH 2023 Auditor's responsibllities for the audit of tbe flnanelal statements We have been appointed as auditor under section 65(2) of the Charities Act (Northern Ireland) 2008 and report in accordance with regulations made under section 66 of that Act. Our objectives are to obtsin reasonable assurance about whether the financial statements as a whole are free from material misstatement, wheth¢r 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 (UK) will always d¢tcct a material misstatcment 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 influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misslatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below: Extent to wbleh the audit was eonsldered Capable of detecting irregularltles, includlng fraud We identify and assess the risks of material misstatement of the financial ststements, whether due to fraud or error, and then design and perform the audit procedures responsive to those risks, including obtaining audit evidence that is sutricient and appropriate to provide a basis for our opinion. Identifying and assesslng potentl21 rlsks related to Irregularltie8 In identifying and assessing potential risks of material misstatement in respect of irregularities. including fraud and non-compliance with laws and regulations, we consid¢rcd the following: The nature of the industry and sector, control environmenl and charity's financial results and position; Results of our enquiries of management about Iheir own identification and assessment of the risks of irregularitics. Any matters we identified having obtained and reviewed the charity's documentation of their policies and procedures relating to". Identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance; Detecting and responding to the risks of fraud and whether they have knowledge of any actual. suspected or alleged fraud" and Page 10
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND INDEPENDENT AUDITORS, REPORT TO THE TRUSTEES (conlinued) YEAR ENDED 31ST MARCH 2023 Auditor's responsibilltles for the audit of the finAllciAI statements (contlnued) Identfifylng and assessing potential risks related to Irregularitie3 (conlinued) The internal controls established to mitigate risks of fraud or non-compliance with laws and regulations. the matteTS discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and potential indicators of fraud. As a result of these procedures, we considered the that the particular arcas in the financial statements that were susceptible to misstatement were related to management bias in accounting estimates and judgements; recognition. cl&ssification and mpleteneSS of income. In common with all audits under ISAS (UK). we are also required to perforni specific procedures to respond to the risk of management override. We also obtained an understanding of the legal and regulatory frameworks that the Charity operates in, focusing on provisions of those laws and regulations that had a direct effect on the detennination of material amounts and disclosures in the financial statements. Th¢ key laws and regulations we considered in this context included Charity legislation applicable to Northern Ireland, Charity's governing document, employment law, healih and safety and t&x legislation. In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Charity's ability to operate or to avoid a material penalty. Audit response to risks identlfied: Our procedures to respond to risks identified included the following: Reviewing the financial statement disclosures and testing to supporting documentation to assess cornplianc¢ with provisions of relevant laws and regulations described as having a direct effect on the financial statements; Enquiring of management concerning actual and potential litigation and claims. Perfonning analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatements due to fraud; Reading minutes of meetings of those charged with governance and reviewing correspondence with tax authorities; and Page 11
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND INDEPENDEIYT AUDITORS, REPORT TO THE TRUSTEES (continued) YEAR ENDED 31ST MARCH 2023 Auditor's responsiblllties for the audit of the financial statements (conilnued) Audit response to rlsks identlfled (conllnued): in addressing the risk of fraud through tnanagement override of controls, testing the appropriateness of journal entries and other adjustments including those relating to revenue recognition. assessing whether th¢ judgements made in making accounting estimates are indicative of potential bias; and evaluating the rationale of any significant transactions that are large. unusual or outside the nonnal coursc of the charity's activities. We also communicated relevant identified laws and regulations and potential fraud risks to all engagement t¢ams members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. Owing to the inhcrcnt limitations of an audit. there is an unavoidable risk that we may not have d¢t¢cted some material misstatements in the financial staternents, even though we have properly planned and perfornied our audit in accordance with auditing standards. In addition, as with any audi( there rernains a higher risk of non-d¢t¢ction of irregularities, as they may involve collusion, forgery. intentional omissions, misrepreseniations. or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all law5 and regulations. A rther description of our respK>nsibilities is available on the Financial Reporting Council's website at htt s:/lwww.frc.or .uk/auditosres onsibiliti¢s. This description fonns part of our auditor's report. Use of our report This report is made solely to the Fund's Board of Trustees, &s a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations (Northern Ireland) 2015. Our audit work has been undertaken so that we might state to the Fund's trustecs those matters we are required to state to them in an auditors, report and for no other purpose. To the fullest extent pern]itted by law, we do not accept or assum¢ responsibility to anyone other than the Fund and the Fund's trustees as a body, for our audit work, for this report, or for the opinions we have fonned. Mr Nige re FCA (Senior Statutory Auditor) For and on behalf of GMCG BELFAST Chartered A¢countaDts Statutory Audltor Dated: ..l.1!< >ia Alfred House 19 Alfred Street Belfast BT2 8EQ Page 12
THE ULSTER DEFENCE REGIMENT BENEVOLENf FUND STATEMENT OF FINANCIAL ACTlVtTIES FOR THE YEAR EIYDED 31ST MARCH 2023 Unrestrlcled Funds TotAI Funds 2023 Total Funds 2022 Note INCOME Income from: Donation$ and legacies Investments 134.417 174.731 134,417 174,731 110,930 157,837 TOTAL INCOME 309,148 31YJ,148 268.767 EXPENDITURE Raising fijnds: Cost of generating voluntary income Investment management costs Charitabl¢ a¢tiviti¢s Benevolent fund management & distribution 7,892 50.012 7092 50.012 7,429 52,802 456,721 456,721 396.413 TOTAL EXPENDITURE 514,625 514,625 456,644 NET EXPENDITURE (205,477) (205,477) { 187,877) (LOSS) I GAIN ON INVESTMENTS R¢alis¢d gain on inv¢5tm¢nts Unrealised (loss) 18ain on investments 47,494 (694,069) 47,494 (694.069) 290,274 115,611 13 NET (LOSS) I CAIN ON INVESTMENTS (646,575) (646,575) 405,885 NET (EXPENDITURE) I INCOME FOR THE YEAR { 852,052) (852,052) 218.008 Funds at beginning of year 11,200,468 11,200,468 10.982,460 FUIYDS AT END OF YEAR 10,348.416 10,348,416 11,200,468 The Fund has no recognised gains or losses in the year oth¢r than those included in the nel movement in funds. All of the operations of the Fund ar¢ ¢lassed as conlinuin& Page 13
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND BALANCE SHEET AS AT 31ST MARCH 2023 2023 2022 Note FIXED ASSETS Tangible assets Investments 12 13 1,140.363 8.695.874 1.161.767 9,198.387 9,836,237 10,360,154 CURRENT ASSETS Debtors Shorl terni deposils Cash al bank and in hand 14 15 25.499 291.573 227.043 15.577 811.552 36,611 544,IlS 863,740 CREDITORS: amounls falllng due wlthln one year 16 (31,936) { 23,426) NET CURRENT ASSETS 5A2,J79 840,314 NET ASSETS 10,348,416 11,200.468 INCOME FUNDS Unrestricled 17 10,348,416 11,2(X).468 These financial siaiemenis were approved by ihe Board of Trustees and auihorised for issue on 3 1st October 2023 and are signed on their behall. by: CHAIRMAN TRUSTEE Page 14
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH 2023 Note 2023 2022 Net cash flow from operatlng aetlvltles 19 (331,592) (311,031) Cash flow from Inveltlng actlvltles Payments to acquir¢ tnb]e fixed ass¢ts Payments to acquire investments Receipts from sal¢ of investments Int¢r¢$t r¢¢¢iv¢d Dividend5 received (&624) (1,977.453) (1,864,687) 1,813J91 2,154,691 1,768 186 172,963 157.651 Net cash flow from Investlng actlvltles 2,045 447,841 Cash flow from flnanclng actlvltle5 Net cajh flow from flnanclng actlvldes Net (de¢reai¢) I In¢reA$e In ¢4sh And cash ¢quIvAlent$ { 329A47) 136,810 Cash and cash equivalents at l April 2022 848,163 711,353 CA$h and ¢*$h ¢qulvalent$ #t 31 March 2023 518,616 848,163 Caih And ¢aJh ¢qulval¢nt$ ¢oTrslsts of: Cash at bank and in hand Short-tern) deposits 227,043 291,573 36,611 811,552 Cash And ca$h equlvilents al 31 MArch 2023 518,616 848,163 Page 15
THE ULSTER DEFENCE REGIMENT BEIYEVOLEIYT FUND NOTES ON THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023 I. ACCOUNTING POLICIES GenerAI Informatlon And baslj of preparatlon These financial statements have been prepared in ac¢ordan¢¢ with applicable accounting standards, Accounting and R¢porting by Charities.. Statement of Recommended Practi¢¢ applicable to charities preparing th¢ir a¢¢ounts in aordanCe with the Financial Reporting Standaid applicable in the UK and Republic of Ireland issued in October 2019. the Financial Reporting Stsndard applicable in th¢ United Kingdom and Republic of Ireland (FRS 102), the Charilies Act (Northern Ireland) 2008. Charities Act (Northern Ireland) 2013, The Chariti¢s (Accoun15 and Reports) Regulations (Northern Ireland) 201 S and UK Generally Accepted Practice. The charity ¢onstitutes a public benefil entity as defined by FRS 102. These finAncial $tat¢ments ar¢ prepared on a going concern basi$ under the hislorical cosl convention, as modified by the Tevalualion of investments. The financial stalements are presenled in st¢rlin£ which is the fimclional currency of the charity and rounded to the n¢are5t £1. Th¢ SiBnifi¢ant accounting policies applied in ihe preparation of th¢5e financial slatements are set out below. These policies have been consistenily applied to all years pr¢s¢nt¢d unle55 otherwise stated. Fund The unrestricted funds of the Fund consist of fvnds which are expendable at the discretion of Ihe Board of Trustees in furtherance of th¢ charitsble objectives of the Fund. Income reeognltlon All in¢oming resou¢5, including deferred incoming resour¢¢s ar¢ credited to income fvnds and Can be expended at the discretion of the trustees and have bccn included in the financial stat¢ment5 using ihe accruals basis excepi for donations, legacies and bequests which are in¢luded in the financial slatements using the receipts basis. All incoming resources are included in the Statement of Financial Activities (SOFA) when the charity is legally entitled to the incom¢ after any perfornnCe conditions have been mel, the amount can be m¢asur¢d reliably and it Is probable that the income will be received. Voluntary inrome received by way of donations and gift is credited to incom¢ on a ceIVAble basis. For l¢ga¢ies, entitlement is the earlier of th¢ ¢harity being notified of an impending distribution or the legacy being received. At this point income is recognised. On ocea$ion legacies will be notified to the ClrIty, however, it is not possible ¢0 measure the amount expected to be distributed. On these occasions, Ihe legacy is treated as a contingent asset and disclosed. Page 16
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES ON THE FINANCIAL STATEMENTS (eontlnuedj FOR THE YEAR ENDED 31ST MARCH 2023 I. ACCOUNTING POLICIES (conlinmed) Incomlng re¢ognltloll fcontlnued) Investment income is intere$t eArn¢d through holding cash at bank and dividends from investments held. Inv¢stm¢nt in¢om¢ 13 recols¢d on an accruals basis. No amount is included in the financial statements for volunteer time in line with SORP (FRS 102). Eipendlture recognltlon All expenditure is accounted for on an accruals basis and has been classifi¢d under headings that aggregate all costs lated to the category. Expenditure is recognised where there is a legal or constructive obligalion to make payments to third parties, it is probable that th¢ settlement will be required and the amount of the obligation ¢an be measured reliably. Where costs cannot be directly attributed to a particular heading they have been allocated lo activiti¢$ on a time basis relative to and on a b8SIs con6ist¢nt with the use of the resources. Expenditur¢ 1$ categorised under the following headin88: - Cost of generating fvnds Comprises costs incurred in generating voluntary income and includ¢s advertisin& allocation of support costs and investment management eo$t$; Expenditsre on Charitable activities compris¢s tho$¢ ¢osts incurred by the charity in the delivery of ils activities and servic¢s for it5 beneficiaire5 and includes welfar¢ costs, rhristTnas grants, respite costs, charitable donations, media campaign•Other direct costs and an apportionmenl of support costs. - Other expenditure represents those items not falling into the categories above. Irrecoverable VAT is charg¢d as an expense against the activiity for which expenditure arose. Support ¢osts thre those a5SlSt the work of the charity bu¢ do not dir¢¢tly represent charitable activities on a basis consist¢nt with use of the resources. Staff costs and other overheads have been allocated on the basis of time spent. The analysis of these costs is included in note 5. Employee nefitS When employees have rendered service lo ihe charity, $hort-twrn employee benefits lo which the employees ar¢ ¢ntitl¢d are re¢ognised at ihe undiscounled amount ¢xpe¢t¢d io be paid in exchange for that service. Th¢ ¢harity op¢rate5 a defined contribution pension plan for the benefit of its employees. Contributions ar¢ charged to th¢ Ststement of Financial Activitics a5 thcy becomc payabl¢. Tanglble fixed assets and d¢pre¢latlon Tangible fixed assets are ststed at co$t. less ac¢umulated depreciation. Dcprcciation is calculated so as to write off the cost of an asset less its estimated residual value over the use1 economic life of that asset as follows... Page 17
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES ON THE FINANCIAL STATEMENTS (¢OArfnued) FOR THE YEAR ENDED 31ST MARCH 2023 I. ACCOUNTtNG POLICIES (¢oAllnued) Tgnglble flxed auets and depreclatlon (¢ottithMed) Property 20/• straight line oirice Equipment 250/• straight line Fixture5 and Fittings 20Yo strai8ht line Land 15 not d¢pre¢iated Debtors and credltors reeelvable I payable wlthln one year D¢btors and creditors with no stated inteT¢St rat¢ and rcrcivablc or payable within one year arc recorded at transaction price. Any losses arising from impairnient are rcco8nised in expendityr¢. Investmtnts Fixed asset investments are staled at mark¢t value. Unr¢&lised gainsl(10s5es) on revaluation of inveslm¢nls. in addition to realised gainsl(1055es) on sale of investments, are tran$f¢rr¢d to unrestri¢t¢d fvnds. They include listed inv¢stm¢nts. Curr¢nl Nsset inveslments are short terni investments with a maturity terni of no yeater than onc ycar. They include short terni deposits and are re¢orded 8t their intial costs less irnpairrnent. Cash and cash equlvalents Cash and cash equivalents in the statement of cash flow$ eompri$¢ ¢Ash on hand and demand deposits, bank overdrafts And other short-tcnn hi8hly liquid investments that are readily ¢onvcrtiblc to a known amount of Cash and are $ubj¢¢t to an insignifi¢ant risk of ¢hvdnges in value and norntslly have a maturity dat¢ of 3 months or less from the date of acqui51tion. Tax AS a ¢harity, it benefi18 from various ¢x¢mptions afforded by tax legislation. It 18 therefore not liable to corporation tax on income or gains fallin8 due within thos¢ ex¢mptions. Recovery 15 made oftax dedu¢t¢d from receipts under gift aid. Golng concern The financial ststernenls have been prepared on a 80ittg ¢on¢ern basis as the trustees believe thai no mat¢rial unc¢rt&inlI ¢xist. The Inte¢S have considered ihe level of fvnds held and the cxpected level of income and cxpcndilure for 12 months from authorising thc5c financial statement$. The budgeted income and expenditure is sulFicient with the level of reserves for the charity io be able lo continu¢ as a going concern. Judg¢rn¢Dt$ and key sources of esdmatlon uncertalnty The followin8 jud8emenls including those involving cstimatcs have been mide in th¢ process of applying Ihc above accounting policies that hav¢ had the most significant effect on the amounts r¢cognised in ihe financial statements and that have a significant risk of causing a material adjustment lo the carryin8 amounts of asscts and liabilities within the next financial year. (i) depreciation method, asset useful lives and Tcsidual values Th¢ estimat¢5 and assumptions are rcviewcd on an ongoing ba$is ¢onsideriDg the current and future market conditions. Page 18
THE ULSTER DEFENCE REGIMENT BENEVOLEIYT FUND NOTES ON THE FINANCIAL STATEMENTS feonllhtsed) FOR THE YEAR ENDED 31ST MARCH 2023 2. DOiYATIONS AND LEGACIES Unrestrlcted Fund$ Total 2023 Unrestricted Funds Total 2022 Donations Legacies 34,499 99,918 34,499 99,918 25.827 85,103 25,827 85,103 134,417 134,417 110,930 110.930 3. INVESTMENTS Unre$trlcled Funds Total 2023 Unrestricted Funds Total 2022 Dividends - equities Int¢r¢$t - short term deposits Interest - bank deposits 172.963 1,257 172,963 1,257 157.651 157,651 186 186 174.731 174,731 157,837 157,837 4. INVESTMENT MANAGEMENT COSTS Unrestrlcted Funds Tolal 2023 Unr¢stri¢ted Funds Total 2022 Investment monager f¢¢s 50,012 50,012 52,802 52,802 50,012 50,012 52,802 52,802 Page 19
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES ON THE FINANCIAL STA TEMENTS (eondnued) FOR THE YEAR ENDED 31ST MARCH 2023 S. ANALYSIS OF TOTAL EXPENDITURE Cbarltable Aetlvltl¢$ RAlslng Benevolentfund funds B2si$ of allocation Investment mfénigement Costs 2023 Total & d&%tribulion Dlreet Costs Welfare grants Christmas grants Respite aclivities Charitable donations r¢rt 136,262 34,250 54,216 136,262 34250 $4216 Irtti Dlrtti Property cosls Depreciation M¢dia campaign Advertising Dlrffi 109,224 30.028 9,430 3,130 109324 30,028 9,430 3,130 DIM¢i Dlrytl Support costs Administration salaries 6,852 (347) 148 61,668 (3,127) 1,329 70 68,520 (3.474) 1,477 78 NIC EmployTh¢nt allow&n¢¢ P¢nsion costs St4ff T 8t•ff Tl•¢ Travel and conferences S¢ff Tl Travel welfare visits Tlll Mobil¢ t¢l¢phon¢ ¢har8¢S Computer exp¢ns¢s Ststion¢ry and postage Tlmp 34 309 343 Tlvd 145 1.309 1,229 1,454 lJ66 Tlm• 137 6,977 439.327 446,304 Governance 719 13,668 14,387 148 Bank charges Miscellaneous St•ftYlmt StsttTI 189 3,585 3,774 7,892 456,721 464,613 Investment managem¢nt ¢fj$ts 50,012 50.012 7092 456.721 50.012 514,625 Page 20
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NiyfES ON THE FINANCIAL STATEMENTS (¢ohllnu4d) FOR THE YEAR ENDED 31ST MARCH 2023 S. ANALYSIS OF TOTAL EXPENDITURE (conlinued) Charitable I1vitIeS Basis of allocation Raising fund8 Benevolentfund management & digtribution Investment mana8ement costs 2022 Total Dlr¢¢t costs Welfare grants Christm85 grants Respite activities Clwitable donations 86.649 35,641 50,390 86,649 35,641 50,390 Propety ¢osls Dcpre¢i&tion M¢dia campaign Adv¢rtlsing 109,241 29,471 6,183 3,590 109,241 29,471 6,183 3,590 Support Costs Administration salaries SIthTkne 6,434 (283) 139 57,908 (2,546) 1,248 64,342 (2,829) 1,387 NIC Employment allowan¢¢ Pension ¢ost5 Travel and conferences si#ff Tlty• SifflTkn Silff Tkn Travel welfare visits SIfflT¢ Mobil¢ telephone charges Computer expenses Stationery and postage Depreciation of office equipment otll¢•Sg• Tkn* 39 355 394 TL 121 1.091 1,281 1,212 1,423 Tkn 142 6,592 380,502 387,094 GovernaThc¢ Bank charges Miscellaneou8 721 13,697 138 14,418 145 si•ifTIrni Tln 109 2,076 2.185 7.429 396,413 403,842 Investment m4D4gemeot costs 52.802 52.802 7,429 396.413 52,802 456.644 Page 21
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES ON THE FINANCIAL STATEMENTS (tontlnutd) FOR THE YEAR ENDED 31ST MARCH 2023 6. GOVERNANCE COSTS Unrestrl¢ted Totil Unrestricted Total Fund 2023 Funds 2022 Audit services Other accountsncy setvites Consultancy Legal services 6.000 7,200 78 1,109 000 7.200 s,ioo 7,200 2.118 5,100 7,200 2,118 14J87 14J87 14,418 14,418 7. ANALYSIS OF GRANTS Grant analysts 2023 Welfare grants ChrlstmAJ grants Resplte grants Total 2023 Grants to Individuals Grants to Arnied forc¢s eharitl¢5 107.615 28,647 34,250 54316 196,081 28,647 Total.. 136,262 34,2SO 54,216 224,728 Grant anAlysls 2022 W¢lfar¢ Christmas grants Respite ants Total grants 2022 Grants to Individuals 62,502 24,147 35,641 50,390 l48,533 24.147 Grants to Arnied forces charities Total: 86,649 35,641 50,390 172,680 8. NET (EXPENDITURE) I INCOME FOR THE YEAR This is stated after chargingJ(crediting): Unre$trl¢ted Fundj Total 2023 Unrestricted Funds Total 2022 Depreciation of tsngible red ass¢ts Audilorfs remuneration (Gain) on disposal of investments Lossl (Gain) on fair value movement of investments 30,028 000 (47,494) 30.028 6,01)0 (47.494) 29,471 29,471 5,100 5,1(KJ (290,274) (290.274) 694,069 694,069 (115,611) (115.611) Page 22
THE ULSTER DEFENCE REGlllkNT BENEVOLENT FUND NOTES ON THE FINANCIAL STATEMENTS (contlnMÈd) FOR THE YEAR ENDED 31ST MARCH 2023 9. AUDITOR'S REMUNERATION The auditoes remuneration anu)unts to an audit fee of £6,000 (2022: £5,100) and other services £7.200 (2022: £7,200). 10. TRUSTEES, AND KEY MANAGEMENT PERSONNEL REMUNERATION AND EXPENSES The charity eonsideTS its key management personnel to comprise of the Trugt¢¢s and the senior management team. The total amount of remuneration and b¢n¢fits received by key managemeni personnel in the year was £66,034 (2022: £62.899). The trust¢¢$' n¢ith¢r [e1Ved nor waived any remuneration during th¢ year (2022: £Nil). Nil (2022: . Nil) tnislees are accruing pension arrangements. The trustees did not have any expenses reimbursed during the year (2022: £Nil). 11. STAFF NUMBERS AND REMUNERATION The avera8e number of monthly employees and full tim¢ ¢quiavlent (FTE) durin8 the y¢ar w35 as follows,. 2023 Number 2023 FTE 2022 Number 2022 FTE Raising funds Charitable activities The total staff costs and employe¢ b¢n¢fils were a5 follows: Unre$lrlcted Fund8 Total 2023 Urtrestricted Funds Total 2022 Wages and salaries Social security Defined contribution pension costs NIC emplOllent allowance 88,093 8,945 1103 ( s,000) 88,093 8,945 2.103 (5,000) 83,757 7,994 ,973 (4.000) 83,757 7,994 1,973 (4.000) 94.141 94,141 89.724 89,724 No employees received total employee b¢nefits (excluding employer pension contribution5) of more than £60.000. Page 23
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES ON THE FINANCtAL STATEMENTS (continHed) FOR THE YEAR ENDED 31ST MARCH 2023 12. TANGIBLE FIXED ASSETS Freehold Land and Furnlture & Bulldlng$ Flttlngs Equlpment Offlee Total COST At I" April 2022 Additions Disposals 1.766,536 8,624 (3,700) ,627,212 138,039 8,624 (3,700) 1.285 At 31 March 2023 1,771,460 1,627,212 142,963 1,285 DEPRECIATION At 1st April 2022 On disposwls Charge for year 604,769 (3,700) 30,028 474,477 129,269 (3,700) 4,757 1,023 25.139 132 At 31$t Mareh 2023 631,097 499,616 130,326 1,155 NET BOOK VALUE At 31yt March 2023 1,140J63 1,127,596 12,637 130 At 31. March 2022 1,161,767 1.152,735 8,770 262 LAND AND BUILDINGS Land and buildings are held in the name of CleAv¢r Fulton Rankin Trustees Limited as nomin¢¢, Page 24
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES ON THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST MARCH 2023 13. FIXED ASSET INVESTMENTS Llsted IDVUtments Mark¢t value at I"April 2022 Additions Disposals Adjustment for cash transfer in previous year Revaluation 9,198,387 1,977,453 (1,765,897) (20.000) (694,069) Market value At 31 Mar¢h 2023 8,695,874 Th¢ inv¢stmenl$ of th¢ Fund w¢r¢ rnanad and h¢ld on th¢ Fund'5 bchalf by Quilter Cheviot Limited, in the name of the nominee company. Quilter Nominees Limited and Julius Bar in the name of the nominee company Bank Julius Baer & Co d. Investments are accounted for at the balance sheet date at their fair value in accordance with applicable Nccounting standards. At the date of approval of these financial statements ther¢ remains a lot of volatility and uncertainty in the markets. 14. DEBTORS 2023 2022 Tax repayinent due Amount owed by Th¢ Royal Irish Regiment Benevolent Fund PrepaentS and accrued income 3,870 5,744 3,997 1,216 17,632 8,617 25,499 15,577 IS. SHORTTERM DEPOSITS 2023 2022 Short temi deposits 291 J73 811,552 Short terni deposits are readily available. Page 25
THE UiSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES ON THE FINANCIAL STATEMENTS (continuell) FOR THE YEAR ENDED 31ST MARCH 2023 16. CREDITORS: Amounts falllng due wlthln one year 2•23 2022 Other tax and social security Ac¢wa15 for grnnts payable Accruals 2nd defcrrcd ineome Other 2,078 10,700 16,908 2,250 2,072 4,261 15,347 1,746 31,936 23,426 17. FUND RECONCJLIATION Unrestd¢ted fund$ BAlanee At l Aprll 2022 Income BalAnee at 31 March 2023 Expendltsre Losses Unrestricted 11,200,468 309,148 (514,625) (646,575) 10.348,416 11,200,468 309,148 (514,625) (646J75) 10,348,416 Unr¢stricted fund$ Balance at l April 2021 Income Balanc¢ at 31 March 2022 Expendire Gain5 Unrestricted 10,982,460 268,767 (456,644) 405,885 11,200,468 AO,982,460 268.767 (456.644) 405,885 11,200,468 The unrestricted funds of th¢ Fund ¢on$i5t of ndS which are expendable ai the discretion of the Board of Trn$t¢¢s in furtherance of the charitable objectives of the Fund. Page 26
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES ON THE FINANCIAL STATEMENTS (conllnHedJ FOR THE YEAR ENDED 31ST MARCH 2023 18. ANALYSIS OF NET ASSETS BETWEEN FUNDS 2023 2022 Fixed asset$ Cash and ¢UTT¢nt inv¢stments Other ruent assets I liabilities Creditors l¢ss than on¢ year 9,836,237 518,616 25,499 (31,936) 10,360,154 848,163 15,577 { 23,426) 10,348,416 11,200,468 19. RECONCILIATION OF NET (EXPENDITURE) I INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES 2023 2022 N¢t {¢xp¢nditur¢) l income for the year (852052) 218.008 Dividends re1ved Int¢rest re¢¢iv8bl¢ (172,963) (1,768) 30,028 694,069 20,01)0 { 47,494) (9,922) 8.510 (157,651) (186) 29,471 (115.611) Depreciation and impairnient of tangible fixed a$5¢ts Loss on fixed asset investments Adjustment for cash transfer in pr¢vious year (Gain) on disposal of fixed asset investments (Increase) I decreas¢ in d¢btor8 D¢crease in creditor5 (290,274) (2,793) 8,005 Net cash flow from operatinA activities (33J.592) (311,031) 20. PENSIONS AND OTHER POST-RETJREMENT BENEFITS Defined contribution pension plan The charity operates a defined contribution pension plan for its employees. The amount recognis¢d as an expense in the year was £2.103 (2022: £1.973). Page 27
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES ON THE FINANCIAL STATEMEiYfs (eonilttued) FOR THE YEAR ENDED 31ST MARCH 2023 2I. ETHICAL STANDARDS In common with many other or8anisations of our size and nature we use our auditors to prepare and submit retUTns to the tax authorities and &sSiSt with th¢ preparation of the financial stat¢m¢nls. 22. RELATED PARTY TRANSACTIONS FOrnr members of The Ulst¢r Def¢n¢¢ R¢8im¢nt, who were also rnemb¢rs of The Royal Irish Regiment, and their d¢pendants, ¢ntitl¢d to finan¢ial assistanc¢ from both Th¢ Ulst¢r D¢fen¢e Regiment Benevolenl Fund and Th¢ Royal Irish Regiment Benevolent Fund. In those cases for administration purposes The Ulster Defence Regiment Benevolcni Fund make the total payment for financial assistance and are reimbursed by The Royal Irish Regiment Bcnevolent Fund for the financial assista¢ due by ihat Fund. PAyThenls made on behalf of Thc Royal Irish Regiment Benevolent Fund by The Ulster D¢fenc¢ Regiment Benevolent Fund and subsequently rcimbursed by The Royal Irish RcBimcnt Bcncvolcnt Fund in the year amounled to £31,774 (2022 - £28,557), These ITansaclions are excluded in the Slatement of Financial Activitie$. At the date of the balance $h¢¢t th¢ Amount owed io the Fund by The Royal Irish Regiment Benevolent Fund is £3,997 (2022 . £1,216). Thi5 balance is shown under"Debtors" in the nol¢s to Ihe financial ststements. 23. FINANCIAL INSTRUMENTS The carrying amounts of the Charitys financial instThm¢nts are as follows., 2023 2022 Financial assets Measured at fair value through net income l expendilAWe', - Fixed asset listed investments (note 13) &695,874 9,198,387 The income. expenses. net 8ains and net lo&ses attributable to the charilys financial ittstrumcnts are summaris¢d a5 follow$.' 2023 2022 Income ond expense Finala] Issets measured at fair value through net expenditure: - Dividend income from equities - Realised and unre&lised (loss) I gain on investments 172,963 (646.575) 157.651 405.885 Page 28