Charlty registration number NIC 107024 THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND LEGALAND ADMINISTRATIVE INFORMATION Trustees The charity Commission has accepted a request from the trustees for Iheir personal details to be withheld. Charlty number NIC 107024 Prln¢lpal address Bldg 89 Clive Road Holywood BT18 9QA Auditor GMCG BELFAST Alfred House 19 Alfred Street Belfast BT2 8EQ Bankers Danske Bank P.0. Box 183 Donegall Sq West Belfast BT16JS Solicitors Edwards & Co 3rd Floor Sessia House 61-67 Donegal Street Belfast BT12QH Investment advisors Julius Baer International Limited 1 St Marlins Le Grand London EC1A 4AS
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND CONTENTS Page Trustees, report Independent auditor's report Statement of financial activities 10 Stalement of financial position 11 Noles to the financial stalements
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2025 The trustees presenl their annual report and financial slatemenls for the year ended 31 March 2025. The financial statements have been prepared in accordance with the accounting policies set out in notes to the financial slatements and comply with the fund's governing document, Ihe Charities Act (Northern Ireland) 2008 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (as amended for accounting periods commencing from 1 January 2019). Objectives and activities The Ulster Defence Regiment Benevolent Fund exists to provide assistance to those former members of The Ulster Defen 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 or other adversity through the provision of grants and respite support. The truslees have paid due regard to guidance issued by the Charity Commission in deciding what activities the fund should undertake. The trustees believe Ihat the fund provides the following public benefits in supporting those former members of the Ulster Defence Regiment and their dependants who are in need- 1. The relief of poverty or assisling those in need by reason of age, ill health, disability, financial hardship or other disadvantage. 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 is facing homelessness or poverty as a result of a debt. 2. The advancement of human rights, conflict resolution or reconciliation. The Ulster Defence Regiment Benevolent Fund provides support to its beneficiaries in relieving social exclusion (due to poverty, financial or otherwise, by being a member of the Regiment or a widow, widower, dependant or family member of such member) by providing them with the opportunity to meet with other victims and survivors of the 'Troubles' in Northern Ireland and of other conflicts. The direct benefits which flow from this purpose include an opportunity for victims and survivors to avoid the poverty trap caused by social exclusion and all other hardships (financial or otherwise) that flow from such social exclusion, to reflect upon and share their experiences and to begin to come to terms with their involvement in such conflicts and the social, political and financial ccnsequences relating thereto. In turn, this promotes healing and reconciliation among the beneficiaries and society as a whole. The 'poverty exception, applies in this case,. the fund seeks to relieve poverty in a number of arcumstances and this is regarded as being for the public benefit even where there is a restricted or smaller potential group of beneficiaries. There is no harm arising from any of the purposes. The charity's beneficiaries are those former members of the Ulster Defence Regimenl or members or former members of the Royal Irish Regiment who are serving or have served on a similar limited commitment of seNice as the members of the Ulster Defence Regiment ("Home 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 serving member of the Regiment in hislher past who may find himlher*lf in necessitous circumslances because of Social or financial reasons. The trustees are fully aware of the guidelines coming from The Charity Commission for Northem Ireland. They believe they are operating entirely within those guidelines which have been released so far and look fOard with confidence to the development of the fund's work in the future.
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND TRUSTEES, REPORT {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Achievements and performance During the year the fund undertook numerous welfare activities giving financial help to assist the needs and afford support to the benefit of former members of the Ulster Defence Regiment and their dependants. The fund also sponsored numerous respite activities for family groups comprising of widows, bereaved parents, disabled ex- soldiers and dependants of former members of the Regiment. During the year, 115 (2024 - 121) applications for benevolence were dealt with, 621 <2024 - 529) families benefited from respite in the apartments and 256 (2024 241) family or disabled ex-soldiers groups availed of respite activities during the year. The fund also extended the Pilot Health Care Scheme for a further year with 875 (2024 - 783) beneficiaries now benefiting from the scheme. The overall increase in beneficiary contact during the year was 18 % (2024- 30 %). Flnancial review During the year, there was income of £269,606 {2024 - £283,744) and expenditure of £695,960 (2024 - £578,486). Investments were held by Julius Baer and Quilter Cheviol as discretionary investment managers and there was a gain on inveslments of £86,144 (2024 - £896,153) in the year. The trustees continually review the level of welfare grants given and respite activities for family groups comprising of widows, bereaved parents, disabled ex-soldiers and dependants of former members of the Ulster Defence Regiment in relation to projected investment income and donations together with any surplus funds. Direct charitable expenditure increased in the year by £115,157 from £521,079 to £636,236. The trustees consider that the fund is in a salisfactory position to suslain its charitable activities for the foreseeable future. Cash and deposit balances are maintained so as to be able to meet expenditure on charitable activilies and other outgoings as they arise. However, the majority of the fund's assets are held in investment funds and in fixed assets used to help fulfil its charitable objectives. The fund's income is mainly derived from investment income and the Trustees are aware of the need to minimise the risk that the fund cannot meet ils obligations by maintaining the value of the charity's underlying investments. The fund's obligations cannot be readily ascertained but the Trustees adopt a reserves policy which allows free reserves to be available in any financial year in line with an annual budget set in advance of the year. The total unrestricted funds of the charity are £10,609,617 (2024 - £10,949,827) which includes fixed assets of £9.988,220 (2024 £10,279,600) leaving the charity with free reserves of £621,397 (2024 - £670,227}. The trustees have assessed the major risks to which the fund is exposed, in particular those related to the operations and finances of the fund, and are satisfied that systems are in place to mitigale an exposure to major risks. In particular, the trustees instruct external accountants to review the accounting records and prepare interim management accounts during the course of the financial year. The trustees, attitude to investment risk is managed through the two professional investment managers. Where appropriate: systems or procedures have been established to mitigate the risks faced by the fund. Internal control risks are minimised by the implementation of procedures for authorisalion of all transactions and projects. Procedures are in place to ensure compliance with health and safety of officers, volunteers and applicants. These procedures are periodically reviewed at least annually to ensure that they continue to meet the needs of the fund. Plans for future perlods There have been no major changes in the year. The trustees are conscious of the ageing and declining beneficiary group and are currently engaged in a process of reviewing how the Fund helps those UDR Veterans in need., this will form part of a 5-year strategic plan.
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND TRUSTEES, REPORT ICONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 structure, governance and management The Ulster Defence Regiment Benevolent Fund was founded in 1972 under Charitable Trust, most rentlY revised in 2017, its purpose being helping and assisting the financial needs and affording support to the benefit of members of and former members of the Ulster Defence Regiment and their dependants as set out in the Trust Dd. The Fund is recognised for charitable purposes by HM Revenue & Customs and registered with The Charity Commission for Northern Ireland on 11th July 2018. Further information on the fund and the members of the Board of Trustees can be obtained from the Secretary al the registered office address. The charity commission has accepted a request from the trustees for their personal details to be withheld. There were 15 {2024 - 14) trustees who served during the year. Responsibility for the activities of the fund is vested in and carried out by a Board of Trustees which meets at intervals throughout the year. The Board of Trustees consists of elected members. Trustees are appointed or are eligible for r&appointmenl immediately following the complelion of their term of office at a General Meeting of the fund for a term of four years. The number of trustees shall consist of not more Ihan fifteen. The Chairman of the Board of Trustees is appointed annually at a General Meeting ofthe fund. The Board of Trustees have been involved in the fund for a number of years and so are familiar with its work. The trustees regularly review the requirements of the fund and the possibility of a need for additional trustees. Any new trustees would be elected by the Board of Trustees. Appropriate training and induction is available to all trustees. Investment powers and pollcy Under the trust deed, the trustees have unrestricted investment powers, and may invest at their absolute discretion. The trustees have appointed two independent investment managers, who have discretionary powers, with a mandate which is reviewed on a quarterly basis, to maintain and grow income, with a moderate risk profile.
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Statement of trustees. responsibilities The trustees are responsible for preparing the Trustees, Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounling Practice). The law applicable to charities in Northern Ireland requires the trustees to prepare financial statements for each financial year which give a true and fair view of Ihe state of affairs of the fund and of the incoming resources and application of resources of the fund for that year. In preparing these financial statemenls, the trustees are required to.. select suilable accounting policies and then apply them consistently., observe the methods and principles in the Charities SORP 2019 (FRS 102)., 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 Ihe going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the fund and enable them to ensure that the financial statements comply with the Charities Act (Northern Ireland) 2008, the Charity (Accounts and Reports) Regulations (Northern Ireland) 2015 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the fund and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees, report was approved by the Board of Trustees. Trustee 28 Oclober 2025
CHARTBRED ACCOUNTANIS THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND Opinion We have audited the financial statements of The Ulster Defence Regiment Benevolent Fund (the 'fund'l for the year ended 31 March 2025 which comprise the statement of financial activities, the statement of financial position 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 Ihe UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements-. give a true and fair view of the state of the Fund's affairs as at 31 March 2025 and of its incoming resources and application of resources, for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting PraCtI- and have been prepared in accordance with the requirements of the Charities Act (Northern Ireland) 2008. Basis for oplnlon We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors responsibilities for the audit ol the financial statements section of our report. We are independent of the fund in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relatlng to going concern In auditing the financial statements, we have concluded that the trustees, use of the going concem basis of accounting in the preparalion of the financial stalements is appropriate. Based on the work we have performed, we have not idenlified any material uncertainties relating to events or conditions that, individually or collectively. may cast 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 stalements are aulhorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
CHARTERBD ACCOUNTANT# THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND Other information The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does nol cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent wilh 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 determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required lo report that fact. We have nothing to report in this regard. Matters on whlch we are required to report by exception We have nothing to repori in respect of the following matters in relation to which the Charities {Accounts and Reports) Regulalions (Northern Ireland} 2015 require us to report to you if, in our opinion.. the information given in the financial statements is inconsistent in any material respect with the 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 information and explanations we require for our audit. Responsibilities of trustees As explained more fully In the slatement of trustees, responsibilities, the trustees are responsible for Ihe preparation of the financial statements and for being salisfied that they give a true and fair view, and for such internal control as the trustees determine 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 fund's ability to continue as a going concern, disclosing, as applicable, matters related to going conrn and using the going concern basis of accounting unless the trustees either intend to cease operations, or have no realistic alternative but to do so. Auditor's responsibilities for the audit of the financlal statements We have been appointed as auditor under section 65(2) of the Charities Act (Northem Ireland ) 2008 and report in accordance with regulations made under section 66 of thatAct. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditols 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 detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
CHARTERBD AccouNfANTS THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND Extent to which the audlt was considered capable of detectlng Irregularities, including fraud We identify and assess the risks of material misstatement of the financial stalements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. In identifying and assessing potential risks of malerial misstatement in respect of irregularities, including fraud and non-compliances with laws and regulations, we considered Ihe following: The nature of the industry and sector, control environment and the fund's financial results and position, including the charity's remuneration policies for trustees, bonus levels and Performan targets, if any. Results of our enquiries of management about their own identification and assessment of the risks of irregularities., Any matters we identified having obtained and reviewed the fund's documentation of their policies and procedures relaling to.. Idenlifying, evaluating and complying with laws and regulations and whelher they were aware of any instance of non-compliance., O Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud. and The Internal controls established to mitigate risks of fraud or non-compliance with laws and regulations., The matters 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 opportunities and incentives that may exist within the fund for fraud and identified the greatest potential for fraud in income recognition. In common with all audits under ISAS (UK), we are also required to perform specific procedures to respond to the risk of management override. We also obtained an understanding of the legal and regulatory frameworks that the fund operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this Context included Part 4 of the Charities (Accounts and Reports) Regulations (Northern Ireland) 2015 and local tax legislation. In addilion, 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 fund's abillty to operate or to avoid a material penalty.
CHARTERED ACCOURITANTI THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND Audlt response to risks Identlfied Our procedures to respond to the risks identified included the following: Revlewing the financial statement disclosures and testing to supporting documentation to assess compliance 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., Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud., Reading minutes of meetings of those charged with governance and reviewing correspondence with tax authorities., and [] In addressing the risk of fraud through management override of controls. testing the appropriateness of journal entries and other adjustments,. assessing whether the judgements made in making accounting estimates are indicative of a polential bias- and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business. We also communicated relevant identified laws and regulations and potenlial fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some materia5 misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. In addition, as with any audit, there remains a higher risk of non-detection of irregularities, as they may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non- compliance with all laws and regulations. A further description of our responsibilities is available on the Financial Reporting Council's website at.. https'.11 www.frc.org.uklauditorsresponsibilities. This description forms part of our audilor's report.
CHARTEXXD ACCOUNTANT8 THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND Use of our report This report is made solely to the Fund's Board of Trustees, as 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 truslees those malters we are required to state to them in an auditors, report for no other purpose. To the fullest extent permitted by law, we do not accept or assume 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 formed. GMCG BELFA 28 October 2025 Chartered Accountants statutory Auditor Alfred House 19 Alfred Street Belfast BT2 8EQ GMCG BELFAST is eligible for appointment as auditor of the fund by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND STATEMENT OF FINANCIALACTIVITIES INCLUDING INCOMEAND EXPENDITUREACCOUNT FOR THE YEAR ENDED 31 MARCH 2025 Unrestricted funds 2025 Unrestricted funds 2024 Notes Income from: Donations and legacies Inveslmenls 34,806 234,800 68,579 215,165 Total Income 269,606 283,744 Expendlture on: Raising funds Charitable activities 59,724 636,236 57,407 521,079 Total expendlture 695,960 578,486 Net gainsl(lossesl on investments 86,144 896,153 Net Incomellexpendlturel and movement In funds {340,210) 601,411 Reconclliation of funds: Fund balances at 1 April 2024 10,949,827 10,348,416 Fund balances at 31 March 2025 10,609,617 10,949,827 The slatement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. 10-
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2025 2025 2024 Notes Fixed assets Tangible assets Investments 14 15 1,087,279 8,893,180 1,109,864 9,169.736 9,980,459 10,279,600 Current assets Debtors Cash at bank and in hand 16 19,080 642,175 34,735 675,175 661,255 709,910 Creditors: amounts falling due within one year 17 (32,097) (39,683) Net current assets 629,158 670,227 Total assets less current Ilabllities 10,609,617 10,949,827 Income funds Unrestricted funds 19 10,609,617 10,949,827 10,609,617 10,949,827 The financial statements were approved by the trustees on 28 October 2025 and signed on Iheir behalf by Trustee Trustee 11
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting pollcles Charlty informatSon The Ulster Defence Regiment Benevolent Fund is a unincorporated charity registered in Northern Ireland. The registered office is Anderson House, Palace Barracks, Holywood, BT18 9QA. 1.1 Accounting conventlon The financial statements have been prepared in accordance wilh the fund's trust deed, the Charities Act (Northern Ireland) 2008, "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" {effectlve 1 January 2019). The fund is a Public Benefit Entity as defined by FRS 102. The fund has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows. The financial statements are prepared in sterling. which is the functional currency of the fund. 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 investments. The principal accounting policies adopted are set out below. 1.2 Golng concern At the time of approving the financial statements, the trustees have a reasonable expectation that the fund has adequale 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. 1.3 Charltable funds Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives. 1.4 Income Income is recognised when the fund 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. Cash donations are recognised on receipt. other donations are recognised once the fund has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donalions received under GiftAid or deeds of covenant is recognised at the time of the donation. Legacies are recognised on receipt or otherwlse if the fund has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset. Investment income is interest earned through holding cash at bank and dividends from investments held. Investment income is recognised on an accruals basis. 1.5 Expenditure All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to that category. 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. It is categorised under one of the following headings: Costs of raising funds, Expenditure on charitable activities and Other expenditure. Costs of raising funds comprise costs incurred in generating voluntary income and includes advertising, allocation of support costs and inveslment management costs. 12-
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Accountlng policies (Continued) Expenditure on charitable activities comprises Ihose costs incurred by the Fund in the delivery of its activities and services for its beneficiaries and includes welfare costs, christmas grants, respite costs, charitable donations, media campaign. other direct costs and an apporlionment of support costs. Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity and include project management carried out at the office. Such costs are allocated to charitable activities based on time spent. The allocation of support costs is analysed in nole 8. 1.6 Tanglble flxed 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 Fixtures and fittings Compulers 2 % straight line 20 % straight line 25 % straight line Freehold land is nol depreciated. The gain or loss arising on the disposal of an asset is determined as the difference between the sale prOedS and the carrying value of the asset, and is recognised in the statement of financial activities. 1.7 Fixed asset Investments Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net incomel(expenditure) for the year. Transaction cosls are expensed as incurred. 1.8 Impairment of fixed assets At each reportlng end date, the fund 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). 1.9 Cash and cash equivalents Cash and cash equivalents include cash in hand, deposits held at call wlth banks, other short-term liquid investments with original maturilies of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings In current liabilities. 1.10 Financlal instruments The fund has elected to apply the provisions of Seclion 11 'Basic Financial Instruments, and Section 12 '0ther Financial Instruments Issues, of FRS 102 to all of its financial instruments. Financial instruments are recognised in the fund's balance sheet when the fund becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, wilh the net amounts presented in the financial statements, when there is a legally enforceable righl 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. 13-
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Accounting pollcles (Continued) 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 flnancial 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 liabililies. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. Derecognition of financlal liabilities Financial liabililles are derecognised when the fund's conlractual obligations expire or are discharged or cancelled. 1.11 Taxation The charity is exempt from income tax and capital gains tax to the extent that its income and gain s are applied for charitable purposes. No tax charge has arisen in the year. 1.12 Employee benefits The cost of any unused holiday entitlement is recognised in the period in which the employee's seNices are received. Termination benefits are recognised immediately as an expense when the fund is demonstrably committed to terminate the employment of an employee or to provide terminalion benefits. 1.13 Retirement benefits Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. Critical accountlng estimates and judgements In the application of the fund'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 relevanl. Actual resulls may differ from these eslimales. The estimates and underlying assumptions are reviewed on an ongoing basis. Revislons to accounting estimates are recognised in the period in which the estimate is revised where the revision affects lY that period, or in the period of the revision and future periods where the revision affects both Current and future periods. 14
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Crltical accountlng estimates and Judgements Icontlnued) Key sources of estimatlon uncertainty Fixed assets The annual depreciation charge on fixed assets depends primarily on the estimated lives of each type of asset and estimates of residual values. The trustees regularly review these asset lives and change them as necessary to reflect current thinklng on remaining lives in light of prospective economic utilisation and physical condition of the assets concerned. Changes in asset lives can have a significant impact on depreciation and amortisation charges for the period. Detail of the useful lives is included in the accounting policies. Income from donations and legacles Unrestricted funds 2025 Unrestricted funds 2024 Donations and gifts Legacies receivable 34,806 39,716 28,863 34,806 68,579 Income from investments Unrestricted Unrestricted funds funds 2025 2024 Income from listed investments Interest receivable 234,281 519 212,395 2,770 234,800 215,165 Expenditure on ralslng funds Unrestricted Unrestrlcted funds funds 2025 2024 Ralslng funds Support costs Investment management 8,458 51,266 8,165 49,242 Total costs 59,724 57,407 15-
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Expenditure on charltable activities Benevolent Benevolent fund fund management management distribution 2025 distributlon 2024 Direct costs Staff costs Depreciation and impairment Welfare grants Christmas grants Respite activities Advertising Media campaign Property costs Charitable donations 28,742 29,263 271,891 34,113 52,152 278 8,072 122,230 4,301 29,673 30,499 182,490 35,181 51,956 2,985 5,690 101,557 551,042 440,031 Share of support and governance costs (see note 8) Support 85,194 81,048 636.236 521,079 Analysis by fund Unrestricted funds 636,236 521,079 16-
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Support costs allocated to actlvities 2025 2024 Basis of allocation Staff lime staff lime Time Time Time Slaff time Time staff costs Bank charges stationery & poslage Telephone costs Computer expenses Miscellaneous expenses Governance costs 67,897 134 1,843 357 5,401 5,273 12,747 69,643 127 1,950 542 1,948 3,107 11,896 93,652 89,213 Analysed between: Fundraising Benevolent fund management & distribution 8,458 85,194 8,165 81,048 93,652 89,213 2025 2024 Governance costs comprise: Audit fees Accountancy Legal and professional 6,000 6,000 747 6,000 3,900 1,996 12,747 11,896 Gains and losses on investments Unrestricted Unrestricted funds funds 2025 2024 Gainsl(losses) arising on.. Revaluation of investments Sale of investments {207,095) 293,239 786,612 109,541 86,144 896,153 10 Net movement in funds 2025 2024 The nel movement in funds is slated after chargingl(crediting): Fees payable for the audit of the charity's financial statements Depreciation of owned tangible fixed assets 6,000 29,263 12,000 30,499 18
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 11 Trustees None of the trustees (or any persons connected with them) received any remuneration or benefits from the fund during the year. 12 Employees The average monthly number of employees during the year was: 2025 Number 2024 Number Employment costs 2025 2024 Wages and salaries Olher pension costs 94,606 2,033 97,271 2,045 96,639 99,316 There were no employees whose annual remuneration was more than £60,000. Remuneration of key management personnel The remuneration of key management personnel was as follows.. 2025 2024 Aggregate compensation 67,765 69,661 The fund considers its key management personnel to comprise of the Trustees and the senior management team. 13 Taxatlon The charity is exempt from taxation on its activities because all its income is applied for charitable purposes. 19-
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 14 Tanglble flxed assets Freehold land Fixlures and and bulldlngs fittings Computers Total Cost At 1 April 2024 Additions 1,627,212 142,963 6,678 1,285 1,771,460 6,678 Al 31 March 2025 1,627,212 149,641 1,285 1,778,138 Depreciation and impairment At 1 April 2024 Depreciation charged in the year 524,755 25,137 135,556 4,126 1,285 661,596 29,263 At 31 March 2025 549,892 139,682 1,285 690,859 Carrylng amount At 31 March 2025 1,077,320 9,959 1,087,279 At 31 March 2024 1,102,457 7,407 1,109,864 Land and buildings are held in the name of Cleaver Fulton Rankin Trustees Limited as a nominee. 15 Fixed asset investments Listed investments Cost or valuation At 1 April 2024 Additions Valuation changes Disposals 9,169,736 2,238,692 (207,095) (2,308,153) At 31 March 2025 8,893,180 Carrylng amount At 31 March 2025 8,893,180 At 31 March 2024 9,169,736 The investments were managed and held on the fund's behalf by Quilter Cheviot Limited, in the name of the nominee company, Quiller Nominees Limited and Julius Bar in the name of the nominee company Bank JuThus Baer & Co Ltd. -20-
THE ULSTER DEFENCE REGIMENT BENEVOLENT FUND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 16 Debtors 2025 2024 Amounts falling due within one year: Olher debtors Prepayments and accrued income 11,130 7,950 13,988 20,747 19,080 34,735 17 Creditors: amounts falling due wlthln one year 2025 2024 other taxation and social security Other Greditors Accruals and deferred income 1,946 5,303 24,848 2,167 10,620 26,896 32,097 39,683 18 Retirement benefit schemes 2025 2024 Defined contribution schemes Charge to profit or loss in respect of defined contribution schemes 2,033 2,045 The fund operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the fund in an independenlly administered fund. 19 Unrestrlcted funds The unrestricted funds of the charity comprise the unexpended balances which are not subject to specific conditions and expendable at the discretion of the Board of Trustees in furtherance of the charitable objectives of the fund. At 1 Aprll 2024 Incoming resources Resources expended Galns and At 31 March losses 2025 General funds 10,949,827 269,606 {695,960) 86,144 10,609,617 Prevlous year: At 1 Aprll 2023 Incoming resources Resources expended Galns and At 31 March losses 2024 General funds 10,348,416 283,744 (578,486) 896,153 10,949,827 21