OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2023-10-31-accounts

Charity registration number NIC107073

THE TALENT CHARITABLE TRUST

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 OCTOBER 2023

THE TALENT CHARITABLE TRUST

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr N Bleakley
Mr H E Switzer
Mr J McDowell
Charity number NIC107073
Principal address Carson McDowell
Murray House
Murray Street
Belfast
BT1 6DN
Independent examiner Moore N.I. (LLP)
4th Floor Donegall House
7 Donegall Square North
Belfast
BT1 5GB
Solicitors Carson McDowell LLP
Murray House, Murray Street
Belfast
BT1 6DN

THE TALENT CHARITABLE TRUST

CONTENTS

Page
Trustees' report 1 - 2
Independent examiner's report 3
Statement of financial activities 4
Balance sheet 5
Notes to the financial statements 6 - 13

THE TALENT CHARITABLE TRUST

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 OCTOBER 2023

The Trustees present their annual report and financial statements for the year ended 31 October 2023.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the 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) (effective 1 January 2015)”

Objectives and activities

The trustees pursue the objectives of the Trust by the prudent investment of funds via an independent professional adviser, presently Quilter Cheviot and by regular distribution of the income generated by the investments to charities carefully chosen by the trustees from time to time. Those charities are considered by the trustees to themselves pursue objectives which fall within the aims and objectives of the Trust. The objectives of the Trust are clearly defined in the governing Trust documents as:-

The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Trust should undertake.

Achievements and performance

Financial review

It is the policy of the Trust that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Trust’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

In nearly all equity investment matters, the Trustees act under the advice of Quilter Cheviot Ltd. Investments remained almost entirely in equity shareholdings in public companies during the period ended 31st October 2023.

The satisfaction of the Trust’s objectives is dependent on the performance of its investments and the Trustees review performance on a regular basis.

The Trust had net expenditure for the year of £111,223. When added to the reserves brought forward of £3,925,898 the total reserves at 31st October 2023 are £3,814,675.

Risk management

The Trustees have considered the major risks to which the Trust is exposed, those related to the long term operational and financial well-being of the Trust and, whilst keeping the matter under review, are satisfied that systems are in place to mitigate major risks.

Plans for future periods

The trustees plan to use the income generated through investment income to benefit multiple charities whose aims and objectives align with The Talent Charitable Trust and where it is clear the distributed income will aid the targeted beneficiaries of the charities chosen. The trustees will continue to focus on the prudent management and stewardship of the Trust fund with a view to making ongoing and regular distributions of income to charities of their choice. The charities are chosen with care by the trustees and only after due reflection and discussion.

THE TALENT CHARITABLE TRUST

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2023

Structure, governance and management

The Trust is a privately established charitable trust made by way of Deed dated 10 October 2016 and Supplementary Deed dated 3 October 2018 and registered with the Charity Commission on 7 December 2018. The registration number is NIC107073. There are three trustees all of whom have been trustees from the outset.

The Trustees who served during the year and up to the date of signature of the financial statements were: Mr N Bleakley

Mr H E Switzer Mr J McDowell

The Trust adopts an open procedure for the appointment of Trustees (and volunteers). This includes expressions of interest invited to existing Trustees and recommendations from existing Trustees.

The Trustees' report was approved by the Board of Trustees.

Mr N Bleakley

Trustee Dated: 30 August 2024

THE TALENT CHARITABLE TRUST

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE TALENT CHARITABLE TRUST

I report on the financial statements of the Trust for the year ended 31 October 2023, which are set out on pages 4 to 13.

Respective responsibilities of Trustees and examiner

As the charity's trustees you are responsible for the preparation of the accounts in accordance with the Charities Act (Northern Ireland) 2008.

It is my responsibility to:

Basis of independent examiner's report

I have examined your charity accounts as required under section 65 of the Charities Act and my examination was carried out in accordance with the general Directions given by the Charity Commission for Northern Ireland under section 65(9)(b) of the Charities Act. The examination included a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also included consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as charity trustees concerning any such matters.

My role is to state whether any material matters have come to my attention giving me cause to believe:

  1. That accounting records were not kept in accordance with section 63 of the Charities Act

  2. That the accounts do not accord with those accounting records

  3. That the accounts do not comply with the accounting requirements of the Charities Act

  4. That there is further information needed for a proper understanding of the accounts to be reached.

Independent examiner's statement

I have completed our examination and have no concerns in respect of the matters (1) to (4) listed above and, in connection with following the Directions of the Charity Commission for Northern Ireland, we have found no matters that require drawing to your attention.

Dr R I Peters Gallagher OBE FCA

For and on behalf of Moore (N.I.) LLP

4th Floor Donegall House 7 Donegall Square North Belfast BT1 5GB

Dated: 30 August 2024

THE TALENT CHARITABLE TRUST

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 OCTOBER 2023

Unrestricted Endowment
funds
funds
2023
2023
Notes
£
£
Income and endowments from:
Donations and legacies
3
-
-
Investments
4
97,355
-
Other income
5
-
24,489
Total income and
endowments
97,355
24,489
Expenditure on:
Raising funds
6
-
26,161
Charitable activities
7
92,455
20,040
Total resources
expended
92,455
46,201
Net gains/(losses) on
investments
11
-
(94,411)
Net movement in funds
4,900
(116,123)
Fund balances at 1
November 2022
60,920
3,864,978
Fund balances at 31
October 2023
65,820
3,748,855		 Total Unrestricted Endowment
funds
funds
2023
2022
2022
£
£
£
-
-
1,131,067
97,355
77,097
-
24,489
-
43,711
121,844
77,097
1,174,778
26,161
-
25,905
112,495
55,256
19,200
138,656
55,256
45,105
(94,411)
-
(543,186)
(111,223)
21,841
586,487
3,925,898
39,079
3,278,490
3,814,675
60,920
3,864,977		 Total
2022
£
1,131,067
77,097
43,711
1,251,875
25,905
74,456
100,361
(543,186)
608,328
3,317,569
3,925,897

The statement of financial activities includes all gains and losses recognised in the year.

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

THE TALENT CHARITABLE TRUST

BALANCE SHEET

AS AT 31 OCTOBER 2023

Notes
Fixed assets
Investments
13
Current assets
Cash at bank and in hand
Creditors: amounts falling due within
one year
15
Net current assets
Total assets less current liabilities
Net assets excluding pension liability
The funds of the Trust
Endowment funds
16
Unrestricted funds		 2023
£
£
3,732,668
85,367
(3,360)
82,007
3,814,675
3,814,675
3,748,855
65,820
3,814,675		 2022
£
£
3,778,945
149,353
(2,401)
146,952
3,925,897
3,925,897
3,864,977
60,920
3,925,897		 2022
£
£
3,778,945
149,353
(2,401)
146,952
3,925,897
3,925,897
3,864,977
60,920
3,925,897
3,925,897
3,925,897
3,864,977
60,920
3,925,897

The financial statements were approved by the Trustees on 30 August 2024

Mr N Bleakley Trustee

THE TALENT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023

1 Accounting policies

Charity information

The Talent Charitable Trust is a privately established charitable trust made by way of Deed dated 10 October 2016 and Supplementary Deed dated 3 October 2018 .

1.1 Accounting convention

The financial statements have been prepared in accordance with the Charities Act (Northern Ireland) 2008 and 2013 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 2016).

The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements are prepared in sterling, which is the functional currency of the charity, Monetary amounts in these financial statements are rounded to the nearest £.

The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the Trust has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the Trust.

1.4 Income

Income is recognised when the Trust 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 Trust has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the Trust 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.

THE TALENT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023

1 Accounting policies

(Continued)

1.5 Expenditure

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.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

1.6 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 income/(expenditure) for the year. Transaction costs are expensed as incurred.

1.7 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

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.

THE TALENT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023

1 Accounting policies

(Continued)

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Trust’s contractual obligations expire or are discharged or cancelled.

2 Critical accounting estimates and judgements

In the application of the Trust’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Donations and legacies

**Total ** Endowment
funds
general
2023 2022
£ £
Donations and gifts - 1,131,067

4 Income from investments

Unrestricted Unrestricted
funds funds
2023 2022
£ £
Income from listed investments 93,950 77,097
Interest receivable 3,405 -
97,355 77,097

THE TALENT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023

5 Other income

**Endowment ** Endowment
funds funds
general general
2023 2022
£ £
Net gain on disposal of investments 24,489 43,711

6 Raising funds

Investment management
Charitable activities
Charitable
Expenditure
Charitable
Expenditure
2023
2023
£
£
Bank charges
55
-
Charitable donations
90,000
-
90,055
-
Share of governance
costs (see note 8)
2,400
20,040
92,455
20,040
Analysis by fund
Unrestricted funds
92,455
-
Endowment funds -
general
-
20,040
92,455
20,040		 Endowment Endowment
funds
funds
general
general
2023
2022
£
£
26,161
25,905
26,161
25,905
Total
2023
Charitable
Expenditure
Charitable
Expenditure
Total
2022
2022
2022
£
£
£
£
55
56
-
56
90,000
54,000
-
54,000
90,055
54,056
-
54,056
22,440
1,200
19,200
20,400
112,495
55,256
19,200
74,456
92,455
55,256
-
55,256
20,040
-
19,200
19,200
112,495
55,256
19,200
74,456		 Endowment Endowment
funds
funds
general
general
2023
2022
£
£
26,161
25,905
26,161
25,905
Total
2023
Charitable
Expenditure
Charitable
Expenditure
Total
2022
2022
2022
£
£
£
£
55
56
-
56
90,000
54,000
-
54,000
90,055
54,056
-
54,056
22,440
1,200
19,200
20,400
112,495
55,256
19,200
74,456
92,455
55,256
-
55,256
20,040
-
19,200
19,200
112,495
55,256
19,200
74,456
25,905
Total
2022
£
56
54,000
54,056
20,400
74,456
55,256
19,200
74,456

7 Charitable activities

THE TALENT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2023

8
Support costs
Support
costs
Governance
costs
2023
£
£
£
Independent examination
fee
-
1,680
1,680
Legal and professional
-
20,760
20,760
-
22,440
22,440
Analysed between
Charitable activities
-
22,440
22,440
9
Net movement in funds
The net movement in funds is stated after charging/(crediting):
Fees payable for the independent examination of the charity's financial
statements		 Support
costs
Governance
costs
£
£
-
1,200
-
19,200
-
20,400
-
20,400
2023
£
1,680		 2022
£
1,200
19,200
20,400
20,400
2022
£
1,200

10 Trustees

None of the Trustees (or any persons connected with them) received any remuneration or benefits from the Trust during the year.

11 Net (losses) on investments

**Endowment ** Endowment
funds funds
general general
2023 2022
£ £
Gain/(loss) on sale of investments (94,411) (543,186)

12 Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

THE TALENT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2023

13 Fixed asset investments

Cost or valuation
At 1 November 2022
Additions
Valuation changes
Disposals
At 31 October 2023
Carrying amount
At 31 October 2023
At 31 October 2022
14
Financial instruments
Carrying amount of financial assets
Instruments measured at fair value through SOFA
15
Creditors: amounts falling due within one year
Accruals		 Listed
investments
£
3,778,945
290,519
(69,922)
(266,874)
3,732,668
3,732,668
3,778,945
2023
2022
£
£
3,732,668
3,778,945
2023
2022
£
£
3,360
2,401

16 Endowment funds

Endowment funds represent assets which must be held permanently by the Trust. Income arising on the endowment funds can be used in accordance with the objects of the Trust and is included as unrestricted income. Any capital gains or losses arising on the assets form part of the fund.

At 1 Incoming Resources Gains and At 31 October
November resources expended losses 2023
2022
£ £ £ £ £
Permanent endowments
3,864,978 24,489 (46,201) (94,411) 3,748,855

THE TALENT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023

16 Endowment funds (Continued)
Previous year: At 1 Incoming Resources Gains and At 31 October
November resources expended losses 2022
2021
£ £ £ £ £
Permanent endowments
3,278,490 1,174,778 (45,105) (543,186) 3,864,977

17 Unrestricted funds

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

At 1 Incoming Resources At 31 October
November resources expended 2023
2022
£ £ £ £
General funds 60,920 97,355 (92,455) 65,820
Previous year: At 1 Incoming Resources At 31 October
November resources expended 2022
2021
£ £ £ £
General funds 39,079 77,097 (55,256) 60,920
Analysis of net assets between funds
Unrestricted Endowment Total
funds funds
2023 2023 2023
£ £ £
At 31 October 2023:
Investments - 3,732,668 3,732,668
Current assets/(liabilities) 65,820 16,187 82,007
65,820 3,748,855 3,814,675

18 Analysis of net assets between funds

THE TALENT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023

18 Analysis of net assets between funds (Continued)
Unrestricted Endowment Total
funds funds
2022 2022 2022
£ £ £
At 31 October 2022:
Investments - 3,778,945 3,778,945
Current assets/(liabilities) 60,920 86,032 146,952
60,920 3,864,977 3,925,897

19 Related party transactions

There were no disclosable related party transactions during the year (2022 - none).