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2023-09-30-accounts

LFT CHARITABLE TRUST

REPORT AND FINANCIAL STATEMENTS

FOR THE PERIOD FROM 1[ST] APRIL 2022 TO 30[TH] SEPTEMBER 2023

Charities Registration Number: NIC107373

LFT CHARITABLE TRUST

REPORT AND FINANCIAL STATEMENTS FOR THE PERIOD FROM 1[ST] APRIL 2022 TO 30[TH] SEPTEMBER 2023

CONTENTS

CONTENTS
Pages
Chairman’s Foreword 2
Trustees’ Report 3 - 8
Independent Auditors Report 9 - 11
Statement of Financial Activities (incorporating income and expenditure account) 12
Statement of Financial Position/Balance Sheet 13
Cash Flow Statement 14
Notes to the financial statements 15 - 19

1

LFT CHARITABLE TRUST CHAIRMAN'S FOREWORD We are proud EO be able to say ihilt while coT]linuing on our learning journey. the Board of LFT Charitable Trust have overseen the most productive and fruitful period yet in letms of grant distribution and partner engagement. The eighteen-month period since our last set ol accoun1.% has coincided with the strengthening of relaiion.%hipg with exisling grantees. as well as new partnerships tonned in the sector and increased leaming for our organisalion everyone in the grantmaking world continues to navigate an ever-changing landscape. A,s a result, the search has begun to add to our existing Board llnd increase our capacity. as well as allowing us lo reTnain flexible in our outlook. which is one of LFf's core strengths. The continued hard work of our General Manager and the incre(Ised tirne commitment of our Board of Tru5lee8 has ensured ihai i.Fr is in good shape lo coniinue on the upward Lurve with our granlmaktng. while simultaneously reTll&iÉning (rue lo our value.%. we look forward lo Lhe year ahead. Chairmaii and Tru.stee

LFT CHARITABLE TRUST

TRUSTEES’ REPORT FOR THE PERIOD FROM 1[ST] APRIL 2022 TO 30[TH] SEPTEMBER 2023

The Trustees of LFT Charitable Trust are pleased to present their report and financial statements for the period from 1[st] April 2022 to 30[th] September 2023.

Trustees have prepared the financial statements in accordance with the Trust Deed, applicable Accounting Standards in the United Kingdom (FRS 102), the Statement of Recommended Practice (SORP) ‘Accounting and Reporting by Charities’ issued in October 2019, and in accordance with the Charities Act (Northern Ireland) 2008.

Objectives and Activities

LFT Charitable Trust was established under a Trust Deed in June 2017. LFT Charitable Trust’s vision is of a just world where people have equal opportunity to transform their lives, participate in their communities and build successful futures.

The Trust has wide discretionary powers to promote and support charitable purposes and objectives for public benefit including in particular:

LFT Charitable Trust achieves these objectives by awarding grants. The Trust is intended to be exclusively grantmaking, with no fundraising or operating activities. LFT aims to fund programmes of activity delivered by partner organisations which:

LFT Charitable Trust is primarily a proactive funder. Knowledge is built by talking to and meeting with individuals and organisations working within priority areas. Where opportunities are identified and the prospect of a project that aligns with LFT’s grant making policies, proposals are invited for funding using an official application form. All applications are then assessed against established criteria and grants awarded at the discretion of the Board of Trustees.

During the past eighteen months Trustees have explored different grantmaking strategies. Seven open calls for applications pertaining to specific areas of interest, were undertaken. Employability not Disability invited applications from social enterprises that provide meaningful employment opportunities for adults with learning disabilities. Reset & Recovery funded initiatives to support people in recovery from addiction. The Local Environmental Action Programme promoted programmes that build on the links between the environment and health & wellbeing. ENGAGE called for initiatives that promoted resilience and upskilling of volunteers working with people experiencing homelessness. The Creative Connections Programme funded projects to strengthen the sense of belonging and empower people living with dementia through participation in creative arts initiatives. Mind Matters addressed the lengthy waiting times for adults in accessing counselling services. Accessible & Inclusive provided small capital grants to enable charities undertake modifications to premises and ensure they were better equipped to welcome and serve the whole community.

In response to the cost-of-living crisis and specifically fuel poverty, LFT Trustees piloted an intermediary grantmaking approach funding four foodbanks operating throughout Belfast to provide their beneficiaries with grants to address the rising costs of fuel and electricity.

All of the Trust’s purposes are achieved by awarding grants to individuals and organisations on the basis that funding will have a positive impact on the beneficiaries. Those that receive a grant are required to demonstrate the direct and indirect benefit their work has on people in need via regular monitoring and evaluation.

Trustees review and update grant making policy at regular intervals to ensure it is responsive and relevant to current needs. During the period Trustees have taken time to explore the merits of different facets of grantmaking such as ‘relational funding’, ‘funding plus’, ‘flexible funding’ and ‘open and trusting grantmaking’ and concluded that the LFT approach already embraces many of the features of this best practice.

3

LFT CHARITABLE TRUST

TRUSTEE REPORT (continued)

Achievements and Performance

The Trustees confirm that they have considered the Charity Commission for NI’s general guidance on public benefit when reviewing the Trust’s objectives and in planning future activities and grant making throughout the period. A copy of the Commission’s guidance notes on public benefit has been issued to all Trustees.

LFT Charitable Trust operates for the public benefit with the ultimate beneficiaries being the many people supported by the grant partners that LFT funds. In providing support LFT Trustees examine how grant partner organisations are governed and LFT grants are made with conditions to ensure they are spent appropriately and for the charitable purposes outlined by the applicant organisation. The benefits of all purposes are demonstrated through regular feedback and evaluation of the organisations and beneficiaries supported.

Trustees have continued to develop enduring relationships with a number of existing grant partners with visits to meet community leaders and beneficiaries taking place. In developing close relations with grant partners LFT is able to learn and better understand the environment in which we operate and ultimately make better informed grantmaking decisions. LFT grant partners consistently report that they have a ‘strong, positive relationship with LFT’ with 90% indicating they feel ‘extremely valued’ by LFT.

Sixty-nine partner organisations were supported during the period, including forty-five new grant partners, many of whom came to our attention during the process of an open call. In total 78 distinct grants and one-off donations were disbursed supporting capital, project and core costs.

Grant partners are typically small (49% have an annual income less than £250,000 and 61% have less than 10 employees), well-connected, responsive and agile grassroots organisations as illustrated by the diversity of activities delivered and highlighted on the LFT website.

The Relief of Suffering & Distress

During the period LFT engaged with a number of grass roots organisations to alleviate the suffering and distress of people in need. As in previous years, the reasons why individuals find themselves in need varies greatly as does the means in which they can be supported.

In 2022-23, as the cost of living rose for households across Northern Ireland, growing energy prices disproportionately impacted those on lower incomes and resulted in a significant increase in the number of households experiencing fuel poverty. LFT Trustees committed funds for the creation of a fuel bank administered by local food banks in Belfast.

Significant increases in people experiencing homelessness and in housing stress were also reported during this period as was the struggle of many frontline charities, relying on volunteers, to deal with unprecedented levels of suffering and tragedy on the streets. The ENGAGE grantmaking programme sought to fund initiatives to support and develop committed, compassionate and capable volunteers.

The Promotion of Health & Wellbeing

Beneficiaries of all ages and stages of life were supported in a range of health & wellbeing initiatives delivered by grant partners. A cohort of new grant partners are engaged in supporting and sustaining recovery from addiction. Another group are enabling people living with dementia through participation in collective art and photography projects, music therapy, reminiscence, bibliotherapy and circus skills. The focus isn’t always on the individual, families and carers of those with health conditions are also supported by our grant partners with respite, advocacy and wellbeing services.

Interventions promoting belonging, self-worth, resilience and wellbeing have been especially prominent this period in the aftermath of the pandemic with target beneficiaries including adults and children with learning disabilities. The mental health crisis generated huge demand for community based mental health providers offering counselling to young and vulnerable people and those suffering loss or bereavement. Support to people at end of life and their families was also offered by LFT grant partners.

Further away, in Malawi and Madagascar, the prevention of cholera outbreaks remain foremost when considering the health & wellbeing of beneficiaries and LFT grant partners are providing access to water and essential sanitation facilities.

4

LFT CHARITABLE TRUST

TRUSTEE REPORT (continued)

Achievements and Performance (continued)

The Advancement of Education

This period LFT grant partners delivered initiatives that addressed barriers to learning which ranged from economic background to special education provision. Many grant partners focussed on reducing the gap between ability and educational attainment and promoting positive learning environments that enable each child to reach their full potential.

Financial Review

The Trust is funded in its entirety from charitable donations from Alterity Investments Ltd which has pledged up to 50% of the surplus income generated by Alterity’s investment business to LFT Charitable Trust.

During the period LFT Charitable Trust provided funding to its grant partners in excess of £1.2 million which brings the total sum disbursed since the establishment of the Trust to over £3.2 million. Forward commitments of an additional £366,000 are recognised as at the balance sheet date and, along with conditional offers, bring the total funding pledged since the inception of the Trust to over £3.6 million.

Trustees do not consider a Reserves Policy is necessary given the current financial arrangements in place with Alterity Investments. Alterity itself continues to maintain a strong financial position with a diverse range of income streams.

LFT Charitable Trust does not hold any funds on behalf of others.

The auditors, Stevenson and Wilson, have indicated their willingness to continue in office and a resolution concerning their re-appointment will be proposed at the Board of Trustees Meeting on 9[th] April 2024.

Plans for future periods

Trustees will continue to award grants which progress the LFT vision of a just world where people have equal opportunity to transform their lives, participate in their communities and build successful futures.

Following a facilitated review of grantmaking practice and the time and cost implications of a relational approach to charitable giving, Trustees have developed a number of clear targets for the distribution of funds over the next three years.

Trustees also reviewed the capacity and depth of experience within the Trustee Board and determined that it could be significantly enhanced by the appointment of additional, non-family trustees with expertise and lived experience of the NI community and voluntary sector. Engage Executive Recruitment were appointed to undertake this task and marketing the role began in July 2023 with a view to appointments being made by Spring 2024.

5

LFT CHARITABLE TRUST

TRUSTEE REPORT (continued)

Structure, Governance and Management

LFT Charitable Trust is governed by its Trust Deed created on 29[th] June 2017. Registration with the Charity Commission for Northern Ireland was completed on 31[st] July 2019 (NIC 107373).

The power of appointing new Trustees is vested in the Settlor of the Trust and must be done by virtue of a deed. New Trustees are invited on the basis of their proven ability, relevant experience, and personal interest in the work of the Charitable Trust.

First generation Trustees continue to lead on the programme to develop Next Generation Trustees which includes developing and expanding their knowledge of issues facing local communities in NI, researching prospective grant partners, grantmaking and educational visits to community partners.

The Trust has an induction programme for new Trustees who are advised of their legal obligations as Trustees, briefed on the governance and structure of the Trust and provided with an overview of the Trust’s performance in meeting its charitable purposes.

All Trustees commit to a Code of Conduct and are required to disclose all relevant interests, register them with the General Manager and in accordance with the Trust’s policy withdraw from discussion / decisions where a perceived or actual conflict of interest arises.

All Trustees give of their time freely and no Trustee remuneration was paid during the reporting period. There are currently five Trustees who have overall responsibility for the Trust. During the period under consideration, sixteen Trustee meetings were held.

The Trustees are responsible for the overall governance of the Trust and oversee all grant making.

The Trust’s General Manager, Aisling Johnston, is responsible for implementing the LFT Charitable Trust strategy and for the management of the day-to-day operations of the Trust and its activities. The Trustees review the level of remuneration paid to key management personnel to ensure it is at a level consistent with the role and responsibility of the position and consistent with that of similar entities.

Risks are considered on an annual basis by Trustees. This involves identifying the types of risk, in particular those related to the operations and finances of the Trust, prioritising them in terms of impact and likelihood of occurrence and identifying means of mitigating risks. Reliance on a single source of income continues to pose the greatest threat, however, Trustees are satisfied that systems and procedures are in place to mitigate exposure to the major risks.

The Trust is a member of Philanthropy Ireland and the Funders Forum NI. The Trust is also a member of the Association of Charitable Foundations (ACF). In 2023, the LFT General Manager collaborated with others to establish the first UK Family Foundations Network and has been appointed as convenor for this new forum of over 40 independent family foundations to share and learn best practice.

LFT has deployed the ACF Pillars of Stronger Foundations as a benchmark standard by which to evaluate organisational performance and the Chair and General Manager assess and establish yearly objectives and targets.

LFT Trustees continue to promote philanthropy by sharing their personal experiences with other families who are exploring or developing the concept of charitable giving as a family.

6

LFT CHARITABLE TRUST

TRUSTEE REPORT (continued)

Reference and administrative details

Registered charity name:

LFT Charitable Trust

Trustees who held office during the eighteen months, Mr. Edward Aidan Lonergan and in the period since 30th September 2023 to the date Mrs. Anne Lonergan these accounts were approved, were as follows: Mr. Gavin Lonergan Mr. Darren Lonergan Mrs. Ciara Lewis Ms. Jill Downing (deed of appointment dated 09/04/24) Mr. Joe McVey (deed of appointment dated 09/04/24) Chairman: Mr. Gavin Lonergan Charity Commission registration number: NIC107373 Registered office / Principal Office: 4 Annadale Avenue Belfast BT7 3JH Solicitor: Carson McDowell LLP Murray House Murray Street Belfast BT1 6DN Auditor: Peter Stevenson Stevenson and Wilson 22-30 Broadway Avenue Ballymena BT43 7AA Bankers: Danske Bank Donegall Square West Belfast BT1 6JS

Statement of Trustees’ responsibilities

The Trustees are responsible for preparing the financial statements in accordance with applicable law and regulations.

Charity law requires the Trustees to prepare financial statements for each financial period. Under that law the Trustees have prepared the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under Charity law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including income and expenditure for that period.

In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Trust’s transactions and disclose with reasonable accuracy at any time the financial position of the Trust and enable it to ensure that the financial statements comply with the Charities Act (Northern Ireland) 2008. It is also responsible for safeguarding the assets of the Trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

7

LFT CHARITABLE TRUST TRUSTEE REPORT (continued) Statement of Tn￿tees, responsibilities (continued) In Ihe case of each TTU%tee, at the date the Trustees, Report is kpproved- so far as ihe Trustee is aware, there is no relevant audit inforn]ation of which the charity's auditors are unaware; and they have taken all the steps thai they ougyhi io have taken as a Trustee in order io make themselves aware of any relevant audit information iu)d to e%thblish that the charity's audiiors are awa￿ of thal inforniation. Approved by Ihe Board on 9, April 2024 and signed on its behalf by: on rgan Chairman and Truslee

LFT CHARITABLE TRUST

INDEPENDENT AUDITORS' REPORT TO THE TRUSTEE OF LFT CHARITABLE TRUST

Opinion

We have audited the financial statements of LFT Charitable Trust for the period from 1[st] April 2022 to 30[th] September 2023 which comprise the Statement of Financial Activities, Statement of Financial Position, Cash Flow Statement and notes to the financial statements, including a summary of 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) – (Charities SORP (FRS102)).

In our opinion, the financial statements:

Basis for 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 described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Trust 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 relating to going concern

In auditing the financial statements, we have concluded that the directors’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in 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 there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters

In our opinion, based on the work undertaken in the course of the audit:

9

LFT CHARITABLE TRUST

INDEPENDENT AUDITORS' REPORT (continued)

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the Trust and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Charities Act (Northern Ireland) 2008 requires us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the trustees’ responsibilities statement set out on pages 7-8, the trustees are responsible for the preparation of the financial statements and for being satisfied 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 statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the trust’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 trustee either intends to liquidate the Trust or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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 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 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.

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

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 misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities including fraud is detailed below:

10

LFT CHARITABLE TRUST

INDEPENDENT AUDITORS' REPORT (continued)

Auditor’s responsibilities for the audit of the financial statements (continued)

A further description of our responsibilities is available on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity’s members, as a body. Our audit work has been undertaken so that we might state to the Charity’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Peter Stevenson Senior Statutory Auditor

for and on behalf of: Stevenson and Wilson, Statutory Auditor 22-30 Broadway Avenue Ballymena BT43 7AA

9[th] April 2024

11

LFT CHARITABLE TRUST

STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING INCOME AND EXPENDITURE ACCOUNT FOR THE PERIOD FROM 1[ST] APRIL 2022 TO 30[TH] SEPTEMBER 2023

Note
Incoming resources
Donation income
4
Total income
Resources expended:
Charitable activities
5
Total expenditure
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
11		 Unrestricted
Funds
18 months
ended
30/09/23
£
147,950
147,950
147,527
147,527
423
1,562
1,985		 Restricted
Funds
18 months
ended
30/09/23
£
1,056,529
1,056,529
1,056,529
1,056,529
-
411
411		 Total
18 months
ended
30/09/23

£
1,204,479

1,204,479



1,204,056

1,204,056


423



1,973

2,396		 Total
Year
ended
31/03/22
£
1,018,025
1,018,025
1,016,819
1,016,819
1,206
797
1,973

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

All income and expenditure derives from continuing activities.

The notes on pages 15 to 19 form part of these financial statements

12

LFT CHARITABLE TRUST STATEMENT OF FINANCIAL POSITION / BALANCE SHEET AS AT 30TH SEvfEMBER 2023 30109123 31103122 Note Fixed assets Iniangible Aixed assets Tangible fixed assets 2.100 983 702 702 Current assets D()nalii)ns receivable Prepaymenls Ca.%h at bank Totul current assets 428,124 2,273 5,463 435 860 644.669 699 646081 Current liabilities Donalions pay&ble Dclcrrcd inLvTne Oilier Lredilor% and <iccruals Total current liabilities 365,624 62,500 6,042 434 166 54Y,609 95,01)0 2,522 647,191 Net current asse1￿(11￿b1litIe5) Total asséts less current liabilities 10 1,973 Restricted funds Unresiricted fund. Total charity fund5 411 1,985 411 1,562 The financial st(Ilements on pagTes 12 to 19 were approved by the Trustees a5 ai 91h April 2024 and signed on their behalf by.. rgan Chainnan and Tnjsiee The noies on pages 15 10 19 forni pan of these financial statements 13

LFT CHARITABLE TRUST

CASH FLOW STATEMENT FOR THE PERIOD FROM 1[ST] APRIL 2022 TO 30[TH ] SEPTEMBER 2023

Cash flows from operating activities
Net incoming resources
Add: Depreciation and amortisation
Net cash inflow from operating activities
Decrease/(increase) in donations receivable and prepayments
(Decrease)/increase in donations payable, deferred income, other
creditors and accruals
Acquisition of intangible fixed assets
Net increase/(decrease) in cash for the period
Cash and cash equivalents at the beginning of the period
Cash and cash equivalent at the end of the period		 18 months
ended
30/09/23
£
423
2,381
2,804
214,985
(213,025)
-
4,764
699
5,463		 Year
ended
31/03/22
£
1,206
2,381
3,587
(319,193)
319,562
(4,200)
(244)
943
699

The notes on pages 15 to 19 form part of these financial statements

14

LFT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD FROM 1[ST] APRIL 2022 TO 30[TH] SEPTEMBER 2023

1. Trust information

The Trust was established in Northern Ireland under the Trust Deed dated 29[th] June 2017. The address of the registered office is 4 Annadale Avenue, Belfast, BT7 3JH. The financial statements were authorised for issue by the Board on 9[th] April 2024.

2. Accounting policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

Basis of preparation

The financial statements have been prepared on a going concern basis in accordance with 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) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The reporting and functional currency is sterling.

The Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost and transaction value unless otherwise stated in the relevant accounting policy note(s).

Preparation of accounts on a going concern basis

The Charity generally meets its day to day working capital requirements from its annual income. The Trustees have obtained and reviewed cash flow forecasts for the coming year and based on these are satisfied that the Charity has resources to provide a reasonable expectation that it can continue to meet its financial obligations as they fall due for the foreseeable future. These financial statements have therefore been prepared on a going concern basis.

Incoming resources

All incoming resources are included in the Statement of Financial Activities when the trust is entitled to the income, it is probable that the income will be received and the amount can be quantified with reasonable accuracy.

Resources expended

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services to its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Intangible assets

Expenditure on the charity’s website is capitalised and amortised over the period the charity is expected to benefit. An amortisation rate of 50% on a straight-line basis has been used for this purpose.

Tangible assets

The tangible assets of the Trust comprise of office equipment.

Office equipment is depreciated at a rate calculated to reduce it to residual value at the end of its expected normal life on a straight-line basis at a rate of 20% per annum.

The assets’ residual values and useful lives are reviewed, and adjusted, if appropriate, at the end of each reporting period. The effect of any change is accounted for prospectively.

Tangible assets are derecognised on disposal or when no future economic benefits are expected. On disposal, the difference between the new disposal proceeds and the carrying amount is recognised in the statement of financial activities and included in “other operating gains/(losses)”.

15

LFT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

2. Accounting policies (continued)

Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts.

Short-term debtors and creditors

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Financial assets, including debtors, are reviewed at the reporting date to determine if there is any evidence of potential impairment. Any losses arising from impairment are recognised in the income statement in operating expenses.

Financial instruments

The Trust only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction price and subsequently measured at their settlement value.

Funds

Funds are classified as either unrestricted funds or restricted funds, defined as follows:

Unrestricted funds are expendable at the discretion of the trustees in furtherance of the objects of the charity. If parts of the unrestricted funds are earmarked at the discretion of the trustees for a particular purpose, they are designated as a separate fund. This designation has an administrative purpose only and does not legally restrict the trustee’s discretion to apply the fund.

Restricted funds are funds subject to specific requirements as to their use which may be declared by the donor or with their authority or created through legal processes, but still within the wider objects of the Trust.

Pensions

The Trust operates a defined contribution scheme for staff. Employer contributions are charged through the income and expenditure when incurred.

3. Critical accounting judgements and estimation uncertainty

Estimates and judgments made in the process of preparing the financial statements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The Trustees do not consider that there are any critical judgments made in applying the Trust’s accounting policies or that there are any critical accounting estimates or assumptions which may have a significant risk of causing a material adjustment to carrying amounts of assets and liabilities within the next financial period.

4. Donation income

Donation income Unrestricted
Funds
18 months
ended
30/09/23
£
147,950
147,950		 Restricted
Funds
18 months
ended
30/09/23
£
1,056,529
1,056,529		 Total
18 months
ended
30/09/23
£
1,204,479
1,204,479		 Total
Year
ended
31/03/22
£
1,018,025
1,018,025

16

LFT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

5. Charitable activities

Charitable Activities
Charitable donations
Administration costs
Wages and salaries
Trust running costs
Other expenses		 Unrestricted
Funds
18 months
ended
30/09/23
£
-
4,131
125,227
13,921
4,248
147,527		 Restricted
Funds
18 months
ended
30/09/23
£
1,056,216
313
-
-
-
1,056,529		 Total
18 months
ended
30/09/23
£
1,056,216
4,444
125,227
13,921
4,248
1,204,056		 Total
Year
ended
31/03/22
£
926,102
11,423
73,870
1,749
3,675
1,016,819

6. Transfers between funds

Unrestricted funds are spent or applied at the discretion of the trustees to further any of the charity’s purposes. Unrestricted funds can be used to supplement expenditure made from restricted funds.

7. Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel

Wages and salaries
Social security costs
Employer pension contributions		 Total
18 months
ended
30/09/23
£
113,339
7,122
4,766
125,227		 Total
Year
ended
31/03/22
£
67,140
4,044
2,686
73,870

The average number of employees during the period was 1 (2022 : 1). All employees were full-time. There was one staff member (key management personnel) who received annualised remuneration over £70,000.

None of the trustees received any remuneration nor any reimbursement of expenses during the period (2022 : Nil).

17

LFT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

8. Intangible fixed assets

Cost
As at 1stApril 2022
As at 30th September 2023
Amortisation
As at 1stApril 2022
Amortisation charge for the period
As at 30th September 2023
Net book value at 30th September 2023
Net book value at 31stMarch 2022
Tangible fixed assets
Cost
As at 1stApril 2022
As at 30th September 2023
Depreciation
As at 1stApril 2022
Depreciation charge for the period
As at 30th September 2023
Net book value at 30th September 2023
Net book value at 31stMarch 2022		 Office
Equipment
£
4,200
4,200
2,100
2,100
4,200
-
2,100
Office
Equipment
£
1,405
1,405
422
281
703
702
983		 Total
£
4,200
4,200
2,100
2,100
4,200
-
2,100
Total
£
1,405
1,405
422
281
703
702
983

9. Tangible fixed assets

18

LFT CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

10. Analysis of net assets

Fixed assets
Current assets
Current liabilities
Net assets at 30th September 2023		 Unrestricted
General
£
702
7,325
(6,042)
1,985		 Restricted
£
-
428,535
(428,124)
411		 Total
£
702
435,860
(434,166)
2,396

11. Funds of the charity

Unrestricted funds
General fund
Restricted funds
Donations fund
Total funds		 At 1st April
2022
£
1,562
411
1,973		 Income
£
147,950
1,056,529
1,204,479		 Expenditure
£
(147,527)

(1,056,529)

**(1,204,056) **		 At 30th
September
2023
£
1,985
411
2,396

12. Related party transactions

All of the Trust’s income (£1,204,479) comprises donations from Alterity Investments Limited, a company controlled by trustees, Mr Edward Aidan Lonergan and Mrs Anne Teresa Lonergan. At the period-end donations receivable from Alterity Investments Limited amounted to £428,124.

Included in charitable donations is £375,000 donated to The Adsum Foundation, a charity with a common trustee, Mr Gavin Lonergan. At the period-end donations payable to The Adsum Foundation amounted to £217,384.

Remuneration paid to key management personnel is disclosed in note 7.

13. Funding commitments

The Trust had no unconditional charitable funding commitments at the balance sheet date, beyond those which have been recognised in these accounts.

14. Controlling party

During the period LFT Charitable Trust was under the control of the Trustees.

19