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Trust Accounts 2017

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Trust Accounts 2017 Patron HRHThe Prince of Wales COMMONWEALTH EUROPEAN AND INTERNATIONAL. CAMBRIDGE TRUST Cambridge Commonwealth, European and International Trust Trustees’ Report and Financial Statements For the year ended 31 July 2017 Creating opportunity to study at the UNIVERSITY OF 1 CAMBRIDGE Cambridge Commonwealth, European and International Trust Contents Reference and administrative details 3 Trustees’ annual report 4 Statement of Trustees’ responsibilities 15 Appendix to the Trustees’ report 16 Independent auditors report 20 Statement of financial activities 23 Balance sheet 24 Statement of cash flows 25 Notes to the Statement of cash flows 26 Statement of accounting policies 27 Notes to the financial statements 31 Page 2 Cambridge Commonwealth, European and International Trust Reference and administrative details Trustees Dr Rowan Williams (Chair) Professor Dame Ann Dowling Professor Simon Franklin Professor Loraine Gelsthorpe (appointed 1 August 2016) Mr Peter Phillips (appointed 1 October 2016) Professor Jaideep Prabhu Professor Michael Proctor Mrs Ann Puntis Professor John Rallison (Deputy Chair) Dr Nidhi Singal Dame Barbara Stocking Professor Graham Virgo Patron: HRH The Prince of Wales Trust address Cambridge Commonwealth, European and International Trust 53-54 Sidney Street, Cambridge, CB2 3HX Legal status The charity was established by a Charity Commission Scheme dated 1 August 2013. The Trust is a tax exempt charity, Inland Revenue reference EW02020. Independent Auditors Peters Elworthy & Moore Chartered Accountants and Statutory Auditors Salisbury House, Station Road, Cambridge, CB1 2LA Bankers Barclays Bank St Andrew’s Street, Cambridge, CB3 OAN Investment Managers Cambridge University Investment Office Cazenove Capital Management 26-3D Station Road, Cambridge, CB1 2RE 12 Moorgate, London EC2R 6DA Director and Secretary Director: Mrs Helen Pennant Secretary: Ms Breeda O’Leary Page 3 Cambridge Commonwealth, European and International Trust Trustees’ annual report for the year ended 31 July 2017 Introduction The Cambridge Commonwealth, European and International Trust (Cambridge Trust) was established over 30 years ago (originally as two separate Trusts, the Cambridge Commonwealth Trust and Cambridge Overseas Trust which merged in August 2013 to form the Cambridge Trust) to provide financial support to international students, so that they could benefit from the outstanding educational opportunities offered at the University of Cambridge. Today the Trust is the largest provider of scholarships for students at the University of Cambridge. In collaboration with partners worldwide, it continues to support students irrespective of their social or economic backgrounds enabling them to benefit from the excellent educational and research opportunities which the University of Cambridge provides. The Trust offers scholarships to successful students at PhD, Masters and undergraduate levels at all 31 Colleges of the University of Cambridge. Awards are made on the basis of academic merit and financial need and range from full-cost, covering fees and maintenance, to half and part-cost, which requires the student to find the balance of the costs. To be considered for a scholarship by the Trust, students must have received a conditional offer of admission from the University of Cambridge (postgraduates), or from one of the Colleges (undergraduates). The Trustees herewith present their annual report and audited financial statements for the year ended 31 July 2017. The legal and administrative information on page 3 also forms part of this report. The Trustees confirm that the annual report and financial statements of the Trust comply with the current statutory requirements, the requirements of the Trust’s governing document and the provisions of the Statement of Recommended Practice (SORP), 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). Objects and activities for the public benefit The object of the Cambridge Commonwealth, European and International Trust is for the public benefit, to provide scholarships and other financial assistance to enable students to benefit from education at the University of Cambridge. During its 30 year history of awarding scholarships, the Trust has awarded around 18,000 scholarships to students from around the world. The Trustees confirm that they have referred to the Charity Commission’s guidance and section 17 of the Charities Act 2011 on public benefit when planning activities and setting policies for awarding scholarships. The Trust furthers its charitable purpose for public benefit through its policy of offering financial support to students by: • providing awards to a diverse field of appropriately qualified students to enable them to benefit from the outstanding educational opportunities at the University of Cambridge and enable them to apply their skills and talents throughout the world for the benefit of others. Page 4 Cambridge Commonwealth, European and International Trust Trustees’ annual report for the year ended 31 July 2017 (continued) The Trust awards around 500 new scholarships (including honorary) annually and there are around 1,200 students in residence each academic year; ensuring that the awards are of sufficient value to adequately support the students during their tenure. In collaboration with funding partners the Trust aims to offer as many full-cost awards as possible. The Trust increases the annual student maintenance rate in line with the UK Research Council maintenance rate, which was £14,296 for 2016/1 7; • maintaining, as far as possible, through its award process, a satisfactory balance in the number and level of scholarships it offers, so that no specific applicant group or nationality is disadvantaged. The appendix on pages 16-19 shows the diverse countries of the students whom the Trust supports; • ensuring that scholarships and other assistance, such as any hardship or conference payments, are awarded on an objective basis in accordance with advertised criteria. Grant making policy Scholarships are awarded on the basis of academic merit, financial need and, in the case of scholarships awarded in conjunction with partners, additional criteria such as the country the students come from and/or their chosen area of study. Scholarships range from full-cost, covering fees and maintenance, to part-cost, where the students are required to provide the balance of the costs. The Trust aims to provide as many full-cost scholarships as possible, which is more beneficial for the students and makes the Trust scholarships internationally competitive. This can be challenging for the Trust as fees and maintenance costs generally increase annually, and the Trust has offered fewer awards in the last two years. The Trust is working towards some strategies to obtain additional funding, particularly unrestricted funds, to help maintain the number of students supported. All student applications to the Trust undergo a detailed selection process. The process: • takes account of College and Departmental scoring, on academic grounds, of all applicants requiring financial support; • is based on a transparent and fair system, with clearly published selection criteria and application deadlines published on the Trust’s website; • addresses perceived disadvantage of candidates from less developed backgrounds. Achievements and performance during the year to 31 July 2017: How our grant making policy delivered public benefit During the year the Trust supported 1,140 students at the University of Cambridge from 100 countries at an average cost per student of £20,160. This compares with 1,163 students supported in the financial year 2015/16 at an average cost of £18,500 per student. This increase in average costs reflects the higher value of awards offered to students to ensure sufficient financial support. In addition to core funding covering fees and maintenance costs, the Trust also makes extra payments to students to alleviate particular financial needs, such Page 5 Cambridge Commonwealth, European and International Trust Trustees’ annual report for the year ended 31 July 2017 (continued) as grants for conferences, fieldwork, overruns, and hardship. The total cost of such extra payments was £395,345 (2015/16 £409,208). The table below summarises the number of students supported by degree type in 2016/17 compared to 2015/16. The appendix on pages 16-19 gives a more detailed breakdown, showing the students supported by continent/country. Students supported by degree type Degree type/year 2016/17 2015/16 PhD 754 800 Masters 203 151 Undergraduate 183 212 Total 1,140 1,163 Some funding partners with whom the Trust has formal agreements make payments directly to the students or Colleges. This income, which does not form part of the financial statements of the Trust, amounted to c. £3.3 million (c. £3.7 million in 2015/16). The Trust also has informal relationships with other partners such as Colleges, University departments and other organisations which also make payments directly to Trust students, and this income amounted to c. £3 million (c. £2.2 million in 201 5/16). The Trust made 21 honorary awards in 2016/17 (75 in 2015/16). These were awards to students who were initially selected for scholarships but who subsequently won other full-cost awards and ultimately did not require financial support from the Trust. These students may attend student events organised by the Trust
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