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Annual Report & Accounts 2017


Esmée Fairbairn Foundation Annual Report & Accounts 2017

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Esmée Fairbairn Foundation aims to improve the quality of life for people and communities in the UK both now and in the future. We do this by funding the charitable work of organisations who are building an inclusive, creative and sustainable society. The Foundation is one of the largest independent funders in the UK. In 2017 we made grants of £40.5 million towards a wide range of work in the Arts, Children and Young People, the Environment, Food, and Social Change. We also have a £45 million

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

allocation to social investments for organisations which aim to create social impact. Our funds are generated by our investment portfolio, from which we aim to achieve a total return of RPI +4% on a rolling five-year average.

Children and Young People

Environment

Food

Social Change

Funding in Partnership

Social Investment

TASK Fund

Trustees’ Report

Accounts

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I like to feel useful. Society is made up of people who make something bigger than themselves. And that means work. That means being able to contribute to a shared idea.

Contents

Overview Chief Executive’s Report

Trustees’ Report 3 Objectives and Activities

50

Chairman’s Statement

5 Achievements, Performance and 6 Plans for Future Periods

50

Funding Overview

Financial Review

Funding Children and Young People Environment Food Social Change Funding in Partnership Social Investment TASK Fund

Chief Executive’s Report

Chairman’s Statement

50

Structure, Governance 9 and Management 16 Statement of Trustees’ Responsibilities 22 Independent Auditor’s Report 28 to the Trustees of Esmée 32 Fairbairn Foundation

Arts

Funding Overview

54 55

56

40 Statement of Financial Activities 43 Balance Sheet

58

46 Cash Flow Statement Notes to the Accounts

59

Arts

58 60

Trustees, Senior Management Team, Committees and Advisers

68

Our History

69

Children and Young People

Tom Cowley, autistic Auticon employee

Environment

Food

Social Change

Funding in Partnership

Social Investment

TASK Fund

Trustees’ Report

Accounts

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Chief Executive’s Report The volatility and uncertainty of recent years looks to continue and 2018 will yet again take us all into new territory. It is increasingly clear that it is at these times when the flexibility, continuity and independence of long-term funders like Esmée Fairbairn are most needed.

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Food

Social Change

Funding in Partnership

Social Investment

TASK Fund

Trustees’ Report

Accounts

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Esmée Fairbairn is here for the long term. In 2017 we provided £44.6m in funding to exceptional organisations who are making the UK a more inclusive, creative and sustainable society. In these times of political uncertainty, the flexibility, continuity and long-term aims of independent funders are even more needed. We have tried in 2017 to respond to this challenge. We have continued to spend well (£40.5m in grants and £4.1m in social investments) and we hope wisely. The work that we have been privileged to support has encompassed organisations such as the participatory arts organisation Heart n Soul and the environmental campaigning law firm, Client Earth. Our endowment has benefitted from strong public equity markets and from our decision in recent years to carefully increase our allocation to early stage and growth private venture funds (up from 17% of the portfolio in 2014 to 26% today). And over and above our usual business, we have spent our time in 2017 looking for new ways to be the best foundation we can be.

We have concentrated very hard on preventing applicants from wasting their precious time in applying to us when we are unlikely to fund them. Our website has been upgraded, our process now includes an eligibility quiz co-designed with applicants and tighter guidelines and explanations of what we fund and don’t fund. This has resulted in a drop of 27% in applications from 2,755 in 2016 to 2,023 in 2017. Our response time for 1st stage applications is now 10 days and we have started to provide some feedback. There is still more to do but we believe that this is good progress.

2016 Applications

2,755

–27% 2017 Applications

2,023

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Food

We have invested a great deal over the last two years in listening and learning from those we fund as well as building a framework for collecting and disseminating what we find. This resulted in the first two of our Insight Reports (on funder practice and the state of the environment sector) and a teaching case study of our evaluation and learning model was presented at this year’s UK Evaluation Roundtable (convened by the Institute for Voluntary Action Research). It was a record year for our Grants Plus offering; some £449k was awarded to over 150 organisations in 2017.

The role of investment in being a driver for social and environmental outcomes is becoming an exciting addition to our armoury. We have developed our ESG strategy further in 2017 and have included a £25m allocation to test these new investment themes. This sits alongside our £45m allocation to social investment; our fund is 10 years old in 2018. We look forward to celebrating all that it has achieved and also to using it well in the coming year.

We firmly believe that 2018 will be another year where we will need to challenge ourselves and We launched pilots in two areas (Children Leaving work at pace to support the many organisations we stand side by side with to make a difference. Care and Place) to test what other non-financial resources we can bring to bear, working as brokers and facilitators to encourage convening and the building of unusual alliances between the state, the not for profit and the private sectors. Our grant to Social Finance’s Impact Incubator is an example of this kind of work to improve outcomes for care leavers. Our backing of the Caroline Mason Commission on the Future of Food, Farming Chief Executive and the Countryside and our funding for Carbon Disclosure and the Green Alliance provide the environmental sector sorely needed support to collaborate and drive radical approaches to tackling the defining issue of our times.

Social Change

Funding in Partnership

Social Investment

TASK Fund

Trustees’ Report

Accounts

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Chairman’s Statement

We have been increasingly engaged in assessing how we can leverage additional impact for our grantees, including through our Grants Plus programme where we fund additional training and consultancy support. I’m delighted that over 150 organisations received Grants Plus funding during the year, with a total spend of £449k.

I reported on changes to the Trustee Board last year with the departure of two Trustees, and the arrival of three new members. We have also engaged in a review of our overall governance. One of the outcomes of this is that we are moving to a model of Trustees serving terms of officeof five years, which may be renewed up to three times.

As illustrated elsewhere in the report, we continue to support a wide range of causes, all of which aim to improve the quality of life for people and communities in the UK. Our current strategic plan ends in 2019, and we are now engaged in a process of reviewing how, as a Foundation, we can have the most impact in the areas in which we work. We should have more to report on this by the end of the year.

We are sadly saying goodbye to Tom HughesHallett as a Trustee. He has served the Foundation with distinction for the last decade in a number of ways, including most recently as Chair of our Audit and Risk Committee. Tom’s other commitments include an increasing focus on leading work on healthcare and our ageing population. Stepping down from Esmée will give him further capacity to focus on these. His passion and knowledge of our sector will be much missed. Finally, I would like to thank my fellow Trustees and our wonderful executive team for all their dedication, enthusiasm and support over the year.

It has been another highly positive year for the Foundation. Our grant-making totalled £40.5m, and £4.1m of social investments were drawn down during the year. Having exceeded £1 billion in 2016 for the first time, the endowment’s value at the close of 2017 was £1.03 billion.

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

James Hughes-Hallett CMG Chairman

Food

Social Change

Funding in Partnership

Social Investment

TASK Fund

Trustees’ Report

Accounts

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Funding Overview 2017 During 2017 the Foundation spent £44.6 million in funding towards a wide range of work. The majority of our funding in 2017 was distributed through grants and we also made a number of social investments. We support work that focuses on the Arts, Children and Young People, the Environment, Food, and Social Change.

Total grant funding:

Total number of grants made*:

Endowment total:

Social investment (drawn down):

£40.5m 271 £1.03bn £4.1m

*excludes TASKs and Grants Plus

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Food

Social Change

Funding in Partnership

Social Investment

TASK Fund

Trustees’ Report

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Total Funding by Sector*

Grants Plus

Social investment

Total in 2017:

We provide social investment in the form of different types of repayable finance to charities and other not-forprofit organisations which aim to create social impact.

£449k

In 2017 we spent £449,326 on Grants Plus work, supporting more than 150 organisations with training and consultancy to secure or increase the effect of our grants or social investments. We arranged workshops in Birmingham, Manchester and London on impact and evaluation, business development and digital strategy. We also supported six grantee organisations to create short films about their work. Our meeting rooms in King’s Cross were used by 524 organisations with 5,312 attendees.

Arts

Children & Young People

Environment

Grants are listed on pages 40 to 42. TASK Fund (Trustees’ Areas of Special Knowledge) Total in 2017:

Social Change

£3.7m

Investments and grants are listed on pages 43 to 45. Funding in partnership We sometimes work in partnership with other funders or organisations to target a particular region, community or sector, or to help tackle a specific issue.

Food

£6.9m

£7.5m

£8.1m £12.2m

Total 2017 72 – No. of grants 2017 £36.9m – Total AP 263 – No. of grants AP

£1.08m

Social Investments (Committed)

129 Number of grants in 2017:

£75k

Total 2017 44 – No. of grants 2017 £24.3m – Total AP 148 – No. of grants AP

Total 2017 45 – No. of grants 2017 £22.7m – Total AP 127 – No. of grants AP

Total 2017 20 – No. of grants 2017 £9.2m – Total AP 56 – No. of grants AP

£906k

£2.3m

Grants are listed on pages 46 to 48.

1 – No. of SI’s 2017 £1.2m – Total AP 4 – No. of SI’s AP

AP = Active grant portfolio as at 31 December 2017 *excludes TASKs and Grants Plus

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Total 2017 90 – No. of grants 2017 £48.6m – Total AP 356 – No. of grants AP

Children and Young People

Environment

0 – No. of SI’s 2017 £1.5m – Total AP 6 – No. of SI’s AP

Food

Social Change

3 – No. of SI’s 2017 £8.2m – Total AP 18 – No. of SI’s AP

Funding in Partnership

Social Investment

0 – No. of SI’s 2017 £60k – Total AP 1 – No. of SI’s AP

TASK Fund

Trustees’ Report

6 – No. of SI’s 2017 £20.3m – Total AP 50 – No. of SI’s AP

Accounts

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Esmée Fairbairn Foundation Annual Report & Accounts 2017

Total applications*

8

Type of support*

Ineligible applications:

Applications turned down at first stage:

Core costs

60

Delegated grant-making

Project costs

Unrestricted

Staff at Esmée Fairbairn Foundation:

31

Total

£3.2m

1,631

Total number of grants currently active:

Total

Total

£15.8m

Applications turned down at second stage:

Approved:

Accountability

950

Total

£10.9m

£8.5m Staff cost:

61 271

98

6

Grants

118

£1.9m

Grants

Grants

Grants

49

*excludes TASKs and Grants Plus

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Food

Social Change

Funding in Partnership

Social Investment

15 4

£1,000,001+

38

£300k-£1,000,0000

89

£150,001-£300k

87

£60,001-£150k

38

£20,001-£60k

£20k or less

Grants by size 2017*†

A breakdown of funding decision committees can be found on page 54

TASK Fund

Trustees’ Report

Accounts

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Arts

We recognise the power of culture to bring communities together and give opportunity and visibility to people who may otherwise be marginalised. We want to support the artistic and financial sustainability of the sector and make sure that the widest range of people can participate.

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Food

Funding priorities: • Art with a social impact • Organisations at a pivotal point • Supporting emerging talent

Social Change

Funding in Partnership

Social Investment

Museums We also give grants to the museum sector through the Esmée Fairbairn Collections Fund, managed by the Museums Association.

TASK Fund

Trustees’ Report

Accounts

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Arts Overview

2017 Grants by funding priority

£7.5m 72

Art with a social impact

Supporting emerging talent

Other

Organisations at a pivotal point

£5k No. grants

£3.6m

Approved in 2017

£2.5m

40

No. grants

No. grants

21

10

No. grants

£1.4m

1

No. of applications received per priority 2017

Total Grants

257

156

Art with a social impact

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Supporting emerging talent

Food

Social Change

Funding in Partnership

90

1

Organisations at a pivotal point

Other

Social Investment

TASK Fund

Trustees’ Report

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Arts Grants

Priority: Art with a social impact

£120,000 (over 4 years) Towards the salary cost of an access co-ordinator to continue to implement best practice in access to paid work and performance opportunity among adults with learning disabilities.

£50,000 (over 3 years) Towards staffing and programme costs for strategic projects to increase the diversity of volunteer promoter networks and audiences for rural touring in Norfolk and Suffolk.

£53,200 (over 15 months) Towards an arts partnership worker to put the arts at the centre of services for older people, creating partnerships locally and across the UK.

£120,000 (over 3 years) Towards the salaries of the artistic director and senior manager and other costs to enhance the skills and opportunities for musicians and composers with disabilities.

£50,000 (over 11 months) Towards a year-long programme which records and makes available free online, some of the world’s most important speeches, with associated community and youth programmes.

£45,000 (over 3 years) Towards project costs in support of young people’s participation and progression in dance in Northern Ireland.

£150,000 (over 3 years) Towards core and project costs associated with creative writing work with young people and people at risk of becoming marginalised.

Chief Executive’s Report

Chairman’s Statement

£60,000 (over 3 years) Towards an artistic associate post to devise and deliver a programme to engage diverse audiences and participants in Peterborough. £116,471 (over 2 years) Towards the Good Enough Art Gallery, a socially-engaged curating project that will work with six groups of extremely vulnerable children. £19,835 (over 1 year) Towards the salary of a project officer to scope work related to reducing inequalities experienced by children and young people from Gypsy, Traveller and Roma backgrounds. £120,000 (over 3 years) Towards the cost of running the Zest Communities project in Thanet and Dover, providing inclusive, interactive arts workshops for people with dementia and their carers in community venues.

Funding Overview

Arts

Children and Young People

Environment

Food

£60,000 (over 1 year) Towards project costs including the salary of the project co-ordinator to develop the Global Streets Ambassador scheme to support active citizenship and pride of place in 10 towns and cities which have lower level of arts engagement and connectedness. £94,000 (over 2 years) Towards Headlong Futures, an outreach programme that engages diverse groups around the country, working with four partner organisations to create new theatrical work that aims to bring communities together. £142,600 (over 2 years) Towards the development of a dedicated gallery programme for artists, communities and curators to co-create exhibitions and events in response to the Horniman’s Anthropology Collection.

Social Change

Funding in Partnership

£20,000 (over 1 year) Towards core costs to underpin the organisation’s work developing inclusive access to creative writing in Cornwall.

£60,000 (over 3 years) Towards core costs and Making Place – a programme that will involve local people in considering how public space is used in their neighbourhood. £37,462 (over 1 year) Towards new site-specific work created with members of eight rural communities across Northumberland.

£94,550 (over 2 years) Towards the costs of a programme that supports non-traditional pathways into training and employment in the creative industries for young people from £100,000 (over 3 years) diverse backgrounds across the UK. Towards core costs to continue the organisation’s work providing £60,000 (over 3 years) orchestral events and projects with Towards the director and music partners in under-served community development officer locations across England. posts and skills development for artists and organisations, to £60,000 (over 2 years) increase and enhance the regular Towards the core costs of participation of older people in Outside In, a new organisation to the arts across Scotland. continue Pallant House Gallery’s successful programme supporting the development and progression of artists who see themselves as experiencing barriers to an art career.

Social Investment

TASK Fund

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Priority: Art with a social impact (cont.)

£60,000 (over 3 years) Towards the development of new theatre about the contemporary rural world, and making it accessible to rural communities. £255,180 (over 3 years) Towards The Virtual Orchestra, a digital and live project that will increase cultural participation amongst disadvantaged communities in Leicester, Bedford, Basingstoke and Kent. £25,000 (over 1 year) Towards a second arts cohort of the Impact Pioneers programme, improving the way arts organisations understand and collect evidence for their impact on children and young people.

Chief Executive’s Report

Chairman’s Statement

£120,000 (over 3 years)

£9,471 (over 1 year) Towards the costs of a Deaf Performance Skills training programme. £40,000 (over 2 years) Towards the salary of the youth theatre co-ordinator whilst building work is completed, freeing up the community engagement manager to form Liverpool’s only Black Theatre Company, ready for the opening of the new stage, increasing the theatre’s social impact. £49,231 (over 2 years) Towards the expansion of a programme for people affected by dementia to two new regions in Scotland.

Funding Overview

Arts

Towards core costs of an organisation that enables diverse communities to participate and learn digital film and media skills to develop social, educational and employment opportunities and progression. £300,000 (over 4 years) Towards core costs in order to support the delivery of arts participation work with homeless and formerly homeless people. £5,130 (over 1 year) Towards the rebuilding of relationships with local strategic bodies to help ensure the financial future of the Arts Gymnasium project.

Children and Young People

Environment

Food

£20,000 (over 6 months) Towards core costs whilst the organisation transitions to a new delivery model and builds up reserves. £210,000 (over 3 years) Towards a project that works with regional and national partners to develop improved pathways and progression routes in music education for children and young people in the North East. £60,000 (over 2 years) Towards the Director’s salary for a new independent community arts organisation based in the Turnpike Gallery. £136,123 (over 3 years) Towards the development of the theatre’s offer for young people in areas of educational, social and economic disadvantage.

Social Change

Funding in Partnership

£120,000 (over 3 years) Towards staffing costs supporting the development of new talent. £22,385 (over 1 year) Towards Floating Cinema 2017: On the Bench, which will bring a programme of participatory, contemporary visual arts to dispersed and rural communities along the waterways of Yorkshire.

£180,000 (over 3 years) Towards the costs of a programme of arts activity in communities across North Wales £120,000 (over 3 years) Towards costs for extending a peer-led arts programme for children and young people into South Cambridgeshire and Fenland.

£80,000 (over 2 years) Towards development of pathways to enable young people to take part and progress to careers in urban music. £150,000 (over 3 years) Towards core salary costs to increase arts and cultural opportunities for people with learning disabilities.

Social Investment

TASK Fund

Trustees’ Report

Accounts

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Arts Grants

Priority: Organisations at a pivotal point Close X

Plus One offers something I feel the social care system missed. It allows not only young people in care, the opportunities to access in creative pathways but post 18 care leavers the same. Becky www.derbytheatre.co.uk/plus-one

Derby Theatre derbytheatre.co.uk

Derby Theatre Click to discover more

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Food

Associations of Independent Museums £75,500 (over 1 year) Towards the continuation of the Sustainability Grants Scheme, which aims to improve the long-term resilience of small and medium sized independent museums. Chineke! Foundation £20,000 (over 1 year) Towards core costs for an organisation that provides career opportunities to young Black and Minority Ethnic classical musicians. Collective £165,000 (over 3 years) Towards a core post and programme costs to secure the future of the Calton Hill Observatory site as a sustainable new venue for the gallery’s programme, benefitting new and diverse audiences. Echo Echo Dance Theatre Company £60,000 (over 2 years) Towards staff costs to underpin the organisation’s work developing and promoting professional dance and participation in Northern Ireland.

Social Change

Funding in Partnership

Forest of Dean Sculpture Trust £80,000 (over 3 years) Towards core costs to deliver a public programme to increase engagement and diversity of audiences experiencing high quality contemporary art in Gloucestershire.

Grand Union £148,992 (over 3 years) Towards the cost of enabling the development of a new high-quality arts venue for small arts bodies whilst maintaining and expanding the organisation’s existing work.

Frontlinedance Ltd £60,000 (over 30 months) Towards the salaries of the organisation’s company development officer and artistic director posts, enabling the organisation to expand its activities, the number of disabled and older dancers that it engages with and the number of opportunities it can provide for them.

Towards a new full-time producer post to enable Kaleider to make the most of opportunities arising from its work and enable it to work with the widest audiences.

Hackney Empire Ltd £199,000 (over 5 years) Forward Arts Foundation Towards the costs of staff posts £100,000 (over 3 years) to support the development of new Towards the costs of developing artistic and business models which National Poetry Day into a poetry aim to increase artistic ambition and hub enabling year-round participation artist and audience diversity. in poetry across the UK, particularly Kaleider Ltd in areas of low cultural engagement. £49,280 (over 2 years)

Social Investment

TASK Fund

Kettle’s Yard, University of Cambridge £120,000 (over 3 years) Towards the salary of a project coordinator and associated programme costs for Open House: Evolving City, which aims to build a long-term creative partnership with the gallery’s neighbouring communities.

Trustees’ Report

Accounts

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Priority: Organisations at a pivotal point (cont.)

Close X Live Theatre £400,000 (over 4 years) Towards core costs to support the organisation through its continuing transition to an innovative business model, ensuring artistic quality and social impact are maintained.

St George’s Bristol £60,000 (over 2 years) Towards core funding during the completion of a major capital project that will enhance the organisation’s artistic offer and sustainability and develop audiences.

National Dance Company Wales £173,971 (over 3 years) Towards developing a touring model for smaller venues across Wales with associated participatory activity.

Strand Arts Centre £108,000 (over 3 years) Towards core costs to underpin development of a new arts centre for East Belfast.

OpenUp Music £40,000 (over 2 years) Towards the core costs of providing young, disabled people with opportunities to play in ensembles and perform publicly. Pavilion Dance South West £225,000 (over 3 years) Towards the costs of a project which aims to initiate a step-change in the way dance productions are showcased and toured in the UK.

The British Paraorchestra and Friends £50,000 (over 2 years) Towards the salary of a new artistic producer post to enable the orchestra to develop its artistic programme, build more integrated partnerships and secure a new pipeline of performance opportunities.

I chose to attend the first meeting as I thought it could be a good chance to meet people. And it was, but I had no idea I was starting on such a rich, interesting path

£60,000 (over 1 year) Towards the cost of an additional member of the management team, consultancy and administrative support as the organisation, and other smaller dance organisations, establish themselves within the new Birmingham Dance Hub. Hub The Unicorn Theatre for Children £180,000 (over 3 years) Towards core costs to consolidate the organisation’s role as a producing and touring theatre for children and young people.

Journeys with ‘The Waste Land’ participant

Theatre Hullabaloo £140,000 (over 3 years) Towards the costs of programmes to engage young audiences and families at The Hullabaloo, a new theatre venue for young audiences in the North East.

turnercontemporary.org turnercontemporary.org

Turner Contemporary turnercontemporary.org

Turner Contemporary Click to discover more

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Food

Social Change

Funding in Partnership

Social Investment

TASK Fund

Trustees’ Report

Accounts

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Esmée Fairbairn Foundation Annual Report & Accounts 2017

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Arts Grants

Arts Grants

Priority: Supporting emerging talent

Other

Greater Manchester Arts Centre Ltd £90,000 (over 3 years) Towards the costs of a talent development programme for emerging artists from the North West, working in film, theatre, visual arts and interdisciplinary work. Heart n Soul £250,000 (over 5 years) Towards costs for a programme of work that will enable artists with learning disabilities to develop and progress in their careers. Mind The Gap £89,970 (over 3 years) Towards salary and project costs to create a shift in how learning disability arts is seen and engaged with across the UK. National Theatre of Scotland £250,000 (over 5 years) Towards a programme of support to emerging artists, offering financial resources, space, artistic and technical support and performance platforms.

New Diorama Theatre £60,000 (over 3 years) Towards core costs to underpin the organisation’s work supporting early career artists and companies from across the UK to develop their profile, practice and capacity. Northern Stage Ltd £165,000 (over 3 years) Towards a programme of talent development for North East-based actors and theatre-makers.

Theatre Investment Fund Ltd £86,572 (over 2 years) Towards the development of a programme supporting trainee commercial producers in subsidised regional theatres.

Creative Sector Services CIC £5,000 (over 15 months) Towards a new business-support programme for the arts, museums and libraries.

TIN Arts £122,949 (over 3 years) Towards the costs of the Talent Hub which is creating a new inclusive model for training talented dancers with learning disabilities.

Close X

We are proud that the voices of learning disabled people and our stories of the power and impact of creative collaboration between disabled and non-disabled artists have been amplified and shared widely and in many innovative ways to celebrate our 30th anniversary.

Paines Plough £198,350 (over 3 years) Towards developing the organisation’s touring network of smaller venues. Regional Theatre Young Director Scheme £60,000 (over 1 year) Towards continuation funding to develop and embed programmes of professional development for new and emerging theatre directors.

Heart n Soul

www.heartnsoul.co.uk heartnsoul.co.uk

heartnsoul.co.uk

Heart n Soul Click to discover more

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Food

Social Change

Funding in Partnership

Social Investment

TASK Fund

Trustees’ Report

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Children and Young People We believe in the potential of every young person. We fund organisations that seek to challenge the inequalities faced by those young people (age 0-25) who are currently missing out. We want to see the views of children and young people at the heart of organisations, and young people empowered to lead change.

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

Children and Young People

Environment

Funding priorities: •A  ddressing the root causes of low educational attainment and challenging behaviour • Empowering young leaders • Improving support for disadvantaged children and young people • The rights of vulnerable children and young people • Young People Leaving Care – a focused funding stream

Food

Social Change

Funding in Partnership

Social Investment

TASK Fund

Trustees’ Report

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Children and Young People Overview

2017 Grants by funding priority

£6.9m 44 Approved in 2017

Addressing the root causes of low educational attainment and challenging behaviour

Empowering young leaders

Improving support for disadvantaged children and young people

The rights of vulnerable children and young people

Young People Leaving Care - a focused funding stream

Other*

£15k £836k

No. grants

7

£663k

No. grants

£1.7m

8

No. grants

13

£1.7m

No. grants

£2.0m

10

No. grants

5

No. grants

1

No. of applications received per priority 2017

Total Grants

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

135

40

Addressing root causes of low educational attainment and challenging behaviour

Empowering young leaders

Children and Young People

Environment

Food

272 Improving support for disadvantaged children and young people

Social Change

Funding in Partnership

67

41

1

The rights of vulnerable children and young people

Social Investment

TASK Fund

Young People Leaving Care - a focused funding stream

Trustees’ Report

Other* *See Merger Fund on page 39

Accounts

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Esmée Fairbairn Foundation Annual Report & Accounts 2017

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Children and Young People Grants

Priority: Addressing the root causes of low educational attainment and challenging behaviour Auditory Verbal UK £149,614 (over 3 years) Towards the salary costs of the chief executive and manager to enhance strategic activities for increasing the provision of services to improve outcomes for deaf children. DigitalMe £60,000 (over 2 years) Towards further development of Open Badges, particularly through initiatives place-based city learning initiatives. Institute for Public Policy Research £20,000 (over 1 year) Towards incubating The Difference, developing teachers to become experts in supporting young people with complex needs, ensuring excluded children receive the best education possible and creating a network of innovative, inclusive leaders able to pioneer change in mainstream school culture.

Lads Need Dads CIC £45,000 (over 3 years) Towards the salary of the programme manager to equip and empower boys with absent fathers to become motivated, responsible, capable, resilient and emotionally competent. Right to Succeed £300,000 (over 3 years) Towards the piloting and scaling of an area-based initiative to address educational inequality, developing and growing the market for the first Social Impact Bond for school improvement.

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Vi-Ability Education Programme £150,000 (over 3 years) Towards core costs to enable a social enterprise based in North Wales to consolidate its model and expand its reach, supporting more disadvantaged young people to gain confidence, qualifications and employment, using the motivation of sport.

I’ve dreamt of coming to something like this and being here is everything and more. I found the experience liberating and the words of the poets bring clarity to my thoughts.

Thurrock Open Door £111,000 (over 3 years) Towards the salary of a co-ordinator providing mentoring and advocacy for young people who have returned home after running away multiple times.

www.heartnsoul.co.uk

Beatfreeks Beatfreeks beatfreeks.com Click to discover more

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Children and Young People Grants

Priority: Empowering young leaders Close X

We are proud of the public engagement that we have carried out. We delivered 15 events, engaging directly with over 1100 audience members. In the media, we’ve been mentioned in articles by the BBC, ITV London, the Independent and the Telegraph, while the Guardian ran an article about the Summer Camp.

Advocacy Academy £60,000 (over 2 years) Towards the future sustainability of an organisation that supports marginalised young people to tackle the social challenges of the 21st century. Beatfreeks Arts Ltd £120,000 (over 3 years) Towards the salary of a head of partnerships to build the sustainability of an organisation supporting marginalised young people to improve their lives and communities. Forward £150,000 (over 3 years) Towards the costs of developing a youth leadership and action on a gender-based violence programme.

Healthy n Happy Community Development Trust £60,000 (over 3 years) Towards a youth-led project providing support, training and resources to create an accessible route into activism enabling more young people to create positive social change.

UR Potential £135,000 (over 3 years) Towards the core costs of a youth leadership programme in Blackpool which will support young people to make positive changes to their local area through social action, whilst gaining accredited learning.

Paul Hamlyn Foundation £20,000 (over 9 months) Towards the pilot of the first UK Peace First’s Challenge, working with a coalition of UK youth organisations.

WORLDwrite £60,000 (over 2 years) Towards the core costs of an organisation that delivers immersive training in journalism and broadcasting to disadvantaged young people, enabling them to develop their voice and raise their concerns.

The Stephen Lawrence Charitable Trust £58,000 (over 2 years) Towards the Active Citizen project co-ordinator and costs, supporting 36 young people to develop skills around leadership and community activism in order to help them make a positive contribution to society.

Gendered Intelligence genderedintelligence.co.uk genderedintelligence.co.uk genderedintelligence.co.uk Gendered Intelligence Click to discover more

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Children and Young People Grants

Priority: Improving support for disadvantaged children and young people

£60,000 (over 2 years) Towards creating a sustainable future for the Family Focus Project, a whole family programme aiming to change statutory practice regarding identifying young carers and create smarter partnerships across Blackpool to support these young people.

£150,000 (over 3 years) Towards the salary of a project worker to deliver a transition programme for young people with complex needs.

£107,000 (over 3 years) Towards core costs to focus on engaging those young people facing the greatest barriers to starting a business.

£59,493 (over 2 years) Towards core costs to deliver early years sessions enabling parents of 0–3 year-olds from disadvantaged £48,686 (over 3 years) Towards RISE – Refugee Integration, backgrounds to better support their children’s language, personal, social Support and Engagement – and creative development. a project aimed at improving cross-cultural integration via the supported engagement of young £120,000 (over 3 years) refugees in positive activities. Towards the salary of the director of an organisation that helps BME young people in Wales and their families achieve their full potential.

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Arts

£198,000 (over 3 years) Towards the core costs of an organisation providing learning and advocacy for unaccompanied asylum-seeking children and young people, sharing knowledge of good practice within the sector. £120,551 (over 3 years) Towards the salary of a co-ordinator for Embrace, a theatre-based project working with young men at risk of becoming perpetrators of child sexual exploitation.

Children and Young People

Environment

Food

£200,000 (over 2 years) Towards the Listening Fund – a delegated grant fund for organisations to explore how to use and integrate feedback from young people into their work. £150,000 (over 3 years) Towards the salary of director and head of networks to support a community of youth work organisations to progress thinking and practice around impact measurement, ultimately improving outcomes for young people.

£60,000 (over 3 years) Towards the salary of the CEO of a youth-led magazine and training programme. £97,448 (over 3 years) Towards the salary of the project co-ordinator and costs of BLAST, a project supporting boys and young men affected by child sexual exploitation.

£375,000 (over 3 years) Towards core funding for an organisation offering young people advice and support on issues that impact on their wellbeing, particularly through digital channels.

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Children and Young People Grants

Children and Young People Grants

Priority: The rights of vulnerable children and young people

Priority: Young People Leaving Care – a focused funding stream

£60,000 (over 2 years) Towards core costs of a charity aiming to promote and protect the rights of children living in state and privately-run institutional settings.

£60,000 (over 3 years) Towards a supported internship programme, Talent City, enabling young adults with additional needs to increase their chances of employment.

£250,000 (over 5 years) Towards core costs of an organisation working to secure the rights of disadvantaged young people in Northern Ireland.

£338,732 (over 3 years) £103,521 (over 3 years) Towards project costs to develop a Towards the continuation of a project strategy to support young people that supports BME girls and young who have committed, or are at risk women experiencing domestic and of committing harmful sexual sexual violence, supporting them behaviour online and improving to find their voice in the recovery professionals’ response. process whilst working to address the normalisation, tolerance and £350,000 (over 3 years) acceptance of violence and abuse. Towards a transformation project

£115,915 (over 3 years) Towards the salary of a project and communications officer to support young transgender people and their families. £60,000 (over 2 years) Towards the director’s salary of an organisation supporting young people’s role as experts within the £150,000 (over 3 years) youth justice sector, promoting Towards the costs of the Strategic Legal Fund which supports efforts professional practice based on to uphold and promote the rights of empathy and trusted relationships. vulnerable migrant children and young people.

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Arts

£200,000 (over 5 years) Towards salaries of the head of programmes and the policy communications assistant to improve the youth justice system.

that will enable the organisation to develop the infrastructure and internal systems to help more children and young people access the support they need.

Children and Young People

Environment

Food

£150,000 (over 3 years) Towards salaries and other associated cost for work to improve the emotional wellbeing of care leavers in Cornwall. £499,895 (over 5 years) Towards salary and associated project costs to pilot a new service for developing life-long, supportive networks for children and young people who are care-experienced.

£188,845 (over 2 years) Towards a programme to improve relationships between looked-after children, their carers and others around them, empowering them to manage conflict before it becomes destructive. £1,000,000 (over 3 years) Towards a programme to improve ‘leaving care’ practice in local authorities through better use of data.

£150,000 (over 3 years) Towards the costs of a programme co-designed with care-experienced young people in Salford, which aims to reduce social isolation, build informal relationships and support transition to adulthood through supported volunteering opportunities.

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Esmée Fairbairn Foundation Annual Report & Accounts 2017

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Environment

We believe that people are the key to tackling the environmental challenges we face today. We fund organisations who can move, engage and inform people, and connect with the bigger picture of policy-making, social justice, or quality of life.

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Arts

Children and Young People

Environment

Funding priorities: •C  onnecting people with nature and environment issues • Countering the effects of damaging activity • Lesser known plants, animals and organisms • Nature conservation on land and at sea

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Environment Overview

2017 Grants by funding priority

£8.1m 45

Approved in 2017

Connecting people with nature and environment issues

Countering the effects of damaging activity

Lesser known plants animals and organisms

Nature conservation on land and at sea

No. grants

£2.2m

No. grants

£4.2m

16

2

No. grants

20

No. grants

7

£310k

£1.4m

No. of applications received per priority 2017

Total Grants

108 60 Connecting people with nature and environment issues

Chief Executive’s Report

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Arts

Children and Young People

Environment

Food

6

Countering the effects of damaging activity

Social Change

21

Funding in Partnership

Lesser known plants animals and organisms

Social Investment

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Nature conservation on land and at sea

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Environment Grants

Priority: Connecting people with nature and environment issues

£60,000 (over 2 years) Towards the salaries and other costs of the director and programme manager to empower young people to engage and make a difference on nature conservation and environmental issues. £60,000 (over 2 years) Towards salaries of a national co-ordinator and a Pembrokeshire outreach co-ordinator to improve the quality of volunteer-led work on reptiles and amphibians.

Chief Executive’s Report

Chairman’s Statement

£138,388 (over 3 years) Towards salary and other costs of the development officer, and additional support to build the organisation’s capacity to support the conservation of ancient and veteran trees, through increasing best practice in management and encouraging more public engagement.

£150,000 (over 3 years) Towards the core costs of implementing the Mersey Forest Plan to grow and develop local woodlands and green infrastructure.

Headwaters Project £60,000 (over 2 years) Towards the new post of conservation manager to enable a greater focus on community involvement and extending the fenland corridor adjacent to the river for people and wildlife.

£60,000 (over 2 years) Towards salary costs to roll out a programme using drama techniques to engage children aged 3–11, who Sustainability Exchange £57,115 (over 18 months) live in urban environments, with Towards the costs of a project nature. £75,000 (over 3 years) to engage communities in Clean Towards the salary and other costs Air Zones in England, to support of the conservation officer to £703,376 (over 5 years) them to develop action plans for manage the volunteer network, Towards core costs to expand improving air-quality in their ensuring ongoing education and support for Scottish marine localities. conservation to protect wetland communities to improve marine habitats and dragonflies. management and to take action £15,000 (over 6 months) to reduce microbeads and other Towards the costs of a plastics pollution in UK seas. £150,000 (over 5 years) communications campaign between Towards core costs for a strategic a number of marine conservation development tackling litter at a local organisations to secure greater level and expanding programmes commitment from the UK to Birmingham and beyond. Government towards protection of the seas.

Funding Overview

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£60,000 (over 3 years) Towards the salary costs of a learning officer to increase the engagement of families and young people with nature.

£75,734 (over 3 years) Towards the social enterprise operational manager post, working with communities in Burnley on horticulture and other opportunities to improve access to green space, green skills and bringing the community together.

£60,000 (over 2 years) Towards core costs for the Eco Kids programme of work, helping young people in Thorpe Edge, Bradford, to engage with nature and enjoy activities to improve their understanding of nature and food.

£150,000 (over 2 years) Towards the salary costs of the director and other core costs of the National Wildflower Centre as it transfers to the Eden Project. £295,000 (over 3 years) Towards the costs of two new posts, regional development manager and regional development advisor, to work with Salford and other Greater Manchester communities to involve them in the planning and delivery of a major new garden project in the north of England, RHS Garden Bridgewater, Worsley.

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Environment Grants

Priority: Countering the effects of damaging activity

Ashden Sustainable Solutions Better Lives £10,000 (over 1 year) Towards sponsorship of the 2017 Ashden Award for Clean Air in Towns and Cities. Association for the Protection of Rural Scotland £58,040 (over 2 years) Towards core and project costs in implementing a deposit return scheme in Scotland for plastic bottles, drinks cans and glass bottles to reduce levels of littering on land and in Scottish waters. Centre for Sustainable Energy £189,106 (over 3 years) Towards the costs of a project to introduce stronger responsibilities in local and neighbourhood plans to consider environmental impact and solutions.

ClientEarth £1,500,000 (over 3 years) Towards core costs in deploying strategic legal interventions to protect the UK environment in the context of Brexit and strengthening the organisation’s growth to institution level. level Community Transport Calderdale Ltd £35,000 (over 1 year) Towards the chief executive’s salary and other core costs as the organisation explores innovative transport solutions to reduce car use and for people to access services and alleviate loneliness.

Farm Carbon Cutting Toolkit £16,600 (over 3 years) Towards the Soil Carbon project, to further work with farmers to improve environmental practice on farms through case studies and Chemicals, Health, and experience and to make soil health Environmental Monitoring Trust a key part of farmers’ thinking. £60,000 (over 18 months) Towards core costs in co-ordinating Friends of the Earth Scotland work on the future regulation of £60,000 (over 3 years) Towards the salary and associated chemicals during the process of the UK leaving the European costs of advocacy work to secure effective action on air pollution in Union, to ensure equivalent or better regulations for chemicals Scotland. to be used in the future in the UK.

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Close X

Global Action Plan £15,000 (over 6 months) Towards the development of a communications and marketing strategy to support Global Action Plan to launch a new approach working with young people to tackle the environmental problem of over-consumption.

We are most proud of creating a cultural shift where individuals, companies and the government are more aware than ever that plastic pollution must be dealt with. Major supermarkets are banning single-use plastics, restaurants and bars are no longer wasting straws and the re-introduction of bottle deposit schemes are on their way!

Green Alliance Trust £50,000 (over 6 months) Towards core costs to support the work on the Greener UK Unit to ensure the UK has strong or stronger environmental protections as it leaves the EU. Green Alliance Trust £300,000 (over 3 years) Towards core costs to continue policy work and build the environment sector response to environmental issues raised as Britain exits the European Union.

Greenpeace greenpeace.org.uk/greenpeace-environmental-trust/ greenpeace.org.uk/greenpeace-environmental-trust/ Environmental Trust greenpeace.org.uk

Greenpeace Environmental Trust Click to discover more

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Esmée Fairbairn Foundation Annual Report & Accounts 2017

26

Environment Grants

Priority: Countering the effects of damaging activity (cont.)

Priority: Lesser known plants animals and organisms

£300,000 (over 3 years) Towards delivering a suite of UK marine work, including the costs of the salary of the head of oceans, to take action on marine plastics pollution, supporting smaller-scale fishermen and ensuring supermarkets stock fish and shellfish that represent the best sustainable choices available. £69,560 (over 1 year) Towards project costs including the salary of a development worker to design, pilot and evaluate interventions to prevent and reduce fly-tipping in Oldham with a view to a wider roll-out.

Chief Executive’s Report

Chairman’s Statement

£150,000 (over 2 years) Towards the expansion and diversification of Repowering’s work to deliver community-owned energy projects and wider social benefits in areas of London particularly affected by fuel poverty. £300,000 (over 5 years) Towards salary and additional costs of the national co-ordinator and regional representatives to secure stronger conservation through sustainable fishing practice and supporting creeling and hand diving as livelihoods for the future in Scotland.

Funding Overview

Arts

£299,000 (over 3 years) Towards core costs of the International Union for the Conservation of Nature UK Peatland Programme which co-ordinates work on conserving and making the case for UK peatlands. £500,000 (over 5 years) Towards the core costs of an organisation that influences the behaviour of institutional investors and public companies to unlock social and environmental benefits. £135,000 (over 3 years) Towards the project costs of a seed sovereignty programme for the UK, to promote a biodiverse and resilient arable and vegetable seed system.

Children and Young People

Environment

Food

£135,000 (over 3 years) Support towards core costs to continue Restart’s work to inspire people to repair their electronic goods and influence decisionmakers to remove barriers to using these goods for longer.

£40,000 (over 1 year) Towards the Tomorrow’s Biodiversity project officer post to maximise learning on lesser-known and uncharismatic species and explore further opportunities for learning.

£270,000 (over 3 years) Towards supporting the work of the £60,000 (over 9 months) North Pennines AONB on peatland Towards the costs of the Heat through practical demonstration and & Energy Efficiency Infrastructure programme, to increase Government contribution to national advocacy to bring about long-term, sustainable support for making energypeatland management. efficiency and low carbon heat an infrastructure investment priority to help the UK meet its carbon budgets and tackle fuel poverty.

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Esmée Fairbairn Foundation Annual Report & Accounts 2017

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Environment Grants

Priority: Nature conservation on land and at sea

Close X

Campaign for National Parks £175,000 (over 5 years) Towards the chief executive post and additional resources to support National Parks to respond to challenges at a local and national level.

Our Primary School children grow with the constant learning provided by visiting, talking about, producing art work from the LOHP sites.

Cumbria Wildlife Trust £100,000 (over 3 years) Towards the continuation of the Irish Sea Marine Advocacy Programme to ensure conservation representation, protection and management of the Irish Sea Sea. Northern Ireland Marine Task Force £227,864 (over 3 years) Towards core costs to continue marine advocacy work in the Irish Sea to secure designation and appropriate management of protected areas for the benefit of wildlife and people.

lohp.org.uk lohp.org.uk

Scottish Wildlife Trust £57,827 (over 3 years) Towards the salary and associated costs towards a longer-term vision for land use policy in Scotland Trees for Life £150,000 (over 2 years) Towards the costs of the Caledonian Pinewood Rescue Project, which will identify the health of remnants of the Caledonian Forest and the approaches to conserve it. Yorkshire Wildlife Trust £500,000 (over 5 years) Towards core costs of the organisation in taking an innovative approach to engaging people through nature-based projects that directly link to issues affecting those communities. Yorkshire Wildlife Trust £176,628 (over 4 years) Towards continuing marine advocacy work in the North Sea on behalf of 12 Wildlife Trusts to secure and manage Marine Protected Areas for the benefit of wildlife and people.

Little Ouse lohp.org.uk Click to discover more

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Food

We believe there are ways to produce higher quality food that are better for people, the environment and livestock. We support community involvement in food production, the development of a more positive policy position for sustainable food and diets, and reduced use of harmful pesticides, herbicides, antibiotics and fossil fuels.

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Food

Funding priorities: • Innovation in alternative approaches • Food and wellbeing • Working towards a more coherent food sector

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Food Overview

2017 Grants by funding priority

£3.7m 20

Approved in 2017

Food and wellbeing

£435k

Innovation in alternative approaches

No. grants

No. grants

£433k

3

Working towards a more coherent food sector

No. grants

£2.8m

6

11

No. of applications received per priority 2017

Total Grants

33

24

Food and wellbeing

Chief Executive’s Report

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Funding Overview

Arts

Children and Young People

Environment

Food

16

Innovation in alternative approaches

Social Change

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TASK Fund

Working towards a more coherent food sector

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Food Grants

Food Grants

Priority: Food and wellbeing

Priority: Innovation in alternative approaches Close X

Our fisheries work hard to sustain the delicate eco balance of sea life and all of our fish is completely traceable, from shore to door.’

Alexdanra Rose Charities £150,000 (over 3v 3 years) years) Towards core costs to scale up a successful model for increasing the consumption of fruit and vegetables by families living on low incomes incomes. Consensus Action on Salt, Sugar and Health (CASSH) £225,000 (over 3 years) Towards the costs of a programme of product testing, awarenessraising and work to influence the food industry, leading to reduced sugar consumption.

Bosavern Community Farm £60,000 (over 2 years) Towards a development co-ordinator to support the next phase of growth of the social enterprise, increasing community engagement, access to locallygrown food and championing local produce.

The Dartington Hall Trust £148,081 (over 4 years) Towards the salary of the community resilience manager, who is leading the Trust’s transition of its agricultural estate from conventional to sustainable production.

Sole of Discretion £42,000 (over 2 years) Towards staff costs while Sole of Discretion develops the market for sustainably caught fish and improves equality within the fresh fish supply chain.

Farmdrop Farmdrop

Real Food Wythenshawe £60,000 (over 2 years) Towards the project costs of Real Food Wythenshawe, which promotes behaviour change around food, whilst improving the environment and encouraging more sustainable lifestyles.

The Community Farm £106,461 (over 3 years) Towards the staff costs of a community-supported agriculture project that has the potential to become financially self-sustaining.

soleofdiscretion.co.uk

South Suffolk Low Carbon Food CIC (The Oak Tree Farm) £38,302 (over 2 years) Towards the staffing costs associated with the community farm as it continues to move towards financial self-sustainability.

Transition Town Totnes Ltd £38,230 (over 1 year) Towards a project that will shift the focus of local cereal and pulse production from animal consumption to humans, to make local supply chains greener and increase the nutritional quality of a diet of locally-sourced foods.

Sole of Discretion soleofdiscretion.co.uk Click to discover more

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Esmée Fairbairn Foundation Annual Report & Accounts 2017

31

Food Grants

Priority: Working towards a more coherent food sector Close X

We are most proud of setting up and launching an ambitious, bold and innovative independent Commission, led by a strong group of Commissioners and a serious commitment to engaging citizens voices in food, farming and countryside issues thersa.org

Brighton & Hove Food Partnership £286,013 (over 4 years) Towards salary and project costs to increase access to healthier, more sustainable food.

Eating Better £265,069 (over 3 years) Towards the cost of the Eating Better initiative, encouraging the production and consumption of less but better meat. City University Green Future Associates CIC (Food Research Collaboration) £59,200 (over 1 year) £376,532 (over 3 years) Towards the cost of enabling Towards core staff and operating work to demonstrate the potential costs at a critical time in food policy of community and small-scale development. producers to contribute to local Compassion in World Farming food systems. £503,437 (over 5 years) Health and Local Towards salary and other costs Food for Families to improve corporate policy and £40,194 (over 3 years) Towards costs as the new food practice in the UK food retail sector, to increase the quantity of hub that benefits local residents, sustainably and humanely produced producers and independent retailers animal products. scales up, building a more coherent food system.

RSA £1,054,197 (over 2 years) Towards the cost of a major independent Commission that will aim to improve policy around food, farming and the countryside. Soil Association £20,000 (over 6 months) Towards the initial phase of the development of an independent Commission on food that will aim to ensure that sustainable production and consumption feature in emergent UK food policy in the years ahead ahead. The Food Foundation £149,969 (over 3 years) Towards core salary and project costs for work to improve diets in the UK. The Real Farming Trust £20,000 (over 2 years) Towards the cost of running the Oxford Real Farming Conference during 2018 and 2019.

RSA thersa.org Click to discover more

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Social Change A just and inclusive society benefits us all. We fund ambitious and challenging work that puts those who have been marginalised at the heart of creating change. We aim to give people the power to develop their own voices, shine new light on areas of need and challenge the cultures, systems and behaviours that stand in the way of change.

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Arts

Children and Young People

Environment

Funding priorities: • Participation - marginalised and excluded individuals and groups • Place - revitalising community life • Injustice - systemic change around injustice and inequality

Food

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Esmée Fairbairn Foundation Annual Report & Accounts 2017

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Social Change Overview

2017 Grants by funding priority

£12.2m 90 Approved in 2017

Injustice - systemic change around injustice and inequality

£3.6m

No. grants

30

Participation - marginalised and excluded individuals and groups

£3.2m

Place - revitalising community life

No. grants

£4.8m

28

Other

No. grants

No. grants

15

17

£628k

No. of applications received per priority 2017

Total Grants

130

443

105 17

Injustice - systemic change around injustice and inequality

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Arts

Children and Young People

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Food

Participation - marginalised and excluded individuals and groups

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Place - revitalising community life

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Other

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Social Change Grants

Priority: Injustice – systemic change around injustice and inequality

£135,000 (over 3 years) Towards core costs to: provide specialist peer support to families who are affected by domestic homicides; improve the quality of domestic homicide reviews; and, improve the response to domestic abuse. £150,000 (over 3 years) Towards core costs of a membership body for visitor groups bringing emotional and practical support to immigration detainees. £150,000 (over 3 years) Towards core costs of an organisation that builds the skills and capacity of campaigners. £20,000 (over 1 year) Towards the roll-out of the Your Local Pantry food club franchise across a number of regions in England, and to support the programme to become selffinancing.

Chief Executive’s Report

Chairman’s Statement

£38,365 (over 3 years) Towards the salary costs of an evaluation and learning officer responsible for overseeing data collection and analysis on projects that are part of the five-year Early Action Neighbourhood Fund. £150,000 (over 3 years) Towards salary and overhead costs related to a project that seeks to stabilise families in distress through specialist legal advice and representation. £150,000 (over 3 years) Towards core costs for work with perpetrators to prevent domestic abuse and increase the safety of victims. £12,000 (over 6 months) Towards a project to bring the UK Violence Against Women and Girls (VAWG) sector together to co-ordinate input into the Shadow VAWG Action Plan and potential new legislation.

Funding Overview

Arts

£257,628 (over 5 years) Towards core costs for the UK-based work to influence system change and protect the rights of girls and women marginalised by ‘honour’ based violence, FGM, forced marriage and domestic abuse. £35,000 (over 1 year) Towards core costs of Inside Justice, an organisation working towards systems improvement to alter practice relating to appeals against convictions. £150,000 (over 3 years) Towards the salary of the strategic lead and project costs to explore and improve locally and nationally the response to those who are in unsupported temporary accommodation and ensure their stays are short, safe and healthy.

Children and Young People

Environment

Food

£60,000 (over 2 years) Towards the salary costs of a national director to expand a UK-wide network, working strategically to reduce and prevent destitution among asylum seekers, refugees and migrants with no recourse to public funds.

£50,365 (over 2 years) Towards the director’s salary and £120,000 (over 3 years) Towards core costs of the Migration a contribution to core costs to Observatory, an independent source increase access to legal advice for women affected by violence, of data and analysis on migration. influence policy and improve the sustainability of the organisation. £295,000 (over 5 years) Towards the salary of the CEO to support families of victims of child sexual exploitation.

£116,836 (over 3 years) Towards the salary of a policy and campaigns officer to tackle fuel poverty in Northern Ireland through £32,026 (over 3 months) the Fuel Poverty Coalition. Towards the development of a digital solution to improve advice £90,000 (over 3 years) and support for refugees and Towards the salary of the chief asylum seekers. executive to support greater access to justice for sex workers when they £18,182 (over 1 year) are victims of crime. Towards a review of the national £144,000 (over 3 years) Towards the salary costs of specialist support staff who work directly with victims of human trafficking, modern-day slavery and sexual exploitation and also influence practice across Wales.

Social Change

Funding in Partnership

£147,007 (over 3 years) Towards a project to address poor decision-making with regard to benefits sanctions and work requirements that adversely affect vulnerable people. £20,000 (over 6 months) Towards the salary of a worker to develop dedicated support for young FGM victims who are asylum seekers/refugees dispersed to Glasgow.

standards for work with domestic abuse perpetrators and the accompanying accreditation system £50,000 (over 3 years) for service delivery organisations. Towards core costs of an organisation providing support to detainees and advocating policy change within Scotland.

Social Investment

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Priority: Injustice – systemic change around injustice and inequality (cont.)

Social Change Grants

£500,000 (over 5 years) Towards the costs of the Impact Incubator, enabling the development of new models to support the most vulnerable people in society.

£60,000 (over 2 years) Towards work with policy-makers to ensure that new budgets and policies do not have unintended negative consequences which create or entrench women’s inequality.

£360,000 (over 3 years) Towards core costs of an organisation aiming to encourage more funders and statutory bodies to publish their grant data in an open format, and to help charities use that data.

£150,000 (over 3 years) Towards the core costs of Agenda, including the salary of the policy manager to advocate and influence policy affecting women facing multiple disadvantage.

£20,000 (over 1 year) Towards the core costs of this membership organisation which seeks to support, develop and champion voluntary sector leaders.

West Kensington and Gibbs Green Community Housing £60,000 (over 3 years) Towards the continuation of the campaign to enable the local community to take ownership of their homes and avoid their demolition for commercial development by the local authority.

£31,500 (over 1 year) Towards additional subsidy for the Charityworks small charities programme, allowing organisations to access talented graduates on year-long placements.

£60,000 (over 1 year) Towards the WOW (Women of the World) and BAM (Being a Man) festivals in 2017, which explore issues related to gender equality and identity. £150,000 (over 3 years) Towards a co-ordinated response to preventing human trafficking in Hastings, through partnership working, training vulnerable groups, and community action. £200,000 (over 5 years) Towards core salary and project costs for work to improve outcomes for people with severe learning disabilities.

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Priority: Other

Arts

Children and Young People

Environment

Food

£30,000 (over 2 years) Towards the salary and other costs related to providing the secretariat to the Early Action Funders Alliance. £25,000 (over 1 year) Towards a sustainable funding development manager to develop a new funding mechanism and increase collaboration in the LGBT sector. £20,000 (over 1 year) Towards the evaluation of a social investment in PACT Lunch catering services in prison visitor centres. £21,000 (over 6 months) Towards the feasibility of a demonstration project to create more prosperous communities in the West Midlands.

Social Change

Funding in Partnership

£7,500 (over 9 months) Towards the development of a common understanding of what good progress – or ‘milestones’ – look like for projects using technology for social impact in the UK. £10,000 (over 1 year) Towards the co-ordination of activities at a national and local level to bring about policy change resulting in a more social and fairer economy.

£20,000 (over 1 year) Towards scoping the feasibility of a new innovation app, Ideas4Good, to help charities with income generation and collaboration. And to create a prototype together with a tech provider, N3XTCODER.

Social Investment

TASK Fund

£10,000 (over 1 year) Towards a sharing event exploring the potential impact of open data on social innovation in the UK. £20,000 (over 1 year) Towards the costs of six social innovation start-up initiatives founded by graduates of the Year Here programme. £20,000 (over 1 year) Towards the continuation of the Year Here programme supporting a further six social innovation start-up initiatives.

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Social Change Grants

Priority: Participation – marginalised and excluded individuals and groups Close X Ashley Community Housing £15,000 (over 1 year) Towards developing a retail investment proposition to provide housing and support to refugees. Bristol Braille Technology CIC £48,000 (over 6 months) Towards the development of a new digital braille reader, the Canute. Care & Repair England £150,000 (over 3 years) Towards core costs to enable marginalised older people to influence decision-making about housing and related services in order to create better homes for ageing well. Catch 22 £58,000 (over 2 years) Towards the Street to Scale initiative led by Charlie Howard at the Owls organisation. Charityworks £12,000 (over 1 year) Towards the costs of research to scope the need for diversifying the profile of staff and trustees within the grant-making and philanthropy sectors.

Chief Executive’s Report

Chairman’s Statement

Charityworks £150,000 (over 3 years) Towards the costs of a collaborative programme that aims to ensure greater diversity in the staff teams within charitable trusts and foundations. Civil Exchange £20,000 (over 1 year) Towards the costs of Better Way, an initiative to convene leaders in the voluntary sector to generate new thinking on the future for charitable activity. Clinks Care Farm Ltd £43,350 (over 3 years) Towards a co-ordinator salary to enhance opportunities and outcomes for increased numbers of marginalised people and to help the organisation maximise its earned income from produce sales. Community Catalysts CIC £454,835 (over 3 years) Towards the costs of a pilot programme of support for entrepreneurs running social businesses to address loneliness and increase community wellbeing.

Funding Overview

Arts

We’re proud that through younger and older people sharing new experiences and friendships, we’re helping both groups to reduce loneliness and feel part of their rapidly changing cities, rather than left behind by them. And we’re proud that our model is beginning to be adopted in new urban locations around the country.

Comunity Links £150,000 (over 6 months) Towards a contribution to core costs of an organisation providing multiple services to local communities in East London. Contact a Family £150,000 (over 3 years) Towards the core costs of an organisation that works with families with disabled children in order to improve peer-support and campaign for improved future services. Coroners’ Courts Support Service £101,950 (over 3 years) Towards the salary costs of a northern regional manager to manage and expand services supporting bereaved families and witnesses when they attend an inquest at the Coroner’s Court. Economy £60,000 (over 2 years) Towards delivering a community crash-course in economics to engage those who do not typically engage with economics and improve understanding, confidence and encourage social action.

Children and Young People

Environment

Food

northlondoncares.org.uk

The Cares Family ClickCares The to discover Familymore

Social Change

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Priority: Participation – marginalised and excluded individuals and groups (cont.)

£150,000 (over 3 years) Towards the director of development and strategic partnerships to expand a new approach to tackling entrenched homelessness issues.

£90,000 (over 3 years) Towards core costs of an organisation supporting women refugees and asylum seekers across the North West of England. £58,000 (over 2 years) Towards core costs, for an organisation undertaking migrantorganising and leadership development.

Chief Executive’s Report

Chairman’s Statement

£116,180 (over 3 years) £60,000 (over 1 year) Towards the salary of a regional Towards enabling the redevelopment adviser and trainer, and project of the Advocacy Quality Performance costs to improve outcomes for Mark and to devise and implement a marginalised, illiterate adults living quality framework associated with in deprived parts of North West the Carers Pathway to enable England. improved response to the Care Act. £210,500 (over 5 years) Towards project officer, management and evaluation costs to test the efficacy of a programme which reduces loneliness amongst older people, in a different geographic area.

£59,200 (over 6 months) Towards costs of Social Investment Scotland, working with Glasgow Homelessness Network to develop and begin implementation of a pilot fund that would roll out Housing First, ultimately supporting c.500 homeless people.

Arts

Children and Young People

£150,000 (over 3 years) Towards the salary of the SAFE Communities project co-ordinator to improve community- and faithbased organisations’ response to domestic violence and abuse. £225,000 (over 3 years) Towards the costs of the Families Together Initiative, a collaborative response to supporting family reunion and integration of refugees and migrants.

£5,000 (over 6 months) Towards a listening pilgrimage to capture views on refugees/ immigration in various communities across the UK.

Funding Overview

£150,000 (over 3 years) Towards the cost of the organisation’s development team, which will expand activity to enable engagement in sport among people with learning disabilities in areas where current levels of participation are low.

Environment

Food

Social Change

Funding in Partnership

£150,000 (over 4 years) Towards the salaries of a chief executive and business development manager in an organisation that works to enable older people to live independently at home.

£131,086 (over 3 years) Towards core costs including the salary of the director to support women and girls and champion gender equality in Scotland.

£60,000 (over 3 years) Towards the costs of the community and creative programmes delivering innovative activities and opportunities focused on engaging marginalised and excluded people. £150,000 (over 3 years) Towards core costs to support women in the criminal justice system, enabling their voices to be heard and reducing the number of women in prison.

Social Investment

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Social Change Grants

Priority: Place – revitalising community life

£60,000 (over 3 years) Towards a project manager post to develop a new model of coastal community development that connects the landscape and communities to work towards sustainable futures in Barrow. £120,000 (over 3 years) Towards the salary of a community engagement worker to create opportunities for the most marginalised communities in Bradford to participate and have their voices heard through local radio. £40,000 (over 1 year) owards core costs to provide capacity-building support to Northern Ireland’s community and voluntary sector, so that they can engage meaningfully in the new community planning structures set up by the new local councils.

Chief Executive’s Report

Chairman’s Statement

£20,000 (over 1 year) Towards funding for a project which supports the community through growing projects and seeks to run leadership work to enable others to do the same.

£1,000,000 (over 5 years) Towards the costs of setting up Participatory City in Barking and Dagenham, an initiative to encourage large-scale civic and social engagement.

£2,000 (over 6 months) Towards #letschangethat – a competition that will offer three prizes to projects which enable people to create positive change in communities across Scotland.

£100,000 (over 3 years) Towards core costs to help expand the football exchange programme and provide greater opportunities for participants to become ambassadors and young leaders.

£1,300,000 (over 5 years) Towards a place-based funding programme in Plymouth that will seek to co-ordinate and make more effective the work of the local voluntary sector.

£60,000 (over 2 years) Towards funding for demonstrationsite partners giving them capacity to fully engage in the Empty Homes £60,000 (over 2 years) project bringing empty homes back Towards the salary of the community development worker into use. on an exceptional basis whilst the organisation recovers from a fire. £150,000 (over 5 years)

£121,053 (over 3 years) Towards the salary of the director to lead community development initiatives in Watchet. £50,000 (over 6 months) Towards additional development funding for the Participatory City pilot project in Barking and Dagenham, an initiative to encourage large-scale civic and social engagement.

Funding Overview

Arts

£1,431,027 (over 5 years) Towards a package of support and grant funding to voluntary sector organisations in Sandwell, enabling improved response to local need and the building of strong communities.

£59,150 (over 9 months) Towards We Are, a place-based outreach and education programme, to develop the skills and capacity of economically marginalised and socially isolated communities in creating a blueprint for change in the physical environment.

Towards core costs to allow the organisation to continue its work to build community cohesion in areas of disadvantage. homelessness issues.

£210,990 (over 3 years) Towards core costs to support campaigners and continuation of the Grassroots Action Support (GAS) Fund.

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Conduits and Mergers

Merger Fund

When organisations have not yet developed rigorous financial and other processes we sometimes use a conduit to oversee the management of our funding or where we feel a grantee can benefit substantially from the additional resources that are available because of the relationship.

We have a Merger Fund that supports organisations in the early stages of thinking about merging with partner organisations. In 2017, five grants totalling £79,570 were made. To respect the confidential nature of these grants we do not list the individual recipient organisations.

The following organisations received a grant via a conduit in 2017: £58,000 (over 2 years) Sector – Social Change Priority – Participation – marginalised and excluded individuals and groups

£12,000 (over 1 year) Sector – Social Change Priority – Participation – marginalised and excluded individuals and groups

£150,000 (over 3 years) Sector – Social Change Priority – Injustice – systemic change around injustice and inequality

Towards Ten Years’ Time for the costs of research to scope the need for diversifying the profile of staff and trustees within the grant making and philanthropy sectors.

Towards the core costs of Agenda, including the salary of the policy manager to advocate and influence policy affecting women facing multiple disadvantage

£20,000 (over 9 months) Sector – Children and Young People Priority – Empowering young leaders

Towards the pilot of the first UK Peace First Challenge, working with Towards the costs of incubating the a coalition of UK youth organisations. Street to Scale initiative, which will seek to test ideas generated by communities that address longstanding social problems.

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Funding in Partnership The Foundation sometimes works in partnership with other funders or organisations to target a particular region, community or sector, or to help tackle a specific issue.

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Funding in Partnership (cont.)

£365,000 (over three years made in 2014) Towards a grant scheme that supports the sustainability of small and medium-sized independent museums through incomegeneration and organisational resilience. In 2017, six grants were made totalling £35,538. £75,500 (over one year)* Towards the continuation of the Sustainability Grants Scheme, which aims to improve the longterm resilience of small and medium sized independent museums. In 2017, nine grants were made totalling £40,745.

£545,000 (over three years made in 2016) Towards the continuation of the Community Touring Network, a partnership programme in areas typically associated with low levels of cultural engagement. In 2017, this grant contributed towards eight annual grants totalling £166,000, to fund regionally based producing teams to support community cohesion and reduce social exclusion through nurturing local talent and cultural activity. £150,000 (over two years made in 2015) Towards a partnership fund to take forward projects created through the Calouste Gulbenkian Foundation’s Sharing the Stage initiative for participatory performance projects. In 2017, six grants were made totalling £968,826, using funds provided by the Calouste Gulbenkian Foundation and the Esmee Fairbairn Foundation.

£38,365 (over three years)* Towards the salary costs of an evaluation and learning officer responsible for overseeing data collection and analysis on projects that are part of the five year Early Action Neighbourhood Fund. This grant will be allocated to Central England Law for work to continue over the next three years. £150,000 (over three years)* Towards the costs of the Strategic Legal Fund which supports efforts to uphold and promote the rights of vulnerable migrant children and young people. In 2017, one grant was made totalling £1,687.

£270,000 (over five years made in 2014) Towards the continuation of the Technical Assistance element of the CLT fund enabling the establishment of a further 70+ CLTs and the building of over 600 new community owned affordable homes. In 2017, 47 grants were made totalling £101,325. £1,300,000 (over five years)* Towards a place based funding programme in Plymouth that will seek to coordinate and make more effective the work of the local voluntary sector. Grant-making will commence in 2018. £150,000 (over three years made in 2015) Towards a grant fund to enable composers to build a sustainable career. In 2017, seven grants were made totalling £48,579.

£1,431,027 (over five years)* Towards a package of support and grant funding to voluntary sector organisations in Sandwell, enabling improved response to local need and the building of strong communities. Grant-making will commence in 2018. £192,500 (over five years made in 2015) Towards a small grants programme benefiting grassroots organisations in rural areas. In 2017, 59 grants were made totalling £33,000. £224,000 (over one year made in 2016) Towards a contribution to community inspired initiatives that feature on Spacehive, a crowdfunding web based platform. In 2017, 18 grants were made totalling £71,850.

£100,000 (over one year made in 2016) Towards the continuation of the New Collecting Awards programme for museums and galleries. In 2017, with support from a consortium of funders including Esmee Fairbairn Foundation, awarded six grants totalling £300,000. £200,000 (over three years made in 2016) Towards a contribution to a Fund that will support effective use of the law and human rights based approaches to address systemic injustice within the UK. In 2017 this grant contributed towards 18 jointly funded grants totalling £1,095,934. £200,000 (over two years)* Towards The Listening Fund a delegated grant fund for organisations to explore how to use and integrate feedback from young people into their work. Grantmaking will commence in 2018.

*These grants are also included in the grants listed on pages 9 – 39.

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Funding in Partnership (cont.)

£391,000 (over three years made in 2016) Towards phase two of the Hull Community Development Programme which aims to strengthen communities and help create a city that is a safer, happier and more productive place to live and work. In 2017, nine grants were made totalling £187,000. £337,294 (over two years made in 2015) Towards Solutions for an Ageing Society Awards Programme, which seeks innovative solutions that address the challenges of an ageing population, such as isolation and loneliness. In 2017, five grants were committed to partners who received £25,000 each to distribute as grant awards, totalling £125,000. £25,000 (over two years) £25,000 (over two years)

Chief Executive’s Report

Chairman’s Statement

£25,000 (over two years) £25,000 (over two years) £25,000 (over two years)

Esmée Fairbairn Collections Fund

We also give grants to the museum sector through the Esmée Fairbairn Collections Fund, managed by the Museums Association. In 2017, 12 grants were made, totalling £1,272,007.

Museums Association £3,941,914 (over three years made in 2016) £110,530 (over 3 years) For Cardiff’s Communities: Our City, Our Story, Our Museum, working with new and existing community partners to ensure the core collection is representative of Cardiff’s cultural diversity and creating a team of ambassadors to link community and museum.

Funding Overview

Arts

£96,197 (over 3 years) For Citizen Curators to work with accredited museum partners to deliver a work-based training programme for volunteers from the local community in modern curatorial practice and bringing together objects to form a Cornish National Collection. Doncaster Museum £78,850 (over 2 years) For a project building skills and raising aspirations in Doncaster’s ex-mining communities using Doncaster Museum’s mining collections to inspire intergenerational collaboration and encourage community cohesion. £99,863 (over 2 years) For A New Sun, illuminating history, national identity and the modern world through the JarrowWearmouth collection and the life and works of Bede, the father of English history.

Children and Young People

Environment

Food

£119,013 (over 3 years) To research and identify items in the collection that tell the story of the spread of news and ideas and to take objects out to rural communities to share this knowledge, strengthen communities, reduce social isolation and build intergenerational relationships. £119,500 (over 2 years) For Revealing Stories: Reviewing the Ancient Egypt and China, Japan and Korean collections to widen engagement with young people, BAME and individuals with additional support needs and create a partnership for Scottish Museums. Parc Howard Museum £103,350 (over 3 years) For a project revealing the importance of the Llanelly Pottery collection making connections with new and diverse audiences.

Social Change

Funding in Partnership

£119,912 (over 2 years) For a project working with forced migrants to create community curators and guides to enhance the understanding and use of Oxford University Museums’ collections.

£71,700 (over 2 years) For researching, documenting and redisplaying the museum’s Jacquard and block printing collection and providing STEM learning opportunities for young people including digital coding and design.

£120,000 (over 3 years) To restore and use the Golden Orfe motor yacht as a floating exhibit, learning resource, and oral history collecting-point visiting coastal communities. £115,360 (over 3 years) For a project working with young people and the costume collection, rediscovering items hidden in storage and creating links between generations.

Social Investment

TASK Fund

£117,732 (over 2 years) For a project engaging diverse groups of girls and women to create a women’s collection and festival which explores issues of gender inequality, with health and social care partners.

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Social Investment We provide social investment in the form of different types of repayable finance to charities and other notfor-profit organisations, with the aim of creating social impact. Social investment is a different way of funding charitable activities. Within our social investment portfolio we have a Land Purchase Facility, an Arts Transfer Facility and we also make a number of research and development grants. We look to complement our grant-making by investing in our funding sectors, as well as making investments which support the development of the social investment market and increase the total amount of funding available.

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Social Investment

Arts

Environment

Social change

Funding Priority Other

Funding Priority Lesser known plants animals and organisms

Funding Priority Participation - marginalised and excluded individuals and groups

South Midlands Newt Conservation Partnership £400,000 (over 5 years) An investment towards a programme of habitat creation and long-term land management to support the conservation of Great Crested Newts.

£890,000 (over 10 years) An investment in a pan-European venture capital fund supporting UK social enterprise addressing complex social issues to achieve significant social impact and scalability across borders

£75,000 (over 1 year) An investment in the transfer of Long Day’s Journey into Night to the West End.

Funding Priority Nature conservation on land and at sea £55,000 (over 2 years) An investment towards the purchase of the Low Spring Wood, a 4.56 hectare site adjacent to Greno Woods, Sheffield. £451,000 (over 2 years) An investment in the land purchase of Morningside Farm Meadows, Wiltshire.

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Arts

£200,000 (over 7 years) An investment towards an affordable digital braille reader, the Canute, to help braille become more accessible and compatible with digital technology in everyday life.

£500,000 (over 5 years) An investment towards the Housing First Transition Fund pilot, to enable rapid rehousing of people with complex needs who are experiencing long-term street homelessness in Glasgow.

Social investmentrelated grants In 2017 we made 4 social investment-related grants totalling £94,200. Note, these are included in the overall figures for grant-making.

£400,000 (over 5 years) An investment towards taking the Five Lamps personal lending activity to scale across the UK, supporting people affected by financial exclusion, providing an alternative to high-cost lending Funding Priority Place – revitalising community life

£196,000 (over 5 years) £150,000 (over 5 years) Towards an investment to develop An investment in Pact Lunch+ enterprise activity that will crossPrison Visits Hall Catering Facilities. subsidise core conservation and social impact work.

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Social Investment (cont.) Arts

Arts Transfer

£75k

£128k

SIB/PBR

Total 2017 1 No. of SI’s 2017

£900k

£1.2m – Total A.P 4 – No. of SI’s A.P

3 No. of SI’s AP

Total AP

2 No. of SI’s AP

Total AP

Equity

£1.6m Total AP

9 No. of SI’s AP

Social investment by sector

Social change

£2.3m Total 2017

£20.3m – Total A.P 50 – No. of SI’s A.P

£906k

£11.4m

3 No. of SI’s 2017

33 No. of SI’s AP

Social investment by product type

Total AP

Total 2017

£3.3m

6 No. of SI’s 2017

Loan – unsecured

Environment

£31.3m

£8.2m – Total A.P 18 – No. of SI’s A.P

Total 2017

Total 2017 0 No. of SI’s 2017 £1.5m – Total A.P 6 – No. of SI’s A.P

Chief Executive’s Report

12 No. of SI’s AP

Land Purchase Facility

Food

£0

Loan - secured

Total 2017

£4.5m

0 No. of SI’s 2017

Total AP

£60k – Total A.P 1 – No. of SI’s A.P

Chairman’s Statement

Total AP

79 – No. of SI’s 2017

£31.3m – Total A.P 79 – No. of SI’s A.P

£0

£7.2m

Total AP

10 No. of SI’s 2017

Children and young people

Fund

Funding Overview

£5.6m Total AP

8 No. of SI’s AP

12 No. of SI’s AP

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TASK Fund

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TASK Fund

4ALL-Building Community in West Dulwich £15,000

Chalke Valley History Festival for Schools £5,000

Alzheimer’s Society £15,000

Chamber Orchestra of Europe £10,000

Beanstalk £5,000

City & Guilds of London Art School £15,000

Big Hearts Community Trust £15,000 Birkbeck College £15,000 British Film Institute £5,000 British Institute of Florence £5,000 British Trust for Ornithology £15,000 Buttle UK £5,000 Campaign Against Living Miserably £3,000 Canine Partners for Independence £5,000

Deveron Projects £10,000 Devon Wildlife Trust £4,000 Dr Neil’s Garden Trust £10,000 East Neuk Festival £15,000 Edinburgh World Heritage £15,000 English & Media Centre £1,000 English Heritage £3,000 English National Ballet £10,094

Centre for Literacy in Primary Education £7,000

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Chairman’s Statement

English Touring Opera £15,000

Jewish Book Council £5,000

Multiple Sclerosis Society £15,000

Ouseburn Farm Charity Limited £7,500

Exmoor Society £10,000

Julia’s House Ltd £10,000

First Story Ltd £2,000

Jurassic Coast Trust £5,000

Musica Music And Wellbeing CIC £5,000

Oxford Philharmonic Orchestra Trust £15,000

Frinsted Parish Council £11,000

Just Like Us £5,000

National Literacy Trust £3,000

Oxford Radcliffe Hospitals Charitable Fund £7,500

Future Stages £10,000

Kestrel Theatre Company £5,000

Give a Book £15,000

Kissing It Better £15,000

Give a Book £5,000

(LAMDA) London Academy of Music & Dramatic Arts £15,000

Great Dixter Charitable Trust £7,500 Great Dixter Charitable Trust £7,500 Green Templeton College £10,000 Grenfell United Residents Association £15,000 Howard League for Penal Reform £5,000 Incredible Edible Bristol (IEB) £2,500

Funding Overview

Arts

Children and Young People

Environment

Food

Live Theatre £10,000 London Russian Ballet School £10,000 Maggie’s Cancer Caring Centres £5,900 Maudsley Philosophy Group £15,000 Most Mira Project £5,000 Mulberry Bush School Ltd £10,000

Social Change

Funding in Partnership

National Museums Scotland £10,000 Natural History Museum London £5,000 Nordoff Robbins Music Therapy £5,000

Oxfordshire Community Churches £2,000 Petersfield Museum £15,000 Poet in the City £2,000

Norfolk Wildlife Trust £15,000

Poetry Book Society £2,000

North Pennines AONB Partnership £10,000

Poetry in Aldeburgh £7,000

Notting Hill Churches Homeless Concern £15,000 November Club £5,000 Opendemocracy Limited £10,000

Social Investment

TASK Fund

Policy Exchange Ltd £15,000 Policy Exchange Ltd £5,000 Pro Bono Economics £15,000 Public Monuments And Sculpture Association £10,000

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TASK Fund (cont.)

Public Monuments And Sculpture Association £5,406 Pushkin Prizes in Scotland £5,000 RedList Revival £1,000 Resources for Autism £5,000 Rochester Cathedral Trust £10,000 Royal Opera House Foundation £10,000 Royal Society of Literature £10,000

Sing London £13,000

The Food Explorers £15,000

The Oxford Samaritans £3,000

Suffolk Wildlife Trust £15,000

The Frideswide Foundation £10,000

The Parasol Project £5,000

Sussex Community Foundation The Friends of Friendless Churches £15,000 £3,000 Team Domenica The Game & Wildlife Conservation Trust £5,000

£12,000

The Alexandra Wylie Tower Foundation (AWTF) £1,000

The Grange Festival £6,000

The Anne Frank Trust UK £5,000 The Avenues Youth Project £7,500

Royal Society of Literature £2,000 RSPB (The Royal Society for the Protection of Birds) £10,000

The Centre for Theology and Community £10,000

Samling £10,000

The Country Trust £8,000

Scottish Poetry Library £2,000

The English Concert £15,000

Shelter £15,000

The Festivals of Literature Charitable Trust £10,000

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Arts

The Kensington & Chelsea Foundation £5,000 The Literature Prize Foundation £15,000

The Reading Agency £1,500 The Regional Refugee Forum North East £1,000 The Social Bite Fund £10,000

Winslow Hall Opera Development Trust £12,000 Wonderful Beast £3,000 Wordsworth Trust £8,000

Yehudi Menuhin School £10,000 Yorkshire Wildlife Trust £15,000 Young Enterprise UK £5,000

The Stroke Association £5,000

The Lullaby Trust £15,000

Environment

United Kingdom Literacy Association The Prince’s Teaching Institute £1,000 £10,000 Welsh Books Council The Rambert School of Ballet £1,000 and Contemporary Dance

The Stour Festival Company Limited £4,000

The Little Sparta Trust £10,000

Children and Young People

The Place2Be £5,000

The Reader Organisation £1,500

The Kensington & Chelsea Foundation £5,000

The Big House Theatre Company £15,000

Tower Hamlets Air Cadets £10,000

£2,000

The Karta Initiative £10,000

Theatre Royal, Newcastle (Trust Appeal) £5,000

The Young Foundation £10,000

Food

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Trustees’ Report

Chief Executive’s Report

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Funding Overview

Arts

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Environment

Food

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Objectives and Activities

Achievements, Performance Financial and Plans for Future Periods Review

Esmée Fairbairn Foundation exists and operates for the public benefit. Through its grant-making and social investment it works to improve the quality of life throughout the UK. In determining its funding strategies and in the administration of the Foundation generally, the Trustees have paid due regard to the guidance published by the Charity Commission under section 4 of the Charities Act 2011.

The achievements of the Foundation and its impact on beneficiaries, as well as plans for future periods, are outlined in the Chief Executive’s report on pages 3 and 4, the Chairman’s Statement on page 5, the funding overview on pages 6 to 8, the funding priorities on pages 9 to 39, and details of funding on pages 9 to 48.

In 2015 the Foundation launched its Strategic Plan 2015-19. A summary of this is on the Foundation’s website. The Foundation’s primary interests are the Arts, Children and Young People, the Environment, Food, and Social Change. Pages 6 to 8 give an overview of funding. The public benefit created by the Foundation’s grant-making and social investment is demonstrated in this report through listing of grants and social investments that we have made.

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Arts

Financial policies The Foundation’s finance and investment policies are intended to provide long-term stability and liquidity sufficient for the financing of the Foundation’s grants and social investments while maintaining the real value of the endowment. The Foundation has an Investment Policy Statement that sets out the long-term investment objective, risk-profile, strategic asset allocation and investment restrictions. This is reviewed annually. The Foundation’s strategic asset allocation reflects a total-return objective without specific focus on income-generating investments. This approach means that we consider all sources of return, including interest, dividends, capital distributions from funds, and realised and unrealised gains and losses. Income alone would not usually meet all of our future spending needs. Funding targets are arrived at with consideration given to the average value of the investment portfolio, but may be adjusted to take account of need and operational capacity. Funding targets may be over or under-spent in an individual year. The Foundation’s support and governance spend is set by reference to total spend levels to ensure it remains reasonable and proportionate.

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All funds held by the Foundation are unrestricted and available to the Foundation to apply for the general purposes of the Foundation as set out in its governing document. The Foundation aims to achieve a total return of RPI +4% on a rolling five-year average in order to meet its spending requirements. At the year-end the value of reserves held was £997 million. Review of spending During 2017 the Foundation spent £44.6 million (2016: £49.1 million) on grant-making and social investment, a decrease of 9% on the previous year. Support spend remained stable at just over £2.5 million, or 5.4% (2016: 4.7%) of our total spend. That is within our target of 7%. Grant-making spend for the year was £40.5 million (2016: £42.4 million). We expect 2018 grant-making to be at a broadly similar level to the previous three years of the five-year plan. Social investments drawn down during the year amounted to £4.1 million (2016: £6.7 million). At the end of the year the Foundation held social investments of £19.1 million (2016: £20.8 million), with a further £4.7 million (2016: £6.3 million) being committed but not drawn down at year-end. Our target draw-down level for our social investments is £35 million.

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Financial Review (cont.)

Investment review The market value of the Foundation’s investments at the end of 2017 was £1.03 billion (2016: £1.0 billion), an increase of approximately £30 million after spending. The portfolio’s total return of 7.0% in 2017 (2016: 15.9%) under performed the Foundation’s long-term investment objective (RPI+4%) which was 8.3% for the year (versus 6.6% in 2016).

Looking back over one-year, three-year, five-year and since-inception, the performance on an annualised basis of the portfolio against our long-term investment objectives is as follows: Annualised Actual Target performance return return over % (UK RPI +4%) %

Over/ (under) performance %

1 year 3 years 5 years Since inception (2000)

(1.3) 3.8 3.1 (0.1)

7 10.5 9.6 6.8

8.3 6.7 6.5 6.9

Asset Class vs Target Benchmark Annual Return to 31 December 2017 Return Drivers Global Equities MSCI ACWI (Gross) Hedge Funds HFRI FOF Diversified Private Investments MSCI ACWI (Net) +4% Emerging Market Equities

Our strategic target is to have 75% of our holdings in investments which will drive the longterm returns on the endowment (‘return drivers’), 20% in holdings which will help to mitigate volatility over time (‘diversifiers’) and a 5% allocation to cash for liquidity purposes.

MSCI Emerging Markets Gross

Diversifiers Liquid Funds Semi-Liquid Funds Private Diversifiers Diversifiers benchmark (blended)

-20

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Arts

Children and Young People

Environment

Food

-15

Social Change

-10

-5

Funding in Partnership

0

5 Percentage

Social Investment

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10

15

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20

Accounts

25

30

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Financial Review (cont.)

Short-term results need to be seen in the context of progress over longer-term horizons and the strong performance of our global equity funds in 2017 follows a lacklustre result in the preceding year. Similarly, the relatively weak performance of our private investments this year (up 2.8%) follows a rise of 22.1% in 2016.

Asset class v target annual return to 31 December 2017

The majority of the Foundation’s investments are denominated in currencies other than sterling and the relative strength of the pound versus the dollar was a detractor to performance over the period.

14

Where appropriate, we have been taking profits in our return driver holdings and reinvesting the proceeds into new diversifying investments.

12

We remain focused on identifying those managers who can best manage our capital over the long term. Our private equity and venture capital managers, in particular, focus on investments which take a significant time to mature. The last return of capital from a fund is typically 10-15 years after the first investment.

10

Percentage

Return drivers rose by 8.8% during the year while our diversifying assets grew by 0.3%. Our portfolio typically benefits from rising equity markets, although increases and decreases should be less marked than those of the main global stock market indices. Our global equity funds were a key contributor to performance while performance amongst our diversifying funds was more mixed.

8 6 4 2 0 Return Drivers (76.7% allocation)

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Arts

MSCI ACWI Diversifiers (Net) (21.7% allocation)

Children and Young People

Environment

Blended Benchmark

Food

Current market conditions remain challenging. Economic conditions have improved and both the US Federal Reserve and the Bank of England raised interest rates from their historic lows. But the current equity bull market is now one of the longest on record. Stock market volatility in 2017 fell to extremely low levels, something which has historically been an indication of investors becoming overly complacent with regards to risk. We find it difficult to identify assets which are significantly undervalued versus their historical averages and continue to be cautious on areas such as fixed income in particular.

We hope to find managers making investments in businesses which will be the success stories of the next decade. Technological advances in areas such as artificial intelligence, autonomous vehicles and renewable energy are providing interesting opportunities for early-stage investors.

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Financial Review (cont.)

The portfolio’s asset allocation at the end of the year was as follows: 2017 %

2016 %

Change %

Global equities

36.6

29.4

7.2

Emerging equities

5.3

9.3

(4.0)

Private investments

24.1

25.9

(1.8)

Hedge funds

10.7

12.1

(1.4)

21.7

20.5

1.2

Investment cash

1.4

3.2

(1.8)

Currency hedge

0.2

(0.4)

0.6

Return drivers

Diversifiers Low volatility funds Cash

Responsible investment We are aware that the Foundation’s mission or its credibility may be undermined if we invest in businesses whose activities are contrary to our values and grant-making objectives.

Chief Executive’s Report

Chairman’s Statement

Funding Overview

Arts

The UNPRI Initiative has quickly become the leading global network for investors to publicly demonstrate their commitment to responsible investment, to collaborate and learn with their peers about the financial and investment implications of ESG issues, and to incorporate As signatories we will: these factors into their investment decisionWe believe that this approach is likely to improve 1) Incorporate environmental, social and corporate making and ownership practices. alignment of the investment portfolio with our governance (ESG) issues into investment Risk management charitable objectives. analysis and decision-making processes. The Trustee Board is responsible for the oversight We have also recently created a new £25m 2) Be active owners and incorporate ESG issues of the risks faced by the Foundation. The Trustee allocation within our endowment that will invest in into our ownership policies and practices. Board and the Audit and Risk Committee funds looking to achieve enhanced environmental, regularly review the Foundation’s risk position, 3) S  eek appropriate disclosure on ESG issues by social and governance (ESG) impact alongside internal controls assessment and compliance with the entities in which we invest. financial return. This allocation will be for funds relevant statutory and finance regulations. which don’t currently fit our criteria for mainstream 4) Promote acceptance and implementation of The Foundation has a risk-management process investments due to size, focus or risk profile. the Principles within the investment industry. designed to identify the major risks that could 5) W  ork with the UNPRI and other signatories impact on the aims in the Foundation’s Strategic to enhance our effectiveness in implementing Plan. This process identifies the major risks the the Principles. Foundation faces, the likelihood of occurrence, the significance of the risk, and any mitigating 6) Report on our activities and progress towards controls that are in place. It also seeks to identify implementing the Principles. any actions and resources required to manage these risks further. Therefore, we follow a responsible approach to investment and are open to involvement with strategies which have enhanced environmental, social and governance (ESG) impact as opposed to narrowly focused strategies which may have meaningful exposure to controversial areas.

Children and Young People

Environment

Food

The Foundation is also a signatory to the United Nations-supported Principles for Responsible Investment (PRI). This initiative brings together an international network of investors who are committed to putting six key principles into action.

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Financial Review (cont.)

Structure, Governance and Management

The Foundation’s investment activities are its main financial risk. This risk is managed, with the support of investment advisers, through: regular review of our investment policy; management of strategic asset allocation; risk measurement and reporting; independent valuation and performance reporting; diversification across a broad range of asset classes, geographies, investment managers and investment strategy; and ongoing market and manager updates and due diligence.

The operation of Esmée Fairbairn Foundation is governed by a Charity Commission Scheme, dated 14 January 2002, which enables the assets to be applied by the Trustees at their discretion for general charitable purposes. The Charity Commission approved an incorporation of the Trustee body on 16 June 2008 in the name of The Trustees of Esmée Fairbairn Foundation.

The levels of manager concentration, currency exposure, leverage and liquidity are also key factors in managing the risks of the investment portfolio. Policies and restrictions to help manage these risks are included in the Investment Policy Statement.

The Foundation is a charity registered in England and Wales, number 200051. Trustee Board The Foundation’s Trustees are listed on page 68 of this report. The Trustee Board meets six times each year to set and oversee the delivery of the Foundation’s strategy. A number of Trustee committees support the work of the Foundation throughout the year.

The Foundation has a clear organisational structure with documented lines of authority and delegation, which is reviewed regularly by the Audit and Risk Committee and the Trustee Board. The Foundation also has segregation of duties with regard to governance, management, grantmaking, social investments, finance and investment. Procedures are in place for documenting decisions, actions and issues. An induction programme is put in place for new Trustees. Audit and Risk Committee The Audit and Risk Committee reviews and recommends to the Trustee Board systems of internal control on financial and governance issues and oversees risk management. It also reviews the draft Annual Report and Accounts and meets with the Foundation’s external auditors. Finance and Administration Committee The Finance and Administration Committee reviews and recommends to the Trustee Board annual budgets, staff remuneration and benefits. It also oversees major property, IT, governance and other projects.

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The salaries of the senior management team are set by the Finance and Administration Committee and includes reference to peers and other comparators. Investment Committee The Investment Committee formulates investment policy, oversees its implementation, manages overall asset allocation, monitors investment performance and reports to the Trustee Board. Nominations Committee The Nominations Committee makes recommendations to the Trustee Board on the appointment of new Trustees. Funding decisions An Executive Committee takes decisions on grants up to £60,000. An Applications Committee, comprising Trustee and Executive members, takes decisions on grants up to £200,000 and social investments up to £400,000. All decisions on grants over £200,000 and social investments over £400,000 go to the Trustee Board.

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Statement of Trustees’ Responsibilities

In respect of the Trustees’ Annual Report and the financial statements Under charity law, the Trustees are responsible for preparing the Trustees’ Annual Report and financial statements for each financial year which show a true and fair view of the state of affairs of the charity and of the excess of expenditure over income for that period.

In preparing these financial statements, generally accepted accounting practice entails that the Trustees: • Select suitable accounting policies and then apply them consistently; • Make judgements and estimates that are reasonable and prudent;

The Trustees have elected to prepare the financial • State whether the recommendations of the Statement of Recommended Practice statements in accordance with FRS 102 The have been followed, subject to any material Financial Reporting Standard applicable in the departures disclosed and explained in the UK and Republic of Ireland. financial statements; • State whether the financial statements comply with the trust deed and rules, subject to any material departures disclosed and explained in the financial statements; • Assess the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern; • Use the going concern basis of accounting unless they either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

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The Trustees are required to act in accordance with the trust deed and the rules of the charity, within the framework of trust law. They are responsible for keeping proper accounting records, sufficient to disclose at any time, with reasonable accuracy, the financial position of the charity at that time, and to enable the Trustees to ensure that, where any statements of accounts are prepared by them under section 132(1) of the Charities Act 2011, those statements of accounts comply with the requirements of regulations under that provision.

Disclosure of information to auditor The Trustees who held office at the date of approval of this Trustees’ report confirm that, so far as they are each aware, there is no relevant audit information of which the Foundation’s auditor is unaware; and each Trustee has taken all the steps that they ought to have taken as a Trustee to make themselves aware of any relevant audit information and to establish that the Foundation’s auditor is aware of that information.

They are responsible for such internal control as they determine is necessary to enable the preparation of financial statements that are free James Hughes-Hallett CMG from material misstatement, whether due to fraud Chairman or error, and have general responsibility for taking such steps as are reasonably open to them to safeguard the assets of the charity and to prevent and detect fraud and other irregularities. The Trustees are responsible for the maintenance and integrity of the financial and other information included on the charity’s website. Legislation in the UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

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Independent Auditor’s Report to the Trustees of Esmée Fairbairn Foundation

We have audited the financial statements of Esmée Fairbairn Foundation (“the charity”) for the year ended 31 December 2017 which comprise the Statement of Financial Activities, Balance Sheet and Cash Flow Statement and related notes, including Basis of accounting and accounting policies in note 1.

Basis for opinion We have been appointed as auditor under section 144 of the Charities Act 2011 (or its predecessors) and report in accordance with regulations made under section 154 of that Act.

We conducted our audit in accordance with International Standards on Auditing (UK) (“ISAs In our opinion the financial statements: (UK)”) and applicable law. Our responsibilities are described below. We have fulfilled our ethical • give a true and fair view of the state of the responsibilities under, and are independent of charity’s affairs as at 31 December 2017 and the charity in accordance with, UK ethical of its incoming resources and application of requirements including the FRC Ethical Standard. resources for the year then ended; We believe that the audit evidence we have • have been properly prepared in accordance with obtained is a sufficient and appropriate basis UK accounting standards, including FRS 102 for our opinion. The Financial Reporting Standard applicable Going concern in the UK and Republic of Ireland; and We are required to report to you if we have • have been properly prepared in accordance with concluded that the use of the going concern basis the requirements of the Charities Act 2011. of accounting is inappropriate or there is an undisclosed material uncertainty that may cast significant doubt over the use of that basis for a period of at least twelve months from the date of approval of the financial statements. We have nothing to report in these respects.

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Other information The trustees are responsible for the other information, which comprises the Trustees’ Report, Overview and Funding. Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or, except as explicitly stated below, any form of assurance conclusion thereon.

Matters on which we are required to report by exception Under the Charities Act 2011 we are required to report to you if, in our opinion: • the charity has not kept sufficient accounting records; or • the financial statements are not in agreement with the accounting records; or

Our responsibility is to read the other information • we have not received all the information and and, in doing so, consider whether, based on our explanations we require for our audit. financial statements audit work, the information therein is materially misstated or inconsistent with We have nothing to report in these respects. the financial statements or our audit knowledge. Trustees’ responsibilities We are required to report to you if: As explained more fully in their statement set • based solely on that work, we have identified out on page 55, the trustees are responsible for: material misstatements in the other information; or the preparation of financial statements which give a true and fair view; such internal control as they • in our opinion, the information given in the determine is necessary to enable the preparation Trustees’ Annual Report is inconsistent in any of financial statements that are free from material material respect with the financial statements. misstatement, whether due to fraud or error; We have nothing to report in these respects. assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern; and using the going concern basis of accounting unless they either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

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Independent Auditor’s Report (cont.)

Auditor’s responsibilities 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 our opinion in an auditor’s report. Reasonable assurance is a high level of assurance, but does not 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 aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements.

The purpose of our audit work and to whom we owe our responsibilities This report is made solely to the charity’s trustees as a body, in accordance with section 144 of the Charities Act 2011 (or its predecessors) and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity’s trustees 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 its trustees as a body, for our audit work, for this report, or for the opinions we have formed.

A fuller description of our responsibilities is provided on the FRC’s website at www.frc.org.uk/auditorsresponsibilities. Thomas Brown for and on behalf of KPMG LLP, Statutory Auditor 14 May 2018 Chartered Accountants 15 Canada Square London E14 5GL KPMG LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

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Statement of Financial Activities

Balance Sheet

For the year ended 31 December 2017

At 31 December 2017 Notes

Income and endowments from: Investments Other

2017 £'000 Unrestricted

2 2

Total

2016 £'000 Unrestricted

5,344 773

4,779 565

6,117

5,344

Fixed assets Tangible assets Investments Social Investments

Notes

2017 £'000 Unrestricted

2016 £'000 Unrestricted

8 9 10

296 1,030,423 19,061

192 1,003,644 20,833

1,049,780

1,024,669

188 3,211

171 677

3,399

848

(30,521)

(29,383)

(27,122)

(28,535)

1,022,658

996,134

Total fixed assets Expenditure on: Raising funds Charitable activities

3&5 4&5

Total

3,305 43,072

3,233 44,782

46,377

48,015

Current assets Debtors Cash at bank and in hand

11

Total current assets Net gains on investments

66,150

9

137,481 Creditors: Amounts falling due within one year

Net income

25,890

12

94,810 Net current liabilities

Net movement in funds Funds at 1 January Funds at 31 December

15

The notes on pages 60 to 67 form part of these accounts. The Foundation has no recognised gains or losses other than the net movement in funds for the year.

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25,890 971,008

94,810 876,198

996,898

971,008

The net income and resulting net movement in funds in each of the financial years are from continuing operations.

Arts

Children and Young People

Environment

Total assets less current liabilities Creditors: Amounts falling due after more than one year Provisions: for liabilities

13 14

(25,690) (70)

(25,056) (70)

Total net assets

15

996,898

971,008

The notes on pages 60 to 67 form part of these accounts. The accounts were approved and authorised for issue by the Trustee Board on 26 April 2018.

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Signed in the name and on behalf of The Trustees of Esmée Fairbairn Foundation: James Hughes-Hallett CMG Chairman

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Cash Flow Statement For the year ended 31 December 2017 Notes

2017 £'000

2016 £'000

18

(41,988)

(47,186)

5,344 149,820 (130,320) (5,510) 22,639 2,742 (185)

4,779 202,471 (127,808) 9,812 (20,885) (22,162) (135)

44,530

46,072

Cash flow from financing activities Cash outflow to finance lease commitments

(8)

(5)

Net cash used in financing activities

(8)

(5)

2,534

(1,119)

677

1,796

3,211

677

Net cash used in operating activities Cash flows from investing activities Income from Investments Sale of investments Purchase of investments (Increase)/decrease in investment cash Decrease/(increase) in other investment balances Cash inflow/(outflow) on derivative financial instruments Purchase of tangible fixed assets Net cash provided by investing activities

Change in cash in the year Cash brought forward

Cash carried forward

The notes on pages 60 to 67 form part of these accounts.

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Notes to the accounts

1. Basis of accounting and accounting policies

The Foundation meets the definition of a public benefit entity under FRS 102.

Legal status The Foundation is a charity registered in England and Wales, number 200051. The operation of Esmée Fairbairn Foundation is governed by a Charity Commission Scheme, dated 14 January 2002, which enables the assets to be applied by the Trustees at their discretion for general charitable purposes. The Charity Commission approved an incorporation of the Trustee body on 16 June 2008 in the name of The Trustees of Esmée Fairbairn Foundation.

Judgements made by the Trustees, in the application of these accounting policies that have significant effect on the financial statements and estimates with a significant risk of material adjustment in the next year are deemed to be in relation to the valuation of investments and are discussed below.

incurred that relate to more than one cost Taxation of Chargeable Gains Act 1992, to the category are apportioned based on the number of extent that such income or gains are applied full-time equivalent staff allocated to that activity. exclusively to charitable purposes. Grants are recognised as expenditure in the year in which they are approved and such approval has been communicated to the recipients, except to the extent that they are subject to conditions that enable the Foundation to revoke the award.

To the extent that the Foundation engages in overseas activity, or derives income from overseas, it may incur a foreign tax liability depending on the application of the tax legislation in the relevant jurisdiction.

Pension The Trustees are satisfied that the Foundation The Foundation operates a defined contribution has sufficient reserves and liquidity within the group personal pension scheme for employees. investment portfolio to continue as a going The assets of the scheme are held separately concern for the forseeable future. Cash flow from those of the Foundation. The annual forecasts are regularly prepared; assets within the contributions are charged to the Statement of Basis of accounting investment portfolio can be liquidated to meet Financial Activities. The accounts have been prepared in accordance short term requirements. with the Statement of Recommended Practice: Irrecoverable VAT Accounting and Reporting by Charities preparing Incoming resources Irrecoverable Value Added Tax (VAT) is included their accounts in accordance with the Financial Incoming resources are recognised in the in the Statement of Financial Activities within the Reporting Standard applicable in the UK and Statement of Financial Activities in the period in expenditure to which it relates. Republic of Ireland (FRS 102) issued on 16 July which the Foundation becomes entitled to receipt. Taxation 2014 and the Charities Act 2011 and UK Generally Dividend income and related tax credits are The Foundation is considered to pass the tests Accepted Practice as it applies including update recognised from the ex-dividend date when they set out in Paragraph 1 Schedule 6 Finance Act bulletin 1 applicable from 1 January 2016. become receivable. 2010 and therefore it meets the definition of a The accounts have been prepared to give a ‘true Resources expended charitable trust for UK income tax purposes. and fair’ view and have departed from the Charities Direct costs of generating funds, charitable Accordingly, the charity is potentially exempt from (Accounts and Reports) Regulations 2008 only to activities and support costs are charged to the UK taxation in respect of income or capital gains the extent required to provide a ‘true and fair view’. relevant category or activity according to the area received within categories covered by Part 10 to which the expenditure relates. Support costs Income Tax Act 2007 or Section 256 of the

Tangible fixed assets Tangible fixed assets are included in the balance sheet at cost less accumulated depreciation. Leasehold improvements are depreciated over the term of the lease. Office and computer equipment is depreciated at between 20% and 33% per annum. Depreciation is charged on a straight-line basis over the assets’ useful lives.

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Leased assets Assets obtained under finance leases are capitalised as tangible fixed assets and depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the Foundation. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payments is charged to the Statement of Financial Activities over the period of the lease.

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1. B  asis of accounting and accounting policies (cont.)

All other leases are operating leases. Operating lease annual rentals are charged to the Statement of Financial Activities on a straight-line basis over the term of the lease. Investments Quoted investments Quoted investments are stated at market value at the balance sheet date. Asset purchases and sales are recognised at date of trade.

Derivative financial instruments Derivatives are recognised in the Balance Sheet at fair value. Where the Foundation uses forward currency contracts to reduce currency exposure in its investment portfolio the fair value of these forward exchange contracts is estimated by using i. the private equity group provides a fair value that the gain or loss that would arise from closing the complies with the International Private Equity contract at the balance sheet date. Managers of and Venture Capital Valuation Guidelines; or segregated funds may enter into derivatives as ii. the private equity group provides valuations that part of their portfolio risk management, fair values comply with International Financial Reporting of these derivatives are provided by the fund Standards or US GAAP. managers. Private equity investments are held through funds managed by private equity groups. As there is no identifiable market price for private equity funds, these funds are included at the most recent valuations from the private equity groups where:

Realised and unrealised gains and losses on all other investment assets are included in ‘Net gains on investments’ within the Statement of Financial Activities.

Realised and unrealised gains and losses on foreign exchange transactions Transactions denominated in foreign currency are translated at the exchange rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currency are translated at Unquoted investments the exchange rate ruling at the balance sheet Unquoted investments are valued at the date. All gains and losses on exchange, realised Foundation’s best estimate of fair value Where a valuation is not available at the balance and unrealised, are included in the appropriate Social Investments as follows: sheet date, the most recent valuation from the income or expenditure category in the Statement Social investments that are loans are accounted Pooled investments are stated at fair value, the private equity group is used, adjusted for for at the outstanding amount of the loan less any of Financial Activities. basis of fair value being the market value of the cashflows and foreign exchange movements and provision for unrecoverable amounts. Unquoted Provisions underlying investments held. These valuations are any impairment between the most recent equity, social investment funds and partnerships, Provisions have been made for possible future provided by the fund managers and are subject valuation and the balance sheet date. and similar social investments are held at cost, liabilities arising from contracts entered into by the either to independent valuation or annual audit. less any provision for diminution in value, unless Where a private equity group does not provide a Foundation. the Foundation is able to obtain a reliable Unquoted hedge funds are valued by reference to fair value that complies with the above, the Related party transactions estimate of fair value. Quoted investments are the market value of their underlying investments. Foundation is unable to obtain a reliable fair value, stated at market value at the balance sheet date. Transactions with related parties are disclosed in These valuations are provided by the third party and therefore these investments are held at cost. the notes to these financial statements. The hedge fund administrators. Realised and unrealised gains and losses Foundation’s policy is for Trustees, Executive and on investments advisers to declare their interest and exempt Realised and unrealised gains and losses on themselves from all relevant discussions and progamme-related investments are included in decisions which may involve a transaction with a ‘charitable activities’ within the Statement of related party or in which they may have a conflict Financial Activities. of interest.

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2. Income and endowments

4. Expenditure on charitable activities

Income from investments

2017 2016 £'000 £'000

Equity investments Multi-asset investments Alternative investments Fixed income investments Investment cash and other investment balances

2,950 1,445 1,151 1,095 940 2,063 87 89 216 87

Total income from investments

5,344 4,779

Other income

2017 2016 £'000 £'000

Bank interest Income from social investments Total other income

1 772 773

2017 2016 £'000 £'000 Advisers' and custodian fees and borrowing costs Direct staff and other costs Support cost allocation

2,710 290 305

Total expenditure on raising funds

3,305 3,233

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Funding Overview

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Children and Young People

Environment

2,708 228 297

Food

2016 £'000

Grant funding Direct staff and other costs Support cost allocation

40,527 42,385 865 831 1,680 1,566

Total expenditure on charitable activities

43,072 44,782

Grants and Social Investments approved in the year are listed on pages 9–48 in the Annual Report accompanying these accounts.

5. Support cost allocation Rasing Charitable funds activities £’000 £’000

6 559 565

3. Expenditure on raising funds

Chief Executive’s Report

2017 £'000

2017 £'000

2016 £'000

Support staff costs Premises, technology and other costs

126 179

666 1,014

792 1,193

724 1,139

Total support costs Total support costs for the prior year

305 297

1,680 1,566

1,985

1,863

Total Trustees’ expenses of £53,247 (2016: £23,792), of which £17,000 relate to 2016 are included in support costs and in costs of generating funds. Expenses were reimbursed to 8 (2016: 5) Trustees during the year and were related to travel. The Trustees received no remuneration for their role as Trustee during this or the preceding year.

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6. Staff costs 2017 £’000

2016 £’000

Salaries Social security costs Pension contributions Other staff related costs

1,403 144 172 181

1,331 139 161 132

Total staff costs

1,900

1,763

The number of employees who received remuneration of more than £60,000 in the year was as follows: 2017 2016 £60,000 - £69,999 1 1 £70,000 - £79,999 1 1 £80,000 - £89,999 1 1 £90,000-£99,999 £100,000-£109,999 £110,000-£119,999 1 1 All the employees paid over £60,000 had employer contributions, equal to 12.5% of salary, made under the group personal pension scheme.

The Foundation operates a defined contribution group personal pension scheme and makes employer contributions of 12.5% when matched by a 5% employee contribution. Redundancy and ex gratia payments are included within total staff costs. The Foundation considers its key management personnel comprise the trustees and the senior management team. The senior management team consists of 5 (2016: 5) members. The total employment benefits including employer pension contributions of the senior management team were £378,281 (2016: £384,974). The Trustees are not remunerated.

7. Auditor’s Remuneration The auditor’s remuneration constituted an audit fee of £57,492 (2016: £53,489) and additional tax advisory work of £7,320 (2016: £10,920).

The average number of employees during the year calculated on a full-time basis was as follows: 2017

2016

Investment management and oversight Funding Governance

2 24 2

2 23 2

Total number of employees

28

27

The average number of employees during the year calculated on a head count basis was 31 (2016: 29).

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9. Investments

8. Tangible fixed assets Office & Leasehold Computer Improvements Equipment £’000 £’000

i) Market value

Total £’000

Cost At 1 January 2017 Additions in the year Disposals in the year

527 -

555 185 (312)

1,082 185 (312)

At 31 December 2017

527

428

955

Equity investments Multi-asset investments Fixed income investments Alternative investments Investment cash Other investment balances Derivative financial instruments Total market value of investments

Accumulated depreciation At 1 January 2017 Depreciation charge for year Accumulated depreciation on disposals

483 20 -

407 61 (312)

890 81 (312)

At 31 December 2017

503

156

659

Net book value At 31 December 2017 At 1 January 2017

24 44

272 148

296 192

Chairman’s Statement

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Children and Young People

Environment

2016 £’000

431,850 95,527 24,949 461,768 14,510 (377) 2,196

387,929 91,955 24,517 470,903 9,875 22,262 (3,797)

1,030,423 1,003,644

Investment cash includes all cash balances managed as part of the investment portfolio. Other investment balances include short term borrowing, collateral held with the counterparty to the forward currency contracts, accrued income, amounts receivable on investment sales and accrued investment costs. The Foundation has entered into commitments to invest in hedge funds, private equity funds and venture capital funds. At the balance sheet date outstanding commitments totalled £100.1 million (2016: £125.4 million). The Foundation models its cashflows based upon the original commitment.

The net book value of assets held under finance leases included above is £13,529 (2016: £22,015) and the depreciation charge on these assets for the year was £7,833 (2016: £4,580).

Chief Executive’s Report

2017 £’000

Food

ii) Purchases, sales, gains and (losses) Market value 2016 Purchases £’000 £’000

Sale proceeds £’000

Investment gain/(loss) £’000

Market value 2017

Market value Equity investments Multi-asset investments Fixed income investments Alternative investments

387,929 91,955 24,517 470,903

40,090 6,943 22 83,265

(48,457) (7,000) (94,363)

52,288 3,629 410 1,963

431,850 95,527 24,949 461,768

Total

975,304

130,320

(149,820)

58,290

1,014,094

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9. Investments (cont.)

iii) Reconciliation to book cost

Book cost 2016 £’000

Book cost and realised gains Equity investments 272,037 Multi-asset investments 82,055 Fixed income investments 24,672 Alternative investments 301,582

Purchases £’000

Sale Investment Proceeds gain/(loss) £’000 £’000

40,090 6,943 22 83,265

(48,457) (7,000) (94,363)

17,207 730 43,999

280,877 82,728 24,694 334,483

Total book cost

680,346

130,320

(149,820)

61,936

722,782

Market value adjustment Unrealised gains/(losses)

294,958

-

-

(3,646)

291,312

Total

975,304

130,320

(149,820)

58,290

1,014,094

iv) Derivative financial instruments Derivative position at year end Derivative financial instruments total net positions v) Realised and unrealised gains/(losses) on investments

Realised Unrealised gain/(loss) gain/(loss)

Equity investments Multi-asset investments Fixed income investments Alternative investments

vi) UK and overseas holdings

Book cost 2017 £’000

Equity investments Overseas listed Overseas unlisted

Multi-asset manager investments UK listed Overseas unlisted

2017 £’000

2016 £’000

2,196

(3,797)

2,196

(3,797)

2017 £,000

2016 £,000

17,207 730 43,999 61,936

35,081 2,899 410 (42,036) (3,646)

52,288 3,629 410 1,963 58,290

77,240 4,121 (1,151) 78,510 158,720

Cash investments Derivative financial instruments

(514) 2,742

(361) 5,993

(875) 8,735

1,430 (22,669)

Total gains on investments

64,164

1,986

66,150

137,481

(Losses)/gains in the prior year

(21,905)

159,386

137,481

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Fixed income investments UK listed Overseas unlisted

Alternative investments UK unlisted Overseas listed Overseas unlisted

Total

2017 £’000

2016 £’000

118,962 312,888 431,850

100,822 287,107 387,929

57,533 37,994 95,527

57,820 34,135 91,955

10,039 14,910 24,949

10,237 14,280 24,517

13,620 1,998 446,150 461,768

17,555 – 453,348 470,903

1,014,094

975,304

Domicile of investment holdings is determined by the place of listing of the fund vehicle not of the underlying securities held therein.

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10. Social Investments

11. Debtors 2017 £’000 188

2016 £’000 171

188

171

Grant commitments Accruals Trade and other creditors Commitments due under finance leases

2017 £’000 30,328 160 29 4

2016 £’000 29,149 194 32 8

Reconciliation of book cost to market value has not been disclosed as the market value of the portfolio is not materially different from cost.

As at 31 December

30,521

29,383

Alternative investments comprise land and property, social investment funds and partnerships, revenue participation agreements and social impact bonds.

13. Creditors: amounts falling due after one year 2016 £’000 25,043 13

Market value 2016 £’000

Drawn £'000

Investment Repaid gain/ (loss) £'000 £'000

Prepayments and other debtors

Market value 2017 £'000

As at 31 December

12. Creditors: amounts falling due within one year

Market value Equity investments Fixed income investments Alternative investments

1,043 8,546 11,244

1,421 2,700

(1,400) (3,494)

(969) (30)

1,043 7,598 10,420

Total

20,833

4,121

(4,894)

(999)

19,061

At the year end £4.7 million (2016 £6.3 million) of social investment had been committed but remained undrawn, and a further £2.7 million (2016 £2.6 million) was approved subject to agreement of terms, making a total promised of £7.4 million (2016: £8.9 million).

Grant commitments Commitments due under finance leases

2017 £’000 25,681 9

Social Investments approved in the year are listed on pages 43 to 45 in the Annual Report accompanying these accounts.

As at 31 December

25,690

25,056

2017 £’000 70 -

2016 £’000 70 -

70

70

14. Provisions As at 1 January Charge for the year As at 31 December

The provision relates to possible future liabilities arising from contracts entered into by the Foundation.

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17. Related party transactions

15. Reserves

There were no related party transactions during the year or in the prior year. 2017 £’000 971,008 25,890 25,890

As at 1 January Net income Net movement in funds in the year As at 31 December

996,898

2016 £’000 876,198 94,810 94,810 971,008

All funds held by the Foundation are unrestricted and available to the Foundation to apply for the general purposes of the Foundation as set out in its governing document.

16. Operating leases At year end the Foundation had lease agreements in respect of property for which payments extend over a number of years. Total future minimum lease payments under non-cancellable operating leases for each of the following periods: Not later than one year; Later than one year and not later than five years Total future minimum lease payments under non-cancellable operating leases

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Arts

Children and Young People

2017 £’000 425 -

2016 £’000 567 425

425

992

Environment

Food

18. R  econciliation of net income to cash flow from operating activites Net income for the reporting period Depreciation charge for the year Gains on investments Income from Investments Increase in debtors Increase in creditors Cash outflow to social investments Cash inflow from social investments Increase in social investments provisions

2017 2016 £’000 £’000 25,890 94,810 81 44 (66,150) (137,481) (5,344) (4,779) (17) (140) 1,780 5,723 (4,121) (6,684) 4,894 1,193 999 128

Net cash used in operating activities

(41,988)

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Trustees, Senior Management Team, Committees and Advisers As at 26 April 2018

James Hughes-Hallett CMG

Advisers

Investment Advisers

Auditor

Sir Thomas Hughes-Hallett Chair (to 23/03/2018)

Beatrice Hollond

John Fairbairn

Peter Readman (external)

KPMG LLP 15 Canada Square London E14 5GL

Cambridge Associates Ltd Cardinal Place 80 Victoria Street London SW1E 5JL

Professor David Hill CBE (from 25/04/2017 and Chair from 24/03/2018)

Nominations Committee

Trustees

Senior Management Team

Committees

James Hughes-Hallett CMG Chair

Caroline Mason Chief Executive CBE

Audit and Risk Committee

Edward Bonham Carter (from 01/01/2017)

James Wragg Director of Operations

Tom Chandos

Matt Cox Investment Director

Joe Docherty Beatrice Hollond

John Mulligan Director of Funding Development

Professor David Hill CBE (from 01/03/2017)

Sharon Shea Director of Funding

Sir Thomas Hughes-Hallett (to 23/03/2018)

A full list of staff can be found on the website.

John Fairbairn

Kate Lampard CBE Stella Manzie CBE (from 01/03/2017)

Kate Lampard CBE

Solicitors

Sir Jonathan Phillips

Tom Chandos

DLA Piper LLP 3 Noble Street London EC2V 7EE

Sir Jonathan Phillips

Bankers

William Sieghart CBE (to 28/02/2017)

Royal Bank of Scotland plc London Victoria (A) Branch 119/121 Victoria Street London SW1E 6RA

James Hughes-Hallett CMG Chair

Custodian JPMorgan Chase Bank, N.A. 25 Bank Street Canary Wharf London E14 5JP

Edward Bonham Carter

Eleanor Updale

Chairman’s Statement

John Fairbairn

Finance and Administration Committee

James Hughes-Hallett CMG Chair

Tom Chandos Chair

William Sieghart CBE (to 28/02/2017)

Solicitors Berwin Leighton Paisner Adelaide House London Bridge London EC4R 9HA

Investment Committee

Sir Jonathan Phillips

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Our History

In 1961 Ian Fairbairn, a leading City figure, Esmée Fairbairn’s sons, Paul and Oliver Stobart, decided to endow a charitable foundation with the also contributed generously to the Foundation bulk of his holdings in M&G, the company he had established in their mother’s memory. joined some 30 years before. In 1999 the Foundation sold its holding in M&G M&G was a pioneer of the unit trust industry in as part of the company’s takeover by the the UK. It grew out of Ian Fairbairn’s determination Prudential Corporation plc. As a result, the that investments in equities, previously the Foundation’s endowment grew significantly in preserve of the affluent, should be available to all value as did the size and scope of the grants it – giving everyone the potential to own a stake in was able to make. the nation’s economy. Today, Esmée Fairbairn Foundation is one of the His purpose in establishing the Foundation was largest independent funders in the UK. two-fold. In the interests of wider prosperity, he aimed to promote a greater understanding of economic and financial issues through education. He also wanted to establish a memorial to his wife, Esmée, who had played a prominent role in developing the Women’s Royal Voluntary Service and the Citizens Advice Bureau. She was killed in an air-raid during the Second World War. Prior to Ian’s death in 1968 he indicated that the Foundation should support a broad range of charitable purposes.

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Photo credits

Esmée Fairbairn Foundation Kings Place 90 York Way London N1 9AG T 020 7812 3700 F 020 7812 3701 E info@esmeefairbairn.org.uk www.esmeefairbairn.org.uk Registered charity 200051

Front cover (Clockwise from left) The Cares Family. Alex Smith; Sole of Discretion. Graeme Turbot; Declining Solo by Two Destination Language at Derby Theatre. Photo by Alma Haser – David Brownlee; Greenpeace Environmental Trust. ©Will Rose. Greenpeace volunteers survey beaches for plastic – Louise Krzan; Greenpeace Environmental Trust. ©Will Rose. Greenpeace Puffins on The Shiants Isles – Louise Krzan; Beatfreeks – Level UP. Photo by Meescha Bhamra – Bohdan Piasecki; Beatfreeks – Poetry Jam. Photo by Kieran Jones – Bohdan Piasecki

Design: Steers McGillan Eves

Page 2 Auticon. Auticon Consultant – Auticon Limited; Auticon. Auticon Job Coach Antonia Hatzfeldt with Auticon Consultant Thomas Cowley – Auticon Limited. Page 13 Declining Solo by Two Destination Language at Derby Theatre. Photo by Alma Haser – David Brownlee. Page 14 Turner Contemporary Art Inspiring Change Artgate celebration Day. Photo by Sam Scales – Danielle Sharma.

Page 19 Gendered Intelligence. Group Shot All – Jay Stewart. Page 25 Greenpeace Environmental Trust. ©Will Rose. Greenpeace sampling UK waters for microplastics – Louise Krzan; Greenpeace Environmental Trust. ©Will Rose Greenpeace volunteers survey beaches for plastic – Louise Krzan. Page 27 Little Ouse Headwaters Project. Botanising. Credit LOHP – Jo Pitt; Little Ouse Headwaters Project. Young volunteer. Credit LOHP – Jo Pitt. Page 30 Sole of Discretion. Katherine Maltby; Sole of Discretion. Graeme Turbot; Sole of Discretion. Aaron. Page 31 RSA. Ian Cheshire – Kenny Mccarthy. Page 36 The Cares Family. Alex Smith.

Page 15 Heart n Soul. Raf performing with the LSO at Heart n Soul SQUIDZ Club. Photo by Tim Mitchell – Mark Williams. Page 18 Beatfreeks – Poetry Jam. Photo by Kieran Jones – Bohdan Piasecki; Beatfreeks – Level UP. Photo by Meescha Bhamra – Bohdan Piasecki.

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Annual Report & Accounts 2017