CIVITAS LIM ITED

THE INSTITUTE FOR THE STUDY OF CIVIL SOCIEW

(RegisteredCharitynumber1085494)
(Company limited byGuarantee,Registration numbel'4023541)

REPORT AND FINANCIAL STATEM ENTS

FOR THE YEAR ENDED

31 DECEMBER 2007
CIVITAS LIM ITED CONTENTS
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIETY

Page

Legaland Adm inistrative Inform atlon 2

Reportofthe Trustees 3-6

Repod ofthe IndependentAuditors

Statem entofFinancialActivities 8

Balance Sheet

Accounting Policies

Notes to the FinancialStatem ents 11-14

CIV ITA S LIM ITED LEGAL AND ADMINISTRATN E INFORMATION
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIETY

Trustees/DirectoO ofthe Charitable Com pany

Chairman The Honourable Justin Shaw
Deputy Chairman SirPeterW alters
Treasurer The Hon MrsSil via Le Marchant
Meg Allen
Patrick Barbour
Ivan Bradbury
DrPhilip Brown
ProfessorKenneth Minogue
Douglas Myers CBE
Lord VinsonofRoddam Dene

OtherOfficers ofthe Charity

Executive Director DrDavid Green
Deputy Director RoberlW helan

Com pany Secretary DrDavid Green

Registered Office 77 GreatPeterStreet

London SW IP 2EZ

W ebsiteAddress www.ci
vitas.orn.uk

Bankers Barclays Bank plc

PallMallCorporate Banking Centre
PO Box 15163
London SW IA 1QD
The Cooperative Bank
PO Box250
Skelmersdal
eW N8 6W T
COIF Charities DepositFund
CCLA InvestmentManagementLimited
80 Cheapside
London EC2V 6DZ

IndependentAuditors Liolejohn
Chartered Accountants and RegisteredAudi
tors
1W estferryCircus
CanaryW harf
Lopdon E14 4HD

Charity Registration Num ber 1085494

Com pany Registration Num ber 4023541

2
 CIVITAS LIMITED REPORT OF THE TRUSTEES
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIETY Yearended 31 December2007

The Trustees(who arealso the DirectorsoftheChari

table CompanyLimitedbyGuarantee)presenttheirreportfor
the yearended 31 Decem ber2007 The presentation ofthe FinancialStatem ents refl
ects the requi
rements ofthe
Statement of Recommended Practi
ce -Accounting and Reporting by Chari
ties (issued in March 2005),the
Com paniesAct1985,and the Chari
ty'sgoverning documentas outli
ned below
Statem entofTrustees'Responsibilities

The Trustees are responsibl e forpreparing the AnnualRepoftand the FinancialStatements in accordance with
applicabl
e law and regulations
Com pany Iaw requires thè Trustees to prepare FinancialStatements foreach financialyear UnderthatIaw the
Trustees have elected to prepare the FinancialStatements in accordance with Uni ted Kingdom Generally
Accepted Accounting Practice (Unîted Kingdom Accounting Standards and appli
cable law) The Financial
Statements are required by Iaw to give a true and fairview ofthe state ofaffairs ofthe Company and ofthe
surplus ordefici
tofthe Company forthatperiod In preparing these FinancialStatements the Trustees are
required to:

selectsuitableaccounting policies and then appl

y them consi
stently'
,
makejudgementsand estimatesthatare reasonableand prudent'
,
* state whetherappli
cable accounting standards have beenfollowed;
prepare the FinancialStatements on the going concern basis unless iti
sinappropriate to presume thatthe
Companywillcontinue in operatlon
The Trustees are responsible forkeeping properaccounting records,forsafeguarding the assets ofthe Company
andforthe preventionand detectionoffraud and otherirregulari
ti
es

Constitution and Objectives

Civitas Limited,al
so known asthe Institute forthe StudyofCi
vilSociety,is establi
shed underitsMemorandum and
Adicles ofAssociation dated 29 June 2000 and am ended on 23 November2000,and i s a regi
stered charity,
num ber1085494.
Detailsofthe Com pany'
s currentTrustees,otherOffi
cers and Advisors are setouton page 2 Meg All
en and Ivan
Bradburywere appointed as additi
onalTrusteeson 22 May 2007 and 11 September2007 respecti
vely
Under the Company's Memorandum of Assocïation,the Charity is established to advance the study and
understanding ofreligion and ethics in Societyand anyothercharitable purpose
Organisation ofthe Charity
The Trustees supervise the managementand adm inistration ofthe Charity The day to day running of the
Charityisdel
egated to the Executive Directorand his Deputy.
Trustees with relevantexperience and expedise are recruited on meritfrom among those wi
th a demonstrated
comm itmentto the aims ofthe charity
Review ofthe Year's Achievements and Perform ance

As stated above,the Charity's principalobjectives are to advance the study and understanding ofreli
gion and
ethicsinSociet#
vandanyothercharitnblepurpose 10ordertoachieveitsObjectivestheCharitydoesthefollovzing:
@ Discovers soluti
ons to socialproblem s.
. Implementspioneering projectstodemonstratewhatcanbe accomplished
. Supplies schools with teaching m aterials and guestspeakers
@ Supports informed publîc debate and encourages consensus by:
o Providing accurate factuali nformation on today's socialissues
o Publishing informed comm entand anal ysis
o Bringing togetherIeading protagoni sts in open discussi
on
CIVITAS LIMITED REPORT OF THE TRUSTEES
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIER Yearended 31 Decem ber2007

ln2007theChari
ty'sobjecti
veswereachieved bythefollowingactivities:
The issueofthe following publications:

. ''Spiri
tualCapltal''byDuncan Reekie(January)
. ''W hoCares''byNi ckSeddon(February)
. CivitasReview -'' AfterThatcherand Blair'byDavidGreen(February)
. 'iA NationofImmi grants?''byDavi
d Conway(Aprfl)
''On Fraternity''byDannyKruger(April)
''CorruptionoftheCurriculum''edited byRobertW helan(June)
Online Report- 'ArtificialAchievement(Blair's Education Poli
ciesl'by Anastasia de W aaland Nick
Cowen (June2007)
aHate ontheState''byDougl asMurrayand James Brandon(August)
Online Reports - ii-l-he Resul
ts Generation'
'by Anastasia de W aaland NickCowen and ''Faking itatKey
Stage2''byAnastasiadeW aal(August)
@ OnlineRepod- ''ReadytoRead?(Phonicsand poorliteracyteaching)byNickCowenandAnastasiade
W aal(September)
. Online Repods-''Innovation needsCompetition'
'& t
ilusthow wellarewe?'
'byJamesGubb(October)
* 'QuiteLike Heaven''byNickSeddon(November)

The holding ofthe following seminars:

* Nei lAddison-'Anti-DiscriminationLaws'(February)
@ NickCohen-fW hat'sIeftofthe Lefo'(March)
@ DavidPerks- 'Sci ence Education:W hati sitfor'?'(March)
* CharlesMurrayand FrankFiel d- '
W elfare Reform'(ApriI)
* SyedKamall- ' W hatProspectsfora Liberalised Europe'?'(May)
@ PaulMason- ' Globalisati
on'(June)
@ Shi vMalik- 'lslam'(JuIy)
* LarryElli
otandDanAtkinson- lFantasyIsland'(JuI y)
. John Petri- 'How canwemaketheNHS more Innovative?'(JuI y)
* JulianLe Grand-dchoice inEducation'(JuI y)
* IbaW arraq- ' W hylam notaMuslim'(October)
@ RobertNaylor- ' TheFoundationExperimentandUCHL:hasitworked?'(October)
* Andrew Anthony- 'How a GuiltyLiberalLosthisW ay'(October)
* NonieDarwish- 'GuestDi scussi
on'(November)
@ AyaanHirsiAIidebatewithEd Husaîn(November)
@ DavidGreenandLisa Harker-'W elfaretoW ork'(December)

EU Project:
A totalofover137 EU eventswere hel
d in schools(118 talksand 19 debates)across the country,wi
th 84
speakers acti
vel
y padi
cipating inthe programme

EU Facts(aneducationresourcecontaini
ng70factsheetsexplainingthedevelopmentoftheEU,itsinstituti
ons
and polici
es)was produced as a CD-ROM and 180 copieswere sentto those schools padicipating in the
program me,while many more students and teachers accessed the factsheets online Feedback has been
overvvhelmingly posi
tive,focusing prim arily on the resource's simple form at,relekance to A-l
evelcul-
fîcula and
im padiali
ty.

The second Natîonal6th Form Conference on the EU1entitl ed 'dEmerging from its period ofreflection:W hat
does the future hold forthe EU?''Iwas held atthe Emm anuelCentre in W estminsteron 8 March 2007 621
students,from 41 school s attended and received a series of Iectures and debates featuring a number of
speakers,including Kenneth Clarke QC MP and Lord PearsonofRannoch

A meeting on'The EuropeanisationofCulture and Education'was held inconjunctionwith Gl

obalVisionin
November The event featured an explanation by Chris Heaton-Harris MEP of the EU institutions'
increasingly prom inent interventîons in memberstates'schoolcurricul
a in orderto presenta favourable
im pression ofthe Union
 CIVITAS LIMITED REPORT OF THE TRUSTEES
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIEW Yearended 31 Decem ber2007
The New ModelSchool:

Because polfcy makers have been so slow to raise standards forchildren from Iow-income households, w e
have founded the New ModelSchoolCom pany to bring prîvate education within the reach of the vast
majority of parents by making high quality primary schooling avail
abl
e atthe Iowestpossible price.In
addition,we aim to show thatdirectteaching bytraditionalmethods is mcre effective than teaching based on
'discovery',underwhich children are supposed to Iearn forthemselves wjth the teacheras facilitator, rather
than a professionalwho im parts knowledge The firstNew ModelSchool,called Maple W alk School, was
established on a smallscale in September2004 in Queens Park.ln 2005 i tmoved to Iarger premises in
KensalTown A site in Harlesden has been purchased by a charitable trust to build premjses for i ts
expansion to seven year-groups.Its success has encouraged us to attem ptto replicate the m odelin other
areas of London and outside.The New ModelSchoolCom pany Limited is a separate com pany, in which
Civitas Lim i
ted has no interest in its i
ssued shares'
,note 10 to the financialstatements sets outfurther
detailsaboutthe com pany

SupplementarySchoolsProject:
'
The supplementary schools projecthelps disadvantaged children reach theirfullacademic potential,raise
theiraspirations and open up oppodunities to give them ,and theircom munities, a betterfuture
Mostofthe children adending oursuppl em entary schools are underachieving academ ically. Theirparents
are often not highl
y educated and Iack the knowl edge and oppodunities to help their children succeed
academ ically.O urhigh-quali
ty teachers use traditionalteaching methods and m aterial s, concentrating on
reading by phonics and mentalari thmetic W e em phasi se self-discipline, coudesy and consideration for
others

Atthe end of 2006 we were running four classes in London. ln 2007 we opened six more cl
asses -
Hammersmi
th,Keighley,Sgarkhill,Bradford,CamberwellandKilburn W ealsorunaddi
tionalclassesdurîng
theschoolholidays 280 chlldrenwere benefitingfrom theprojectbytheendof2007
W e continue to see excellentresults.In the 2007 summerschoolthe reading age ofthe youngerchildren
improvedbyan average ofoneyearandninemonthsinjustatwoweekperiod
In2007wewontwo awardsforthe project:a Templeton Freedom AwardforSocialEntrepreneurshipanda
Centre forSocialJustice award forexcellentwork inaddressing im portantsocialissues

London BoxingAcademyCommunityProject:
The London Boxîng haS continued to grow and develop in 2007 From humble beginnings the course now
works wi th 24 students from years 10 and 11 and includes academic Iessons in English, m aths,ICT,art,
historyreconomics,statistics,science and music ln orderto provide this Ievelofservice we now have nine
perm anentstaffand a hostofvolunteers Alongside providing boxing,spod and academ jcs, the LBA has
also encouraged students to reform theirbehaviourwith a range ofmethods thatinclude mentors, fieid trips
and com munity involvement This yearhas seen a week-l ong multi-acti
vi ty trip to Devon, a day trip to the
Bank ofEngland as wellas outings forgo-karts and paintballing The yearalso saw 7 students si tand pass
theirAQA adultIiteracy and m aths exams aswellas the bulk ofthe preparations forten students to sittheir
GCSE exams in the summerof2008.
These actîvi
tiesare continulng in 2008.
FinancialPosltion and Reserves Policy

At31 December2007the Companyhad netassets ofE1,049r085 (2006 -E786:056)y represented byunrestricted

. .
generaIpurpose fundsofE479325(2006 -:446,190)and restrictedfundsofE569,760 (2006-:339,866).These
areconsideredavailableandalequatetoful
filtheobligati
onsofthecharityfortheforeseeablefuture
The poli
cy ofthe Trustees i
s to mai
ntain a financialreserve up to the equivalentofan average year's expenditure,
tobeexceededonlyforspecifi
edpurposessuchasprovisionforpremisesorprojectssubjecttorestrictedfunding

5
 l
!
ë
CIVITAS LIM ITED REPORT OF THE TRUSTEES t
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIETY Yearended 31 Decem ber2007
!
l
i
Risk Management !
!

TheTrusteesconfirm thattheyhave identifiedand reviewed the majorriskstowhi

chthe Chari
tyisexposed,and
have establi
shed systems to mitigate those risks
The principalrisk facing the Charity i
s that itdoes not raise suïci
entincome to be abl
e to coverthe costof
charitabl
e acti
vities and governance costs
Disclosure QfInform ation to Auditors

So faras each Trustee is aware,there is no relevantauditinform ation ofwhich the Company's auditors are
unaware,and each Trustee has taken alIthe steps thathe oughtto have taken as a Directorofthe Company in
orderto make himselfaware ofany relevantauditinformation and to establish thatthe Com pany's audi
tors are
aware ofthatinfofmation

Auditols

Si
nce the previousAnnualGeneralMeeting ouraudi tors,CLB Littl
ejohn Frazer,have changed theirname to
Li
ttlejohn A resolutionto reappointLittlejohnwillbeproposedatthenextAnnualGenera!Meeting
On behal
fofthe Trustees

Jc-ô+a..-o
The HonourableJustin Shaw
Chairman

'7.
-1 May2008

6
CIVITAS LIMITED REPORT OFTHE INDEPENDENT AUDITORS
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIETY

INDEPENDENT AUDITORS'REPORT TO THE M EM BERS OF CIVITAS LIM ITED

W e have audi ted the FinancialStatements of Civitas Limited for the year ended 31 Decem ber2007,whi ch
com prise the Statementof FinancialActivities,the Balance Sheet,and the related notes num bered 1 to 10
These FinancialStatements have been prepared underthe accounting poli cies setouttherei
n
This repod is m ade solely to the Company's mem bers,as a body, in accordance wi th Section 235 ofthe
CompaniesAct1985. Ouraudi twork has been undedaken so thatwe m ightstate to the Company' s members
those matters we are required to state to them in an audi
tor's repod and forno otherpurpose To the fullest
extentperm itted by Iaw,we do notacceptorassume responsibility to anyone otherthan the Com pany and the
Company' s m em bers as a body,forourauditwork,forthis repod,orforthe opi nionswe have formed
Respective Responsibillties ofTrustees and Auditors
The Trustees'responsibilities forpreparing the FinancialStatements in accordance wi
th applicable law,United
Kingdom Accounting Standards and the Charities'Statementof Recommended Practice (United Kingdom
GenerallyAcceptedAccountingPractice)aresetoutintheStatementofTrustees'Responsibilities
Our responsibility is to audi
t the Financial Statements in accordance with relevant I
egal and regulatory
requirementsand lnternationalStandardsonAuditing (UKandIreland)
W e repod to you ouropinion as to whetherthe FlnancialStatements give a true and fairvi
ew and are properly
prepared in accordance with the Com panies Act 1985 W e also reportto you whether,in ouropi nion, the
inform ation given in the Trustees'Reporti
s consi
stentwith the FinancialStatem ents
ln addition we repod to you if,in ouropini
on,the Com pany has notkeptproperaccounting records!i fwe have
notreceived allthe information and expl anations we require for our audi
t,or ifinformation speclfied by Iaw
regarding Trustees'remuneration and othertransactions is notdisciosed
W e read the Trustees'Reportand considerthe im pli
cations forourreportifwe become aware ofany apparent
misstatementswi thin i
t
Basis ofOpinion

W e conductedouraudi
tin accordancewith InternationalStandardsonAuditing (UK and Irel
and),issued bythe
Auditing Practi
ces Board.An auditincludes an exam ination,on a testbasîs,ofevi
dence relevantto the amounts
and disclosures in the FinancialStatem ents ltalso includes an assessmentofthe slgnificant estimates and
judgments made bythe Trustees inthe preparationofthe FinancialStatements,and ofwhethertheAccounting
Policies are appropriate to tlne Company's circumstances,consistentl
y applied and adequatelydisclosed
W e planned and performed ourauditso as to obtain aIIthe informati
on and eyplanations which we considered
necessary in order to provide us with suffi
cient evi
dence to gi ve reasonable assurance thatthe Financial
Statements are free from materialm isstatem ent,whether caused by fraud or other irregularity or error,In
forming ouropinion we also evaluated the overalladequacy ofthe presentation of information in the Financial
Statements

Opinion

In ouropinion the FinancialStatem ents give a true and fairview,in accordance with Uni
ted Kingdom Generall y
Accepted Accounting Practi ce, of the state of the Company's affairs as at 31 December 2007 and of i ts
incom ing resources and application ofresources,including its income and expenditure,forthe yearthen ended,
and have been properly prepared in accordance wi th the Companies Act1985 in ouropini on the information
gi ven inthe Trustees'Reportis consistentwith the FinancialStatements.
l
.<

Littlej n
Chartered Accountants
C
)-7 #?*) 2008
and Regi
steredAuditors 1London
WeCsa
tf
n
ea
rryWh
Circa
ur
E14 4HD
s
f
CIVITAS LIM ITED STATEMENT OF FINANCIAL ACTIVITIES
THE INSTITUTE FOR THE STUDY OFCIVILSOCIER (incorporating anIncomeand ExpendîtureAccount)
Yearended 31 Decem berzoo;
2007 2007 2007 2006
Incom e and Expenditure Unrestricted Restricted Total Total
Note Funds Funds Funds Funds
Incom ing Resources
Incom ing resourcesfrom generated funds:
Vol untaryincome -Donations 209,003 806,
684 1,015,687 510,730
Acti vities forgeneratingfunds:
-
Mem bership programm e 29,218 29,218 21,212
-
Subscriptions 4,726 4,726 4,116
Investmentincome -Interestand dividendsreceivable 51,668 51,668 28,914
Incoming resourcesfrom charitable activi
ti
es:
- Conf erence -
3,331
- Publ i
cation sales 83,125 83,125 134,942
-
Sundl income 1,315 1,315 1,143

TotalIncom ing Resources 379,055 806,

684 1,185,739 704,388
Resources Expended
Costofgenerating funds:
-
Marketing 9!Q77 9.077 16,719
Charitable activities:
-
Centre ForSocialCohesionProject 274,669 274,669
-
Dyslexi
a Bursary Project 11,064 11,064 -
-
European Relati onsProject 27,526 27,526 35,558
-
FamilyStudiesProject 10,324 10,324 5,676
-
HeaIthAlternativesProjed 29,993 29,993 3.760
-
London BoxingAcademyProject 41,633 41,633 -
-
New ModelSchoolProject 10,739 10,739 -
-
OurIslandStoryProject 4,953 4,953 7,474
-
SupplementarySchool sProject 165,889 165,889 461745
-
Bookpublishing 38,467 38,467 26,841
- Seminars and meetings 5,075 5,075 9,437
- Research 216,378 216,378 290,856

268,997 576,790 845,787 443,066

Governance costs 77,469 - 77,469 871522

TotalResources Expended 346,466 576,790 923,256 530,588

NetIncom ing Resources forthe Year 32,589 229,894 262,483 173,800

OtherRecognised Gains and Losses
Realised surplus on di
sposalofinvestmentasset 5 546 546 -
Unrealisedsurpluson investmentasset 5 -
670

NetMovementin Funds 33,135 229,894 263,029 174,470

Fund balances broughtfofward 446,190 339,866 7861056 611,586

Fund balances carried forward 9 :479,325 2569,760 E1,049,085 E786,056

The Company has no recognised gains or Iosses other than as stated above AIIof the acti
viti
es represent
continuing activitiesofthe Charity
TheAccounting Policies and Notes onpages 10 to 14 form paftofthese Financi
alStatements
8
 CIVITAS LIMITED BALANCE SHEET
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIER At31 Decem ber2007
Note 2007 2006
Fixed Assets

Tangible fi
xed assets 4 3,720 3,026
Fixed assetinvestments 5 6,194

3,720 9,220
CurrentAssel

Stockofbooks forresale 18,638 22,230

Loanto New Mode!School(dueafteroneyear) 10 72,664 69,648
Rentdeposi t 6 5,325 5,325
Sundry debtors and prepayments 8,264 11,531
VAT recoverable 2,591 6,556
Staffseason ticketIoans 1,109 342
Cash atbank and in hand 1,095,061 782,133

1,
203,652 8971765
Creditors:Am ounts Falling Due W ithin One Year

Sundrycreditors 12,260 10,123

Tax and socîalsecuritycosts 21,027 10,806

33,287 20,929
NetCurrentAssets 1,170,365 876,836

TotalAssets Iess CurrentLiabilities 1,174,085 886,056

Creditors:Am ounts Falling Due AfterMor'
e
Than OneYear

Restri
cted purposeIoan 125,000 100,000

NetAssets :1,049,085 E786,056

Funds

Restrictedfunds 8 569,760 339,866

Unrestricted funds 479,325 446,190

E1,049,085 DN QR n rc
*.lWkpjW WU

Approved and authorised forîssue bythe Board ofTrustees on'

2.X ay2008
and si
gned on its behalfby
J >1a
The Honourable Justin Shaw Trustee
v
l .
.
y
The Hon M rs Silvia Le Marchant Trustee
The Accounting Policies and Noteson pages 10 to 14 form partofthese FinancialStatements
9
CIVITAS LIMITED ACCOUNTING POLICIES
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIETY

Basis ofaccounting
The FinancialStatem ents are prepared underthe historicalcostconventi
on apad from fixed assetinvestments,
which are stated atm arketvalue,and in accordance with the Com panies Act1985.the Charities Act1993,the
StatementofRecommended Practice -Accounting and Reporting by Chariti
es (issued in March 2005),and
applicable accounting standards The speci
fic accounting policiesadopted aresetoutbelow.

Incom ing resources

Donati ons and subscl
iptions are i
ncluded as income as soon as they are received,unless the donorhas împosed
pre-conditions on the use ofthe funds,in which case the donations are carried forward untilthe pre-conditions are
met Grants and statutory funding are recognised once the resource is receivable by the charity and can be
measuredwith reasonable reliability G ifls in kind,such as assets gi
ven foruse by the charity are recognised as
incom e when received and are recorded attheirestimated marketval ue Assetsgi ven fordistribution by the chari
ty
are recognised as income when di stributed Voluntary help is not recognised in the Statement of Financi al
Acti vities

Resources expended
AIIexpenditure is accounted for on an accruals basis Staffsalaries are all
ocated to charitabl
e activi
ti
es or
governance costs ona ti
m e-spentbasis
Depreciation

Depreci
ation is provided on alItangible fi
xed assets atrates catulated to write offthe costofeach asset,Iess any
resi
dualvaluelevenl y overits expected usefullife Ofice furniture and equipmenthas an expected usefulIife of
be- een 3 and 5 years

Stocks
Stocksarevaluedatthe I
owerofcostand netrealisable value.

Operating Ieases
Rentalspaid underoperating leasesare charged to income as incurred

Taxation

As a charity,Ci
vitas Limited is generally exemptfrom taxationwi th the exception ofValueAdded Tax The chari
tyis
regi
stered forVAT and expendi ture is stated excludingthe rel
atedVAT
Fund accounting -restricted,designated and unrestricted funds

Restricted funds comprise donations and grants that have been received for speci
fi
c purposes or have been
subjecttospeci
ficconditionsimposed bythedonor Designatedfundscompriseunrestrictedfundssetasidebythe
Trustees forspecific purposes Unrestricted funds m ay be used forthe purposes ofthe charity atthe Trustees'
discretion
Investm ents

Investments are included in the FinancialStatements at their marketvalue Unrealised gains and Iosses are
included in the Statem ent of FinancialActi
viti
es and are com puted by reference to the market value of the
investments atthe beginning ofthe year Gains or Iosses arising from the sale of investments are shown as
realised
Pension Contributions
The Chari ty operates a defined contribution pension scheme forcertain ofi
ts seniorem ployees The funds of
the scheme are administered by Trustees and are separate from the Chari ty Contributions are paid by the
Charity and employees The pension charge represents contributi ons payable by the Charityforthe year The
Charity's Iiability i
s Iim i
ted to theam ounts ofthe contribution

10
CIVITAS LIM ITED NOTES TO THE FINANCIAL STATEMENTS
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIEW

Inform ation regarding Trustees and Em ployees 2007 2006

Staffcosts:
W ages and salaries,including benefi
ts 476,060 309,856
Socialsecuritycosts 51,419 32,741
Pension contributions 17,409 15,895

2544,888 2358,492

The average num berofpersons em pl

oyed bythe Company during the yearwas: 15 12

There wasone employeewithemol umentsforthe yearinthe rangeE80,000toE90,00O (2006- one between

:80,000 and E90,00O).ln addi
tion,the chari
ty paid E10,735 (2006 -29,471)in the yearforthe provision of
moneypurchase pension benefits forthis em ployee No otherem ployees received emolumentsforthe yeari
n
excessof:50,000 (2006- NiI) TheTrusteeswerenotremunerated,and did n0treclaim anyexpensesinthe
year(2006- NîI)

2 Governance Costs
20:7 2007 2007 2006
Unrestricted Restricted Total Total
Funds Funds Funds Funds
Accountancy 1,058 1,058 1,290
Bank charges - j,168
Depreciation 3,413 3,413 5,444
Independentauditors'remuneration 2,000 2,000 1,900
Insurance 478 478 663
Postage 10,986 10,986 17,722
Rent 25,669 25,669 31,428
Staffsalaries - adm inistrati
on 25,601 25,601 18,800
Stati
oneryand computersuppli es 4,873 4,873 6,011
Sundryexpenses 1,437 1,437 1,533
Telephone 11954 1,954 1,563

277,469 :77,469 :87,522

3 Operating Lease Obligations

The minim um Iease payments towbichthe Com panyis comm i tted undera non-cancellable operating Iease for
the coming yeartotalE28,120,on a property Iease expiri
ng more than five years from the balance sheetdate
(2006-* 8,120)
CIVITAS LIMITED NOTES TO THE FINANCIAL STATEMENTS
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIER

4 Tangible Fi
xed Assel Office furniture
and
Cost equipment

At31 December2006 26:421

Additions 4,107
Disposals (4,511)

At31 Decem ber2007 26,017

Depreciation
At31 Decem ber2006 23,395
Charge forthe year 3,413
Disposals (4,511)

At31 Decem ber2007 22,297

NetBook Value
At31December2007 E3,720

At31 December2006 E3,026

TheCompanyhad nocapitalcommi
tmentsat31December2007(2006- NiI)

5 Fixed AssetInvestments 2007 2006

Quoted investmenl :
Marketval ue at31 December2006 6,194 5,524
Disposals (6,740)
Realised surpluson investmentsold 546
Increase in marketvalue 670

Marketvalue at31 Decem ber2007 E- E6,194

Histori
calcost/orjginalmarketvalpewhen donated to the Company E- E4,794

6 RentDeposit

The rentdepositof25l325issubjecttoachargecreatedon14May2007,underadeed infavourofTheBri

ti
sh
and Foreign Bible Soclety,as securi
tyforal1monies due underthe terms ofa Iease expiring on21March 2014
Itisthusrecoverable aftermore than one year

Restricted Purpose Loan

The Company has recei ved a I
oan from a charitabl
e trustforthe purpose ofsupportingthe developmentofthe
New ModelSchoolThe loan is unsecured,interestfree,and has no fixed repaymentdate,although the trust
has confirmed thatno repaymentwoul d be soughtuntilatIeast1 January2009,and onlythen i fthe New Model
Schoolhas made a trading surplus and i
s ableto repay aIIorpaftofitsassociated loanfrom the Com pany

12
CIVITAS LIMITED NOTES TO THE FINANCIAL STATEMENTS
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIETY

8. Restricted Funds Balance at Balance at

31 Decem ber 31 Decem ber
2096 lncom e Expenditure 2007

Centre ForSoci
alCohesion ProjectFund 428,092 (274,669) 153,423
Communi
tyStudiesProjed Fund 20,000 20,000

Dyslexi
a BursaryProjectFund 10,000 20,000 (11,064) 18,936
EuropeanRel
ationsProjectFund 53,330 68,721 (27,526) 94,525
FamîlyStudiesProjectFund 10,324 37,330 (10,324) 37,330
Heal
thAlternati
vesProjectFund 36,149 8,250 (29,993) 14,406
LondonBoxi
ngAcademyProjectFund 53,875 (41,633) 12,242
New Mode!SchoolProjectFund 10,739 (10,739)
New ModelSchoolBursary Fund 6,960 6,960

OurIsland Story ProjectFund 19,875 (4,953) 14,922

SupplementarySchool
sProjectFund 183,228 1791677 (165,889) 197,016

Totals :339,866 E806,684 E(576,790) E569,760

TheCentreForSocialCohesi
onProjectFundwassetuptoencourageracialandreligiousharmony
TheCommunityStudies ProjectFundwassetuptosuppodworkonastudyofthemoralandculturalrootsofa
free society
The Dyslexi
a Bursary Fund was setup to provi
de teaching supportforyoung people with specialeducational
needs,especially butnotonl
y,dyslexia

The European RelationsProjectFundwassetuptoprovidea networkofspeakersforschoolsanduni

versities
on issues relating to ourrelations wi
th otherEuropean countries,and to provi
de teaching material
s aboutthe
EU forschools

TheFamilyStudiesProjectFundwassetuptoadvancestudyofthefamil
yand marriage
The HeaIth Alternati
ves ProjectFund was setup to coverthe costofstudying overseas health systems to
discoverthe IessonsforBritain

The London Boxing Academy ProjectFund was setup to educate children who have been permanently
excluded from school

The New ModelSchoolProjectFundwassetuptowassetuptosupporttheworkofthe New ModelSchoolin

providi
ng high quali
ty private education forthe chil
dren ofparents on 1ow incomes.
The New ModelSchoolBursary Fund was setup to provide educati
onalopportuni
ties forchil
dren from I
ow-
incom e backgroundsatthe New ModelSchoolorelsewhere.

The Ourlsland Story ProjectFund wassetup to encourageschoolsto teach narrative hi

story,especiall
y by
using the book,Ourlsland Storyby H E Marshall

TheSupplementarySchool s ProjectFund was setuptosupporta neY orkofsuppl

ementaryschools held on
Saturdaysorafterschoolonweekdaystoteach mai nl
y(butnotonl
y)Englishand mathsto chi
ldrenwhohave
fal
len behind the expected standard fortheirage

13
CIVITAS LIMITED NOTES TO THE FINANCIAL STATEMENTS
THE INSTITUTE FOR THE STUDY OF CIVIL SOCIEW

9 AnalysisofTotalFunds Tanqible Net Creditoo

Flxed Current Due After
Assets Assets One Year Total

Restricted funds:
Centre ForSoci alCohesionProjectFund 153,423 153,423
Communi tyStudiesProjectFund 20,000 20,000
Dyslexia BursaryProjectFund 18,936 18,936
EuropeanRel ati
onsProjectFund 94,525 94,525
FamilyStudiesProjectFund 3/,330 37,330
HeaIthAltemativesProjectFund 14,406 14,406
London BoxingAcadelyProjectFund 12,242 12,242
New ModelSchoolBursaryProjectFund 6,960 - 6,960
New ModelSchoolRestri
cted Purpose Loan 125,000 (125,000) -
OurIslandStol ProjectFund 14,922 - 141922
SupplementarySchoolsProjectFund 197,016 197,016

-
694,760 (125,000) 569,760
Unrestricted funds 3,720 475,605 - 479,325

Totalfunds :3,720 :1,170,365 E(125,000)E1,049,085

10 Related Padies
The Chairman ofthe Board ofTrustees and the Deputy DirectorofCivi
tas Limited are both al
so Di
rectors of
The New ModelSchoolCompanyLimited ('New ModelSchooln),aseparatecompanysetupduring2004 asa
resultofa Civi
tas project Ci
vi
tashas no interestinthe shares issued by New ModelSchoo!The regi
stered
office ofNew ModelSchoolis atthe same address as Civitas,and a memberofstaffofNew ModelSchool
worksatthatoïce,although no contribution to renti
s currentl
y paid to Ci
vitas Civitas had no legalorfinanci
al
obligationstoNew ModelSchoolasat31December2007(2006- 2Nil) FundsraisedbyCi vitasforthebenefit
ofthe New ModelSchoolProjectare spentatthe discretion ofCivitas,butfunds received by way ofthe
restri
cted purpose Ioan are loaned on to the New ModelSchoolwhen requi red and are onlydue forrepayment
once the New ModelSchoolhas made a trading surpl us and has sufficientworking capitalto enable i
tto make
such repayment'
,at31December2007 the amountowedto CivitaswasE72,664 (2006 -E69,648) In March
2006,New ModelSchoolsigned a three-yeariease on its schoolprem i
ses,terminable on one-term 'snotice,at
a rentofE13,575 perannum;Civi
tas,along with anotherunrelated pady,isa guarantorofthe rentpaid on this
Iease bythe New ModelSchool(2006 -213,575) lnNovember2006,New ModelSchooltookouta second,
one-year,Ieaseonadjoining premisesatanannualrentofE12,000,andCivi
tashasagreedto paythi
srentand
the associated business rates on this property'
,during the yearE12,558 was paid,shown as an expense in the
New ModelSchoolLoan Fund within restricted funds (2006 - E1,0O0).In addition,acharge ofE5,000 was
madeto New ModelSchoolfortheuseofCivitasadministrationstas(2006-E5,OO0)

14