OpenCharities

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

2022-12-31-accounts

Registered number: 02728847 Charity number: 1012890

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

CONTENTS

Page
Reference and administrative details of the Charity, its Trustees and advisers 1
Trustees' report 2 - 9
Trustees' responsibilities statement 10
Independent auditors' report on the financial statements 11 - 13
Consolidated statement of financial activities 14
Consolidated balance sheet 15
Charity balance sheet 16
Consolidated statement of cash flows 17
Notes to the financial statements 18 - 35

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2022

Trustees D Wilson, Chairman
D M Antrobus
R Leslie
B Warrender
M Purnell (appointed 13 July 2022)
Company registered
number
02728847
Charity registered
number
1012890
Registered office
1-2 Mallard Way
Pride Park
Derby
Derbyshire
DE24 8GX
Chief executive officer
N Collishaw
Independent auditors
Bates Weston Audit Limited
Statutory Auditor
Chartered Accountants
Canal Street
Derby
DE1 2RJ
Bankers
Bank of Scotland plc
20-22 Shandwick Place
Edinburgh
EH2 4RN
Solicitors
Nelsons Solicitors Limited
Pennine House
8 Stanford Street
Nottingham
Nottinghamshire
NG1 7BQ
Investment advisors
Investec Wealth & Management Limited
The Colmore Building
Colmore Circus
Birmingham
B4 6AT

Page 1

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2022

The Trustees (who are also directors of the charity for the purposes of the Companies Act) present their annual report together with the audited financial statements of British Plumbing Employers Council (Training) Limited (the "company") for the year ended 31 December 2022. The Trustees confirm that the annual report and financial statements of the company comply with the current statutory requirements, the requirements of the company's governing document and the provisions of the Statement of Recommended Practice (SORP) FRS 102, effective 1 January 2019.

Objectives and Activities

The purpose and objectives of the Charity are to:

Summary of the main activities

The overall objective of the BPEC Charity is to improve the skills of those who work in the UK plumbing and heating industry as well as providing opportunities for personal growth and development and, from time to time, some limited qualifying activity outwith the UK.

To achieve this objective the following work strands have been established:

  1. Invest in product development, such as, innovative learning materials, courses and qualifications that can be offered via the two trading companies – BPEC Certification Ltd and BPEC Services Ltd.

  2. Supporting skills development activity across the UK through the Plumbing and Heating Skills Partnership (PHSP).

  3. Deliver the SkillPLUMB skills competitions across the UK.

  4. Providing BPEC Awards (to projects which use plumbing knowledge and skills to improve the lives of others in the UK) and Grants (to raise the plumbing skills levels of disadvantaged groups) and such other Awards, including projects outwith the UK, as the trustees consider appropriate and reasonable and to review these annually.

  5. Maintain the ‘BPEC Brief’ to inform centres of education and training policy developments.

  6. Collaborate with other industry organisations to exert pressure on regulatory bodies to ensure industry standards of training are adhered to.

  7. Develop plans to create new careers information and guidance for new entrants into the plumbing and heating industry.

Public Benefit

The trustees are fully aware of the Charity Commission’s general guidance on public benefit and are committed to ensuring that the company’s charitable objectives and future activities fully deliver services to ensure that they are of benefit to the public. The trustees remain focused on channelling the efforts and resources of the charity to ensure the charity fulfils its principal objectives and its public benefit obligations.

Grant making policies

The trustees’ policy is to focus principally on providing financial grants through the charity’s grants and awards and to award such other grants as the trustees consider appropriate. The trustees have allocated funds to support the activities of the PHSP which works closely with BSE Skills Ltd and other industry bodies that are involved in the development of apprenticeships, qualifications and occupational standards for the plumbing, mechanical services, and other related industries.

Volunteers

In respect to our Skills Competitions activity, we occasionally receive support from some volunteers (past competitors and college tutors) in helping facilitate or deliver one or more of the SkillPLUMB events. Over and

Page 2

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

above this, the charity does not engage volunteers.

Achievements and Performance

During the period January to December 2022 the charity has been involved in the following activities:

Plumbing and Heating Skills Partnership (PHSP)

This partnership is continuing to be led by the charity’s Chairman and brings together industry stakeholders providing strategic UK-wide oversight on the development of standards, apprenticeships and qualifications for the plumbing and heating industry and wider building engineering sector. The PHSP has undertaken the following activity:

Plumbing skills competitions

The trustees remain fully committed to supporting the regional, national, and international Plumbing skills competitions as a means of showcasing the best in apprenticeship training.

The competitions remain open to every apprentice/trainee throughout the UK and invitations go out to over 200 further education colleges seeking their participation. The UK finals takes place at the ‘WorldSkills UK Live event’, which was held at Middlesbrough College in November. There were eight finalists competing at the event in 2022: the overall winner being Ruben Duggan from Wales. Raymond Leslie (BPEC Trustee) was able to meet and award prizes to all the UK finalists at the event.

BPEC also continues to support the recruitment, selection, and training of candidates to compete in the plumbing competition at the WorldSkills International events. Conor Cruden (both from Scotland and former SNIPEF apprentice) achieved a medallion of excellence for his achievement for the UK at the WorldSkills 2022 competition held in Germany in November.

Awards and Grants

BPEC has made provision to continue its contingency fund that supports learners that have been let down by their training provider, e.g., their provider ceases to trade, leaving them without provider support. This fund continues to enable advice, guidance, and support to be provided to learners and to access other appropriate training providers to enable them to continue and complete their studies.

The trustees approved a support fund grant to a candidate studying at Able Skills in Dartford. Dean Collyer is a full-time unpaid care worker for his elderly father. Financial assistance (£300) was provided to enable Dean to travel to and from the training centre to complete his full-time plumbing and heating qualification, which was completed in the summer.

Training

The charity continues to offer a range of resources for apprentices and their employers as well as delivery materials in support of tutors in colleges and private training centres. These resources include:

Page 3

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

The charity is continuing to invest in new e-learning materials for tutors and learners. It has also supported the research and development of new learning materials, qualifications and assessments for the heat pumps and the fire and security industry.

Apprenticeship Ambassador Network

Mark Antrobus (BPEC trustee) continues to be a member of the Yorkshire and Humberside Apprenticeship Ambassador Network. He provides regular progress updates to meetings of the Board of Trustees.

The BPEC Brief

The 14th and 15th issue of the BPEC brief was developed and published in June and October. This e-newsletter continues to provide the latest news and policy updates affecting the training sector. Copies can be accessed via https://bpec.org.uk/the-bpec-charity/the-bpec-brief/.

Collaboration with other industry organisations

Four of the six BPEC Awards for Excellence winners attended the Worshipful Company of Plumbers (WCoP) annual lecture and dinner as VIP guests in May. The Master of the WCoP presented them with Celebration of Excellence scrolls. Members of BPECs senior management team were able to join the winners at the event, which was held at the Royal College of Physicians in London.

The charity has been working closely with the WCoP, APHC, CIPHE, WRAS, JIB-PMES and other key industry bodies to collectively promote the benefits of apprenticeships to employers and contractors that attended the Installer show that was held at the NEC in Birmingham in June.

The charity works closely with other like-minded organisations, such as NET within the Electrotechnical sector. Quarterly meetings are held sharing good practice with a common objective to raise the knowledge and skills across both industries.

The charity is also working closely with government departments and industry bodies providing advice and guidance regarding renewable energy and the development of low carbon technologies. The charity is an active member on the Microgeneration Certification Scheme (MCS) Green Jobs Action Group and has provided extensive advice to policy staff at the government department (BEIS) regarding heat pumps.

BPEC Certification Limited

Offering gas ACS assessments remains a key business activity. This is operated by the Certification Body (CB) under the quality standard ISO/IEC 17024:2012 (Conformity Assessment – General requirements for bodies operating certification of persons). This remains a highly competitive marketplace and our key objective is to maintain and develop our extensive range of UK-wide approved centres.

BPEC Certification’s Awarding Organisation continues to offer regulated and non-regulated qualifications for the plumbing and heating industry. Their End-point Assessment Organisation also continues to offer End-point Assessments for the following apprenticeship standards:

Page 4

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Key financial performance indicators

The charity does not currently use KPIs as a management tool, however the trustees closely monitor the financial performance of the charity and its wholly owned subsidiary via progress against agreed budgets. The Trustees have reviewed and updated its investment policy, strengthening the procedures to monitor the performance of its investment portfolio. In 2022 the charity established an Investment Sub-Group which meets with its investment manager three times per annum to monitor and review the charity’s investment portfolio.

Fundraising activities / income generation

The Charity does not actively fundraise; it seeks to continue the charitable work agreed by the trustees through the careful management of its existing resources. This includes the returns on its investment portfolio, rents, service charges to the associated companies and sundry income from various initiatives, including the skills competition and the on-line aptitude test. From time to time, as and when available, surplus funds from its wholly owned subsidiary are gifted to the Charity.

Financial Review

Policy on reserves

The company has a policy of regularly reviewing (at least annually) the reserves its holds to ensure that sufficient working capital is available to cover its ongoing work in the succeeding 12 months and beyond and that sufficient funds are held. The trustees work to ensure that:

In calculating its reserves, the company excludes:

Page 5

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Investment powers

The trustees have overall responsibility for the investment of the charity’s funds and a key role in how to use the charity’s assets to achieve its charitable objectives. The investment portfolio is currently managed on behalf of the charity by Investec Wealth & Management Limited. However, the trustees retain overall control of investment decision making and require their investment manager to comply with the terms of the Charity’s investment policy.

Monitoring of investment performance

The trustees require and will agree annually with their investment manager an appropriate benchmark(s) and target(s) against which investment performance will be judged over an agreed time-period. This will also include an effective and fair assessment of both the manager’s overall performance as well as the portfolio’s performance against the agreed benchmark(s) and target(s). In the matter of reviewing the performance of the investment manager the trustees reserve the right to seek independent professional advice and support in conducting such a review. The investment manager attends meetings of the charity’s investment Sub-Group three times per annum to monitor and review the performance of the investment portfolio.

Amount available for investment

The principal funds available for investment are those held in the charity’s investment portfolio which are held in a ‘medium’ risk ‘diversified’ portfolio which in December 2022 amounted to £3.35m and comprised:

Asset Class As at Dec 2022
Equities 50.9%
Fixed interest 19.39%
Alternatives 16.83%
Property 4.85%
Cash 8.03%
Total 100%

Additional investment funds may become available from time-to-time gift aided, depending on the profitability and financial requirements of the charity’s trading subsidiary. In such event the trustees in normal circumstances will allocate 60% of additional gifted funds to charitable projects/objectives and 40% added to the investment portfolio to increase future annual income.

Future spending

As part of the annual budget process the trustees will determine:

Future income requirements, including cash are regularly communicated to the charity’s investment manager to ensure that these requirements are factored into the investment manager’s investment decisions and where possible have minimal impact on the asset value of the charity’s portfolio.

Cash deposits

As indicated above the trustees identify the cash required to be held from time to time and advise the investment manager of the amount of cash required to be held. Such cash held by the charity will be deposited with reputable financial institutions authorised and approved by the Financial Services Authority (FSA) and held in appropriate deposit or fixed term accounts in accordance with the charity’s governance requirements.

Ethical Investment

The charity has an ethical approach to investment whereby it does not wish to invest in companies or sectors which run contrary to its values and ethos or conflicts with the objectives of the charity or where the standard of governance of such entities/sectors falls below widely accepted industry standards provided there is no

Page 6

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

significant financial detriment to the charity’s ongoing ability to meet its charitable objectives. In so doing the trustees have adopted a policy of “negative screening” whereby they wish to avoid investing in companies or sectors where activity, or the way in which companies or sectors operate, may be harmful to the charity’s interests or reputation.

Investec (Investec Wealth & Management Ltd) – the Charity’s Investment Managers

Investec embed environmental, social and governance (ESG) considerations into their investment processes and has active engagement with the businesses which they include in their client portfolios. The investment manager is required to regularly advise the trustees on such screening and support the charity in achieving its ethical investment objective.

Investment Objective

The historical investment objective of the charity has been to maximise investment income while aiming for an element of capital growth. Given the current challenging trading conditions and the impact this has had on the charity and its trading subsidiary, the trustees have an investment objective for the five-year period 2022-2027 to primarily maximise income whilst continuing to review this investment objective annually.

BPEC’s investment objective includes, and these must be agreed with our investment manager:

Suitable investments

The trustees with their investment manager as a matter of course will always consider:

Risk

The trustees are aware that risk is part of the investment process however they aim to manage and reduce risk to as low a level as is possible, and to a level which is appropriate for the charity. The trustees consider all manner of risks e.g., capital, liquidity, market, volatility, valuation, counterparty, environmental, social and governance etc. in making their investment decisions guided by their investment manager and as necessary by appropriate additional independent professional advice.

Reporting Requirements

The investment manager must report on performance of the portfolio three times per annum to the Investment Sub-Group providing evidence of performance against the agreed benchmark(s) target(s) and at other times at the request of the trustees depending on performance, economic or financial circumstances.

Investment Sub-Group – Investment Performance

The trustees established in 2022 an Investment Sub-Group for the purpose of receiving and reviewing regular and ongoing feedback from their investment manager. The Sub-Group reports to the Board of trustees at each board meeting.

Structure, Governance and Management

Governing Document

BPEC is a charitable company limited by guarantee, incorporated on 3 July 1992. The company was established under a Memorandum of Association, which established the objects and powers of the charitable company and is governed under its Articles of Association. The charity and the group are constituted under a Memorandum of

Page 7

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Association dated 3 July 1992, which was amended in May 2009 and is a registered charity.

Method of appointment of Trustees

The trustees of the charity are also directors for the purposes of company law. As set out in the Articles of Association, the Chairman is appointed by the trustees. Duncan Wilson was appointed as a new independent Chairman in December 2019 and is listed as a Director with Companies House.

Although the charity has the ability to appoint up to six trustees, three of which are nominated by the Association of Plumbing and Heating Contractors Ltd (APHC) and three by the Scottish and Northern Ireland Plumbing Employers Federation (SNIPEF) the trustee Board has agreed to reduce the number of trustees to two each nominated by the APHC and SNIPEF. All new nominees to become a trustee are interviewed by the Chairman and CEO prior to their appointment to ensure they bring the mix of skills and attributes necessary for good governance and strategic planning.

The trustees will always act in the best interests of the charity and that the commercial interests of its subsidiary are not compromised.

Method of appointment or election of Trustees

All trustees are familiar with the work of the charity. An induction programme is used to assist new directors/trustees in meeting their responsibilities as well as BPEC’s requirements. Part of the induction programme provides the opportunity for a new director/ trustee to discuss the work of the charity with the Chairman and CEO. The induction pack for all trustees is regularly updated.

Following induction, all new trustees will undertake a formal training session that is provided by the Charities Commission. Charity Commission newsletters are circulated as appropriate to trustees to keep them up to date with relevant changes that may impact on the BPEC charity / group.

Organisational structure and decision making

The Chairman along with the other trustees direct and oversee the work of the charity. The Board meets three times per year to review progress of the strategic priorities, finances, new developments and any changes to legislation or good practice. The CEO is responsible for implementing the activities contained in the strategic plan and as appropriate will delegate authority to other staff for managing the day-to-day operations of the charity and the non-charity subsidiary.

Related Parties

The group maintains a close relationship with the APHC and SNIPEF. Both organisations nominate individuals to act as trustees, all of which have significant experience in the UK Plumbing and Heating Industry. The employer link ensures there is strong leadership by the industry in directing the work of the charity and its subsidiary to help increase and develop the skills of those who operate in the Plumbing and Heating industry and that essential and appropriate training and qualifications are available.

Providing support for people seeking to enter the industry is a key part of the work of the Charity as well as implementing a range of activities to help increase the knowledge and skills of those already employed in the Plumbing and Heating industry. Developing and increasing competence is also beneficial to the public through having access to a highly skilled and competent workforce.

The Charity and its subsidiary have a related party, BPEC Services Limited, which is wholly owned by SNIPEF, and which has common directors appointed by SNIPEF. BPEC Services Ltd shares the objectives of the BPEC Group and seeks to complement and support the work of the Group. BPEC Services gift-aided in 2022 £50,000 to the BPEC Charity from its surplus profit. An example where profits from one of the BPEC trading companies are gifted to support and strengthen the ongoing charitable objectives and activities of the BPEC charity.

Page 8

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Risk Management

An assessment of the potential risks faced by the charity is undertaken on an annual basis and a formal ‘risk register’ was developed and implemented in 2021. The trustees/directors review the register at Board meetings as part of their regular monitoring of the performance of the charity and its subsidiary.

Approved by order of the members of the board of Trustees and signed on their behalf by:

D Wilson

Chairman Date: 7 July 2023

Page 9

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

STATEMENT OF TRUSTEES' RESPONSIBILITIES FOR THE YEAR ENDED 31 DECEMBER 2022

The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial . Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 10

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

Opinion

We have audited the financial statements of British Plumbing Employers Council (Training) Limited (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 31 December 2022 which comprise the Consolidated statement of financial activities, the Consolidated balance sheet, the Charity balance sheet, the Consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The other information comprises the information included in the Annual report other than the financial statements and our Auditors' report thereon. The Trustees are responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Page 11

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (CONTINUED)

Opinion on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' report.

We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the Group's and the parent charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the company and industry in which it operates, we considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and Charities Act 2011. Audit procedures performed by the engagement team included:

Page 12

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (CONTINUED)

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to the charitable company's trustees, as a body, Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditors' 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 charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Wayne Thomas ACA (Senior Statutory Auditor)

for and on behalf of

Bates Weston Audit Limited

Statutory Auditor Chartered Accountants Canal Street Derby DE1 2RJ

17 July 2023

Page 13

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2022

Note
Income from:
Donations and legacies
2
Other trading activities
3
Income from local listed investments
Other income
4
Total income
Expenditure on:
Raising funds
5,6
Charitable activities
7
Total expenditure
Net (losses)/gains on investments
Net (expenditure)/income before taxation
Taxation
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2022
£
50,000
1,572,352
97,196
94,108
1,813,656
1,127,195
393,056
1,520,251
(446,978)
(153,573)
(57,200)
(210,773)
5,303,473
(210,773)
5,092,700		 Total
funds
2022
£
50,000
1,572,352
97,196
94,108
1,813,656
1,127,195
393,056
1,520,251
(446,978)
(153,573)
(57,200)
(210,773)
5,303,473
(210,773)
5,092,700		 Total
funds
2021
£
-
1,356,599
85,007
51,954
1,493,560
890,709
376,818
1,267,527
254,070
480,103
57,200
537,303
4,766,170
537,303
5,303,473

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

The notes on pages 18 to 35 form part of these financial statements.

Page 14

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee) REGISTERED NUMBER: 02728847

CONSOLIDATED BALANCE SHEET AS AT 31 DECEMBER 2022

Note
Fixed assets
Intangible assets
12
Tangible assets
13
Investments
14
Current assets
Debtors
15
Cash at bank and in hand
Creditors: amounts falling due within one
year
16
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after more
than one year
17
Total net assets
Charity funds
Unrestricted funds
18
Total funds		 334,309
700,500
1,034,809
(138,289)		 2022
£
12,131
830,953
3,353,096
4,196,180
896,520
5,092,700
-
5,092,700
5,092,700
5,092,700		 371,242
410,230
781,472
(164,416)		 2021
£
20,393
867,869
3,823,925
4,712,187
617,056
5,329,243
(25,770)
5,303,473
5,303,473
5,303,473

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

D Wilson

Chairman

Date: 7 July 2023

The notes on pages 18 to 35 form part of these financial statements.

Page 15

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee) REGISTERED NUMBER: 02728847

CHARITY BALANCE SHEET AS AT 31 DECEMBER 2022

Note
Fixed assets
Intangible assets
12
Tangible assets
13
Investments
14
Current assets
Debtors
15
Cash at bank and in hand
Creditors: amounts falling due within one
year
16
Net current assets
Total assets less current liabilities
Total net assets
Charity funds
Unrestricted funds
Total funds		 271,534
156,010
427,544
(38,385)		 2022
£
12,131
830,953
3,353,196
4,196,280
389,159
4,585,439
4,585,439
4,585,439
4,585,439		 353,501
31,106
384,607
(49,951)		 2021
£
20,393
867,869
3,824,025
4,712,287
334,656
5,046,943
5,046,943
5,046,943
5,046,943

The Charity's net movement in funds for the year was £ (461,504) (2021 - £150,171) .

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

D Wilson

Chairman

Date: 7 July 2023

The notes on pages 18 to 35 form part of these financial statements.

Page 16

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2022

Note
Cash flows from operating activities
Net cash used in operating activities
21
Cash flows from investing activities
Dividends, interests and rents from investments
Purchase of tangible fixed assets
Proceeds from sale of investments
Net cash provided by investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
22		 2022
£
170,583
97,196
(1,360)
23,851
119,687
290,270
410,230
700,500		 2021
£
90,588
86,344
(5,695)
22,299
102,948
193,536
216,694
410,230

The notes on pages 18 to 35 form part of these financial statements

Page 17

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

1. Accounting policies

1.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

British Plumbing Employers Council (Training) Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The Consolidated statement of financial activities (SOFA) and Consolidated balance sheet consolidate the financial statements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements.

1.2 Income

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

1.3 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

All expenditure is inclusive of irrecoverable VAT.

Page 18

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

1. Accounting policies (continued)

1.4 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

1.5 Taxation

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

1.6 Intangible assets and amortisation

Intangible assets costing £250 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Amortisation is provided on intangible assets at rates calculated to write off the cost of each asset on a straight-line basis over its expected useful life.

Amortisation is provided on the following basis:

Computer Software - 20 % straight line

1.7 Tangible fixed assets and depreciation

Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Freehold property - 3% straight line
Office equipment - 33% straight line
Computer equipment - 50% straight line

Page 19

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

1. Accounting policies (continued)

1.8 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Consolidated statement of financial activities.

Investments in subsidiaries are valued at cost less provision for impairment.

1.9 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

1.10 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

1.11 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated statement of financial activities as a finance cost.

1.12 Financial instruments

The Group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

1.13 Operating leases

Rentals paid under operating leases are charged to the Consolidated statement of financial activities on a straight line basis over the lease term.

1.14 Pensions

The company makes contributions to a defined contribution pension scheme on behalf of staff. Contributions are charged in the statement of financial activities as they fall due.

Page 20

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

1. Accounting policies (continued)

1.15 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

2. Income from donations and legacies

Unrestricted Total Total
funds funds funds
2022 2022 2021
£ £ £
Donations 50,000 50,000 -

3. Income from other trading activities

Income from non charitable trading activities

Unrestricted
funds
2022
£
Sales
1,572,352
Total 2021
1,356,599		 Total
funds
2022
£
1,572,352
1,356,599		 Total
funds
2021
£
1,356,599

Page 21

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

4. Other incoming resources

Rental income
Service charges
Other income
Skills competition
Total 2021		 Unrestricted
funds
2022
£
12,000
39,815
17,918
24,375
94,108
51,954		 Total
funds
2022
£
12,000
39,815
17,918
24,375
94,108
51,954		 Total
funds
2021
£
12,000
27,000
12,954
-
51,954
5.
Expenditure on raising funds
Other trading expenses
Unrestricted
funds
2022
£
Cost of sales
358,165
Administration expenses
110,135
Interest payable
731
Staff costs
637,759
1,106,790
Total 2021
868,410		 Total
funds
2022
£
358,165
110,135
731
637,759
1,106,790
868,410		 Total
funds
2021
£
213,883
93,214
585
560,728
868,410

Page 22

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

6. Investment management costs

Unrestricted
funds
2022
£
Investment management fees
20,405
Total 2021
22,299		 Total
funds
2022
£
20,405
22,299		 Total
funds
2021
£
22,299

7. Analysis of expenditure by activities

Support and funding of plumbing, heating and
gas industries
Total 2021		 Grant
funding of
activities
2022
£
21,202
5,170		 Support
costs
2022
£
371,854
371,648		 Total
funds
2022
£
393,056
376,818		 Total
funds
2021
£
376,818

Page 23

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

7. Analysis of expenditure by activities (continued)

Analysis of support costs

Staff costs
Depreciation
Other personnel costs
IT and office costs
Governance costs
Utilities
Travel costs
Other admin costs
Insurance
Professional fees
Irrecoverable VAT		 Total
funds
2022
£
90,757
46,537
561
104,237
7,529
21,815
22,797
41,337
10,849
10,837
14,598
371,854		 Total
funds
2021
£
92,029
46,997
2,837
107,503
6,943
32,010
12,854
33,682
11,637
9,296
15,860
371,648

8. Analysis of grants

The group has made the following grants in the year:
Plumbing and heating skills partnership
SkillPLUMB
Life Award
Auditors' remuneration
Fees payable to the Charity's auditor for the audit of the Charity's annual
accounts		 2022
£
4,510
16,692
-
21,202
2022
£
5,175		 2021
£
2,160
1,510
1,500
5,170
2021
£
5,075

9. Auditors' remuneration

Page 24

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

10. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension
schemes		 Group
2022
£
609,510
57,092
61,914
728,516		 Group
2021
£
541,980
50,197
60,580
652,757		 Charity
2022
£
37,434
25,022
28,301
90,757		 Charity
2021
£
44,625
21,379
26,025
92,029

The average number of persons employed by the Charity during the year was as follows:

Certification
Awarding Organisation
Training		 Group
2022
No.
9
6
8
23		 Group
2021
No.
10
4
8
22

No employee received remuneration amounting to more than £60,000 in either year.

The total amount of employee benefits (including employer pension contributions) received by key management personnel for their services to the Charity was £177,293 (2021 - £170,318).

Key management personnel is made up of the following members of staff:

Chief Executive Officer Head of Finance & Business Services Head of Operations and Development

11. Trustees' remuneration and expenses

During the year, one Trustee has received benefits from the Charity. As permitted by the Articles of Association adopted by special resolution on 21 May 2009, the Board have approved the contracted services of D Wilson as independent director and Chairman. The value of payments was as follows:

2022 2021
£ £
D Wilson Fees 10,500 10,500

Page 25

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

11. Trustees' remuneration and expenses (continued)

During the year ended 31 December 2022, expenses totalling £ 655 were reimbursed or paid directly to 4 Trustees (2021 - £NIL to Trustee) .

12. Intangible assets

Intangible assets
Group and Charity
Cost
At 1 January 2022
At 31 December 2022
Amortisation
At 1 January 2022
Charge for the year
At 31 December 2022
Net book value
At 31 December 2022
At 31 December 2021		 Computer
Software
£
41,309
41,309
20,916
8,262
29,178
12,131
20,393

13. Tangible fixed assets Group

Cost
At 1 January 2022
Additions
At 31 December 2022		 Freehold
property
£
1,273,020
-
1,273,020		 Office
equipment
£
104,437
1,360
105,797		 Computer
equipment
£
35,998
-
35,998		 Total
£
1,413,455
1,360
1,414,815

Page 26

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

13. Tangible fixed assets (continued)

Group (continued)

Depreciation
At 1 January 2022
Charge for the year
At 31 December 2022
Net book value
At 31 December 2022
At 31 December 2021
Charity
Cost
At 1 January 2022
Additions
At 31 December 2022
Depreciation
At 1 January 2022
Charge for the year
At 31 December 2022
Net book value
At 31 December 2022
At 31 December 2021		 Freehold
property
£
409,709
34,832
444,541
828,479
863,311
Freehold
property
£
1,273,020
-
1,273,020
409,709
34,832
444,541
828,479
863,311		 Office
equipment
£
100,342
2,981
103,323
2,474
4,095
Office
equipment
£
88,985
1,360
90,345
84,890
2,981
87,871
2,474
4,095		 Computer
equipment
£
35,535
463
35,998
-
463
Computer
equipment
£
28,848
-
28,848
28,385
463
28,848
-
463		 Total
£
545,586
38,276
583,862
830,953
867,869
Total
£
1,390,853
1,360
1,392,213
522,984
38,276
561,260
830,953
867,869

Page 27

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

14. Fixed asset investments

Investments

Charity
Cost or valuation
At 1 January 2022
Disposals
Revaluations
At 31 December 2022		 in
subsidiary
companies
£
100
-
-
100		 Listed
investments
£
3,823,925
(23,851)
(446,978)
3,353,096		 Total
£
3,824,025
(23,851)
(446,978)
3,353,196

Listed investments are recognised at their market value as reported by the investment advisors at the balance sheet date. Investments in the subsidiary company are held at cost.

15. Debtors

Due after more than one year
Other debtors
Due within one year
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income		 Group
2022
£
-
-
193,367
-
73,088
67,854
334,309		 Group
2021
£
57,200
57,200
210,960
-
65,386
37,696
371,242		 Charity
2022
£
-
-
-
215,777
27,979
27,778
271,534		 Charity
2021
£
-
-
300
292,421
34,916
25,864
353,501

Page 28

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

16. Creditors: Amounts falling due within one year

Bank loans
Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income
Deferred income
Deferred income at 1 January 2022
Resources deferred during the year
Amounts released from previous periods		 Group
2022
£
-
77,366
18,822
3,511
38,590
138,289
Group
2022
£
29,748
-
(12,295)
17,453		 Group
2021
£
9,230
84,483
20,055
-
50,648
164,416
Group
2021
£
9,500
24,748
(4,500)
29,748		 Charity
2022
£
-
18,439
7,975
-
11,971
38,385
Charity
2022
£
5,000
-
(5,000)
-		 Charity
2021
£
-
22,121
11,516
-
16,314
49,951
Charity
2021
£
9,500
-
(4,500)
5,000

Deferred income relates to trading income and sponsorship income received in advance.

17. Creditors: Amounts falling due after more than one year

Group Group
2022 2021
£ £
Bank loans - 25,770

Page 29

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

18. Statement of funds

Statement of funds - current year

Balance at
Balance at 1 31
January Gains/ December
2022 Income Expenditure (Losses) 2022
£ £ £ £ £
Unrestricted funds
Designated funds
Freehold Property Fund 863,310 - (34,832) - 828,478
General funds
General Funds - all funds 4,440,163 1,813,656 (1,542,619) (446,978) 4,264,222
Total Unrestricted funds 5,303,473 1,813,656 (1,577,451) (446,978) 5,092,700
Statement of funds - prior year
Balance at
Balance at 31
1 January Gains/ December
2021 Income Expenditure (Losses) 2021
£ £ £ £ £
Unrestricted funds
Designated funds
Freehold Property Fund 898,142 - (34,832) - 863,310
General funds
General Funds - all funds 3,868,028 1,493,560 (1,175,495) 254,070 4,440,163
Total Unrestricted funds 4,766,170 1,493,560 (1,210,327) 254,070 5,303,473

Page 30

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

19. Summary of funds

Summary of funds - current year

Designated funds
General funds		 Balance at 1
January
2022
£
863,310
4,440,163
5,303,473
Balance at
1 January
2021
£
898,142
3,868,028
4,766,170		 Income
£
-
1,813,656
1,813,656
Income
£
-
1,493,560
1,493,560		 Expenditure
£
(34,832)
(1,542,619)
(1,577,451)
Expenditure
£
(34,832)
(1,175,495)
(1,210,327)		 Gains/
(Losses)
£
-
(446,978)
(446,978)
Gains/
(Losses)
£
-
254,070
254,070		 Balance at
31
December
2022
£
828,478
4,264,222
5,092,700
Balance at
31
December
2021
£
863,310
4,440,163
Summary of funds - prior year
Designated funds
General funds
5,303,473

20. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted
funds
2022
£
Tangible fixed assets
830,952
Intangible fixed assets
12,131
Fixed asset investments
3,353,096
Current assets
1,034,809
Creditors due within one year
(138,288)
Total
5,092,700		 Total
funds
2022
£
830,952
12,131
3,353,096
1,034,809
(138,288)
5,092,700

Page 31

(A company limited by guarantee)

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

20. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior year

Tangible fixed assets
Intangible fixed assets
Fixed asset investments
Debtors due after more than one year
Current assets
Creditors due within one year
Creditors due in more than one year
Total		 Endowment
funds
2021
£
1
-
-
-
-
(1)
-
-		 Unrestricted
funds
2021
£
867,868
20,393
3,823,925
57,200
724,272
(164,415)
(25,770)
5,303,473		 Total
funds
2021
£
867,869
20,393
3,823,925
57,200
724,272
(164,416)
(25,770)
5,303,473

21. Reconciliation of net movement in funds to net cash flow from operating activities

Net income/expenditure for the year (as per Statement of Financial
Activities)
Adjustments for:
Depreciation charges
Amortisation charges
(Gains) / losses on investments
Dividends, interests and rents from investments
Movement in debtors
Movement in creditors
Movement in deferred tax
Net cash provided by operating activities		 Group
2022
£
(210,773)
38,276
8,262
446,978
(97,196)
(20,267)
(51,897)
57,200
170,583		 Group
2021
£
537,303
38,737
8,262
(254,070)
(86,344)
(85,582)
(10,518)
(57,200)
90,588

Page 32

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

22. Analysis of cash and cash equivalents

Cash in hand
Total cash and cash equivalents		 Group
2022
£
700,500
700,500		 Group
2021
£
410,230
410,230

23. Analysis of changes in net debt

Cash at bank and in hand
Debt due within 1 year
Debt due after 1 year		 At 1
January
2022
£
410,230
(9,230)
(25,770)
375,230		 Cash flows
£
290,270
9,230
25,770
325,270		 At 31
December
2022
£
700,500
-
-
700,500

24. Pension commitments

From 1 July 2019 all employees were transferred in to a defined contributions scheme administered by Royal London. Contributions are currently between 3.75% and 8.3% for an employee and 7.25% and 16.6% for the employer.

Up to 30 June 2019 contributions were paid into a defined benefits scheme with the assets of the pension scheme held separately from those of the charitable Company in an independently administered fund operated by Plumbing Pensions (UK) Limited. This is a multi-employer defined benefit scheme, of which the charitable company is unable to identify its share of assets and liabilities in the scheme on a consistent and reasonable basis.

The charitable company may be required to make further contributions should a deficit arise. The pension scheme reported a deficit position as per the last actuarial valuation as at 5 April 2020. As the scheme's assets were enough to cover 99% of the scheme's liabilities, the trustee agreed a recovery plan to make good the shortfall by a change to the investment out-performance rather than require employers to pay Deficit Reduction Contributions. Accordingly, there is no liability for British Plumbing Employers Council (Training) Limited in respect of the pension deficit.

In accordance with FRS 102 the pension cost represents contributions payable by the Group to the respective funds and amounted to £61,914 (2021 - £60,580). At the balance sheet date, £Nil (2021 - £Nil) was owing to the fund.

Page 33

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

25. Operating lease commitments

At 31 December 2022 the Group and the Charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Amounts payable:
Not later than 1 year
Later than 1 year and not later than 5 years		 Group
2022
£
17,016
11,065
28,081		 Group
2021
£
15,103
12,618
27,721		 Charity
2022
£
12,036
9,605
21,641		 Charity
2021
£
10,543
11,858
22,401

26. Related party transactions

The charitable company is limited by guarantee. The guarantors are the Scottish and Northern Ireland Plumbing Employers' Federation (SNIPEF Management Limited) and the Association of Plumbing and Heating Contractors Limited (APHCL).

BPEC Services Limited is operated in conjunction with the group and is controlled by Scottish and Northern Ireland Plumbing Employer' Federation (SNIPEF Management Limited).

During the year the Group provided goods and services to the following related parties:

BPEC Services Limited £151,238 (2021 - £181,653) APHCL £2,500 (2021 - NIL) During the year goods and services were provided by related parties to the Group: BPEC Services Limited £1,641 (2021 - £14,928) APHCL £2,000 (2021 - NIL) Included in the Group's balance sheet are the following amounts in debtors from related parties:

BPEC Services Limited £27,463 (2021 - £26,462)

27. Controlling party

The group is controlled by its members, the Scottish and Northern Ireland Plumbing Employers' Federation (SNIPEF) and the Association of Plumbing and Heating Contractors Limited (APHCL). The Directors are of the opinion that there is no ultimate controlling party.

Page 34

BRITISH PLUMBING EMPLOYERS COUNCIL (TRAINING) LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

28. Principal subsidiaries

The following was a subsidiary undertaking of the Charity:

Name Company Class of Holding Included in
number shares consolidation
BPEC Certification Limited 03323774 Ordinary 100% Yes
The financial results of the subsidiary for the year were:
Name Income Expenditure Profit for Net assets
£ £ the year £
£
BPEC Certification Limited 1,572,352 (1,321,620) 250,732 507,364

Page 35