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2022-03-31-accounts

Charity registration number 1015216

Company registration number 02761115 (England and Wales)

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

LEGAL AND ADMINISTRATIVE INFORMATION

Chairperson John Lowe
Trustees John Lowe
Cllr Joseph Clifford
Cllr Rachel Lancaster
Isabelle Osbourne
Michael Fell
Mark Monaghan
Damon Swindell (Appointed 22 October 2021)
Secretary Alan Markey
Charity number 1015216
Company number 02761115
Principal address Oakwood House
Cheylesmore
Coventry
West Midlands
United Kingdom
CV1 2HL
Registered office Oakwood House
Cheylesmore
Coventry
West Midlands
United Kingdom
CV1 2HL
Independent examiner McGlone Wardzynski Limited
14 Queens Road
Eagle House
Coventry
CV1 3EG

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

LEGAL AND ADMINISTRATIVE INFORMATION

Bankers

Unity Trust Nine Brindley Place 4 Oozells Square Birmingham B1 2HB Redwood Bank The Nexus Building Broadway Letchworth Garden City SC6 3TA Cambridge and Counties Bank Charnwood Court 5B New Walk Leicester LE1 6TE

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

CONTENTS

Page
Trustees report 1 - 9
Independent examiner's report 10
Statement of financial activities 11
Balance sheet 12
Notes to the financial statements 13 - 23

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

The trustees who are also directors of the charity for the purpose of the Companies Act 2016, present their report and financial statements for the year ended 31 March 2022.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's (governing document), the Companies Act 2006 and "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)".

Structure, Governance and Management

Coventry Independent Advice Service (CIAS) is a charitable company. The Memorandum of Association establishes the objects and powers of the charitable company which is governed by the Articles of Association. In the event of the company being wound up, members are required to contribute an amount not exceeding £1.

Recruitment and appointment of directors

The trustees are appointed by ordinary resolution or by a decision of the existing trustees. Under the Articles of Association, one third of the directors are required to retire by rotation at each Annual General Meeting at which time they may seek re-election.

Charity trustees are the people who share ultimate responsibility for governing the charity and directing how it is managed and run. During the past year the trustees have been meeting every 1-2 months to review performance and budgets as well as overseeing the broad strategy of CIAS. CIAS operates in accordance with documented policies and procedures which are designed to ensure that these responsibilities are fully met. Day to day management of activities is delegated to the Chief Executive Officer (CEO) who reports directly to the trustee board.

Trustee induction and training

CIAS has a recruitment process for new trustees which includes a written application form followed by an initial meeting with the Chair and CEO. Trustee vacancies are advertised on the CIAS website (https://covadvice.org.uk) and promoted through Voluntary Action Coventry and social media accounts.

The induction process for new trustees comprises a further meeting with the Chair and CEO, followed by attendance at a meeting of the trustees as an observer. New trustees are given access to previous board papers, recent accounts and annual reports, the Memorandum and Articles of Association, and Charity Commission Guidance (CC3). We also ask new trustees to complete the NCVO e-learning module covering the roles and duties of trustees (https://booking.ncvo.org.uk/training/event_series/e-learning).

Risk Management

CIAS agrees a three-year strategic plan and annually reviews its risk management plan to ensure strategic, business, and operational risks are covered. CIAS has detailed Health and Safety, Risk Management and Safeguarding policies as well as other policies to ensure that risks are identified and managed. Public and professional liability insurance is held at a level recommended by our membership body, AdviceUK, along with appropriate levels of insurance against other identified risks, such as fire and theft.

Access to 24/7 human resources and health and safety support is provided through a paid subscription to Croner HR. This support helps reduce exposure to risk in these key areas. Access to governance support through membership of professional bodies including AdviceUK and NCVO is also in place.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Information Assurance and Data Protection

CIAS has policies to effectively manage compliance with the General Data Protection Regulations (GDPR) which are reviewed and updated regularly. All staff receive GDPR training relevant to their roles, and processes are in place to ensure that IT systems are secure and comply with recognised cyber security standards.

The secure Office365 cloud-based environment is used for day-to-day operations and the online case management system, AdvicePro, is used to secure all client information and case files. Both services are fully assured and compliant with international data security standards. Office365 system was upgraded in 2021 to take advantage of enhanced security and protection options as more people were regularly working from home. Client data held in AdvicePro is securely stored in the UK within a robust, secure operations centre compliant with Information Security Code of Practice ISO27001, and automatically backed up daily.

Liabilities

The main liabilities are for staffing, pensions, and premises costs. Appropriate insurance is maintained to cover all identified liabilities and we have a reserves policy in place to ensure adequate protection (see under ‘Financial Review’ below).

Trustees’ responsibilities in relation to the financial statements

The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the charity’s financial activities during the year and of its financial position at the end of the year. In preparing financial statements giving a true and fair view, the trustees should follow best practice and:

The trustees are responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the charity and enable them to ascertain the financial position of the charity, and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

CIAS trustees continue to scrutinise the organisation’s finances in detail and financial statements are presented at each board meetings. All financial decisions are based on a full understanding of the charity’s reserves position and the impact that future income and expenditure has on the overall financial situation.

Public Benefit Statement

In setting objectives and planning activities the trustees have complied with the requirements of section 17 of the Charities Act 2011 by giving due consideration to the Charity Commission’s public benefit guidance. In particular, the Trustees consider how planned activities will contribute to the aims and objectives set.

The charity’s core activities are to provide information, advice and support around welfare benefits, debt, and other social welfare issues for the benefit of the community in Coventry and surrounding areas. Business planning and strategic development keeps these core activities at heart with the aim of focusing work on the most disadvantaged and financially excluded sections of local communities.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Objectives and Activities

CIAS charitable objectives are to promote any charitable purpose for the public benefit of communities in Coventry and the surrounding areas, predominantly by providing information, advice, public legal education, and other support to relieve poverty and hardship, reduce inequality and improve quality of life.

Main activities

Help individuals to identify and claim benefits, to challenge benefit decisions, to advise on strategies for dealing with problem debt, to negotiate with creditors and to provide information and support on a range of other social welfare issues. The service is free and confidential.

The service model is focused on reaching people where they live, in their own neighbourhoods, and in areas of greatest need. Prior to the Covid-19 pandemic, service was delivered from community outreach venues across the city via a mix of ‘drop-in’ sessions and pre-booked appointments. When pandemic restrictions were in place activities were focused on remote delivery, by telephone and digitally. Since restrictions were lifted, face-to-face offering has gradually increased focusing on meeting the needs of people who most need that type of support. A telephone advice line has been maintained and access to advisers via an online enquiry form.

Over the past year a range of activities have been undertaken to help meet the charitable objectives, including:

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Financial review

Trustees set the budget each year and a finance report is submitted to each board meeting. Trustees also receive a quarterly monitoring report. The Xero financial software package has been implemented this year which has given the additional flexibility required, particularly in a hybrid working environment.

The CEO and finance assistant deal with day-to-day financial matters in accordance with well established procedures. A Finance and General Purposes sub-committee, involving the Chair, Treasurer and CEO, meets at least quarterly to review progress against budget and prepare reports to the wider Trustee membership.

Overall income reduced from £498,075 in 2020/21 to £397,124 in 2021/22, a reduction of around 20%. In the prior year access to several one-off and unrestricted grants was provided to support work during the pandemic and this largely explains the overall reduction in income. Coventry City Council continue to be the main funder, but this grant was frozen for the fourth year in succession.

Restricted income fell this year because of multi-year project funding coming to an end. The support of Feeding Britain for a two-year funded project (see below) has been secured and the charity has benefited from shorter term restricted funding from the National Lottery Community Fund.

Staff costs continue to be the largest area of expenditure, representing around 86% of core costs this year. With inflation on the rise, and with no increase in unrestricted funding, these costs are only likely to rise further. Each of the budget lines for the coming year have been reviewed and identified savings that will have the least impact on service delivery. However, the need to diversify funding streams is recognised by the Board as crucial to safeguard the charity’s future and build capacity to meet ever increasing demand.

Reserves policy

The trustees have set a reserves policy that requires reserves to be maintained at a level which ensures that core activity could continue during a period of unforeseen difficulty and that a proportion of reserves be maintained in a readily realisable form. The reserves policy is calculated and reviewed annually by the Finance and General Purposes Sub-Committee.

The intention of the policy is to cover liabilities including provision for redundancies, premises and other contractual costs, a reasonable level of urgent contingencies and the realistic costs that may be incurred if the charity were to be wound-up.

The trustees assess the required level of reserves on an annual basis, alongside the operating budget. The assessment takes account of the income and expenditure risk within the budget and the need to keep sufficient bank balances to be able to manage the day-to-day fluctuations of receipts and payments. Any significant changes in activities or financial obligations that could affect the level of reserves is closely monitored.

Based on risk analysis, unrestricted reserves equivalent to at least three months operating costs were agreed to be necessary (representing approximately £96,000 for the 2022/23 financial year ahead). The level of unrestricted reserves at the end of 2021/22 (£127,634) represents around four months operating costs.

The trustees took a deliberate decision to invest reserves in core service delivery during recent years in recognition of the increasing need within local communities. When project funding has ended, we have endeavoured to maintain delivery and to refocus resources as necessary. After undertaking a budget review, the board have again set a deficit budget for the coming year. This will allow beneficiary need to be met while pursuing opportunities for additional resource.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Investment Policy and Performance

CIAS continues to bank with Unity Trust, an independent bank committed to supporting socially minded organisations across the UK. Investments are held with Cambridge and Counties Bank and Redwood Bank. Investments are held in the form of notice accounts so that funds can be accessed within a maximum of 120 days.

Finding a reasonable return on investment is still a major problem for the charity sector. Investments are regularly reviewed but, due to continuing low levels of interest rates, income from these investments is limited.

Acknowledgements

The Board would like to thank all the organisations and individuals who have supported our work in the past year, specifically:

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Review of the Year

Information, advice and support

As lockdown restrictions continued into 2021, staff continued to largely work from home. As restrictions relaxed, a hybrid working policy was introduced, allowing flexibility of work location when in-person services were not being delivered. When restrictions fully relaxed, staff were encouraged to attend the office more regularly to help build team moral and restore a more interpersonal working relationship.

The remote service delivery methods introduced during lockdown (i.e. telephone and digital advice) continued to be popular with many beneficiaries. Positive feedback was received on easier access compared to waiting in a queue at a physical venue. However, for many beneficiaries it was recognised that these remote advice methods were not the best for them, and so activities were focused on reintroducing face to face services in partnership with community organisations so that that the form of advice for the people who need it most could be prioritised. This hybrid approach proved successful and won plaudits from beneficiaries and from community partners.

CIAS achievements are fully detailed in a separate impact report for 2021/22 that will be made available on the website and provided to supporters and funders. In summary, achievements for the financial year include:

Calculation of financial gains for clients (£2.4 million as stated above) is a significant indicator of the value for money we offer for funders, as well as the obvious benefit to individuals and families in the city. Increased income and reduced indebtedness can be life-changing, having a positive impact on health and wellbeing as well as providing increased financial security.

The Board recognises that the figure quoted for financial gains is likely to be significantly less than the actual amount realised as it is based on reported one-off gains plus a projection of entitlement over a 52-week period. Many clients are in receipt of benefits for much longer periods than this and, additionally, some clients do not report the outcome of our work with them. Social return on investment is considerably higher as there are wider impacts on the economy and non-financial outcomes to consider.

The team of advisers have noted a steady increase in complex and multiple advice needs along with a significant increase for practical support. Many clients have additional needs because of mental health problems, for example, or because English isn’t their first language or perhaps because they are digitally excluded. Cuts in support services in recent years have led to increased demands on services such as CIAS and, while we have endeavoured to meet some of these challenges with the support of our volunteers, problems with capacity continue.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Work funded by Orbit, originally focused on the Tanyard Farm area of Coventry but later expanded to encompass all Orbit tenants in the city, continued until October 2021. Although very successful, we were unable to secure continuation funding for the work beyond that point. A good relationship is maintained with Orbit and it is hoped both organisations can work together again in future. Many clients are tenants of registered social landlords (RSLs) in the city, and we are happy to explore opportunities to work closely with other providers too.

Late in the financial year a two-year programme was launched, supported by Feeding Britain, which seeks to embed advice services within three of the Social Supermarkets and community Grubs Hubs in the city. Although it is early days, initial results are positive. By working closely with the volunteers at each location we can build trust and engage with service users at an early stage, thereby helping to prevent future problems. The Board look forward to reporting more on this work next year.

For such a small staff team, supported by a handful of dedicated volunteers, the Board is proud of the charity’s achievements for individuals and families in Coventry, many of whom are faced with the real challenge of heating or eating daily. The profile of CIAS in the city has risen enormously during the years of the pandemic and is very much embedded in the life of the city and initiatives to tackle poverty and exclusion.

The Board would like to thank all of staff for their hard work and commitment, particularly in the face of the

challenges presented by the pandemic.

Equality and Diversity

In response to the Racial Diversity in the Charity Sector report, CIAS trustees answered the call from ACEVO to - sign up to eight principles to address the diversity deficit in the charity sector (https://www.acevo.org.uk/eight principles-to-address-the-diversity-deficit-in-charity-leadership/). A working group, including trustees, staff and volunteers, met to give feedback and ideas on how the charity could improve its focus on diversity and inclusion. This resulted in an action plan focusing on reviewing and improving CIAS working practices.

Volunteer programme

The direct funding for a volunteer programme, with thanks to The Henry Smith Charity, ended in December 2021. Due to some efficiencies and judicious use of reserves this programme was maintained to the end of the financial year. This enabled CIAS to continue to offer opportunities for volunteers to help with tasks such as completing benefit claim forms for clients, assisting with preparing financial statements as part of the debt advice process, offering administrative support, and working on social media.

To date, we have been unable to secure continuation funding, but the Board has recognised the value of volunteering to our charity as part of its new three-year strategy. Additional resource is being sought, that will help ensure that volunteering opportunities are part of our core service offer in the future.

The Board would like to thank all our existing and previous volunteers for their dedication and commitment to our

charity. We recognise that you give your time for free, and your support is invaluable.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

The Future

COVID-19

Although COVID has not gone away, in common with much of wider society CIAS has moved out of restrictions and advisers are able to offer a mix of face to face and remote services in line with the Board approved strategy. The period has been unprecedented, and we were fortunate to attract funding that enabled us to navigate the past two years. Unfortunately, as we move into the 2022/23 financial year, much of this funding has disappeared and many Trusts and Foundations are reviewing their own future strategies.

A lot was learned from the pandemic. Long-considered ideas for increasing the use of technology were implemented and the continued opportunities for hybrid working has had a largely positive impact on our staff. This learning will be carried forward into whatever future transpires!

Future Initiatives

The Board continues to focus on the longer-term development of the charity. Entering the second year of a threeyear strategy, areas of progress and work to come are detailed below.

The key priorities are:

Further objectives over the medium to longer term were also identified:

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED TRUSTEES REPORT (INCLUDING DIRECTORS, REPORn (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Redevelop and rglaunch the Advlce Servlces Covenlry publlc webslte. No progress has been made lo dale. Review staff roles, resources and core advlce offer- lo ensure that demand can continue to be mel in the most effective ways possible. An intemal Servi￿ review ￿MmenCed in March 2022 and wll be Covered in next year's annual report. Review fundralslng strategy- ensuring shared clarity of purpose throughout the charity with a focus on seeking opportunities to 'do more of what we do best, and taking services to new people and communities. To help prog￿SS this ambition Mogan and Mogan have been engagèd, a well-respected and successful Coventry based fundraising consultancy, to help develop Ihg fvnding strategy further during 2022123. To consider and develop a successlon strategy- o national shortage of experienced advisers raises the question of how best to 'bring people through, as roles emerge. Focus is required on succession at all levels of the charity to help safeguard against future gaps in service. It is intended to engage with local, regional, and national bodies to consider opportunities for developing paid internships and training roles, as well as looking al the charity's organisational structure and how routes to progression might be created. The trustees report was approved by the Board of Trustees. John Lowe (Sep 9, 2022 09..28 GMT+il John Lowe Chair of Trustees Dated." 5 September 2022

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF COVENTRY INDEPENDENT ADVICE SERVICE LIMITED I report to the trustees on my examination of the financial statements of Coventry Inde￿ndent Advice SeThice Limited {the charilyl for the year ended 31 March 2022. Responslbllitles and basls of report As the trustees of the charity {and also tts difectors for the purposes of company lawl you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 {the 2006 Acti. Having satisfied myseff that the finanaal statements of thè chanty are nol required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity's finanaal slalements carried out under section 145 of the Charities Act 2011 (the 2011 Acll. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 14515llb} of the 2011 ACL Independent examiner's statement Since the charity's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confim that l am qualified to undertake the examination because l am a member ofAsswation ofAceounting Technicians, which is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect.. accounting records were not kept in respeet of the charty as required by section 386 of the 2006 Act., or the financial statements do not accord wlh those records- or the financial statements do not eomply wth the accounting requiiemenls of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination., OT the financial slalemenls have not been prepared in accordan￿ with the methods and principles of the ststement of Recommended Practice f¢x accounting and reporting by charrties applicable to charib'es preparing their accounts in accordance wllh the Fin8nci81 Reporting Standard applicable in the UK and Republsc of Ireland IFRS 102}. I have no concems and have ccffte across no other matters in connection with the examination lo which attenb'on should be drawn in this report in order to enable a proper understanding of the finanaal ststements to be rea¢hed. Jamés ROSÈ Isep 12, 2022 08..07 GMT+II James Rose FMAAT 14 Queens Road Eagle House Coventry CV1 3EG Dated.. 8 September 2022 10-

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2022

Unrestricted
Restricted
funds
funds
2022
2022
Notes
£
£		 Unrestricted
Restricted
funds
funds
2022
2022
Notes
£
£		 Unrestricted
Restricted
funds
funds
2022
2022
Notes
£
£		 Total
Unrestricted
Restricted		 Total
Unrestricted
Restricted		 Total
Unrestricted
Restricted		 Total
funds funds funds funds
2022 2022 2022 2021 2021 2021
£ £ £ £ £ £
Income from:
Donations, legacies and
grants
3
330,892 48,960 379,852 381,193 104,271 485,464
Other trading activities
4		 16,197 - 16,197 11,277 - 11,277
Investments
5		 1,080 - 1,080 1,334 - 1,334
Total income 348,169 48,960 397,129 393,804 104,271 498,075
Expenditure on:
Raising funds
6		 2,561 - 2,561 - - -
Charitable activities
Advice Service
7		 376,873 74,726 451,599 368,594 80,868 449,462
Total charitable expenditure 376,873 74,726 451,599 368,594 80,868 449,462
Total expenditure 379,434 74,726 454,160 368,594 80,868 449,462
Net (outgoing)/incoming
resources before transfers
Gross transfers between
funds
Net (expenditure)/income for
the year/
Net movement in funds
(31,265) (25,766) (57,031) 25,210 23,403 48,613
569 2,545
(569) - (2,545) -
(30,696) (26,335) (57,031) 27,755 20,858 48,613
Fund balances at 1 April 2021 158,330 35,621 193,951 130,575 14,763 145,338
Fund balances at 31 March
2022
127,634 9,286 136,920 158,330 35,621 193,951

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

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED BALANCE SHEET ASAT31 MARCH 2022 2022 2021 Notes Flx¢d assets Tangible assets 12 3,497 Current assets Debtors Cash at bank and in hand 13 6.80S 202,951 147,283 147,283 209,757 Credltors: amounts falling due wlthin one year 14 (15.oon {19.303) Nel current assets 132.276 190,454 Total assets les$ current Ilabllltles 136.920 193,951 Income funds Restricted funds Unrestricted funds 16 9,286 127,634 35.621 158,330 136,920 193,951 The company is enlilled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2022. The directors acknovAedge their responsibilities for comptying with the requirements of the Companies Act 2006 with respect lo accounting records and the preparation of finanual ststements. The members have not required Ihe company to obtain an audit of its financial statements for the year in question in accordan￿ with section 476. These financial statements have been prepared in accordance wth th8 provisFons applicable lo companies sublecl lo the small companies regime. The finan￿01 statements were approved by the Trustees on 5 September 2022 John Lowe ISep9, 202209..28GMT+ii John Lowe Trust98 Company registratlon number 02761115 12-

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

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

1 Accounting policies

Charity information

Coventry Independent Advice Service Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is Oakwood House, Cheylesmore, Coventry, West Midlands, CV1 2HL, United Kingdom.

The charity is limited by guarantee, incorporated in England and Wales, and consequently does not have share capital. Each of the trustees are liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's [governing document], the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "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 charity is a Public Benefit Entity as defined by FRS 102.

The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

1.5 Expenditure

All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Office equipment straighline method over three years

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

(Continued)

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.10 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.

1.11 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.12 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.13 Governance costs

These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’ meetings and reimbursed expenses.

1.14 Government Grants

Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Unrestricted
Restricted
funds
funds
2022
2022
£
£		 Unrestricted
Restricted
funds
funds
2022
2022
£
£		 Unrestricted
Restricted
funds
funds
2022
2022
£
£		 Total
Unrestricted
Restricted		 Total
Unrestricted
Restricted		 Total
Unrestricted
Restricted		 Total
funds funds funds funds
2022 2022 2022 2021 2021 2021
£ £ £ £ £ £
Donations and gifts 1,205 - 1,205 2,037 - 2,037
Grants received 329,687 48,960 378,647 379,156 104,271 483,427
Grants receivable for core activities
330,892 48,960 379,852 381,193 104,271 485,464
Coventry City Council 322,287 - 322,287 322,287 - 322,287
The Henry Smith Grant - 21,500 21,500 - 41,500 41,500
Orbit Grant - 8,285 8,285 - 33,391 33,391
29th May 1961 Charity 5,000 - 5,000 5,000 - 5,000
Heart of England Grants - - - 10,000 10,000 20,000
National Lottery Community Grant - 9,800 9,800 - 4,380 4,380
Coventry Buidling Society & Heart of England Grant - - - - 10,000 10,000
Doing Things Differently - - - - 5,000 5,000
Feeding Britain - 9,375 9,375 - - -
Government Grants and other gramts 2,400 - 2,400 41,869 - 41,869
329,687 48,960 378,647 379,156 104,271 483,427

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

4 Other trading activities

Unrestricted
Unrestricted
funds
funds
2022
2021
£
£		 Unrestricted
Unrestricted
funds
funds
2022
2021
£
£		 Unrestricted
Unrestricted
funds
funds
2022
2021
£
£
funds funds
2022 2021
£ £
Full recovery cost 16,197 11,275
Other income - 2
Other trading activities 16,197 11,277
5 Investments
Unrestricted
Unrestricted
funds
funds
2022
2021
£
£
funds funds
2022 2021
£ £
Interest receivable 1,080 1,334
6 Raising funds
Unrestricted
funds
2022
£
Fundraising and publicity
Total
funds
2022 2021
£ £
Fundraising agents 2,561 -
2,561 -

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

7 Charitable activities

Advice
Service		 Advice
Service
2022 2021
£ £
Staff costs 374,420 373,541
Depreciation and impairment 2,101 1,016
Recruitment 705 600
Training and conferences 3,994 3,199
Rent, service charge and storage fees 14,782 23,524
Repairs and maintenance 20 133
Telephone 5,716 5,639
Printing, postage and stationery 4,414 4,296
Sundry expenses 18,021 15,043
Legal and professional fees 9,095 7,795
Volunteer expenses 2,061 335
Insurance, subscriptions and licences 5,638 2,007
Equipment - 2,663
Computer software and maintenance costs 10,482 9,521
451,449 449,312
Share of governance costs (see note 8) 150 150
Analysis by fund
451,599 449,462
Unrestricted funds 376,873 368,594
Restricted funds 74,726 80,868
451,599 449,462

8 Support costs

Independent examiners
fee		 Support
costs
Governance
costs		 Support
costs
Governance
costs		 2022
Support costs
Governance
costs		 2022
Support costs
Governance
costs		 2022
Support costs
Governance
costs		 2021
£ £ £ £ £ £
- 150 150 - 150 150
- 150 150 - 150 150
Analysed between
Charitable activities - 150 150 - 150 150

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

9 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.

10 Employees

The average monthly number of employees during the year was:

The average monthly number of employees during the year was:
2022 2021
Number Number
Charitable activities 11 10
Administration 2 3
Total 13 13
Employment costs 2022 2021
£ £
Wages and salaries 339,010 332,642
Social security costs 17,248 23,702
Other pension costs 18,162 17,197
374,420 373,541

No employee received emoluments of more than £60,000 during the year.

The total employee benefits of the key management personnel of the charity were £56,733 (2021 - £56,168).

There were no employees whose annual remuneration was more than £60,000.

11 Taxation

The charity is a registered charity and is therefore exempt from taxation.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

12
Tangible fixed assets		 Office equipment
£
13,818
6,165		 Office equipment
£
13,818
6,165
Cost
At 1 April 2021
Additions
Disposals
At 31 March 2022
Depreciation and impairment
At 1 April 2021
Depreciation charged in the year
Eliminated in respect of disposals
At 31 March 2022
Carrying amount
At 31 March 2022
At 31 March 2021
13
Debtors
Amounts falling due within one year:
Prepayments and accrued income
14
Creditors: amounts falling due within one year
(6,366)
13,617
10,321
5,018
(6,366)
8,973
4,644
3,497
2021
£
6,806
2021
£
5,621
7,635
6,047
19,303
2022
£
-
Other taxation and social security
Trade creditors
Accruals and deferred income		 2022
£
7,240
2,673
5,094
15,007

15 Retirement benefit schemes

Defined contribution schemes

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

The charge to profit or loss in respect of defined contribution schemes was £18,162 (2021 - £17,197).

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

16 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Balance at
1 April 2020
r
£		 Balance at
1 April 2020
r
£		 Movement in funds Movement in funds Movement in funds Movement in funds
Incoming
esources
Resources
expended		 Transfers
Balance at
1 April 2021
r		 Incoming
esources
Resources
expended		 Transfers
Balance at
31 March 2022
£ £ £ £ £ £ £ £ £
41,500
33,391
-
4,380
10,000
10,000
5,000		 21,500
8,285
The Henry Smith Charity Grant 4,861 (37,563) - 8,798 (30,298) - -
Orbit Grant 4,107 (28,082) - 9,416 (18,618) 917 -
Tampon Tax Community Fund 5,795 (5,795) - - - - - -
TNL Community Fund - (1,223) - 3,157 -
-
-		 (2,402) (755) -
Heart of England Winter Well Being Grant - (2,000) - 8,000 (7,269) (731) -
Heart of England and Coventry Building
Society Grant
- (3,750) - 6,250 (6,250) - -
Heart of England Doing Things Differently
Grant
- (2,455) (2,545) - - - - -
Feeding Britain - - - - - 9,375
9,800
48,960		 (9,375) - -
TNL Community Fund 2 - - - - - (514) - 9,286
104,271
14,763 (80,868) (2,545) 35,621 (74,726) (569) 9,286

The Henry Smith Charity Grant - volunteer development project.

Orbit Grant - funds a project to encourage benefit take-up on the Tanyard Farm estate in Coventry.

Tampon Tax Community Fund - specific project to projects that improve the lives of disadvantaged women and girls. TNL Community Funds - fund a new telephony system and related costs.

Heart of England Winter Wellbeing Fund - support work with food networks and emerging Social Supermarkets. Heart of England & Coventry Building Society Grant - support our debt advice work.

Heart of England Doing Things Differently Grant - support our debt advice work.

COVENTRY INDEPENDENT ADVICE SERVICE LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

17 Related party transactions

There were no disclosable related party transactions during the year (2021 - none).