Docusign EnvelopÈ ID". 78977A7F-9CB3-82EB-82AA-46F48692885B
Qcips
Annual Report
2024- 2025
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
**CIPS’ purpose: To professionalise global procurement and supply chains to drive a commercial, ethical and sustainable world.**
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## **Contents**
## **Trustees’ report**
|**Trustees’ report**||
|---|---|
|Introduction|4|
|Objectives and activities|8|
|Achievements & Performance|10|
|Membership|11|
|Education|13|
|Governance|15|
|Risk management|19|
|Foundation|20|
|Financial Review|22|
|Reference & administration|27|
|Statement of Trustees’ responsibilities|29|
|**Independent auditors report to the Trustees of the Chartered**||
|**Institute of Procurement & Supply**|**30**|
|**Financial Statements**|**35**|
|Notes to the fnancial statements for the year ended 31 October 2025|40|
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## **Introduction**
When CIPS was founded in 1932, it emerged at a moment of global disruption, shaped in part by the introduction of new trade tariffs in the United States. Nearly a century later, it is striking how familiar some of those themes feel. My first full year as CEO has unfolded against a backdrop of geopolitical uncertainty, economic volatility, and rapid technological change — conditions that once again underscore the vital role of procurement and supply.
Today’s challenges extend far beyond trade policy. Artificial intelligence is reshaping how organisations operate, cyber risks continue to evolve, and emerging technologies such as quantum computing are beginning to redefine what is possible. At the same time, pressure on natural resources, climate and nature crisis, and accelerating urbanisation are placing unprecedented demands on global supply chains.
Against this backdrop, the role of procurement and supply has expanded significantly. What was once viewed as a largely operational function is now firmly recognised as a strategic discipline. Procurement professionals are addressing sustainability and circularity, strengthening resilience and crisis response, adopting advanced technologies, and using data and insight to enable better decisionmaking. As a result, the profession has never been more relevant or more consequential.
Throughout 2025, one message has been consistent in my conversations with members, partners, governments, and stakeholders around the world: procurement and supply professionals are central to navigating change. They are not just responding to transformation — they are shaping it. This year reinforced my belief that they are the strategic architects of a more resilient, ethical, and sustainable global economy.
This increased relevance brings responsibility. It requires CIPS to continue evolving so that we can support the profession effectively and lead it confidently into the future. During 2025, we took decisive steps to strengthen our foundations, expand our global presence, and modernise how we operate. These actions reflect a clear ambition: to ensure CIPS remains the global authority for procurement and supply, trusted by members and respected by policymakers, employers, and partners worldwide.
As this Annual Report and Accounts demonstrate, we have made strong progress during the year. Membership has grown, engagement has deepened, and our financial position has strengthened — all while continuing to invest in the long-term future of the organisation and the profession. This performance is a testament to the dedication of our staff, the commitment of our volunteers, and the professionalism of our members around the world.
While challenges remain, I am confident in the direction we are taking. With a clear purpose, strong values, and a growing global community, CIPS is well positioned to lead the profession through its next chapter. The work we are doing today will shape not only the future of our organisation, but the future of procurement and supply worldwide.
At the time of writing, we are 5 weeks into the war in the Middle East and carefully watching developments in that region with interest. Our first concern will always be for our staff that have been impacted by those events and making sure they are safe and supported. Whilst we expect there to be impacts on our local operations, we do not currently expect these to be materially significant. Much will depend on the duration of the war, and the most likely outcome will be delays to existing programmes rather than cancellations. We will continue to track developments and should things change we will react accordingly.
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## **Growing and modernising the organisation**
This growing relevance has made it clear that CIPS itself must continue to evolve. In 2025 we began the next stage of that journey, deliberately expanding our global reach to better deliver on our purpose.
During the year, CIPS opened new regional offices in Nigeria, East Africa (Kenya), ASEAN (Singapore), and the Caribbean (Trinidad), while re-establishing offices in the USA and West Africa (Ghana). We are also planning to establish a permanent presence in India in early 2026.
In the UK, we relocated our office to create a modern, collaborative workspace for our staff. At the same time, we redesigned our organisational structure to be more focused on members and products, ensuring we have the right capabilities to succeed in the future.
New volunteer branches were established in Azerbaijan, Iraq, and Kazakhstan, adding to our existing global network. Today, CIPS has around 670 volunteers, a presence in over 180 countries, and 97 branches worldwide. I believe our volunteers and branch network are among the greatest strengths of CIPS — a true superpower.
We celebrated this community at our inaugural CIPS Volunteer Conference in Birmingham (UK), another important milestone for the organisation and a meaningful way to recognise those who give so much of their time and expertise.
Branches are now more active than ever, and discussions are underway to open new branches in regions where CIPS has previously had limited presence, including São Paulo in Brazil.
## **Solidifying our foundations**
While 2025 was a year of growth and expansion, it was also a year of renewal.
Early in the year, I visited Poland to strengthen our partnership there. It was encouraging to see such strong belief in CIPS and our purpose. We are now exploring ways to support the public sector in Poland and are planning a European conference and awards in Warsaw.
Nigeria offers another powerful example. The CIPS membership branch Nigeria, established in 2004, has been doing outstanding work for many years. Its dedication has positioned CIPS as the benchmark for good practice, and that reputation is now yielding significant opportunities.
“ Across multiple visits this year, I heard a phrase that stayed with me: “CIPS has changed my life.” That is a powerful testament to the impact of our work”
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Nigeria’s fast-growing economy, driven by inward investment, has prompted the government to place ethical and effective procurement at the centre of its growth strategy. CIPS has been invited to co-author Nigeria’s national procurement strategy.
I was the first CIPS CEO to visit Nigeria and see this work first-hand. During the visit, we confirmed our commitment to opening an office in Abuja and signed a Memorandum of Understanding with the Bureau of Public Procurement.
Across multiple visits this year, I heard a phrase that stayed with me: “CIPS has changed my life.” That is a powerful testament to the impact of our work.
These successes show what can happen when all parts of the organisation are connected and aligned around a shared purpose. New relationships are formed, existing ones are renewed, and our commitment to professional values is reinforced. Each day, I become more convinced of the global importance of what we do.
This includes CIPS’ involvement in Health Procurement Africa, where our teams are helping to reduce costs, raise standards, and ultimately save lives in Nigeria, Kenya, and Ethiopia.
Health Procurement Africa is just one example of how CIPS applies its expertise where it is most needed. The same is true of the CIPS Foundation. In 2025, we committed permanent resources to further develop the Foundation’s work, an investment that is already delivering value. In 2026, we must do more to help members understand the impact this work has on their behalf.
## **Early signs of change**
The early indicators are encouraging. All key metrics are moving in the right direction. Most importantly, membership has grown by more than 10% this year. Social media engagement has increased significantly, and revenue growth has strengthened our financial position. We recently surpassed 200,000 followers on LinkedIn, and that number continues to grow rapidly.
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Periods of organisational change often come with financial pressure. Instead, CIPS has gone through significant transformation while increasing profitability. This is a credit to everyone involved — our staff, members, and volunteers — and something for which I am deeply grateful.
It also reflects our growing role as the voice of the profession. A major focus in 2025 was raising our profile, particularly through the media. Visibility matters if we are to advocate effectively for procurement and supply.
An organisation that demonstrates its relevance will eventually lead the conversation. That is where we want to be, and it will remain a key focus for 2026.
## **Understanding who we are**
One of the most significant changes in recent CIPS history was our move from Easton House last year. While it had been our home for decades and played an important role in shaping the modern CIPS, it also limited collaboration and tied us closely to the past.
Our new office at WestPoint represents a shift. The open, single-level layout encourages collaboration, conversation, and teamwork. It reflects who we want to be as an organisation and prompted us to revisit our values.
In 2025, we agreed four core values. We reaffirm our commitment to professional integrity. We commit to being innovative and curious. We commit to being globally connected, bringing people together to advance the profession. And finally, we commit to being member-centric.
CIPS exists because of the professionalism, dedication, and expertise of our members. Our role is to champion their interests, represent their voice, and support them throughout their careers.
## **Looking ahead**
We can be confident in the progress we have made in guiding CIPS through this next stage of its evolution. The foundations are in place, and perceptions of CIPS are beginning to shift.
While we must remain thoughtful and disciplined about how we grow, the momentum is clearly with us as we enter 2026. If we sustain that momentum, live our values, and continue to champion the professionalisation of procurement and supply, we will be well positioned for the future.
Thank you to everyone who contributed to a successful 2025. As we move into 2026, let’s build on that success and keep the conversation going.
Finally, it only remains for me to extend our sincere thanks to Alison Barto for her outstanding leadership and dedicated service as Chair of CIPS Global Board of Trustees up to 31 October 2025. Alison’s guidance and commitment have been instrumental in strengthening our global professional community and advancing our strategic priorities. As we look ahead, we are delighted to welcome Henrik Larsen as our new Chair. Henrik brings a wealth of experience and insight to the role, and we look forward to the energy and vision he will contribute as we look to the future and this our next phase of significant global growth.
**Ben Farrell, MBE** Global CEO
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## **Objectives and activities**
and supply chain profession and those who work in it. This is achieved by establishing standards and qualifications, creating and delivering education and training, as well as promoting the role of the profession and the value that it brings to the public sector, business and society.
enhancement of teams, through knowledge and content creation. CIPS’ Global Standard is also freely available to all – offering a comprehensive competency framework.
CIPS is a professional membership body and therefore supports the professional needs of members as they progress their careers – from those considering a future in procurement and supply chain management, to students, to fully qualified professionals, and leaders in the profession.
## **CIPS’ Royal Charter Objects are to:**
- the art and science of procurement and supply and likewise to encourage the promotion and development of improved methods of procurement and supply in all organisations.
- the public, high standards of professional skill, ability and integrity among persons engaged in procurement and supply.
- Educate persons engaged in the practice of procurement and supply and, by means of examination and other methods of assessment, to test the skill and knowledge of persons desiring to enter the Institute.
## **CIPS’ purpose**
To professionalise global procurement and supply chains to drive a commercial, ethical and sustainable world.
## **Measurement of success**
CIPS’ primary aims are to meet its Charter objects and deliver public good. These are achieved through the organisational strategy and success is measured by a range of targets and metrics, agreed by the Global Board of Trustees and monitored throughout the year.
At the start of the year the CEO sets objectives and Key Performance Indicators (KPIs) against the strategy for the period; these are assigned to the directorates as part of the annual planning process. The Board is updated on progress against targets, and they receive detailed, periodic reports from the directors with particular focus on any challenges that could impact CIPS’ performance.
At the end of the year, the Global Board of Trustees reviews the year-end position of CIPS against the annual targets and ensures that lessons learnt, and insights gained throughout the period are incorporated into the planning process for the year ahead.
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## The main areas of activity are:
## CIPS
procurement and supply chain professionals, helping them to develop their skills and advance their careers.
**Professional development:** CIPS provides continuous professional development opportunities through workshops, courses and online learning.
**Advocacy and standards:** CIPS advocates for the profession and sets the Global Standard, this supports ethical and effective procurement and supply chain practices.
**Networking and events:** CIPS organises events, conferences, and networking opportunities for professionals to connect and share knowledge.
**Supporting organisations:** CIPS supports organisations to improve their procurement functions through evaluation and certification against world-class standards.
## _**All of these activities are in support of the achievement of CIPS’ Charter Objects, Purpose and Strategic Objectives, which are:**_
To provide leadership, advocacy, and a policy and regulatory climate that is supportive of what the profession is trying to achieve and enabling it to thrive.
**Growth:** To become the leading brand in each of our markets by becoming the destination of choice for those looking to develop a career in procurement and supply – from precareer throughout the professional lifecycle, a strategic partner to major employers, a trusted and impartial advisor to governments.
**Profession:** To assert our role as a global professional body that has the credibility and scale to drive the highest standards across each of our key markets, and positions the profession as so strategically important that governments, regulators and corporates mandate CIPS membership.
##
of activities; these are agreed by the Trustees and considered in the context of the guidance issued by the Charity Commission on public benefit:
- CIPS promotes ethical behaviour and offers its annual ethics e-learning and test to its members free of charge.
- CIPS’ guidance on responsible and ethical procurement is freely available to members and non- members alike and CIPS’ guides on modern slavery are seen as key resources on how to approach best practice for an ethical and responsible procurement strategy.
- CIPS’ members sign up to the Code of Conduct annually. This promotes positive behaviours that, in turn, lead to increased public confidence in the profession.
- CIPS provides its Global Standard, a comprehensive framework for individuals at all levels, free of charge to members and non-members alike.
- CIPS provides access to knowledge that promotes high standards of skills and ability among those engaged in procurement and supply.
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## **Achievements & Performance**
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## **Membership**
|**Membership key metrics:**|**Target 2025**|**Target 2025**|**Target 2025**|**Target 2025**|**Achieved 2025**|**Achieved 2025**|
|---|---|---|---|---|---|---|
|Member population|70,000||||**70,702**||
|Member retention|74%||||**77%**||
|Net Promoter Score (NPS)|50||||**67**||
|Member engagement and volunteer led events - global|444 events and 47,035 attendees||||||
||||||||
|**Membership category**||**2024**|**2025**|**Variance 2024-2025**|||
|Afliate||6,806|**9,222**|2,416||35.5%|
|Student||39,839|**41,526**|1,687||4.2%|
|MCIPS, fully qualifed||17,481|**19,954**|2,473||14.1%|
|**Total**||**64,126**|**70,702**|**6,576**||**53.8%**|
As a result of a refreshed member centric approach, we finished FY25 with 6,576 more members than we started with, a 10.3% increase in our global membership population. The greatest contributor to this growth came from our fully qualified group, which increased by 2,473 members (14.1%).
We continue to measure member retention to gauge the value members see in our offering and demonstrate the loyalty of our member base. Continued improvements to our member benefits and marketing of our Member Value Proposition as well as smoother customer journeys has led to an increase in retention of 3%.
Increased focus on member surveying and data modelling is planned to continue into 2026 to continue to improve our member offering so that it aligns with current member needs and is attractive to prospective members.
## **CIPS’ volunteers**
## **Volunteers across the world FY24 v FY25**
||FY24|%|**FY25**|**%**|
|---|---|---|---|---|
|Africa|66|10|**62**|**9**|
|Asia|57|8|**62**|**9**|
|Australia and New
Zealand|92|14|**83**|**13**|
|Europe|37|5|**35**|**5**|
|Fellows Non-UK|10|1|**7**|**1**|
|Fellows UK|11|2|**10**|**1**|
|MENA|87|13|**88**|**13**|
|SouthernAfrica|44|6|**57**|**9**|
|UK|277|41|**270**|**40**|
|**TOTAL**|681|100%|**674**|**100%**|
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## **Volunteer networks across the world (Branches)**
|**(Branches)**|||||
|---|---|---|---|---|
||FY24|%|**FY25**|**%**|
|Africa|10|12|**8**|**8**|
|Americas|2|2|**2**|**2**|
|Asia|4|5|**6**|**6**|
|Australia and New
Zealand|9|11|**10**|**11**|
|Europe|4|5|**5**|**5**|
|MENA|15|17|**19**|**20**|
|South Africa|9|10|**13**|**14**|
|UK|33|38|**33**|**34**|
|**TOTAL**|86|100%|**96**|**100%**|
The power and generosity of our global volunteer network continues to be at the heart of supporting CIPS, our members, and the profession.
Through our volunteer branch network over 130 branch events have been delivered, creating opportunities for members and potential members to learn, connect and be inspired.
During this year we have onboarded 90 new volunteers and established 7 new or reactivated branches. Alongside welcoming our new volunteers, we also acknowledge those who have concluded their volunteering journey this year. Thank you for the dedication, expertise and service you have contributed to CIPS and the profession.
Our global FCIPS volunteers surpassed our expectations by stepping-up to deliver the fourth series of Mentoring Circles. With almost 60 FCIPS mentors we were able to offer 15 Circles globally, to enhance our member value proposition to over 150 mentees.
Our education group and branch education liaison officers go from strength to strength in promoting procurement and supply as a career of choice to the next generation, through collaboration and engagement with our accredited universities, schools and colleges. Their passion has also extended to a working group coming together to review the inclusion of procurement and supply topics in the syllabus of the UK GSCE and A-Level qualifications.
Increasing and improving the initiatives for volunteer recognition has remained a focus this year. During Volunteer Week we were delighted to award 30 long service recognitions, totalling almost 300 years of volunteering. Including the incredible 45 years for Robert Broad FCIPS, South Yorkshire Branch. The introduction of CEO and branch chair dinners was successful, as was the inaugural UK and Europe Volunteer Conference and Awards, which will become the blueprint for similar events globally.
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## **Education**
|**Professional Development Examinations**|**2024**|**2025 Target**|**2025 Actual**|
|---|---|---|---|
|Global examinations|*100,580|100,735|**102,162**|
*** Correction to figure shared in last year’s Annual Report - due to administrative error.**
Exam series performance throughout FY25 consistently exceeded targets, except for the July 2025 series, which fell short by approximately 1,500 entries. Despite this, the year concluded 1.4% above the overall FY25 target, reflecting strong and sustained learner engagement across the exam schedule.
Remote Invigilation (RI) has continued to grow in popularity; driven by the flexibility it offers CIPS learners. In FY25, RI usage increased by 7.3%, with 37,126 learners choosing this mode of delivery, up from 34,592 in FY24. RI now accounts for 36.3% of all exams sat, highlighting its continued importance in supporting accessible and flexible assessment.
## **Exam Centre delivery**
The remaining 65,036 exams (63.7% of total exams in FY25) were delivered through physical exam centres and of these:
- **33,809 exams** (33.1%) were delivered at approved Study Centre venues.
- **31,227 exams** (30.6%) were delivered at CIPS-managed exam venues.
This balanced approach to assessment delivery ensures that learners have access to a range of options tailored to their needs and circumstances.
## **Qualifications and learners**
|**Year**|**Active Students**|**New Students**|
|---|---|---|
|**2024**|22,550|8,595|
|**2025**|**23,589**|**7,984**|
## **Education and learning**
For FY25 the numbers of students completing their End Point Assessments for both Level 3 and Level 4 remained the same while the number of students joining the program increased for Level 3 and decreased slightly for Level 4. The Level 6 apprenticeship has also been launched, the first EPAs due to come into CIPS for assessment this month.
## **University partnerships & Global Study Centre network**
## **Study Centres**
|**Study Centres**||
|---|---|
|Current SC Sites|210|
|Centre of Excellence|29|
|Current members registered|30,186|
|with SCs||
|Lapsed members registered|20,887|
|with SCs||
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## **FY2025: 22 new Study Centres onboarded**
- MENA: 8
- Southern Africa: 2
- Aisa: 3
- UK: 1
- ROW: 8
(NB: New regions have been now introduced to provide improved data)
65,938 exams sat through Study Centres – 61.4% of all exams sat
## **University partnerships**
- 151 programmes accredited
- 6 new programmes
- 18 reaccreditations
- 26 ‘Intro to CIPS’ sessions delivered by Partnership Development Team including 12 in person.
- New partnership offered developed and in progress
- 92 potential new programmes identified globally for outreach
There was a small increase in Management Entry Route (MER) and Fellowship applications by 1.5% and 14% respectively.
## **Corporate Award**
The Corporate Award continues to demonstrate strong year-on-year growth, with FY25 submissions reaching 8,483, representing a 11.3% increase from FY24.
Significant improvements have been made to the assessment submission process following successful implementation of the new IT submission and marking system on 01 March 2025. This enhancement, combined with the full utilisation of the online submission application process across all CIPS offices and students, ensures that the Corporate Award Programme remains fit for future growth.
Recruiting new assessors remains a key priority and, particularly as we explore opportunities to deliver the Corporate Award Programmes across multiple languages, to support our expanding global reach.
With an expected submission target of 5,240 in FY24 the final number of submissions was 7,620, a 45.4% growth.
independent Board of experts who give strategic direction and oversight of the CIPS Awarding Board. This group of experts is called CABB (CIPS Awarding Body Board) and includes a member of the Global Board of Trustees. They actively provide oversight and monitor the Awarding Body function to ensure it remains compliant with all regulators.
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## **Governance**
## **Group structure**
CIPS was established in 1932. In 1992 CIPS was awarded a Royal Charter in recognition of its status as the leading body for the profession. CIPS is a registered charity (Charity No. 1017938) dedicated to the promotion of education in procurement and supply. As a professional body incorporated under Royal Charter, CIPS operates in accordance with its Charter and Byelaws and within the provisions of the Charities Act 2011. CIPS is a not-for-profit organisation, headquartered in the UK with regional subsidiaries globally. CIPS also operates a linked charity, the CIPS Foundation (Charity No. 1017938-1), whose purpose is to improve lives through better supply chains. CIPS has a physical presence at the following subsidiaries and branches:
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## **Governance structure**
## **Independent governance review**
In 2025, the independent governance review progressed with a comprehensive evaluation of the Committees’ remit and scope. The Regulations were amended, and terms of reference were established and formally approved by the Board. As part of this process, the Remuneration Committee was re-designated as the People & Governance Committee, while the Audit Committee was renamed Audit & Risk to better represent its expanded responsibilities.
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## **Global Board of Trustees’ composition and selection**
The Trustees serve in a non-executive capacity. They commit their time and expertise to CIPS without remuneration, providing leadership in fulfilment of CIPS’ Charter and charitable objectives, and ensuring the delivery of the organisational strategy. Although unpaid, Trustees nevertheless assume fiduciary responsibilities on taking office and are expected to exercise responsible stewardship of both CIPS’ resources and its reputation throughout their term of office.
The Global Board of Trustees has up to 15 seats. Most of the Trustees are MCIPS or FCIPS, with the exception of those selected for their expert knowledge, such as accounting and finance. Each year the Nominations Committee works with the Board to agree the selection criteria. The vacancies are then advertised by an executive search agency, with both members and non-members encouraged to apply. Candidates who best match the selection criteria are interviewed by the Nominations Committee with input from the Chair of the Global Board of Trustees and the CEO. The Board recommends the most suitable candidates to members for approval at a general meeting.
Key topics discussed by the Global Board of Trustees include:
- Strategy
- Risk management
## **Trustee induction and training**
All Trustees are required to attend an induction and are given supporting materials to help them in their role. The induction includes details of CIPS and its activities, the governance structure and the Trustees’ legal duties and responsibilities under Charity Law.
During 2025, all Trustees committed to undertake a formal training course on Trustee duties. Additionally, they are encouraged to engage with continuing professional development to ensure that they maintain and enhance their skills and knowledge. They sign an annual agreement which sets out their obligations including a commitment to take responsibility for understanding their role and acquiring sufficient knowledge about CIPS and its operations to be able to make informed decisions.
options and updating an online portal with information as applicable; the Trustees also have access to the Company Secretary, who provides support as required. The Global Board of Trustees meets at least four times each year, with the meetings being held physically, virtually and hybrid. Governance and risk management have been further strengthened through the appointment of an external internal audit partner. The forward audit plan provides two internal audits per annum, supplemented by ad hoc reviews where required to address emerging risks or areas of focus.
-
- Improvements to CIPS’ governance
- Membership
At CIPS, we strive to be representative of the communities we serve. Regarding our board membership, we have trustees with disabilities on the Board.
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## **Remuneration**
The Trustees do not receive remuneration for their services on the Board. The salaries across the Group including the Group CEO’s remuneration are the responsibility of the People & Governance Committee. The People & Governance Committee consists of the Chair of the Global Board of Trustees and Trustees. Each year, the Committee reviews and approves CIPS’ pay and bonus policy for the forthcoming year for its relevance and appropriateness. The Committee considers external expert advice including benchmarking data.
## **Responsibilities**
The Risk Group is chaired by the Company Secretary and implements all elements of the Risk Management Framework across CIPS Group. The Risk Group monitors and reviews the Organisational Risk Register and provides upward reporting to the Executive Team on these risks. The Risk Group is supported by various third-party assurance providers in terms of stated controls and mitigations to enable the links between the relevant inputs, outputs and interactions. The Executive Team is accountable to the Audit & Risk Committee and the Global Board of Trustees for the delivery of the risk framework.
## **Related parties’ transactions**
The Global Board of Trustees and the Executive Team are required to declare all parties connected with them that may be classified as related parties. All transactions with related parties must be disclosed; disclosure forms are completed annually.
## **Risk management**
CIPS’ policy is to identify, assess and respond appropriately to all risks. The effectiveness of risk management and the resultant controls are reported to the Executive team and Audit & Risk Committee quarterly via the Risk Group for appropriate review and challenge. The risk register is shared with the Global Board of Trustees at each of the quarterly Board meetings and Trustees offer their external perspective on the risks.
## **Principles**
- It is good business practice to ensure that risks are considered and managed across CIPS Group.
- Risk management is integral to the strategic planning process, business decision making and day- to-day operations.
- Risk mitigations must be appropriately devised to address the specific circumstances.
- The Risk Group must regularly assess the status of risks, mitigations and controls.
- Compliance with this framework must be monitored and reported where necessary.
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## **Risk management**
## **Risk statement and risk register**
mitigation plans are in place. Major risks are defined as high impact and a high likelihood of occurring.
|**#**|**Risk**|**Mitigation**|
|---|---|---|
|1|A cyber or information
security breach causes
signifcant fnancial and
reputational harm|•
NIST cyber security framework review completed
•
Implement NIST recommendations across IT estate and supporting
information processes.
•
Develop internal resources or recruit resources to support security
operations. Training for key resources in industry recognised
accreditations to support NIST remediation activities.
•
Wider governance initiatives around data management across the
business|
|2|AI disruption and
opportunity risk|•
Cyber safety considerations included in recent training activities to
protect and respond to IP breaches/issues
•
Ensure IP is protected as part of the cyber security strategy
•
Asset security and storage policy development and implementation
•
Brand building, developing USPs, focus on diferentiation|
|3|The product portfolio is
unable to evolve sufciently
quickly, leading to loss of
market share and loss of
credibility in CIPS|•
Create and maintain database for customer feedback. Employ
prioritisation methods that support agility when required.
•
Articulate our USP(s). Ensure rights are protected in the appropriate
manner.
•
Stay abreast of technology innovations both independently and via our
suppliers.
•
Regularly review the syllabus to ensure that it is up to date and
relevant.
•
Facilitate innovation utilising members and key stakeholder groups.|
|4|CIPS could lose the
opportunity to gain new
clients due to being unable
to fully integrate customer
Talent Management
systems with ours.|•
Explore possible system integration solutions – cost versus beneft
based on organisational priorities.|
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## **Foundation**
## **CIPS Foundation (charity number 1017938 – 1)**
More information can be found about these projects and published impact reports at cips. org/foundation
CIPS Foundation is a linked charity of CIPS formed in 2013. Through bursaries and grantgiving we aim to alleviate the challenging issues faced by many communities by improving procurement and supply chain practices. Professional procurement is a powerful lever for advancing environmental sustainability and social equity, so by embedding responsible sourcing practices and fostering fair, transparent, ethical supply chains, through our projects we can have a direct impact on improving lives, communities and the environment.
CIPS continues to financially support the foundation and in 2025 we recruited a fulltime employee to add some focus and grow the charity. The CIPS Foundation’s new strategic framework is built around a Theory of Change model that identifies three core pathways to achieving its mission: individual empowerment, organisational transformation, and sector-wide advocacy.
To deliver on these pathways, the Foundation will undertake targeted activities. It will fund CIPS qualifications and workplace development for individuals, support organisations through CIPS diagnostics and project funding aligned with the UN Sustainable Development goals. Advocacy through campaigns, policy development, partnerships with thought-leaders and influencing policy-makers.
In 2025, and aligned to the UN Sustainable Development Goals, CIPS foundation awarded grants to four registered charities who are delivering transformative projects to drive ethical procurement, social impact, and sustainability across the UK and internationally. These initiatives - Unseen, Size of Wales, Children’s Book Project, and ActionAid Rwanda - have made measurable progress against their KPIs, delivering tangible outcomes in modern slavery data innovation, deforestation-free supply chains, literacy infrastructure, and food security.
The expected outcomes are:
Individuals will be better equipped to deliver ESG goals and make responsible procurement decisions, organisations will strengthen governance and scale their impact ethically and advocacy efforts will enhance the Foundation’s influence on global procurement standards and policymaking.
Key highlights include:
- Unseen: Transforming data from the Modern Slavery and Exploitation Helpline into actionable insights for procurement professionals.
Together, these efforts aim to transform procurement into a powerful lever for social and environmental change.
- Size of Wales: Embedding deforestationfree public procurement practices across Welsh councils and suppliers to support indigenous communities in Africa, South America and South East Asia.
- Children’s Book Project: Undergoing a CIPS procurement transformation to scale children’s access to books nationally.
- ActionAid Rwanda: Empowering 3,300 women farmers to boost nutrition, income, and climate resilience.
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“ The CIPS Foundation’s investment has been truly transformative. It's allowed us to power critical technology enhancements for the Unseen run, Modern Slavery & Exploitation Helpline. Enabling us to prioritise survivor support and turn frontline data into real supply-chain insight. We’re incredibly excited to continue this partnership”
## **Natasha Mitra**
Head of Helpline Services
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## **Financial Review**
## **CIPS group**
The year to 31 October 2025 was positive in terms of Revenue with the CIPS Group reporting total group income of £42.0million (2024: £38.7million). This reflects a growth of 9% in total income compared to the previous year, including a £1.9million increase in corporate business revenue.
To reflect the higher level of income CIPS has also seen its overall level of expenditure increase by £4.0million compared to the previous year. This higher cost base also includes continuing investment in the global CIPS team and technology, both of which continue to be seen as key enablers in the delivery of CIPS future strategy. All spending is carefully scrutinised and controlled throughout the year, with variances from expectation understood as they arise.
With the level of overall revenue growth and the management of the cost base CIPS has once again delivered positive net income in the year. With a reported total for the year of £0.3million (2024: Net income of £1.0million). With an increase in project expenditure being the main driver of this change.
Adding to this positive result from our charitable activities we have also seen a further £0.3million of actuarial gains on the defined benefit pension scheme with these gains being driven by continued improvement in the scheme assets performance. In addition to the pension scheme gains we have also benefitted from gains on our investments of £0.3million. Combined with our operational results this has led to a net increase in our funds position of £1.0million (2024: £1.9 million).
Corporate business income has continued to grow with an increase in year of 9.0% to £22.4million (2024: £20.6million) and accounts for 53% of total income. We have seen ongoing growth in demand for our Corporate Award
Programmes, particularly in the UK and Middle East. The future continues to look positive on a global basis, with further growth expectations in both existing and new markets supported by a very strong pipeline of opportunities for the year ahead.
CIPS Health Procurement Africa funded by the Gates Foundation has improved access to essential medicines and helped reduce preventable—especially maternal—deaths across Nigeria, Kenya, and Ethiopia. It has boosted medicine availability, strengthened financial efficiency through reduced price variation and wastage, enhanced procurement capability, and provided evidence to help drive increased public health funding.
Membership and Professional Development revenue accounted for 37% of total income and increased by 8% to £15.6million (2024: £14.4million) with the increase reflecting the continued increase in our membership population. Member numbers at 31 October 2025 were 70,702 compared to 64,126 at the same point in 2024.
Maintaining relevance, ensuring a highly attractive value proposition for members, and growing our member community are key priorities for CIPS, and we are excited by the many initiatives planned that will enable us to better engage with our members and to provide greater value and support to them throughout their career. The Great Conversation being an area of particular interest in the current financial year.
In comparison to the Revenue growth of 9%, expenditure on charitable activities increased by a slightly higher proportion of 11% to £41.7million (2024: £37.7million). This higher than proportionate increase in expenditure reflects the higher in year project spend in parallel with proportionate increases in costs to ensure that the surplus impacts of increasing revenues are not eroded. The
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increase in project costs reflect the impact of one off non-capital expenditure incurred as part of our move to our new corporate headquarters at WestPoint.
The move to WestPoint as well as being reflected in project costs can also be seen via the addition of leasehold improvement costs within our tangible assets and fixtures and fittings and represents a significant investment in the future of CIPS. The move to WestPoint being funded by the disposal of our former head office at Easton House.
In addition to this significant one-off investment in WestPoint we have continued to invest in our IT environment, and we will continue to incur costs associated with maintaining our platforms to ensure that they remain fit for purpose on a business as usual basis, as well as making continuous improvement investments into developing our technological capabilities.
At 31 October 2025 the group cash position was £8.1million (2024: £5.4million) and comprised of cash at bank and short term deposits. Repayment of the CBILS loan was completed in the year. To support the investment in WestPoint funding was obtained via a secured facility, the amount outstanding at the year-end was £703k, this has been repaid in full since the year end.
## **CIPS charity**
CIPS charity performance in the year is the primary contributor to the performance of the Group, as described above. The charity’s Total income of £33.3million (2024: £32.9million) represents 79% of CIPS group results.
The charity has contributed net deficit before investment gains of £0.2million (2024: net income £1.0million).
## **CIPS Corporate Services Limited**
CIPS Corporate Services sells and distributes books, e-books and e-learning related to the training and examinations set and administered by the CIPS group. The company’s turnover reduced by 14% to £1.2million (2024: £1.4million) as a result of reduced bookshop sales in the year reflecting the ongoing challenges in this market. Profit for the year was £0.8million (2024: £1.0million) which was distributed to the parent charity as a transfer of taxable profit under Gift Aid.
## **International offices**
The companies forming the CIPS Group have seen a mixed performance this year. Net profit/(loss) by entity has been recorded as follows:
||**2025 Net**|**2024 Net**|
|---|---|---|
||**Proft/(loss)**|**Proft/(loss)**|
||**(£’000)**|**(£’000)**|
|CIPS Australia and New|(120)|(352)|
|Zealand Pty Limited|||
|CIPS Southern Africa Pty|(159)|102|
|Limited|||
|CIPS Professional Body|252|17|
|Southern Africa NPC|||
|CIPS Singapore Pte Ltd|53|109|
|CIPS Satinalma Tedarik Egit.
Hizm. Ltd. Sti|74|81|
|CIPS USA Inc|255|21|
|CIPS for Business Services Co|14|(269)|
In South Africa overall revenue across the two entities, CIPS Professional Body and CIPS Southern Africa Pty’s, increased in total by 9% with total consolidated Revenue at £3,174k (2024: £2,905k). With consolidated Net Profit at £93k (2024: £119k).
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The reduction in year-on-year Net Profit of CIPS Southern Africa Pty is as a result of general levels of cost increases that we are seeing in that part of our global operations.
The Net Profit position of CIPS Professional Body South Africa NPC reflects the continued reversal of the one off impacts from 2023 and the corrective actions taken to address various legacy matters, allowing us to return to an improved trading position.
CIPS Turkey consolidated its profit position reported in 2024 despite a reduction in revenue.
CIPS Australia and New Zealand saw an increase in revenues of 26% compared to prior year £1,572k (2024: £1,244k) in parallel with an improvement in its net loss of £120k (2024: net loss £352k). This reflects the investment in new talent who were recruited during FY24 to focus on corporate business development, both through stabilising legacy relationships and growing new business. The Revenue results reflect the impact of this approach with further improvements being sought in future financial years.
CIPS USA delivered both revenue and profit growth in year. With revenue of £668k (2024: £525k) and net profit of £255k (2024: £21k). This coming as a direct result of the work to transform our delivery and focus efforts in this market as well as building and developing our relationships with partners in this important market. Our strategic relationship with the National Institute of Supply Chain Leaders (NISCL) being a key component of this financial performance.
The result for CIPS for Business Service Co, our subsidiary in Saudi Arabia, reflects the first whole year of trading with an overall net profit for the year of £14k. This reflects the success and recognition of CIPS that has been achieved in a relatively short time frame.
## **Reserves policy statement**
As at 31 October 2025 the total of group investments, short-term deposits and cash at bank amounted to £12.9million (2024: £10.4million). The total funds of the group, including the pension reserve surplus, are £11.5million (2024: £10.5million) of which £0.2million is restricted, £8.0million is unrestricted and £3.3million is the pension reserve.
CIPS maintains reserves to fund major new initiatives and as a shield against future downturns. The Global Board of Trustees has established a policy, reviewed annually, of maintaining reserves at a discretionary minimum level.
Free reserves are those funds freely available to be used for the purposes of the charity. To this end, CIPS excludes certain elements of its funds from free reserves where they are not considered freely available. This includes tangible and intangible fixed assets, restricted funds, and the asset or liability related to the defined benefit pension scheme.
The Trustees note that CIPS holds significant deferred revenue balances until services are delivered and receipts are recognised as revenue. This deferred revenue is effectively offsetting cash reserves which are available for CIPS to use as long as it operates as a going concern.
CIPS therefore calculates an adjusted operating reserves figure in addition to calculating free reserves. Those elements of deferred revenue which represent a surplus over the anticipated costs of delivery amount to approximately £4.0million (2024: £3.7million) and are presented below as an adjustment to provide a better representation of the funds the organisation has on hand to use in its operations.
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The Trustees have set a targeted level of adjusted operating reserves equal to 3 months of operating expenses, based on the actual expenditure in the previous financial year.
||**2025 Net**|**2024 Net**|
|---|---|---|
||**(£’000)**|**(£’000)**|
|Total funds as per group|11,491|10,488|
|balance sheet|||
|Less restricted funds|(165)|(337)|
|Less tangible fxed assets|(2,600)|(1,311)|
|Less intangible fxed assets|(4,401)|(5,423)|
|Less pension scheme asset|(3,334)|(2,744)|
|**Free reserves**|**991**|**673**|
|Anticipated surplus on|4,036|3,717|
|deferred revenue funds held|||
|**Adjusted operating reserves**|5,027|4,390|
At the end of the year the target adjusted operating reserves level was £5.2million (FY24: £5.0million). The shortfall against our targeted levels is principally caused by the timing of the investment in the leasehold improvements at WestPoint versus the timing of the disposal of our freehold land and buildings. Making an adjustment for the freehold buildings would result in an increase in our free reserves of £1,138k and an adjusted operating reserves number of £6,165k, well above the prescribed target level.
During this financial year we have successfully contributed £0.3million to Free reserves and £0.6million to Adjusted operating reserves.
We expect this improving position to be continued in to the financial year ending 31 October 2026.
## **Investment performance**
Investments are held in a managed portfolio. During the year, the portfolio generated dividend income from listed investments of £166k and generated a total investment gain of £491k.
Investment performance is measured against a representative and independent benchmark, which collates data from charity investment managers in the UK and creates an average return for the peer group. Compared to the industry average the investment portfolio overperformed its benchmark by 0.2%. Returning to an overperformance versus benchmark after a year of underperformance last year.
## **Going concern**
In undertaking a going concern review, management have reviewed financial projections and cashflows models to 30 April 2027. The financial modelling included a base case model; reflecting expected performance and a stress case model; reflecting what was deemed to be the most severe but possible scenario that could arise.
The base case model shows cash liquidity improving over the period, with the expected surplus from operational performance positively contributing. At its lowest point CIPS Group accessible funds, including cash in bank and investments, are forecast to be £7.4m. The outlook for the year ahead is positive with FY26 Budget showing expected growth in Revenue and Trading Profit, and whilst investments into technology and product development are planned for the year ahead, these have been strategically selected to ensure all planned activities support the company’s objective to continue to grow its cash and free reserves.
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For all cashflow modelling key risks impacting the global macro-economic and external environment along with those more specific to the company, as captured on the Register of principal risks and uncertainties have been considered. The risk of decline in CIPS’ perceived value and credibility is a theme across several of the key risks identified and has the potential to significantly impact if we are unsuccessful in keeping pace with changes in digital advancement, or if we fail to ensure a relevant and attractive value proposition to our members and customers.
## This risk is further heightened when
considering the ongoing uncertain inflationary and economic pressures on both individuals and companies, as well as the impact, at the time of writing of the ongoing conflict in the Middle East. Specific scenarios have also been considered; for example, the need to respond to unexpected external factors that could lead to call on our resources, though as a global company we have a well-diversified portfolio that helps with mitigating this risk.
## The stress case model factored in a
combination of what was deemed to be the most severe impacts that could arise as a result of the above risks, with assumptions as follows;
- A shortfall in sales in the event key risks are not successfully mitigated, with a range of 25% to 30% applied accordingly to each income stream based on the relevant risks, coupled with;
- A reduction in Direct costs in line with revised revenue assumptions, plus;
- Further reductions in variable overhead costs and planned investments to the extent that was deemed reasonable, whilst ensuring CIPS is still able to operate successfully and effectively.
The results showed that CIPS would have sufficient cash for continued operation even if future income deteriorates significantly from the base case scenario.
The final model reviewed was a reverse stress test, which demonstrated that beyond the severe impacts already factored into the stress case model, a further £6m of negative impacts could be absorbed before CIPS reaches the point of having insufficient cash for continued operations. Such impacts were outside of any scenario that was deemed to be plausible.
Based on the evidence of current operational activity, the level of financial reserves available, and the financial modelling performed, the Trustees have a reasonable expectation that the parent and Group have adequate resources to continue in business for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the financial statements.
- A reduction in the value of investments held plus an increase in costs should there be a need to respond to unplanned events, with impact mitigations of;
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## **Reference & administration**
## **Global board of Trustees**
- Henrik Larsen (Chair from November 2025)
- Alison Barto (resigned 31 October 2025)
- Jay Doyle
- Kenneth Jones
- Adil Mohammad
- Rachael Legg
- Garry Mansell (resigned 31 October 2025)
- • Wael Ahmed
- Juliet Sotnick
- Tracy Staines (resigned 31 October 2025)
- Richard Wilding
- Suzanne Wise
- Olubunmi Banjo (from 30 October 2025)
- James Smith (from 30 October 2025)
## **Executive team**
Responsible for the day to day management of CIPS
- Ben Farrell, CEO
- Mark Draisey, Finance Director
## **Secretary and registered office**
Kate Tomlinson ACIS
CIPS Easton House Easton on the Hill Stamford Lincolnshire PE9 3NZ
## _Registered office from September 2025_
CIPS Westpoint Lynch Wood Peterborough PE2 6FZ
## **Name of organisation**
Chartered Institute of Procurement and Supply (CIPS)
## **Company registration number**
RC000876
## **Charity registration number**
1017938
- Richard Francis, IT Director
- Debbie Kemp, People & Culture Director
- Zoe Kadi, Operations Director
- Shane Rae, Products Director (resigned January 2026)
- Kate Tomlinson, Governance Director & Company Secretary
- Jonathan Morgan, Markets UK, Europe & North America Director
- Sam Achampong, Markets Rest of World, MENA
## **Auditors**
Grant Thornton UK LLP, 8 Finsbury Circus, London EC2M 7EA, UK
## **Bankers**
- Australia & New Zealand Bank, 388 Collins Street, Melbourne, Australia
- Barclays Bank PLC, 46/49 Broad Street, Stamford, Lincolnshire PE9 1PZ, UK
- First National, 5th Floor FNB Building, 87 Frikkie de Beer Street, Menlyn, Gauteng, South Africa
- JP Morgan Chase, 919 N Market Street STE 950, Wilmington, DE 19801-3036, USA
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- OCBC, 65 Chulia Street, OCBC Centre, Singapore 49513
- AKBank, Ust Bostani Subesi, Kobi Musterilliskileri Yon Yard, Sehit M Faith Ongul Sok Hasan, Bagdatli Is Merkezi Kozyatagi, Istanbul, Turkey
- DocuSign Envelope ID: 02EB7B55-D6F54CBA-A500-0BEE7244EA44
## **Actuaries**
- Capita Employee Solutions, 65 Gresham Street, London EC2V 7NQ, UK
- Hymans Robertson LLP, One London Wall, London EC2Y 5EA, UK
## **Solicitors**
- Buckles Solicitors LLP, Grant House, 101 Bourges Boulevard, Peterborough PE11NG, UK
- Gowling WLG (UK) LLP, 4 More, London Riverside, London SE1 2AU, UK
- Hewitsons LLP, Elgin House, Billing Road, Northampton NN1 5AU, UK
- Keystone Law Ltd, 48 Chancery Lane, London WC2A 1JF, UK
- Withers LLP, Third Floor, 20 Old Bailey, London, EC4M 7AN, UK
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## **Statement of Trustees’ responsibilities**
The Trustees are responsible for preparing the Trustees’ annual report and the financial statements in accordance with applicable law and regulations.
The Charities Act 2011 requires the Trustees to prepare financial statements for each financial year. The Trustees have to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland. 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 charity and the group and of the incoming resources and application of resources, including the income and expenditure, of the charity and the group for that period. In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP (FRS 102);
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity’s and group’s transactions and disclose with reasonable accuracy at any time the financial position of the charity and the group and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
The report was approved and authorised by the Global board of Trustees on 30 April 2026 and was signed on its behalf by the Chair of the Global board of Trustees:
- make judgments and accounting estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group will continue in business.
## **Henrik Larsen Global Board of Trustees**
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**Independent auditors report to the Trustees of the Chartered Institute of Procurement & Supply**
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## **Opinion**
We have audited the financial statements of The Chartered Institute of Procurement and Supply (the ‘parent charity’) and its subsidiaries (the ‘group’) for the year ended 31 October 2025, which comprise consolidated statement of financial activities, the parent charity statement of financial activities, the consolidated and parent charity balance sheet, the group cash flow statement and notes to the financial statements, 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:
- give a true and fair view of the state of the group’s and parent charity’s affairs as at 31 October 2025 and of the group’s and the parent charity’s incoming resources and application of resources for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice including FRS 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ and the Statement of Recommended Practice: Accounting and Reporting by Charities, 2019 Edition; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **Basis for opinion**
We have been appointed as auditor under sections 151 of the Charities Act 2011 and report in accordance with regulations made under those Acts. 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 ‘Auditor’s responsibilities for the audit of the financial statements’ section of our report. We are independent of the group and parent charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’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**
We are responsible for concluding on the appropriateness of the trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the parent charity and group’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify the auditor’s opinion. Our conclusions are based on the audit evidence obtained up to the date of our report. However, future events or conditions may cause the parent charity or group to cease to continue as a going concern.
In our evaluation of the trustees’ conclusions, we considered the inherent risks associated with the charity’s business model including effects arising from macro-economic uncertainties such as current rates of inflation and cost of living crisis, we assessed and challenged the reasonableness of estimates made by the trustees and the related
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disclosures and analysed how those risks might affect the charity’s financial resources or ability to continue operations over the going concern period.
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 and parent charity’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 directors 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 auditor’s 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is 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.
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
- the information given in the Annual Report is inconsistent in any material respect with the financial statements; or
- the parent charity has not kept sufficient and proper accounting records; or
- the parent charity’s financial statements are not in agreement with the accounting records and returns; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of trustees**
As explained more fully in the Trustees’ Responsibilities Statement set out on page 29, the trustees are responsible for the preparation of the financial statements which 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 charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or parent charity or to cease operations, or have no realistic alternative but to do so.
## **Auditor’s 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 auditor’s report that includes our opinion. Reasonable assurance is a high
We have nothing to report in this regard.
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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. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:
- We obtained an understanding of the legal and regulatory frameworks that are applicable to the parent charity and the sector in which it operates. We determined that the following laws and regulations were most significant: the Charities SORP (FRS 102), The Financial Reporting Standard applicable in the UK and the Republic of Ireland (FRS 102), Charities Act 2011, Charities (Accounts and Reports) Regulations 2008.
- We understood how the parent charity is complying with these legal and regulatory frameworks by making inquiries of management and those charged with governance. We enquired of management and those charged with governance whether there were any instances of noncompliance with laws and regulations, or whether they had any knowledge of actual or suspected fraud. We corroborated the results of our enquiries through our review of board minutes, and through our legal and professional expenses review.
- We assessed the susceptibility of the parent charity’s financial statements to material misstatement, including how fraud might occur and the risk of material override of controls. Audit procedures performed by the engagement team included:
- Identifying and assessing the certain controls management has in place to prevent and detect fraud;
- Challenging assumptions and judgments made by management in its significant accounting policies;
- Identifying and testing journal entries;
- Identifying and testing related party transactions;
- Inspecting the board minutes; and
- Assessing the extent of compliance with the relevant laws and regulations as part of our procedures on the related financial statement item.
- These audit procedures were designed to provide reasonable assurance that the financial statements were free from fraud or error. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error and detecting irregularities that result from fraud is inherently more difficult than detecting those that result from error, as fraud may involve collusion, deliberate concealment, forgery or intentional misrepresentations. Also, the further removed non-compliance with laws and regulations is from events and transactions reflected in the financial statements, the less likely we would become aware of it;
- The engagement partner’s assessment of the appropriateness of the collective competence and capabilities of the engagement team to identify or recognise non-compliance with laws and regulations included consideration of the engagement team’s:
- Understanding of, and practical experience with, audit engagements of a similar nature and complexity through appropriate training and participation
- Understanding of the legal and regulatory requirements specific to the entity including the provisions of the applicable legislation;
- The team communications in respect of potential non-compliance with laws and regulations and fraud included the potential for fraud in revenue recognition through manipulation of income.
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Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
- In assessing the potential risks of material misstatement, we obtained an understanding of:
- The parent charity’s operations, including the nature of its revenue sources, to understand the classes of transactions, accounts balances, expected financial statement disclosures and business risks that may result in risks of material misstatement, and
- The parent charity’s control environment, including:
- Management’s knowledge of relevant laws and regulations and how the parent charity is complying with those laws and regulations
- The adequacy of procedures for authorisation of transactions and review of management accounts, and
- Procedures to ensure that possible breaches of laws and regulations are appropriately resolved.
- We communicated with component auditors throughout the audit engagement to request identification of any instances of non-compliance with laws and regulations that could give rise to a material misstatement of the group financial statements.
## **Use of our report**
This report is made solely to the charity’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008, section 154 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees as a body, for our audit work, for this report, or for the opinions we have formed.
## **Grant Thornton UK LLP**
Statutory Auditor, Chartered Accountants London
30/4/2026
Grant Thornton UK LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006
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 auditor’s report.
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Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **Consolidated statement of financial activities for the year ended 31 October 2025**
||Notes|Unrestricted|Restricted|Pension|**Total**|Total|
|---|---|---|---|---|---|---|
|||funds|funds|reserve|**funds**|funds|
||||||**2025**|2024|
|||£000|£000|£000|**£000**|£000|
|**Income from:**|||||||
|**Charitable activities**|||||||
|Membership and professional development,||15,604|-|-|**15,604**|14,438|
|subscriptions and fees|||||||
|Corporate business||20,325|2,122|-|**22,447**|20,591|
|Magazine, conferences and sponsorship||2,377|-|-|**2,377**|2,049|
|Other||1,258|-|-|**1,258**|1,317|
|Investments|3|334|-|-|**334**|298|
|**Total income**||39,898|2,122|-|**42,020**|38,693|
|**Expenditure on:**|||||||
|Charitable activities|4|39,423|2,294|-|**41,717**|37,700|
|**Total expenditure**||39,423|2,294|-|**41,717**|37,700|
|Net income before investment gains||475|(172)|-|**303**|993|
|Net gains on investments|12|491|-|-|**491**|401|
|Transfers between funds|17|(252)|-|252|**-**|-|
|**Net income**||714|(172)|252|**794**|1,394|
|**Other recognised gains and losses**|||||||
|Pension scheme actuarial gain|10|-|-|338|**338**|535|
|Foreign currencytranslation (loss)||(129)|-|-|**(129)**|(67)|
|**Net movement in funds**||**585**|**(172)**|**590**|**1,003**|**1,862**|
|**Reconciliation of funds**|||||||
|Funds brought forward||7,407|337|2,744|10,488|8,626|
|**Balance carried forward**||7,992|165|3,334|11,491|10,488|
All items above derive from continuing operations. There are no recognised gains or losses other than those stated above.
The notes on pages 40 to 68 form part of these accounts.
cips.org | ANNUAL REPORT 2024/2025 | 35
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **Parent charity statement of financial activities for the year ended 31 October 2025**
||Notes|Unrestricted|Restricted|Pension|**Total**|Total|
|---|---|---|---|---|---|---|
|||funds|funds|reserve|**funds**|funds|
||||||**2025**|2024|
|||£000|£000|£000|**£000**|£000|
|**Income from:**|||||||
|**Charitable activities**|||||||
|Membership and professional||13,284|-|-|**13,284**|12,345|
|development, subscriptions and fees|||||||
|Corporate business||14,767|2,122|-|**16,889**|17,510|
|Magazine, conferences and sponsorship||2,073|-|-|**2,073**|1,840|
|Income from subsidiaries||837|-|-|**837**|1,016|
|Other||4|-|-|**4**|1|
|Investments|3|214|-|-|**214**|195|
|**Total income**||31,179|2,122|-|**33,301**|32,907|
|**Expenditure on:**|||||||
|Charitable activities|4|31,219|2,294|-|**33,513**|31,887|
|**Total expenditure**||31,219|2,294|-|**33,513**|31,887|
|Net income before investment gains||(40)|(172)|-|**(212)**|1,020|
|Net gains on investments|12|491|-|-|**491**|401|
|Transfers between funds|17|(252)|-|252|**-**|-|
|**Net income**||199|(172)|252|**279**|1,421|
|**Other recognised gains and losses**|||||||
|Pension scheme actuarial gain|10|-|-|338|**338**|535|
|Foreign currency translation (loss)||(135)|-|-|**(135)**|(144)|
|**Net movement in funds**||64|(172)|590|**482**|1,812|
|**Reconciliation of funds**|||||||
|Funds brought forward as previously stated||6,265|337|2,744|**9,346**|7,534|
|**Balance carried forward**||6,329|165|3,334|**9,828**|9,346|
All items above derive from continuing operations. There are no recognised gains or losses other than those stated above. The notes on pages 40 to 68 form part of these accounts.
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Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **Consolidated and parent company balance sheet as at 31 October 2025**
||||**Group**||**Charity**||
|---|---|---|---|---|---|---|
|||Notes|**2025**|2024|**2025**|2024|
||||**£000**|£000|**£000**|£000|
|**Fixed assets**|Tangible assets|11|**2,600**|1,311|**2,556**|1,258|
||Intangible assets|11|**4,401**|5,423|**4,401**|5,423|
||Listed investments|12|**4,829**|4,991|**4,829**|4,991|
||Investments in subsidiary companies|13|**-**|-|**-**|-|
|**Total fxed assets**|||**11,830**|11,725|**11,786**|11,672|
|**Current assets**|Stock||**40**|36|**-**|-|
||Debtors|14|**8,043**|10,253|**12,363**|12,048|
||Short term deposits||**821**|567|**-**|-|
||Cash at bank||**7,267**|4,850|**4,133**|2,858|
|**Total current assets**|||**16,171**|15,706|**16,496**|14,906|
|Current liabilities|Creditors: Amounts falling due within|15|**(19,844)**|(19,687)|**(21,788)**|(19,976)|
||1 year||||||
|**Total current liabilities**|||**(19,844)**|(19,687)|**(21,788)**|(19,976)|
|**Net current liabilities**|||**(3,673)**|(3,981)|**(5,292)**|(5,070)|
|**Total assets less current liabilities**|||**8,157**|7,744|**6,494**|6,602|
|Defned beneft pension scheme asset||10|**3,334**|2,744|**3,334**|2,744|
|**Total net assets**|||**11,491**|10,488|**9,828**|9,346|
|Represented by|Restricted funds|17|**165**|337|**165**|337|
||Unrestricted funds|17|||||
||- Charitable||**7,810**|7,225|**6,329**|6,265|
||- Trading||**182**|182|**-**|-|
||Pension Reserve|17|**3,334**|2,744|**3,334**|2,744|
|**Total net reserves**|||**11,491**|10,488|**9,828**|9,346|
The financial statements were approved and authorised for issue by CIPS Global Board of Trustees and were signed on its behalf on 30 April 2026.
**Henrik Larsen Chair, Global Board of Trustees**
**Juliet Sotnick Global Board of Trustees**
The notes on pages 40 to 68 form part of these accounts.
cips.org | ANNUAL REPORT 2024/2025 | 37
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **Group cash flow statement for the year ended 31 October 2025**
||**2025**|2024|
|---|---|---|
||**£000**|£000|
|**Net cash fow provided by operating activities**|**2,869**|105|
|Cash fows from investing activities|||
|Dividends, interest and rents from investments|**333**|297|
|Purchase of tangible fxed assets|**(1,357)**|(67)|
|Purchase of intangible fxed assets|**(161)**|(353)|
|Purchase of investments|**(92)**|(130)|
|Proceeds from sale of investments|**745**|-|
|**Net cash provided by investing activities**|**(532)**|(253)|
|Cash fows from fnancing activities|||
|Cash infows from new borrowing|**703**|-|
|Repayment of borrowing|**(379)**|(500)|
|**Net cash provided by fnancing activities**|**324**|(500)|
|**Change in cash and cash equivalents in the reporting period**|**2,661**|(648)|
||**2025**|2024|
||**£000**|£000|
|Cash and cash equivalents at the beginning of the reporting period|**5,417**|6,065|
|Change in cash and cash equivalents in the reporting period|**2,787**|(578)|
|Change in cash and cash equivalents due to exchange rate movements|**(126)**|(70)|
|**Cash and cash equivalents at the end of the reporting period**|**8,078**|5,417|
The notes on pages 40 to 68 form part of these accounts.
## **Net cash flow from operating activities**
|**Net cash fow from operating activities**|||
|---|---|---|
||**Group**|Group|
||**2025**|2024|
||**£000**|£000|
|Net income for the reporting period|**794**|1,394|
|Unrealised gains on investments|**(310)**|(401)|
|Realised gains on disposal of investments|**(181)**|-|
|Dividends, interest and rents from investments|**(334)**|(298)|
|Depreciation charges|**54**|48|
|Amortisation charges|**1,183**|1,085|
|Losses on disposal of fxed assets|**2**|-|
|Impact of foreign exchange|**(126)**|(70)|
|(Increase)/decrease in Stock|**(4)**|31|
|Decrease/(increase) in Debtors|**2,210**|(2,377)|
|(Decrease)/increase in Creditors|**(167)**|827|
|Net pension expense|**(252)**|(134)|
||**2,869**|105|
The notes on pages 40 to 68 form part of these accounts.
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Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **Analysis of Cash and cash equivalents**
|**Analysis of Cash and cash equivalents**|||
|---|---|---|
||**Group**|Group|
||**2025**|2024|
||**£000**|£000|
|Cash at bank|**7,267**|4,850|
|Short term deposits|**821**|567|
|**Total cash and cash equivalents**|**8,088**|5,417|
## **Analysis of changes in net debt**
||**November 01**|**Cashfows**|**Foreign**|**October 31**|
|---|---|---|---|---|
||**2024**||**exchange**|**2025**|
||||**movements**||
||**£000**|**£000**|**£000**|**£000**|
|**Cash**|**4,850**|**2,417**|**-**|**7,267**|
|**Cash equivalents**|**567**|**380**|**(126)**|**821**|
||**5,417**|**2,797**|**(126)**|**8,088**|
|**Loans falling due within one year**|**(379)**|**379**|**-**|**-**|
|**Loans falling due after more than one year**|**-**|**-**|**-**|**-**|
|**Total**|**5,038**|**3,176**|**(126)**|**8,088**|
The notes on pages 40 to 68 form part of these accounts.
cips.org | ANNUAL REPORT 2024/2025 | 39
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **Notes to the financial statements for the year ended 31 October 2025**
## **1. Constitution**
The Chartered Institute of Procurement and Supply (“CIPS”) was incorporated on 28th September 1992 by Royal Charter. It is also a registered charity, number 1017938.
## **2. Accounting Policies**
## **(a) Basis of preparation**
The annual report and accounts are prepared in accordance with the rules of CIPS, in compliance with the Charities Act 2011, the Statement of Recommended Practice – Accounting and Reporting by Charities applicable to charities preparing their accounts in accordance with FRS 102 (‘the Charities SORP (FRS 102)’) and with FRS 102, the Financial Reporting Standard applicable in the UK and Republic of Ireland.
The accounts are consolidated on a line by line basis and cover the consolidated financial position and transactions of companies controlled by CIPS, which are detailed in note 7.
All of the group’s subsidiary companies are wholly owned, with the exception of CIPS Southern Africa Pty Limited and CIPS Professional Body South Africa NPC. The group directly owns 49% of the issued share capital of CIPS Southern Africa Pty Limited, the remaining 51% being owned by CIPS SA BBBEE Trust. Due to the Founder relationship between CIPS Southern Africa and the Trust, and the fact that control of the Trust rests with CIPS Southern Africa, the Group considers CIPS Southern Africa to be part of the CIPS Group and consolidates its results in these financial statements. CIPS Professional Body South Africa NPC was converted to a not-for-profit entity with members (voting and non-voting) in November 2022, and the purpose and objects of the NPC are in keeping with to those of CIPS Group. The voting member is CIPS UK, with the power to exercise any or all of the voting rights pertaining to the Company on any matter, at any time, without notice or compliance with any other internal formalities. As the entity is wholly controlled by CIPS Group its results are consolidated in these financial statements.
All of the group’s branches and subsidiary companies have an accounting year-end of 31 October, except CIPS for Business Services Co. in Saudi Arabia and CIPS West Africa Ltd in Nigeria, which makes up its accounts to 31 December.
The financial statements have been prepared under the historical cost convention. The presentation and functional currency is sterling (£).
## _Going concern_
In undertaking a going concern review, management have reviewed financial projections and cashflows models to 30 April 2027. The financial modelling included a base case model; reflecting expected performance and a stress case model; reflecting what was deemed to be the most severe but possible scenario that could arise.
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Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
The base case model shows cash liquidity improving over the period, with the expected surplus from operational performance positively contributing. The outlook for the year ahead is positive with FY26 Budget showing expected growth in both Revenue and Trading Profit. Investments into technology and product development are planned for the year ahead and have been strategically selected to ensure all planned activities support the company’s objective to continue to rebuild its cash and free reserves.
For all cashflow modelling key risks impacting the global macro-economic and external environment along with those more specific to the company, as captured on the Register of principal risks and uncertainties have been considered.
The risk of decline in CIPS’ perceived value and credibility is a theme across several of the key risks identified and has the potential to significantly impact if we are unsuccessful in keeping pace with changes in digital advancement, or if we fail to ensure a relevant and attractive value proposition to our members and customers. This risk is further heightened when considering the current cost of living and economic pressures on both individuals and companies. Specific scenarios have also been considered; for example the risk that unexpected external factors could lead to restricting operations in a specific country, though as a global company we have a well-diversified portfolio that helps with mitigating this risk.
The stress case model factored in a combination of what was deemed to be the most severe impacts that could arise as a result of the above risks, with assumptions as follows;
- A shortfall in sales in the event key risks are not successfully mitigated, with a range of 25% to 30% applied accordingly to each income stream based on the relevant risks, coupled with;
- A reduction in the value of investments held plus an increase in costs should there be a need to respond to unplanned events, with impact mitigations of;
- A reduction in Direct costs in line with revised revenue assumptions, plus;
- Further reductions in variable overhead costs and planned investments to the extent that was deemed reasonable, whilst ensuring CIPS is still able to operate successfully and effectively.
The results showed that CIPS would have sufficient cash for continued operation even if future income deteriorates significantly from the base case scenario.
The final model reviewed was a reverse stress test, which demonstrated the required shortfall in revenue to leave insufficient cash for continued operation was outside of any scenario that was deemed to be plausible.
Based on the evidence of current operational activity, the level of financial reserves available, and the financial modelling performed, the Trustees have a reasonable expectation that the parent and Group have adequate resources to continue in business for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the financial statements.
## **(b) Income**
Income represents amounts receivable in the ordinary course of business, and represents goods and services supplied in the period excluding VAT.
Corporate business income is recognised when the delivery of the relevant services is provided.
Membership and subscription income is spread over the period during which services are provided to members.
Professional development training activity revenue is released during the month in which the training is delivered.
Magazine and book sales revenue is recognised during the month in which the publication is shipped.
Revenues from issuing licenses for access to e-Learning facilities are spread over the period during which the facilities are expected to be accessed by the licensees.
Income from subsidiaries consists of amounts paid to the charity from its UK subsidiary by means of corporate Gift Aid.
The value of services provided by volunteers is not incorporated into these financial statements.
cips.org | ANNUAL REPORT 2024/2025 | 41
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **(c) Resources expended**
Resources expended are included in the statement of financial activities on an accruals basis. Where they relate to activities for which VAT is not recoverable, gross amounts are stated. Where VAT is recoverable, amounts are stated net of VAT.
## **(i) Charitable activity costs**
Charitable activity costs are those directly related to the objects of the charity and are reflected in these accounts under the following headings: Membership and professional development, subscriptions and fees; Corporate business; Magazine, conferences and sponsorship; and Other.
## **(ii) Staff costs**
Short-term employee benefits are those expected to be settled wholly within 12 months of the end of the annual reporting period during which the employees services are provided. They include wages, salaries and any other benefits paid to current employees, and are recognised in the period in which they are incurred. Post-employment benefits, representing employer contributions to defined contribution plans, are recognised as expenses in the period in which the services resulting in the contribution are provided. The assets of the scheme are held separately from the charity. Termination benefits are recognised when the charity can no longer withdraw the offer of those benefits.
## **(iii) Basis of cost allocation**
All directly attributable overheads are charged to the appropriate expense category in the SOFA. Indirect support costs are allocated by activity in proportion to direct costs. Governance costs are made up of those costs incurred purely for the governance of the charity, such as the Global Board of Trustees and audit costs.
## **(d) Taxation**
## **(i) The charity and UK subsidiary**
The UK parent is a charity within the meaning of Paragraph 1 Schedule 6 Finance Act 2010. Accordingly, the company is potentially exempt from taxation in respect of income or capital gains within categories covered by Chapter 3 of 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. As a result, no tax charge is applied in the financial statements. The UK subsidiary company makes qualifying donations of all taxable profit to the charity. No corporation tax liability on this subsidiary arises in the accounts.
## **(ii) CIPS Australia and New Zealand Pty Limited**
CIPS Australia and New Zealand Pty Limited is registered as a not-for-profit organisation in Australia. No tax liability is provided in the accounts.
## **(iii) Other foreign subsidiaries**
Current tax is provided at amounts expected to be paid (or recovered) using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events that result in an obligation to pay more tax in the future or a right to pay less tax in the future have occurred at the balance sheet date. Timing differences are differences between the group’s taxable profits and its results as stated in the financial statements that arise from the inclusion of gains and losses in tax assessments in periods different from those in which they are recognised in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that, on the basis of all available evidence, it can be regarded as more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted.
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Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **(e) Liquid resources**
Liquid resources are those items that are readily convertible into cash at or close to their carrying values.
## **(f) Fixed assets**
The freehold land and buildings at Easton on the Hill were valued at 31 October 2014 on an existing use basis by Savills (UK) Ltd and the valuation report was signed by Nick Heath MA FRICS. This valuation was frozen on transition to FRS102 and has been applied as the deemed cost of the freehold land and buildings in these financial statements.
A review for impairment of fixed assets is carried out whenever events or changes in circumstances indicate that the carrying amount of individual fixed assets may not be recoverable. All tangible assets are held by the group for charitable purposes.
Tangible fixed assets are capitalised when they are brought into use if they have a fair value in excess of £5,000.
Internally generated intangible fixed assets have been recognised at the point they were brought into use.
For the year ended 31st October 2025 amounts have been capitalised in relation to CIPS’s new office premises, predominantly within leasehold improvements and furniture and fittings. Within the amounts capitalised there are separately identifiable items of less than £5,000 which are under the individual item capitalisation threshold set in previous years.
However, these leasehold improvements and furniture/fittings for the new head office as a whole will generate future economic benefit to CIPS, they are intrinsic to the overall development and the costs have been reliably measured. Taken together these costs meet the capital asset recognition criteria and therefore have been capitalised as an asset.
Going forward, unless other fit outs / large projects are being undertaken, assets will only be considered for capitalisation if they cost greater than £5,000.
## **(g) Depreciation and amortisation**
Tangible fixed assets are depreciated so as to write off their cost over their estimated useful lives:
- Fixtures and fittings - 4 to 7 years straight line
- Freehold buildings - 50 years straight line
- Leasehold Improvements - 6 to 7 years straight line
- Computer equipment - 4 years straight line
- Motor vehicles - 25% reducing balance
- e-Learning development - 3 years straight line
Intangible fixed assets are amortised over their estimated useful lives:
- Software - 7 years straight line
## **(h) Stocks**
Stocks comprise goods for resale and are valued at the lower of cost and net realisable value. They primarily comprise books and other education materials. The value of stock is reviewed regularly for impairment.
## **(i) Operating Lease Rentals**
Rentals payable in respect of operating leases are charged to the Statement of Financial Activities as incurred.
## **(j) Foreign currency transactions**
The results of the overseas subsidiaries denominated in a foreign currency are translated into sterling at rates prevailing during the year (average rate); assets and liabilities are translated at the rates ruling at the end of the year. Translation differences are dealt with through Other Comprehensive Income within the Statement of Financial Activities.
cips.org | ANNUAL REPORT 2024/2025 | 43
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **(k) Pensions**
The Group operates a defined benefit pension scheme which is closed to new entrants. Any increase in the present value of the liabilities of the scheme expected to arise from the current service of employees in the year is charged to the pension reserve from the current year surplus or deficit attributable to unrestricted funds within the Statement of Financial Activities. The expected return on the scheme’s assets and the expected increase during the year in the present value of the scheme’s liabilities are included in pension scheme finance costs. Actuarial gains and losses are recognised in the pension reserve within the Statement of Financial Activities after the surplus or deficit for the year. Pension scheme assets, to the extent they are considered recoverable, and pension scheme liabilities, are recognised in the Balance Sheet and represent the difference between the market value of scheme assets and the present value of scheme liabilities. Pension scheme liabilities are determined on an actuarial basis using the projected unit method and are discounted at a rate using the current rate of return on a high quality corporate bond of equivalent term and currency to the liability.
At 31 October 2025 the net assets of the scheme were £3,334k (2024 - £2,744k). This surplus has been recognised in the parent charity and group balance sheets on the grounds that it is recoverable under the rules of the scheme.
In addition to the defined benefit scheme CIPS also make contributions to a stakeholder pension plan. Contributions are charged to the Statement of Financial Activities in the period in which they fall due.
## **(l) Investments**
Realised gains and losses on investments are calculated as the difference between sales proceeds and their cost, and are charged or credited to the Statement of Financial Activities in the year of disposal. Unrealised gains and losses represent the movement in market values during the year and are credited or charged to the Statement of Financial Activities based on the market value at the year-end.
In the charity balance sheet, investments are measured at market value at the balance sheet date, based on the quoted price at which they can be traded.
## **(m) Restricted funds**
Where funds are received for purposes specified by a donor, the income is shown as restricted in the Statement of Financial Activities. Expenditure of the funds for the purposes specified is applied against such income or any balance brought forward. Any unexpended amount at the Balance Sheet date is carried forward as part of restricted funds.
## **(n) Designated funds**
The group’s Board of Trustees, at their discretion, may set aside funds to cover specific future costs. Such funds are shown as designated funds within unrestricted funds. Where the Board of Trustees decides that such funds are no longer required for the purposes intended, they may be released by transfer to general unrestricted funds.
## **(o) Liabilities**
Liabilities are recognised when there is a present obligation arising from a past event that will require the transfer of economic benefit to settle the obligation.
## **(p) Judgements in applying accounting policies and key sources of estimation uncertainty**
In preparing these financial statements, the Trustees are required to make judgements, estimates and assumptions about the carrying amounts 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 those estimates and underlying assumptions are continually reviewed.
The following are critical judgements that the Trustees have made in the process of applying the accounting policies:
- Determining the degree of control that the group is entitled to exercise over its entities in South Africa. The Charity directly owns 49% of the share capital of CIPS Southern Africa Proprietary Limited. This decision therefore depends on an assessment of the ownership and controlling relationships of the entities and the CIPS SA BBBEE Trust, which owns the other 51%. Due to the
44 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
Founder relationship between CIPS Southern Africa and the trust, and the fact that CIPS Southern Africa manages and administers the trust, the Charity considers that it effectively has 100% control. CIPS Professional Body South Africa NPC is a not-for-profit entity with members (voting and nonvoting), and the purpose and objects of the NPC are in keeping with to those of CIPS Group. The voting member is CIPS UK, with the power to exercise any or all of the voting rights pertaining to the Company on any matter, at any time, without notice or compliance with any other internal formalities, and as such the Charity considers that it effectively has 100% control.
- Determining whether the net assets of the defined benefit pension scheme should be recognised in the balance sheet of the charity as a recoverable surplus. This decision depends upon an assessment of the rules of the pension scheme. The charity considers that any surplus on the scheme is repayable to the charity on winding up, and it therefore has an unconditional right to the refund of the surplus.
Other key sources of estimation uncertainty:
- Tangible fixed assets (£2,600k - see note 11). Tangible fixed assets are depreciated over their useful lives taking into account residual values where appropriate. The actual lives of these assets are assessed annually and may vary depending on a number of factors. In assessing asset lives, factors such as life cycle and maintenance programmes are taken into account. Residual value assessments consider issues such as the remaining life of the asset and project disposal values.ted rate of return on scheme assets, and mortality rates, which are extensively detailed in note 10.
- Intangible fixed assets (£4,401k - see note 11). Intangible fixed assets are amortised over their useful lives taking into account residual values where appropriate. They are reviewed annually for impairment. Residual value assessments consider issues such as the remaining life of the asset and project disposal values.
- Trade debtors (£5,880k - see note 14). At each reporting date, trade debtors are assessed for recoverability. If there is any evidence of impairment, the carrying amount of the debtor is reduced to its recoverable amount. The impairment loss is recognised immediately in the Statement of Financial Activities. In particular, significant outstanding aged debts relating to the MENA region have been fully reviewed to assess their recoverability in light of their age.
- Amounts due from subsidiary undertakings (£6,919k in charity only - see note 14). The charity assesses intercompany balances for recoverability at the end of each financial year. Provisions have been made against certain intercompany balances as a result of estimations of recoverability.
- Pension liability and gains or losses (£11,194k - see note 10). The defined benefit pension scheme obligations are based on actuarial assumptions such as discount rate, the expected rate of return on scheme assets, and mortality rates, which are extensively detailed in note 10.
cips.org | ANNUAL REPORT 2024/2025 | 45
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **3. Investment income**
||**Group**|**Charity**|Group|Charity|
|---|---|---|---|---|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Dividends receivable from listed investments|**166**|**166**|153|153|
|Interest receivable|**168**|**48**|145|42|
|**Total**|**334**|**214**|298|195|
## **4. Charitable activity costs**
## (a) Group
|||||||**2025**|2024|
|---|---|---|---|---|---|---|---|
||Staf costs|Direct|Support|Total|Restricted|**Total**|Total|
|||charitable|costs|unrestricted|funds|||
|||costs||funds||||
||£000|£000|£000|£000|£000|**£000**|£000|
|Membership and professional development,|4,427|2,430|1,558|8,415|-|**8,415**|8,613|
|subscriptions and fees||||||||
|Corporate business|12,895|7,636|5,722|26,253|2,123|**28,376**|25,263|
|Magazine, conferences and sponsorship|-|2,897|1,858|4,755|-|**4,755**|3,824|
|Other|-|-|-|-|171|**171**|-|
|**Total**|17,322|12,963|9,138|39,423|2,294|**41,717**|37,700|
## (b) Charity
|||||||**2025**|2024|
|---|---|---|---|---|---|---|---|
||Staf costs|Direct|Support|Total|Restricted|**Total**|Total|
|||charitable|costs|unrestricted|funds|||
|||costs||funds||||
||£000|£000|£000|£000|£000|**£000**|£000|
|Membership and professional development,|3,876|1,619|1,080|6,575|-|**6,575**|7,502|
|subscriptions and fees||||||||
|Corporate business|10,885|5,491|4,519|20,895|2,123|**23,018**|21,403|
|Magazine, conferences and sponsorship|-|2,249|1,500|3,749|-|**3,749**|2,982|
|Other|-|-|-|-|171|**171**|-|
|**Total**|14,761|9,359|7,099|31,219|2,294|**33,513**|31,887|
46 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **5. Support costs**
## (a) Group
|||||**2025**|2024|
|---|---|---|---|---|---|
||Membership|Corporate|Magazine,|**Total**|Total|
||and professional|business|conferences and|||
||development,||sponsorship|||
||subscriptions and fees|||||
||£000|£000|£000|**£000**|£000|
|Finance|412|1,512|492|**2,416**|2,574|
|Marketing|171|626|203|**1,000**|548|
|Facilities|158|582|189|**929**|1,046|
|IT|668|2,455|797|**3,920**|2,866|
|HR|71|259|84|**414**|514|
|Governance|78|288|93|**459**|645|
|**Total**|1,558|5,722|1,858|**9,138**|8,193|
## (b) Charity
|||||**2025**|2024|
|---|---|---|---|---|---|
||Membership|Corporate|Magazine,|**Total**|Total|
||and professional|business|conferences and|||
||development,||sponsorship|||
||subscriptions and fees|||||
||£000|£000|£000|**£000**|£000|
|Finance|285|1,194|396|**1,875**|1,190|
|Marketing|105|439|146|**690**|506|
|Facilities|76|316|105|**497**|644|
|IT|504|2,112|701|**3,317**|3,020|
|HR|52|216|72|**340**|504|
|Governance|58|242|80|**380**|680|
|**Total**|1,080|4,519|1,500|**7,099**|6,544|
cips.org | ANNUAL REPORT 2024/2025 | 47
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **6. Net expenditure / income**
|**6. Net expenditure / income**|||
|---|---|---|
||**2025**|2024|
||**£000**|£000|
|Net expenditure/income for the year is stated after charging/(crediting):|||
|Fees payable to the charity’s auditors for:|||
|Audit of the charity’s annual accounts - 2025|**124**|-|
|Audit of the charity’s annual accounts - 2024|**-**|119|
|Tax compliance|**44**|9|
|Fees payable to afliate frms of the charity’s auditors for:|||
|Audit of subsidiary companies’ accounts - 2025|**59**|-|
|Audit of subsidiary companies’ accounts - 2024|**5**|56|
|Audit of subsidiary companies’ accounts - 2023|**-**|3|
|Non-audit services (preparation of company’s accounts)|**3**|2|
|Depreciation (see note 11)|**54**|48|
|Amortisation (see note 11)|**1,183**|1,085|
|Operating lease rentals|**4**|4|
## **7. Subsidiary companies**
## **CIPS Corporate Services Limited**
02610367
The charity has a wholly owned subsidiary undertaking, CIPS Corporate Services Limited, incorporated in England and Wales. The principal business of the subsidiary is the sale of books and the provision of corporate training and related services to international corporates. The subsidiary has agreed to covenant all its profit to the charity. All activities have been consolidated into the group statement of financial activities. A summary of the subsidiary’s trading result is shown below.
||**2025**|2024|
|---|---|---|
||**£000**|£000|
|Revenue|**1,225**|1,350|
|Cost of sales|**(247)**|(291)|
|Margin|**978**|1,059|
|Administrative expenses|**(140)**|(43)|
|Net proft before transfer|**838**|1,016|
|Deed of covenant transfer to charity|**(838)**|(1,016)|
|Net proft|**-**|-|
|Assets|**388**|89|
|Liabilities|**(388)**|(89)|
|Net assets|**-**|-|
|Share capital|**-**|-|
|Proft and loss account|**-**|-|
|Net reserves|**-**|-|
The company has issued share capital of 2 ordinary shares of £1 each.
48 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **CIPS Australia and New Zealand Pty Limited**
## ABN 32 111 330 262
CIPS Australia and New Zealand Pty Limited commenced trading in January 2005. Incorporated within Australia, it is a wholly owned subsidiary of the charity. The principal activities during the financial year were facilitating the servicing of membership for existing CIPS members situated in Australia and New Zealand, providing Australian businesses with company training related to procurement, and providing a programme of continuous improvement in professional standards. All activities have been consolidated into the group statement of financial activities. A summary of the subsidiary’s trading result is shown below.
||**2025**|2024|
|---|---|---|
||**£000**|£000|
|Revenue|**1,572**|1,244|
|Cost of sales|**(478)**|(387)|
|Margin|**1,094**|857|
|Administrative expenses|**(1,214)**|(1,209)|
|Net (loss)|**(120)**|(352)|
|Assets|**883**|661|
|Liabilities|**(1,917)**|(1,585)|
|Net liabilities|**(1,034)**|(924)|
|Share capital|**-**|-|
|Proft and loss account|**(1,034)**|(924)|
|Net reserves|**(1,034)**|(924)|
The company has issued share capital of 2 ordinary shares of AUD$1 each.
## **CIPS Southern Africa Pty Limited**
## 2009/022052/07
CIPS Southern Africa Pty Limited commenced trading in April 2010. Incorporated within South Africa, 49% is directly owned by the charity and the remaining 51% is owned by CIPS SA BBBEE Trust. Due to the Founder relationship between CIPS Southern Africa and the Trust, and the fact that control of the Trust rests with CIPS Southern Africa, the charity considers CIPS Southern Africa to be a part of the CIPS group. The principal activities during the financial year were facilitating the servicing of membership for existing CIPS members situated in Southern Africa, and providing South African businesses and individuals with company training related to procurement and providing a programme of continuous improvement in professional standards. All activities have been consolidated into the group statement of financial activities. A summary of the company’s trading result is shown below.
||**2025**|2024|
|---|---|---|
||**£000**|£000|
|Revenue|**2,727**|2,493|
|Cost of sales|**(1,136)**|(904)|
|Margin|**1,591**|1,589|
|Administrative expenses|**(1,750)**|(1,487)|
|Net (loss)|**(159)**|102|
|Assets|**5,275**|2,562|
|Liabilities|**(3,554)**|(679)|
|Net assets|**1,721**|1,883|
|Share capital|**-**|-|
|Designated funds|**-**|-|
|Proft and loss account|**1,721**|1,883|
|Net reserves|**1,721**|1,883|
The company has issued share capital of 100 ordinary shares of ZAR 1 each.
cips.org | ANNUAL REPORT 2024/2025 | 49
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **CIPS Professional Body South Africa NPC**
## 2016/045398/08
CIPS Professional Body South Africa NPC commenced trading in 2018. Incorporated in South Africa in 2016 as CIPS Professional Body Southern Africa Pty Ltd, it is a wholly owned subsidiary of CIPS Southern Africa Pty Limited. The Private Company was converted to an NPC on 16 November 2022. Its principal activity is serving individuals in South Africa to meet the requirements of the South African Qualifications Authority. A summary of the company’s trading result is shown below.
||**2025**|2024|
|---|---|---|
||**£000**|£000|
|Revenue|**447**|412|
|Cost of sales|**(101)**|(113)|
|Margin|**346**|299|
|Administrative expenses|**(94)**|(282)|
|Net proft|**252**|17|
|Assets|**2,071**|932|
|Liabilities|**(1,841)**|(954)|
|Net assets|**230**|(22)|
|Share capital|**-**|-|
|Designated funds|**-**|-|
|Proft and loss account|**(230)**|(22)|
|Net reserves|**(230)**|(22)|
The company has issued share capital of 100 ordinary shares of ZAR 1 each.
## **CIPS Singapore Pte Ltd**
201333047E
CIPS Singapore Pte Ltd was incorporated in Singapore on 9 December 2013 and is a wholly owned subsidiary of CIPS. Its principal activities during the financial year were the provision of corporate training and services relating to procurement and supply. All activities have been consolidated into the group statement of financial activities. A summary of the subsidiary’s trading result is shown below.
||**2025**|2024|
|---|---|---|
||**£000**|£000|
|Revenue|**450**|332|
|Cost of sales|**(162)**|(63)|
|Margin|**288**|269|
|Administrative expenses|**(235)**|(160)|
|Net proft|**53**|109|
|Assets|**1,163**|289|
|Liabilities|**(991)**|(170)|
|Net assets/(liabilities)|**172**|119|
|Share capital|**-**|-|
|Proft and loss account|**172**|119|
|Net reserves|**172**|119|
The company has issued share capital of 1 ordinary share of £1 each.
50 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **CIPS Satinalma Tedarik Egit. Hizm. Ltd. Sti**
CIPS Satinalma Tedarik Egit. Hizm. Ltd. Sti is incorporated in Turkey and is a wholly owned subsidiary of CIPS and has an accounting year-end of 31 December. The principal activities of the company are the provision of corporate training and services relating to procurement and supply. All activities have been consolidated into the group statement of financial activities. A summary of the subsidiary's unaudited trading result for the year to 31 October 2025 is shown below.
||**2025**|2024|
|---|---|---|
||**£000**|£000|
|Revenue|**310**|415|
|Cost of sales|**(238)**|(304)|
|Margin|**72**|111|
|Administrative expenses|**2**|(30)|
|Net proft|**74**|81|
|Assets|**262**|205|
|Liabilities|**(61)**|(46)|
|Net assets|**201**|159|
|Share capital|||
|Proft and loss account|**201**|159|
|Net reserves|**201**|159|
## **CIPS USA Inc**
CIPS USA was incorporated in the United States of America in 2017 and commenced trading during the previous financial year. It is a wholly owned subsidiary of CIPS. The principal activities of the company are the provision of corporate training and services relating to procurement and supply. All activities have been consolidated into the group statement of financial activities. A summary of the subsidiary’s trading result is shown below.
||**2025**|2024|
|---|---|---|
||**£000**|£000|
|Revenue|**668**|525|
|Cost of sales|**(147)**|(119)|
|Margin|**521**|406|
|Administrative expenses|**(266)**|(385)|
|Net proft|**255**|21|
|Assets|**306**|188|
|Liabilities|**(1,297)**|(1,461)|
|Net liabilities|**(991)**|(1,273)|
|Share capital|**-**|-|
|Proft and loss account|**(991)**|(1,273)|
|Net reserves|**(991)**|(1,273)|
cips.org | ANNUAL REPORT 2024/2025 | 51
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **CIPS for Business Services Co.**
CIPS for Business Services Co. was incorporated in the Kingdom of Saudi Arabia in 2023 and commenced trading during the financial year. It is a wholly owned subsidiary of CIPS Corporate Limited. The principal activities of the company are the provision of corporate training and services relating to procurement and supply. All activities have been consolidated into the group statement of financial activities. A summary of the subsidiary’s trading result is shown below.
|
activities. A summary of the subsidiary’s trading result is shown below.|||
|---|---|---|
||**2025**|2024|
||**£000**|£000|
|Revenue|**2,158**|31|
|Cost of sales|**(689)**|(3)|
|Margin|**1,469**|28|
|Administrative expenses|**(1,455)**|(297)|
|Net proft/(loss)|**14**|(269)|
|Assets|**1,316**|176|
|Liabilities|**(1,525)**|(404)|
|Net liabilities|**(209)**|(228)|
|Share capital|**41**|41|
|Proft and loss account|**(250)**|(269)|
|Net reserves|**(209)**|(228)|
## **CIPS West Africa Ltd**
## 7120866
CIPS West Africa Ltd was incorporated in Nigeria in September 2023. It had not commenced trading at 31 October 2025.
|Company name|**CIPS West Africa Ltd**|
|---|---|
|Nature of business|**Dormant**|
|Country of incorporation|**Nigeria**|
|Nominal value of share held|**10,000,000 Naira**|
52 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **8. Staff costs**
||**Group**|**Charity**|Group|Charity|
|---|---|---|---|---|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Wages and salaries|**15,031**|**12,612**|14,271|12,532|
|Employer’s social security costs|**1,341**|**1,284**|1,198|1,156|
|Defned contribution pension scheme|**949**|**865**|871|792|
|Total staf costs|**17,322**|**14,761**|16,339|14,480|
|Staf costs per note 4|**17,322**|**14,761**|16,339|14,480|
The average number of staff employed by the group throughout the year was:
||**2025**|2024|
|---|---|---|
||**251**|240|
|**Emoluments of senior staf**|**2025**|2024|
|£60,000 - £69,999|**22**|16|
|£70,000 - £79,999|**11**|9|
|£80,000 - £89,999|**13**|10|
|£90,000 - £99,999|**8**|6|
|£100,000 - £109,999|**2**|5|
|£110,000 - £119,999|**5**|2|
|£120,000 - £129,999|**1**|-|
|£130,000 - £139,999|**1**|1|
|£140,000 - £149,999|**3**|1|
|£150,000 - £159,999|**2**|-|
|£160,000 - £169,999|**1**|2|
|£170,000 - £179,999|**-**|2|
|£190,000 - £199,999|**1**|1|
|£200,000 - £209,999|**1**|-|
|£210,000 - £219,999|**-**|1|
|£220,000 - £229,999|**1**|1|
|£230,000 - £239,999|**2**|-|
|£250,000 - £259,999|**-**|1|
|£290,000 - £299,999|**1**|-|
The group’s defined benefit pension scheme closed to future members on 1 November 2003. CIPS offers a defined contribution plan into which it paid £865k (2024: £792k) of employer contributions in the year. At the end of the year, there were 189 (2024: 197) members of staff with stakeholder plans. CIPS Australia paid £80k (2024: £67k) and CIPS USA paid £4k (2024: £12k) into staff defined contribution superannuation schemes.
The members of the Global Board of Trustees were not remunerated for their services during the year. Expenses of £46,268 (2024: £58,007) were reimbursed to or paid on behalf of 16 (2024: 14) trustees during the year. These expenses included travel, accommodation, subsistence and incidental costs in connection with attendance at meetings of the Board of Trustees.
The group considers its key management personnel to comprise the Chief Executive Office and Executive Team. The total employment benefits of these individuals, including employer pension contributions, were £1,551k (2024: £1,377k).
cips.org | ANNUAL REPORT 2024/2025 | 53
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **9. Taxation**
CIPS is a charity within the meaning of paragraph 1, Schedule 6 Finance Act 2010. Accordingly, the company is potentially exempt from taxation in respect of income or capital gains within categories covered by Chapter 3 of 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. As a result, no tax charge arose in the period. The group’s UK subsidiary company makes qualifying donations of all taxable profit to the charity. No corporation tax liability on this subsidiary arises in the accounts.
CIPS Australasia Pty Limited is registered as a not for profit organisation in Australia. No tax liability on this subsidiary arises in the accounts.
CIPS Singapore Pte Ltd, CIPS Southern Africa Pty Limited, CIPS Professional Body South Africa Proprietary Ltd, CIPS MENA (Branch), CIPS for Business Services Co, CIPS West Africa Ltd and CIPS Satinalma Tedarik Egit. Hizm. Ltd. Sti are subject to local company taxation. The following tax charge arises:
||**2025**|2024|
|---|---|---|
||**£000**|£000|
|**Current taxation**|||
|New Zealand|**3**|-|
|South Africa – current year|**68**|78|
|MENA|**6**|108|
|Singapore|**3**|11|
|Turkey|**-**|1|
||**80**|198|
|Deferred taxation|||
|South Africa – current year|**-**|(5)|
|**Total tax charge for the year**|**-**|(5)|
54 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **10. Pension costs**
The charity is the sponsoring employer of a funded defined benefit pension scheme in the UK, which provides retirement benefits based on members’ salary when leaving Pensionable Service. The assets of the scheme are held in a separately administered fund and the scheme is administered by a trustee body (independent of CIPS) who are responsible for ensuring that the scheme is sufficiently funded to meet current and future obligations. The liabilities set out in this note have been calculated based on the results of the full Scheme Funding Assessment, as at 31 October 2021, updated to 31 October 2025, allowing for interest and benefits paid. The present value of the defined benefit obligation and any past service costs were measured using the projected unit credit method. CIPS has agreed a funding plan with the trustee body, whereby contributions are made into the scheme to pay operating expenses and additional contributions to reduce the funding deficit where necessary. The disclosures set out below are based on calculations carried out as at 31 October 2025 by an independent qualified actuary. The results of the calculations and the assumptions adopted are shown below.
On 1 November 2003, the charity also established a stakeholder pension plan, which is open to new employees. Contributions to the plan by the employer are equal to twice that paid by the member and vary between 6% and a maximum of 12% dependent upon the contribution of the member.
The following information relates to the scheme’s valuation on an FRS102 section 28 basis at 31 October 2025.
## **Principal assumptions**
The principal actuarial assumptions at the balance sheet date were:
|**Principal assumptions**
The principal actuarial assumptions at the balance sheet date were:|||
|---|---|---|
||**2025**|2024|
|Discount rate|**5.15%**|5.20%|
|Aggregate long-term expected rate of return on assets (net of expenses)|**5.15%**|5.20%|
|Retail Prices Index (RPI) infation|**2.90%**|3.35%|
|Consumer Prices Index (CPI) infation|**2.10%**|2.60%|
|Future increases in deferred pensions|**2.10%**|2.60%|
|Rate of increase in salaries|**2.10%**|2.60%|
|Rate of increase to pensions in payment:|||
|Fixed increases|**In line with scheme rules**|In line with scheme rules|
|RPI subject to max 5% p.a.|**2.80%**|3.15%|
|Post-retirement mortality|**101% (males) / 108%**|101% (males) / 108%|
||**(females) of S4PA tables**|(females) of S4PA tables|
||**with future improvements**|with future improvements|
||**in line with the CMI_2024**|in line with the CMI_2023|
||**projection model with**|projection model with Core|
||**Core weightings, and a**|weightings, Sk = 7.0, IAMI|
||**long term improvement**|= 0.00%, w2020/2021=0%,|
||**rate of 1.25%p.a.**|w2022/2023=15% and a long|
|||term improvement rate of|
|||1.25%p.a.|
|Cash commutation|**75% maximum**|75% maximum|
||**tax free cash**|tax free cash|
|Proportion married|**80.00%**|80.00%|
|Life expectancy of male aged 65 at balance sheet date|**24.2**|23.9|
|Life expectancy of male aged 65 in 20 years from balance sheet date|**25.6**|25.3|
|Life expectancy of female aged 65 at balance sheet date|**26.2**|26.1|
|Life expectancy of female aged 65 in 20 years from balance sheet date|**27.6**|27.5|
Note: The calculations are based on the full corporate bond and inflation yield curves, with the rates quoted here being single equivalent rates. For the avoidance of doubt the above assumptions are in absolute terms. For the assumptions which apply to pensions in payment, allowances for any minimum and maximum increases have been made using the Black Scholes option pricing model.
cips.org | ANNUAL REPORT 2024/2025 | 55
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **Asset breakdown**
The major categories of scheme assets as a percentage of total scheme assets are:
||**2025**|2024|
|---|---|---|
|Diversifed growth funds|**0.00%**|11.50%|
|Corporate bonds|**36.40%**|54.60%|
|LDI|**19.00%**|19.70%|
|Cash|**36.30%**|2.30%|
|Insurance policies|**8.30%**|6.10%|
|Synthetic Credit|**0.00%**|5.80%|
|**Total**|**100.00%**|100.00%|
The pension scheme has not invested in any of CIPS’s own financial instruments, nor in properties or other assets used by CIPS. The assets are all quoted in an active market with the exception of the insured pensions.
## **Net defined benefit asset**
|**Net defned beneft asset**|||
|---|---|---|
||**2025**|2024|
||**£000**|£000|
|Fair value of scheme assets|**14,528**|14,428|
|Present value of defned beneft obligation|**(11,194)**|(11,684)|
|**Defned beneft asset recognised in balance sheet**|**3,334**|2,744|
|**The total expense recognised in the statement of fnancial activities is as follows:**|||
||**2025**|2024|
||**£000**|£000|
|Current service cost|**0**|-|
|Administration expenses|**260**|382|
|Recognised in arriving at net income/(expenditure)|**260**|382|
|Interest on the net defned beneft liability|**(145)**|(116)|
|**Total**|**115**|266|
|**The total amounts taken to other recognised gains and losses are as follows:**|||
||**2025**|2024|
||**£000**|£000|
|Actual return on scheme assets|**1,104**|1,445|
|Less: amounts included in net interest on the net defned beneft liability|**(724)**|(752)|
|Remeasurement gains and (losses) - return on scheme assets excluding|**380**|693|
|interest income|||
|Remeasurement gains and (losses) - actuarial gains and (losses)|**(42)**|(158)|
|**Total**|**338**|535|
|**Changes in the present value of the defned beneft obligation are as follows:**|||
||**2025**|2024|
||**£000**|£000|
|Present value of defned beneft obligation at beginning of period|**11,684**|11,802|
|Benefts paid including expenses|**(1,371)**|(1,294)|
|Administration costs|**260**|382|
|Interest cost|**579**|636|
|Remeasurement (gains) and losses - actuarial (gains) and losses|**42**|158|
|**Present value of defned beneft obligation at end of period**|**11,194**|11,684|
56 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **Changes in the fair value of plan assets are as follows:**
|**Changes in the fair value of plan assets are as follows:**|||
|---|---|---|
||**2025**|2024|
||**£000**|£000|
|Fair value of scheme assets at beginning of period|**14,428**|13,877|
|Interest income|**724**|752|
|Remeasurement gains and (losses) - return on scheme assets excluding|**380**|693|
|interest income|||
|Contributions by employer|**367**|400|
|Benefts paid including expenses|**(1,371)**|(1,294)|
|**Fair value of scheme assets at end of period**|**14,528**|14,428|
## **Movements over 5 year period**
||**2025**|2024|2023|2022|2021|
|---|---|---|---|---|---|
||**£000**|£000|£000|£000|£000|
|Fair value of scheme assets|**14,528**|14,428|13,877|15,937|25,181|
|Present value of defned beneft obligation|**(11,194)**|(11,684)|(11,802)|(13,255)|(20,365)|
|Surplus|**3,334**|2,744|2,075|2,682|4,816|
|Gain/(Loss) arising from experience on scheme obligations|**-**|-|-|-|-|
|Gain/(Loss) arising from changes in the assumptions for valuing the|**(42)**|(158)|1,053|5,719|840|
|scheme obligations||||||
|Gain/(Loss) arising from experience on scheme assets|**380**|693|(1,866)|(8,287)|802|
cips.org | ANNUAL REPORT 2024/2025 | 57
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **11. Fixed assets**
## **Tangible fixed assets**
## **(a) Group**
|**Tangible fxed assets**
**(a) Group**||||||
|---|---|---|---|---|---|
||**Freehold land**
**and buildings**|**Leasehold**
**improvements**|**Fixtures and**
**fttings**|**Computer**
**equipment**|**Total**|
||**£000**|**£000**|**£000**|**£000**|**£000**|
|Cost / Valuation||||||
|At 1 November 2024|1,318|9|305|154|1,786|
|Disposals during the year|-|-|(174)|(68)|(242)|
|Additions during the year|-|1,084|235|38|1,357|
|Exchange diference|-|-|2|(6)|(4)|
|**At 31 October 2025**|**1,318**|**1,093**|**368**|**118**|**2,897**|
|Accumulated depreciation||||||
|At 1 November 2024|(163)|(3)|(192)|(117)|(475)|
|Disposals during the year|-|-|165|66|231|
|Charged during the year|(17)|(3)|(21)|(13)|(54)|
|Exchange diference|-|2|(1)|-|1|
|**At 31 October 2025**|**(180)**|**(4)**|**(49)**|**(64)**|**(297)**|
|||||||
|**Net book value 31 October 2025**|**1,138**|**1,089**|**319**|**54**|**2,600**|
|||||||
|**Net book value 31 October 2024**|**1,155**|**6**|**113**|**37**|**1,311**|
|**(b) Charity**||||||
||**Freehold land**
**and buildings**|**Leasehold**
**improvements**|**Fixtures and**
**fttings**|**Computer**
**equipment**|**Total**|
||**£000**|**£000**|**£000**|**£000**|**£000**|
|Cost / Valuation||||||
|At 1 November 2024|1,318|-|277|79|1,674|
|Disposals during the year|-|-|(174)|(61)|(235)|
|Additions during the year|-|1,084|234|28|1,346|
|Exchange diference|-|-|-|-|-|
|**At 31 October 2025**|**1,318**|**1,084**|**337**|**46**|**2,785**|
|Accumulated depreciation||||||
|At 1 November 2024|(163)|-|(183)|(70)|(416)|
|Disposals during the year|-|-|165|60|225|
|Charged during the year|(17)|-|(17)|(2)|(36)|
|Exchange diference|-|-|-|(2)|(2)|
|**At 31 October 2025**|**(180)**|**-**|**(35)**|**(14)**|**(229)**|
|||||||
|**Net book value 31 October 2025**|**1,138**|**1,084**|**302**|**32**|**2,556**|
|||||||
|**Net book value 31 October 2024**|**1,155**|**-**|**94**|**9**|**1,258**|
58 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
|**Intangible fxed assets**|||
|---|---|---|
|**(a) Group**|||
||**Software**|**Total**|
||**£000**|**£000**|
|**Cost / Valuation**|||
|At 1 November 2024|8,283|8,283|
|Disposals during the year|-|-|
|Additions during the year|161|161|
|AUC brought into use|-|-|
|**At 31 October 2025**|**8,444**|**8,444**|
|**Amortisation**|||
|At 1 November 2024|(2,860)|(2,860)|
|Disposals during the year|-|-|
|Charged during the year|(1,183)|(1,183)|
|**At 31 October 2025**|**(4,043)**|**(4,043)**|
||||
|**Net book value 31 October 2025**|**4,401**|**4,401**|
||||
|**Net book value 31 October 2024**|**5,423**|**5,423**|
|**(b) Charity**|||
||**Software**|**Total**|
||**£000**|**£000**|
|**Cost / Valuation**|||
|At 1 November 2024|8,283|8,283|
|Additions during the year|161|161|
|AUC brought into use|-|-|
|**At 31 October 2025**|**8,444**|**8,444**|
|**Amortisation**|||
|At 1 November 2024|(2,860)|(2,860)|
|Charged during the year|(1,183)|(1,183)|
|**At 31 October 2025**|**(4,043)**|**(4,043)**|
||||
|**Net book value 31 October 2025**|**4,401**|**4,401**|
||||
|**Net book value 31 October 2024**|**5,423**|**5,423**|
The Group has individually material software (2024: £5,423K) as follows:
||**Carrying**|**Remaining**|
|---|---|---|
||**Amount**|**amortisation**|
||**£000**|**period**|
|CX Platforms|3,980|4 years|
cips.org | ANNUAL REPORT 2024/2025 | 59
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **12. Listed investments**
||**Group**|**Charity**|Group|Charity|
|---|---|---|---|---|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Market value at 1 November|**4,991**|**4,991**|4,461|4,461|
|Additions|**92**|**92**|129|129|
|Disposals|**(745)**|**(745)**|-|-|
|Net realised and unrealised gains|**491**|**491**|401|401|
|Market value at 31 October|**4,829**|**4,829**|4,991|4,991|
|Historical cost of investments|**3,242**|**3,242**|3,895|3,895|
Listed investments are managed by appointed fund managers. The investment strategy is growth oriented with investments being held in the Barclays Charity Distribution Fund and the Charities Property Fund with a balance held in cash as follows:
||**Group**|**Charity**|Group|Charity|
|---|---|---|---|---|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Barclays Charity Distribution Fund|**4,708**|**4,708**|4,873|4,873|
|Charities Property Fund|**121**|**121**|118|118|
|Market value at 31 October|**4,829**|**4,829**|4,991|4,991|
## **13. Investment in subsidiary companies**
|**13. Investment in subsidiary companies**|||
|---|---|---|
||**2025**|2024|
||**£**|£|
|Shares in subsidiary undertakings at cost|||
|**At 1 November 2024 and 31 October 2025**|**8**|8|
## **14. Debtors**
||**Group**|**Charity**|Group|Charity|
|---|---|---|---|---|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Trade debtors|**5,880**|**3,911**|7,864|6,343|
|Other debtors|**396**|**45**|374|34|
|Deferred taxation|**80**|**-**|82|-|
|Prepayments and accrued income|**1,687**|**1,488**|1,933|1,725|
|Due from subsidiary undertakings|**-**|**6,919**|-|3,946|
||**8,043**|**12,363**|10,253|12,048|
Deferred taxation arises on timing differences and losses carried forward in the group’s South African subsidiaries.
60 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **15. Creditors**
Amounts falling due in less than 1 year
|Amounts falling due in less than 1 year|||||
|---|---|---|---|---|
||**Group**|**Charity**|Group|Charity|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Trade creditors|**2,160**|**2,069**|2,658|2,549|
|Bank loans|**703**|**703**|379|379|
|Other creditors including taxation and social security|**657**|**500**|831|758|
|Accruals and deferred income|**16,323**|**13,235**|15,819|13,335|
|Amounts due to subsidiary undertakings in <1 year|**-**|**5,281**|-|2,955|
||**19,844**|**21,788**|19,687|19,976|
|Deferred income as at 1 November 2024|**12,770**|**10,616**|12,552|10,482|
|Released during the year|**(12,770)**|**(10,616)**|(12,552)|(10,482)|
|Deferred during the year|**13,364**|**10,817**|12,770|10,616|
|**Deferred income as at 31 October 2025**|**13,364**|**10,817**|12,770|10,616|
Income is deferred where payment is received in advance for contracted services that have yet to be provided.
Amounts falling due in more than 1 year
|Amounts falling due in more than 1 year|||||
|---|---|---|---|---|
||**Group**|**Charity**|Group|Charity|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Bank loans|**-**|**-**|-|-|
|Loan Facility|**-**|**-**|-|-|
||**-**|**-**|-|-|
## CBILS loan
CIPS entered into a loan from Barclays Bank under the UK government Coronavirus Business Interruption Loan Scheme (CBILS) on 14 April 2020. The balance was repayable in 16 instalments over 4 years, following a 1 year capital repayment holiday, and accrues interest at the Bank of England rate, or a minimum of 1.79%. The loan was fully repaid during the financial year.
Loan Facility
During the year CIPS agreed a securities backed loan agreement from Barclays Bank with a facility of up to £2 million. £703K was outstanding at the year end and was fully repaid post year end.
The loans are repayable as follows:
||**Group**|**Charity**|Group|Charity|
|---|---|---|---|---|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Under 1 year|**703**|**703**|379|379|
|Between 1 - 2 years|**-**|**-**|-|-|
|Between 2 - 5 years|**-**|**-**|-|-|
||**703**|**703**|379|379|
cips.org | ANNUAL REPORT 2024/2025 | 61
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **16. Analysis of net assets between funds**
## **(a) Group**
|**(a) Group**||||||
|---|---|---|---|---|---|
||||||**2025**|
||Tangible and|Listed|Net current|Pension|**Total**|
||intangible assets|investments|liabilities|scheme||
||£000|£000|£000|£000|**£000**|
|Restricted funds|-|-|165|-|**165**|
|Unrestricted funds|7,001|4,829|(3,838)|-|**7,992**|
|Pension scheme surplus|-|-|-|3,334|**3,334**|
|**Funds at 31 October 2025**|**7,001**|**4,829**|**(3,673)**|**3,334**|**11,491**|
||||||**2024**|
||Tangible and|Listed investments|Net current|Pension|**Total**|
||intangible assets||liabilities|scheme||
||£000|£000|£000|£000|**£000**|
|Restricted funds|-|-|337|-|**337**|
|Unrestricted funds|6,734|4,991|(4,318)|-|**7,407**|
|Pension scheme surplus|-|-|-|2,744|**2,744**|
|**Funds at 31 October 2024**|**6,734**|**4,991**|**(3,981)**|**2,744**|**10,488**|
## **(b) Charity**
|**(b) Charity**||||||
|---|---|---|---|---|---|
||||||**2025**|
||Tangible and|Listed investments|Net current|Pension|**Total**|
||intangible assets|and investments|liabilities|scheme||
|||in subsidiary||||
|||companies||||
||£000|£000|£000|£000|**£000**|
|Restricted funds|-|-|165|-|**165**|
|Unrestricted funds|6,957|4,829|(5,409)|-|**6,377**|
|Pension scheme surplus|-|-|-|3,334|**3,334**|
|**Funds at 31 October 2025**|**6,957**|**4,829**|**(5,244)**|**3,334**|**9,876**|
||||||**2024**|
|---|---|---|---|---|---|
||Tangible and|Listed investments|Net current|Pension|**Total**|
||intangible assets|and investments|liabilities|scheme||
|||in subsidiary||||
|||companies||||
||£000|£000|£000|£000|**£000**|
|Restricted funds|-|-|337|-|**337**|
|Unrestricted funds|6,681|4,991|(5,407)|-|**6,265**|
|Pension scheme surplus|-|-|-|2,744|**2,744**|
|**Funds at 31 October 2024**|**6,681**|**4,991**|**(5,070)**|**2,744**|**9,346**|
62 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **17. Reserves**
## **Group**
|**Group**|||||
|---|---|---|---|---|
||Restricted funds|Unrestricted funds|Pension reserve|**Total**|
||£000|£000|£000|**£000**|
|At 1 November 2024|337|7,407|2,744|**10,488**|
|Transfers|-|(252)|252|**-**|
|Actuarial gain|-|-|338|**338**|
|Foreign currency translation loss|-|(129)|-|**(129)**|
|Net income for the year|(172)|966|-|**794**|
|**At 31 October 2025**|**165**|**7,992**|**3,334**|**11,491**|
||Restricted funds|Unrestricted funds|Pension reserve|**Total**|
||£000|£000|£000|**£000**|
|At 1 November 2023|337|6,214|2,075|**8,626**|
|Transfers|-|(134)|134|**-**|
|Actuarial loss|-|-|535|**535**|
|Foreign currency translation loss|-|(67)|-|**(67)**|
|Net loss for the year|-|1,394|-|**1,394**|
|**At 31 October 2024**|**337**|**7,407**|**2,744**|**10,488**|
Unrestricted funds include the currency translation reserve of £129k (2024: £149k) which is used to recognise exchange differences arising from translation of the financial statements of foreign operations to sterling.
## **Charity**
|**Charity**|||||
|---|---|---|---|---|
||Restricted funds|Unrestricted funds|Pension reserve|**Total**|
||£000|£000|£000|**£000**|
|At 1 November 2024|337|6,265|2,744|**9,346**|
|Transfers|-|(252)|252|**-**|
|Actuarial gain|-|-|338|**338**|
|Foreign currency translation loss|-|(135)|-|**(135)**|
|Net (loss)/income for the year|(172)|451|-|**279**|
|**At 31 October 2025**|**165**|**6,329**|**3,334**|**9,828**|
||Restricted funds|Unrestricted funds|Pension reserve|**Total**|
||£000|£000|£000|**£000**|
|At 1 November 2023|337|5,122|2,075|**7,534**|
|Transfers|-|(134)|134|**-**|
|Actuarial loss|-|-|535|**535**|
|Foreign currency translation loss|-|(144)|-|**(144)**|
|Net income for the year|-|1,421|-|**1,421**|
|**At 31 October 2024**|**337**|**6,265**|**2,744**|**9,346**|
Unrestricted funds include the currency translation reserve of £135k (2024: £103k) which is used to recognise exchange differences arising from translation of the financial statements of foreign operations to sterling.
cips.org | ANNUAL REPORT 2024/2025 | 63
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **(a) Restricted funds**
|||**CIPS**|**CIPS Health**|**NOS Project**|**NOS Project**|**IDEA Project**|**IDEA Project**|**e-Comm**||**Total**|
|---|---|---|---|---|---|---|---|---|---|---|
||**Foundation**||**Procurement**|||||**research**||**Funds**|
||||**Africa**||||||||
|**Charity and Group**||**£000**|**£000**||**£000**||**£000**|**£000**||**£000**|
|**At 1 November 2024**||**309**|**-**||**2**||**14**|**12**||**337**|
|**Transfers from unrestricted reserves**||**-**|**-**||**-**||**-**|**-**||**-**|
|**Incoming funds**||**-**|**2,122**||**-**||**-**|**-**||**2,122**|
|**Outgoing funds**||**(172)**|**(2,122)**||**-**||**-**|**-**||**(2,294)**|
|**At 31 October 2025**||**137**|**-**||**2**||**14**|**12**||**165**|
||**CIPS Founda-**||**CIPS Health**|**NOS Project**||**IDEA Project**||**e-Comm re-**|**Total Funds**||
|||**tion**|**Procurement**|||||**search**|||
||||**Africa**||||||||
|**Charity and Group**||**£000**|**£000**||**£000**||**£000**|**£000**||**£000**|
|**At 1 November 2023**||**309**|**-**||**2**||**14**|**12**||**337**|
|**Transfers from unrestricted reserves**||**-**|**-**||**-**||**-**|**-**||**-**|
|**Incoming funds**||**-**|**2,286**||**-**||**-**|**-**||**2,286**|
|**Outgoing funds**||**-**|**(2,286)**||**-**||**-**|**-**||**(2,286)**|
|**At 31 October 2024**||**309**|**-**||**2**||**14**|**12**||**337**|
**CIPS Foundation - a trust fund for furtherance of education in purchasing matters**
**CIPS Health Procurement Africa - external funding to strengthen health procurement processes in Africa**
**NOS Project - external funding for the development of world class National Occupational Standards for International Trade and Services and Supply Chain Management.**
**IDEA Project - external funding to develop a certifcate of competence for local government procurement specialists.**
**e-Comm research - external funding for a specifc professional practice project.**
**All of the above funds are restricted income funds.**
## **(b) Pension reserve**
## **Charity and group**
|**Charity and group**|||
|---|---|---|
||**2025**|2024|
||**£000**|£000|
|At 1 November 2024|**2,744**|2,075|
|Transfer from unrestricted reserves|**252**|134|
|Actuarial gain|**338**|535|
|**At 31 October 2025**|**3,334**|2,744|
Transfers during the year comprise employer contributions to the pension scheme in excess of the service and administration costs and the net of expected returns over interest cost.
64 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **18. Leasing commitments**
At 31 October 2025 the group’s and the charity’s future minimum lease payments under non-cancellable operating leases were as follows:
||**Group**|**Charity**|Group|Charity|
|---|---|---|---|---|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Amounts due within one year|**117**|**117**|4|4|
|Amounts due between one and fve years|**1,090**|**1,090**|5|5|
|Amounts due over fve years|**424**|**424**|-|-|
||**1,631**|**1,631**|9|9|
Total leasing costs for the year were £2k. The leasing commitments detailed above are in respect of the lease premises and office equipment.
## **19. Related party transactions**
During the year the charity provided services amounting to £153K (2024: £91k) to CIPS Corporate Services Ltd, a wholly owned subsidiary.
The amount due from CIPS Corporate Services Ltd at the end of the year was £114k (2024: £139k).
During the year, the charity provided services amounting to £1,747k (2024: £969k) to CIPS Southern Africa (Pty) Ltd, a 49% owned subsidiary, whereby the remaining 51% is controlled by CIPS.
The amount due from CIPS Southern Africa (Pty) Ltd at the year-end was £239k (2024: (£221k)).
During the year, the charity provided services amounting to £327k (2024: £227k) to CIPS Professional Body South Africa Proprietary Ltd, a not for profit entity with members controlled by CIPS.
The amount due from CIPS Professional Body South Africa Proprietary Ltd at the year-end was £245k (2024: £203k).
During the year, the charity provided services amounting to £529k (2024: £290k) to CIPS Australia and New Zealand Pty Ltd, a wholly owned subsidiary.
The amount due from CIPS Australia and New Zealand Pty Ltd, at the end of the year was £1,041k (2024: £550k). A provision of £882k
(2024: £550k) is included in the charity accounts against the debt due from Australia.
During the year, the charity provided services amounting to £222k (2024: £1,051k) to CIPS Singapore (Pty) Ltd, a wholly owned subsidiary.
The amount due to CIPS Singapore Pty Ltd at the end of the year was £259k (2024: £222k due from CIPS Singapore Pty Ltd).
During the year, the charity provided services amounting to £201k (2024: £92k) to CIPS USA Inc, a wholly owned subsidiary.
The amount due from CIPS USA Inc at the end of the year was £917k (2024: £1,150k). A provision of £542k (2024: £728k) has been made in the charity accounts against the debt due from the USA.
During the year, the charity provided services amounting to £Nil (2024: £32K) to CIPS For Business Service Co, a wholly owned subsidiary. The amount due from CIPS For Business Service Co at the end of the year was £465k (2024: £365K).
cips.org | ANNUAL REPORT 2024/2025 | 65
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **20. Financial instruments**
The group’s and charity’s financial instruments may be analysed as follows:
||**Group**|**Charity**|Group|Charity|
|---|---|---|---|---|
||**2025**|**2025**|2024|2024|
||**£000**|**£000**|£000|£000|
|Financial assets|||||
|Financial assets measured at fair value through proft or loss|**4,829**|**4,829**|4,991|4,991|
|Financial assets that are debt instruments measured at amortised cost|**14,404**|**15,056**|13,691|13,181|
|Financial liabilities|||||
|Financial liabilities measured at amortised cost|**2,863**|**8,053**|3,037|5,883|
Financial assets measured at fair value through profit or loss comprise fixed asset investments in units in investment funds designed for use by charities.
Financial assets measured at amortised cost comprise stocks, cash, trade debtors, other debtors and amounts due from group undertakings.
Financial liabilities measured at amortised cost comprise trade creditors, loans and amounts due to group undertakings.
## **21. Post balance sheet events**
**On 19 November 2025 the organisation sold the property Easton House for £1.775 million as part of the UK head ofce relocation.**
66 | ANNUAL REPORT 2024/2025 | cips.org
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **22. Prior year statement of financial activities**
## **Consolidated statement of financial activities for the year ended 31 October 2024**
||Notes|Unrestricted|Restricted|Pension|**Total**|Total|
|---|---|---|---|---|---|---|
|||funds|funds|reserve|**funds**|funds|
||||||**2024**|2023|
|||£000|£000|£000|**£000**|£000|
|**Income from:**|||||||
|**Charitable activities**|||||||
|Membership and professional development, subscriptions||14,438|-|-|**14,438**|13,301|
|and fees|||||||
|Corporate business||18,305|2,286|-|**20,591**|17,111|
|Magazine, conferences and sponsorship||2,049|-|-|**2,049**|3,498|
|Other||1,317|-|-|**1,317**|30|
|**Investments**|3|298|-|-|298|266|
|**Total income**||36,407|2,286|-|**38,693**|34,206|
|**Expenditure on:**|||||||
|**Charitable activities**|4|35,414|2,286|-|**37,700**|34,442|
|**Total expenditure**||35,414|2,286|-|**37,700**|34,442|
|Net (expenditure)/income before investment gains||993|-|-|**993**|(236)|
|Net gains on investments|12|401|-|-|**401**|30|
|Transfers between funds|17|(134)|-|134|**-**|-|
|**Net (expenditure)/income**||1,260|-|134|**1,394**|(206)|
|**Other recognised gains and losses**|||||||
|Pension scheme actuarial gain/(loss)|10|-|-|535|**535**|(813)|
|Foreign currency translation loss||(67)|-|-|**(67)**|(122)|
|**Net movement in funds**||1,193|-|669|**1,862**|(1,141)|
|**Reconciliation of funds**|||||||
|Funds brought forward||6,214|337|2,075|**8,626**|9,767|
|**Balance carried forward**||7,407|337|2,744|**10,488**|8,626|
cips.org | ANNUAL REPORT 2024/2025 | 67
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
## **Parent charity statement of financial activities for the year ended 31 October 2024**
||Notes|Unrestricted|Restricted|Pension|
**Total funds**|Total funds|
|---|---|---|---|---|---|---|
|||funds|funds|reserve|||
||||||**2024**|2023|
|||£000|£000|£000|**£000**|£000|
|**Income from:**|||||||
|**Charitable activities**|||||||
|Membership and professional development, subscriptions||12,345|-|-|
**12,345**|11,323|
|and fees|||||||
|Corporate business||15,224|2,286|-|
**17,510**|13,665|
|Magazine, conferences and sponsorship||1,840|-|-|
**1,840**|2,347|
|Income from subsidiaries||1,016|-|-|
**1,016**|865|
|Other||1|-|-|
**1**|24|
|**Investments**|3|195|-|-|
**195**|167|
|**Total income**||30,621|2,286|-|
**32,907**|28,391|
|**Expenditure on:**|||||||
|**Charitable activities**|4|29,601|2,286|-|
**31,887**|28,347|
|**Total expenditure**||29,601|2,286|-|
**31,887**|28,347|
|Net income before investment gains||1,020|-|-|
**1,020**|44|
|Net gains on investments|12|401|-|-|
**401**|30|
|Transfers between funds|17|(134)|-|134|
**-**|-|
|**Net (expenditure)**||1,287|-|134|
**1,421**|74|
|**Other recognised gains and losses**|||||||
|Pension scheme actuarial gain/(loss)|10|-|-|535|
**535**|(813)|
|Foreign currency translation loss||(144)|-|-|
**(144)**|(124)|
|**Net movement in funds**||1,143|-|669|
**1,812**|(863)|
|Reconciliation of funds|||||||
|Funds brought forward as previously stated||5,122|337|2,075|
**7,534**|8,397|
|**Balance carried forward**||6,265|337|2,744|
**9,346**|7,534|
All items above derive from continuing operations.
There are no recognised gains or losses other than those stated above.
68 | ANNUAL REPORT 2024/2025 | cips.org
Docusign EnvelopÈ ID". 78977A7F-9CB3-82EB-82AA-46F48692885B
cips.org | ANNUAL REPORT 202412025 |
Docusign Envelope ID: 78977A7F-9CB3-82EB-82AA-46F48692885B
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70 | ANNUAL REPORT 2024/2025 | cips.org