OpenCharities

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

2025-03-31-accounts

The AoC Charitable Trust

Annual report and financial statements for the year ended 31 March 2025

Registered charity numbers: England & Wales 1040631 Scotland SC039064

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Contents

Report of the Trustees 3
Statement of Trustees' Responsibilities 11
Report of the Independent Auditor to the Trustees of the AoC Charitable Trust 12
Statement of Financial Activities 17
Statement of Financial Position 18
Statement of Cashflows 19
Notes to the Financial Statements 20

2

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Trustees

The Trustees present their report and the audited financial statements for the year ended 31 March 2025. The financial statements and Trustees’ report are prepared in accordance with the Charities Act 2011, the Charities Accounts and Reports Regulations 2008, the provisions of the trust deed, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the charity's constitution. These financial statements comply with current statutory requirements and with the requirements of the Trust’s governing document, which is the Trust Deed dated 1 August 1994.

The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition effective 1 January 2019) – (Charities SORP (FRS 102)), the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended).

The trust constitutes a public benefit entity as defined by FRS 102.

Structure, Governance & Management

Legal and Administrative Details

The Trust was registered with the Charity Commission on 1 August 1994 and is governed by its constitution.

Registered Name:

Charity Commission Number: Office of the Scottish Charity Regulator:

Association of Colleges Charitable Trust 1040631 SC039064

Trustees:

The Trustees appointed, all of whom have been Trustees for the whole of the year up to the date of this report, unless otherwise indicated, are listed below.

----- Start of picture text -----
Trustee Dates Organisation
D.Adams Self-Employed Consultant
E.Bishop AoC (AoC Trust Director)
P. Brophy AoC (Chief Operating Officer)
S Francis Resigned 24 October 2024 Campaign Collective
S.Higginson Independent
D.Hughes AoC (CEO)
J.Kapsalis Principal/CEO NESCOT
J.Robinson Tees University
M.White (Chair) Independent
Secretary Dates
J.Edwards AoC Group Company Secretary
----- End of picture text -----

3

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Trustees (continued)

Trustee to whom day-to-day running of the charity is delegated by the Trustees is E Bishop.

Registered Office Room 3.06 3[rd] Floor Statutory Auditor Bishop Fleming Audit Ltd The Bloomsbury Building Brook House 10 Bloomsbury Way Manor Drive London Clyst St. Mary WC1A 2SL Exeter EX1 2QS Bankers Barclays Internal Auditor Scrutton Bland LLP 28th Floor Fitzroy House 1 Churchill Place Crown Street Canary Wharf Ipswich London E14 5HP IP1 3LG Solicitors Eversheds Sutherland 1 Wood Street London EC2V 7WS

Objectives, activities, achievements and performance

The Trust is established for the purpose of advancing the education of members of the public aged over 16 years.

The nature of the governing document is a Trust Deed.

The Trust is devoted to raising funds and overseeing their application for the benefit of post-16 education. The Trustees are appointed from the Association of Colleges’ Main Board, the Association’s executive officers and independent representatives. Trustees appointed from the Association’s Board include, the Chief Executive and the Director of Finance; executive officers include the Trust’s Director. Independent representatives are appointed for their knowledge, experience, and status in the sector. All appointments require the approval of the Trustees. An informal induction process is carried out when new Trustees join. As a minimum, the Trustees meet on a termly basis, although additional meetings are held if required.

The Trustees are satisfied that the programmes operating through the Trust have been effective, given the resources. Representatives are pleased that the Beacon Awards Programme has continued to retain and attract the support of external sponsors and that the balance for the Beacon Awards is healthy at the end of the 12-month period.

The AoC Beacon Awards were set up in 1994 to recognise and promote the interdependence of further education colleges and business, professional and voluntary sector organisations to their mutual advantage. The Student of the Year Awards came within the Trust activities in 2017 following a review of all AoC Awards and the need to ensure consistency and rigour.

4

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Trustees (continued)

In the year ending 31 March 2025, ten Beacon Awards were offered along with six Student of the Year categories. The FE Hall of Fame award was launched, replacing the previously names Gold Awards. Three external projects were run and 50 places on the AoC Student Governor Summit were funded.

Beacon Awards

One award was dropped for the 24/25 Beacon Award cycle due to low application numbers and no sponsorship; an additional two new award categories were added. Remaining sponsors were engaged in the process and awards with the Beacon Award sponsors showing commitment through being part of the assessor team. Sponsors agreed with longer lead times and responded positively on the new dissemination activities. Changes to the assessment process are reviewed annually and improvements made.

An annual review of the sponsorship packages and costs has taken place, ensuring that there is a consistent approach with all sponsors. New sponsors are being sought for future awards.

177 applications across 99 colleges were received for Beacon Awards and following an independent two-stage assessment process through the autumn of 2024 and moderation in February 2025 by the AoC Chief Assessor, nine Beacon award winners were recommended. In one award category no winner was selected. These decisions were ratified by the Trust Board. The winners were announced during a ceremony in London in March 2025.

The Beacon Awards remain a central aspect of Trust strategy to celebrate and promote the great work of colleges and their staff.

Student of the Year awards

Student of the Year awards received 261 nominations, across 121 colleges and following a rigorous judging process 14 progressed to finalist stage. These awards are a celebration of the achievements of exceptional individuals from colleges across England. Colleges provide a fantastic array of opportunities for people to help them achieve their ambitions, maximise their talent and to progress in life, learning and work. This is an opportunity for the Trust to recognise outstanding students who deserve recognition and who will go on to inspire others and/or who have gone above and beyond in college, their local community or in extra-curricular activities. The six winners were announced at the AoC Annual Conference in November 2024 as well as invited and celebrated at the AoC award celebration event in March.

FE Hall of Fame

The AoC Gold Awards for Further Education College Alumni has been managed by the Charitable Trust since 1996. In 2020 Trustees agreed these would not be run until the format could be revised. In September 2024 after Board approval, the AoC Gold Awards were reintroduced under a new name, FE Hall of Fame, along with a revised focus. The FE Hall of Fame honours outstanding contributions made by further education alumni. Colleges across the UK are invited to nominate individuals who have completed qualifications at their institutions.

5

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Trustees (continued)

Each year, up to three alumni will be selected, highlighting those who have become true champions of the further education sector. We are seeking nominations for alumni who have had recent, instrumental, tangible links with their college, who have made substantial contributions to their sector, continue to influence FE positively and create role models of success that are rooted in colleges. We received 21 eligible applications, three winners were selected and announced in December 2024, and celebrated at the March awards ceremony. Subsequent events were held at their colleges in the spring of 2025.

Projects

The Trust has had three live projects this year, that are managed by the AoC projects team.

  1. Delivering green skills to Level 2 Construction students in London through local collaborative projects, funded by JP Morgan Chase Foundation, running October 2022 – August 2025, with a 2-year longitudinal study.

Two college groups have been commissioned to deliver the pilot projects in the London area with a focus on delivering green skills training to Level 2 construction students to help them progress into level 3 Apprenticeships and to support their progression into green jobs in the homes and building sector.

  1. Creative Arts in FE, funded by Copyright Licensing Agency and UAL Awarding Body, running January – November 2024. Closed within the 2024/25 period.

Programme gave FE students the chance to create their own piece of creative writing, photography, visual art or the spoken word in response to a brief set by UAL Awarding Body. The project focused on giving students an opportunity to creatively explore issues that are key to young people and their peers, alongside building their own creative practice and portfolios.

  1. Creative Writing in FE, funded by Copyright Licencing Agency, running January 2023 – March 2024. Closed within the 2024/25 period.

The programme encouraged students in FE to respond to a brief and submit a piece of creative writing. To allow students the opportunity to be inspired by author interviews, learn alternative processes and approaches, and build confidence to submit their work for inclusion in an anthology.

Student Governor Summit

The Trust offered to fund 50 places at the Student Governor Summit in November 2024. This new initiative contributes to the Trust purpose of advancing the education of 16+ year olds, offering participants the knowledge and tools necessary to make informed contribution to their institutions and the wider community. The programme aimed to enhance the governance skills of participants, providing student governors with crucial insights into governance within FE.

6

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Trustees (continued)

Use of Funds

The Trust intends to use current funds to make awards to winning colleges and students and to cover the cost of administration and management of the whole award process from inception to completion, this includes the design of awards and criteria, working with sponsors, the launch and publicity, the assessment teams and assessment process, the various reports and guides to support applicants and the celebratory events.

Risk management policy

During the year, the Trustees have considered major risks on an ongoing basis and taken appropriate steps as deemed necessary. Consideration has been given to a material drop in sponsorship for the Beacon Awards and a contingency plan has been put in place for this. A reduction in sponsorship would result in a reduction in awards available and therefore a reserve fund is built to cover the possibility of minimal sponsorship and the winding up of the Trust.

Financial review

During the financial year the principal funding sources were the sponsors of the Beacon Awards and Student of the Year awards, as listed in note 7, together with the Association of Colleges which provides funding for the Beacon Awards, Student of the Year awards and the general running of the Trust through the unrestricted fund. Total incoming resources for the year were £314,032, of which £94,475 relates to projects.

The bulk of the expenditure during the year relates directly to the management, assessment, promotion of the Beacon Awards programme, with the remainder covering the expenditure associated with the Student of the Year Awards, FE Hall of Fame, Student Governors and the development of the awards as a whole. Total resources expended for the year were £237,117, of which £94,475 relates to projects.

The financial outturn this year provided a net positive balance (surplus) of £76,915 and this has been added to reserves which on 31 March 2025 are £586,601.

Structure, governance and management

The AoC Charitable Trust’s Trustees shall be as follows:

7

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Trustees (continued)

The maximum permitted number of Trustees shall be 11 including ex officio members.

New Trustees are recruited through a consultation process with the Trust and relevant stakeholders, led by the Chair and senior AoC staff, and their appointments must be approved by a quorate meeting of the Trust.

The term of office for appointed Trustees is four years. Trustees serve a maximum of two fouryear terms, subject to re-appointment by the Trust. Their re-appointment for a second four-year term is not automatic and is formally determined by the Trust at a scheduled meeting. Trustees may only be considered for re-appointment beyond two terms in exceptional circumstances if they have special skills that would be otherwise hard to find; or if their experience on the Trust is required to balance out the relative inexperience of new Trustees, and, in any case, only if they have demonstrated excellent commitment to the Trust in terms of attendance and contribution at meetings.

Ex officio Trustees can be Trustees so long as they remain in post and comply with relevant Charity Commission regulations.

The Chair is appointed by AoC Board, and the Vice-Chair is elected by Trustees at a quorate meeting of the Trust.

The term of office for the Chair is four years, and they may be re-appointed for a second fouryear term, subject to AoC Board approval. Any term of office as Trustee shall not count towards the maximum term of office of the Chair. In February 2025 it was confirmed that the Chair would continue until July 2026.The term of office of the Vice-Chair match their term of office as an appointed Trustee. Their re-appointment for a second term as Vice-Chair is not automatic and is formally determined by the Trust at a scheduled meeting.

Key management personnel remuneration

The Trustees consider the Board of Trustees as comprising the key management personnel of the charity in charge of directing and controlling the charity and running and operating the charity on a day-to-day basis. All Trustees give of their time freely and no Trustee remuneration was paid in the year. Details of Trustee expenses and related party transactions are disclosed in note 3 and note 8 to the accounts.

Trustees are required to disclose all relevant interests and register them with the Board of Trustees and, in accordance with the Trust’s policy, withdraw from decisions where a conflict of interest arises.

The pay of the charity’s director is initiated by the holding company of the trust, Association of Colleges, and as such is reviewed annually and normally increased in accordance with average earnings and performance. Salary is set and reviewed by Association of Colleges and benchmarked against salaries within the organisation to ensure it is fair and not out of line with that generally paid for similar roles.

8

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Trustees (continued)

Reserves policy

The Trustees have reviewed the financial position at year end. This review encompassed the nature of the income and expenditure. The review concluded that to allow the charity to be managed efficiently and to provide a buffer for uninterrupted services, a minimum reserve equivalent to £190,000 should be maintained. This equates to approximately twelve months of expenditure and covering costs of awards where sponsorship cannot be obtained but Trustees choose to continue them.

During the year, the charity’s reserves, including restricted funds, increased from £509,686 to £586,601. As the bulk of the Trust’s activities relate to restricted funds, the Trustees feel it is appropriate to maintain reserves to facilitate an orderly wind-up of each separate area of activity should the need ever arise.

Public benefit statement

Within the accounting period, 10 AoC Beacon Awards were provided, and 177 applications received. A team of independent assessors worked within a two-stage assessment process between September 2024 and January 2025. The winning colleges were ratified by the Board and were announced in March 2025. The Awards recognise outstanding teaching and learning in colleges and there is potential for all colleges in the sector to benefit from the dissemination of good practice evidenced by the winning college. Six Student of the Year Awards were provided with 261 nominations. Reintroduction of the FE Hall of Fame celebrating alumni that have tangible and impactful connection with the college they attended as a student. Three winners were selected from 21 college submissions. Three externally funded projects that vary in topic, but all enhance the education of post 16 students were overseen. Funding student places on the Student Governor Summit was conducted for the first time.

This directly benefits the public since colleges can replicate the award-winning practice, thereby enhancing the quality of learning and support given to learners across the country. The Trustees have paid due regard to the Charity Commission’s guidance in reviewing the Trust’s aims and objectives.

Statement as to Disclosure of Information to Auditors

The Trustees who were in office on the date of approval of these financial statements have confirmed, as far as they are aware, that there is no relevant audit information of which the auditors are unaware. The Trustees have confirmed that they have taken all the steps that they ought to have taken as Trustees to make themselves aware of any relevant audit information and to establish that it has been communicated to the auditor.

9

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Auditor

Bishop Fleming has indicated its willingness to continue in office.

M White Chair 10 July 2025

10

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Statement of Trustees’ Responsibilities

The Trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The laws applicable to charities in England & Wales and Scotland require the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008, the provisions of the trust deed, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the charity's constitution. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

11

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Independent Auditor to the Trustees of the AoC Charitable Trust

Opinion

We have audited the �nancial statements of The Association of Colleges Charitable Trust for the year ended 31 March 2025, which comprise the statement of Statement of Financial Activities, the Statement of Financial Position, the Statement of Cash Flows, and the related notes, including a summary of signi�cant accounting policies. The �nancial 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).

The �nancial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

This has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice e�ective for reporting periods beginning on or after 1 January 2015.

In our opinion the �nancial statements:

Basis for opinion

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

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Trust’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.

12

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Independent Auditor to the Trustees of the AoC Charitable Trust

(continued)

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

Other information

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

We have nothing to report in this regard.

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:

Responsibilities of Trustees

As explained more fully in the Trustees' Responsibilities Statement, 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 Trust’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 Trust or to cease operations, or have no realistic alternative but to do so.

13

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Independent Auditor to the Trustees of the AoC Charitable Trust (continued)

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 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.

The extent to which the audit was considered capable of detecting irregularities, including fraud

We have been appointed as auditor under section 152 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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

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

In assessing the risk of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following.

14

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

fraud might occur in the financial statements and any potential indicators of fraud.

Report of the Independent Auditor to the Trustees of the AoC Charitable Trust (continued)

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud, which included incorrect recognition of revenue, management override of controls using manual journal entries, purchase ledger, and identified the greatest potential for fraud as incorrect recognition of revenue and management override using manual journal entries.

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

We identified and obtained an understanding of the laws and regulations that are of significance to the Charity by discussions with Trustees and by updating our understanding of the sector in which the Charity operates in. Laws and regulations that are of direct significance to the Charity and of which non-compliance could result in material misstatement are the Charities Act, Charities SORP and tax legislation. In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Charity’s ability to operate or to avoid a material penalty.

Our procedures to respond to risks identified for the Trust, as necessary, included the following:

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

15

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Report of the Independent Auditor to the Trustees of the AoC Charitable Trust

(continued)

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from an error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it.

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

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. 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 Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Mark Munro FCA (Senior statutory auditor) for and on behalf of

Bishop Fleming Audit Ltd

Chartered Accountants Statutory Auditors Brook House Clyst St. Mary Exeter Devon EX5 1GD Date: 23/10/2025

16

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Statement of Financial Activities

for the year ended 31 March 2025

Note
Income and Endowments
Donations
Beacon Awards
FE Hall of Fame
Student of the Year
Green Skills
Creative Writing
Creative Arts
Other voluntary income
Investment income
Interest on deposits
Total income
Expenditure
Costs of raising funds
Printing, postage and couriers
Fundraising and Publicity
Total costs of raising funds
Expenditure on charitable activities
2
Beacon Awards
FE Hall of Fame
Student of the Year
Student Engagement
Green Skills
Creative Writing
Creative Arts
General
Total expenditure
Net income before transfers
Transfers
Net movement of funds
Reconciliation of funds
4 & 5
Total funds brought forward
Total funds carried forward
Unrestricted
funds
Restricted
funds
Total funds
2025
Total funds
2024
£
£
£
£
-
116,000
116,000
114,500
-
3,000
3,000
-
-
22,125
22,125
22,500
-
88,960
88,960
210,478
-
-
-
4,346
-
5,515
5,515
289
25,000
-
25,000
1,714
8,015
45,417
53,432
49,860
33,015
281,017
314,032
403,687
-
131
131
183
-
18,976
18,976
13,795
-
19,107
19,107
13,978
-
100,894
100,894
91,433
-
719
719
-
-
14,010
14,010
13,564
2,139
-
2,139
-
88,960
88,960
210,478
-
-
-
4,346
-
5,515
5,515
289
5,773
-
5,773
506
7,912
210,098
218,010
320,616
7,912
229,205
237,117
334,594
25,103
51,812
76,915
69,093
120,000
(120,000)
-
-
145,103
(68,188)
76,915
69,093
94,795
414,891
509,686
440,593
239,898
346,703
586,601
509,686

The notes on pages 20 to 30 form part of these financial statements. The Trust has no other recognised gains or losses other than the net movement in funds for the period.

17

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Statement of Financial Position

as at 31 March 2025

Note 2025 2024
£ £
Current assets
Debtors: amounts falling due with 1 year 10 3,625 12,722
Cash at bank and in hand 1,063,962 1,076,157
1,067,587 1,088,879
Current liabilities
Creditors: amounts falling due within 1 year 11 (480,986) (579,193)
Net assets 586,601 509,686
Funds
5
Unrestricted 239,898 94,795
Restricted 346,703 414,891
Total funds 586,601 509,686

The notes on pages 20 to 30 form part of these financial statements.

The financial statements were approved and authorised for issue by the Board of Trustees on 10[th] July 2025 and were signed on its behalf by:

P Brophy

Trustee

10 July 2025

The Association of Colleges has the power to amend the financial statements after issue

18

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Statement of Cashflows
as at 31 March 2025
Notes
Operating activities
Cash generated/(used) from operations
9
Net cash used in operating activities
Investing activities
Interest received
Net cash from investing activities
Net increase/(decrease) in cash and cash
equivalents
Cash & cash equivalents at beginning of year
Cash & cash equivalents at end of year
2025
£
(65,627)
(65,627)
53,432
53,432
(12,195)
1,076,157
1,063,962
2024
£
220,738
220,738
49,860
49,860
270,598
805,559
1,076,157
2024
£
220,738
220,738
49,860
49,860
270,598
805,559

19

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes

(Forming part of the financial statements)

1 Accounting Policies

The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the Trust’s financial statements.

Basis of Preparation and assessment of going concern

The financial statements have been prepared in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition effective 1 January 2019) – (Charities SORP (FRS 102)), the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended).

The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts.

The trust constitutes a public benefit entity as defined by FRS 102.

The Trustees have received no indication from any sponsors that they will not continue their sponsorship and therefore forecasted expenditure will be covered by sponsorship for the next 12 months. The Trust also has adequate cash balances to settle liabilities as they fall due. Therefore, the Trustees consider that there are no material uncertainties about the Trust’s ability to continue as a going concern.

Funds Structure

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by the donor or trust deed. There are three restricted funds in the Trust, Beacon Awards Fund, Gold Awards Fund and the Student of the Year Fund. Unrestricted funds comprise those funds which the Trustees are free to use for any purpose in furtherance of the charitable objects.

Further details of each fund are disclosed in note 4.

Income recognition

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received, and the amount of income receivable can be measured reliably. Donations from sponsors are recognised when the Trust has been notified in writing of the amount and an invoice has been raised to the donor. Where donations are made from individuals or via an auction, income in recognised when received. In the event that a donation is made in a prior financial year to that it is intended, the income is deferred and not recognised until the date the donor has requested. Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

20

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that settlement will be required, and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accruals basis. All expenses including support costs and governance costs are allocated or apportioned to the applicable expenditure headings. For more information on this attribution refer to note 2 below.

Grants payable are payments made to third parties in the furtherance of the charitable objects of the Trust. They are accrued once the recipient has been notified of the grant award.

Allocation of support and governance costs

Support costs have been allocated between governance costs and other support costs. Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to statutory audit and legal fees together with an apportionment of overhead and support costs. Governance costs and support costs relating to charitable activities have been apportioned based on the ratio of income in the relevant financial year. The allocation of support and governance costs is analysed in note 2.

Costs of raising funds

The costs of generating funds consist of fees for printing and posting the Beacon Award and FE Hall of Fame certificates, as well as marketing fees across all Awards.

Charitable activities

Costs of charitable activities include grants made, governance costs and support costs as shown in note 2.

Taxation

The Trust was registered as a charity in 1993. Under 471-489 of CT Act 2016 and 256 of Chargeable Gains Act 1992 the Trust is not subject to taxation on its charitable activities.

Pension Scheme Arrangements

All employees of AoC Charitable Trust are contractually employed by the parent company (AoC). Therefore, the pension liability has been recorded in the accounts of the parent company. Employees could elect to be members of the London Pensions Fund Authority (LPFA) pension fund (defined benefit) or Flexible Retirement Plan (defined contribution), however membership of the LPFA was closed in December 2024. On commencement of employment, employees now automatically become members of the FRP pension scheme, with the option to opt out.

Financial Instruments

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

21

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

Financial assets and financial liabilities are recognised when the Charity becomes a party to the contractual provisions of the instrument and are offset only when the Charity currently has a legally enforceable right to set off the recognised amounts and intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Financial Assets

Trade Debtors - Trade debtors which are receivable within one year and which do not constitute a financing transaction are initially measured at the transaction price. Trade debtors are subsequently measured at amortised cost, being the transaction price less any amounts settled and any impairment losses.

Financial Liabilities

Trade Creditors - Trade creditors payable within one year that do not constitute a financing transaction are initially measured at the transaction price and subsequently measured at amortised cost, being the transaction price less any amounts settled.

Derecognition Of Financial Assets and Liabilities

A financial asset is derecognised only when the contractual rights to cash flows expire or are settled, or substantially all the risks and rewards of ownership are transferred to another party, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. A financial liability (or part thereof) is derecognised when the obligation specified in the contract is discharged, cancelled or expires.

22

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

2 Charitable Activities

2
Charitable Activities
2025
Beacon Awards
FE Hall of Fame
Student of the Year
Green Skills
Creative Arts
Student Engagement
General
2024
Beacon Awards
Gold Awards
Student of the Year
Green Skills
Creative Writing
Creative Arts
General
Governance & support costs
Wages and salaries
Meetings
Other travel expenses
Audit
Bank charges
Governance & support costs
Wages and salaries
Meetings
Other travel expenses
Audit
Bank charges
Grants
payable
£
-
-
1,980
-
-
-
-
Consultancy
Support
costs
Project
Costs
Total 2025
£
£
£
£
41,952
58,942
-
100,894
-
719
-
719
-
12,030
-
14,010
-
-
88,960
88,960
-
-
5,515
5,515
-
2,139
-
2,139
-
5,773
-
5,773
1,980 41,952
79,603
94,475
218,010
Grants
payable
£
696
-
2,252
-
-
-
-
Consultancy
Support
costs
Project
Costs
Total
2024
£
£
£
£
37,182
53,554
-
91,433
-
-
-
-
-
11,312
-
13,564
-
-
210,478
210,478
-
-
4,346
4,346
-
-
289
289
-
506
-
506
2,948 37,182
65,372
215,113
320,615
Unrestricted
Restricted
2025
4,950
28,050
33,000
-
26,183
26,183
383
17,106
17,489
394
2,231
2,625
46
260
306
5,773
73,830
79,603
Unrestricted
Restricted
2024
300
29,700
30,000
108
27,136
27,244
69
5,199
5,268
25
2,475
2,500
4
357
360
506
64,866
65,372

23

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

Basis of Apportionment

Governance and support costs are apportioned based on the ratio of income of each fund for the financial year to which it relates. This recognises the amount of relevant expenditure in comparison for each fund.

3 Staff Numbers and Costs

For the year ending 31 March 2025 there were no direct staff within AoC Charitable Trust. There is a recharge of £33,000 from AoC to cover costs relating to admin, finance and management staff that work on behalf of the Trust (2024: £30,000 was paid to AoC).

No Trustees received any remuneration for their role as a Trustee. One Trustee received reimbursement for travel expenses of £160 (2024: £nil).

4 Movement of Funds

Restricted funds
Beacon Awards admin.
FE Hall of Fame
Student of the Year
Green Skills
Creative Arts
Total restricted funds
Unrestricted funds
Total
1 April
2024
Income
Transfer
Expenditure
31 March
2025
£
£
£
£
375,980
153,402
(120,000)
103,658
305,724
20,732
4,069
-
9,775
15,026
18,179
29,071
-
21,297
25,953
-
88,960
-
88,960
-
-
5,515
-
5,515
-
414,891
281,017
(120,000)
229,205
346,703
94,795
33,015
120,000
7,912
239,898
509,686
314,032
-
237,117
586,601

Interest received on restricted funds is apportioned across all income streams (excluding projects) based on the income percentage. This percentage is also used to apportion certain overheads to the various awards expenditure streams active during the year (excluding projects).

AoC agreed, during the year, to transfer £120k of its administrative donations from Beacon Awards to General reserves to enable the trust to use the reserves more broadly and fulfil it’s strategic objectives.

Purpose of Funds

The AoC Beacon Award sponsorship is used to cover the cost of design of the awards and criteria, working with sponsors, launch and publicity, the independent assessment team, administration, publications, and celebration events.

24

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

An amount is also made available to cover the cost of hosting the finalist announcements at the AoC Annual Conference and the winner’s announcements and celebratory event later in the year.

The Student of the Year Awards are funded through sponsorship. The funding is used for the administration of the awards including assessment, event celebration, prize money and PR. They are designed to celebrate the work of colleges in supporting students of all ages and abilities and to raise the profile of the further education sector by rewarding students of FE colleges who have overcome significant personal challenges with ambition.

The reinstatement of the FE Hall of Fame was funded via a combination of a contribution from AoC and reserves from the Gold Awards. The funding was used for marketing and branding.

The funding for projects is used to deliver the contracted key performance indicators and funding requirements along with covering the project management resources and all expenditure over the life of the projects.

Unrestricted funds were used to fund places on the Student Governor Summit in November 2024.

The unrestricted funds are those funds that the Charity has received that were not for specific purposes and as such are held as unrestricted funds.

5 Analysis of Net Assets between Funds

Fund balances as at 31 March 2025 are
represented by:
Cash at bank and deposits
Creditors
Net amount owed by group companies
Accruals
Deferred Income
Total
Fund balances as at 31 March 2024 are represented by:
Cash at bank and deposits
Debtors
Creditors
Net amount owed by group companies
Accruals
Deferred Income
Total
Unrestricted
funds
Restricted
funds
Total
£
£
£
239,898
824,064
1,063,962
-
(2,624)
(2,624)
-
1,700
1,700
-
(13,240)
(13,240)
-
(463,197)
(463,197)
239,898
346,703
586,601
Unrestricted
funds
Restricted
funds
Total
£
£
£
94,795
981,362
1,076,157
-
12,500
12,500
-
-
-
-
222
222
-
(4,810)
(4,810)
-
(574,383)
(574,383)
94,795
414,891
509,686

25

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

6 Audit Services

Fees payable to Bishop Fleming and its associates in respect of both audit and non-audit services are as follows:

2025 2024
£ £
Audit services – statutory audit of the charity 2,625 2,500

26

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

7 List of winning and finalist colleges for 2024-25 Awards

Beacon Awards:

----- Start of picture text -----
Beacon Award
name College
The Sustainable
Energy First Award
for Education for Winner: South West College
Sustainable Finalists: Hull College and West Suffolk College (Eastern Education
Development Group)
The Careers &
Enterprise
Company Award
for Excellence in
Careers and Winner: Waltham Forest College
Enterprise Finalist: Capital City College Group (City and Islington College)
The RCU Award for
Support for Winner: Wirral Met College
Students Finalists: Plumpton College and Barnet and Southgate College
The City & Guilds
Award for College
Engagement with Winner: Salford City College
Employers Finalist: Solihull College & University Centre
The NOCN Award
for Mental Health Winner: Salford City College
and Well Being Finalists: The College Merthyr Tydfil and Waltham Forest College
The Jisc Award for
Effective Use of
Digital Technology Winner: City College Plymouth
in FE Finalists: Basingstoke College of Technology (BCoT) and USP College
The Edge Award for
Excellence in Real Winner: Walsall College
World Learning Finalists: Bradford College and Plumpton College
The AoC Award for
Widening Winner: EKC Group
Participation Finalists: New College Durham and South Eastern Regional College
The Bell Foundation
Award for Winner: Bradford College
Excellence in ESOL Finalists: New College Durham and Nottingham College
The British Council
Award for
Excellence in
International Work Finalists: Coleg Cambria and NCG – Newcastle College
----- End of picture text -----

27

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

Student of the Year Awards:

----- Start of picture text -----
Student of the Year
Award name College
Adult Student of
the Year Award,
sponsored by Winner: Northampton College
Cidori Finalists: London South East Colleges and Nottingham College
Apprentice of the
Year Award, Winner: Exeter College
sponsored by AoC Finalist: Nelson & Colne College Group
Young Student of
the Year Award (16
to 18-years-old) Winner: Leicester College
sponsored by Edge Finalist: Barnsley College
Student Green
Commitment
Award, sponsored Winner: Newcastle College University Centre
by NOCN Group Finalist: Trafford & Stockport College Group (TSCG)
Higher Education
Student of the Year
Award, sponsored Winner: Brooklands Technical College
by AoC Finalist: NCG – Newcastle College University Centre
AQA Project Winner: NSCG Newcastle College
Excellence Award Finalists: Christ the King Aquina and Christ the King St Mary’s
----- End of picture text -----

The Beacon Awards are made to winning colleges following a rigorous two-stage application and moderation process, this includes an assessor team visit to the finalist colleges. The team of independent assessors is managed by the Trust Manager and overseen by the Chief Assessor and Trust Director; a lead assessor for each award is appointed and supported by either an additional assessor and/or sponsor assessor. Each application is assessed by the lead assessor and team; the lead will detail their team’s observations, grade the applicants at each stage and submit to the Chief Assessor. Following moderation at each stage, those being commended, becoming a finalist, or winning an Award are ratified by the Trust Board.

The assessor team is refreshed each year by inviting the previous year’s winning college of an award category to nominate a member of staff to join the team. The team can also include a sponsor assessor.

The Student of the Year awards are made to winning colleges after shortlisting is carried out by AoC staff, with selection of winners and runner ups made by representatives of the Trust Board.

28

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

8 Related Party Transactions

The Association of Colleges (Company number 03216271), the ‘parent’ company which is also the ultimate controlling party and representative body for further education and sixth form colleges in England, Wales and Northern Ireland, together with its trading subsidiaries AoC Services Ltd and AoC Sport, make up the group. The Association of Colleges (AoC) was created in 1996 as the single voice to promote the interests of incorporated further education and sixth form colleges in England and Wales. Details of the principal activities are provided in the AoC Strategic Report. AoC exists to represent and promote the interests of colleges and to provide members with professional support services. The Association of Colleges donated £40,000 to the Trust (2024: £40,000).

All employees are employed by the Association of Colleges and recharged to the respective entities. A recharge of £33,000 was made to the Trust from AoC to cover staff costs (2024: £30,000). Accommodation charges for the Trust are met by the Association. A recharge of £2,625 was made to the Trust from AoC to cover audit costs (2024: £2,500). £5,676 of staff expenses were charged to the Trust from AoC during the year (2024: £5,958). A recharge of £48,431 was made to the Trust from AoC to cover salary costs for Philip Parle who is working on the Green Skills project (2024: £45,630).

AoC Services provides assistance at the Association’s annual conference for the announcement of the finalists for the Beacon Awards and winners of the Student of the Year awards. The costs for this are covered by sponsorship secured by AoC Services as part of the overall annual conference programme. However, accommodation recharges totalling £1,925 (2024: £2,250) were paid. AoC Services managed the Celebratory event in March 2025 for which a recharge of £6,625 has been taken (2024: £8,650). A recharge to AoC Services of £463 was incurred for attendance at the Annual conference as part of ongoing project work within the Trust (2024 £90 for English & Maths conference) and a further £563 for use of the ICC AV team.

9 Reconciliation of net income to net cash generated from operations

Net income
Interest receivable
Decrease in trade and other debtors
Increase in trade and other creditors
Cash generated by operations
Cash and cash equivalents
Cash and cash equivalents represent:-
Cash at bank
2025
2024
£
£
76,915
69,093
(53,432)
(49,860)
9,097
7,109
(98,207)
194,396
(65,627)
220,738
1,063,962
1,076,157

29

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

10
Debtors: amounts falling due within one year
Trade debtors
Amounts owed by group
Total
11
Creditors: amounts falling due within one year
Amounts owed to group
Trade creditors
Accruals
Deferred Income
Total
10
Debtors: amounts falling due within one year
Trade debtors
Amounts owed by group
Total
11
Creditors: amounts falling due within one year
Amounts owed to group
Trade creditors
Accruals
Deferred Income
Total
2025
£
-
3,625
2024
£
12,500
222
3,625 12,722
2025
£
1,925
2,624
13,240
463,197
2024
£
-
-
4,810
574,383
480,986 579,193

There is an decrease in deferred income as the Trust has two projects (2024: three) underway that will span over into 25/26, hence income has been deferred to cover expenditure incurred in 25/26.

30

The AoC Charitable Trust Annual report and financial statements for the year ended 31 March 2025

Notes (continued)

12 Statement of financial activity 2024 breakdown Statement of financial activity 2024 breakdown
Unrestricted Restricted Total funds
funds funds 2024
£ £ £
Income and endowments
Donations
Beacon Awards admin. donations - 114,500 114,500
Student of the Year donations - 22,500 22,500
Green Skills - 210,478 210,478
Creative Writing - 4,346 4,346
Creative Arts in FE - 289 289
General 1,714 - 1,714
Investment income
Interest on deposits 499 49,361 49,860
Total income 2,213 401,474 403,687
Expenditure
Costs of raising funds
Printing, postage and couriers - 183 183
Fundraising & publicity - 13,795 13,795
Total costs of raising funds - 13,978 13,978
Expenditure on charitable activities
Beacon Awards - 91,433 91,433
Student of the Year - 13,564 13,564
Green Skills - 210,478 210,478
Creative Writing - 4,346 4,346
Creative Arts in FE - 289 289
General 506 - 506
506 320,110 320,616
Total expenditure 506 334,088 334,594
Net income before transfers 1,707 67,386 69,093
Transfers - - -
Net movement of funds 1,707 67,386 69,093
Reconciliation of funds
Total funds brought forward 93,088 347,505 440,593
Total funds carried forward 94,795 414,891 509,686

31