REGISTERED COMPANY NItMBER: 03513280 (England and Wales) REGISTERED CHARtTY NUMBER: 1071609 Grou Re ort of the Trustees and Consolidated Financial Statements r the Year Ended 31 March 2024 for aritime + En ineerin Colle e North West Haines Watts Sialutory Auditor 3rd Floor Pacific Chambers 11-13 Victoria Street Livetyool Merseyside L2 5QQ
Ivlaritin]e + En ineerin Colle(ye North West Contents of the Financial Statements for the Year Ended 3 1 March 2024 Page Report of the Trustee5 I to 5 Report of the Independent Auditors Consol(dated Statement of Financial Activities Consolidated Balance Sheet io Consolidated Cash Flow Statement Notes to the Cash Flow Statement 12 Notes to the Financial Statements 13 to 20
MaritiEne + En ineerin Colletse North West ort of the Trustees for the Year Ended 31 March 2024 The trustees who are also directors of the charity for the purposes of the Cotnpanies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2024. The trustees have adopted the provisions of Ac¢ounting and Reporting by Charities- Statement of Recotntnended Practice applicable to charitieg preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective l January 2015). As a charity registered in England and Wales, the charitable company also reports in aecordance with the Charity Commission for England and Wales, guidance on public benefit and the Charities Act 2015. OB,TF,CTIVES AND ACTIVITIES Objectives aims The principal activity of the company in the year under review was that of the provision. through partnership, of technical training in engineerin& manufacturing, construction and related skills, primarily through apprentic&ships. MECNW (trading as The Engineering College) is a Group Training Association (GTA). GTAS are employer led, charity based industrial training companies, set up by the local engineering business community to meet their collective technical skills and educational needs. MECNW is one of the leading GTAS in a national network of approximalely 30 similar GTA organl&2ti(S across England. Signif]eAnt activities MECNW (The Engineering College) is an innovative education, training and enterprise centre, whidL has an extensive raiige of well-equipped engineering manufacture and Construction workshops. as well as CADI CAM/ IT and Simul¢ltion suitcs. Adjacent classrooms are outfitted with information technology equipmeiit to enable corripuler-dided design and web-based learning and research to complement the hands-on training in an overall design and make" process. MECNW as a GTA also offers teehnical training and assessment to the clients existing workforce on a conimercial basis to support the Énainstream charitable activity by providing a conduit for young people to access high value careers in the engineering sectors. Education and training programmes are fiuther enhAnced by tlie availability of the dry dock facility, which has dire acces5 from the River Mersey. MBCNW (The Engineering College) xs therefore a uniqu¢ training provider, which enables services to be offered to meel the challengyng demands of employers in the 21st century, Public benefit In planning its objectives and activilies for the year ended the charity has kept in mind the Charity Commission guidance on public benefit at its trustees, meetings. The charity's objectives are to develop technical skills through education at)d training courses. The charity asS15ts many young people to gain employment through apprenticeships and subseqiiently to develup industry related skills, obtain relevanl qualifications and in turn contribute to the engineering community as skilled labour. Pre-employment programmes which include tethnical skills development al'e also offered to improve employment prosperts for other young people awaiting an apprenticeship opportunity. Page I
Maritime + En eerin Colle e North West ort of the Trustees for the Year Ended J l March 2024 STRATEGIC REPORT Achievement and performanee Charitsble activitie3 MECNW cfhe Engineering College): is a centre of excellence, which meets employer demand for quality training and works in partnership for mutual benefit. The core produ& is Advanced and Higher Apprenticeship5 delivered in accordaELce with apprenticeships Standards within the engineering, manufacturing. enEineering-construetion, and the energy sectors. Pre-apprenticeship courses support progression into apprenticeships and employment. There is also a range of cornmercial pro8ran]mes for those in employment within the ene( eering. manufaeturintt encTineering construction and ener8y sectors. 15 a currently graded 3 (require5 irnprovement) under Ofsted's cwrent inspection framework, and retains many of its outstanding features including excellent skills developrT)ent for learners. excellent facilities; very good health and safety practice and very effective partnership working with employers at local, regional and national levels. retains its Investors in People Gold status for the third consecutive assessment and is approved and accredited by a range of professional bodies and institutions within the sectors covered including IET, IMechE, IMarEsl, City&Guilds, EAL, ECITB, Pearson Group, and the Welding Institute (TWI) is an active and leading member of GTA England (Group Training Associations), with representation by the 0 on the trx)ard of directors of the national network of ¢30 companies of similar business rnodels which includes the training divisions of s¢v¢ral multi-national maniifa¢turing businc5ses. MECNW (Th¢ Engin¢cring College) performs in the upper quartile for financial performance and leads in the development of good and innovative practices. has developed a commercial wclding centre which has endorsements and approvals from the Ivelding Institute and ha5 opened a cr05S sector skills technical skills training and as5essm¢nt centre which offers technical assessment services attoss the country to other apprentice training providers. has invested significantly in new technology and virtual reality suites to service the advanced manufacturing, digital technologies sectors, aligning the business to the aspirations of the LCR Local Enterprise Partnership (Manufacturing) is working iii partnership witl) Eov¢i'ntn¢nt and employers iii the Grand Baliamas to develop and deliver innovative technical apprenticeships and technical assessments of existing staff in heavy engineering. MECNW (The Engineering College) is not just another training provider with excellent facilities. It act5 as a genuine onduit for the local ¢i)mrnunity to a¢s5 real jobs in se¢tors off¢ring rewarding careers for a qualified workforc¢ and acts in many respects a5 the voice of the en£ineering, manuf&ctwin& construction and energy sectors in the local commiinity. Innovation in developing skills solutions is very much & part of the Company's portfolio of services and MECNW (The Engineering College) is in the vanguaTd of national developments working in a range of employer representative groups (formerly Call Trailblazers) with large employers and govemmeni staff to create the new Apprenticeship Standards for England. MECNW (The EnLyincei'itig Collcgc) has dLlivered over circa 1500 new young Lngineers to thc sector so far and is growing by reputation to be the training provider of choice for the local engineering, manufathuring, construction and energy sectors An the Liverpool City Region and wider North West. MECNW Ohe Engineering College) and is intluential in the local engineering and rther education Communities and respected by the sector for strong employer engagement, strategic leadership and innovative approaches to developing new solutions for clients. Financial revi¢iv Principal funding sources The principal fijnding source of MECNW (The Engineerino College) is the Education and Skills FundiniF Agency (ESFA) and the Apprenticeship Levy (administered by ESFA). Page 2
Maritime + En ineerin Colle e North West ort of the Trustees for the Year Ended 31 March 2024 STRATEGIC REPORT FinaDCi81 reTriew Rèserves policy The trustees of the charity recognise that there will be fluctuations in the ¢hariulls income, which Can often be as a result of events outside their control. It is the policy of the trustees to build up and mainÉain a sufficient level of reserves to enable the charity to continue and to allow it to explore and secure altemative levels of funding should unexpected events occur. The wesent fijnding arrangements are generally agreed in advance for the following twelve months. There Can however be delays in receiving fvnds and in addition some of the commercial aspects of the charity's activities are not known with certainty in advance. For the reasons, the trugtees Gonsider that reserves should be held at a level to enable the Charity to continue for a minirnum of four months without additional sources of revenue. Unrestricted ndS at the year end total £1, 110,451 of which £385,940 related to fixed assets. STRUCTURE, GOVERNANCE AND MANAGEMENT Governing doellment The company is a registered charity and a company lirnited by guarantee. It was incorporated on 13 February 1998 and 15 governed by ils Memorandum and Articles of Association. Tradlng Dame - 'The E.ngineering College, Whilst Maritime and EnginLcring College 'North West remains the registered company name at Companies House and with The Charity Commission, the company operates under the trading name 'fhe Engineering College,. RtcruitmeDt and appointment of new trustees The Board keeps the skill requirements for the Trustee Body under review and in the event that a trustee pemwiently retires or additional new trustees are i'equiied, the Board sets up a nominations sub-¢ommittee to recruit the new truslee(s). New trustees may be appointed through dialogue with the major tllstitutions Wlth whi¢h the coinpany engages. Or£aDisAtiODal structure 'The Trustees listed below were the members of the company, and represented the interests of Wirral Borough Council, the Lairdside area and the private sector. The trustees are appoint¢d by the Board. There is no maximum niimber but the minirnum number is three (agreed at the Board review in Autumn 2020). The truste meet approximately four times per year, and at their meetings agree the bri)ad strategy and areas of activity of the company, including consideration of investment, reserves and risk management policies and performance. The day to day athninistration of the company is delegated to the Chief Executive offir. New Memorandum and Articles weTe filed at Companie5 House in 2021. The new MemoranduTn and Articles stste Éhat all Trustees are on appointment the Members of the Company. Environment The Engineering College ensures that it is compliant with Cuent legislation and maint&ins an up to date Environmental and Sustainability Policy to ensure that it is monitoring the intr(Kluction of new or modified legislation. The Engineering College works within the guidelines of the enforcing agencies for England and Wales. lllduction and training of new trustees The induction prwess for any newly-appointed trustee Compris an initial meeting with the Chair, the Board and ChÉef Executive Officer, followed by a series of short meetings with the Chief Executive. The welcome pack typically includes a brief history of the cOpanY, copy Board and sub-committee minutes, a copy of the last three yes, annual report and accounts, a copy of the Memorandum and Articl of Association and a copy of the Charity Cornrnis5ion's ouidance 'The Essential Trustee: What You Need to Know." Page 3
Maritime + En ineerin Colle e Notth West ort of the Truste¢5 for the Year Ended 31 March 2024 STRUCTURE, GOVERNAI4CE AIYD MANAGEIIIEf+tr- continued Related parties The charity has a subsidiary MEC North W¢st Entetyrises Limited, which operates certain trading aGtivities, The SUTplus. if any, generated by the subsidiary is given by way of gift aid, to tbe charity. REFERENCE AND ADMINISTRATIVE DETAILS Registered Company Dumber 03513280 (England and W&les) Registered Charity number 1071609 Reglstered office Finance Department 2nd Floor Monks Ferry Birkenhead CH415LH Trustees I C Higby Company Director Councillor L A Rennie Elected member (resi)ed l.10.23) Mrs K Podmor¢ Company Director (re8i8ned .31.7.2J) C A Lavelle Solicitor Mr5 M Barker A Evans M Hill CompAny Secretjry J S Weatherall Auditors Haine5 Watts Statutory Auditor 3rd Floor Pacific Chambers 11-13 Victoria Street Liverpool Merseyside L2 5QQ Bankers Lloyds Rank PLC Sw4nsLa Osc Epona House Phoenix Way Swansea SA7 9HG Solicitors BwmarLS LLP Exchange St8tion Tilhebam Street Liverpool L2 2QP Chief Executive Officer T W&ston Page 4
Maritime + En ineeTin Coll¢ e North West ort ofthe Trustees for the Year Endcd 31 March 2024 STATEMENT OF TRUSTEES, RESPONSIBILrrtES The trustees (who are also the directors of Maritime + Engineering College North West for the purposes of company law) are responsible for preparing the Report of the Trustees and the financi81 staternents in accordance with applicable law and United Kingdom Accounting Standards (Unitd Kinodoin Generally Accepted Accounting Practice). The report and accounts have been pr¢pared in accordance with the provisAons in the Compat]ies Acl 2006 relating to small companies. Company law requires the trustees to wepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and 0Up and of the llicoming resources and application of resources, including the income and expenditur4 of the charitable cornpany and group for that period. tn preparing those financial statements, the trustees are required to., select suitsble accounting policies and then apply them consistently; observe the methods and prinGiples in the Charity SORP; make judgements and estimates that are reasondble and prudent- State wheth¢i' applicable UK accounting standards have been followed, subject to any material departw¢s disclosed and explained in the financial statements; prepare the financial statements on the going concern basis unless it is inappropriat¢ to presume Ihat th¢ charitable company and group will ¢ontinu¢ in business. The trustees are responsible for keeping proper accounting records which disclose with reasonoble accuracy at any time the financial position of thc charitable compwiy ]d group and to enable them to ensure that the financial statements comply with the Cornpwiies Act 2006. They are alsv rusponsible for safeguarding the assets of the charitable compamy and heiice for taking reasonable steps for the preventiijn and detection offraud and other irregularities. In so far as the trustees are aware: there is no relevant audit information of which the charitable company's auditors are unaware. and the trusiees have taken a]1 steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information. AtrDITORS The auditors, Haines Watts, will be proposed for re-appoinlment at the forthcoming Annual General Meeting, This report has been prepared in accordance with the small cornpanies regime under the Cornpanies Act 2006. Report of the trustees, incorporatin8 & 5trategi¢ report, approved by order of the lrd of trustees, as the company directors, on . and signed on the board's behalf by: I C Higby- Trustee Page 5
R ort of the Ind endent Auditoi's to the Members of Maritirne + En ineerin Collette North West Opillion We have audited the financial statements of Maritime + Engineering College North Wést (the'charitable company,) and its subsidiary ('the Joup,) for the year ended 31 March 2023 which comprise the Statement of Financial Activities, the Balance Sheet. the Cash Flow Statement and notes to the financial staternents, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdorn Accounting Standards (United Kin8dorn Generally Accept Accounting Practice). In our opinion the financial statements- give a true and fair view of the state of the Group's and the charitable company's affairs as at 31 March 2024 and of its incorning resources and application of resour¢¢s, including its income and expenditure, for the year then ended. have been properly prepared in a¢Gordance with United Kingdom Generally Accepted Accounting Practice,. and have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with Intemational Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are fijrther described in the Auditors, responsibilities for the audit of the financial ststements section of our report. We are independent of the charitable company and group in accordance with the ethical requiren]ents that are relevant to our audil of the financial statemenls in the UK, including the FRC'S Ethical Standard. and we h&ve fulfilled our other ethical r&sponsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provid¢ a basis for our opinion. Coneluslons relating to going concern We have nothing to report in respect of the following matters in relation to which the ISAS (UK} requir¢ us to report to you where,. the trustees, use the going wncern basis of accounting in the preparation of the financial statements is not appropriate. or the trustees have not disclosed in the financial staternents any identified material uncertainties that may cast significant doubt about the 0up'S ability to continue to adopt th¢ going conc¢m basis of accounting for a period of a least hwelve months fi'om the date when the financial aternent$ are authorised for issue. Other information The tt'uslees are responsible for the other information. lThe other information comprises the information included in the Annual Report, other than the financial stalements and our Report of the Independent Auditors thc¥¢on, 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 nut expi'ess any form of assurance o)nclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other inforniation an(L in doing so, consider whether the other iiiformatic*] 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 in¢ons1St¢nGies or apparent material misstateinents, we are required to detennine whether this gives rise to a material misstatement in the financial statements themselves. If, bas¢d on the work we have performed, we conclude that there is & rnaterial misstatement of this other infonnation, we are required to report that fact. We have nothing to report in thi5 regard. Opinions on otber matters preseribed by the CompADieg Aet 2006 In our opinion, based on the work undertaken in the course of the audit: the information given in the Group's Report of the Trust¢¢s for the financial year foi. which the financial statements are prepared is consistent with th¢ financial statements; and the Gi"oup's Report of the Tru5tee5 has been prepared in accordance with applicable legal reqiiirernents. Page 6
ort of the Inde endent Auditors to the Members of Maritime + En ineerin College North West Matters on whicb we are qUired to report by exceptÉon In the liJtr )t of the knowledge and idersta[ld1ng of the charitable group and its environment obtained in the Course of the audit, we have not identified material misstaternents in the Report of the Trustee5. We have nothing to report in respect of the following matters where the Companies Act 2006 requir&s us Éo report to you if, in our opinion: adequate accounting records have not ken kept by the Charitable parent compally or retums adequate for our audit have not been received froin branches not visited by us. or the financial statements are not in agreement with the accounting records and returns. or certain dis¢losures of trustees, reMLeTation specified by law are not Made. or we have not received all the infomation and explanations we require for our audiL Responsibilities of trustees As explained more fvlly in the Staternent of Trustees, Responsibilities, the trustees (who are also the directors of the charitable parent company for the purposes of company law) are responsible for the preparation of the financial slateInents and for being satisfied that they give a true and fair view. and for such internal control as the trustees ddermine is necessary to enable the preparation of financial statements that are free frotn rnaterial misstatement, whether due to fraud or error, In preparing the financial statements, the trustees are responsible for assessing the Group's and the chitable company'5 ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going conGern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternatTve but to do so. Our responsibilities for the audit of the flnanelal $tAtemellts Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatemenL whether due to fraud or aTor, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that all audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exist& Mi5Statemenls can arise from fraud or eor and are considered malerial if, individually or in the aggregat< t]iey Could reasonably be expected to iTJfluence the economic decisions of users taken on the basis of these finan¢ial statements. Irregularities, including fraud. are instsnces of non-eornplian¢e with laws and regulations. We d&%ign procedures in line with our responsibililies, outlined above. to detect rnal¢rial misstatements in respect of iegUlarltie, including fraud. The extent to which our procedures are ¢apable of detecling irrLgulÉWiti¥¥. including fraud is detailed below.. Based on ow. underslandiiig of the company and the industy in which it operates, we identified that th¢ principal risks of non-compliance with laws and regulations related to the acts by the company. whiGh were contrary to applicable laws and regulations includintr fizud, and we considered the extent to which non-compliance might have a materia] effect on the financial statements. We also considered those laws and regiilations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006. We evaluated rnanagetnent's incentives and opportunities for fraudulent manipulation of the financial statement5 (including the risk of override of controls), and determined that the principle risks were related to inflated income and surplus. Page 7
R ort ofthe Inde Marititne + En Colle e North West endent Auditors to the Members of ineerincr Our responsibilities for the audit of the finaneial statements (continued) Audit procedures performed included: review of the financial statement disclosures to underlying supporting documentation. review of any correspondence with legal advisors, and enquiries of rnanagetnent and those charged with governance around actual and potential Itti>ts tion and clairns enquiri¢s with company's staff to identify any instanc&4 with non-compliance with laws and regulations enquiries of management and review of monthly management accounts and reports in so far as they related to the fitwicial statements testing of journals and evaluattng, whether there was evidence Jf bias by the Directors that represented a risk of material mis5tstemeni due to fraud, and evaluating the business rationale (Trf s2gnificaRt transa¢tions outside the nornial course of business undertaking delailed substantive testing of material items and a sample of other items consideration of the reasonableness of the figures and analytical review, including cotnparison 1th previous yws and ¢xp¢¢ted trends - review of the Compliance with and effectiveness of internal controls There are inherent limitations in the audit procedures described above and the fjjrther removed non-complian¢e with laws and regulations is from the events and transactions reflected in the financial stalernents, the less likely we would become awdre of it. Also, the risk of not detecting a material misstatement due to fraLtd is higher than the risk of not deteeting one resulting from error, as fraud may involve delib¢rat¢ ¢oiic¢alnient by. for exainple, forgery or intentional misrepresentations, or through collusion. A fijrther description of our rcsponsibilitics for thc audit of thc financial statcrnents is lacated on the Financial Reporting Council's website at www.fr¢.org.uk]audilorsresponsibilities. This description fortns part of our Repurl of the Independent Auditors. Us¢ of our report This report is made solely to the tharitable companys members, as a body, in aecordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those rnattws we are required 10 State to them in auditors, report and for no other purpose. To the fullest extent pemitted by law, we do not accept or assume responsibility to anyone other than the d)aritable n1panY and th¢ hari1abl¢ company's members as a body, for our audit work, for this report, or for the opinions we have formed, Michael Forshaw BA FCA (Senior Statutory Auditor) for and on behalf of Haines Watts Statutory Auditor 3rd Fl(K)r Pacific Chaniber5 11-13 Victoria Street Liverpool Merseyside L2 5QQ Date: ............................................. Page 8
Maritime + En ineerin Colle e North West Consolidated Statement of Financial Activities Inco oratin an Income and Ex enditure Account for the Year Ended 31 March 2024 31.3.24 Ttstsl funds 31.3.23 Total funds Unrestricted funds R¢stricted nds Notes INCOME AND ENDOWMENTS FROM Charitable Activities Education & Training 2,237,064 2,237,064 2,185,782 Other operating income 306 787 306 787 281,537 Totgl 2,543,851 2,543,851 2,467.319 EXPENDITURE ON Charitable activities Education & Training 2.531.389 2,531,389 2.424,338 NET INCOME 12,462 12,462 42,981 RECONCILIATION OF YUNDS Total funds brought forw8rd 1,097,989 1,097,989 1,055,008 TOTAL FUNDS CARRIED FORWARD 1 110,451 1110 451 1097 989 The notes form part of these fjnancial statements Page 9
mltime + En ineerin Colle e North West Consolidated and Chari 31 March 2024 Balallce Sheet 2024 Group 2023 Group 2024 Charity 2023 Charity Notes FIXED ASSETS Tangible assets Investments 385,940 318,203 385,940 J18.203 385.940 318.203 38S,942 318,205 cTniRENT ASSETS Debtors Cash at bank io 677,168 350 188 545,828 407,909 677,202 350,152 536,826 407,909 1.027,356 953,737 1,027,354 944,735 CREDITORS Amounts falling due within one year (191,586) {145,520) (191,586) {136,520) NET CURRENT ASSETS 835.770 808217 835 768 808 215 TOTAL ASSETS LESS CURRENT LIABILTfIES 1,221,710 1,126,420 1,221,710 1,126,420 CREDITORS Amounts falling due after more than one year 12 (111,259) (28,431) (111,259) {28,431) NET ASSETS 1 110,451 1097 989 1110451 1097 989 FUNDS Unrestri¢¢ed fijnds 16 1110 451 1097 989 TOTAL FUNDS 1,110,451 1097 989 As permitted by s408 Companies Act 2006, the company has not pr&%ented its own statemoit of financial activities as it prepai-e5 group accounts. The coinpany's net income for the financial year was £12,462 (2023: £42,981) Th¢ financial slaternents were approved by the Board of Trustees and authorised for issue on . and were signed on its behalf by: C A Lavelle - Trustee I C Hioby- Trustee The notes form part of these financial statements P2Cye 10
Marttime + En 'neeTin Colle e North West Cash Flow Statement for the Year Ended 31 March 2024 31.3.24 31.3.23 Notes Cash flows from operatiug activities Cash geuerated from operations (22,657) 28,979 Interest paid nterest element of finance lease payments paid 61 (2,247) N¢t cash provided by operating activities 26.084 Cash floivs from investing activities Purchase of tangible fixed assets 137 013) Net Cash used in investing activities 137 1113) 32 l97) Casb flows from financing Activities New loans in year Loan repayments in year 114,750 (10.000 Net cash provided by/(used in) financing activilies 102.5DO io 000) Cbange in eash and eash equivglents In the reporting period Cash and cash equivalellts at the begiDning of the reportAug period (57,757) (16,111) 4Lb7,91J9 424,020 Cash alld casb equivalents at the end of the reporting period 350,152 407 909 The notes form part of these financial statements Pagell
Maritime + En ineerin Colle e North West Notes to the Consolidated Cash Flow Statement for the Year Ended 31 March 2024 RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIvrrIES 31.3.24 31.3.23 Net income for the reporting period (AS per the Statement of FinAneial Activities) Adjustments for: Depreciation charges Interest paid interest element of hire purchase and f]nance lease rental payments L05s/(profit) on disposal {Inease)1decrease in debtOTS (Decrease)lincrease in creditors 12.462 42,981 69,279 (61) 648 74.469 2,247 648 (140,379) {115,036) 23,670 Net eAsh provlded by opèratlons 22 657) ANALYSIS OF CHANGES IN NET FUNDS At 1.4.23 Cash flow At 31.3.24 Net cssh Cash at bank and in i]and 407 909 350 IS2 407 909 57,757 350 152 Debt Debts falling due within l year Debts falling due after l year (8,235) (19,672) (27,907} 111259 36 666) 102 500 139 166 Tot81 160 257 210 986 The notes form part of these financial statements Page 12
Maritime + En ineerin Colle e North West Notes to the Financial Staternents for the Year Ended 31 March 2024 ACCOUNTINC POLICIES Company information M'It1me + Enoineering College North West is a private company limited by guarantee incorporated in Enlyland and Wales. The registered office is 2. Floor. Monk5 Ferry, Birkenhead, CH415LH. Basis of preparing the financial statements The financial statements of the charitable company, which is & public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charÉties preparing their accounts in accordance with the Finaticial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective l January 2019),, Financi&l Reporting Standard 102 'The Finan¢ial Reporting Standard applicable in the UK and Republic of Er¢land' and the Companies Act 2006. The financial Statements have been prepared under the histOTical cost convention, with the exception of investments which are included at market value. The Statement of Financial Activities and balance sheet con501idate the financial statements of the Charity and its subsidiary undertakings. The results, assets and liabilities of the subsidiaries are consolidated on a line by lin¢ basis. The financial statements are prepared in sterlin& which is the functional currency of the charity. Monetary amounts in these financia] statements are rounded to the nearest £. ncome All incoming resources are recognised irA the Ststement of Financial Activities once the charity has ¢ntitl¢ment to the nds, it is probable that the income will be received and the arnount can be measured reliably. Income fr e activities Income from apprentice training are included in Ilie Ststement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in relevant funds on the balance sheet. Where received in advance of meeting any performance related conditions there is nol unconditional enlitlLment to the income and it's recognition is deferred and inLludLd in crcditorq as deferred income until the pertormance related conditions are met. Where entitlement occurs before the income is received, the income is accrued 8nd included in debtors as deferred income. onations Donalions are recognised on a receivable basis (where there are no performance related conditions) where the receipt is probable and the amount can be measured reliably. Other income Other income included th¢ hire of facilities, is recognise41 in the period it is receivable and to ihe extent that the ChaTity has provided the goods or 5¢rvices. Expenditure Liabilities are recognised as expenditure as 500n as there is a legal or constructive obligation committing the charity tD that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an aruaLS basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basi5 consistent with the use of resoiirces. Governance costs include the costs attributable to the compliance wttb constitutional 2nd statutory requirements, including aLLdit, strategic rnanagernent and other professional costs. The notes ft)rm part of these financial statements Page IJ
Maritime + Enqineerin Colleoc North West Notes to the Financial Statements - continued for the Year Ended 31 March 2024 ACCOUNTING POLICIES - contillued Tangible fixed Assets Tangible fixed assets are measured at their ortginai cost value. Cost value includes all e05ts expended in Ing the &sset into its intended working condition. Depreciation is provided at the followints annual rates in order to write off each asset over its estIted use1 life, or if held utLder finance lease, over the lease term, whichever is the shorter. Long leasehold Plant and machtnery Fixtures and fittings Motor vehicles 2.5°/D On COSt 200/0 on redlleing balnte And 200/0 on cost Various rates betw¢¢JJ 10 % and 60 % on cost 6 year straigh line TaxAtion Th¢ charity is exempt from corporation tax on its charttsble activities. Fund accountlDg Unrestricted fvnds are available for use at the discretion of the trustees in fijrtherance of the general objectives of the charity and wliich Iiave not been designated for oth¢r purposes. Restricted fimds Can only b¢ used for particular restri¢ted purposes within the objLGts of the tharity. Restrictions aris¢ when specified by the donor or when funds are raised for particular restricted purposes. Hire purchase and leA8ing commitments Assets obtained under hire purchase contr&cts or finance leases are capitalised in the balance sheet. Those held under hire purchase coiitra¢ts are depreciated over their estiinaled useful lives, Those lield under finance leases are depreciated over their estima*d use1 lives or the lease term, whichever is the shorter. The interest element of these obligations is tharged lo the slatement of financial activities over the relevant period. The capita] elemeJ)t of the paynenls is treated as a liability. Rental8 paid under operating leases are charged to the statement of financial activities on a straight line basis over the period of the lease. Pension e()8t8 gnd Other ptbst-retirement henefits The ¢huritable company operates a defined contribution pensico scheme. Contributions payable to the charitable corrlpangs pension stheme are charged to the Statement of Financial Activities in the period to which they relate. Irrecover8ble vat Irrecoverable VAT is treated as a separate expense and charged to income and expditure. Fixed Asset illvestments In the separate accounts of the Chuity, interests in subsidiaries are initially measured at cost and subsequently measurcd arc cost less impairnicnl losses. The invcstmcnts arc asscssod for impairmcnt at each r¢portin£ date and any impairnient losses or reversals are recognised irnmaiately in the statemeat5 Qf financial aGtivitie5. OTHER OPERATING INCOME Group 31J.24 Group 31.3.23 CharAty 31.3.24 Charity 31.3.23 Commercial Training Rents Teceived 168,787 138,000 306 787 143,537 138,000 281537 138,000 138 000 13 8,000 138.000 The notes form part of these financial statements Page 14
Maritime + En ineerin Colle e North West Notes to the Financial Ststements - continued for the Year Ended 31 March 2024 INCOME FROM CHARrrABLE AcfIvITIES Group 31.3.24 Group Cb2rity 31.3.24 Charity 31.3.23 Activity Modern Apprentice Training - engineering Other income Schools Grants Education & Training 1,922,536 1,966,424 1,922,536 1,966,424 Education & Training Educalion & Trdining Education & Training 214,528 62,500 134,358 85,000 214,528 62,500 134,358 85,000 2,237,064 2.185.782 2 237 064 2,185.782 CHARITABLE ACTIVITIES COSTS Direct C05ts Education & Training 2 531389 NET INCOMEI(EXPEf4DITURE) Net incorne/(expenditure) is stated after Chargin(CredItIng)', Group 31.3.24 Group 31.3.23 Charity 31.3.24 Charity 31.3.23 Depreciation- owned assets Hire of plant and mathinery Auditor's remuneration 69,276 29,807 13,250 74,469 33,991 69,276 29,807 74,469 33,991 11,000 TRUSTEES, RETrtUNERATION AND BENEFITS During the year to 31 March 2024 no trustees were paid remuneration (2023 - £nil). Trustees, expenses During the year to 31 March 2024 no trustees were reirnbursed expenses (2023 - £nil). STAFF COSTS Group and Charlty 31.3.24 31.3.23 Wages and salaries S(Kial security cost5 Other pension costs 1,385,341 133,763 103,020 1,622,124 1,251,466 120,079 82.358 1,453.90J The average monthly nLEmEer of employees during the year wa5 as follows.. 31.3.24 45 Average monthly number of employees 45 Page 15 continued...
Maritime + En ineerin Colle e NorEh West Notes to the Financial Statements - continued for the Year Ended J l MaT¢h 2024 STAFF COSTS - continued The number of employees whose employee benefits (excluding employer pension costs) exceeded £60.000 was: 31.3.24 31.3.23 £80.001 _ £90,000 £90.001- £EOO,000 TATrICITBI,F fIr,D ASSETS Group And Cbllrity; Fixtures and fittings Long leasehold Plant and machinery Motor vehicles Totals COST At l April 2023 Additions Disposals 25,000 202,423 111,870 930,170 25,143 104 375) 15,250 1,172,843 137,013 113 149) At 31 March 2024 305,519 850 938 15,250 119A707 DEPRECIATION At l April 2023 Charge for year Elirninated on disposal 25,UOO 149,714 678,443 55,231 104 375) 1,483 2,542 8S4,640 69,276 113 149) At 31 March 2024 629 299 810 767 NET BOOK VALU At 31 Mar¢h 2024 153 076 221639 At 31 M&rch 2023 251727 318203 FIXED ASSET INVESTMENTS Group 31.3.24 Group 31.3.23 Charity 31.3.24 Charity 31.3.23 Investments in subsidiaries Shares in group undertakings MARKET VALUE At l April 202J and 31 M&r¢h 2024 NET BOOK VALUE At 31 March 2024 At 3 l March 2023 There were no investment assets outside the UK. Page 16 continued...
MaTitime + En ineeTin Colle ¢ North West Notes to the Finan¢ial Statements - continued for the Year Ended 31 March 2024 FIXED ASSET INVESTMEiYfs- continued The cotnpany's investments at the balance sheet date in the share capital of companies include the following". MEC North West (Knterpri5es) Limited Registered office.. Nature of business.. Provision of training courses Class of share: Ordinary shares holding loo 31.3.24 31.3.23 Aggregate eapital ond reserves A summary of the financial staternents of the subsidiaries is ', 31.3.23 31.3.23 Turnover Expenses Net profit for the year 168,787 {168,787) 143.537 (143,537) Fixed &sset investments ar¢ stated at cost less provision for diminution in valu Maritime + Engineering College North West also has two dormant subsidiaries, The Engineering Colle8e Limited and The Engineering College Enterprises Limited. io, DEBTORS: AMOUNTS FALLllyG DUE wIfiiiN ONE YEAR Group Jl.3.24 Group 31.3.23 Cbarity 31.3.24 Charity 31.3.23 Trade debtors Other debtors PreEyayment5 Accrued income Amounts owed to group undertakings 110,601 117,263 900 71,718 355,947 82,989 90,017 900 68,445 355,947 21,517 91,911 474,656 86,344 474,656 33,213 677 168 545,828 677,202 536 826 ii. CREDITORS: AMOUNTS FALLtNG DUE wrrHIN ONE YEAR Group 31.3.24 Group Charity 31.3.24 Charity 31.3.23 (Xher loans (see note 13) Trade creditors Social security & other taxes VAT Other creditors Accrued expenses 27,907 40,389 69,320 4,494 9,298 8.235 65.861 31,898 2,277 7,709 29,540 130.677 27,907 40,389 09,320 4,494 9,298 40,178 191,586 8,235 65,861 31,898 2,277 7.709 191586 136,520 Page 17 wntinued...
Maritime + En ineerin Colle e North West Notes to the Financial Statements - continued for the Year Ended 31 March 2024 12. CREDITORS: AMOUNTS FALLING DUE AFfER MORE THAN ONE YEAR Group 31.3.24 Group 31.3.23 Charity 31,3,24 Charity 31.3.23 Other loans (see note 13) 111259 111259 28,431 111259 111259 13. LOANS An analysis of the maturity of loans is given belov. 31.3,24 31.3.23 Amounts falling due wtthin one year on demand: Oth¢r loans Amounts falling dlte between two and five years: Other loans - 2-5 years 111259 14. LEASING AGREEMENTS Minimum lease payments fall due as follows". Non-caneellable operating leases 31.3,24 31.3.23 Within one year Between one and five years 26,765 48,921 23,242 48,385 71,627 Page 18 continued...
Maritime + E ineerin Colle e North West Not&s to the Financial Statements - continued for the Year Ended J l Mard) 2024 15. MOVEMENT IN FUNDS Net movement in fijnds At l.4.23 At 31.3.24 Unrestricted funds Genera] fund 1,097,989 12.462 1.110,4SI TOTAL FUNDS 1,097 989 12,462 I,11451 Net tllovement in fids. included in the above ar¢ as follows.. Jncoming resources Resources expended Movement in funds Unrèstrieted funds General fijnd 2,508,501 (2,496,039) 12,462 TOTAL FUNDS 2 508 501 2,496,039) 12,462 Comparatives for movement in funds Net movement in fidS At 1.4.22 At 31.3.23 Unrestricted funds General £und 1,055.008 42,981 1,097,989 TOTAL FUNDS 1,055.008 1097 989 Comparative net mov¢rnent in fund5, included in the above are as follows: IncoiDing resources Rtsources expended Movement in tijnds UDI'e5tricted funds General fund 2,421,496 (2,378,515) 42,981 TOTAL FUNDS 2,42l,496 2,378,515) 42,981 Page 19 continued...
Maritime + En ineerin Colleoe North West Notes to the Flnancial Statements - continued for the Year Ended 31 March 2024 16. EMPLOYEE BENEFrr OBLIGATIONS The charity operates a contributory pension scheme. It is a defined contributiijn scheme and ¢ontiibutions are harged in the Statement of Financial Activitits as they accrue. The charge for the year was £103,020 (2023 £82,358) and at 31 March 2024 pension contributions of £9,298 (2023: £7,709) were payable and included within other creditors. 17. ULTIMATE CONTROLLILYG PARTY The company is controlled by the Board of Trustees. 18. MEMBERS GUAIL4NTEE The tharity is a company limited by guarantee and has no shar¢ Capital. The meMr5 of the company are the trustees named on page 4. tn the event of the Charity being wound up, the liability in respect of the guarantee is limited by £1 per meber of the charity. 19. LONG LEASEHOLD PROPERTY The Company operates from a long Ivdsehold property, under the terms of a 125 year lease (subject to a peppercorn rt), which comni¢n¢ed in 1999. This lease is treated as an operating lease. Page 20