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2022-03-31-accounts

The Duke of Edinburgh’s Award Annual Report and Financial Statements for the year ended 31 March 2022 The Duke of Edinburgh’s Award is a Registered Charity No: 1072490, and in Scotland No: SC038254, and a Royal Charter Corporation No: RC000806. Registered Office: Gulliver House, Madeira Walk, Windsor, SL4 1EU

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CONTENTS
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A message from our Chair of Trustees 2
About the DofE 4
Our year in numbers 6
Youth Without Limits strategy update 8
The DofE journey 10
Progress towards objectives 2021-2022: Progress towards objectives 2021-2022:
AccEss 12
- Reaching out to marginalised young people 14
RelEvAnce 16
- Reimagining our approach post-pandemic 18
QuAlity 20
- Celebrating our amazing adult volunteers 22
- Young people can change the world 24
ImPAct 26
Ambitions for the future:
- Building on the Duke’s living legacy 28
- What’s next for our strategy 30
Financials and administration:
Financial review 34
Structure, governance and management 38
Trustees and administrative details 42
Independent auditor’s report 45
Statutory fnancial statements 48

Cover image: Corron (aged 14) outside South Shore Academy in Blackpool where he runs a resilience club as part of the Volunteering section for his Bronze Award.

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Message from our Chair

A RECORD-BREAKING yEAR!

A record number of young people signed up to start a DofE programme last year. This is extraordinary for many reasons – not least because part of the year was spent in various stages of lockdown!

The pandemic has disrupted all our lives, but our record-breaking figures show an amazing, motivated generation looking for opportunities to develop skills, broaden their horizons and make a difference to the world around them. They’re not giving up – so we won’t give up on them.

With the support of our incredible community of volunteers, funders, and supporters, we will continue to respond to crisis after crisis affecting the lifechances of young people by being bolder in our ambitions and redoubling our efforts to be there when young people need us most.

The ongoing unpredictability of the external environment – including the cost-of-living crisis, rising inflation, volatile financial markets and the impact of war in Ukraine – creates uncertain operating conditions for all organisations. Ensuring DofE remains financially sustainable while we continue to deliver on our Youth Without Limits strategic priorities is, and will continue to be, a priority for Trustees in the years ahead.

In the first year of our strategy, I am delighted to report that we are on track to realise our goal of giving over one million young people the chance to participate. We’ve also secured strategic grants through the Government’s National Youth Guarantee, the Department for Education and The Julia and Hans Rausing Trust, allowing us to reach more marginalised young people with the development opportunities they deserve.

Our success is underpinned by a strong financial position and careful management of donations, grants and reserve funds to deliver the greatest impact. Paired with the agility to offer young people life-changing programmes no matter what the future holds, we end the year with much to be proud of and to look forward to.

We are also using our unique place as the UK’s leading youth achievement award to influence the national debate on the importance of non-formal education opportunities to help young people develop the skills they need to start their careers with confidence.

In March 2022, I was honoured to attend a Service of Thanksgiving at Westminster Abbey to celebrate the life and achievements of our Founder, His Royal Highness The Duke of Edinburgh. During the service, a young Gold Award holder, Doyin Sonibare, spoke movingly about the positive impact of DofE on her own life. Afterwards, Doyin was thanked personally for her contribution by HM Queen Elizabeth II, in what would sadly prove to be one of The Queen’s final public appearances before her own passing in September 2022. In years to come, we’re determined to build on The Duke’s extraordinary commitment to the Award, and the enthusiastic support shown by Her Majesty.

My heartfelt thanks to all the volunteers, Licensed Organisations, staff and funding partners who have helped us not only recover from the pandemic but grow – your commitment to young people is truly inspirational and never more needed.

Thank you, also, to my fellow Trustees for guiding the organisation through this time with a sure hand and a determination to turn the challenges we’ve faced into opportunities for young people. I’m thrilled to be welcoming three new Trustees to the DofE Board – Anna Rose Barker MBE, Mo Isap and Ofei Kwafo-Akoto. Anna, Mo and Ofei offer wide-ranging experience and practical expertise from the private and charity sectors which will be invaluable as we deliver on our ambitious strategy.

Thank you again to everyone who has supported DofE over the past year. Without you, none of this is possible.

Baroness Tanni Grey-Thompson DBE

Chair of Trustees, The Duke of Edinburgh’s Award

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WhAt is

How is the DofE funded?

About the DofE

The DofE can be a game-changer in a young person’s life. By helping them develop skills, build self-belief and cultivate the resilience they need to take on any challenge, DofE helps young people tap into their limitless potential.

The DofE operates a social franchising model. Organisations pay a licence fee to deliver the DofE programme to the young people they work with and participants pay a small participation fee. The DofE’s earned income does not cover all our costs so, as a charity, we also rely on fundraising to support our work and remove financial barriers to young people’s participation in the Award. We are incredibly grateful to the individuals, trusts, foundations and corporate partners who support our work. Their generosity helps to transform young people’s lives and leave a lasting legacy.

What is the DofE?

The Duke of Edinburgh’s (DofE) Award is a noncompetitive, personal challenge open to all young people aged 14-24. The Award scheme is run in schools, colleges, youth and sports clubs, prisons and young offender institutions, hospitals and many more, across the UK.

Almost half a million young people are currently doing their DofE

The Award is widely recognised and valued. We help young people to build life-long belief in themselves by supporting them to take on their own challenges, follow their passions and discover talents they never knew they had.

We help young people build life-long belief in themselves, supporting them to take on their own challenges, follow their passions, and discover talents they never knew they had. Because when you prove to yourself that you’re ready for anything, nothing can hold you back.

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Young people started their DofE journey

321,622

485,945 2,156,076 £9,961,071 Young people Total volunteering Estimated total value actively doing hours given by of volunteering hours their DofE young people given in support of others 30.5% Of 14 year olds in the 37,595 4,072 More young people than ever DofE participants UK started a Leaders and Licensed Organisations volunteers delivering actively delivering started their DofE last year gave 2 million hours Bronze DofE DofE programmes the DofE Our yEAr IN numbErs

gave 2 million hours of volunteering last year

Over 321,000 young people began a programme in 2021/22 – the highest in our 66-year history. That means nearly half a million 14-24-year-olds are now signed up to the DofE’s iconic non-competitive, personal challenge across the UK.

DofE participants supported causes from cleaning local nature spots and protecting wildlife; setting up charities to tackle poverty and hunger; or mentoring their younger peers to help them catch up on core subjects like English and maths. Young people are sending a clear message – they care about their communities and want to use the talents and passions they discover through their DofE journey to make the world a better place. This contribution has an astonishing value of just under £10 million.

Awards started 47,053 (14.6%) Experiencing poverty by young 78,581 (24.4%) From minority ethnic backgrounds people facing 15,297 (4.8%) marginalisation Have additional needs AWARDS STARTED 99,248 28,802 Awards were Certificates of achieved Achievement achieved 232,768 Bronze 62,731 Silver 26,123 Gold

Young people are hungry for opportunity

Lost education and the pressure of ‘catching up’ post-Covid; rising mental health issues; deepening inequalities. Young people today are facing crisis upon crisis, with marginalised young people the hardest hit. Yet unprecedented demand for DofE programmes shows that young people are responding to these experiences by seeking out opportunities to challenge themselves, build resilience and improve their communities.

We’re not slowing down

We’re inspired by the grit and compassion with which young people responded to the past few years, and we’re motivated by what we’ve achieved as a charity during this very challenging period. But there’s more this charity can and must do, especially to open up access for marginalised young people. Non-formal educational opportunities like DofE are needed now more than ever. And we won’t wait to bring them to young people – because life can’t wait.

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When you prove to yourself that you’re ready for anything, nothing can hold you back.

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Due to my disabilities, I never thought this was something I was able to do. But I discovered that my disabilities aren’t limiting, and I can do amazing things.

We’re here to help all young people build lifelong belief in themselves, supporting them to take on their own challenges, follow their passions, and discover talents they never knew they had.

But we know that too many young people get few opportunities like the DofE. That’s why we launched Youth Without Limits.

Youth Without Limits is our five-year strategy to reach one million young people with DofE opportunities by 2026, with a special focus on reaching marginalised young people. This means those facing poverty, young people with disabilities and those from minority ethnic backgrounds.

But Youth Without Limits also means doing things differently. It means listening to what young people want and working with our existing networks and with exciting new partners who share our commitment not to let anything hold us back from reaching young people where they are.

One year in, we’re on track to hit our goal.

Coming out of lockdown, we were able not only to consolidate our Covid recovery and keep delivering quality DofE programmes, but we also increased access. Over 321,000 young people started their DofE journey last year which represents great progress towards our 2026 target of over one million young people. We are also working with existing and new partners to take DofE to marginalised young people. During the year, hundreds of new DofE centres were funded through our Access Without Limits fund and strategic growth programmes. We also got our first Youth Ambassador programme rolling to ensure the voice and ideas of young people stay at the heart of our strategy and our work, where they belong.

OUR GOALS

1. Access Page 12

2. Relevance

Page 16

3. Quality Page 20

4. Impact Page 26

OUR DRIVERS

People-powered and values-led

We will empower and invest in our staff, uniting the whole organisation as #OneDofE. We will also embed our new values and behaviours and champion and build our equality, diversity and inclusion practices across the DofE.

Data-led and digitally innovative

We will strengthen our use of audience insights to inform decisionmaking and improve our offer, as well as strengthening the way we use digital technology to meet our stakeholders’ needs.

Financially and environmentally sustainable

We will review our pricing models to ensure we balance accessibility and diversity of participation with organisational sustainability and diversify our income, including growing our fundraising and commercial income streams. We will also enhance organisational efficiencies and reduce our carbon footprint.

Through her DofE, Kayleigh proved to herself she is ready for anything.

Kayleigh, who has autism and cerebral palsy, found the DofE a lifeline during the height of the pandemic – with her Skills section offering her essential routine amidst so much disruption. She continued her Gold DofE throughout the pandemic and recently completed her Residential.

“The DofE has been life-changing for me,” she says. “It has made me more confident and independent as a person. It has shown me that no matter what ability you have, where you come from or what you want to do in life, you’re able to take part in this amazing opportunity.” For her Physical section, Kayleigh travelled 526 miles – the equivalent distance from John O’Groats to Sheffield – using her wheelchair, walking sticks and exercise bike.

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Medium-term I feel more I feel good I’ve learnt
confident. When about myself. personal and
outcomes things get tough practical skills
I know I can work that help me now
through them. and will help in
the future.
I’m more aware I feel closer to
of who I want my community
to be and what and to the world
I can do to get around me.
there. I feel I
can make a
difference.
I think about
what I’ve done
and I’m proud of
JOuRNEy
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of E My D

DofE is a personal challenge that helps me get the most of out of life and make a difference to the world around me.

Alongside our new strategy, we have developed a change model (My DofE Journey). It articulates the immediate, medium and long-term outcomes for DofE participants as well as DofE volunteers and wider society, alongside a best-in-class new Impact Measurement Framework. Developing these evaluation methods is an important step forward for the DofE as it will allow for empirical assessment of the charity’s impact. We are delighted that our approach is consistent with best practice as set out in the latest HM Treasury’s Green Book guidance on how to appraise and evaluate policies, projects and programmes.

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During my
programme
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I’ve set myself I’m doing things I think about goals and I wouldn’t have what I’ve done persevere to done otherwise and I’m proud of reach these. and being my achievements. challenged, in a good way. I’m meeting I’m being active I’m giving new people and having fun. something and making back to my new friends. community.

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I’ve got tools I’m more likely I’m willing to
I can draw to fulfil my speak up and
on that help potential, in step up to help
my mental education other people.
wellbeing. and work.
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Longer-term
impact
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We’ll make the DofE more widely

IN THE LAST YEAR, WE’VE:

available and accessible, increasing the

- Welcomed 321,622 young people who started - 15 new prisons and young offender their DofE journey – the highest number in our institutions delivering DofE in partnership 66-year history – which has us on track to with the Ministry of Justice deliver our five-year goal of one million young

number and diversity of young people

institutions delivering DofE in partnership

who can access a DofE programme.

people participating in the DofE

- Secured new multi-year funding to support more youth organisations and schools in the most deprived areas to offer the DofE:

TO DO THIS, WE’RE:

needs to do their DofE

- 22,000 young people given funding to do DofE thanks to our Resilience Fund – including generous support from Gordon and Hilary Phillips and the National Lottery

- Creating an ‘Access Without Limits’ funding

- Developing new delivery models so we can take DofE to where young people are, particularly reaching those who experience

programme to open up access and reach out

to more young people – especially those from

- £3.4 from Department for Education (DfE) - £4.2 million from Department for Digital, Culture, Media and Sport (DCMS)

Community Fund #iWill youth movement.

marginalised backgrounds

marginalisation

- Working with existing and new partners and

- Supporting DofE centres so they can increase the number and diversity of young people who can access DofE programmes.

young people to better understand and tackle

barriers to participation and progression

young people:

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To give more marginalised young people access to the opportunities a DofE provides, we’re building our network of Licensed Organisations that work with young people in areas of high deprivation across the UK.

Darlington Youth Offending Services

East Coast College, Lowestoft

Darlington Youth Offending Services deliver Bronze DofE programmes to the young people in their service. If they complete the programme, it can reduce their reparation hours.

East Coast College is in Lowestoft. The area used to have a thriving local economy but decline in the fishing industry has created high levels of deprivation in the community.

DofE is helping young people at East Coast College to build skills and confidence that will give them greater opportunity in their careers.

“ The kids we work with don’t always get the best opportunities in life. Dave Kirton, DofE Leader

“For some of them DofE is the best thing that’s ever happened to them.”

Many of the young people on the project have little or no experience of the outdoors and start the project shy or withdrawn. “They often arrive with their hoods up for the first few weeks, not really engaging – but four weeks later the hoods are down and they are getting involved.”

The young people are grasping the opportunities that the DofE is offering them to forge a new path. “We’ve had 28 young people through and not one has reoffended,” says Dave, “Lots of them have gone into education and employment.”

“The DofE is about pushing them forward and making them more employable… It’s about life skills, teaching them independence and how to do things for themselves. We see them come in, shy little things and go out of the door very different. It moulds them, shapes them to go out into the big wide world with confidence.”

South Shore Academy, Blackpool

DofE is helping to build self-belief among young people at South Shore Academy in Blackpool by giving them opportunities they would otherwise miss out on.

“ The DofE is an amazing opportunity for students to access activities that they wouldn’t be able to do otherwise due to lack of income in their families. Amy Leach, DofE Leader

The experience is helping young people to gain skills and confidence. “The impact is unbelievable. It’s transforming for some of the students who joined us with low confidence and low self-esteem who’re now taking assemblies and running their own clubs.”

Oasis Academy, Salford

Oasis Academy is a school in one of the most deprived areas of the UK. DofE Leader Emily Williams had wanted to run DofE for some time but many parents wouldn’t have been able to afford to pay for their child to get involved. Last year, the school received a £4,000 grant from the Department for Education through the National Youth Guarantee to fund places for students.

Taking part is producing an amazing change in the students, says Emily.

DofE Bronze participants making pizzas in The Hub

To help integrate groups, DofE participants will often make food to share with others at The Hub, a community space based in Oasis Media City Academy in Salford which is one of the 20 most deprived places in the UK.

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RELEvANCe
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We’ll ensure the DofE is relevant, engaging and inspiring for young people and our supporters.

TO DO THIS, WE’RE:

- Putting young people at the heart of shaping, championing and representing the DofE

- Building DofE’s brand and communication, adapting it to different audiences to boost its profile, reach, influence and income.

- Connecting young people with opportunities that make a positive impact on the issues they care about

- Engaging and expanding DofE’s supporter community (including alumni and employers) to help expand DofE’s reach and impact

IN THE LAST YEAR, WE’VE:

- Commissioned a digital mobilisation strategy to identify engaging ways to connect with new audiences

- Surveyed over 2,000 young people to introduce a youth manifesto on the issues they care about, called #ListenWithoutLimits

- Introduced new festival-style Gold Award Celebrations at Buckingham Palace Gardens in May 2022, with over 10,000 young people celebrating their achievements

- Ramped up external affairs activity and encouraged teams across the UK to help influence policy makers and give young people a real voice in shaping our future.

- Recruited 30 Youth Ambassadors to work with us and help to improve how we raise the volume for and with young people

87 Licensed Organisations or Centres

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Coming together post-pandemic to celebrate more than 10,000 Gold Award holders Don’t dreAm big.

In the first Duke of Edinburgh’s Award celebrations since the pandemic, we welcomed more than 10,000 Gold Award holders to Buckingham Palace Gardens over two amazing days of events.

We redeveloped the format of our Gold Award celebrations to create festival-style events for young people and their loved ones. Motivating speeches were given by celebrity dancer and choreographer Johannes Radebe, and Harry Potter stars James and Oliver Phelps. Attendees also heard from famous DofE Award holders and international adventurers and explorers, picked up career advice from business leaders and entrepreneurs, and joined in garden games and activities.

Some Award holders had been waiting for a couple of years to come together and celebrate their amazing achievement. Others completed their DofE during lockdown, showing extraordinary creativity, resilience and determination to complete their Awards while navigating unprecedented challenges and restrictions.

The events, the biggest Gold Award Celebrations in our history, were hosted by His Royal Highness The Earl of Wessex in his role as Trustee for The Duke of Edinburgh’s Award, who congratulated attendees on their amazing achievement and told them “this in your day”.

“ Dare to dream, because dreams can take you a long way. Seven-time Paralympic Champion Hannah Cockcroft MBE.

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Don’t dream big. Dream huge! Because you have already proven to yourself that the sky is the limit; the world your dancefloor. And just think who you might be inspiring simply by being yourself. Johannes Radebe, star of Strictly Come Dancing.

Amazing young people take the stage

Gold Award holders Lira and Felix spoke at the events, encouraging attendees to take everything they’ve learned from DofE with them into the next stage of life. Lira reminded attendees of the power they hold to shape the future, saying, “all of us here today have shown that we can build communities, we can create safe spaces and we can make the world around us a more caring one.”

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QuAlity
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We’ll ensure that all young people experience a high-quality, challenging and personalised programme, delivered by a dedicated DofE Leader.

TO DO THIS, WE’RE:

- Refreshing our quality framework so DofE Leaders are supported to deliver personalised, impactful DofE programmes

- Supporting our diverse network of delivery partners by refreshing our digital training offer, facilitating local collaborations and streamlining programme administration

IN THE LAST YEAR, WE’VE:

- Conducted research to improve how we connect local community organisations and schools with the DofE

their skills, showcase good practice and get their insight and feedback

- Trained our DofE operational staff to better understand additional needs (SEND)

Main image: Feltham is one of the 15 prisons and young offender institutions successfully delivering the DofE.

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We currently work with over 4,000 Licensed Organisations, including a growing number of smaller voluntary organisations, where almost 40,000 adult volunteers are trained by DofE to encourage, guide, assess and support participants to achieve their Award.

Adult volunteers provide the advice, support and encouragement that helps young people enjoy their DofE journey and reach the finish line safely, with new skills and memories they’ll treasure.

“ You put seeds in a kid’s heart and hope that they grow. I’m now getting people coming back to me from 30 or 40 years ago to let me know what they’ve achieved. There’s a pride in seeing those youngsters succeed and a reward, in some small part, that you helped them on that journey.

Jean Casha, DofE Leader/Assessor

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Supporting young people to share the issues they care about – Felix speaks out on the power of resilience whether that’s through public speaking, volunteering or creative Youth Ambassador Felix achieved his Gold expression – has always been a key part of doing DofE. This year, Award a couple of years ago and is now we’re creating new ways to get young people involved in our studying at university. Felix has cerebral palsy quadriplegia and says that, “completing the work, to ensure youth voices stay at the heart of what we do. young pEople hAve idEAs thAt cAn

Youth Ambassador Felix achieved his Gold Award a couple of years ago and is now studying at university. Felix has cerebral palsy quadriplegia and says that, “completing the Award was huge for me. I remember it being my first taste of independence and as someone who heavily relied on others growing up – the feeling of freedom was intoxicating.”

launched the first year of our Youth Ambassadors programme, bringing together 24 amazing participants with different passions, whether that’s advocating for people with disabilities or promoting better mental health in young people, to help shape the future of DofE.

Our Young Leaders’ programme invites Award holders to support the running of DofE in their local centre. They support the adult leadership team, mentor younger participants and encourage young people to get involved by sharing their own experiences of doing the Award. In 2021, we

Felix is passionate about using his role as a Youth Ambassador to get the message across that DofE can be a life-changing experience and that young people with a physical impairment or disability can benefit enormously from taking part.

Felix says his DofE experience has given him the

confidence and drive to grasp every opportunity his university career has to offer, and to set his sights high for whatever adventure comes next – and we’ve no doubt he’ll succeed.

Introducing our Youth Ambassadors

Sharing his story at our Gold Award Celebration events in May, he credited his achievements through his DofE with teaching him the importance of resilience, saying that “being put in some situations that were frankly just uncomfortable, allowed me to feel more comfortable seeking out similar opportunities at university and beyond. It’s how you respond to difficult situations that’s important and allows you to grow.”

“ For me, difficulty is a boost for greater things. It’s not something that limits me – it makes me more ambitious.

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ImpAct
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We’ll measure the impact of DofE – and use our reach, credibility and partnerships to influence decisions and debates that affect young people’s overall life chances.

TO DO THIS, WE’RE:

- Embedding our new impact framework to measure and strengthen our short and longer-term impact

- Exploring ways for local centres to assess and communicate their impact

- Influencing debate and decisions on issues that affect young people’s life chances and well-being – particularly education, personal development, employment opportunities and mental health.

- Recognising young people’s achievements throughout their DofE journey, and supporting them to track and reflect on their own progress and outcomes

IN THE LAST YEAR, WE’VE:

- Developed a DofE participant impact survey so young people can give us live feedback as they progress on their DofE journey

- Issued every DofE centre with a personalised social impact certificate to show the value of the volunteering young people have given to their community

- Worked with DCMS to inform their new

National Youth Guarantee which will provide out-of-school opportunities to all young people aged 11-18 by 2025 and support the levelling up agenda

- Engaged MPs in celebrating young people’s achievements in their constituencies.

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Living LEgAcy

The DuKe’s living legacy gives life-changing experiences to more young people than ever

March 2022 marked a year since the death of our founder and Patron HRH The Duke of Edinburgh.

As young people seek to recover post-pandemic, The Duke’s living legacy is more urgent than ever before – and his memory motivates us to pioneer new approaches, from our business development to volunteering to fundraising.

Since The Duke founded the DofE in 1956, more than 6.7 million young people in the UK have had their lives enriched by DofE – generation upon generation discovering new passions and vital skills, building their resilience and self-belief, making a positive difference in their communities, and having life-changing experiences.

Young people speak out to show their gratitude

“At times like these, with so much uncertainty and upheaval, it’s so important all young people get opportunities like this, so they have every chance to fulfil their potential too.”

A service of thanksgiving for The Duke’s life was held at Westminster Abbey on 29 March 2022. Nine recent Gold DofE Award holders lined the steps of the Abbey as guests arrived, and 28-year-old Gold Award holder Doyin Sonibare gave an incredible tribute during the service.

Young people’s voices were heard across the country on The Duke’s anniversary; DofE received 1,300 mentions and interviews across print, digital and social media. Our spokespeople Felix and Lira appeared on BBC Breakfast live and Doyin and her speech appeared across BBC, ITV, Sky and more. We also arranged a follow-up feature on BBC Countryfile capturing a group from a SEND school doing their expedition in the Welsh countryside – helping viewers see The Duke’s amazing legacy in action.

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The DofE has transformed my life. It makes you stronger, the chance to be proud of yourself. It helps you find out what you’re good at, what you enjoy. The idea that the DofE is only for certain people is false. The DofE is for absolutely everyone. Doyin Sonibare, DofE Gold Award

Doyin, who is now studying for a PhD in sickle cell research and health inequalities, reflected on the difference doing her DofE has made to her life, telling attendees that the skills she gained from her DofE helped her secure her first job at 18.

“When I look back at the last decade, I’ve achieved so much more than I thought I could – and it’s down to my DofE and the opportunity it gave me.”

Reaching marginalised young people through the Living Legacy Fund

The DofE launched the Living Legacy Fund in The Duke of Edinburgh’s memory to help us reach a million young people by 2026, with a focus on reaching those who face barriers to taking part. Through the generosity of our donors and supporters, the Fund has allowed us to:

We’ve also developed a Youth Ambassador programme to keep young people’s voices at the heart of our work.

We will continue to honour The Duke’s legacy of changing and improving young lives. When every young person gets the opportunity to build self-belief and resilience through their DofE, we’ll know we’ve succeeded.

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Our ambitions for young people are as limitless as their potential.

It’s tough for young people right now. The UK’s youth are facing crisis on top of crisis – and we know it’s only going to get tougher as the world around them becomes increasingly uncertain and spiralling living costs further exacerbate social and economic inequalities. But time and again, we’ve seen that when we help young people build belief in themselves, there are no limits to what they can overcome.

Crucial to our success is:

Increasing the number of young people starting a DofE programme

Increasing the number of

organisations licensed to deliver DofE programmes

Our Youth Without Limits strategy aims to give one million young people the chance to undertake a life-changing DofE programme by 2026, particularly those who are most marginalised.

We’re making good progress. DofE participation numbers have fully recovered post-pandemic with strong growth in our Licensed Organisation numbers which will provide more young people with the chance to start their DofE programme.

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DofE Awards started 2019-22 New Licensed Organisations 2019-22
350 4300
300 4200
250 4100
200 4000
150 3900
100 3800
50 3700
0 3600
2019/20 2020/21 2021/22 2019/20 2020/21 2021/22
2019/20 = 295,490 (pre-pandemic)
2020/21 = 179,241 (pandemic)
2021/22 = 321,622 (pandemic recovery)
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In 2022-23, we will continue to work towards our strategic goals through a suite of activities including:

Ruth Marvel, Chief Executive, The Duke of Edinburgh’s Award

AND A DM NISTRATI
Financial review 34 Independent 45
auditor’s report
Structure, governance 38
and management Statutory fnancial 48
statements
Trustees and 42
administrative details

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21/22 Expenditure – total £17.2m (£'000s)
£1,059
9
£62 8 1 £2,043
2 £1,256
3 £135
£4,787 7
4 £5,481
The charity has had a very strong year; as the UK emerged
out of the COVID-19 pandemic demand for the Award £717 6
bounced back both in terms of numbers of Licensed 5
£1,616
Organisations and young people doing their DofE.
The charity has also continued to attract the Based on its financial health and resilience during Income and expenditure
generous support of existing and new donors. the COVID-19 pandemic, the charity refreshed its
This has driven the charity’s strong financial reserves policy. The new policy aims to allow us to The resurgence of demand significantly improved DofE’s
position, ending the year with net assets of £30.4m, invest in our new strategy Youth Without Limits with income for the year ended 31 March 2022, with total
an increase of £3.9m from the previous year. This considered and planned expenditure on initiatives group income up £6.1m on 2022 at £20.8m (2021: £14.7m).
increase was driven by a £3.6m operational surplus that have the greatest impact, whilst ensuring the The main elements of our income are as follows:
and a £0.3m gain in our investments. At 31 March ongoing financial sustainability of the charity.
– Licence income (other trading activities) of £5.3m, a
2022, the charity had cash of £8.1m, investment
£0.5m increase on the previous year (2021: £4.8m). It was ious year (2021: £4.8m). It was
assets of £18.0m, and reserves of £30.4m (including
encouraging to see the growth in the number of DofE
General Reserves of £23.2m).
centres, up 291 to 4,072.
–
Sales of literature and other goods (other trading
activities) saw a 90% increase to £7.4m (2021: £3.9m),
in part due to a catch up of participants that had not
been able to start their Awards in the prior year due to
COVID-19 restrictions and disruption to education and
21/22 Income – total £21.1m (£'000s)
youth services.
–
Donations and legacies totalled £5.5m, in line with the
4 £324
prior year (2021: £5.5m). Fundraising activities, especially
face to face events, re-emerged and we are extremely
£5,517 3 grateful for the continued and extended support from
1 Other trading activities – 62.9% our partners and donors.
2 Charitable activities – 9.4% – Income from charitable activities increased by £1.7m
1 £13,264
3 Donations and legacies – 26.2% to £2.0m (2021: £0.3m). The charity received significant
grants in the year, including £0.9m from the The
4 Investment gains – 1.5%
Julia and Hans Rausing Trust and £0.6m from the
£1,979 2 Department for Education.
The charity’s overall expenditure increased by £3.0m to
£17.1m (2021: £14.1m). Increased costs were driven by greater
operational activity, and investing in operational and
strategic change initiatives, including the associated staff
costs to deliver the new major grants awarded.
We are so proud of the efforts of our staff – working with
our expanding network of Licensed Organisations, our
increasing number of young people, and our valued new
REvieW
FinAnciAl
----- End of picture text -----

The resurgence of demand significantly improved DofE’s income for the year ended 31 March 2022, with total group income up £6.1m on 2022 at £20.8m (2021: £14.7m). The main elements of our income are as follows:

– Licence income (other trading activities) of £5.3m, a £0.5m increase on the previous year (2021: £4.8m). It was ious year (2021: £4.8m). It was encouraging to see the growth in the number of DofE centres, up 291 to 4,072.

– Sales of literature and other goods (other trading activities) saw a 90% increase to £7.4m (2021: £3.9m), in part due to a catch up of participants that had not been able to start their Awards in the prior year due to COVID-19 restrictions and disruption to education and youth services.

– Donations and legacies totalled £5.5m, in line with the prior year (2021: £5.5m). Fundraising activities, especially face to face events, re-emerged and we are extremely grateful for the continued and extended support from our partners and donors.

– Income from charitable activities increased by £1.7m to £2.0m (2021: £0.3m). The charity received significant grants in the year, including £0.9m from the The Julia and Hans Rausing Trust and £0.6m from the Department for Education.

The charity’s overall expenditure increased by £3.0m to £17.1m (2021: £14.1m). Increased costs were driven by greater operational activity, and investing in operational and strategic change initiatives, including the associated staff costs to deliver the new major grants awarded.

We are so proud of the efforts of our staff – working with our expanding network of Licensed Organisations, our increasing number of young people, and our valued new

1 Cost for fundraising – 11.9%

2 Cost of sales of literature and goods – 7.3%

3 Investment management fees – 0.8%

4 Supporting Licensed Organisations – 31.9%

5 Supporting volunteers – 9.4%

6 Participant support – 4.2%

7 Extending the reach of DofE – 27.9%

8 Supporting expeditions – 0.4%

9 Developing the DofE infrastructure – 6.2%

and enduring supporters – to extend the reach of the Award. We ended the year with net operating income of £3.6m (2021: £0.6m). Given the unfortunate events in Ukraine and the disruption to global markets we only made a minor gain in our investment portfolio of £0.3m (2021: £2.2m gain), which gave us an overall net income for the year of £3.9m (2021: £2.8m).

Reserves position

At the end of the year, the group’s overall reserves were £30.4m (2021: £26.5m), of which £2.8m related to funds given to the DofE with specific restrictions as to their use. In addition, within the unrestricted reserves, £4.3m was designated to provide funding for particular purposes (of which £2.4m are represented by leasehold property). These funds represent amounts set aside to support the delivery of our strategic objectives and amounts related to a donated property asset.

Going concern

Taking all of the above into account, the Trustees have a reasonable expectation that the charity and group has adequate resources to continue operating for the foreseeable future. Accordingly, they believe that the going concern basis remains the appropriate basis on which to prepare these financial statements.

Reserves policy

The charity’s reserves policy has been refreshed to reflect the financial health and resilience of the charity during the COVID-19 pandemic and to enable investment in our new strategy Youth Without Limits through considered and planned expenditure on initiatives that will have the greatest impact, whilst ensuring the ongoing financial sustainability of the charity.

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The new reserves policy requires us to maintain £6.0m of free (general) reserves to cover operational losses over a 2-year period under a range of modelled stress scenarios; the balance of free general reserves can be used to realise the strategic ambitions of the charity. Available free reserves at 31 March 2022 were £22.3m (2021: £19.2m). This is calculated by excluding those funds that have specific restrictions and funds designated for particular purposes, as well as the net book value of fixed assets not already designated (£907k).

We continuously monitor our cash levels and working capital requirements to ensure that funds are being invested appropriately, whilst maintaining sufficient levels in the bank for operational requirements.

Investment policy

The DofE’s constitution contains general powers for the Trustees to invest funds at their discretion. The Trustees’ policy is to protect and, over the long term, increase the value of the investment portfolio in real terms whilst at the same time ensuring availability of funds for capital investment and funding development opportunities to realise the ambitions of the charity.

Until May 2021, our investments were held across three total return funds. The objective for these funds was to deliver average annual growth of inflation plus 5% over a rolling three-year period.

In May 2021, our investment management was transferred to Mercer Global Investments Management Ltd (“Mercer”). The Trustees undertook a review of the charity’s investment strategy during 2020. As a result of this review, the Trustees have determined a benchmark mix of asset types and ranges within which Mercer may operate with discretion. Responsibility for monitoring the investment asset allocation and undertaking any rebalancing activity is delegated to Mercer. Mercer reports quarterly to the Trustees on any changes to the underlying fund managers or asset types.

The investment objective is to grow, or at least retain, the capital value of the charity’s investments in real terms. To achieve this objective, the Trustees have agreed to target a long-term total return, net of investment management costs, of 3.3% per annum in excess of inflation (as measured by the CPI ). Actual returns in the first year have underperformed with an annual return of 2.83%. The Audit, Investment and Risk Committee continues to monitor the performance of the investments to determine the ongoing suitability of the investment strategy for the charity, especially in light of the resurgence of inflation and economic uncertainty.

Responsible investment

The Trustees believe that environmental, social, and corporate governance (“ESG”) factors may have a material impact on investment risk and return outcomes, and that good stewardship can create and preserve value for companies and markets as a whole. The Trustees also recognise that long-term sustainability issues present risks and opportunities that increasingly may require explicit consideration. They have therefore put in place a Statement of Investment Principles (“SIP”) to guide investment decisions.

The investment fund managers are responsible for direct stewardship activities with underlying investments. These activities are reviewed periodically by the Trustees in conjunction with their advisors. During 2021, the Trustees appointed Mercer Global Investments Management Ltd (“Mercer”) as advisor and investment manager to the Fund. Mercer’s investment platform allows a greater level of flexibility to align the portfolio with the Trustees’ responsible investment beliefs, including allocations to investments aimed at enhancing ESG outcomes. The Trustees will continue to work with their advisors to improve integration of these considerations into their long-term objectives and across the wider investment process.

Managing risk

Effective risk management is key to delivering the charity’s strategy and objectives and so considerable time is devoted by the Trustees in reviewing the major risks to which the charity is exposed. In order to support their review, and the charity’s management of risk, there is a comprehensive risk register and risk management process in place. The risk register is regularly reviewed and updated by the Executive Team and reviewed quarterly by the Audit, Investment and Risk Committee and at least annually by the full Trustee Board.

The charity categorises the risks faced into three major topics: Strategic, Internal – Operational, and External, and employs a ‘three lines of defence’ model for risk management. The likelihood and impact of the risks are continually reviewed, along with how they are being managed and mitigated. The Trustees recognise the ongoing operational risks around IT security and safeguarding, along with new and evolving risks around staff related issues and the impact of inflation and financial uncertainty. The below key risks have been identified as part of their risk management process.

Safeguarding

Keeping young people safe from harm is our first priority and the responsibility of everyone involved with the DofE. The charity has a unique relationship with organisations licensed to run the DofE programme and, as part of the

licensee onboarding and licence renewal processes, we require assurances that licensees have current and appropriate safeguarding and related policies in place. Additionally, we regularly review our own safeguarding approach – for example, in the context of our current strategic ambition to reach one million more young people by 2026, with a sharper focus on those who experience marginalisation, and our plans to grow the direct delivery of the DofE programme. As a charity, the DofE is always looking for ways to improve and this is especially true when it comes to keeping young people safe.

Security and stability of internal and external accessed IT systems

The charity works with a number of external experts and suppliers and has significantly increased spending to manage and mitigate against risk in this area.

The DofE maintains ISO 27001 certification (International Standard for Information Security) which requires a register of all considered IT risks and a number of considerations about data and physical system access. This is reviewed internally on a regular basis and by an external auditor annually. Recognising the issue that even the best protected systems are not impregnable, the charity works to ensure that, in the event of a breach, there is a full communication and business continuity plan ready for implementation. This plan is flexible dependent on the systems that are unavailable. The DofE has enhanced its IT security by gaining audited IASME Cyber Assurance (level two).

Staff issues — resilience, recruitment and retention

The charity recognises the hard work and incredible levels of commitment our staff have managed to maintain throughout the difficulties of the last two years during the Covid-19 pandemic and newer challenges arising from inflation and economic uncertainties. We are committed to supporting their wellbeing and maintaining morale and want to ensure that the DofE remains an attractive place to work and that we continue to recruit, train, support and retain high-quality staff to deliver our ambitious five-year strategy. Our employee offering is regularly reviewed and adjusted where necessary; recently, we introduced a new Hybrid Working Policy and refreshed our benefits provision. We continue to monitor and take action to ensure we are securing and retaining more skilled resources to implement our strategy and deliver the scale of our ambition (including for the major grants we have received) in a competitive staffing environment.

Inflation and economic uncertainty

Inflation and economic uncertainty are having an impact on our donors, volunteers, staff, and most importantly the young people we are trying to support. This could inevitably impact the reach, work and finances of the charity. We will closely monitor the impact of this risk on the charity and

will work with our professional advisors on how best to protect the charity’s financial position and use our financial resources to mitigate against any emerging issues.

In the year ended 31 March 2022 and more recently, we have received considerable government and private grant funding to reach and support the most marginalised cohorts of young people to undertake the Award. These are multi-year grants that provide financial stability in the face of economic uncertainty.

The receipt of three significant grants has meant we have had to introduce new processes to manage and assure large-scale grant-funded projects. Management have introduced appropriate processes and controls to ensure that grant funds are spent in line with the grant agreements. This has included external assurance work on the Department for Education grant.

Fundraising responsibly

The Duke of Edinburgh’s Award raises funds from its network of established supporters, including individuals, trusts, foundations and corporate partnerships via appeal letters, emails and telephone. It also undertakes fundraising activity via fundraising events. The DofE’s corporate partners are also engaged through delivering the Gold DofE for their young workforce, mass participation events for their colleagues, communications opportunities, and bespoke partnership activity. The DofE does not contract professional fundraisers or commercial participators to undertake its fundraising or partnership activities on its behalf.

The DofE is registered with the Fundraising Regulator and adheres to its Code of Fundraising Practice and its associated rulebooks for fundraising activities. Additional guidance and information are sought from the Institute of Fundraising in order to inform best practice. We abide by the Fundraising Code of Practice in our fundraising behaviour, in how we ask for support, how we keep donors informed and how we treat people fairly. This ensures that we protect vulnerable people and other members of the public from behaviour which is an unreasonable intrusion their privacy, is unreasonably persistent or places undue pressure on anyone to give money or other property.

The DofE has developed trusted and long-term relationships and partnerships with its supporters. It is compliant with General Data Protection Regulation (GDPR) and will only contact prospective and existing supporters in line with its Privacy Policy and Data Protection statement. We do not sell or swap personal data.

The DofE welcomes feedback on its fundraising activities and has a complaints policy that outlines how the charity will react should a complaint be received regarding its fundraising methods. We received no complaints in the financial year 2021/22.

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StructurE, GovErnAnce AnD mAnAgEment

Charitable objectives

Structure of the charity

To continue to foster and administer a programme of Awards for young people in our United Kingdom and elsewhere and thereby, through the development of their character, to promote good citizenship for the public benefit.

The Duke of Edinburgh’s Award was established in 1956 under a deed of trust and registered as a charity. In 1998 it transferred its assets and business to a company limited by guarantee, registered as a charity. In 2006* The Duke of Edinburgh’s Award was granted a Royal Charter and in October 2007 the Royal Charter Corporation took over the assets and undertakings of the company limited by guarantee with the latter being wound up in 2008.

Public benefit

The Trustees have considered the public benefit guidance and believe that the delivery of the personal development programmes for young people are in line with the DofE’s charitable objectives and delivery of public benefit:

The DofE has a subsidiary company, Award Scheme Limited (ASL).

The Expedition section of the DofE is monitored by an Advisory Panel of experts.

* The Royal Charter was granted on 14 December 2005 and came into effect on 1 April 2006.

The Duke of Edinburgh’s International Award Foundation

The Award programme continues to develop internationally under The Duke of Edinburgh’s International Award Foundation which was established in 1986 with specific responsibility for facilitating the development of the Award across the world. It operates through licensing agreements with National Award Operators and Independent Award Centres in over 130 countries and territories.

Reference and administration details

The Trustees and senior executives are listed on pages 42-43 together with advisors to the charity. Details of the charity numbers and the registered office can be found on page 43.

The UK Award is the National Award Operator for the UK and works in close association with The Duke of Edinburgh’s International Award Foundation. The UK Award has a Trustee who is a Trustee of both the UK Award and The Duke of Edinburgh’s International Award Foundation, as is provided in The Duke of Edinburgh’s International Award Foundation’s constitution.

Joint Advisory Committee

The Joint Advisory Committee, consisting of the President’s Award in the Republic of Ireland and The Duke of Edinburgh’s Award in Northern Ireland, exists to advise the Council of The President’s Award and the Trustees of The Duke of Edinburgh’s Award on matters relevant to the operation of the DofE both in Ireland and Northern Ireland. It supports efforts to build upon existing co-operation and improve engagement in the Award from all communities of young people in Northern Ireland and Ireland.

Governance

The DofE is a registered charity whose board of Trustees takes all decisions collectively. All Trustees are equal in the duties and responsibilities that they owe to stakeholders, and accordingly they work together as one body within which the Chair takes the lead.

The Trustees are responsible for determining all important matters of policy. They meet formally four times each year and whenever necessary to carry out their responsibilities. They review strategy and performance annually and approve budgets and operating plans in line with strategy.

In addition to the main board meetings, governance of the DofE is exercised through a number of committees that hold responsibility for specific areas of governance activity. Following an independent Governance review in 2020 the names and remits of the sub-committees of the Board were amended to:

the charity’s relationship with the external auditor, determines the integrity of the financial statements, and reviews the business risk management framework including compliance and internal controls. The committee also oversees the charity’s external relationship with its investment managers, reviews investment strategy and monitors the performance of the investment portfolio.

– The Remuneration Committee oversees the

performance and remuneration of the Chief Executive and the overall approach to performance, pay and benefits across the organisation.

– The Governance Committee oversees continuous development of planning, makes decisions, and recommends the appointment and reappointment of Trustees and the CEO.

Membership of these bodies is set out on page 42.

The corporate governance of the DofE is monitored against guidelines for best practice as set by the Charity Commission in their framework for sound governance and accountability (Hallmarks of an Effective Charity) and it is the Trustees’ practice to develop the DofE’s corporate governance procedures whenever appropriate.

There is a maximum of 12 Trustees.

Terms of office are for a maximum of four years for newly appointed Trustees, renewable once following a performance review. Current Trustees will complete their original term of office duration. HRH The Earl of Wessex has no limit to his term, subject to confirmation by the Trustees of his position every five years. The Chair can serve for a period of up to ten years, regardless of prior service as a Trustee.

The Trustees are all non-executive, have no financial interest in the charity, remuneration or other benefits and give freely of their time and, in many cases, financial support. Trustee independence is not considered to be an issue.

Induction and training of Trustees

The Governance Committee, together with the Chair, manages the process of Trustee recruitment on behalf of the Board. A comprehensive skills audit is conducted regularly to identify the key skills and experiences, including lived experiences, that are required to ensure the Board has the right balance of expertise. An open recruitment process is conducted for all Trustee appointments to ensure we promote these opportunities to the widest range of potential candidates.

The Trustee Board ratifies all new Trustee appointment and all new Trustees are given a comprehensive induction to ensure they understand the charity’s strategy, our key activities and our governance and assurance frameworks. All Trustees are given opportunities to visit DofE centres and meet participants and leaders and see DofE in action as part of their induction as well as being invited to attend regular events for other staff and external stakeholders throughout their terms of office. All Trustees have regular performance reviews with the Chair of Trustees and as part of these further learning and development needs are identified and met through additional training, mentoring or whole-Board development sessions as required.

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Management and delegated authority

The Trustees review strategy and performance and approve budgets and operating plans in line with the charity’s strategy. Authority to implement the strategies and policies on behalf of the Trustees and to conduct the day-to-day operations of the DofE is delegated to the Chief Executive. The Chief Executive is accountable to the Trustees for the efficient running of the DofE with the help of the Executive Leadership Team.

As well as implementing the Trustees’ approved strategy for the DofE, and ensuring the operational efficiency of programmes, the Chief Executive and the management team are responsible for promoting the benefits of DofE programmes to the widest possible audience, raising the funds necessary to support the programmes, administering the DofE’s finances, and making the Trustees aware of the need for any changes to DofE programmes and delivery arrangements.

In order to ensure consistency of approach by those to whom DofE programmes are licensed, to promote and develop DofE programmes in new organisations and different groups of young people, and to maintain and enhance the quality of delivery of DofE programmes, there is a Country Director in each of Northern Ireland, Scotland and Wales and five Regional Directors in England.

At the end of the financial year the DofE had 244 full or part time employees. Third party organisations that are licensed to deliver DofE programmes to young people work closely with DofE staff, but they employ their own staff for the purpose. The DofE carries out quality assurance procedures on the delivery of DofE programmes but is not responsible for the licensees’ employees or for their volunteers.

Volunteers

Around 40,000 volunteers are engaged in various capacities in the delivery of DofE programmes to young people, for example as Assessors, Co-ordinators, Leaders and Supervisors. DofE depends on the generosity and hard work of volunteers who give up their time to enable young people to access a DofE programme in a huge variety of settings, from schools and youth groups, to sports clubs and uniformed youth organisations. Adult volunteers are supported by DofE staff to manage DofE delivery in their centres, enrolling, supporting and encouraging young people throughout their DofE journey and ensuring that young people can access all the components of the DofE programme, including the Expedition section of the Award.

Employee involvement and employment of disabled people

The DofE continues to develop its employment policies to be consistent with best practice. In accordance with the DofE’s equal opportunities policy, the DofE operates fair employment practices in the recruitment, selection, retention and training of disabled staff.

Employees are consulted on issues of interest and concern to them through regular staff engagement and are kept informed on specific matters directly by the leadership team. The Staff Consultation Forum plays an important role in consulting with colleagues across DofE and helping to develop policies and procedures that affect staff as well as support the implementation of strategic priorities under DofE’s People Strategy. The DofE has robust grievance and whistleblowing policies and procedures and offers exit interviews to all staff leaving the organisation to provide an opportunity for any staff related concerns to be raised and areas for improvement in employee relations to be identified.

Social responsibility statement

The DofE is committed to ensuring that it is a socially responsible organisation.

As part of this commitment the DofE seeks to integrate social and environmental concerns in its business strategy and operations. The DofE addresses its social responsibility in the following areas:

Workplace

The DofE aims to offer a workplace that encourages personal development, allows for free communication and provides a positive work/life balance. It supports volunteer work, both in the organisation and through charitable projects.

The DofE has clear and accessible employee policies relating to equal opportunities, maternity and paternity leave, lone working, grievances etc. In 2021/22, the management team worked with the Staff Consultation Forum to develop a Hybrid Working Policy for the charity to support alternative ways of working.

All employees are encouraged to act in a socially responsible manner and respect the environment in which they operate.

Environment

The DofE actively seeks ways to reduce the impact of its activities on the environment.

It seeks to achieve this through policies to minimise the local impact of DofE activities whilst enabling the enjoyment of such spaces by DofE participants; to educate Leaders and participants about the environment; to promote the sustainable use of the outdoor environment and to encourage sustainable environmental policies within the workplace.

Stakeholders

The charity’s stakeholders are the young people who undertake a DofE programme, our donors, volunteer network, Licensed Organisations, staff and Trustees.

To all of these groups the DofE aims to be an organisation that is open, responsive and aware of their particular interests and needs. To achieve this, it encourages participation by way of consultation, provides feedback through regular publications, and ensures the charity’s website is kept up-to-date and is accessible to all.

Community

The DofE operates as a UK-wide charity but structures its operations on a regional basis to ensure strong ties in local communities throughout the UK.

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TrusteEs AnD AdministrAtive detAils

UK Executive Leadership Team (from 24 August 2021)

Ruth Marvel Chief Executive

Sukhjit Singh Chief Financial Officer Appointed 5 July 2021

Rebecca Kennelly MBE

Registered details

The Duke of Edinburgh’s Award is a Registered Charity No: 1072490, and in Scotland No: SC038254, and a Royal Charter Corporation No: RC000806. Registered Office: Gulliver House, Madeira Walk, Windsor, SL4 1EU

Bankers

Lloyds, 8–10 Waterloo Place, London SW1Y 4BE

Executive Director of UK Operations Appointed 5 July 2021

The Trustees of The Duke of Edinburgh’s Award represent a wide range of backgrounds, experiences and skills and meet regularly to help steer the development of the charity.

Steve Kingstone Appointed 24 August 2021

Executive Director of Strategy and Engagement

Previous UK Executive Team (to 24 August 2021)

Ruth Marvel Chief Executive

Simon Leicester

Interim Finance & HR Director

Investment Managers

1. Mercer Global Investments Management Ltd, 70 Sir John Rogerson's Quay, Dublin 2, D02 R296

2. BlackRock Investment Management (UK) Limited, 33 King William Street, London EC4R 9AS*

In May 2021, all funds managed by Ruffer LLP, Standard Life Investments (Mutual Funds) Limited and Baring Assets Management (London) were transferred to Mercer Global Investments Management Ltd, 70 Sir John Rogerson's Quay, Dublin 2, D02 R296.

Resigned 12 August 2021

The Trustees review strategy and performance and approve budgets and operating plans in line with this strategy. Authority to implement the strategies and policies on behalf of the Trustees and to conduct the day-to-day operations of the DofE is delegated to the Chief Executive.

The Chief Executive is accountable to the Trustees for the efficient running of the DofE, supported by the Executive team and their respective staff teams.

Trustees

The Baroness Tanni Grey-Thompson DBE

HRH Earl of Wessex KG GCVO

Committees of the Board

Audit, Investment and Risk Committee

Jenny Morgan

Mel Ewell

Mo Isap Appointed 15 July 2022 Ofei Kwafo-Akoto Appointed 15 July 2022

Governance Committee

Patricia Tehan

HRH The Earl of Wessex KG GCVO

The Baroness Tanni Grey-Thompson DBE Julian Hough

Phil Treleven UK Services Director Resigned 2 April 2021

Caroline Glen Fundraising Director

Peter Schooling Commercial Director Resigned 2 April 2021

Andrew Logie IT Director

Helen Anderson Scotland Director

Stephanie Price Wales Director

*We hold a small legacy investment with BlackRock which is due to be closed in the near future.

Independent auditor

Crowe U.K. LLP, 55 Ludgate Hill, London EC4M 7JW

Solicitors

Farrer & Co, 66 Lincoln’s Inn Fields, London WC2A 3LH

Lord Offord of Garvel

Patricia Tehan

Mel Ewell

Julian Hough

Jenny Morgan

Mo Isap Appointed 23 March 2022

Anna Rose Barker MBE Appointed 23 March 2022 Ofei Kwafo-Akoto Appointed 23 March 2022

Remuneration Committee

Mel Ewell

The Baroness Tanni Grey-Thompson DBE

Anna Barker Appointed 15 July 2022

Kate Thompson Northern Ireland Director

Helen Foster North of England Director

Jackie Bull Central England Director

Peter Singleton South East Director

Heather Thompson South West Director

Clare Argar London Director

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Statement of responsibilities of the Trustees of The Duke of Edinburgh’s Award in respect of the Trustees’ annual report and the financial statements

Under charity law, the Trustees are responsible for preparing the Trustees’ Annual Report and the financial statements for each financial year which show a true and fair view of the state of affairs of the group and the charity and of the group’s and the charity’s excess of income over expenditure for that period. The Trustees have elected to prepare the financial statements in accordance with UK Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland.

In preparing these financial statements, generally accepted accounting practice entails that the Trustees:

AuDITOR’S REPorT INDepENDENT

Independent Auditor’s Report to the Trustees of The Duke of Edinburgh’s Award

The Trustees are required to act in accordance with the trust deed of the charity, within the framework of trust law. They are responsible for keeping proper accounting records, sufficient to disclose at any time, with reasonable accuracy, the financial position of the charity at that time, and to enable the Trustees to ensure that, where any statements of accounts are prepared by them under the Charities Act 2011 and the Charities and Trustee Investment (Scotland) Act 2005, those statements of accounts comply with the requirements of regulations under those Acts. They are responsible for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error, and have general responsibility for taking such steps as are reasonably open to them to safeguard the assets of the charity and to prevent and detect fraud and other irregularities.

The Trustees are responsible for the maintenance and integrity of the financial and other information included on the charity’s website. Legislation in the UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Jenny Morgan

Trustee

On behalf of the Board of Trustees,

29 November 2022

Opinion

We have audited the financial statements of The Duke of Edinburgh’s Award (‘the charity’) and its subsidiary (‘the group’) for the year ended 31 March 2022 which comprise the Consolidated Statement of Financial Activities, Group and Parent Charity Balance Sheets, Consolidated Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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 charity’s or the group’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

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Other information

The Trustees are responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether 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 in relation to which the Charities (Accounts and Reports) Regulations 2008 and the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement set out on page 44, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 151 of the Charities Act 2011, and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Acts 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 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.

Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and noncompliance with laws and regulations are set out below.

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/auditors responsibilities. This description forms part of our auditor’s report.

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

Irregularities, including fraud, are instances of noncompliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.

We obtained an understanding of the legal and regulatory frameworks within which the charity and group operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Charities Act 2011 and The Charities and Trustee Investment (Scotland) Act 2005) together with the Charities SORP (FRS 102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.

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 might be fundamental to the charity’s and the group’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charity and the group for fraud. The laws and regulations we considered in this context for the UK operations were General Data Protection Regulation (GDPR), Health and safety legislation, Taxation legislation and Employment legislation.

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other management and inspection of regulatory and legal correspondence, if any.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the timing of recognition of income, the assessment of going concern and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management, and the Audit and Investment Committee about their own

identification and assessment of the risks of irregularities, sample testing on income and the posting of journals, reviewing accounting policies and accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission and OSCR, and reading minutes of meetings of those charged with governance.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect noncompliance with all laws and regulations.

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, and Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charity’s Trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s Trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Julia Poulter Senior Statutory Auditor

For and on behalf of Crowe U.K. LLP Statutory Auditor London

Date: 15th December 2022

46

47

FinAnciAl stATEments stAtutory

Consolidated Statement of Financial Activities

(incorporating the Income and Expenditure account) for the year ended 31 March 2022

Note
Income from:
Donations and legacies
3
Charitable activities
4
Other trading activities
6
Investments
7
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
8
Net operating income/(expenditure)
Gains/(losses) on investments
10
Net income/expenditure for the year
Transfers between funds
Net movement in funds
Reconciliation of funds for year ended
31 March 2022
Fund balances at 1 April
Fund balances at 31 March		 Unrestricted
Funds 2022
£000
Restricted
Funds 2022
£000
Total Funds
2022
£000
Total Funds
2021
£000
3,246
2,271
5,517
5,505
121
1,858
1,979
303
13,264
-
13,264
8,928
2
-
2
3
16,633
4,129
20,762
14,739
(3,434)
-
(3,434)
(2,470)
(11,695)
(2,027)
(13,722)
(11,648)
(15,129)
(2,027)
(17,156)
(14,118)
1,504
2,102
3,606
621
322
-
322
2,225
1,826
2,102
3,928
2,846
732
(732)
-
-
2,558
1,370
3,928
2,846
25,084
1,428
26,512
23,666
27,642
2,798
30,440
26,512

All gains and losses recognised in the year are included above; therefore, a separate statement of recognised gains and losses has not been prepared.

As permitted by the charity SORP, a separate Statement of Financial Activities (SOFA), dealing with the results of the parent charity only, has not been presented. The individual charity net surplus for the year was £3.9m ( 2021: £2.8 million ). Details of the subsidiary company’s profit and loss accounts for the year are summarised in note 17.

Group And Parent Charity Balance Sheets as at 31 March 2022 Registered Charity number: 1072490

Note
Fixed assets
Tangible assets
9
Investments
10
Total fxed assets
Current assets
Stock
Debtors
11
Cash at bank and in hand
Total current assets
Current liabilities
Creditors – amounts falling due within 1 year
12
Net current assets
Total assets less current liabilities
The funds of the charity
Unrestricted general fund
Unrestricted designated fund
Non charitable trading funds
Total unrestricted income funds
Restricted Funds
Total funds
14		 Group 2022
£000
Group 2021
£000
Charity 2022
£000
Charity 2021
£000
3,335
3,384
3,335
3,384
18,003
13,816
18,003
13,816
21,338
17,200
21,338
17,200
67
64
-
-
2,685
1,227
4,773
3,570
8,137
10,009
5,660
7,280
10,889
11,300
10,433
10,850
(1,787)
(1,988)
(1,419)
(1,626)
9,102
9,312
9,014
9,224
30,440
26,512
30,352
26,424
23,220
20,133
23,220
20,133
4,334
4,863
4,334
4,863
88
88
-
-
27,642
25,084
27,554
24,996
2,798
1,428
2,798
1,428
30,440
26,512
30,352
26,424

The financial statements set out on pages 48 to 69 were approved by the Trustees on 29 November 2022 and signed on their behalf by:

Jenny Morgan

Trustee

48

49

Notes to the Financial Statements for the year ended 31 March 2022

Consolidated Cash Flow Statement for the year ended 31 March 2022

Note
Cash flows from operating activities:
Net cash provided by operating activities
18
Cash flows from investing activities:
Dividends, interest and rents from investments
7
Purchase of property, plant and equipment
9
Cash receipts from the sale of investments
10
Purchase of investments
10
Net cash flows from investing activities
Change in cash and cash equivalents in the reporting period
Cash and cash equivalents at 1 April 2021
Cash and cash equivalents at 31 March 2022
Analysis of cash and cash equivalents shown in the balance sheet
Cash at bank and in hand
Notice deposits (less than two months)		 Group 2022
£000
Group 2021
£000
2,144
2,453
2
3
(153)
(39)
135
114
(4,000)
-
(4,016)
78
(1,872)
2,531
10,009
7,478
8,137
10,009
2022
£000
2021
£000
8,137
10,009
-
-
8,137
10,009

1. Constitution

The Duke of Edinburgh’s Award is registered at Gulliver House, Madeira Walk, Windsor, SL4 1EU.

The Duke of Edinburgh’s Award is incorporated by Royal Charter and is a registered charity whose mission is to inspire, guide and support young people in their selfdevelopment and recognise their achievements.

2. Accounting policies for the year ended 31 March 2022

B. Fund accounting

A. Basis of preparation of financial statements

Funds held by the charity are either:

The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to have extent required to provide a ‘true and fair view’. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014.

C. Income

Income is recognised in the period in which the Charity has entitlement to the income, when it is probable that the income will be received and the amount of the income can also be measured reliably. Where income is received in advance of providing goods and services, the income is deferred until the Charity becomes entitled to the income.

As stated on page 44, the Trustees have a reasonable expectation that the charity and group has adequate resources to continue operating for the foreseeable future. Accordingly, they believe that the going concern basis remains the appropriate basis on which to prepare these financial statements.

Legacies are recognised on a case-by-case basis following the grant of probate and when the entitlement to the legacy has been established, receipt is probable and amount of the legacy can be measured reliably.

Basis of consolidation

The group accounts incorporate those of the wholly owned subsidiary of the charity, The Award Scheme Ltd, as detailed in note 17 to the financial statements. The results are consolidated on a line-by-line basis.

Gifts in kind (e.g., donated facilities, services and items for fundraising events) are included at the value to the charity where there this can be quantified, at their estimated market value at the time of receipt. An equivalent expenditure amount is included in the financial statements at the same time as the income is recognised. No amounts are included in the financial statements for services donated by volunteers. Around 40,000 volunteers are engaged in various capacities in the delivery of DofE programmes to young people, for example as Assessors, Co-ordinators, Leaders and Supervisors.

50

51

2. Accounting policies for the year ended 31 March 2022 (continued)

E. Tangible fixed assets and depreciation

Grants (including Government grants) are recognised when the entitlement to the grant is established and confirmed by both parties.

Tangible fixed assets are shown at their current net book value on an historical cost basis. Assets are capitalised where the value of the asset is greater than £1,000 (with the exception of computers, all of which are capitalised). The carrying values of tangible fixed assets are reviewed for impairment in the period in which events or changes in circumstances indicate that the carrying values may not be recoverable.

Fundraising income is shown gross of any associated expenditure. Income received in advance of an event taking place is deferred until the entitlement to that income has arisen (i.e. the event occurs), at which time it is credited to the SOFA. Where income is raised through fundraising events held jointly with DofE connected charities, only the share of that income which is attributable to the charity is recognised.

Donated assets are included in incoming resources and fixed assets at an estimate of their value to the charity at the date of receipt.

Income from sale of goods is recognised when the significant risks and rewards of ownership of the goods have been transferred to the buyer. For Welcome Packs, this is considered to be the date of purchase of the packs. For other goods sold, this is considered to be the point of delivery. Turnover on licence fee income is recognised over the period for which the licence is granted.

Gains or losses on the disposal of fixed assets are reflected in net income/expenditure for the year shown in the Statement of Financial Activities.

Other than freehold land, which is not depreciated, depreciation of fixed assets is charged on a straight-line basis on deemed cost as follows:

Investment income is accounted for on an as received basis.

– Freehold buildings: 2% per annum

D. Expenditure

– Long and short leasehold property: Straight-line basis over the remaining length of the lease

Expenditure is recognised when it is incurred and is reported gross of related income on the following basis:

– Expenditure on raising funds comprises the costs associated with attracting voluntary income and the costs of sales of literature and goods.

F. Investments

Except as stated, listed investments are held at market value at the balance sheet date and the SOFA includes the investment gains/losses for the year. The market values of listed securities and pooled fund investments are stated at published prices. Unquoted securities are stated at investment managers’ declared net asset values.

G. Investments in subsidiary companies

The DofE’s shareholding in its subsidiary company, Award Scheme Limited (ASL), is held at the cost less any provision for impairment.

2. Accounting policies for the year ended 31 March 2022 (continued)

L. Significant accounting estimates and judgements

H. Stock

In the application of the accounting policies, the Charity has to make judgements, estimates, and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

An inventory of training information, publicity material and products for resale is held by ASL. This inventory is maintained on the FIFO basis and is valued at the lower of cost and fair value. Where appropriate, provision is made for obsolete, slow-moving and defective stocks.

I. Pension costs

Employer’s pension costs are charged in the period in which the salaries to which they relate are payable. Differences between contributions payable in the year and contributions actually paid are shown in either accruals or prepayments in the balance sheet.

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

From 1 April 2014 the charity contributed to a defined contribution scheme administered by Scottish Widows. This cost (2022: £664k, 2021: £633k ) is included within total staff costs and is expensed in the year it was incurred.

As at 31 March 2022, the Charity had the following uncertain estimates and accounting judgements;

– Accrual of costs for annual leave not taken

J. Operating leases

Where practical, rental paid under operating leases is charged to the SOFA on a straight-line basis over the life of the lease. Where the amounts involved are insignificant, operating leases may be charged to the SOFA as they are paid.

– Depreciation

Management have based their judgement of useful economic life of assets on past experience and industry norms as appropriate.

K. Financial Instruments

– Dilapidations

These are based on estimated average market rates and reviewed for reasonableness on an annual basis, dependent on information provided to management by property management agents.

The Charity has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised value with the exception of investments which are held at fair value. Financial assets held at amortised cost comprise cash at bank and in hand, together with trade and other debtors. A specific provision is made for debts for which recoverability is in doubt. Financial liabilities held at amortised cost comprise all creditors except payroll and other taxes and provisions.

M. Exemptions

The charity prepares a consolidated cash flow statement, and the consolidated accounts, in which the charity’s results are included, are available to the public. It has therefore taken advantage of the exemption conferred by FRS102 Section 1 not to prepare a parent only cash flow statement.

52

53

3. Donations and legacies

A: Income from
donations and legacies
Note
Donations
Legacies
Donations in kind
3b
Grants
3c		 Unrestricted
Funds 2022
£000
Restricted
Funds 2022
£000
Total Funds
2022
£000
Unrestricted
Funds 2021
£000
Restricted
Funds 2021
£000
Total Funds
2021
£000
2,671
1,913
4,584
1,662
2,608
4,270
-
-
-
1
-
1
199
-
199
47
-
47
376
358
734
1,177
10
1,187
3,246
2,271
5,517
2,887
2,618
5,505

4. Charitable activities

Supporting Licensed
Organisations
Supporting volunteers
Supporting expeditions
Extending the reach		 Unrestricted
Funds 2022
£000
Restricted
Funds 2022
£000
Total Funds
2022
£000
Unrestricted
Funds 2021
£000
Restricted
Funds 2021
£000
Total Funds
2021
£000
-
-
-
2
-
2
121
-
121
43
-
43
-
-
-
(10)
-
(10)
-
1,858
1,858
-
268
268
121
1,858
1,979
35
268
303

B: Donations in kind

The material donations in
kind received during the
year are estimated
to be valued as follows:
Fundraising direct costs
Accommodation
Other		 Unrestricted
Funds 2022
£000
Restricted
Funds 2022
£000
Total Funds
2022
£000
Unrestricted
Funds 2021
£000
Restricted
Funds 2021
£000
Total Funds
2021
£000
122
-
122
-
-
-
77
-
77
37
-
37
-
-
-
10
-
10
199
-
199
47
-
47
C: Grant income
Supporting Licensed
Organisations
Extending the reach
of the DofE
Other unrestricted grants
Government furlough
grant		 Unrestricted
Funds 2022
£000
Restricted
Funds 2022
£000
Total Funds
2022
£000
Unrestricted
Funds 2021
£000
Restricted
Funds 2021
£000
Total Funds
2021
£000
16
-
16
19
-
19
-
358
358
300
10
310
355
-
355
-
-
-
5
-
5
858
-
858
376
358
734
1,177
10
1,187

5. Government grants

A: Government grants within Income
from donations and legacies (note 3)
Northern Ireland Education Authority
The Council of the City of Manchester
Government furlough grant
B: Government grants within Income
from charitable activities (note 4)
UK Department for Education
Welsh Government
Northern Ireland Education Authority		 2022
£000
2021
£000
6
-
9
12
5
858
20
870
2022
£000
2021
£000
563
-
103
125
137
92
803
217

6. Other trading activities

Grant income is received from various bodies including government departments. This income is used to fund activities undertaken by the DofE in the United Kingdom. A breakdown of government grants is shown in Note 5.

Government furlough grant income relates to amounts received under the Coronavirus Job Retention Scheme where staff were furloughed. There were no conditions attached to this income.

Licence income
Sales of literature & other goods
Fundraising events
Administrative support		 Unrestricted
Funds 2022
£000
Restricted
Funds 2022
£000
Total Funds
2022
£000
Unrestricted
Funds 2021
£000
Restricted
Funds 2021
£000
Total Funds
2021
£000
5,327
-
5,327
4,849
-
4,849
7,431
-
7,431
3,917
-
3,917
435
-
435
80
-
80
71
-
71
82
-
82
13,264
-
13,264
8,928
-
8,928

54

55

7. Investment income

7. Investment income
Investment income arises from:
– Interest on cash balances
– Income from investment portfolio		 2022
£000
2021
£000
2
1
-
2
2
3

8. Expenditure on charitable activities
A: Expenditure on
charitable activities
Expenditure on raising funds
Cost of fundraising
Cost of sales of literature & goods
Investment management fees
Supporting programmes:
- Supporting Licensed Organisations
- Supporting volunteers
- Participant support
Extending the reach of the DofE
Supporting Expeditions
Developing the DofE infrastructure
Total expenditure on charitable
activities**		 Directly
charged
costs
2022
Staff
costs
2022
Allocated
overhead
2022
Total
2022
Directly
charged
costs
2021
Staff
costs
2021
Allocated
overhead
2021
Total
2021
£000
£000
£000
£000
£000
£000
£000
£000
537
1,363
143
2,043
159
1,086
146
1,391
808
406
42
1,256
421
480
64
965
135
-
-
135
114
-
-
114
1,480
1,769
185
3,434
694
1,566
210
2,470
346
4,648
487
5,481
347
2,993
401
3,741
99
1,373
144
1,616
68
785
105
958
181
485
51
717
134
527
71
732
2,070
2,459
258
4,787
1,044
3,746
502
5,292
16
42
4
62
690
14
2
706
575
438
46
1,059
-
193
26
219
3,287
9,445
990
13,722
2,283
8,258
1,107
11,648
4,767
11,214
1,175
17,156
2,977
9,824
1,317
14,118

Included in expenditure are governance costs of £156k (2021: £137k).

Staff costs include those charged directly to a charitable activity and some allocated centrally on the basis of staff time.

8. Expenditure on charitable activities (continued)

B: Allocated overhead costs

Overhead costs not directly charged to a charitable
activity are allocated centrally on the basis of staff time.
Office accommodation and services
Property and equipment depreciation
IT costs
Staff travel costs
Professional fees
Insurance
Unallocated recoverable VAT
Other costs
C: Net income before investment gains is stated after charging:
Depreciation
Operating leases
Auditor’s remuneration – audit services
Auditor’s remuneration – grant audit services
D: Staff costs
Wages and salaries
Social security costs
Pension costs
Other staff costs		 2022
£000
2021
£000
262
316
202
210
513
497
252
242
134
169
85
80
(279)
(212)
6
15
1,175
1,317
2022
£000
2021
£000
202
216
591
664
32
30
3
4
2022
£000
2021
£000
8,930
8,068
940
832
664
633
680
291
11,214
9,824

Staff costs include termination payments of £77,196 (2021: £243,361) of which £11,475 (2021: £86,076) is considered ex-gratia. In the prior year, 2021, of this ex-gratia amount, £85k was reimbursed to the charity under payment protection insurance. Termination costs are accrued once formally agreed by management and a reliable estimate can be made.

Staff numbers
Generating funds
Charitable activities
Governance		 2022
Numbers
2021
Numbers
27
28
204
213
2
2
233
243

56

57

8. Expenditure on charitable activities (continued)

E: Staff whose emoluments (excluding pension contributions)
were in excess of £60,000
£60,001 – £70,000
£70,001 – £80,000
£80,001 – £90,000
£90,001 – £100,000
£100,001 – £110,000
£110,001 – £120,000
£120,001 – £130,000		 2022
Numbers
2021
Numbers
5
5
8
2
5
4
-
-
-
1
-
2
1
1
19
15
F: Total paid to key personnel
1 April 2020 – 31 March 2021
1 April 2021 – 24 August 2021
25 August 2021 – 31 March 2022		 2022
£000
2021
£000
-
1,414
495
-
338
-
833
1.414

For the period from 1 April 2021 to 24 August 2021, key personnel were defined as the 14 individuals who made up the UK Executive Team, as disclosed on page 43. The interim Finance Director was contracted rather than employed and £49k of costs are in included in the above disclosure for this.

9. Tangible fixed assets (group and charity)

Cost at 1 April 2021
Additions
Disposals
Cost at 31 March 2022
Depreciation at 1 April 2021
Disposals
Charge for the year
Depreciation at 31 March 2022
Net book value at 31 March 2021
Net book value at 31 March 2022		 Freehold
Land &
Building
Long
leasehold
property
Fixtures,
fittings &
equipment
Computer
equipment
Trademarks
Total
£000
£000
£000
£000
£000
£000
800
2,600
1,358
806
27
5,591
-
-
36
117
-
153
-
-
(277)
(34)
-
(311)
800
2,600
1,177
889
27
5,433
(111)
(151)
(1,196)
(740)
(9)
(2,207)
-
-
277
34
-
311
(16)
(21)
(103)
(59)
(3)
(202)
(127)
(172)
(1,022)
(765)
(12)
(2,098)
689
2,449
162
66
18
3,384
673
2,428
95
124
15
3,335

The freehold land and building is Swan House, Madeira Walk, Windsor which houses the Charity’s South East Regional Office. The long leasehold property relates to the DofE Head Office in Windsor, Gulliver House.

All tangible fixed assets of the parent charity are held for charitable use. The net book value of assets held by the subsidiary company is £26 ( 2021: £182 ).

From 25 August 2021, the DofE’s leadership was restructured and the key personal have been defined as the four individuals who make up the new UK Executive Leadership Team, also disclosed on page 43.

In the prior year, key personnel were defined as the 16 individuals who were in post in the year to 31 March 2021 who made up the UK Executive team.

10. Investments (group and charity)

Investments at 1 April 2021
Disposals proceeds
Additions
Net Investment gain/(loss)
Investments at 31 March 2022		 2022
Main
Investments
(equities)
2022
Money
Market
(cash)
2022
Total
2021
Total
£000
£000
£000
£000
13,816
-
13,816
11,705
(135)
-
(135)
(114)
-
4,000
4,000
-
389
(67)
322
2,225
14,070
3,933
18,003
13,816

58

59

11. Debtors

Trade debtors
Other debtors
Accrued income
Prepayments
Amounts due from subsidiary		 Group
2022
£000
Group
2021
£000
Charity
2022
£000
Charity
2021
£000
641
695
24
76
188
89
189
88
1,456
171
1,221
78
400
272
229
175
-
-
3,110
3,153
2,685
1,227
4,773
3,570

The amounts due from the subsidiary company mostly relate to the gift aid due under the deed of covenant dated 25 March 1994.

12. Creditors – amounts falling due within one year

A: Creditors: Amounts falling due within one year
Trade creditors
Other creditors
Other taxes and social security
Deferred income
Accrued expenses
B: Deferred income
Balance at 1 April
Released to SOFA during the year
Deferred during the year
Balance at 31 March		 Group
2022
£000
Group
2021
£000
Charity
2022
£000
Charity
2021
£000
295
502
234
438
137
156
116
122
311
295
311
295
338
400
110
150
706
635
648
621
1,787
1,988
1,419
1,626
Group
2022
£000
Group
2021
£000
Charity
2022
£000
Charity
2021
£000
400
348
150
148
(357)
(279)
(136)
(118)
295
331
96
120
338
400
110
150

Deferred income includes monies for fundraising events that have not taken place as at 31 March 2022 and licence fees paid covering a period after the balance sheet date.

Creditors include the following provisions for liabilities:
Dilapidations
Holiday pay accrual		 Group
2022
£000
Group
2021
£000
Charity
2022
£000
Charity
2021
£000
82
157
82
157
151
191
151
191
233
348
233
348

13. Taxation

The tax charge for ordinary activities is £nil (2021: £nil). The charity is a registered charity, and as such is entitled to certain tax exemptions on income and profits from investments, and surpluses on any trading activities carried on in the furtherance of the charity’s primary objectives, if these profits and surpluses are applied solely for charitable purposes.

14. Funds

A: Summary of funds movements
Group and charity restricted funds
Supporting Licensed Organisations
Supporting volunteers
Extending the reach of the DofE:
– The Julia and Hans Rausing
Trust
– Department for Education
– Other – extending the reach
Participant support:
– Resilience Fund
– Other – participant support
Group and charity designated
funds
Tangible fixed assets – leasehold
property
Change programme and
direct support funds
Expanding the reach of the DofE
Charity unrestricted funds
Total charity funds
Non-charitable trading funds
Consolidation adjustment – Gift Aid
Consolidation adjustment
– Intercompany transactions
Total group funds		 Balance at
1 April 2021
Income
Expenditure
Transfers
Gains and
losses on
investment
Balance at
31 March
2022
£000
£000
£000
£000
£000
£000
5
-
-
-
-
5
51
22
(10)
(1)
-
62
-
870
(31)
-
-
839
-
563
(516)
(45)
2
1,194
1,801
(1,362)
(218)
-
1,415
1
664
(5)
(441)
-
219
177
209
(103)
(27)
-
256
1,428
4,129
(2,027)
(732)
-
2,798
2,449
-
(21)
-
-
2,428
538
-
-
-
-
538
1,876
-
(447)
(61)
-
1,368
4,863
-
(468)
(61)
-
4,334
20,133
16,359
(14,387)
793
322
23,220
26,424
20,488
(16,882)
-
322
30,352
88
13,585
(13,585)
-
-
88
-
(12,463)
12,463
-
-
-
-
(848)
848
-
-
-
26,512
20,762
(17,156)
-
322
30,440

60

61

14. Funds (continued)

Restricted funds

Income received from donors and grantors which have restrictions placed on them are held as restricted funds. Such restrictions are primarily limitations to where the funds may be used or directions to the type of activity that may be supported by the funds.

The Resilience Fund

The Resilience Fund was set up in October 2021 following a £1.5m donation from long-standing supporters Gordon and Hilary Phillips who were concerned about the impact of COVID-19 on young people. It also received match funding from the National Lottery Community Fund #iWill youth movement. The fund provided funded places to 22,377 young people who faced particular hardship during 2021/22, ensuring they were able to start their DofE and access the benefits of the Award.

Department for Education

During the year, the Department for Education awarded the Charity a £3.4m multi-year grant (2021 – 2024), to target schools in areas of high deprivation in England not currently offering the Award to start doing so and to support young people in those schools, facing barriers to engagement, to take part in the DofE.

The Julia and Hans Rausing Trust

The Charity was awarded a £3m multi-year grant by The Julia and Hans Rausing Trust during the year. The purpose of this grant is to support grassroots organisations to deliver the Award in areas where community provision is low.

Designated funds

The charity sets aside unrestricted funds to provide funding for particular purposes and projects. These funds are therefore not readily available for other purposes. As at 31 March 2022 funds had been set aside:

Transfers

14. Funds (continued)

B: Comparative funds note
Group and charity restricted funds
Supporting Licensed Organisations
Supporting volunteers
Extending the reach of the DofE:
– Resilience Fund
– Other – extending the reach
Participant support
Group and charity designated
funds
Tangible fxed assets
Change programme and
direct support funds
Expanding the reach of the DofE
Charity unrestricted funds
Total charity funds
Non-charitable trading funds
Adjustment for Gift Aid
Intercompany adjustment
Total group funds		 Balance
at 1 April
2020
Income
Expenditure
Transfers
Gains and
losses on
investment
Balance at
31 March
2021
£000
£000
£000
£000
£000
£000
5
-
-
-
-
5
34
22
(5)
-
-
51
-
1,500
(1,254)
(245)
-
1
1,836
961
(1,604)
-
1,193
189
403
(146)
(268)
-
178
2,064
2,886
(3,009)
(513)
-
1,428
2,389
-
(77)
137
-
2,449
436
-
-
102
-
538
2,422
-
(422)
(124)
-
1,876
5,247
-
(499)
115
-
4,863
16,267
11,728
(10,485)
398
2,225
20,133
23,578
14,614
(13,993)
-
2,225
26,424
88
9,415
(9,415)
-
-
88
-
(8,626)
8,626
-
-
-
-
(664)
664
-
-
-
23,666
14,739
(14,118)
-
2,225
26,512

Transfers between funds were made during the year due to:

Transfers

Transfers between funds were made during the prior year due to:

– £102k transfer between designated funds as agreed by Trustees.

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63

14. Funds (continued)

C: Net Assets – Group
Tangible assets
Investment portfolio
Current assets
Current liabilities and provisions
Net assets at 31 March 2022
D: Net Assets – Charity
Tangible assets
Investment portfolio
Current assets
Current liabilities and provisions
Net assets at 31 March 2022
E: Comparative Net Assets – Group
Tangible assets
Investment portfolio
Current assets
Current liabilities and provisions
Net assets at 31 March 2021
F: Comparative Net Assets – Charity
Tangible assets
Investment portfolio
Current assets
Current liabilities and provisions
Net assets at 31 March 2021		 Unrestricted
2022
£000
Restricted
2022
£000
Total funds
2022
£000
3,335
-
3,335
18,003
-
18,003
8,091
2,798
10,889
(1,787)
-
(1,787)
27,642
2,798
30,440
Unrestricted
2022
£000
Restricted
2022
£000
Total funds
2022
£000
3,335
-
3,335
18,003
-
18,003
7,635
2,798
10,433
(1,419)
-
(1,419)
27,554
2,798
30,352
Unrestricted
2021
£000
Restricted
2021
£000
Total funds
2021
£000
3,384
-
3,384
13,816
-
13,816
9,872
1,428
11,300
(1,988)
-
(1,988)
25,084
1,428
26,512
Unrestricted
2021
£000
Restricted
2021
£000
Total funds
2021
£000
3,384
-
3,384
13,816
-
13,816
9,422
1,428
10,850
(1,626)
-
(1,626)
24,996
1,428
26,424

15. The Duke of Edinburgh’s International Award Foundation

In the opinion of the Trustees it is not appropriate to aggregate the financial statements of the DofE and The Duke of Edinburgh’s International Award Foundation (IAF) as the activities of the two charities are quite separate and the IAF no longer meets the SORP definition of a connected charity, with no deemed control of IAF. The IAF encourages the establishment and administration of Award programmes worldwide, whilst the DofE administers in the UK one of these programmes. As such separate financial statements have been prepared by and for the IAF, and copies are available from The Secretary General, Award House, 7/11 St Matthew Street, London SW1P 2JT.

16. Related party transactions

– The Trustees have reviewed the related party connections of themselves, their close families and other connected persons and report that no disclosable transactions with the DofE other than those described above arose during the period from these connections.

– One company connected with a Trustee, The Manufacturing Technology Centre Ltd, made donations totalling £50,000 (2021: £55,094).

– Trustees do not receive any remuneration for their service as Trustees and no monetary value is included in these financial statements for time spent by Trustees in the affairs of the DofE. Out of pocket expenses incurred by Trustees while carrying out their duties are reimbursed by the DofE when claimed. No Trustees claimed expenses during the period ending 31 March 2022 (2021: None).

– The Directors of the company Madeira Walk (Windsor) Management Limited (MWML) are also members of the charity’s UK Executive Team. During the year, the MWML charged the charity £2,601 ( 2021: £2,601 ) as a freehold service charge. MWML also donated £2,239 to the Charity in the year ( 2021: £1,409 ). At year end, the balance owed to the Charity was £10,306 (2021: £5,467).

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65

17. Subsidiary undertaking

The DofE has one wholly owned trading subsidiary, The Award Scheme Ltd (ASL), which is registered in England (Companies House Registration No 02173914). ASL supports The Duke of Edinburgh’s Award through licensing, the sale of Welcome Packs to participants and through the provision of information and material to the charity’s licensed operators, volunteers and participants. It transfers any taxable profit by gift aid to the charity, in line with the existing deed of covenant. A summary of the results of ASL and of its balance sheets is shown below. Full financial statements will be filed with the Registrar of Companies where appropriate.

Profits and loss accounts
Turnover
Cost of sales
Distribution costs
Administrative expenses
Other operating costs
Profit for the financial year
Distribution of Gift Aid to Parent Entity
Retained profit
Reconciliation of funds for year ended 31 March 2022
Fund balances at 1 April
Fund balances at 31 March		 ASL
2022
£000
ASL
2021
£000
13,585
9,415
(648)
(287)
(22)
(15)
(19)
(11)
(433)
(476)
12,463
8,626
(12,463)
(8,626)
-
-
88
88
88
88
Summarised balance sheet
Fixed assets
Current assets
Current liabilities
Net assets
Called up and paid share capital
Profit and loss reserve
Shareholder funds		 ASL
2022
£000
ASL
2021
£000
-
-
3,566
3,604
(3,478)
(3,516)
88
88
88
88
88
88

18. Notes to the consolidated cash flow statement for the year ended 31 March 2022

for the year ended 31 March 2022
Reconciliation of net income to net cash flow from operating activities
Net income for the reporting period (as per the statement of financial activities)
Adjustments for:
– Depreciation and amortisation charge
– Less investment income
Changes in working capital:
– (Increase)/decrease in stocks
– (Increase)/decrease in debtors)
– (Decrease)/increase in creditors
Net cash provided by operating activities		 2022
£000
2021
£000
3,606
621
202
216
(2)
(3)
(3)
30
(1,458)
1,307
(201)
282
2,144
2,453

19. Leases

DofE Group commitments under operating leases to pay rentals during the year following the year of these financial statements

Land and buildings
– Expiring within 1 year
– Expiring during years 2 to 5
– Expiring thereafter
Other assets
– Expiring within 1 year
– Expiring during years 2 to 5		 2022
£000
2021
£000
222
54
63
44
-
-
-
299
-
-
285
397

During the year, ASL made gift aid donations to the DofE totalling £12,463k (2021: £8,626k) and DofE made purchases of Licences and Welcome Packs from ASL totalling £851k (2021:£664k). At 31 March 2022, ASL owed the DofE £3,110k (2021: £3,153k).

ASL distributed stock of international branded products on behalf of The International Award Foundation (IAF). A charitable donation was made to the IAF by ASL of £1,385 ( 2021: £8,831 ) reflecting the benefit accrued from the distribution activities of that company.

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67

20. Capital commitments

24. Comparative consolidated statement of financial activities

for the year ended 31 March 2021

The DofE Group had no outstanding capital commitments as at 31 March 2022 (2021: £Nil).

21. Pension schemes

The charity contributes to a defined contribution pension scheme for its employees, managed by Scottish Widows. This cost of £664k (2021: £633k) is included within total staff costs.

22. Status of corporation and members

The DofE is a Royal Charter Corporation. The members of the Corporation are the Trustees named on page 42. They have no entitlement to a distribution on dissolution of the Corporation.

23. Post Balance Sheet Events/Contingent asset

In the prior year, we identified an historic administrative error regarding the transfer of ownership of our Head Office, Gulliver House, long leasehold interest when the charity changed its legal identity in 2008 from a limited company to a Royal Charter corporation. As at 31 March 2022, the charity was not technically the legal owner of Gulliver House.

A court order on 2 August 2022 confirmed that the ownership be reinstated to the charity. This is currently being processed at the Land Registry. Considering substance over form, we have made the decision to keep the property in the accounts at cost.

Income from:
Donations and legacies
Charitable activities
Other trading activities
Investments
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
Net operating income/(expenditure)
Gains on investments
Net income/expenditure for the year
Transfers between funds
Net movement in funds
Reconciliation of funds for year ended 31 March 2021
Fund balances at 1 April
Fund balances at 31 March		 Unrestricted
Funds
2021
£000
Restricted
Funds
2021
£000
Total
Funds
2021
£000
2,887
2,618
5,505
35
268
303
8,928
-
8,928
3
-
3
11,853
2,886
14,739
(2,470)
-
(2,470)
(8,639)
(3,009)
(11,648)
(11,109)
(3,009)
(14,118)
744
(123)
621
2,225
-
2,225
2,969
(123)
2,846
513
(513)
-
3,482
(636)
2,846
21,602
2,064
23,666
25,084
1,428
26,512

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69

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