2022-03-31-accounts

Charity Registration No. 1075040 Company Registration No. 3038147

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Financial statements 31 March 2022

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Financial statements for the year ended 31 March 2022

Contents	Page
Reference and Administrative Information	1
Report of the Trustees (incorporating the Directors’ Report)	2 - 24
Independent Auditor’s report	25 - 27
Statement of Financial Activities	28
Balance Sheet	29
Statement of Cash flows	30
Notes to the Financial Statements	31 - 43

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

REFERENCE AND ADMINISTRATIVE INFORMATION

Company Number: 3038147

Charity Number: 1075040

Trustees/Directors

Dominic Gilchrist Jackie Graveney Susan Hutton – Treasurer Christine Mosedale Sophie Park Cosette Reczek – Chair of Trustees Hannah Richards Shawn Scott - Vice Chair Aida Shoush

(Chair of Finance Sub Committee) (Chair of People Sub Committee)

(Resigned 18[th] May 2021) (Resigned 7[th ] October 2021)

Chief Executive/Company Secretary:

Fiona Derbyshire Sukhvinder Kaur-Stubbs

(Appointed 19[th] October 2022) (Resigned 31[st] July 2021)

Registered Office and Business Address

Leemore Community Hub Bonfield Road London SE13 5EU

Auditor

Myrus Smith Chartered Accountants & Statutory Auditors Norman House 8 Burnell Road Surrey SM1 4BW

Bankers

Co-operative Bank Plc 151 Lewisham High Street London SE13 6AA

CAF Bank 25 Kings Hill Ave Kings Hill West Malling ME19 4JQ

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Document

Lewisham Citizens Advice Bureaux Service Ltd. is a registered charity and a company limited by guarantee. Lewisham Citizens Advice Bureaux Service Ltd. is known and referred to as Citizens Advice Lewisham (CAL). In the event of the charity being wound up the maximum liability of each member is limited to £1. As of 31[st] March 2022, the company had 7 members. Citizens Advice Lewisham is governed by its Memorandum and Articles of Association as amended on 7[th] November 2013 and 1[st] June 2022 (CitA mass adoption).

CAL was incorporated as a company limited by guarantee on 27[th] March 1995. The charity commenced operations on 27[th] March 1995 at which date the assets and liabilities of the unincorporated CAL were acquired.

The Trustees who served during the period and up to the date of signing this report are:

Dominic Gilchrist Jackie Graveney Susan Hutton (Treasurer) Christine Mosedale Sophie Park Cosette Reczek (Chair of Trustees) Hannah Richards (Resigned 18[th] May 2021) Shawn Scott (Resigned 7[th ] October 2021) Aida Shoush

Recruitment, Appointment of Trustees

Our Trustees, who are also directors of the charity, are elected at our Annual General Meeting. Trustees may co-opt up to six people onto the Trustee Board to ensure the Board is broadly representative of the community, and to fill any specific vacancy and skills needed to carry out our responsibilities effectively (e.g. Treasurer). Co-opted members must stand down at the Annual General Meeting following their co-option, but they are eligible to stand for election. One third of the elected Trustees (the longest serving since the previous election) stands down at each AGM, and is eligible to stand for re-election. We invite nominations for Trustees through our annual mailing to stakeholders and local community organisations. Co-opted Trustees are recruited through a variety of methods, including direct advertising in the relevant media (e.g. the internet, local newspapers.)

The Board regularly reviews its membership to ensure there is a broad range of relevant skills and experiences sufficient to carry out its duties.

A separate process agreed by the Trustee Board is followed for the election of the Chair. The reference and administrative details above identify the constituencies that elected each of the current Trustees, where applicable. No other persons or bodies external to the charity were entitled to appoint persons to the Trustee Board.

New Chair and Trustees

No new trustees have been appointed in this financial year. Two trustees resigned during the periodShawn Scott on 7[th] October 2021 and Hannah Richards on 18[th] May 2021. Recruitment is ongoing for their replacements.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Training of Trustees

All new Trustees are invited to attend an induction training session at Citizens Advice London office, to learn more about the Citizens Advice service nationally and the role of Trustees. They participate in a planned induction which includes:

• Access to key governance documents such as the governance manual, financial procedures and annual report.

• Good governance guidance – relevant Charity Commission guides and references to high performing boards including Harvard and ICSA reports.

• Service tour introducing the different aspects of the service and identifying key team members.

• Introduction to stakeholders and client profile with the CEO.

• Bi-annual review with the Chair to establish objectives and progress.

• Workshop with Citizens Advice nationally to understand the member relationship.

All new Trustees receive an email address, access to the Citizens Advice Bureau Management Information System (BMIS) and complete their confidentiality and Declaration of Interests forms. Where required, the Trustees are DBS checked. All Trustees are able to arrange bureaux visits to meet our Service Manager and find out more about our work. An insight day is held annually, organised by volunteers to enable Trustees to observe the service delivery and understand the nature of the enquiries presented by clients.

Trustees are included in the Training and Development Plan for CAL which includes mandatory training in GDPR, Senior Managers and Certification Regime (SMCR) for the FCA, Equity and Diversity and Health and Safety obligations.

Organisational Structure

CAL is governed by its Trustee Board which is responsible for setting the strategic direction and policy of the charity. The Trustees carry the ultimate responsibility for the conduct of CAL and for ensuring that the charity satisfies its legal and contractual obligations. Trustees meet as a minimum quarterly and delegate the day-to-day operation of the organisation to senior management. The Trustee Board is independent from management. A register of members’ interests is maintained at the registered office, and is available to the public.

Related Parties

CAL is a member of Citizens Advice (CitA), the operating name of the National Association of Citizens Advice Bureaux, which provides a framework for standards of advice and casework management. CA set and monitor performance through the Performance Quality Framework (PQF) assessed through periodic surveys, regular file checking and annual inspection with a three-year full inspection.

In 2021, a full inspection took place with the CitA Assessor rating CAL’s Leadership Self- Assessment against the core areas. The assessment concurred with CAL’s own assessment and awarded Excellent/Good ratings across the service. The results are summarised below with the blue indicating CAL ratings and the yellow the CitA validation.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Operating policies are determined by the Trustee Board of CAL in order to fulfil its charitable objectives and comply with the national membership requirements. The Charity also co-operates and liaises with a number of other advisory services, local charities and local authority departments on behalf of clients. Where one of the Trustees holds the position of trustee/director of another charity or is a decision maker within the local authority, they may be involved in discussions regarding that other charity or department but not in the ultimate decision-making process. Currently, none of our Trustees work for Lewisham Council or hold decision making roles in partner organisations.

Major risks

The Trustees recognise that any major risks to which the charity is exposed need to be reviewed and systems put in place to mitigate those risks. To that end CAL is regularly monitoring and managing its risk, reviewing the corporate risk register and ensuring action plans are in place to mitigate its key risks.

Trustees also review risks relating to our financial strength, to ensure that there are reliable revenue streams and a live pipeline for the delivery of new income. The top three risks for the organisation, and our current risk management plans for each, are described below:

FINANCE

• Dependency on key funders and reduction to funding levels are key risk factors for CAL. We mitigate this by seeking and securing a wide range of funding on other projects. We also build relationships with funders and demonstrate our impact and value which resulted in only a 20% reduction in funding in year where there was a risk of losing significantly more.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

STAFFING

• Trained Advisors working to the quality standards required by funders are hard to recruit and retain. CAL has responded by establishing a training programme for volunteers who can then progress through the organisation. New apprenticeship programmes such as ‘Kick-start’ have also been embraced. To improve retention, emphasis on continuous learning and development has been enhanced and progression pathways within the CAL reinforced.

• Morale was impacted by COVID. A phased return to the Leemore Centre was introduced on 12[th] July 2021 and January 2022 with staff/volunteer rotas and reduced working days as agreed and recommended by the Covid Committee. This has moved into a hybrid working system where staff attend the office for 2 days a week pro rate which will allow all staff/volunteers to continue to work from home part of the time. When possible during the pandemic, the Leemore has remained open, and staff/volunteers continue to see clients by appointment. Drop-ins remain suspended largely due to limited volunteer and staff availability as the focus is on providing Telephone Advice. Work will be done in 2022 to build in hub services by flexing the team.

FUNDERS

• Funders routinely demand more service for their money each year, often for less funding. In addition increased compliance puts great pressure on our advice teams straining our ability to maintain the high standards required by accreditation. This can also place pressure on meeting client needs. CAL was able to withstand this by maintaining quality standards by focusing on supporting teams. Client feed-back was also mostly positive with 80% stating that they found a way forward.

• Last year the The Money and Pensions Service (MaPs) recommissioned its debt service meaning potential loss of debt advice at CAL. The Government ceased the recommission of debt funding in 2021 and have extended their funding to ’22-‘23. CAL remains a strong delivery partner for the current contractor Toynbee Hall which covers the London area.

• Evident in all new contracts and grants, are increasingly higher expectations with diminishing funds. Not all the projects with restricted funds support full-cost recovery. CAL has responded by reviewing its cost base and is exploring new major funding opportunities with CA and the Pan London forum.

DEMAND

• The needs of people with different vulnerabilities have emerged during lockdown. CAL intensified its knowledge of client needs through a Community Labs Programme. This curated information from a deep data dive, client stories and stakeholder intelligence to produce a picture of vulnerability in the borough. This identified ‘advice deserts’ where more advisors should be located, employment and housing as issues needing more resource and high-risk groups such as those not speaking English, potentially further marginalised by the impact of the pandemic. CAL has responded to re-orientate its partnerships towards the recovery theme of ‘An Economically Sound Future’ in line with the funders objectives enabling us to identify and tackle systemic issues.

• With huge funding losses to local and national government as a result of COVID, and declining budgets indicated, CAL is exploring alternative funded work. CAL delivers the bulk of its services through the Advice Lewisham Partnership. In the coming year new project funding through Citizens Advice National or the Pan London CEO consortia will be explored to create new and much needed advice capacity

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

OBJECTIVES AND ACTIVITIES

Objectives

The charity’s objectives are to promote any charitable purpose for the benefit of the community in the administrative area of the London Borough of Lewisham and surrounding areas, by the advancement of education, the protection of health and the relief of poverty, sickness and distress.

CAL’s vision is of a Lewisham where everyone who lives, works or studies in the borough has the knowledge and confidence to deal with the issues they face. Our diverse range of residents are empowered to help themselves, or where required, provided with direct assistance. CAL enables local and national decision makers to be well-informed about the impact of their decisions on local people, and acts in their interests.

CAL’s mission is to use the full range of our services, channels and partnerships to:

• Provide reliable and consistent advice and information in an accessible and effective way so that our clients know their rights and responsibilities and are able to take action themselves.

• Target those who are less able to access advice or take action themselves and provide them with direct support if required.

• Use evidence to improve our service, maximise our reach and ensure we are meeting the advice and information needs of diverse communities.

• Influence local and national decision makers by providing them with evidence about the impact of their decisions in order to improve the systems, policies and practices that affect people’s lives.

As a member of Citizens Advice, we actively promote the principles underlying the network:

• We are independent, impartial and non-judgemental.

• Our services are free and confidential.

• We value diversity, promote equality and challenge discrimination in our service, our workforce and our partnerships.

• We are a learning organisation, using evidence to improve our effectiveness and efficiency.

Public Benefit

The Trustees have paid due regard to the Charity Commission’s guidance on public benefit in deciding the activities undertaken by CAL during the year. The Trustees are satisfied that the information provided in the report and accounts meets the public benefit reporting requirements.

The principal activity of CAL remained the provision of free, confidential, independent and impartial advice, information and counsel for members of the public through face-to-face consultations and by telephone, webchat and email. While usually provided through our Leemore Community Hub and the Advice Lewisham Advice Line, this moved to more remote, virtual offering during the year under review. In addition to generalist advice, specialist welfare benefit and debt advice was also provided. Specialist Immigration Advice is available through partnership with LRMN. Access to legal advice is through our partnership with the Lewisham Law Centre.

Contribution of Volunteers

The charity receives help and support in the form of voluntary assistance in advising the public and administering the charity. A number of volunteers who were recruited and trained in 2020-21 have been retained in key roles of Volunteer Telephone Assessors and Volunteer Advisers.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Generalist Casework, provided by highly experienced and expert Volunteer Advisors is supervised by paid staff. Caseworkers secure benefits in around 90% of the appeals they conduct. Last year they generated close to £1M in benefits for clients.

CAL’s Benefits Casework Accreditation attests to the standards achieved and plans are in place for paid Advisors to be trained to work alongside volunteers to provide a more supportive and learning environment.

Volunteer recruitment is being prioritised due to a number choosing to leave during COVID and will run alongside other training and development opportunities including apprenticeships and internship programmes through the local FE organisations.

Our work with Lewisham and Southwark Law Centre will continue providing essential legal support in housing and employment. This is a service many local CitA’s do not have and it is invaluable to our clients.

The above are some of the ways in which volunteers enrich our organisation and substantially contribute to our service offer and we are grateful for their dedication and exceptional contribution.

ACHIEVEMENTS AND PERFORMANCE

Charitable Activities

CAL has continued to grow in response to demand while building up its financial resilience. We maintained and expanded all our contracts and partnerships.

PUBLIC FRONT DOOR FOR INFORMATION AND ADVICE

CAL’s PROJECTS

CAL delivers a range of projects including Debt Free London which is funded by the Money and Pension Service through Toynbee Hall. CAL has one of the largest contracts in London, with the aim of serving 1,900 clients annually.

For many years CAL has delivered Pound Advice for London and Quadrant Housing Association. We have always been the most productive of the delivery partners and generated the highest outcomes for clients. The team continue to do complex casework for nearly 400 residents addressing rent arrears, making benefit claims and helping people take back control of their lives.

At the Green Man in Bellingham, CAL offers outreach services to the tenants of Phoenix Housing Association . In a friendly and familiar environment, tenants can seek help about their housing, managing their money and looking for ways to optimise their income. Last year CAL served 188 clients which is about 60% of the target. This is due to a large number of more complex cases requiring multiple sessions – this is a common trend in money advice as too many clients don’t seek help until their situation becomes desperate. The team also delivers training workshops for the Phoenix communities on budgeting.

Help to Claim is funded through Citizens Advice. Nationally, take-up has been slower than envisaged. However, CAL supported almost 600 clients in helping to make Universal Credit claims.

The Energy Advice Programme is funded by BEIS, the department for Business Energy and Industrial Strategy. Energy advice projects are notoriously awarded last minute – and for this year funding ended after the first quarter with our target met of 26 clients.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

The Social Prescribing Project is funded by Lewisham Council from the Better Care Fund. The grant funds an Advisor who takes referrals from GP Link Workers. Increasingly, doctors have become aware of patients needing support in their health and wellbeing that medicine alone cannot treat. In some cases, the poor mental and physical health is exacerbated by the stress of debts, poor housing and low income. Link Workers are tasked with referring patients through CCL (Community Connections Lewisham) to CAL for benefits and debt advice. The work was evaluated in 2021 to assess the value of advice to the wellbeing journey of patients and found to show positive impact. However this is one of the projects impacted by funding cuts and will not be separately funded for next year. CAL has also been liaising with the Money and Mental Health Trust on a project to understand the impact of debt advice on patients undertaking IAPT (Improving Access to Psychological Therapies).

Ad hoc casework is undertaken from the Windrush Compensation Scheme for clients who suffered losses because they couldn’t prove their right to live in the UK.

Outreach was developed with a small grant from the London Community Response Fund. During Covid, this established a Remote Community Outreach programme for the most vulnerable people in Lewisham. It helped ensure that there were still in person ways of reaching advisers in the absence of drop in at the Leemore due to continued COVID measures.

The programme continues to progress positively with referral numbers steady. We continue to work with selected local community-based organisations that support vulnerable groups that require virtual debt appointments. These organisations include Lewisham Speaking Up, 999 Club, Bench Outreach, Latin American Disabled People’s Project (in partnership with Lewisham Food Bank) and Deptford Salvation Army Food Bank. A grant from the Council has enabled Whitefoot and Downham Food Project Plus to join this group.

These groups form part of the IAG (Information, Advice, Guidance) network that along with the Advice Lewisham Partnership, convenes as the Advice Lewisham Forum . The Forum is a space for knowledge exchange between members, agreeing solutions to the frequent issues clients face (coproduced through the Community Labs) and learning and practice development.

The Advice Lewisham Partnership includes Lewisham Multi-Lingual Advice Service (LMLAS), 170 Community (now Community Action Works), Age UK Lewisham and Southwark and Lewisham Refugee and Migrant Network (LRMN) and Lewisham Law Centre (LLC).

Working in partnership with the Southwark Law Centre (SLC), CAL helped establish Lewisham Law Centre service (registered with the Law Centre Network July 2020). This follows a gap of over 10 years when access to justice for local residents, was limited. Work is focused through the Housing Unit . With support from the Legal Aid Agency, SLC appointed a Solicitor and Caseworker. A generous grant from the Trust for London funds a Para-Legal for the service. The Housing Unit dealt with 113 cases, mostly possessions orders, challenging evictions and preventing homelessness. Three quarters of the clients who received advice and representation had a positive outcome by retaining the roof over their head. SLC also won a contract from Lewisham Council to support families with No Recourse to Public Funds. Pro bono support from Hogan Lovells and additional funding from the AB Charitable Trust, Indigo, the Legal Education Foundation and the Allen & Overy Foundation has helped to secure service.

CAL leads the Partnership to deliver Advice Line, a multi-channel front door to quality information and advice. It provides access to appointments to help complete on-line forms, home visits and drop-ins for the most vulnerable along with casework on welfare benefits, immigration and housing. Where necessary, referral is arranged with a variety of local agencies to provide wrap-around support for those that need it, especially those with poor mental health, disabilities and other health/social care needs.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

The Partnership responded to the full year equivalent of 30,992 contacts. CAL was directly responsible for responding to almost 75% of the total target contacts. Most clients came through the Freephone Advice Line which received 22,455 calls (far exceeding our target of 18,000 for the full year). Of these 80% of callers were assessed to determine the most appropriate next steps. The remainder of complex cases were referred on to our specialist teams, partners and other agencies.

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Advice Lewisham Partnership Outputs
Activity
CAL Partners TOTAL
90% calls answered 100% 100% 100%
Total telephone contacts 20,553 1,902 22,455
Total adviser hours on telephone 14,875 hrs 0 14,875 hrs
triage 6.5FTE
Referrals to Adviceline 575 575
Number of appointments offered 2,480 1,127 3,607
(1,019 gen +1,461 debt)
Number of home visits N/A 175 175
Number of complex casework 32 320 352
Number of resident queries 1,062 0 1,062
responded to by email
Number of residents accessing Diverted drop-in resources 835 835
services via drop in to outreach during pandemic
Assisted information and 4,222
signposting
Number of self-help through 2,506 2,506
website
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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

The impact of the pandemic changed the way we provide support. More people come to us with complex problems. Research shows that 5.1% of our clients are digitally vulnerable and it has become necessary to focus on developing other channels to deliver full support. This year we’ve worked collaboratively with our partners to develop and deliver support that works for people in every situation. More selfreliant clients can self help, freeing up Adviceline and full advice resource to support those who most needed more targeted support.

The CAL website is designed to provide a Self-help portal to provide online information, tools and signposting to users 24/7.

This year we have had over 14,000 users. Most who visit our website stay on to access some form of information and nearly 20% of all people visiting the website make use of the Self-help portal . The work we did to our portal in 2021 has ensured its use continues to expand each year.

Working with our partners and stakeholders has enabled us to identify our clients and their needs but we will work annually to update this information to inform our strategy and business planning so that we know our service is driven by client need.

Currently we do know that:

• Other than English -Spanish, Chinese, Italian and Polish speakers are the most active demographic on the site.

• And the top clicked links for self-help information are related to Housing, Benefits, Immigration, Employment, and Debt Advice.

Our work to provide digital services will use client data to develop our website and self- help tools. We will seek stronger digital partnerships to support the most prevalent issues - this could be signposting, featuring information on relevant seminars on the site or even partnering to host online workshops via the platform.

CAL and the Advice Lewisham Partners also run the Advice Lewisham website . Between April 2021 and March 2022, the site had 14,133 page visits. We will be reaching out to our partners to see how best we can work together on digital support to clients.

ISSUES

Our aim is to help people deal with difficult situations, identify and tackle the underlying cause of their problems and, going forward, empower them with the tools and information they need to deal with issues when they arise. In providing a truly holistic service we work with funders, the local government and partner with organisations that share our objectives. Among the callers, 3,607 were assessed for support through appointments. The nature of the calls are illustrated below.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors Report) for the year ended 31 March 2022

A breakdown of sub-matter categories reveals the range of calls.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors Report) for the year ended 31 March 2022

More detail of issues clients are receiving advice on quantified in number and then in % or cases dealt with for the year.

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Number Number
Sub Matter Category Group Of Clients % Sub Matter Category Group Of Clients %
Private rented property 631 6.51% Owner occupier property 103 1.06%
Personal independence payment 499 5.15% Employment Support Allowance 102 1.05%
Universal credit 413 4.26% Fuel debts 102 1.05%
Rent arrears - housing associations 376 3.88% Credit, store & charge card debts 98 1.01%
Access to+provision of accomm. 345 3.56% Solicitors/barristers 97 1.00%
Other benefits issues 332 3.43% Dismissal 87 0.90%
Local Authority housing 313 3.23% Unpaid parking penalty & cong. chgs. 87 0.90%
Housing assoc. property 293 3.02% Benefit Issue 86 0.89%
Other 293 3.02% LRMN subject areas 86 0.89%
Council tax arrears 263 2.71% Pension Credit 84 0.87%
Threatened homelessness 257 2.65% Housing Issue 81 0.84%
Housing Benefit 247 2.55% Actual homelessness 74 0.76%
Environml+neighbour issues 222 2.29% Charitable support 70 0.72%
Other housing issues 210 2.17% Fuel (gas, electricity, oil, coal etc.) 64 0.66%
Council tax reduction 176 1.82% Carers Allowance 58 0.60%
Pay+Entitlements 168 1.73% Other issues 54 0.56%
Nationality/citizenship 148 1.53% State Retirement Pension 54 0.56%
LA homelessness service 139 1.43% Disability Living Allowance 53 0.55%
Family, dependents & partners 136 1.40% Legal aid 53 0.55%
Ts+Cs of Employment 128 1.32% Emp tribunals+appeals 52 0.54%
Attendance Allowance 114 1.18% County & High Court proceedings 51 0.53%
Dispute resolution 114 1.18% Children 47 0.48%
Debt Issue 113 1.17% Rent arrears - LAs or ALMOs 47 0.48%
Water supply & sewerage debts 111 1.15% Unsecured personal loan debts 47 0.48%
Rent arrears - private landlords 46 0.47% Public transport 20 0.21%
Discrimination 43 0.44% Employment Issue 19 0.20%
Working+Child Tax Credits 43 0.44% Health and Community Care Issue 19 0.20%
Overpts. Housing & Council Tax Bens. 42 0.43% BEN 18 0.19%
Localised social welfare 41 0.42% Building repairs & improvements 18 0.19%
Redundancy 40 0.41% Overpayment of universal credit 18 0.19%
Other goods & services 39 0.40% Overpayments of other benefits 18 0.19%
Personal-related court proceedings 38 0.39% Passported benefits 18 0.19%
Resignation 38 0.39% Divorce 17 0.18%
Bank & building society overdrafts 37 0.38% Mobile phone debt 17 0.18%
Criminal justice 29 0.30% OTH 17 0.18%
Immigration Issue 29 0.30% Schools,non-advanced educn 17 0.18%
Parental+Carers rights 28 0.29% Travel Issue 17 0.18%
Driving 27 0.28% Workers 17 0.18%
Child Benefit 25 0.26% Capacity to act 16 0.17%
Legal Issue 24 0.25% Child Supp non-res.parent+family 16 0.17%
Asylum seekers 23 0.24% Divorce, separation, dissolution 16 0.17%
Benefit cap 23 0.24% Jobseekers Allowance 16 0.17%
Divorce,separation,dissolution 23 0.24% Other education issues 16 0.17%
Self Employment/Business 22 0.23% Overpayments of WTC & CTC 16 0.17%
Applying for jobs 21 0.22% Police 16 0.17%
Bank/Building & P/O Accounts 21 0.22% Utilities Issue 16 0.17%
Mag. Cts. - fines & comp. ord. arrears 21 0.22% Visitors 16 0.17%
Income Support 20 0.21% Catalogue & mail order debts 15 0.15%
Mortgage & secured loan arrears 15 0.15%
Furlough Scheme 14 0.14%
Council Tax 14 0.14%
Housing element 14 0.14%
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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors Report) for the year ended 31 March 2022

OUTCOMES

Last year, the Advisors across all our services helped generate over £13,334,959.54 in benefits and discharged debts for clients.

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Total Financial Outcomes
recorded
£ 13,334,959.54
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ACTIVITY Target Number Total Clients Financial Outcome
of
Clients
Advice Lewisham 23,000 8,295 £2,712,078.46
Debt Free London 1820 1,917 £7,383,144.76
Pound Advice (L&Q) Min 356 375 £1,997,321.58
Phoenix 88 sessions/ 103 sessions/ £458,258.12
264 residents 188 residents
Social Prescribing 200 indicative 156 £709,592.28
EAP (project has finished) 104 N/A N/A
HTC 700 548 £26,406
SELCE (Q1 only, project has 120 (Q target) 128 £48,158.34
finished May 2021)
LLC n/a 113 N/A
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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Clients’ Stories:

A has a history of substance abuse plus a number of complex health conditions and mobility problems. She asked us for support to challenge the Department of Work and Pensions (DWP) decisions regarding her Personal Independence Payment (PIP) and limited capability for work applications. We assisted the client to complete an appeal for both benefits: for PIP the DWP changed their decision once they received the appeal bundle which reduced the waiting time for an outcome and the client was awarded the maximum award i.e. enhanced rate on both components. For the limited capability for work the client attended the hearing remotely and the adviser was available to be present with the client to support her; this appeal was also a success and the client was awarded Limited Capability for Work and Work related activity which means the client will receive an additional element on her Universal Credit and she will be exempt from the Universal Credit requirement to take part in work related activity or attend the local Job Centre Plus.

The total financial gain to the client of these decisions over three years is: £36,106.08.

The following case highlights the value of internal referrals. B was initially referred to for debt advice after suffering a stroke which affected by capability to work. He updated his Universal Credit (UC) account with this information. The Covid-19 crisis meant that there were considerable delays in the relevant medical evidence being available to support his re-assessment and to confirm that he had limited capability for work. The debt adviser set up and urgent appointment where they identify that assistance was required not only to stabilise the client’s current financial position but also to improve it in the long term because of his on-going disabilities. In consultation with a specialist welfare benefits adviser it was agreed that the client would need help on two benefit issues. Firstly, he would need help to appeal the UC decision with regard to his work capability. Secondly, his disabilities, including his problems with mobility, meant that he needed to make an immediate claim for a Personal Independence Payment (PIP). The specialist benefits adviser settled the client’s Notice of Appeal and his grounds of appeal with regard to the UC decision. This was supported by further medical evidence from the client’s GP. Specialist assistance was provided in order to complete the client’s PIP claim. While waiting for the UC appeal and PIP application outcome the client suffered a second stroke and was unable to travel to the tribunal and we made arrangements for a telephone hearing at CAL’s offices in the Leemore Centre. The client was able to come to our office to attend and he was represented by the specialist welfare benefits adviser. The appeal was allowed. The client was awarded the higher rate work capability component of UC (limited capability for work related activity) and this was backdated to August 2020. As a result of the backdated payment the pressure on the client’s financial position has markedly improved and this has made a considerable contribution to his well-being as he continues his rehabilitation. Details of his successful UC appeal have been submitted to the department to provide further support for his PIP claim.

15

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Clients’ Stories:

The following case study provided by Lewisham Law Centre illustrates how working in partnership and building strong referral pathways is key to achieve the best possible outcomes for our clients.

C, a single parent, had been long-term unemployed due to mental illness and limited spoken English and was referred to Lewisham Law Centre (“LLC”) by Citizens Advice in June 2021 for assistance defending an eviction claim brought by her housing association (HA) landlord. C had seen a reduction to her income following the migration to Universal Credit and she had great difficulty understanding and navigating the benefits system having only her 13 year old child to rely on for language support. Due to these challenges her housing costs were not covered and she accrued £8,500 rent arrears by mid-2021. This caused C, who had experienced homelessness in the past, to spiral into panic as she could not understand the causes of the arrears or what action was available to her. C became suicidal and was referred to the South London and Maudsley (“SLAM”) hospital. HA signposted C for welfare benefits assistance, but due to her mental illness and lack of English she could not engage with this service. In consequence of the arrears HA had taken possession proceedings to evict C, and were continuing with that action despite letters provided from SLAM as to the impact that the proceedings were having on C’s mental illness.

LLC assisted C to chase the DWP about her housing costs payment. This was done in increments and while negotiating with DWP, LLC dealt with a number of further possession hearings which were each adjourned pending a response from the DWP. C was eventually awarded full payments of her housing costs which cleared her remaining rent arrears. LLC assisted C to negotiate for the possession claim to then be dismissed without costs, which was granted by the court in August 2022.

Alongside resolving the payment of housing costs problem and preventing eviction LCC provided ongoing support to C to secure the other benefits and back payments she was owed. During this period C engaged with Citizens Advice for much needed debt and money advice and with the adviser’s help C was able to get her finances under control.

16

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

EQUALITY MONITORING

There continues to be over-representation of clients from black, Asian and minority ethnic communities (at least 55.5%), as illustrated in the pie chart.

The partnership with LMLAS and LRMN continues to be important to ensure a relevant and accessible service to these clients.

17

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

People with disclosed disabilities and health issues constitute 47.4% of the client base. Increasing numbers of clients present with low level mental health issues which can make it hard for them to communicate their enquiry and it often involves complexity that demands more intensive support.

Currently the largest single group of our clients fall into the 35-45 year-old demographic (35%). Around 30% are between 50- 64 and 10% above 65. We continue to see an increase in the number of younger people reaching out for support and information. Around 22% were 25-34 years old and some under 16.

Geographically, the clients are well dispersed across the borough. The most deprived wards which include neighbourhoods in Whitefoot, Downham, Rushey Green, Telegraph Hill, Grove Park and Evelyn are well represented in the pie chart below.

18

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Client Satisfaction

Among our clients, over half were new callers and around half called because of Covid- 19.

Client satisfaction remains high. An independent survey of CAL clients conducted by CA found positive responses in all the key areas including: 71% on access to the services; 76% on the service helping them find a way forward; 65% had their problem resolved and 82% would recommend the service.

During the year, only 2 (formal) complaints were received. One was from a Greenwich resident who complained of discrimination and we found no fault. He has subsequently complained to Citizens Advice National and raised a SAR but has not responded to our request for details of the information sought. A second complaint was from a client who complained they had not been advised on housing. No fault was found with the adviser but the client was offered further advice and support and accepted this.

The energy crisis and the post-pandemic financial crisis are expected to drive a much greater volume of clients to our service. We are committed to continue expanding the service and to seek to identify innovative ways to reach and support our clients as much as we are able.

To this effect we intend to:

• Seek to expand the Advice Lewisham Partnership and strengthen our connections with local support organisations so we can reach clients sooner, work together and avoid the escalation of problems.

• Introduce Advice First Aid training to local organisations to enable/ empower them to provide more extensive support.

• Offer our Leemore hub space to local organisations who have capacity to increase their services but lack a space to see clients.

• Increase our Research and Campaigns output to advocate for the need for more solutions/ options for our clients.

• Introduce a client focus group to offer clients the possibility to provide feedback regularly and be part of the decision making process about the service

19

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Fundraising Activities

CAL was successful in securing all major current contracts in year. In addition to the contracts already described, the table below sets out only the successful bids.

----- Start of picture text -----
Funder Purpose Amount
LBL Covid equipment £3,000
LBL Benefits advisor for foodbank £15,000
LBL Main grants Programme (through ALP) £650,000
Phoenix Debt advice £30,000
National CitA Grant in relation to the delivery element of a £16,809
collaborative research project to test money
advice as part of mental health interventions in an
IAPT (Improving Access to Psychological
Therapies) service
National CitA Help To Claim Project -The grant agreement is for £477,495
12 months, starting from April 2022, with an
option to extend for 12 months.
Toynbee Hall Debt Advice/ Debt Free London. £ 216,694
The contract is for 10 months with possibility of
extension.
HLA’s 4 Honorary Legal Advisors continue to volunteer Pro bono.
in the service adding up to provide 50 free legal
appointments every month.
----- End of picture text -----

Equality

Equality, diversity and inclusion is at the heart of our work. Almost 50% of our staff, volunteers and Trustees identify themselves as Black, Asian or one of the other minority ethnic backgrounds.

Lewisham itself is the 15th most ethnically diverse local authority in England, and two out of every five residents are from a black and minority ethnic background. The largest BME groups are Black African and Black Caribbean: Black ethnic groups are estimated to comprise over 30% of the total population of Lewisham.

CAL works to establish stronger links with community support groups that minority residents often rely on. CAL is a registered Hate Crime Centre and also key staff are being trained to identify clients at risk of domestic abuse.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Our face to face services are prioritized for the most vulnerable. Among our clients, we recognize that the need for the support is greatest amongst those with mental health conditions, disabilities and where they are at risk of homelessness.

RESEARCH AND CAMPAIGNS

Research and campaigns are core objectives for CAL. We have worked with Universal Credit Clients to understand the pressures they face. These include five-week waiting time for payments and often inexplicable sanctions. We work with the DWP at local level and national level to highlight these issues. Council debt was also a problem for many clients. Going forward CAL will work with the Council to address systemic issues and find collaborative solutions for the most frequently raised.

CAL participated in the national #KeepTheLifeline campaign to keep the uplift to Universal Credit by preparing media brief packs and writing to Lewisham MPs. The media and brief packs included CA evidence and a local case study.

Case study collected for the #KeepTheLifeline campaign.

Case study

Aliyah lives in London with their 20 year old daughter who is a student. They are seeking work but struggling to find a job because of the pandemic. Aliyah has to pay back deductions for an advanced payment and also has outstanding council tax debt. Their flat is in poor condition and many of their household appliances are broken. Aliyah already struggles with poor mental health and is worried that removing the £20 increase will make this worse. If £20 is cut from their budget Aliyah will need to rely on foodbanks to eat.

FINANCIAL REVIEW

Financial Position

Citizens Advice Lewisham has had another good year, continuing the stabilisation of our finances and continuing to increase the charity’s reserves with a surplus of £14,730.

Following the change in accounting treatment in 2016/17 the charity’s share of the liabilities associated with a National CAB Pension Plan is reflected in the CAL accounts. It is worth noting, though, that any crystallisation of this liability would be managed at a national level. Please see note 19 for more information.

Incoming resources in the year were £1,548,592 (2020-2021- £1,561,923). Of this £1,412,568 (20202021- £1,384,486) related to project restricted activities i.e purpose and application of funding was expressly defined by the funder.

A surplus of £14,730 was made in the year 2021-2022 (2020-2021-£56,929). At 31 March 2022 reserves were £347,037 all of which represent unrestricted funds (2020-2021- £306,692).

Reserves Policy

At their Away Day on 24[th] April 2019, Trustees agreed that CAL would aim to build up three months of reserves by 2022. The recommendation from Citizens Advice nationally, is to maintain 3 months operating costs in unrestricted reserves.

In the meantime, CAL would operate with 2 months cover. Trustees were comfortable with the level of stability provided by the newly secured three-year grant. Other than salaries, there are no major liabilities as the premises are on licence and equipment and servicing, is paid monthly.

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LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

In assessing the drivers for the appropriate reserve level, Trustees wanted sufficient resource to cover any unplanned events but also wanted to ensure they were maximising the resource for the benefit of clients and the community. They felt that the new grant and high demands, required a strong level of investment to deliver the increase in volume. The need and capability to react to the impact of COVID19 on service delivery and client access is a good example of the value of this prudent approach.

With unrestricted reserves currently £347,037 CAL has managed to reach the reserves target of £337k.

Restricted Reserves

Restricted funds are those restricted by the donor or funder and cannot be used for the general purposes of the bureau. Their existence, and the sums of money therein, do not imply that there has been an underspend but may result from a variety of circumstances including timing differences between the bureau's financial year and the funding year of the project concerned.

This reserves policy is monitored and reviewed by Trustees annually.

Principal Funding Sources

The Trustees extend their gratitude to Lewisham Council who continued to support the charity in the face or their substantial funding constraints as a result of unprecedented losses due to COVID. It is a mark of their trust and confidence in CAL that they were able to prioritise the continuation of our core operating capacity. When many charities faced their own financial crises, CAL was able to remain solvent and viable through this and, additionally, other project-specific funding from:

• London & Quadrant and Phoenix Community Housing for specialist money advice and generalist advice to their tenants.

• Citizens Advice for our Energy Advice Programme project, helping clients with issues around fuel and directly from Business, Enterprise and Industrial Strategy Department.

• DWP for Help to Claim through Citizens Advice.

• Debt Free London subcontracted through Toynbee Hall for the Money and Pension Service.

• Trust for London for the Lewisham Law Service.

The charity did not have any borrowings from either providers of funding or other sources at the balance sheet date.

Funds in Deficit

No funds were in deficit at the balance sheet date.

Investment Policy

As required in its Memorandum paragraph 3.19, in furtherance of its objects, and for no other purposes, the charity has the power to invest the monies of the charity not immediately required for its purposes in or upon such investments, securities or property as may be thought fit, subject nevertheless to such conditions and such consents as may for the time being be imposed or required by law.

STRATEGIC OBJECTIVES AND GOALS

CAL aims to continually improve access to its service, and be ‘open’ to more local residents, especially the most vulnerable. Our three-year business plan identifies the following objectives for 2021-22:

22

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Strategic Objectives (2020-23)

1. Deliver a good quality, multi-channel service to 30,000 Lewisham residents that enables the majority of people to source and identify their own solutions.

2. Establish an evidence base of information/advice/legal need and provision in the borough and work with the council/other partners to direct resources/new funding (by Mar 2021).

3. Co-ordinate a network of community-based organisations that collaborate to enhance the wellbeing of individuals/their families and help maintain independent living (by Jun 2021).

4. Establish a high performing culture by investing in CAL’s internal processes, people plan and ICT (by Dec 2021).

5. Secure additional income streams to augment funding from the Council increase financial resilience (by June 2022).

Consistent investment in digital technology will enable us to meet and maintain our digital work and support clients to find their own solutions.

We will continue to undertake casework for the most vulnerable in a way that empowers them. Our approach is to give people the knowledge and the confidence they need to find their way forward.

We will want to better understand the needs of vulnerable clients to target our support appropriately and will work with partners and our own data to understand need and plan for how we collectively meet it. This will in turn evidence the need for funding to meet identified demand and focus services accordingly.

Investment in people and their wellbeing, continues to be a top priority for CAL which relies on staff and volunteers for service delivery but also to build trust and confidence in the community. With digitisation and hybrid/remote working, internal policies and processes must support everyone to have the skills and knowledge to work well. We have introduced workforce planning to help develop pathways for staff progression and allow the team to remain responsive to new opportunities.

Overall, CAL will operate a model of delivery that is financially sustainable and embedded in the community. Opportunities to reduce the cost base further will be explored. There are already live discussions about the sharing of back-office functions with partners and cross borough initiatives with other LCA’s. Fundraising has proven effective during lockdown and a new plan to complement funding from the Council and other current partners has been agreed by Trustees. Social media and stakeholder communications will be developed to ensure residents understand the needs we are trying to meet and to shore up their support for our efforts locally.

It should be noted that for many months of this year CAL was without a permanent CEO and many of the objectives for the second half of the year were not fully realised. The board and interim CEO’s progressed objectives where possible and critical to operations and further work will roll into 22-23 under the new permanent CEO.

GOING CONCERN

In line with the SORP, Trustees assessed the going concern of the charity at its Finance Committee Meeting on13th July 2022 For the next period, they considered:

Profit & loss budgets Rolling cashflows Predictability of future income streams

23

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Report of the Trustees (incorporating the Directors’ Report) for the year ended 31 March 2022

Trustees also noted that Council funding for Advice Lewisham Partnership was likely to reduce from April 2022 and recognise the external pressures on various income streams. This is likely to lead to a reduction in turnover in 2022-23. This situation was averted by securing a reduced amount of funding from the Council and additional funded project work to more than compensate for this reduction. Trustees concluded that the Charity was a going concern.

Statement of Trustees’ Responsibilities

The trustees (who are also directors of Lewisham Citizens Advice Bureaux Service Limited for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the Financial Statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare Financial Statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year. In preparing these Financial Statements, the Trustees are required to:

• Select suitable accounting policies and then apply them consistently.

• Observe the methods and principles in the Charities SORP 2019 (FRS 102).

• Make judgements and estimates that are reasonable and prudent.

• Prepare the Financial Statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.

The Trustees are responsible for keeping adequate accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the Financial Statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement as to Disclosure of Information to Auditors

So far as the trustees are aware, there is no relevant audit information of which the company’s auditor is unaware, and each trustee has taken all the steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the company’s auditor is aware of that information.

Auditor

The Auditor, Myrus Smith, Chartered Accountants have indicated that they are willing to be reappointed at the forthcoming Annual General Meeting.

Small Company Provision

This Trustees’ Report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approval

Approved and signed on behalf of the Board.

Susan Hutton Treasurer

19 October 2022

24

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Independent Auditor’s Report to the members of Lewisham Citizens Advice Bureaux Service Limited

Opinion

We have audited the financial statements of Lewisham Citizens Advice Bureaux Service Limited (the ‘charitable company’) for the year ended 31 March 2022 which comprise the Statement of Financial Activities, Balance Sheet, Statement of Cash Flows 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:

• give a true and fair view of the state of the charitable company’s affairs as at 31 March 2022, and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with 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 company 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 charitable company'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.

Other information

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

We have nothing to report in this regard.

25

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Independent Auditor’s Report to the members of Lewisham Citizens Advice Bureaux Service Limited

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

• the information given in the trustees' report (incorporating the directors’ report) for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the directors’ report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

• adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

• the financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of directors’ remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit ; or

• the trustees were not entitled to prepare the financial statements in accordance with the small companies’ regime and take advantage of the small companies’ exemptions in preparing the directors’ report and from the requirement to prepare a strategic report.

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 24, the trustees (who are also the directors of the charitable company for the purposes of company law) 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 charitable company’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 charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high 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.

26

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Independent Auditor’s Report to the members of Lewisham Citizens Advice Bureaux Service Limited

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

• Enquiry of management and those charged with governance about actual and potential litigation or claims and the identification of non-compliance with laws and regulations.

• Reviewing minutes of meetings of those charged with governance.

• Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.

• Auditing the risk of management override of controls, including testing journal entries and other adjustments for appropriateness; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

• Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud.

• Professional scepticism in course of the audit and with audit sampling in material audit areas.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those 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 charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Stephen Jones FCA (Senior Statutory Auditor) For and on behalf of Myrus Smith Chartered Accountants and Statutory Auditors Norman House, 8 Burnell Road Sutton, Surrey SM1 4BW

19 October 2022

27

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Statement of financial activities for the year ended 31 March 2022 Incorporating the Income and Expenditure Account

				Total	Total
		Unrestricted	Restricted	funds	funds
	Note	funds	funds	2022	2021
		£	£	£	£
Income from:
Donations and legacies	2	100	-	100	81
Charitable activities	3	125,906	1,412,568	1,538,474	1,547,488
Investment income	4	18	-	18	1,794
Other income	5	10,000	-	10,000	12,560
		───────	──────	───────	───────
Total		136,024	1,412,568	1,548,592	1,561,923
		───────	──────	───────	───────
Expenditure on:
Charitable activities	6	89,484	1,444,378	1,533,862	1,504,994
		───────	──────	──────	──────
Total Expenditure		89,484	1,444,378	1,533,862	1,504,994
		───────	──────	──────	──────
Net income/(expenditure)
before transfers	10	46,540	(31,810)	14,730	56,929
Transfers between funds	16	(6,195)	6,195	-	-
		───────	──────	───────	───────
Net movement in funds for the
year	16	40,345	(25,615)	14,730	56,929
Reconciliation of funds:
Total funds brought forward	16	306,692	25,615	332,307	275,378
		───────	──────	───────	───────
Total funds carried forward	16	£347,037	£Nil	£347,037	£332,307
		═══════	══════	═══════	═══════

The Statement of Financial Activities includes all recognised gains and losses during the year.

All income and expenditure derives from continuing activities.

The notes form part of these financial statements

28

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Balance Sheet as at 31 March 2022

	Note		2022		2021
		£	£	£	£
Fixed Assets
Tangible fixed assets	12		-		-
Current Assets
Debtors	13	83,719		76,212
Cash at bank and in hand		558,172		522,477
		───────		───────
		641,891		598,689
Creditors - amounts falling due within
one year	14	164,112		121,969
		───────		───────
Net Current Assets			477,779		476,720
			───────		───────
Total assets less current liabilities			477,779		476,720
Creditors – amounts falling due after
more than one year
Defined benefit pension liability	20		(130,742)		(144,413)
			───────		───────
Net Assets	15		£347,037		£332,307
			═══════		═══════
Funds of the Charity
Unrestricted funds	16
General funds			477,779		451,105
Pension Liability			(130,742)		(144,413)
Restricted Funds	16		-		25,615
			───────		───────
	16		£347,037		£332,307
			═══════		═══════

The financial statements have been prepared in accordance with the special provisions for small companies under Part 15 of the Companies Act 2006.

The financial statements were approved by the trustees and authorised for issue on 19 October 2022 and signed on their behalf by:

…………………………….……… Susan Hutton Treasurer

Company number: 03038147

The notes form part of these financial statements.

29

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Statement of Cash flows As at 31 March 2022

Statement of Cash flows As at 31 March 2022
	Note	2022	2021
		£	£
Cash flows from operating activities	18	35,677	(107,848)
Cash flows from investing activities
Interest received	4	18	1,794
		───────	──────
Net increase / (decrease) in cash and cash equivalents		35,695	(106,054)
Cash and cash equivalents brought forward		522,477	628,531
		───────	──────
Cash and cash equivalents carried forward		£558,172	£522,477
		═══════	══════
Cash and cash equivalents consists of:
Cash at bank and in hand		£558,172	£522,477
		═══════	══════

The notes form part of these financial statements

30

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

1 . Accounting policies

a) Basis of preparation

Lewisham Citizens Advice Bureaux Service Limited is a charitable company limited by guarantee registered in England and Wales. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is given in the Reference and Administrative Information on page 1.

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

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice.

The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are prepared in sterling which is the functional currency of the charity.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

b) Tangible fixed assets and depreciation

The costs of minor additions costing below £1,000 are not capitalised. This policy is reviewed periodically by the trustees.

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Computer and office equipment - 33% straight line or over whole term of the lease Fixtures and fittings - 33% straight line or over whole term of the lease

• c) Income recognition

Contract and grant income is accounted for in the Statement of Financial Activities (SOFA) when the charity has entitlement to the income, receipt is probable and amounts can be measured with reasonable certainty. Income received which relates to a future accounting period is recognised in creditors as deferred income. Bank interest is recognised on a receivable basis. Donations are recognised upon receipt.

• d) Expenditure recognition

Expenditure is recognised on an accruals basis as a liability when incurred. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates.

Charitable expenditure comprises services supplied and activities undertaken which are identifiable as wholly or mainly in support of the charity’s objectives.

Support costs are those costs which enable the charitable activities to be undertaken and include overheads and general property maintenance. Where activities incurred relate to more than one cost category, they are apportioned on the most appropriate basis, and predominantly with reference to staff time, on a reasonable and consistent basis.

Governance costs are those costs associated with the governance arrangements of the charity, and these include audit, legal advice for trustees, costs associated with trustee meetings and the cost of the preparation of the statutory financial statements.

31

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED

Notes to the financial statements for the year ended 31 March 2022

1 . Accounting policies /cont’d…

e) Fund accounting

The unrestricted general funds are those funds that are available for use at the discretion of the trustees in furtherance of the general objectives of the charity.

Restricted funds are those funds which are to be used in accordance with specific restrictions imposed by the donors. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

• f) Debtors and creditors

The charity only 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 their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

• g) Operating leases

• Rentals under operating leases are charged to the SOFA on a straight – line basis over the lease term.

h) Pension costs

CAL participates in 2 pension schemes;

Contributions payable under the schemes are charged to the SOFA in the year to which they refer:

• a) The Pension Trust Growth Plan has four different series within the one pension scheme. CAL participates in two of these series. It previously entered staff into a defined benefit series and it now enrolls new staff into the defined contribution one.

The defined benefit series had been classified as a defined contribution money purchase scheme, but has now been redesignated as a defined benefit scheme because of the guarantee within the scheme that the value attributed to each member will not be less than the accumulated contributions. Consequently this places a potential contingent liability on employers, see also note 19, although CAL has no deficit contributions payable under the scheme. The pension contributions charged in these accounts represent the amounts payable by the company for this scheme in respect of the year 2021-22.

• b) National Association of Citizens Advice Bureaux Pension and Assurance Plan (1991) is a defined benefit arrangement. However, this scheme is a multi-employer scheme and is also accounted for as a defined contribution scheme because the charity is unable to identify its share of the underlying assets and liabilities on a consistent and reasonable basis in accordance with Section 28 of FRS 102. As the charity has an agreed deficit contribution scheme in place, a liability has been included for the value of these future payments, discounted to their present value. This scheme was closed to future accrual with effect from 31 March 2008. Further details are provided in note 20.

32

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

2	Donations and legacies	Unrestricted	Restricted	Total	Total
		2022	2022	2022	2021
	Voluntary income
	Donations	£100	£Nil	£100	£81
		═══════	═══════	═══════	═══════
	All of the £81 recognised in 2021 related to unrestricted funds.
3	Income from Charitable Activities
		Unrestricted	Restricted	Total	Total
		2022	2022	2022	2021
		£	£	£	£
	London Borough of
	Lewisham	-	868,272	868,272	866,733
	Capitalise	-	272,975	272,975	262,945
	National CA - EBDx	-	-	-	10,920
	National CA - Help to Claim	-	112,297	112,297	111,434
	TFL - Legal Team	-	42,500	42,500	41,250
	Social Prescribing	-	50,000	50,000	50,000
	SELCE	-	23,265	23,265	12,745
	National CA – Grant for
	Equipment	-	-	-	18,259
	Downham Project Food
	Bank	-	7,500	7,500	-
	Test and Trace	-	12,000	12,000	-
	KickStart	-	12,217	12,217	-
	IAPT	-	11,542	11,542	-
	Other Grants	125,906	-	125,906	173,202
		───────	───────	───────	───────
		£125,906	£1,412,568	£1,538,474	£1,547,488
		═══════	═══════	═══════	═══════
	Of the £1,547,488 recognised in 2021, £173,202 related to unrestricted funds and				£1,374,286
	related to restricted funds.
4	Investment Income	Unrestricted	Restricted	Total	Total
		2022	2022	2022	2021
	Bank Interest received	£18	£Nil	£18	£1,794
		══════	═════	═══════	═══════
	All of the £1,794 recognised in 2021 related to		unrestricted funds.
5	Other Income	Unrestricted	Restricted	Total	Total
		2022	2022	2022	2021
		£	£	£	£
	Referral fee	10,000	-	10,000	-
	Insurance claim	-	-	-	2,360
	Secondment income	-	-	-	10,200
		──────	──────	───────	───────
		£10,000	£Nil	£10,000	£12,560
		══════	══════	═══════	═══════

Of the £12,560 recognised in 2021, £2,360 related to unrestricted funds and £10,200 related to restricted funds.

33

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

6	Expenditure on Charitable		Support
	Activities	Direct Costs	Costs	Total	Total
		(note 7)	(note 8)	2022	2021
	Information and advice
	services	£1,320,450	£213,412	£1,533,862	£1,504,994
		═══════	═══════	═══════	═══════

£89,484 (2021: £116,270) of the above costs was charged to unrestricted funds and £1,444,378 (2021: £1,388,724) of the above costs was charged to restricted funds.

7	Analysis of Direct Costs	2022	2021
	Staff and volunteer costs	968,092	961,604
	Partner payments	248,753	248,298
	Office costs	71,884	91,321
	Premises costs	31,325	31,000
	Other costs	396	953
		───────	───────
		£1,320,450	£1,333,176
		═══════	═══════
8	Analysis of Support Costs	2022	2021
	Staff and volunteer costs	122,844	34,140
	Office costs	77,445	82,814
	Premises costs	924	-
	Other costs	1,970	2,589
	Governance costs (Note 9)	10,229	7,580
	Pension liability movement	-	44,695
		──────	──────
		£213,412	£171,818
		══════	══════
9	Governance Costs	2022	2021
	Legal, Professional and
	finance	4,890	1,980
	Audit	5,280	5,508
	Trustee Board	59	92
		──────	──────
		£10,229	£7,580
		══════	══════
10	Net income for the year	2022	2021
	This is stated after charging:
	Depreciation	£Nil	£1,333
	Auditor’s remuneration – audit services	£5,280	£5,508
		══════	══════

34

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

11	Information regarding Trustees, Directors and Employees
		2022	2021
		£	£
	Wages and salaries	947,108	862,582
	Recruitment costs	8,901	5,599
	Social security costs	71,769	73,802
	Pension costs	31,493	31,838
	Staff training and travel costs	7,324	11,543
		──────	──────
		£1,066,595	£985,364
		═══════	═══════

The average number of employees during the year was 38 (2021 : 36).

The average number of staff employed by the charity (full time equivalent) was:

	2022	2021
Chief officer	1	1
Direct charitable work	30	33
Administrative	2	2
	───	───
	33	36
	═══	═══

No employee received total employee benefits (excluding employer pension costs) in excess of or more than £60,000 per annum.

Trustees and key management personnel remuneration and expenses

No trustee received any remuneration in respect of services as a trustee during the year (2021: £Nil). No expenses were claimed by nor reimbursed to any trustees during this or the previous year.

The total amount of employee benefits received by key management personnel was £43,404 (2021: £57,012). Under FRS 102, employee benefits include gross salary, employer’s national insurance, employer’s pension contributions and benefits in kind.

35

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

12	Tangible Fixed assets		Computer
			Equipment
	Cost		£
	As at 1 April 2021 and
	31 March 2022		£4,878
			══════
	Depreciation
	As at 1 April 2021 and
	31 March 2022		£4,878
			══════
	Net book value at
	1 April 2021 and
	31 March 2022		£Nil
			══════
13	Debtors	2022	2021
		£	£
	Trade debtors	21,218	24,127
	Prepayments	12,546	12,056
	Accrued income	45,178	40,029
	Other debtors	4,777	-
		───────	───────
		£83,719	£76,212
		═══════	══════
14	Creditors - amounts falling due within one year	2022	2021
		£	£
	Trade creditors	253	12,370
	Other creditors including tax and social security	24,678	8,823
	Accruals	131,681	100,776
	Deferred income (e.g. grants in advance)	7,500	-
		───────	──────
		£164,112	£121,969
		═══════	══════
	Deferred income analysis	2022	2021
		£	£
	As at 1 April	-	216,683
	Additions during the year	7,500	-
	Amounts released to income	-	(216,683)
		──────	──────
	As at 31 March	£7,500	£Nil
		══════	══════

36

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

15	Analysis of net assets between funds
		General	Restricted	Total
	2022	Funds	Funds	Funds
		£	£	£
	Tangible fixed assets	-	-	-
	Current assets	641,891	-	641,891
	Other liabilities	(294,854)	-	(294,854)
		───────	──────	───────
	Net assets at 31 March 2022	£347,037	£Nil	£347,037
		═══════	══════	═══════

Comparative information for the analysis of	net assets between funds in the	previous financial year is	previous financial year is
as follows:
	General	Restricted	Total
2021	Funds	Funds	Funds
	£	£	£
Tangible fixed assets	-	-	-
Current assets	573,074	25,615	598,689
Other liabilities	(266,382)	-	(266,382)
	───────	──────	───────
Net assets at 31 March 2021	£306,692	£25,615	£332,307
	═══════	══════	═══════

37

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

16	Movement in funds	At 1 April	Income	Expenditure	Transfers	At 31 March
		2021				2022
		£	£	£	£	£
	Restricted Funds
	London Borough of
	Lewisham	25,615	868,272	(894,582)	695	-
	Capitalise	-	272,975	(273,584)	609	-
	National CA - EBDx	-	-	-	-	-
	National CA - Help to
	Claim	-	112,297	(114,125)	1,828	-
	TFL - Legal Team	-	42,500	(42,956)	456	-
	Social Prescribing	-	50,000	(51,204)	1,204	-
	SELCE	-	23,265	(23,335)	70	-
	National CA – Grant for
	Equipment	-	-	-	-	-
	Downham Project Food
	Bank	-	7,500	(7,857)	357	-
	Test and Trace	-	12,000	(12,065)	65	-
	KickStart	-	12,217	(12,718)	501	-
	IAPT	-	11,542	(11,952)	410	-
		───────	────────	───────	──────	───────
	Total Restricted Funds	£25,615	£1,412,568	£(1,444,378)	£6,195	£Nil
		───────	────────	───────	──────	───────
	Unrestricted Funds
	General funds	451,105	122,353	(89,484)	(6,195)	477,779
	Pension Liability	(144,413)	13,671	-	-	(130,742)
		───────	────────	───────	──────	───────
	Total Unrestricted Funds	£306,692	£136,024	£(89,484)	£(6,195)	£347,037
		───────	────────	───────	──────	───────
		───────	────────	───────	──────	───────
	Total Funds	£332,307	£1,548,592	£(1,533,862)	£Nil	£347,037
		═══════	════════	═══════	══════	═══════

38

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

16 Movement in funds /cont’d...

	At 1 April	Income	Expenditure	Transfers	At 31 March
	2020				2021
Prior Year Comparison	£	£	£	£	£
Restricted Funds
London Borough of
Lewisham	26,352	866,733	(867,470)	-	25,615
Capitalise	(899)	273,145	(274,054)	1,808	-
National CA - EBDx	(665)	10,920	(11,016)	761	-
National CA - Help to
Claim	(512)	111,434	(113,655)	2,733	-
TFL - Legal Team	(269)	41,250	(41,051)	70	-
Social Prescribing	-	50,000	(50,041)	41	-
SELCE	-	12,745	(13,178)	433	-
National CA – Grant for
Equipment	-	18,259	(18,259)	-	-
	───────	────────	───────	──────	───────
Total Restricted Funds	£24,007	£1,384,486	£(1,388,724)	£5,846	£25,615
	───────	────────	───────	──────	───────
Unrestricted Funds
General funds	351,089	177,437	(71,575)	(5,846)	451,105
Pension Liability	(99,718)	-	(44,695)	-	(144,413)
	───────	────────	───────	──────	───────
Total Unrestricted Funds	£251,371	£177,437	£(116,270)	£(5,846)	£306,692
	───────	────────	───────	──────	───────
	───────	────────	───────	──────	───────
Total Funds	£275,378	£1,561,923	£(1,460,299)	£Nil	£332,307
	═══════	════════	═══════	══════	═══════

Restricted funds:

London Borough of Lewisham - our core activity is funded by the Local Authority. - Capitalise pan-London partnership project which receives funding from the government’s Financial Inclusion Fund. This project enables us to increase the level of face to face debt advice. National CA EBDx - Energy Best Deal Extra (EBDx) reached consumers who are vulnerable to, or are in, fuel poverty, and those who might benefit from energy advice and on matters relating to their wider circumstances.

National CA Help to Claim - This project offers end-to-end support to help people make a new Universal Credit claim

TFL - Legal Team - Trust for London project supporting individuals with legal issues and providing, access to specialist advice for disadvantaged residents.

Social Prescribing - Support provided by London Borough of Lewisham’s Better Care Fund to allow us to provide benefits and debt advice to customers referred by GP Link Workers.

SELCE – This funding is administered locally by South East London Community Energy on behalf of British Gas Trust and the project allows CAL to provide energy advice and support to vulnerable residents in Lewisham and surrounding area.

National CA Grant for Equipment – Citizens Advice National distributed a BEIS grant for £18,259, to support equipment needs owing to increased capacity to help continued advice services across all channels during COVID-19.

39

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

16 Movement in funds /cont’d...

Restricted funds /cont’d…

Downham Project Food Bank - Outreach was developed with a small grant from the London Community Response Fund. During Covid, this established a Remote Community Outreach programme for the most vulnerable people in Lewisham. It helped ensure that there were still in person ways of reaching advisers in the absence of drop in at the Leemore due to continued COVID measures. The programme continues to progress positively with referral numbers steady. We continue to work with selected local community-based organisations that support vulnerable groups that require virtual debt appointments. These organisations include Lewisham Speaking Up, 999 Club, Bench Outreach, Latin American Disabled People’s Project (in partnership with Lewisham Food Bank) and Deptford Salvation Army Food Bank. A grant from the Council has enabled Whitefoot and Downham Food Project Plus to join this group.

Test and Trace - This fund was awarded £12,000 by Lewisham Council for supporting people with self isolation and provide financial support for loss of income.

KickStart - A new staff apprenticeship programme, ‘Kick-start’ has been embraced, which promotes/improves staff retention, with an emphasis on continuous learning.

IAPT - CAL has been liaising with the Money and Mental Health Trust on a project to understand the impact of debt advice on patients undertaking IAPT (Improving Access to Psychological Therapies).

17. Financial commitments

Operating lease commitments

Total minimum lease payments due under non-cancellable operating leases for equipment are as follows:

		2022	2021
		£	£
	Due within one year	3,720	4,470
	Due within one to five years	14,880	-
		──────	──────
		£18,600	£4,470
		══════	══════
18	Reconciliation of net income/expenditure to net cash flow from operating		activity
		2022	2021
		£	£
	Net movement in funds	14,730	56,929
	Interest receivable	(18)	(1,794)
	Depreciation	-	1,333
	Movement in pension scheme liability	(13,671)	44,695
	Decrease/(increase) in debtors	(7,507)	24,951
	Increase/(decrease) in creditors	42,143	(233,962)
		──────	──────
		£35,677	£(107,848)
		══════	══════

40

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

19 Contingent liabilities and assets

Contingent liabilities – CAL has potential obligations in respect of pension entitlements for past and present staff arising under the Pensions Trust defined benefit pension scheme, which do not need to be provided for in these financial statements. In the case of the Pensions Trust Growth Plan scheme it has been confirmed that on the basis of the actuarial assessment of the buy-out funding position at 30 September 2021, the employer debt on withdrawal, liability for CAL is £xxxxx (2020 : £30,172).

Contingent assets – Total grant funding awarded as at 31 March 2022 but not yet received, and recognised as income due, to the recognition criteria not being met amounts to £21,250.

20 NACAB pension scheme

This note refers to the entirety of the NACAB scheme, of which CAL is a member. The CAL potential obligations are included in note 19.

National Citizens Advice (‘the Principal Employer’) operates a defined benefits scheme (‘the Plan’) in the UK which provides both pensions in retirement and death benefits to members. Pension benefits are related to the members’ final salaries at retirement and their length of service at the date they retired or left pensionable service. The Plan closed to future accrual on 31 March 2008. The Plan also contains some money purchase AVCs and protected rights funds, which are not included in the disclosures.

In accordance with the schedule of contributions in force over the 2022/23 accounting year, the contributions to the Plan for the year ending 31 March 2023 are expected to be £2,579,000 which includes £2,279,000 towards the deficit and £300,000 as an allowance for administration expenses and all scheme levies. The 31 March 2022 valuation is currently underway and a new schedule of contributions will be put in place at its completion.

The Plan is a registered scheme under UK Legislation. The Plan is subject to the scheme funding requirements outlined in UK legislation. The Plan is governed by the Plan’s Trust Deed and rules dated 4 April 2011. The Trustee is responsible for the operation and the governance of the Plan, including making decisions regarding the Plan’s funding investment strategy (although they are required to consult the Principal Employer).

A full actuarial valuation of the Plan was carried out at 31 March 2022 by a qualified independent actuary, based upon membership data as at 31 March 2019, allowing for assumed membership movements over the period from this date, as well as any material membership movements significantly different from those assumed (e.g. transfers out).

The most recent formal actuarial valuation of the Plan was at 31 March 2019 and revealed a funding deficit of £68,501,000. In the recovery plan agreed following the valuation, the Principal Employer and other participating employers agreed to pay deficit reduction contributions of £2,279,000 per annum with the view to eliminating the deficit by 31 March 2037. The 31 March 2022 valuation is currently underway.

The liabilities of the Plan are based on the current value of expected benefit payment cashflows to members of the Plan over the next 60 or more years. The average duration of the liabilities is approximately 15 years.

The Plan is exposed to actuarial risks such as market (investment) risk, interest rate risk, inflation risk, currency risk, and longevity risk.

41

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

The major assumptions used by the actuary were (in nominal terms) as follows:

	As at	Asat
	31/03/2022	31/03/2021
Discount rate	2.80%	2.10%
Inflation (RPI)	3.70%	3.30%
Inflation (CPI)	3.25%	2.80%
Revaluation of deferred pensions in excess of GMP	3.25%	2.80%
Pension in payment increasesof:
- CPI or 5% p.a. ifless	3.25%	2.80%
- CPI inflation since retirement or 5% p.a. compound ifless	3.25%	2.80%
- CPI or 3% p.a. ifless	2.70%	2.50%
Commutation of pension for cash atretirement	75% of HMRC	75% of HMRC
	maximum	maximum
	As at	Asat
	31/03/2022	31/03/2021
Assumed life expectancies on retirement at age 65 are:
Retiring today -Males	21.3	21.2
Retiring today -Females	24.2	24.1
Retiring in 20 years time -Males	22.6	22.6
Retiring in 20 years time -Females	25.7	25.7
	Value at	Valueat
	31/03/2022	31/03/2021
	£000s	£000s
The assets in the Plan were:
Multi assetfunds	68,955	72,995
Structured Equity	27,488	24,849
Cash	5,771	1,509
	─────	─────
Fair value of Plan assets	102,214	99,353
	─────	─────
	£000s	£000s
The actual return on assets over the period was:	5,301	14,282
	£000s	£000s
Present value of fundedobligations	148,768	161,415
Fair value of Plan assets	102,214	99,353
	─────	─────
Surplus/(deficit) in funded scheme	(46,554)	(62,062)
	─────	─────
	£000s	£000s
Present value of unfunded obligations	-	-
Unrecognised actuarial gains (losses)	-	-
Adjustment in respect of asset ceiling and minimum
funding requirement	-	-
	─────	─────
Net liability in balance sheet
(of National Citizens Advice)	46,554	62,062
	─────	─────

42

LEWISHAM CITIZENS ADVICE BUREAUX SERVICE LIMITED Notes to the financial statements for the year ended 31 March 2022

Reconciliation of opening and closing balances of the	31/03/2022	31/03/2021
present value of the defined benefit obligation	£000s	£000s
Benefit obligation at beginning ofyear	161,415	140,310
Current service cost	771	652
Interestcost	3,346	3,322
Contributions by Plan participants	-	-
Actuarial (gains)/losses	(11,745)	21,568
Benefits paid andexpenses	(5,019)	(4,437)
Past service cost	-	-
Settlements	-	-
Business combinations	-	-
Exchange rate	-	-
	─────	─────
Benefit obligation at end of year	148,768	161,415
	─────	─────
Reconciliation of opening and closing balances of the	31/03/2022	31/03/2021
fair value of Plan assets	£000s	£000s
Fair value of Plan assets at beginning ofyear	99,353	85,959
Interest income on Plan assets	2,061	2,052
Return on assets, excluding interest income	3,240	12,230
Contributions byemployers	2,579	3,549
Contributions by Plan participants	-	-
Benefits paid and expenses	(5,019)	(4,437)
Business combinations	-	-
Settlements	-	-
Exchange rate	-	-
	─────	─────
Fair value of Plan assets at end of year	102,214	99,353
	─────	─────
The amounts recognised in profit orloss:	31/03/2022	31/03/2021
	£000s	£000s
Service cost - including current and past service costs,
and settlements	-	-
Service cost - administrativecost	771	652
Net interest on the net defined benefit liability	1,285	1,270
	─────	─────
Total expense	2,056	1,922
	─────	─────
Remeasurements of the net defined benefit liability	31/03/2022	31/03/2021
(asset) to be shown in OCI:	£000s	£000s
Actuarial (gains)/losses on the liabilities	(11,745)	21,568
Return on assets, excluding interest income	(3,240)	(12,230)
Changes in the effect of the asset ceiling excluding
interest income	-	-
	─────	─────
Total remeasurement of the net defined benefit
liability (asset) to beshowninOCI	(14,985)	9,338
	─────	─────

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