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2021-03-31-accounts

Company Registration Number: 3765728 Charity Registration Number: 1077427

Barrow Citizens Advice Bureau Financial Statements

For the Year Ending

31 March 2021

JANE ASCROFT ACCOUNTANCY LIMITED

Chartered Accountants & statutory auditor Enterprise House Harmire Enterprise Park Barnard Castle County Durham DL12 8XT

Barrow Citizens Advice Bureau

Financial Statements

Year Ended 31 March 2021

Page
Trustees' Annual Report (Incorporating the Directors' Report) 1
Independent Auditor's Report to the Members 9
Statement of Financial Activities (Including Income and Expenditure Account) 13
Statement of Financial Position 14
Notes to the Financial Statements 15
The Following Pages Do Not Form Part of the Financial Statements
Detailed Statement of Financial Activities 27

Barrow Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Directors' Report)

Year Ended 31 March 2021

The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 March 2021.

Objectives and Activities

The Charity's objects are to promote any charitable purpose for the benefit of the community in Barrow and district by the advancement of education, the protection and preservation of health and the relief of poverty, sickness and distress.

The trustees confirm that in reviewing and planning the charity's aims and objectives they have paid due regard to Charity Commission guidance on Public Benefit and have complied with the duty in section 4 of the Charities Act 2006.

Barrow CAB's aims are:

The charity provides free, confidential, impartial and independent advice and information to anyone regardless of personal circumstance. Barrow CAB values diversity, promotes equality and challenges discrimination.

Objectives, Strategies and Activities for the Year

As the financial year began, Barrow Citizens Advice had to rapidly refocus our intended plans for the coming year and adapt to working to serve our community in the most exceptional context. The Covid pandemic and resulting lockdown and other restrictions created a wave of changes, uncertainty and fear that most people had rarely, if ever, experienced.

Trustees were determined that Barrow Citizens Advice would respond as fully as possible to our community's advice and support needs within the financial constraints we might face. We were nonetheless certain that our activities would, more than ever before, need to be aligned to our stated mission i.e. to help improve the financial and personal resilience of our clients.

This determination was shared by the staff team. Their dedication in this year especially, not only to Barrow Citizens Advice but overwhelmingly to our local residents was, and continues to be, truly remarkable. They overcame and managed their own fears and concerns about Covid and all its potential impact, whilst continuing to work hard, ensuring the service was as available as possible within each new restriction. That they did so with such calm professionalism is to be fulsomely applauded.

Our established service delivery model, which already included telephone, email and webchat advice delivered by all team members, proved itself to be easily adaptable, with the majority of workers simply relocating their work station to home with minimal fuss. Trustees paid particular attention to staff wellbeing, insisting on more breaks, supporting daily virtual check in team meetings, encouraging leave to be taken and importantly carefully considering individual concerns about Covid and safe work practices for return to the office and reopening drop in face to face services.

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Barrow Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Directors' Report) (continued)

Year Ended 31 March 2021

As a result of our staff's efforts, there was no interruption to our service and the only reduction was to our daily, face to face drop in service. This was replaced with increased capacity on our telephone and email service and, for the most vulnerable, (Covid safe) face to face and/or video conference appointments.

In total, Barrow Citizens Advice helped 2780 individuals with 17,879 separate issues. This was 10% fewer than in the previous year and reflects the increased time needed to support greater numbers of people in extreme distress, as well as the substantial reduction in demand for debt advice that occurred because debt recovery all but halted.

Indeed, issue specific demand was largely governed by the most recent Covid related developments and clear patterns emerged. For example, demand for advice about benefit entitlement and Universal Credit soared at points where people lost all or most of their income. Similarly, demand for advice about employment rights increased at every stage that furlough terms were reduced and threats to jobs increased.

Over the year, 63% of the issues on which advice was given related to benefits and tax credits, with over half concerning Universal Credit. 8% were about employment rights, 7% about managing debt, 4% were about housing issues (again demand reduced as eviction action was suspended for most of the year) and 3% about relationship and family problems.

The demographic of those seeking help also changed, particularly at the start of the year. For the majority of those who would usually use our service , we were able to provide the up to date, relevant information about Government measures people needed relating to benefits, debt recovery, housing and legal action. This was sufficient reassurance for most and allowed us to help those whose secure, often comfortable, income had disappeared or severely reduced overnight. Most had little or no experience of the benefits system and had financial commitments that were suddenly unaffordable. Their distress, anger and fear often meant our advisers needed much more time to support people with those emotions before being able to give the practical, accurate advice needed to restore some order to their lives. We were also able to make sure that those who needed ongoing support with their mental health were referred to our Barrow Advice Hub partners, Mind in Furness and Project John.

During the year of those helped by Barrow Citizens Advice:

Clients have repeatedly expressed their appreciation of Barrow Citizens Advice as their trusted ally whose help improved their mental well-being. Feedback from clients who were independently surveyed evidences this, with 95% recommending our service to others, 91% praising the ease of access, and 92% stating we helped them find a way forward.

In addition to our core business of delivering high quality, comprehensive advice, tremendous efforts were directed to working with a range of community partners who came together to provide practical support across our community during the pandemic.

Our role was twofold. Firstly, to provide reliable factual information about Government measures and legal changes and evidence based analysis of the impact of Covid on our local communities to other agencies/ community groups. This informed local strategies and crucially enabled important messages to reach the widest possible audience, especially local residents.

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Barrow Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Directors' Report) (continued)

Year Ended 31 March 2021

Secondly, with existing funding from the Lottery and additional new funding from Barrow Borough Council's hardship fund we were able to provide emergency financial support for those who needed it according to need identified during their advice interview. Assistance was given with accommodation costs, energy bills, clothing, white goods, essential travel and food. The help provided to individuals played a vital and basic part in the steps to resolving an ongoing problem such as benefit delays or loss of income.

As winter approached, we worked with other Citizens Advice across Cumbria to provide Covid Winter grants to help families with children cover the cost of their energy bills. Once again, our staff deserve praise for delivering this project on very short notice and against stringent requirements from the funder, DWP, and high expectations from the public.

Despite all efforts, Trustees were disappointed not to be able to appoint any new trustees to join the board and build the range of skills and experience necessary to governing our charity. Our search continues and, with the resignation of one of our number due to Covid, has become more urgent.

Barrow Citizens Advice was able to bring to fruition our Paralegal Apprenticeship project. After 2 year's hard work by the Apprentice and managers, the paralegal qualification was awarded. We thank Sir John Fisher Foundation and the Walney Extension Community Fund for their support in funding this project.

Continuous professional development remains at the heart of our organisation and our staff continued to develop their knowledge and skills through regular training albeit, mostly online. We were fortunate to be awarded a place for a Trainee Debt Caseworker at the newly developed Citizens Advice Academy. This helped prepare for the retirement of two long service caseworkers at the end of the year. Again, mention must be given to staff who are subject to the most stringent scrutiny, assessment and testing of their knowledge and the quality of their work. Trustees are concerned at the level of stress this places on workers who are committed to and deliver a client focused service but occasionally fall foul of bureaucratic requirements. We will continue to make representations to ensure the proper balance is struck.

In summary, this year proved beyond all measure the importance our local charity has for our community. We are depended upon, not only by the people who use our services but also those who might in the future, by community groups and by statutory and non-statutory agencies. The rhetorical question - where would we be without Barrow Citizens Advice? - was repeatedly posed. Most concluded, quite lost.

It is also abundantly clear to Trustees that our service depends on people who care about others and will adapt and work hard to design and deliver the best possible service. Barrow Citizens Advice resilience was thoroughly tested throughout the year and passed with flying colours.

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Barrow Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Directors' Report) (continued)

Year Ended 31 March 2021

Financial Review

Financial Position

The trustees are satisfied that the Charity has adequate reserves to continue its work for the next twelve months.

Reserves policy

The charity follows the guidance issued by the Charity Commission and seeks to maintain adequate reserves to meet the charity's commitments. This amounts to the equivalent of 6 months running costs, currently £181,668. The trustees have also designated £58,602 to meet the cost of contractual commitments to staff, £157,500 in staffing costs for the First Contact service until 2024 and £7,550 for the short term continuation of the apprenticeship project. This gives total required reserves of of £405,320. Actual unrestricted funds at 31st March 2021 excluding fixed assets were £408,042.

Investment policy

The recommended level of resources which the charity carries in its current account is maintained at not more than is required for a normal month's activity. A proportion of remaining monies are held in an interest bearing account giving as high a rate of return as possible whilst retaining flexibility to be able to draw down monies as and when required. The funds designated for future investment in front line services are placed in a range of savings accounts to achieve maximum interest so the organisation's strategic development plans are achieved.

Donations policy

The policy of the charity is not to give grants / donations to other charities or organisations.

Plans for Future Periods

There is no doubt that the impact of Covid will be far reaching, affecting most aspects of life. We believe we need to plan for increased demand for our services as a period of economic austerity is likely. We will also need to embed approaches that help improve people's mental well-being as evidence indicates the loss of personal autonomy has led to poor mental well-being. Trustees have committed reserves to increase current staffing levels and maintain services.

We also intend to maintain face to face services for our local residents who are unable to use digital advice services. Barrow has one of the highest levels of "digital exclusion/disadvantage" in the UK and there is a grave risk that these people will be left behind as their needs are ignored. Our fundraising efforts will be targeted to meet this need.

Barrow Citizens Advice faces significant challenges over the next two years, including the upheaval caused by local government re-organisation and up to an 80% cut in income as current projects come to an end. Trustees have begun to consider the steps that need to be taken to secure a viable and sustainable Citizens Advice service for the residents of Barrow Borough.

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Barrow Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Directors' Report) (continued)

Year Ended 31 March 2021

Structure, Governance and Management

Barrow Citizens Advice Bureau (Barrow CAB) is a company limited by guarantee, governed under Memorandum and Articles of Association.

Appointment of trustees

Trustees are elected at the annual general meeting, are appointed to the Board following nomination by member organisations or are co-opted by the Trustee Board. Appointment of nominated or co-opted Trustees is agreed at any ordinary meeting of the Board. Barrow Borough Council is entitled to nominate or appoint two members to attend Trustee board meetings.

Recruitment, induction and training of trustees

The Trustee Board conducts an annual skills audit of Board members and actively seeks out new Trustees as appropriate to ensure the Board has the most useful skill mix possible and is representative of the local community.

All trustees are expected to be committed to the aims and principles of Citizens Advice and be willing to take an active role in the governance of Barrow CAB. Potential Trustees are selected on the basis of the expertise and experience they might bring to the organisation. Induction for all new Trustees covers the structure, aims and principles of Citizens Advice, legal obligations under charity and company law, the objectives and activities of Barrow CAB and current business and development plans.

Organisational structure & networks

Barrow CAB is governed by the Board of Trustees. The Board is responsible for setting the strategic direction of the organisation and has ultimate responsibility for the conduct of Barrow CAB and for ensuring that the charity satisfies its legal and contractual obligations. Board meetings are held quarterly with additional meetings as necessary. The trustees meet twice yearly to carry out a full review of the current business plan and to determine future strategic direction of the organisation. Non Trustee members may be co-opted to attend meetings for a specific expertise they bring for time limited periods.

Operational management of Barrow CAB is delegated to the Chief Executive Officer who works closely with the Advice Services Manager and First Contact Team Leader to ensure delivery of all services.

Barrow CAB is a member of the national Citizens Advice organisation. Barrow CAB actively participates in the development, planning and delivery of county wide services as part of the consortium of Citizens Advice Bureau in Cumbria.

Barrow CAB is also one of the lead partners together with Mind in Furness, Barrow & District Disability Association, Barrow Foodbank and Project John in the Barrow Advice Hub. Together, we deliver projects which help the most disadvantaged residents of Barrow in times of crisis and help them build their personal resilience.

Services are delivered by a committed team of paid workers and volunteers. It is calculated that the contribution made by volunteer advisers equates to £9,000 per annum (based on pay costs only).

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Barrow Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Directors' Report) (continued)

Year Ended 31 March 2021

Risks Policy

The Trustees have assessed the major risks to which to which the charity is exposed and are satisfied that systems are in place so timely action is taken to mitigate exposure to those risks.

The major risk to the organisation is financial and consists mainly of loss of funding and redundancy liability towards employees. The level of liability is carefully monitored and funds set aside to ensure these costs can be met. All new bids for funding include an element to address potential similar liabilities.

Internal risks are minimised by the implementation of procedures for authorisation of all transactions and projects and to ensure consistent quality of delivery for all operational aspects of the charitable company. These procedures are periodically reviewed by the trustees and staff to ensure they still meet the needs of the charity.

Reference and Administrative Details

Registered charity name Barrow Citizens Advice Bureau
Charity registration number 1077427
Company registration number 3765728
Principal office and registered Ramsden Hall
office Abbey Road
Barrow In Furness
Cumbria
LA14 5QW
The Trustees
Mrs S L Hazeldine
Ms W Robinson
Mr S Trainer
Ms C Henderson (Retired 22 October 2020)
Mr M Waite
Company Secretary Ms M C McKinlay
Auditor Jane Ascroft Accountancy Limited
Chartered Accountants & statutory auditor
Enterprise House
Harmire Enterprise Park
Barnard Castle
County Durham
DL12 8XT
Bankers CAF Bank Ltd
25 Kings Hill Avenue
Kings Hill
West Malling
Kent
ME19 4JQ

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Barrow Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Directors' Report) (continued)

Year Ended 31 March 2021

Trustees' Responsibilities Statement

The trustees, who are also directors for the purposes of company law, are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Auditor

Each of the persons who is a trustee at the date of approval of this report confirms that:

The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.

Small Company Provisions

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

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Barrow Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Directors' Report) (continued)

Year Ended 31 March 2021

The trustees' annual report (incorporating the directors' report) was approved on .............................. and signed on behalf of the board of trustees by:

Ms M C McKinlay Charity Secretary

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Barrow Citizens Advice Bureau

Independent Auditor's Report to the Members of Barrow Citizens Advice Bureau

Year Ended 31 March 2021

Opinion

We have audited the financial statements of Barrow Citizens Advice Bureau (the 'charity') for the year ended 31 March 2021 which comprise the statement of financial activities (including income and expenditure account), statement of financial position and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for Opinion

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

Conclusions Relating to Going Concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

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Barrow Citizens Advice Bureau

Independent Auditor's Report to the Members of Barrow Citizens Advice Bureau (continued)

Year Ended 31 March 2021

Other Information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. 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.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

Opinions on Other Matters Prescribed by the Companies Act 2006

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

Matters on Which We are Required to Report by Exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' 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:

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Barrow Citizens Advice Bureau

Independent Auditor's Report to the Members of Barrow Citizens Advice Bureau (continued)

Year Ended 31 March 2021

Responsibilities of Trustees

As explained more fully in the trustees' responsibilities statement, the trustees (who are also the directors 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 charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor's Responsibilities for the Audit of the Financial Statements

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.

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.

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

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Barrow Citizens Advice Bureau

Independent Auditor's Report to the Members of Barrow Citizens Advice Bureau (continued)

Year Ended 31 March 2021

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of Our Report

This report is made solely to the charity'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 charity'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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.

Jane Ascroft (Senior Statutory Auditor)

For and on behalf of Jane Ascroft Accountancy Limited Chartered Accountants & statutory auditor Enterprise House Harmire Enterprise Park Barnard Castle County Durham DL12 8XT

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Barrow Citizens Advice Bureau

Statement of Financial Activities (including income and expenditure account)

Year Ended 31 March 2021

2021 2020
Unrestricted Restricted
funds funds Total funds Total funds
Note £ £ £ £
Income and endowments
Donations and legacies 5 31,849 – 31,849 15,364
Charitable activities 6 198,148 193,871 392,019 339,114
Investment income 7 796 – 796 1,833
Other income 8 18,477 16,544 35,021 3,000
───────── ───────── ───────── ─────────
Total income 249,270 210,415 459,685 359,311
═════════ ═════════ ═════════ ═════════
Expenditure
Expenditure on charitable activities 9,10 183,705 216,926 400,631 374,266
───────── ───────── ───────── ─────────
Total expenditure 183,705 216,926 400,631 374,266
═════════ ═════════ ═════════ ═════════
───────── ───────── ───────── ─────────
Net income/(expenditure) 65,565 (6,511) 59,054 (14,955)
═════════ ═════════ ═════════ ═════════
Transfers between funds (4,004) 4,004 – –
───────── ───────── ───────── ─────────
Net movement in funds 61,561 (2,507) 59,054 (14,955)
Reconciliation of funds
Total funds brought forward 353,687 2,507 356,194 371,149
───────── ───────── ───────── ─────────
Total funds carried forward 415,248 – 415,248 356,194
═════════ ═════════ ═════════ ═════════

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 15 to 25 form part of these financial statements.

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Barrow Citizens Advice Bureau

Statement of Financial Position

31 March 2021

2021 2020
Note £ £ £
Fixed Assets
Tangible fixed assets 15 7,206 10,808
Current Assets
Debtors 16 29,397 20,655
Cash at bank and in hand 389,369 341,512
───────── ─────────
418,766 362,167
Creditors: amounts falling due within one year 17 10,724 16,781
───────── ─────────
Net Current Assets 408,042 345,386
───────── ─────────
Total Assets Less Current Liabilities 415,248 356,194
───────── ─────────
Net Assets 415,248 356,194
═════════ ═════════
Funds of the Charity
Restricted funds – 2,507
Unrestricted funds 415,248 353,687
───────── ─────────
Total charity funds 19 415,248 356,194
═════════ ═════════

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.

These financial statements were approved by the board of trustees and authorised for issue on ........................, and are signed on behalf of the board by:

Ms W Robinson Trustee

The notes on pages 15 to 25 form part of these financial statements.

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Barrow Citizens Advice Bureau

Notes to the Financial Statements

Year Ended 31 March 2021

1. General Information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Ramsden Hall, Abbey Road, Barrow In Furness, Cumbria, LA14 5QW.

2. Statement of Compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Companies Act 2006.

3. Accounting Policies

Basis of Preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investments measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

The entity is a Public Benefit Entity.

Going Concern

There are no material uncertainties about the charity's ability to continue.

Judgements and Key Sources of Estimation Uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The Trustees consider that there are no significant estimates or judgements affecting these accounts.

Fund Accounting

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the purposes of the charity.

Designated funds are unrestricted funds earmarked by the trustees for specific purposes.

Restricted funds are subjected to restrictions on their expenditure imposed by the donor.

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Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

3. Accounting Policies (continued)

Income

All income is included in the statement of financial activities when the charity is entitled to the income, any performance related conditions attached have been met or are fully within the control of the charity, the income is considered probable and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

Donations and legacy income is received by way of donations, legacies, grants and gifts and is included in full in the Statement of Financial Activities when receivable. Where legacies have been notified to the charity but the criteria for income recognition have not been met, the legacy is treated as a contingent asset and disclosed if material. Grants, where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant.

Donated services and facilities are included at the value to the charity, being the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market.

Investment income is included when receivable.

Income from charitable trading activity is accounted for when earned.

Income from grants, where related to performance and specific deliverables, are accounted for as the charity earns the right to consideration by its performance.

Expenditure

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

Costs of raising funds comprise the costs associated with attracting donations, grants and legacies and the costs of trading for fundraising purposes.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated between the expenditure categories of the SOFA on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, others are apportioned based on the number of staff working on each project.

Tangible Assets

All fixed assets are initially recorded at cost.

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Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

3. Accounting Policies (continued)

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Office Equipment - 33% straight line Computer Equipment - 33% straight line Property Improvements - 20% straight line

Impairment of Fixed Assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Financial Instruments

The charity only has financial assets and 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.

Defined Contribution Plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Accrued income and tax recoverable is included at the best estimate of the amounts receivable at the balance sheet date.

Cash at Bank and in Hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

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Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

3. Accounting Policies (continued)

Creditors

Creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount after allowing for any trade discounts due.

Taxation

The company is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

4. Limited by Guarantee

The company is limited by guarantee. At 31st March 2021 there were 4 members each of whom had undertaken to contribute an amount not exceeding £1 in the event of a winding up.

The company is under the control of the board of trustees as a body and as such is not controlled by any individual.

5. Donations and Legacies

Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Donations
Donations 900 – 900
Grants
Hadfield Trust 4,968 – 4,968
BEIS grant 8,481 – 8,481
Lankelly Chase (Love Barrow Together) 2,500 – 2,500
Pappagallino fund 15,000 – 15,000
──────── ──── ────────
31,849 – 31,849
════════ ════ ════════

- 18 -

Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

5. Donations and Legacies (continued)

5. Donations and Legacies (continued)
Unrestricted Restricted Total Funds
Funds Funds 2020
£ £ £
Donations
Donations 324 – 324
Grants
Sir John Fisher Foundation – 15,040 15,040
──── ──────── ────────
324 15,040 15,364
════ ════════ ════════
6. Charitable Activities
Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Barrow Borough Council 99,280 – 99,280
Citizens Advice BEIS grant 5,162 – 5,162
MAPS – 102,621 102,621
Barrow Foodbank 1,153 – 1,153
Citizens Advice Energy Best Deal – 8,670 8,670
Cumbria County Council - Money Advice project 57,060 – 57,060
Universal Credit Help to Claim – 31,914 31,914
Macmillan/CAB welfare benefits 28,448 – 28,448
National Lottery Help Through Crisis – 50,666 50,666
Other charitable income 7,045 – 7,045
───────── ───────── ─────────
198,148 193,871 392,019
═════════ ═════════ ═════════
Unrestricted Restricted Total Funds
Funds Funds 2020
£ £ £
Barrow Borough Council 99,280 – 99,280
Citizens Advice BEIS grant – – –
Barrow Borough Council - Preventing Homelessness 6,788 – 6,788
MAPS – 71,201 71,201
Barrow Foodbank – 9,221 9,221
Citizens Advice Energy Best Deal – 6,450 6,450
Cumbria County Council - Money Advice project 57,060 – 57,060
Universal Credit Help to Claim – 39,585 39,585
Macmillan/CAB welfare benefits 27,423 – 27,423
National Lottery Help Through Crisis – 21,838 21,838
Other charitable income 268 – 268
───────── ───────── ─────────
190,819 148,295 339,114
═════════ ═════════ ═════════

- 19 -

Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

7. Investment Income

Unrestricted Total Funds Unrestricted Total Funds
Funds 2021 Funds 2020
£ £ £ £
Bank interest receivable 796 796 1,833 1,833
════ ════ ═══════ ═══════
8. Other Income
Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Employment allowance 4,000 – 4,000
HMRC Job Retention Scheme 14,477 – 14,477
Walney Extension Community Fund – 16,544 16,544
──────── ──────── ────────
18,477 16,544 35,021
════════ ════════ ════════
Unrestricted Restricted Total Funds
Funds Funds 2020
£ £ £
Employment allowance 3,000 – 3,000
─────── ──── ───────
3,000 – 3,000
═══════ ════ ═══════
9. Expenditure on Charitable Activities by Fund Type
Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Expenditure on charitable activities 139,752 170,162 309,914
Support costs 43,953 46,764 90,717
───────── ───────── ─────────
183,705 216,926 400,631
═════════ ═════════ ═════════
Unrestricted Restricted Total Funds
Funds Funds 2020
£ £ £
Expenditure on charitable activities 85,324 142,614 227,938
Support costs 78,925 67,403 146,328
───────── ───────── ─────────
164,249 210,017 374,266
═════════ ═════════ ═════════
10. Expenditure on Charitable Activities by Activity Type
Activities
undertaken Total funds Total fund
directly Support costs 2021 2020
£ £ £ £
Expenditure on charitable activities 309,914 90,717 400,631 374,266
═════════ ════════ ═════════ ═════════

- 20 -

Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

11. Net Income/(Expenditure)

Net income/(expenditure) is stated after charging/(crediting):

Depreciation of tangible fixed assets

2021 2020
£ £
3,602 6,381
═══════ ═══════

12. Staff Costs

The total staff costs and employee benefits for the reporting period are analysed as The total staff costs and employee benefits for the reporting period are analysed as follows:
2021 2020
£ £
Wages and salaries 279,550 275,482
Social security costs 22,639 22,540
Employer contributions to pension plans 24,167 22,943
───────── ─────────
326,356 320,965
═════════ ═════════
The average head count of employees during the year was 14 (2020: 14). The average number
of full-time equivalent employees during the year is analysed as follows:
2021 2020
No. No.
Advice and information 14 14
════ ════

The average head count of employees during the year was 14 (2020: 14). The average number of full-time equivalent employees during the year is analysed as follows:

No employee received employee benefits of more than £60,000 during the year (2020: Nil).

Key Management Personnel

Key management personnel include all persons that have authority and responsibility for planning, directing and controlling the activities of the charity. The total compensation paid to key management personnel for services provided to the charity was £32,083 (2020:£32,083).

13. Trustee Remuneration and Expenses

No trustee has received any remuneration during the current or previous year. Trustees were reimbursed expenses of £Nil during the year (2020 - £371).

14. Transfers Between Funds

During the year £4,004 was transferred from unrestricted to restricted funds. This comprised:

2021
£
Match funding for the apprentice 13,328
Match funding for MAPs 666
Match funding for Help Through Crisis 291
Contribution to overheads from EBDX (8,670)
Contribution to overheads from Help to Claim (1,611)
────────
4,004
════════

- 21 -

Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

15. Tangible Fixed Assets

Office Computer
Property
Equipment Equipment
Improvements		 Total
£ £ £ £
Cost
At 1 April 2020 and 31 March 2021 10,665 27,843
18,012		 56,520
════════ ════════
════════		 ════════
Depreciation
At 1 April 2020 10,665 27,843
7,204		 45,712
Charge for the year – –
3,602		 3,602
──────── ────────
────────		 ────────
At 31 March 2021 10,665 27,843
10,806		 49,314
════════ ════════
════════		 ════════
Carrying amount
At 31 March 2021 – –
7,206		 7,206
════════ ════════
════════		 ════════
At 31 March 2020 – –
10,808		 10,808
════════ ════════
════════		 ════════
16. Debtors
2021 2020
£ £
Prepayments 3,397 2,521
Accrued income 25,344 18,134
Other debtors 656 –
──────── ────────
29,397 20,655
════════ ════════
17. Creditors: amounts falling due within one year
2021 2020
£ £
Accruals 3,581 4,080
Social security and other taxes 6,450 5,759
Pension creditor 693 1,974
Deferred income – 4,968
──────── ────────
10,724
════════		 16,781
════════

18. Pensions and Other Post Retirement Benefits

Defined contribution plans

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £24,167 (2020: £22,943).

- 22 -

Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

19. Analysis of Charitable Funds

Unrestricted funds

Unrestricted funds
At At 31 March
1 April 2020 Income Expenditure Transfers 2021
£ £ £ £ £
General Reserves 67,600 249,270 (180,103) 47,417 184,184
Capital Fund 10,808 – (3,602) – 7,206
Contractual
commitments to staff 90,479 – – (31,871)
58,608
First Contact Service 184,800 – – (27,100)
157,700
Apprenticeship project – – – 7,550 7,550
───────── ───────── ───────── ────────
─────────
353,687 249,270 (183,705) (4,004)
415,248
═════════ ═════════ ═════════ ════════
═════════
At At 31 March
1 April 2019 Income Expenditure Transfers 2020
£ £ £ £ £
General Reserves 108,200 195,976 (157,868) (78,708)
67,600
Capital Fund 17,189 – (6,381) – 10,808
Contractual
commitments to staff 81,416 – – 9,063 90,479
First Contact Service 156,844 – – 27,956 184,800
───────── ───────── ───────── ────────
─────────
363,649 195,976 (164,249) (41,689)
353,687
═════════ ═════════ ═════════ ════════
═════════

Funds have been designated for the following purposes:

First Contact service: The service continues to operate at a loss as combined funding is insufficient for staffing current levels. Maintaining this service is vital in order to meet local demand for advice. We have designated £157,700 for this service for 2021 to 2024.

Contractual obligations to staff: this is essential expenditure needed to meet redundancy and notice costs for all eligible staff should projects end. We have designated £58,602 for this financial year.

Apprenticeship project short term continuation: this is to fund the 6 months’ salary costs of the now qualified paralegal apprentice pending funding applications that can only be submitted in September. We have designated £7550 for this purpose.

- 23 -

Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

19. Analysis of Charitable Funds (continued)

Restricted funds

Restricted funds
At At 31 March
1 April 2020 Income Expenditure Transfers 2021
£ £ £ £ £
MAPS – 102,621 (103,287) 666 –
Citizens Advice Energy
Best Deal – 8,670 – (8,670) –
National Lottery
Community Fund - Help
Through Crisis – 50,666 (50,957) 291 –
Universal Credit Help To
Claim – 31,914 (30,303) (1,611) –
Apprentice 2,507 16,544 (32,379) 13,328 –
─────── ───────── ───────── ──────── ────
2,507 210,415 (216,926) 4,004 –
═══════ ═════════ ═════════ ════════ ════
At At 31 March
1 April 2019 Income Expenditure Transfers 2020
£ £ £ £ £
MAPS – 71,201 (71,201) – –
Citizens Advice Energy
Best Deal – 6,450 (6,450) – –
National Lottery
Community Fund - Help
Through Crisis – 21,838 (38,347) 16,509 –
Universal Credit Help To
Claim – 39,585 (39,585) – –
Access To Justice 7,500 – (7,500) – –
Foodbank – 9,221 (22,289) 13,068 –
Apprentice – 15,040 (24,645) 12,112 2,507
─────── ───────── ───────── ──────── ───────
7,500
═══════		 163,335
═════════		 (210,017)
═════════		 41,689
════════		 2,507
═══════

The Money Advice Service project is funded by the Money Advice and Pensions Service in partnership with Citizens Advice. The contract funds debt caseworker hours at Barrow CAB.

Help Through Crisis is a Barrow Advice Hub project led by Mind In Furness. The project focuses on improving the financial resilience of people from target groups so they are better able to manage their lives and make positive choices. It is funded primarily by the National Lottery Community Fund with additional grant funding from Barrow Borough Council (£10,000), Cumbria County Council (£10,000) and Cumbria Community Foundation (£15,246).

The Energy Best Deal funding is to deliver energy advice sessions to consumers. It is funded by the National Association of Citizens Advice Bureaux.

The Universal Credit Help To Claim grant is to support clients to make new claims for Universal Credit and is funded by the DWP through the National Association of Citizens Advice Bureaux.

- 24 -

Barrow Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2021

20. Analysis of Net Assets Between Funds

Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Tangible fixed assets 7,206 – 7,206
Current assets 418,766 – 418,766
Creditors less than 1 year (10,724) – (10,724)
───────── ──── ─────────
Net assets 415,248 – 415,248
═════════ ════ ═════════
Unrestricted Restricted Total Funds
Funds Funds 2020
£ £ £
Tangible fixed assets 10,808 – 10,808
Current assets 359,660 2,507 362,167
Creditors less than 1 year (16,781) – (16,781)
───────── ─────── ─────────
Net assets 353,687 2,507 356,194
═════════ ═══════ ═════════

21. Operating Lease Commitments

The total future minimum lease payments under non-cancellable operating leases are as follows:

2021 2020
£ £
Not later than 1 year 6 6
Later than 1 year and not later than 5 years 6 12
──── ────
12 18
════ ════

22. Transactions With Connected Charities

During the year Ms M C McKinlay (Company Secretary) and Ms W Robinson were also trustees of Citizens Advice Cumbria (CAC), a consortium of the Citizens Advice Bureaux in Cumbria. The following funding has been received through CAC during the year:

2021
£
Macmillan Cancer Support 28,448
════════

- 25 -

Barrow Citizens Advice Bureau

Management Information

Year Ended 31 March 2021

The Following Pages Do Not Form Part of the Financial Statements.

- 26 -

Barrow Citizens Advice Bureau

Detailed Statement of Financial Activities

Year Ended 31 March 2021

2021 2020
£ £
Income and endowments
Donations and legacies
Donations 900 324
Sir John Fisher Foundation – 15,040
Hadfield Trust 4,968 –
BEIS grant 8,481 –
Lankelly Chase (Love Barrow Together) 2,500 –
Pappagallino fund 15,000 –
──────── ────────
31,849 15,364
──────── ────────
Charitable activities
Barrow Borough Council 99,280 99,280
Citizens Advice BEIS grant 5,162 –
Barrow Borough Council - Preventing Homelessness – 6,788
MAPS 102,621 71,201
Barrow Foodbank 1,153 9,221
Citizens Advice Energy Best Deal 8,670 6,450
Cumbria County Council - Money Advice project 57,060 57,060
Universal Credit Help to Claim 31,914 39,585
Macmillan/CAB welfare benefits 28,448 27,423
National Lottery Help Through Crisis 50,666 21,838
Other charitable income 7,045 268
───────── ─────────
392,019 339,114
───────── ─────────
Investment income
Bank interest receivable 796 1,833
──── ───────
Other income
Employment allowance 4,000 3,000
HMRC Job Retention Scheme 14,477 –
Walney Extension Community Fund 16,544 –
──────── ───────
35,021 3,000
──────── ───────
───────── ─────────
Total income 459,685 359,311
═════════ ═════════

- 27 -

Barrow Citizens Advice Bureau

Detailed Statement of Financial Activities (continued)

Year Ended 31 March 2021

2021 2020
£ £
Expenditure on charitable activities
Activities undertaken directly
Wages & salaries 227,865 176,189
NIC 22,639 22,540
Pension costs 24,167 22,943
Partner payments 20,250 –
Computer expenses 7,427 –
Travel – 887
Training 351 2,816
Sundry costs 7,215 2,563
───────── ─────────
309,914 227,938
───────── ─────────
Support costs
Wages and salaries 51,685 99,293
Rent, rates and water 2,560 3,004
Light & heat 4,589 3,534
Insurance 3,443 3,365
Cleaning, waste collection, repairs and maintenance 2,811 9,104
L&P fees 6,746 6,589
Telephone 8,054 8,295
Postage, stationery and other office costs 2,860 3,553
Depreciation 3,602 6,381
Computer expenses 1,055 1,203
Travel – 860
Training 767 184
Other staff and volunteer costs 2,545 963
──────── ─────────
90,717 146,328
──────── ─────────
───────── ─────────
Expenditure on charitable activities 400,631 374,266
═════════ ═════════
───────── ─────────
Net income/(expenditure) 59,054 (14,955)
═════════ ═════════

- 28 -