Charity registration number 1078558 (England and Wales} Company registration number 3835274 CITIZENS ADVICE LANCASHIRE WEST ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
CITIZENS ADVICE LANCASHIRE WEST LEGAL AND ADMINISTRATIVE INFORMATION Trustees J Crompton R Sage P Darling J Slirling Councillor G France Councillor P Ellison Councillor J Alty P Wlliams G Robinson {Appointed 20 September 20231 {Appoinled 20 September 20231 (Appoinled 20 Septembei 20231 Secretary D Gradwell Charity number (England and Wales) 1078558 Company number 3835274 Registered offlce 35-39 Market street Chorley Lancashire PR7 2SW Auditor Smrth & Goulding Limiteé 2 Southport Road Chorley Lancashire PR7 1LB
CITIZENS ADVICE LANCASHIRE WEST CONTENTS Page Trustees report Independent auditor's report Statement of financial activiti'es Balance sheel 10 Statement of cash flows 11 Notes to the financial statements 12-24
CITIZENS ADVICE LANCASHIRE WEST TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) FOR THE YEAR ENDED 31 MARCH 2024 The Truslees, who act as Directors for the purposes of company law. present their report. which aL%o incorporates the Directors. report as required by company law. and the financial stalemenls for the year ending 31 March 2024. Citizens Advice Lancashire West's principal office and its registered office for company law purposes Is at 35-39 Market Street, ChoTley, PR7 2SW. It is a registered charity (no. 10785581 and a company limited by guarantee Ino 3835274}, registered in England & Wales. It is governed by its Articles of Association, dated 29 August 2024. The Trustees, who act as Directors for the PLJrposes of company law. present their report. which also in(x)rporales the directors, report as required by company law, and the financial statements for the year ending 31 March 2024. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Charity's Articles ofAssociation dated 29 August 2024, the Companies Act 2006 and "Accounting and Reporting by Charilies." Stalement of Recomrnended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102)" leffeclive 1 January 20191- Objectives and activities The charity was first established for the promotion of any charitable purpose by the advancement of education, the protection of health and the relief of poverty, sickness and distress. for the benefit of the communities il serves. To achieve its legal purpose, the charity remains committed to providing free. confidential advice to everybody regardless of race, gender. disability, sexual orienlab"on. age 01 nationality across all its areas of benefits. Advice and information are provided on a wide range of subjects. including debt, welfare benefits, housing, employment, consumer issues, relationships, family matters. health, education. discrimination, immigration and the law, together with casework specifically in debt and welfare benefits. The charity also supports individua15 and families experiencing domestic abuse. The service is provided face to face, by telephone, by email, webchat, through digital help centres and via ils website at www.citizensadvicelancashirewesl.org.uk. The charity is fully committed to compliance with the requirements of the General Data Protection Regulation {GDPRI, Data Protection Act 2018 and any successor legislation (together, the 'data protection leg151alion'l. Citizens Advice is committed lo a policy of protecting the rights and freedoms of individuals with respect to the processing of their personal data and special category personal data. The charity is also aulhorised and regulated by The Financial Conduct Authority - FRN 617644. The Trustee Board continually asses its strategic plan based on evidence gained through consultation with stakeholders and needs assessmenls_ The Business and Developmenl Plan is refreshed annually and its monitored throughout the year. Those ongoing long-temi goals also remain the charity's aims and objectives in the short term during each accounting period and its annual activities are intended to achieve these ends. Public berpefil The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activilies the Chariiy should undertake_
CITIZENS ADVICE LANCASHIRE WEST TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Achievements and performance Significant activities and achievements against objectives To enable the achievement of its aims and objectives. the chanty provides advi in conjunction wth a number of partners and through a variety of projects. A full range of advice and support is available to ensure clients are able lo access all services via the most appropriate method to suit their needs. The charity's web contenl and social media is constantly updated to give the latest news for both the Charity's service delivery and other local services. Once again, throughout 2023-24 the charily has met all ils contractual obligations and achieved all perfomance related outcomes, in tems of cases dealt wrth during the year. This has enabled the Charity io continue meeting both its short and long-lerm objectives by providing the advice and supporl required to improve the circumstances ol ils service users. Oui mernbership of Crtizens Advice wa5 confitmed and once again the chaiity wa5 graded 5 across all areas in the Leadership Self-Assessmenl, 5 being the highest achievable score. Outcomes and Benefits All the charity's work ensures the public are able to benefit from access to information. advice and casework lo support them to resolve their individual and famity problems. This in turn has improved economic well-being. ensured retention of accommodation, Improved health and well-being and given local people the confidence to manage future challenges. Guidance provided by the Charity Commission on public benefit has informed the work of the Trustees in reviewing the aims and objecls of the charity_ The main sources of funding are shown in the noles to the accounts. The fulfilment of the various funders, requirements during the year has enabled the charity to meet its own key objectives as has the exPeIlure this year, particularly on staffing costs, The results for the year including the impact of changes in funding streams are set out in the Statement of Financial Activities and associale(I notes to the accounts. The income figures demonstrate the continuing trend of greater levels of restricted funding compared to previous years and the expenditure refiecls the rise in the costs required to manage this type of funding. The charity's financial position at the year-end remains strong as set out in the Balan Sheet and is considered further as part of the Reserves Policy review below. Financial review In the year ended 31 March 2024. the charitable company reived incoming resources of £992,650 12023." £346.6071 in unrestricted funds for the activities of the charty. Resources expended in the year we £696,336 {2023. £242,470). After laking account ofthe transfer of fvnds £36,943 {2023. £95,373), the surplus for the year was £333.257 {2023'. £199,510}, which has been added to the charity reserves. In addition lo Ihis, the charity received reslricled funds of £1.009:710 12023 £1,040.905} The expenditure from restricted funds was £950,879 {2023- £943.504). combined with the transfeT from unrestricted funds of £36,943 12023.. £95,373) resulted in a net aurplua of £21.eBB (2023. £2,028) to Increaae the restricted funds carried forward_ The overall surplus for the year was thefOre £355. 145 (2023 £201.538) Ai 31 March 2024. Ihe charitable company held total reserves of £1.686.751 (2023.. £1 ,331.6061 This comprises restricted funds £128.73012023. £106,842) and unrestricted fund5 £1.558.021 (2023.. £1.224.764)- Reserves policy In the course of the year the Trustees have undertaken a remew of the reserves policy. The policy is to maintain a General Reserve and a Continuity and Development Reserve. The PLJrpose of this General ReseNe is to cover periods of financial difficulty and to piovide SLrfficienl funds for a 5m(K)th wind-up of the company should this ever become necessary in the event of a major fijnder withdrawng 5UPPOrt, which would involve considerable redundancy costs due to the long-tem employment of core staff. The Truslees feel that this reserve should not fall below 3 months. expenditure and, in the event that the Company General Reserve falls below this levd, the Trustees would be concerned that the company would be failing financially in which case an exit strategy would have lo be considered.
CITIZENS ADVICE LANCASHIRE WEST TRUSTEES REPORT (INCLUDING DIRECTORS, REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Al 31 March 2024. without any amendment. the General Reserve stands at £1.686,751 (2023 £1,331,608) This figure includes restricted funds of £128,730 12023: £106,842). The Trustees recommend that the balance of the General Reserve be reviewed on an annual basis based on gijidelines from Citizens Advice and current activity levels and should not fall below £975,000 (i.e. approximately 7 months. expenditure). This has been maintained due to 51affing levels and the knock-on effect of Covid 19. The purpose of the Continuity and Development Reserve is to ensure that the current level of provsion of services is maintained should there be a shortfall in the level of funding reived. In addition, the reserve funds make provision for any future development of services. extra staffing given the wide geographical spread we now cover. and addib'onally to provide funds for any tUre asset purchase. Our funding for the forthcoming twdve months however could be reduced as the various funders struggle to meet budget cuts. As a result of the possible reduction in income due to Possible loss of contracts and with the expansiw of the areas in which we now operale with the additional costs that this involves, and in view of the increasing delay in the settlement of debtors, we are utilising funds from the Continuity and Development Reserves and the balance has been increased in anlicipalichn of this. Based on information currently available the Tiuslees are recommending that the balance of the Continuity and Development Reserve be held al a level of £421,688. This figure includes the Testricled fLtnds lotalling £128,730. The balance of £292.958 (2023_' 249,764> is recognised as a designated ftjnd within unrestricted funds. The funds are currently invested in easily ac$$1b1e cash deposits to balance the possible requirement for liquid funds against the requirement to generate as high a return on the investments as possible, while keeping the funds secure from all possible risk_ Currently the Charity does not Gonstrain the investment policy with social, environmental or ethical matters. The Trustees have accepted that the prevailing market rates are currently lower than they would wish and the retum for the year on the investments Is best available in these orcumslances. Major nsks The Charity has an annual budget approved by the Trustees. There 15 regular consideration of the financial results by the Trustees, including the review of varianTr from budget and comparison wÈlh benchmarks. The appropriate segregation of duties and delegation of authority has been put in place and there is a gUlar consideration of new risks facing the charity and the steps needed lo deal with these. The Trustees assess the major risks to which the Charty is exposed with systems in place lo ensure their mitigation. Financial Risk is a major prionly and this mitlgated by ensuring a broad ftjnding portfrlio across a range of services. which meet the needs of the areas of benefit, whilst maintaining a sound reserves position. This assessment is reviewed and agreed by the charitys Membership organi5ation Citizens Advice as part of its audit process and covers finance. governan. management. service delivery. research and campaigns w)rk, stakeholder relationships, engagement with the wder service, syslemsllT, equality and diversity and fitness for the future. The audit reported that the organisats.on was able to evidence all of these indicators. The lde geographical area served has brought with it particular and local elements of risk which are recorded, monitored and managed. Information assurance training has been prioritised. Comprehensive. ongoing reporting available to the board mitigates many of those risks. The Tnjslees have assessed the charity's overall risk as low. Plans for future periods Once again throughout 2023-24 we have increased available services especially in the areas of specialist debt advice, energy advi and services to support vulnerable clients. The Charity has adapted ils delivery model to allow for hybrid workin9 where this a requirement either of the funder or at staff request. Recruitment of both volunteer and paid slaff has proved challenging once again 2nd remains a major priority for the Chanty.
CITIZENS ADVICE LANCASHIRE WEST TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Structure, governance and Ynanagement The Trustees meet at least four times per year plus the Annual General Meeling. The is a Finance Sub-committee and Personnel Sub-committee who both have their own leTms of reference and report to the main Trustee Board. Trustees. who are directors of the company, are appointed in accordance with the Articles of Associalion of the Charity. In the financial year 2023-24. one Trustee was nominaled from each of Chorley, South Ribble, iwyre and West Lancashire Borough Councils. The Trustees Board plays a crucial role in giving the strategic de(a5ion and vision for the charity. The Trustee Board oversees the finances, set5 recruitment and fundraising priorities and is responsible for ensuring the viability of the charity. They have responsibility for managing risk and ensuring Internal controls operate effectively. The trustees receive no payment for their services. The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the dale of signature of the financial statements were.. J Cromplon MrA Harrison R Sage P Darling J stirling J Whittington P Egan Councillor G France Councillor P Elli50n Councillor J Flannery Councillor Y Gagen Councillor J Alty P Williams G Robinson (Deceased 14 May 20231 (Resigned 7 August 2023) (Resigned 23 May 2024) (Resigned 21 July 2023) (Resigned 30 June 2024) {Appointed 20 September 20231 {Appointed 20 September 20231 (Appointed 20 September 20231 Recrurtmenf and appoinlmenl of tnislees Trustees are recruited through an open and transparent selection and inlerview process. Recruitment lo the trustee board aims lo reflect Ihe diversity of the communty within which the charty is located, vacancies being promoted both internally and externally, and via the charity's website. We seek individuals with the skills and vision needed to provide sound leadership. New trustees are invited to initial discussions with the Chair about the nature and purpose of the charity and are then invited to attend and observe tfustee meetings. After their appointment new trustees are provided vAth an induction pack, access to on-line information and ttustee training. Organisational slfucture The d8y-to-day management of the charity is delegated to the Chief Executive. Diane Gredwell, who is assisted by key personnel covering finance. project management and quality assurance. The charity's services are carried out by palé members of staff assisted by a large number of volunleers who give generously of Iheir time. Appraisal of the Chief Executive is the responsibilily of the Iruslee board. This ensures that the Chief Execulive has all the resources and support necessary to perform sUcSSfUllY and to provide the opportunty to discuss how the organisation Is performing agair)st key contracts. Remuneration policy The Chief Executive'5 remuneration is Set by evaluation against set criteria to ensure faimess and equality. and taking into account a nLJmber of factors such as job evaluation score. external benchmarking. interna benchmarking and particular role undertaken. Funds held as custodian trustee During the year. the charity has also continued to work with our local authority partners to administer the Household Support Fund. We also adminislered fuel vouchers.
CITIZENS ADVICE LANCASHIRE WEST TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Statement of Trustees responslbllltles The Trustees, who are also the directors of Citizens Adwce Lancashire West for the purpose 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 Trustees to prepare financial statements for each financial year which give a true and fair view of the slate of affairs of the Charity and of the incoming resources and application of resour$, including the Income and expendrture, of the charitsble 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- make judgements and esh'mate5 that are reasonable and prudent., state whether applicable UK Accounting Standards have been followed, subjecl lo any material departures disclosed and explained in the financial statements", and prepare the financial statements on the going concern basis unless it is Inappropnate to presume that the Charity will continue in operation. The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any tirne the financial position of the Charity and enable them to ensure that the financial statemerts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Charity and hen for taking reasonable steps for the prevention and detection of fraud and other irregularities. Auditor In accordance with Ihe company's arlicles. a resolution proposing that Smith & Goulding Limited be reappointed as auditor of the company will be put at a General Meeb"ng. The Trustees report was approved by the Board of Trustees. R Sage Dale..
CITIZENS ADVICE LANCASHIRE WEST INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF CITIZENS ADVICE LANCASHIRE WEST Oplnion We have audited the financial statements of Citizens Adwce Lancashire Wesl {the 'Charity'l for tke year ended 31 March 2024 which comprise the statement of financial activities, the balance sheet. the slalement of cash flows and notes lo Ihe financial slatemenls, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards. including Finanaal Reporting Standard 102 The Financial Reporting Slandard applicable in tlpe UK and Republic of IlanCy (United Kingdom Generally Accepted Accounting Practice}. In our opinion, the financial statement5-. give a true and fair view of the state of the charrtable company's affairs as at 31 March 2024 and of its incoming resources and application of resources, for the year then ended- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practi,. 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 IUKI (ISAS {UK)} and applicable law. Our responsibilities under those standards are further described in the Auditols responsibilities for the audit ol Ihe financial statements section of our report. We are independent of the Charity in accordance with the ethical requirements that are relevant to our audil of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled OLJr other ethical responsibilities in accordan 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 Ihal the Trustees use of the going concern basis ol accounting in the preparation of the financial ststements is aFpropriate. Based an the work we have perfomied, we have not identitied any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubl on the Charity's ability lo continue as a going concem for a period of at least twelve months from when the financial statements ale authorised for issue. Our responsibilities and Ihe responsibilitie5 of the Trustees with respect to going conrn are described in the ielevanl sections of this report. Other information The olher information comprises the infomialion included in the annual report other than the fInarla1 statements and our auditor'5 report thereon. The Trustee5 are responsible for the other information contained within the annual report. Ouf opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is lo read the other infomiation and. in doing so. consider whether the other information is materially inconsistent wth the financial stalemenls 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 misslatemenls, we are required to determine whether this gives rise to a materEI misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there Is a material mis5tatemenl of this other information, we are required to report that fact. We have nothing lo report in this regard. Matters on which we are required to report by exception We have nothing lo report in respect of the following matters in relation to which the Charities (Accounts and Report51 Regulation5 2008 require5 US to report to you if, in our opinion" the information given in the financial statements is ironsI5tet in any material respect with the TrLJStees report., or sufficient accounting records have not been kept- Of the financial Statements are not in agreement with the accounting records,. or we have not received all the Informalion and explanations we require for OLJr audit.
CITIZENS ADVICE LANCASHIRE WEST INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF CITIZENS ADVICE LANCASHIRE WEST Responsibilitie5 of Trustees As explained more fully in the statement of Trustees responsibilities. the Trustees. who are also the directors of the Charity for the purpose of corvpany law, are re5pon5ible for the prepaiation of the financial statements and for being satisfied that they give a true and fair view. and for such internal conlrol as the Trustees determirie is necessary lo enable the preparation of financial stalements 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 relaled lo going concem and using the going concem basis of accounting unless the Trustees either intend to liquidate the charitable company or lo cease operations. or have no realistic alternative but lo do so. Auditor's responslblllties forthe audit of the financlal statements We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and reSevanl regLJlalions made or having effecl thereunder. Our objectives are to obtain reasonable assurance about whether the financial staternents as a whole are tree from rnat8rial misstal8m8nt, whether due to fraud or error. and lo issue an auditorfs report that Includ8s our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAS IUKI will always detect a material misstatement when tt exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate. they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements_ The extent lo which our procedures are capable of detecting irregularities, including fraud, is detailed below. The engagernent partner ensLJred that the engagement team collectively had the appropriate competence, capabilities dnd skills to identify or recognise non-compliance with applicable laws and regulalions- we identified the laws and regulations applicable to the charitable company through discussions with trustees and other management, and from our commercial knowledge and experience of the charity sector., we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the charity. including the CoThpanies Act 2006, taxation Il$latIon and data protection, employment. environmenlal and health and safely legislation.. we assessed the exlenl of Complian with the laws and regulations identified above through making enquiries of management and inspecting legal Corresponden.. and identified laws and regulations were communicated within the audit team regularfy and the team remained alert to instances of non-compliance throughout the audit. We assessed the SUept1bIlity of the company s financial statements to material rnis5tatemenl, induding obtaining an understanding of how fraud might occur. by= making enquiries of management as lo where they considered there was susceptibility to fraud, their knowledge of actual, suspecied and alleged fraud.. and considering the internal controls in pla to MI"gate risks of fraud and non-compliance with laws and regulations. To address the risk of fraud through management bias and override of controls. we.. performed analylical procedures to identify any unusual or unexpected relationships., le51ed joumal entries to identify unusual transactions". and assessed whether judgements and assumptions made in determining the accounting estimates were indicative or potential bias.
CITIZENS ADVICE LANCASHIRE WEST INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF CITIZENS ADVICE LANCASHIRE WEST In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included. bul were not limited to. agreeing financial statement disclosures to underlying supporting documentsts"on.' reading the minutes of meetings of those charged with governance: enquiring of management as to actual and potential litlgation and claims- and reviewing correspondence wth relevant regulators and the company s legal advisors. There are inherent limitation5 in our audit prccedures described above. The more removed that laws and regulalionsare from financial transactions. Ihe less likely it is that we would become aware of no compliance. Auditing standards also limit the audil procedures required to identify noTrcompliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect that Ihose that arise from error as they may involve deliberate concealment or collusion. A further description of our responsibilities is available on the Financial Reporting Council's website at". https'.11 www.frc.org.ukjauditorsresponsibilities. This description fomis part of our audilor's report. Use of our report This report Is made solety to the charity's trustees, as a body. in accordance with Part 4 of the Charities IAccounts and Reports) Regulations 2008. Our audrt work has been undertaken so that we might slate to the charity's Irustees those matters we are required to stale lo them In an audilor's report and for no olher purpose. To the fullest extent perrnitted by law. we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body. for our audit work. for this report. or for the opinions we have formed. Andrew Simm F.C.A. (Senior Statutory Auditor) For and on behalf of Smith & Goulding Limited. Slalutory Auditor Chartered Accountants 2 Soulhport Road Chorley Lancashire PR71LB Dale: Smith & Goulding Lirnited is eligible for appointment as auditor of the Chanty by virtue of ils eligibility for appcinlment as auditor of a company under section 1212 of the Companies Act 2006.
CITIZENS ADVICE LANCASHIRE WEST STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2024 Unrestricted Reslricted funds funds 2024 2024 Total Unrestricted Restricted funds funds 2023 2023 Totsl 2024 2023 Notes Income from: Donations and legacies Charitable activities Other trading activities Investments 81.467 866,906 1.168 43,109 81.467 1,876,616 1.168 43,109 86,362 237,454 5,539 17,252 86,362 1,040,905 1,278,359 5,539 17,252 1,009.710 Totsl income 992,650 1,009.710 2.002.360 346.607 1,040,905 1,387,512 Expenditure on: Raising fijnds Charitable activities 649 695,687 3.377 947,502 4.026 1,643,189 3,001 239.469 3,049 940,455 6,050 1,179,924 Total expenditure 696,336 950.879 1,647,215 242,470 943,504 1,185,974 Net income 296.314 58.831 355.145 104.137 97,401 201,538 Transfers between ftJn¢Js 36.943 (36.943) 95,373 195.3731 Net movement in funds 10 333,257 21.888 355.145 199,510 2,028 201,538 Reconciliation of funds: Fund balances at 1 April 2023 1,224.764 106,842 1,331.606 1,025.254 104,814 1.130,068 Fund balances at 31 March 2024 1.558.021 128.730 1.686.751 1.224.764 1C6.842 1,331,606 The statement of financial aclivilies includes all gains and losses recognised in the year. All income and expenditure derive from continuing aclivilies.
CITIZENS ADVICE LANCASHIRE WEST BALANCE SHEET ASAT31 MARCH 2024 2024 2023 Notss Fixed assets Tangible assets Investments 14 15 707 86,144 2,299 83,212 86.851 85,511 Current assets Debtors Cash al bank and in hand 16 242.359 1.568,746 135,602 1,329,332 1.811.105 1.464,934 Creditors: amounts falllng due wlthin one year 18 (203,454) 1172,339} Net current assets 1.607.651 1,292,595 Total assets less current liabilltles 1,694,502 1,378,106 Creditors: amounts falling due after more than one year 19 {7.751) 146,500} Net assets 1,686,751 1,331.606 The funds of the Charity Restricted income funds Unrestricted funds 21 22 128,730 1.558,021 106,842 1,224,764 1,686,751 1,331,606 These financial statements have been prepared in accordance with the provisions applicable to companies subject lo the small companies regime. The financial slalements were approved by the Trustees on .. R Sage Company registration nutnber 3835274 (England and Wales) 10-
CITIZENS ADVICE LANCASHIRE WEST STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024 2024 2023 Notes Cash Ilows from operating actlvities Cash generated from operations 25 199.237 158,085 Investing activities Purchase of tangible fixed assels Purchase of investment5 ProedS from disposal of investments Investment income received {2,1221 (83,9121 700 17,252 (2,932) 43,109 Net cash generate(J fromllused in) investing activities 40.177 168,0821 Net cash generated from financing actlvlties Net increase in cash and cash equivalents 239,414 90.003 Cash and cash equivalents at beginniro of year 1,329,332 1.239,329 Cash and Cash equivalents at end of year 1.568,746 1,329,332 11
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies Charlty information Citizens Advice Lancashire Wesl is a private company limited by guarantee incorporated in England and Wales. The registered office is 35-39 Market Street. Chodey, Lancashire, PR7 2SW. 1.1 Accounting convention The financial statements have been prepared in accordance with the Companies Act 2006. FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland. {'FRS 102.1 and the Charities SORP Accounting and Reporting by Charrties". Statement of Recommended Practice applicable to charities preparing their accounts in accordan with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 1021" {effective 1 January 2019)- The charty is a Public Benefft Entity as defined by FRS 102. The financial statements are prepared in sterling. which is the functional currency of the charity. Monetary amount5 in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention, the principal accounting policies adopted are set out below. 1.2 Going concern At the time of approving the financial statements. the Trustees have a reasonable expeclation Ihal the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concem basis of accounts.ng in preparing the financial 5talernents. 1.3 Charitable funds Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives. Designated funds comprise funds which have been Set aside at the discielion of the Trustees for spEcific purposes. The purposes and uses of the designated funds are set out in the note5 to the financial statements. Restricted funds are subject to specthc conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the finanaal slatemenls. Endowment funds are subject to specific conditions by éonors that the capital must be maintained by the charity. 1.4 Income Turnover is the amount derived from ordinary activities and is stated net of VAT. Income is recogni5ed when the charity is legally entitled to it after any performance conditions have been met, the amoLJnls can be measured reliably. and it is probable that incorne will be received. Cash donations are recognised on receipt. Other donations and grants are included In incoming resources when they are re1Vable. except when the donors specify that Ihey must be used in fuluff accounting periods or donors. condilions have not been fulfilled. when the income is deferred. Legacies are recogniseé on receipt or otheMse rf the charity has been nobfied of an impending distribution, the amount Is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset_ Interest on funds held on deposit is included vthen re1vable and Ihe amount can be measured reliably by the charity. Other income 15 recogn15ed when the setvice has been perfom)ed. 12-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies (Contlnuedl 1.5 Expenditure Expenditure is recognised On there is a legal or constructive obligation to transfer economic benefit to a third party, il is probable that a transfer of economic benefits will be required in settlement, and the arnount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of dir&1 costs and shaied costs, including support Costs involved in undertaking each activity. Direct costs attribulable to a single activity are allocated directly to that activity- Shared costs which contribute lo more than one activity and support costs which are not attributable to a single activity are apportioned beeen those activities on a basis onsistent with the use of resources. Central staff costs a allocated on the basis of time spent, and depreciation charge5 are allocated on the portion of the asset's use. Fundraising costs and direct charitable costs. which comprise all costs identified as wholly or mainly attributable to achieving the objects of the chaTity, include staff costs, wholly or mainly attributable support costs and an apportionment of general overheads. Support costs include all expenditure not directly related lo fundraising ar charitable activities. ere applicable. such costs are apportioned to charitable activities on the basis of staff costs Govemance costs represent the audil fees and the cost of the charity's annual general meeting. 1.6 Tangible fixed assets Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases.. Fixtures and fittings Computers 10'A on cost 25% on cost The gain or loss arising on the disposal of an asset is detennined as the difference beeen the sale proceeds and the carrying value of the asset. and is recognised in the statement of ffinancial aclivities. 1.7 Fixed asset investments Fixed asset investments are initially measured at Iransaclion price excluding transaction costs, and are subsequently measured at fair value at each reporting dale. Changes in fair value are recognised in net incomel(expenditurel for the year. Transaction costs are expensed as incurred. 1.8 Impairment of fixed ass•ts At each reporting end date. Ihe Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication thal those assets have suffered an impairment Ios5. If any such Indall0 exists, Ihe recoverable amount of the asset is estimated in order to determine the extent of the impairment loss lif any). 1.9 Cash and cash equivalents Cash and cash equivalents include cash in hand, deposits held at call wth banks. other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings In current liabilities. 13-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Accounting policiÈs {Continued} 1.10 Financial instruments The charity has elected to apply the provisions of Section 11 'Basic Financial Instrument5. and Section 12 'Olher Financial Instruments Issues, of FRS 102 to all of rt5 financial in51rumenls. Financial instrument5 are recognised in the chaiity's balance sheet when the charity becomes party lo the contractual provisions of the instrument. Financial assets and liabilities are offset. with the net amounts presented in the financial statements, when there is a legally enforcesble right to set off the recognised amounts and there is an intention to settle on a nel basis or to realise the asset and settle the liability simultaneously. Basic financial assets Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a finanang transaction, where the transaction is measured at the present value of the future retripts discounted al a market rate of interest. Financial assets classified as receivable within one year are not amortised_ Basic financial liabilitie5 Basic financial liabilities, including credrtors and bank loans are inrtially recognised at transaction price unless the arrangement conslitLrtes a financing transaction. where the debt instrument is measured al the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised_ Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequentiy measured at amortised c05t using the effective interest method. Derecognition of financial liabilities Financial liabilities are derecognised when the Charity's contractual obligations expire or are discharged or cancelled. 1.11 Employee beneflts The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received. Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide tetmination beneftts. 1.12 Retirement benefits Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. 14-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Critical accounting eslimates and judgernents In the application of the charrty's accounting policies. the Trustees are required to Tnake judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered lo be relevant. Actual results fflay differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the penod in which Ihe estimate is revised vthere the revision affects lY that period, or in the period of the revision and fulure periods where the revision affects both currenl and fulure periods. Income from donations and legacies Unrestricled funds 2024 Unrestricted funds 2023 Donations and gifts Grants 1.383 80,084 382 86,000 81,467 86,362 Income frorn charitable activities Unrestricted Restricted funds funds 2024 2024 Total Unrestricted Restricted funds funds 2023 2023 Total 2024 2023 Charitable Activities Services provided under contract other income 814.968 51.938 1.(K19,710 1,824,678 51.938 125.357 112,097 1,Q40,905 1,168.262 112,097 866,906 1.TrJ9.710 1,876,616 237,454 1,040,905 1,278.359 Grants represent income received from vanous service level agreements. Grant income under unrestricted funds includes amounts released lo incoming resources from deferred income of £48,693 12023.. £9,467). Income is deferred in line with funders requirements for the service lo be provided and resour$ spent over a specific period. the balance of deferred income at the year-end was £73.77412023: £122.4671. 15-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Income from other trading activities Unrestricted Unrestricted funds funds 2024 2023 Contributions to running costs 1,168 5,539 Income from Investments Unrestricted Unrestrlcted funds funds 2024 2023 Interest receivable 43,109 17,252 Expenditure on charitable activitie5 Charitable Activities 2024 Charltable Activitles 2023 Di rect costs Staff costs Depreciation and impairment Staff and volunteer costs Office costs Premises csts Other costs 1,098,830 1,591 20,014 84,146 62,587 12,737 810,810 1,591 23,734 88,466 64,445 1,279.905 989,046 Sharé of support and governance costs (see note 8) Support Governance 355.987 7.297 185,635 5,243 1,643.189 1.179,924 Analysls by fund Unrestricteé funds Restricted funds 695.687 947.502 239,469 940,455 1,643,189 1,179,924 16-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Support costs allocated to activities 2024 2023 staff costs Staff and Volunteer expense5 Office Costs Premises Costs Other Costs Governance costs 348,161 1,206 852 2,178 3,590 7,297 157,933 1,944 22,366 3,392 5,243 363,284 190,878 Analysed between: Charitable ActNrties 363,284 190,878 Support costs relate to one charilable activity- Expenditure on raising funds Unrestrlcted Restrlctod funds funds 2024 2024 Total Unrestrfcted Restricted funds funds 2023 2023 Total 2024 2023 Fundrdi5illg and publicity Other fundraising costs 649 3.377 4.026 3.001 3.049 6,050 10 Net movement in funds 2024 2023 The nel movement in funds is slated after chargingl(credtling)- Fees payable for the audit of the charrty s financial statements Depreciation of owned tangible fixed assets 6,870 1,591 4,910 1,591 11 Trustees None of the Trustees lor any persons connected with them} received any remuneration or benefits from the Charity during the year_ Trustees have received reimbursed expenses during the year tolalling £31 12023.. £Nil) 12 Employees The average monthly number of employees during the year was.. 2024 Number 2023 Number 58 41 17-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 12 Employees {Contlnuedl Employment costs 2024 2023 Wages and salaries Social security costs Other pension costs 1,193,579 99,010 154,402 781,786 54,311 132,646 1,446.991 968,743 The number of employees whose annual remuneration was more than £60,000 is as follows". 2024 Number 2023 Number £60,001 £70,000 Remuneration of key managefflent personnel The remuneiation of key management personnel was as follows- 2024 2023 Aggregate compensation 66,179 56,575 Volunteers The charity has also benefitted from the seNices of unpaid general volunteers each year, the valw ofwhich is not recognised in the accounts. Furlher information. regarding the contribution made by volunteers lo the charity's activities, is Set out in Trustees, Report. 13 Taxation The charity is exempt from taxation on ils activitie5 because all its income is applied for charitable purposes. 18-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 14 Tangible fixed assets Fixtures and fittings Computèrs Total Cosl At 1 April 2023 25.799 75,567 101.366 At 31 March 2024 25,799 75,567 101,366 Depreciation and Impalrment Al 1 April 2023 Depreciation charged in the year 23,501 1.591 75,567 99,068 1.591 At 31 March 2024 25,092 75,567 100,659 Carrylng amount At 31 March 2024 707 707 At 31 March 2023 2,299 2.299 15 Fixed asset inveslments Unlisted Inveslments Cost or valuation Al 1 April 2023 Addilions 83,212 2,932 At 31 March 2024 86,144 Carrying amount At 31 March 2024 86,144 At 31 March 2023 83,212 16 Debtors 2024 2023 Amounts falling due wlthin one year: Trade debtors Other debtors Prepayments and accrued income 191,667 14.066 36,626 113,092 5,032 17,478 242,359 135,602 19-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 17 Funds held as custodian trustee Cash at bank includes the following funds which the charity holds as custodian trustee.. At 1 April 2023 Income Expenditure At 31 March 2024 ChoNey & South Ribble CVS Cost of Living - Chorley BC HSF - Chorley BC HSF- South Ribble BC HSF- West Lancs BC 2.449 21,000 27.848 88.852 3.069 2,449 11,244 45,174 154,9301 127,848) 1182.247) {2,092) 93.395 19.700 20,677 143,217 158.269 1267,117) 34,369 After the local Council for Voluntary servi ceased to operate in 2012. its residual funds were Fosseé over to the charity to be administe(1 on the Council's behalf_ The organisation had charitable aims in line with the charity's own objectives as set out in rts governing document. In addition, in 2022 four local authorities with similar aims also requested the assistance of the charity in the distribution of vouchers under their schemes for individuals experiencing fuel poverty and other financial hardship which has expanded further in 2023-24. One of the authorities Chorley BC has also started a scherlle for cost of living assistance and the scheme ftjnds are to be distributed on their behalf as well by the charity The assets are included within the charity's own funds held in its bank accounts. which are subjed to ongoing control reviews by the Trustees. The funds are segregated within the charity's accounting system and are reported to and reviewed by the Trustees on a regular basis throughout the year. 18 Credltors: amounts tslling due within one year 2024 2023 Other taxation and social security Trade creditors Accruals and defeed income 62,191 86.023 75,240 95,737 76,602 203,454 172,339 19 Creditors- amounts falling due after more than one year 2024 2023 Trade creditors 7.751 46,500 -20-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 20 Retirement benefit schemes 2024 2023 Deflned contribulion schemes Charge to profit or loss in respect of defined CCtribUtion schemes 154.402 132,646 The Charity operates a defined conlnbution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charity in an independently administered fund. 21 Restricted funds The restricted funds of the charity comprise the unexpended balances of donats.ons and grants held on trust subject to specific conditions by donor5 a5 to how they may be used. At l April 2023 Incoming resources Resources expended Transfers At 31 March 2024 Big Lottery EPIC Domestic abuse services Citizens Advice Blackbum with Darwen Cost of Living Chodey BC Energy Projects ENW Energy Project Macmillan Lancs Welfare MaPS Local Provision Pensionwise West Lancs BC {Corel 18,016 51.426 65.158 (61,618) 21,556 51,426 37,400 37.400 17.365 36.500 20.650 101.096 60,836 330,287 345,183 50.000 {19.1351 {20,6501 {100,083} (60.4041 (293.3441 (345.1831 (50.462) 1,013 432 {36,9431 {4621 106.842 1.009.710 (950.879) {36,943) 128,730 Previous year: At l Aprfl 2022 Incomlng resources Resources expended Transfers At 31 March 2023 MaPS Pensionwise Wesl Lancs BC Adviceline service Big Lottery EPIC Domestic abuse services Cilizens Advi B'burn with Darwen Energy Projects 558,558 342.269 50.000 10.000 66.320 (463.185) (342.269) {65.8161 {10.0001 (48.3041 195.373) 15.816 18.016 51,426 51,426 37.400 172 37,400 13,758 {13.930) 104,814 1.040.905 (943.504) {95.373) 106,842 21
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 21 Restricted funds Icontlnued) The nature and purpose for each restricted fund is delemined by the funding bodies providing the grants for the particular projects. All grant income received and expenditure incurred is directly related to the particular project tor which funds have been approved by the particular body cOnMed The funding received through the national body Citizens Advice inclLJdes the government Money Advice and Pensions Service (MaPS) for the provision of debt advice se55ions to members of the public. Additional funding was also received for increased capacity for the service this year. It has been agreed with Citizens Advi that Ihe residual funds for the year can be transferred to Ljnrestricted funds al the year end. Funding has also continued from this source for the Pensionwse project as part of a national initiative to provide guidance for people as a result of the pension freedoms introduced in 2014. Funding was also received this year from the Big Lottery Enabling People in Crisis project (EPIC) which with matched funding from Chorley BC and South Ribble BC is for the support of vulnerable people with complex issues and those experiencing hardship. The grant received from West Lancs BC for the general provision of InformationlAdvicelMoneylDebt services within the Borough. Funds received from organisalions for the running of domestic abuse servi$ brought fotward from earliei years are to be used in due course for the purpose of developing both Ihe capabilty and new ways of working to imprDve early intervention and prevention of violence against women and girls. Funds transferred fro Citizens Advice Blackburn wth Darwen, when its operations ceased in 2018, are being held towards the running costs of a digital advi Servi to support disadvantaged people in the Blackburn with Darwen area. There has also been funding received from Energy Projects to assist in Ihe running of various programmes providing advice and support lo members of the public who are at risk of fuel povety and for raising carbon monoxide awareness. Funding was also received Macmillan Lancs Welfare to provide a comprehensive:accessible, patient-centred and quality assured Welfare Benefits project that will be available lo everyone affected by cancer across Lanca5hire. Funding was also received trom Chorfey BC to provide advice and assistance with the Cost of Living. 22 Unrestricted funds The unreslricled funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as lo how they may be used. These include designated funds which have been set aside out of unrestricted funds by the Iruslees for specific purposes. At 1 April 2023 Incomlng resources Resources expended Transfers At 31 March 2024 Continurty and Development ReSee General funds 249.764 975,000 43.194 (6,251 } 292,958 1.265,063 992.650 (696.336) 1.224,764 992.650 (696,336) 36.943 1.558,021
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 22 Unrestrlcted funds (Continued) Previous year: At l April 2022 Incoming resources Resources expended Transfers At 31 March 2023 Continuity and Development Reserve General funds 205.254 820,000 44.510 50,863 249,764 975,000 346.607 (242.470) 1.025.254 346.607 (242.470) 95,373 1.224.764 23 Analysi5 of net assets between funds Unrestricted funds 2024 Restrlcted funds 2024 Total 2024 At 31 March 2024: Tangible assets Investments Current assetsl{liabilities> Long term liabililies 707 86.144 1.478,921 (7.7511 707 86,144 1,607,651 {7,7511 128.730 1,558.021 128.730 1.686,751 Unrestricted funds 2023 Restrlcted funds 2023 Total 2023 At 31 March 2023". Tangible assets Investments Current a$5elsllliabilities) Long term liabilities 2.299 83.212 1.185,753 146,500) 2,299 83.212 1,292.595 {46,5001 106,842 1.224,764 106,842 1.331,606 24 Related party transactlons There were no disclosable relaled party transactions during the year (2023 - none). -23-
CITIZENS ADVICE LANCASHIRE WEST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 25 Cash generated from operations 2024 2023 Surplus for the year 355,146 201,538 Adjustments for: Investment income recognised in statement of financial activities Depreciation and impairment of tangible fixed assets 143,1091 1.591 117,252) 1,591 Movements in working capital: {Increasel in debtors {Decrease)lincrease in creditors {106,7571 17,6341 {126,7631 98,971 Cash generated from operations 199,237 158,085 26 Analysis of changes in net funds The Charity had no material debt during the year_ -24-