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← Jtl

2024-07-31-accounts

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL

(A company limited by guarantee)

Group Consolidated Financial Statements

Year ended 31[st ] July 2024

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL
(A company limited by guarantee)
Group Consolidated Financial Statements POWERING
APPRENTICESHIPS		 >
Year Ended 31st July 2024
Contents Page No Page No
Charity Reference and Administrative Details 3
Trustees’ Annual Report (Including Directors’ Report and Strategic Report) 4
Independent Auditor’s Report 19
Consolidated Statement of Financial Activities 23
Consolidated Balance Sheet 24
Charity Balance Sheet 25
Consolidated Statement of Cash Flows 26
Notes to the Financial Statements 27 - 47

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL

(A company limited by guarantee)

Group Consolidated Financial Statements

Year Ended 31[st] July 2024

Charity registration number 01080254
Company registration number 03958541
Trustees Sir John Low (Chair)
J Allott
R Clarke
A Eldred
E Staley
A Green
S Fraser-Whyte
J Lelliott OBE
J Poulter
T Shelley
Chief Executive C Claydon
Company Secretary C Turner (Resigned 25thMarch 2024) March 2024)
Registered Office Stafford House
120-122 High Street
Orpington
Kent
BR6 0JS
Professional Advisers
Auditors Solicitors
Menzies LLP Stone King LLP
Magna House Boundary House
18-32 London Road 91 Charterhouse Street
Staines-Upon-Thames London
TW18 4BP EC1M 6HR
Bankers Investment Managers
Barclays Bank PLC Barclays Wealth Management
1 Churchill Place 1 Churchill Place
London London
E14 5HP E14 5HP

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL

(A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

Structure, Governance and Management

The Trustees (who are also Directors of the charity for the purposes of the Companies Act) present their report and the audited financial statements of JTL (the charity and the group) for the year ended 31st July 2024.

Trustees of the Charity

The Directors of the charitable company are its Trustees for the purposes of charity law. The Trustees who have served during the year and to the date of this report are as follows:

Electrical Contractors’

Unite the Union

Independent

Association

Charitable Objects

The charity's objects set out in its Articles of Association are "to encourage training of persons employed in the electrical installation engineering industry and such other industries as the Trustees may decide".

The charitable company's principal activities during the year were the delivery of Advanced Apprenticeships in Electrotechnical and Plumbing and Mechanical Engineering Services.

Vision and Values

JTL's vision is:

To be the training organization of choice to the building services engineering sector.

| The company’s values are: |

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JTL (A company limited by guarantee) Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

Structure and Members

JTL is a charitable company limited by guarantee and was set up on 23[rd] March 2000. Formerly, the company operated as JT Limited which was incorporated in 1989. JTL's company registration number is 03958541 and its charity number is 01080254. The charity is governed by its Articles of Association.

The company's members are Unite the Union and the Electrical Contractors' Association. The members have a liability not exceeding £10 per member.

Recruitment and Training of Trustees

The Articles of Association entitle Unite the Union and the Electrical Contractors' Association to each appoint up to four Trustees and a further independent Trustee to be Chairman. The Trustees may appoint up to a further four independent Trustees. The company is administered by the Board of Trustees, with the Chief Executive (appointed by the Trustees) managing the day-to-day operations of the charity.

Trustee recruitment is undertaken in accordance with the Articles of Association. Induction and training are provided by the management and company's professional advisors on a regular basis.

Related Parties

The principal transactions with related parties are with the Joint Industry Board for the Electrical Contracting Industry (JIBECI) and the Joint Industry Board for Plumbing and Mechanical Engineering Services (JIB PMES). This relates to the registration of all apprentices with the relevant Joint Industry Board for the purpose of receiving apprentice cards and cards recognising their craft competence at the end of the apprenticeship. The registration fees are agreed annually with the relevant JIB and formalised in an annual agreement signed by each organisation.

The arrangement is believed to provide added value to JTL apprentices and is subject to regular review by the JTL Board.

Compliance with Trustees' Duties under Section 172(1) Companies Act 2006

Trustees must act in the way they consider, in good faith, would be most likely to promote JTL's success to achieve its charitable purposes. The Trustees, in doing so, delegate day to day management and decision-making to the Chief Executive and other members of the Executive Management Team, who are required to act to further JTL's strategy and to ensure that activities are carried out in compliance with agreed plans and policies and external regulations and in accordance with JTL's values. The Trustees receive regular reports on JTL's performance and plans. In carrying out their duties, the Trustees have regard (amongst other matters) to:

The Trustees contribute proactively to JTL's strategic vision and five year strategy and annual business plan and regularly review the financial and quality plans. The long-term likely impact of the plans for JTL has been considered as well as the consequences of their decisions.

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JTL (A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

Trustees review the actions in place to promote staff health and wellbeing. JTL seeks to implement good people management to enable staff to fulfil their potential, with a specific focus on underrepresented groups and in line with equality, diversity and safeguarding principles.

JTL continually strives to make partnerships with suppliers, customers, and others more equitable, collaborative and with a view to gaining better value for money and improving the learner experience. Significant engagement took place during the year ended July 2024 with employers, learners and stakeholders to ensure that their expectations and interests are well understood and taken into account in future strategic and business development.

JTL has published its Corporate and Social Responsibility Statement on its website.

The organisational structure is designed to support a safe environment for all stakeholders that come in contact with JTL, especially employees and learners. JTL continues to invest and improve its safeguarding to ensure that it better protects all those with whom it works.

JTL strives to achieve its strategic goals; it seeks to demonstrate in all areas the same values that we wish to see in the people we work with and those we aim to influence. JTL's values and the behaviours, including a commitment to safeguarding, are embedded in its staff

recruitment, induction, and appraisal procedures.

Governance and Key Management Personnel

The governance of JTL takes the form of a non-executive Board of Trustees which meets quarterly. In addition, there are formal Board Sub-Committees including Investment, Remuneration & Nominations, Audit & Risk, Quality, Standards & Safeguarding and Health & Safety. The Board has agreed formal Standing Orders for its own operation and formal Terms of Reference for each of the Sub-Committees.

Regular skills audits of Board members are conducted in order to ensure that, across its membership, it has a good understanding of all key areas of business undertaken by and relevant to JTL. The results are reviewed by the Board and the outcomes influence subjects for future training for Board members.

The Board also conducts an annual self-evaluation of its performance. The evaluation is influenced by the Charity Governance Code and the Code of Good Governance for Independent Training Providers published by the Association of Employment and Leaming Providers (AELP). The results of the selfevaluation are considered by the Board and appropriate action taken to address areas for improvement.

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JTL (A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

The Board delegates the day-to-day operations of JTL to the executive team through a formal Delegated Levels of Authority document which is reviewed periodically by the Board. The executive team is led by the Chief Executive supported by the Executive Leadership Team (ELT) which consists of the following roles, each with responsibility for defined functions:

Key Management Personnel Remuneration

The key management personnel of the charity include the Trustees and the ELT. The Trustees of the charity give their time freely and are not remunerated.

The Chief Executive's remuneration is set annually by the Remuneration & Nominations Committee. The Remuneration & Nominations Committee is made up of the Chairman and three other trustees nominated by the ECA, Unite the Union and the independent directors. It is the responsibility of the Remuneration Committee to set the pay of the Executive Directors.

The Remuneration Committee also has responsibility to consider the recommendation of the Chief Executive regarding the overall remuneration of the organisation. This recommendation is based on organisational and staff performance, market testing conducted by the Group Director of Finance & Corporate Services, Consumer Price Index data and feedback from the members on their likely pay awards. The decision of the Remuneration & Nominations Committee is then applied through a performance related pay process led by the Chief Executive and ELT.

Employees

The average monthly full-time equivalent number of employees of JTL for the year ended 31[st] July 2024 was 370 (2023: 388)

JTL communicates with its staff through a number of channels including regular executive vlogs, webinars, newsletters, ELT meetings, other manager and staff meetings, a staff forum and the intranet as well as an annual staff conference.

JTL ensures that no discrimination is shown on the grounds of any protected characteristics such as: race, colour, nationality, ethnic or national origin, gender, gender reassignment religion or belief, sexual orientation, age, marital status including civil partnerships, pregnancy and maternity, caring responsibilities or disability (the latter is subject to the industry's safety requirements).

Rewarding everyone fairly, regardless of gender, is at the heart of the leadership team's agenda. However, women are under-represented in the building services engineering sector and assessors are required to be occupationally competent in their discipline, which currently limits the number of female applicants. Our gender split is currently 75% male and 25% female which reflects JTL's reliance on a nationwide team of predominantly male occupationally competent assessors.

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JTL (A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

JTL acknowledges its responsibilities in relation to tackling modern slavery and commits to complying with the provisions of the Modern Slavery Act 2015. The organisation understands that this requires an ongoing review of both its internal practices in relation to its labour force and, additionally, its supply chains. No labour provided to JTL in the pursuance of its services is obtained by means of slavery or human trafficking.

JTL is a Disability Confident Employer and actively seeks to attract and recruit disabled people by providing a fully inclusive and accessible recruitment process. All disabled people who meet the minimum criteria for our vacancies are interviewed. We are supportive of our employees who may become disabled during their employment; they are supported, and reasonable adjustments proactively offered as required. Training, career progression and promotion for all disabled persons employed by the company is encouraged. All employees and people working with JTL are expected to treat all people with respect and appropriate disability equality awareness briefings take place on a regular basis.

JTL has an obligation to meet the Prevent Duty requirements as defined by the Counter Terrorism and Security Act 2015. In meeting this duty, JTL has developed a training programme for all staff, has a Prevent strategy in place with its policies and key documents reflecting the Prevent Duty.

Aims and Objectives

The JTL Executive Management Team present to the Board, who approved the five-year corporate plan, and underpinning one-year business plan. The three strategic objectives of the organisation for 2023/24 were:

The Trustees believe that JTL has made acceptable progress against it’s charitable objects and its strategic and business plan objectives.

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

Public benefit Statement

The Trustees have had regard to their responsibilities in demonstrating public benefit as set out in guidance provided by the Charity Commission. The charity has and continues to demonstrate a number of areas of public benefit within its core charitable objective of the advancement of education, in the form of advanced apprenticeship training, achieving high levels of success through the support and mentoring offered throughout the typically four-year apprenticeship period.

Given the challenges faced during and following the pandemic, JTL has paid particular attention to mental health support for its learners, many of whom were badly affected by the uncertainties of the situation and the impact on their learning, employment and family circumstances. JTL partners with the Electrical Industries Charity to offer targeted support for individuals in particular need.

The impact on beneficiaries is through the training of persons employed in, or wishing to enter, the building services engineering sector to obtain qualifications for life. In doing so this ensures the success and prosperity of the sector by supporting and improving an appropriately trained and skilled workforce. The high achievement rates of JTL apprentices are a good indicator of the effectiveness of its programmes and therefore the value for money obtained for the public purse.

JTL also continues to offer its employer grant schemes including an adoption grant for employers who take on apprentices who have been made redundant during their apprenticeship to help them complete their apprenticeship successfully.

JTL provides all its apprentices with free, high-quality textbooks, learning materials and toolkits to support their progress and achievement without the need to incur the costs associated with such purchases.

All apprenticeship courses are fully accessible and available free of charge to its learners, as the costs are met by the government and employers or are underwritten by JTL’s charitable funds.

JTL offers our apprentices a chance to stay in touch and continue their development through JTL Toolbox, a free online support package specifically aimed at employers and those who have completed or are near to completing their apprenticeship. Power Up is a CPD platform within Toolbox which offers free taster training sessions to electricians which will help them in their day-to-day job role and support their continued professional training need.

JTL has also introduced LEDA, a new digital learning resource. LEDA is an award-winning platform which has been developed by JTL to provide apprentices with access to learning resources from induction to bespoke apprenticeship resources including preparing apprentices for their end point assessment. Since the introduction of LEDA JTL has enrolled over 10,000 users with further development underway to create JTL Advance which will support CPD for all employers and apprentices through their career.

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JTL (A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

Streamlined energy and carbon reporting (SECR)

In accordance with the requirement of the Companies (Directors Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018 the Directors would like to disclose the following information for the period ending 31 July 2024

31 July 2024 31 July 2023
tonnes CO2e tonnes CO2e
£ £
Scope 1 (direct emissions) – natural gas Scope 1 (direct emissions) – natural gas Scope 1 (direct emissions) – natural gas 230 282
Scope 2 (indirect emissions) – electricity Scope 2 (indirect emissions) – electricity Scope 2 (indirect emissions) – electricity 110 88
Scope 3 – electricity transmission/distribution and employee cars Scope 3 – electricity transmission/distribution and employee cars Scope 3 – electricity transmission/distribution and employee cars 319 244
Total 659 614

An increased carbon output of 45 tonnes in 2024 against 2023, however, carbon associated with gas consumption is down by 52 tonnes and carbon associated with scope 2 electricity is only up by 22 tonnes, this is positive considering the increased number of properties.

Scope 3 has increased by 75 tonnes mainly due to increased mileage and associated carbon as assessors conducting more site visits in own cars and the remaining petrol and diesel company cars.

Methodologies used within the calculation.

The Group has used the actual KWH data from the monthly energy invoices it receives from suppliers and internally stored data on both company owned and employee own vehicles doing business miles and then applied the "Government conversion factors for the Group reporting" to calculate the CO2e content.

Energy efficient actions taken this year.

A number of steps to becoming more energy efficient has already been initiated, this year the following action was undertaken:

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

STRATEGIC REPORT

ACHIEVEMENTS AND PERFORMANCE

JTL Management

A Business Plan was agreed for 2023/24 which focused on a restructure of the company’s operating model and embedding high quality practices that delivered apprenticeships in a financially sustainable delivery model. This work was framed around the vision to be the training organisation of choice to the building services engineering sector and delivering the best learning experience for our apprentices and their employers.

JTL Statistics

During the year JTL:

JTL Centres and Subcontractor s/ College Partners

JTL continues to fund subcontracted fees for its apprentices in training who do not attend a JTL centre to enable them to successfully complete the appropriate off-the- job learning elements of the apprenticeship. JTL employs occupationally qualified and competent field staff who regularly monitor, review and assess the apprentices' progress.

The new business model for JTL will seek to prioritise delivery of off-the-job learning from its own centres and where this is not possible, to work with preferred delivery partners where the quality is good, and it meets employer needs. JTL will continue to rebalance the use of subcontractors through increasing the utilisation of its own centres.

© Quality

Quality is a key factor in evaluating the impact of our training on both employers and apprentices. The Education Inspection Framework, annual Self-Assessment Report and Quality Improvement Plan form a key foundation of JTL's quality activities, ensuring that our training programmes deliver a high quality learning experience that benefits both apprentices and employers. In August 2023, JTL was reinspected by Ofsted and once again achieved a "Grade 2 - Good" inspection report. JTL's focus on the quality of its provision results in it continuing to have achievement rates well above the national average in its core disciplines of electrotechnical and plumbing

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JTL (A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

In addition, JTL holds BS EN ISO 9001:2015 for quality management systems, the Matrix standard for Information, Advice and Guidance and Committed 2 Equality's Gold standard for Equality.

JTL employs a rolling internal audit and quality assurance programme which includes ongoing monitoring of delivery partners in line with the ESFA Subcontracting Standard as well as JTL’s quality standards.

Equality, Diversity and Safeguarding

JTL is committed to a policy of equality and diversity for everyone. No applicant for a training scheme place with JTL, apprentice, customer or member of staff shall knowingly receive less favourable treatment on the grounds of their protected characteristics, nor will any other condition or requirement that cannot be justified disadvantage them.

JTL is also committed to safeguarding and promoting the welfare of children and young people and expects all staff to share this commitment.

The building services engineering industry is generally regarded as a white, male industry and JTL continues to address this stereotyping through its growing apprentice ambassador scheme which sees existing female and ethnic minority apprentices working with schools and at careers events to promote the opportunities in the industry as well as to network with each other. Ambassadors have also taken to social media to promote the industry and benefits of apprenticeships.

FINANCIAL REVIEW

The JTL strategy set out by the Executive Leadership Team includes, as one of its three objectives, a strategic objective of achieving financial sustainability. This included specifically delivering improvement from the previous year and the aim being to break even by July 2025.

The principal funding source is the Department for Education's Education and Skills Funding Agency. The charity uses this income source to further its aims and objectives including increasing apprentice learner numbers and enhancing and innovating its provision.

No fundraising is carried out and any income from investments is generated via a responsible and ethical approach implemented by the Investment Managers, Barclays.

The Consolidated Statement of Financial Activities for the year shows an operating loss for the year of £1,954,653 (2023: Loss £4,226,283) after losses on property revaluation of £360,104 (2023: £2,785,854). The revaluation reserve at the year-end was £2,633,068 (2023:£2,657,472). Net movement in funds for the year amounted to a gain of £1,646,802 (2023: loss of£1,236,429) after investment gains of £3,625,859 (2023: £332,382), and losses on property revaluation of

£384,508 (2023: gains £2,657,472).

This resulted in a net asset position, all held as unrestricted funds as at 31st July 2024, of £42,975,197 (2023: £41,328,395). The Trustees are satisfied with the net asset position at the year end and are confident that sufficient funds are available to meet future needs

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JTL (A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

For the charity alone, total income for the year amounted to £37,599,799 (2023: £35,491,060), with a net increase in funds of £2,491,093 (2023: loss of £574,350). Total donations from CompEx Certification Limited and Develop Training Group Limited under the Gift Aid scheme in the year to 31st July 2024 was £277,071 (2023: £362,567). The 2024 profit amount was not accrued at the end of the year following clarification of Financial Reporting Standard 102. The subsidiaries had total income for the year of £10,278,790 (2023: £9,744,275) and costs of £10,710,325 (2023: £10,179,471 Restated).

Finance, Audit and Risk Committee (FARC)

The Finance, Audit and Risk Committee was active throughout 2023/24. In addition to standard agenda items covering company and financial performance, internal and external audit activity and preparation of the financial statements, the Committee also considered a number of items in focus at its meetings

Investments

Under the Articles of Association, the charity has the power to make any investments which the Trustees see fit.

In terms of investment funds, JTL's objective is to achieve capital growth, whilst maintaining a balanced risk profile over the medium term and to deliver annual net gains to support the consolidated financial position, as set out in the five year strategy and annual business plan. JTL's funds are managed solely by Barclay's Wealth with funds invested on a medium risk profile.

In terms of socially responsible investing, regular discussions are held at the Board, JTL Investment Committee and with the investment managers regarding the approach taken on behalf of JTL. The Investment Committee is aware that the investments are managed by the charity department of Barclays who have an established ethical investing offering. This is made up of a 3-stage process that includes:

During the year, the overall return of the portfolio was 14.32% (2023 2.15%). The JTL portfolio has performed comparatively better than the ARC (Asset Risk Consultants) Sterling Steady Growth Charity Index which delivered a return of 10.49% during the same period.

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JTL

(A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

Subsidiaries

In addition to the investment funds, JTL has two wholly owned subsidiaries, CompEx Certification Limited and Develop Training Limited.

CompEx Certification Limited

The principal business of CompEx Certification Limited is the operation of the CompEx Certification Scheme. The CompEx Scheme is the global solution for validating core competency of employees and contract staff of major users in the gas, oil and chemical sectors for both offshore and onshore activities.

CompEx Certification Limited has, under contract to the Engineering Equipment and Materials Users Association (EEMUA), managed and operated the CompEx Scheme since it was developed in 1994 and, in April 2014, acquired the Scheme from EEMUA.

Develop Training

When JTL acquired Develop in September 2019, it comprised a group of four companies:

Develop Solutions Limited, Develop Training Employee Benefit Limited and Develop Training Group Limited have all been dissolved leaving Develop Training Limited.

Develop Training is an accredited commercial course provider of compliance, technical, and safety training for the utilities and construction, healthcare, facilities management, and telecommunication sectors. The training provided has a direct relevance to the building services engineering sector and complements JTL's apprenticeship output as well as offering CPD and upskilling opportunities to the sector's workforce.

A plan to turn around Develop Training Limited was implemented through strict financial management, rigorous governance and oversight from the JTL Board. This enabled significant improvements for the long term sustainability of Develop Training Limited and resulted in the company being acquired by RelyOn Nutec in November 2024 for £4.3m.

Reserves Policy

The general reserves of the group at 31 July 2024 were £42,975,197 (2023: £41,328,395) of which £15,450,210 (2023: £13,149,248) is represented by tangible and intangible fixed assets. Free reserves, defined as excluding such funds attributed to these assets, were £27,524,987 (2023: £28,179,147).

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JTL

(A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

The current reserves policy requires that unrestricted funds held by the charity should be more than six months £24,487,920 (2023: £24,309,511) and less than twelve months £48,975,840 (2023: £48,619,022) of the resources expended. After allowing for factors detailed in Charity Commission guidance for best practice, the charity's reserves are in line with this policy. At this level the charity would be able to continue to honour its commitments to employers and learners until appropriate alternative arrangements can be made.

The Trustees consider that in light of the above and the current economic climate, the amount in reserves is appropriate.

Principal Risks and Uncertainties

The Board ensures, through the specific delegation of responsibilities, that the Executive Management Team will manage significant business risks through a combination of risk identification, analysis, evaluation, control and action planning so as to contain risk within limits acceptable to the Board.

In line with JTL’s risk management policy and framework, risks are logged on JTL’s risk register and reviewed regularly. The most significant risks are then reviewed and discussed monthly by the Executive Management Team and quarterly by the Finance, Audit & Risk Committee and reported to the Board.

The most significant risks currently identified are:

The Trustees have assessed these major risks and are satisfied that adequate steps are being taken to mitigate exposure and reduce the risks.

Plans for future periods

JTL's core business is delivering high quality apprenticeships to the building services engineering sector. In 2023, after consultation with employers, learners and stakeholders, JTL published its Corporate Strategy which will focus on three key priorities as follows:

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JTL

(A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

The restructure of the organisation that was implemented during the year was a significant step towards achieving the objectives. JTL will now move to embed this structure and consolidate the good practices it has identified to deliver quality outcomes for learners. JTL has maintained the position with regards to growth and will look to focus on developing and delivering for the apprentices before returning to growth next year. Whilst growth will be on a small scale in 2025/26 it will then accelerate in the following two years (years four and five of the strategic plan). At the same time, it remains committed to consolidating its provision on its traditional electrical market and reviewing how best to offer plumbing on a sustainable basis.

Furthermore, JTL intends to continue reviewing and improving its delivery strategy and will look to establish more of its own centres in target areas to best meet the needs of employers and learners. JTL remains committed to the implementation of a technology strategy and has set out a digital journey. This includes increased alignment and automation of systems and processes· based around the LEAN principles.

As part of this restructuring and refocusing of its business, JTL will also continue to improve the Group dynamics in order to increase synergy between the businesses developing the shared services model through a central group services model. Training relevant to the post-apprenticeship sector of the workforce will be taken forward through JTL's training centres, addressing the known training and CPD needs of the electrical sector through greater targeting of its commercial course offerings. Governance control across the Group will also ensure that the quality, financial sustainability and innovation aspirations are driven forward across all group entities.

Underpinning everything will be the focus on the quality of provision and ensuring that the expectations of our customers, learners, funding bodies and the industry are not only met but exceeded. In doing this JTL also wants to be an enjoyable, fulfilling and exciting place to work, an organisation which people are proud to be part of and one which rewards excellence and achievement.

JTL continues to monitor external opportunities for partnership and acquisition as long as these support the JTL objectives, ethos and the overall business strategy.

Going Concern

The Trustees have assessed the latest financial results and future forecasts to ensure the charity has adequate resources to continue in operational existence for the foreseeable future. The improvements to date and planned work going forward provide assurance on the financial sustainability of the group. For this reason, they continue to adopt the going concern basis in preparing the financial statements.

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JTL

(A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

Trustees’ Responsibilities Statement

Trustees (who are also directors of JTL for the purposes of company law) are responsible for preparing the Trustees' Annual Report (including the Strategic 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 state of affairs of the charitable company and the group and of their incoming resources and application of resources, including the income and expenditure of the charitable company and the group for that period. In preparing these financial statements, the Trustees are required to:

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

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Disclosure of information to the auditors

We, the Directors of the company who held office at the date of approval of these Financial Statements as set out above each confirm, so far as we are aware, that:

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JTL (A company limited by guarantee)

Trustees’ Annual Report (Including Strategic Report)

Year Ended 31[st] July 2024

In approving the Trustees' Annual Report, we also approve the Strategic Report included therein, in our capacity as company Directors.

Auditors

Under section 487(2) of the Companies Act 2006, Menzies LLP will be deemed to have been

reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

Signed on behalf of the Board of Trustees

Sir John Low, Chair of the Trustees

Date: 17-Dec-2024

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JTL

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JTL

Opinion

We have audited the financial statements of JTL (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 31 July 2024 which comprise the Consolidated statement of financial activities, the Consolidated balance sheet, the Company balance sheet, the Consolidated statement of cash flows 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 Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 Group's or the parent charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Other information

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

We have nothing to report in this regard.

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JTL (A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JTL (CONTINUED)

Opinion 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 our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' report including the Strategic report.

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

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JTL (CONTINUED)

Auditors' 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 Auditors' 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. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

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

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JTL (CONTINUED)

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Janice Matthews FCA (Senior statutory auditor)

for and on behalf of

Menzies LLP

Chartered Accountants Statutory Auditor Magna House 18-32 London Road Staines-Upon-Thames TW18 4BP

Date: 18-Dec-2024

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 JULY 2024

Note
Income from:
Charitable activities
4
Other trading activities
5
Investments
6
Total income
Expenditure on:
Raising funds
7,8
Charitable activities
Other expenditure
10
Total expenditure
Net expenditure before net gains on investments
Net gains on investments
Net movement in funds before other recognised
gains/(losses)
Other recognised gains/(losses):
(Losses)/gains on revaluation of fixed assets
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2024
£
36,180,286
10,162,662
461,131
46,804,079
10,107,964
38,290,664
360,104
48,758,732
(1,954,653)
3,625,859
1,671,206
(24,404)
1,646,802
41,328,395
1,646,802
42,975,197		 Total
funds
2024
£
36,180,286
10,162,662
461,131
46,804,079
10,107,964
38,290,664
360,104
48,758,732
(1,954,653)
3,625,859
1,671,206
(24,404)
1,646,802
41,328,395
1,646,802
42,975,197		 Total
funds
2023
£
34,569,376
9,417,059
406,304
44,392,739
9,519,104
36,314,064
2,785,854
48,619,022
(4,226,283)
332,382
(3,893,901)
2,657,472
(1,236,429)
42,564,824
(1,236,429)
41,328,395

The Consolidated statement of financial activities includes all gains and losses recognised in the year.

The notes on pages 27 to 47 form part of these financial statements.

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee) REGISTERED NUMBER: 03958541

CONSOLIDATED BALANCE SHEET AS AT 31 JULY 2024

2024 2023
Note £ £
Fixed assets
Intangible assets 15 256,897 139,508
Tangible assets 16 15,193,313 13,009,740
Investments 17 30,288,623 29,327,107
45,738,833 42,476,355
Current assets
Debtors 18 5,627,895 6,248,166
Cash at bank and in hand 1,480,339 2,493,104
7,108,234 8,741,270
Creditors: amounts falling due within one year 19 (9,336,353) (9,422,356)
Net current liabilities (2,228,119) (681,086)
Total assets less current liabilities 43,510,714 41,795,269
Provisions for liabilities 20 (535,517) (466,874)
Total net assets 42,975,197 41,328,395
Charity funds
Unrestricted funds 21 42,975,197 41,328,395
Total funds 42,975,197 41,328,395

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Sir John Low

Chair of the Trustees

Date: 17-Dec-2024

The notes on pages 27 to 47 form part of these financial statements.

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee) REGISTERED NUMBER: 03958541

COMPANY STATEMENT OF FINANCIAL POSITION AS AT 31 JULY 2024

2024 2023
Note £ £
Fixed assets
Tangible assets 16 14,826,658 12,337,217
Investments 17 30,420,626 29,459,110
45,247,284 41,796,327
Current assets
Debtors 18 9,082,256 9,242,379
Cash at bank and in hand 1,251,556 2,077,853
10,333,812 11,320,232
Creditors: amounts falling due within one year 19 (8,006,674) (8,061,322)
Net current assets 2,327,138 3,258,910
Total assets less current liabilities 47,574,422 45,055,237
Provisions for liabilities (334,919) (306,827)
Total net assets 47,239,503 44,748,410
Charity funds
Unrestricted funds 21 47,239,503 44,748,410
Total funds 47,239,503 44,748,410

The Company's net movement in funds for the year was £ 2,491,093 (2023 - £(574,350)) .

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Sir John Low Chair of the Trustees

Date: 17-Dec-2024

The notes on pages 27 to 47 form part of these financial statements.

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 JULY 2024

Note
Cash flows from operating activities
Net cash used in operating activities
24
Cash flows from investing activities
Dividends, interests and rents from investments
Purchase of intangible assets
Purchase of tangible fixed assets
Payments to aqcuire investments
Receipts from sales of investments
Movement in cash held by investment managers
Net cash (used in)/provided by investing activities
Cash flows from financing activities
Net cash provided by financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
25		 2024
£
(627,626)
461,131
(157,546)
(3,350,499)
(3,689,935)
6,106,221
245,489
(385,139)
-
(1,012,765)
2,493,104
1,480,339		 2023
£
(1,503,945)
406,821
(109,280)
(4,829,062)
(7,550,898)
12,437,112
(112,132)
242,561
-
(1,261,384)
3,754,488
2,493,104

The notes on pages 27 to 47 form part of these financial statements

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

1. General information

JTL is a charitable company limited by guarantee and is incorporated in England and Wales. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the charity.

The address of the registered office is given in the charity information on page 3 of these financial statements.

The nature of the charity's operations and principal activities are delivering Advanced Apprenticeships in Electrotechnical, Plumbing, Engineering and Heating and Ventilating.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

JTL meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

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

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements.

2.2 Basis of consolidation

The financial statements consolidate the accounts of JTL and its wholly owned subsidiaries undertakings, CompEx Certification Limited, Develop Training Group Limited and Develop Training Limited.

The charity has taken advantage of the exemption contained within Section 408 of the Companies Act 2006 not to present its own income and expenditure account.

2.3 Going concern

The trustees have assessed the use of going concern and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern, including the ongoing and negative financial impact of the financial performance of the subsidiary company Develop Training Limited. This subsidiary is now following a controlled recovery plan with no additional financial support from the charity planned in the next financial year and a forecast providing assurance that loan repayments will commence as the performance of the subsidiary improves.

The trustees have made this assessment for a period of at least one year from the date of the approval of these financial statements. The trustees have concluded that there is a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing these financial statements.

2.4 Fund accounting

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity. All funds received during the year were unrestricted.

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

2. Accounting policies (continued)

2.5 Income

All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.

Income from government and other grants are recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received, and the amount can be measured reliably. If entitlement is not met, then these amounts are deferred.

Investment income is earned through holding assets for investment purposes such as shares. It includes dividends and interest. Interest income is recognised using the effective interest method and dividend income is recognised as the charity's right to receive payment is established.

Other income includes gains on disposals of tangible fixed assets, recognised upon completion of the sale.

2.6 Expenditure

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required, and the amount of the obligation can be measured reliably. It is categorised under the following headings:

Irrecoverable VAT is charged as an expense against the activity for which expenditure arose.

Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.

2.7 Support costs allocation

Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity and include project management carried out at headquarters. Where support costs cannot be directly attributed to particular headings, they have been allocated to cost of raising funds and expenditure on charitable activities on a basis consistent with use of the resources.

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

2. Accounting policies (continued)

2.8 Intangible assets and amortisation

Intangible fixed assets are stated at cost (or deemed cost) less accumulated depreciation. Cost includes costs directly attributable to making the asset capable of operating as intended.

Assets costing less than £1,000 individually are not capitalised and are expended within the year.

Amortisation is provided on all intangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life. During the year the amortisation rate applied was:

Software

2.9 Tangible fixed assets and depreciation

With the exception of freehold property, tangible fixed assets are stated at cost (or deemed cost) less accumulated depreciation. Cost includes costs directly attributable to making the asset capable of operating as intended.

Assets costing less than £1,000 individually are not capitalised and are expended within the year.

Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life. During the year the depreciation rates were:

Freehold property (Buildings only) - 2% straight line Short-term leasehold property - 25% straight line Motor vehicles - 25% straight line Fixtures and fittings - 10% - 25% straight line Computer equipment - 25% straight line Software / IT consultancy - 25% straight line

No depreciation is provided for on Freehold Land

Change of accounting policy

During the year a revaluation of freehold buildings was undertaken by Allied Surveyors and Valuers on behalf of JTL. The information provided has allowed the cost of “land” to be established and accounted for separately.

The split of land from freehold building will provide a more accurate asset value and depreciation calculation leading to improved financial information. Land will no longer be depreciated.

A new depreciation rate of 10% straight line has been created for Fixtures and Fittings and Freehold property has been amended from 4% straight line to 2% straight line. Due to the number of adjustments made it is not possible to state the effect on each line of the financial statements for the current or prior periods.

2.10 Investments

Investments are recognised initially at fair value, which at year end is normally the transaction price excluding transaction costs. Subsequently, they are continuously measured at a mark to market at fair value with changes recognised in 'net gains or losses on investments' in the consolidated statement of financial activities if the shares are publicly traded or their fair value can otherwise be measured reliably. Other investments are measured at cost less impairment.

Investments in subsidiaries are measured at cost less impairment.

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

2. Accounting policies (continued)

2.11 Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the SoFA unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

2.12 Provisions

Provisions are recognised when the charity has an obligation at the balance sheet date as a result of a past event, it is probable that an outflow of economic benefits will be required in settlement and the amount can be reliably estimated.

2.13 Leases

Rentals payable under operating leases are charged to the Consolidted statement of financial activities on a straight-line basis over the period of the lease.

2.14 Employee benefits

When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service. The charity operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable.

2.15 Financial instruments

The charity holds basic Financial Instruments. The financial assets and financial liabilities of the Charity are as follows:

All other investments are classified as basic financial instruments and held at their fair value.

Financial Liabilities: Trade creditors, accruals and other creditors will be classified as financial instruments and are measured at amortised cost as detailed in note 20. Basic taxation and social security are not included in the financial instrument’s disclosure. Deferred income is not deemed to be a financial liability, as the cash settlement has already taken place and there is an obligation to deliver charitable services rather than cash or another financial instrument.

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

3. Critical accounting estimates and areas of judgement

Judgements (apart from those involving estimates) have been made in the process of applying the following accounting policies that have had a significant effect on amounts recognised in the financial statements;

Critical accounting estimates and assumptions:

The Company makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. There are estimates and assumptions made by the trustees in relation to property valuations and the estimated useful lives of fixed assets that may have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

4. Income from charitable activities

ESFA and Welsh Assembly income receivable
Other income receivable
Total 2023		 Unrestricted
funds
2024
£
34,274,197
1,906,089
36,180,286
34,569,376		 Total
funds
2024
£
34,274,197
1,906,089
36,180,286
34,569,376		 Total
funds
2023
£
32,235,781
2,333,595
34,569,376

Other income receivable of £2,123,197 (2023: £2,333,595) comprises of income from various sources including employer contributions, commercial courses, room hire, rental income, miscellaneous income and royalties.

5. Income from other trading activities

Income from non charitable trading activities

Trading income in subsidiaries
Total 2023		 Unrestricted
funds
2024
£
10,162,662
9,417,059		 Total
funds
2024
£
10,162,662
9,417,059		 Total
funds
2023
£
9,417,059

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

6. Investment income

Dividends and interest from listed investments
Total 2023		 Unrestricted
funds
2024
£
461,131
406,304		 Total
funds
2024
£
461,131
406,304		 Total
funds
2023
£
406,304

7. Expenditure on raising funds

Fundraising trading expenses

Direct trading expenses
Direct trading expenses - wages and salaries
Fundraising trading expenses - NI
Fundraising trading expenses - pension costs
Support costs of trading
Total 2023		 Unrestricted
funds
2024
£
3,346,328
1,492,756
152,122
35,982
4,976,228
10,003,416
9,408,003		 Total
funds
2024
£
3,346,328
1,492,756
152,122
35,982
4,976,228
10,003,416
9,408,003		 Total
funds
2023
£
3,114,312
1,070,363
113,837
59,571
5,049,920
9,408,003

8. Investment management costs

Investment management fees
Total 2023		 Unrestricted
funds
2024
£
104,548
111,101		 Total
funds
2024
£
104,548
111,101		 Total
funds
2023
£
111,101

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

9. Analysis of grants

Grants, Education and training
Total 2023		 Grants to
Individuals
2024
£
1,545,800
1,556,797		 Total
funds
2024
£
1,545,800
1,556,797		 Total
funds
2023
£
1,556,797

10. Other expenditure

Impairment Charge
Total 2023
See also note 16.		 Unrestricted
funds
2024
£
360,104
2,785,854		 Total
funds
2024
£
360,104
2,785,854		 Total
funds
2023
£
2,785,854

11. Analysis of expenditure by activities

Education and training
Total 2023		 Activities
undertaken
directly
2024
£
31,766,229
29,350,928		 Grant
funding of
activities
2024
£
1,545,800
1,556,797		 Support
costs
2024
£
4,978,635
5,406,339		 Total
funds
2024
£
38,290,664
36,314,064		 Total
funds
2023
£
36,314,064

Page 33

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

12. Auditors' remuneration

2024 2023
£ £
Fees payable to the Charity's auditor for the audit of the Charity's annual accounts 40,945 37,450
Fees payable to the Company's auditor in respect of:
The auditing of accounts of subsidiaries of the Charity 21,360 16,530
Accountancy and tax services 7,900 6,950

13. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension
schemes		 Group
2024
£
18,162,813
1,958,655
2,004,307
22,125,775		 Group
2023
£
17,631,728
1,905,834
2,039,445
21,577,007		 Company
2024
£
14,232,599
1,568,165
1,821,880
17,622,644		 Company
2023
£
14,100,935
1,555,049
1,776,580
17,432,564

During the year termination payments of £224,719 (2023:£1,188) were paid, of this £41,278 was Develop Training Limited.

The average number of persons employed by the Company during the year was as follows:

Directors
Operations
Support		 Group
2024
No.
7
364
114
485		 Group
2023
No.
10
362
130
502		 Company
2024
No.
4
308
68
380		 Company
2023
No.
7
324
67
398

The average headcount expressed as full-time equivalents was:

Directors
Operations
Support		 Group
2024
No.
6
354
110
470		 Group
2023
No.
10
354
124
488		 Company
2024
No.
4
300
66
370		 Company
2023
No.
7
316
65
388

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Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

13. Staff costs (continued)

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

Group Group
2024 2023
No. No.
In the band £60,001 - £70,000 12 13
In the band £70,001 - £80,000 9 1
In the band £80,001 - £90,000 2 1
In the band £90,001 - £100,000 - 2
In the band £100,001 - £110,000 - 2
In the band £110,001 - £120,000 - 1
In the band £120,001 - £130,000 1 1
In the band £130,001 - £140,000 2 -
In the band £200,001 - £210,000 1 1

14. Trustees' and Key Management Personnel Remuneration and Expenses

During the year, no Trustees received any remuneration or other benefits (2023 - £NIL) .

During the period, three trustees were reimbursed £472 (2023: £556) for expenses relating to travel costs.

The Charity considers its key management personnel comprise of:

As noted above no trustees were remunerated during the year. The total amount of employee benefits received by key management personnel (Salary, Employer NI, Employers Pension, Benefit in Kind etc.) was £888,336 (2023:£1,122,204).

Page 35

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

15. Intangible assets

Group

At 1 August 2023
Additions
At 31 July 2024
Amortisation
At 1 August 2023
Charge for the year
At 31 July 2024
Net book value
At 31 July 2024
At 31 July 2023		 Computer
software
£
178,910
157,546
336,456
39,402
40,157
79,559
256,897
139,508		 Goodwill
£
24,001
-
24,001
24,001
-
24,001
-
-		 Total
£
202,911
157,546
360,457
63,403
40,157
103,560
256,897
139,508

There are no intangible assets within the parent entity.

Page 36

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

16. Tangible fixed assets

Group

Cost or valuation
At 1 August 2023
Additions
Disposals
Revaluations deficit
At 31 July 2024
Depreciation
At 1 August 2023
Charge for the year
On disposals
Impairment charge
On revalued assets
At 31 July 2024		 Freehold
property
£
11,122,500
2,451,894
-
(24,403)
13,549,991
-
164,896
-
360,104
(164,896)
360,104		 Short-term
leasehold
property
£
580,413
29,061
(206,834)
-
402,640
266,692
121,493
(185,137)
-
-
203,048		 Motor
vehicles
£
59,980
-
-
-
59,980
10,669
14,995
-
-
-
25,664		 Fixtures and
fittings
£
2,387,570
779,270
(128,872)
-
3,037,968
1,420,385
268,918
(89,011)
-
-
1,600,292		 Computer
equipment
£
661,101
51,580
(273,980)
-
438,701
314,569
96,324
(186,197)
-
-
224,696		 Software / IT
consultancy
£
499,508
38,694
(8,756)
-
529,446
289,017
128,677
(6,085)
-
-
411,609		 Total
£
15,311,072
3,350,499
(618,442)
(24,403)
18,018,726
2,301,332
795,303
(466,430)
360,104
(164,896)
2,825,413

Page 37

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

16. Tangible fixed assets (continued)

Group (continued)

Net book value
At 31 July 2024
At 31 July 2023
Company
Cost or valuation
At 1 August 2023
Additions
Disposals
Revaluations deficit
At 31 July 2024		 Freehold
property
£
13,189,887
11,122,500		 Short-term
leasehold
property
£
199,592
313,721		 Motor
vehicles
£
34,316
49,311
Freehold
property
£
11,122,500
2,451,894
-
(24,403)
13,549,991		 Fixtures and
fittings
£
1,437,676
967,185
Fixtures and
fittings
£
2,268,172
755,802
(207,575)
-
2,816,399		 Computer
equipment
£
214,005
346,532
Computer
equipment
£
437,978
51,580
(117,701)
-
371,857		 Software / IT
consultancy
£
117,837
210,491
Software / IT
Consultancy
£
499,508
38,694
(8,756)
-
529,446		 Total
£
15,193,313
13,009,740
Total
£
14,328,158
3,297,970
(334,032)
(24,403)
17,267,693

Page 38

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

16. Tangible fixed assets (continued)

Company (continued)

Depreciation
At 1 August 2023
Charge for the year
On disposals
Impairment charge
On revalued assets
At 31 July 2024
Net book value
At 31 July 2024
At 31 July 2023		 Freehold
property
£
-
164,896
-
360,104
(164,896)
360,104
13,189,887
11,122,500		 Fixtures and
fittings
£
1,489,348
213,971
(207,575)
-
-
1,495,744
1,320,655
778,824		 Computer
equipment
£
209,905
81,374
(117,701)
-
-
173,578
198,279
228,073		 Software / IT
Consultancy
£
291,688
128,677
(8,756)
-
-
411,609
117,837
207,820		 Total
£
1,990,941
588,918
(334,032)
360,104
(164,896)
2,441,035
14,826,658
12,337,217

Page 39

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

16. Tangible fixed assets (continued)

All fixed assets are initially recorded at cost. As at the year ended 31 July 2024 the freehold properties held were professionally revalued. Where the value had decreased against properties with a previous revaluation surplus an amount of £24,404 was recognised against the revaluation reserve. Where the value had decreased for properties with no revaluation reserve an amount of £360,104 has been recognised as an impairement charge within the profit and loss account.

The Group has adopted a policy of revaluation for freehold properties. Had these assets been measured at historic cost, the carrying values would have been as follows:

Group Group Company Company
2024 2023 2024 2023
£ £ £ £
Freehold property 10,314,297 11,250,882 10,314,297 11,250,882

Included in the net book value of property displayed above are the following amounts ascribable to land:

Group Group
2024 2023
£ £
Freehold land 3,535,200 3,095,200

Note: A leasehold of building was acquired in Carlisle with a life of 53 years which is being depreciated over 25 years.

17. Fixed asset investments

Group
Cost or valuation
At 1 August 2023
Additions
Disposals
Revaluations
Movement in cash held by investment managers
At 31 July 2024
Net book value
At 31 July 2024
At 31 July 2023		 Listed
investments
£
29,327,043
3,689,935
(6,106,221)
3,623,292
(245,426)
30,288,623
30,288,623
29,327,043

Page 40

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

17. Fixed asset investments (continued)

Company
Cost or valuation
At 1 August 2023
Additions
Disposals
Revaluations
Movement in cash held by investment managers
At 31 July 2024
Net book value
At 31 July 2024
At 31 July 2023		 Investments
in subsidiary
companies
£
132,003
-
-
-
-
132,003
132,003
132,003		 Listed
investments
£
29,327,043
3,689,935
(6,106,221)
3,623,292
(245,426)
30,288,623
30,288,623
29,327,043		 Total
£
29,459,046
3,689,935
(6,106,221)
3,623,292
(245,426)
30,420,626
30,420,626
29,459,046

Principal subsidiaries

The following were subsidiary undertakings of the Company:

Names Company Registered office or principal Class of Holding
number place of business shares
Develop Training Limited 06115331 Derby Training Centre, Ascot Drive, Ordinary 100%
Derby, DE24 8GW
CompEx Certification Limited 02336110 Stafford House, 120-122 High Ordinary 100%
Street, Orpington, Kent, BR6 0JS

The financial results of the subsidiaries for the year were:

Names Income Expenditure Profit/(Loss) Net assets
£ £ for the year £
£
Develop Training Limited 8,006,204 (8,610,945) (604,741) (4,305,511)
CompEx Certification Limited 2,272,586 (2,099,380) 173,206 173,208

Page 41

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

Group and Company
Investments at fair value comprise:
Equities
Securities
Cash within investment portfolio		 2024
£
24,281,153
4,532,899
1,474,571
30,288,623		 2023
£
23,106,048
5,545,319
675,740
29,327,107

The fair value of listed investments is determined by reference to the bid (sale) price at close of business on the date of the valuation or fair value if the market value is unavailable.

18. Debtors

Due within one year
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income		 Group
2024
£
4,153,714
-
206,579
1,267,602
5,627,895		 Group
2023
£
4,526,808
-
446,529
1,274,829
6,248,166		 Company
2024
£
2,885,667
5,133,316
206,579
856,694
9,082,256		 Company
2023
£
3,266,820
4,569,639
413,989
991,931
9,242,379

As at the year end, JTL was owed £459,757 (2023: £295,975) from CompEx Certification Limited and £4,673,559 (2023: £4,273,664) from Develop Training Limited. £217,108 (2023: £80,027) interest was charged for the year.

Page 42

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

19. Creditors: Amounts falling due within one year

Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income		 Group
2024
£
3,064,762
756,037
418,802
5,096,752
9,336,353		 Group
2023
£
3,345,433
708,432
610,689
4,757,802
9,422,356		 Company
2024
£
2,602,873
427,950
314,520
4,661,331
8,006,674		 Company
2023
£
2,874,490
437,196
518,310
4,231,326
8,061,322

Deferred income relates to the license and apprenticeship fees being recognised over the period that they relate to.

Deferred income
Deferred income at 1 August 2023
Resources deferred during the year
Amounts released from previous periods		 Group
2024
£
775,410
1,105,564
(845,559)
1,035,415		 Group
2023
£
326,596
775,410
(326,596)
775,410

20. Provisions

Group

At 1 August 2023
Additions
Company
At 1 August 2023
Additions		 Dilapidations
£
466,874
68,643
535,517
Dilapidations
£
306,827
28,092
334,919

Page 43

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

21. Statement of funds

Statement of funds - current year

Unrestricted funds
General Funds
Revaluation reserve
Statement of funds - prior year
Unrestricted funds
General Funds
Revaluation reserve		 Balance at 1
August 2023
£
38,670,923
2,657,472
41,328,395
Balance at
1 August 2022
£
42,564,824
-
42,564,824		 Income
£
46,804,079
-
46,804,079
Income
£
44,392,739
-
44,392,739		 Expenditure
£
(48,734,328)
(24,404)
(48,758,732)
Expenditure
£
(48,619,022)
-
(48,619,022)		 Gains/
(Losses)
£
3,601,455
-
3,601,455
Gains/
(Losses)
£
332,382
2,657,472
2,989,854		 Balance at 31
July 2024
£
40,342,129
2,633,068
42,975,197
Balance at
31 July 2023
£
38,670,923
2,657,472
41,328,395

22. Summary of funds

Summary of funds - current year
General funds
Summary of funds - prior year
General funds		 Balance at 1
August 2023
£
41,328,395
Balance at
1 August 2022
£
42,564,824		 Income
£
46,804,079
Income
£
44,392,739		 Expenditure
£
(48,758,732)
Expenditure
£
(48,619,022)		 Gains/
(Losses)
£
3,601,455
Gains/
(Losses)
£
2,989,854		 Balance at 31
July 2024
£
42,975,197
Balance at
31 July 2023
£
41,328,395

Page 44

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

23. Analysis of net assets between funds

Analysis of net assets between funds - current period

Tangible fixed assets
Intangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
Provisions for liabilities and charges
Total		 Unrestricted
funds
2024
£
15,193,313
256,897
30,288,623
7,108,234
(9,336,353)
(535,517)
42,975,197		 Total
funds
2024
£
15,193,313
256,897
30,288,623
7,108,234
(9,336,353)
(535,517)
42,975,197

Analysis of net assets between funds - prior period

Tangible fixed assets
Intangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
Provisions for liabilities and charges
Total		 Unrestricted
funds
2023
£
13,009,740
139,508
29,327,107
8,741,270
(9,422,356)
(466,874)
41,328,395		 Total
funds
2023
£
13,009,740
139,508
29,327,107
8,741,270
(9,422,356)
(466,874)
41,328,395

Page 45

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

24. Reconciliation of net movement in funds to net cash flow from operating activities

Net income/expenditure for the period (as per Statement of Financial Activities)
Adjustments for:
Net depreciation charges
Amortisation charges
Gains on investments
Dividends, interests and rents from investments
Loss on the sale of fixed assets
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Impairment of fixed assets
Increase in provisions
Net cash used in operating activities
25.
Analysis of cash and cash equivalents
Cash in hand
Total cash and cash equivalents
26.
Analysis of changes in net debt
At 1 August
2023
£
Cash at bank and in hand
2,493,104
2,493,104		 Group
2024
£
1,671,206
630,407
40,157
(3,623,292)
(461,131)
152,012
620,271
(86,003)
360,104
68,643
(627,626)
Group
2024
£
1,480,339
1,480,339
Cash flows
£
(1,012,765)
(1,012,765)		 Group
2023
£
(3,893,901)
916,179
15,522
(332,382)
(406,821)
105,003
(1,050,472)
134,365
2,785,854
222,708
(1,503,945)
Group
2023
£
2,493,104
2,493,104
At 31 July
2024
£
1,480,339
1,480,339

Page 46

Docusign Envelope ID: 05E7AE8D-0E73-442E-8C3E-C2FFD5C215E7

JTL (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024

27. Operating lease commitments

At 31 July 2024 the Group and the Company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years
Later than 5 years		 Group
2024
£
1,002,436
1,091,677
201,600
2,295,713		 Group
2023
£
1,084,411
2,317,408
206,400
3,608,219		 Company
2024
£
523,885
691,640
201,600
1,417,125		 Company
2023
£
582,580
1,262,169
206,400
2,051,149

28. Other financial commitments

As at the year end the group was committed to making £425,000 (2023 £nil) in respect of future capital projects.

29. Related party transactions

JTL had the following transactions and year end balances with the Joint Industry Board for the Electrical Contracting Industry (“JIB”) which has as its constituent parties the ECA and Unite the Union.

Information about related party transactions and outstanding balances is set out below:

Outstanding
Expenditure balances
Joint Industry Board
For the year ending 31 July 2024 / Balance as at 31 July 2024 226,357 120
For the year ending 31 July 2023 / Balance as at 31 July 2023 193,956 (2,174)

Amounts payable to ECA includes the BUPA annual membership, plus additional services. Amounts payable to JIB relate to Electrotechnical and Plumbing Apprentice registration fees and Health & Safety Assessment fees.

30. Post balance sheet events

Following the year end the subsidiary, Develop Training Limited, was acquired by RelyOn Nutec by way of share purchase agreement. Consideration for the disposal was £4.3m which was used to acquire 100% of the shares in Develop Training Limited and to repay the intercompany loan between JTL and Develop Training Limited. The terms of the disposal also included a debt waiver of £600k provided by JTL to Develop Training Limited in relation to the intercompany loan. The deal was completed on 13 December 2024.

Page 47