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2022-03-31-accounts

Company number: 03324794 Charity Number: 1082193

East End Citizens Advice Bureaux

(A company limited by guarantee)

Report and financial statements For the year ended 31 March 2022

East End Citizens Advice Bureaux

Contents

For the year ended 31 March 2022

Reference and administrative information ...................................................................................... 1 Trustees’ annual report .................................................................................................................. 3 Independent auditor’s report ....................................................................................................... 18 Statement of financial activities (incorporating an income and expenditure account) ................... 22 Balance sheet ............................................................................................................................... 23 Statement of cash flows ................................................................................................................ 24 Notes to the financial statements ................................................................................................. 25

East End Citizens Advice Bureaux

Reference and administrative information

For the year ended 31 March 2022

Company number 03324794 Charity number 1082193 Registered office 300 Mare Street and operational London address E8 1HE Country of registration England & Wales Country of incorporation United Kingdom Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows: Chair David Ross JP Joint Vice Chairs Jennifer Chung Edward Fry Muddassar Ahmed (appointed 9 June 2021) Hazel Capper Matthew Downer Paul Everitt Denise Halton James Ludlam MBE, JP (resigned 14 May 2021) Jessica Mann (resigned 1 December 2021) Yemi Mustapha Councillor James Peters (Hackney) Jeremy Shapiro (resigned 14 September 2022) Sharmin Takin Daniel Tomlinson

Secretary Yasmin Alam Key management Yasmin Alam Chief Executive personnel Rashid Seedat Project manager Georgia Walker Service manager Andrew Skipper Training and development manager Miles Metcalfe IT manager Louise Skinner Finance manager

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East End Citizens Advice Bureaux

Reference and administrative information

For the year ended 31 March 2022

Bankers Barclays Bank plc The Holloway & Kingsland Group PO Box 3628 London E8 2JX Auditor RPG Crouch Chapman LLP Chartered Accountants and Statutory Auditor 5[th] Floor, 14-16 Dowgate Hill LONDON EC4R 2SU

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

The trustees (who are also directors of the charitable company for the purposes of the Companies Act) present their report and the audited financial statements for the year ended 31 March 2022.

Reference and administrative information set out on pages 1 and 2 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102 (effective 1 January 2019).

Since the company qualifies as small under section 383, the strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors’ Report Regulations 2013) is not needed.

Objectives and activities

Purposes and aims

The objectives for which the charitable company, East End Citizens Advice Bureaux (EECABx), also known as Citizens Advice East End, was established as defined in the Memorandum and Articles of Association, are the promotion of any charitable purposes. This is for the public benefit of the community in Greater London and surrounding areas by the advancement of education, the protection and preservation of health and the relief of poverty, sickness and distress.

The charity’s principal activity is the provision of information, advice and advocacy services within the London Boroughs of Hackney, Newham and Tower Hamlets.

East End Citizens Advice Bureaux works together with local and national partners to provide accessible, high quality and holistic advice and information services, advocacy, and training to empower and enable our communities. Our clients’ experiences guide us to try and influence policy at a local and national level.

The trustees review the aims, objectives and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remained focused on its stated purposes.

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

Strategies and activities for achieving objectives and delivering public benefit

The charity's main activities and who it tries to help are described below. All its charitable activities focus on providing advice and information to clients and are undertaken to further East End Citizens Advice Bureaux charitable purposes for the public benefit.

Overview

We provide free, confidential and impartial services accessible to all. Many of our clients are from some of the poorest and most deprived parts of the population.

In 2021/2022, we helped over 29,000 clients with over 90,000 enquiries. We continue to have capacity constraints and the excessive demand is generated in part because of the ongoing impact of the Government’s Welfare Reform and in part due to the Covid-19 pandemic. There were thousands more requests for advice and information than we were able to meet. Of those clients we were able to serve, the most common enquiries related to welfare, debt, employment and housing, all pivotal in allowing individuals and families to enjoy a decent standard of living.

We try and reach as many clients as possible, from all parts of our community by working in over 40 different venues across the East End in addition to our main advice centres in Hackney, Newham and Tower Hamlets. These outreach services are delivered through Children Centres, Local Authority offices, Job Centres, GP Health Centres, hospitals, Housing Associations, and estate-based community centres, as well as a variety of unique locations. We have been able to offer a reduced face-to-face service in our co-locations, and we continue to offer support to residents digitally due to the ongoing pandemic.

Who did we help?

In 2021/2022 a total of 11,944 clients were seen by Hackney Citizens Advice Bureau. We helped them with 19,127 enquiries and increased their income by £6,288,280. We also supported them to write off £534,030 of debt and to move a further 596,834 onto more manageable payment plans. We provided £100,454 energy vouchers to clients with prepaid energy meters to help clients who were struggling to pay their energy bills. We also successfully applied for 76 grants totalling £30,109.61 to assist clients to make essential purchases such as white goods and furniture.

At Newham Citizens Advice Bureau, we saw 8,476 clients and handled a total of 15,335 enquiries. We were able to secure income gains for these clients of £5,195,921 and to write off £286,260 of

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

debt. £241,113 of debt was moved onto more manageable plans. We also successfully applied for 3 grants totalling £800 to assist clients to make essential purchases such as white goods and furniture.

Tower Hamlets Citizens Advice Bureau saw a total of 13,020 clients in 2021/2022, handling over 20,000 enquiries. We increased their income by £13,443,636 and helped move £1,058,610 of debt onto more manageable plans. We were also able to get £591,475 of debt written off. We provided £10,283 energy vouchers to clients with prepaid energy meters to help clients who were struggling to pay their energy bills. We also successfully applied for 6 grants totalling £1,125 to assist clients to make essential purchases such as white goods and furniture.

What issues did our clients raise?

Across East End Citizens Advice Bureau, our clients most often asked for help with welfare benefits, housing, debt, employment and immigration. The demand in our top five categories of work increased compared to 2020/21.

The demand for support in relation to welfare benefits increased by over the previous year totalling 31,248 enquiries. Debt enquiries showed the largest increase more than doubling at 4,416 issues. There was also an increase of 35.4% in employment because of people being made redundant during of the covid-19 pandemic.

The number of housing issues we dealt with increased by 30.7% reaching 5,178 in total. Many of these clients came to ask for our support because of the poor standards of housing in the three boroughs as well as bad agent and landlord practices which affected tenants’ rights. We also provided residents in the 3 boroughs with support over evictions during the covid-19 pandemic.

Finally, Immigration issues remain in our top five categories with an increase of 26.7%. We are currently supporting European Union residents in all three boroughs apply for settled status in the UK through a Home Office funded project. This funding was due to end in September 2020 but has been extended into 2022.

Change in issues from 2020/2021 to 2021/2022

----- Start of picture text -----
Top 5 Categories 2020/21 2021/22 % Change
Welfare Benefits inc. (Universal 11,346 15,386 35.6%
Credit)
Housing 3,963 5, 178 30.7%
Debt 2,115 4,416 108.8%
Employment 1,695 2,295 35.4%
Immigration 827 1,048 26.7%
----- End of picture text -----

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

How did we help them?

Following support from East End Citizens Advice Bureau in 2021/2022:

We generated a total amount of £24,927,837 income for our clients, £1,411,765 debts written off and £1,896,557 moved onto more manageable plans.

We also used our statistics and evidence to undertake research and campaign work, using clear data from clients to illustrate the impact of policy decisions and to advise public service providers of systemic difficulties. We have appointed a best practice lead who also works as the research and campaign lead for East End Citizens Advice Bureaux.

We have worked on several Research campaigns - Homeless Access to Benefits and Banking, Scam Awareness, Big Energy Saving Network - publicising and working with residents to lower their energy bills and claim Warm Home Discounts etc.

Our ongoing work with Hackney Food Poverty Alliance, included making closer alliance with food banks, mutual aid groups and small charities and other organisations to tackle poverty.

We worked within the "Neighbourhood Conversations" mapping and planning better ways for the third sector and NHS Public Health and CCGs to work together for clients.

We worked closely with the councils on their Covid help for vulnerable residents and advising other agencies, including NHS Mental Health teams on practical help we can offer.

We have identified issues across all three boroughs with claiming Universal credit and talked directly to Department of Work and Pensions managers to resolve issues. We have also worked closely with the local Job Centre Plus to identify issues with the claiming process and managing claims.

In Tower Hamlets and Hackney, we take part in several forums that seek to raise awareness of changes, challenge new practices and find workable solutions. One example is the Welfare Rights Forum, which consists of representatives from Local Authority and the Department for Work & Pensions (Job Centre Plus), Third Sector and any other interested party that may be invited. Several issues have been discussed and addressed during the year, including Universal credit, Housing benefit issues, misleading or incorrect information, statutory changes, and their impact on the community and much more. We are pleased that our participation ensures that our views are listened to by statutory bodies.

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

Examples of help we provided to clients are as follows:

The client is a retired Lithuanian widow. Her late husband had received overpayments of Pension Credit and Income Support of £36,067 dating back to 2010 when the client was working full-time but she and her late husband did not inform the Department of Work and Pensions. Her late husband did not have a will and his only assets were £6,300 in a bank account which had remained untouched. The overpayment was being deducted from her late husband’s benefit benefits but after he died the Department of Work and Pensions tried to recover the money from her. The client panicked and had repaid £1,755 but was struggling to pay her bills. She wasn’t sure if she was receiving Housing Benefit or Council Tax Reduction as the claims had been in her late husband’s name. We contacted the Department of Work and Pensions debt management team and in a half an hour telephone call arranged for the remaining debt of £34,312 after the payments of £1,755 to be cancelled and the £1,755 to be refunded to the client. We advised the client that she will need to make a new claim for Housing Benefit and Council Tax Reduction showing proof of her income if the original claim was in her late husband’s name. We will assist her with her claims. We also advised her on Attendance Allowance although the client decided that she did not need it for the time being.

The client, a man in his late 50s, had left prison last year and was living in a house of multiple occupation having previously lived in a hostel. He came to us for a face-to-face appointment because he felt more comfortable speaking to someone rather than having a telephone conversation or a computer video link. He was due to be evicted shortly but had not received a notice of eviction. He had been offered a studio flat by the council but felt he needed a one bedroom flat to avoid the feelings of trauma he has had since leaving prison. He wanted to move to Islington because he has family in Wembley, and it would make it easier to travel to see them. He wanted to look for work but felt he need to sort out his housing issue first. He was advised what to do when he receives the eviction notice and the time limits for appeal. Following a discussion with Shelter he was advised not to refuse the offer of a studio flat otherwise he would be considered intentionally homeless but to take it and then review the situation afterwards.

The client is a retired disabled Bangladeshi widow who lives alone. She can speak some English but cannot read it so she needed a face-to-face appointment with us. She had had no gas supply to her home for three days and had no heating or cooking facilities but was billed quarterly and did not have significant arrears. Following our intervention, a gas engineer restored her gas supply the same afternoon.

The client received state pension and pension credit, housing benefit and council tax. She had also received the winter fuel payment of £200 and was entitled to the Warm Home discount. However, her claim for Personal Independence Payment (PIP) had been disallowed because she had failed to attend an assessment in May 2021 due to the language barriers she faces. The client has

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

various health problems which restrict her daily life and mobility and had previously been in receipt of Disability Living Allowance so she should have been entitled to PIP. Although the client was outside the one-month time limit for requesting a Mandatory Reconsideration we felt she had good cause for being late and appealed for her.

Our vision

Our vision is to become the main hub for advice services in each of the three boroughs we serve. We interpret advice broadly to encompass preventative work and skills training as well as more traditional information, advice, and casework services. To achieve this vision, the Board will be working on the following goals:

The objectives are further explained on the following pages:

Meeting the changing needs of our clients by providing high quality advice and information services.

East End Citizens Advice Bureaux is committed to quality, and we have robust systems in place to ensure clients are receiving high quality advice services and outcomes.

We have a pool of Quality Control Assessors who check client files and conduct independent file reviews on a regular basis. We work closely with our National Citizens Advice Assessor in managing the quality standards for the entire service. This has been extremely useful as the work of the internal assessors is checked and feedback is provided on a quarterly basis. Citizens Advice, as required by the new membership scheme, is required to carry out annual client feedback surveys in addition to the internal feedback surveys and feedback through focus groups.

Through providing high quality advice, we have been successful in securing high volumes of financial and non-financial outcomes for our clients. Our client feedback surveys on delivery of

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

services have been extremely positive and clearly present a demand for more Citizens Advice services.

Address our clients’ needs through consolidating our current partnerships and developing new partnerships.

We regularly attend various partnership meetings with the Local Authority, Public Health, Statutory Departments and Housing Associations in Hackney, Newham and Tower Hamlets. Through our continuous work in these boroughs, we are at the forefront of advice delivery. We welcome collaborative working which cuts down on duplication of services, clients going to the wrong door and achieves longer term outcomes.

We will continue to work with local and national partners to provide integrated, accessible, and high-quality cross-borough advice, advocacy, training, and information services to meet the changing needs of their communities.

Hackney and Tower Hamlets local authorities have awarded contracts to us that involve a range of other partner advice agencies. This has assisted in increasing access for our clients to a whole range of additional advice and support services as well as increased awareness of the various services other advice agencies provide.

Meet the changing needs of our communities by sustaining and developing funding.

Sustaining and developing services is extremely important for East End Citizens Advice to enable us to continue our services and support our communities with their changing needs. The current climate of reductions in public services, ongoing welfare reform, unemployment, financial difficulties, lack of housing, inequalities in health, lack of literacy and numeracy skills etc. makes this a challenging task as the demand on our services is increasing rapidly. People access our services with a multitude of enquires, which are interlinked and create complexities and, as a result have a devastating impact on people’s lives.

The client statistical data presented in this report shows the demand on our services, the impact on our clients following our intervention and, clearly makes the case for sustaining and developing our services to meet the needs of the communities.

Strengthen our organisation through effective people management and good governance.

We have a strong governance structure in place that ensures the adherence of all organisational legal requirements, policies, and procedures. Our Trustees and Senior Management Team possess extensive experience in all aspects of organisational leadership, effective delivery of services and financial control.

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

We are a people’s organisation putting the needs of our clients at the heart of all we do. We can manage change, respond quickly to service user needs due to changes in law, and funder requirements. We have strong processes in place to support our paid staff and volunteers. Our Trustees undertake an annual skills audit to ensure their skills and expertise meet current organisational requirements as well as any developmental areas.

Influence policy locally, regionally, and nationally.

We continue to undertake research and campaign work both at local and national level. Our advice team gather evidence from client cases, on policies or legislation that is causing detriment and complete bureau evidence forms which are submitted to National Citizens Advice.

We supported National Citizens Advice initiatives to raise awareness of ‘Digital inclusion,’ ‘Smart meters,’ ‘Universal Credit issues’ and ‘Council tax and use of bailiffs.

Future plans

We will continue to work closely with our Local Authorities and various other funders to deliver services in line with our three-yearly business plan. The impact of our work will continue to contribute towards their corporate strategic objectives. We will also be focusing on health-related projects as a high volume of our clients suffer from health problems.

Our aim is to become a hub for advice, specialist support services and training. This will require working in collaboration with other organisations as well as ensuring our own services are tailored towards clients’ needs. We will continue to develop joint working processes to make access to a range of public services for people who lack ability or find it difficult to navigate to them. Our Stategic plan to deliver digital advice for people to increase accessibility to our services has been implemented following Covid-19, we are now delivering telephone, email and web-chat support for some offices and services. We aim to develop our digital support to complement face to face services further in our future planning and development.

We are developing various evaluation mechanisms to ensure we continue to demonstrate the impact of our services to our funders and strengthen collaborative working with the necessary departments and agencies.

2022/23

The five main developments we see next year are:

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For the year ended 31 March 2022

Hackney and Newham. We have commenced this work alongside a range of partner organisations in both Hackney and Tower Hamlets.

The Citizens Advice Bureaux closed its offices on 17 March 2020 because of the Covid-19 epidemic to ensure the safety of clients and staff. We opened our office in Tower Hamlets from July 2021 and have continued to open it 3 days per week. Some of the outreach services were opened in Jan 2022, in Hackney. We continue to prioritise the needs of funders and staff to ensure clients receive a service in the community. We have started offering face-to-face advice in the London Borough of Hackney Service Centre in 2022/23 and we are hoping to resume face-to-face services in the Ideas Stores in Tower Hamlets.

Fundraising

We receive funding from local authorities, health authorities, central government, The National Lottery Community Fund, housing associations, corporate donors and Trusts and Foundations. We identify funders who may be prepared to support our work and make applications to them following their application procedures and timescales, soliciting feedback on unsuccessful applications. The applications are prepared jointly by our fundraiser and Chief Executive. We are usually only awarded grants or contracts after a rigorous selection process. We also solicit funds from organisations where we perceive a need for our services and think we can achieve positive outcomes. We do not carry out other fundraising activities and we do not solicit gifts from members of the public or clients to protect vulnerable people. Our service is free at the point of delivery. We are not members of any scheme for regulating fundraising and have not received any complaints about our fundraising activities.

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

Investment policy and performance

Aside from retaining a prudent amount in reserves each year most of the charity’s funds are to be spent in the short term so there are no funds for long term investment. The policy of the Trustees is to invest the amount that it has available, and grants received in advance in short term bank deposits.

Financial review

The charity’s results for the year are set out in the Statement of Financial Activities on page 22. The charity had net incoming resources on unrestricted funds of £9,005 for the year (2021 £137,355 net incoming resources on operational unrestricted funds less £129,728 increase in the NACAB defined benefit pension liability). Together with the accumulated surplus brought forward from previous years and transfers, the charity had an accumulated surplus on unrestricted funds of £484,352 (2021 £475,347. Restricted funds carried forward on 31 March 2022 amounted to £521,663 (2021 £305,475). This is sufficient for the activities for which the funds were provided.

The charity received 49% of its funding from the London Boroughs of Hackney and Tower Hamlets (2021 44%), both directly and via partnership working with other organisations to provide advice and support at its offices and at outreach sites. A further 4% was received as a capital grant from the London Borough of Newham.

The funding scene is becoming ever more challenging. We received a grant of £100,000 from the National Lottery Community Fund so that we could continue the expansion of our telephone advice line service to help meet the increased demand on our services during the Covid-19 pandemic. We were awarded grants totalling £258,500 from London Borough of Hackney and £60,000 from London Borough of Tower Hamlets to provide energy vouchers to clients with prepaid meters. We received £50,000 from the Wakefield & Tetley Trust to enable us to provide a general advice service in Tower Hamlets primary schools. However, our five-year funding for the Crisis, Empowerment and Change project finished in June 2021 resulting in a loss of £150,000 per year. The Universal Credit Help to Claim contract also finished on 31 March 2022 resulting in a loss of funding of £507,000 per year. Staff working on this project were TUPE’d over to a new provider.

The charity accrued in full the deficit reduction payments in respect of the NACAB defined benefit pension scheme of which East End CAB (Citizens Advice Bureau) is a member in 2016. Deficit reduction contributions of £22,800 were payable annually from 2011 for 20 years. The triennial valuation on 31 March 2019 revealed a further increase in the deficit of £129,728 using a discount rate of 2% and we were required to increase our contributions by 25% to £28,500 per annum and to make further contributions until March 2037. Further details are given in note 24 on page 45.

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

Principal risks and uncertainties

The Trustees have assessed the principal risks to which East End CAB is exposed and are satisfied that systems are in place to mitigate our exposure to them. The Trustees recognise the potential financial risks on some of the bureaux services that are dependent on a single major funder. East End CAB is actively seeking to address the dependency by securing additional funding sources to support those services. We endeavour to achieve this by generating additional business and income as well as providing the highest possible level of service to both our clients and funders.

The Trustees formally review risk on an annual basis and at regular intervals throughout the year in the following areas and did so during the year under review under the following main headings:

Compliance Finance Governance External developments and relationships.

We have a business continuity plan that manages all the identified organisational risks and is reviewed on a regular basis.

Reserves policy and going concern

The trustees believe that East End Citizens Advice Bureaux should hold unrestricted reserves to ensure that the charity can continue to operate and meet the needs of its clients in the event of unforeseen circumstances. Given the vulnerability of many of our clients, our long-term ambition is to set aside sufficient liquid reserves to continue delivering essential services in the face of funding shortfalls, cash flow issues, and numerous other setbacks which might befall the organisation.

We would like to have sufficient cash reserves to cover the cost of maintaining a physical presence across all three boroughs should we lose funding from the relevant local authorities. Long-term, we also aim to build a development fund to enable us to be better able to respond to opportunities as they arise, including providing match funding if required, or to fund staff posts which are beneficial to the long-term strategy and resilience of the organisation, but which are not included in the agreed annual budget.

However, our immediate focus is to continue to deliver our much-needed core services whilst building our essential reserves, particularly those necessary to cover the cost of an orderly winding up of East End Citizens Advice Bureaux.

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

The current reserves policy comprises:

● Sufficient cash reserves to cover the cost of an orderly winding up of East End Citizens Advice Bureaux. During 2021/22, based on organisation headcount and employees’ length of service, and including redundancy costs plus notice pay: £492,000.

● Sufficient cash reserves to ensure East End Citizens Advice Bureaux can meet its outgoings in the case of delayed payments, equivalent to the monthly expenditure against our largest grant: £39,000

● Sufficient cash reserves for operational emergencies (flooding, heating failure, broken doors, or windows), some of which may be covered by insurance but might need immediate funds to address problems and/or involve an excess: £10,000.

● Sufficient cash reserves for unexpected operational costs which would impact upon service delivery and which would require significant outlay. In particular: recruitment, IT costs (new server, new copier etc.) - £5,000.

This gives a total reserves policy target for liquid assets of £546,000.

In note 18, the analysis of net assets between funds, the charity’s free reserves, the unrestricted funds less the unrestricted fixed assets are £483,529. However, this includes a £365,729 pension deficit, which is negative as it represents the discounted total liability arising from the need to make payments of £28,500 per annum from April 2021 until March 2037. The trustees are confident that, on current projections, the charity will be able to continue to fund this obligation out of cash reserves for the foreseeable future. The balance of unrestricted reserves is a positive £850,081 in general funds which shows total unrestricted reserves less the pension deficit is slightly less than the Trustees’ reserves policy. Trustees will review the level of necessary reserves on at least an annual basis with the aim of increasing it to meet the required level over then next two to three years.

After making appropriate enquiries and after careful consideration of the charity’s reserve position (above) and after cash flows and commitments, the trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.

Principal funding sources are shown in notes 2 and 3. Further details of grants receivable are given in note 6.

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

Structure, governance, management, and related parties

Constitution

East End Citizens Advice Bureaux, which also operates under the name of Citizens Advice East End, was formally created on 1 April 2004 following the merger of Hackney CAB, Newham CAB and Tower Hamlets CAB. It is a company limited by a guarantee and is a registered charity.

As part of the merger, Hackney CAB, a company limited by guarantee, changed its name to become East End Citizens Advice Bureaux. Newham CAB and Tower Hamlets CAB, both companies limited by guarantee, became dormant and were subsequently dissolved.

On 30 November 2013, the charity adopted a new Memorandum and Articles of Association which was agreed by the Charity Commission and registered with Companies House.

The company is governed by its Memorandum and Articles of Association and registered under the number 03324794. The company is registered as a charity under number 1082193. In the event of the company being wound up members are required to contribute an amount not exceeding £1. The total number of such guarantees on 31 March 2022 was 12 (2021: 15). The trustees are members of the charity, but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

Governance

The management of the charitable company is the responsibility of the Trustees who are elected and co-opted under the terms of its Articles of Association. Trustees are selected and recruited using a standard selection and recruitment process following a skills audit of the exiting Trustees. At the time of appointment or co-option of a new Trustee, a skills analysis is undertaken, and a tailored induction and training programme is put in place.

Management

The charity is governed by a Board of Trustees who normally meet quarterly. A Human Resources and Finance Sub-committee, also meets quarterly and exists to further oversee the charity’s financial position and decision making. A Governance Sub-committee meets quarterly to oversee the governance of the charity. A Remuneration Sub-committee also meets occasionally to review implementation of the Trustees’ remuneration policy. The Trustees have delegated the day-today management of the charity to the Chief Executive who is also supported by a Senior Management Team, consisting of a service manager who oversees the generalist service, a project manager who oversees the specialist services and specialist training and development, IT and finance managers who support the whole organisation. The three generalist services are run by team leaders.

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

Remuneration policy for key management personnel

The trustees of the charity are Key Management Personnel and are not remunerated for their roles in this capacity. Any expenses reclaimed from the charity are set out in note 8 to the accounts. Other employed Key Management Personnel, who are the Senior Management Team (see note 8), receive a base salary, which is benchmarked against salaries in other London bureaux and nationally, and which is fixed by the Trustees. In addition, there may be a percentage for annual cost of living expense which is determined by the trustees before the year end. This is discretionary and the award of cost-of-living expense is very much dependent on the organisation’s financial condition. Any proposals for remuneration increase for Key Management Personnel is forwarded to the Human Resources and Finance Sub Committee which consists of three trustees. They will consider the proposal and forward their recommendations to the Trustee Board. The Trustee board take the final decision on salary increases for all staff at their quarterly meetings.

Related party relationships

The charity is a member of Citizens Advice, the operating name of the National Association of Citizens Advice Bureaux. East End Citizens Advice Bureaux works closely and has contracts of service level agreements with other statutory and voluntary organisations, including:

Statement of responsibilities of the trustees

The trustees (who are also directors of East End Citizens Advice Bureaux for the purposes of company law) are responsible for preparing the trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

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East End Citizens Advice Bureaux

Trustees’ annual report

For the year ended 31 March 2022

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

Disclosure of information to auditors

Each of the persons who are trustees, the directors of the charitable company, at the time when this Trustees’ Report is approved has confirmed that:

The trustees’ annual report has been approved by the trustees on 14 September 2022 and signed on their behalf on 14 September 2022 by:

David Ross JP Chair

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Independent auditor’s report

To the members of

East End Citizens Advice Bureaux

Opinion

We have audited the financial statements of East End Citizens Advice Bureaux (the ‘charitable company’) for the year ended 31 March 2022 which comprise the statement of financial activities, balance sheet, statement of cash flows and notes to the financial statements, including 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 Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

In our evaluation of the trustees’ conclusions, we considered the risks associated with the charity’s business model, including the effects arising from macro-economic uncertainties such as COVID19 and analysed how those risks might affect the charity's financial resources or ability to continue operations over the period of twelve months from the date when the financial statements are authorised for issue. In accordance with the above, we have nothing to report in these respects. However, as we cannot predict all future events or conditions and as subsequent events

18

Independent auditor’s report

To the members of

East End Citizens Advice Bureaux

may result in outcomes that are inconsistent with judgements that were reasonable at the time they were made, the absence of reference to a material uncertainty in this auditor's report is not a guarantee that the charity will continue in operation.

Other information

The other information comprises the information included in the trustees’ annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other

information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Capability of the audit to detect irregularities including fraud

We gained an understanding of the legal and regulatory framework applicable to the charity and the industry in which it operates, and considered the risk of acts by the charity which were contrary to applicable laws and regulations, including fraud. These included, but were not limited to, compliance with Companies Act 2006, the Charities Act 2011 and FRS102.

We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment.

We focused on laws and regulations that could give rise to a material misstatement in the financial statements. Our tests included, but were not limited to:

19

Independent auditor’s report

To the members of

East End Citizens Advice Bureaux

There are inherent limitations in the audit procedures described above and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

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

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

Responsibilities of trustees

As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, 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.

20

Independent auditor’s report

To the members of

East End Citizens Advice Bureaux

Auditor’s responsibilities for the audit of the financial statements

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

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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 auditor’s report.

Jeremy Tyrrell BA (Hons) FCA (Senior statutory auditor)

For and on behalf of RPG Crouch Chapman LLP

Chartered Accountants Statutory Auditors

5[th] Floor, 14-16 Dowgate Hill London EC4R 2SU

Date: 16 September 2022

21

East End Citizens Advice Bureaux

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 March 2022

Unrestricted
Note
£
Income from:
2
6,102
3
318,785
31
324,918
4
260,649
260,649
64,269
19
(55,264)
9,005
24
-
9,005
Reconciliation of funds:
475,347
19
484,352
Donations
Charitable activities
Charitable activities
Total funds carried forward
Transfers between funds
Net income after transfers
Total funds brought forward
Net income/(expenditure) before
transfers
Total expenditure
Investments
Total income
Expenditure on:
Actuarial losses on defined benefit
pension schemes
Net movement in funds		 Restricted
£
105,842
2,682,430
-
2,788,272
2,627,348
2,627,348
160,924
55,264
216,188
-
216,188
305,475
521,663		 2022
Total
£
111,944
3,001,215
31
3,113,190
2,887,997
2,887,997
225,193
-
225,193
-
225,193
780,822
1,006,015		 Unrestricted
£
6,785
351,127
265
358,177
213,145
213,145
145,032
(7,677)
137,355
(129,728)
7,627
467,720
475,347		 Restricted
£
133,894
2,603,087
-
2,736,981
2,601,541
2,601,541
135,440
7,677
143,117
-
143,117
162,358
305,475		 2021
Total
£
140,679
2,954,214
265
3,095,158
2,814,686
2,814,686
280,472
-
280,472
(129,728)
150,744
630,078
780,822

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in Note 19 to the financial statements.

The notes on pages 25 to 47 form part of these financial statements.

22

East End Citizens Advice Bureaux

Company no. 03324794

Balance sheet

As at 31 March 2022

----- Start of picture text -----
2022 2021
Note £ £ £ £
Fixed assets:
Tangible assets 13 3,826 5,493
Current assets:
Debtors 14 179,005 121,344
Cash at bank and in hand 1,618,547 1,483,790
1,797,552 1,605,134
Liabilities:
Creditors: amounts falling due within one year 15 (458,134) (471,815)
Net current assets 1,339,418 1,133,319
Total assets less current liabilities 1,343,244 1,138,812
Creditors: amounts falling due after one year 17 (337,229) (357,990)
Total net assets 1,006,015 780,822
The funds of the charity:
Restricted income funds 19 521,663 305,475
Unrestricted funds:
Designated funds (365,729) (386,490)
General funds 850,081 861,837
Total unrestricted funds 484,352 475,347
Total charity funds 18 1,006,015 780,822
----- End of picture text -----

The financial statements were approved and authorised for issue by the Trustees on 14 September 2022 and signed on their behalf by:

David Ross JP

Chair

The notes on pages 25 to 47 form part of these financial statements.

23

East End Citizens Advice Bureaux

Statement of cash flows

----- Start of picture text -----
For the year ended 31 March 2022
Note 2022 2021
£ £ £ £
Cash flows from operating activities 20
Net cash provided by operating activities 134,726 443,793
Cash flows from investing activities:
Dividends, interest and rents from investments 31 265
Purchase of fixed assets - (3,347)
Net cash (used in)/provided by investing activities 31 (3,082)
Change in cash and cash equivalents in the year 134,757 440,711
Cash and cash equivalents at the beginning of the
year 1,483,790 1,043,079
Cash and cash equivalents at the end of the year 21 1,618,547 1,483,790
----- End of picture text -----

The notes on pages 25 to 47 form part of these financial statements.

24

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

a) Statutory information

East End Citizens Advice Bureaux is a charitable company limited by guarantee and is incorporated in England and Wales under the number 03324794. The charity registration number is 1082193. The registered office address is 300 Mare Street, London E8 1HE. The nature of the charity's operations and principal activity is the provision of information, advice and advocacy services within the London Boroughs of Hackney, Newham and Tower Hamlets.

b) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (September 2015), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice as it applies from 1 January 2019.

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

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 charitable company meets the definition of a public benefit entity under FRS 102.

The financial statements have been prepared on a going concern basis as the Trustees believe that no material uncertainties exist. The Trustees have considered the level of funds held and the expected level of income and expenditure for twelve months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.

The following judgements (apart from those involving estimates) have been made in the process of applying the accounting policies that have had the most significant effect on amounts recognised in the financial statements:

The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

e) Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

25

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The aim and use of each restricted fun is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

All income is 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.

For donations to be recognised the charity will have been notified of the amounts and the settlement in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.

Donated facilities and donated professional services are recognised in income at their fair value when their economic benefit is probable, they can be measured reliably and the charity has control over the item. Fair value is determined on the basis of the value of the gift to the charity, for example the amount the charity would be willing to pay in the open market for such facilities and services. A corresponding amount is recognised in expenditure.

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.

Bank interest income is recognised on receipt.

Government and local authority grants for the purchase of fixed assets are credited to restricted incoming resources when receivable. Depreciation on fixed assets purchased with such grants is charged against the restricted fund over the expected useful life of the asset if there are continuing restrictions.

Grants of a revenue nature are credited to income in the period in which they are receivable. Grants received in advance for specified future periods are carried forward as deferred income.

g) Expenditure recognition

All expenditure is accounted for on an accrual basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised when 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.

26

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office, governance and administration costs. They are incurred 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 on a basis consistent with use of the resources. Premises and other overheads have been allocated on the basis of time spent on activities.

The analysis of these costs is included in note 4e.

i) Tangible fixed assets

Items of equipment and fixtures and fittings are capitalised where the purchase price exceeds £1,000. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

j) Employee benefits

When employees have rendered services 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 two defined contribution schemes for the benefit of its employees. Contributions are expensed as they become payable. Both are funded schemes and the assets are held independently from the charity.

One scheme is closed to new members, consisting of those members who had previously left the NACAB scheme below. The charity contributes 5.1% of gross pay to the scheme and this charge is recognised in staff pension costs for the year.

The other defined contribution scheme was set up as part of the charity's auto enrolment obligations and is open to all current staff members. The charity contributes 3% of gross pay to the scheme and this charge is recognised in staff pension costs for the year.

The charity is also a member of a multi-employer defined benefit pension scheme, sponsored by the National Association of Citizens Advice Bureaux ('NACAB'), which is now closed to new members. As a multiemployer scheme within the definition of FRS102, none of the assets or liabilities of the scheme are included on the charity's Balance Sheet as the individual proportions cannot be attributed to each participating employer. See note 24 for further details of the scheme. The charity had an obligation to pay deficit reduction contributions of £22,800 per annum from 1 April 2011 for twenty three years, increasing to £28,500 from 1 April 2021 for 16 years. The discounted net present value of this obligation is included within both current and non-current liabilities. An annual charge is made to expenditure to unwind the discounting, as shown in note 4e under pension finance costs.

27

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

The charity is also a member of The Pensions Trust series three multi-employer scheme which is considered to be a defined benefit pension scheme, which is now closed to new members. As a multi-employer scheme within the definition of FRS102, none of the assets or liabilities of the scheme are included on the charity's Balance Sheet as the individual proportions cannot be attributed to each participating employer. The charity is not required to pay deficit reduction contributions.

k) Taxation

The charity is considered to pass the test set out in Paragraph 1 Schedule 6 Finance Act 2010 and meets the definition of a charitable company for UK corporation tax purposes. It does not suffer tax on income or gains applied to charitable purposes.

l) Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

m) Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

n) Creditors

Short term creditors are measured at transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

o) Leases

Rentals payable and receivable under operating leases are charged to the SOFA on a straight line basis over the period of the lease.

p) Financial instruments

The charity holds only basic financial instruments. The financial assets and liabilities of the charity are shown in Note 23:

Financial assets - Trade debtors, other debtors and grant income accrued are basic financial instruments and are debt instruments measured at amortised cost as detailed in note 14. Prepayments are not financial instruments.

Financial liabilities - Trade creditors, pension deficit liabilities, accruals and other creditors are basic financial instruments, and are measured at amortised cost as detailed in notes 15 and 17. Taxation and social security are not included in the financial instruments 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 services rather than cash or another financial instrument.

28

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

2 Income from donations

Hackney
Newham
Tower Hamlets
Central		 Unrestricted
£
-
-
-
6,102
6,102		 £
39,325
600
65,917
-
105,842
Restricted		 2022
Total
£
39,325
600
65,917
6,102
111,944		 2021
Total
£
67,550
-
66,344
6,785
140,679

3a Income from charitable activities by bureau and income type

Hackney
Newham
Tower Hamlets
Central		 Grants
£
922,884
407,524
1,352,022
356
2,682,786		 Fees for
services
£
265,428
20,791
31,510
700
318,429		 2022
Total
£
1,188,312
428,315
1,383,532
1,056
3,001,215		 2021
Total
£
1,156,861
416,989
1,345,069
35,295
2,954,214

Hackney and Tower Hamlets act as the lead partner in two grant consortia receiving cash and passing it on to partner organisations. Grant income included in income and expenditure is £104,881 at Hackney (2021 £104,881) and £678,423 at Tower Hamlets (2021 £663,423).

3b Income from charitable activities by bureau and fund

Hackney
Newham
Tower Hamlets
Central		 Unrestricted
£
265,428
20,791
31,510
1,056
318,785		 Restricted
£
922,884
407,524
1,352,022
-
2,682,430		 2022
Total
£
1,188,312
428,315
1,383,532
1,056
3,001,215		 2021
Total
£
1,156,861
416,989
1,345,069
35,295
2,954,214

In 2021 of the total income from charitable activities £351,17 was unrestricted and £2,603,087 was restricted.

The charity has one activity, providing advice to those in need which is free at the point of delivery.

29

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

4a Charitable expenditure by expenditure type

Staff costs
Other
£
£
Hackney
697,951
351,176
Newham
405,721
31,825
Tower Hamlets
602,905
779,123
Central
19,296
-
1,725,873
1,162,124
Activities
Support
£
£
Hackney
940,826
108,301
Newham
378,826
58,720
Tower Hamlets
1,296,867
85,161
Central
19,296
-
2,635,815
252,182
Unrestricted
Restricted
£
£
Hackney
195,409
853,718
Newham
17,006
420,540
Tower Hamlets
28,938
1,353,090
Central
19,296
-
260,649
2,627,348
Expenditure from charitable activities by fund
Charitable expenditure by bureau and direct activities and support costs		 2022
Total
£
1,049,127
437,546
1,382,028
19,296
2,887,997
2022
Total
£
1,049,127
437,546
1,382,028
19,296
2,887,997
2022
Total
£
1,049,127
437,546
1,382,028
19,296
2,887,997		 2021
Total
£
1,102,010
380,380
1,323,913
8,383
2,814,686
2021
Total
£
1,102,010
380,380
1,323,913
8,383
2,814,686
2021
Total
£
1,102,010
380,380
1,323,913
8,383
2,814,686

4b Charitable expenditure by bureau and direct activities and support costs

In 2021, of the total expenditure £213,145 was unrestricted and £2,601,541 was restricted.

30

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

4d Direct costs

Wages and salaries
National insurance
Pension costs
Other staff costs
Other direct costs
Administration costs
Premises costs		 Central
£
19,296
-
-
-
-
-
-
19,296		 Hackney
£
564,838
52,536
9,224
1,305
115,338
111,793
85,792
940,826		 Newham
£
329,455
33,115
5,708
994
1,355
7,140
1,059
378,826		 Tower
Hamlets
£
496,778
47,578
4,262
3,275
680,946
28,040
35,988
1,296,867		 2022
Total
£
1,410,367
133,229
19,194
5,574
797,639
146,973
122,839
2,635,815		 2021
Total
£
1,377,285
132,234
22,504
4,948
780,633
128,566
116,509
2,562,679

4e Support costs

Wages and salaries
National insurance
Pension costs
Other staff costs
Administration costs
Pension finance costs
Governance costs - see
note 5
Premises costs		 Central
£
-
-
-
-
-
-
-
-
-		 Hackney
£
57,560
6,198
1,232
13,715
11,041
3,213
9,703
5,639
108,301		 Newham
£
33,163
3,571
710
7,896
6,361
1,848
1,921
3,250
58,720		 Tower
Hamlets
£
48,082
5,177
1,029
11,460
9,232
2,678
2,793
4,710
85,161		 2022
Total
£
138,805
14,946
2,971
33,071
26,634
7,739
14,417
13,599
252,182		 2021
Total
£
137,282
15,669
3,101
34,849
27,418
8,334
15,105
10,249
252,007

5 Governance costs

Wages and salaries
National insurance
Auditors' remuneration
Meeting expenses,
trustee recruitment		 Unrestricted
£
5,741
623
7,950
103
14,417		 Restricted
£
-
-
-
-
-		 2022
Total
£
5,741
623
7,950
103
14,417		 2021
Total
£
5,741
623
7,949
792
15,105

31

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

6 Grants receivable

Grants receivable
2022 2021
£ £
London Borough of Hackney
General advice 262,000 262,000
Advice in health settings 60,000 60,000
Energy vouchers 198,500 54,000
No recourse to public funds - 30,000
Other - -
London Borough of Newham
Capital funding 120,000 -
London Borough of Tower Hamlets
General advice 885,102 885,102
Council tax - 36,967
Covid-19 recovery 25,000 -
Energy vouchers 60,000 -
Management 39,000 39,000
Premises - 5,000
The National Lottery Community Fund
Crisis - ID 10275738 37,491 149,949
Covid-19 emergency - 100,000
Covid-19 emergency 91,667 8,333
Citizens Advice
Big energy savings network 5,297 12,500
Digital innovation 10,000 15,000
Energy advice programme 7,200 13,560
Equipment - 11,960
Equipment Universal credit - 2,408
Gamble awareness 7,250 43,500
Universal credit help to claim 467,312 343,983
Universal credit phone and webchat - 119,460
Universal credit best practice lead 39,980 39,648
Other 356 1,457
Access to Justice Foundation 3,625 47,107
Barts Health NHS Trust 22,433 22,000
Bromley by Bow Centre 23,244 5,369
Clarion Housing Association - 8,000
The Church of England Children's Society 10,000 -
Department of Work and Pensions - Kickstart 68,745 -
East End Community Foundation - Money Smart 3,000 4,625
East End Community Foundation - Covid-19 - 3,000
East London NHS Foundation Trust - 6,000
Energy Saving Trust - 50,358
Good Things Foundation - HMRC 8,000 -
Good Things Foundation 5,699 68,369
Greater London Authority - 5,000
Groundworks 8,000 -
The Hackney Parochial Charities 21,000 -
Home Office 19,664 22,399
Lyles Local Fund 5,000 -
Newham Community Renewal Programme 6,000 -
Social Action for Health
Tower Hamlets 8,829 30,273
South Hackney Parochial Charity 15,000 15,000
Thames Water Trust Fund 30,892 33,127

32

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

Volunteer Centre Hackney
Trust for London
Transport for London via City Bridge Trust
Wakefield & Tetley Trust
West Hackney Parochial Charity		 2022
£
-
50,000
-
42,500
15,000
2,682,786		 2021
£
5,000
43,333
400
15,000
10,000
2,628,187

Hackney and Tower Hamlets act as the lead partner in two grant consortia receiving cash and passing it on to partner organisations. Grant income included in income and expenditure is £104,881 at Hackney (2021 £104,881) and £678,423 at Tower Hamlets (2021 £663,423).

This is stated after charging:

This is stated after charging:
Depreciation of tangible fixed assets 2022
2021
£
£
- owned by the charity 1,667
1,189
Operating lease rentals:
Property 51,695
56,295
Auditors' remuneration (excluding VAT):
Audit 7,950
7,949

The total employee benefits (including pension contributions and employer's national insurance) of the key management personnel were £299,657 (2021: £259,551). Whilst Trustees are considered to be included in the definition of Key Management Personnel, they are not remunerated. Employed Key Management Personnel are considered to comprise the Senior Management Team which includes:

The charity trustees were neither paid nor received any other benefits from employment with the charity in the year (2021: £nil). No charity trustee received payment for professional or other services supplied to the charity (2021: £nil).

A Trustee received reimbursement of £882 for the purchase of equipment in the year (2021: £300 for the purchase of long service awards). Another Trustee received £nil expenses for childcare to attend a Trustee meeting (2021: £20).

33

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

Other pension costs
Staff costs were as follows:
Social security costs
Wages and salaries
Redundancy payments		 2022
£
1,552,308
148,797
22,164
19,296
1,742,565		 2021
£
1,507,175
148,526
25,605
-
1,681,306

One employee received remuneration between £60,000 to £70,000 during the year (2021 One).

10 Staff numbers

The average number of employees (head count based on number of staff employed) during the year was 55 (2021:50).

Staff are split across the activities of the charitable company as follows:

Project and activity
Administration and support		 2022
No.
51
4
55		 2021
No.
46
4
50

The average number of full and part time employees during the year was as follows:

Part time
Full time		 2022
2021
No.
No.
38
39
11
7
49
46
Full time equivalent		 2022
No.
38
17
55
Head		 2021
No.
39
11
50
count

11 Related party transactions

There are no related party transactions to disclose for 2022, other than the Trustee expenses shown in Note 8 of £882, (2021: £320).

There are no donations from related parties which are outside the normal course of business and no restricted donations from related parties.

Two of the daughters of the Chief Executive have been employed by the charity as an adviser/caseworker during the year and were paid salaries of £23,008 and £35,822 (2021 £19,104 and £16,533).

34

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

12 Taxation

The charitable company is exempt from corporation tax as all its income is from charitable activities and is applied for charitable purposes.

13 Tangible fixed assets

Cost or valuation
At the end of the year
Depreciation
At the end of the year
Net book value
At the end of the year
Disposals in year
Additions in year
At the start of the year
Eliminated on disposal
At the start of the year
Charge for the year
At the start of the year		 Fixtures and
fittings
£
2,817
-
-
2,817
2,817
-
-
2,817
-
-		 Office
equipment
£
74,075
-
-
74,075
71,632
811
-
72,443
1,632
2,443		 Computer
equipment
£
26,651
-
(7,158)
19,493
23,601
856
(7,158)
17,299
2,194
3,050		 Total
£
103,543
-
(7,158)
96,385
98,050
1,667
(7,158)
92,559
3,826
5,493

All of the above assets are used for charitable purposes.

14 Debtors

15
Trade creditors
Grant and contract debtors
Creditors: amounts falling due within one year
Trade debtors
Prepayments
Taxation and social security
Pension deficit liability
Deferred income (see note 16 below)
Other creditors
Accruals
Other debtors		 2022
£
93,312
25,485
58,023
2,185
179,005
2022
£
28,169
59,031
28,500
93,901
57,080
191,453
458,134		 2021
£
42,756
14,283
64,305
-
121,344
2021
£
17,386
59,413
28,500
63,599
59,512
243,405
471,815

35

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

16 Deferred income

Deferred income comprises amounts received in advance that are grants or contract payments attributable to specified future periods.

Balance at the beginning of the year
Amount released to income in the year
Amount deferred in the year
Balance at the end of the year
17
18a
General
unrestricted
Designated
£
£
823
-
1,012,000
-
(162,742)
(28,500)
-
(337,229)
850,081
(365,729)
Net assets at 31 March 2022
Long term liabilities, defined benefit pension
Current assets
Current liabilities
Tangible fixed assets
Pension deficit reduction payments
Creditors: amounts falling due after one year
Creditors include amounts not wholly repayable within five years as follows:
Analysis of net assets between funds (current year)
Pension deficit reduction payments repayable by instalments		 2022
£
243,405
(243,405)
191,453
191,453
2022
£
337,229
337,229
2022
£
256,004
Restricted
£
3,003
785,552
(266,892)
-
521,663		 2021
£
89,051
(89,051)
243,405
243,405
2021
£
357,990
357,990
2021
£
278,925
Total funds
£
3,826
1,797,552
(458,134)
(337,229)
1,006,015

18b Analysis of net assets between funds (prior year)

Net assets at 31 March 2021
Current liabilities
Current assets
Tangible fixed assets
Defined benefit pension asset / (liability)		 General
unrestricted
£
1,679
1,039,586
(179,428)
-
861,837		 Designated
£
-
-
(28,500)
(357,990)
(386,490)		 Restricted
£
3,814
565,548
(263,887)
-
305,475		 Total funds
£
5,493
1,605,134
(471,815)
(357,990)
780,822

36

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

19a Movements in funds (current year)

Movements in funds (current year)
At 1 April At 31 March
2021 Income Expenditure Transfers 2022
£ £ £ £ £
Restricted funds:
Hackney
Bureau advice services 48,353 301,325 (332,477) - 17,201
Advice in health settings 11,310 60,000 (61,025) - 10,285
Homerton Hospital 6,755 - - - 6,755
Energy vouchers - Hackney 26,470 198,500 (110,639) 155 114,486
Energy vouchers -All 3 boroughs - - 11 15 26
Advice services transitional fund 4,152 - - - 4,152
Discretionary crisis support
scheme 2,332 - - - 2,332
The National Lottery Community
Fund - Covid-19 emergency - 36,667 (36,667) - -
The National Lottery Community
Fund - Crisis, empowerment and
change - 12,497 (12,497) - -
Big Energy Savings Network 568 5,297 (5,865) - -
Digital inclusion - HMRC - 8,000 (8,583) 583 -
Digital innovation - 10,000 (10,000) - -
Energy advice programme 1,364 7,200 (8,663) 99 -
Energy Champion 119 - (119) - -
EU Settled status - 19,664 (20,249) 585 -
Gambling support service - 7,250 (7,250) - -
Kickstart - 45,585 (66,537) 20,952 -
Money management 3,295 - 435 - 3,730
Power Up 5,811 3,419 (4,968) - 4,262
Universal credit help to claim - 155,825 (155,825) - -
Universal credit best practice 1,085 39,980 (41,222) 157 -
Welfare benefit and debt - 51,000 (44,028) 6,972
Newham
Capital fund - 120,000 (1,407) 118,593
The National Lottery Community
Fund - Covid-19 emergency - 18,333 (18,553) 220 -
The National Lottery Community
Fund - Crisis, empowerment and
change 11,479 12,497 (23,976) - -
EUSS Settled status - 6,000 (7,680) 1,680 -
Groundworks volunteer training - 8,000 (7,686) 314
Lyles Local Fund for advice - 5,000 (6,284) 1,284 -
Power up 1,937 1,140 - - 3,077
Thames Water Trust Fund - 30,892 (28,861) - 2,031
Trust for London 9,464 50,000 (59,277) - 187
Universal credit help to claim (1) 155,662 (156,771) 1,110 -
Other 17,400 600 - - 18,000
Tower Hamlets
Bureau advice services 70,482 925,279 (943,374) - 52,387
Council tax 22,904 - - - 22,904
Covid recovery - 25,000 (15,000) - 10,000
Energy vouchers - 60,000 (11,326) - 48,674
Local area partnership 2 3,066 - - - 3,066
Premises 5,000 - - - 5,000

37

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

19a Movements in funds (current year) (continued)

Total restricted funds
General funds
Total funds
Power Up
Tower Hamlets (continued)
Schools project
Video conferencing equipment
Tower Hamlets money smart
Restricted funds:
Office equipment
Royal London Hospital
Volunteer training
Unrestricted funds:
Total unrestricted funds
General funds
Employment solicitor
Empower You Too Energy
Designated funds
Pension deficit fund
The National Lottery Community
Fund - Covid-19 emergency
The National Lottery Community
Fund - Crisis, empowerment and
change
Kickstart
Specialist advice
Universal credit help to claim
Advice in health settings		 At 1 April
2021
£
-
-
11,301
7,671
1,946
-
1,140
3,889
9,395
663
11,041
1,944
-
1,372
1,768
305,475
At 1 April
2021
£
(386,490)
861,837
475,347
780,822
 Income
£
36,667
12,497
3,000
64,567
23,244
23,159
-
1,140
22,606
52,500
8,830
3,625
155,825
-
-
2,788,272
Income
£
-
324,918
324,918
3,113,190		 Expenditure
£
(36,667)
(12,497)
(15,876)
(56,545)
(27,329)
(41,687)
(456)
-
(16,785)
(35,517)
(9,804)
(11,751)
(155,825)
(246)
-
(2,627,348)
Expenditure
£
-
(260,649)
(260,649)
(2,887,997)		 Transfers
£
-
-
1,575
-
2,139
18,528
-
-
-
-
-
6,182
-
-
-
55,264
Transfers
£
20,761
(76,025)
(55,264)
-		 At 31 March
2022
£
-
-
-
15,693
-
-
684
5,029
15,216
17,646
10,067
-
-
1,126
1,768
521,663
At 31 March
2022
£
(365,729)
850,081
484,352
1,006,015

The narrative to explain the purpose of each fund for each of the years' to 31 March 2022 and 2021 is given at the foot of the prior year note 19b below.

38

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

19b Movements in funds (prior year)

Movements in funds (prior year)
At 1 April At 31 March
2020 Income Expenditure Transfers 2021
£ £ £ £ £
Restricted funds:
Hackney
Bureau advice services 40,156 330,150 (321,953) - 48,353
Advice in health settings 8,322 66,000 (63,012) - 11,310
Homerton Hospital 6,755 - - - 6,755
Covid-19 No recourse to public
funds 30,000 (30,536) 536 -
Energy vouchers - Hackney 54,000 (27,805) 275 26,470
Energy vouchers - All 3
boroughs 50,358 (50,645) 287 -
Advice services transitional fund 4,152 4,152
Discretionary crisis support
scheme 2,332 2,332
The National Lottery Community
Fund
43,333 (40,373) (2,960) -
Crisis 9,656 49,983 (61,329) 1,690 -
Big Energy Savings Network 52 12,500 (11,984) 568
Digital innovation - 15,000 (19,377) 4,377 -
Energy advice programme 514 13,560 (12,710) 1,364
Energy champion 119 - - - 119
Equipment - 19,368 (19,393) 25 -
EU Settled status - 22,449 (22,549) 100 -
EU Settled status outreach - 5,000 (5,579) 579 -
Gambling support service - 43,500 (44,311) 811 -
Money management - 8,072 (4,777) - 3,295
Power Up - 41,021 (45,151) 9,941 5,811
Universal credit help to claim - 114,661 (114,497) (164) -
Universal credit best practice
lead 802 39,648 (39,365) 1,085
Newham
The National Lottery Community
Fund
Covid-19 emergency - 21,667 (19,151) (2,516) -
Crisis 8,351 49,983 (43,453) (3,402) 11,479
Power Up 15 13,674 (7,311) (4,441) 1,937
Thames Water Trust Fund - 33,127 (33,620) 493 -
Trust for London 1,372 43,333 (35,241) 9,464
Universal credit help to claim - 115,445 (129,664) 14,219 -
Universal credit help to claim
phone and webchat - 119,460 (116,914) (2,547) (1)
Other - - 17,400 - 17,400
Tower Hamlets
Bureau advice services 38,160 925,352 (893,030) - 70,482
Council tax 7,350 36,967 (21,413) - 22,904
Local area partnership 2 3,066 - - - 3,066
Premises - 5,000 - - 5,000

39

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

19b
At 1 April
£
-
3,939
-
11,542
1,370
-
1,596
2,111
4,620
-
4,238
-
-
-
1,768
Total restricted funds
162,358
(271,703)
General funds
739,423
467,720
630,078
Designated funds
Movements in funds (prior year) (continued)
Empower You Too Energy
Office equipment
Video conferencing equipment
Power Up
Specialist advice
Tower Hamlets money smart
Covid-19 emergency
Covid-19 energency equipment
Tower Hamlets continued
Employment solicitor
Schools pilot
Crisis
The National Lottery Community
Fund
Royal London Hospital
General funds
Restricted funds:
Unrestricted funds:
Advice in health settings
Volunteer training
Universal credit help to claim
Pension deficit fund
Total funds
Total unrestricted funds		 Income
£
43,333
49,983
3,000
14,625
63,829
5,369
-
13,674
22,000
5,000
30,273
47,107
114,661
1,516
-
2,736,981
-
358,177
358,177
3,095,158		 Expenditure
£
(48,978)
(55,634)
(3,025)
(14,866)
(57,528)
(3,423)
(456)
(6,396)
(17,225)
(4,337)
(23,470)
(45,163)
(103,153)
(144)
-
(2,601,541)
(129,728)
(213,145)
(342,873)
(2,944,414)		 Transfers
£
5,645
1,712
25
-
-
-
-
(5,500)
-
-
-
-
(11,508)
-
-
7,677
14,941
(22,618)
(7,677)
-		 At 31 March
£
-
-
-
11,301
7,671
1,946
1,140
3,889
9,395
663
11,041
1,944
-
1,372
1,768
305,475
(386,490)
861,837
475,347
780,822

The narrative to explain the purpose of each fund is given at the foot of the note below.

Purpose of restricted funds

Hackney

Bureau advice services

This funding provides general information, advice, advocacy, casework and financial inclusion to the people of Hackney.

Advice in health settings

This project provides general advice in GP surgeries in Hackney and Tower Hamlets and in the mental health unit of Homerton Hospital.

40

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

19b Movements in funds (prior year) (continued)

Hackney (continued)

Homerton Hospital

This was a one year pilot project to provide support to cancer patients in Homerton Hospital so that they could be discharged from hospital more quickly. In 2019/20 funding was used to provide support to patients in the mental health unit. This project is now included in the advice in health settings project.

Covid-19 No recourse to public funds

This funding provided cash to people in need who had no recourse to public funds during the Covid-19 pandemic.

Energy voucher projects

These three projects provided energy vouchers to those in need who had prepaid gas and electricity meters, one project covered Hackney only, one project covered Tower Hamlets only, the other also covered residents in Newham.

Advice services transitional fund (ASTF)

EECABX partnership with the Hackney Community Law Centre to deliver advice training to the independent advice sector in Hackney.

Discretionary crisis support scheme

This project was funded by London Borough of Hackney for the Hackney bureau to assess and make applications for Crisis payments and also to apply for reviews and appeals if necessary.

Covid-19 emergency funding

This funding enabled us to increase support to clients during the Covid-19 pandemic in all three boroughs, via telephone and other digital means. This project operated across all three boroughs.

Crisis project

This project provides a holistic service to those in hardship crisis to resolve emergency problems and the underlying issues and to ensure that people are better able to improve their circumstances by providing digital and financial group training sessions and working with partner organisations to provide literacy, numeracy and language skills training, life coaching and employability training. This five year project operated across all three boroughs and finished at the end of June 2021.

Citizens Advice Big Energy Savings Network

This funding provides consumers with energy advice and information. It also provides training to frontline workers to support and advise consumers to be able to take action to reduce their energy costs.

Digital Innovation

This project is designed to develop and test ideas which will improve access to advice.

Energy advice programme

This project provides one to one advice to clients in fuel poverty, or in a fuel poverty risk group at the CAB offices, at outreach locations, via home visits or telephone and webchat sessions.

Energy Champion

This project is to raise awareness of energy efficiency programmes with consumers and working in collaboration with other Citizens Advice offices.

41

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

19b Movements in funds (prior year) (continued)

Hackney (continued)

EU Settled status outreach

This funding reached out to EU citizens to inform them, via outreach activities, what they needed to do to apply for settled status.

Gambling Support Services

The project delivers bespoke training and awareness-raising events to frontline staff in their region to promote improved identification and earl intervention for individuals at risk of gambling related harm via online training sessions and presentations.

HMRC digital inclusion

This project assists clients to access HMRC's digital services.

Kickstart

The Kickstart provided work opportunities for young people in our Hackney and Tower Hamlets offices as IT support workers and telephone assessors.

Money management service

This project provides advice on money management.

Power Up project

The project aims to embed digital into financial capability and money management support within the advice process and build upon the success of the Money Smart programme. The project trains Digital Money Coaches to support disadvantaged local resident on money management, debt and benefits advice to build their financial and digital confidence, and tests interventions at different touchpoints in the advice process.

Welfare benefits and debt advice project

This funding is provided by three local charities to extend our work on debt and welfare benefits.

Universal credit help to claim

The funding is to provide assistance with the completion of universal credit forms by telephone and web chat and face to face meetings where possible.

Universal credit best practice lead

The Best Practice Lead gathers information and evidence on what is and isn't working around Universal Credit and Universal Support and disseminates good practice in the East London area.

Newham

ARG Capital

This funding Is to assist with the renovation of new premises in Newham.

EU Settled status

This project was to assist Newham residents with applications for EU settled status.

Groundworks volunteer training

This fund is to provide structured training to volunteers.

Lyles Local Fund

This fund was to provide social welfare rights advice and casework and volunteer adviser training and supervision to support Newham residents.

Thames Water

The project aims to assist residents of Newham who owe money to Thames Water.

42

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

Newham (continued)

Trust for London

This funding is towards the costs of and employment rights advice service in Newham.

Other

This fund has been created from rent provisions previously charged to Newham projects following a decision by the landlord not to charge rent. It will be used in Newham to improve any new premises.

Tower Hamlets

Bureau advice services

This funding provides general information, advice, advocacy, casework and financial inclusion to the people of Tower Hamlets.

Covid-19 recovery

The Covid-19 recovery fund provides an extension of the core service.

Local area partnership 2

This funding provided general information, advice, advocacy, casework and financial inclusion to the people in some of the poorest wards in Tower Hamlets. This project is now included in the bureau advice services project.

Employment solicitor

This funding is to provide employment advice to those with little access to legal services in Tower Hamlets.

Council tax project

The council tax project is designed to assist Tower Hamlets residents who are in arrears with their council tax to reduce their debts.

Tower Hamlets money smart

This project delivers debt and financial inclusion advice to Tower Hamlets residents.

Empower you too project

This is a partnership project providing essential energy advice to people in vulnerable communities in Hackney, Newham and Tower Hamlets. It creates a community-led service to enable people to save money on energy bills and avoid fuel poverty.

Premises

The premises grant is to cover extra costs re Covid-19. Royal London Hospital

This funding is to provide general advice to the patients of the renal and urology units of the Royal London hospital.

Office equipment

This funding was used to purchase a photocopier for the Tower Hamlets office.

Schools pilot and project

This project provides general advice to carers of children in the primary school setting.

Specialist advice

This project delivered specialist advice and casework particularly in employment and debt.

43

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

Tower Hamlets (continued)

Video conferencing equipment

This funding was used to purchase video conferencing equipment to allow clients to access advice remotely from the Tower Hamlets office.

Volunteer training

The purpose of this funding was to provide volunteers with a better environment and experience by updating our training room and equipment and improving the outdoor space at the office.

Purpose of designated funds Pension deficit fund

The pension deficit fund was established to recognise, as a participant in a multi-employer defined benefit pension scheme with a deficit reduction payment arrangement in place, the liability representing the present value of these future deficit reduction contributions following the introduction of charities SORP (FRS102). The value of this fund is equal to the corresponding liability within creditors. A transfer was made from general funds to the pension deficit fund representing the current year payment of the pension deficit less the unwinding of the discount.

Purpose of transfers between funds

The transfers from unrestricted funds to restricted funds are to cover shortfalls of funding on the projects. Transfers between offices between the same project are to match internal funding needs.

Net income for the reporting period
(as per the statement of financial activities)
Depreciation charges
Dividends, interest and rent from investments
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Net cash provided by operating activities		 2022
£
225,193
1,667
(31)
(57,661)
(34,442)
134,726		 2021
£
150,744
1,189
(265)
35,410
256,715
443,793

21 Analysis of cash and cash equivalents

Cash at bank and in hand
Total cash and cash equivalents		 At 1 April
2021
£
1,483,790
1,483,790		 Cash flows
£
134,757
134,757		 Other
changes
£
-
-		 £
1,618,547
1,618,547
At 31 March
2022

44

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

22 Operating lease commitments

The charity's total future minimum lease payments under non-cancellable operating leases is as follows

2022
2021
£
£
30,563
82,258
30,563
82,258
23
Interest on short term deposits amounted to £31 (2021: £265).
Other creditors
Financial instruments
Accruals
Total
Cash of £1,618,547 (2021: £1,483,790) is held at face value.
Debt instruments measured at amortised cost:
Total
Financial liabilities
Property
Trade debtors
Grant and contract debtors
Financial assets
The carrying amounts of the charity's financial instruments are as follows:
Other debtors
Pension deficit reduction payments (within 1 year)
Pension deficit reduction payments (after 1 year)
Liability instruments measured at amortised cost:
Trade creditors
Less than five years		 2022
2021
£
£
-
-
-
-
2022
2021
£
£
93,312
42,756
58,023
64,305
2,185
-
153,520
107,061
2022
2021
£
£
28,169
17,386
57,080
59,512
93,901
63,599
28,500
28,500
337,229
357,990
544,879
526,987
Equipment

45

East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

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

The last full actuarial valuation of this scheme revealing a funding deficit of £68,501,000 was carried out as at 1 April 2019 and has been updated on an approximate basis to 31 March 2022 by a qualified actuary, independent of the scheme's sponsoring employers. The updated valuation showed a deficit on the scheme of £46,554,000 (2021 £62,062,000).

The liabilities of the Plan are based on the current value of expected benefit payment cashflows to members of the Plan over the next 60 or more years. The average duration of the liabilities is approximately 15 years. The Plan is exposed to actuarial risks such as market (investment) risk, interest rate risk, inflation risk, currency risk and longevity risk.

The closed scheme has current and future pensioners. The employers will continue to make contributions to the scheme in future periods. The best estimate of the contributions are:-

a) Contributions by each employer in respect of expenses

The principal employer, the National Association of Citizens Advice Bureaux, NACAB, has agreed to pay amounts equal to the levy payments to the Pension Protection Fund. NACAB has also agreed to pay the management and administration expenses of the scheme. There is therefore no cost to EECABx to include in the charity's accounts.

b) Contributions by each employer in respect of the deficit

In accordance with the recovery plan following the 1 April 2019 actuarial valuation, the sponsoring employers will pay total annual contributions of £2,279,000 for sixteen years from 1 April 2021. East End CAB's share of this is currently £28,500 per annum. Future valuations may change these amounts. The total liability for these future payments, discounted to new present value, is included on the charity's balance sheet and a charge made to the SOFA annually to unwind the discount in line with the charity's accounting policies.

  1. The charity participated in series three of the Pensions Trust Growth Plan, a scheme which has some attributes of a defined benefit scheme and some attributes of a defined contribution scheme. It is considered to be a defined benefit scheme. This has now been combined with the series four defined contribution scheme. Following a valuation at 30 September 2020 carried out by independent actuaries, it was estimated that the charity's share of the deficit in the plan at 30 September 2020 was £7,030 (2016 £12,624). This liability will only crystallise if the charity exits the series four plan and the charity does not anticipate this happening in the future. The charity is not required to participate in a recovery plan (make deficit reduction payments).

  2. The charity operates two further pension schemes, both of which are defined contribution schemes for which the charity therefore has no further commitment beyond monthly contributions for employed staff.

  3. 25 Capital commitments

At the balance sheet date, the charity had no capital commitments other than those disclosed in these financial statements.

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East End Citizens Advice Bureaux

Notes to the financial statements

For the year ended 31 March 2022

At the balance sheet date, the charity had no contingent assets or liabilities other than those disclosed in these financial statements.

The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1.

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