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2023-08-31-accounts

Registered number: 03773914 Charity number: 1088839

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

CONTENTS

Page
Reference and administrative details of the Charity, its Trustees and advisers 1
Trustees' report 2 - 10
Independent auditors' report on the financial statements 11 - 15
Statement of financial activities 16
Balance sheet 17 - 18
Notes to the financial statements 19 - 37

(A company limited by guarantee)

SKILLS AND EDUCATION GROUP ACCESS

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2023

Trustees A Birch (resigned 10 February 2023)
P Bloor
D Gray
Y Mellor
R Sami
R Webber-Jones (resigned 25 April 2023)
A G Stott (appointed 13 February 2023)
G Clipson MBE (appointed 13 February 2023)
Skills and Education Group
Company registered
number 03773914
Charity registered
number 1088839
Registered office Robins Wood House
Robins Wood Road
Nottingham
NG8 3NH
Company secretary A De'Ath (appointed December 2023)
S N Feneley-Lamb (resigned December 2023)
Key management Chief Executive: P A Eeles
Deputy Chief Executive: S A Forbes
Independent auditors Streets Audit LLP
Tower House
Lucy Tower Street
Lincoln
LN1 1XW
Bankers Natwest
536 Valley Road
Nottingham
NG5 1FL

Page 1

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2023

The Trustees present their annual report together with the audited financial statements of the Charity for the year 1 September 2022 to 31 August 2023. The annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

Since the Charity qualifies as small under section 382 of the Companies Act 2006, the strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.

Objectives and activities

a. Policies and objectives

The Charity provides a range of service in furtherance of its charitable objective to support “ the advancement of skills and education to improve the lives of individuals ”. These services include:

The Charity’s strategic aims adopted in support of these objectives are identified by an annual strategic planning process culminating in “Ambition 2025” setting out the strategy and direction of the Charity to August 2025. This is supported by an annual process which sets out clear strategic targets for in-year achievement. Plans are agreed and monitored by the Board of Trustees.

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance: 'Public benefit: running a charity (PB2)'.

Page 2

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

Achievements and performance

a. Main achievements of the Charity

Achievements and performance delivering public benefit:

The Charity is licensed by the Quality Assurance Agency (QAA) to validate, and quality assure Access to HE Diplomas. It continues to have a strong social purpose to recognise achievement, particularly for those who have benefitted least from their educational experiences. Through the work of the Charity it works to support the needs of individuals, providers, businesses, and communities by enabling progression into higher education through Access to HE Diplomas.

During 2022/23, the Charity has seen several positive factors, including growth in the number of customers, and an increase in the number of Diploma qualifications it validates. Work has included the development of a range of new online Access to HE Diplomas, which is now enabling the Charity to offer an alternative mode of delivery that complements the traditional classroom-based model and allows greater participation for adults who will benefit from wholly, flexible, remote courses.

Alongside development and growth, the Charity’s priority has been to deliver an excellent service to its customers. It listened to feedback and implemented a new awarding management system and further invested in Access to HE by building a new, highly skilled and developed team. To add to the successes of 2022/23, the Charity reported a significantly higher number of learners achieving their Diploma qualifications than the national average.

Success for Charity in 2022/23 looked like:

2023/24 is set to be an exciting year for the Charity as it looks to continue to grow its market share.

b. Fundraising standards information

The Charity does not carry out any significant fundraising activities.

Page 3

SKILLS AND EDUCATION GROUP ACCESS (A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

Financial review

a. Going concern

Trustees worked closely with the Senior Leadership Team to develop strategic and operational plans that support the sustained growth of the Charity. Such plans included the development of new products and services, and the identification of resources needed to support current and future planned developments.

Based on this work, Trustees have a continuing reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. Consequently, the Trustees continue to adopt the going concern basis of accounts in preparing the financial statements. Further details on the adoption of the going concern basis can be found in the accounting policies.

b. Reserves policy

It is the policy of the Charity that unrestricted funds which have not been designated for a specific purpose should be maintained at a level necessary to provide a contingency to support day-to-day business activities in the event of reduced income and provide a strategic fund to develop and grow the Charity. Trustees also wish to build reserves to fulfil a Group-wide objective to support social mobility.

In line with best practice guidance, Trustees review the reserves policy each year and confirm that this level of reserve has been maintained.

It is the Charity’s policy to work to building and maintaining reserves to:

Unrestricted funds at the end of the year were £669,601 (2022: £920,605) and free reserves which exclude fixed assets and are stated before the defined benefit pension liability are a deficit of £5,151 (2022: £265,854 surplus).

Trustees have included further disclosure in the going concern accounting policy which confirms the group support available to the charity.

Page 4

SKILLS AND EDUCATION GROUP ACCESS (A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

c. Principal risks and uncertainties

Trustees remain aware of the educational and political environment in which the Charity operates and recognise the challenges facing providers in the further education sector.

Key risks to the Charity are:

Trustees are satisfied that the systems and review processes are in place to mitigate and manage the risks. Strategic risks are managed and monitored through a risk register. The risk register is reviewed and updated by the Senior Leadership Team monthly and further reviewed by Trustees quarterly.

The risk register is rated on a weighted likelihood and impact scale based on Charity Commission Guidance.

d. Financial performance and position

The Charity remains in a financially healthy position and continues to meet its agreed financial targets.

The Charity achieved a deficit of £251,004 (2022: a surplus of £540,887).

Total income was £293,484 (2022: £372,428). Total expenditure was £444,488 (2022: £430,541). Salaries and associated costs remain the primary cost to the Charity.

Total net liabilities at 31 August 2023 were £5,151 compared with net assets of £265,854 at 31 August 2022. All funds are unrestricted.

Page 5

SKILLS AND EDUCATION GROUP ACCESS (A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

Structure, governance and management

a. Constitution

The organisation is a charitable company limited by guarantee, incorporated in 1999.

The company was set-up under a Memorandum of Association which established the objectives and powers of the charitable company and is governed under its Articles of Association. The Articles were most recently revised in July 2018 and reflect current structural and governance requirements.

Skills and Education Group Access is a controlled charity within the wider Skills and Education Group which includes:

The Skills and Education Group delivers its products and services through a brand structure that maintains and protects the profile and reputation of the Charity and its subsidiaries within its structure.

b. Methods of appointment or election of Trustees

The management of the Charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Memorandum of Association.

There was one change to the Board during the year:

Trustees are recruited in accordance with the Articles of Association adopted on the 2 July 2018.

All newly appointed Trustees complete a skills audit to ensure a balance of skills, knowledge, and experiences to support the development of the Charity. Trustee recruitment reflects ongoing and future skills and knowledge needs.

Page 6

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

Structure, governance and management (continued)

c. Organisational structure and decision-making policies

The Board of Trustees meets four times a year. Trustees:

The Chairs and Chief Executive meet four times a year, which enables the Chairs to have a collective and strategic oversight of the Charity. The Chairs of the charities Skills and Education Group, Skills and Education Group Awards and BIIAB Qualifications Limited are members of this Group.

The Group meets ahead of quarterly Board of Trustees meetings and provides a structure for the Chairs to review and monitor:

The Chief Executive is a Trustee of the Skills and Education Group, an appointment made under article 20 of the Skills and Education Group Articles.

Day-to-day management of the Charity is delegated to the Chief Executive, Paul Eeles, who is supported by Scott Forbes, as Deputy Chief Executive.

The Executive is supported by a Senior Leadership Team (SLT), who support the Chief Executive and Deputy Chief Executive with operational and strategic matters. The Senior Leadership Team comprises of:

The Senior Leadership Team meets on a weekly basis, with an extended monthly meeting which focuses on overall Group strategy, finance, and HR matters.

A Senior Management Team (SMT) in addition to SLT meets monthly focusing on operational and departmental matters across the Group. The SMT is chaired by the Deputy Chief Executive and comprises of all SLT members, and Heads of services and functions from across the Skills and Education Group.

In addition to SMT, a monthly Scrutiny Group is held. This meeting is attended by the Executive and SLT. The meeting is chaired by the Deputy Chief Executive and is used to formerly review regulatory needs across all awarding functions within the Group.

Page 7

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

Structure, governance and management (continued)

The Deputy Chief Executive acts as the Data Protection Officer for the Charity and is supported by members of the Senior Leadership Team.

d. Policies adopted for the induction and training of Trustees

Newly appointed Trustees receive an induction under the direction of the Chief Executive. This normally includes an introductory visit to Robins Wood House where there is an opportunity to meet with key staff to gain a detailed understanding of the Charity and the subsidiaries within this.

Trustees also complete a declaration of interest record and skills audit on appointment. Declarations are noted on the Register which is reviewed and updated on an annual basis. Trustees are also asked to state any interests at the start of each Board meeting.

e. Pay policy for key management personnel

Remuneration for the Chief Executive is determined by the Chairs of the Skills and Education Group and subsidiaries. The Chief Executive determines the remuneration for all staff, including the Deputy Chief Executive and Senior Leadership Team.

All annual cost of living pay awards for staff are subject to recommendation to and approval of the Board of Trustees.

f. Financial risk management

The Trustees have assessed the major risks to which the Charity are exposed, those related to the operations and finances of the Charity and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.

g. Risk management

Trustees remain aware of the educational and political environment in which the Charity operates and recognise, in particular, the challenges facing providers in the further education sector.

Key risks to the Charity are:

Trustees are satisfied that the systems and review process are in place to mitigate and manage the risks. Strategic risks are managed and monitored through risk registers; one for each of the charities within the charitable group. Risk registers are reviewed and updated by the Executive Leadership Team on a quarterly basis prior to a review by Trustees.

Risk registers are rated on a weighted likelihood and impact scale based on Charity Commission guidance.

Page 8

SKILLS AND EDUCATION GROUP ACCESS (A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

Plans for future periods

Trustees continue to support “Ambition 2025”, challenging assumptions and using their skills and knowledge to define objectives and associated targets. Ambition 2025 is a strategic plan that articulates ten key priorities that will take the Charity forward. This redefined the Charity’s purpose, mission, and vision to reflect the expanded Group and the services that this now provides:

Purpose:

  1. To support the development and delivery of further education and skills providers and their staff

  2. Champion and support the social impact of the further education and skills sector

  3. To develop and award industry relevant, high-quality qualifications, accreditations and end-point assessments

  4. To be a national leader in Access to HE, awarding high quality Access to HE Diplomas that enable earners to progress into further study and/or employment.

Mission:

The advancement of skills and education to improve the lives of individuals.

Vision:

To provide high-quality services centred on collaboration, responsiveness, and diversity, supporting our members and customers to positively impact on the learners, communities, and sectors they serve to achieve their full potential, no matter what their age, background, or ability.

The plans set annual key performance indicators in the context of a longer-term objectives:

2022/23 has seen further progress towards achieving Ambition 2025. 2023/24 will build on these successes, and with the support of Trustees the Executive and Senior Leadership Team will work towards creating a new three-year strategy to 2027.

Members' liability

The Members of the Charity guarantee to contribute an amount not exceeding £1 to the assets of the Charity in the event of winding up.

Page 9

SKILLS AND EDUCATION GROUP ACCESS (A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

Statement of Trustees' responsibilities

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

Company law requires the 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 Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

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

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:

Approved by order of the members of the board of Trustees on 2 May 2024 and signed on their behalf by:

................................................ Y Mellor (Chair of Trustees)

Page 10

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SKILLS AND EDUCATION GROUP ACCESS

Opinion

We have audited the financial statements of Skills and Education Group Access (the 'charity') for the year ended 31 August 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Page 11

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SKILLS AND EDUCATION GROUP ACCESS (CONTINUED)

Other information

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

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

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

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

Page 12

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SKILLS AND EDUCATION GROUP ACCESS (CONTINUED)

Responsibilities of trustees

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

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

Page 13

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SKILLS AND EDUCATION GROUP ACCESS (CONTINUED)

Auditors' responsibilities for the audit of the financial statements

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

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

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

Page 14

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SKILLS AND EDUCATION GROUP ACCESS (CONTINUED)

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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

Use of our report

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

Robert Anderson BSc FCA (senior statutory auditor)

for and on behalf of Streets Audit LLP Tower House Lucy Tower Street Lincoln LN1 1XW

Date: 28 May 2024

Page 15

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2023

Note
Income from:
Charitable activities
3
Investments
4
Other income
5
Total income
Expenditure on:
Charitable activities
6
Total expenditure
Net movement in funds before other recognised
gains/(losses)
Other recognised gains/(losses):
Derecognition of pension asset
Actuarial gains of defined benefit pension schemes
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2023
£
264,980
743
27,761
293,484
444,488
444,488
(151,004)
70,000
(170,000)
(251,004)
920,605
(251,004)
669,601		 Total
funds
2023
£
264,980
743
27,761
293,484
444,488
444,488
(151,004)
70,000
(170,000)
(251,004)
920,605
(251,004)
669,601		 Total
funds
2022
£
353,788
45
18,595
372,428
430,541
430,541
(58,113)
(70,000)
669,000
540,887
379,718
540,887
920,605

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

The notes on pages 19 to 37 form part of these financial statements.

Page 16

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee) REGISTERED NUMBER: 03773914

BALANCE SHEET AS AT 31 AUGUST 2023

Note
Fixed assets
Intangible assets
11
Tangible assets
12
Current assets
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due within one
year
14
Net current liabilities / assets
Total assets less current liabilities
Net assets excluding pension liability /
asset
Defined benefit pension scheme liability /
asset
18
Total net assets		 60,493
86,164
146,657
(151,808)		 2023
£
164,109
607,643
771,752
(5,151)
766,601
766,601
(97,000)
669,601		 128,729
172,153
300,882
(35,028)		 2022
£
30,602
624,149
654,751
265,854
920,605
920,605
-
920,605

Page 17

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee) REGISTERED NUMBER: 03773914

BALANCE SHEET (CONTINUED) AS AT 31 AUGUST 2023

2023 2022
Note £ £
Charity funds
Restricted funds 15 - -
Unrestricted funds
General funds 15 669,601 920,605
Total unrestricted funds 15 669,601 920,605
Total funds 669,601 920,605

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

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

The financial statements were approved and authorized for issue by the Trustees on 2 May 2024 and signed on their behalf by:

................................................

Y Mellor

(Chair of Trustees)

The notes on pages 19 to 37 form part of these financial statements.

Page 18

SKILLS AND EDUCATION GROUP ACCESS (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

1. General information

The Charity is a company limited by guarantee, incorporated in England and Wales, and consequently does not have share capital. It's aim is the advancement of the education and training of young people and adults primarily through the provision of nationally recognised qualifications.

2. Accounting policies

2.1 Basis of preparation of financial statements

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

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

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

2.2 Going concern

At the year end, the balance sheets shows net current liabilities of £5,151.

The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient for the charity to be able to continue as a going concern. Therefore these financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist.

Trustees have confirmed that continued financial support will be provided by the parent charity, Skills and Education Group.

2.3 Income

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

Page 19

SKILLS AND EDUCATION GROUP ACCESS (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

2. Accounting policies (continued)

2.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

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

All expenditure is inclusive of irrecoverable VAT.

2.5 Research and development

Development costs are capitalised within intangible assets where they can be identified with a specific product or project anticipated to produce future benefits, and are amortised on the straight line basis over the anticipated life of the benefits arising from the completed product or project.

Deferred research and development costs are reviewed annually, and where future benefits are deemed to have ceased or to be in doubt, the balance of any related research and development is written off to the statement of financial activities.

2.6 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.7 Intangible assets and amortisation

Intangible assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Amortisation is provided on intangible assets at rates calculated to write off the cost of each asset on a straight-line basis over its expected useful life.

Amortisation is provided on the following bases:

Development expenditure - 20 % straight line Website - 20 % straight line

Page 20

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

2. Accounting policies (continued)

2.8 Tangible fixed assets and depreciation

Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Long-term leasehold property - 2% straight line
Fixtures and fittings - 10% straight line
Office equipment - 25% straight line

2.9 Debtors

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

2.10 Cash at bank and in hand

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

2.11 Liabilities

Liabilities and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the statement of financial activities as a finance cost.

Page 21

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

2. Accounting policies (continued)

2.12 Pensions

The charitable company contributes to the West Yorkshire Pension Scheme (WYPS), a defined benefit scheme, at rates set by the scheme's actuaries. The charity accounts for the scheme as a defined benefit scheme in accordance with Charities SORP (FRS 102).

The charity also contributes in respect of certain employees to the Teacher's Pension Scheme (TPS), a statutory, contributory, final salary scheme. The TPS is unable to identify the charity's share of the underlying assets and liabilities on a consistent or reasonable basis, and accodingly the charity accounts for its contributions to the scheme in accordance with Charities SORP (FRS 102) as if it were a defined contribution scheme.

2.13 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.

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

3. Income from charitable activities

Learner recognition
HE recognition
Total 2022		 Unrestricted
funds
2023
£
12,700
252,280
264,980
353,788		 Total
funds
2023
£
12,700
252,280
264,980
353,788		 Total
funds
2022
£
20,480
333,308
353,788

Page 22

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

4. Investment income

Investment income
Total 2022
Other incoming resources
Lettings and other income
Total 2022		 Unrestricted
funds
2023
£
743
45
Unrestricted
funds
2023
£
27,761
18,595		 Total
funds
2023
£
743
45
Total
funds
2023
£
27,761
18,595		 Total
funds
2022
£
45
Total
funds
2022
£
18,595

5. Other incoming resources

6. Analysis of expenditure on charitable activities

Summary by fund type

Learner recognition
HE recognition
Total 2022		 Unrestricted
funds
2023
£
125,183
319,305
444,488
430,541		 Total
2023
£
125,183
319,305
444,488
430,541		 Total
2022
£
79,834
350,707
430,541

Page 23

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

7. Analysis of expenditure by activities

Learner recognition
HE recognition
Total 2022
Analysis of direct costs		 Activities
undertaken
directly
2023
£
111,029
98,666
209,695
142,333		 Support
costs
2023
£
14,154
220,639
234,793
288,208		 Total
funds
2023
£
125,183
319,305
444,488
430,541		 Total
funds
2022
£
79,834
350,707
430,541
Staff costs
Moderator and examiner costs
QAA registration
Foundation activities
Total 2022		 Learner
recognition
2023
£
100,706
-
-
10,323
111,029
63,062		 HE
recognition
2023
£
-
65,356
33,310
-
98,666
79,271		 Total
funds
2023
£
100,706
65,356
33,310
10,323
209,695
142,333		 Total
funds
2022
£
63,062
51,690
27,581
-
142,333

Page 24

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

7. Analysis of expenditure by activities (continued)

Analysis of support costs

Pension finance costs
Depreciation
Bad debt
Other staff costs
Administration
Communications and marketing
Premises
ICT costs
Professional fees
Bank charges
Irrecoverable VAT
Governance costs
Central recharges
Total 2022		 Learner
recognition
2023
£
-
2,127
-
678
238
333
1,091
1,232
1,050
25
(11)
(110)
7,501
14,154
16,772		 HE
recognition
2023
£
(3,000)
35,051
-
10,628
3,737
5,217
17,092
19,301
16,448
396
(170)
(1,576)
117,515
220,639
271,436		 Total
funds
2023
£
(3,000)
37,178
-
11,306
3,975
5,550
18,183
20,533
17,498
421
(181)
(1,686)
125,016
234,793
288,208		 Total
funds
2022
£
10,000
26,676
(726)
708
5,059
-
17,704
6,031
7,806
429
3,495
5,904
205,122
288,208

Support costs have been allocated based on a percentage of income basis.

8. Auditors' remuneration

The auditors' remuneration amounts to an auditor fee of £3,500 ( 2022 - £3,500 ).

Page 25

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

9. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes		 2023
£
67,832
7,367
22,507
97,706		 2022
£
40,271
5,441
27,350
73,062

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

2023 2022
No. No.
Administrative stafff 3 3

No employee received remuneration amounting to more than £60,000 in either year.

Key management personnel are remunerated through the parent charity.

During the year, no redundancy payments were made.

10. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2022 - £NIL) .

During the year ended 31 August 2023, expenses totalling £ 146 were reimbursed or paid directly to 3 Trustees (2022 - £85 to 1 Trustee), in relation to travel and accomodation.

Page 26

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

11. Intangible assets

Cost
At 1 September 2022
Additions
At 31 August 2023
Amortisation
At 1 September 2022
Charge for the year
At 31 August 2023
Net book value
At 31 August 2023
At 31 August 2022		 Developm't
£
14,361
139,275
153,636
2,009
9,698
11,707
141,929
12,352		 Website
£
35,503
13,156
48,659
17,253
9,226
26,479
22,180
18,250		 Total
£
49,864
152,431
202,295
19,262
18,924
38,186
164,109
30,602

Page 27

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

12. Tangible fixed assets

Cost
At 1 September 2022
At 31 August 2023
Depreciation
At 1 September 2022
Charge for the year
At 31 August 2023
Net book value
At 31 August 2023
At 31 August 2022
Debtors
Due within one year
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income		 Long-term
leasehold
property
£
1,325,916
1,325,916
702,136
16,450
718,586
607,330
623,780		 Fixtures and
fittings
£
25,732
25,732
25,363
56
25,419
313
369		 Office
equipment
£
44,425		 Total
£
1,396,073
44,425 1,396,073
44,425
-		 771,924
16,506
44,425 788,430
- 607,643
- 624,149
2023
£
12,202
2,069
338
45,884
60,493		 2022
£
77,511
8,156
-
43,062
128,729

13. Debtors

Page 28

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

14. Creditors: Amounts falling due within one year

Trade creditors
Amounts owed to group undertakings
Other taxation and social security
Pension fund loan payable
Other creditors
Accruals and deferred income		 2023
£
135,464
3,876
9,956
499
750
1,263
151,808		 2022
£
12,689
4,775
3,854
1,261
750
11,699
35,028

Page 29

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

15. Statement of funds

Statement of funds - current year

Balance at 1
September
2022
£
Unrestricted funds
General funds
920,605
Pension reserve
-
920,605
Statement of funds - prior year
Balance at
1 September
2021
£
Unrestricted funds
General funds
979,718
Pension reserve
(600,000)
379,718		 Income
£
293,484
-
293,484
Income
£
372,428
(70,000)
302,428		 Expenditure
£
(447,488)
3,000
(444,488)
Expenditure
£
(431,541)
1,000
(430,541)		 Gains/
(Losses)
£
-
(100,000)
(100,000)
Gains/
(Losses)
£
-
669,000
669,000		 Balance at
31 August
2023
£
766,601
(97,000)
669,601
Balance at
31 August
2022
£
920,605
-
920,605

Page 30

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

16. Summary of funds

Summary of funds - current year

General funds
Summary of funds - prior year
General funds		 Balance at 1
September
2022
£
920,605

Balance at
1 September
2021
£
379,718		 Income
£
293,484
Income
£
302,428		 Expenditure
£
(444,488)
Expenditure
£
(430,541)		 Gains/
(Losses)
£
(100,000)
Gains/
(Losses)
£
669,000		 Balance at
31 August
2023
£
669,601
Balance at
31 August
2022
£
920,605

17. Analysis of net assets between funds

Analysis of net assets between funds - current year

Tangible fixed assets
Intangible fixed assets
Current assets
Creditors due within one year
Provisions for liabilities and charges
Total		 Unrestricted
funds
2023
£
607,643
164,109
146,657
(151,808)
(97,000)
669,601		 Total
funds
2023
£
607,643
164,109
146,657
(151,808)
(97,000)
669,601

Page 31

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

17. Analysis of net assets between funds (continued)

Tangible fixed assets
Intangible fixed assets
Current assets
Creditors due within one year
Ttl		 Unrestricted
funds
2022
£
624,149
30,602
300,882
(35,028)
920,605		 Total
funds
2022
£
624,149
30,602
300,882
(35,028)
920,605

Total

Page 32

SKILLS AND EDUCATION GROUP ACCESS (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

18. Pension commitments

The Charity contributes to defined benefit pesion schemes on behalf of those employees who remain auto-enrolled who are not members of either the West Yorkshire Pension Fund or the Teacher's Pension Scheme, which are defined benefit arrangements.

Teachers' Pension Scheme

The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers' Pension Scheme Regulations 2014. Membership is automatic for full-time teachers in academies. All teachers have the option to opt-out of the TPS following enrolment. The TPS is an unfunded scheme to which both the member and employer makes contributions, as a percentage of salary - these contributions are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

Valuation of the Teachers' Pension Scheme

The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury every 4 years. The aim of the review is to specify the level of future contributions.

Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2016. The valuation report was published by the Department for Education on 5 March 2019. The key elements of the valuation and subsequent consultation are:

The next valuation result is due to be implemented from 1 April 2023.

A copy of the valuation report and supporting documentation is on the Teachers' Pensions website (https://www.teacherspensions.co.uk/news/employers/2019/04/teachers-pensions-valuation-report.aspx).

Under the definitions set out in FRS 102, the TPS is an unfunded multi-employer pension scheme. The Academy has accounted for its contributions to the scheme as if it were a defined contribution scheme. The Academy has set out above the information available on the scheme.

West Yorkshire Pension Fund

The charity participates in the West Yorkshire Fund (WYPF) which is a multi-employer defined benefit scheme.

Page 33

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

18. Pension commitments (continued)

The date of the most recent comprehensive acturial valuation was 31 March 2019. The last full acturial valuation of this scheme by a qualified, independent actuary as at 31 March 2019 was updated on an approximate basis to 31 August 2023.

Contributions were paid at rates of 6.5% to 8.5% for employees throughout the year. Employer's contributions were 45% in the year to 31 August 2023 (year to 31 August 2022 - 45%).

Principal acturial assumptions at the balance sheet date (expressed as weighted averages):

Key assumptions
Discount rate
Future salary increases
Future pension increases
CPI inflation
Mortality rates (in years)
Males retiring today
Males retiring in 20 years
Females retiring today
Females retiring in 20 years
Sensitivity analysis
Discount rate + 0.1%
Discount rate - 0.1%
Mortality assumption - 1 year increase
Mortality assumption - 1 year decrease		 2023
%
5
4
3
3
2023
Years
21
22
24
25
2023
£
19,000
(20,000)
(54,000)
48,000		 2022
%
4
4
3
3
2022
Years
22
23
25
26
2022
£
25,000
(25,000)
(51,000)
51,000

The pension scheme surplus/deficit is based on the actuarial assumptions used as at the 31 August 2023. These can and do change after the year end. The above senistivity analysis shows how the position stated can change significantly based on changes to the actuarial assumptions. A change in the markets is likely to result in an increased pension scheme deficit by the next year end. Post year end valuations could be obtained to provide an indication, however it is considered that the cost would outweigh the benefit to the users of the accounts, and would not be value for money.

Page 34

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

Asset allocation
Equities
Property
Government bonds
Corporate bonds
Cash and other liquid assets
Other		 2023
£
2022
£
1,493,064
1,472,000
61,512
72,000
134,208
118,000
83,880
79,000
57,784
74,000
33,552
28,000
1,864,000
1,843,000

The actual return on scheme assets was £75,000 (2022 - £32,000).

The amounts recognised in the statement of financial activities are as follows:

Total amount recognised in the Statement of financial acitivites
Current service cost
Interest cost
Derecognise pension surplus		 2023
£
2022
£
5,000
10,000
(3,000)
10,000
(70,000)
70,000
(68,000)
90,000

At 31 August 2022, the present value of the defined benefit obligation at the reporting date was valued at less than the fair value of plan assets and therefore the plan has a surplus. In accordance with FRS 102, an entity shall recognise a plan surplus as a defined benefit plan asset only to the extent that it is able to recover the surplus either through reduced contributions in the future or through refunds from the plan. On the basis that the separate triennial valuation is used to calculate future contribution rates on a different valuation basis, there is no realistic expectation that the surplus will be realised or will provide future economic benefit to the trust. As a result the pension asset has not been recognised in the balance sheet of the financial statements. The asset and liability movements as included in the FRS 102 valuation report has been disclosed below for transparency.

At 31 August 2023, the present value of the defined benefit obligation was valued higher than the fair value of plan assets, and therefore the plan has a liability at the reporting date.

The last member of the scheme has now ceased. Discussions have commenced with West Yorkshire Pension Fund with regards to the potential buyout value. The current value cannot at present be reliably estimated.

Page 35

SKILLS AND EDUCATION GROUP ACCESS

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

Changes to the defined benefit obligation
Opening defined benefit obligation
Interest cost
Contributions by scheme participants
Acturial losses/(gains)
Benefits paid
Current service cost
Changes to the fair value of assets
Opening fair value of scheme assets
Interest income
Acturial gains/(losses)
Contributions by employer
Contributions by scheme participants
Benefits paid		 2023
£
1,773,000
72,000
1,000
117,000
(104,000)
5,000
1,864,000
2023
£
1,843,000
75,000
(53,000)
5,000
1,000
(104,000)
1,767,000		 2022
£
2,530,000
42,000
1,000
(669,000)
(141,000)
10,000
1,773,000
2022
£
1,930,000
32,000
-
21,000
1,000
(141,000)
1,843,000

Page 36

SKILLS AND EDUCATION GROUP ACCESS (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

19. Related party transactions

During the year the charity was recharged wages and other costs from its parent, totalling £125,016 (2022: £209,147), and made payments to its parent totalling £9,263 (2022: £205,122). At the year end an amount of £3,876 (2022: £4,185) was owed to Skills and Education Group.

Skills and Education Group Awards, a subsidiary of the parent company Skills and Education Group, was recharged costs of £6,088 (2022: £8,156) and payments were made to this charity of £Nil (2022: £Nil). At the year end a balance of £2,069 (2020: £8,156) was owed from Skills and Education Group Awards.

BIIAB Qualifications Limited, a subsidiary of the parent company Skills and Education Group recharged costs of £1,233 to the charity (2022: £590) and payments were made to this company of £1,823 (2022: £Nil). At the year end a balance of £Nil (2022: £590) was owed to the company.

A Birch, a trustee, is also Head of Higher Education at RNN Group. During the year income of £26,963 (2022: £34,90) was received from the College for the provision of charitable services. There were amounts outstanding at the year end of £281 owed to RNN Group (2022: £33,469 owed to the charity).

R Webber-Jones, a trustee until 25 April 2023, is also Vice Principal of The Sheffield College. During the year income of £40,600 (2022: £45,940) was received from the College for the provision of charitable services. There were amounts outstanding at the year end of £Nil (2022: £26,035).

R Sami, a trustee, was also Director of Quality at Solihull College during the year. During the year income of £21,165 (2022: £26,650) was received from the College for the provision of charitable services. There were amounts outstanding at the year end of £925 (2022: £100).

D Gray, a trustee, was also Chief Executive at Hull College during the year. During the year income of £17,520 was received from the College for the provision of charitable services. There were amounts outstanding at the year end of £Nil.

20. Controlling party

The charity is managed and controlled by its immediate and ultimate parent Skills and Education Group, which is a registered charity (number 1004087) and a company limited by guarantee incorporated in England and Wales (company number 02640936).

The most senior parent entity producing publicly available consolidated financial statements is Skills and Education Group. These financial statements are available upon request from Skills and Education Group, Robins Wood House, Robins Wood Road, Aspley, Nottingham, Nottinghamshire, NG8 3NH.

Page 37