Company number: 3970365 Charity number: 1090745 

## ICA:UK 

Report and financial statements For the year ended 30[th] June 2022 



## ICA:UK 

## Reference and administrative information 

for the year ended 30[th] June 2022 

**Company number** 3970365 **Charity number** 1090745 **Registered office and operational address** 41 Old Birley Street, Manchester, M15 5RF **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: 

Barry Winchester Chair (stood down as Chair of Trustees 21/02/2022, resigned as Trustee 3 Aug 2022) Andy Daw Interim Chair from 8 Aug 2022 Barbara Ridhiwani Treasurer Savita Willmott (resigned 19 Apr 2022) Derek McAuley Andrew McLaughlin Appointed 10 Nov 2022 Haiying Liu (aka Kate) Appointed 10 Nov 2022 Olugbenga Folayan Appointed 10 Nov 2022 Belinda Kaur Sidhu Appointed 10 Nov 2022 Joyce Matthews Appointed 10 Nov 2022, resigned 10 January 2023 

**Key management** Maria Franchi Director **personnel** Clare Vermes Administrator Alice Blackwell ToP Training Coordinator **Bankers** Unity Trust Bank Nine Brindleyplace, Birmingham, B1 2HB **Independent** Christy Lau FCCA CTA DChA, Slade & Cooper Limited **Examiner** Beehive Mill, Jersey Street, Ancoats Manchester, M4 6JG 

1 



## ICA:UK 

## Trustees’ annual report 

## for the year ended 30[th] June 2022 

The trustees present their report and the unaudited financial statements for the year ended 30[th] June 2022. Included within the trustees’ report is the directors’ report as required by company law. 

Reference and administrative information set out on page 1 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. 

## **Objectives and activities** 

Our charitable objects are: 

1. advancing the education of the public in the UK and in any part of the world in matters relating to the relief of poverty and distress; and 

2. the relief of need, hardship and distress in any part of the world; and 

3. advancing the education of the public in the United Kingdom and in any part of the world, but without limitation to the generality of the foregoing, in effective communication and facilitation skills and participatory methods to enable individuals to participate more effectively in societies, communities and organisations. 

In line with these objectives, ICA:UK works nationally and internationally with individuals, communities and organisations to engender a culture of participation. 

## For us, **a culture of participation** is characterised by: 

- 

- 

- 

- People’s voices being heard, differences in people and ideas being both respected and valued, meaningful conversations being held, and plans being informed by different perspectives and owned more widely. Rights are upheld, teamwork is valued _._ 

- Informed choice of the appropriate level of participation in any given situation 

- The concept being applied at different levels- whether it is the team leader looking to build their team, the chief executive seeking to improve workplace wellbeing, the local authority wanting more meaningful involvement of the community or service users, the membership director wanting to engage with their members more effectively 

In order to maximise ICA:UK’s contribution to developing and sustaining a culture of participation we focus our activities on: 

- a) Reflecting and practicing our values (see box below) in our structure and our work 

- b) Designing and delivering training to develop skills and knowledge for effective use of facilitation methods and skills 

- c) Informing and encouraging the behaviours and attitudes which recognise and value participation amongst the wider public 

- d) Working in partnership with others to promote participatory practice into new geographical areas, to deliver new products, to adapt and apply effective methods into different sectors of work 

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## ICA:UK 

## Trustees’ annual report 

## for the year ended 30[th] June 2022 

## **ICA:UK’s values** 

_**Shared responsibility**_ - by fostering individual and collective responsibility, trust and honesty to create a sense of belonging 

_**Constant learning**_ - by asking questions of ourselves and of others 

_**Wholeness**_ - by respecting the diversity and uniqueness of individuals and communities, encompassing mind, body and spirit 

_**Making a difference**_ - by making a contribution as part of our individual life journeys and enabling others to do the same 

_**A global perspective**_ -by maintaining a global and historical perspective to provide a context for our actions at the local, national and international levels 

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. 

## **Achievements and performance** 

Beginning from July 2021, we invested in the development of a new 3 year Strategic Plan, drawing on the participation of all Staff, Trustees and Associates / Trainers. The last significant strategy work had been done in February 2017 and it was also important for us to work on this with our new Director who came into post in April 2021. We also appreciated the opportunity to come together and recognise the courage shown to overcome the challenges of the pandemic which could have threatened our long-term survival and sustainability. We wanted to consolidate the learning and changes that the period of COVID had brought as well as refocus our activities to meet new needs and circumstances. 

The core activity of the organisation, and its main source of income, remained training and consultancy work with public, private and voluntary sector clients and individuals, focussing primarily on facilitation skills and methods for improving participation in decision-making and planning. The Technology of Participation (ToP) training programme was at the heart of this work but we also ran some new courses designed by some of our Trainers for facilitating Online and Hybrid (combined online and face to face) events. 

In April ‘22 we said farewell and a big thankyou to Savita Willmott who was a Trustee of ICA:UK from 2005 to 2014 and again 2016 to 2022. 

At the end of June ‘22, we were very pleased to celebrate the success of our first face to face Group Facilitation Methods course post pandemic, held in London at the NCVO premises. During the financial year we also ran seven Online GFM public courses using the methodology developed the previous year, as well as three other online public courses. 

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## ICA:UK 

## Trustees’ annual report 

## for the year ended 30[th] June 2022 

Our international work has contracted in 2021/22 financial year but has more recently begun to expand a little through a partnership with ICA International and ICA:Kenya. 

## **Beneficiaries of our services** 

Over this financial year ICA:UK has benefitted 3 different groups of people: 

a) There were 266 people who attended our main courses (145 public and 121 In-house). We receive consistently high scores in feedback, with participants stating how they have benefitted from the training with increased facilitation skills, greater confidence in working with others, and practical tools for helping them solve issues they face in their work. 

b) This year we were also able to reach 51 people through the short, free or low-cost sessions we offered online. We ran fewer of these than the previous year due to focussing on courses that earn money, and are endeavouring to find the right balance for the future as free online sessions are a good way of making new connections and exciting more people about participation methods. 

c) ICA:UK has an ongoing programme of developing its network of Associates (approx 14 people) who benefit from income-generating opportunities, from opportunities for professional development, from being part of a community of practice and being able to learn and share with each other. This in turn enables them to spread good practice in facilitation and participation to their own clients. 

Our partnership working with African partner organisations was very limited in financial year 2021/22, following the ending of the recent DFID/FCDO grant. We intend to renew this type of work in future and were pleased to support an African ICAs conference in October 2022. 

## **Financial review** 

ICA:UK’s financial position deteriorated for a second year running during 2021/22, with reserves dropping from £45,455 at end June 2021 to £33,231 at end of June 2022. However, the closing reserves were still sufficient for the 2021/22 financial year. Cash holdings had been at or over £50k for several years, so it was also disappointing to see cash at the end of June 2022 down to only £33k as the reserves and cash changes indicate the organisation’s many years of financial stability had been significantly impacted during the pandemic. The low point for cash came half way through the financial year, around December 2021 and Trustees saw the need from September to take significant action to avoid serious trouble. This then led to a recovery that has since been sustained, although it may be some time before reserves are as robust as in 2019 once again. 

There was a significant drop in income, from £166.6k in 2020/21 to £118.0k in 2021/22. The drop included a £25k reduction in fee income from courses and in-house facilitation and training. Secondly there was a £17k drop in grant funding because the 2-year restricted grant funding from the UK government DFID (later renamed FCDO) came to an end during 20/21. This grant was for our work with the Safe Neighbourhood Foundation in Uganda. ICA:UK has managed a number of grants for DFID with African partners in the past. Unfortunately, the outlook for similar grants in the next few years remains poor. Thirdly we received £6k from Manchester City Council in regards the pandemic in 2020/21 (£10k 19/20) and that 2-year source of funds came to an end. We are very grateful for the City Council’s support. Following market research we have raised our charges to those course participants and in-house clients who have greater resources, by implementing a 3-tier charging policy on our website from February 2022. There are now low, standard and higher course fees based on individual income / organisation size. We will monitor as far as we can how this may affect bookings. 

4 



## ICA:UK 

## Trustees’ annual report 

## for the year ended 30[th] June 2022 

Fortunately, expenditure also dropped significantly, from £177k in 2020/21 to £130k in 2021/22. Some of this (£17k) was due to grant spending having stopped, but the biggest change (£37k) was a reduction in Associate Fees, particularly during the second half of the year. During 2020 several of our Associates were paid to develop new curriculum for online group facilitation skills, which was a one-off necessary investment. The Associate fee rate had also been raised for courses delivered online compared to prepandemic face-to-face courses, and after a while this new rate was found to be unsustainable so a revised remuneration arrangement was implemented from January 2022. Staff costs were lower in 2021/22 than the previous year by £5.5k as a member of the staff team needed to take several months unpaid leave. Trustees stepped in to cover essential tasks resulting from this. Travel and Subsistence expenses rose in 2021/22, as travelling was possible once more, but remained below pre-pandemic level. Governance costs were higher by £7.5k in 2021/22 reflecting the decision to undertake our strategic planning process with an outside facilitator, so that all involved with ICA could take a full part in the discussions. 

## **Reserves policy** 

The Trustees regard the equivalent of 4 months of operational expenses as a reasonable level of Reserves, in normal circumstances. Our core costs currently run at a monthly equivalent of around £5k, so the June 2022 closing unrestricted reserve of £33.2k more than meets this requirement. 

## **Plans for the future** 

During summer 2021 a Participatory Strategic Planning process was undertaken, involving Trustees, Staff and Associates in developing a vision, looking at potential blocks, considering changes in the business and charitable environments and deciding on strategic directions. A more detailed Implementation Plan was finalised during 2021-22 and provides a basis for the development of ICA:UK for the next few years with a focus on supporting transformational change, (on a larger scale if possible), improving organisational resilience and giving greater attention to inclusion and diversity. 

We will continue to develop our structure and processes to support these activities. Trustees will continue to involve our Associates and Staff in delivering our work and influencing the direction of the organisation. One early task for the 2022/23 financial year has been to successfully recruit additional Trustees since one of our existing Trustees stepped down in April 2022 and another in August 2022. We were very pleased at the number of candidates who expressed an interest, and were delighted to appoint five in November 2022, although one has since had to step back due to other commitments. 

## **Structure, governance and management** 

ICA:UK is a charitable company limited by guarantee, was incorporated on 11th April 2000 by Trustees of the pre-existing Institute of Cultural Affairs Development Trust (charity no. 293086, registered 1985). It commenced operations on 15[th] February 2001, and registration as a charity was completed on 21[st] February 2002.  ICA Development Trust subsequently wound itself up in 2003. 

The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association. 

Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The total number of such guarantees at 30 June 2022 was 22 (2021: 21). The trustees are also members of the charity. The trustees have no beneficial interest in the charity. 

5 



## ICA:UK 

## Trustees’ annual report 

## for the year ended 30[th] June 2022 

The normal recruitment process for Trustees begins with the dissemination of a call for applications both within and beyond the ICA:UK network. Expressions of interest are invited and usually followed by an informal discussion between an existing Trustee and the prospective candidate. More formal interviews may also take place. Existing Trustees are able to co-opt new Trustees on a temporary basis but names of prospective trustees must be then put forward to the Annual General Meeting where the members present vote on whether they should be confirmed as Trustees or not. All Trustees give their time voluntarily and receive no remuneration / benefits from the charity. Any expenses reclaimed from the charity are set out in Note 9 to the accounts. 

## **Related parties and relationships with other organisations** 

ICA:UK is a member of the following: 

1. Bond: The British Overseas NGOs in Development 

2. ICAI: The Institute of Cultural Affairs International 

3. NCVO: The National Council for Voluntary Organisations 

4. Work for Change: the workplace cooperative where ICA:UK’s office is located in Manchester 

ICA:UK also regularly works with / links with the following: 

- A. IAF: the International Association of Facilitators 

- B. iNetwork: a network supporting public and voluntary sector organisations particularly in the North West of England 

## **Remuneration policy for key management personnel** 

It is the intention of the ICA:UK Board to establish salaries on a recognised payscale when resources allow. In line with this commitment, salaries are reviewed from time to time. The charity also meets its legal obligations in regards the Government initiative on stakeholder pensions. All employees have signed up for the scheme. 

## **Risk management** 

The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity, and are satisfied that arrangements are in place to mitigate our exposure to the major risks. 

6 



## ICA:UK 

## Trustees’ annual report 

## for the year ended 30[th] June 2022 

## **Statement of responsibilities of the trustees** 

The trustees (who are also directors of ICA:UK 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 which 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: 

- Select suitable accounting policies and then apply them consistently 

- 

- 

   - Observe the methods and principles in the Charities SORP 

   - Make judgements and estimates that are reasonable and prudent 

- State whether applicable UK Accounting Standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements 

- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation 

The trustees are responsible for keeping proper accounting records that 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. 

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

This report has been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime of the Companies Act 2006. 

The trustees’ annual report has been approved by the trustees on 21 March 2023 and signed on their behalf by 

Barbara Ridhiwani 

Treasurer 

7 



## **Independent Examiner’s report** 

## **to the trustees of ICA:UK** 

I report to the charity trustees on my examination of the accounts of the company for the year ended 30th June 2022 which are set out on pages 9 to 26. 

## **Responsibilities and basis of report** 

As the charity trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’). 

Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your company’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act. 

## **Independent examiner's statement** 

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: 

1. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or 

2. the accounts do not accord with those records; or 

3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or 

4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). 

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. 

Christy Lau FCCA CTA DChA Slade & Cooper Ltd. Chartered Certified Accountants Beehive Mill Jersey Street Ancoats Manchester M4 6JG 

21[st] March 2023 

8 



## ICA:UK 

## Statement of Financial Activities (including Income and Expenditure account) for the year ended 30 June 2022 

|Unrestricted<br>funds<br>Note<br>£<br>**Income from:**<br>Donations and legacies<br>3<br>2,079<br>Charitable activities<br>4<br>115,891<br>**Total income**<br>**117,970**<br>**Expenditure on:**<br>Charitable activities<br>5<br>130,194<br>**Total expenditure**<br>**130,194**<br>7<br>**(12,224)**<br>Transfer between funds<br>-<br>**Net movement in funds for the year**<br>**(12,224)**<br>**Reconciliation of funds**<br>Total funds brought forward<br>45,455<br>**Total funds carried forward**<br>**33,231**<br>**Net income/(expenditure) for the**<br>**year**|Restricted<br>funds<br>£<br>-<br>-<br>**-**<br>-<br>**-**<br>**-**<br>-<br>**-**<br>-<br>**-**|Total funds<br>2022<br>£<br>2,079<br>115,891<br>**117,970**<br>130,194<br>**130,194**<br>**(12,224)**<br>-<br>**(12,224)**<br>45,455<br>**33,231**|_Total funds_<br>_2021_<br>_£_<br>_2,640_<br>_163,986_|
|---|---|---|---|
||||**_166,626_**|
||||_177,291_|
||||**_177,291_**|
||||**_(10,665)_**<br>_-_|
||||**_(10,665)_**<br>_56,120_|
||||**_45,455_**|



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

A full comparative SOFA is available on the last page of the financial statements. 

9 



## ICA:UK 

## Company number 3970365 

## Balance sheet as at 30 June 2022 

|Note<br>£<br>£<br>**Current assets**<br>Stock<br>925<br>Debtors<br>13<br>23,926<br>Cash at bank and in hand<br>32,926<br>**Total current assets**<br>**57,777**<br>**Liabilities**<br>Creditors: amounts falling<br>due in less than one year<br>15<br>(24,546)<br>**Net current assets**<br>**33,231**<br>**Total assets less current liabilities**<br>33,231<br>**Net assets**<br>**33,231**<br>**The funds of the charity:**<br>Restricted income funds<br>16<br>-<br>Unrestricted income funds<br>17<br>33,231<br>**Total charity funds**<br>**33,231**<br>2022|_£_<br>_£_<br>_1,860_<br>_19,249_<br>_44,982_<br>**_66,091_**<br>_(20,636)_<br>**_45,455_**<br>_45,455_<br>**_45,455_**<br>_-_<br>_45,455_<br>**_45,455_**<br>_2021_|_£_<br>_£_<br>_1,860_<br>_19,249_<br>_44,982_<br>**_66,091_**<br>_(20,636)_<br>**_45,455_**<br>_45,455_<br>**_45,455_**<br>_-_<br>_45,455_<br>**_45,455_**<br>_2021_|
|---|---|---|
|||_45,455_<br>**_45,455_**|
|||_-_<br>_45,455_|
|||**_45,455_**|



For the year in question, the company was entitled to exemption from an audit under section 477 of the Companies Act 2006 relating to small companies. 

Directors' responsibilities: 

- The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476, 

- The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts 

These accounts are prepared in accordance with the special provisions of part 15 of the Companies Act 2006 relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company. 

The notes on pages 12 to 26 form part of these accounts. 

Approved by the trustees on 21 March 2023 and signed on their behalf by: 

Andy Daw (Interim Chair) 

Barbara Ridhiwani (Treasurer) 

10 



## ICA:UK 

## Statement of Cash Flows for the year ending 30 June 2022 

|Note<br>2022<br>£<br>**Cash provided by/(used in) operating activities**<br>**Net income/(expenditure) for the year**<br>(12,224)<br>**Adjustments for:**<br>Decrease/(increase) in stock<br>935<br>Decrease/(increase) in debtors<br>(4,677)<br>Increase/(decrease) in creditors<br>3,910<br>(12,056)<br>(12,056)<br>Cash and cash equivalents at the beginning of the year<br>44,982<br>**Cash and cash equivalents at the end of the year**<br>**32,926**<br>**Net cash provided by/(used in) operating**<br>Increase/(decrease) in cash and cash<br>equivalents in the year|_2021_<br>_£_<br>_(10,665)_<br>_860_<br>_(6,623)_<br>_(331)_|
|---|---|
||_(16,759)_|
||_(16,759)_<br>_61,741_|
||**_44,982_**|



11 



ICA:UK 

Notes to the accounts for the year ended 30 June 2022 

## **1 Accounting policies** 

The principal accounting policies adopted, judgments and key sources of estimation uncertainty in the preparation of the financial statements are as follows: 

## **a 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), second edition - October 2019 (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006 and UK Generally Accepted Accounting Practice. 

ICA:UK meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note. 

## **b Preparation of the accounts on a going concern basis** 

The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern. 

There are no key judgments which the trustees have made which have a significant effect on the accounts. 

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 amount of assets and liabilities within the next reporting period. 

12 



ICA:UK 

Notes to the accounts for the year ended 30 June 2022 (continued) 

## **c Income** 

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably. 

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. 

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material. 

Income received in advance of a provision of a specified service is deferred until the criteria for income recognition are met. 

## **d Donated services and facilities** 

Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised; refer to the trustees’ annual report for more information about their contribution. 

On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt. 

## **e 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 Bank. 

13 



ICA:UK 

Notes to the accounts for the year ended 30 June 2022 (continued) 

## **f Fund accounting** 

Unrestricted funds are available to spend on activities that further any of the purposes of charity. 

Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. 

Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity’s work or for specific projects being undertaken by the charity. 

## **g Expenditure and irrecoverable VAT** 

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings: 

- Expenditure on charitable activities includes the costs undertaken to further the purposes of the charity and their associated support costs. 

- Other expenditure represents those items not falling into any other heading. 

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. 

## **h Tangible fixed assets** 

Individual fixed assets costing £1,000 or more are capitalised at cost and are depreciated over their estimated useful economic lives. There are currently no fixed assets. 

14 



ICA:UK 

Notes to the accounts for the year ended 30 June 2022 (continued) 

## **i Stock** 

Stock is included at the lower of cost or net realisable value. In general, cost is determined on a first in, first out basis. Net realisable value is the price at which stocks can be sold in the normal course of business after allowing for the costs of realisation. Provision is made where necessary for obsolete, slow moving, and defective stocks. Donated items of stock are recognised at fair value which is the amount the charity would have been willing to pay for the items on the open market. 

## **j Debtors** 

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

## **k Cash at bank and in hand** 

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

## **l Creditors and provisions** 

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

## **m Financial instruments** 

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method. 

## **n Pensions** 

Employees of the charity are entitled to join a defined contribution ‘money purchase’ scheme. The charity’s contribution is restricted to the contributions disclosed in note 8. There were £186 outstanding contributions at the year end (2021: £209). 

15 



ICA:UK 

Notes to the accounts for the year ended 30 June 2022 (continued) 

## **2 Legal status of the charity** 

The charity is a company limited by guarantee registered in England and Wales and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The registered office address is disclosed on page 1. 

## **3 Income from donations and legacies** 

|Donations<br>**Total**|Total 2022<br>£<br>2,079<br>2,079|_Total 2021_<br>_£_<br>_2,640_|
|---|---|---|
|||_2,640_|



All donations and legacies income is unrestricted. 

16 



**4 Income from charitable activities** 

## ICA:UK 

Notes to the accounts for the year ended 30 June 2022 (continued) 

|**Fees and other income**<br>Fees<br>Membership subscriptions<br>Sales of goods & services<br>**Total**<br>**_Grants_**<br>_DFID/FCDO_<br>_Subtotal_<br>**_Fees and other income_**<br>_Fees_<br>_Membership subscriptions_<br>_Sales of goods & services_<br>_Subtotal_<br>**_Total_**<br>**_Previous reporting_**<br>**_period_**<br>**Current reporting**<br>**period**<br>_Manchester City Council_|Unrestricted<br>£<br>110,866<br>35<br>4,990<br>115,891<br>_Unrestricted_<br>_£_<br>_-_<br>_6,163_<br>_6,163_<br>_136,713_<br>_50_<br>_3,404_<br>_140,167_<br>_146,330_|Restricted<br>£<br>-<br>-<br>-<br>-<br>_Restricted_<br>_£_<br>_17,656_<br>_-_<br>_17,656_<br>_-_<br>_-_<br>_-_<br>_-_<br>_17,656_|Total 2022<br>£<br>110,866<br>35<br>4,990|
|---|---|---|---|
||||115,891|
||||_Total 2021_<br>_£_<br>_17,656_<br>_6,163_|
||||_23,819_<br>_136,713_<br>_50_<br>_3,404_|
||||_140,167_|
||||_163,986_|



17 



Notes to the accounts for the year ended 30 June 2022 (continued) 

## ICA:UK 

## **5 Analysis of expenditure on charitable activities** 

|Staff costs<br>Associate fees<br>Travel, subsistence & staff expenses<br>Venues & catering<br>Grants awarded<br>Cost of goods & services sold<br>IT support<br>Premises costs<br>Insurance<br>Print, post & stationery<br>Communications<br>Subscriptions<br>Advertising & promotion<br>Bad debts<br>Bank charges<br>Governance costs (see note 6)<br>Restricted expenditure<br>Unrestricted expenditure<br>Partner organisation transfer (Safe<br>Neighbourhood Foundation in Uganda)|Total 2022<br>£<br>37,145<br>62,870<br>4,798<br>1,518<br>-<br>-<br>2,698<br>913<br>4,607<br>719<br>31<br>579<br>628<br>-<br>2,160<br>1,736<br>9,792<br>130,194<br>2022<br>£<br>-<br>130,194<br>130,194|_Total 2021_<br>_£_<br>_42,655_<br>_100,033_<br>_1,635_<br>_(295)_<br>_2,816_<br>_14,729_<br>_2,367_<br>_1,865_<br>_4,338_<br>_666_<br>_401_<br>_544_<br>_751_<br>_395_<br>_100_<br>_1,989_<br>_2,302_|
|---|---|---|
|||177,291|
|||_2021_<br>_£_<br>_33,986_<br>_143,305_|
|||_177,291_|



18 



Notes to the accounts for the year ended 30 June 2022 (continued) 

## ICA:UK 

## **6 Analysis of governance costs** 

|Accountancy & independent examination (net)<br>Accountancy & independent examination (VAT)<br>Three year Strategic Planning Meetings<br>**7**<br>**Net income/(expenditure) for the year**<br>This is stated after charging/(crediting):<br>Independent examination<br>Accountancy and other services<br>Independent examiner's fee|2022<br>£<br>2,197<br>440<br>7,155<br>9,792<br>2022<br>£<br>240<br>1,957|_2021_<br>_£_<br>_1,918_<br>_384_<br>_-_|
|---|---|---|
|||_2,302_|
|||_2021_<br>_£_<br>_240_<br>_1,678_|



19 



Notes to the accounts for the year ended 30 June 2022 (continued) 

## ICA:UK 

## **8 Staff costs** 

Staff costs during the year were as follows: 

|ff costs during the year were as follows:|||
|---|---|---|
|Wages and salaries<br>Social security costs<br>Pension costs|2022<br>£<br>36,466<br>-<br>679<br>37,145|_2021_<br>_£_<br>_41,992_<br>_-_<br>_663_|
|||_42,655_|



In both 2010/21 and 2021/22, the charity claimed the Employment Allowance against the employers Class 1 NICs, which covered the full liability to HMRC. 

No employees has employee benefits in excess of £60,000 (2021: Nil). 

The average number of staff employed during the period was 3 (2021: 3). The average full time equivalent number of staff employed during the period was 1.6 (2021: 1.6). 

The key management personnel includes the Trustees, the Director, the Administrator and the ToP Training Coordinator. The total employee benefits of the key management personnel of the charity were £37,145 (2021: £42,655). 

## **9 Trustee remuneration and expenses, and related party transactions** 

In December 2020 Derek McAuley, a long-time member and the spouse of one of our long-time Associates, became a Trustee, bringing significant skills and experience to our small group of Trustees. During 2021-22 his spouse, Martin Gilbraith received £1,525 remuneration in Associate fees out of the year’s total of £62,870.  In 2020-21 Martin’s equivalent remuneration was £4,803 out of ICA:UK’s total £100,033 Associate fee expenditure. Martin’s equivalent remuneration in 2019-20 (the last full year before Derek became a trustee) was £2,601 out of a total £72,232. 

In regards contracts with the charity, Martin Gilbraith’s company Martin Gilbraith Associates Ltd. paid a total of £1,100 to ICA:UK in 2021-22 under an arrangement where licensed trainers can deliver ICA courses or use ICA curriculum if a required contribution is made to ICA:UK. There was no equivalent income from Martin in 2020-21 but in October 2020, before Derek’s appointment as a Trustee, Martin passed across to ICA:UK a £1,000 advance payment for part of a training contract his company had entered into before the pandemic and had been unable to deliver face to face, whereas ICA:UK was at that time developing an online version of the training course, and was in due course able to meet the client’s need. 

No trustee received travel and subsistence expenses during the 2021-22 year or the 2020-21 year, as due to the pandemic the AGM and Board meetings were all online. 

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

20 



## ICA:UK 

## Notes to the accounts for the year ended 30 June 2022 (continued) 

## **10 Government grants** 

The government grants recognised in the accounts were as follows: 

|Manchester City Council<br>DFID/FCDO (see Note 16 below)|2022<br>£<br>-<br>-<br>-|_2021_<br>_£_<br>_6,163_<br>_17,656_|
|---|---|---|
|||_23,819_|



## **11 Corporation tax** 

The charity is exempt from tax on income and gains falling within Chapter 3 of Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen in the charity. 

## **12 Grants awarded** 

|Recipient<br>Fund<br>TYTF<br>GG<br>**Debtors**<br>Fees receivable<br>Other debtors<br>Prepayments and accrued income<br>**Cash at bank and in hand**<br>Short term deposits<br>Cash at bank and in hand<br>Tujiendeleze Youth Trust Fund<br>Safe Neighbourhood Foundation|2022<br>£<br>-<br>-<br>-<br>2022<br>£<br>20,479<br>1,527<br>1,920<br>23,926<br>2022<br>£<br>34<br>32,892<br>32,926|_2021_<br>_£_<br>_2,600_<br>_216_|
|---|---|---|
|||_2,816_|
|||_2021_<br>_£_<br>_15,815_<br>_1,593_<br>_1,841_|
|||_19,249_|
|||_2021_<br>_£_<br>_34_<br>_44,948_|
|||_44,982_|



## **13 Debtors** 

## **14 Cash at bank and in hand** 

21 



Notes to the accounts for the year ended 30 June 2022 (continued) 

## ICA:UK 

## **15 Creditors: amounts falling due within one year** 

|Other creditors and accruals<br>Fees in advance<br>Taxation and social security costs|2022<br>£<br>8,443<br>16,103<br>-<br>24,546|_2021_<br>_£_<br>_8,155_<br>_11,906_<br>_575_|
|---|---|---|
|||_20,636_|



Due to a payroll error during the 2021/22 year pay-related taxation had unusually been overpaid as at 30 June 2022. This has since been resolved. 

## **16 Analysis of movements in restricted funds** 

|_DFID / FCDO_<br>_Total_<br>**_Previous reporting_**<br>**_period_**|_Balance_<br>_at 1 July_<br>_2020_<br>_£_<br>_6_<br>_6_<br>|_Income_<br>_£_<br>_17,656_<br>_17,656_|_Expenditure_<br>_£_<br>_(17,662)_<br>_(17,662)_|_Transfers_<br>_£_<br>_-_<br>_-_|_Balance at_<br>_30 June_<br>_2021_<br>_£_<br>_-_|
|---|---|---|---|---|---|
||||||_-_|



## **Name of restricted fund Description, nature and purposes of the fund** 

DFID/FCDO ICA:UK was awarded a grant from the Department for International Development / Foreign and Commonwealth Office (DFID/FCDO) in 2019 through their Small Charities Challenge Fund. The funding is for the “Developing Farmers Skills in Budaka” (a District in Uganda). The project, which comprises mostly training and demonstration of agricultural and environmentally sound practices, is being implemented by the Safe Neighbourhood Foundation, with whom ICA:UK has been working for over 10 years. ICA:UK was project holder with responsibility for oversight. The project also includes some specific capacity development activities for SNF and conducted  by ICA:UK. 

22 



## ICA:UK 

## Notes to the accounts for the year ended 30 June 2022 (continued) 

## **17 Analysis of movement in unrestricted funds** 

|_General fund_<br>_Village Volunteers_<br>_(VV)_<br>_TYTF_<br>_Globalgiving appeal_<br>_(GG)_<br>**_Previous reporting_**<br>**_period_**<br>General fund<br>TYTF<br>Globalgiving appeal<br>(GG)<br>Village Volunteers<br>(VV)<br>**Current reporting**<br>**period**|Balance<br>at 1 July<br>2021<br>£<br>39,764<br>4,996<br>642<br>53<br>45,455<br>_Balance_<br>_at 1 July_<br>_2020_<br>_£_<br>_49,929_<br>_4,006_<br>_2,126_<br>_53_<br>_56,114_<br>|Income<br>£<br>115,950<br>880<br>1,140<br>-<br>117,970<br>_Income_<br>_£_<br>_146,624_<br>_990_<br>_1,140_<br>_216_<br>_148,970_|Expenditure<br>£<br>(130,194)<br>-<br>-<br>-<br>(130,194)<br>_Expenditure_<br>_£_<br>_(156,789)_<br>_-_<br>_(2,624)_<br>_(216)_<br>_(159,629)_|Transfers<br>£<br>-<br>-<br>-<br>-<br>-<br>_Transfers_<br>_£_<br>_-_<br>_-_<br>_-_<br>_-_<br>_-_|Balance at<br>30 June<br>2022<br>£<br>25,520<br>5,876<br>1,782<br>53|
|---|---|---|---|---|---|
||||||33,231|
||||||_Balance at_<br>_30 June_<br>_2021_<br>_£_<br>_39,764_<br>_4,996_<br>_642_<br>_53_|
||||||_45,455_|



23 



ICA:UK 

Notes to the accounts for the year ended 30 June 2022 (continued) 

## **17 Analysis of movement in unrestricted funds (cont.)** 

## **Name of unrestricted fund Description, nature and purposes of the fund** 

|General fund|The free reserves after allowing for all designated funds|
|---|---|
|Village Volunteers|Running as a programme since 1985, ICA:UK inherited this scheme from|
|Sponsorship Scheme|<br>the ICA Development Trust. The scheme collects money from individuals in|
|(VV)|the UK for the purpose of supporting ICA:UK partners in Africa, assesses|
||proposals from partners against the Fund’s criteria and, under the direction|
||of the ICA:UK Trustees, awards grants. One grant of approximately £2,000|
||is usually awarded every year, with ICA Benin being the most recent|
||beneficiary. The uncertainty caused by Covid-19 led to a pause in suitable|
||grant requests from partner organisations in Africa, but a grant has been|
||made in autumn 2022.|
|The Tujiendeleze|Registered with the Ministry of Lands in Kenya, the purpose of the Trust is|
|Youth Trust Fund|to support bright and capable young people, who are active in Community|
|(TYTF)|Development but in need of financial assistance, to pursue their dreams of|
||entering higher education. ICA:UK works in partnership with them as part|
||of our overall mission to develop local organisations in Africa.|
|Globalgiving appeal|Appeals launched by ICA:UK on behalf of partners, attracting individual|
|(GG)|donations for projects (e.g. HIV/AIDS in Kenya, computer literacy in|
||Benin). Currently we have one project seeking funds on the Globalgiving|
||site, for Village Savings and Loans Associations in Uganda. This was posted|
||in April 2020 (during the Covid pandemic) and attracted little interest.|



We intend to continue providing such support to our partners for the foreseeable future, as part of our wider strategy of offering long term support to local organisations with similar values. 

24 



## ICA:UK 

## Notes to the accounts for the year ended 30 June 2022 (continued) 

## **18 Analysis of net assets between funds** 

|Net current assets/(liabilities)<br>Total<br>_Net current assets/(liabilities)_<br>_Total_<br>**_Previous reporting_**<br>**_period_**<br>**Current reporting**<br>**period**|General<br>fund<br>£<br>25,520<br>25,520<br>_General_<br>_fund_<br>_£_<br>_39,764_<br>_39,764_|Designated<br>funds<br>£<br>7,711<br>7,711<br>_Designated_<br>_funds_<br>_£_<br>_5,691_<br>_5,691_|Restricted<br>funds<br>£<br>-<br>-<br>_Restricted_<br>_funds_<br>_£_<br>_-_<br>_-_|Total<br>£<br>33,231|
|---|---|---|---|---|
|||||33,231|
|||||_Total_<br>_£_<br>_45,455_|
|||||_45,455_|



25 



## ICA:UK 

## Statement of Financial Activities (including Income and Expenditure account) for the year ended 30 June 2021 

|Unrestricted<br>funds<br>Note<br>£<br>**Income from:**<br>Donations and legacies<br>3<br>2,640<br>Charitable activities<br>4<br>146,330<br>**Total income**<br>**148,970**<br>**Expenditure on:**<br>Charitable activities<br>5<br>159,629<br>**Total expenditure**<br>**159,629**<br>7<br>**(10,659)**<br>Transfer between funds<br>-<br>**Net movement in funds for the year**<br>**(10,659)**<br>**Reconciliation of funds**<br>Total funds brought forward<br>56,114<br>**Total funds carried forward**<br>**45,455**<br>**Net income/(expenditure) for the**<br>**year**|Restricted<br>funds<br>£<br>-<br>17,656<br>**17,656**<br>17,662<br>**17,662**<br>**(6)**<br>-<br>**(6)**<br>6<br>**-**|Total funds<br>2021<br>£<br>2,640<br>163,986<br>**166,626**<br>177,291<br>**177,291**<br>**(10,665)**<br>-<br>**(10,665)**<br>56,120<br>**45,455**|_Total funds_<br>_2020_<br>_£_<br>_2,179_<br>_187,532_|
|---|---|---|---|
||||**_189,711_**|
||||_182,861_|
||||**_182,861_**|
||||**_6,850_**<br>_-_|
||||**_6,850_**<br>_49,270_|
||||**_56,120_**|



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

26