REGISTERED COMPANY NUMBER: 03260243 (England and Wales) REGISTERED CHARITY NUMBER: 1093244 Trustees. Re rtand Financial Statements for the Year Ended 31 December 2022 for Brake
Brake Contents of the Financial Statements for the Year Ended 31 December 2022 Page Reference and Administrative Details Trustees, Report 2 to 8 Report of the Independent Audi(ors 9 to 12 ststemenl of Financial Activities 13 Balance Sheet 14 Cash Flow Statement 15 Notes to the Cash Flow Stslement 16 Notes to the Financial Stslements 17 to 26
Brake Reference and Administrative Details for the Year Ended 31 December 2022 TRUSTEES J C B Bailey S Christmas R W Cuerden K Gledhill (resigned 218120231 D S Sleightholme C Linsell J H Millar (resigned 10110120221 NJReed F Senior (resigned 2511120221 H L Gillan N D Naran {appointed 1811120221 P E Mlen (appointed 116120231 S J Bradbury lappointed 116120231 Byard (appointed 116120231 C L Haines (appointed 116120231 COMPANY SECRETARY R W Cuerden REGISTERED OFFICE 3rd Floor 56 Wellinglon Street Leeds West Yorkshire LS1 2EE REGISTERED COMPANY NUMBER 03260243 {England and Wales) REGISTERED CHARITY NUMBER 1093244 AUDrroRS Haines Watts Chartered Accountants & Statulory Audilors 3rd FIcKJr 56 Wellington Slreet Leeds West Yorkshire LS12EE INTERIM CEO Ross Moodock KEY MANAGEMENT PERSONNEL Chris Linsell - Treasurer Louise Robbins- Head of Finance Scott Williams- Head of Programme DelNery Tracey Lister- Head of servi Delery Page 1
Brake islered number 03260243 Trustees, Re ort for the Year Ended 31 Decernber 2022 The Trustees present their annual report togelherwth the audrted financial statements of the company for the year 1 January 2022 to 31 Dernber 2022. The Trustees confirm that the Annual Report and financial slalemenls of the company compty wth the current statutory requirements, the requirements of the company's governing document and the provisions of the Ststemenl of Recommended Practi ISORPI, applicable to charities preparing their accounts in accordance wth the Financial Reporting Standard applicable in the UK and Republic or Ireland IFRS 102) (effective 1 January 20151 as amended by Update Bulletin 1 leffeclive 1 January 2015). Since the company qualifies as a small company under section 383, the strategic report qUired of mèdium and large Companies under the Companies Ad 2006 (Strategic Report and Director's Report) Regulations 2013 is not quIred. OBJECTIVES AND ACTIVITIES Objectives and aims Brake is a registered charity and it works lo-. help people bereaved or physically injured by a sudden event through the provision of support Servi5, so as to relieve their suffering", and to advance the education of the public in issues of road safety and environmentalty fn"endly forms of transport wth the objecb.ve of reducing death and injury on the road5 and reducing damaging pollub"ons. particularly by". al promobng safe and environmental fn"endly pracb.ces in relab.on to public road use", bl conducting research into ways to make the roads safer and lo enable environmentalfy sustainable transport cholS and disseminating such research. Our vision is a world wth zero road harm where we can all move in a safe and healthy way, as part of our normal day. Brake advises Govemmenl departments on matters relats.ng to road safety and caTe for people bereaved or physically injured by a sudden event", and works to achieve evidenced based action by all to achieve safe and healthy mobility. Our projects include delivery of awareness raising and educational resources and events and training for various audiences including professionals such as at-work drivers. educators and young people and civil society as a who. Brake delivers the National Road Victim Service which provides support for people affected by road crashes and advises other professionals working wrth them, such as the pole. Public benefit The Trustees nriMi that they have referred to the guidan contained in the Charity Commission's general guidance on public benefit when reviwng the Charity's aims and objectives and in planning future aclivilies. The Trustees are satisfied that the charity continues to meet the required public nefit lesl through its objecb'ves and a¢livilies. Volunteers Brake benefits enormously from our support from volunteers, who engage wth the charity through fundraising but also through awareness raising in their communits"es. Page 2
Brake islered number 03260243 Trustees, Re ort for the Year Ended 31 Decernber 2022 ACHIEVEMENT AND PERFORMANCE Introduction Brake believe that safe and healthy mobility is everyone's human right wherever we are.. in cities, towns. villages or moving beeen places. A death or serious injury on roads should be a rare and unusual evenl. Bul sadly. today's reality is that 5 people die on the UKS roads every day, and more than 15 times as many people are seriously Injured. Being able lo move around our communities, and befven places, without fear of death and injury, and in ways that are good for our health and the planel. is everyone's COnrn. The Department for Transport's 2022 road casualty stalisbcs show that 1,711 people died on Britain's roads in 2022 a 10°k increase since 2021 and back to pre-pandemic levels. A further 28,031 people suffered serious injuries - up 8% since 2021. These aren't Just numbers. We're talking about chiklren and young people, parents, partners, siblings, and grandparents. These deaths and injuries are preventable, and they have to stop. We continue lo campaign for evidence-based policies and investments to enable everyone to have access lo safe and healthy mobility. We work wth schools and families, communib.es and companies lo champion the cause of road safety and raise awareness of key road safety issues. We coordinate Road Safety Week. the UK'S biggest annual road safety campaign, and we help organisab.ons that employ people who dnve for work to manage work-relaled road risk. While people continue to die and suffer catastrophic injury on the UK'S roads, Brake wll also conb.nue to do everything we can to sUPPOrt road crash victims. Support for adults and Children who have b&n bereaved or suffered catastrophie injury in a crash is an essential humanitsnan response. Expansion of our National Road Vielim Service in 2022 enabled us lo support more than 1,300 families affected by beaVement and catastrophic injuries, including the provision of enhanced face lo face support, provided by our growng team of local caseworkers operating in communities across the UK. Thank you lo everyone who has worked with us in 2022, from our volunteers and the emergency services lo our corporate partners and Govemment decision-makers our efforts would not succeed wilhoul your supporL In April 2023, after 29 years in role, Brake's founder Mary Williams OBE retired from her role as Chief Executive at Brake. Brake is where it is today because of Mary and all al the charity recognise and thank her for that. Ross Moorlock Interim Chief Executive Page 3
Brake islered number 03260243 Trustees, Re ort for the Year Ended 31 Decernber 2022 ACHIEVEMENT AND PERFORMANCE Some highlights of 2022 Brake's Kids Walk In June more than 90.000 kids look lo the streets around their schools lo raise awareness of the need for saferjourneys, as 40 children are kIld or injured every day on UK roads. Children aged beeen four and 11 from 600 Schools across the UK took part in Brake's Kids Walk with Shaun the Sheep. The national project, run by Brake in partnership wth Insuran group esure and with support from Aardman, sees Shaun and his flock help youngsters leam key road safety messages and call on grown-ups to make roads safer so more chIldn can enjoy the health and planet-saving benefits of walking or wheeling lo school. National Road Wi¢tim Seplice expansion The National Road Victim Service, run by Brake, is the only national provider of a trauma-inlormed, specialist case-managed re Servi specrfically developed to enable coping. and meet welfare and wellbeing goals, of bereaved and catastrophically injured road victims. The service expanded in 2022, th the addition of more than 15 new specialist local caseworker roles offering face lo face support lo road victims in communities across England, Wales and Scotland. These professional caseworkers have expe'Se in helping victims suffering shock, turmoil. devaslalion, and many life challenges as a resu of crashes. In 2022 more than 1,300 road victims were provided with specialist support by Brake's National Road Victim Service. Since il was set up in 1996, Brake's Nabonal Road Vicb'm Service has helped more than 50,000 victims across the UK through provision of vital infomiatson and sewOrker Care. Al police forces across the UK distribute National Road Vicb'm servi infom)atson lo road victim families and the Servi wort(s in close partnership wth police Famity Liaison Officers across the UK_ Road Safety Week- Safe Roads for All National Road Safety Week, our flagship awareness raising even( took place in November 2022, and had an eslimaled reach of 6.8 million people and was themed Safe Roads for All. Across the week, we gave people ideas for how they could move, think, watch, leach, save lives and support people affected by road crashes, all while imagining a future where no one is killed or injured on a road. Throughout the week we emphasised the importance of everyone followng the changes lo the Highway Code, introduced in January 2022, 10 protect people more al nsk on our roads, such as those on fool and bicycle. Page 4
Brake islered number 03260243 Trustees, Re ort for the Year Ended 31 Decernber 2022 FINANCIAL REVIEW Going concem After making appropriate enquiries. the Truslees have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason. they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concem basis Can be found in the Accounb"ng Policies. Funding and financial review Brake continues to be funded by a mixed income stream of corporate gwing, sponsorships, community fundraising, grants, and some limited trading Ifor example selling seats at our annual fleet awards). We are continuing to work to generate more support from all income streams to enable growih. Brake has an enviable history of counting ils pennie5 carefulty. Through a prO5S of strict financial control. we finished 2022 with a reasonable reserve level giving u5 the vital prolecb.on we need to operate in these challenging times, bul also b.mes of opportunty and importance of our cause. We are continuing lo exercise strict financial control to manage reserve levels, while also recognising that the charity must invest to develop, within safe use of resewves. Our expenditure on all aspects of our work is reviewed monthly in line wth agreed parameters, including protection of any restrided funds for specffic adivib"es. We undertake this work through a committee incluswe of senior stsff and Board members, inclusive of the Chief Executive, Head of Finance, an¢J TreaSUr. Brake focuses the bulk of its unrestricted fundraising efforts on two key income streams." corporate fundraising and community fundraising. In 2022, our income streams included unresthcted corporate and community fundraising, and grant income, mainly from ststulory sources. We do not work wrth any professional ftjndraisers. Brake ensures it conforms to all recognise(I fundraising standar(Js. We are a member of the Fundraising Regulator and the institute of Fundraising in the UK_ Brake has a six-point Fundraising Promise that it abides by as follows.. o We are Committed lo high standards o We are honest and open o We are clear o We are respecrful o We are fair and reasonable o We are acwuntable Our fundraising complaints policy is available through our website and on request to members of the public. This policy clearty states the steps we will take. should we receive a complaint about our fundraising practices. These steps include external investigation should it become necessary. To date. Brake has never received a complaint about its fundraising praCts.S. We recognise that due lo the nature of our work. it is inevitable that our fundraisers will come into contact with people who are vulnerable and not able to make informed decisions about their giving. Brake has a vulnerable supporters policy in place to help our fundraisers idents.fy vulnerable people and to give them guidance on how to manage situattons as they arise. Page 5
Brake islered number 03260243 Trustees, Re ort for the Year Ended 31 Decernber 2022 Additional, we follow all current data prolecb.on laws and implement changes lo our administration systems as and when legislation changes, to ensure the protection of the public, Including vulnerable people, fror unreasonable intrusion on a person's privacy, unreasonably persistent approaches or undue pressure lo give.we do not buy or sell data, including contact lists, nor do we 'cold call, members of the public lo request oney. Additional, Brake abides by strict confidentialrty practiS in relation lo users of our National Road Victim Setvice. Individuals being supported through our Servi are never approached for donations al any point during the lime they are receiving support through the Servi. Re$grvg$ policy Under nomial circUmstanS it is the desired policy of the board to have unrestricted ftjnds to Cover a minimum six months, overheads. Brake exeded this at the end of 2022. Our fabulous fundraisers A HUGE THANK YOU to all our fvndraisers and volunteers who helped fund and support the charity in 2022. More than 300 fabulous fundraisers took part in fundraising events and gave donations to raise vital funds lo support our work. Befven them, they raised more than £275,000. Many more volunteers gave their lime lo help us by promoting road safety in their communities. Our corporate partners Funding from cotporale organisalions continues to make up a large amount of our overall charity income. We are grateful lo all those organisalions who partner wth us to help achieve a common goal of ducIng the number of deaths and serious injuries on our roads. The support of our eotporale partners often extends beyond financial contributions, and we are particularty thankful for all those that donate their lime and expertise lo help further the cause of roa¢J safety. Above all else, the Contributions of our partners ensure that we can offer the help and support so vitslty needed for families to piece their lives back together following a road crash. Our corporate parb)ers enable us lo delnier key campaigns and engagement projects. including our Kids Walk, Global Fleet Champions and Road Safety Week. These projects and campaigns contribute hugely lo the narrative of road safety messaging in the UK, and we are delKJhled lo have corporate partners lo work with us on these initiatives. Thank you lo all our cortKJrate supporters who help make roads and communities safer, both in the UK and woddwide_ Grants and statutory funding We have continued to work alongside statutory bodies and are grateful to have received grants in 2022. This includes funding from a number of statutory bodies for our National Road Victim Servi. with particular thanks to the Department for Transtx)rt and the Scoth"sh Government. both of whom grant aided the National Road Victim Service in 2022. We gready appreciate all the SUPPDrt we have received throughout the year. STRUCTURE. GOVERNANCE AND MANAGEMENT Goveming document The company is registered as a ¢hantable company limited by guarantee and ts governing document is its Memorandum and Articles of Asscriation as amended on 18 May 2002 and 8 December 2008. The Board of Trustees shall be Composed of no fewer than three Trustees Method of appointment or election of TnteeS Any person interested in becoming a Trustee of Brake. when there is a varAncy. wll have an interview with at least fv40 existing Trustees and the Chief Execub"ve. This interview will ascertain the proposed Trustee's skills and experience in relaton to the needs of Brake and the Board of Trustees. Should the interview be successful. the Trustees and Chief Execubve will then make a recommendabon to the Board of Trustees. Appointment of the new Trustee wll be subject to a majonty agreement of the exisb.ng Board and be dependent solely upon the needs of the Board for supplementary membership nOlthstanding the personal attributes of the applicant The maximum number of Trustees of Brake shall be delemiined by the charity. Unb"I so fixed, there shall be no maximum number and the minimum number shall be three. Page 6
Brake islered number 03260243 Trustees, Re ort for the Year Ended 31 Decernber 2022 STRUCTURE. GOVERNANCE AND MANAGEMENT Policies adopted for the induction and training of Trustees Upon appointment Trustees receive an induction pack. This pack includes the charitys main govemance documents and details of Trustees. responsibilities as well as documents relab.ng to Brake's vision. strategy and finans. New Trustees are also invited to attend Brake conferences and events trj gain a better understanding of the charity's work and road safety issues in general. Pay policy for senior staff The Board of Trustees is required to approve any recruitment, or proposed change in remuneration package that offers a remuneration package above £40,000, and all salaries musl be constrained to a degree that they do not exceed our agreed salary brackets for our grades of staff, as outlined in our Staff Handbook. Administration In 2020 Brake launched a new four-year strategy1202¢>20231 laying out our vision, mission. values, strategic aims and objeckn'ves. Part of this strategy is to continue wrth a reful and caub'ous approach lo managing finances. in order lo provide a stable base for continuing to delwer and grow our services and projects in furtherance of our vision. Risk management Our risk assessment and risk management prosseS are consistent wth good management practice. We benchmark these against industry standards. Risk can be defined as the combination of the probability of an event and its cOnsequens. Risks can be posits.ve and relate to the taking of opportunities and can be negative and relate lo undesirable outcomes. Brake is risk averse when it comes lo the protection of our reputation and the safety of our Peop and wll take managed risks wth respect to invesb.ng in our work and in developing the organisats.on to have greater impact The chanty's Trustees have given consideration to the major risks to which Brake is exposed and satisfied themselves that system5 or procedures are in pla to manage those risks. Brake classifies risk within the following categories operab"onal, financial, governan, people, repulalional and legislab"on. Slalutory responsibility for the management and control of Brake rests wrth the Board of Trustees. The Trustees delegate day-to-day risk management to the chief executwe and the Senior leadership team and hold them lo account for ensuring that the right processes are in place lo fuffil their statutory role. Trustees have prosseS in pla lo ensure that the senior leadership team has accurately assessed the risks and their consequences, that identified nsks are being monrtored and managed, that policies and prOdureS are in pla and that the risk register is reviewed regularty. Brake complies with all exisb.ng data prolecb.on legislab"on. PLANS FOR FUTURE PERIODS Future developments 2023 is the final year of our Current four-year stralegy to Mpaign. engage and support road victims. Our priorities in 2023 include the delivery of a national Conferen to showcase the need for specialist support following a road crash, and further expansion and development of the National Road Victim servi to extend support to even more road victims across the UK. We will continue to engage Government in the imrx)rtance of a Safe System approach to road safety. that delivers evidenced solutions, and will conbnue to campaign on important issues. including the introduction of a progressive licenang system and 20mph speed limits around schools and In communities and on urban roads. We will work to grow our education and awareness raising project outcomes, including Road Safety Week. Beep Beepl Day and Kids Walk and our work with fleel managers celebrating best practice through our UK Fleet Champions Awards. Attenb"on will also tum to setting the strategy for a new strategic period for the charity in 2024. Page 7
Brake islered number 03260243 Trustees, Re ort for the Year Ended 31 Decernber 2022 STATEMENT OF TRUSTEES, RESPONSIBILITIES The Trustees (who are also the directors of Brake for the purposes of company law and also form the members of Brake as welll are responsible for preparing the Trustees. Report and the financial statements in accordan with applicable law and United Kingdom Acwunting Standards (United Kingdom Generally A¢pIed Accounting Praclicel. The Trustees. directors and members of Brake are now all the same people. Company law requires the Trustees to prepare finan¢ial stalements for each financial year which give a true and fair view of the slate of affairs of the ¢haritsble ¢ompany and of the inming resources and appli¢aty'on of resoL1rs, including the income and expenditure. of the charitable company for that period. In preparing those financial stslements. the trustees are required to select suitable accounting rx)licies and then apply them consislendy.. - observe the methods and principles in the Charity SORP.. - make judgements and esb"mates that are reasonable and prudenl.. prepare the financial statements on the going concem basis unless it is inappropriate to presume that the charitable company will continue in business. The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy al any time the financial posits.on of the charitable company and to 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 hen for taking reasonable steps for the prevention and detecbon of fraud and other Irregularites. In so far as the Trustees are aware.. there is no relevant audit infomiabon of which the charitable company's auditors are unaware., and the Trustees have taken all steps that they ought lo have taken to make themselves aware of any relevant audit Information and to establish that the auditors are aware of that inforniab"on. AUDITORS The auditors, Haines Watts, wll k prowsed for r&appointment at the forthcoming Annual General Meeting. Approved by order of the iK)ard of trustees on 18 October 2023 and signed on ils behalf by." leknhJZes¥ //kn/e D S Sleightholme- Trustee Page 8
Re ort of the Inde Brake ndent Audrtors to the Member5 of Opinion We have audited the financial slalements of Brake Ilhe '¢harrtable company'l for the year ended 31 Dember 2022 which comprise the Ststement of Financial Aclivilies, the Balan Sheet. the Cash Flow ststemenl and notes to the financial statements. induding 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 (United Kingdom Generalty Attepled A¢¢ounling Pra¢b'¢el- In our opinion the financial statements.. give a Inje and fair view of the stsle of the charrtable MpanY'S affairs as at 31 Drnber 2022 and of its incoming resources and application of resources. induding its income and expenditure. for the year then ended.. have been properfy prepared in a¢¢ordance with United Kingdom Generally ApIed Accounting Practice., and have been prepared in accordan with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordan 1ntemab.onal Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are fvrther described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordan with the ethical requirements that are relevant lo our audit of the financial slalemenls in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordan wrth these requirements. We believe that the audit emdence we have obtained is sufficient and appropnale to provide a basis for our opinion. Concluslons relatlng to golng concern In auditing the financial ststemenls, we have ¢onduded 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 uncertainb'es relating lo events or conditions that, individualty or collectively, may cast signtficant doubt on the charrtable company's ability lo continue as a going COnM for a period of al least twelve months from when the financial statements are aulhorised for issue. Our responsibilib'es and the reswnsibilities of the trustees with respect to going conrn are deribed in the relevant sections of this repo other information The trLJStees are responsible for the other infomiation. The other infomiation comprises the information included in the Annual Report. other than the financial slatements and our Report of the Independent Auditors thereon. Our opinion on the financial statements does not cover the other informab.on and. except to the extent otherwise explicitly staled in our report, we do not express any fomi of assurance conclusion thereon. In connection with our audit of the financial statements. our responsibilty is to read the other information and. in doing so. consider whether the other informats.on is materialty inconsistent wth the financial statements or our knoedge obtained in the audit or otherwse appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise lo a material misstatement in the finanaal statements themsefves. If, based on the work we have performed, we conclude that there is a material misstatemenl of this other informab"on, we are required lo report that fact We have nothing to report in this regard. Oplnlons on other matters prescrfbed by the Companles Act 2006 In our opinion, based on the work undertaken in the course of the audit. the information given in the Ttustees, Report for the financial year for which the financial statements are prepared is consistent with the financial statements," and the Trustees, Report has been prepare¢J in accor¢Jance wth applicable legal reqU1Ments. Page 9
Re ort of the Inde Brake ndent Audrtors to the Member5 of Matters on whi¢h we a required to report by exception In the light of the knowledge and understsnding of the charitable company and ts environment obtsined in the course of the audit, we have not identified material misstslements in the Trustees, ReporL We have nothing lo report in respect of the following matters ere the Companies Act 2006 requires us lo report to you if, in our opinion.. adequate acwunling records have not been kept or retums adequate for our audit have not been reiVed from branches not visited by us,. or the financial slalemenls are not in agreement with the a¢wunling records and returns., or certain disclosures of trustees, remuneration specified by law are not made.. or we have not reiVed all the information and explanations we require for our audit.. or the trustees were not entided to take advantage of the small companies exemption from the requirement lo prepare a Strategic Report or in preparing the trustees. ReporL Responsibilities of trustees As explained more fulty in the Statement of Trustees. Responsibilib"es, the trustees (who are also the directors of the charitable company for the purposes of company lawl are responsible for the preparab.on 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 preparab.on of financial statements that are free from material misslalement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charitsble company's ability lo conbnue as a going concem, disclosing. as applicable. matters related to going concern and using the going concem basis of accounting unless the ttustees either intend to liquidate the chantable company or to ase operabons, or have no realistic alternative but to do so. Page 10
Re ort of the Inde Brake ndent Audrtors to the Member5 of Our spOnSibl11t1es for the audit of the financial statements Our objectives are to obtain 3$Onable assurance atK)ul whether the financial statements as a whole are free from material misslalemenl, whether due to fraud or error. an(J to issue a Report of the Independent Auditors that includes our opinion. Reasonable assuran is a high level of assurance. bul is not a guarantee that an audit conducted in accordance with ISAS IUKI VAII always delecl a material misslalement when il exists. Misslatemenls can arise from fraud or error and are Considered material if. individually or in the aggregate. they could reasonably be expected to Influen the economic decisions of users taken on the basis of these financial statements. The extent lo which our procedures are Capable of detng irregularities. including fraud is detailed below.. IrrularitIes, including fraud. are instances of non-compliance with laws and regulations. We design procedures in line with our resrM)nsibilities. ouuined above. to detect material misstatements in respect of irregularities, induding fraud. Our approach to identifying and assessing the risks of material misstatement in respect of irregularities. including fraud and non-compliance with laws and regulab"ons. was as follows.. the engagement partner ensured that the engagement team collectively had the appropriate competen. capabilities and skills to idents.fy or recognise non-compliance wth applicable laws and regulations,. we identified the laws and regulations applicable to the charity through discussions with trustees and other management., and from our commercial knovAedge and experience of the charity sector we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operats.ons of the charity. induding the Companies Act 2006, taxab.on legislation and data protection. anti-bribery, employment and health and safety legislation". - we assessed the extent of Complian with laws and regulats.ons identified above through making enquiries of management,. and Identified laws and regulats.ons were communicated wthin the audit team regularfy and the team remained alert to instanS of non-cOmplran throughout the audit We assessed the sUsptibIlity of the charrtls financial statements to mi5Stalement, including obtaining an understanding of how fraud might occur, by". making enquiries of management as to where they considered there was suscepb"bility to fraud, their knowledge of actual, suspected and alleged fraud-, considering the intemal controls in pla to mib.gate risks of fraud and non-complian with laws and regulations", and - understanding the design of the charivs remuneration policie5. To address the risk of fraud through management bias and override of controls, including the irnpact on revenue recognibon we". - performed analytical procedures to identify any unusual or unexpected relationships", le51ed journal entries to identify unusual Iran5actions", assessed whether judgements and assumptions made in determining the aecounling estimates sel out in note 3 were indicative of potential bias," and investigated the rationale behind significant or unusual transactions", and the use of data analytics to idenb'fy transactions requiring further investigation. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limrte(I to". - agreeing financial ststemenl disclosure to undedying supporting documentation". reading the minutes of meeb'ngs of the Iruslees." and enquiring of management as lo actual and potential Igat)n and claims There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions. the less likely il is that we would become aware of non-compliance. Audib'ng stsndards also limit the audit procedures required lo identify non-compliance with laws and regulations lo enquiry of the Iruslees and olhef management and the inspe¢lion ol regulatory and legal correspondence, if any. Material misstslements that arise due lo fraud can be harder lo detect than those that arise from error as they may involve deliberate concealment or collusion. Page 11
Report of the Independent Auditors to the Members of Brake
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 Report of the Independent Auditors.
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 the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Matthew Barton BA (Hons) FCA CTA (Senior Statutory Auditor) for and on behalf of Haines Watts Chartered Accountants & Statutory Auditors 3rd Floor 56 Wellington Street Leeds West Yorkshire LS1 2EE
26 October 2023
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Brake Statement of Financial Activities for the Year Ended 31 December 2022 2022 Total funds 2021 Total funds unrestn.cted fund Restn"cted funds Notes INCOME AND ENDOWMENTS FROM Charitable activities Road Safety Acivities Victim Support Activities Sudden Activities 64.599 287.516 9.905 251.201 633,769 315.800 921.285 9,905 297,246 494,010 502,093 other trading actniits.es Investment income 435.593 2.698 435,593 2,698 451,465 1,601 Total 800,311 884,970 1,685,281 1,746,415 EXPENDITURE ON Charitable activities Fundraising expenses Road Safety Acivities Victim Support Activits"es Sudden Activities 286.451 177.663 447.678 7.521 286.451 428.864 991.01 D 7,521 195,160 262,090 510,302 476,301 251,201 543,332 Total 919,313 794,533 1,713,846 1,443,853 NET INCOMEIIEXPENDITUREI 1119.0021 90.437 128.5651 302,562 RECONCILIATION OF FUNDS Totsl funds brought forward 1.0(K).710 36.716 1.037.426 734,864 TOTAL FUNDS CARRIED FORWARD 881,708 127,153 1,008,861 1,037,426 The notes fomi part of these financial ststements Page 13
Brake islered number 03260243 Balall Sheet 31 December 2022 2022 Total funds 2021 Total funds unrestn.cted fund Restn"cted funds Notes FIXED ASSETS Tangible assets 14 15,570 15,570 11,461 CURRENT ASSETS Debtors Cash at bank and in hand 15 340,312 835,367 340,312 962.520 154,736 1,312,701 127,153 1,175,679 127,153 1,302,832 1,467,437 CREDITORS Amounts falling due within one year 16 {309,5411 1309,5411 1441,4721 NET CURRENT ASSETS 866.138 127,153 993.291 1,025,965 TOTAL ASSETS LESS CURRENT LIABILITIES 881,708 127,153 1,008,861 1,037,428 NET ASSETS 881.708 127,153 1,008.861 1,037,426 FUNDS Unreslricled funds Restricted funds 18 881,708 127,153 1,000,710 36,716 TOTAL FUNDS 1,008,861 1,037,426 These financial statements have been prepared in accordance wih the provision5 applicable lo charitable companies subject lo the small companies regime. The financial ststements were approved by the Board of Ttustees and authorised for issue on 18 October 2023 and were signed on its behalf by. eknhJ7es¥ //12Skn/e D S Sleightholme- Trustee R W Cuerden - Trustee The notes fomi part of these financial ststements Page 14
Brake Cash Flow Statement for the Year Ended 31 Decernber 2022 2022 2021 Notes Cash flows from operating activities Cash generated from operations 1338.0761 210,389 Nel cash (used inllprovided by operating a¢bvibes 1338.076) 210,389 Cash flows from investing activities Purchase of tangib fixed assets Interest received 114.8031 2.698 {2,3191 1,601 Nel cash used in invesb.ng acb"vib"es {12,105} 17181 Change In Cash and cash equlvalents in the reporting riod Cash and cash equivalents at the beginning of the reporting period 1350.1811 209,671 1,312,701 1,103,030 Cash and cash equivalents at the end of the reporting period fj2.520 1,312,701 The notes fomi part of these financial ststements Page 15
Brake Notes to the Cash Flow Statement for the Year Ended 31 December 2022 RECONCILIATION OF NET IEXPENDITUREIIINCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES 2022 2021 Net lexpenditure}lincome for the reporting period las per the ststement of Flnanclal Actlvitles) Adju$tmenl$ for: Depreciation Charges Interest received Increase in debtors Decrease in creditors 128,5651 302,562 10.694 12.6981 1185.5761 1131.9311 8,640 {1,6011 138,5001 160,7121 Net cash (used inllprovided by operations 1338,0761 210,389 ANALYSIS OF CHANGES IN NET FUNDS At 111122 Cash flow At 31112122 Net cash Cash at bank and in hand 1,312.701 1350,1811 962,520 1,312.701 1350,1811 962,520 Total 1,312,701 1350,1811 962,520 The notes fomi part of these financial ststements Page 16
Brake Notes to the Financial Statements for the Year Ended 31 December 2022 GENERAL INFORMATION Brake is a charity, limited by guarantee. incorporated in England and Wales registered at 3rd Floor, 56 Wellinglon Street, Leeds. Wesl Yorkshire. LS1 2EE under company registered number 03260243 and charity registered number 1093244_ The principal pla of business is 38 Lion Chambers, John William Street, Huddersfield, HD1 1ES. ACCOUNTING POLICIES Basis of preparing the financial statements The financial ststements of the charitable company, which is a public benefit enb.ty under FRS 102, have been prepared In accordan with the charib.es SORP IFRS 1021 Accounting and Reporb"ng by Charities". Statement of Recommended Practice applicable to charib.es preparing their accounts in accordance wrth the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 leffeclive 1 January 20191,, Financial Rew)rb"ng Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland. and the Companies Acl 2006. The financial statements have been prepared under the historical cost convention. Company $latu$ The company is a company limited by guarantee. Each of the members of the charity have each undertaken lo contribute a maximum 01 £10 to the assets of the company in the event of the same being wound up while he or she is a member or within 1ve months of them ceasing to be a member. Going concem The financial statements have been prepared on a going conrn basis. The Trustees have reviewed and considered relevant infomiab"on, including the annual budget. in making their assessment. Based on these assessments and the current reSoUrS available, the Trustees have concluded that they can continue lo adopt the going conrn basis in preparing the annual rep)rt and accounts. Income All income is recognised once the company has entement to the income, (( is probable that the income wll be received and the amount of income receivable can k measured reliably. For legacies, entement is taken as the eadier of the date on which either." the company is aware that probate has been granted, the estste has been finalrled and nolificakn'on has been made by the execulorlsl lo the Trust that a distribution wll be made, or when a distribution is received from the estsle. Receipt of a legacy. in whole or in part, is only considered probable when the amount can be measured reliably and the company has been nobfied of the exe¢uto¢s intention lo make a distribution. Where legacies have been notified to the company, or the company is awa of the grants'ng of probate, and the criteria for income recognibon have not ken met, then the legacy is treated as a contingent asset and disclosed if material. Expenditure Expenditure is rognISed once there is a legal or conslructyve obligation tr) transfer economic benefit to a third paty, it is probable that a transfer of economic benefits will be required in setuement 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 attn"butable to a single activity are allocated directly to that activity. Shared costs which contribute lo more than one activity and supw)rt costs which are not attributable lo a single actvity are apportioned beeen those activib.es on a basis consistent with the use of reSoUrs. Central staff costs are allocated on the basis of b.me spent. and depreciation charges allocated on the PDrb"on of the assel's use. Fundraising costs are those incurred in seeking voluntary contn"butions and do not include the costs of disseminating Information in support of the charitable actwities. Support costs are those costs incurred directly in support of expenditure on the objects of the company and include project management carTied out al Headquarters. Costs of generab.ng funds are costs incurred in attracb.ng voluntary income, and those incurred in trading aCtltIeS that raise funds. Page 17
Brake Notes to the Financial Statements- conts.nued for the Year Ended 31 December 2022 ACCOUNTING POLICIES - Contlnued Expenditure Charitable activities and Govemance costs are costs incurred on the company's operab'ons. including support costs and costs relating to the governance of the company apportioned to charitable activities. Tangible fixed assets Depreciation is provided at the following annual rates in order to write off each asset over its esb"maled useful life. offi Equipment Cornputer equipment 10-20% straight line 33% Straight Line A review for Impairment of a fixed as5el is carried out rf events or changes in circumstan5 indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amoun15 are recogni5ed as impairments. Irnpairmenl losses are recognised in the Ststement of finanual ath"vrties incor)ra.ng income and expenditure aecounl. Taxation The charity is exempl from corporation tsx on rts charitstAe a¢b'vib'es_ Fund accounting General funds are unrestricted funds which are available for use at the discrebon of the Trustees in furtherance of the general objecb.ves of the company and which have not been designated for other purposes. Restricted funds are funds which are to be used in accordance wi(h spectfic reslricb.ons imposed by donors or which have been raised by the company for particular purposes. The costs of raising and administering such funds are charged against the spectfic fund. The aim and use of each restricted fund is sel out in the notes lo the financial statements. Operatlng leases Rentals under operab'ng leases are charged to the Statement of financial activities incorporating income and expenditu a¢Unt on a straight line basis over the lease tem. Pension costs and other post-retirement benefrts The charitable company operates a defined wntn'bution pension scheme. Contributions payable lo the charitable company's pension heme are ¢harged to the Statement of Financial Acty'vities in the period to which they relate. Interest receivable Interest on funds held on deposit is included when receivable and the amount can be measured reliabty by the company., this is nomialty upon nots"ficab"on of the interest paid or payable by the Bank. Debtors Trade and other debtors are recognised at the setuemenl amount after any trade discount offered. Prepayments a valued al the amount paid net of any trade discounts due. Cash at Bank and in hand Cash al bank and in hand includes cash and short lemi highly liquid investments with a short maturity of three months or less from the date of avISition or opening of the deposit or similar a¢wunl. Government grants Government grants relating to tangible fixed assets are treated as deferred income and released to the Statement of financial activities incorporating income and expenditure account over the expected useful lives of the assets concerned. Other grants are credited to the Statement of financial acb"vib"es incorporating income and expenditure account as the related expenditure is incurred. Page 18
Brake Notes to the Financial Statements- conts.nued for the Year Ended 31 December 2022 ACCOUNTING POLICIES - ¢ontlnued Liabilities and provisions Liabilities are recognised when there is an obligab.on 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 company anb"cipales It will pay to setue the debt or the amount it has received as adVand payments for the goods or services It must provide. Provisions are measured at the best estimate of the amounts required lo settle the obligats"on. Where the effect of the b.me value of money is material, the provision is based on the present value of those amounts. discounted at the pr&tax discount rate that reflects the risks specific lo the liability- The unwnding of the discount is recognised within interest payable and similar charges. Flnanclal Instruments The company only has financial as5els and financial liabilities of a kind that qualify as basic financial inslrumenls. Basic financial instrumen15 are inib.alfy recognised at transaction value and subsequently easured al their settlement value wlh the expIlo of bank loans which are subsequently measured al amorts'sed cost using the effectsve interest method. Concessionary loans Concessionary loans made to other public benefit entities are measured al cost less impairment. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY Preparation of the financial statements required management to make significant judgments and esbmales. The items In the financial statements where these key judgements and esb"males have been made include deferred income. OTHER TRADING ACTIVITIES 2022 2021 Community donations Corporate donations 275,482 160,111 266.610 184,855 435,593 451,465 INVESTMENT INCOME 2022 2021 Deposit account interest 2.698 1,601 Page 19
Brake Notes to the Financial Statements- conts.nued for the Year Ended 31 December 2022 INCOME FROM CHARITABLE ACTMTIES 2022 2021 Road Safety Vicbm Support Acts'vib'es Sudden Activities Total activities Total activities Road safety activities Victim support acty'vitses 315.800 315.800 931.190 297,245 996,104 921.285 9,905 315.800 921.285 9.905 1.246.990 1.293.349 During the year income totalling £607.771 {2021'. £797.6911 was received in the form of grants by the government and government associated bodies. Govemrnent Grants Department for Transport Purpose Support for the Nab"onal Road Vith"m servi and Road Safety Week Support for the Nab"onal Road Victirn Service Scottish Government Foreign, Commonwealth and Development Office Police and Crime Commissioners Support for the Nab"onal Road Victim Service Support for the Nab"onal Road Victim Service CHARITABLE ACTIVITIES COSTS Direct Costs (see note 81 Support sts (see note 91 Totsls Fundraising expenses Road Safety Activities Victim Support Activrties Sudden Aclivrties 180,437 339,409 749,639 7,521 106,014 89,455 241,371 286,451 428,864 991,010 7,521 1,277,006 436,840 1,713,846 DIRECT COSTS OF CHARITABLE ACTivrriES 2022 2021 staff costs Community fundraising Corporate fundraising Campaigns Support literature Helpline costs Sudden Road Safety Week Community events Research costs Professional engagement WEB LED Caseworker 1.064.527 10.235 1.454 466 3.484 1.202 6,523 15,768 21,411 851,213 11,199 9,987 1,190 10,705 6,928 66,934 17,359 18,945 5,045 11.586 2,837 53,295 63,400 28 88,124 1,277,OL 1,LE7,223 Page 20
Brake Notes to the Financial Statements- conts.nued for the Year Ended 31 December 2022 SUPPORT COSTS Manageme Fundraising expenses Road Safety Activities Victim Support Activities 1(6,014 89,455 241,371 436,840 Support costs, included in the above. are as follows.. 2022 2021 Road Safety Activities Victim Support Activities Fundraising expenses Total activities Total activities Wages Social security Pensions Premises and other costs Telephone & IT Auditors, remuneration Accountancy fees 54.241 3.140 6.760 26,264 12,448 1,607 1,554 45.769 2.650 5.704 22.161 10.503 1.356 1,312 123.497 7.149 15.389 59,797 28,341 3.659 3,539 223.507 12.939 27.853 108.222 51.292 6,622 6,405 209,752 9,068 27,889 89,407 32,705 7,809 106,014 89,455 241,371 436,840 376,630 10. NET INCOMEI{EXPENDITURE Nel incomellexpenditurel is stated after ¢hargingllcredib"ngi". 2022 2021 Depreciation - owned assets 10,694 8,640 11. TRUSTEES. REMUNERATION AND BENEFThS There were no Iruslees. remuneration or other benefits for the year ended 31 Dmber 2022 nor for the year ended 31 December 2021. Trustees. expenses There were no trustees. expenses paid for the year ended 31 December 2022 nor for the year ended 31 December 2021. Page 21
Brake Notes to the Financial Statements- conts.nued for the Year Ended 31 December 2022 12. STAFF COSTS 2022 2021 Wages and salaries Social security costs Other pension Costs 1.183.886 91,602 53.338 981,162 66,030 50,730 1.328.826 1,097,922 The average monthty number of empl¢)yees during the year was as folk)ws.' 2022 36 2021 28 Employees The number of employees whose employee benefits {excluding employer pension costs) exceeded £60.000 was.. 2022 2021 £60,001 - £70,000 13. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTivmES Unrestricted fund Restricted funds Total funds INCOME AND ENDOWMENTS FROM Charitable activities Road Safety Activities Victim Support A¢livilies Sudden Activities 61.166 260.888 236.080 233.122 502.093 297.246 494.010 502.093 Other trading activities Investment income 451.466 1.601 451.465 1.601 Total T15,121 971,294 1,746,415 EXPENDITURE ON Charitable activities FLJndraising expenses Road Safety Activities Victim Support Activities Sudden Activities 195.160 26.010 250.637 195.160 262.090 510.302 476.301 236.080 259.665 476.301 Total 471,807 972,046 1,443,853 NET INCOMEI{EXPENDITURE 303.314 17521 302,562 RECONCILIATION OF FUNDS Total funds brought forward 697.396 37,468 734.864 TOTAL FUNDS CARRIED FORWARD 1,000,710 36,716 1,037,426 Page 22
Brake Notes to the Financial Statements- conts.nued for the Year Ended 31 December 2022 14. TANGIBLE FIXED ASSETS Office Equipment Computer equipment Totsls COST Al 1 January 2022 Additions 18.506 49.242 14.803 67,748 14,803 Al 31 December 2022 18,506 64.045 82,551 DEPRECIATION Al 1 January 2022 Charge for year 12,262 1,801 44,025 8,893 56,287 10,694 At 31 December 2022 14,L3 52,918 66,981 NET BOOK VALUE At 31 December 2022 4,443 11,127 15,570 At 31 December 2021 6,244 5,217 11,461 15. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2022 2021 Trade debtors Other debtors Prepayments and accrued income 214,066 9,338 116,908 72,168 5,392 77,176 340,312 154,736 Included within other debtors is a ConSSiOnary loan arnount due frorn Brake New Zealand of £9,288 12021". £5,392). No interest is charged on this COnsSionary loan and Brake may demand repayment al any lime. 16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2022 2021 Trade Creditors Social secunty and other tsxes VAT Other creditors Accruals and deferred income 56.455 22,923 22,804 50,832 18,142 19,598 4,104 348,796 207,357 309,541 441,472 Deferred income within the a¢nts rel*es to items of income relating to a future period. Page 23
Brake Notes to the Financial Statements- conts.nued for the Year Ended 31 December 2022 17. LEASING AGREEMENTS Minimum lease payments under nOn-¢anlIable operating leases fall due as follows.. 2022 2021 Within one year Betren one and five years 46.232 67.500 46,203 115,308 113.732 161,511 18. MOVEMENT IN FUNDS Net movement in fvnds Al 31112122 At 111122 Unrestrlcted funds General fund 1,000,710 (119,0021 881,708 Restricted fund$ N Yorks Case Worker Helpline IRVA Wanwick NRVS Helpline PCC granvsponsors Pl Caseworkers 13,954 11.924 8.383 {31.9551 88.131 13,954 11,924 8,383 4,761 88,131 36.716 36,716 90.437 127,153 TOTAL FUNDS 1,037,426 128,5651 1,008,861 Nel movernent in fund5, included in the above are as follows". Incoming resources Resources expended Movement in fund5 Unrostrictgd funds General fund 800.311 1919,3131 1119,0021 Restricted funds Annual ReptIOn N Yorks Case Worker FLO Helpline IRVA Warwick NRVS Helpline PCC grantlsponsors Pl Caseworkers NRVS Scotland RSW Grants DFT Road Safety Week Fleet Awards YFB Toyota YFB Project 24 11.068 37.897 11.068 72.375 47.158 52.200 339.552 84.587 62.345 77.326 74.348 7,867 7,179 {11.0681 123.9431 111.0681 160.4511 138.7751 184.1551 {251.4211 184.5871 {62.3451 {77.3261 {74.3481 17.8671 17.1791 13,954 11.924 8.383 131.9551 88,131 884,970 (794.5331 90,437 TOTAL FUNDS 1,685,281 11.713,8461 128,5651 Page 24
Brake Notes to the Financial Statements- conts.nued for the Year Ended 31 December 2022 18. MOVEMENT IN FUNDS- ¢ontlnued Comparatives for movement in funds Net movement in funds At 31112121 Al 111121 Unrestricted funds General fund 697,396 303,314 1,000,710 Restrlcted funds NRVS Helpline PCC granusponsors 37,468 17521 36,716 TOTAL FUNDS 734.864 302.562 1.037,426 Comparative net movement in funds, included in the at1ve are as follows.. Incoming resources Resources expended Movement in funds Unrestricted funds General fund 715,121 1471,8071 303,314 Restricted funds Arval E Leaming Beep Beep Campaigns LED Grant DFT Curriculum H&M Grant Research Reports, DLG GFC Sponsorship GFC Webinars YFB War/Other FLO Helpline IRVA Warwick NRVS Other Packslsponsors NRVS Helpline PCC granvsponsors Case Worker McMJel Pl Caseworkers Sudden DHSC RSW Grants DFT Road Safety Week Fleet Awards Sudden LotterylBardays Sudden Other Sudden Resources Sudden Sponsorship CAV DG cib.es 7,605 1,261 21.522 2.500 11.246 12.600 9,060 {2.0771 23.246 136.566 41.012 21.001 38.000 10.013 136.7161 254.003 74.499 77.540 16.976 165.079 46.984 10.651 25.375 3.348 17,6051 11,2611 121.5221 12.5001 {11.2461 {12.6001 19.0601 2.077 123.2461 {136.5661 141.0121 121.0011 {38.7521 {10.0131 36.716 {254.0031 174.4991 {77.5401 {16.9761 {165.0791 146.9841 110.6511 125.3751 13.3481 17521 971,294 {972.0461 17521 TOTAL FUNDS 1,746,415 11,443,853) 302,562 Page 25
Brake Notes to the Financial Statements- conts.nued for the Year Ended 31 December 2022 19. EMPLOYEE BENEFIT OBLIGATIONS The charitsble wmpany operates a defined Contributions pension scheme. The assets of the scheme are held separately from those of the Charitable MpanY in an independently administered fund. The pension cost charge represents contn'bulions payable by the charitable company lo the fund and amounted to £53,339 12021 £50.7301. Conln'butions lotalling £257 12021 £4,102) were payable lo the fund at the balan sheet date an¢J are induded in ¢reditors. 20. RELATED PARTY DISCLOSURES During the year transacts.ons with Brake {New Zealand) ctcufred whereby Brake UK paid Brake INew Zealandl an amount totalling £75,C62 {2021.' £75.[8) to cover the cost of New Zealand based staff assisting Brake UK. As al 31 December 2022 the balan sheet contains a concessionary loan due from Brake INew Zealandl lotalling £9,288 12021." £5,392). The loan is interest free and repayable on demand from Brake. Page 26