OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2021-03-31-accounts

Company no. 4389411 Charity no. 1096398

Citizens Advice Stroud & Cotswold Districts Limited Report and Unaudited Financial Statements

31 March 2021

Citizens Advice Stroud & Cotswold Districts Limited

Reference and administrative details

For the year ended 31 March 2021

Company number 4389411
Charity number 1096398
Registered office and Unit 8 1st Floor
operational address Brunel Mall
London Road
Stroud
Gloucestershire
GL5 2BP
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:
Gordon Craig
Claire Feehily
John Hammond
Peter Inglesham resigned on 24 March 2021
Jane Kerr-Rettie resigned on 30 September 2020
Juliet Kilty
Elaine McCarthy appointed on 24 June 2020
Sarah Quinn appointed on 22 April 2020
Alan Wheeler resigned on 21 December 2020
Chief executive officer Sarah Telford resigned on 1 October 2020
and company secretary Elizabeth Hall appointed on 22 March 2021
Interim chief executive Alison Gibbon appointed on 2 October 2020, resigned on 21
March 2021
Bankers Unity Trust Bank NatWest
PO Box 7193 Bank Buildings, George Street
Planetary Road Stroud
Willenhall Gloucester
WV1 9DG GL5 3DT
Scottish Widows Bank
PO Box 883
Leeds
LS1 9TY
Independent Godfrey Wilson Limited
examiners Chartered accountants and statutory auditors
5th Floor Mariner House
62 Prince Street
Bristol
BS1 4QD

1

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

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 (effective from January 2019).

Structure, governance and management

Governing document

The organisation is a registered charity. It became incorporated on 7 March 2002 as a company limited by guarantee with charitable status and is governed by its Memorandum and Articles of Association. The name of the organisation was changed, on 13 September 2016, to Citizens Advice Stroud & Cotswold Districts Limited and the Articles of Association were amended accordingly.

Recruitment and appointment of trustees

Trustees are recruited from the local community, with particular individuals and communities targeted depending on the skills or knowledge gaps identified by serving trustees. Interested individuals are required to submit a statement of their experience and qualifications and go through a selection process operated by the Chair of trustees and then elected by the charity's membership at the annual general meeting. Additional trustees may be co-opted by the board of trustees during the year.

During 2021, the trustees reviewed the present structure and diversity of the board and commenced a recruitment drive for new trustees from the local area; local community groups and stakeholders. A new trustee information pack was developed alongside a comprehensive application pack. Despite a reported national shortage of individuals willing to act as trustees, there was a very positive response to widespread advertising that resulted in a number of new trustees being selected and who will be invited to join the board at the AGM. In addition, further trustees may be co-opted after the Annual General Meeting.

The board has been most impressed by the interest, experience and quality of the prospective new trustees and are confident that the new board will be able to develop and continue to meet the challenges that face Citizens Advice in these uncertain times.

Trustee induction and training

There are induction procedures for new trustees to make them aware of their role and training is offered throughout their term of office.

Trustees are encouraged to attend appropriate external training events where these will facilitate the understanding of their role.

Organisational structure

Citizens Advice Stroud and Cotswold Districts Limited is an independent member of Citizens Advice, the operating name of the National Association of Citizens Advice Bureaux, which provides a framework for standards of advice and casework management as well as monitoring progress against these standards. Citizens Advice appoints a representative who is invited to attend the board as a non-voting member.

The charity is governed through a trustee board. Trustees who have held office during the year are listed on page 1. The Articles of Association provide for a minimum of three and a maximum of twenty-one trustees.

2

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

The voluntary board of trustees governs the charity and defines overall policy and future strategy. It also monitors performance, risk and the quality of service. The board is ultimately responsible for the financial control of the organisation and for financial reporting to its members and others. All trustees have a responsibility to safeguard the resources of the organisation, and to use them in an economical and effective way furthering the work of the charity. The trustee board meets every two months at least, in addition to holding its Annual General Meeting.

The board has two sub-committees, the Finance and Risk sub committee and the HR sub committee which meet regularly throughout the year. These discuss and work on issues in more detail and make recommendations to the board. Only the full board can make decisions, but the board can delegate authority to a sub committee to make a decision on a specific issue. The Finance and Risk Sub Group of the board is delegated responsibility for receiving and scrutinising the quarterly financial reports, annual budget, all other financial issues and the organisational risk log, and making recommendations to the full board.

The trustee board discusses the finances on a quarterly basis. Financial reports are circulated in advance of board meetings and are scrutinised in detail by the Finance and Risk Sub Group. Day to day management of the charity is delegated to the Chief Executive Officer. In addition, there is an experienced team of paid staff and volunteers who are key to the service offered by the charity. Decisions are made by the trustee board in line with the business development plan and are reviewed at least annually.

The senior management team meet to review progress against targets and the charity's financial position and to discuss issues referred to them by the trustee board. Reports and recommendations are then taken to the full board for approval, and their implementation is organised by the chief executive and the staff team. There are regular staff, volunteer meetings and senior management team meetings which ensure that progress is being made against targets. There is an Annual General Meeting, which involves the staff team, trustee board, members, and other stakeholders.

The day to day service is delivered by a team of 127 volunteers assisted by a small team of paid staff. In the Cotswold District, the charity operates under the name of Citizens Advice Cotswold District from its main office in Cirencester. Pre-pandemic the charity also operated from outreach advice outlets in Tetbury and Moreton-in-Marsh. In the Stroud District, the charity operates under the name of Citizens Advice Stroud District from its main office in Stroud. Pre-pandemic, there were with outreach advice outlets in Berkeley, Dursley, Nailsworth, Stonehouse and Wotton-under-Edge.

Key risks and uncertainties

The organisation actively monitors its risk profile by way of a risk register, which identifies the principal risks, the likelihood of occurrence and their potential impact on the work of the charity. The register, together with the wider risk landscape and environment is regularly considered by the Finance and Risk Sub Group, which meets monthly, and thereafter by the board.

Key risks and issues currently being managed and expected are:

3

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

Objectives and activities

Objects

The charity's objects are to promote any charitable purpose for the public benefit by the advancement of education, the protection and preservation of health and the relief of poverty, sickness and distress in particular, but without limitation, for the benefit of the community in the Districts of Stroud, Cotswold, Gloucestershire and surrounding areas.

In furtherance of these objectives, the company provides advice and information via a variety of communication channels. Our aims are focused on:

Our service provides free, independent, confidential and impartial advice to everyone on their rights and responsibilities. We value diversity, promote equality and challenge discrimination.

The charity has developed its own vision statement to reflect its ambition to become the leading advice service across Stroud and Cotswold Districts:

A caring, dynamic and skilful organisation reaching out to every corner of the community to supply quality advice and support…. The advice service of choice!

Ensuring our work delivers our aims

We have carried out a robust and forward thinking review of the past year as part of our business planning for 2021-24.

The current year plan contains a detailed action plan for 2021-22 along with an outline of potential activities for 2022-23 and 2023-24. The plan will be monitored and reviewed by the board on a quarterly basis. In carrying out the reviews we are ensuring that that our aims, objectives and activities are in line with our stated purpose.

How our activities deliver public benefit

Our main activities and who we try to help are described below. All our charitable activities focus on providing the advice people need for the problems they face and are undertaken specifically to provide public benefit. The board of trustees have had due regard to the Charity Commission guidance on public benefit and have complied with the duty in section 4 of the Charities Act 2011.

4

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

Achievements and performance

Advice and information services

The main areas of charitable activity are:

The Covid-19 pandemic has had a significant impact on the ways we have continued to offer advice and information. We have continued to offer advice and information in the following ways:

Clients are given a diagnostic assessment first where we aim to resolve their issue if possible. Should full advice be needed clients can be given telephone appointments.

Clients who need debt or benefit casework services have been dealt with remotely via telephone and email advice.

Due to the Covid-19 pandemic we have been unable to see clients face to face, either at appointment or via drop in.

In addition to general advice, the following specialist services were provided:

Whilst we aim to empower clients to resolve their problems using the advice we give, many of our clients need additional support in order to achieve a solution. This may be due to the vulnerability of the client, the complexity of the problems or a combination of the two.

5

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

We do not limit clients to a set number of appointments or to a limited timescale that they can access our help. Where needed and with the appropriate consent, we contact third parties on behalf of clients by making telephone calls or writing letters.

Some clients will need appointments over several weeks or months with multiple specialists within the organisation. For example a client with debt issues may need not only debt advice, but specialist benefits advice and support as well as specialist energy advice to maximise their income and ensure that their income will be sufficient to avoid further debt issues in the future.

Contribution of Volunteers and Paid Staff

The charity’s success could not have been achieved without the hard work and dedication of volunteers and staff. The trustee board and senior management team recognise the tremendous contribution made by the charity’s volunteers in advising the public and administering the service without which the service could not operate. Throughout 2020/21 the service employed 22 paid workers and 127 volunteers together delivering projects in addition to the core service.

Volunteers represent the indispensable core of the service for without them there would not be a Citizens Advice service.

We were fortunate during the pandemic to have a high percentage of volunteers prepared to work remotely and that many volunteers continued with volunteering with us at the same time as managing increased caring responsibilities for friends, neighbours and family members.

In pre pandemic times, the volunteer advisers and receptionists contributed, on average, 7 hours per week each. However, during 2020-21, we are very aware that many volunteers (and indeed staff) worked for many more hours than they did when we were in the offices. We are very grateful to everyone for their commitment to our clients and the running of our service.

One impact of remote working has been the reduction in volunteer expenses down from £33,205 in 2019-20 to £1,792 in 2020-21. Volunteers are unable to claim the tax relief for additional household costs for expenses incurred volunteering. The trustees were pleased to approve a working from home allowance for volunteers, to reflect the costs that may be incurred. Expenses over and above this allowance can still be claimed.

Volunteers also bring many other skills to the service. Citizens Advice Stroud and Cotswold Districts has continued to recruit and train staff and volunteers throughout the pandemic. We consistently review our training offer to ensure that we provide an accessible and welcoming place to volunteer.

Who used and benefited from our services?

During the reporting year the organisation:

6

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

Our staff and volunteers assist a wide range of clients:

Other successful initiatives include:

Factors affecting the achievement of objectives

The year ending 31 March 2021 was an immensely challenging year for Citizens Advice Stroud and Cotswold Districts with the issues of lockdown and remote working.

There have been significant staffing changes at senior management level, including the departure of the previous CEO. An interim CEO was appointed in September 2020 and a new CEO started in March 2021. These changes had a significant impact on the organisation’s ability to deliver on its strategic and operational objectives. This resulted in the deferment of a number of activities during the year.

The organisation moved quickly over to remote working in March 2020 and staff and volunteers have continued to adapt and adjust the way we work, as a temporary situation became the new normal. The move to Microsoft Teams and cloud based technology has brought with it significant organisational benefits which we plan to retain as we return to the offices and face to face services.

Whilst we have been working remotely throughout the Covid-19 pandemic, we are aware that some vulnerable and disadvantage clients have found it hard to access our services via telephone and email. Ensuring that those clients can access our advice is one of the key priorities for 2021-22.

Financial review

The trustees have continued to focus on delivering a cost-effective service that meets the needs of our clients.

7

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

Income for the year was £614,044. We spent £502,859 giving a surplus of £111,185. The surplus will be used to support the charity in 2021-22. The charity has total reserves of £424,071 – please see the breakdown on page 14 for further details.

We are very grateful to everyone who has contributed to the organisation, be that from donations, legacies, grants and voluntary effort. During the year we received funding from Citizens Advice, Stroud District Council, Cotswold District Council, Gloucestershire County Council, the Home Office, Good Things Foundation, the Julia and Hans Rausing Trust, the National Lottery, Nationwide, Police Crime Commissioner for Gloucestershire, St James’s Place, North Cotswolds Foodbank, Cirencester Foodbank, and Town and Parish Councils.

We continue to receive core funding from Stroud District Council, Cotswold District Council and Gloucestershire County Council and thank them for their ongoing support. We are also grateful to those local town and parish councils who have been able to make grants available to us, during this difficult year.

The reporting year was the final year of the five year Big Lottery’s Help through Crisis Project. We received a grant from the Good Things Foundation to support clients using HMRC’s online services. We continue to receive a grant from Stroud District Council for preventing homelessness through debt advice. We also received funding from national Citizens Advice for energy advice, the Help to Claim project and funding for a debt trainee under the Money Advice and Pensions Service Increasing Capacity project. We received a grant from the Office of the Police Crime Commissioner to support clients experiencing domestic abuse. We also received funding from the Home Office for the EU Settlement Scheme project with partner agencies in Gloucestershire. The North Cotswold Foodbank and the Cirencester Foodbank have each funded a dedicated foodbank adviser for foodbank clients in their respective areas.

We are grateful to our two district-based, volunteer led, fundraising groups. Whilst Covid -19 has had an impact on their ability to raise money through street collections and fundraising activity, they have continued to find innovative ways to raise funds, increase our profile and promoted the organisation.

In addition we are grateful to the local businesses who have supported our work, whether indirectly through the provision of reduced-rate services or premises, or through donations.

The trustees have considered the impact of the Covid-19 pandemic on the charity’s current and future financial position. We were successful with applications for emergency funding and ended the financial year in a stronger position than originally expected.

We continue to review our expenditure and reduce costs where it is prudent to do so.

The trustees consider that the charity will continue as a going concern for a period of at least 12 months from the date on which these financial statements are approved for the following reasons:

The trustees therefore consider it appropriate to adopt the going concern basis for the preparation of the accounts, as detailed in note 1(b) to the financial statements.

At the meeting in May 2021, the trustee board approved the funding and expenditure budgets for 2021/22.

8

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

Stroud PR and Fundraising Committee

The Covid pandemic has made it a very difficult year for all aspects of work at Citizens Advice. It has obviously affected fundraising as we have been unable to arrange any outside events. Fortunately, the comprehensive list of local papers and village magazines we have assembled has enabled us to regularly send out information on benefits, scams and other matters; it has also helped to let people know how to contact us.

However, the year has not been without encouragement; we were delighted to receive some unsolicited donations from people who realised how essential it was to maintain an organisation which can provide advice and help for those in need - this included individuals as well as a local charity.

We continue to be enormously grateful to our regular donors who enable the organisation to be able to plan and keep essential expert advisors in post. As always, we are seeking ways to encourage more people to consider regular giving, however small the amount. We also ask if people would consider remembering us in their will.

Last year our group raised nearly £30,000. The majority of this is from standing orders and donations (plus gift aid reclaimed from HMRC) amounting to some £24,000 and there was one legacy of £5,000.

The group envisages that a total amount of about £23,000 will be raised in the current financial year. The generosity of donors plays a vital part in helping to maintain the present service in the Stroud District.

We would greatly appreciate any help that can be given to increase our donors group.

The future:

Friends of Cirencester CAB

Owing to the lockdowns and Covid restrictions, it was not possible to organise any fundraising events, and a proposed street collection in Cirencester had to be cancelled twice. The Friends' trustees are still meeting regularly and are intending to arrange fundraising and publicity activities as soon as circumstances permit.

Reserves policy

The reserves policy for Citizens Advice Stroud & Cotswold Districts is reviewed annually by the board. We maintain free reserves at such a level as: (i) to provide adequate working capital in the event of potential changes of funding from major funders, (ii) to meet staff redundancy costs and premises costs should the organisation have to severely reduce in size, (iii) Provision for settlement of The Pension Trust Employer Debt, in the event that the organisation is forced to close and has no active employees in The Pension Trust, (iv) to mitigate some key risks facing the charity. In particular, the target level for free reserves aims to give a reasonable chance of survival should one of these risks occur: it is recognised that it is not possible, nor it is intended, to protect against every risk. The board assesses the charity's target and actual reserves annually. When the level of reserves is materially different from the target level, the board will determine what action should be taken.

9

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

Our reserves target is £96,222. We measure free reserves as general unrestricted funds less undepreciated fixed assets, less the budget deficit. Our free reserves at 31 March 2021 were £50,823.

By September 2021 we had raised £43k of the £46k deficit and are confident of raising more funds by the end of the financial year.

Plans for future periods

The trustee board approved the business plan for 2021-24 in July 2022. A robust and forward thinking review took place as part of the business plan process. This plan is an opportunity to reset and refocus the organisation and build solid and lasting foundations, after a particularly challenging year. Covid-19 has had a huge impact on our organisation, our services and our clients but there have also been opportunities, as well as challenges.

The action plan is based on the five areas of focus in Citizens Advice “Future of Advice Strategic Framework” (2019-2022/3): Advice, Advocacy. Technology, Sustainability and Culture. Key aims for the next 12 months include:

Statement of responsibilities of the trustees

The trustees (who are also directors of the charity for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (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 charity and of the income and expenditure of the charity for that period. In preparing those financial statements the trustees are required to:

10

Citizens Advice Stroud & Cotswold Districts Limited

Report of the trustees

For the year ended 31 March 2021

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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.

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 trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

Independent examiners

Godfrey Wilson Limited were appointed as independent examiners to the charitable company during the year and have expressed their willingness to continue in that capacity.

Approved by the trustees on 6 October 2021 and signed on their behalf by

Juliet Kilty - Chair

11

Independent examiner's report

To the trustees of

Citizens Advice Stroud & Cotswold Districts Limited

I report to the trustees on my examination of the accounts of Citizens Advice Stroud & Cotswold Districts Limited (the charitable company) for the year ended 31 March 2021, which are set out on pages 13 to 31.

Responsibilities and basis of report

As the trustees of the charitable 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 charitable 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 the charitable 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

Since the charitable company’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales (ICAEW), which is one of the listed bodies.

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

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.

Alison Godfrey

Date: 7 October 2021 Alison Godfrey FCA Member of the ICAEW For and on behalf of: Godfrey Wilson Limited Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD

12

Citizens Advice Stroud & Cotswold Districts Limited

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

For the year ended 31 March 2021

Restricted Unrestricted
Note
£
£
Income from:
Donations and legacies
3
-
84,042
Charitable activities
4
256,682
273,054
Other trading activities
-
196
Investments
-
70
Total income
256,682
357,362
Expenditure on:
Raising funds
-
68,849
Charitable activities
259,999
174,011
Total expenditure
5
259,999
242,860
Net income / (expenditure)
(3,317)
114,502
Transfers between funds
39,152
(39,152)
Other recognised gains / (losses):
-
3,108
Net movement in funds
7
35,835
78,458
Reconciliation of funds:
Total funds brought forward
77,369
232,409
Total funds carried forward
113,204
310,867
Gains / (losses) on remeasurement of
defined benefit pension scheme		 2021
Total
£
84,042
529,736
196
70
614,044
68,849
434,010
502,859
111,185
-
3,108
114,293
309,778
424,071		 2020
Total
£
50,757
526,780
275
72
577,884
25,320
443,811
469,131
108,753
-
4,245
112,998
196,780
309,778

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 15 to the accounts.

13

Citizens Advice Stroud & Cotswold Districts Limited

Balance sheet

As at 31 March 2021

Note
Fixed assets
Tangible assets
10
Current assets
Debtors
11
Cash at bank and in hand
Liabilities
Creditors: amounts falling due within 1 year
12
Net current assets
Total assets less current liabilities
Provisions for liabilities
13
Net assets
14
Funds
15
Restricted funds
Unrestricted funds
Designated funds
General funds
Total charity funds		 £
40,169
440,034
480,203
(52,832)		 2021
£
13,513
427,371
440,884
(16,813)
424,071
113,204
167,673
143,194
424,071		 2020
£
20,842
18,479
322,515
340,994
(32,137)
308,857
329,699
(19,921)
309,778
77,369
114,023
118,386
309,778

The directors are satisfied that the company is entitled to exemption from the provisions of the Companies Act 2006 (the Act) relating to the audit of the financial statements for the year by virtue of section 477(2), and that no member or members have requested an audit pursuant to section 476 of the Act.

14

Citizens Advice Stroud & Cotswold Districts Limited

Balance sheet

As at 31 March 2021

The directors acknowledge their responsibilities for:

These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.

Approved by the trustees on 6 October 2021 and signed on their behalf by

Juliet Kilty - Chair

15

Citizens Advice Stroud & Cotswold Districts Limited

Statement of cash flows

For the year ended 31 March 2021

Cash flows from operating activities:
Net movement in funds
Adjustments for:
Depreciation
Interest received
Loss / (profit) on the sale of fixed assets
Decrease / (increase) in debtors
Increase / (decrease) in creditors
Increase / (decrease) in provisions
Net cash provided by / (used in) operating activities
Cash flows from investing activities:
Dividends, interest and rents from investments
Proceeds from the sale of property, plant and equipment
Purchase of tangible fixed assets
Net cash provided by / (used in) investing activities
Increase / (decrease) in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 2021
£
114,293
7,329
(70)
-
(21,690)
20,695
(3,108)
117,449
70
-
-
70
117,519
322,515
440,034		 2020
£
112,998
6,735
(72)
(275)
27,352
(3,819)
(4,245)
138,674
72
275
(18,283)
(17,936)
120,738
201,777
322,515

The charity has not provided an analysis of changes in net debt as it does not have any long term financing arrangements.

16

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

1. Accounting policies

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 in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Citizens Advice Stroud & Cotswold Districts Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.

b) Going concern basis of accounting

The accounts have been prepared on the assumption that the charity is able to continue as a going concern. Despite the impact of the ongoing Covid-19 pandemic, the charity holds unrestricted general net current assets of £146k, designated funds that could be drawn down if necessary of £168k and a cash balance of £440k at 31 March 2021. The charity also has significant confirmed funding for 21/22, a positive cash flow forecast and reduced forecasted expenditure for the next 12 months. On this basis the trustees consider that the charity will continue as a going concern for a period of at least 12 months from the date on which these financial statements are approved.

c) Income

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

Income from the 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 Trust 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 treated as a contingent asset and disclosed if material.

d) Interest receivable

17

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

1. Accounting policies (continued)

e) Funds accounting

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

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

g) Allocation of support and governance costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities on the following basis, which is an estimate of staff time:

2021 2020
Raising funds 11.6% 0.0%
Charitable activities 88.4% 100.0%

In the prior year, these costs were 100% allocated to charitable activities on the basis that the vast majority of support and governance costs were wholly attributable to charitable activities.

h) Tangible fixed assets

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

Computer equipment 3 years straight line Fixtures and fittings 20% reducing balance

Items of equipment are capitalised where the purchase price exceeds £1,000.

i) 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.

j) 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.

18

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

1. Accounting policies (continued)

k) Creditors

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.

l) Financial instruments

The charitable company 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 recognised at amortised cost using the effective interest method.

m) Pension costs (defined contribution)

The charitable company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charitable company in an independently administered fund. The pension cost charge represents contributions payable under the scheme by the charitable company to the fund. The charitable company has no liability under the scheme other than for the payment of those contributions.

n) Pension costs (defined benefit)

The charitable company participates in a multi-employer defined benefit pension scheme. It is not possible for the charitable company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. The scheme is therefore accounted for as a defined contribution scheme. A provision is recognised in these accounts for the net present value of future contributions payable under the scheme (see note 13). The valuation is determined with reference to the charity's pension provider, TPT Retirement Solutions.

o) Finance and operating leases

Rentals payable under operating leases are charged to the SOFA over the period in which the cost is incurred. The charity has no finance leases.

p) Accounting estimates and key judgements

In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are depreciation as described in note 1 (h) and the pension provision as per note 1 (n).

19

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

2. Prior period comparatives: statement of financial activities

Restricted
£
£
Income from:
Donations and legacies
-
50,757
Charitable activities
204,733
322,047
Other trading activities
-
275
Investments
-
72
Total income
204,733
373,151
Expenditure on:
Raising funds
-
25,320
Charitable activities
135,443
308,368
Total expenditure
135,443
333,688
Net income / (expenditure)
69,290
39,463
Transfers between funds
(12,021)
12,021
Other recognised gains / (losses):
-
4,245
Net movement in funds
57,269
55,729
3.
Income from donations
2021
Restricted
Total
£
£
£
Donations
-
30,909
30,909
Legacies
-
50,000
50,000
Fundraising
-
3,133
3,133
Total income from donations
-
84,042
84,042
Unrestricted
Unrestricted
Gains / (losses) on remeasurement of defined benefit
pension scheme		 2020
Total
£
50,757
526,780
275
72
577,884
25,320
443,811
469,131
108,753
-
4,245
112,998
2020
Total
£
41,046
-
9,711
50,757

All income from donations in the prior year was unrestricted.

20

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

4. Income from charitable activities

Income from charitable activities
Stroud District Council - core funding
Help Through Crisis
Cotswold District Council - core funding
Help 2 Claim
St James Place Foundation
Stroud District Council - housing related debt
Covid grants
Citizens Advice - money advice service
North Cotswold Foodbank
Cirencester Foodbank
Citizens Advice - energy advice program
Town and Parish Councils
Citizens Advice - BESN / BESW - energy project
Good Things Foundation
Other grants
Julia and Hans Rausing Trust
Police & Crime Commissioner for Gloucester
Total income from charitable activities
Prior period comparative:
Stroud District Council - core funding
Help Through Crisis
Cotswold District Council - core funding
Nationwide Mental Health
Help 2 Claim
Citizens Advice - EBDX - energy project
Stroud District Council - housing related debt
Gloucestershire County Council - core funding
Town and Parish Councils
Other grants
St James Place Foundation
Julia and Hans Rausing Trust
The Summerfield Trust
Gloucestershire County Council - mental health debt
Good Things Foundation
Police & Crime Commissioner for Gloucester
Total income from charitable activities
Gloucestershire County Council - EU settlement scheme
and core funding		 Restricted
£
£
-
125,000
85,175
-
-
66,420
31,013
-
30,925
10,000
25,260
-
11,800
25,000
-
24,909
19,858
-
11,991
-
7,250
-
12,390
-
-
9,325
9,000
-
7,020
-
-
6,900
-
5,500
5,000
-
256,682
273,054
Restricted
£
£
-
125,000
84,944
-
-
66,420
50,000
-
-
32,428
-
30,605
25,185
-
-
25,000
-
17,594
16,000
-
12,000
-
-
10,000
-
10,000
9,104
-
7,500
-
-
5,000
204,733
322,047
Unrestricted
Unrestricted		 2021
Total
£
125,000
85,175
66,420
31,013
40,925
25,260
36,800
24,909
19,858
11,991
7,250
12,390
9,325
9,000
7,020
6,900
5,500
5,000
529,736
2020
Total
£
125,000
84,944
66,420
50,000
32,428
30,605
25,185
25,000
17,594
16,000
12,000
10,000
10,000
9,104
7,500
5,000
526,780

21

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

4. Income from charitable activities (continued) Government grants

The charitable company receives government grants, defined as funding from local, town and parish Councils, the Police & Crime Commissioner and the Big Lottery Fund to fund charitable activities. The total value of such grants in the period ending 31 March 2021 was £280,914 (2020: £273,303). There are no unfulfilled conditions or contingencies attaching to these grants.

5. Total expenditure

Total expenditure
£
Staff costs (note 8)
26,867
Grants paid (note 6)
-
Staff and volunteer expenses
-
Staff and volunteer training
-
Staff recruitment expenses
-
Premises costs
-
Communications & IT
-
General office
299
Finance costs
-
Consultancy costs
15,205
Governance costs
-
Depreciation costs
-
Sub-total
42,371
Allocation of support and governance costs
26,478
Total expenditure
68,849
Raising funds		 £
£
205,655
89,231
20,836
-
1,792
-
1,182
-
1,505
-
-
41,553
-
14,238
-
22,729
-
21,013
364
28,914
-
4,147
-
7,329
231,334
229,154
202,676
(229,154)
434,010
-
Charitable
activities
Support and
governance		 £
321,753
20,836
1,792
1,182
1,505
41,553
14,238
23,028
21,013
44,483
4,147
7,329
2021
Total
502,859
-
502,859

Total governance costs were £4,147 (2020: £2,893).

22

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

5. Total expenditure (continued) Prior period comparative

Staff costs (note 8)
Grants paid (note 6)
Staff and volunteer expenses
Staff and volunteer training
Staff recruitment expenses
Premises costs
Communications & IT
General office
Finance costs
Governance costs
Depreciation costs
Sub-total
Allocation of support and governance costs
Total expenditure		 £
25,020
-
-
-
-
-
-
300
-
-
-
25,320
-
25,320
Raising
funds		 £
£
182,877
83,465
23,305
-
33,205
-
2,668
-
1,522
-
-
53,192
-
12,108
-
25,081
-
16,760
-
2,893
-
6,735
243,577
200,234
200,234
(200,234)
443,811
-
Charitable
activities
Support and
governance		 £
291,362
23,305
33,205
2,668
1,522
53,192
12,108
25,381
16,760
2,893
6,735
2020
Total
469,131
-
469,131

23

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

6. Grants payable to institutions

Chum Neighbourhood Project
GL11 Community
Stroud Bereford Group
Stroud District Foodbank
Sundry grants		 2021
£
8,376
8,000
4,460
-
-
20,836		 2020
£
8,650
8,000
4,460
1,042
1,153
23,305

All grants are paid to fund charitable activities. The grants shown above do not include any contribution to core costs.

7. Net movement in funds

This is stated after charging:

Depreciation
Trustees' remuneration
Trustees' reimbursed expenses
Independent examiners' remuneration:
Independent examination (including VAT)		 2021
£
7,329
Nil
Nil
3,000		 2020
£
6,735
Nil
Nil
2,880

8. Staff costs and numbers

Staff costs were as follows:

Salaries and wages
Social security costs
Pension costs		 2021
£
288,200
17,894
15,659
321,753		 2020
£
255,997
17,282
18,083
291,362

Included within salaries and wages above are termination and redundancy payments of £12.9k (2020: £nil).

No employee earned more than £60,000 during the year.

The key management personnel of the charitable company comprise the Trustees, Chief Executive Officer, and Advice Service Managers. The total emoluments paid to key management personnel, including termination payments and invoiced costs paid to the interim Chief Executive, for the year was £144,812 (2020: £89,091).

24

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

8. Staff costs and numbers (continued)

Average head count 2021
No.
15.3		 2020
No.
15.8

9. Taxation The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

10. Tangible fixed assets

Tangible fixed assets
Cost
At 1 April 2020
Additions in year
At 31 March 2021
Depreciation
At 1 April 2020
Charge for the year
At 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020
Debtors
Prepayments
Accrued income		 £
29,352
-
29,352
14,732
6,085
20,817
8,535
14,620
Computer
equipment		 £
27,361
-
27,361
21,139
1,244
22,383
4,978
6,222
2021
£
9,513
30,656
40,169
Fixtures and
fittings		 £
56,713
-
Total
56,713
35,871
7,329
43,200
13,513
20,842
2020
£
5,469
13,010
18,479

11. Debtors

25

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

12. Creditors : amounts due within 1 year

Creditors : amounts due within 1 year
Trade creditors
Accruals
Other taxation and social security
Other creditors		 2021
£
6,021
44,431
585
1,795
52,832		 2020
£
8,810
13,427
8,274
1,626
32,137

13. Pension provision

The charitable company participates in a multi-employer defined benefit pension scheme. Provision has been made for the net present value of future contributions payable by the charity. The provision is valued based on information provided by TPT Retirement Solutions (dated 31 March 2021). The latest full actuarial valuation of the scheme was dated 30 September 2017 and required participating employers to pay additional contributions to the scheme. The movement on the provision is recognised on the SoFA as an other recognised (gain) / loss.

Provision at the start of the year
Movement in the year
Provision at the end of the year		 2021
£
19,921
(3,108)
16,813		 2020
£
24,166
(4,245)
19,921

26

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

14. Analysis of net assets between funds

Tangible fixed assets
Current assets
Current liabilities
Provisions
Net assets at 31 March 2021
Prior period comparative
Tangible fixed assets
Current assets
Current liabilities
Provisions
Net assets at 31 March 2020		 Restricted
funds
£
-
113,204
-
-
113,204
Restricted
funds
£
-
77,369
-
-
77,369		 Designated
funds
£
-
167,673
-
-
167,673
Designated
funds
£
-
114,023
-
-
114,023		 General
funds
£
13,513
199,326
(52,832)
(16,813)
143,194
General
funds
£
20,842
149,602
(32,137)
(19,921)
118,386		 Total
funds
£
13,513
480,203
(52,832)
(16,813)
424,071
Total
funds
£
20,842
340,994
(32,137)
(19,921)
309,778

27

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

15. Movements in funds

Movements in funds
Restricted funds
Housing related debt advice
Help through crises
Stroud benefits
Cotswold money advice
Mental health debt
Universal credit help to claim
Money advice service
Energy advice program
European Union settlement scheme
Foodbanks
Total restricted funds
Designated funds:
Stroud IT fund
Stroud advice
Cotswolds advice
EBDX project
Total designated funds
General funds
Total unrestricted funds
Total funds
Office of the Police and Crime
Commissioner
Big Energy Saving Network / Big
Energy Saving Winter
Unrestricted funds		 At 1 April
2020
£
422
14,731
10,543
-
51,673
-
-
-
-
-
-
-
77,369
12,715
78,318
1,290
21,700
114,023
118,386
232,409
309,778		 Income
£
25,260
85,175
25,945
12,000
-
31,013
19,858
12,390
11,800
19,241
5,000
9,000
256,682
-
253,924
103,438
-
357,362
-
357,362
614,044		 £
(36,475)
(99,906)
(2,420)
(28,532)
(8,084)
(17,232)
(18,708)
(7,492)
(20,586)
(10,306)
(8,041)
(2,217)
(259,999)
(6,040)
(129,766)
(107,054)
-
(242,860)
-
(242,860)
(502,859)
Expenditure		 £
£
10,793
-
-
-
-
34,068
16,532
-
-
43,589
-
13,781
-
1,150
-
4,898
8,786
-
-
8,935
3,041
-
-
6,783
39,152
113,204
-
6,675
(41,478)
160,998
2,326
-
(21,700)
-
(60,852)
167,673
24,808
143,194
(36,044)
310,867
3,108
424,071
Transfers
and other
gains
At 31 March
2021
113,204
6,675
160,998
-
-
167,673
143,194
310,867
424,071

Purposes of restricted funds

Housing related debt advice

To provide advice and support on housing related debt to clients in Stroud and district and in the Cotswold district.

Help through crises

A five- year partnership project funded by the Big Lottery Fund and led by ca-scd, aiming to support people in hardship crises to get the immediate help and items they need and also to equip them with the skills to prevent future crises.

28

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

15. Movements in funds (continued) Purposes of restricted funds (continued)

Stroud benefits

Funding from the Good Things Foundation to support people to get the information and advice they need from HMRC including helping them to use new online systems.

Cotswolds money advice Specialist casework advice to people in the Cotswolds with money problems to help them to maximise their income, reduce their debts and increase their confidence and competence in managing their financial affairs.

Mental health debt To provide funding to improve access to finance related advice for people with mental ill health.

Universal credit help to claim

The Citizens Advice Help to Claim service provides clients with advice and support in the early stages of a Universal Credit claim up until the first full payment is made.

Money advice service Funding for trainee debt adviser to increase the capacity of debt advice in order to meet predicted increased demand for debt advice as a result of Covid-19.

Energy advice program Funding to provide one-to-one advice to clients in fuel poverty, or in a fuel poverty risk group.

European Union settlement scheme Funding to provide advice and practical support to vulnerable EU, EEA and Swiss citizens living in Gloucestershire to help them make their EU Settlement Scheme application.

Foodbanks Funding to provide advice to clients of Cirencester and North Cotswolds Foodbanks.

Office of the Police and Crime Funding to support victims of domestic abuse. Commissioner

Big Energy Saving Network / Big Funding to help vulnerable consumers to reduce their energy costs, Energy Saving Winter and to run a campaign to raise awareness of energy issues.

29

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

15. Movements in funds (continued) Purposes of designated funds

Stroud IT fund

For the purchase of new computer equipment for the Stroud district.

Stroud advice

Funds raised are designated for the use by the Bureau in the Stroud and District local government area.

Cotswold advice Funds raised are designated for the use by the Bureau in the Cotswold and District local government area.

EBDX project For the provision of advising consumers on energy related matters and activities which support the provision of energy advice. This fund has been amalgamated with general funds in 2021.

Purpose of transfers between funds

The transfers from the Stroud Advice designated fund to the four restricted funds; and from the general fund to the Cotswold Advice designated fund; are to top up overspends on these projects.

Restricted funds
Phone system
Housing related debt advice
Help through crises
Stroud benefits
Cotswold money advice
Mental health debt
Stroud IT fund
Total restricted funds
Designated funds:
Stroud IT fund
Stroud advice
Cotswolds advice
EBDX project
Total designated funds
General funds
Total unrestricted funds
Total funds
Unrestricted funds
Prior period comparative		 At 1 April
2019
£
7,316
-
9,157
1,238
-
2,389
-
20,100
16,422
59,958
-
-
76,380
100,300
176,680
196,780		 Income
£
-
25,185
84,944
12,860
14,640
59,104
8,000
204,733
-
220,225
122,321
30,605
373,151
-
373,151
577,884		 £
(1,475)
(24,763)
(79,370)
(3,555)
(16,460)
(9,820)
-
(135,443)
(3,707)
(201,865)
(119,211)
(8,905)
(333,688)
-
(333,688)
(469,131)
Expenditure		 £
£
(5,841)
-
-
422
-
14,731
-
10,543
1,820
-
-
51,673
(8,000)
-
(12,021)
77,369
-
12,715
-
78,318
(1,820)
1,290
-
21,700
(1,820)
114,023
18,086
118,386
16,266
232,409
4,245
309,778
Transfers
and other
gains
At 31 March
2020		 £
£
(5,841)
-
-
422
-
14,731
-
10,543
1,820
-
-
51,673
(8,000)
-
(12,021)
77,369
-
12,715
-
78,318
(1,820)
1,290
-
21,700
(1,820)
114,023
18,086
118,386
16,266
232,409
4,245
309,778
Transfers
and other
gains
At 31 March
2020
77,369
12,715
78,318
1,290
21,700
114,023
118,386
232,409
309,778

30

Citizens Advice Stroud & Cotswold Districts Limited

Notes to the financial statements

For the year ended 31 March 2021

16. Operating lease commitments

The charity had operating leases at the year end with total future minimum lease payments as follows:

Amount falling due:
Within 1 year
Within 1 - 5 years		 2021
£
30,687
56,616
87,303		 2020
£
26,292
76,159
102,451

17. Contingent liability

The charity is party to a multi-employer pension scheme with The Pension Trust. The estimated debt on withdrawal (s75 debt) for CAB Stroud & District has been calculated to be £48,930. This figure has an effective date of 30 September 2020. In the prior year the contingent liability was estimated to be £55,306 (effective 30 September 2019). The charity currently has no intention of withdrawing from the scheme.

18. Related party transactions

There were no related party transactions in the current or prior year.

31