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2023-12-31-accounts

REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

Charity number Company registration number

1099506 4741583 (England & Wales)

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MONEY ADVICE TRUST TRUSTEES’ REPORT

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

Page
Chair’s forward 3
Introduction 4
Vision 4
Objectives and activities 4
Strategic report 5
Achievements and performance 5
Future plans 7
Financial review 8
Reserves policy, investment policy and going concern 10
Structure, governance and management 11
Quality standards 13
Risk management 13
Modern slavery statement 15
Environmental policy 15
Related parties and relationships with other organisations 15
Fundraising policy 15
Remuneration policy 15
Equality, Diversity, and Inclusion 16
Support for employees with disabilities 16
Employee engagement 17
Reference and administrative details 18
Statement of Trustees’ responsibilities 19
Auditor’s opinion 21
Statement of fnancial activities (incorporating and income and 26
expenditure account)
Balance sheet 27
Statement of cashfows 28
Notes to the fnancial statements 29

MONEY ADVICE TRUST TRUSTEES’ REPORT

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

Chair’s forward

I was delighted to be appointed as Chair of the Money Advice Trust in July 2023 and have been thoroughly impressed by the compassion and commitment of our advisors, and all who support them, to assist as many clients as possible to tackle their debts and manage money with confidence.

2023 was a year of transition with the organisation successfully adapting to a new commissioning landscape having secured significant national contracts to expand the number of individuals and businesses we are able to help whilst maintaining the level of quality expected by clients, stakeholders, and funders.

This report reflects a strong set of financial results and we have added to reserves, however significant changes to funding and our desire to innovate to expand our reach and continue our mission in a changing world means we will need to put those resources to use in managing change.

I am pleased to say that the change programme will be led by our new Chief Executive, Steve Vaid who was appointed towards the end of the year and took up the post in the spring of 2024.

If you have any comments on this report, please contact our Company Secretary.

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REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

MONEY ADVICE TRUST TRUSTEES’ REPORT

Introduction

The Trustees present their report and the audited financial statements for the year ended 31 December 2023.

The financial statements comply with current statutory requirements, the articles of association, and the Statement of Recommended Practice (SORP) – Accounting and Reporting by Charities (second edition) in accordance with FRS 102 (effective 1 January 2019).

Vision

The Money Advice Trust helps people across the UK to tackle their debts and manage their money with confidence.

Objectives and activities

We provide free telephone and web-based debt advice through National Debtline and Business Debtline to support individuals and small businesses to deal with their debt. We also train debt advisers in charities across the UK through Wiseradviser, and campaign to improve the UK’s money and debt environment.

These activities support our charitable objectives which are the relief of poverty including, but not limited to, that arising from indebtedness and the advancement of public education in all matters relating to the management of personal finances.

The Board has developed strategic plans to ensure that the Trust provides public benefit and achieves its aims as set out in its governing document. The Board confirms that it has complied with the duty in section 17 of the Charities Act 2011 to have due regard to public benefit determining its activities.

The debt advice we provide needs to be right for each client and the quality of that advice is very important to us, so we have continued with quality initiatives to ensure standards are high.

In meeting our objectives, we work in collaboration with other debt advice charities, both to ensure that we can deliver value for money and to ensure the client journey is optimal.

We also provide a paid for consultancy and training service for the commercial sector which improves the experience of their customers and provides an income stream to support the delivery of our own services.

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REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

MONEY ADVICE TRUST TRUSTEES’ REPORT

Strategic report

Achievements and performance

Throughout 2023, as many struggled with the cost-of-living crisis, our services and influencing work have been more relevant to our clients than ever. Internally we have transitioned to new ways of working as we rose to the challenge of implementing new national contracts, which are enabling us to grow and expand our services to reach more of those in need.

The highlights from 2023 (with 2022 equivalents) are set out below.

1 - National Debtline

2 - Business Debtline

We continued our long-standing partnerships with Citizens Advice and Rethink with them providing a valuable casework service as part of our overall offer. We also worked closely with StepChange which directs self-employed clients to our Business Debtline service.

3 - Wiseradviser

Our training is delivered through e-learning, interactive virtual sessions, and webinars and focused on a number of new topics including supporting clients with mental health conditions and dealing with the impact of the cost of living crisis.

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4 – Improving the UK’s money and debt environment

We work with a range of partners to help bring about positive change on issues affecting people in problem debt. In 2023 we made progress on key policy areas and continued to shape understanding of problem debt with policy makers:

Tackling rising energy debt

Improving debt collection practices

Shaping understanding of problem debt

Improving support for small business owners

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REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

MONEY ADVICE TRUST TRUSTEES’ REPORT

Future plans

The cost-of-living crisis continues to impact households across the country, and while inflation has been falling from its record highs in early 2023, for many households, the damage has already been done. Sustained, high interest rates and a permanent increase in costs will all cause further financial pressure. All of this means the work we carry out on the front line of debt advice will be ever more important in 2024 and we will need to grow our services to meet need.

Whilst we will be transitioning to new leadership under a new Chief Executive, we must also deliver our ongoing commitments as set out in our contracts with MaPS, and commitments to other funders. Our key service targets for 2024 are as follows:

At the same time, we will seek to continuously improve the client journey exploiting technology, improving our systems, and making better use of data and insight to ensure that people who need our services are aware of how we can help.

Our work to influence policy and practice will continue to be important and we will seek opportunities to influence policy makers and regulators to ensure that people with problem debt are better supported.

Of course, none of this work is possible without our people. In 2023 we recruited and trained a significant number of new advisers, and clients will experience the full benefits of their work in 2024. We will ensure that all our people are fully supported with a focus on wellbeing, improving ways of working, and continuing to build equity, diversity, and inclusion.

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MONEY ADVICE TRUST TRUSTEES’ REPORT

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

Financial review

During 2023 our total income increased to £21.3m (2022 - £16m) against expenditure of £18.7m (2022- £13.8m), resulting in a £2.6m surplus. This was in the context of a significant increase in longer term funding as a result of securing both of the Money and Pension Service contracts bids for.

Income from commercial activities, namely Training & Consultancy (T&C) and Wiseradviser (WA), increased from £822k (T&C £734k/WA £88k) in 2022 to £931k (T&C £715k/WA £216k) in 2023. We have continued to make our training offer more flexible to meet the changing needs of organisations and the continued FCA focus on vulnerability through the Consumer Duty and vulnerable customer guidance.

We have seen a continued trend in reduced income from contact centre referrals for debt options, such as individual voluntary arrangements (IVAs) or debt management plans (DMPs) and we have factored in further reductions into future financial forecasts.

Costs increased by 36% (2022 –2% reduction), primarily due to the increased workforce required to service new contracts, with an average of 282 staff in 2023 compared with 253 in 2022, plus additional costs to Citizens Advice and Rethink due to their supply chain role in the Lot 1 MaPS contract.

The year-end funds of £14.4m (2022 - £11.85m) fall into three categories: general unrestricted funds £12.8m (2022 - £9.9m), restricted funds £0.0m (2022 - £0.29m) and designated general funds £1.6m (2022 - £1.66m). The increase in unrestricted funds is partly due income being recognised up front, prior to the point of expenditure anticipated by the funder. The unrestricted fund conforms to our reserves policy, which is described later.

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We are very grateful to the following funders without whose support our work would not be possible.

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REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

MONEY ADVICE TRUST TRUSTEES’ REPORT

Reserves policy, investment policy and going concern

The Board reviews its reserves policy annually, taking into account organisational strategy, risk appetite, and financial management information; key considerations include income risk, working capital, and migration against unplanned adverse events. Whilst the funding environment in which we and other charities operate remains challenging, we have built upon the existing positive working relationships with our funders which gives us confidence in forecasts for the year ahead. The successful bid for commercial contracts with the Money and Pension Service (MaPS) has given us a firmer foundation to forecast expected income to the end of 2025. We have also continued to diversify our funding securing income from additional sources.

Taking these factors into account the Board wishes to ensure that an adequate level of readily realisable unrestricted reserves is held to safeguard the continuing work and commitments of the Money Advice Trust. The policy agreed by the Board in July 2024 identifies a target reserve level of £5.5m +/- £1.5m. The target level of reserves is determined in accordance with the reserves policy which utilises a risk-based approach including a summative assessment of the financial risks attached to income sources, complex programmes, and fraud along with an assessment of the ability to reduce costs within a 12-month period should the operating environment change. With unrestricted reserves of £12.8m being carried forwarded we have the ability to both manage financial risk and invest in services to ensure they are cost effective, relevant to clients, and crucially reach many more of those that need our support. A financial plan will be developed to support emerging strategy to further these aims within a clear investment governance framework.

Supported by relevant committees the Board reviews the investment of reserves in cash deposits and before investing, we use a risk assessment review to check suitability. The risk assessment utilises ratings from credit reference agencies and aims to achieve a spread of investments to minimise the exposure to any one counterparty.

We have reviewed our secured funding for 2024 and future years and our commitments and liabilities. We are confident that with appropriate cost control and the level of reserves we currently have; we will be able to continue our services through 2024 and beyond.

Taking the financial performance, reserve position and cost of living pressures, together with the reasonable expectation that we will have adequate resources to continue in operational existence in the future, we confirm that the accounts have been prepared on the basis that the Money Advice Trust is a going concern.

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MONEY ADVICE TRUST TRUSTEES’ REPORT

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

Structure, governance and management

The Money Advice Trust is a company limited by guarantee, governed by its articles of association dated 10 December 2020. It is a charity registered with the Charity Commission.

The governing body is the Board of Trustees (the Board), who are also the Directors of the charity for the purposes of the company law. Trustees are appointed by the Board and our recruitment process follows the Charity Governance Code and is based around open advertising and interviewing. New Trustees undergo an induction briefing, which covers their legal obligations, the Money Advice Trust’s governing documentation, strategy and business plans, financial analysis, risk framework and structure as well as meeting staff. Importantly, Trustees see first-hand how we help our clients through our telephony and online services, which helps gain clarity on our charitable aims. Trustee development is regularly reviewed and is also considered as part of the annual review on Board effectiveness and at each of its sub-committees.

Trustees, who are all unpaid, are appointed for a three-year term, with a potential further

three-year term.

The Board sets the values and strategic direction for the Money Advice Trust, oversees policy, and ensures plans are implemented by monitoring performance against agreed objectives. In 2023 it received reports from the formally delegated committees which are detailed below.

The Audit, Risk and Quality Committee met four times in 2023. Laurence Burgess is the Chair, other members are Lucy Malenczuk, Sarah Desai, Alexandra Meagher, and Mark Allison. The committee oversees the effectiveness of the Trust’s risk framework, including internal and external controls, risk management, the independent audit process and compliance systems. It reviews the quality of services delivered by the Trust and oversees the financial reporting process. It also works in collaboration with the Finance and Strategy Committee.

The Finance and Strategy Committee met four times in 2023. Paul Smee is the Chair, and its other members are Vineeta Manchanda (until December 2023), Rebecca Wilkie, Christine Farnish, Adam Khan, and Zitah McMillan. The committee helps develop and review the effectiveness of the Trust’s overall strategy, including financial and business level strategies that contribute to its charitable objectives. It also works in collaboration with the Audit, Risk and Quality Committee.

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The Nominations and Remuneration Committee met twice in 2023. Rebecca Wilkie is Chair, and its other members are Christine Farnish, Paul Smee and Sarah Desai. The committee is responsible for identifying and nominating for the approval of the Board, candidates for the office of Trustee (including Chair), Ambassador and President and when appropriate for organising recruitment for the post of the Chief Executive. It also carries out reviews on matters relating to the remuneration policy and considers development planning for Trustees. It generally meets twice a year. The NRC also reviews data on the skill set of the Board when considering any development needs, opportunities, and Trustee vacancies.

During the year our Trustees devoted time outside of the normal four Board meetings and committee meetings to attend a strategy setting session, as well as informal virtual meetings to catch up on any items in between meetings.

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REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

MONEY ADVICE TRUST TRUSTEES’ REPORT

We continue to be ably supported by our Ambassadors who help promote the Trust’s activities and support our influencing work.

The Chief Executive (who is appointed by the Board) and the Senior Leadership Team, manage the day-to-day operation of the Trust’s activities under delegated authority.

Quality standards

The Trust maintained its accreditation of the Matrix Standard in March 2023, a Money and Pensions Service approved quality framework with a focus on both the governance of the organisation and on the quality of debt advice provided by our advisers. The standard has a focus on continuous improvement, is valid for three years and we will be subject to annual reviews to update on how we have developed our governance and service to clients. This was achieved for our National Debtline and Business Debtline services, The original accreditations were awarded in 2021 and 2022.

The Audit, Risk and Quality Committee reviews the quarterly KPIs, and complaints reports.

Risk management

The Board acknowledges its responsibility in relation to risk management and the need to assess the major strategic, business, and operational risks. The Board monitors risk through its risk framework, which establishes a clear understanding of roles and responsibilities and works to embed risk reporting, awareness, and management throughout the organisation. The Board considers all types of risks, and these are reported via a risk register, heat map and risk commentary, and reviewed quarterly. In addition, we produce an annual audit plan which sets out a programme of audits to be conducted using internal resource and independent internal auditors. This audit plan focuses on key governance areas in order to ensure best practice and robustness and appropriateness of approach. The Audit, Risk and Quality Committee and the Board approve this audit plan and review all internal audit reports and monitor progress against recommendations. Audits conducted in this period were primarily focused on our delivery partners on their approach to FCA requirements on Consumer Duty legislation and the quality of service provided to our clients.

Our key strategic risks as identified in 2023, with the mitigations we undertook were:

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Category Risk Description Mitigations
Finance Potential decrease of
funding to deliver our
services.		 - Engagement with funders to gain their
buy-in and continued support.
- Finance strategy to diversify income and
attract more longer-term funding.
- Resources focused on producing
successful commissioning bids to provide
long-term funding.
Finance That we are unable to
meet all contractual
requirements
and secure all
commissioning funding.		 - Recruitment of new posts and
additional resource to deliver contractual
arrangements.
- Secured two new delivery partners for
diversifcation of services ofered.
- Revision of operational measures and
advice model.
People The wellbeing of
our staf with the
circumstances of
remote working and
increased pressures
while ensuring that
wellbeing measures are
in place balanced with
a need to drive delivery
against objectives.		 - Recommendations from wellbeing audit
incorporated into a wellbeing strategy.
- Hybrid working continuing to meet staf
needs and circumstances.
Operational The continuation of
hybrid working and
increased reliance on
technology to deliver
efective and reliable
working.		 - Ways of Working approach to drive how
we use technology better.
- Disaster Recovery approach revised and
implemented with an emphasis on moving
away from third party reliance.
Innovation
and
Technology		 Need to meet
commissioning and
future proof delivery of
services.		 - Appointed new CRM supplier, along with
‘critical friend’ tech partner to assist with the
development of a new CRM which will give
a basis for future innovations.
- Tech road map in place that will develop
CRM, data warehouse, test open banking
and chatbots. Surplus will allow us fexibility
in tech and innovation investment as we
work on our strategic plan for 2024-2026.

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REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

MONEY ADVICE TRUST TRUSTEES’ REPORT

Modern slavery statement

The Money Advice Trust wishes to ensure that we do not knowingly participate with any activity or organisation that involves any form of modern slavery. We are committing to ensuring our working practices and those of our partners minimise the impact our business activities to help combat modern slavery in the UK. We have set out in our modern slavery statement details of our policies and process to combat modern slavery as far as we can and to highlight areas we are now working on in this area.

Environmental policy

In 2022 we published our environmental policy, detailing the current measures and process we have in place to reduce our environmental impact. In 2022 and 2023, Positive Planet produced carbon footprint reports. Based on an assessment of direct emissions (company buildings, vehicles and facilities), indirect emissions (purchased utilities for business use) and upstream activities (e.g. commuting) and downstream emissions (e.g. disposals) versus the number of employees we are pleased to report a reduction from 3.1tCo2e to 1.2tCo2e per employee.

Related parties and relationships with other organisations

There were no related party and relationship matters for reporting that would give rise to any conflicts of interest. This includes our working relationships with Citizens Advice and Rethink under the MaPS contracts, and StepChange.

Fundraising policy

We do not engage in fundraising from members of the public and do not use external professional fundraisers. The Trust nevertheless observes and complies with the relevant fundraising regulations and codes, is a member of the Fundraising Regulator and supports the principle of high standards in fundraising. During the year there was no non-compliance of these regulations and codes and the Trust received no complaints relating to its fundraising practice. The Board has also agreed a set of Fundraising Principles which are reviewed every three years and govern what we will and will not do in relation to donations made to the Trust and what funders can and cannot do. These are available on our website.

Remuneration policy

The Money Advice Trust Board has overall accountability for the remuneration of staff who work for it. The Trust’s purpose, values, and achievements – as well as its income, activities, and market conditions influence how its remuneration principles are developed and put into practice.

The Board delegates to its Nominations and Remuneration Committee (NRC) specific duties in relation to nomination, remuneration, succession planning and recruitment. The NRC’s terms of reference are agreed by the Board.

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Trustees are responsible for setting remuneration levels for the Trust’s Chief Executive and the NRC for approving them for other members of the senior team. Each year all staff participate in an appraisal of their performance. In the case of the Chief Executive, this is undertaken by the Chair of the Board. We do not apply any performance related pay or bonuses.

We publish the number of staff who are paid over £60,000 within our annual report and accounts. We also publish the Chief Executive’s salary and total amount of staff benefits for the key management personnel.

The Trust is committed to ensuring remuneration principles are open and transparent and in accordance with the Statement of Recommended Practice (SORP): we aim to offer a remuneration package that attracts and retains appropriately qualified staff to lead, manage, support, and deliver the Trust’s aims. We are a Real Living Wage Employer and require our sub-contractors to be compliant too.

Equity, Diversity, and Inclusion

Equity, Diversity, and Inclusion (EDI) are important to the Trust. We aim to be an inclusive and supportive organisation, where all our colleagues feel safe, welcome, and able to achieve their full potential. We want to ensure we reflect the people who need our National Debtline and Business Debtline services by being closer to their life and cultural experiences and ensure there are no barriers to them accessing our services. Similarly, we want to support the wider advice sector through Wiseradviser, and the creditor community through our Training and Consultancy activity, to ensure all people in financial difficulty are well supported, regardless of their background.

We published our gender pay gap data in April 2023 and we published internally our Ethnicity Pay Gap Report. Our EDI forum has inputted in decisions on training, policies, and recruitment system; arranged events for Black History Month and raised money for the LGBT support service in Birmingham. Training for all managers has taken place on inclusive recruitment and all staff and managers have received training on neurodiversity. Our commitments to EDI include leading by example, promoting an inclusive workplace culture, helping all colleagues to keep learning about EDI, and engaging with people in debt, and amplifying their voices.

Support for employees with disabilities

We recognise the importance of having a diverse workforce so that everyone can bring their true self to work and having supportive working practices and policies is key to enable this. We always make reasonable adjustments in all aspects of employment from recruitment, training, absence management, and time off to attend appointments. We formed an Equality, Diversity and Inclusion (EDI) forum who contribute to key policies to ensure equity.

We review our demographics on a half yearly basis and report that in our contact centre, 9% of our employees report as disabled.

From an external perspective, we have developed a partnership with the Shaw Trust to support those trying to access work. We have offered eight people work placements during 2023.

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Employee engagement

In 2023 we:

We recognise employee engagement goes further than just internal work matters. We pride ourselves on being an inclusive and friendly work environment where people make friends and as such sponsor a social committee which arranges various staff events.

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MONEY ADVICE TRUST REFERENCE AND ADMINISTRATIVE DETAILS

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

President Baroness Tyler of Enfield Trustees Mark Allison appointed 01 January 2024 Laurence Burgess Sarah Desai Christine Farnish CBE (Chair) appointed 17 July 2023 Adam Khan appointed 16 August 2023 Lucy Malenczuk Vineeta Manchanda resigned 31 December 2023 Zitah McMillan appointed 16 August 2023 Alexandra Meagher appointed 16 August 2023 Adam Sharples (Chair) resigned 17 July 2023 Paul Smee resigned 10 July 2024 Rebecca Wilkie (Vice-Chair) Chief Executive David Cheadle (acting) September 2023 to March 2024 Joanna Elson resigned September 2023 Steve Vaid appointed March 2024 Ambassadors Bim Afolami, Baroness Coussins of Whitehall Park, Sir Ian Cheshire, Sir Sherard Cowper-Coles KCMG LVO, Adam Sharples (appointed December 2023), Otto Thoresen, Simon Walker CBE

Constitution

The Money Advice Trust is a company limited by guarantee (number 4741583) with no share capital and a registered charity (number 1099506) governed by its articles of association. National Debtline, Business Debtline, Wiseradviser and CASHflow are part of the Money Advice Trust.

Registered office 21 Garlick Hill, London, EC4V 2AU Company Secretary Ian Whitcombe resigned 19 July 2023 Mel Brown appointed 17 July 2023, resigned 19 January 2024 Mark Day appointed 22 January 2024 Country of registration England and Wales Country of incorporation United Kingdom Auditor Peters Elworthy & Moore, Salisbury House, Station Road, Cambridge, CB1 2LA Solicitors Russell-Cooke LLP, 2 Putney Hill, London, SW15 6AB Bankers National Westminster Bank plc, PO Box 399, CR9 3QB Websites www.moneyadvicetrust.org www.businessdebtline.org www.nationaldebtline.org www.wiseradviser.org

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REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

MONEY ADVICE TRUST STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The Trustees (who are also directors of Money Advice Trust for the purposes of company law) are responsible for preparing the Trustees’ annual report including the strategic report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

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

In so far as the Trustees are aware:

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 total number of such guarantees on 31 December 2023 was ten (2022: nine). The Trustees are members of the charity, but this entitles them only to voting rights. The Trustees have no beneficial interest in the charity.

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MONEY ADVICE TRUST STATEMENT OF TRUSTEES’ RESPONSIBILITIES

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

Auditor

Peters, Elworthy & Moore acted as the Charity’s auditor during the year and have indicated their willingness to continue in office.

The Trustees’ annual report, which includes the strategic report, has been approved by the Trustees on 30 July 2024 and signed on their behalf by

Christine Farnish Trustee

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REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES’ OF THE MONEY ADVICE TRUST

Opinion

We have audited the financial statements of Money Advice Trust (the ‘charitable company’) for the year ended 31 December 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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

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

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

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Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors’ Report thereon. The Trustees are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

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

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

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Responsibilities of Trustees

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

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

Auditors’ responsibilities for the audit of the financial statements

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

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

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

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

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

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

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

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

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

24

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with chapter three of part16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an Auditors’ Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Kathryn Hebden (Senior Statutory Auditor)

for and on behalf of

Peters Elworthy & Moore

Chartered Accountants Statutory Auditors Salisbury House Station Road Cambridge CB1 2LA

Date: 30 July 2024

25

Money Advice Trust

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

For the year ended 31 December 2023

For theyear ended 31 December 2023 For theyear ended 31 December 2023
Note
Unrestricted
£('000)
Income from:
2
6,207
-
3i
9,836
-
3ii
931
247
17,221
264
-
12,624
-
1,219
-
277
4
14,384
6
2,837
Reconciliation of funds:
11,557
14,394
Investments
Total income
Expenditure on:
Donations
Charitable activities
Debt Advice
Training
Raising funds
Total expenditure
Charitable activities
Total funds brought forward
Net income/(expenditure) for the year
and net movement in funds
Debt Advice
Training
Influencing and Policy
Total funds carried forward		 Restricted
£('000)
1,287
2,530
226
-		 2023
Total
£('000)
7,494
12,366
1,157
247		 Unrestricted
£('000)
5,133
370
822
49		 Restricted
£('000)
1,285
8,008
369
-		 2022
Total
£('000)
6,418
8,378
1,191
49
17,221 4,043 21,264 6,374 9,662 16,036
264
12,624
1,219
277		 -
4,108
226
-		 264
16,732
1,445
277		 257
2,615
1,105
298		 -
9,118
369
-		 257
11,733
1,474
298
14,384 4,334 18,718 4,275 9,487 13,762
2,837
11,557		 (291)
291		 2,546
11,848		 2,099
9,458		 175
116		 2,274
9,574
14,394 - 14,394 11,557 291 11,848

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 16 to the financial statements.

26

Money Advice Trust

Company no. 4741583

Balance sheet

As at 31 December 2023

As at 31 December 2023
Note 2023 2022
£ £ £ £
Fixed assets:
Tangible assets 11 470 596
470 596
Current assets:
Debtors 12 2,838 1,848
Cash at bank and in hand 8,862 10,842
Current Investments 6,000 1,500
17,700 14,190
Liabilities:
Creditors: amounts falling due within one year 13 3,776 2,938
Net current assets 13,924 11,252
Total assets less current liabilities 14,394 11,848
Total net assets 14,394 11,848
The funds of the charity: 16
Restricted income funds - 291
Unrestricted income funds:
Designated funds 1,609 1,658
General funds 12,785 9,899
Total unrestricted funds 14,394 11,557
Total charity funds 14,394 11,848

Approved by the trustees on 10 July and signed on their behalf by:

Christine Farnish Chair of Trustees

27

Money Advice Trust

Statement of cash flows

For the year ended 31 December 2023

Reconciliation of net income/(expenditure) to net cash flow from operating activities

Depreciation charges
Dividends, interest and rent from investments
Loss on disposal of fixed assets
(Increase) in debtors
Increase in creditors
Note
£('000)
£('000)
2,400
247
(127)
120
2,520
12,342
17
14,862
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Net cash used by investing activities
Net cash provided by operating activities
Cash flows from investing activities:
Dividends, interest and rents from investments
Purchase of fixed assets
2023
Cash flows from operating activities
Net income for the reporting period
(as per the statement of financial activities)
Net cash provided by operating activities		 Depreciation charges
Dividends, interest and rent from investments
Loss on disposal of fixed assets
(Increase) in debtors
Increase in creditors
Note
£('000)
£('000)
2,400
247
(127)
120
2,520
12,342
17
14,862
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Net cash used by investing activities
Net cash provided by operating activities
Cash flows from investing activities:
Dividends, interest and rents from investments
Purchase of fixed assets
2023
Cash flows from operating activities
Net income for the reporting period
(as per the statement of financial activities)
Net cash provided by operating activities		 Depreciation charges
Dividends, interest and rent from investments
Loss on disposal of fixed assets
(Increase) in debtors
Increase in creditors
Note
£('000)
£('000)
2,400
247
(127)
120
2,520
12,342
17
14,862
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Net cash used by investing activities
Net cash provided by operating activities
Cash flows from investing activities:
Dividends, interest and rents from investments
Purchase of fixed assets
2023
Cash flows from operating activities
Net income for the reporting period
(as per the statement of financial activities)
Net cash provided by operating activities		 2023
2022
£('000)
£('000)
2,546
2,274
253
229
(247)
(49)
-
-
(990)
(373)
838
1,334
2,400
3,415
£('000)
£('000)
3,415
49
(9)
40
3,455
8,887
12,342
2022		 2022
£('000)
2,274
229
(49)
-
(373)
1,334
3,415
2,520
12,342		 3,455
8,887
14,862 12,342

28

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

1 Accounting policies

a) Statutory information

Money Advice Trust is a charitable company limited by guarantee and is incorporated in the United Kingdom. The registered office address is 21 Garlick Hill, London, EC4V 2AU.

b) Basis of preparation

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

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

c) Public benefit entity

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

d) Going concern

We have evaluated our current reserves position against contracted income for 2024 and 2025 against current and expected liabilities for the next 12-18 months and are confident that with appropriate cost control we will be able to continue our services through 2024 and 2025.

Taking the financial performance and reserve position, together with the reasonable expectation that we will have adequate resources to continue in operational existence in the future, we confirm that the accounts have been prepared on the basis that the Money Advice Trust is a going concern.

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

e) Income

Income is categorised as follows:

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

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

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

f) Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

g) Fund accounting

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund.

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular purposes.

h) Expenditure and irrecoverable VAT

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

29

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

1 Accounting policies (continued)

i) Allocation of support costs

Resources expended are allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration of each activity, comprising the salary and overhead costs of the central function, plus fundraising costs are apportioned based on an estimate of staff time attributable to each activity.

Where information about the aims, objectives and projects of the charity is provided to potential beneficiaries, the costs associated with this publicity are allocated to charitable expenditure.

j) Operating leases

Rental charges are charged on a straight line basis over the term of the lease.

k) Tangible fixed assets

Items of equipment are capitalised where the purchase price exceeds £1,500. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.

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

� Computer Equipment 3 years
� Furniture 5 years
� Fixtures & Fittings 6 years

l) 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.

m) 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.

n) Current Investments

As above but for periods of greater than three months but less than 12 months.

o) Creditors and provisions

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

p) Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

q) Pensions

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.

r) Estimates and Judgements

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions:

The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Critical areas of judgement

Judgements around the timing of income recognition (deferred income)

Income is deferred where grant or contract requirements clearly link the funding to a future year, based on outputs or timing of service provision, or the current year funding is not fully expended.

Treatment of dilapidation costs See note 20.

30

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

2 Income from donations

3a
i)
ii)
3b
i)
ii)
Income from charitable activities
Sub-total for Training
Income from charitable activities prior year
Debt Advice
Total income from charitable activities
Training
Total income from charitable activities
Sub-total for Debt Advice
Sub-total for Training
Training
Sub-total for Debt Advice
Debt Advice		 Unrestricted
£('000)		 Restricted
£('000)		 2023
Total
£('000)		 2022
Total
£('000)
6,207 1,287 7,494 6,418
Unrestricted
£('000)		 Restricted
£('000)		 2023
Total
£('000)		 2022
Total
£('000)
9,836 2,530 12,366 8,378
931
10,767		 226
2,756		 1,157
13,523		 1,191
9,569
Unrestricted
£('000)		 Restricted
£('000)		 2022
Total
£('000)		 2,019
Total
£
606,357
#REF!
370
822		 8,008
369		 8,378
1,191
1,192 8,377 9,569

31

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

4a Analysis of expenditure

Analysis of expenditure
Staff costs (Note 7)
IT & Telephony
Supply Chain
Other Staff Costs
Occupancy
CRM Development
Publicity & Promotion
Commercial Training
Depreciation
Adviser Training
Other Costs
Grants (Note 5)
Travel
Self Help Packs
Support costs
Governance costs
Total expenditure 2023
Total expenditure 2022		 Cost of raising
funds
£('000)
197
8
-
9
13
-
-
-
3
-
-
-
2
-		 Charitable activities Governance
costs
£('000)
289
23
-
9
17
-
-
-
4
-
44
-
3
-		 Support
costs
£('000)
1,706
154
-
126
98
-
-
-
31
-
31
-
21
-		 2023
Total
2022
Total
£('000)
£('000)
12,370
10,001
1,375
1,236
1,586
-
863
513
723
782
432
25
363
101
273
368
253
229
190
116
137
163
85
147
56
16
12
65
Debt Advice
£('000)
9,417
1,113
1,586
677
524
432
342
-
198
-
53
-
22
12		 Training
£('000)
594
67
-
14
59
-
6
273
14
190
3
85
4
-		 Influencing
and Policy
£('000)
167
10
-
28
12
-
15
-
3
-
6
-
4
-
232
27
5		 14,376
1,998
358		 1,309
115
21		 245
27
5		 389
-
(389)		 2,167
(2,167)		 18,718
13,762
-
-
-
-
264 16,732 1,445 277 - - 18,718
-
13,762
257 11,733 1,474 298 - -

32

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2022

4b Analysis of expenditure

Staff costs (Note 7)
IT & Telephony
Occupancy
Adviser Training
Grants (Note 5)
Other Staff Costs
Commercial Training
Other Costs
Self Help Packs
Travel
Depreciation
Publicity & Promotion
Support costs
Governance costs
Total expenditure 2022
Total expenditure 2021		 Cost of raising
funds
£
185
7
13
-
-
10
-
1
-
2
3
-		 Charitable activities Charitable activities Charitable activities Governance
costs
£
185
7
15
-
-
10
-
46
-
0
3
-		 Support
costs
£
1,707
160
122
-
-
55
-
65
-
8
32
-		 2022
Total
2021
Total
£
£
10,001
10,453
1,261
1,068
782
816
116
176
147
230
513
315
368
290
163
164
65
102
16
10
229
336
101
61
Debt Advice
£
7,164
1,049
556
1
-
407
-
50
65
2
174
69		 Training
£
555
29
60
115
147
26
368
1
-
2
13
16		 Influencing
and Policy
£
205
9
16
-
-
5
-
-
-
2
4
16
221
32
4		 9,537
1,954
242		 1,332
126
16		 257
37
4		 266
-
(266)		 2,149
(2,149)		 13,762
14,021
-
-
-
-
257 11,733 1,474 298 - - 13,762
-
14,021
250 11,938 1,562 271 - -

33

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

5 Grant making

Grants to
institutions
£
Training
Grants to institutions
Citizens Advice Bureau
Institute of Money Advisers		 2023
2022
£('000)
£('000)
75
136
10
11
85
147

Training - Grants given to partner agencies for the provision of Wiseradviser training.

6 Net income for the year

This is stated after charging:

This is stated after charging:
2023 2022
£('000) £('000)
Depreciation 253 229
Operating lease rentals:
Property 367 368
Other 4 10
Auditor's remuneration (excluding VAT):
Fees payable to the Charity's auditor for the audit of the Charity's annual accounts 15 14
Fees payable to the Charity's auditor in respect of:
- All non-audit services not included above 2 -

34

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

7 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel

Staff costs were as follows:

Salary Band
to
£69,999
to
£79,999
to
£89,999
to
£99,999
to
£109,999
to
£119,999
to
£129,999
Salaries and wages
Social security costs
Employees receiving employee benefits in excess of £60,000, excluding NI and Pension:
£70,000
£80,000
£60,000
£90,000
£100,000
Employer’s pension contributions
£120,000
£110,000		 2023
£('000)
10,655
1,053
662		 2022
£('000)
8,582
838
581
12,370 10,001
Total
2022
No.
6
4
1
1
1
-
-		 Total
2021
No.
8
-
1
2
-
-
1
13 12

The Chief Executive and Acting Chieft Executive's salaries for 2023, excluding NI and Pension, totalled £121,657 (2022 - £121,692).

Key management personnel comprise the Chief Executive, Chief Operating Officer, Director of Corporate Services, Director of External Affairs, and Company Secretary. The Total employee benefits (including employer pension contributions and employer national insurance) of the key management personnel were £615,233 (2022: £510,834).

The charity contributes between 5% and 9% of annual salary to employees group personal pension scheme.

The charity trustees were not paid or received any other benefits from employment with the charity in the year (2022: £nil). No charity trustee received payment for professional or other services supplied to the charity (2022: £nil).

Trustees' expenses represents the payment or reimbursement of travel and subsistence costs totalling £945 (2022: £113) incurred by 3 (2022: 2) members relating to attendance at meetings of the trustees.

8 Staff numbers

The average number of employees (average head count based on number of staff employed) during the year was as follows:

Influencing and Policy
Support
Business Development
Debt Advice
Training		 2023
2022
No.
No.
226
195
13
13
3
4
37
38
3
3
282
253

9 Related party transactions

There are no related party transactions to disclose for 2023 (2022: none).

There were no donations received from trustees.

35

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

10 Taxation

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

11 Tangible fixed assets

Charge for the year
Depreciation
At the start of the year
At the end of the year
Eliminated on disposal
At the end of the year
At the start of the year
Net book value
At the start of the year
Additions in year
Disposals in year
At the end of the year
Cost		 Fixtures &
Fittings
£('000)
544
-
-		 Furniture
£('000)
278
-
-		 Computer
equipment
£('000)
852
127
(99)		 Total
£('000)
1,674
127
(99)
544 278 880 1,702
182
91
-		 111
55
-		 785
107
(99)		 1,078
253
(99)
273 166 793 1,232
271 112 87 470
362 167 67 596

All of the above assets are used for charitable purposes.

12 Debtors

Trade debtors
Prepayments
Accrued income
Other debtors		 2023
2022
£('000)
£('000)
1,023
1,345
9
10
594
418
1,212
75
2,838
1,848

13 Creditors: amounts falling due within one year

Trade creditors
Taxation and social security
Other creditors
Deferred income (note 14)
Accruals		 2023
£('000)
360
763
221
550
1,882		 2022
£('000)
398
223
159
38
2,120
3,776 2,938

36

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

14 Deferred income

Deferred income comprises primarily of £1.1m in funding for 2024 from Aviva and £0.6m from JP Morgan.

Balance at the beginning of the year
Amount released to income in the year
Amount deferred in the year
Balance at the end of the year (Total)
Balance at the end of the year (falling due within one year)
Balance at the end of the year (falling due after one year)
Balance at the end of the year (Total)		 2023
£('000)
2,120
(1,647)
1,409		 2022
£('000)
859
(859)
2,120
1,882 2,120
1,882
-		 2,120
-
1,882 2,120

15a Analysis of net assets between funds (2023)

Net current assets
Net assets at the end of the year
Tangible fixed assets
Long term liabilities		 General
unrestricted
Designated
Restricted
£('000)
£('000)
£('000)
-
470
-
12,785
1,139
-
-
-
-
12,785
1,609
-		 Total funds
£('000)
470
13,924
-
14,394

15b Analysis of net assets between funds (2022)

Net assets at the end of the year
Tangible fixed assets
Net current assets
Long term liabilities		 General
unrestricted
Designated
Restricted
£('000)
£('000)
£('000)
-
552
44
9,899
1,106
247
-
-
-
9,899
1,658
291		 Total funds
£('000)
596
11,252
-
11,848

37

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

16a Movements in funds current year

Total restricted funds
Total designated funds
General funds
Total restricted funds
Total designated funds
General funds
CRM and Data Warehouse
Training
Marketing
Dilapidation Fund
Designated funds:
CRM and Data Warehouse
Unrestricted funds:
Training
Total funds
Fixed Assets
Restricted funds:
Debt Advice - Capital Costs
Dilapidation Fund
Debt Advice - Citizens Advice
Debt Advice
Unrestricted funds:
Designated funds:
Innovation and Technology
Movements in funds prior year
Restricted funds:
Debt Advice
Debt Advice - Capital Costs
Debt Advice - Citizens Advice
Innovation and Technology
Total unrestricted funds
Influencing and Policy
Fixed Assets
Total unrestricted funds
Total funds		 At 1 January
2023
£('000)
247
44
-
-		 Income &
gains
£('000)
3,783
-
34
226		 Expenditure
& losses
£('000)
(4,030)
(44)
(34)
(226)		 Transfers
£('000)
-
-
-
-		 At 31
December
2023
£('000)
-
-
-
-
291 4,043 (4,334) - -
543
500
-
553
62		 -
-
-
-
-		 -
-
(166)
(210)
-		 -
-
200
127
-		 543
500
34
470
62
1,658 - (376) 327 1,609
9,899 17,221 (14,008) (327) 12,785
11,557 17,221 (14,384) - 14,394
11,848 21,264 (18,718) - 14,394
At 1 January
2022
£('000)
25
91
-
-
-		 Income &
gains
£('000)
8,498
795
369
-		 Expenditure
& losses
£('000)
(8,276)
(47)
(795)
(369)
-		 Transfers
£('000)
-
-
-
-
-		 At 31
December
2022
£('000)
247
44
-
-
-
116 9,662 (9,487) - 291
600
-
62
726		 -
-
-
-		 (57)
-
-
(182)		 -
500
-
9		 543
500
62
553
1,388 - (239) 509 1,658
8,070 6,374 (4,036) (509) 9,899
9,458 6,374 (4,275) - 11,557
9,574 16,036 (13,762) - 11,848

16b Movements in funds prior year

38

Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

Movements in funds (continued)

Purposes of restricted funds

Debt Advice includes the National Debtline, Business Debtline and Client Experience services. These services offer free, expert and professional debt advice via telephone and online channels. It also includes debt advice tools such as the Common Financial Statement and the Trust's self-help packs.

Capital Costs cover funding received for the purchase of capital items. The carry forward funding for this covers future year depreciation.

The Training programme provides free face-to-face and online money advice training. It includes training provided through the Money and Pension Service Debt Advice Project and grants to other organisations providing debt advice training.

Influencing and Policy covers the development of Trust policy in relation to specific issues and consultations affecting its activities and the debt advice sector.

Purposes of designated funds

The Trustees have agreed to designate funds for the following:

17 Analysis of cash and cash equivalents

Analysis of cash and cash equivalents
Cash in hand
Notice deposits
Total cash and cash equivalents		 At 1 January
2023
£('000)
10,842
1,500		 Cash flows
£('000)
(1,980)
4,500		 Other
changes
At 31
December
2023
£('000)
£('000)
-
8,862
-
6,000
-
14,862
12,342 2,520

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Money Advice Trust

Notes to the financial statements

For the year ended 31 December 2023

18 Operating lease commitments

The charity's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods


periods
Five and more
Less than one year
Two to five years		 2023
2022
£('000)
£('000)
368
368
1,380
1,404
191
534
1,939
2,306
Property		 2023
2022
£('000)
£('000)
4
4
3
7
7
11
Equipment
1,939 2,306

19 Legal status of the charity

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

20 Contingent liabilities

Money Advice Trust occupy two leased premises in London and Birmingham.

The leases for both premises contains a re-instatement clause which, should the landlord choose to enforce it, requires Money Advice Trust to re-instate those premises back to their original condition following the end of the current lease on 18 October 2029 for the London premises and 9 June 2029 for the Birmingham premises. The properties have been occupied since 19 October 2006 and 10 June 2005 respectively.

There are significant uncertainties in respect of the amount and timing of future outflows arising from this matter due to;

• whether the landlord will enforce the re-instatement due to significant refurbishment Money Advice Trust undertook in 2019 to improve the office space; and

Due to the above uncertainties in existence it is considered possible, rather than probable, that future outflows will arise in respect of this item.

In addition, it is not possible to obtained a reliable estimate of the cost to restore the offices to their original condition as it is not specific to a schedule of dilapidations which would only become available on cessation of the lease.

As such, this item is considered to be a contingent liability and is not included in the statement of financial position contained elsewhere in this report.

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