## **HIGHER EDUCATION POLICY INSTITUTE** ## **FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** **The MGroup Partnership** **Chartered Certified Accountants** **4 Witan Way Witney, Oxon OX28 6FF** **Company Registration Number: 04503712** **Charity Number: 1099645** **HIGHER EDUCATION POLICY INSTITUTE** ## **FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** |**CONTENTS**|**PAGES**| |---|---| |Reference and administrative details|1 to 2| |Trustees' report|3 to 6| |Independent Examiner's report|7| |Statement of financial activities and income and expenditure account|8| |Balance sheet|9 to 10| |Statement of cash flows|11| |Notes to the financial statements|12 to 22| |**The following pages do not form part of the financial statements**|| |Detailed income and expenditure account|23 to 24| **HIGHER EDUCATION POLICY INSTITUTE** ## **REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 JULY 2023** ## **TRUSTEES AND DIRECTORS** Professor Dame Helen Wallace Sir David Bell Mary Curnock Cook CBE Professor Dame Sally Mapstone Professor Dame Julia Goodfellow ## **COMPANY SECRETARY** The company does not have an appointed secretary ## **REGISTERED OFFICE** 80 Mount Street Nottingham NG1 6HH ## **COMPANY REGISTRATION NUMBER** 04503712 England and Wales ## **CHARITY REGISTRATION NUMBER** 1099645 ## **ACCOUNTANTS** The MGroup Partnership Chartered Certified Accountants 4 Witan Way Witney Oxon OX28 6FF - 1 - **HIGHER EDUCATION POLICY INSTITUTE** ## **REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 JULY 2023** ## **PRINCIPAL PLACE OF BUSINESS** 99 Banbury Road Oxford Oxon OX2 6JX ## **BANKERS** Lloyds Bank 87 London Road Headington Oxford Oxon OX3 9AB ## **SOLICITORS** Freeths LLP Nottingham 80 Mount Street Nottingham NG1 6HH ## **INVESTMENT ADVISOR** Wren Sterling Financial Planning Ltd Hinksey Court West Way Botley Oxon OX2 9JU - 2 - **HIGHER EDUCATION POLICY INSTITUTE** **TRUSTEES' REPORT FOR THE YEAR ENDED 31 JULY 2023** The trustees present their annual report and the financial statements for the year ended 31 July 2023. ## **Status** The organisation is a charitable company limited by guarantee, incorporated on 5 August 2002 and registered as a charity on 8 June 2000. The company was established under a Memorandum of Association that established the objects and powers of the charitable company and is governed under its Articles of Association. Members of the charitable company guarantee to contribute an amount not exceeding £1 to the assets of the charitable company in the event of winding up. The reference and administrative details are shown on pages 1 to 2. ## **Objectives and activities** The Higher Education Policy Institute (HEPI) is an Oxford-based charity established in late 2002 ‘to promote research into and understanding of all aspects of higher education and to disseminate the useful results of such research for the education of policy makers and the general public in the United Kingdom’. During the 2022/23 academic year, the organisation celebrated its 20th birthday, which was marked in July 2023 with an event where 200 guests heard from speakers including the Rt Hon. the Lord Willetts, a former Minister for Universities and Science, and the Rt Hon. Margaret Hodge MP, who was the Minister for Universities when HEPI was founded. The 20th anniversary was also marked by a substantial collection of essays looking back on the previous two decades of higher education policy, edited by Dr Helen Carasso of the University of Oxford. HEPI is funded by higher education institutions and other organisations that wish to see a vibrant higher education policy debate shaped by evidence. We are very grateful for this continuing support. During 2022/23, the number of HEPI University Partners grew to the highest ever number (136), as did the number of other organisations (18) supporting HEPI through the corporate Partnership programme. In addition, HEPI secured more sponsorship income to help cover the costs of individual projects, while always ensuring the organisation retained editorial control. Above all, HEPI seeks to conduct and publish research into higher education to improve the quality of debate and, ultimately, to help those making policy at Westminster and Whitehall, in the devolved administrations and within higher education institutions. Engagement with policymakers, the higher education sector, the media, students and the wider public is primarily undertaken via reports, events and a substantial online presence, including a daily blog. As a non-partisan micro-organisation, HEPI seeks to work collaboratively with other organisations and individuals committed to good public policy and improving the UK higher education sector. ## **Achievements and performance** In 2022/23, HEPI cemented its post-pandemic recovery and built upon the achievements in the organisation’s first two decades by publishing more major pieces of original research (35) than in any previous year, hosting more events than ever before (32) and receiving a record number of website hits (810,000). This record surpasses that of every previous year in all three respects. - 3 - **HIGHER EDUCATION POLICY INSTITUTE** ## **TRUSTEES' REPORT FOR THE YEAR ENDED 31 JULY 2023** ## **Publications** We sought to cover the full range of topical higher education issues. For example, in addition to major reports with SUMS on the terms and conditions of academics and with London Economics, Universities UK and Kaplan International Pathways on the economic contributions of international students, there was a particular focus in our 2022/23 publications on: - ₒ research, including full-length reports on how to talk to policymakers about the value of research, on research leadership and on universities and Foreign Direct Investment (in conjunction with the Midlands Engine, the National Centre for Universities and Business and Universities UK International), plus a collection of essays on the future of the Research Excellence Framework and a Policy Note on Horizon Europe and so-called Plan B; - ₒ admissions and the student experience, including the 2023 Student Academic Experience Survey with Advance HE, a report on what it is like to be an undergraduate student in London and a survey of students’ views of careers support – we also worked with Unite Students, a HEPI Partner, on their Applicant Index Report 2023; and - ₒ regulation, leadership and governance, including reports on better governance, lessons from the regulation of higher education in Australia, running small and specialist institutions, the tenure of vice-chancellors at post-92 institutions and quality assurance as well as personal reflections on running a university in the recent political and economic environment. ## **Financial review and plans for future periods** These financial statements confirm that HEPI was in a secure financial position as it entered its third decade, with substantially higher income than in most past years. Nonetheless, in common with other organisations, HEPI faces rising costs – arising partly from higher inflation as well as a growing staff team – while the whole higher education sector faces increased uncertainty stemming from the political, financial and geopolitical situation. Future plans include continuing to conduct and disseminate research to further the aims of the charity as described in HEPI’s Articles of Association. HEPI also plans to maintain and develop relationships with existing and potential partner companies and higher education institutions. As part of the process of marking HEPI’s twentieth anniversary, the organisation’s Trustees, Advisory Board and staff all agreed to undertake some strategic planning during 2023/24 to secure the organisation’s long-term future as part of the UK’s higher education landscape. - 4 - **HIGHER EDUCATION POLICY INSTITUTE** ## **TRUSTEES' REPORT FOR THE YEAR ENDED 31 JULY 2023** ## **Structure, governance and management** The charity is a company limited by guarantee. The HEPI staff team is guided by an Advisory Board, whose primary function is to peer review potential HEPI publications in conjunction with the Trustees. During the year, Professor David Maguire and Professor Mary Stuart left the Advisory Board and we thank them for their considerable contribution to HEPI’s work, while Professor David Sweeney CBE (the former Executive Chair of Research England) and Professor Sir Chris Husbands (the outgoing Vice-Chancellor of Sheffield Hallam University), joined the Advisory Board in January 2023 and July 2023 respectively. At the end of 2022/23, the Advisory Board comprised: Alison Allden OBE; Professor Sir Chris Husbands; Professor Carl Lygo; Professor Nick Pearce; Professor Iyiola Solanke; and Professor David Sweeney CBE. The Trustees, who are also the Members of the HEPI Company for the purposes of company law, and who served during the year and up to the date of the signature of the financial statements were: Professor Dame Sally Mapstone Sir David Bell Mary Curnock Cook CBE Professor Dame Julia Goodfellow Professor Dame Helen Wallace ## **Statement of trustees' responsibilities** The trustees, who are also the directors of Higher Education Policy Institute for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the income resources and application of resources, including the income and expenditure, of the charitable company for that year. In preparing these financial statements, the trustees are required to: - ₒ select suitable accounting policies and then apply them consistently; - ₒ observe the methods and principles in the Charities SORP; - ₒ make judgements and estimates that are reasonable and prudent; - ₒ state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and - ₒ prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. - 5 - **HIGHER EDUCATION POLICY INSTITUTE** ## **TRUSTEES' REPORT FOR THE YEAR ENDED 31 JULY 2023** This report has been prepared in accordance with the Statement of Recommended Practice – Accounting and Reporting by Charities, and in accordance with the special provisions of Part VII of the Companies Act 2006 relating to small companies. Approved by the Trustees on 4 April 2024 Signed on its behalf by Professor Dame Sally Mapstone Chair Trustee - 6 - **HIGHER EDUCATION POLICY INSTITUTE** ## **INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 JULY 2023** I report to the trustees on my examination of the accounts of Higher Education Policy Institute for the year ended 31 July 2023, which are set out on pages 8 to 22. ## **RESPONSIBILITIES AND BASIS OF REPORT** As the charity’s trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’). Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’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 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 ACCA, which is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe: - (1) accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or - (2) the accounts do not accord with those records; or - (3) the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination; or - (4) the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)]. I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. For and on behalf of The MGroup Partnership Chartered Certified Accountants 4 Witan Way Witney Oxon, OX28 6FF 15 April 2024 - 7 - **HIGHER EDUCATION POLICY INSTITUTE** ## **STATEMENT OF FINANCIAL ACTIVITIES AND INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 JULY 2023** **----- Start of picture text -----**
Notes Unrestricted Restricted Total Total
Funds Funds Funds 2023 Funds 2022
£ £ £ £
INCOME
Charitable activities
Sponsorships and speakers fees 187,767 - 187,767 45,065
Conference fees 8,644 - 8,644 10,554
Partnership scheme 565,975 - 565,975 465,854
Grant income - 20,000 20,000 20,000
762,386 20,000 782,386 541,473
Investment income
Investments 3,582 - 3,582 1,192
Total income 4 765,968 20,000 785,968 542,665
Expenditure on:
Raising funds 5,406 - 5,406 4,792
Charitable activities 611,762 20,000 631,762 465,347
Other expenditure (199) - (199) 159
Total expenditure 5 616,969 20,000 636,969 470,298
NET INCOME BEFORE TRANSFERS 148,999 - 148,999 72,367
Transfer between funds - - - -
Net incoming / (outgoing) resources before
148,999 - 148,999 72,367
gains and losses on investments
OTHER RECOGNISED LOSSES / GAINS
Loss on investment assets 10 (6,415) - (6,415) (23,163)
NET MOVEMENT IN FUNDS 142,584 - 142,584 49,204
Reconciliation of funds
Total funds at 1 August 2022 15 609,208 20,000 629,208 580,004
Total funds at 31 July 2023 15 751,792 20,000 771,792 629,208
**----- End of picture text -----**
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. - 8 - **HIGHER EDUCATION POLICY INSTITUTE** ## **BALANCE SHEET AS AT 31 JULY 2023** **----- Start of picture text -----**
Notes 2023 2022
£ £
FIXED ASSETS
Tangible assets 9 12,387 13,625
Investments 10 579,432 466,211
591,819 479,836
CURRENT ASSETS
Debtors 11 153,371 55,073
Cash at bank and in hand 18 293,605 443,793
446,976 498,866
CREDITORS : Amounts falling due
within one year 12 267,003 349,494
NET CURRENT ASSETS 179,973 149,372
NET ASSETS 771,792 629,208
FUNDS OF THE CHARITY:
Unrestricted income funds 15 751,792 609,208
Restricted income funds 15 20,000 20,000
771,792 629,208
**----- End of picture text -----**
- 9 - **HIGHER EDUCATION POLICY INSTITUTE** ## **BALANCE SHEET AS AT 31 JULY 2023** These accounts have been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006 and with the Financial Reporting Standard 102 Section 1A smaller entities. For the financial year ended 31 July 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006. No notice has been deposited under section 476 of the act requesting the company to obtain an audit. The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts. Signed on behalf of the board of trustees Professor Dame Sally Mapstone Trustee - Chair Date approved by the board: 4 April 2024 - 10 - **HIGHER EDUCATION POLICY INSTITUTE** ## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 JULY 2023** **----- Start of picture text -----**
Notes 2023 2022
£ £
Cash flows from operating activities
Net income for the reporting period (as per the SOFA) 148,999 72,367
Adjustments for:
Depreciation charges 4,150 3,833
(Increase) / Decrease in debtors (98,298) (10,233)
(Profit)/ Loss on the sale of other tangible fixed assets (199) 159
Increase / (decrease) in creditors (82,491) 113,174
Cash generated from operations (27,839) 179,300
Interest received (3,582) (1,192)
Net cash generated by operating activities (31,421) 178,108
Cash flows from investing activities:
Dividends, interest and rents from investments 3,582 1,192
Purchase of property, plant and equipment (3,435) (5,538)
Proceeds from property, plant and equipment 722 -
Proceeds from sale of investments 4,739 4,418
Purchase of investments (124,375) (74,625)
Net cash used in investing activities (118,767) (74,553)
Net increase in cash and cash equivalents (150,188) 103,555
Cash and cash equivalents at the beginning of the year 443,793 340,238
Cash and cash equivalents at the end of the year 18 293,605 443,793
**----- End of picture text -----**
- 11 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **1 GENERAL INFORMATION** Higher Education Policy Institute is a registered charity and company limited by guarantee incorporated in England and Wales. Its registered office and principal office is: **Registered office Principal place of business** 80 Mount Street 99 Banbury Road Nottingham Oxford NG1 6HH OX2 6JX The financial statements are presented in Sterling, which is the functional currency of the charity. The charity is a public benefit entity. ## **2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES** ## **Basis of preparation of the financial statements** These financial statements have been prepared in accordance with the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing accounts in accordance with the Financial Reporting Standard 102 Section 1A smaller entities, Financial Reporting Standard 102 Section 1A smaller entities 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' ("FRS 102"), the Companies Act 2006 and the Charities Act 2011. ## **Going concern** The Trustees have further reviewed the Charity's cash flow forecasts for the year to 31 July 2024 and have considered any potential issues that will have an impact on the Charity's different sources of income as well as their ongoing costs. At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements. ## **Incoming resources** Incoming resources in the period shown in the Statement of Financial Activities represents funds received from the sponsorship and speakers fees, partnership schemes and conference fees. Income from sponsorship and speakers fees and partnership schemes are recognised when the company obtains a right to consideration in exchange for its performance. Any amounts received in advance are deferred to future periods. Income from conference fees are included in incoming resources in the period in which the relevant event takes place. - 12 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **2 STATEMENT OF ACCOUNTING POLICIES (continued…)** ## **Grants** Grants and donations are only included in the Statement of Financial Activities when the charity has unconditional entitlement to the resources and are treated as restricted or unrestricted income in line with the donor’s instructions. The company received total grant income of £20,000 (2022: £20,000). All of this related to income received from Research England to support HEPI's activities where they contribute to the understanding of issues facing research and knowledge exchange in universities. ## **Expenditure** Expenditure is directly attributable to specific activities and is charged to those cost categories. ## **Tangible fixed assets** Fixed assets are stated at cost less accumulated depreciation. Depreciation has been provided at the following rates so as to write off the cost less residual value of the assets over their estimated useful lives. Website costs Reducing balance basis at 20% per annum Computer and Office Equipment Straight line basis at 33.33% per annum On disposal, the difference between the net disposal proceeds and the carrying amount of the item sold is recognised in the statement of financial activities. ## **Fixed Asset Investments** Listed investments are shown at fair value and revalued annually with any surplus or deficit dealt with through the statement of financial activities. ## **Leases** Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the income and expenditure account on a straight line basis over the lease term. Payments made under operating leases are recognised as expenditure over the lease term on a straight-line basis. - 13 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **2 STATEMENT OF ACCOUNTING POLICIES (continued…)** ## **Taxation** The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Being a registered charity, the charity is not liable to taxation on its income. ## **Financial instruments** The charity only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. Financial assets are measured at cost and are assessed at the end of each reporting period for objective evidence of impairment. Where objective evidence of impairment is found, an impairment loss is recognised in the statement of financial activities. The impairment loss for financial assets measured at cost is measured as the difference between an asset's carrying amount and the best estimate, which is an approximation, of the amount that the charity would receive for the asset if it were to be sold at the reporting date. Financial assets and liabilities are offset and the net amount reported in the balance sheet when there is an enforceable right to set off the recognised amount and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. ## **Impairment of non-financial assets** At each reporting date non-financial assets not carried at fair value, like goodwill and plant, property and equipment, are reviewed to determine whether there is an indication that an asset may be impaired. If there is an indication of possible impairment, the recoverable amount of any asset or group of related assets (which is the higher of value in use and the fair value less cost to sell) is estimated and compared with its carrying amount. If the recoverable amount is lower, the carrying amount of the asset is reduced to its recoverable amount and an impairment loss is recognised immediately in the statement of financial activities. If an impairment loss is subsequently reversed, the carrying amount of the asset, or group of related assets, is increased to the revised estimate of its recoverable amount, but not to exceed the amount that would have been determined had no impairment loss been recognised for the asset, or group of related assets, in prior periods. A reversal of an impairment loss is recognised immediately in the statement of financial activities. ## **Debtors** Short term debtors are measured at transaction price, less any impairment. - 14 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **2 STATEMENT OF ACCOUNTING POLICIES (continued…)** ## **Creditors** Short term trade creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and subsequently at amortised cost. ## **Funds** General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside for specific purposes at the discretion of the trustees. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by the donors or which have been raised by the charity for particular purposes. ## **Legal status of the charity** The company does not have share capital and is limited by guarantee. Each member of the company undertakes to contribute to the assets of the company, in the event of it being wound up such amounts as may be required will not exceed £1. ## **Pensions** The company operates a defined contribution pension scheme. The amount charged to the profit and loss account in respect of pension costs and other post-retirement benefits is the amount payable in the year. Differences between contributions payable and contributions actually paid in the year are shown as other creditors in the balance sheet. ## **3 CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS** In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. - 15 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **4 INCOMING RESOURCES** 4% (2022 - 3%) of the charity's turnover is attributable to geographical markets outside of the United Kingdom. The incoming resources included on page 8 consist of the following sources of income: |**Unrestricted income:**
**Charitable activities**
Sponsorship and speakers fees
Conference fees
Partnership scheme
**Investment income**
Investments
**Restricted income:**
**Charitable activities**
Grant income
**Total income**|**2023**
**£**
187,767
8,644
565,975
762,386
3,582
765,968
20,000
785,968|**2022**
**£**
45,065
10,554
465,854
521,473
1,192
522,665
20,000
542,665| |---|---|---| - 16 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **5 EXPENDITURE** The resources expended included on page 8 consist of the following sources of expenditure: |**Raising funds**
Investment management costs
**Unrestricted expenditure:**
**Charitable activities**
Sub-contractors
Postage
Publication Printing
Events and conferences
Rent (operating leases)
Wages
Employer's National Insurance
Staff pension cost
Insurance
Books and data
Repairs and maintenance
Telephone and fax
Computer operating costs
Printing, postage and stationery
Advertising and marketing
Entertainment
Travel and subsistence
Legal fees
Accountancy and payroll bureau fees
Bookkeeping
Bank charges
Staff training
Subscriptions
Depreciation
**Restricted funds expenditure:**
**Charitable activities**
Publication Printing
Postage
Sub-contractors
Wages
**Other expenditure**
(Profit)/ Loss on sale of tangible fixed assets
**Total expenditure**|**2023**
**£**
5,406
70,505
9,461
28,446
126,068
10,506
244,892
30,278
30,883
1,157
464
-
788
4,634
6,294
2,757
6,640
16,610
1,446
8,935
1,350
185
1,502
3,811
4,150
611,762
6,614
4,526
3,000
5,860
20,000
(199)
636,969|**2022**
**£**
4,792
28,911
15,700
30,811
43,484
8,893
241,558
22,186
27,878
536
505
465
485
2,162
4,250
3,744
3,666
9,053
791
7,680
1,780
160
2,270
4,546
3,833
465,347
-
-
-
-
-
159
465,506| |---|---|---| - 17 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **6 EMPLOYEES** The average number of persons employed by the charity (including trustees) during the year was: |Average number of employees
**7**
**STAFF COSTS**
Staff costs during the year amounted to:
Salaries and wages
Social security costs
Pension contributions|**2023**
5
**2023**
**£**
250,752
30,278
30,883
311,913|**2022**
5
**2022**
**£**
241,558
22,186
27,878
291,622| |---|---|---| |**2023**
£100,001 - £110,000
-
£110,001 - £120,000
1
**8**
**2023**
**£**
Salary and wages
119,400
Pension
21,143
140,543
**KEY MANAGEMENT PERSONNEL REMUNERATION**
Key management personnel remuneration for the year amounted to:
The number of employees whose annual remuneration was £60,000 or more were:|**2022**
1
-
**2022**
**£**
104,269
19,811
124,080| |---|---| - 18 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **9 TANGIBLE ASSETS** |**Cost**
At 1 August 2022
Additions
Disposals
At 31 July 2023
**Accumulated depreciation**
At 1 August 2022
Charge for year
Disposals
At 31 July 2023
**Net book value**
At 1 August 2022
At 31 July 2023|**Website**
**costs**
**£**
30,776
-
-
30,776
22,080
1,740
-
23,820
8,696
6,956|**Computer**
**and Office**
**Equipment**
**£**
26,610
3,435
(750)
29,295
21,681
2,410
(227)
23,864
4,929
5,431|**Total**
**£**
57,386
3,435
(750)
60,071
43,761
4,150
(227)
47,684
13,625
12,387| |---|---|---|---| - 19 - **HIGHER EDUCATION POLICY INSTITUTE** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **10 FIXED ASSET INVESTMENTS** |**FIXED ASSET INVESTMENTS**|| |---|---| ||**Total other**| ||**investments**| ||**£**| |**Cost**|| |At 1 August 2022|466,211| |Additions|124,375| |Revaluation|(6,415)| |Disposals|(4,739)| |At 31 July 2023|579,432| |**Net book value**|| |At 1 August 2022|466,211| |At 31 July 2023|579,432| The investments are UK listed investments and have been measured at market value. ## **11 DEBTORS** |Trade debtors
Prepayments and accrued income
**CREDITORS:**amounts falling due within one year
Trade creditors
Taxation and social security
Accruals and deferred income
Other creditors|**2023**
**£**
148,239
5,132
153,371
**2023**
**£**
6,463
25,461
220,940
14,139
267,003|**2022**
**£**
52,058
3,015
55,073
**2022**
**£**
14,453
44,195
284,443
6,403
349,494| |---|---|---| **12 CREDITORS:** amounts falling due within one year ## **13 DEFERRED INCOME** Included in accruals and deferred income is deferred income of £210,745 in respect of income received in 2023 which relates to 2024. In the accounts for the year ended 31 July 2022 income totalling £266,771 was deferred and has been released in the current year. - 20 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **14 COMMITMENTS** |Amounts falling due under operating leases:
Expiring in less than one year
Expiring in more than one but less than five years|**2023**
**£**
10,980
2,745
13,725|**2022**
**£**
10,980
13,725
24,705| |---|---|---| ## **15 ANALYSIS OF NET ASSETS BETWEEN FUNDS** Fund balances at 31 July 2023 are represented by: |Investments
Tangible assets
Debtors
Cash at bank and in hand
Current liabilities
**MOVEMENT IN FUNDS**
**Unrestricted funds:**
Charitable activities
Total unrestricted funds
**Restricted funds**
Grant income
Total restricted funds
**Total funds**|**£**
609,208
609,208
20,000
20,000
629,208
**At 1**
**August**
**2022**|**£**
765,968
765,968
20,000
20,000
785,967
**Incoming**
**resources**|**£**
579,432
12,387
153,371
273,605
(267,003)
751,792
**£**
(623,384)
(623,384)
(20,000)
(20,000)
(643,384)
**Unrestricted**
**funds**
**Outgoing**
**resources**|**Restricted**
**funds**
**£**
-
-
-
20,000
-
20,000
**£**
-
-
-
-

**Transfers**|**Total funds**
**£**
579,432
12,387
153,371
293,605
(267,003)
771,792
**£**
751,792
751,792
20,000
20,000
771,792
**As at 31**
**July 2023**| |---|---|---|---|---|---| ## **16 MOVEMENT IN FUNDS** - 21 - **HIGHER EDUCATION POLICY INSTITUTE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023** ## **16 MOVEMENT IN FUNDS (continued…)** |**Movement in funds (previous year)**
**£**
**Unrestricted funds:**
Charitable activities
580,004
Total unrestricted funds
580,004
**Restricted funds**
Grant income
-
**Total funds**
580,004
**At 1**
**August**
**2021**|**£**
522,665
522,665
20,000
542,665
**Incoming**
**resources**|**£**
(493,461)
(493,461)
-
(493,461)
**Outgoing**
**resources**|**£**
-
-
-
-
**Transfers**|**£**
609,208
609,208
20,000
629,208
**As at 31**
**July 2022**| |---|---|---|---|---| ## **Grant income** Funds of £20,000 (2022: £20,000) from Research England to support HEPI's activities where they contribute to the understanding of issues facing research and knowledge exchange in universities. ## **17 RELATED PARTY TRANSACTIONS** During the year the Charity made the following related party transactions: ## **Trustees and Directors** None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity and no expenses were incurred during the year. The charity reimbursed Nick Hillman (the director) for £2,090 (2022: £901) relating to travel and subsistence. Nick Hillman also received remuneration of the amounts disclosed in note 8. ## **18 ANALYSIS OF CASH AND CASH EQUIVALENTS** |Cash in hand
**Total cash and cash equivalents**|**2023**
**£**
293,605
293,605|**2022**
**£**
443,793
443,793| |---|---|---| - 22 - **HIGHER EDUCATION POLICY INSTITUTE** ## **DETAILED INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 JULY 2023** **----- Start of picture text -----**
2023 2022
£ £
INCOME
Sponsorship and speakers fees 187,767 45,065
Conference fees 8,644 10,554
Partnership scheme 565,975 465,854
Grant income 20,000 20,000
782,386 541,473
Direct costs
Sub-contractors 73,505 28,911
Postage 13,987 15,700
Publication Printing 35,060 30,811
Events and conferences 126,068 43,484
248,620 118,906
Gross surplus 68.2% 533,766 78.0% 422,567
EXPENDITURE
Rent (operating leases) 10,506 8,893
Wages 250,752 241,558
Employer's National Insurance 30,278 22,186
Staff pension cost 30,883 27,878
Insurance 1,157 536
Books and data 464 505
Repairs and maintenance - 465
Telephone and fax 788 485
Computer operating costs 4,634 2,162
Printing, postage and stationery 6,294 4,250
Advertising and marketing 2,757 3,744
Entertainment 6,640 3,666
Travel and subsistence 16,610 9,053
Legal fees 1,446 791
Accountancy and payroll bureau fees 8,935 7,680
Bookkeeping 1,350 1,780
Bank charges 185 160
Staff training 1,502 2,270
Investment management costs 5,406 4,792
Expenditure carried down 380,587 342,854
**----- End of picture text -----**
- 23 - **HIGHER EDUCATION POLICY INSTITUTE** ## **DETAILED INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 JULY 2023** |**£**
**2023**
Expenditure brought down
380,587
Subscriptions
3,811
Depreciation
4,150
(Profit) / loss on sale of tangible fixed assets
(199)
388,349
145,417
**Interest receivable**
Bank interest
3,582
**Loss on investment assets**
6,415
**NET INCOME**
142,584
**TOTAL FUNDS BROUGHT FORWARD**
629,208
**TOTAL FUNDS CARRIED FORWARD**
771,792
**Net income before gains and losses on investments**|**£**
**2022**
342,854
4,546
3,833
159
351,392
71,175
1,192
23,163
49,204
580,004
629,208| |---|---| - 24 -