Registered number: 05309512 Charity number: 1108296 UNITED UTILITIES TRUST FUND (A company limited by guarantee) TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 UNITED UTILITIES TRUST FUND (A company limited by guarantee) CONTENTS Page Reference and administrative details of the company. its Trustees and advisers Tru5tees' report Trustees. responsibilities statement Independent auditorfs report on the financial statements Statement of financial activities 8-11 12 Balance sheet 13 Statement of cash flows 14 Notes to the financial statements 15-23 UNITED UTILITIES TRUST FUND (A company limited by guarantee REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2024 Trustees Mrs Deborah Morton, Chair Mr Alastair Richards Mrs Lynne Heath Mr Martin Crowhurst Miss Jo-Anne Boswell Company registered number 05309512 Charity registered number 1108296 Registered office and principal address Crowe UK LLP Black Country House Rounds Green Road Oldbury West Midlands B69 2DG Senior management team The Trust has no employees and has engaged Auriga Servi￿5 Limited as a third party provider for administration and management on behalf of the Trustees. Independent auditor Crowe U.K. LLP Black Country House Rounds Green Road Oldbury West Midlands B69 2DG Bankers Royal Bank of Scolland 38 Mosley Road Manchester M60 2BE Page 1 UNITED UTILITIES TRUST FUND IA company limited by guarantee) TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2024 The Trustees present their report and the audited financial statements for the year ended 31 March 2024. Structure Governance and Mana ement Govemin document The organisation is a charitable company limited by guarantee, incorporated on 9 December 2004 and registered as a charity on 24 February 2005. Registered company number is 05309512 and charity no is 1108296. The organisation is govemed by the Articles of Association. Recruitment and a ointment of trustees Recruitment of the first Trustees was by selection by the settlor drawing from experience of the sector and of the region where help is to be provided. Trustees have subsequently been appointed following public advertisement. A list of Trustees who govemed in the year can be found on page 1. Trustee induction and trainin Before anyone considers seeking appointment as a Trustee. and as part of the induction process, they are expected to familiarise themselves With the responsibilities of charity trustees, read the Charity Commission literature on this subject and carefully read the trust deed. settlorfs directions and the latest financial statements. Opportunities for training are readily available and Trustees are encouraged to familiarise themselves with the day to day operations.. Risk mana ement The Trustees have Considered the risks to which the charity is exposed and have taken steps to mitigate those risks. The Trustee5 maintain a detailed risk register which is considered at each Trustees, meeting and between meetings as necessary. The Trustees periodically review the risk profile of the charrty. This involves identifying the types of risk the charity faces, prioritising them in temis of potential impact and the likelihood of occurrence, and identifying the means of mitigaling those risks. As part of this process, the Trustees work closely with Auriga Setvices Limited, who manage the day to day operations, to continually assess the adequacy of the charity's current internal controls and the costs of operating them relative lo the benefits obtained. Any changes to control systems would be agreed by Trustees. The Trustees have considered the risk that all donations are received from United Utilrties Water plc and the issues that will arise from a failure to receive future donations from United Utilities Water plc. The risk has been mitigated by agreeing with United Utilities Water plc that a donation of £3.5m is guaranteed for the next year 1202412025). The last three financial years have seen considerable change and turt)ulence. As such the risk register includes consideration of issues such as Covid-19, major geo-political shocks and the condition of the UK economy. The Trustees assess the likely impact of these when considering the way in which resources are allocated and the likely level of demand for support. Page 2 UNITED UTILITIES TRUST FUND (A company limited by guarantee) TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 anisational structure The structure of the organisation comprise5 the Board of Trustees with all non administrative and policy decision5 made by the Trustees jointly. There is a single commtttee which is the Audit Committee. Administrative decisions are delegated to Auriga Services Limited who act on behalf of Trustees under an approved Scheme of Delegation. The Trustees do not employ staff directly and hold no material assets other than bank balances. Audit committee The Audit Committee is a committee established by the Board of Trustees and has authority from the Board to require Auriga Services Limited to report on any asped of the powers delegated to tt, in respect of the management of the charity and on its service provision. The responsibility of the committee is= to ensure that there is an appropriate and effective frameworf( of accountabilty., to examine and review all systems and methods of control both financial and otherwise including risk analysis and risk management., to assist the Board in longer-term financial planning and in reviewing performance against the budget and activity projections., to prepare and present to Trustees the audit plan. to review the draft annual accounts and the audit report for their approval. to ensure the charty is complying with all aspects of the law. relevant regulations and good practice- to ensure the charity has relevant systems and processes in place to enable it to comply with all aspects of the law, relevant regulations and good practice. The committee may be authorised to investigate on behalf of the Board anything that threatens or adversely affects the accomplishment of the charitys aims and objectives, its assets. the reliability of all records and information, its compliance with all relevant laws, regulations. policies. and its goveming articles. The committee shall request and review reports and posttive assurances from Auriga Services Limited on the overall arrangements for governance, risk management and intemal conlrol. It may also request specific reports from individual functions within Auriga seNi￿s Limited as may be appropriate to the overall arrangements. The Audit Committee will consist of no fewer than two Trustees appointed by the Board. The Chair of the Audit Committee will be appointed by the Board. The Company Secretary shall attend meetings of the Committee, along with any other employees of Auriga Services Limited who may be required. Unless otherwise determined by the Board. a quorum shall consist of two members of the Audit Committee. (The Chair does not have to be present for a quorum to exist). Page 3 UNITED UTILITIES TRUST FUND (A company limited by guarantee TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Membership of the committee and its terms of reference shall be reviewed annually by the Board at the Annual General Meeting. Any Trustee of United Utilities Trust Fund has the right to attend any Audit Committee meeling. The committee meets at least twice a year. During the year the Audit Committee comprised Alastair Richards (Chair), Lynne Heath and Martin Crowhurst. Ob'ectives and activities for the ublic benefit The Charity's objects are the relief of those persons who are in condition of need, poverty, hardship or other distress and are unable to meet the cost of charges for the supply ofwater andlor sewerage services provided to premises used or occupied by them by United Utilities a5 water andlor sewerage undertaker appointed pursuant to the Water Industry Act 1991 (or any statutory modification or amendment to that Acl}. Such relief is to be provided at such times and in such manner as the Trustees think fit and includes the prevention and relief of poverty by the provision of advice, counselling and the education of the general public in relation to debt, debt awareness and debt prevention. The Trustees confirm that they have referred to the guidance conlained in the Charity Commission's general guidance on public benefit when reviewing the Trust's aims and objectives and in planning future activities and setting the grant making policy for the year. The Trustees provide grants to assist eligible people or organisations to achieve the charity's objects. How our rants delivered ublic benefit Achievements and erformance During the year a £3.5m donation was received from United Utilities Water PIC {2023 £3.5m). This is the eighteenth year of the charity's activities and it has worked to ensure that potential beneficiaries are aware of the availability of grants, as well as providing grants where applicable. Hel for individuals In pursuit of charitable objectives, the Trust was able to award grants to individuals towards water and other priority costs. Grant payments have been made. as far as possible, directly to the organisation to which the amount is due. The aim of the Trust is to help people out of immediate crisis and financial difficulty and wherever possible. to encourage future financial slabilty. During the year the Trust received 6,870 (2023 - 8,315} applications and was able to provide grants and further assistance to 3,963 (2023- 3,806) individuals or families amounting to £2,893,355 (2023- £2,879,067). anisational rants Trustees recognise the value of offering long term help and 5UPPOrt to individuals experiencing hardship and have adopted a policy of making grants available to organisations that provide free money advice and debt counselling services. In pursuit of charitable objectives Trustees paid grants of £111,183 to four organisations 12023 - £96,464 to seven organisations) to support the delivery of money advice and debt counselling services in this financial year. Applications are encouraged from local organisations that specialise in providing debt and money advice ServI￿S that are focussed on specific groups of people. Page 4 UNITED UTILITIES TRUST FUND (A company limited by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Trustees, indemni The Trustees confim that the company has Trustees. and Officers. insurance in place. Financial review The Trustees consider that the financial position of the Trust is satisfactory. Reserves The Trust maintains reserves to ensure that it is able to continue to fulfil its charttable purpose by providing for business continuity and to support future capital and revenue expenditure requirements which may not be covered by incoming resources. At the end of the period lotal funds of £337,256 (2023 - £341.829} represent unreslricted funds of £259,153 and £78.103 designated funds to meet the future costs ofthe provision of Money Advice and Debt Counselling. The Trustees have reviewed the reserves policy and have agreed that the appropriate target for the Trust's general, unrestricted reserves should remain at approximately £200,000. The reserves policy will be reviewed again during 2024-25. Goin Concern After considering the continued funding available along with the need for debt relief, the Trustees are of the view that there are sufficient reserves to secure the immediate future of the charity for the next 12 to 18 months and on that basis the charity is a going concern. Investment olic The trust deed grants the Twstees the power to invest funds, employ a fund manager and arrange for inveslments or other property of the charity to be held in the name of a nominee subject to the same conditions permitted by the Trustee Act 2000. The trustees have adopted a policy to invest any excess funds in a special interest bearing account with the Royal Bank of Scotland. Plans for future eriods The Trustees have considered the current economic environment and the continued funding available to Ihe charity and have determined that as United Utilities Water PLC have confirmed their commitment to support the Trust until March 2025, the charity will be able to continue to.. provide grants up to the full value of available funds conlinue its commitment to support the organisational grant programme maintain the relationship with the donor company, United Utilities Water PLC. to continue the positive work of the Trust. Page 5 UNITED UTILITIES TRUST FUND (A company limited by guarantee) TRUSTEES. REPORT ICONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Information for the auditor In respect of each Trustee at the date the Trustees, Report is signed.. So far as we are aware, there is no information needed by the CharIt￿S auditor in connection with preparing their report (relevant audit infomiation) of which they are unaware, and As trustees of the charity we have taken all steps that we ought to have taken in order to make ourselves aware of any relevant audit information and to establish that the charttys audilor is aware of the information. This report has been prepared in accordance with the Statement of Recommended Practice, Accounting and Reporting by Charities {issued in January 2015) and in accordance with Part 15 of the Companies Act 2006. The Trustees have taken advantage of the small Companls exemption from preparing a strategic report for the year. Approved by order of the members of the board of Trustees and signed on their behalf by.. Mrs Deborah Morton Chair of Trustees Date.. 92.3 Oc.P l. 2oafr Page 6 UNITED UTILITIES TRUST FUND IA company limited by guarantee STATEMENT OF TRUSTEES. RESPONSIBILITIES FOR THE YEAR ENDED 31 MARCH 2024 The Trustees (who are also the Directors of the company for the purposes of company law) are responsible for preparing the Trustees, report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial . Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of its incoming resources and application of resources, including its income and expenditure. for that period. In preparing these financial statements, the Trustees are required to.. select suitable accounting policies and then apply them consistently- observe the methods and principles of the Charities SORP (FRS 102)., make judgements and accounting estimates that are reasonable and prudent., state whether applicable UK Accounting Standards {FRS 102) have been followed, Subject to any material departures disclosed and explained in the financial statements.. prepare the financial slatements on the going concem basis unless rt is inappropriate to presume that the company will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufFicient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Page 7 UNITED UTILITIES TRUST FUND (A company limited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF UNITED UTILITIES TRUST FUND Opinion We have audited the financial statements of UntEed Utilities Trust Fund (the 'charitable companl) for the year ended 31 March 2024 which comprise the Statement of financial activities. the Balance sheet. the Statement of cash flows and the related noles, 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= give a true and fair view of the state of the charitable company's affairs as at 31 March 2024 and of its incoming resources and application of resources. including its income and expenditure for the year then ended., have been properly prepared in accordance with Untted Kingdom Generally Accepted Accounting Practice- and have been prepared in accordance with the requirements of the Charities Act 2011. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK)