2410412025 DRAFT English UK Limited Annual Report and Consolidated Financial Statements 31 De￿mber 2024 Company Limited by Guarantee Registration Number 05120951 {England and Wales) Charity Registration Number 1108792 Contents DRAFT Reports Reference and administrative infomiation Chairfs statement Trustees, report Independent auditor's report 32 Financial statements Consolidated statement of financial activities 37 Consolidated balan￿ sheet 38 Charity statement of financial position 39 Consolidated statement of cash flows 40 Principal accounting policies 41 Notes to the financial statements 42 The following pages do not form part of the statutory financial statements: Charity income and expenditure account 55-56 English UK Limited Reference and administrative information DRAFT Trustees M Rendell (Chair until May 2024) S Doherty (Vice Chair until May 2024 and Chair from June 2024) J Brown (resigned 17 May 2024) T Cooke (resigned 17 May 2024) M Doody F Dunlop (appointed 17 May 2024) S Fordham F Giacomini N Harris J Herbertson (appointed 17 May 2024) V Paterson (appointed 17 May 2024) J Quinn (appointed 17 May 2024) F Quraishi S Roussounis (resigned 17 May 20241 R Simpson (resigned 17 May 2024) P Zhang (resigned 17 May 2024) Executive Team Chief Executive OffI￿r J Gray H Japes A Wright Director of Membership Marketing Communications Director Company Secretsry N Felip Puignou Principal office Flag House 47 Brunswick Court London SE13LH Company registration number 05120951 Charity registration number 1108792 Auditor Buzzacott LLP 130 Wood Street London EC2V 6DL English UK Limited Reference and administrative information DRAFT Banker National Westminster Bank plc PO Box 2354 65 Piccadilly London W1A2PP English UK Limited Chair's statement Year to 31 De￿mber 2024 DRAFT The chair presents her statement for the year. English UK exists to support and represent the UK'S accredited ELT centres, help them thrive and to transform the lives of English language students through learning and intercultural understsnding. English UK has been at the heart of UK ELT for 21 years, succeeding two separate organisations for privately-owned and state-owned language ￿ntres. Our mission is to harness the collective energy of our membership to champion and advance UK ELT. We lead. represent and support our membership community to achieve its full potential. We work for and with our members - all accredited teaching centres - to help them to be the best they can, improve their operating environment and ensure they succeed in a global industry. In the UK, we: support members to aspire to and reach the highest quality of teaching and student experien￿ and welfare. work with educational, govemmental and partnerorganisations and individuals to create operating conditions where ELT centres can thrive" and provide practical support for member centres, induding offering a dynamic suite of market intelligen￿. staff training and qualifications. workshops and conferences. Internationally, we.. encourage and infom our intemational agents and partners, students and parents, and promote our offer; show how the UK can meet students, needs, transfomi their lives and help them follow their dreams- and create opportunities for members to develop their intemational markets through partnerships and connections. We aspire to make UK ELT an even better place to study and work for everyone, both now and in the future. We are leading the way on improving the diversity. inclusivity and environmental impact of our industry. English UK Limited Chair's statement Year to 31 De￿mber 2024 DRAFT Our shared values are: Community We can do more together than we can alone. We celebrate and support each other. Integrity We are accountable for our actions and inactions. We treat everyone with respect, honesty, professionalism and understsnding. Inclusivity Everybody belongs in UK ELT. We embra￿ diversity and value everyone's perspectives and contributions to our community. Responsibility We prioritise the safety and wellbeing of our students, staff, colleagues, partners, peers and communities. Sustainability We believe in tuming UK ELT green to help protect our planet, build hope and secure our future. In 2024 we have continued to support the industryto rebuild after the seismic changes caused by the pandemic and Brexit. English UK lobbied for a small number of specific policy changes which would materially improve the operating environment for the sector at little cost to the Government. doing so in the context of an election year. We addressed the continuing capacity challenge in both practical and lobbying terms. English UK was instrumental in the creation of a new teacher qualification and activity leader training. We contributed to a review of Accreditation UK rJiteria. alloviing inspections to look at teaching teams and their support in the round. We worked to expand available accommodation and achieve policy-level change. In a major achievement. our intensive lobbying yielded a commitment that ELT centres would not be treated as private schools and therefore required to charge VAT on fees. This Labour policy would have seriously damaged our industry's global competitiveness. The association took the significant step of commissioning economic impact research for the first time since before the pandemic which will be used as a new benchmark and for lobbying purposes. English UK Limited Chair's statement Year to 31 De￿mber 2024 DRAFT English UK has also worked to understand how the maturing of the global ELT industry is affecting pattems of travel and to support its members in making the most effective marketing decisions. Factors include overcapacity in ELT globally, the ernergen￿ of local hubs and an increased commitment to English teaching in national high school systems. In 2019. the UK was the dominant player in the global ELT industry, attracting almost twice as many intemational students as any of our English-speaking competitors. UK ELT was worth £1.4bn to the national economy annually, supported 35,000 jobs and our £20bn intemalional education sector, and built positive relations between the UK and the rest of the world. 2023's recovery was shown in 2024 to be weaker than that of our competitors, and even that fell away during the year. The annual recovery rate was down 8.50/0 on 2023, parlly because that year was artificially inflated by a post pandemic bounce. Student numbers were at 76 % of 2019 levels and student weeks 71 %, compared with the global average of 84 % student weeks and 780/0 numbers. Student volumes will likely continue to be volatile bul influencing factors may turn out to be a new nonnal. Using ourshared values. we will continue to use information and agility to overcome UK ELT'S challenges and keep transforming lives through leaming and intercultural understanding. S Dohe Chair Date.. 24 April 2025 English UK Limited Trustees, report Year to 31 De￿mber 2024 DRAFT The trustees present their annual report together with the audited financial statements of the Group and Charity for the year 1 January 2024 to 31 De￿mber 2024. English UK wholly owns the £1 issued share capital of English UK Enterprises Limited (Company No. 05200973), which carries out the charity's commercial operations. The annual report serves the purposes of both a Trustees. report and a directors. report under company law. The Trustees confimi that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102). The reference and administrative information sel out on page 1 forms part of this report. Governance, structure and management Constitution English UK is a company limited by guarantee (Company No. 05120951) and a registered charity (Charity No. 1108792). The company was incorporated on 6 May 2004 and its goveming documents are the Memorandum and Articles of Association. The company registered as a charity with the Charity Commission on 1 April 2005. Trustees The Trustees of the charity constitute directors of the company for the purposes of company law. This report is also a directors, report as required by the Companies Act 2006. The Articles provide for a maximum of 12 directors. elected by the representatives of member ￿ntreS in a ballot. The following Trustees have served throughout the year to 31 De￿rnber 2024, and to the date of signing this report, except as shown: Trustees Appointedlresigned M Rendell (Chair) S Dohety (Vice Chair) J Brown T Cooke M Doody F Dunlop S Fordham F Giacomini N Harris J Herbertson V Paterson J Quinn F Quraishi S Roussounis R Simpson P Zhang Resigned 17 May 2024 Resigned 17 May 2024 Appointed 17 May 2024 Appointed 17 May 2024 Appointed 17 May 2024 Appointed 17 May 2024 Resigned 17 May 2024 Resigned 17 May 2024 Resigned 17 May 2024 English UK Limited Trustees, report Year to 31 De￿mber 2024 DRAFT Govemance, structure and management (continued) Trustees (continued) The Board of Trustees is recruited from the representatives of member centres by open election. The Chair and the Vice-chair are appointed by the Board from among its number. Since board members have almost always been the representatives of member centres for a significant number of years and are therefore familiar with the sector and current issues, induction after a board election focuses on their role and responsibilities as trustees and directors, and an update on the charity's strategy. policies and current issues. Trustees are elected by the member ￿ntres. Trustees. terms of appointment are for a period of three years at the end of which they may offer themselves for re-election. A maximum temi of six years (save for the Chair which is nine years) is stipulated in the governing documents. The board consists of a maximum of 12 members. The Board of Trustees met five times in 2024 (2023- five). Subsidiary companies English UK wholly owns the £1 issued share capital of English UK Enterprises Limited (Company No. 05200973), which carries out the charity's commercial operations. The Board of English UK Enterprises Limited is appointed by the Board of Trustees of the charity and gives guidance to staff on commercial activities, primarily through the CEO. National and Regional Sub-Gmups and Special Interest Gmups These operate under a short constitution approved by the Board and their activities are controlled by their local committee. which is elected from among the members in that part of the UK. The activities range from Ma￿etIng initiatives to local training and professional development sessions for centre staff, in response to perceived needs among members of the sutFgroup. There is one special interest group, Young Learners English UK, which considers matters specific to this client group. The activities and assets of the sub-groups and special interest group are not consolidated within the charity's financial statements as English UK does not control them. The total transactions of the sub-groups would not be material in the context of the charity's accounts. and there are systems in place to minimise the risk of any contingent liability from the sub- groups falling to the national association and charity. Pay policy for key management personnel The key management personnel of the charity are the Trustees and the members of the Executive Team refe￿ed to on page 1. Trustees are not remunerated for their services to the charity. When setting staff remuneration levels, terms agreed are in consultation with the Chair (andlor Chief Executive) and have regard to pay and employment conditions across the Group, by obtaining reliable, up-to-date infomation about remuneration in other companies of comparable scale and complexity from the relevant HR consultants that we work with including reports and surveys produced by them. The charity has a performance measurement system in pla￿ to provide key performance indicators. as well as to motivate and develop staff. English UK Limited Trustees, report Year to 31 De￿mber 2024 DRAFT Governance, structure and management {continued) Organisation There is a full scheme of delegation of powers. covering both policy and financial responsibilities, agreed by the main Board. Statement of Trustees. responsibilities The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees, report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally AC￿pted Accounting Practi￿). Company law requires the Trustees to prepare financial statements for each financial year. 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 Group and the Charity and of their incoming reSoUr￿S and application of resources, including their 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. and prepare the financial statements on the going con￿rn basis unless it is inappropriate to presume that the Group will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and 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 Group and the Charity and hen￿ for taking reasonable steps for the prevention and detection of fraud and other irregularities. The Trustees are responsible for the rna1ntenan￿ and integrity of financial infom)ation included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. English UK Limited Trustees, report Year to 31 De￿mber 2024 DRAFT Objectives and activities Our mission and aims English UK is the national membership association of accredited English language teaching centres in the UK. We are a registered charity with a clearfy defined purpose documented in the association's charitable objects. The charity's objects (the Objects) are to advan￿ the education of intemational students in Ihe English language, in particular by= 1. Promoting the teaching of the English language. 2. Promoting the pursuit of excellen￿ in professional standards in all aspects of the provision of courses in English Language. 3. Maintaining a rigorous system of accreditation of courses in English language. based upon independent inspection and consistent standards. 4. Promoting the accredited courses in the English language provided by members of the charity as the prefe￿ed choice of students. Our mission is to hamess the collective energy of our membership to champion and advance UK ELT. Our vision is for a UK English language teaching sector that transforms lives through learning and intercultural understanding. Our values: community, indusivity, integrity, responsibility, sustainability. Achievements and perforniance Main achievements of the Charity 2024 was a year of consolidation, growth and understanding where the new normal may settle post-pandemic. Last yearfs stronger recovery- a retum to 83 % of pre-pandemic student numbers- fell away in 2024. partly because 2022-23 was artificially inflated by a post pandemic bounce. Student numbers were at 76 % of 2019 levels and student weeks 71 %. compared with the global average of 84 % student weeks and 78°/o numbers. For the UK, 2023 and 2024 may prove to be 'the new nomial, in tem)s of student drivers. markets and destinations. In a global context the UK'S 2023 student volume statistics showed our industry had low recovery rates compared to our major competitors. but relative performance is likely to have improved in 2024 as a result of immigration policy changes targeting intemational students in Australia and Canada. The increased importance of juniors continued, with the highest proportion of student weeks from under-18s ever recorded in the third quarter of 2024. English UK Limited Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perforniance (continued) Main achievements of the Charity (continued) We continued to address the industry's post-Brexit capacity challenge which has hit staffing in ELT ￿ntres. particularly during the summer peak period. 2024 was an election year and we spent time trying to encourage the government to adopt certain helpful policies including raising rent a room relief, extending ID card travel to more school groups, increasing the scope of Youth Mobility Scheme deals and getting educational oversight arrangements extended to Accreditation UK. We also worked to build relationships with the Labour party and the new govemment. Guided by our strategy, Striving to do better. seizing new opportunities, English UK focused on addressing these issues during 2024. Major strands included: Further developing innovative capacity challenge initiatives., Diversifying and increasing our marketing reach to support UK ELT" Public affairs campaigning in the contexi of an election year, initially targeting the existing govemment as well as prospective parliamentary candidates, launching a manifesto aimed at an incoming govemment at our May Parliamentary Reception, and then moving to form relationships with the new govemment. and Furthering the drive to increase member numbers and engagement by creating a conference for state sector bodies and commissioning scoping research to identify possible future members who might be persuaded to become accredited. We continue to work for a strong. welcoming. inclusive. responsible and sustainable industry in the second quarter of the 21st century and return the UK to its place as the primary destination for English language studies. Our achievements towards our strategic ambitions in 2024 #1 Strong. growing community I we will successfully build a growing and engaged community of English UK member centres. English UK is an assoGiation run by its members. Our strength is in our numbers and the engagement of our community. We will do this by." promoting excellence in our community through our partnership with the British Council in Accreditation UK and the quality assurance we offer students through Student Emergency Support and our student complaints process," English UK Limited 10 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perfomiance (continued) communicating regularfy and clearty with our members, broadcast and 1..1 channels, infonning, advising. supporting, engaging. listening to and leaming from them through digital and in-person,. reviewing our membership model, membership criteria and govemance structures to ensure they are fit-forpurpose and aligned with our mission, vision and values," and supporting the English UK family of national, regional and special interest subgroups. We believe our strength is in our numbers and the engagement of our community. Member numbers have continued to fall. In the state sector, this is because of systemic changes and among private centres this is due to post-covid struggles, takeovers and consolidation. We have created a special low-cost associate member scheme for universities and colleges and are reaching out to non-members, which are both accredited and non- accredited language schools. We have commissioned research on non-accredited language centres so that we can identify possible future members. We started 2024 with 322 member centres and finished with 314. gaining nine and losing 18 during the year. The British Council's Accreditation Unit, which runs Accreditation UK, has received significant numbers of enquiries in re￿nt months and it is hoped that numbers will stabilise if not increase in coming years. English UK commissioned research by our Intelligen￿ partners. Bonard. to identify possible future members which have the potential to achieve accreditation. As part of our drive to engage with universities and colleges, we ran our first-ever FE & HE Conference. held in June at the Edgbaston Park Hotel. It attracted 40 attendees and ￿0 sponsors. The aim was to present and discuss trends in UK state sector EFL provision, how departments can respond to these, and to explore how English UK can support universities and colleges in this field. Topics included how EFL departments can prove their value within their institution. the benefits of Accreditation UK and student data insight. Delegates gave the event an NPS score of 50. with 88 /0 saying they felt more informed and knowledgeable about UK ELT. All responders said they were inspired by the speakers and the topics covered and felt better connected to the UK ELT and English UK community. "I think the balance of the programme was well-managed to offer something for both the HE and FE sector. and I definitely left energised and inspired from the day." No institutions have yetjoined the associate membership scheme, which launched in late 2023. We remain engaged with state sector COn￿mS through quarterly meetings with most FEIHE members, and a state sector representative was very successfully co-opted onto the main board in June after a recommendation by English UK'S Representation, Inclusion, Diversity and Engagement Committee (RIDEC). English UK Limited 11 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perforniance (continued) We gained and lost three corporate members. with numbers remaining stable at 39. Our Partner Agency Scheme for study abroad agents who meet our reference and training criteria has 249 members. including 11 new recruits. Donnant agencies have been removed from the list so numbers appear lower than in 2023. We continued to promote excellence in UK ELT through our partnership with the British Council in the Accreditation UK scheme: through membership of Accreditation UK'S Executive Board and the Accreditation Scheme Advisory Committee, we ensured it remained responsive to the changing needs of the sector. The year's work included discussion on changes to qualification profiles for schools, particularly summer providers. sign-off of revisions to the 2024 criteria, requirements and guidance notes and agreement on a new on-the-job training scheme, AccessTEFL as a valid qualification route. Accreditation UK'S updated criteria. requirements and guidance, launched at the end of 2023, are popular with members who appreciate a more flexible approach to policy level rationales for teachers with non-standard qualifications and a shift in focus from qualified staff numbers to support. CPD and appropriate mixes of staff. English UK took an active part in this four-yearly review and in partnership with NILE has developed and is promoting AccessTEFL. an on-the-job qualification for teachers whose existing qualification does not meet Accreditation UK standards. This should provide cost- effective training for existing teachers. building on their previous experience and qualifications. increasing access. diversity and equality and helping members address staffing issues. We have promoted the qualification at careers fairs and English UK events as well as directly to members and first applications are expected in 2025. English UK'S independent complaints service for students studying with our member centres received 11 complaints in 2024, up from eight the previous year. Two of these went to the Ombudsman, down from 3 in 2023. There were two calls on Student Emergency Support, which assists if a school closes unexpectedly. Community engagement is a priority for English UK. We communicate regularly and clearly with our members through various channels and listen to what they have to say. Our social media fans and followers across all our networks increased to 61 k from 59.8k with 1.530 extra compared to 1.309 in 2023. Most of these - 1.372 were on Linkedln. up to 24,110 followers. English UK joined Wechat late in the year to better communicate with the Chinese market. English UK Limited 12 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perfomiance (continued) Followers on X dropped slightly to 12,628 from 12,751 while Facebook numbers doubled to 25,340. Reasons for this are unexplained as English UK rarely used this platfomi in 2024. Average engagement rate dropped from 9.43 % to 8.21 % but increased on Linkedln, our most effective channel. This rose to 10.470kn from 8.37 % in 2023. Page and profile impressions across all neiworks fell from 219,428 lo 164,348, with the page and profile reach also dropping from 113.088 to 90.147. Post impressions dropped slightly from 233,489 lo 223.408. English UK posted 60 stories on its website, down from 71. The lack of a full-time communications team member for almost eight months plus a decision to pause posting on Facebook are likely to have been the drivers for many of these changes. Despite this there appears to have been deeper engagement with English UK content, with post reactions up 4,262 from 3.994 and comments from 197 to 249. The most popular posts of the year- on Linkedln - were about our Parliamentary Reception and manifesto launch. the death of English UK'S founding chief executive and introducing the new trustees and chair. Online member Q&A sessions initiated during the first pandemic lockdown continued monthly. Between 15 and 30 typically joined for English UK updates and discussions on issues such as public affairs, capacity challenge. events and training, employment law news. visas and immigration and taxation policy. In May, English UK'S annual Members. Conference was pre￿ded by a successful Parliamentary Reception to launch our position paper which attracted members, 11 MPslLords and their staff and other activists. In all, 220 people attended Ihe Members, Conferen￿, with 52 online, up from 183 the previous yearwhich was affected by a rail strike. 118 member ￿ntreS and 18 corporate members were represented, and the event attracted an NPS score of 62. Very positive feedbad( from delegates found 92 % felt more infomed about UK ELT and 83 % were inspired by the speakers and the topics. 85% felt better connected to the UK ELT and English UK communities. "Another wonderful English UK AGM and Conference and really useful to hearfrom speakers and friends and colleagues about the state of UK ELT at present and to share ideas and analysis. The networking opportunities were great and the speakers really thoughtful and inspirational. Many thanks to English UK once again!" English UK Limited 13 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perfomiance (continued) We continued to develop our membership model. We worked to engage and retain smaller members, attract centres with Accreditation UK status not currently in membership, encourage state sector providers to consider joining under the new Associate status, and demonstrate our benefits to potential corporate members. We also commissioned research into non-accredited ￿ntreS we might approach as future members. We are grateful to the 31 individual member representatives who volunteered for our subsidiary boards and advisory panels. which met to discuss critical issues. devise key strategies and advise the executive team: the Enterprises Board, Finance Panel, and the Antiracism Action Group. Seven served on the Enterprises Board. five on the Finance Panel, and 16 on the main board. We continue to support the English UK family of national, regional and special interest subgroups and are grateful to the members who led our most active groups, currently Young Leamers, Wales. London. North, South and South West. #2 Influence UK policy I we will successfully influence policymakers, raise the industry's profile and develop relationships to optimise the operating environment for UK ELT. We are looking to access further government support to counter the devastation wrought by the pandemic while securing an operating enwronment to maximise ￿CoVery. We will do this by.. influencing govemment policies to Greate opportunities, with a focus on targeted business support for all and a supportive immigration system,. raising UK ELFS profile and promoting the English UK brand, prion"tising inclusion in tourism recovery plans in all four nations, and striving for media coverage," growing our networt of supportive partiamentarians,. and collaborating, extending our nelwork and nurturing existing relationships through work with our partne￿ and stakeholders in Westminster, local authorities and the devolved administrations. 2024 was another busy campaigning year as we continued our drive to improve the operating environment for UK ELT. English UK Limited 14 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perfomiance (continued) Ensuring English language centres were not classed as private schools and therefore remained exempt from VAT on tuition fees was probably one of our major campaigning successes of the year. UK ELT remained competitive globally and members were saved significant sums of money. This was achieved through many meetings with Labour MPS as well as a letter-writing campaign through members. Initial news of our success came in a letter from Sir Keir Starmer's constituency Offi￿ to English UK members who had communicated wilh him al our instigation. In a second and unconnected campaign on VAT, we took professional advice on the issue of VAT on sales of ELT courses via agents. We have communicated this professional advi￿ to members through a webinar and a publication. outlining again how the interpretation of the regulations affects UK ELT. In May we launched our Manifesto at a Parfiamentary Reception attended by 11 MPS and Lords, English UK members and representatives of the wider industry and the media. The Manifesto focused on key issues in an election year.. ID card travel for EU junior groups, expansion of the youth mobility scheme to the EU and elsewhere. work experien￿ options on standard visitor visas, rent a room relief uplift. funding for ELT promotion and for the Accreditation UK scheme to be the ELT Educational Oversight inspection body. Before the election, there was agreement in principle to allow Accreditation UK to be the education oversight body for the UK ELT sector but the change in government reset this process. A third major campaigning development was to agree, fund and commission a major piece of research outlining the value of ELT to the UK. both nationally and locally, work last done pre- pandemic. The aim is to provide upt(Fdate economic impact data to support English UK'S lobbying efforts with a range of key stakeholders. After the tendering pro￿sS. we appointed economic forecasting company Pragmatix Advisory. The main aspects of the brief were: establishing the value and volume of the industry in 202412025 based on a membership survey taken in Decemberand induding employment statistics, direct and indirect spend on UK ELT; and a more qualitative focus on ELT'S impact in several areas of the UK, including Edinburgh, Cardiff, Liverpool and Thanet. as well as the impact of accommodation services. This is a significant investment. and three sponsors were found for the project which is on track for delivery in spring 2025. English UK Limited 15 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perfomiance (continued) As it was an election year, we spent a lot of time communicating with politicians. particularly from the three major UK parties. Post election. we wrote to new ministers about our Manifesto recommendations and contributed to white papers on youth group travel and with the International Demand and Competitiveness group- on an EU wide Youth Mobility Scheme. In September, we attended the Labour conferen￿, meeting several ministers including Seema Malhotra (Immigration). Jonathan Reynolds (Business), Andrew Westem (DWP), Bridget Phillipson (Education minister). and Nick Thomas-symonds (Cabinet). Other MPslprospective parliamentary candidates we met during the year included Steve Race (Exeter), James Mccleary (Lewes). Becky Cooper (Worthing). Daniel Zeichner (Cambridge). We had interesting meetings with Iwo then-members of the shadow cabinet: Barbara Keeley (Tourism) and Stephen Kinnock (Immigration). We also campaigned through our membership of governmental and non-govemmental groups. These included the English Language Teaching Action Group (ELTAG) fomied by DBT and the Education Sector Advisory Group, working groups revising the Intemational Education Strategy. and the uiaii Education Action Group (student policy unit). We were also part of Business LondonlUKVI bi-laterals, the Business London Immigration Working Group and the Intemational Competitiveness and Demand Group {UKinbound. Tourism Alliance, DCMS). We continued to campaign and lobby with the involvement of our wider membership, contacting MPS and councillors. It was one of these letters to Sir Keir Starmer's constituency office which provided the reassuran￿ our sector needed that language schools would not be dassed with private schools for VAT purposes. In 2025 we intend to create a new position paper supported by our economic impact research which will call for: Changes to the Youth Mobility schemes. including more countries, higher caps for existing countries and most importantly an EU-UK youth mobility deal with a high numbers cap. Ideally this would offer three years for 18-35 year olds., Extension of the French youth group travel scheme to all EU countries OR at least Italy, Spain, Benelux, Swi12edand and Gennany" Allowing work shadowing programmes on SVV and STSV visa routes" Achieving educational oversight for Accreditation UK- Targeted govemment marketing support for UK EFL providers" and Adding a reciprocal element to the Turing scheme. English UK Limited 16 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perforniance (continued) We will launch this document at a Parliamentary Re￿ptIOn in May. Finally, we campaigned suc￿SsfUllY with our Young Leamers UK subgroup on the issue of paper Day Travelcards in London. #3 Sector recovery I we will successfully promote English UK and UK ELT to increase student numbers and maximise sector recovery. We recognise that rebuilding travel confidence will take time and student supply is threatened by new immigration regulations too. But we also know we have a great story to_tell, a network of trusted partners around the world and a legacy as the wortd's most popular destination to leam English. We will do this by." improving our mathet intelligence and student data, including Capturing low*mission growth in developing areas such as online and blended teaching," using these insights to identify priority markets, audiences, marketing channels, and messaging," ensuring Studyworfd is an accessible plalform where members can develop productive partne￿hIpS and showcase the excellence of UK EL T,. promoting our green values. as another reason to choose UK EL T and English UK member centres," celebrating diversty and inclusivity in the UK and UK EL T as an important selling point and central promotional message," and collaborating with Department for Business and Trade, British Council, Study UK and UK international education sectorpartners. and expanding the reach of the English with Confidence campaign. The headline for 2024 was the continuing commercial and popular success of our Studyworld suite of events: the in-person Studyworld. our budget online edition and the China roadshow. all of which showcase UK ELT to the wider world. Other priorities were the continuing improvement of market intelligence statistics and stepping up English UK'S presence at intemational events in key regions. Underpinning our work is a market development strategy that in-country activities must add value by addressing a dear market need or are in markets that would be difficult for members to aC￿sS in other ways. English UK leverages existing industry events, adding relevant activities such as seminars, networking events or training. English UK Limited 17 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perforniance (continued) This work is infonned by our market data and student intelligence insights. including our Quartedy Intelligence Cohort {QUIC) and the annual Student Statistics. There were some changes to both schemes in 2024, and QUIC participation rose to 39 % of English UK membership. QUIC introduced a country of focus analysis into its participant webinars, while the Student Statistics report included enhan￿d analysis. expansion of the key Sour￿ markets, recovery rate to the sectoral level. separating private and state sector figures. It also included members, online courses for the first time. QUIC'S findings showed more teaching premises operational than the previous year, indicating a growth in seasonal operations. Market analysis by our intelligence specialists. Bonard, suggest the underlying market trends of 2023 and 2024 may come to be seen as a new nomial for the UK. The effects of a maturing industy, increasing ELT supply around the world and improving English teaching in high schools around the world are becoming apparent and it seems unlikely that student volumes will retum to 2019 levels. QUIC figures show overall perfomiance was worse than 2023. with the annual recovery rate down 8.5 % and the second two quarters showing slower recovery than the first two. It appears that 2023 may have been artificially inflated by a post-pandemic bounce. However, the UK is likely to have fared better than Canada and Australia. where international education has been significantly affected by changes to visa and immigration policies, and may have benefited from subsequent market movements. We will have to wait for publication of the Student Statistics covering 2024 for confirmation. Additionally. there are some pockets of growth, with the Middle East and Latin America recovering better than Europe and Asia and considerable variation across individual source markets. Turkey, Mexico and Colombia had solid year-on-year increases in each quarter and all exceeded their 2019 student week volume. There was an increase in junior numbers from less traditional markets including the Gulf, Mexico and Turkey. and the importance of this group rose. The highest proportion of student weeks from juniors ever recorded - 45 /0 - came in the summer quarter. Student Statistics published in May 2024 indicated 2023 was the best year for UK ELT since the pandemic with 360,517 English language students. 343,324 of whom were full time. 320 of English UK'S 323 members contributed. English UK Limited 18 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perforniance (continued) UK student numbers rose to 76 % of 2019 levels and student weeks to 71 %. but this was below the global average of 84 % student weeks and 780/0 of numbers. For the first time Sin￿ 2019. student weeks overtook the one million milestone (hitting 1,153,868) thanks to a boom in junior enrolments. The UK hosted 370/0 of global outbound ELT students and 170/0 of the student weeks, remaining the world's most popular ELT destination in the worfd but slipping from 2nd to 3rd place (behind Australia and USA) for student weeks. All growth was in the private sector, with numbers for colleges and universities in continuous decline since 2019. Recovery was uneven in both host regions and individual source markets, with average length of stay reducing for all student types. English UK also commissioned new research. In July, we published a report on the UK student accommodation shortages to support our capacity challenge work and demonstrate the impact on member centres. 91 members contributed with two thirds saying they had to restrict their student intakes in 2023 because of a lack of accommodation. An accommodation working group was fomied to review the report's recommendations and take them forward. English UK also commissioned Bonard to research and identify the non-accreditedlother accredited UK ELT centres to quantify the extent of the various segments of the UK market. This will enable the British Council to accurately target ￿ntreS which might be suitable for Accreditation UK and ultimately increase English UK numbers. English UK worked to identify priority markets. audiences, marketing channels, and messaging in various ways. These included an English UK reception during ICEF Berlin which attracted over 200 guests. a networking lunch in Tokyo to re-engage the market and raise awareness of increased Youth Mobility Scheme places, and webinars for agents on visas and statistics. English UK staff attended increasing numbers of events including our first business to govemment event, ICEF Middle East Scholarship Summit in Muscat. Others were ICEF Dubai and Berlin" ST Alphe Korea. Japan and UK" IALC Workshop Cardiff,. Embassy Education Conference, London" ILF Latin America; IALCA 5th Salone delle Lingue" ASEPROCE workshop and the UED Summit. In 2025 we plan to develop content on UK regionsldestination marketing for agent webinars and leverage attendance at events with add-on activities and profile raising such as a round table at ICEF Dubai. Brazilian agent training and BELTA magazine launch immediately before Alphe Brazil. English UK Limited 19 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perforniance (continued) English UK continued to collaborate with partners- Including the British Council and IATEFL on the PRELIM 3 project which ran from January 2023 to March 2024. This organised partnerships between accredited language schools and English Teaching Associations in 25 countries working together to create and disseminate bespoke classroom reSoUr￿s. A bank of useful reSoUr￿S and extensive reports on methods and outcomes will be the project's legacy. We continue to ensure that Studyworld is an accessible platform by retaining both in- person and online events, with a wide variety of pri￿ points. These included an extra, optional. city visit during Studyworld China. which ran in late November. As part of our wider strategy. Studyworld London moved to a new date in January, attracting 251 educators, agents, service providers and guests. who joined 1,968 appointments, an average of 31 per educator. Studyworld Online attracted a further 126 educators, ranging from the smallest ELT ￿ntreS to the largest chains. There were 949 appointments. with an industry-high launch rate of 980A. This was an average of 21 meetings per ￿ntre. Feedback was eX￿lIent. the London event achieved an NPS score of 70. 'The quality of the agents attending and the research the agents had completed prior to meeting. Quite simply this makes SW the most productive workshop that we attend." (educator) "Studyworld isn't just a conferen￿. it's a transft)miative experience for international agents like me. The event seamlessly connects educators and agents, fostering collaboration and opening doors to a world ofdiverse English programs. Grateful forthe valuable insights gained and the meaningful connections made Studyworfd has truly elevated my role as an intemational agent." (agent) Studyworld China was held in Beijing. Shanghai and Chengdu. The roadshow attracted 47 UK delegates and 174 agencies from China. It achieved an NPS rating of 55. "The China roadshow is always a great event- the agent base that English UK promote to is excellent and the sheer number of high-quality meetings makes us very confident about our future business from China." (educator) "Well organised and best event of the year for business." (educator). English UK will again run three Studyworlds in 2025, with an in-person event in Manchester. English UK Limited 20 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perfomiance (continued) #4 Sector capacity I we will significantly strengthen UK ELT sector capacity through supporting the recruitment and retention of capable staff and welcoming homestay hosts. We a￿ a people industry. our staff and our homestay hosts are on the frontline of delivering the leaming experience. of which UK EL T is rightly proud. They are our greatest assets. It is therefore Gritical to our Suc￿sS that we can recruit and retain enough appropriately qualified staff and welcoming homestay hosts. We will remove needless barriers and ensure rewarding and inclusive working conditions for all, to make UK EL T a desirable industry in which to work and meet the demands of growth and recovery both now and in the future. We will do this by." lobbying, engaging and working with our partners at the British Council, assessment bodies and TEFL qualification providers, and UK govemment departments to mitigate the impact of Brexit, remove obstnjctions and maximise opportunities for employment in UK EL T.. increasing the visibility of career prospects and benefits in our sector through communications campaigns and promoting fit-for-purpose recmitment channels, with a special focus on increasing diversrty in the sector and challenging native speakerism, accentism and other barriers," supporting members. offering professional development to staff, promoting people excellence and providing chances to nelwork and share ideas,. ensuring English UK and the UK ELT sector has positive, fair and accountable relationships with people, from staff to supply chain," and becoming an antiracist organisation and delivering our first antiracism action plan. UK ELT'S capacity challenge remained a focus for English UK in 2024, as we focused on supporting members. There remains a shortage of qualified teachers. specialist staff and homestay hosts. particularly in the peak summer season. It is critical lo our success that we can recruit and retain enough appropriately qualified staff and welcoming homestay hosts, so we have continued to work on both short- and longer-term solutions. Broadly, we have lobbied. provided informationloutreach and supported specialist training. English UK Limited 21 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perfomiance (continued) As part of this work English UK had regular intemal and external meetings to discuss issues and potential solutions. We discussed accommodation provision, activity leader training and teacher capacity with our specialist member group Young Leamers English UK (YLEUK). We met the Accreditstion Unit about changes which would allow a more diverse mix of qualifications. particularly in summer schools which led to the provision of overall policy level statements on qualification profiles and levels of support. Our Accommodation Working Group, which includes several board members, met three times, focusing on encouraging residence providers (purpose-built student accommodation) to work with our sector to build capacity, especially for juniors in the June - August peak. We lobbied MPS. Lords and ministers about the benefits of expanding the Youth Mobility Scheme, particularly creating an Eu-wide agreement. We also met Londonist, Britannia, Hosts International, LondonNest. Campus Living Villages, Unite and others on the specific issue of accommodation. Our infomation and outreach work induded attending eight careers fairs around the UK. Increasing the visibility of career prospects and benefits, we also created information materials on accommodation. careers in TEFL and the new AccessTEFL course. We created two specialist training schemes in response to the capacity challenge, offering professional development to staff. AccessTEFL enables on-the-job training for new teachers, enabling many with an ELT qualification not ac￿pted by Accreditation UK to upgrade to the required standard. We also created a very popular online Activity Leaders. Course with YLEUK. which was completed by 593 staff. Future plans indude- Continue to urge larger volume studenl accommodation specialists to offer accommodation options to juniors. particularly from mid-June onwards" Promote the Ac￿SSTEFL route to members and individuals" Develop the Activity Leader Training programme with new modules (Worker Protection Act compliance. discipline. cross-cultural communication) in time for summer 2025 season; Create a promotional video to encourage summer staff to investigate career options in UK ELT; Look at staff retention and career development; and English UK Limited 22 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perforniance (continued) Public affairs lobbying on youth mobility. We are committed to supporting members. offering professional development to staff, promoting people excellence and providing chances to network and share ideas.. two regular English UK cOnferen￿S promote professional development. including through networking. The two-day ELT conference, with one day for academic leaders and the other for teachers, was held in London in February. 210 attended the full programme, with the academic management day attracting 130 and the teaching practice 103. The marketing conference, held in London in September, attracted 66 delegates and good feedback. °The g(kto conference for ELT sales and marketing professionals. As always the sessions were infomiative and enjoyable with practical tips and food for thought. We came away with a lot of new ideas - and it was lovely to see everyonel" Attendance has shrunk since the Conferen￿ moved from a spring slot, although it is highly rated by those who do go. so it will be relaunched in 2027 with a slightly different remit and at a different time of year. This event has higher running costs than others because of the need to pay speakers. We expanded our professional development offer. We launched the AccessTEFL qualification, which has four modules and 80 hours of teaching practice. Another new course is our online activity leader training. free for staff at English UK member centres. Both were developed to support members thorough the post-Brexit and Covid capacity challenge. 75°/0 of respondents said the activity leader training was good or excellent and 97°/D that it met or exceeded their expectations. To support centres implement the Worker Protection Act, two related training sessions were created on implementation and preventing sexual harassment at work. Other sessions covered safeguarding. recruiting and first aid in mental health. We ran 34 training sessions of eight differenttypes, attended by 502 people. The most popular was safeguarding, which attracted 372 trainees to 24 sessions, but every type of course sold out during the year. English UK training will continue to respond to members, needs, with extra modules on the activity leader training course planned for 2025. The CELTSEM and DELTM qualification courses continued to be popular. attracting 12 and 13 participants respectively. An extra in-person session was added to both in 2024. English UK Limited 23 Trustees, report Year to 31 De￿mber 2024 DRAFT Achievements and perforniance (continued) We have progressed becoming an antiracist organisation by continuing to promote more diverse speakers at English UK events and bydeveloping an inclusive language guide, initially for intemal use. Our action group met ￿lCe, and there are plans to recruit more members for this in 2025. The indusive language guide will be further developed and shared. #5 Strides towards sustainability I we will make significant progress towards turning UK ELT green to help protect our planet, build hope and secure our future. English UK'S mission is to champion UK EL Tand Greate a sector that transfon77s lives through leaming. This is only possible if we live and woth in balance with our environment, protecting our future and equipping students with the language and skills they need to face the greatest challenge of our time. We will do this by.. measuring and reducing our emissions and the negative envin?nmental impact from English UK activities and events,. measuring and reporting on the 'carbon footprint, of the UK EL T industry," communicating our plans and actions clearty and persuasively, and leading the sector by example," supporting and celebrating member climate action.. and supporting and amplrfying green UK EL T organisations and actors. English UICS environmental action plan acknowledges that English UK and the UK ELT sector should join the intemational movement for climate action and help protect our planet and our future. The environmental survey was completed and sustainability sessions are offered at relevant English UK events. Public benefit The trustees are mindful that they need to consider and explain how the charity fvlfils its charitable objects and confers an appreciable public benefit. They have given careful consideration to the Charity Commission's general guidan￿ on public benefit and consider that effectively all the operations of the charity tend towards that end, for example: The partnership with the British Council in the Accreditation UK scheme gives internalional students a guarantee of quality which they have no other practicable way of obtaining, since by its nature international education is an 'experience good,, meaning that one has no way of judging its quality and appropriateness before actually going on a course, so some surrogate indicator such as accreditation is an important safeguard for students. English UK Limited 24 Trustees, report Year to 31 De￿mber 2024 DRAFT Public benefit (continued) The information, marketing and promotional work undertaken ensures that international students and their counsellors are aware of the range of accredited centres and courses and have all the data they require to help them make an infonned decision in easily accessible and searchable fomiats. Studyworld and other agent-facing actiwties are effecttve in familiarising agents with what is on offer and so helping them to counsel students fairly and accurately, leading again to better chol￿S by international students. Financial review Results for the year A summary of the yearfs results can be found on page 37 of the financial statements. Total income for the Group for the year ended 31 December 2024 amounted to £1,545,648 (2023 £1,300,859). The income is principally derived from the subscriptions payable by member centres and the revenues earned from the events and fairs hosted by the Group. The Group's expenditure for the year ended 31 De￿mber 2024 totalled £1,441,738 (2023 - £1,249,830). As shown in the financial statements. the majority of expenditure was directed towards the main objective of English UK Limited of advancing the education of international students in the English language. The net income for the year was therefore £103.910 (2023- net income of £51,029). Financial position A summary of the charity's financial position as at the yearend can be found on page 38 of the financial statements. At 31 De￿mber 2024. the Group held net assets totalling £1,864,092 (2023- £1,760.182). Of the lotal funds of £1,864,092 (2023 - £1,760.182) of the Group at 31 December 2024, £134,036 (2023 - £126,910) is attributable to the assets of the Student Emergency Support Fund. a designated fund which steps in if a centre closes to allow the students to complete their course (at other member centres) and to return home (see note 18}. The fund was originally established in 1992 and has been built up by contributions through an additional subscription and transfers from the general fund. It gives intemational students at English UK member centres a degree of assurance and therefore contributes to the overall charitable objective. During the year. £6.395 was utilised from the fund and an additional £13.518 was designated in the year. This fund will continue to be utilised as and when required. A further £15,527 (2023 - £15,307) of the total fund balances at 31 December 2024 is in relation to the Eddie Byers Scholarship fund. This is an unrestrtcted designated fund which will be used to provide financial support to aspiring students seeking to study English in the UK (see note 18). English UK Limited 25 Trustees, report Year to 31 De￿mber 2024 DRAFT Financial review (continued) Financial position (continued) Following the sale of the St John Street property and purchase of the new property in Bermondsey in 2018, management considered it appropriate to designate the fixed assets of the Group as they are expected to be used in the long term to assist in meeting the Group's charitable objects and are not considered to be liquid free reserves. The balance on this fund amounted to £1,297.040 (2023- £1,352,462) at 31 De￿mber 2024. Reserves policy The Trustees believe the free reserves should cover three months. operational costs of the association. Based on budgeted operational costs for the year ending 31 December 2025. this would require free reserves of £357k. The free reserves of the Group on 31 December 2024, which the charity defines as net current assets held within the general fund (see note 18), were £417,490 (2023 - £265,503). This is more than the target level indicated in the reserves policy above. The Trustees intend to maintain the general reserves over the target level of the reserves policy for the next few years to cope with any unforeseen events (i.e. events and conferences not perfoming as planned) but also to help build a buffer to cover future spending on the retention and recruitment of members as well as on the development of our training and Conferen￿ offer going forward. In addition. the Trustees are aiming to increase the reserves level to support new projects. which may require funding (such as the economic impact report planned to be delivered in 2025 and the development of the new English UK website planned to be delivered in 2026). The impact of the pandemic has meant that the association has not been able to spend money on nonessential activities in recent years. We are aiming to continue building up the Group reserves over time by: Focusing on retaining and engaging current members and recruiting new members. In 2024, we had a net loss of 8 centres and the pool of accredited centres is smaller than before. In 2024, we completed a research project on the non-accredited ELT centres in the UK with the aim of increasing the size of the pool of accredited centres and thereby the size of the pool of potential new members too. There has been a positive uptick in new applicants to the Accreditation UK scheme at the beginning of 2025. We expect that student weeks will not increase in 2024. Based on our quarterly statistics report, based on a sample size of 115 reporting ￿ntres, there is a drop of students, weeks of 9 % in 2024 compared to 2023. We anticipate that this trend will be shown in the total of 2024 student weeks On￿ the annual declaration is completed. Therefore, membership growth revenue in 2025 is likely to come from a combination of a membership fee increase and new members joining. English UK Limited 26 Trustees, report Year to 31 De￿mber 2024 DRAFT Financial review (continued) Reserves policy (continued) Although the number of centres in membership has decreased during the year. we nOti￿d that membership is changing. centres are consolidating into bigger groups, benefiting from a bigger market share and economies of scales with the aim to drive more revenue and cope with rising costs. Hence, in the coming years. it is likely that members will be financially stronger, which may have a positive impact on our events and promotions activities as members will be able to afford more involvement with our activities (sponsoring our events, sending more delegates etc.) than we have seen in the past year. We will keep observing members and the sector demands to continue offering a suitably wide offer of activities while trying to generate revenue from them. In 2024. English UK created a new associate membership for further and higher education institutions with the aim of recruiting new state sector centres. We also ran our first ever FEIHE conference with the aim of engaging and retaining our current state sector members and also recnjiting new ones. In 2024, our trading activities perfomied well. Events and training exceeded expectations. We ran more activities than planned and raised more revenue than anticipated. We are expecting that this will continue in 2025. We will continue to expand the Studyworld brand running Studyworld events not only in London but in the UK and around the wodd. In 2024, we ran a successful Studyworld China event. In 2025. we have run our first UK Studyworld event outside London. It has been financially successful and well received by members, bringing more revenue than anticipated and with lower costs than running it in London. We are also planning to continue offering the online option with the Studywodd Online event, as it is a convenient and affordable way for members to meet agents. Studyworld China 2025 is expected to be as successful as in 2024. bringing a satisfactory level of revenue. And the next Studyworld outside London, Studyworld Brighton 2026. is already open for bookings. Our aim for 2025 and beyond is to maintain our level of trading activities, to continue the consolidation of our overseas events, continue promoting the Studyworld brand and focus on increasing membership revenue, by recruiting members, corporate members, and partner agents. We will continue developing and increasing our offer of professional training and conferences in-person and online, which generate significant revenue year by year. We will continue listening to our member's needs. In 2024, we completed the development of AccessTEFL. a newon-the-job teachertraining programme. This activity aims to ease staff shortages by opening the sectorto a wider group of qualified teachers, but at the same time it is expected to generate a return for the association. Registration is open, and we expect income starting to come through from 2025. Financial review (continued) English UK Limited 27 Trustees, report Year to 31 De￿mber 2024 DRAFT Reserves policy (continued) We will continue utilising the office as an additional source of income for the association. As we now have a hybrid work model, we can rent out some office desks while still using the space for our staff. We will continue with our promotions activities targeting new growing markets while also focusing on consolidated markets to promote our members and the sector around the world. Principal risks and uncertainties The trustees have assessed the major risks to which the charity and the group are exposed, particulady those relating to the specific operational areas of the charity and the group and its finances. The principal risks to which the charity is exposed are: Failure or underperf0mlan￿ of Studyworld. This risk is lower than previously as three separate events are being run under this brand. meeting different demands. The UK in- person Studyworld is smaller than in the past with higher profit levels. Fraud, error or cyber-attack and security of tangible (fixed assets) and intangible assets (CRM data. website). These risks have been lowered by implementing new and stricter cybersecurity and IT poli￿5 during the year. as well as moving from a physical to a cloud server with much stricter security. We are also in the process of obtaining cybersecurity accreditation. Loss of membership subscription income through members withdrawing from or losing their accreditation andlor pennanent closure. To lower this risk. a research project was commissioned to identify centres with potential to choose a path of accreditation and English UK membership. Loss of revenue from other activities, including training, cOnferen￿S and events. This risk is very low: events and training have performed well during the year and focus on elements which are essential for members and thus always in demand. Members permanendy closing their centres and needing to activate the Student Emergency Support scheme. The financial support of the fund is limited to special circuMstan￿S and emergency student accommodation and is at the discretion of English UK. Loss of staff resulting in a shortage of resources. Two more staff members have been recruited which will contribute to succession planning. The trustees believe that by monitoring reserves levels, ensuring controls exist over key financial systems and examining the operational and business rtsks faced by the charity and the group, they have established effective systems to mitigate those risks. A summary of the major risks is formally considered and updated by the board each year. Future plans English UK Limited 28 Trustees, report Year to 31 De￿mber 2024 DRAFT The aims outlined in our strategy to 2025 Striving to do better, seizing new opportunities will lead our work to the end of this year, with updated priorities agreed by trustees until a SU￿SS0r strategy is in pla￿. We continue to build a strong, welcoming, indusive, responsible and sustainable industry and work to restore the UK as the premier destination for English language studies. We are looking forward to having an up-to4ate set of economic and social data making clear the benefits of ELT to the UK in financial. employment and soft power terms which we can use as a campaigning tool to persuade govemment of the benefits of policies lo support and promote our industry. We wllll have data on how our industry supports communities around the UK. including in c£)astal areas of low employment. and hope that will help to make our case. Our campaigning will continue through 2025 with the publication of the economic impact report and a new position paper infonned by that research which will be launched at a Parliamentary Reception in May. We will also support this campaigning and our members, sales and marketing efforts with robust, industry-leading data from our Student Statistics and QUIC schemes. Indications currently suggest that UK student volumes have reached a new nonnal in a maturing market where it is increasingly possible to study English closer to home. Policy decisions of competitor nations will continue to impact the UK sector in unpredictable ways. Our market intelligence analysts, Bonard, believe that 2023-24's market structure and pattems may represent the new nomal. QUIC data suggests member centres, overall perf0mlan￿ in 2024 was again worse than the previous year. with the annual recovery rate down 8.5°/o and the second two quarters showing slower recovery than the first two. A post- pandemic boun￿ in 2023 may have artificially inflated that year's figures. There are some promising pockets of growth in the Middle East and Latin America which we will target and some individual markets even ex￿eded their pre-pandemic student weeks. Our Board of Trustees added a stsnding item to evaluate and discuss market trends and information with a view to informing English UK activity and guiding member centres. Initially, they have created a working group focusing on the MENA region. English UK now has one more member of staff than it has had since the early 2020s which should provide more capacity to progress projects such as a new website and other initiatives. English UK Limited 29 Trustees, report Year to 31 De￿mber 2024 DRAFT Future plans (continued) Our expanded Studyworfd brand will continue to develop and evolve. Ourfirst in-person event outside London- in Manchester-will be followed by Studyworld Brighton in 2026. This offers both better value and profitability as well as showcasing different areas of the UK. We will also retsin Studyworld Online, which benefits smaller members with lower budgets as well as larger ones who appreciate the flexibility of multiple members of staff being able to take part in sales meetings. Adding a third. optional city to Studyworld China was also attractive to our members and we will repeal this in 2025. We will continue to support our members through capacity issues with ongoing discussions about using university accommodation in the summer and widely publicising ourAccessTEFL and Activity Leader training. Our major campaigning issue. expansion of the Youth Mobility Scheme. could also support members with staffing issues as well as providing a supply of potential students who will want to improve their English skills for an extended stay in the UK. We are focused on growing our community. strengthening capacity. and promoting the sector while being guided by our values. We. and our members, want to return the UK to the number one destination for English language studies in the landscape of a mature market and evolving demand from ELT students. Fundraising activities English UK does not actively solicit donations directly from the public and does not use third parties for fundraising. Therefore, it is not registered with the Fundraising Regulator and does not subscribe to any fundraising codes of praclice. Were donations from individuals or trusts and foundalions to be received. English UK would ensure personal data is appropriately protected. English UK received no complaints within the year regarding fundraising. English UK Limited 30 Trustees, report Year to 31 De￿mber 2024 DRAFT Disclosure of infomiation to auditor Each of the persons who are Trustees at the time when this Trustees, report is approved have confirmed that: so far as that Trustee is aware, there is no relevant audit information of which the charitable group s auditor is unaware,. and that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charitable group's auditor is aware of that infomiation. Approved by the board of trustees and signed on their behalf by: S Doherty Trustee Date.. 24 April 2025 English UK Limited 31 Independent auditor's report 31 December 2024 DRAFT Independent auditorfs report to the members of English UK Limited Opinion We have audited the financial statements of English UK Limited (the 'parent charity,) and its subsidiary (collectively the'group.) forthe year ended 31 December 2024 which comprise the consolidated statement of financial activities. the consolidated balance sheet, the charity balance sheet, the consolidated statement of cash flows. the principal accounting policies, and the notes to the financial statements. 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 group's and of the parent charity's affairs as at 31 December 2024 and of the group's income and expenditure for the year then ended; + have been properfy prepared in accordance with United Kingdom Generally Accepted Accounting Practice" and + have been prepared in accordan￿ with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordan￿ with Intemational Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the auditorfs responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 concem basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have perfomied, we have not identrfied any material uncertainties relating to events or conditions that. individually or collectively, may cast significant doubt on the group's or the parent charity'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 con￿rn are described in the relevant sections of this report. English UK Limited 32 Independent auditor's report 31 December 2024 DRAFT Other infonnation The trustees are responsible for the other infonnation. The other information comprises the infomiation included in the Annual Report and Consolidated Financial Statements, other than the financial statements and our auditor's report thereon. 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. In connection with our audit of the financial statements, our responsibility is to read the other infomiation and, in doing so. consider whether the other information is materially inconsistent wilh the financial statements or our knowledge obiained in the audit or otherwise appears lo be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to detemiine whether there is a material misstatement in the financial statements or a material misstatement of the other infonnation. If, based on the work we have perfonned, we conclude that there is a material misstatement of this other infomiation, 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 Ihe work undertaken in the course of the audit: + the information given in the trustees. report, which is also the directors, report for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements., and • the trustees. report. vthich is also the directors. report for the purposes of company law, has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of the knowledge and understanding of the group and the parent charity 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 the Companies Act 2006 requires us to report to you if, in our opinion: adequate accounting records have not been kept by the parent charity, or returns adequate for our audit have not been re￿iVed from branches not visited by us., or + the parent charity financial statements are not in agreement with the accounting records and returns- or rtain disclosures of trustees. remuneration specified by law are not made., or we have not received all the information and explanations we require for our audit- or + the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies, exemptions in preparing the trustees, report and from the requirement to prepare a strategic report. English UK Limited 33 Independent auditor's report 31 December 2024 DRAFT Responsibilities of trustees As explained more fully in the statement of trustees, responsibilities contained within the trustees. report. the trustees (who are also the directors of the parent charity 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 intemal control as the trustees determine is necessary to enable the preparation of financial ststements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements. the trustees are responsible for assessing the group's and the parent charity's ability to continue as a going concern, disclosing. as applicable. matters related to going COn￿M and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charity or to ￿ase operations. or have no realislic alternative but to do so. Auditorfs 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 auditorfs report that includes our opinion. Reasonable assurance is a high level of assuran￿, but is not a guarantee that an audit conducted in accordan￿ 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, induding fraud, are InStan￿S of non-complian￿ with laws and regulations. We design prO￿dureS in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities. induding fraud. The extent to which our prO￿dureS are capable of detecting irregularities, induding 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: The engagement director ensured that the engagement team collectively had the appropriate competen￿. capabilities and skills to identify or recognise non-complian with applicable laws and regulations. We obtained an understanding of the legal and regulatory frameworks applicable lo the charitable company and the sector in which it operates. We determined that the following laws and regulations were most significant= Accounting and Reporting by Charities= Statement of Recommended Practice applicable to charities preparing their accounts in accordan￿ with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Companies Act 2006. and the Charities Act 2011. We gained an understanding of how the charitable company is complying with those legal and regulatory frameworks by making enquiries of management and those responsible for legal and compliance procedures. English UK Limited 34 Independent auditor's report 31 December 2024 DRAFT Auditorfs responsibilities for the audit of the financial statements {continued) We assessed the susceptibility of the financial ststements to material misstatement, including how fraud might occur by: making enquiries of management as to their knowledge of actual, suspected and alleged fraud., and considering the intemal controls in pla￿ to mitigate risks of fraud and non-complian with laws and regulations. To address the risk of fraud through management bias and override of controls we: performed analytical prO￿dureS to idenlify any unusual or unexpected relationships" performed substantive testing of expenditure induding the authorisation thereof- and reviewed joumal entries to identify unusual transactions. In response to the risk of irregularities and non-complian￿ with laws and regulations, we designed procedures which included, but were not limited to.. reading the minutes of meetings of those charged with governance; and enquiring of management as to actual and potential litigation and claims. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely 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 trustees and other management and the inspection of regulatory and legal corresponden￿, 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.or -uklauditorsres onsibilities. This description forms part of our auditorfs report. English UK Limited 35 Independent auditor's report 31 December 2024 DRAFT Use of our report This report is made solely to the charitable company's members. as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company s members those matters we are required to state to them in an Auditorfs report and for no other purpose. To the fullest extent permitted by law, we do not ac￿pt or assume responsibility to anyone other than the charitable company and the charitable company's members. as a body. for ouraudit work. forthis report, or for the opinions we have fonned. Gumayel Miah (Senior Statutory Auditor) For and on behalf of Buzzacott LLP, Statutory Auditor 130 Wood Street London EC2V 6DL Date.. English UK Limited 36 Consolidated statement of financial activities (incorporating the income and expenditure account) Year to 31 December 2024 DRAFT 2024 Total funds 2023 Totsl funds General Designated funds funds Notes Income and expenditure Income from: Charitable activities Tiading activtties Investments Other income 735,241 721.085 13,178 62,405 1,531,909 13,739 748,980 721,085 13,178 62,405 1,545,648 680,148 566,978 8,592 45,141 1,300,859 Total income 13,739 Expenditu￿ on: Raising ftjnds Charitable activities 492.521 881,983 1,374,504 492,521 949,217 1.441,738 368,953 880,877 1,249,830 67,234 67,234 Total expenditure Net income lexpenditurel 157,405 153.4951 103,910 51.029 Transfers between funds 18 15.4181 5,418 Net movement in funds 151.987 148,0771 103,910 51,029 Reconciliation of funds: Totsl funds brought forward al 1 January 265.503 1.494.679 1.760,182 1,709.153 Total fvnds ¢arried forward at 31 De¢ember 417,490 1.446,602 1.864,092 1,760,182 The consolidated statement of financial activities includes all gains and losses recognised in the year. The notes on pages 41 to 54 fom part of these financial statements. English UK Limited 37 Consolidated balance sheet 31 December 2024 DRAFT 2024 2024 2023 2023 Notes Fixed assets Intangible assets Tangible assets 12 13 12.207 1.284.833 1.297.040 13,738 1,338,724 1,352,462 Current assets Debtors Short lerm deposits Cash at bank and in hand 15 142,610 104.549 1,114,264 1.361.423 272,253 100,000 851,733 1,223,986 Creditors: amounts falling due within one year Net Current assets 16 {741.871) 1728,766) 1,916,592 495,220 Creditors: amounts falling due after more than one year 17 {52.500) {87,500) Total net assets 1,864.092 1.760,182 Group funds Restricted funds Unreslricled funds Designated funds General funds Total funds 18 18 18 1,446.602 417,490 1,864.092 1.494,679 265,503 1.760,182 The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies, regime. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by.. S Dohe Trustee Date.. 24 April 2025 The notes on pages 41 to 54 fomi part of these financial statements. English UK Limited 38 Charity balance sheet 31 December 2024 DRAFT 2024 2024 2023 2023 Notes Fixed assets Intangible assets Tangible assets Investments 12 13 14 12.207 1.284.833 13,738 1,338,724 1.297.041 1,352,463 Current assets Debtors Short lemi deposits Cash at bank and in hand 15 198.028 104,549 767,226 1,069,803 93,699 100,000 773,806 967,505 Creditors: amounts falling due within one year Net current assets 16 1541.439) 1522,101) 528.364 445,404 Creditors: amounts falling due after more than one year 17 {52.500) {87,500) Total net assets 1,772.905 1.710,367 Charity funds Restricted funds Unreslricled funds Designated funds . General funds Total funds 18 18 18 1,446,603 326.302 1,772,905 1,494,680 215,687 1,710,367 The Charity's net movement in funds for the year was £62,538 (2023- £19,684). The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordan￿ with the provisions applicable to entities subject to the small companies. regime. The financial statements V￿re approved and authorised for issue by the Trustees and signed on their behalf by.. Shoko Dohe Trustee Date.. 24 April 2025 The notes on pages 41 to 54 fomi part of these financial statements. English UK Limited 39 Consolidated statement of cash flows Year to 31 De￿mber 2024 DRAFT 2024 2023 Notes Cash flows from operating activities: Net cash provided by operating activities 285.237 259,745 Cash flows from investing activities: Interest received Purchase of fixed assets Investment in short temi deposits Proceeds from the disposal of fixed assets Net cash provided by (used in) investing activities 13,178 8.592 (5,418) {4.3631 (4.549) {100,0001 9.083 12.294 195,7711 Cash flows from financing activities: Repayments of borrowing Net cash used in financing activities (35.000) 135.000) (35.0001 135,0001 Change in cash and cash equivalents in the year 262.531 128,974 Cash and cash equivalents at 1 January 2024 851,733 722.759 Cash and cash equivalents at 31 December 2024 B 1,114.264 851.733 Notes to the consolidated statement of cash flows for the year to 31 December 2024. A Reconciliation of net movement in funds to net cash flow from operating activities Group 2024 Group 2023 Net income (as per the statement of financial activities) Adjustments for: Depreciation charge (note 13) Amortisation charge (note 12) Interest re￿1vable Decrease (increase) in debtors Increase in creditors Net cash provided by operating activities 103,910 51.029 50.226 1.531 113,178) 129,643 13.105 285,237 49.763 1.743 {8,5921 {122,0301 287.832 259,745 B Analysis of cash and cash equivalents Group 2024 Group 2023 Cash at bank and in hand Total cash and cash equivalents 1.114,264 1.114,264 851,733 851,733 C Analysis of changes in net debt 1 January 2024 Cash flows 31 December 2024 Cash at bank and in hand Loan due within one year Loan due after one year 851,733 (35,0001 187.5001 729,233 262,531 1,114,264 (35,0001 (52,5001 1,026,764 35,000 297,531 English UK Limited 40 Principal accounting policies 31 December 2024 DRAFT The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below. Basis of accounting The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordan￿ with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. English UK Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy. The Consolidated statement of financial activities (SOFA) and Consolidated balance sheet consolidate the financial statements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line-by-line basis. The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Ststement of financial activities in these financial statements. The financial statements are presented in sterling and are rounded to the nearest pound. Income Income is recognised in Ihe period in which the Charity and Group have entitlement to the income, the amount of income can be measured reliably, and it is probable that the income will be received. Income comprises revenues from the charity's trading activities, subscriptions fees from members. investment income and sundry income including any surplus on the disposal of tangible fixed assets. The income excludes VAT wherever charged. Expenditure Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. All expenditure is ststed inclusive of irrecoverable VAT. English UK Limited 41 Principal accounting policies 31 December 2024 DRAFT Expenditure (continued) All expenditure is accounted for on an accruals basis. Expenditure comprises direct costs and support costs. All expenses, induding support and governan￿ costs, are allocated or apportioned to the applicable expenditure headings. The classification between activities is as follows= Expenditure on raising funds includes all expenditure associated with the charity's trading activities, principally the direct costs of hosting fairs and exhibitions, the costs of its missions and an allocation of support and governance costs. Expenditure on charitable activities includes the costs associated with servicing the members of English UK and includes premises and administrative costs, and an allocation of support and governan￿ costs. Allocation of support and governance costs The majority of costs are directly attributable to the above headings. Governance costs (which comprise the costs associated with the public accountability of the charity, including audit costs and costs in respect to its Complian￿ with regulation and good practice) are split across the above expenditure headings. The major part of the support costs are attributed to the cost of charitable activities as this is the principal reason for the charity's existence. Certain specific costs have been attributed to the cost of raising funds. Foreign currencies Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the reporting date. Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. Exchange gains and losses are recognised in the Consolidated statement of financial activities. Intangible assels and amortisation Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. The estimated usefvjl lives range as follows: Amortisation is provided on the following basis= Computer software 10-20 /0 reducing balan Tangible fixed assets and depreciation Tangible fixed assets costing £2,000 or more are capitalised and recognised when future economic benefits are probable. and the cost or value of the asset can be measured reliably. English UK Limited 42 Principal accounting policies 31 December 2024 DRAFT Tangible fixed assets and depreciation (continued) Tangible fixed assets are initially recognised at (x)st. After recognition, under the cost model. tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Al costs incurred to bring a tangible fixed asset into its intended working condition should be induded in the measurement of cost. Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives. The estimated useful lives range as follows: Buildings 20/0 Straight line Building improvements 10 % straight line Fixtures and fittings 25 % reducing balance Computer equipment 33 % reducing balance Investments Investments in the subsidiary company is valued at cost. Debtors Debtors are recognised at the settlement amount. less any provision for non-recoverability. Prepayments are value at the amount prepaid. They have been discounted to the present value of the fvjture cash re￿Ipl where such discounting is material. Cash at bank and in hand Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition. Short Temi Deposits Short tem deposits represent fixed term cash deposits held with a maturity date of greater than three months but due to expire within less than one year from the balan￿ sheet date. Liabilities and provisions Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event. it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material. English UK Limited 43 Principal accounting policies 31 December 2024 DRAFT Financial instruments The Group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basicfinancial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are sUbseqUen￿Y measured at amortised cost using the effective interest method. Operating leases Rentals paid under operating leases are charged to the Consolidated statement of financial activities on a straight-line basis over the lease tenn. Pensions Contributions in respect of employees, personal pension plans are charged to the statement of financial activities in the year in which they fall due. Fund accounting General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objects'ves of the Group and which have not been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. Critical accounting estimates and areas of judgement Preparation of the financial statements requires the Trustees to make significantjudgements and estimates. The items in the financial statements where Ihese judgments and estimates have been made include: the useful economic life attributed to the various components of tangible and intangible fixed assets. the provision made in respect of bad and doubtful debts; and the basis for detemiining the management charge payable by English UK Enterprises Limited to the charity. Assessment of going concern The trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. The trustees have made this assessment in respect to a period of one year from the date of approval of these financial statements. The trustees of the charity have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concem. The trustees are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due. English UK Limited 44 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 1 Income from charitable activities 2024 2023 Member subscriplions- Basic Member subscriplions- Supplementary Member subscriptions- Corporate Members conference and AGM Student Emergency Support Fund and Eddie Byers Scholarship Fund 469.545 203.248 39,045 23,403 13.739 748,980 457,972 157,985 38,498 18.799 6,894 680,148 2 Income from other trading activities 2024 2023 Studyworld London Events and Training Intelligence Promotions 457,944 217.266 20.515 25,630 721.085 362.679 176,254 16,525 11.520 566,978 3 Income from investments 2024 2023 Interest received 13,178 8.592 4 Other income 2024 2023 VAT reclaim Office desks - Rental fees other sundry income 28,638 20,980 12.787 62,405 25.749 12,180 7,212 45.141 English UK Limited 45 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 5 Expenditure on raising funds 2024 2023 Studyworld London Events and Training Promotions and Intelligence Administration costs Support and govemance (note 7) 318,787 114,833 34.518 12.052 12,331 492.521 259,531 94,679 12,669 2.074 368,953 6 Expenditure on charitable activities 2024 2023 Servicing members Staff costs and recruitment (note 8) General promotion Premises Public affairs Administration Depreciation and amorlisation Members conference and AGM Membership expenditure Other expenditure Student emergency support fund costs (note 16) Intelligen Support and governan￿ costs (note 7) 584,020 73.565 23.148 58,373 84,983 51.756 29.970 3,950 5,711 6.395 533.830 58,542 27,721 48,467 70,718 51,506 25,180 6,437 11,287 14,693 32.496 880,877 27,346 949.217 English UK Limited 46 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 7 Support and governance costs 2024 2023 Auditor's remuneration . ststutory audit ServI￿S . Other services Professional fees Board and Su￿￿Mmittee expenses 15.670 9,782 6,750 7.475 39,677 19,956 5,019 7.537 2,238 34,570 Attributed to.. Expenditure on raising funds Expenditure on charitable activities 12,331 27.346 39,677 2,074 32,496 34.570 8 Staff costs Group 2024 Group 2023 Wages and salaries Social security costs Contribution to defined contribution pension schemes other employee benefits 471.987 43,777 440,895 38,423 47.650 20.606 584.020 45,089 9,423 533,830 The average number of persons employed during the year was as follows: Group 2024 Group 2023 Employees 10 The average headcount expressed as full-time equivalents was as follows: Group 2024 No. Group 2023 No. Employees 9.14 9.28 The number of employees whose employee benefits (excluding employer pension costs) exceeded £60.000 was: Group 2024 Group 2023 In the band of £60,001- £70,000 The key management personnel of the Charity in charge of directing and controlling, running and operating the charity on a day-t(Fday basis comprise the trustees and the members of the Executive Team (referred to at page 1). The total remuneration (including taxable benefits and employerfs pension contributions) of the key management personnel for the year was £219,714 (2023- £216.790). English UK Limited 47 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 9 Trustees. remuneration and expenses During the year. no Trustees received any remuneration or other benefits (2023- £nil)- During the year ended 31 December 2024. out of pocket travelling expenses totalling £1.975 were reimbursed or paid directly to 8 Trustees (2023 - £969 to 5 Trustees). Trustee indemnity insurance was purchased by the charity during the year to protect it from any loss arising from the neglect of defaults of its trustees, and to indemnify the trustees or other officers against the consequences of any neglect or default on their part. The total premium paid amounted to £1,370 (2023 - £1,223). providing cover up to a maximum of £1,000,000 {2023 - £1.000.000). 10 Taxation English UK Limited is a registered charity and therefore is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities. In addition, the profits eamed by the charity's wholly owned trading subsidiary have been donated to the parent charity by Gift Aid in the year ended 31 De￿mber 2024, leaving no tax liability for the subsidiary company. 11 Net income (expenditure) This is stated after charging: 2024 2023 Slaff costs {note 8) Auditorfs remuneration- English UK . Statutory audit fees Other services Audilorfs remuneration- English UK Enterprises Limited Statutory audit fees Other services Depreciation Amortisation Operating lease charges 584.020 533,830 11,020 5.532 14,896 3,120 4,650 4,250 50.226 1.531 950 5,060 2,475 49,763 1,743 1,283 12 Intangible assets Computer software Group and Charity Cost At 1 January 2024 At 31 December 2024 34,877 34.877 Amortisation At 1 January 2024 Charge for the year At 31 December 2024 21.139 1,531 22.670 Net book value At 31 De￿mber 2023 At 31 December 2024 13,738 12.207 English UK Limited 48 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 13 Tangible fixed assets Long-temi leasehold Building property improvements Computer equipfflent Fixlures and fittings Total Group and Charity Cost or valuation At 1 January 2024 Additions 1.373.762 174.882 32.771 5,418 116,7941 21,395 28,580 1,609.995 5.418 116,7941 1,598.619 Disposals Al 31 December 2024 1.373,762 174.882 28,580 Depreciation At 1 January 2024 Charge for the year Disposals At 31 De￿mber 2024 144,245 27,475 88,618 17.488 16,450 3,607 {7,7111 12,346 21,958 1,656 271.271 50.226 {7,7111 313.786 171.720 106,106 23,614 Net book value Al 31 December 2023 1.229,517 1.202.042 86.264 68.776 16,321 9,049 6,622 4,966 1,338.724 1,284.833 Al 31 De￿rnber 2024 14 Fixed asset investments Investment in subsidiary company Charity Cost or valuation At 1 January 2024 At 31 December 2024 Principal subsidiaries The following was a subsidiary undertaking of the Charity: Company Registration Number Registered office or principal place of business Class of shares Holdin Name English UK Enterprises Limited 05200973 Flag House, 47 Brunswick Court, London. SE13LH Ordinary 100% The financial results of the subsidiary forthe year and its financial position at year end were as follows: Income Expenditure Net assets English UK Enterprises Limited 460.840 {419.468) 91.188 English UK Limited 49 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 15 Debtors Group 2024 Group 2023 Charity 2024 Charity 2023 Due within one year Trade debtors Amounts owed by group undertakings Prepayments and accrued income 29,728 48,673 28,465 95,618 73.945 198,028 3,380 28,886 61,433 93,699 112.882 142,610 223,580 272,253 16 Creditors: amounts falling due within one year Group 2024 Group 2023 Charity 2024 Charity 2023 Bank loans (see note 17) Trade creditors Other taxation and social security other creditors Accruals and deferred income 35.000 386,646 8,262 19.004 292.959 741.871 35,000 307,674 49,502 58,747 277,843 728,766 35.000 386,646 11,001 19.004 89.938 541.439 35,000 301,039 49,502 58,747 77,813 522,101 Deferred income in the main includes income received in advan￿ for the Studyworld event and other fairs which wll take pla￿ during 2025. A reconciliation of the movement on the defe￿ed income balance, included in creditors above, is as follows= Group 2024 Group 2023 Charity 2024 Charily 2023 Deferred income at 1 January 2024 Resources defer￿d during the year Amounts released from p￿VIouS periods Deferred income at 31 December 2024 230,339 242.294 (230.3391 242.294 153,033 230,339 (153,033) 230,339 36,809 46.272 136.809) 46.272 58,052 36,809 158,0521 36,809 English UK Limited 50 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 17 Creditors: amounts falling due after more than one year Group Group 2024 2023 Charity 2024 Charity 2023 Bank loans 52.500 52,500 87,500 87,500 52.500 52,500 87,500 87,500 A Coronavirus Business Interruption Loan (CBIL) of £175,000 was taken in May 2021 to use as a cash buffer to be able to cope with any unexpected reduction of income due to the impact of Covid-19. The Coronavirus Business Interruption Loan Scheme (CBILS) is managed by the British Business Bank on behalf of. and with the financial backing of, the Secretary of State for Business, Energy and Industrial Strategy. The scheme is part of a wider package of Govemment support for UK business, due to the impact of Covid-19. The loan is guaranteed by the UK Govemment. The interest rate agreed wtth the bank, Natwest plc, was 2.38 % fixed rate. The loan is paid in monthly capital repayments of £2,917 and interest is paid quarterly. The first repayment was made in July 2022. The fixed rate was agreed for the first 60 months of the loan and for the last 12 months, then 1.75 % p.a. over Base Rate will apply unless a new agreement is agreed with the bank. Included within the above are amounts falling due as follows: Group 2024 Group 2023 Charity 2024 Charity 2023 Between one and tbvo yeais Bank loans (note 16) 35,000 35,000 35,000 35,000 Between Iwo and five years Bank loans 17,500 52,500 17,500 52,500 18 Statement of funds Balance at 1 January 2024 Expenditure Balance at and 31 December transfers 2024 Income Group statement of funds- 2024 Unrestricted funds Designated fvnds . Student Emergency Support Fund . Eddie Byers Scholarship Fixed asset fund 126,910 15.306 1,352.463 1,494.679 13,518 221 16,393) 134.035 15,527 1,297,040 1,446,602 {55,423) {61,816) 13.739 General funds General fund 265.503 1.531,909 {1,379,922) 417,490 Total funds 1,760.182 1.545,648 {1,441,738) 1,864,092 English UK Limited 51 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 18 Statement of funds (conlinued) Balance at l January 2023 Balance at 31 December 2023 Income Expenditure Group statement of funds- 2023 Unrestricted funds Designated fvnds . student Emergency Support Fund . Eddie Byers Scholarship Fixed asset fund 120,198 15,124 1,399,606 1,534,928 6,T12 182 126,910 15,306 1,352,463 1,494,679 (47,143) (47,143) 6,894 General funds General fund 174,225 1,293,965 (1,202,687) 265,503 Total funds 1,709,753 7,300,859 (1,249,830) 1,760, 182 Balance at 1 January 2024 Expenditure Balance at and 31 December transfers 2024 Income Charity statement of funds- 2024 Unrestricted funds Designated funds . Student Emergency Support Fund . Eddie Byers Scholarship . Fixed asset fund 126,910 15.306 1,352.463 1,494.679 13,518 221 16,393) 134.035 15,527 1,297,041 1,446,603 {55,422) {61,816) 13,739 General fund 215.687 1.149,113 {1,038,498) 326,302 Total funds 1,710.367 1,162.852 {1.100,310) 1,772,905 Balan￿ at l January 2023 Balance at 31 December 2023 Income Expenditure Charity statement of funds- 2023 Unrestricted funds Designated ftinds . Student Emergency Support Fund . Eddie Byers Scholarship Fixed asset fund 120,798 15, 125 1,399, 606 1,534,929 6,712 182 126,910 15,307 1,352,463 1,494,680 (47,143) (47,143) 6,894 General funds General fund 155,755 990, T44 (930,812) 215,687 Total funds 1,690,684 997,638 97T,955 I,T10,367 The Student Emergency Support Fund steps in as a guarantor if a member ￿ntre closes down to allow the students to complete their course and retum home without additional expense. English UK Limited 52 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 18 Statement of funds (continued) The Eddie Byers Scholarship Fund has been created in memory of our late Chief Executive. Eddie Byers, to help aspiring students sludy English in the UK and further the associations, charitable mission of advancing the education of international students in the English language. The Fixed Assets Fund represents the fixed assets of the group. The Trustees designated these as they are expected to be used in the long temi to assist in meeting the group's charitable objectives and also to enable a dear understanding of the free reserves and undedying activities of the group. 19 Group analysis of net assets between funds Total funds 2024 Unreslricled funds Intangible fixed assets Tangible fixed assets Current assets Creditors due within one year Creditors due in more than one year Total 12.207 12,207 1,284.833 1,284,833 1,361,423 1.361.423 1741,871) (741,871) {52,500) {52,500) 1,864,092 1,864,092 Total funds 2023 Unrestricted funds Intangible fixed assets Tangible fixed assets Current assets Creditors due within one year Creditors due in n70re than one year Total 13,738 13,738 1,338, 724 1,338, 724 1,223,986 1,223,986 (728, 766) (728, 766) (87,500) (87,500) 1,760, 182 1,760,782 English UK Limited 53 Notes to the financial statements Year to 31 De￿mber 2024 DRAFT 20 Charity analysis of net assets between funds Total funds 2024 Unreslricled funds Intangible assets Tangible fixed assets Inveslments Current assets Creditors due within one year Creditors due after one year Total 12.207 1,284,833 12,207 1,284,833 1,069.803 1,069,803 (541,439) (541,439) {52,500) {52.500) 1,882.905 1,772,905 Unreslricled Total funds funds 2023 Intangible assets Tangible fixed assets Investments Current assets Creditors due within one year Creditors due after one year Total 13,738 1,338, 724 13,738 1,338, 724 967,505 967,505 (522, 101) (522, 101) (87,500) (87,500) 1,710,367 1,710,367 21 Operating lease commitments At 31 December 2024 the Group and the Charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows: Group 2024 Group 2023 Charity 2024 Charity 2023 Not later than one year Later than one year and not later than 5 years 950 2,911 3.861 950 3,227 4,178 950 2,911 3.861 950 3,227 4,178 22 Related party transactions All trustees of English UK Limited are employed by organisations who are members of English UK. Aside from those transactions described in note 9, there are no further related paty transactions to report. Trustees and senior management of English UK Limited are required to declare all interests every year. Interest for disclosure include remuneration, directorships, significant shareholdings, unremunerated activities pursuing activities related to those of English UK Ltd. English UK Enterprises and dose family interests. English UK Limited 54 Charity income and expenditure account Year to 31 December 2024 DRAFT This page does not form part of the statutory financial statements. Total funds 2024 Total funds 2023 Basic subscriptions Supplementary subscriptions Total subscription income 469.545 203,248 672.793 457,972 157,985 615,957 Corporate member subscriptions Net corporate membership income 39,045 39,045 38,498 38,498 Members conference and AGM income Members conference and AGM expenditure Net members conference and AGM expenditure 23.403 129.970) (6.567) 18,799 125,1801 16,3811 Project QUIC income Project QUIC expenditure Net Project QUIC income 20,515 120,159) 356 16,525 114.693) 1,832 Events and training income Events and training expenditure Net events and training income 217.266 (114.833) 102.433 176,254 194,6791 81,575 Student emergency support fund income Sludent emergency support fund expenditu Net student emergency support fund income 13,518 (6.395) 7,123 6,712 6,712 Eddie Byers scholarship income Eddie Byers scholarship expenditure Net Eddie Byers scholarship income 221 182 221 182 Market Insights income Market Insights expenditure Net Market Insights expenditure 47,700 156,8691 (9,1691 Membership expendilure Net membership income (3.950) (3,950) 16,4371 (6,437) English UK Limited 55 Charity income and expenditure account Year to 31 December 2024 DRAFT This page does not form part of the statutory financial statements. Total funds 2024 Total funds 2023 Partner Agency Scheme Partner Agency Scheme expenditure Net Partner Agency Scheme Income 15.360 (795) 14,565 11,520 (991 11,421 Other income English UK Enterprises management charge Interest re￿1vable VAT reclaim Other sundry income Gift income 70,590 10,282 28.638 43.767 7,454 160.731 60,703 7,347 25,749 19,392 124,711 Other expenditure Staff costs and recnjitment General promotion and intelligence Premises Public affairs Administration Irrecoverable VAT and Capital Goods Scheme Depreciation and amortisation Auditorfs remuneration Professional fees Board and sulxommittee fees Bad debt provision (584,020) {533.8301 187,129) 149.3731 123.148) 127,7211 158,373) 148.467) 182,451) 176.204) (8.022) 111,2871 151.756) 151,5061 116,552) 114.896) (6,750) (7.537) (5.790) 12,2381 1221) 13,1991 (924.212) (827,6981 Total income Total expenditure 1.162.852 1,045,338 (1.100.314) 11,025,655) Net income for the year 62.538 19,683 Fund balances at 1 January Fund balances at 31 December 1,710,367 1.772.905 1.690,684 1,710,367 English UK Limited 56