Registered number: 05157521 Charity Number: 1111037
New Hackney Education Business Partnership Limited (Trading as Inspire)
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 August 2023
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New Hackney Education Business Partnership (trading as Inspire)
| CONTENTS | |
|---|---|
| Page | |
| Reference and administrative details of the company | 3 - 4 |
| Trustee’s report | 4 - 9 |
| Independent auditor’s report | 10 - 14 |
| Statement of Financial Activities | 15 |
| Balance sheet | 16 |
| Statement of Cash Flow | 17 |
| Notes to the financial statements | 18-32 |
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New Hackney Education Business Partnership (trading as Inspire)
COMPANY INFORMATION
DIRECTOR Charles Belcher Sugathan Sahadevan (Chair) REGISTERED NUMBER 05157521 REGISTERED OFFICE 34-38 Dalston Lane London E8 3AZ INDEPENDENT AUDITORS LB Group Chartered Accountants Statutory Auditor Number One, Vicarage Lane Stratford London, E15 4HF BANKERS Lloyds Bank Plc 25 Gresham Street London EC2V 7HN
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New Hackney Education Business Partnership (trading as Inspire)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2023 (Continued)
The Trustees who are also the directors of the company for the purposes of the Companies Act, are pleased to submit their report with the financial statements of the New Hackney Education Business Partnership Limited (the company) for the year 31[st] August 2023. The Trustees confirm that the report and financial statements of the company comply with current statutory requirements, the requirements of the company’s governing document and are in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland. The Trustees are governed by the company’s Memorandum and Articles of Association.
Principal Activity
The principal activity of the company during the period remained the delivery of young people’s support and ancillary services directly and in partnership with other statutory, private and third sector organisations.
Directors
The directors who served during the year were as follows:
Charles Belcher Sugathan Sahadevan
Review of the Business
Inspire has continued to operate under the corporate governance structure and has directly supported the charitable objectives of its ultimate parent undertaking, 15billionebp.
Our vision, purpose and values are as follows:
Our vision
All young people have access to the opportunities and inspiration they need to achieve their potential.
Mission
We “inspire” children and young people across London and beyond, using data to understand the barriers they face and connecting them with a range of employers and opportunities to open doors to their success.
Guiding Principles
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1 Work with integrity – doing the right thing for young people.
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2 Be bold – using challenges to drive innovation.
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3 Drive equity – challenging our thinking to increase diversity.
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4 In partnership – working with others to achieve goals.
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New Hackney Education Business Partnership (trading as Inspire)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2023 (Continued)
Strategic Aims
Always sticking to those guiding principles four new strategic aims were identified:
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1 Implement an effective partner engagement strategy to raise our profile
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2 Complete the successful merger , making the most of the opportunities it presents
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3 Improve and measure the impact of our work with a sector-recognised evaluation measure
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4 Increase the number of schools we work with by 20%, to grow our number of beneficiaries
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5 Establish robust and diverse income streams, maintaining at least 6 months of reserves
Our senior team and Trustees review our aims, objectives and activities each period. This report examines what the charity has achieved and the outcome of our work in the reporting period. The Trustees report the success of each key activity and the benefits the charity has brought to the groups of people it is set up to support. The review also helps the Trustees ensure the charity’s aims, objectives and activities remain focused on its stated purpose.
The Trustees have referred to the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and planning future activities. In particular, the Trustees have considered how planned activities will contribute to the aims and objectives that have been set.
Achievements and performance
Working in Primary Schools
We believe learning about the world of work should start at the beginning of a young person’s journey of learning and continue throughout their year of academic education and beyond.
During the year, Inspire working collaboratively with its ultimate parent company, 15billionebp delivered four Primary Schools programmes:
World of Work: a week-long programme introducing all pupils in across 25 primary school to the world of work through themed lesson plans and high-quality interactions with business volunteers during workplace visits and in-school workshops.
Full STEAM Ahead: sponsored by UBS, 12 schools take part in a series of STEM (Science, Technology, Engineering and Maths) activities and compete to get to the semi-final and final hosted at UBS’s offices and supported by UBS STEM volunteers.
Children’s University: a year-long programme designed to encourage a love of learning in children, encouraging and celebrating participation in extra-curricular activities in and outside of schools.
Reading Partners: a year-long programme where a business is partnered with a school. Business volunteers are paired with a child mentee who they visit weekly to read with them, building their confidence not only in reading but in social interactions.
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New Hackney Education Business Partnership (trading as Inspire)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2023 (Continued)
Working in Secondary schools
Our work-related programmes with Secondary Schools have allowed over 6,500 young people in five London Boroughs to have meaningful encounters with employers, build their skills and learn more about different career and education pathways.
Over the year we have refined and merged our programmes acoss the group. For example, “You’re Hired” in Hackney, Camden, and Islington and the BOSS/Aspirations Day in Newham.
Volunteers play a crucial role in supporting young people to learn about the workplace and the opportunities that exist. Young people meet volunteers at their schools and when they visit the diverse workplaces across London. They can encounter new work-related experiences from law firms to lifeboats, from precious metals to textile design and from aviation to quantum computers.
Work Experience Placements continued to expand rapidly following the disruption caused by the Coronavirus pandemic. From just 800 one week work placements delivered during 2021/22 this rose to over 2,000 in 2022/23. This necessitated a tremendous ramping up of the employer database, a feat achieved due to the hard work and commitment of the team.
Since the pandemic we have identified the growing cohort of young people requiring additional support in order to access education. Our Additional Needs programmes have been developed to offer a tailored approach to support such young people. Our programmes include:
Workplace Visits: small groups of students visit a workplace where they take part in tailored, interactive activities and meet business volunteers who introduce their industry and job roles.
NatWest funded “CareerSense Find Your Path”: this programme targets young people aged 16-24 who are NEET (Not in Employment, Education or Training). It comprises of a series of preparation workshops delivered by Inspire including CV writing, interview skills and job application help. The workshops are followed by 4 weeks of paid work experience at NatWest. The young people are also supported by a mentor at NatWest. Inspire supports the matching of mentors and job placements with the young people on the programme.
Mentoring: a business is partnered with a school and business volunteers are paired with a student mentee who they meet with regularly during workplace visits. Sessions involve targeted work on developing transferable skills including confidence, communication and teamwork.
In addition to the above we have also reviewed our traditional Work Experience programme to make it more accessible for young people with additional needs. The team organised 14 Extended Work Experience placements across 3 schools, for students who either have SEND, SEMH or behavioural difficulties and this has enabled them to gain some vital social and employability skills, as well as practical vocational skills that they are able to utilise in their career paths going forwards.
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New Hackney Education Business Partnership (trading as Inspire)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2023 (Continued)
Financial review
The results for the period ended 31 August 2023 are set out on page 12.
Principal risks and uncertainties
The Trustees have aligned their risk management strategy which comprises External Risks, Operational Risks, Compliance, Governance and Financial Risks. As in previous periods, the risk management strategy was reviewed regularly by the Senior Leadership Team and discussed with Trustees quarterly.
Reserves policy and going concern
The New Hackney Education Business Partnership operating reserves policy has always been set to ensure the stability of our programmes, ongoing operations and delivery commitments. The operating reserve is intended to provide an internal source of funds for situations such as a sudden increase in expenses, one-off unbudgeted expenses, unanticipated loss of funding or uninsured losses. The Operating Reserve Fund is an unrestricted fund after accounting for restricted reserves, for the general use of the charity. Our target minimum Operating Reserve Fund has historically been set to a value equal to three months of average operating expenses, including all recurring, predictable expenses such as salaries and benefits but excludes depreciation and other non-cash expenses. The Trustees believed this was sufficient to enable the charity to withstand any short-term reduction in funding. However, the charity entered the period with an unrestricted deficit £(159,000), well below the target figure set by the Board of Trustees because of the one-off cost of closing the Inspire Directions School. The charity ended the financial with a reduced unrestricted deficit of reserves of £(45,000).
Trustees have received a Letter of Comfort from its ultimate parent company,15billionebp stating it will financially support the New Hackney Education Business Partnership. Based on this support and financial forecasts, the Trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern.
Plans for the future
The long term impact negative on young peoples emotional and educational development as a result of the prolonged school closures necessitated by the Coronavirus pandemic continues to scar many young people, particularly those from families on low incomes. The trustees recognise that the services New Hackney Education Business Partnership and that of its ultimate parent undertaking 15billionebp offer to young people who have missed out on so much education are needed now more than ever. We remain committed to developing an Integrated Careers Service Menu of Offers across all age groups reaching primary and secondary schools, colleges and other learning institutions in line with our new strategy. To this end, we are grateful for our Corporate Supporters who have generously supported us during the year.
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New Hackney Education Business Partnership (trading as Inspire)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2023 (Continued)
Since all staff have joint contracts of employment and work across the group the Trustees have reviewed the need for two separate charities within the group and the corresponding additional associated governance and compliance costs. As a result of the review, moving forward as contracts are renewed and new ones signed they will be transferred to 15billionebp. It is anticipated this process will be completed within the next 24 months and when all contracts have been transferred the New Hackney Education Business Partnership will be closed.
Statement of responsibilities of the Trustees
The Trustees, who are also directors of New Hackney Education Business Partnership Limited for the purposes of company law, are responsible for preparing the Trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (UK Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial period which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure of the charitable company for that period. In preparing these financial statements the Trustees are required to:
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Select suitable accounting policies and then apply them consistently
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Observe the methods and principles in the Charities SORP
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Make judgements and estimates that are reasonable and prudent
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State whether applicable UK Accounting Standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements
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Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation
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The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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Insofar as the Trustees are aware:
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There is no relevant audit information of which the charitable company’s auditor is unaware
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The Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information
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New Hackney Education Business Partnership (trading as Inspire)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2023 (Continued)
The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. Members of the charity guarantee to contribute an amount not exceeding £10 to the assets of the charity in the event of winding up. The total number of such guarantees at 31 August 2023 was 2 (2022: 2). The Trustees are members of the charity, but this entitles them only to voting rights. The Trustees have no beneficial interest in the charity.
The Trustees’ annual report has been approved by the Trustees on 30/05/2024 30/05/2024 …………………. and signed on their behalf by
Sugathan Sahadevan Chair of Trustees
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New Hackney Education Business Partnership (trading as Inspire)
INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF NEW HACKNEY EDUCATION BUSINESS PARTNERSHIP LIMITED (trading as Inspire)
Opinion
We have audited the financial statements of New Hackney Education Business Partnership Limited (t/a Inspire! EBP) (the 'charity') for the year ended 31 August 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:
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give a true and fair view of the state of the company's affairs as at 31 August 2023 and of its profit for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
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New Hackney Education Business Partnership (trading as Inspire)
INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF NEW HACKNEY EDUCATION BUSINESS PARTNERSHIP LIMITED (trading as Inspire)
Other information
The other information comprises the information included in the annual report, 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 information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
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the information given in the trustees' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
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the trustees' report has been prepared in accordance with applicable legal requirements
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters in relation the which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
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the information given in the financial statements is inconsistent in any material respect with the Trustees’ report; or
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sufficient accounting records have not been kept; or
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we have not received all the information and explanations we require for our audit.
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New Hackney Education Business Partnership (trading as Inspire)
INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF NEW HACKNEY EDUCATION BUSINESS PARTNERSHIP LIMITED (trading as Inspire)
Responsibilities of Trustees
As explained more fully in the trustees' responsibilities statement, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
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 auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which the audit was considered capable of detecting irregularities including fraud is detailed below.
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
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the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
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we identified the laws and regulations applicable to the company through discussions with trustees, and from our commercial knowledge and experience;
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we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company including Companies Act 2006, Charities Act 2011, taxation legislation, data protection, anti-bribery, environmental and health and safety legislation;
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we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
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identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
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New Hackney Education Business Partnership (trading as Inspire)
INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF NEW HACKNEY EDUCATION BUSINESS PARTNERSHIP LIMITED (trading as Inspire)
We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
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making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud
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considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls, we:
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performed analytical procedures to identify any unusual or unexpected relationships;
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tested journal entries to identify unusual transactions;
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review the internal controls in place, specifically around payroll and bank transactions;
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assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
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investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
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agreeing financial statement disclosures to underlying supporting documentation;
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enquiring of management as to actual and potential litigation and claims;
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reading the minutes of meetings of those charges with governance; and
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reviewing correspondence with the company’s legal advisors.
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 noncompliance with laws and regulations to enquiry of trustees and other management and the inspection of regulatory and legal correspondence, if any.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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New Hackney Education Business Partnership (trading as Inspire)
INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF NEW HACKNEY EDUCATION BUSINESS PARTNERSHIP LIMITED (trading as Inspire)
Use of our report
This report is made solely to the company's members, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Richard Lane (Senior Statutory Auditor) For and on behalf of LB Group Limited (Stratford)
Chartered Accountants Statutory Auditor
......................... 30/05/2024 30/05/2044 1 Vicarage Lane Stratford London England E15 4HF
LB Group Limited (Stratford) is eligible for appointment as auditor of the Charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act.
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New Hackney Education Business Partnership Limited (T/A Inspire) (A company limited by guarantee)
| Statement of financial activities (Incorporating income and expenditure account) for the year ended 31 August 2023 Unrestricted Restricted Year ending Total 31 August 2023 2023 2023 Income: Note £’000 £’000 Income from charitable activities 3 661 - 661 Investment income - - - Total income 661 - 661 Expenditure: Charitable activities 4 497 - 497 Total expenditure 497 - 497 Net movement in funds for the year 164 - 164 Reconciliation of funds Total funds brought forward (159) - (159) Transfer of funds - - - Total funds carried forward 10 5 - 5 |
Statement of financial activities (Incorporating income and expenditure account) for the year ended 31 August 2023 Unrestricted Restricted Year ending Total 31 August 2023 2023 2023 Income: Note £’000 £’000 Income from charitable activities 3 661 - 661 Investment income - - - Total income 661 - 661 Expenditure: Charitable activities 4 497 - 497 Total expenditure 497 - 497 Net movement in funds for the year 164 - 164 Reconciliation of funds Total funds brought forward (159) - (159) Transfer of funds - - - Total funds carried forward 10 5 - 5 |
Statement of financial activities (Incorporating income and expenditure account) for the year ended 31 August 2023 Unrestricted Restricted Year ending Total 31 August 2023 2023 2023 Income: Note £’000 £’000 Income from charitable activities 3 661 - 661 Investment income - - - Total income 661 - 661 Expenditure: Charitable activities 4 497 - 497 Total expenditure 497 - 497 Net movement in funds for the year 164 - 164 Reconciliation of funds Total funds brought forward (159) - (159) Transfer of funds - - - Total funds carried forward 10 5 - 5 |
Statement of financial activities (Incorporating income and expenditure account) for the year ended 31 August 2023 Unrestricted Restricted Year ending Total 31 August 2023 2023 2023 Income: Note £’000 £’000 Income from charitable activities 3 661 - 661 Investment income - - - Total income 661 - 661 Expenditure: Charitable activities 4 497 - 497 Total expenditure 497 - 497 Net movement in funds for the year 164 - 164 Reconciliation of funds Total funds brought forward (159) - (159) Transfer of funds - - - Total funds carried forward 10 5 - 5 |
Period ending 31 August 2022 £’000 1,346 - |
|---|---|---|---|---|
| Unrestricted Year ending 31 August 2023 661 - 661 497 497 164 (159) - 5 |
Restricted 2023 £’000 - - - - - - - - |
|||
| 1,346 | ||||
| 1,447 | ||||
| 1,447 | ||||
| (101) (58) - |
||||
| - | 5 | (159) |
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New Hackney Education Business Partnership Limited (T/A Inspire) (A company limited by guarantee)
| Balance sheet as at 31 August 2023 | |||
|---|---|---|---|
| Note | |||
| 31 Aug | 31 Aug | ||
| 2023 | 2022 | ||
| £’000 | £’000 | ||
| Fixed assets | |||
| Tangible assets | 7 | - | 2 |
| Current assets | |||
| Debtors | 8 | 179 | 61 |
| Cash at bank and in hand | 13 | 35 | |
| 192 | 96 | ||
| Creditors:amounts falling due within one year |
9 | (187) | (257) |
| Net current assets | 5 | (161) | |
| Net assets | 5 | (159) | |
| Funds: | |||
| Restricted funds | - | - | |
| Unrestricted funds: | |||
| General funds | 5 | (159) | |
| Total unrestricted funds | 5 | (159) | |
| Total funds | 5 | (159) |
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the period ended 31 August 2023, although an audit has been carried out under section 144 of the Charities Act 2011.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.
30/05/2024 30/05/2024 The financial statements were approved by the directors on ……………. and signed on their behalf by:
Sugathan Sahadevan Director Company registration number: 05157521
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New Hackney Education Business Partnership Limited (T/A Inspire) (A company limited by guarantee)
Statement of cash flows for the year ended 31 August 2023
| Note Cash generated (used) in operating activities 13 Cash flows from investing activities Purchase of tangible Fixed Assets Interest income Cash provided by investing activities Cash flows from financing activities Increase (decrease) in cash and cash equivalents in the year 13 Cash and cash equivalents at the beginning of the year Total cash and cash equivalents at the end of the year |
31 Aug 2023 £’000 (22) - - - - (22) 35 13 |
31 Aug 2022 £’000 |
|---|---|---|
| (139) | ||
| - - |
||
| - | ||
| - | ||
| (139) 174 |
||
| 35 |
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New Hackney Education Business Partnership Limited (T/A Inspire) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
1 Accounting policies
1.1 Basis of preparation
These financial statements have been prepared in accordance with the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP “Accounting and Reporting by Charities; Statement of Recommended Practise applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102)(effective 1 January 2019). The Charity is a Public Benefit Entity as defined by FRS 102. The disclosure requirement of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view. New Hackney Education Business Partnership Limited (t/a Inspire) is a company limited by guarantee incorporated in England and Wales within the UK. The address of the registered office is given in the company information page of these financial statements.
The financial statements are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £.
The following accounting policies have been applied:
1.2 Financial reporting standard 102 – reduced disclosure exemptions
The company have taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”:
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The requirements of section 7 Statement of Cash Flows.
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The requirements of section 3 Financial Statement Presentation paragraph 3.17(d).
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The requirements of section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of 15billionebp as at 31 August 2023 and these financial statements may be obtained from the company’s registered office.
1.3 Preparation of the accounts on a going concern basis
As in the previous period, the financial year under review continued to be characterised by immense uncertainty and operational challenge.
While schools remained fully open over the year many of our business partners and large corporate supporters adopted a hybrid style of working for their employees. With significant numbers of employees no longer coming into the office five days a week it is difficult for them to engage in a skilled volunteering day in a school or for their employer to host a one week work placement.
The general uncertainty around the economy, the rapid rise in the cost of living and the resulting big increase in interest rates together with the political upheaval during the
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New Hackney Education Business Partnership Limited (T/A Inspire) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
Accounting policies (continued)
Autumn of 2022 all conspired to severely dent confidence which in turn has made competition to secure corporate and social responsibility funding from business’s even harder to secure which in turn affects our delivery model.
However, having noted the above, there are many other factors that give trustees confidence about the future.
Dialogue with school leads remains positive. The charity is highly regarded across the boroughs it operate in. It has a strong reputation as the “turn-too” local not-for-profit provider of quality careers guidance advice and information services that both help support school leaders surpass the Gatsby benchmarks and genuinely strengthen the soft skills of their students.
The charity has already delivered well over 2,000 work experience placements in the year under review and our ability to meet the increasing demand from schools to provide more will only be constrained by the speed at which we can re-build the employer database. As previously reported by necessity this database was neglected during the Coronavirus lockdowns but is gradually being restored.
Furthermore, a series of additional funding opportunities have come on stream during the spring of 2024. The Group was successful in securing funding from the Greater London Authority to deliver their “Early Connect” contract funding the provision of apprenticeship information and support to young people. Similarly, the Group became the Smiths Foundation first UK based charity partner.
Since all staff have joint contracts of employment and work across the group the Trustees have reviewed the need for two separate charities within the group and the corresponding additional associated governance and compliance costs. As a result of the review, moving forward as contracts are renewed and new ones signed they will be transferred to 15billionebp. It is anticipated this process will be completed within the next 24 months and when all contracts have been transferred the New Hackney Education Business Partnership will be closed.
Given the existing contractual position currently, the increasing number of enquiries we are receiving from funders leading to positive outcomes and the level of unrestricted reserves held by the group the financial stability for the 12 months from the date of approval of these financial statements is secure, and on that basis, the charity does not face material uncertainties regarding being a going concern.
1.4 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the directors in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the directors for purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
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New Hackney Education Business Partnership Limited (T/A Inspire) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
1.5 Incoming resources
All incoming resources are included in the statement of financial activities when the charity has entitlement to the funds, receipt is more likely than not and the amount can be measured with sufficient reliability.
Income from donations, grants and contract income, including capital grants, is included in incoming resources when these are receivable, except as follows:
-
When funders specify that donations, grants and contracts awarded must be used in future accounting periods, the income is deferred until those periods.
-
When funders impose conditions which have to be fulfilled before the charity becomes entitled to use such income, the income is deferred and not included in incoming resources until the preconditions for use have been met.
-
When funders impose conditions specifying that donations and grants, including capital grants, are for restricted purposes, which do not amount to pre-conditions regarding entitlement, the income is included in incoming resources of restricted funds when receivable.
1.6 Resources expended
Expenditure is recognised on an accrual’s basis, once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required, and the amount of the obligation can be measured reliably. Expenditure has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to activities, they have been allocated on a basis consistent with the use of the resources.
Redundancy and termination payments are recognised when the employee is formally notified that their post is terminated and after no suitable alternative employment has been identified.
1.6 Allocation of support costs
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include premises, general office costs and governance costs which support the charity’s services. Governance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory requirements. The bases on which governance and support costs have been allocated are set out in note 4.
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New Hackney Education Business Partnership Limited (T/A Inspire) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
Accounting policies (continued)
1.7 Tangible fixed assets and depreciation
Depreciation is provided on the straight-line basis on cost, or valuation, to write off the cost of assets over their estimated useful lives commencing in the year of acquisition. Assets costing above £2,000 are capitalised and depreciation is calculated as follows:
- Office & computer equipment 33.3% straight line - Fixtures and Fittings 20% straight line - Short leasehold premises 20% straight line
1.8 Operating leases
Rentals under operating leases are charged to the Statement of Financial Activities on a straight-line basis over the lease term.
Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term.
1.9 Debtors
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
1.10 Cash at bank and in hand
Cash at bank and in hand includes cash balances and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
1.11 Creditors and provisions
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
1.12 Financial instruments
The charity and group only hold basic financial instruments.
The financial assets of the charity/group which are held at amortised cost are as follows:
-
Grant and contract debtors
-
Accrued income (excluding prepayments and other debtors which are not settled in cash).
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New Hackney Education Business Partnership Limited (T/A Inspire) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
Accounting policies (continued)
The financial liabilities of the charity/group which are held at amortised cost are as follows:
-
Trade creditors
-
Accruals
-
Amounts due to subsidiary
-
Other creditors (excluding tax and social security, deferred income and other creditors that will not be settled in cash). Further details can be found in note 11.
Cash is valued at face value and pension liabilities are valued at fair value in accordance with note 9.
1.13 Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and meets the definition of a charitable company for UK corporation tax purposes. It therefore does not suffer tax on income or gains applied to charitable purposes.
From 25 August 2005 the company has been registered as a charity and therefore is not subject to corporation tax on its charitable activities.
1.14 Employee Benefits
The group operate defined contribution plans for their employees and following autoenrolment the schemes are open to all employees. A defined contribution plan is a pension plan under which the group pay fixed contributions into a separate entity. Once the contributions have been paid the group have no further payment obligations. The pension contributions are allocated to expenditure in accordance with the employee salary to which they relate. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the group entities in independently administered funds.
1.15 Reporting period note
The financial statements are prepared based on a 12-month period from 1 September 2022 until 31 August 2023. The prior period was a 17-month period from 1 April 2021 until 31 August 2022, and for this reason the comparatives set out in these financial statements (including related notes) will not be entirely comparable.
2 Company status
The charity is a company limited by guarantee and has no share capital. It has one member (its parent entity 15billionebp) which is liable to contribute an amount not exceeding £1 towards the assets of the company in the event of liquidation.
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
2 Judgements and key sources of estimation uncertainty
In the application of the Charity’s accounting policies, the Trustees required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
3 Incoming resources from charitable activities - analysis by activity
| Activities relating to charity: Continued operations Donations and legacies Grant Income Fee Income Discontinued operations Other schools, Local authorities and donations Total |
Unrestricted Funds £’000 63 438 160 - 661 |
Restricted Funds £’000 - - - - - |
Year ending 31 August 2023 £’000 63 438 160 - 661 |
Period ending 31 August 2022 £’000 607 268 232 239 |
|---|---|---|---|---|
| 1,346 |
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
4 Analysis of expenditure
| Charity activities: Continued operations Staff costs Project expenses Occupancy costs Depreciation Legal and Audit fees Other Discontinued operations Staff costs Project expenses Sub total Unrestricted total Restricted total Total 2023 |
Charitable activities Governance costs £’000 £’000 353 - 25 - 105 - 2 - - 5 7 - 492 5 - - - - - - 492 - 5 - 492 5 |
Support Costs £’000 - - - - - - - - - - - |
Year ending Aug 2023 £’000 353 25 105 2 5 7 497 - - - 497 |
Period ending 31 Aug 2022 £’000 742 21 136 5 22 127 |
|---|---|---|---|---|
| 1,053 274 104 |
||||
| 378 | ||||
| 1,447 |
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
5 Net incoming / (outgoing) resources
This is stated after charging:
| Year | Period | |
|---|---|---|
| ending | ending | |
| 31 August | 31 August | |
| 2023 | 2022 | |
| £’000 | £’000 | |
| Depreciation of tangible fixed assets | 2 | 11 |
| Auditors’ remuneration | 5 | 22 |
| Operating Lease rentals payable | 104 | 147 |
6 Staff costs
Staff costs were as follows:
| Wages and salaries Social security costs Other pension costs |
Year ending 31 August 2023 £’000 300 34 16 350 |
Period ending 31 August 2022 £’000 904 68 43 |
|---|---|---|
| 1,015 |
Included within staff salaries are staff redundancy costs of £3,447 (2022 - £37,598).
The average monthly number of employees during the year was as follows:
| Chief Executive Finance and contracts Service delivery Support and administration |
31 August 2023 No. 1 1 10 1 13 |
31 August 2022 No. 1 1 20 1 |
|---|---|---|
| 23 |
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
6 Staff costs (continued)
The number of higher paid employees was:
| 31 | August 2023 No. |
31 August 2022 |
||
|---|---|---|---|---|
| No. | ||||
| In the band £60,000 | - £69,999 | 1 | 1 |
The total employee benefits (including pension contributions and employer's national insurance) of the key management personnel were £158,254 (2022: £206,668).
The charity trustees did not receive compensation or any other form of remuneration for their service to the charity during the year. Additionally, no charity trustee received payment for any professional services or other contributions provided to the charity.
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
7 Tangible fixed assets
| Furniture, Fittings and Equipment | |
|---|---|
| £’000 | |
| 31 August | |
| 2023 | |
| Cost | |
| At 1 September 2022 | 180 |
| Additions | - |
| Disposals | (180) |
| At 31 August 2023 | - |
| Depreciation | |
| At 1 September 2022 | 178 |
| Written back on disposal | (180) |
| Charge for the year | 2 |
| At 31 August 2023 | - |
| Net book value | |
| At 31 August 2023 | - |
| At 31 August 2022 | 2 |
8 DEBTORS
| DEBTORS | |
|---|---|
| Prepayments Amount owed from parent entity Trade debtors |
31 August 2023 31 August 2022 £’000 £’000 25 14 59 - 95 47 |
| 179 61 |
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
| 9 CREDITORS: Amounts falling due within one year Trade creditors Other taxation and social security Deferred income Accruals Deferred income (Included within Accruals and deferred income above) Deferred income at 1 September 2022 Amounts released from previous years Amount deferred in the period Deferred income at 31 August 2023 |
31 August 2023 £’000 41 18 115 13 187 113 (113) 115 115 |
31 August 2022 £’000 26 12 113 106 |
|---|---|---|
| 257 | ||
Deferred income comprises grant and contract sums received in the period to the extent that the funder has specified they must be used in future periods or are time-apportioned where they relate to services provided over a period spanning the period end.
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
10 Analysis of funds
| Analysis of movement in unrestricted funds Designated funds Fixed assets fund Total General funds Charity’s general fund Total unrestricted funds Analysis of movement in restricted funds Total restricted funds Total of funds |
Brought Forward £’000 2 - (161) (159) - - (159) |
Incoming Resources £’000 - - 661 661 - - 661 |
Resources Expended £’000 (2) - (495) (497) - - (497) |
(Losses)/ Gains £’000 - - - - - - - |
Transfers between funds £'000 - - - - - - - |
Carried Forward £’000 - |
|---|---|---|---|---|---|---|
| - | ||||||
| 5 | ||||||
| 5 | ||||||
| - | ||||||
| - | ||||||
| 5 |
Designated Funds
The fixed asset fund represents the net book value of fixed assets.
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
11 Analysis of net assets between funds
| Fixed assets Debtors Creditors Cash at bank and in hand Net assets at 31 August 2022 |
Unrestricted funds £’000 - 178 (187) 14 5 |
Restricted £’000 - - - - |
Total £’000 - 178 (187) 14 |
|---|---|---|---|
| 5 |
12 Operating lease commitments
The company had annual total commitments under non-cancellable operating leases as detailed below:
| Group Expiry date: Within 1 year Between 2 and 5 years In over 5 years |
Land and buildings 31 August 2023 £’000 31 August 2022 £’000 60 107 15 122 - - 75 229 |
|---|---|
13 Reconciliation of net movement in funds to net cash flow from operating activities
| Net movement in funds Add back depreciation charge Decrease (Increase) in debtors (Decrease) Increase in creditors Cash flow from operating activities |
Year ending 31 August 2023 £’000 114 2 (118) (20) (22) |
Period ending 31 August 2022 £’000 (101) 5 51 (94) |
|---|---|---|
| (139) |
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New Hackney Education Business Partnership Limited (T/A Inspire! Education Business Partnership) (A company limited by guarantee)
Notes to the financial statements for the year ended 31 August 2023
14 Related party transactions
During the Financial year the charity received funding from Linklaters and UBS, both of which are related parties. Matthew Sparkes is a Trustee of 15billionebp (resigned 9 March 2023) and Head of Sustainability at Linklaters; Patsy Francis is a trustee of New Hackney education (resigned 01 June 2021) and Director of Community Affairs at UBS. These related parties donated the following funds during the period, all of which is classified as unrestricted funding:
-
Linklaters: £117, 646 (Period to 31 August 2022: £128,779)
-
UBS: £ 24,519 (Period to 31 August 2022: £48,835)
15 Ultimate parent undertaking and controlling party
The ultimate parent undertaking is 15Billionebp, a company incorporated in England and Wales (No. 05157521) and a registered charity (No. 1111037). Copies of the group accounts may be obtained from 34-38 Dalston Lane, London, E8 3AZ.
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