2023-08-31-accounts

Docusvjn En¥etw• ID.. 1A051E17466H74l￿EWFBD8QEC2 Company Registration Number 05534395 Charity Number 1112249 PURE LEAPFROG COMPANY LIMITED BY GUARANTEE ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2023 111 •4D482KTF• 0512024 rnMPANIES HCIJSE *125

Do¢uSvJn Envelope ID.. 1A051E17-486PA7414E52.FF8tAOEC24A6 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 Contents Members of the board and professional advisors Trustees, report (includin8 Directors, Report) Statement of trustees, responsibilities Independent auditorfs report Charity statement of financial activities Charity balance sheet Notes to the financial statements 4-21 22 23-27 28 29 30-42

DoryJSi9n Enkn10.. 1A051E1746W474l4E52￿FBD8t￿C24Ifj PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE MEMBER5 OF THE BOARD AND PROFESSIONAL ADVISORS YEAR ENDED 31 AUGUST 2023 Pure Leapfrog is a UK reBlStered charity (number 1112249} as well as a UK company limited by 8uarantee (number 055343951. The Trustees of the charity att as Directors for the company for the purposes of the Companies Act 2006. As Directors of the Company and Trustees of the Charity. the Board meetings and minutes cover both roles. Directors and Trustees of Pure Leapfrog during the 2022/23 year The Trustees who sekved the tharitable company durin8 the year and slnce the year end were: Mark Henderson Simon Cordery Dr Michael Jampel ShelaBh Kirkland (Treasurer) Graeme Ludlow (Chair} Sophie Pughe Senior management team Paul Gllltgan. CEO Registered Office 7-14 Great Oover StreeL London. SEI 4YR Auditors Buuacott LLP, 130 Wood StreeL London. EC2V 3DL Bankers Barclays Bank PLC, I Churchill Place, London. E14 5HP

00￿S￿j￿ Envelope ID.. lA051E17466PA741-8E52fft08￿v4 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRECTORS. REPORT} YEAR ENDED 31 AUGUST 2023 Ch3ir's statement Our year. 2022-23. tracked a particularly turbulent time in the political and economic life of this country. We saw wins and losses for renewable energy and no small amount of policy and social chan8e. Since Pure Leap works at the interface of different domains, it can see the interactions between these and climate change drivers up close and applies a whole systems approach to its work. We observed global heating and intense wildfire5 acro55 continental Europe. the warmest year on record in the UK. and supermarkets havin8 to ration fresh vegetables and salad produce due to severe weather afferting harvests in Spain and North Africa. A8ainst this backdrop, in March 2023 the Government republished Its net zero strategy to 2050. revised after the High Court found it to be in breach of its obligations under the Climate Change Act following a challenge by envlronmental groups. Barely a year on and after another challenge, the new Strate￿ ha5 also been ruled in breach, with the Government ordered to produce a compliant plan within the next 12 months. The Government's decision to grant I1￿ new licences for North Sea oil and 8a5 drilling has sparked further debate. In balance to this, we also saw the switching on of Hornsea 2 in the North Sea. the world's largest offshore wind farm at 1.3GW. Since then Hornsea 3 has commenced constructlOD and Hornsea 4 has received approval, each with over double that capacity planned. As one of the cheapest sources of power for the UK, offshore wind projects such as these can help underpin the energy transition and apply d¢>wnward pressure to wholesale energy costs. Ye"t the macroeconomic environment remains challen8ing. High interest rates have persisted despite inflation havin8 peaked and many analyst5 believe the era of cheap money is over. This can put financial stress on both projects such as Hornsea- with the Government now havin8 raised the strike price for wind contracts for difference- and people- with the cost of living crisis worsening across the period. National Energy Action and Friends of the Earth, found that 6.3 million. roughly l-in-5 households, were in fuel poverty in 2023, defined as spending IO% or more of income on home energy. with people suffering in hard-tovheat homes and with rising ener8y costs. The whole system view informed us during the year to look closer at our buildin85 and retrofit workstreams. as interdependencies between climate. economic. energy. housing and social systems came to the fore. News of a two ye3rold boy. Awaab Ishak. dying after exposure to black mould dirertly related to substandard living conditions in South Yorkshire. rightly triggered a national reaction of shock. Families living in homes with poor ener8y efficiency suddenly became more visible due to the high correlation between poor energy performance and poor quality housing.. The urgent action we know is needed to tackle energy inefficient homes. does not grab the attention of a nation in the same way as the tragic loss of youn8 life that stems from the same root cause.

Oo¢uS*Jn Eh¥elopg ID.. lA051E17466￿?Il￿Es2-FFBtwtt2446 PURE LEAPFROG ACOMPANY LIMITED BYGUARANTEE TRU5TEES' REPORT (INCLUDING DIRECTORS. REPORT) YEAR ENDED 31 AUGUST 2023 Our work to build capacity in communities to engage more directly with their own net zero journeys remained solidly In place, but we knew that we needed to develop ways to have greater impact by addressin8 the poor quality homes that people live in= not simply increasing the ener8y efficiency of hard-to-heat hornes but eliminatin8 some of the factors that can lead to health-threatening problems. such as the presence of black mould. Combining retrofit measures with community friendly business models and empowerin8 communltiesto improve their own homes. will be beneficial not only from a sustainability but a social perspertive- improving neighbourhood wellbein8 as well as the lives of individuals. At Pure Leapfro8 we believe we contribute most when trying to address some of the hardest to solve problem5'. There are many challenges in retrofitting our leaky housing stock- persuading the able-to- pay to invest in energy efficiency measures. balancing visual impact with heritage architecture. overcomingthe cold start problem of insufficient supply and demand. to name a few. We have started to tackle one such problem: convincing private landlords to pay to retrofit home5 they don't even live in, against a backdrop of high borrowing costs and the revokin8 of planned increased minimum energy. efficiency standards for domestic lets. Our projert 'Retrofit for Lets. kicked off in April 2024 and will test a multi-pron8ed approach to remove rinancial barriers for buY-t￿let retrofit. We have formed a Green Finance Panel to support this, with two Major hi8h street mort8a8e lenders, an institutional fund. representatives of the impact investin8 community, a local auihority, and the Green Finance Institute. The panel 15 already seelng positlve results. And as of April 2024, a larBer and more ambitious project is underway in South Yorkshire. where we have partnered with South Yorkshire Combined Authority and ten others. to develop a complete solution provider for private domestic landlord retrofit advice and support. Our existing innovation focus on energy 5y5tems, natural capital, and carbon continues. If anythin& our work on buildin8s and retrofit is enhancing it with new areas of overlap and opportunity emer8ing. The deeper we delve into the interactions betr￿een these systems. the greater the impact we expect from ourwork. We look forward to progressing on multiple fronts. wtth excellent and committed partners, and hope to report strong Outcomes of this approach in future years. Graeme Ludlow Chair

DocuSv4n Erbvekpe ITr. 1A051El7466e4741￿E524FBt￿L￿C2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT {INCLUDING DIRECTORS. REPORT) YEAR ENDED 31 AUGUST 2023 Objectives At this time of gafvanising artion and of rapid change, it is useful to remind ourselves of the legal charitable purposes of Pure Leapfrog. As stated in our Artides of Association, they are: l. To promote sustainable development for the benefit of the public by: The preservation. conservation and the protertion of the environment and the prudent use of resources. The relief of poverty. the promotion of health and the improvement of the condltions of life in socially and economically disadvantaged communities, The promotion of sustainable means of achievin8 economic growth and regeneratlon. 2. To advance the education of the public in subjects relating to sustainable development and the protection, enhancement and rehabilitation of the environment. and to promote study and research in such subjects provided that the useful results to Such study are disseminated to the public at large. 3. To promote for the benefit of the public the conservation, protection and improvement of the physical and natural environment. 4. To advance the education of the public in the conseprfation. protection and improvement of the phy5icoI and natural environment. We recognise the context we operate within is becoming increasingly politicised. Measures such as Ultra Low Emission Zones. Fifteen Minute Cities have been divisive. and, some would argue, deliberatelv misrepresented as part of a "culture warf against the dimate agenda. Policies such as expanding development of gas fired power stations, and repealin8 the ban a8ainst fracking, hove Strengthened the resolve of those in.terested in a progressive climate agenda. Debate and conviction have never been more entrenched. As such. it is important to remind ourselves that we are not a campaignin& political. or activist organisation, but that we seek to do our best for the climate and for people. Whilst we do not Wish to put ourselves in the middle of arguments, but prefer to work towards a Safer and happier world for everyone, we will still highlight inconsistencies and difficult or unstable policy environments where we feel they exist. Our purposes are wrltten In such a way as to guide our activities; and. as our purposes are written. our activities should be delivered through advancement. promotion, and education of positive interventions In sustainabllity, environment, communities and economies.

DwJJSgn Envehpe ID.. 1A051E17466PA7414E52FBtQEC24A6 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES. REPORT (INCLUDING DIRECTORS, REPORT) YEAR ENDED 31 AUGUST 2023 Our activities in 2022-23 are carried out in furtherance of these purposes. It is the opinion of the Trustees that. in exercising our powers. we have complied with our duty to have regard to the guidance on public benefit published by the Charity Commission when exercisin8 powers or duties to which the guidance is relevant. Activities Pure Leapfrog Is a sustainability and decarbonisation charity that draws on Its staff s expertlse in ener8y systems, finance, natural capital and carbon. to develop a.nd gupport new projerts and solutions that help Communities to accelerate. and benefit from. their own decarbonlsation. We provtde Communities with support in writing their own low carbon futures, through support and advice on accessing finance for renewables project5, increasing capacity in this sector, facilitate the provision of le8al support both throu8h the provision of templated a8rements and through pro bono arrangements. We have an active Researth and Development {R&DI programrne that develops'new propositions, business models and applications of technolo8ies in the low carbon 5ettor. Thls programme is geared towards leveraging commercialised propositions into community ownership. We also work with carefully selerted corporate partners. supporting them in their.ovm decarbonisatio journeys, throu8h the sourcin8 and delivery of hi8h-quality carbon credit5. Our work covers Energy, Carbon, Sustainable Finance, and Natural Capital. and. now Buildings and Retrofit too. Achievements and performance Finance Using finance as a tool to fight climate change remains core to Pure Leapfrog's integrated approach. We explicitly include it into our projects more frequently and are develop•ng our skills, netwoik and outputs more each year. During the year the team also started to develop their skills in Community Finance by participating in ' Community Shares Prartitioner training with Coops UK. This means that Pure Leapfro8 is now able to direttly help communitie5 develop. and now raise finance for, their own projects. Work continues attempting to develop new types of financial support for community projects, either from within our Innovation Pro8ramme or directly in partnership with other aligned partners.

Do¢uSvJn Envpe ID.. 1A051E1746664741-BE52F8OWEC24A6 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRECTORS, REPORT) YEAR ENDED 31 AUGUST 2023 Charitable Funds Management During the year Pure Leapfrog and Brttish Aifways be8an to review their long standing partnership, prompted by a developin8 in house capability within British Airways, a strate8lC Streamlining of their various attivities, and a maturin8 voluntary carbon markets capobility. After more than a decade workin8 together, British Ain¥ays and Pure Leapfrog are wlnding up the hugely successful and impactful BA Carbon Fund: both believing that it has served rts purpose well. The world has very much moved on, with sustainability being driven everfvrther up the corporate agenda. We arfe pleased to see this and also pleased to have been part of British Airways, journey for so long. Some of the tools that 8A will go on to use Ithat allow for 8reater participatory and matched giving) happen also to be tools that we are embracing as part of our work in other areas and activitie5- such as the use of crowdfundin8 platforrns. These didn't exist when we began our relationship with BA, but now they are becoming part of each of our futures. The fund will be wound up overthe coming I to 2 years. In theyear to August 2023 we continued to support the Pumlumon Project. though no dirert 8rant was defrayed.

Llo¢uSwJn Envef(pe ID.. 1A051E1746W741-8É52*FBDeoEG24A6 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRECTORS, REPORTI YEAR ENDED 31 AUGUST 2023 Pumlumon Project - Montgomery Wildlife Trust From 2007 to 2012 Montgomery Wildlife Trust piloted a number of intervention5, scientifically led and based on a combination of behaviour change and land use. The outputs of their pilots were developed into a structured approach where the aim is to deliver radical new ways in which the landscapes of upland Britain can work. With their work the Trusvs ambition is to build a pioneering an upland economy built around wildlife, ecology and long- term sustalnability- The projett is based in the Cambrian Mountains and is named after a mountain in the area. The area is about the same size as Birmin8ham and it includes the sources and catchments for both the rivers Severn and Wye. Working with landowners and farmers, and based on 8 elements, the project takes a holistic approach to helping restore nature, increase carbon Sequestration potential. reduce flooding impact further downstream. and all at the same time as reviving rural economies. Element One- Carbon Storage By restoring peat bogs and their significant ability to sequester carbon. overall capture is increased. In the 19505 and 19605 many of these bo8s were drained to reclaim land for grazing. Reversing this by blockin8 up drainage systems and supporting the sphagnum moss to re-establish can result in up to 500kg C02 per hertare per year being sequestered. Element Two- Reconnecting habltats Climate change is leading to more plants ènd animals becomin8 trapped in fragmented landscapes. Thi5 element 15 ¢reatin8 8reen corridor5 to reconnect disconnerted populations. With biodiversity so crucial to healthy ecosystems this work is needed to ensure that ecosystem collapse is avoided. Element Three- Storing flo¢xl water Not only is it now widely accepted that there is a dirert link between upland land management and the severity of lowland floodin& but at least three million people also depend on water which falls as rain in the Pumlumon Project area. Ditch blocking increased the water-holding capability of a 1.913 hectare catchment area. raising the water table by an average five centimetres and retaining an extra 155 million litres.

DotyJ￿n Envekye ID.. 1AQ51E17-l6￿7414ESz.FFeQ8[￿C24AG PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRE￿oR5. REPORT) YEAR ENDED 31 AUGUST 2023 Pumlumon Project - Montgomery Wildlife Trust ( ...continued) Element Four- Brfn8in8 back wildlife The key is to understand a habitays historical makeup, and manage the landscape to recreate it. A reserve at Llyn Bugeilyn is the home of the elusive black-finned brown trout. Ditches were cut into the bog5 around this lake too. In 2011 we blocked them to create a. string of new pools and wetland area5. Since then we've seen è reappearance of amphibians, and signs of water voles and otters Element Five- Changln8 8razlng patterns There are rnony ways to achieve this. One example is to Testore the kind of 8razing which moulded the uplands for thousands of years. Bringing cattle back to the hi115 would restore the diversity of the grasslandi providing more and better niches for species. New evidence also shows that if more cattle were grazed instead of sheep {which have been stocked at increasin8 density in recent yearsl, at moderate intenstties and at the appropriate time of year, problems of comparted 5011 can be alleviated. Element Six- Recreating habitats Even where large areas of strategically important habitat have been lost. they can be put back. It just takes time. So far the project has altered an area equal to 115 football pitches. Future plans are far more extensive and will target gullies, hedgerows, river5 and stream5, woodland. bogs and wetlands. By recreating lost habitats natural processes can be allowed to re-establish themselves. Element Seven- Developing green tourism By developing sustainable tourism such as walkin& kayakin& mountain biking and wildlife watching, increasing visitor spend and len8thening the tourism season can be achieved. Visitor surveys.show that people who already visit the area for a holiday or day trip do so to experience the landscape, scenery and wildlife. By undertaking work in this project these. natural assets will be secured and enhanced. Strengthening this crncial sertor for the local economy. Element Eight- Involving communities This project involves landowners, farmers. and communities, therefore it can only succeed if enough local people want it to happen. That's why a crucial element is actively involving communities within the area. A large number of local volunteers help with ditch blockin& fencin& tree plantin& surveyin& species conservation work and talking to visitors. This also has benefits for those volunteers, as the project delivers necessary training and volunteers get to practice their new skills. This can be valuable for some volunteers who are seeking work. Some have gone on to part time or full time employment. io

Docusgn EThv**10." 1AO51E17466B47414E52Mt￿cE￿i PURE LEAPFROG ACOMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT {INCLUDING DIRECTORS, REPORT) YEAR ENDED 31 AUGUST 2023 Carbon Offsetting. . We work with businesses that show they are sincerefy engaged in measuring and reducing their carbon emissions. We only work with businesses that dernonstrate a commttment to reducin8 their impact on the climate, and who are serious about workin8 Wtth us on a lon8 term basis. In return. they benefit from ongoing Insight and updates on developments in carbon markets, standards and re8ulat40n. and credit availability. Through working with u5 they also have the opportunity to upskill their own staff on carbon. literacy. We also provide businesses with online offsetting calculators and tools, so they can offer offsetting options to their end users in respect of their impact too. For their unmitigable emissions, we source high-quality. high-lntegrlty carbon credits. When sourcing credits we look for projects that also generate significant 5UStainable co-beneffts for local communities, with particular interest in those also dellverin8 at least following Sustainable Development Goals ISDGs} 4[￿,. 13 We work with project developers where we can build long term relationships and who have a stron8 local presence in the areas in which their projerts operate. Iri 2022-23 we sourced credits for seven bu5ine55e5 and their customers. We procured credits that resulted in 6,159 tonnes of Coze avoided. This was across seven projects in six different countries. All of our supplied projects were of four different projert types: Land Use and Forestry. Renewables. Cookstoves, and Blue Carbon. Collectively the thirteen different projects sourced also delivered a huge range of co-benefits. accounting for all except fNe of the seventeen SDGS.

DocuSvJn En¥eb]pe Itl. 1AOSIE17466￿74t4ES2￿F8D0cEC2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT {INCLUDING DIRE￿oRs, REPORT} YEAR ENDED 31 AUGUST 2023 Corbon ond SDGS b pro ect type f"project; ' Land Use and Forestry Cole avoided Ctr.benefrt. s covered. 1,309 12-; 13 Rènewables 3.172 Cookstoves 13 Blue ¢arbon 797 '.¥4 10 12

Do¢uSyn Envelope ￿).. 1A051E17466PA7414EWFBo￿C2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEE5' REPORT (INCLUDING DIRECTORS, REPORTI YEAR ENDED 31 AUGUST 2023 Carbon (ynd 5DGs by country Tonnes.:C02e owded Cambodia 117 13 Cote ¢Ylvoire 3.172 13 Ethiopia 657 13 Pakistan 797 13

Do￿s￿j￿ Env¢ky8 ID.. IA051E17466PA741-8E52*F8D80EC2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRECTORS, REPORTI YEAR ENDED 31 AUGUST 2023 Corbon ond SDGs by country continued Country Tonnes CO2e avoided SDGS covered Peru 535 Ni 10 12 13 Sudan 12 13 tyii 14

Docu&9n Enwkpe ID.. 1A051E174e6￿7414E52￿F8OaOEc2￿ PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT {INCLUDING DIRECTORS, REPORTI YEAR ENDED 31 AUGUST 2023 Research and Development Our Innovatlon Programme saw a number of projerts ending during the previous year. The number of live ongoing projects in 2022-23 was three, plus one new project that be8an in the year but was not economically active. Our spend, which was largely grant supported. was £90.175 across these projects. Each project encompa55e5 at least one of the following thernes". Ener8y Carbon Sustainable Finance Natural Capltal 8uildings We aim at creating exploitable outputs from our innovation work, so that significant levels of our output can be leveraged into new impact-oriented product5 Qr services. We specialise in designin8 these in Such a way to that they are suitable for ownershiploperation by Community Enterprises, Charities. and other third sector, not for profrt, purpose led organisations This way we can target social impact as well as envlronmental. Live R&D projerts during the yeor.. Live R&D ro ects durin the eor Rewire £2,244, Funded by UKRI In(m￿trial Stratw Challry Fuwwj & Pure Leapfrog A Smart Local Energy System ISLES) design projecL Focussing on Warrington in NW England. Undertaking a deep feasilylity and design exercise to estsblish a route to C￿ting a SLES. Creating new business models for services deliverable under SLES either today or developable as SLES develop in years to come. looking at ways in which these new models can be financed, and looking at how significant amowrts of capitsl can be mobilised to new projects on a regional basis. Ener8y Sustainable Finance Mersey Biochar £67.470, Funded by The Departw*nt fw Ewwsecurity Net Zero A Demonstrator facility to establish a novel Greenhouse Gas Removal plant suitable for communitv ownership. with an initial target of £2001tonne cost for removing CO2e. This project combiftes multiple revenue streams to.meet the £2￿/tOnne target. These streams are made up from Carbon. Biochar. Heat and Ener￿. Ener8y Carbon Sustainable Finance Natural Capital 15

OocuSYJn Envekpe ￿.. 1A051E1746684741-8E524FBD8OEC2 PURE LEAPFRQG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRECTORS. REPORT) YEAR ENDED 31 AUGUST 2023 Live R&D p.rojects durAng the year continued Decent Homes £20,461, Funded by I)j￿ertOn Trust An end to end solution incorporating finance and installation of improvements to raise privately owned homes, that fall beneath it. to the Decent Home standard. Using novel financin8 mechanisms and route to market. it is designed to be accessible and afftirdable for homeowners. seeking to improve the thermal comfort, safety and security of their hornes. "' y5tainable..Financé .Puildings_:: Retrofit For Lets £21'1.856 secured £0 spent in ￿ar. F￿ded North¥￿￿ Netzero Hub aThl t)epattM)tfor Ener8y Security and Net Market testing an integrated approach to persuading private dornestic landlords to retrofit their portfolios. Incorporating an evidence based busine55 case demonstrating landlord benefit,'an interactive di8ltal tool to demonstrate what enerbry efficiency measures they could undertake and.what the impact would be. and novel finance mechanismsto bringdown the c05t of undertaking retrofit projerts. Sustainable Finance. ".8uildings 16

Do¢uSvdn Envew ID.. 1AO51E1746W741-BE524FBDBfE￿4I6 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRECTORS. REPORTI YEAR ENDED 31 AUGUST 2023 Community Ener8V Durin8 the year we have en8a8ed and worked with several partners in different ways. We have been working with two communities especlally. supporting them to build capacity and understandin8 of workin8 in the Community Energy space. These have been In the North East of England and Central England. We have also enga8ed with four ecclesiastical Institutlons that are working to address their emi55ions across a variety of building types. We believe Cornmunity Energy could be a particularly 8ood model for supporting these efforts due to churches havin8 Stron8 (if sornetimes 5rnalll and ready made communities. Our Local Ener8y Accelerator Platform {LEAPI 511PPQrted three groups throu8h the provision of high quality legal templates to help create bankable projects. and the assets we own directly on a number of rooftops in South Wales continued to generate free electricity for the occupants of those homes. community groups. and busine55e5. Attime of writin& the Rural Communrty Energy Fund. that finished in 2019, ha5 been reimaglned and reinstated.by DESNZ as a more inclusive Community Energy Fund for two years from 2023-24.'A Call for Evidence is also out. gathering evidence of the barriers to community energy. In respect of the new Communty Energy Fund, Pure Leapfro& has had recent success in partnerlng with a community energrf group and project that has been awarded fundin8 in North West England. and has applied as a partner on a further three projects in various parts of the country. . We have also noticed that reglonal projects ￿nded by DESNZ ore becoming more place based, community based. and looking to include elements of community finance in their solutions. We belleve that these are good signs for community ener￿. and look forward to see how this develop5 further. 17

DwSKJn Env¢W D. 1A051E1746W741-BE52fflC*iEC24A6 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRE￿oR5. REPORTI YEAR ENDED 31 AUGUST 2023 Financial review A5 set out in the compan￿5 statement of financial activities. the total charitvs incomin8 resources during the year ended 3151 August 2023 was £261,81712022: 486,5381 while the chariws outgoing resources were £281.95612022: £527.2291. Reserves The trustees have a target policy of maintalnin8 3-6 months of core operating costs. as unrestricted cash reserves in the charity- This equates to roughly £IOOk- £200k. This is to ensure working capital and free cash and create a necessary contingency for any unforeseen events..The trustees continue to focus on building up reserves from their current levels. and.take comfort from the fact that there are tan8ible fixed assets that could be quickly. realised if necessary in lieu of such cash reserves at this time- please see further comments relating to the financial statements. note 14 below. Net funds of £258,17512022- £278.3141 were held atthe end ofthe year. £174,39212022: £174.3811 of this balance related to restricted fund5 held primarily for future 8rants or loans to UK projects. At 31 August 2023. the unrestricted reserrfes in the charity amounted to £83,78312022: £103.9331. As per Note 11 In the financial statements, the charity also owns revenue generating assets that based on future cash flows have a net present value of around £123.oix). This net present value cannot be Stated in the accounts due to accountin8 rules. however the trustees believe that the valuation of these assets net of depreciation and outstandin8 payments would result in a further circa £80.000 of unrestricted income. The trustees take comfort from the additional cash liquidating these assets could yield. and remain ready to do so with potential buyers already previously engaged if needed. Economic an.d Political Context and Outlook At time of writing a general has been called for earfy July 2024. It is widely expected that there wlll be change of adminlstration. though of course, not guaranteed. Pure Leapfro8 doe5 not take a view on this. other than to prepare for the possibility of change from a Conservative to a Labour government, and to understand what that may mean. Labour has made a number of pledges in the past couple of years, that it has revised in more recent months, citing a changing economic context and lack of affordability- The big ticket item in this respect is the £28bn pledge to invest in the 'Green Econom￿. Labour is still committed to its intention to create a Great British Energy company, that will support. drive and possibly invest in, large scale renewables projects. Not a great deal of detail is known at this stage. other than it represents a commitment to developing more renewables capacity. The Local Energy Bill mayfind it has 3 more favourable context, which could be very good for Community Energy. and we may even expect to see the Minimum Energy Efficiency Standards on private rentals being re- instated. 18

Dog)Sign En¥glcpg ID.. IAo51E17466U7414E52￿8￿8(EC2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRECTORS, REPORTI YEAR ENDED 31 AUGUST 2023 Whilst all of this could si8nal wide support for developing new projects. working with communities and a helpful environment in which to keep supporting landlords to retrofit their propertie5, it is likely to be against an ongoingtough economic backdrop. Fuel poverty is expected to remaln a stubborn problem, and so our work in securing a more Just Transition is valuable work. Even though we have seen drops in the OfGern price cap5 for domestic ener8y, which is welcome, it stlll leaves far too many households unable to properly heat their homes. Overall. thi5 is little different to the operating context we have known for the past couple of years. Our costs, like those of many, have increased. Our ask in grant funding applications has therefore also increased. Our success rate in making these bids is unchanged. A si8nificant part of our work in finance is lookin8 to reduce finance cost5 for projerts and budlings inteThentions. If we can achieve some of our goals there. then we should start to be able to deliver more value to more partners, and demonstrate that despite the higher cost environment. there are still strong business cases for community owned renewables generation, retrofit. LED lighting 5cheme5 and so on. Regardless of what is happeninE in Westminster. the mood and sentiment in the country 15 clearly tilting evermore towards people, communities and companies wishing to decarbonise more quickly. ènd seekin8 SUPPOrt in how to do so. 19

Qowsgn Erwelope10.. 1A051E17-166PA7414E52fft08￿4AG PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT {INCLUDING DIRECtORS' REPORT) YEAR ENDED 31 AUGUST 2023 Going concern The Trustee5 have considered the business plans and forecasts for the Charity {a5 well a5 the additional value that is likely to accrue from renewable energy assetslsee note 111 and believe that the base case is very likely to be achieved. We have secured grant income for a year ahead. and as per our reserves policy are plannin8 to increase those. We have also had borrowin8 facilities in the past and would consider seekin8 them again if needed. Therefore. in the Trustees. judgement, the Charity.continues to be a going concern. Significant Events & Risk We predict to grow our unrestrirted reserves. maintain a strong and growing team of dedicated staff; a network of significant supporter5 across professional services (principally legal and financiall, academia, other ali8ned third sector or8anisations, innovative low carbon tech companies. community energy. and local authorities. As discussed above. an upcoming 8eneral election will be a significant event and it 15 widely experted to bring a new adminislration Into 8ovemment. We are well sighted on policie5 that may be beneficial to our sector and perceive little risk from such a change. We are a growing or8anisation and expect to increase our headcount well into double digits by the end of this calendar year120241. There will be risk around needin8 to increase cashflow and reserves. Both will need to be carefully managed: as will capacity, resourcing and productivity. We are already starting to create the tools. processes and reporting to Support thi5. There were no reportable events within. or suffered by the charity during the year. Structure, governance and management Pure Leapfro8 is 8overned by a Memorandum and Article5 of Association, constituted 11 August 2005. It is a re8iStered charity. no. 1112249 regulated by the Charitie5 Cornmi5sion. Pure Leapfrog is a limited company* no. 05534395. The responsibilitie5 of the Trustees and rnanagementlstaff are set out in the 8oard chorter and .delegated authorities policy. Trustees and staff are recruited through an open advertisement process. There have been no new Trustees through the year. A sutte of business and human resource policies guide the aclivblies of staff. Charity staff pay is set based on publicly available benchmarking information and research into current term5. Chief Executive and Company Secretary The Chief Executive durin8 this reporting period was Paul Gilligan, WI￿ remains in post at time of writing and filing. 20

Docusiw Envehp¢ ID.. IAO51E17-16W4741￿2-FFBDO(￿C2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE TRUSTEES, REPORT (INCLUDING DIRE￿oRs, REPORT) YEAR ENDED 31 AUGUST 2023 The Company Secretary duringthe year wa5 Barbara Sanderson. Since year end Barbara has moved from Pure Leapfrog. There are plans to fill the Company Secretary role with an internal appointment. The Team At 31# August 2023 Pure Leapfrog had a staff of four people. At time of writingthe team is a team of six, with two further people in active recruitment and three more roles being developed. Overall. the team benefits from over fifty years, experience in renewables. energy Systems, carbon. climate change. finance and le8al related fields. 21

Dor￿S￿n En¥Jw1tr. 1A051E17466N7414E52-FFPD80EC24P PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE STATEMENT OF TRU5TEES' RESPONSIBILITIES YEAR ENDED 31 AUGUST 2023 The trustees {who are also directors of Pure Leapfrog for the purposes of company lawl are responsible for preparing the Trustees. Annual Report and financial statements in occordance with applicable law and Unlted Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Prarticel. company.law requires the trustees to prepare financlal statements for each financial year, which give a true and fair view of the state of affairs of the chartable 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". Select suitable accounting policies and then apply them consiStently Observe the methods and prlnclples in the Charities SORP 2019 IFRS 102): Make judgements and estimates that are reasonable and prudent: State whether applicable UK Accounting Standards have been followed, 5ubjert to any material departures disclosed and explained in the financial statements: Prepare the financial statements on the going concern basis unle55 it is inappropriate to pre5urne that the charitable company will continue on operation. The trustees are responsible for the maintenance arod Integrity of the corporate and financial information Included on the charitable compan(s webslte. LeBislatlon in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. Approved by the board 28 May 2024 signed Graeme Ludlow (Chairl

Oow&gn Envesw ID.. 1A051E1746W7414E52*F8DXErA PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF PURE LEAPFROG YEAR ENDED 31 AUGUST 2023 Opinion We have audited the financial statements of Pure Leapfro8 (the 'charitable companrf) for the year ended 31 August 2023 which comprise the statement of financial activities, the balance sheet. the principal accountin8 policies and the notes to the financial statements. The financial reportin8 framework that has been applied in their preparation 15 applicable law and United Kin8dom Accounting Standards, including Financial Reporting Standard 102 The Financial Reportin8 Standard applicable in the UK and Republic of Ireland, (United Kingdorn Generally Accepted Accountin8 Practice}. In our opinion, the financial statements: ' 8ive a true and fair view of the state of the charitable compan￿$ affairs as at 31 August 2023 and of its income arbd expenditure for the year then ended: have been properly prepared in accordance with United Kin8dom Generally Accepted Accounting Practice: and 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 IUKI IISAS (UK)} and applicable law. Qur responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial 5tatement5 section of our report. We are independent of the charitable company in accordance with the ethical requirernents that are relevant to our audit of the financial statements in the UK, includin8.the FRCS Ethical Standard. and we have fulfilled.our other ethical responsibilities in accordance with these requirements. We believe that the audlt evidence we have obtained i5"sufficient and appmpriate to provide a basis for our opinion. Conclusions relating to going concern In auditlng 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. 8a5ed on the work we have performed. we have not identified any material uncertainties relating'to events or conditions that. indiwdually or collertively. may cast significant doubt on the charitable companws abilityto continue as a 80ingconcern 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 respert to going concem are described in the relevant sections of thi5 report. 23

Do¢u&'gn Enveknpe Kl.. IA051E17-46W7414E52-FFBD6W24A6 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE INDEPENDENT AUDITOR'S REPORTTO THE MEMBERS OF PURE LEAPFROG YEAR ENDED 31 AUGUST 2023 Other information The other inforniation comprises the informatlon included in the annual report. other than the financial statements and our auditorfs report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and. except to the extent otherwise explicitly stated in our report. we do not express any form of a55urance conclusion thereon. Our responsibilily is to read the other information and, in doing so, cornsider whether the other Information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or othenvise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements. we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed. we conclude that there15 a material misstatement of thi5 Other information, we are required to report that fact. We have nothin8 to report in this regard. Opinions on other matter5 prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit: the information 8iven 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 COD515tent with the financial statements- and the trustees. report, which is also the dirertor< report for the purposes of company law. has been prepared in accordance with applicable legal requirements. Matters on which we are required to report byException In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit. we have not identified material misstatements in the trustees. report. We have nothin8 to report in respect of the following matters in relation to which th.e Companies Act 2006 requires us to report to you if. in our opinion- .adequate accountin8 records have not been kept, or retums adequate for our audit have not been received from branches not visited by us: or the financial staternents are not in agreement with the accounting records and retums; or certain disclosures of trustees. remuneiation specified by law are not made- or we have not received all the information and explanations we require for our audit. 24

Dowwn EAvdtye ID". lA051E17466￿741-BE52-FF￿j￿24I PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE INDEPENDENT AUDITOR'S REPORTTO THE MEMBERS OF PURE LEAPFROG YEAR ENDED 31 AUGUST 2023 Responsibilities of trustees As explained more fvlly in the trustee< responsibTlities statement, the trustees (who are also the directors of the charitable company ft>r the purposes of company lawl 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 tr115tees are responsible for assessing the charitable companrfs ability to continue as a going concern. disclosin& as applicable, matters related to going concem and using the going concern basis of accounting unless the trustees either Intend to liquidate the charitable company or to cease operations. or have no realistic alternative but to do so. Auditor's 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 oplnion. 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 misstaternent 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 economir decisions of users taken on the basis of these financial statements. Irregularities. includin8 fraud, are instances of non-compliance with laws and regulation5. We design procedures in line with our responsibilities. outlined above. to detert material rni55tatements in respect of irregularities. including fraud. The extent to which our procedures are capable of detecting irreguloritie5, including fraud is detailed below- Ihe en8a8ement team collertively had the appropriate competence, capabilities and skills to identify or reco8nise non-compliance with applicable laws and re8ulotions- we obtained an understanding of the legal and regulatory frameworks that are applicable to the charity and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework (Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable ITr the Unbted Kingdom and Republic of Ireland (FRS 1021. the Companies Act 2006 and the Charities Att 2011) and those that relate to data protection (General Data Protertion Regulation). and identified laws and regulations were communicated within the audit team regularly and the team renlained alert to instances of non-compliance throughout the audrt. 25

Or￿S￿n Envelope ID." 1AOS1E17466PA7414E52￿FBD8C￿rA￿48 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE INDEPENDENT AUDITOR'S REPORTTO THE MEMBERS OF PURE LEAPFROG YEAR ENDED 31 AUGUST 2023 Auditor's respor)sibilities for the audit of the fin3ncial statements (continued) We assessed the susceptibility of the charitable companrf5 financial statements to material misstatement. includin8 obtaining an understanding of how fraud might occur. by= making enquiries of key manaBernent as to where they considered there was susceptibility to fraud. their knowled8e of artual, suspected and alle8ed fraud: and 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 bia5 and override of controls. we: performed analytical procedures to identify any unusual or unexpected relationships; tested and reviewed journal entrles to identify unusual traDsactions." tested the authorisation of expenditure, ensurin8 expenditure was approved in line with the charitable compan￿$ financial procedures: assessed whether judgements and assumptions made in determining the accountin8 estimates were indicative of potential bias: and Inve5tl8ated the rationale behind si8nificant or unusual transactions. In response to the risk of irregularities and non-compliance with and regulations, we designed procedures which included. but were not limited to: agreeing financial statement disckisures to undertyin8 SUPPOrting documentatlon: reviewing the minutes of meetin8s of those charged with governance; and enquirin8 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 awa￿ 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 Correspondence. if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. A further description of our responsibilities is available on the Financial Reporting Council's website at wbvw.frc.org.uvauditorsre5ponsibilities. This description fonns part of our auditorfs report. 26

Dor￿s￿ En%*bJpe10.. 1A051E1746W74l￿S2￿BoOCEC2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF PURE LEAPFROG YEAR ENDED 31 AUGUST 2023 Use of our report This report is made solety to the charitable companvs members. as a body. in accordan¢e with Chapter 3 of Part 16 of the Companies Act 2(K)6. 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 auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibilityto anyone other than the charitable company and the charitable company's members as body. for our audit work. for this report. or for the opinions we have formed. Shachi Blakemore (Senior Stalutory Auditor) For and on behalf of Buzzacott LLP, Statutory Auditor 130 Wood Street London EC2V 6DL 29 May 2024 27

DorJJSvJn En¥dopg10.. IAOSIE17-16W741-8E52-FF8D8CEC2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE STATEMENT OF FINANCIAL ACTIVITIES YEAR ENDED 31 AUGUST 2023 Totsl Funds 2023 Total Funds 2022 Unrnstrl￿wd R•strict¢d Fund¥ Funds Unr•striGt•d R¢strict•d Funds Funds Inco Other trading advllies Donations Charilable advities Inveslment income Total In¢om• 110,501 219.849 170 330.520 80.526 248 155.606 160.887 436 261.617 93.785 172 486,538 106.211 156.018 Expenthlur• on Charitable activilies 191,029 90.927 281.956 136,199 391.030 527,229 Total Expendltuffo 191,029 90.927 281.956 136.199 391.030 527,229 Net {Exp6nditureylneAime (35,4231 15.284, 12(),139) 160,5101 14(),691) Transf9rs btheen furKIs 15,273 {15.273) {46.047) Net movement In funds 11 120.139) 65.866 j106.557) [40.6911 Reconclllallon of fund8 Fund balan￿S brought fcyward 103.933 278 314 319005 Totsl funds carrl¢d fonvard 83,783 174.392 256,175 103,933 174,381 278,314 Al ofthe above aTh)unts rdate to continuing acliwbes. 28

DocuSvJn Envekye ID.. 1AO51E17466EA741-8E52*F8DeOEC24A6 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE BALANCE SHEET YEAR ENDED 31 AUGUST 2023 2023 2022. Flxed assets Tangiblg assets Investments 34,373 101 34.474 37.706 101 37,807 12 Curr•nt as$•ts Debtor5 Cash at bank and in hand 13 138.496 177,252 315,748 154,671 222.386 377.057 Credltors: amounts falllng whhln one year 64,547 199.050> Nel current a$s•ts 251.201 278,007 Totsl ass•ts ¢urr•nt liabiliti 285,675 315.814 Credltors: amounts falllng du• after m than ono y•ar 15 (27,500) {37.500) N•t Ass•ls 258.175 278.314 Funds Restrieled inccrfne funds Unrestriclgj inccrne fvrKIs 17 18 174.392, 174,381 103.933 278,314 258.175 These financial statements were approved by the directors on 28th May 2024 and are signed on their behalf by: Graeme Ludlow (Chairl Company Rrflstratlon Number. 0553439

Oo¢uSvJn Enveknpe Tr. 1A051E17-466PA7414ES2mLWEC2445 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 . l. Accounting policies The principal accountin8 policies applied in the preparation of these financial staternents are set out below. These policies have been consistently applied to all years presented unless otherwise stated. General Infomiatlon and basis of prnparallon Pure Leapfrog is a p.rivate company limited by guaTrntee re8iStered in England and Wales. In the event of the charity bein8 wound up, the liability in respect of the 8uarantee is limited to £1 per member of the charity. The address of the registered office 15 given in the charity infom)ation on pa8e l of these financial statements. The charity con5titute5 a public benefit entity a5 defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reportin8 by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reportin8 Standard applicable in the.UK and Republic of Ireland IFRS 102). the Financial Reportin8 Standard applicable in the United Kingdom and Republic of Ireland (FRS 102}. the Charities Act 2011 and the Companies Act 2006. The financial statements are prepared under the historical cost convention. modified to include certain items at fair value. The financial statements are prepared in sterling which is the functional currency of the charity and rounded to the nearest pound. Going ¢on¢ern The financial statements have been prepared on the goin8 concern basis. The.trustees have considered ' the business plan and forecasts for the Charity and believe that the base case should be achieved and provides a strong basis for our going concern confirmation. The Board also notes the additional value that is likely lo accrue from Renewable energy assets (see note 11). Based on the information available forthe charityand the ongoing support from thelrfinance provider5. the trustees are satisfied that the charity remalns a going concern. Charitable fund5 Unrestricted funds are available for use at the discretion of the trustees in furtherance of the 8eneral objectives of the charity-. Restricted funds are fund5 which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for parti¢ular.purposes. The cost of raising and administering such funds is charged against the specific fund. The purpose and use of each restricted fund is set ovt in the notes to the financial statements. 30

DosuSTrJn Erwekve ID.. 1A051E17466PA7414E52ffto$0E￿4A6 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 Income recognition All income is Included In the Statement of Flnanclal Activlties {SOFA} v4hen the charlty is legally entitled to the Income after any perforniance conditions have been met, the amount can be measured reliablv and it is probable that the income will be received. If there are conditions attached to donations then incorne is deferred until those conditions are fully met or the fulfilment of ih05e conditions is within the control of the charity and it is probable that they will be fulfilled. No income is recognised when the charity arts as agent and purchases carbon credits for other companies. Any fee charged for the service is recognised as income. The charity receives both corporate and individual donations. These are recognised once the amount has been received or entitlement confirmed. The income and expenditure for these donations will be classified as either restricted or unrestricted funds within the accounts dependent on the underlying conditions attached. Expenditure recognltlon Expenditure is recognised on an accrua15 basis and has been classified under headin85 that a8gre8ate all costs related to the category. Expenditure is recognised when there is a legal obligation to mak8 payments to third partie5, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. It can be categorised under the fo15owing headings: Expenditure on charltable artivities Includes all costs associated with the provi5i0n of services. Support costs Support costs are those ihat assisl the work of the charity but do not directly represent charitable activities and include office costs, governance costs and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity and include project management carried out at Headquarters. - The analysis of these costs 15 included in note 7. Governance costs Governance.costs comprise all costs involving the public accountability of the charity and its compliance with regulation and 8ood practice. These costs include costs related to the statutory audit. 31

Docts&'9n En¥el¥e ID". 1AOSIE17466847414E52-FFBD&%C24• PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS Y.EAR ENDED 31 AUGUST 2023 Tan8lble fixed assets Tangible fixed a55ets are stated at cost (or deemed cost} or valuatlon less accumulated depreciation and accumulated impairment losses. Cost includes costs direttly attributable to making the asset capable of operating as intended. Depreciation is provided on all tanglble fixed assets, at rates calculated to write off the cost, le55 estlmated residual value. of each asset on a systematic basis over its experted useful life as follows: Computer equipment Fixture5 and fittings Energy 8enerating assets over 3 years over 3 - 5 years over 20 years Impalrment of fixed assets At each reporting end date, the charity reviews the carrying amounts of its tangible fixed assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists. the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss. if any. Basicfinan¢lolassets Basic financial assets. which include debtors and cash and bank balance5. are. initially measured at transaction prlce including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction. where the transartion is measured at the present value of the future receipts discounted at a market rate o.f interest. Purchase of carbon credits Carbon credit5 purchased on behalf of other companie5 are not accounted for where the Charity acts as agent for these companies. Impalmient offinanclalassets Financial assets. other than those held at fair value throu8h income and expenditure, are assessed for indicators of impairment at each reportin8 date. Financial assets are impaired where there is objective ewdence that, as a result of one or more events that occurred after the initial recognition of the financial asset. the estimated future cash flows have been affected. If an asset is impaired, the impairrnent loss is the drfference between the carryin8 amount and the present value of the estimated cash flows discounted at the assets origlnal effective interest rate. The impainnent Ioss is recognised in income and expenditure. If there is a decrease in the impalrment loss arising from an event occurring after the impairment was recognised, the impaiment is reversed. The reversal is such that the current carrying amount does not 32

Docu&w En¥ekge ID: 1A0S1E17466PA7414E52mDgLEC2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 exceed what the carryin8 amount would have been had the impairment not previously been recognised. The impairment reversal Is recognised in income and expenditure. Derecognltlon offlnandol assets ' Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire, or when it transfers the financial a55et and substantially all the risks and rewards of ownership to another entity. BaslcAlnonclol Ilobllltles Basic financial liabilities. including creditors are initially recognised at transartion price unless the arrangement constitutes'a financing transaction. where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Trade payables are obli8ation5 to pay for 8oods or service5 that have been acquired in the ordinary course of oper.ations from suppliers. Accounts payable are classified as current liabilitie5 if payment is due within one year or less. If not. they are presented as non<urrent liabilities. Trade payable5 are recognised initially at transaction price and subsequently measured at amortised c05t using the effective interest rate method. ClosslAlcatlon offlnonclolllabllltles Financial liabilities and equity instruments are classlfied accordlng to the substance of the contractual arrangements entered into. An equity instrument Is any contract that evidences a resldual interest in the assets of the charity after dedurting all of its Ilabllltles. Derecognltlon offinonciol Ilobilitle5 Financial liabililies are derecognised when the charitrfs contractual obligations expire or are discharged or cancelled. Provlslons Provisions are recognised when the charity has an obligation at the balance Sheet dote as a result of a past event. it is probable that an outflow of economic beneffts will be required in settlement and the amount can be reliably estimated. 33

En%*l)pe ID.. 1A05lE17-466B4741￿Es2￿FBD80E￿L PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 Ernployee and retlrement benefits The costs of short-term employee beneffts are retognised as a liabllity and an expense, unless those costs are required to be rfeco8nised as part of the c05t of stock or fixed assets. The cost of any unused holiday entitlement is recognlsed Sn the period in whlch the ernployee's service5 are received. Termlnation beneftts are recognised immediately as an expense when the group and the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits. Tax The company is a registered charity and is reco8nised as such by HMRC for taxation purposes. As a result there is no liability to corporation tax on its charitable income. Statement of cashflty•VS The financial statements do not include a statement of cashflows because the charity is considered a small charity and it is therefore exempt from the requirement to prepare such a statement under the charity SORP FRSIO2. 2. Judgements and key s¢)urces of estlmatlon uncertalnty In the application of the charitvs accounting policies, the directors are required to rnake judgements, estimates and assumptions about the carrying amount of assets and liabilities that 3re not readily apparent from other sources. The estimates and associated assumptlons are based on historical experience and other fartors that are considered to be relevant. Actual results may differ from these estimates. Th'e estimates and undedying assumptions are reviewed on an on80in8 basis. Revisions to accountlng estimates are reco8nised in the period in which the estimate is revised where the revision affects only that perlod, or in the period of the revision and f￿Ure periods where the revision affects both current and future periods. 34

op￿SIgn En%*k¥• ID.. 1A051El7466B4741￿524FBDO0EC2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 3.1 AUGUST 2023 3. Donatlons Total Unvestricled Restricted Funds Unr•stricted RèstriGt•d Funds Funds 2023 Funds Funds Total Fund$ 2022 Indmdual donations Oonalions un¢Jer Gift 11,416 1,269 12.685 5.261 35,342 40,603 C¢xpcKate donations cal￿.0￿Setts'n9 Fees Philanthroplc gra)ts 13.337 13.337 13.80S 70.159 83,964 ' 47.079 47.079 24.393 24.393 25,662 100.494 43.165 43.165 s.000 172,732 74.832 62,231 110,501 4. Income frorn charltable actlvities Totsl un￿trICted Restrlct•d Funds Unrnslrfrt￿ R•slrlctod Funds Funds 2023 Funds Funds Total Funds 2022 Consunancy and 71.856 8,670 80.526 80.361 152.217 8.670 80.361 160.887 90.790 2.995 93.785 219.849 310.639 2.995 219.849 313.634 Olher ir￿rne 5. Income from Inve5trnents Total Unrnstrlded Restrl¢ted Funds Unrestrlcted Rostrlctsd. Funds Funds 2023 Funds Funds Total Fund$ 2022 Bank interest Loan interest 182 247 253 436 164 170 164 172 35

00￿$￿4n Envelopeltr. 1Aos1E1746￿74l￿Es2-FF9px£C2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 6.. Analysis of charitable artivities Unrestrlcted Restrkled Total unrn9tr1￿d Rèstrfctsd Funds Fund$ 2023 Funds Funds T¢)tal 2022 Purthase ofcartK credits 8,816 IS.4￿) 8.816 16,120 35.368 23.100 35.368 31,086 Other OperatY￿ C¥)sts Grants and related projects Support costs {note 71 Loan interest BNJ Soaety Capitsl Staff Costs (note 101 Govemance costs 720 1.808 10.037 1.808 12.652 21.380 15.592 75.ClSO 20,162 96.380 35,754 2.615 201 427 236,419 312,180 132,151 84.973 217.124 75,761 81 22,817 2.619 25.436 15,254 780 16.034 191.029 90.927 281.956 136.199 391.030 527.229 7; Artalysi5 of 5UPPOrt costs Ur￿0$trIcted Rgstrlcted Tot4 Unre$trlcted Restrlcted Funds Funds 2023 Fund$ Funds Total 2Q22" Office costs IT and infrastructure. Membership and subwpts'ons Ac￿untIng fees Travel and Sub￿Stence. Bank charges Loan Inleresl MarketingladvertisiTrJ Depreuat 2,405 913 3.318 6,252 1.036 899 137 3.254 3236 714 3.459 6.695 714 1.778 1,678 1,073 (4.504) 1.303 {rJ) 3.081 6.614 1,105 8.710 1,718 310 5.557 4.763 35,754 613 310 557 4.763 15.592 1.073 (4.504} 3.333 12,652 10,037 2,61S 20.162 36

DoGuSv4n En¥elop• ￿.. 1A051E17-46W741-8E524FBD8LW2416 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 8. Analysis of governance costs Unrestricted Reslrid•d Funds Funds Totsl Unr•$trf¢ted Restrided 2023 Funds Fund5 Total 2022 Current year audit fees Piior year audil fees Insurance costs Professicthl fees 14,952 5.874 1.991 2.244 17,196 5.874 1.991 375 25.436 12.528 13.308 2.726 2,726 375 2.619 22.817 15.254 16,034 9. Net lexpendilure) / Income for the year Thls Is stated after char8ln8: 2023 2022 Deprec4ation Audilorfs retr￿nerati1)n - audit of the finawal ststenw 3.333 4.763 17,1 13,308 10. Staff costs and emoluments T¢)tsl staff ￿tsts wern as follows: 2023 2022 Wages and salarie5- tharitatAg activities Social security Pension costs 196,346 279,164 17,056 25.603 3.722 4.977 217.124 312,180 Partlculars of employees: The average numberofempws 7Mthin Ihe chanty during the year. was 5 {2022- 6). The numbgr of employees whos• anwal rernuneraty￿ was £60.¢)xi or more were. 2023 2022 Number Number £60,001- £70,Tr)0 £70.001- £80.000 37

Do¢uSvJn Envelop8 ID.. IA051É17466PA7414E52fftD8OÉC2 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 Tru$tees' and key management personnel remunentlcffl and expenses The trustees neither receNed nor waived any remunerabon duriThJ the year (2022- £nll}. The total compensation cosl of key managerrwt personnel is £139,408 {2022- £166,298) whith indudes employers, nab'onal insurancè costs and pension contributions. The trustees eonsiders key management personnel to comprise Ctmef Executive Offiw. No tntstees are a¢wing pension beneffts in the urrenl or prior year. DuriThJ the year expenses reimbursed to trustees totsll&J £nil (2022- £n￿). 11. Tanglble flxed a￿et$ Energy Generatlng Computer Assets Equlpmenl Total Cost or valuatl¢)n Al 1 Seplember 2022 AthJitions. Disposals At 31 Augu$t 2023 49,999 4,978 54.977 49.999 4.978 54.977 D•pr•ckitlon and Impalrmenl At 1 September 2022 DepreciatKJn charge in the year Dlsposals At 31 Augusl 2023 12.293 4,978 17.271 3,333 15.626 4,978 20,604 Carrylng Amount At 31 Awjust 2023 34.373 34.373 At 31 Awust 2022 37.706 37.706 As noted in Ihe weNious year. in 2018 the tharity took in lieu of setllement of an outstanding k)an, energy ge￿rating assets sKured against that loan. The fair value of these, based on the nel present value of the future income stroam. is ¢xJn&dered to b9 £123.934. The assets have not been valued lo this amount, as income is not virtually certain because il is dependent on a number of variablg"s. Under FRS102, unless th& inwme is degmed to bo virtually certain. the assets ¢anr￿$ L reslaled. However, the truslges beli6v8 thal the valuation of this asset nel of depre0at￿n W￿￿1 resuli in £80.000 of unrestrided funds, which has not been inclLKled In thes& financ￿1 ststeffnts. 38

Docwsvjn En¥Jp¢ ID.. 1A051E17466PA741-BE52mD8tÉC2116 PURE LEAPFROG A COMPANY LIMITED BYGUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 12. Flxed asset Investments 2023 2022 Shares in subsJiary ¢ompany Shares in joint ventures 100 101 100 101 In 2018 the tharity invested £100 in Leapfrtyj Launthpad Dmited. a ￿1n1 venture in whi¢h il has a 33° stake. Al the year end this entty was yel to commence tradirKJ. On 30 June 2020. Pur¢ Leapfrcg Lilypad . CIC was incorpoTaled. Pure Leapfrw is Ihe parent entity. The investment is being ca￿1&￿ at £1 value. 13. Debtors 2023 2022 Trad& debtors Gift recoverable pr8payrr￿nts arKI a¢xrued income 94.028 93.675 1,348 59.648 154.671 43,120 138,496 14. Credltor5 2023 2022 Afflounts falling due within IX￿ year Other loans {note 16> Trade credilors Taxalirjn and sooal Sgcurity Other creditors 10,000 529 2.791 51,226 64,547 10,000 18,624 10.531 59.895 99,050 15. Credltors 2023 2022 Amounts falllng du• after morn than om year Other loans {n¢)te 161 27.500 37,500 16. Creditors- Other loans Credfftots indude loans which are for repayment as folk)ws." Amounts repayabl8'. In one year or less In more than one year Ixrt n¢X mre than IVOD yews In more than years but not more Ihan fve years 2023 2022 io.oco 10.000 17.500 37.500 10,OLh) 10.C)O 27.SOO 47,500 39

0￿￿$¥jn Én¥¢l¥• ID.. 1A051E17-466W41-bE524FBOa(ÉC2446 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 The Loan (MginalirKJ in 2022 is a COV1[￿19 B￿rKe Bac* loan of£50,000 repayat4è over 5 yeats wrth an interest rate of 2.5%. 17. Restricted income funds Balance at 1 Balance at 31 August 2023 2022 kncom• Expendityr• Tranyfers 2022r23 British AipNays Cafbon Fund Carbon cre(Jil purchase Warringlon Communty Benefft Fund REWIRE Mersey Biochar Decent Homes Le4)frog Launchpad 131,303 131.303 1,274 {376) (8981 43.078 182 43,260 (2.244) (67.470) (20,461) 13751 (90.926} 2.244 (13,0611 (3.9331 375 115,273) 80.361 24,394 11711 174.381 10621 174,392 Balan￿ at 1 Septsmber 2021 Income Expendlture Balance at 31 Augu¥t 2022 Transfers 20Mr22 British AArways Carbon Fund Cart￿n ¢￿di1 purchase Warringlon Communty Benefit Fund BASEE 5GNT REWIRE Mersey Biochar Decent Homes Leapfrog Lilypad CIC Leapfrog Launchpad Big Soc48ty Capital facality 214.￿3 67.413 4.156 38.208 (7S.OW} (37,195} 176.013) (5.1691 131.303 43.073 43,078 1805) 59,342 87,629 9,418 73,564 805 {483} 74,620 (33.572} 262 823 12) {7.3181 46.047 158.859) {162.249) 149.409) 1262) 1823) 17,032) 1201) 391.030 2.034 7.355 280,938 330.520 174.381 Brltlsh Alrways Carbon Fund 40

Lh¢uSign Kl.. 1A051E17466PA7414Es2-FF80￿EG24Ifj PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 The British Airways Carbon Fund represented donations received from British Airways customers through British Airways plc, vthich are to be used to reduce carbon emissions through communlty renewable energy and energy efficiency projects in the UK and intemationally. Carbon Credit Purchases Money received and spent on carbon credlts during the year to offset the carbon footprints of individuals. businesse5 and travellers. Warrlngton Communlty Benefit Fund This is a fund established to deliver environmental and social impact that was established from one time donations made by Pure Leapfro& Waff ington Borou8h Council. and Gridserve Ltd, during the development of two ground-mount solar farms near York and Hull, owned by Warrington Borough Council. The fund will be fully 8ranted to worthy projects over time, with no expectation of additional fund5 replenishing it. BASEE Was an Energy Efficiency projert for SMES. funded by BEIS. Now being commercialised as°Greenwrf. 5GNT Was a rural connectivity project in Orkney, funded by DCMS. REWIRE Was an Innovate UK funded project to develop designs for Smart Local Energy Systems. Mersey Blochar Is a BEIS funded projett exploring the feasibility for a Biomass Greenhouse Gas Capture and sequestration plant, that also produces zero carbon heat and flexible dispatchable power. Decent Homes A new business model for Local Authorities to deploy to help retrofit homes of vulnerable people to be safer ond more thermally efficient. Leapfrog Lilypad Was a Cheshire and Warrington LEP funded project to deploy Ilexible'assets into settin8s in Warrington. exploring and designing optimisable portfolios of assets. Leapfrog Launchpad Funding from Joseph Rowntree, to develop new business models for community energy. Blg Society Capital Facility 41

0(￿s￿n EThveWe D. 1AOSIE17466847414E52*F8OaOEC2416 PURE LEAPFROG A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2023 Big Society Capital provided Pure Leapfro8 Wlth a small loan facility which it could on.lend to community ener8y 8roup5 and charities. The facility was closed to new applications in 2017. Where loan payments were made in advance of schedule, they were held as re5trirted funds. The fvnd facility was repaid in June 2022. 18. Unrestricted income funds Balanc• at 1 Income Exwndllure Transfers Seplemb¢r 2022 Balance at 31 August 2023 2022123 General Funds 103.933 155.606 (191.029) 15.273 83.783 Balanc• al 1 Income Ex￿nI￿1￿ Transfers Soplember 2021 Balanc• at 31 August 2022 2021122 General Funds 38.067 156.018 {136,199) 46.047 103,933 19. Analys15 of net a55ets between funds Tanglblo fixed Net current Long lerni Ilabllltles kniestments Total 2022123 Restrided fvnds General unrestricted funds 174.393 76.808 251.201 174,393 83.782 258,175 101 101 34.373 34.373 127.5001 27.500 101 34.373 Tangible fix•d 251.201 127.500) Long 258.175 Net Current assets Investments liabiliti•s Total 2021122 Restricted f￿)d$ General unreslricled funds 174.381 103.626 278.007 174.381 103.933 278.314 101 101 37,706 37.706 {37,500 137.500) 20. Company limfted by guarantee The company 15 limited by guarantee and th.ere is therefore no share capital. Members, liability is limited to £1 per member. At 31 August 2023. there were 5 members. 21. Related party Iran5actions There were no related party transactions relating lo trustees in 2023 or 2022. 42