Company Registration No. 5483977 Charity No. 1112540 England and Wales Cricket Trust (A company limited by guarantee) Annual Report and Financial Statements 31 January 2024 England and Wales Cricket Trust (A company limited by guarantee) Annual Report and Financial Statements for the year ended 31 January 2024 Contents Page Off icers and Professional Advisers Trustees, Report Statement of Trustees, Responsibilities io Independent Auditor's Report to Members of the England and Wales Cricket Trust 11 Statement of Financial Activities 15 Balance Sheet 16 Notes to the Financial Statements 17 England and Wales Cricket Trust (A company limited by guarantee) Annual Report and Financial Statements for the year ended 31 January 2024 Officers and Professional Advisers Directors and Trustees lan Lovett Richard Gould Scott Smith James Wood Peter Ackerley Sancha Legg Ruth Sienkiewicz Forhad Hussain Registered Office Lord's Cricket Ground St John's Wood London NW8 8QZ Registered Charity Number 1112540 Bankers National Westminster Bank plc Iub Pinchley Koad Swiss Cottage London NW3 5JN Solicitor5 Bates Wells & Braithwaite LLP 2-6 Cannon Street London EC4A 6YH BDB Pitmans LLP 107 Cheapside London EC2V 6DN Auditor KPMG LLP 15 Canada Square London E14 5GL Trustees, Report Structure, governance and management The Trustees, who are also the directors for the purposes of Company Law, submit their report and the financial statements of England and Wales Cricket Trust ('*he Trust" or"EWCT') for the year ended 31 January 2024. The Trustees comply with the provision5 of the Statement of Recommended Practice ISORP} 'Accounting and Reporting by Charities, effective from 2019 in preparing the annual report and financial statements of this charity. The board of Trustees have overall responsibility for the direction, management and control of the England and Wales Cricket Trust. Objectives and activities The objectives of the Trust are, for the benefit of the public, to: promote community participation in healthy recreation by providing facilities for playing cricket. and promote all purposes as recognised as charitable under the laws of Ingland and Wale5 through an a550ciation with cricket. The Trustees confirm that they have referred to the Euidance contained in the Charity Commission's general guidance on public benefit when reviewing the Trust's aims and objectives and in planning future activities and setting the grant making policy for the year. Achievements and performance The key elements of the charit￿5 strategy are: to continue to deliver revenue funding to the recreational game to facilitate the existing community pa rticipation (particularly amons5t boys and Birls ase Broup cricket) and enable increased participation amongst all levels of the recreational game; to administer an interest free loan scheme for recreational cricket clubs Wlth the aim of increasing the loan pool to £5m in the short term and £IOm in the medium term. These loans are specifically for facilities at recreational cricket clubs to support their cricket programmes; liiil to seek to provide facility grants both for cricket machinery and wider facility enhancements to support the recreational game- and (iv) to support other cricketing charities whose objects are aligned with that of the Trust. In 202314, the Trust made donations of £4,156,000 (2023.. f2,965,0001 to Chance to Shine, £1,368,77512023.' £926,225) to Lord's Taverners, £265,000 12023: nil) to the Ace Programme, £135,000 {2023: nil) to MCC Foundation and £67,50012023: nil) to South Asian Cricket Academy. The activities of the Trust are funded using a combination of restricted funds from Sport England and the Trust's unrestricted and designated funds. The interest free loan scheme isfunded whollyfrom the Trust's unrestricted funds. Incorporation England and Wales Cricket Trust, a private company limited by guarantee (No. 54839771, was incorporated on 17 June 2005 by a Memorandum and Articles of Association and is a registered charity (No. 1112540). The registered office of the company and Trust is Lord's Cricket Ground, London, NW8 8QZ. Trustees, Report (continued) Trustees The Trustees serving during the year were: Trustees Position with related parties lan Lovett President, England and Wales Cricket Board Scott Smith Board Member, Chief Finance Officer, England and Wales Cricket Board James Wood Board Member, England and Wales Cricket Board. Member, Devon County Cricket Club Peter Ackerley Director, Lancashire Cricket Foundation; Committee Member, Lord's Taverners Sancha Legg Committee Member, ECB Participation & Growth Committee Ruth Sienkiewicz None Richard Gould Board Member, Chief Executive Officer, England and Wales Cricket Board Forhad Hussain None The board is made up of eight Trustees, three of whom are independent of the EnEland and Wales Cricket Board Limited I'ECB"). The Trustees of the England and Wales CricketTrust are appointed by the ECB for their specific expertise in areas relevant to the charity. The board commits to reviewing the individuals on the board annually at a Trustees, meeting and recommendations are then given to the ECB. The Trustees meet at least once a year and on any other occasions as judged necessary in order to review progress and determine matters of strategy and policy, whilst leaving the day-to-day matters to the management team or to specific individuals. The management team consists of individuals with specific knowledge of Club and Facility Management and Development, Cricket Board Management and Development and Finance. New Trustees meet with the current Board members at the Trustees, meeting, and priorto this with the Finance team responsible for the Trust, who provide relevant documents and information about the role. Any Trustee updates le.g. from the Charity Commission) ordecisions to be made are communicated by the Trust Accountant responsible for EWCT. Trustees, Report (continued) Risk management and internal control The Trustees have overall responsibility for ensuring that the Trust operates an appropriate system of controls, financial and otherwise, to provide reasonable assurance that the Trust is operating efficiently and effectively, and that the Trust complies with the relevant laws and regulations. Powers To further its objectives, the Trust may: provide grants and loans for capital improvements to grounds and facilities of community recreational sports clubs, County Boards, charitable sports clubs and other bodies; and lill provide and assist in the provision of money, materials or other help. Grant policy Grants payable are charged in the year when the offer is conveyed to the recipient except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions are fulfilled. Grants are approved and monitored by the relevant members of the management team. Social Investment policy The Trust administers an Interest Free Loan Scheme (IFLS), which aims to finance capital projects to help create a sustainable future for cricket. The scheme can be partnered with the EWCT Strategic grants and Countygrants schemes and other external funding programmes. The EWCT Interest Free Loan Scheme supports projects that could not otherwise be completed as some clubs cannot obtain commercial finance and the availability of grant funding has decreased over the past few years. The loan scheme also allows evidentially sustainable projects to be financed years ahead of schedule when compared to the process of fundraising or building reserves. This in turn often allows clubs to increase revenue5 due to enhanced facilities, which allows, repayment of the loan, growth in membership and enhanced expenditure on community cricket activities. The Trust requires clubs to have personal guarantors, who are jointly and severally liable for repayment of the loan in the event of a default, or occasionally (for large value loans) it takes out a legal charge over the club's facilities. Employees The Trust does not employ any members of staff. Reserves policy The Trust plans to maintain reserves so that at all times during the year, as a minimum, reserves are at least: the level of interest free loans to be made to recreational cricket clubs; plus the level of expenditure. both charitable spend and overheads, expected in the next 12 months. To date, donations have tended to be received towards the end of the financial year while the majority of expenditure has been at the beginning or in the middle of the financial year. This, and the above policy, mean5 that at year end we usually seek to have reserves of at least two times annual expenditure plus the planned loan pool. In addition, we take into account that the major donor has a highly cyclical business, with annual profits varying significantly year-on-year. This means that on occasion, reserves will be far higher than two Trustees, Report (continued) times annual expenditure plus the loan pool. For 2023124, ECB, as the parent company, made a total donation of £20,000.000 during the year. Investment policy It is the policy of the Trust to place its investments in cash deposits which provide appropriate liquidity, and which are deemed to be of low risk as defined by the agreed Treasury Management policy. Going concern The Trustees have a reasonable expectation that the Trust has adequate resources to continue in existence for the foreseeable future. For this reason, the Trustees continue to adopt the going concern basis in preparing the account5, as disclosed in the accounting policies. As the Trust is funded by reserves, which at present are adequate to cover more than the next 12 months expenditure, there are currently no anticipated issue5 surrounding going concern. This is reviewed in further detail in the Basis for Preparation under Note I to the accounts. Strategic report Financial review and performance During the period, the Trust received income from charitable activities amounting to £1,103,500 12023.. £617,651). The Trust made revenue grants to County Cricket Boards amounting to £11,623,011 12023,. £11,289,068) in accordance with the County Partnership Agreement {CPAI. Other charitable spend was £13,643,499 (2023.. £17,985,987). Investment returns in 2024/23 were £936,437 {2023 £741.907). The Trust held unrestricted funds of £34,906,497 {2023 all unrestrirtedfunds.. £38,917,016). Financial commentarv The charity made a deficit of £4,010,519 for the period, compared to a deficit of £28,379,474 in the previous year. This was due to the £20,000,000 donation from ECB in 2023/24 {2023: nil) Donations were received towards the Trust's charitable activities from ECB, Sport England, LV- Insurance for the #Funds4Runs scheme and KP Snacks for cricket pitch improvements. In addition, the Trust generated £936,437 from its investments. This will be added to the reserves and held as an emergency fund available to help clubs in need of urgent financial assistance. The Trust's expenditure has decreased year-on-year. In 2023/24, £25,266,511 was spent on charitable activities, compared to £29,275,055 in the previous period. The decrease is due to the cessation of Inspired to Play grants scheme, a reduction in Strategic grants offset by increased donations to cricketing charitie5 to support the Youth Strategy and EDI projects. Trustees, Report (continued) Analysis of the Trust's performance against objectives As at 31 January 2024, interest free loans to recreational cricket clubs since the scheme began totalled £12,827,34012023.' £11,436,674}. During the period, the Trust paid out £1,390,666 in 69 new loans, and loan offers made to clubs but not yet advanced totalled £112,474 (2023.. £970,950). In 2023124 total grants to clubs of £7.651.724 were made (including partner fundingl12023.' £14,094,762). Of these, £7,582,056 were for facilities projects. EWCT administered a revenue grant scheme on behalf of the Disability cricket Department which is included in the tota I grants; Disability Champion Clubs1118 clubs totalling £59,000). £2,665,864 was paid out in strategic grants in 2023/24 including key investments into Bedford Borough Council {Wixams Academy indoor sports hall) and Gwersyllt Park CC (Pavilion providing a regiona5 hub for Women's and G irls, cricket) The County Grants Fund paid out grants of £4,078,762 across its thematic areas of Creating Welcoming Environments, Providing Enhanced Facilities or Playing Opportunities for Women and Girls, and Tackling Climate Change. 2024 2023 IFLS Breakdown Value of loans {ranEe) £2,797 to £lOO,000 £3,000 to £66,150 Nuiribvr uf Ivdlls New loans paid out in period 69 £1,390,666 49 £970,950 Trustees, Report (continued) Facility grants paid 2023124 Type of grant Number of grants Paid by EWCT Paid by funding partners TOTAL Total Strategic Grants Strategic Grants.. Urban Gronts 26 2,655,864 290,000 2,945,864 19 1,520,517 290,000 1,810,517 Strategic Grant5.' Women's & Girls, Grants 1,135,347 1,135,347 Total County Grants County Grants.. Welcoming and Inclusive Environments 539 4,078,762 4,078,762 216 1,444,903 1,444,903 County Grants.. Providing Enhonced Facilities or Playing Opportunities County Grants.. Tockling Climate Change EmerRencv Fund Other grants Total grants to cricket clubs and organisations iio 1,068,688 1,068,688 213 1,565,171 1,565,171 19 557.430 557,430 118 10,668 59,000 69,668 702 7,302,724 349,000 7,651,724 Summary analysis of expenditure and related income for charitable activities in 2024 Grants to County Boards Grants to cricketing charities Grants to cricket clubs Total Costs 11,623,011 5,992,275 7,651,225 25,266,511 Grants 554,500 349,000 903,500 Net cost funded from other income 11,623,011 5,437,775 7,302,225 24.363,011 Funding Funding continued in 2023124 to the 39 County Cricket Boards {CCBs) underthe County Partnership Agreement st ICPAI. The CPA covers the period from I" February 2021 to 31 January 2025. The CPA sets out the framework for the funding of recreational cricket in England and Wales in the period. Trustees, Report (continued) General EWCT funding I£IO,000,000 split across all County Cricket Boards, excluding any specific funding for the County Age Group competitions or other deveSopment programmes): This funding was used in line with the CPA to: support the participation in, and consumption of, cricket by attracting and retaining players, volunteers, off icials and coaches and providing safe and high-quality experiences for all; proactively develop local cricket clubs and communities; grow cricket participation across juniors (girls and boys) and adults (male and female); provide an accessible playing offering that includes: o the delivery of relevant ECB national products and programmes; a relevant offering for players from age 5 up, irrespective of age, location, ability and gender; and a relevant offering delivered in cricket clubs, urban and other non-traditional cricket environments as appropriate- ensure the requisite child safeguarding provisions are in place for activities run by their organisation and support local cricket clubs to meet the required standards. develop the cricket workforce across volunteers, officials and coaches: enable and support leagues to deliver competitions that recruit and retain players,. and grow the number of education institutions that offer cricket. The principal donor to the Trust is ECB, and ECB has determined un-ringfenced funding to be paid to CCBS for general running costs, County Age Group fundin& development programmes and other county competitions. In turn, the Trust is a major donor to the Chance to Shine and Lord's Taverners charities. In 2023/4 the Trust has extended it's charitable donations to the ACE Programme, MCC Foundation and SACA. Risk management and internal control During the year, 3 review of the major strateEiC, business and operational risks that the Trust faces was carried out. As part of this review, systems and additional procedures were established both to mitigate those risks identified and to minimise any potential impact on the Trust should those risks actually materialise. The Trust has considered credit risk and believes that the exposure to this risk is equal to the total value of interest free loans outstanding. The controls put in place to reduce this risk are credit checks via deta iled financial reviews, agreement of payment terms at the outset of the loan, club appointment of loan guarantors where applicable and close contact with clubs throughout the terms of the loan. A general bad debt provision for 2.5% of the value of loans over 3 years old is made, plus any specific loans where payments are in arrears and/or subject to legal action. Other Trust-specific risks have been identified as part of the group's formal risk analysis exercise: The impact on community cricket of reductions in public sector funding. The risk has been mitigated by the allocation of funding to the CCBS via the CPA agreement and by the Trust via the new strategic grants. Climate change (both drought and floods and storms). The impact has been partially mitigated by interest earned from the Trust's investments being allocated to the emergency fund, a5 in previous years, which has increased in the current year due to improved interest rates. Plans for future periods ## **Trustees' Report {continued)** The Trust's main objectives and activities for this five-year business cycle are: - (i) to administer the interest free loan scheme and aim to support the recreational game in accessing this financing source for cricket club facilities through ECB's online Investment Management System (IMS); - (ii) to administer and distribute the County Grants Fund to recreational cricket clubs and other local cricketing organisations via the County Cricket Board and Foundation network and IMS; - (iii) to continue to support the County Boards and Foundations in line with revenue funding agreements (namely the County Partnership Agreements {CPA)); - (iv) to continue to support other cricketing charities in line with the Trust's own objectives; - (v) to oversee the liability insurance scheme for recreational cricket clubs; and - (vi) to provide support to recreational cricket clubs through special projects approved by the Trustees such as an emergency relief fund, a flood relief fund and/or a sustainable energy fund. ## **Auditor** Each of the persons who is a trustee at the date of approval of this report confirms that: - so far as the trustees are aware, there is no relevant audit information of which the company's auditor is unaware; and - the trustees have taken all the steps that he/she ought to have taken as a trustee in order to make himself/herself aware of any relevant audit information and to establish that the company's auditor is aware of that information. This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006. Pursuant to section 487 of the Companies Act 2006, the auditor will be deemed to be reappointed and KPMG LLP will therefore continue in office. On behalf of the Board Richard Gould Trustee 16 April 2024 9 Statement of Trustees, Responsibilities The trustees are responsible for preparing the Trustees, Report and the financial statements in accordance with applicable law and regulations. Company law requires the trustees to prepare financial statements for each financial year. Under that law they are required to prepare the financial statements in accordance with UK AccountinE Standards and applicable law (UK Generally Accepted Accounting Practice), including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the expenditure and income for that period. In preparing these financia5 statements, the trustees are required to: select suita ble accounting policies and then apply them consistently; make judgements and estimates that are reasonable and prudent; assess the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern; and Use the going concern bd5iS of dLLuuriliwi¥ uiiles5 tliey ¥iLlivr iiileiid lo liquidale ilie cliai"itable conipaiiy or to cease operations, or have no realistic alternative but to do so. The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charita ble company's transactions and disclose with reasonable accuracy at any time the fina ncial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are responsible for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error, and have general responsibility for taking such steps a5 are reasonably open to thetn to safeguard the assets of the charitable company and to prevent and detect fraud and other irregularities. io Independent auditor's report to the members of England and Wales Cricket Trust Opinion We have audited the financial statements of England and Wales Cricket Trust ("the charitable company") for the year ended 31 January 2024 which comprise the Statement of financial activities, the Balance sheet and related notes, including the accounting policies in note l. In our opinion the financial statements: give a true and fair view of the charitable companW5 affairs as at 31 January 2024 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended; have been properly prepared in accordance with UK accounting standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland,. 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 (UK) I'ISAS IUKI") and applicable law. Our responsibilities are described below. We have fulfilled our ethical responsibilities under, and are independent of the group in accordance with, UK ethical requirements including the FRC Ethical Standard. We believe that the audit evidence we have obtained is a sufficient and appropriate basis for our opinion. Going concern The trustees have prepared the financial statements on the going concern basis as they do not intend to liquidate the group or the charitable company or to cease their operations, and as they have concluded that the group and the charitable company's financial position means that this is realistic. They have also concluded that there are no material uncertainties that could have cast Slgnificant doubt over their ability to continue as a going concern for at least a year from the date of approval of the financial statements ("the going concern period"). In our evaluation of the trustoes, conclusions, we considered the inherent ri:k. to the charitablc company's financial resources or ability to continue operations over the going concern period. Our conclusions based on this work: we consider that the trustees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate; we have not identified, and concur with the trustees, assessment that there is not, a material uncertainty related to events or conditions that, individually or collectively, may cast significant doubt on the group or the charitable company's ability to continue as a going concern for the Eoing concern period. However, as we cannot predict all future events orconditions and as subsequent events may result in outcomes that are inconsistent with judgementsthat were reasonable at the time theywere made, the above conclusions are not a guarantee that the group or the charitable company will continue in operation. Fraud and breaches of laws and regulations- ability to detect Identifying (Ind responding to risks of materiol misstatement due tofr(Jud To identify risks of material misstatement due to fraud ("fraud risks") we assessed events or conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud. Our risk assessment procedures included: Enquiring of Trustees, other management and legal department and inspection of policy documentation as to the charitable company's high-level policies and procedures to prevent and detect fraud and the li Independent auditor's report to the members of England and Wales Cricket Trust (continued) Fraud and breaches of laws and regulations- ability to detect {continued) charitable companvs channel for'whistleblowing" as well as whether they have knowledge of any actual, suspected or alleged fraud. Using analytical procedures to identify any usual or unexpected relationships. As required by auditing standards, and taking into account our overall knowledge of the control environment, we perform procedures to address the risk of management override of controls, in particular the risk that the charitable company management may be in a position to make inappropriate accounting entries. On this audit we do not believe there is a fraud risk related to revenue recognition because the vast majority of revenue relates to a donation from the parent company. In addition, the remuneration of employees is not linked to rp.vp.niip-hasp_d mptrics, which siEnificantly reduces the incentive to perpetrate fraud through fraudulent revenue recognition. As required by auditing standards, and taking into account our overall knowledge of the control environment, we perform procedures to address the risk of management override of controls, in particular the risk that managemont may be in a position to makp inapprnpriatp_ ar.c_niJnting entries. On this audit we do not believe there is a fraud risk related to revenue recognition because substantially all of the charitable company's revenue relates to a donation from the parent company. In addition, the remuneration of employees is not linked to revenue-based metrics, which significantly reduces the incentive to perpetrate fraud through fra udulent revenue recognition. We did not identify any additional fraud risks. We performed procedures including: Identifying journal entrics and other adjustments to test based on risk criteria and comparing the identified entries to supporting documentation. These included those posted to unusual accounts to cash balances. Identifying and responding to risks of material misstatement due to non-compliance with laws and regulations We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience through discussion with the trustees and other management las required by auditing standards), and discussed with the trustees and other management the policies and procedures regarding compliance with laws and regulations. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. The potential effect of these laws and regulations on the financial statements varies considerably. Firstly, the charitable company is subject to laws and regulations that directly affect the financial statements including financial reporting legislation (including related legislation), distributable profits legislation and taxation legislation and we assessed the extent of compliance with these laws and regulation5 as part of our procedures on the related financial statement items. Secondly, the charitable company is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance through the imposition of fines or litigation. We identified the following areas as those most likely to have such 12 Independent auditorfs report to the members of England and Wales Cricket Trust (continued) Fraud and breaches of laws and regulations- ability to detect Icontinued} an effect: health and safetyi anti-bribery and employment law, recognising the nature of the charitable company's activities. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the trustees and other management and inspection of regulatory and legal correspondence, if any. Therefore, if a breach of operational regulations is not disclosed to us or evident from relevant correspondence, an audit will not detect that breach. Context of the ability of the audit to detectfraud or breaches of law or regulation Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations is from the events and transaction5 reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a hiRher risk of non-detection of fraud, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non- compliance or fraud and cannot be expected to detect non-compliance with all laws and regulations. Other information The trustees are responsible for the other information, which comprises the Trustees, Annual Report. Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or, except as explicitly stated below, any form of assurance conclusion thereon. Our responsibility is to read the other information and. in doinR so, consider whether, based on our financial statements audit work, the information therein is materially misstated or inconsistent with the financial statements or our audit knowledge. Based solely on that work: we have not identified material misstatements in the other information; in our opinion the information given in the Trustees, Annual Report, which constitutes the strategic report for the financial year, is consistent with the financial statements; and in our opinion that report been prepared in accordance with the Companies Act 2006. Matters on which we are required to report by exception Under the Companies Act 2006 we are required to report to you if. in our opinion: the charitable company has not kept adequate accounting records or returns adequate for our audit have not been received from branches not visited by us; or the charitable company financial statements are not in agreement with the accounting records and returns,. or certain disclosures of trustees, remuneration specified by law are not made; or we have not received all the information and explanations we require for our audit. We have nothing to report in these respects. 13 Independent auditor's report to the members of England and Wales Cricket Trust (continued) Trustees, responsibilities As explained more fully in their statement set out on page 10, the trustees (who are also the director5 of the charitable company for 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- such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error; assessinE the group's and the charitable company's ability to continue as a going concern, disclosin& as applicable, matters related to going concern; and using the going concern basi5 of accounting unless they either intend to liquidate the group or the charitable company or to cease operations, or have no realistic alternative but to do so. Auditorfs responsibilities 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 our opinion in an auditorfs report. Reasonable assurance is a high level of a55urance, but does not guarantee that an audit conducted in accordance with ISAS {UKI will always detect a material misstatement when it exists. Mi55tatements 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 the financial statements. A fuller www.frc.or description auditorsres of our responsibilities onsibilities. is provided on the FRC'S website at The purpose of our audlt work and to whom we owe our responsibilities This report is made solely to the charitable COMpan￿S members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2￿6. Our audit work has been undertaken so that we might state to the charitable companvs members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent perniitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed. (a Ashley Rees {Senior Statutory Auditor) for and on behalf of KPMG LLP, Statutory Auditor Chortered Accountants 15 Canada Square London E14 5GL 26 April 2024 14 England and Wales Cricket Trust (A company limited by guarantee) Statement of Financial Activities For the year ended 31 January 2024 Unrestricted funds Restricted funds 2024 2023 Notes Income Donations and legacies Income from charitable activities Income from investments Other income 20.000.000 20,000,000 613,500 903,195 490,000 io 613,500 617,651 741,907 10,000 903,195 200.000 290,000 Total income 21,103,195 903,500 22,006,695 1,369,558 Expenditure on Ra ising funds Charitable activities Other expenditure (10,138) (10,138) {31,8891 4, 10 {24.363,011) (903,500) (25,266,511) (29,275,055) (773,808) (773,808) 1440,3581 Total expenditure (25,146,957) (903,500) (26,050,457) {29,747,3021 Net gain/(loss) on investments 33.243 33,243 {1,730} Net income/lexpenditurel (4,010,519) (4.010,519) {28,379,474} Transfers between funds Net movement in funds Reconciliation of funds Total funds brought forward 38,917,016 38,917,016 67,296,490 Total fund5 carried forward 9 34,906,497 34,906,497 38,917,016 The Trust's income and expenses relate to both unrestricted and restricted funds and continuing charitable operations. The restricted funds are described in note 10. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. The Trust has no recognised gains or losses other than the net increase in funds for the year. 15 England and Wales Cricket Trust {A company limited by guarantee) Balance Sheet As at 31 January 2024 2024 2023 Notes Fixed assets Investments 8,117,882 37,079,927 Current assets Cash at bank Investments Prepayments Accrued income Social investments: amounts falling due within one year Social investments: amounts falling due after more than one year Debtors: amounts falling due within one year 26,604,843 5,286,781 250,000 289,999 966,392 1,059,544 2,606,181 2,272,675 18,994 56,470 30,736,409 8,675,470 Current Liabilities Amounts falling due within one year (3,947,794) 16,838,381) Net current assets 34,906,497 1,837,089 Total assets less current liabilities 34,906,497 38,917,016 The funds of the charity Unrestricted income funds Restricted income funds 34,906,497 38,917,016 io Total funds 34,906,497 38,917,016 These financial statements of EnEland and Wale5 Cricket Trust, company registration number 5483977, were approved on 16 April 2024. lan Lovett Trustee Richard Gould Trustee 16 England and Wales Cricket Trust (A company limited by guarantee) Notes to the Financial Statements As at 31 January 2024 Accounting policies Basis of preparation The financial statements are prepared in accordance with applicable United Kingdom Accounting Standards, the applicable requirements of the Statement of Recommended Practice ISORPI 'Accounting and Reporting, by Charities, FRS102, the Trust Deed, and the Companies Act. The particular accounting policies adopted are described below and have been applied consistently throughout the year and the preceding year. Per FRS 102, a public benefit entity {PBEI is an entity whose primary purpose is for public and social benefit and not to provide a financial return to its shareholders. The Trustees have assessed that the Company meets this definition, thus have accounted for any interest free loans as concessionary loan5 under section PtJlJ4 of FRS 102 for the purp05e5 of these financial statenient5. England and Wales Cricket Trust (the "Company") is a private company limited by guarantee and incorporated, domiciled and registered in England, in the United KinEdom. These financial statements were prepared in accordance with Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Irelaiid I'FRS 102,1 as issued iii August 2014. The presentation currency of these financial statements is sterling. All amounts in the financial statements have been rounded to the nearest £. The Company's ultimate controlling party, England and Wales Cricket Board Limited, includes the Company in its consolidated financial statements. The consolidated financial statements of England and Wales Cricket Board Limited are prepared in accordance with Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland I'FRS 102"} and are available to the public and may be obtained frotn Lord's Cricket Ground, London, NW8 8QZ. In these financial statements, the company is considered to be a qualifying entity (for the purposes of this FR51 and has applied the exemptions available under FRS 102 in respect of the following disclosures: Cash flow statement; Transactions with Key Management Personnel; Related party transactions entered into between two or more members of a group (for wholly-owned subsidiaries). The ECB made a Significant contribution to the Trust at the end of the 2024 financial year. The trustees have a reasonable expectation that the Trust has adequate resources to continue in existence for the foreseeable future. For this reason, the trustees continue to adopt the going concern basis in preparing the accounts. As the Trust is funded by reserves, which at present are adequate to cover more than the next 12 months of budgeted expenditure, there are currently no anticipated issues around going concern, although the Trusts activities may be modified to best assist the recreational game in the future. As EWCT relies on these reserves to fund its activities, it is not reliant on significant income over the next 12 months. 17 England and Wales Cricket Trust (A company limited by guarantee) Notes to the Financial Statements Year ended 31 January 2024 Accounting policies (continued) Incoming resources Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item{s) of income have been met, it is probable that the income will be received and the amount can be measured reliably. All incoming resources are included in the Statement of Financial Activities ('SOFA'I when the Trust is legally entitled to the income, is reasonably certain of receipt and the amount can be measured with sufficient reliability. Donations and legacies are recognised in the SOFA in the period in which they are received and paid. Income from charitable activities o Grant funding from Sport England is recognised in the period to which it relates and matched to the appropriate grant expenditure in England. Investment income- interest on funds held on deposit is included when receivable, and/or the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank and is requested at year-end. Grants payable are made to third parties in the furtherance of the charitable objectives of the Trust; either revenue gra nts (County Cricket Boards and cricketing charities) or capital grants (cricket club5 and other appropriate applicants, e.g. local authorities). Revenue grants The Trust's intention to pay a certain level of grants to County Cricket Boards (CCBs1 and cricketing charities is set out in the 2021-24 County Partnership Agreement (CPAI, and a schedule of payments was sent out to each CCB at the start of the period. Capital grants EWCT StrateEiC Grants are paid to applicants from a set budget, allocated nationally and strategic objective. The individual grants are recognised once an offer letter has been made for the club to sign and return. EWCTCounty Grants are paid to applicants from a formula-based budget allocated to County Cricket Boards and Foundations. This budget is spread across the 2023 and 2024 financial years due to the delayed launch of the funding programme. 18 England and Wales Cricket Trust (A company limited by guarantee) Notes to the Financial Statements (continued) Year ended 31 January 2024 Accounting policies (continued) Emergency Fund grants are paid as required from the Trust's accumulated investment income with an additional budget allocation. The grants are recognised once an offer letter ha5 been made for the club to sign and return. Allocation of support and governance costs Support costs have been allocated between governance costs and other support costs. Governance costs comprise all costs involving the public accountability of the charity a nd its compliance with regulation and good practice. These costs include costs related to statutory audit and legal fees together with an apportionment of overhead and support costs. Governance costs and support costs relaiing to charitable activities have been apportioned based on the numberof individual grant awards made in recognition that the administrative costs of awarding, monitoring and assessing loans and different categories of grants are broadly equivalent. The allocation of support and governance costs is analysed in note 4. Concessionary loans England and Wales Cricket Trust makes interest free loans to third parties which are repayable in line with agreed upon payment schedules. In line with FR5102 PBE34, Concessionary Loans are initially measured at the amount received or paid. In subsequent years, the carrying amount of concessionary loans in the financial statements is adjusted to reflect any accrued interest payable or receivable. To the extent that a loan is irrecoverable, an Impairment 1055 is be recognised in the statement of financial activities. Accountlng convention These accounts are prepared under the historical cost convention. Company status The Trust is a Company limited by guarantee. The Member of the Trust (England and Wales Cricket Board) undertakes to contribute a sum not exceeding £1 to the assets of the Trust if it Is wound up during its membership or within one year afterwards. Resources expended All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to that category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with use of resources. Grants are charged to the statement of financial activities when a constructive obligation exists not withstanding that they may be paid in future accounting periods. Governance costs are the costs associated with the governance arrangements of the Trust which relate to the Eeneral running of the Trust as opposed to those costs associated with fundraising or charitable activity. Included within this category are costs associated with the strateEiC as opposed to day-to-day management of the Trust's activities. Charitable activities include costs of grant5. 19 England and Wales Cricket Trust (A company limited by guarantee) Notes to the Financial Statements (continued) Year ended 31 January 2024 Accounting policies (continued) Funds Unrestricted funds are funds that are available for use at the discretion of the Trustees in furtherance of the general objectives of the Trust and which have not been desi8nated for other purposes. Restricted funds relate to funds received from donors for specified purposes. Tax England and Wales Cricket Trust is a registered charity and, as such, is exempt from taxation on its income to the extent that the income is applied to its charitable purposes. Investments Investments are held in the form of cash deposits and are determined as current or non-currenf on the basis of whether they are planned to be reinvested over the next 12 months. Deposits with an intended investment term of longer than one year are classified as non-current investments. Result for the year 2024 2023 Net incomellexpenditure) for the year (4,010,519) (28,379,474) Stated after charging: Fees payable to the company's auditor for the audit of the company's annual accounts (inclusive of VAT) 28,000 17,480 Ultimate controlling party The England and Wales Cricket Trust is a cotnpany limited by guarantee, so has no share capital. On the basis that the Trust is considered to be a subsidiary of the England and Wales Cricket Board Limited, its financial results and position are consolidated into the group accounts of England and Wales Cricket Board Limited. Copies of these group accounts can be obtained from Lord's Cricket Ground, London NW8 8QZ. 20 England and Wales Cricket Trust (A company limited by guarantee) Notes to the Financial Statements (continued) Year ended 31 January 2024 Resources expended 2024 2023 Charitable activities Unrestricted funds Grants to County Boards Grants to cricketing charities Grants to cricket clubs and organisations 11,623,011 11,289,068 5,437.775 3,777,725 7,302,225 13,590,611 24,363,011 28,657,404 Restricted funds Sport England- Club Grants Sport England- Grants to Cricketing Charities KP Snacks- Pitch Improvement 59,000 554,500 290,000 504,151 113,500 903,500 617,651 Governance costs Expenditure on raising funds 773,808 10,138 440,358 31,889 Total resources expended 26,050,457 29,747,302 Revenue grants to the 39 County Cricket Boards contribute to their running costs, plus delivery of local cricket (including competitions} for all ages and abilities. Grants are made to specialised institutions to assist them in delivering their cricket programmes. Facilities grants to cricket clubs comprise a major grants scheme (Strategic Grant5 Fund) for larger- scale facility improvements; a smaller grants scheme (County Grants Fund) for awards from £1,000 to £10,000 for specific projects; an emergency fund for clubs affected by a crisis, for example flooding. Revenue grants to cricket clubs comprise an inclusive cricket grant I#Funds4Runs1, paid to cricket providers in urban and/or deprived areas: a fixed-amount grant Ilnspired to Play) to extend affiliated cricket clubs, offer for women and children; and a fixed-amount grant (Disability Champion Clubs) which rewarded clubs retrospectively that introduced new disability cricket programmes. A list of grants is available from the England and Wales Cricket Trust. 21 England and Wales Cricket Trust (A company limited by guarantee) Notes to the Financial Statements (continued) Year ended 31 January 2024 Resources expended (continued) The Trustees did not receive any emoluments in respect of their services to the Trust during the year or prior year. No Trustees received reimbursement in relation to out of pocket expenses fortravel and subsistence during the period Ino Trustees were paid in 2023/2024). Analysis of support and governance costs The Trust initially identifies the costs of its support functions. It then identifies those costs which relate to the governance function. Refer to the table below for the basis for apportionment and the analysis of support and Eovernance costs_ General support Governance Functionlgeneral Total Basis of apportionment Audit costs 28,000 28,000 Governance Legal 17,825 17,825 Specific legal bills Tax advice fees Governance Club insurance scheme management fees 672,294 672,294 General Support General allowance for doubtful debt (loan scheme) 54,609 54.609 Loans scheme Trustee expenses Governance Bank charges 1,081 1,081 Governance TOTAL 726,903 46,906 773,809 Investments Non-current: All non-current investments comprise cash deposits with intended investment terms of longer than one year. Current: All current investments comprise cash deposits with investment terms of less than one year. 22 England and Wales Cricket Trust (A company limited by guarantee) Notes to the Financial Statements (continued) Year ended 31 January 2024 Social investments 2024 2023 Amounts falling due within one year: Interest free loans to cricket clubs Emergency COVID-19 interest free loans to cricket clubs and leagues 927,248 1,006,286 39,144 53,258 Total amount falllng due wlthln one year: 966,392 1,059,544 Amounts falling due after more than one year: Interest free loans to cricket clubs Emergency COVlD-19 interest free loans to cricket clubs and leagues 2,605,764 2,240,039 417 32,636 Total amount falling after more than one year: 2,606,181 2,272,675 As at 31 January 2024, interest free loans to recreational cricket clubs since the scheme began totalled £12,827,340 {2023.' £11,436,674}. In addition, loan offers made to clubs but not yet advanced totalled £112,47412023.' £106,500). In 2023/24 £196,134 allowance for doubtful debts has been made (2023.. £141,524}, which constitutes both a general provision of 2.5% of the outstanding Inan hxlxnr.p oldpr than 3 years plus a specific provision. 2024 2023 Programme related investments (loans) Loans outstanding at start of year Less loan repayments during year New loans advanced during year 3,387,849 3,492,101 (1,049,368) 11,075,202) 1,390,666 970,950 Loans outstanding at end of year Provision for doubtful debts 3,729,147 3,387,849 (190,459) 1141,524) Loans outstanding at end of year 3,538,688 3,246,325 23 England and Wales Cricket Trust {A company limited by guarantee) Notes to the Financial Statements (continued) Year ended 31 January 2024 Social investments (continued) 2024 2023 COVID-19 related investments (loans) Loans outstanding at start of year New loans advanced during ye3r Less loan repayments during year 85,894 252,817 {46,334) 1166,9231 Loans outstanding at end of year Provision for doubtful debts 39,560 (5,675 85,894 Loans outstanding at end of year 33,885 85,894 Debtors 2024 2023 Amounts falling di1@ within one. ye_ar: Partnership funding County Board Debtors Club Debtors 41,156 18,994 15,314 18,994 56,470 Creditors 2024 2023 Amounts falling due within one year: Accruals grant claims Other accruals Creditors Deferred income 2,252,693 25,000 1,670,101 625,482 6,000 6,206,899 3,947,794 6,838,381 24 England and Wales Cricket Trust (A company limited by guarantee) Notes to the Financial Statements {continued) Year ended 31 January 2024 Fund balances Analy515 of movement5 in unrestricted funds Balances as at start Incoming Resources of year resource5 expended Transfers Balances as at end of year Ipnp.r21 fiind Designated Emergency fund .aA.2A4.34fi 2n.fi24..52n (?4.517q.S?Ai 632,670 741,907 1557,4301 .44,n29..2.4 817,147 Total funds 202312024 38,917,016 21,426,437 (25.436.956) 34,906.497 Total funds 2021/2023 67,2g6,490 750,177 {29,129,651) 38,917,016 The unrestricted fund includes all general donations. 10. Analysis of movements in restricted funds Balances as at start of the Incoming Resources year resources expended Balances as at end of Transfers year Sport England KP Snacks 613,500 (613,500) 290,000 {290,000) Total 202312024 Total 202112023 903,500 {903,500) Name of restricted fund Sport England Description. nature and purposes of the fund The funds are required to be used to aid the delivery of development programmes and monitoring processes in line with the Trust's national policy. 11. Related parties The company has taken advantage of the exemption in section 33.IA of FRS 102 from disclosing transactions with its ultimate controlling party, the ECB. 25