2022-01-31-accounts - Automobile Association Charitable Trust For Road Safety And The Environment

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AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2022

REGISTERED CHARITY NUMBER: 1125119

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

LEGAL AND ADMINISTRATIVE INFORMATION

FOR THE YEAR ENDED 31 JANUARY 2022

TRUSTEES	E V King
	R Purser
	D MacSporran
	L Pennell (Resigned 30 April 2022)
	S Ives (Resigned 1 May 2021)
	S Ladley
	T Rich
	Z Maqbool (Resigned 1 May 2021)
	M Born (Appointed 1 May 2021)
	K R Miller (Appointed 1 May 2021) (Resigned 30 April 2022)
	A Gosling (Appointed 1 May 2022)
	J Fairclough (Appointed 1 May 2022)
DIRECTOR	E V King
REGISTERED OFFICE	Fanum House
	Basing View
	Basingstoke
	Hampshire
	RG21 4EA
BANKERS	Nat West Bank Plc
	Europa House
	49 Sandgate Road
	Folkestone
	Kent
	CT20 1RU
INDEPENDENT EXAMINER	Duncan Cochrane-Dyet BSc BFP FCA
	MHA MacIntyre Hudson
	Chartered Accountants
	Victoria Court
	17-21 Ashford Road
	Maidstone
	Kent
	ME14 5DA
REGISTERED CHARITY NUMBER	1125119

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 JANUARY 2022

The Trustees present their report along with the financial statements of the Charity for the year ended 31 January 2022. The financial statements have been prepared in accordance with the accounting policies set out in Note 1 to the financial statements and comply with applicable law and the requirements of the Statement of Recommended Practice, "Accounting and Reporting by Charities" issued March 2005 and the Charity's Trust Deed.

TRUSTEES

The Trustees are stated on page 1. Appointment of Trustees is governed by the Trust Deed of the Charity.

CONSTITUTION, OBJECTS AND POLICIES

The Automobile Association Charitable Trust for Road Safety and the Environment is constituted by Trust Deed dated 30 January 2008 and commenced its activities on the 4 April 2008 for the benefit of exclusively charitable purposes according to the Law of England and Wales and charitable institutes established for charitable purposes.

The Trustees must apply the income of the Charity in furthering the following objects: the advancement of health and the environment, and saving of lives by the prevention of personal injury to, and death of, individuals on roads and in motor vehicles in the United Kingdom through educating road users in road safety, campaigning on issues of road safety and promoting understanding and awareness of road safety, in whatever manner the Trustees consider appropriate to achieve such objectives.

The Trust is funded by the AA Group of companies and the Trustees delegate the day to day responsibility and administration to staff whose employment costs are met by Automobile Association Developments Limited.

The Trustees meet as often as necessary to fulfil their responsibilities.

ACTIVITIES UNDERTAKEN AND ACHIEVEMENTS

The Trustees’ strategy was to consolidate on the success of various safety campaigns it had previously launched, as well as launch a new campaign around Young, Rural Drivers . This initiative had been delayed from the previous year due to Coronavirus. The Trust continued to help teenagers in care and care leavers learn to drive. The Trust’s ‘Think Bike’ campaign was also promoted.

Trustees also considered how a campaign with an environmental impact could be developed.

Young, Rural Drivers

In the preceding 18 months to this period, the Trust analysed the data and research already available into the specific risks young drivers face on rural roads. Objectives for the campaign were set and a successful application had been submitted to the Road Safety Trust for £20,000 towards the costs of the research.

The campaign, Young, Rural Drivers, based on research and an interactive map on where collisions occur developed by Agilyis, was launched on 12 May 2021.

The research also found:
Proportion of crashes involving young drivers which are on Sundays is 9% higher on rural roads than on urban roads.
Single vehicle collisions account for 27% of all young driver crashes on rural roads compared to 15% for drivers of all ages.
Substance impairment factors in 9% of young rural driver crashes on Sundays compared to 4% on all other days.

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JANUARY 2022

(continued)

ACTIVITIES UNDERTAKEN AND ACHIEVEMENTS (continued)

Young, Rural Drivers (continued)

Caitlin Huddleston was just 18 when she tragically died in a car crash on the A595 in Cumbria on the 14 July 2017. She was a passenger in the car, driven by her friend, who also lost her life.

Driving to a local Italian restaurant for dinner her friend lost control of the car on a bend and collided with a van. Neither driver was speeding, but according to the coroner the newly qualified driver entered the bend, driving too fast for the wet road conditions. The crash was put down to inexperience. The third occupant of the car and van driver were both severely injured in the crash.

Caitlin's mother, Sharron Huddleston, has campaigned for road safety for young and novice drivers and their passengers since losing Caitlin. She said she was not aware at the time of the crash that rural roads were especially dangerous. In fact, just a few months before the crash she was concerned about Caitlin travelling with friends on a motorway journey. Sadly, she didn't think there was a need to be concerned about the journey the girls were making on the evening of the crash, as the girls were just travelling on local roads.

Sharron Huddleston said that she was honoured that the AA Trust has chosen Caitlin to be the symbol of this rural roads campaign.

The Trust also created a symbolic one-off radio programme, Caitlin’s Hour , dedicated to this young passenger who tragically died in a rural road crash. The show was broadcast nationally and supported with innovative promotional billboards.

Caitlin’s Hour went live across the Hits Radio Network and Kerrang! Radio on Sunday June 6th between 2am and 3am which is the time that may crashes occur.

Prior to the show airing, it was extensively trailed across the Bauer radio network.

Visits to the interactive map peaked on launch day at 7,927. In the first month of it being live (May 10th – June 10th inclusive) there have been 14,198 visits. There was another, smaller, peak in views around the launch of Caitlin’s Hour .

Post-launch, The Trust continued to work with Caitlin’s mother, Sharron and developed ‘ Caitlin’s Message’ through a partnership with First Car magazine. This was a message that Caitlin might have written to new drivers and was promoted with a series of emails to First Car’s database of new drivers and their parents, plus inclusion of an advertorial in their handbook. This work was agreed to run for 6 months initially (commencing September 2021).

This campaign is continuing.

Helping teenagers in care

The AA Trust continued to support and promote the benefits of helping teenagers in care and care leavers to learn to drive.

Trustees agreed to a separate donation of £2,000 to Live Unlimited towards lessons for care leavers, as they had secured some match funding.

Edmund King, AA Trust director, wrote to the new Children’s Commissioner on behalf of the Trust to explain the scheme and ask if there were any ways DofE could support its further rollout.

Think Bikes!

Throughout the year the Trust has continued to promote the original ‘Think Bike’ side-mirror sticker campaign to make drivers more aware of the presence of cyclists and motorcyclists. The stickers are used by AA Patrols and driving instructors as well as various fleets.

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 JANUARY 2022

(continued)

Environment

Trustees came to agreement in September 2021 that the next major campaign for the Trust would focus on the environment, in line with the Trust’s objectives. Initial discussions began around a creative brief to help refine the ideas Trustees wanted to pursue.

Looking ahead

The focus for the coming year will be on refining the next campaign on the environment and on continuing to work with First Car on Caitlin’s Message . The Trust will also continue to explore other opportunities to help Caitlin’s Message reach its target audience.

Going Concern

The Trustees have performed an assessment of cash in hand and the level of reserves and income expected to be received in relation to expected expenditure. Based on this and having regard to the resources available to the charity, the Trustees have concluded there are no material uncertainties and they can continue to adopt the going concern basis in preparing the annual report and accounts.

FINANCIAL REVIEW

The incoming resources on the Unrestricted Fund for the year amounted to £163,973 and Restricted Funds of £10,000. During the year £100,907 of Unrestricted Funds was expended for direct charitable purposes and £12,200 expended for Restricted Funds. At the year end £220,055 remains in the Unrestricted Fund for future charitable giving and to meet the costs of running the Charity.

STATEMENT OF TRUSTEES RESPONSIBILITIES

The Trustees are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

(a) select suitable accounting policies and apply them consistently;
(b) observe the methods and principles of the Charities SORP (FRS 102);
(c) make judgements and accounting estimates that are reasonable and prudent;
(d) state whether applicable UK accounting standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements; and
(e) prepare the financial statements on a going concern basis unless it is inappropriate to presume that the Charity will continue in operation.

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

RISK MANAGEMENT

The Trustees actively review the major risks which the Charity faces on a regular basis and believe that maintaining reserves at current levels, combined with an annual review of the controls over key financial systems, will provide sufficient resources in the event of adverse conditions. The Trustees have also examined other operational and business risks faced by the Charity and confirm that they have established systems to mitigate the significant risks.

RESERVES POLICY

It is the policy of the Charity to maintain Unrestricted Funds at a level to meet unrestricted expenditure budgeted for the subsequent year. The Trustees confirm that they consider that they have adequate assets available to meet the Charity's obligations.

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 JANUARY 2022

(continued)

INVESTMENT POWERS

The Trust Deed authorises the Trustees to make and hold investments using the general funds of the Charity.

PUBLIC BENEFIT

The Trustees have complied with Section 4 of the Charities Act 2006 to have due regard to guidance published by the Charity Commission.

By Order of the Trustees

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……………………………
A Gosling
Trustee
30 September 2022
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…………………………… E V King Trustee 30 September 2022 Fanum House Basing View Basingstoke Hampshire RG21 4EA

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

I report to the charity Trustees on my examination of the accounts of the Charity for the year ended 31 January 2022 which are set out on pages 7 to 11.

Responsibilities and basis of report

As the Trustees of the Charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').

I report in respect of my examination of the Charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner’s statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

accounting records were not kept in respect of the Charity as required by section 130 of the 2011 Act; or
the accounts do not accord with those records; or
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

This report is made solely to the Charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Charity's Trustees those matters I am required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Charity and the Charity's Trustees as a body, for my work or for this report.

Signed:

Dated: 30 September 2022

Duncan Cochrane-Dyet BSc BFP FCA MHA MacIntyre Hudson Chartered Accountants Maidstone United Kingdom

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JANUARY

Restricted Funds 2022 £ 10,000 - -	Unrestricted Funds 2022 £ 101,000 - 62,953 20	Total Funds 2022 £ 101,000 10,000 62,953 20	Total Funds 2021 £ - 18,000 59,136 18
10,000	163,973	173,973	77,154
(12,200) - -	(36,256) (62,953) (1,698)	(48,456) (62,953) (1,698)	(22,445) (59,136) (1,800)
(12,200)	(100,907)	(113,107)	(83,381)
(2,200) 2,200	63,066 156,989	60,866 159,189	(6,227) 165,416
-	220,055	220,055	159,189

CONTINUING OPERATIONS

All income and expenditure arises from continuing operations.

TOTAL RECOGNISED GAINS AND LOSSES

The Trust has no recognised gains or losses other than the amounts included above for the current and prior year.

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

Note CURRENT ASSETS Debtors Cash at Bank CREDITORS - Amounts falling due within one year 8 NET CURRENT ASSETS NET ASSETS REPRESENTED BY: Unrestricted Funds 9 Restricted Funds 9 BALANCE SHEET AS AT 31 JANUARY
	2022 £ - 246,017	2021 £ 10,883 195,033
	246,017 (25,962)	205,916 (46,727)
	220,055	159,189
	220,055	159,189
	220,055 -	156,989 2,200
	220,055	159,189

Approved by the Trustees on 30 September 2022 and signed on their behalf by:-

E V King - Trustee A Gosling - Trustee

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

NOTES FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JANUARY 2022

1 ACCOUNTING POLICIES

Basis of Accounting

The Automobile Association Charitable Trust is an unincorporated charitable trust registered in England and established under a Trust Deed dated 30 January 2008. The address of the registered office is given in the charity information on page 1 of these financial statements. The nature of the charity’s operations and principal activities are the advancement of health and the environment, and the saving of lives by the prevention of personal injury to, and death of, individuals on roads in motor vehicles in the United Kingdom through: education, campaigning and promoting.

The charity constitutes a public benefit entity as defined by FRS 102 Section 1A. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102 Section 1A) (effective 1 January 2019), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

The charity has applied Update Bulletin 1 as published on 2 February 2016 and does not include a cash flow statement on the grounds that it is applying FRS 102 Section 1A.

The financial statements are prepared on a going concern basis under the historical cost convention. The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

Resources Arising - Income

All incoming resources are included in the statement of financial activities when the Charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

Donations are recognised as income when any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the Charity of the item is probable and the economic benefit can be measured reliably.

Grants are recognised at fair value when the Charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.

Donations and Grants receivable, which do not relate to specific charitable activities, are categorised as donations.

Donations and Grants receivable, which relate to specific charitable activities are categorised as charitable activities.

Investment income is accounted for when receivable.

Resources Expended

Expenditure is recognised on an accruals basis as a liability is incurred. Charitable expenditure comprises those costs incurred by the Charity in the delivery of its activities and services for its beneficiaries.

Charitable activities expenditure comprises staff salary costs attributable to its activities. Where costs cannot be directly attributed, they have been allocated to activities on a basis consistent with the use of resources.

Fund Accounting

Unrestricted funds represent unrestricted income and expenditure where the funds can be used at the discretion of the Trustees in furtherance of the objects of the Charity.

Restricted funds are subject to specific restrictions imposed by the donor in furtherance of the objects of the Charity. These funds are held in Restricted funds.

Investment income, gains and losses are allocated to the appropriate fund.

Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered.

Liabilities

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

NOTES FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2022

(continued)

Critical Accounting Estimates and Areas of Judgements

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

No key judgements (apart from those involving estimates as disclosed in the notes above) have been made in the process of applying the above accounting policies.

Restricted Funds 2022 £ - - 10,000 -	Unrestricted Funds 2022 £ 100,000 1,000 - -	Total Funds 2022 £ 100,000 1,000 10,000 -	Total Funds 2021 £ - - 10,000 8,000
10,000	101,000	111,000	18,000
18,000 -
18,000	-

2 INCOME

Restricted Funds 2022 £ - 12,200 -	Unrestricted Funds 2022 £ 270 4,906 31,080 -	Total Funds 2022 £ 270 4,906 43,280 -	Total Funds 2021 £ 270 - 17,400 4,775
12,200	36,256	48,456	22,445
15,800 6,645
Restricted Funds 2022 £	Unrestricted Funds 2022 £	Total Funds 2022 £	Total Funds 2021 £
-	62,953	62,953	59,136
- 59,136
-	59,136

3 EXPENDITURE ON CHARITABLE ACTIVITIES

4 REIMBURSED COSTS

Salary costs are calculated as a proportion of Director and staff time, reflecting the cost of services provided to the Charity. All salary costs have been reimbursed by Automobile Association Developments Limited.

Restricted Funds 2022 £	Unrestricted Funds 2022 £	Total Funds 2022 £	Unrestricted Funds 2021 £
-	1,698	1,698	1,800
- 1,800
-	1,800

5 GOVERNANCE COSTS

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

NOTES FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JANUARY 2022

(continued)

6 RELATED PARTY TRANSACTIONS, TRUSTEES' REMUNERATION AND BENEFITS

A proportion of E V King's salary paid by Automobile Association Developments Limited is included within reimbursed costs within note 4. During the current financial year, the trustee time reflected in the cost of services provided to the charity amounted to £49,259 (2021: £45,600). No other trustee remuneration or benefits were incurred for the 2022 nor the 2021 financial year.

There were no transactions with any other related parties (2021 - none).

Trustees' expenses

There were no trustees' expenses paid for in the year ended 31st January 2022 nor the year ended 31st January 2021.

7 TAXATION

The trust is a registered charity and is therefore not subject to taxation.

	2022 £	2021 £
	25,962	46,727

Incoming Resources Resources Expended Balance at 01.02.2021 Balance at 31.01.2022 £ £ £ £ 163,973 (100,907) 156,989 220,055 10,000 (12,200) 2,200 -
173,973 (113,107) 159,189 220,055

Incoming Resources Resources Expended Balance at 01.02.2020 Balance at 31.01.2021 £ £ £ £ 59,154 (67,581) 165,416 156,989 18,000 (15,800) - 2,200
77,154 (83,381) 165,416 159,189

Unrestricted Funds - Includes donations made principally to support projects which cannot be classified within the Trust's main headings. It also includes funds which have been donated in advance of any designation or restriction applied by or notified to the Trustees.

Restricted Fund - This fund includes donations made in support of the Young Rural Drivers project of the Trust which are restricted for the specific purpose of the grant provided.

10 ANALYSIS OF NET ASSETS (CURRENT YEAR)

Restricted Funds 2022 £ - -	Unrestricted Funds 2022 £ 246,017 (25,962)	Total Funds 2022 £ 246,017 (25,962)
-	220,055	220,055

Restricted Funds 2021 £ 18,000 (15,800)	Unrestricted Funds 2021 £ 187,916 (30,927)	Total Funds 2021 £ 205,916 (46,727)
2,200	156,989	159,189

11 ULTIMATE CONTROLLING PARTY

The Trustees are the ultimate controlling party.