2023-01-31-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 2023

REGISTERED CHARITY NUMBER: 1125119

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

LEGAL AND ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED 31 JANUARY 2023

TRUSTEES	E V King
	R Purser
	D MacSporran
	L Pennell (Resigned 30 April 2022)
	S Ladley
	T Rich
	M Born
	K R Miller (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	David Boosey BA(Hons) CA
	MHA
	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 2023

The Trustees present their report along with the financial statements of the Charity for the year ended 31 January 2023. 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 continue promoting Caitlin’s Message , aimed at improving the safety of new drivers on rural roads, as well as progress the strategic groundwork for a new campaign. At the end of the previous year, Trustee’s had agreed this would focus on the environment, however due to new statistics showing the number of car occupants who died not wearing a seatbelt, Trustees’ changed course and decided to work on a campaign focussing on seatbelt usage.

In February 2022, Russia invaded Ukraine and many refugees came to the United Kingdom. The AA Charitable Trust launched ‘ Drive Confident for Ukraine ’ to help ensure refugees could access help to adjust their driving to UK roads. The Trust funded £24,000 of driving courses, split into two funding rounds.

The Trust also continued to help teenagers in care and care leavers learn to drive.

Drive Confident for Ukraine

Trustees agreed to provide £12,000 of funding to pay for Ukrainian refugees to have a free Drive Confident driving refresher lesson with an AA or BSM driving instructor.

On April 14[th] , 2022, applications for Drive Confident courses, funded by the AA Trust, opened. The response was overwhelmingly positive and by April 25[th] the AA Trust had received more than 200 applications, which meant the initial £12,000 of funding had been used up.

Applications were paused briefly while Trustees sought agreement to provide an additional £12,000 of funding. Work also commenced with Drivetech to create an online e-learning course so more people could be helped and so there was an option for people who applied but there was no instructor available in their locality.

Applications for Drive Confident re-opened on June 15th and were, once again, incredibly popular.

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JANUARY 2023 (continued)

ACTIVITIES UNDERTAKEN AND ACHIEVEMENTS (continued)

Drive Confident for Ukraine (continued)

The applications for Drive Confident closed on July 5th as we reached our funding limit. In total, the AA Trust’s funding helped many refugees either with an in-car Drive Confident session (339 booked) or with the eLearning module created by Drivetech (2,414 sent).

We received excellent feedback on the scheme from a BBC journalist and from local refugee support groups who have passed the eLearning module on to people in their area. They said we were the only organisation they could find offering any practical help with refugees’ driving. The total cost came to £24,061, split across the first round (totalling £7,615) and the second round (totalling £16,446). The costs associated with the eLearning module were kindly covered by Drivetech.

Young, Rural Drivers

In the preceding 12 months, the Trust launched ‘ Caitlin’s Message ’ through a partnership with First Car magazine and Caitlin’s mother Sharron Huddlestone. This work was agreed to run for 6 months initially, commencing September 2021 and ending in February 2022. Trustees agreed to extend this promotion until June 2022.

In May 2022, Edmund King OBE, AA Trust director, and Sharron Huddleston presented the campaign at the First Car conference to a great reception. Their presentation attracted the attention of an organisation called Driving Test Success, who offered to help promote the campaign to their audience of learners and parents.

Work with Driving Test Success launched in August 2022 and included email communications, blog posts and social posts to their database A press release was issued for Road Safety Week in November 2022 to highlight Caitlin’s Message . It gained coverage on the BBC and other online outlets.

Helping teenagers in care

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.

In August 2022 the charity Live Unlimited reached a fantastic milestone with their tenth pupil passing the driving test with the AA. The AA Trust contributed to their press release on the issue.

In November 2022, the AA Trust donated £5,000 to support Live Unlimited promote more lessons, and they secured match funding for this amount.

Live Unlimited contacted the Trust in January 2023 because the driving test backlog was having a significant impact on their ability to progress more pupils though their lessons. The AA Trust included Live Unlimited in a PR story about the issue resulting in coverage in national media outlets including the Guardian.

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JANUARY 2023 (continued)

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.

Future campaign

The Trust attended Department for Transport’s Road Safety Education Forum on November 2[nd] 2022. Seatbelts were highlighted as a key priority for future work. Given this, and a delay to the progression of an environmental campaign, Trustees decided to make the focus of their next campaign seatbelts. The environmental campaign will still be developed but, as it is likely to take longer, will be given less priority than seatbelts.

Looking ahead

The focus for the coming year will be on refining the next campaign on seatbelts; ensuring there is support for the campaign from partners as well as developing new research for the campaign. Trustees will also continue to look for ways to support those within, and from, the care system with learning to drive.

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 £64,561 and Restricted Funds of £nil. During the year £92,752 of Unrestricted Funds was expended for direct charitable purposes and £nil expended for Restricted Funds. At the year end £191,864 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 2023 (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
2023
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E V King Trustee 2023

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 2023 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:

David Boosey BA(Hons) CA MHA 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 2023

Restricted Funds 2023 £ - - -	Unrestricted Funds 2023 £ 2,739 - 61,471 351	Total Funds 2023 £ 2,739 - 61,471 351	Total Funds 2022 £ 101,000 10,000 62,953 20
-	64,561	64,561	173,973
- - -	(30,921) (61,471) (360)	(30,921) (61,471) (360)	(48,456) (62,953) (1,698)
-	(92,752)	(92,752)	(113,107)
- -	(28,191) 220,055	(28,191) 220,055	60,866 159,189
-	191,864	191,864	220,055

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

STATEMENT OF FINANCIAL POSITION AS AT 31 JANUARY 2023

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	2023 £ - 199,024	2022 £ - 246,017
	199,024 (7,160)	246,017 (25,962)
	191,864	220,055
	191,864	220,055
	191,864 -	220,055 -
	191,864	220,055

Approved by the Trustees on 10 November 2023 and signed on their behalf by:-

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2023, E V King - Trustee 2023, A Gosling - Trustee
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AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

NOTES FORMING PART OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JANUARY 2023

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 2023

(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 2023 £ - - - -	Unrestricted Funds 2023 £ - 1,739 1,000 -	Total Funds 2023 £ - 1,739 1,000 -	Total Funds 2022 £ 100,000 - 1,000 10,000
-	2,739	2,739	111,000
101,000 10,000
Restricted Funds 2023 £ - - - - -	Unrestricted Funds 2023 £ 270 - 1,590 5,000 24,061	Total Funds 2023 £ 270 - 1,590 5,000 24,061	Total Funds 2022 £ 270 4,906 43,280 - -
-	30,921	30,921	48,456
36,256 12,200

2 INCOME

3[EXPENDITURE ON CHARITABLE ACTIVITIES]

4 REIMBURSED COSTS

Salary costs Total funds 2022

Restricted Funds 2023 £	Unrestricted Funds 2023 £	Total Funds 2023 £	Total Funds 2022 £
-	61,471	61,471	62,953
62,953

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.

5 GOVERNANCE COSTS

Independent Examination

Total funds 2022

Restricted Funds 2023 £	Unrestricted Funds 2023 £	Total Funds 2023 £	Total Funds 2022 £
-	360	360	1,698

AUTOMOBILE ASSOCIATION CHARITABLE TRUST FOR ROAD SAFETY AND THE ENVIRONMENT

NOTES FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2023

(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 £45,120 (2022: £49,259). No other trustee remuneration or benefits were incurred for the 2023 nor the 2022 financial year.

There were a transaction in the current period with a close connection. The close connection is with Warburg Pincus LLC who donated £1,739 towards unrestricted funds. Warburg Pincus LLC is an owner of Basing Consortium Co, which is the ultimate parent of AA Limited.

Trustees' expenses

There were no trustees' expenses paid for in the year ended 31st January 2023 nor the year ended 31st January 2022.

7 TAXATION

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

CREDITORS- Amounts falling due within one year Accruals	2023 £	2022 £
	7,160	25,962

8 CREDITORS - Amounts falling due within one year

9 ANALYSIS OF MOVEMENTS ON FUNDS

Unrestricted Funds Restricted Funds ANALYSIS OF MOVEMENTS ON FUNDS (PRIOR YEAR) Unrestricted Funds Restricted Funds	Incoming Resources Balance at Balance at Resources Expended 01.02.2022 31.01.2023 £ £ £ £ 64,561 (92,752) 220,055 191,864 - - - -
	64,561 (92,752) 220,055 191,864

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

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)

Current Assets Creditors due within one year	Restricted Funds 2023 £ - -	Unrestricted Funds 2023 £ 199,024 (7,160)	Total Funds 2023 £ 199,024 (7,160)
	-	191,864	191,864

ANALYSIS OF NET ASSETS (PRIOR YEAR)

Current Assets Creditors due within one year

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

11 ULTIMATE CONTROLLING PARTY

The Trustees are the ultimate controlling party.