2023-03-31-accounts

Company Registration Number: 06210127 Charity Registration Number: 1126466

South Tyneside Citizens Advice Bureau Financial Statements For the Year Ending 31 March 2023

JANE ASCROFT ACCOUNTANCY LIMITED

Chartered Accountants Enterprise House Harmire Enterprise Park Barnard Castle County Durham DL12 8XP

South Tyneside Citizens Advice Bureau

Financial Statements

Year Ended 31 March 2023

	Page
Trustees' Annual Report (Incorporating the Director's Report)	1
Independent Examiner's Report to the Trustees	9
Statement of Financial Activities (Including Income and Expenditure Account)	10
Statement of Financial Position	11
Statement of Cash Flows	12
Notes to the Financial Statements	13
The Following Pages Do Not Form Part of the Financial Statements
Detailed Statement of Financial Activities	26

South Tyneside Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Director's Report)

Year Ended 31 March 2023

The trustees, who are also the directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the year ended 31 March 2023.

Objectives and Activities

South Tyneside Local Citizens Advice (LCA) objectives are to promote the charitable purpose for the benefit of the community of South Tyneside by the advancement of education, the protection and preservation of health, and the relief of poverty, sickness and distress. Information, advice and representation are the tools we use to achieve this and we have recovered over £8 million for our beneficiaries in the last financial year. In carrying out these objectives, and in all aspects of its work, we are committed to promoting equality, diversity & inclusion, preventing prejudice and discrimination, ensuring equal access to advice and promoting good relations between all sections of the community.

In view of the relationship with National Citizens Advice, we are required to comply fully with the aims and principles of the service and we are regularly audited to ensure this compliance.

Public Benefit

The Trustees have had regard to the Charity Commission's guidance on their legal duty of public benefit, and are satisfied that the charity delivers public benefit, and due regard is paid to the guidance on public benefit when deciding on what new projects the charity should undertake.

1

South Tyneside Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year Ended 31 March 2023

Achievements and Performance

The main areas of our charitable activities are the provision of information, advice and representation to anyone living and/or working in South Tyneside. Whilst our services are open to all communities, the majority of our clients are on low incomes and as such the majority of our advice and assistance relates to Welfare Benefits and Debt. To ensure equality, diversity and inclusion we also offer our services to the Ethnic Minority communities in their first language, to ensure no-one is disenfranchised from using our services due to language or cultural differences.

The ongoing current cost of living crisis has pushed many more people further into financial hardship and the need for our services has never been greater. Referrals to food banks and charitable grants to help with fuel costs continues to play a major role in our work, over and above the legal advice and representation we are able to offer people.

Throughout the financial year the Charity has complied with all policy and legislation laid down by the Charities Commission, Companies House, The Financial Conduct Authority and Citizens Advice to ensure the smooth and effective running of the Charity and it's control over its finances. We are audited each year to ensure full compliance.

The Trustee Board regularly assess its collective skills to ensure its ability to conduct the Charities business and an annual Trustee Self-appraisal takes place to confirm this and to identify any areas where improvements can be made.

As part of the Citizens Advice Network the quality of our advice is monitored nationally on a rolling 12 monthly basis as a Key Performance Indicator and rated Green, Amber, Yellow or Red. The Charity has achieved a green rating on all issues and the Assessor from Citizens Advice has confirmed the following: -

"Our assessments show you can have confidence that you give good advice consistently".

Citizens Advice nationally also undertake a rolling 12-month remote Client Satisfaction Survey on each Local Citizens Advice and score them against the National average. The following table shows our scoring for the last financial year, which you will see is higher than the National average on all areas.

areas.
Survey Question	Our Score	National Average
Ease of Access for client	85%	73%
Way forward for client	90%	83%
Problems resolved for client	81%	74%
Would clientrecommend ourservice	91%	85%

Both the quality of advice and the services provided to our beneficiaries confirms that the Charity is meeting all its charitable aims and objectives.

The key charity outcomes and statistics below confirm our achievements and performance over the last year and we can confirm that we had a 32% increase in overall demand on the previous years figures. It is always worth reminding ourselves, that behind these statistics are people's lives and livelihoods as they struggle to manage during these extremely difficult financial times.

2

South Tyneside Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year Ended 31 March 2023

Key Charity Outcomes & Statistics

Number of Clients advised	11,037		Money Recovered for Clients	£8,189,138
Number of Issues dealt with	47,793		Debts dealt with for Clients	£4,483,423
Client by Type	Clients		Issues by Type	Issues
Benefits & Tax Credits	2,744		Benefits & Tax Credits	11,639
Universal Credit	3,384		Universal Credit	19,817
Consumer Goods & Services	96		Consumer Goods & Services	174
Charitable Support/ Food banks	671		Charitable Support/ Food banks	1,257
Debt	1,555		Debt	9,923
Discrimination & Hate Crime	23		Discrimination & Hate Crime	37
Education	34		Education	49
Employment	316		Employment	697
Financial Services & Capability	134		Financial Services & Capability	208
Health & Community Care	121		Health & Community Care	232
Housing	526		Housing	1,055
Immigration & Nationality	154		Immigration & Nationality	360
Legal	265		Legal	442
Relationship & Family	356		Relationship & Family	653
Tax	60		Tax	82
Travel & Transport	100		Travel & Transport	144
Utilities & Communications	426		Utilities & Communications	674
Other	72		Other	350
Grand Total	*11,037		Grand Total	*47,793
*The number of issues is always higher	than the number of clients as most clients present with more than one
issue.
	Client Profile
Gender	%		Ethnicity	%

	Client Profile	Client Profile	Client Profile
Gender	%		Ethnicity	%
Female	60%		White	88%
Male	40%		Asian	6%
Prefer different term (Other)	0%		Black	3%
Grand Total	100%		Mixed	2%
			Other	1%
Disability	%
Disabled	14%
Long-Term Health Condition	35%
Not disabled/no health problems	51%
Grand Total	100%		Grand Total	100%

3

South Tyneside Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year Ended 31 March 2023

Financial Review

Investment policy

Aside from retaining a prudent amount in reserves each year, most of the Bureau's funds are to be spent in the short term so there are few funds for long term investment. Surplus bank balances are placed in interest-bearing accounts, however, given the current rate of interest being offered by banks nationally, the interest received on these sums is negligible in comparison to that in previous years.

Reserves policy

The trustees believe that the bureau should hold financial reserves in order to ensure that the charity can continue to operate and meet the needs of clients in the event of unforeseen and potentially financially damaging circumstances arising. It has taken into account the reliability and continuance of future funding, timing of cash flows and working capital requirements, cover for unplanned emergency repairs and potential liabilities relating to staff should there be closure of a particular activity.

The trustees consider therefore that it would be prudent to set aside a reserves policy of £200,000 equivalent to 6 months Central and General running costs.

Designated Costs

In addition Unrestricted funds of £80,000 have been designated for the following purposes:-

Equipment reserve - a reserve to ensure that there is sufficient money to replace equipment when it becomes obsolete or beyond economic repair.

Contractual commitment reserve - a reserve to ensure that the bureau is able to cover contracted payments to staff such as redundancy, provision of locum maternity cover, and the costs of any disciplinary and/or grievance procedures which may arise.

Premises - a reserve to provide for the cost of major repairs and maintenance of the bureau for the next 5 years.

Development reserve - a reserve to allow the bureau to undertake the development of new projects and areas of work and to conduct full feasibility studies on the advisability of such proposals.

The following funds detailed in note 14 are restricted by the donor or funder and cannot be used for the general purposes of the bureau. Their existence, and the sums of money therein, do not imply that there has been an underspend but may result from a variety of circumstances including timing differences between the bureau's financial year and the funding year of the project concerned.

This reserves policy is monitored and reviewed by the trustees annually.

4

South Tyneside Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year Ended 31 March 2023

Structure, Governance and Management

Governing document

The Bureau was incorporated on 12th April 2007 (no. 06210127) and registered as a charity on 28th October 2008 (no. 1126466). It is governed by its Memorandum and Articles of Association. Prior to incorporation the Bureau was registered as a Charity (no. 255978) on 4th June 1968.

Recruitment and appointment of Management Committee members

The Bureau is managed by a Management Committee ("the Committee"), which is drawn from the local community and whose members have backgrounds relevant to the Bureau's work. The members are charity trustees who have legal responsibility for the general control and management of the Bureau, including financial management and control.

The Committee is responsible for ensuring that the Bureau complies with the Citizens Advice ("CitA") membership scheme, charity and company legislation and obtaining/managing resources for the service within South Tyneside. In practice, day-to-day management is delegated to the Chief Executive Officer and Manager.

The Committee members are elected at the AGM to serve until the subsequent AGM. The maximum number of committee members is 15, up to one-third of whom may be nominated by any local organisations which are committed to the aims and responsibilities of the Bureau. Currently, four Committee members are nominated by South Tyneside Metropolitan Borough Council ("STMBC"). In addition, the Chief Executive Officer and Manager, and no more than three staff representatives have membership of the Committee, a a complement which is currently filled.

Organisational structure

The Committee meets at least quarterly and is responsible for the strategic direction and policy of the Bureau. The governing documents provide for the appointment of such sub-committees as may be deemed necessary to ensure the smooth running of the Bureau. Currently, there is an Executive Sub-committee comprising of 5 of the Committee members and it is their responsibility to take management decisions, including all personnel and staff-related matters, between the quarterly Committee meetings. The Executive Sub-committee meets at least once between each Committee meeting.

The Bureau also has a Premises Committee, comprising of 5 of the members from both the staff and Management Committee, and which has responsibility for all premises business, including Health and Safety.

A scheme of delegation is in place and day-to-day responsibility for the provision of services at the Bureau's two locations, South Shields and Jarrow, rests with the Chief Executive Officer and Manager.

5

South Tyneside Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year Ended 31 March 2023

Management Committee induction and training

Most Committee members have been involved with the charity for several years prior to the transfer of activities and are therefore familiar with the Bureau's practical work. New members are presented with a copy of the Bureau's Office Manual (which was last updated in May 2023) which includes comprehensive information on the membership of the Committee and sub-committees, and the responsibilities of the relevant members of each.

Committee members can use CitA's intranet site, CABlink and the Bureau Management Information System (BMIS), which hosts designated trustee pages with a broad range of internal and external reference material and information to support them in their roles. Regular Trustee training and events are organised which Trustees are encouraged to attend.

Related parties

The Bureau, in common with all other bureaux in the UK, is a member of Citizens Advice, the national charity (charity register number 279057) which sets standards for advice and equality & diversity throughout the bureaux network. The Bureau receives support in the form of training, information systems and submits to regular audits from CitA, which are supplemented by the Bureau's own internal Independent File Review programme.

The Bureau has now signed up to the new Membership Agreement with Citizens Advice which includes a new Performance Quality Framework which monitors and audits all aspects of our work with the ability to make comparisons between similar Bureaux on key areas such as quality of advice, financial controls and governance.

As well as providing a number of Committee members, STMBC provides core funding to the Bureau on the proviso that the key aims of the Bureau remain to be similar to their own aims which include the promotion of financial inclusion and resolution of social and economic problems, leading to greater quality of life for its residents.

Risk management

A risk management system exists within the Bureau ·which sets out the major risks to which it is exposed, as identified by the Committee. By and large many of the perceived risks are shared by a number of bureaux which makes for ease of management through policies and procedures directed through CitA. Notwithstanding this, the Committee periodically review the risks and systems and establish procedures to identify, monitor and manage risks which may be particular to the Bureau.

6

South Tyneside Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year Ended 31 March 2023

Reference and Administrative	Details
Registered charity name	South Tyneside Citizens Advice	Bureau
Charity registration number	1126466
Company registration number	06210127
Principal office and registered	2nd Floor
office	Edinburgh Building
	Station Approach
	South Shields
	NE33 1HR
The Trustees
	Mr K Palmer (Chair)
	Mr G Pattison (Treasurer)
	Ms J Ward
	Cllr. S Dean
	Ms S Barton
	Mr P Lott (Vice Chair)
	Mr K Whitehead
	Cllr. R Berkeley
	Cllr. A Best
	Cllr. L McHugh
	Ms M Begum	(Appointed 26 October 2022)
Staff Reps	D Burt C Fairclough
Ex-Officio	K Fox – Manager M Robson – Deputy Manager
Company Secretary	Mr I Thompson
Independent Examiner	Jane Ascroft FCA MA (Cantab)
	Enterprise House
	Harmire Enterprise Park
	Barnard Castle
	County Durham
	DL12 8XP

Small Company Provisions

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

7

South Tyneside Citizens Advice Bureau

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year Ended 31 March 2023

The trustees' annual report was approved on .............................. and signed on behalf of the board of trustees by:

Mr I Thompson Charity Secretary

8

South Tyneside Citizens Advice Bureau

Independent Examiner's Report to the Trustees of South Tyneside Citizens Advice Bureau

Year Ended 31 March 2023

I report to the trustees on my examination of the financial statements of South Tyneside Citizens Advice Bureau ('the charity') for the year ended 31 March 2023.

Responsibilities and Basis of Report

As the trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 ('the 2006 Act’).

Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent Examiner's Statement

Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales (ICAEW), which is one of the listed bodies.

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:

1. accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or

2. the financial statements do not accord with those records; or

3. the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act 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; or

4. the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

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.

Jane Ascroft FCA MA (Cantab) Independent Examiner

Enterprise House Harmire Enterprise Park Barnard Castle County Durham DL12 8XP

9

South Tyneside Citizens Advice Bureau

Statement of Financial Activities (including income and expenditure account)

Year Ended 31 March 2023

			2023		2022
		Unrestricted	Restricted
		funds	funds	Total funds	Total funds
	Note	£	£	£	£
Income and endowments
Donations and legacies	5	1,451	24,800	26,251	2,666
Charitable activities	6	188,846	657,844	846,690	782,398
Investment income	7	214	–	214	77
		─────────	─────────	─────────	─────────
Total income		190,511	682,644	873,155	785,141
		═════════	═════════	═════════	═════════
Expenditure
Expenditure on charitable activities	8,9	96,445	667,257	763,702	714,642
		─────────	─────────	─────────	─────────
Total expenditure		96,445	667,257	763,702	714,642
		═════════	═════════	═════════	═════════
		─────────	─────────	─────────	─────────
Net income		94,066	15,387	109,453	70,499
		═════════	═════════	═════════	═════════
Transfers between funds		4,608	(4,608)	–	–
		─────────	─────────	─────────	─────────
Net movement in funds		98,674	10,779	109,453	70,499
Reconciliation of funds
Total funds brought forward		553,494	12,180	565,674	495,175
		─────────	─────────	─────────	─────────
Total funds carried forward		652,168	22,959	675,127	565,674
		═════════	═════════	═════════	═════════

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 13 to 24 form part of these financial statements.

10

South Tyneside Citizens Advice Bureau

Statement of Financial Position

31 March 2023

		2023	2022
	Note	£	£
Fixed Assets
Tangible fixed assets	15	66,325	71,612
Current Assets
Debtors	16	72,072	49,352
Cash at bank and in hand		560,800	483,870
		─────────	─────────
		632,872	533,222
Creditors: amounts falling due within one year	17	24,070	39,160
		─────────	─────────
Net Current Assets		608,802	494,062
		─────────	─────────
Total Assets Less Current Liabilities		675,127	565,674
		─────────	─────────
Net Assets		675,127	565,674
		═════════	═════════
Funds of the Charity
Restricted funds		22,959	12,180
Unrestricted funds		652,168	553,494
		─────────	─────────
Total charity funds	19	675,127 ═════════	565,674 ═════════

For the year ending 31 March 2023 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476;

• The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.

These financial statements were approved by the board of trustees and authorised for issue on ........................, and are signed on behalf of the board by:

Mr K Palmer (Chair) Trustee

Mr G Pattison (Treasurer) Trustee

The notes on pages 13 to 24 form part of these financial statements.

11

South Tyneside Citizens Advice Bureau

Statement of Cash Flows

Year Ended 31 March 2023

	2023	2022
	£	£
Cash Flows from Operating Activities
Net income	109,453	70,499
Adjustments for:
Depreciation of tangible fixed assets	5,287	5,845
Other interest receivable and similar income	(214)	(77)
Accrued income	(3,945)	(38)
Changes in:
Trade and other debtors	(20,674)	(31,938)
Trade and other creditors	(13,191)	10,087
	─────────	────────
Cash generated from operations	76,716	54,378
Interest received	214	77
	────────	────────
Net cash from operating activities	76,930	54,455
	════════	════════
Net Increase in Cash and Cash Equivalents	76,930	54,455
Cash and Cash Equivalents at Beginning of Year	483,870	429,415
	─────────	─────────
Cash and Cash Equivalents at End of Year	560,800	483,870
	═════════	═════════

The notes on pages 13 to 24 form part of these financial statements.

12

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements

Year Ended 31 March 2023

1. General Information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is 2nd Floor, Edinburgh Building, Station Approach, South Shields, NE33 1HR.

2. Statement of Compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.

3. Accounting Policies

Basis of Preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going Concern

There are no material uncertainties about the charity’s ability to continue.

Judgements and Key Sources of Estimation Uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The trustees consider that there are no significant estimates or judgements affecting these financial statements.

Fund Accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

13

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

3. Accounting Policies (continued)

Income

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

• income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.

• legacy income is recognised when receipt is probable and entitlement is established.

• income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

Expenditure

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

• expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.

• expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.

• other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Operating Leases

Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

14

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

3. Accounting Policies (continued)

Tangible Assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property - 2% straight line Fixtures, fittings & equipment - 15% reducing balance

Impairment of Fixed Assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Financial Instruments

The charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Defined Contribution Plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Accrued income and tax recoverable is included at the best estimate of the amounts receivable at the balance sheet date.

Cash at Bank and in Hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

15

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

3. Accounting Policies (continued)

Creditors

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

Taxation

The company is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

4. Limited by Guarantee

The company is limited by guarantee. At 31st March 2023 there were 11 members each of whom had undertaken to contribute an amount not exceeding £1 in the event of a winding up.

5. Donations and Legacies

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2023
	£	£	£
Donations
Donations	1,451	–	1,451
Grants
Awards For All	–	9,800	9,800
Cita - Cost of living	–	15,000	15,000
	───────	────────	────────
	1,451	24,800	26,251
	═══════	════════	════════
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2022
	£	£	£
Donations
Donations	2,666	–	2,666
	───────	────	───────
	2,666	–	2,666
	═══════	════	═══════

16

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

6. Charitable Activities

			Unrestricted	Restricted	Total Funds
			Funds	Funds	2023
			£	£	£
	South Tyneside Metropolitan Borough	Council
	(STMBC)		188,550	–	188,550
	The National Lottery Community Fund		–	70,000	70,000
	Debt Advice Project (DAP)		–	264,991	264,991
	Minority Ethnic Project (MEP)		–	38,400	38,400
	Wise Group (BBO)		–	36,304	36,304
	Help to Claim		–	139,352	139,352
	The Henry Smith Charity		–	60,000	60,000
	HMRC		–	33,583	33,583
	SLIP		–	14,064	14,064
	Income for vulnerable clients		–	1,150	1,150
	Other income from charitable activities		296	–	296
			─────────	─────────	─────────
			188,846	657,844	846,690
			═════════	═════════	═════════
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2022
			£	£	£
	South Tyneside Metropolitan Borough	Council
	(STMBC)		129,000	30,000	159,000
	The National Lottery Community Fund		–	70,000	70,000
	Debt Advice Project (DAP)		–	267,063	267,063
	Minority Ethnic Project (MEP)		–	15,997	15,997
	MAPs TR		–	25,109	25,109
	Wise Group (BBO)		–	38,540	38,540
	Help to Claim		–	82,435	82,435
	The Henry Smith Charity		–	60,350	60,350
	HMRC		–	32,000	32,000
	SLIP		–	29,844	29,844
	Income for vulnerable clients		–	2,060	2,060
			─────────	─────────	─────────
			129,000	653,398	782,398
			═════════	═════════	═════════
7.	Investment Income
		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2023	Funds	2022
		£	£	£	£
	Bank interest receivable	214	214	77	77
		════	════	════	════

17

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

8. Expenditure on Charitable Activities by Fund Type

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2023
	£	£	£
General Advice	96,445	9,800	106,245
Money Advice Service Debit Advice Project	–	264,991	264,991
National Lottery Advice Services	–	72,611	72,611
Minority Ethnic Projects	–	40,590	40,590
HMRC	–	33,583	33,583
BBO	–	36,304	36,304
The Henry Smith Charity	–	60,000	60,000
Universal Credit Help To Claim	–	139,352	139,352
Vulnerable Clients	–	570	570
SLIP	–	9,456	9,456
	────────	─────────	─────────
	96,445	667,257	763,702
	════════	═════════	═════════
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2022
	£	£	£
General Advice	7,859	–	7,859
Money Advice Service Debit Advice Project	–	287,442	287,442
National Lottery Advice Services	–	97,389	97,389
Minority Ethnic Projects	–	26,007	26,007
MAPs TR	–	24,658	24,658
BBO	–	48,325	48,325
The Henry Smith Charity	–	91,068	91,068
Universal Credit Help To Claim	–	101,013	101,013
Vulnerable Clients	–	590	590
SLIP	–	30,291	30,291
	───────	─────────	─────────
	7,859	706,783	714,642
	═══════	═════════	═════════
Expenditure on Charitable Activities by Activity	Type
	Activities
	undertaken	Total funds	Total fund
	directly	2023	2022
	£	£	£
General Advice	106,245	106,245	7,859
Money Advice Service Debit Advice Project	264,991	264,991	287,442
National Lottery Advice Services	72,611	72,611	97,389
Minority Ethnic Projects	40,590	40,590	26,007
MAPs TR	–	–	24,658
HMRC	33,583	33,583	–

9. Expenditure on Charitable Activities by Activity Type

18

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

BBO	36,304	36,304	48,325
The Henry Smith Charity	60,000	60,000	91,068
Universal Credit Help To Claim	139,352	139,352	101,013
Vulnerable Clients	570	570	590
SLIP	9,456	9,456	30,291
	─────────	─────────	─────────
	763,702	763,702	714,642
	═════════	═════════	═════════

10. Net Income

Net income is stated after charging/(crediting):

Net income is stated after charging/(crediting):
	2023	2022
	£	£
Depreciation of tangible fixed assets	5,287	5,845
	═══════	═══════
Independent Examination Fees
	2023	2022
	£	£
Fees payable to the independent examiner for:
Independent examination of the financial statements	650	650
Other financial services	1,048	1,018
	───────	───────
	1,698	1,668
	═══════	═══════

11. Independent Examination Fees

12. Staff Costs

The total staff costs and employee benefits for the reporting period are analysed as follows:

	2023	2022
	£	£
Wages and salaries	550,471	517,724
Social security costs	50,014	40,031
Employer contributions to pension plans	8,925	8,729
	─────────	─────────
	609,410	566,484
	═════════	═════════

The average head count of employees during the year was 24 (2022: 24). The average	The average head count of employees during the year was 24 (2022: 24). The average	number
of full-time equivalent employees during the year is analysed as follows:
	2023	2022
	No.	No.
Number of staff	24	24
	════	════

No employee received employee benefits of more than £60,000 during the year (2022: Nil).

13. Trustee Remuneration and Expenses

Trustees received neither remuneration nor expenses during the current and previous financial year.

14. Transfers Between Funds

During the year £4,608 was transferred from restricted to unrestricted funds. This was a contribution to overheads from the SLIP project.

19

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

15. Tangible Fixed Assets

			Fixtures,
		Freehold	fittings and
		property	equipment	Total
		£	£	£
	Cost
	At 1 April 2022 and 31 March 2023	82,377	262,978	345,355
		════════	═════════	═════════
	Depreciation
	At 1 April 2022	26,242	247,501	273,743
	Charge for the year	1,648	3,639	5,287
		────────	─────────	─────────
	At 31 March 2023	27,890	251,140	279,030
		════════	═════════	═════════
	Carrying amount
	At 31 March 2023	54,487	11,838	66,325
		════════	═════════	═════════
	At 31 March 2022	56,135	15,477	71,612
		════════	═════════	═════════
16.	Debtors
			2023	2022
			£	£
	Trade debtors		32,250	39,701
	Prepayments and accrued income		39,752	9,651
	Other debtors		70	–
			────────	────────
			72,072	49,352
			════════	════════
17.	Creditors: amounts falling due within one year
			2023	2022
			£	£
	Trade creditors		2,352	17,011
	Accruals and deferred income		4,611	6,510
	Social security and other taxes		11,958	11,544
	Pension creditor		2,951	2,348
	Other creditors		2,198	1,747
			────────	────────
			24,070	39,160
			════════	════════

18. Pensions and Other Post Retirement Benefits

Defined contribution plans

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £8,925 (2022: £8,729).

20

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

19. Analysis of Charitable Funds

Unrestricted funds

Unrestricted funds
	At				At 31 March
	1 April 2022	Income	Expenditure	Transfers	2023
	£	£	£	£	£
General funds	401,882	190,511	(91,158)	(95,392)	405,843
Operating provision
reserve	80,000	–	–	–	80,000
Capital funds	71,612	–	(5,287)	–	66,325
Welfare Benefit project	–	–	–	100,000	100,000
	─────────	─────────	────────	─────────	─────────
	553,494	190,511	(96,445)	4,608	652,168
	═════════	═════════	════════	═════════	═════════
					At
	At				31 March 202
	1 April 2021	Income	Expenditure	Transfers	2
	£	£	£	£	£
General funds	313,476	131,743	(2,014)	(41,323)	401,882
Operating provision
reserve	80,000	–	–	–	80,000
Capital funds	77,457	–	(5,845)	–	71,612
Welfare Benefit project	–	–	–	–	–
	─────────	─────────	───────	────────	─────────
	470,933	131,743	(7,859)	(41,323)	553,494
	═════════	═════════	═══════	════════	═════════

Purpose of General funds:

South Tyneside Council - Core funding provided to allow the company to meet its primary objectives of delivering multi-channel information and advice services through 'drop in' and appointments. Advice Services are designed to meet the needs of South Tyneside residents and help them address the social and economic problems they are currently facing.

By resolving the social and economic problems of residents the company increases social and financial inclusion and thereby improves general health and well-being within some of our most disadvantaged communities.

Operating provision reserve - The trustees have designated funds sufficient to keep a level of reserve appropriate to the nature of the charity's work and overall monthly expenditure, and to mitigate any unforeseen fluctuating income that might affect its ability to function and maintain its core service to the community. The board of trustees deem that a reserve equivalent to the provision of two months' running costs is sufficient in this regard.

Capital Fund - records the capital addition funded out of unrestricted funds. The fund is charged with depreciation. The transfer during the year reflects the net investment in fixed assets additions during the year which were not funded out of restricted grants.

Welfare Benefit project - This is money set aside to support ongoing welfare benefit support.

21

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

19. Analysis of Charitable Funds (continued)

Restricted funds

Restricted funds
	At				At 31 March
	1 April 2022	Income	Expenditure	Transfers	2023
	£	£	£	£	£
Debt Advice Project
(DAP)	–	264,991	(264,991)	–	–
Vulnerable Clients	3,038	1,150	(570)	–	3,618
Minority Ethnic project	6,531	38,400	(40,590)	–	4,341
HMRC	–	33,583	(33,583)	–	–
BBO	–	36,304	(36,304)	–	–
Universal Credit - Help
to Claim	–	139,352	(139,352)	–	–
National Lottery
Community Fund	2,611	70,000	(72,611)	–	–
The Henry Smith Charity	–	60,000	(60,000)	–	–
MAPs TR	–	–	–	–	–
SLIP	–	14,064	(9,456)	(4,608)	–
Awards For All	–	9,800	(9,800)	–	–
Cita Cost of Living	–	15,000	–	–	15,000
	────────	─────────	─────────	───────	────────
	12,180	682,644	(667,257)	(4,608)	22,959
	════════	═════════	═════════	═══════	════════
					At
	At				31 March 202
	1 April 2021	Income	Expenditure	Transfers	2
	£	£	£	£	£
Debt Advice Project
(DAP)	–	267,063	(287,444)	20,381	–
Vulnerable Clients	1,568	2,060	(590)	–	3,038
Minority Ethnic project	16,541	15,997	(26,007)	–	6,531
HMRC	–	32,000	–	(32,000)	–
BBO	–	38,540	(48,324)	9,784	–
Universal Credit - Help
to Claim	1,114	82,435	(101,011)	17,462	–
National Lottery
Community Fund	–	100,000	(97,389)	–	2,611
The Henry Smith Charity	–	60,350	(91,069)	30,719	–
MAPs TR	5,019	25,109	(24,658)	(5,470)	–
SLIP	–	29,844	(30,291)	447	–
	────────	─────────	─────────	────────	────────
	24,242	653,398	(706,783)	41,323	12,180
	════════	═════════	═════════	════════	════════

22

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

19. Analysis of Charitable Funds (continued)

Purpose of restricted funds:

Money Advice Services Debt Advice Project - To offer face to face and Telephone debt advice and assistance within South Tyneside on the full range of debt solutions and options open to clients, dependent on their personal circumstances. In order to help clients with unmanageable debt the solutions range from informal reduced repayments up to and including Bankruptcies.

National Lottery Community Fund - A partnership with the National Lottery to fund Social Welfare Advisors with the aim of improving the lives of people most in need through the provision of Social Welfare information, advice and representation.

Minority Ethnic Project - To offer generalist advice and financial awareness and education in all subjects to members of the BAME communities in their own languages, primarily Arabic and Bengali, leading to better social and financial cohesion.

Vulnerable clients - This offers extremely vulnerable clients in desperate short term need a relatively small crisis/hardship payment.

BBO - This is a project funded by the Building Better Opportunities Fund which is a joint programme between the Big Lottery Fund and the European Social Fund. This funds a regional project called Wise Steps with the lead partner being the Wise Group. The project aims to remove barriers and help beneficiaries into paid employment by making them more work ready through help and support.

As a 'Specialist' partner in this project our role is to help people with particular problems such as debt, housing or welfare benefit problems that may be preventing them from finding work. The project commenced on 1/4/17 and finished on 31/3/19.

The Henry Smith Charity - A partnership with the National Lottery to fund Social Welfare Advisors with the aim of improving the lives of people most in need through the provision of Social Welfare information, advice and representation.

Universal Credit - Help to Claim - Citizens Advice has been contracted by the Department for Work & Pensions to assist claimants to make on-line claims for Universal Credit.

HMRC - The LCA receives funding from Her Majesty's Revenue & Customs that allows us to provide dedicated advice and support to all HMRC customers in South Tyneside. This includes assistance in all matters relating to Working & Child Tax Credits, Income Tax, National Insurance, Inheritance Tax etc.

MAPS TR (Money and Pensions Service Trainee) - In response to the economic downturn caused through the national pandemic, the Government agreed to fund agencies to recruit a Trainee Debt Caseworker in order to increase the overall capacity of free debt advice across the country. We are therefore in the process of training a new recruit to Debt work to fulfil the contract and the government's aim of increasing capacity.

SLIP (Support for Litigants In Person) - This is a regional project to advise all clients who require advice and support with any form of litigation free of charges. The project across the North east region offers free legal advice in the social welfare categories of Family, Employment and Welfare Benefit Law. Our role within this project is to offer welfare Benefit advocacy to all clients challenging decisions made by statutory bodies, mainly the Department for Work & Pensions and Local Authorities.

Awards For All - To fit an automatic door to make us more accessible to those with disabilities and make the staff more secure in the building.

23

South Tyneside Citizens Advice Bureau

Notes to the Financial Statements (continued)

Year Ended 31 March 2023

20. Analysis of Net Assets Between Funds

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2023
	£	£	£
Tangible fixed assets	66,325	–	66,325
Current assets	609,913	22,959	632,872
Creditors less than 1 year	(24,070)	–	(24,070)
	─────────	────────	─────────
Net assets	652,168	22,959	675,127
	═════════	════════	═════════
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2022
	£	£	£
Tangible fixed assets	71,612	–	71,612
Current assets	521,042	12,180	533,222
Creditors less than 1 year	(39,160)	–	(39,160)
	─────────	────────	─────────
Net assets	553,494	12,180	565,674
	═════════	════════	═════════

21. Analysis of Changes in Net Debt

					At
	At	1	Apr 2022	Cash flows	31 Mar 2023
			£	£	£
Cash at bank and in hand			483,870	76,930	560,800
			═════════	════════	═════════

22. Operating Lease Commitments

The total future minimum lease payments under non-cancellable operating leases are as follows:

	2023	2022
	£	£
Not later than 1 year	20,000	20,000
Later than 1 year and not later than 5 years	12,110	32,110
	────────	────────
	32,110	52,110
	════════	════════

24

South Tyneside Citizens Advice Bureau

Management Information

Year Ended 31 March 2023

The Following Pages Do Not Form Part of the Financial Statements.

25

South Tyneside Citizens Advice Bureau

Detailed Statement of Financial Activities

Year Ended 31 March 2023

	2023	2022
	£	£
Income and endowments
Donations and legacies
Donations	1,451	2,666
Awards For All	9,800	–
Cita - Cost of living	15,000	–
	────────	───────
	26,251	2,666
	────────	───────
Charitable activities
South Tyneside Metropolitan Borough Council (STMBC)	188,550	159,000
The National Lottery Community Fund	70,000	70,000
Debt Advice Project (DAP)	264,991	267,063
Minority Ethnic Project (MEP)	38,400	15,997
MAPs TR	–	25,109
Wise Group (BBO)	36,304	38,540
Help to Claim	139,352	82,435
The Henry Smith Charity	60,000	60,350
HMRC	33,583	32,000
SLIP	14,064	29,844
Income for vulnerable clients	1,150	2,060
Other income from charitable activities	296	–
	─────────	─────────
	846,690	782,398
	─────────	─────────
Investment income
Bank interest receivable	214	77
	────	────
	─────────	─────────
Total income	873,155	785,141
	═════════	═════════
Expenditure
Wages and salaries	550,471	517,724
Employer's NIC	50,014	40,031
Pension costs	8,925	8,729
Premises costs	68,223	57,300
Office costs	67,366	77,637
Depreciation	5,287	5,845
Staff and volunteer costs	9,685	4,165
Governance costs	1,852	2,394
Other costs	1,879	817
	─────────	─────────
Total expenditure	763,702	714,642
	═════════	═════════
Net income	109,453	70,499
	═════════	═════════

26