2021-03-31-accounts

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LY, Transition[|] Y Network.or;

Trustees’ Report

and Financial Statements for the year ended 31 March 2021

Transition Network

Charity Information	Z
Trustees’ report	3
1 Executive Summary	3
2 Ourobjects	5
3 Activities, achievements and performance	6
3.1 Nurturing reflections, responses and solutions to interlinked global crises and
strengthening and amplifying forms ofcommunity resilience that are rooted in social and
environmental justice	6
3.2 Co-designing, sharing and energising leadership, resources and responsibilities with
Transition Hubs	8
3.3 Better understanding our networkand developing our networking tools for connection
and resilience across our movement	10
3.4 Prioritise and retain capacity to follow through and maximise the impact ofour existing
work; develop and share our understanding ofhowwe do things and why; and support
emergence, creativity and wellbeing across our team	11
3.5 Plans forfuture periods	12
3.6 Grant-making Policy	13
4 Thank You to our Funders	14
5 Financial Review of the Year	15
6 Structure, Governance and Management	16
Independent Examiner’s report	19
Statement of Financial Activities	20
Balance Sheet	21
Statement of Cashflows	22
NotestotheFinancialStatements	23-34

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Transition Network

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Charity Information

(The information below forms part of the Trustees’ Report)

Trustees	The Trustees of the charitable company are its directors forthe purpose ofthe
	Companies Act 2006 and throughout this report are collectively referred to asthe
	Trustees. The Trustees whowere in office during the year and up to the date of
	signing the financial statements were as follows:
	Hilary Susan Jennings
	Peter George Lefort
	Anna Helena Maria Kovasna
	Darren Carl Watmough (appointed 9 December 2020)
	HenryOwen (resigned 28January 2021)
	Joseph Duggan (resigned 28 January 2021)
	Chandra Mouli Vemury (resigned 24 June 2020)
	Rebecca Jane Ayre (appointed 30September 2021)
	Kevin Philip Austin (appointed 30 September 2021)
	Keyne Rowe Walker (appointed 30 September 2021)
Lead Link ofthe	Nicola Hillary
Heart Circle
Charity number	1128675
Company	06135675
number
Registered	c/o Darnells, 30 Fore Street, Totnes, Devon, TQ9 5RP
address
	Darnells, Chartered Accountants, 30 Fore Street, Totnes TQ9 SRP
	TheCo-operativeBank,POBox250,SkelmersdaleWN86WT

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Transition Network

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Trustees’ Report

Incorporating the Directors’ Report for the year ended 31 March 2021.

The Trustees present their annual report and financial statements for the year ended 31 March 2021. The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and the ‘Accounting and Reporting by Charities: Statement of Recommended Practice (FRS102)’ applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

Transition is a movement of communities coming together to reimagine and rebuild our world, addressing the big challenges they face by starting local. In these communities people are working together to create a low-carbon, socially-just, healthier and happier future, which is more enriching and more gentle on the earth than the way most of us live today.

Transition Network supports the Transition movement, amplifies stories of community-led change and nurtures collaborations across difference to challenge us all to reimagine and rebuild our world.

Transition Network is established as a company limited by guarantee and is registered as a charity.

1 Executive Summary

2020/21 was a year in which the impacts of interlinked global crises became more visible and more widely felt. The COVID-19 pandemic sent emotional, practical and economic shockwaves across the world, extreme weather events and multiple other factors continue to shift public discourse around the climate crisis, and the Black Lives Matter uprisings in the US and elsewhere have focused increased attention on long standing issues of racist violence, structural racism and social justice more broadly.

We were encouraged that the relationships, practices and structures developed over time within our organisation, international network and wider movement meant we were able to demonstrate considerable resilience when responding to these challenges. Transition Network adapted its areas of focus in April 2020 to explicitly shift our attention beyond climate emergency declarations at the municipal level and focus instead on nurturing responses to interlinked global crises rooted in social and environmental justice. This enabled the team to explore with much more flexibility what was needed and possible in the months that followed.

In England, to help communities respond to and rebuild from the COVID-19 crisis, we planned and delivered a project called Transition: Bounce Forward. This was funded by The National Lottery Community Fund’s COVID-19 Response Programme. We developed a “What If?” visioning process, ran webinars and a “What Next?” summit. We distributed 111 seed-funding grants to Transition groups for them to run projects in their communities.

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In Europe and Brazil, we have seen the way that the Municipalities in Transition System supports people to build trust, identify a common purpose, explore needs and opportunities in a systemic way and make critical shifts to collaborative action. The development of the new digital system is helping the current pioneer municipalities, and we ran an online training of new tutors as the key part of our strategy to scale out.

Transition Network works in collaboration with a network of national and regional Transition Hubs and their working groups, such as the Hubs Heart Circle, Training Circle and Inner Transition Circle.

In autumn 2020 Transition Network started a comprehensive evaluation of the impact, relevance and potential of the Transition movement. As we lean further into the implications of this evaluation for our future work, we are building on this to co-design strategic interventions in collaboration with the distributed circles and others across the Transition movement and wider ecosystem.

A summary word cloud from the survey responses about “What is the Transition movement really good at, that is needed widely or urgently now, and over the next few years?”:

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foe p | “t SUicCesSs ei i j \ .
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‘A. ~ ‘oO — cana ad “
“n= “ose &~ I = i groups: -
AS SOLUTIONS ps ® tools Shared —
- Pr die MESS
csann een, ~oevernancel- Changes 25
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cog IV |S [OQ Ninspiration
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Seed-funding grants for Hubs have enabled creative, impactful, capacity-building and collaborative activities to happen around our international network. Hubs and other translators have continued to add new translations to the Essential Guide to Transition, now available in 13 languages: English, Chinese, French, German, Hebrew, Hungarian, Italian, Japanese, Polish, Portuguese, Russian, Swedish and Spanish.

Involvement of volunteers

Most Transition groups are volunteer-based and the Transition movement is based on community-led approaches, which in most cases involve volunteers. Transition Network did not have any volunteers within its own team during the year but we collaborate closely, in many projects and areas of work, with volunteers from Transition Hubs and Transition groups.

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2 Our objects

The Charity’s objects are to promote the conservation, protection and improvement of[the][natural] environment and prudent use of natural resources for the benefit of the public, by advancing education and raising awareness of climate change, resource scarcity, peak oil and economic resilience.

It aims to promote individual, community and organisational commitment to a reduction in carbon dioxide emissions, energy saving, reducing reliance upon carbon emitting energy sources and increasing resilience to resource scarcity.

It aims to promote sustainable development for the public benefit by the preservation, conservation and protection of the environment and the prudent use of natural resources.

It also aims to promote sustainable means of achieving economic development and regeneration in order to reduce reliance on scarce resources including oil.

Transition Network’s organisational purpose is to support the Transition movement, amplify stories of community-led change, and nurture collaborations across difference to challenge us all to reimagine and rebuild our world.

Transition Network works in service to the international movement of self-organising Transition groups and Transition Hubs, and others who are creating community-led change for a sustainable and just future founded on wellbeing. From our place within the movement, we encourage Transition to spread and evolve. We facilitate the sharing of inspiration and learning, identify common needs and opportunities, and support the development of tools, training and resources. We cultivate peer-topeer support and build capacity across the movement.

We are learning to embody and integrate the inner dimension of Transition in all that we do. We are nurturing healthy collaborative group cultures rooted in caring for, and connecting with, ourselves, each other and the natural world.

We aim to make Transition more visible, creating opportunities for diverse Transition stories to be shared, to show that a shift to a more equitable and healthy culture is possible. We seek to understand the impact and potential of Transition. We amplify these stories to engage those who are new to Transition, empower those already involved, encourage more participative and holistic decision-making to support community-led change, and attract resources into the movement.

We look for ways to collaborate across and beyond the Transition movement, and to support others to connect and collaborate. We support and co-design emerging approaches that reimagine and rebuild a compassionate culture within resource limits. We experiment with and cross-fertilise ideas to help Transition become more diverse and to respond to changing contexts. We recognise that power and privilege shape our behaviour, as much as they shape the behaviour of the wider world. We actively commit to addressing this, and particularly to welcoming, listening, and responding to marginalised voices within and beyond the movement. In the way that we work, as much as in what we do, we aim to bring people together, to help us to connect with our longing for a better future and our sense of interdependence. We speak from the heart to highlight alternatives to unsustainable systems and challenge assumptions.

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, 3 Activities, achievements and performance } Transition Network sets its Key Areas Areas of Focus each year. In

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Transition Network sets its Key Areas Areas of Focus each year. In 2020 we set these Key Areas of Focus:

1. Nurturing reflections, responses and solutions to interlinked global crises and strengthening and amplifying forms of community resilience that are rooted in social and environmental justice.

2. Co-designing, sharing and energising leadership, resources and responsibilities with Transition Hubs.

3. Better understanding our network and developing our networking tools for connection and resilience across our movement.

4. In these three Area of Focus and in our work generally, we will prioritise and retain capacity to:

5. e Follow through and maximise the impact of our existing work e Develop and share our understanding of how we do things and why e Support emergence, creativity and wellbeing across our team.

This report will cover activities, achievement and performance under each Area of Focus.

3.1 Nurturing reflections, responses and solutions to interlinked global crises and strengthening and amplifying forms of community resilience that are rooted in social and environmental justice

Transition Network, together with the Hubs Heart Circle, responded to the COVID-19 pandemic by setting up two sets of co-facilitated international “Connecting Transitions” online calls for Transitioners from many different countries, giving people an opportunity to share stories and explore responses. The calls helped catalyse our plans for a Transition collaboration platform.

We developed a project called “Transition: Bounce Forward”, which was funded by The National Lottery Community Fund’s COVID-19 Response Programme, to support Transition groups in England. The project had two key aims:

1. Strengthen and support the network of Transition groups and community led climate action initiatives to respond to the COVID-19 crisis and develop community projects that rebuild to a more equitable, resilient and environmentally sustainable future.

We ran a range of webinars on “What is”, “What if?” and aspects of inclusion, diversity and social justice, including “Green but mostly White - Why?” with Nick Anim, from Transition Town Brixton, who has researched inclusivity in the Transition movement. We developed a new What If? visioning process and guide, made available to all Transition groups.

We distributed 111 seed-funding grants to Transition groups in England to run projects on resilience, visioning and social justice in their communities, catalysing an upsurge in new activity and community engagement.

1. Engage Transition groups and the wider sustainability and social justice networks in a larger conversation about changes needed as society moves on from the initial impacts of the COVID19 crisis.

In March 2021 we ran a “What Next?” online summit with over 1,900 attendees and utilised a new platform to bring people together from a range of social and environmental networks.

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The Transition: Bounce Forward project has been very successful in meeting the original aims of the project, with a huge increase in collective engagement, connection and sharing of ideas across England, and many new or expanded projects and activities in local communities.

With the “What Next?” summit we have taken a huge step forward in growing collaboration and connection between Transition groups and many other groups and networks working for social justice and environmental sustainability, with a wide range of[different][groups][and][activists][signing][up][to][the] new platform and attending the online summit events. The “What Next?” summit has helped to inspire these groups and activists to build community power, to imagine new stories of what the future could look like and to identify leverage points to create positive regenerative change.

Our communications work included a range of blogs on aspects of how the Transition movement is responding to and learning from COVID-19. In June 2020, the team co-authored and published a statement on Black Lives Matter which described how we are educating ourselves about structural racism and racist violence, shared some of our work and intentions around social justice and posed questions to stimulate reflection within Transition groups. We prioritised the sharing of Transition and other materials relating to social and environmental justice.

In the USA we provided grants to Transition US - one grant to contribute to the costs of the design and delivery of an innovative Social Justice Community of Practice course, and the other grant to better enable international sharing of their Stories to Action campaign in which they are surfacing and sharing stories of innovative, successful, and replicable projects that have furthered the causes of sustainability, justice, cooperation, and regeneration throughout the USA. We also financially supported the Transition US social justice working group and Inner Resilience Network to compile and amplify videos, resources and links from last year’s Building Bridges discussions, which intended to build a foundation for healthy collaborations and regenerative culture in work around climate justice.

Our collaborations with Boundless Roots and Solidarity Matters helped us to broaden our connections with, and explore the potential to collaborate with, change makers with a strong focus on social justice. We have also been participating in the European Urban Arenas project, attending events exploring drivers and good practice relating to Just and Sustainable Cities.

Rob Hopkins, Sarah McAdam and Filipa Pimentel acted as experts to the European Economic and Social Committee after they were asked by the European Commission to advise on the development of the Climate Pact. The resulting EESC Opinion was adopted in June 2020 and we have seen much of its language around co-design and the significance of community-led action replicated in the Climate Pact itself.

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3.2 Co-designing, sharing and energising leadership, resources and responsibilities with Transition Hubs

We continued to collaborate with Transition Hubs, as we decentralise power, resources and responsibilities across our international network.

Hubs Heart Circle

The Hubs Heart Circle group holds regular half day ‘sprint’ sessions. We have seen many benefits from these sessions, as they connect representatives from Transition Network and our Municipalities in Transition core team with representatives from the Training Circle, Inner Transition Circle and the wider Hubs Group, as well as those whose roles are focused on governance, funding and the development of territorial functions. The individual projects and activities of the various circles have been strengthened and amplified because of the feedback and support from their peers and we are increasingly seeing people and groups outside the Transition Network team identifying and responding at an international scale to needs and opportunities across the wider movement.

A Slack workspace has been created for Hubs representatives and is already proving a useful space where Hubsters are supporting each other, sharing questions and responses and identifying potential for collaborative activities.

Training for Transition Circle

A Training for Transition circle of trainers from Chile, Belgium, Brazil and the UK, with a Transition Network link role, worked on re-energising Transition training coordination. The Training Circle surveyed trainers, and Transitioners who had been trained, creating an excellent report of useful feedback, which they are now using to respond to — particularly around creating a community of practice for Transition trainers, co-designing a set of principles for Transition trainings, and better communications about trainings. As a first step in developing a lively community of practice for trainers/facilitators they ran a series of six webinars in January - April 2021 to share practice and ideas.

Transition Network provided financial support to Transition US, Transition Brasil and Réseau Transition (Brussels/Wallonia) to co-design and deliver the next stage of training work.

We are supporting a group of trainers from the Brussels/Wallonia and French-speaking Switzerland Hubs to explore the questions of the type of leadership needed in the Transition movement, drawing on shared governance, inner transition, 8 Shields, permaculture design and Transition principles. They intend to design a transition leadership description and a training path.

Inner Transition Circle

An international inquiry group of Inner Transition practitioners collaborated on a “Coming Down to Earth” summit on transformative conflict. Over 1,000 people took part in 99 live sessions, and 552 people used a Mighty Networks platform, creating several interest groups during the summit. The Inner Transition inquiry group members incorporated new Transitioners active in the field of Inner Transition, and set up as a new Inner Transition circle. They are offering monthly inner/being spaces to support and connect all those who work within the circles and organisations currently operating at the international scale of our movement, and they are running online gatherings that are open to all.

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Seed-funding for Transition Hubs

We provided seed-funding grants to Transition Hubs, enabling creative, impactful, capacity-building and collaborative activities to happen around our international network. They have supported a range of inspiring work, including training, strategy planning, communications, websites, gatherings and capacity-building. We distributed seed-funding grants to Transition Hubs for Australia, Brazil, Brussels and Wallonia, Chile, Colombia, Croatia, Hungary, Japan, London, Mexico, Paris region, Spain and USA.

Transition Australia developed and started a plan to engage with local councils in a way that focused on key Transition Actions and increased collaboration. The seed-funding helped to complete this work and prepare it in a way that can be scaled within Australia and also serve as a resource in the wider Transition Community.

The grant to Réseau Transition (Brussels and Wallonia) was for the work of Réseau de Soutien a la Transition Intérieure (Inner Transition support network), the French-speaking network of support, care and well-being professionals offering services to Transition actors. They have set up a framework for their members to share their knowledge and practice, and organised several online trainings, for example, for support on eco-anxiety, solastalgia, burn-out support, and grief & resilience.

In Brazil six meetings were held to share and disseminate the Municipalities in Transition system (the framework for local government collaboration).

Transicion Colombia’s “La Transicionera” radio program has been developed, with which the Podcast series #YosoyTransicién was made, with interviews with colleagues from the Transition network Mexico, Brazil and Chile.

Red de Transicién (Spain) reviewed and updated the Transition Launch Online course content in liaison with the Training for Transition circle, and ran the course with 25 diverse participants from Europe and Latin America.

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Transition US has been working on a “From What Is to What If” national campaign, exploring the head, heart, and hands of community resilience through Positive Visioning, Movement Strategy, and Stories to Action. In the third “Stories to Action” phase, Transition US are collecting and sharing stories of successful and replicable Transition projects, published on their website and organising webinars and other ways to share these stories.

The COVID-19 pandemic saw the postponing of some events, including Transici6n México’s planned Curavana event. Some of the ways they redeployed the seed-funding grant include social currencies handbooks, Agile basics online workshop and developing an animated video about Transition.

The pandemic also meant that a Transition Fayre planned by Transition Hungary needed to be postponed. Online and smaller outdoor events have been run instead, and there is nowa fledgling South Budapest Transition Dialogue, a new network of deepening and supportive contacts.

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3.3. Better understanding our network and developing our networking tools for connection and resilience across our movement

We made some improvements to the “Transition Near Me” registration of Transition groups (which features on the Transition Network website), improving visibility, connection and communication with groups and Hubs.

Building on experience from the Connecting Transitions events, Coming Down to Earth summit and the Hubs Group Slack workspace, an international working group is exploring how we might use é ethical, innovative technology to support connection and collaboration between Transitioners working at the international level of scale. The group is working transparently in a way which is informing, and being informed by, similar explorations elsewhere within and beyond our movement. They have created a database of collaborative tools and platforms, agreed assessment criteria and are making a proposal for a prototype to be trialled in the coming months.

This year Transition Network started a comprehensive evaluation of the impact, potential and relevance of the Transition movement. Beginning by compiling and analysing research carried out by others across our movement, we have distributed a multi-language survey which generated 377 responses from Transitioners in 32 countries and have hosted three interactive online discussions in different time zones.

We shared early analysis of the evaluation survey with the wider movement in December, highlighting early emerging themes such as:

• e The Transition movement within a wider ecology of change e Combining systems thinking with supporting grassroots action e To define a narrower focus or hold a holistic picture? e Social justice and environmental focus / Justice, climate, decolonisation e Power and leadership

• e = Inner transition

• e Narratives and vision e Sharing ideas and scaling up

In March 2021 we shared fuller overview reports on Impact and on Relevance and Potential (https://transitionnetwork.org/news-and-blog/what-you-told-us/), which informed the creation of our 2021 Areas of Focus.

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3.4‘ Prioritise and retain capacity to:

e Follow through and maximise the impact of our existing work

The Municipalities in Transition project is a joint project with Transition Hubs. The Municipalities in Transition System was updated following feedback from the first set of communities who had piloted the flexible framework for meaningful collaboration for systemic change - collaboration between local community groups and municipal officials and elected representatives. Communities using the updated Municipalities in Transition System - including an online tool for the mapping and analysis of community actors, actions, leverage points and gaps - are now described as “pioneers”.

The Municipalities in Transition pioneers include former pilot communities Valsamoggia and Santorso in Italy, Vila Mariana, Sao Paulo in Brazil, and Telheiras, Lisbon in Portugal. Two new pioneer communities, Rome Municipio V in Italy and Almocita in Spain, started using the Municipalities in Transition system. The COVID-19 pandemic has slowed the process of new municipalities committing to take up the System, despite the way that the Municipalities in Transition system can support crisis response - for example in Valsamoggia, Italy, the Municipalities in Transition System enabled municipal and community leaders to rapidly shift focus and resources this year, establishing an online system to deliver food to vulnerable people and helping other municipalities to do the same.

The Municipalities in Transition system was chosen by ECOLISE (European Network For Community-Led Initiatives on Climate Change and Sustainability) to be the tool that was presented in the Climate Resilient and Inclusive Cities project taking place in Indonesia and led by The United Cities and Local Governments Asia Pacific. This will result in the implementation of the Municipalities in Transition system in the cities of Kupang and Gorontalo, which will be interesting to validate the system’s adaptability to complex realities and different, diverse cultural settings.

Another significant area of existing work that we continued, to maximise its impact, was to preparea set of Inner Transition resources relating to the personal level of scale, based on thorough previous development work, now available online (https://transitionnetwork.org/news-and-blog/personal-resilience-resources/).

e Develop and share our understanding of how we do things and why

Our Practice of Change work has been continuing, particularly informing, and being applied in, both the evaluation project and our collaboration with the Boundless Roots community. The report of the Boundless Roots inquiry process, Roots of Transformation, has been widely shared and has attracted positive feedback and interest in further collaboration from a range of practitioners.

e Support emergence, creativity and wellbeing across our team

Our monthly staff check-in meetings in July and September focused on the subjects of what supports creativity, capacity and wellbeing.

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3.5 Plans for future periods

Informed by the emerging results of our evaluation work and by strategic conversations with the distributed teams and circles, we created a new primary intention in 2021. This continues our emphasis on working with, and co-design with, people taking distributed roles around our international movement. Our primary intention for 2021/22 is to:

Move through reflection to the co-design, resourcing and implementation of strategic interventions, which respond to this time of accelerating and interconnected crises, in collaboration with people across the Transition movement and the wider ecosystem.

As part of this, and working with others, the Transition Network team will:

• e Support deep exploration of the tensions and possibilities arising from the evaluation process, including active exploration of the Transition movement's relationship with social justice;

• e Increase the impact and visibility of distributed governance across our international network, testing resilience and effectiveness as we go;

• e Find diverse ways to attract resources into the movement, building capacity across different circles, geographies and levels of scale;

• e Support the activation of a virtual collaboration platform for Transitioners working at the international level of scale;

• e Identify and make visible the purpose and role/s that Transition Network will seek to fulfil in the next phase of our development, to include separating, and facilitating good governance for, project/s or hub/s in England & Wales;

• e Weave and share narratives around the impact of our movement and the transformative potential of core Transition practices.

• As we focus on delivering our primary intention, Transition Network will retain capacity to:

• e Follow through and maximise the impact of our work e Support emergence, creativity and wellbeing across our team.

In June 2021 Transition Network commenced a ten-year project called “Growing infrastructure, networks and capacity for Transition in Britain” which is funded by The National Lottery Community Fund. In this project we will build the capacity of Transition groups across the UK, creating the conditions to enable further local experimentation, peer connection and support, and crosspollination of ideas, ultimately leading to change. We plan to:

• e Use community network leadership strategies to create the conditions for peer connection and support, and to build skills and capacities;

• e Distribute resources to grassroots activity to build capacity and the deeper ambition of groups;

• e Work with Transitioners to build distributive and grassroots leadership of the Transition movement in England and Wales with the capacity to catalyse and support Transition in this territory;

• e Support intentional network and field building to create an ecology of community-led movements.

Transition Network is part of a small group which secured development funding from Lankelly Chase Foundation to explore whether and how to set up a resourced community of practice sharing practical learning about the transformational potential of systemic governance.

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3.6 Grant-making Policy

Transition Network made many grants during this year, primarily to distribute financial support to Transition Hubs and Transition groups.

Seed-funding grants for Transition Hubs:

Only Transition Hubs are eligible for these grants. Full Transition Hubs can apply for funds to help them:

• e Support Transition in their territory;

• e Build the capacity of their Hub; or

• e Network and share learning with other Hubs.

Emerging Hubs can only apply for networking and sharing learning with other Hubs.

We ask Hubs, if they are applying for more than one project, to rank them in priority order. We assess all first priority projects and only move on to assess second-priority projects if there is still funding allocation available after the first-priority decisions. This is to promote a good geographical distribution of resources.

Other criteria used to decide the allocation of seed-funding grants to Hubs included whether the project is either strong in strengthening the core work of the Hub, or strong in piloting an innovative idea. We assess the capacity of the Hub to successfully do the project, and prioritise projects that engage people in co-creation, collaboration or collective inspiration.

Seed-funding grants for Transition groups in England made in the Transition: Bounce Forward project funded by The National Lottery Community Fund’s COVID-19 Response Programme:

Only Transition groups in England were eligible for these grants. They could apply for full grants of up to £3,500 or micro grants of up to £500. Our policy was to support many Transition groups, with a wide geographical distribution of the funding. In consultation with representatives from Transition groups across England, criteria were drawn up for eligibility and for scoring and assessing applications.

Other grants:

Transition Network also makes a grant to Réseau Transition to enable the organisation to provide the Hubs Coordinator role for the international Transition Hubs Group network.

Grants relating to Transition training were made to Transition Hubs.

A grant was made to Scottish Communities Climate Action Network, who host the Transition Scotland hub. The grant was to publicise, promote and engage with the Bounce Forward project, convene online meetings for Transition Scotland and continue to collaborate on fundraising for a multi-year Transition capacity-building project in Britain.

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4 Thank You to our Funders

We are immensely grateful to all of our donors and funders who, through their support and vision, enable us to continue to support and inspire the Transition movement, and to explore and develop new approaches.

In particular we thank wholeheartedly the following funders - who have made the work outlined in this report possible - for their grant funding during the year:

• e Our largest funder in the year, a Foundation who wish to remain anonymous, to whom we are incredibly grateful for enabling us to support and stimulate a wealth of work around the world. They have been visionary in providing a three-year grant programme from 2018, to nurture collaboration, amplify and support Transition internationally.

• e KR Foundation for a very significant grant for Transition Network and the Transition Hubs group to take the Municipalities in Transition project to a next stage of scaling up, out and deep.

• ¢ The National Lottery Community Fund’s COVID-19 Response Programme for a very significant grant for the Transition: Bounce Forward project. Transition Network received £267,113 from The National Lottery Community Fund which was used to provide support and strength to its response to COVID-19.

On a small number of occasions Transition Network acts as a “charity conduit” to enable organisations and projects which are strongly aligned with our strategic aims, to access funding. In 2020-2021 we continued to administer a grant from Fondation Charles Léopold Mayer pour le Progrés de Il’Homme for the Real Economy Lab, a project for alternative economics in a low-carbon world.

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5 Financial Review of the Year

Grants comprise 99% of the Charity’s income (2020: 99%). Total income for the year ended 31 March 2021 was £809,806 (2020: £716,178). Restricted income, all of which came from grants, amounted to £801,731 (2020: £708,615) and unrestricted income amounted to £8,075 (2020: £7,563).

The biggest grant received in the year was from a Foundation that wishes to remain anonymous, which funded £400,000 during the year (2020: £350,000). This grant supports a wide range of[the] Charity’s activities and in particular its international work. KR Foundation’s grant instalment of £134,618 (2020: £189,472) enabled the continuation of the Municipalities in Transition project. The Big Lottery Fund (operating as The National Lottery Community Fund) provided a grant of £267,113 for the Transition: Bounce Forward project (2020: £49,000 for the development phase of Transition Regional Connecting and Peer Support).

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The main source of unrestricted income was donations, particularly donations arising from an online conflict transformation summit called “Coming Down to Earth”.

Total expenditure was £868,657 (2020: £566,431). There wasa significant increase in expenditure, most notably caused by expenditure on the Transition: Bounce Forward project. Total staff costs increased by 16% (2020: 18% increase), mainly because of increases in hours worked by some employees due to the Transition: Bounce Forward project.

The amount of unrestricted general funds increased slightly during the year to £129,878 at 31 March 2021 (2020: £121,803). The amount of restricted funds decreased during the year to £105,135 at 31 March 2021 (2020: £172,061). The biggest reason for the decrease in restricted funds was higher expenditure on the Municipalities in Transition project. Total funds held at 31 March 2021 amounted to £235,013 (2020: £293,864).

For Transition Network, the main financial effect of COVID-19 was that it affected funding applications to The National Lottery Community Fund, with a switch from an application to fund a 4 year project to a shorter proposal to help communities respond to and rebuild from the COVID-19 crisis.

Reserves Policy

The reserves policy seeks to balance the objective of spending income with the need to maintain the minimum level of reserves to ensure the Charity can continue its core activities and to provide time to adjust to a change in financial circumstances. Assets must be sufficient to enable the Charity to operate effectively, meet all of its legal obligations and cover any sums payable to staff should they be made redundant. The need to maintain free reserves is emphasized by the Charity’s financial forecasts showing low levels of unrestricted income in future years.

In July 2020 the target level of free reserves was increased to £107,000, which equated to approximately four months’ core running costs. At 31 March 2021 the amount of free reserves, calculated as being unrestricted funds excluding fixed assets, was £129,128 (2020: £120,668), which is slightly above the target level.

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6 Structure, Governance and Management

Governing document

The Charity is incorporated as a company limited by guarantee without share capital (registered number 06135675). Under the provisions of Section 60 of the Companies Act 2006, the company is entitled to omit the word “Limited” from its name. It is governed by its Memorandum and Articles of Association as amended on 21 July 2020. Trustees are all Directors of the company. In the event of the company being wound up the liability of the members is limited to £10 each.

Trustees

The Trustees serving during the year and since the year end were as follows:

HilaryJennings	Co-founder of Transition Tooting, working in the cultural sector on projects
(Co-Chair)	encouraging creative responses to global challenges, Director of the Happy
	Museum Project and a coach and community mediator.
Peter Lefort	Sector & Partnerships Lead for Cornwall Council’s Carbon Neutral Cornwall
(Co-Chair)	programme.
	Research and Education Director ofGlobal Ecovillage Network.
Darren	Darren has worked as Finance Director ofvarious housing associations and as a
Watmough	consultant to the social housing and local authority sectors.
(Treasurer)	;
Rebecca Ayre	Senior Content Officer ofthe Equality and Human Rights Commission.
KevinAustin	DeputyExecutive DirectorofC40CitiesClimate LeadershipGroup.
Keyne Walker	Policy Officer at the RoyalAcademy of Engineering, workingon climate policy and
	systemsapproachestoreachingnetzero.

The Trustees who stepped down in the year were as follows:

Henry	Henry coordinates the Community Action Groups Project Oxfordshire. He has an MSc. in
Owen	Environmental Change and Management, and is involved with a number of local
	community initiatives and direct action campaigns.
Joseph	Co-Chair of Crystal Palace Transition Town since 2011. Co-founder ofTransition London
Duggan	and South East Regional Hub. Freelance facilitator and poet working in schools and
	community groups.
Chandra Vemury	Director ofa structural engineering consultancy. FormerChairman ofJourney to Justice (ahumanrightscharity).

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During the year a treasurer recruitment campaign was conducted, resulting in the appointment of a new trustee, Darren Watmough. In Spring 2021 a trustee recruitment campaign resulted in the appointment of[three][new][trustees,][Rebecca][Ayre,][Kevin][Austin][and][Keyne][Walker.]

The members are Directors for the purpose of company law and Trustees for the purpose of charity law. All trustees are members of Transition Network’s Primary Circle which has the following Purpose and Accountabilities:

Primary Circle Purpose:

To connect to our evolving organisational purpose, agreeing and energising Transition Network’s strategic focus and overall governance model.

Primary Circle Accountabilities:

• e Toset and keep under review our evolutionary organisational purpose (ensuring alignment with the charity’s objects as set out in Transition Network’s Memorandum of Association)

• e To agree any changes to the organisational safety agreement

• e Toadmit new members to the Primary Circle and/or make any changes to criteria for membership

• e To agree any significant changes to Transition Network’s strategic framework, as determined by the strategy review role or other appropriate role

• e To determine broad areas of focus for the organisation over the coming 12 months e Toelect the lead link of the Heart Circle.

The day to day running of the charity is delegated by the Primary Circle to the lead link and Heart Circle. Trustees meet at least three times a year, to receive and approve Primary Circle decisions, and to focus on matters reserved to the trustees including financial performance and risk. The Trustees regularly review the composition of the group of Trustees and consider whether the skills, experience and diversity are effective for the good governance of the Charity. New Trustees are appointed following an application and interview process. As part of the trustee induction process, each new trustee is assigned a steward, who is one of the existing trustees.and who, amongst other things, explains the role and responsibilities to the new trustee.

In January 2020, following a proposal by a delegated HR Group, the Primary Circle of trustees and staff unanimously agreed a new salary structure, whereby in 2020/21 all employees moved to the same full-time equivalent salary, except that the person occupying the Heart Circle Lead Link role receives an additional stipend of £8,000 a year. Any cost of living increases and/or proposals to change the stipend arrangements will be agreed by the HR group annually and then referred to a trustees meeting for approval.

Risk management

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The risk register was reviewed by the trustees three times during the year. Each time the risk with the highest score was the risk of insufficient unrestricted funds. This reflects the Charity’s dependency on a very small number of funders and uncertainty over the future level of grant funding, particularly for our international work. This risk is managed by a regular review of financial forecasts.

Operational risks include the risk of projects or areas of work not meeting their objectives or schedules. To manage this risk, the Heart Circle regularly reviews progress in the main projects and areas of work.

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Statement of Trustees’ responsibilities

Company law requires the Trustees to prepare financial statements that give a true and fair view of the state of affairs of the charity at the end of the financial year and of its surplus or deficit for the financial year. In doing so the Trustees are required to:

• e Select suitable accounting policies and then apply them consistently; e Make sound judgements and estimates that are reasonable and prudent;

• ¢ State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• e Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue its operations.

The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets ofthe charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Public Benefit

Transition Network is a public benefit entity. Charity trustees have a duty to develop strategic plans to ensure that we provide public benefit and achieve our objectives as set out in our governing document. These objectives are set out in section 2 ofthis report. We have referred to the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities. In particularthe Trustees consider how planned activities will contribute to the aims and objectives they have set.

This report has been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006.

Signed on behalf of the Trustees on .J6...November 2021

Peter Lefort (Co-Chair of Trustees)

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Independent Examiner's Report to the Trustees of Transition Network

| report to the Trustees on my examination of the financial statements of Transition Network for the year ended 31 March 2021 which are set out on pages 20 to 34.

Responsibilities and basis of report

As the Trustees of the Charity (and also its directors for the purpose 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 financial statements of the Charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, | report in respect of my examination of the Charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination | have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner’s statement

The charity’s gross income exceeded £250,000 and | am qualified to undertake the examination by being a qualified member of the Institute of Chartered Accountants.

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

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

3. 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).

| 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 financial statements-to be reached.

( // fp | 2 i aad4 ~ Uf.eee, P Beard ACA, FCCA Darnells, Chartered Accountants 30 Fore Street Totnes Devon TQ9 5RP

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TRANSITION NETWORK

STATEMENT OF FINANCIAL ACTIVITIES

INCLUDING INCOME AND EXPENDITURE ACCOUNT

For the year ended 31 March 2021

			Year to 31 March 2021			Year to 31 March 2020
	Unrestricted		Restricted	Total	Unrestricted	Restricted	Total
	Note	Funds	Funds	Funds	Funds	Funds	Funds
		£	£	£	£	£	£
Income from:
Donations and grants	4	6,683	801,731	808,414	2,029	708,615	710,644
Charitable activities	5	1,392	-	1,392	5,534	-	5,534
Total income		8,075	801,731	809,806	7,563	708,615	716,178
Expenditure on:
Raisingfunds	7	-	14,597	14,597	-	11,254	11,254
Charitable activities	8	-	854,060	854,060	-	555,177	555,177
Total expenditure		-	868,657	868,657	-	566,431	566,431
Net income/(expenditure)		8,075	(66,926)	(58,851)	7,563	142,184	149,747
Transfers between funds		-	-	-	-	-	-
Netmovement in funds		8,075	(66,926)	(58,851)	7,563	142,184	149,747
Reconciliation offunds
Total funds brought forward		121,803	172,061	293,864	114,240	29,877	144,117
Totalfundscarriedforward	14	129,878	105,135	235,013	121,803	172,061	293,864

The Statement of Financial Activities includes all gains and losses recognised in the year.

All income and expenditure derives from continuing activities.

The Statement of Financial Activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

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TRANSITION NETWORK

BALANCE SHEET

As at 31 March 2021

		2021	2020
	Note	£	£
Fixed assets
Tangible assets	9	750	1,135
		750	1,135
Current assets
Debtors	10	-	2,415
Cash at bank and in hand		285,948	376,848
		285,948	379,263
Creditors: Amounts falling due within one year	11	(51,685)	(86,534)
Net current assets		234,263	292,729
Total net assets		235,013	293,864
Funds ofthe charity:
Restricted funds	14	105,135	172,061
Unrestricted funds	14	129,878	121,803
Totalfunds		235,013	293,864

The company is entitled to the exemption from the audit requirements contained in section 477 of the Companies Act 2006 for the year ended 31 March 2021. No member of the company has deposited a notice, pursuant to section 476, requiring an audit of these financial statements.

The directors acknowledge their responsibilities for ensuring that the company keeps accounting records which comply with section 386 of the Act and for preparing accounts which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to accounts, so far as applicable to the company.

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 Trustee Boardon [€ November 202{ and signed on their behalf by

Z

Peter Lefort Director and Co-Chair of Trustees

Company Registration Number: 06135675

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TRANSITION NETWORK

STATEMENT OF CASH FLOWS

For the year ended 31 March 2021

			2021	2020
		Note	£	£
Cash flows from operating activities
Net cash (used in) / provided by operating activities		a	(90,900)	219,530
Cash flows from investing activities
Purchase oftangible fixed assets			-	(295)
Net cash provided by/ (used in) investing activities			-	(295)
Change	in cash and cash equivalents in the year		(90,900)	219,235
Cash and cash equivalents atthe beginning oftheyear			376,848	157,613
Cash and cash equivalents atthe end ofthe year		b	285,948	376,848
Notes
a	Reconciliation ofnet (expenditure)/income to net cashflowfrom	from operating activities
			2021	2020
			£	£
	Net (expenditure) /income forthe year		(58,851)	149,747
	Add back depreciation charge		385	554
	Decrease in debtors		2,415	39,846
	(Decrease) / Increase in creditors		(34,849)	29,383
	Net cash (used in) / provided by operating activities		(90,900)	219,530
b	Cash and cash equivalents consist of
			2021	2020
			£	£
	Cash at bank and in hand		285,948	376,848
	Totalcashandcashequivalents		285,948	376,848

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TRANSITION NETWORK

Notes to the financial statements for the year ended 31 March 2021

1. Legal Status of the Charity

Transition Network is a charitable private company limited by guarantee incorporated in England and Wales and does not have a share capital. In the event of the company being wound up each member, or any person who has ceased to be a member within one year of the winding up, undertakes to contribute a sum not exceeding £10 if the company is insolvent. Its registered office is c/o Darnells, 30 Fore Street, Totnes, Devon TQ9 5RP.

1. Accounting Policies

Basis of preparation

Transition Network is a public benefit entity. The financial statements are prepared under the historical cost convention and are in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective January 2019), the Companies Act 2006 and the Charities SORP (FRS102) “Accounting and Reporting by Charities: Statement of Recommended Practice (FRS102) (effective 1 January 2019)” applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102).

The financial statements are prepared on a going concern basis. There are no material uncertainties in respect of the Charity’s ability to continue as a going concern for the foreseeable future, based on latest financial forecasts. The accounts are prepared in sterling, which is the functional currency of the charity.

The principal accounting policies adopted in the preparation of the financial statements are as follows:

• a) Incoming resources

• Income is recognised and included in the accounts when all of the following criteria are met:

  • e the Charity is entitled to the income

  • e the amount can be measured reliably

  • e receipt of the income is considered probable

  • e any performance conditions attached to the income have been met or are fully within the control of the Charity.

• b) Resources expended

Resources expended are recognised in the Statement of Financial Activities (SOFA) on an accruals basis as the liability is incurred. Expenditure includes VAT, which cannot be recovered as the Charity is not registered for VAT.

Charitable expenditure comprises those costs incurred by the Charity in the delivery of its activities. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the Charity and include the reporting accountant’s fees and costs linked to the strategic management of the Charity.

All costs are allocated between the expenditure categories of the SOFA on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly; others are apportioned on an appropriate basis e.g. staff time or estimated usage.

• c) Termination payments The Charity recognises termination payments when it is demonstrably committed to either (i) terminating the employment of current employees according to a detailed formal plan without possibility of withdrawal or (ii) providing termination payments as a result of an offer made to encourage voluntary redundancy.

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TRANSITION NETWORK

Notes to the financial statements for the year ended 31 March 2021

d) Tangible fixed assets and depreciation

• Tangible fixed assets are included at cost less accumulated depreciation. Depreciation is provided at the following rates in order to write off assets over their estimated useful lives:

Fixtures, fittings and equipment 15% of cost

e) Operating lease agreements Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight line basis over the period of the lease.

• f) Fund accounting

Funds held by the charitable company are either:

Unrestricted general funds — these funds can be used in furtherance of any of the purposes of the charity.

Restricted funds — these funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when funds are raised for a specific purpose.

• g) Foreign currency translation

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. All differences are taken to income and expense account.

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

• i) Cash at bank and in hand Cash at bank and in hand includes cash at cash handling organisations through which the Charity receives money.

• j) 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.

• k) Financial instruments

The Charity only has financial assets and financial 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.

3.	Net income forthe year	2021	2020
		£	£
	Net income forthe year is stated after charging:
	Depreciation oftangible assets	385	554
	Independent examiner’s fee	732	732
	OtherfeespayabletotheIndependentExaminer	824	734

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TRANSITION NETWORK Notes to the financial statements for the year ended 31 March 2021

4.	Donations and grants
		2021	2021	2021	2020	2020	2020
		Unrestricted	Restricted	Total	Unrestricted	Restricted	Total
		£	£	£	£	£	£
	Donations from individuals:
	Various general donations	6,683	-	6,683	2,029	-	2,029
		6,683	-	6,683	2,029	-	2,029
	Grants:
	An anonymous Foundation
	(Nurturing Collaboration,
	Amplifying and Supporting
	Transition Internationally)	-	400,000	400,000	-	350,000	350,000
	KR Foundation
	(Municipalities in Transition)	-	134,618	134,618	-	189,472	189,472
	KR Foundation (Diving Deep
	and Dreaming Big)	-	-	-	-	30,296	30,296
	Open Society Initiative for
	Europe
	(Municipalities in Transition)	-	-	-	-	54,847	54,847
	The National Lottery
	Community Fund COVID-19							.
	emergency funding programme
	(Transition: Bounce Forward)	-	267,113	267,113	-	-	-
	Big Lottery Fund (Transition
	Regional Connecting and
	Peer Support— Development
	Phase)	-	-	-	-	49,000	49,000
	TudorTrust (Deepening and
	Sharing Experience of
	Transformative Governance)	-	-	-	-	35,000	35,000
		-	801,731	801,731	-	708,615	708,615
	Totaldonationsandgrants	6,683	801,731	808,414	2,029	708,615	710,644	.

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TRANSITION NETWORK Notes to the financial statements for the year ended 31 March 2021

5. Income from charitable activities

	2021	2021 2021 2020 2020 2020
	Unrestricted	Restricted Total Unrestricted Restricted Total
. £ £ £ £ £ £
. Talks and presentations - - - 859 - 859
Events	-	- - 1,273 - 1,273
Film screenings	350	- 350 2,860 < 2,860
Royalties and book sales	292	- 292 542 - 542
Sundry income	750	- 750 - - -
	1,392	: 1,392 5,534 : 5,534

6. Taxation

The Charity is exempt from corporation tax on income falling within section 505 of the Taxes Act 1988 to the extent that this is applied to its charitable objects.

7. Expenditure on raising funds

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2021 2021 2021 2020 2020 2020
Unrestricted Restricted Total Unrestricted Restricted Total
£ £ £ £ £ £
Staff costs - 14,597 14,597 - 11,254 11,254
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TRANSITION NETWORK Notes to the financial statements for the year ended 31 March 2021

8. Expenditure on charitable activities

	2021	2021	2021	2020	2020	2020
	Unrestricted	Restricted	Total	Unrestricted	Restricted	Total
	£	£	£	£	£	£
Activities undertaken directly
Amplifying Stories	-	1,181	1,181	-	7,792	7,792
Website and IT	-	15,503	15,503	-	13,534	13,534
Talks costs	-	-	>	>	358	358
"Demain" film costs	-	189	189	-	1,402	1,402
Books and royalties	-	-	-	=	363	363
Transition: Bounce
Forward project	=	51,208	51,208	*	2	-
Supporting Transition initiatives
and regional support	-	10,954	10,954	-	21,706	21,706
Project work	-	8,895	8,895	=	846	846
Transition Training	-	31,263	31,263	-	20,302	20,302
Collaborations	-	455	455	-	2,146	2,146
Municipalities in Transition	-	153,121	153,121	-	88,565	88,565
Diving Deep and Dreaming Big	-	-	-	-	45,349	45,349
National Hubs Co-ordinator	-	3,557	3,557	-	-	-
Hubs Heart Circle	=	32,460	32,460	-	290	290
Transformative conflict
programme	-	6,735	6,735	-	8,400	8,400
Strategy Framework and
organisational development	-	4,329	4,329	-	12,421	12,421
Staff costs	-	243,686	243,686	-	211,839	211,839
Overseas freelance
contractor	-	21,555	21,555	-	5,801	5,801
	-	585,091	585,091	-	441,114	441,114
Support costs
Travelling and subsistence	-	-	-	-	4,231	4,231
Rent and rates	-	5,165	5,165	-	5,222	5,222
Office expenses	-	3,920	3,920	-	4,715	4,715
Coaching and recruitment	-	1,674	1,674	-	1,790	1,790
Paypal fees and bank charges	-	271	271	-	249	249
Exchange differences	-	83	83	-	470	470
Depreciation	-	385	385	-	554	554
	-	11,498	11,498	-	17,231	17,231
Governance costs
Trustee meeting expenses	-	-	-	-	522	522
Independent Examination fee	-	732	732	-	732	732
Fees tothe Independent
Examiner for other services	-	824	824	-	734	734
	-	1,556	1,556	-	1,988	1,988

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TRANSITION NETWORK

Notes to the financial statements for the year ended 31 March 2021

8. Expenditure on charitable activities (continued)

	2021	2021	2021	2020	2020	2020
	Unrestricted	Restricted	Total	Unrestricted	Restricted	Total
	£	£	£	£	£	£
Total activities undertaken
directly including support
and governance costs	-	598,145	598,145	-	460,333	460,333
Grant funding of activities
Grants to institutions
Transition: Bounce Forward project
A hundred and eleven grants for
Transition groups in England	-	140,000	140.000	-	-	-
(analysed below)
Nurturing Collaboration, Amplifying and
Supporting Transition Internationally
Various grants	-	115,915	115,915	-	90,712	90,712
(analysed below)
Real Economy Lab
Real Economy Lab	-	-	-	-	4,132	4,132
Total grants to institutions	-	255,915	255,915	-	94,844	94,844
Grants to individuals	-	=	-	=	-	a
Total grants	-	255,915	255,915	-	94,844	94,844
Total expenditure on
charitableactivities	-	854,060	854,060	-	555,177	555,177

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TRANSITION NETWORK Notes to the financial statements for the year ended 31 March 2021

8. Expenditure on charitable activities (continued)

Analysis of grants to institutions (all of which were made from restricted funds)

		2021	2020
Transition: Bounce Forward		£	£
Transition: Bounce Forward full	grants were made forthe following Transition groups in England:
Transition group name	Project Title
CAG Oxfordshire	20 Stories of Climate Action Exhibition	3,370	-
Crystal Palace Transition Town	People's Palace 2030	3,400	-
Herefordshire Green Network	Bounce Forward in 2021	3,480	-
Planet Heswall	Heswall 2030 Vision	3,500	-
	Creative ideas to engage ourcommunity with the
Sustainable St Albans	Climate Action Plan	2,800	-
Transition Bewdley	A Sustainable Transport Future for Bewdley	3,100	-
Transition Exmouth	Exmouth Library ofThings	3,442	-
Transition Kentish Town	Think & Do: What if... imagination space	3,500	-
Transition Liverpool CIC	sPark It Liverpool	3,000	-
Transition New Mills	Home Farm New Mills	3,000	-
Transition Southampton	Southampton Growing Places	3,454	-
	Bringing our Vision to Life - A 2030 Bounceback Vision
Transition Town Brixton	for All	3,500	-
Transition Town Tooting	Tooting Share and Repair Shop	3,150	-
Transition Town Totnes	Morethan a Climate Emergency: What Next?	3,480	-
Transition Town Wellington	Tonedale Forest Garden	3,500	-
TransitionTown Worthing	Surviving Covid	3,130	-
Transition Tufnell Park	Closing loops: From food waste to soil	1,397	-
Transition Wilmslow	Wilmslow Community Market Gardens	3,500	-
Weymouth & Portland	Portland 4the Planet	3,500	-
Bolton Diggers	Transitional Economy Project	3,500	-
Melbourne Area Transition	South Derbyshire - Bounce Forward - What if?	1,040	-
Sustainable Kirtlington	Kirtlington Community Shop atthe Dashwood	2,500	-
Transition Belper	'Wheely Green' Mobile Solar Power Project	2,950	-
Transition Buxton CIC	Buxton 2030	2,150	-
Transition Leytonstone	Nodes of Resilience	3,500	-
Transition Stroud	Stroud Carbon Neutral 2030 Mapping Project	2,400	-
Transition Telford	Telford Repair Cafe	2,500	-
Transition Town Berkhamsted	Grand Union Transition Sustainability Initiative	3,150	-
Transition Town Milton Keynes	2030 - our vision for our city	3,200	-
Transition Town Reading	TheTown that could be	2,555	-
Transition Town West Kirby	RE:CONNECTING WEST KIRBY	3,500	-
Appleby Edibles	Meanwhile Gardens	2,000	-
	A heads, hearts and hands hut in Empty Common
Transition Cambridge	Community Garden.	2,000	-
	Expanding, empowering and upskilling groups working
Transition Leicester	to meet local and global challenges	1,200	-
Climate Hive, Manchester	Climate Hive Manchester Community Resilience	2,000	-
Kirkbymoorside Environment
Group	Kirkbymoorside - Helmsley, Path for Everyone	2,000	-
Wessex Green Hub	Imagination Winchester	2,000	-
Zero Carbon Guildford	Farming ForThe Future	2,000	-
Transition: Bounce Forward full	grants	107,348	-
73 micro grants ofno morethan £501 each made forTransition groups in England totalling		32,652	-
TotalTransition:BounceForwardgrants		140,000	-

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TRANSITION NETWORK

Notes to the financial statements for the year ended 31 March 2021

8. Expenditure on charitable activities (continued)

Analysis of grants to institutions (continued) (all of which were made from restricted funds)

		2021	2020
		£	£
Nurturing Collaboration, Amplifying and Supporting Transition Internationally
Grants were made forthe following	organisations:
Organisation	Project purpose
Various Transition Hubs	Seed-funding	44,834	46,141
Scottish Communities Climate
Action Network (Transition
Scotland)	Collaborate on Transition capacity-building project	7,000	-
Grants to 3 organisations
(Transition US, Transition Brasil
and Réseau Transition)	International Training Co-design projects	12,006	-
Réseau Transition	Trainingon Transition Leadership	5,382	-
Réseau Transition	Re-energisation ofTraining forTransition	-	9,500
Réseau Transition	Translation of InnerTransition Massive Open
	Online Course	5,002	-
Réseau Transition	Hubs Coordinator	37,719	32,446
Transition Mexico	Film distribution	1,010	-
Inner Resilience Network	Building Bridges	1,098	-
Transition US	Social Justice Community of Practice	1,864	-
Transition US	Online summit: Reaching Across Divides	-	2,625
TotalNurturingCollaboration,AmplifyingandSupportingTransitionInternationallygrants		115,915	90,712

The total value of grants made to Réseau Transition in the year was £54,392 (2020: £41,946).

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TRANSITION NETWORK

Notes to the financial statements for the year ended 31 March 2021

9. Tangible fixed assets

			Fixtures,
			fittings
			and
			equipment
			£
	Cost
	At 1 April 2020		7,099
	Disposals		751
	At 31 March 2021		6,348
	Depreciation
	At 1 April 2020		5,964
	Charge foryear		385
	Disposals		751
	At 31 March 2021		5,598
	Net book value
	At 31 March 2021		750
	At 31 March 2020		1,135
10.	Debtors
		2021	2020
		£	£
	Prepayments and accrued income	-	2,415
		:	2,415

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;

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:

TRANSITION NETWORK

Notes to the financial statements for the year ended 31 March 2021

11. Creditors: amounts falling due within one year

	2021	2020
	£	£
Trade creditors	15,399	23,089
Other creditors	1,047	1,480
Taxation and social security	-	3,599
Accruals for grants payable	-	9,500
Accruals	35,239	48,866
	51,685	86,534

12. Trustees and employees

Number of employees

The average number of staff in the year on a head count basis was 10 employees (2020: 10 employees).

Employment costs

Employment costs
	2021	2020
	£	£
Salaries	237,557	205,271
Social security costs	15,664	13,529
Defined contribution pension scheme contributions	5,062	4,293
Totalstaffcosts	258,283	223,093

There were no employees with emoluments over £60,000.

No Trustees (2020: 4) were reimbursed expenses in the year (2020: £522). None of the Trustees (or any other persons connected with them) received any remuneration during the year (2020: fnil). One of the Trustees (2020: one) received payment of £100 for services supplied to the Charity (2020: £150), details of which are shown in note 16.

13. Analysis of net assets between funds

	Tangible	Net
	fixed	current
	assets	assets	Total
	£	£	£
Unrestricted funds	750	129,128	129,878
Restricted funds	-	105,135	105,135
Totalfundsasat31March2021	750	234,263	235,013

}

32

TRANSITION NETWORK Notes to the financial statements for the year ended 31 March 2021 14. Summary of movement in funds

The specific purposes for which the restricted funds are to be applied are as follows:

Restricted Funds An anonymous Foundation

Purpose of funding Nurturing collaboration, amplifying and supporting Transition internationally Scaling up, out and deep the Municipalities in Transition System Developing the Municipalities in Transition framework for civil society and municipality collaboration

Municipalities in Transition (KR Foundation)

Municipalities in Transition (Open Society Initiative for Europe)

Transition: Bounce Forward (The National Lottery Community Fund’s COVID-19 emergency funding)

Strengthening and supporting Transition groups to respond to the COVID-19 crisis and engaging Transition groups and wider networks in a summit about changes needed as society moves on Establishing what is needed to strengthen regional connections and peer support for Transition groups in England, Wales and Scotland

Transition Regional Connecting and Peer Support— Development Phase (Big Lottery Fund)

Deepening and Sharing Experience of Transformative Governance (Tudor Trust)

Developing the shared governance model

Real Economy Lab (Fondation Charles Léopold Mayer pour le Progrés de l’Homme)

Acting as a charity conduit for a project to develop a vision for alternative economics in a low-carbon world

Transition Research Network

To further the work of the Transition Research Network, an informal network to support research.

	Opening	Incoming	Outgoing	Closing
	balance	resources	resources	balance
	£	£	£	£
Restricted funds
Nurturing Collaboration, Amplifying and
Supporting Transition Internationally
(An anonymous Foundation)	20,000	400,000	420,000	-
Municipalities in Transition (KR Foundation)	125,259	134,618	163,563	96,314
Municipalities in Transition (Open Society
Initiative for Europe)	8,233	-	8,233	-
Transition: Bounce Forward (The National
Lottery Community Fund’s COVID-19
emergency funding)	-	267,113	267,113	-
Transition Regional Connecting and Peer
Support—Development Phase (Big
Lottery Fund)	2,906	-	2,906	-
Deepening and Sharing Experience ofTransformative
Governance (Tudor Trust)	4,628	-	4,628	-
Real Economy Lab (Fondation Charles Léopold
Mayer pour le Progrés de I'Homme)	7,421	-	1,764	5,657
Transition Research Network	3,614	-	450	3,164
	172,061	801,731	868,657	105,135
Unrestricted funds
General	121,803	8,075	-	129,878

Unrestricted funds General

33

]

TRANSITION NETWORK

Notes to the financial statements for the year ended 31 March 2021

15. Financial commitments

At 31 March 2021 the future minimum lease payments under non-cancellable operating leases is as follows:

	2021	2020
	£	£
Operating leases due:
Withinoneyear	1,495	1,495

16. Related party transactions

Expenditure includes a payment made to Joseph Duggan, who wasa trustee at the time, of £100 for participation and engagement in the co-design of the seed-funding process for the Transition: Bounce Forward project (2020: £150 for carrying out a community consultation). The amount of this fee was the same as the amount paid to other consultants for similar work.

17. Financial instruments

		2021	2020
		£	£
Financial	assets that are debt instruments measured at amortised cost	:	po8
Financial	liabilitiesmeasuredatamortisedcost	51,685	82,935

34