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2025-07-31-accounts

Not all heroes wear capes; some help children find theirs

CITY YEAR UK Report and Financial Statements for the Year Ended 31 July 2025

Report and Financial Statements for the Year Ended 31 July 2025 | 1

THE TRANSFORMATIVE POWER OF YOUTH SOCIAL ACTION

Contents

Who We Are

6

Our approach to tackling educational inequality One brave step. Aysha’s story Chair and Acting Chief Executive’s introduction An overview of our impact 2024-2025 Celebrating the small acts that leave a lasting mark

Fighting For Children’s Futures

12

The children who counted on us Here, there, everywhere: a day in the life of a City Year mentor Time to make a difference Building the super-skills children need From barriers to breakthroughs: Our impact on pupils mentored 1:1

Our impact on whole school communities Championing the hardest to reach children. Mentoring at an alternative education provider Programme innovation

Empowering Young People Through Purpose

26

Anyone can be a hero with City Year UK Side by side with our mentors How changing children’s lives changed mentors’ own The powers they’ll take with them Bridging the gap between education and work Preparing a pipeline of teachers and school staff

Developing Destinies

A catch up with some of our earliest mentors

35

Our Commitment To Our Communities 38
Taking social action
Connecting with our corporate community
Spreading Our Message 42
Partnering To Unlock Potential 45
Financial Review 48
Plans For 2025-26 54
Structure, Governance And Management 57
Independent Auditor’s Report and Financial Statements 62
Statement of fnancial activities
Balance sheet
Statement of cash fows
Notes forming part of the fnancial statements

Additional Information

Reference and administrative details

81

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Who We Are

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Our approach to tackling educational inequality

City Year UK (CYUK) is an award-winning youth and education mentoring charity with a mission to create an equitable future for all. Founded in 2009, we improve the life chances of children furthest from opportunity, while empowering young people from different walks of life to be future leaders and exemplars of the power of social action. We do this by:

Our work is underpinned by the power of youth-led social action and results in the children and young people we work with developing the skills, networks and confidence they need to thrive in school, employment and beyond.

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One Brave Step

AYSHA’S STORY City Year Mentor, 2024-2025

“When looking at options for my placement year, City Year kept cropping up but it felt unattainable. I didn’t think I could do it but one of the best decisions I’ve ever made was to get over that fear and dive in headfirst.

“City Year is a programme designed to help children in schools whilst training young people to become mentors. The support around the programme makes it feel like a community: there are other mentors in the same position as you, there are programme leaders who completed City Year themselves, who offer guidance and different perspectives, and there’s a purpose. Putting on the red jacket feels like a responsibility. There’s an excitement in being a part of something bigger, where you not only help students academically but become a supporting presence they can rely on.

“Going into school feels like your first day all over again. You have no idea how everyone will react but after a week, children were already running up to me with news about their day or asking me to play tag. It can get emotional as the connections you build are meaningful. Despite your service only being a year, the things you teach these children in that short time will stick with them. The laughs, the fun moments, the maybe not-so-fun moments; they’re all experiences that the children will learn from, as well as yourself.

“ City Year volunteering isn’t just something you do, it’s something you feel, live and carry with you long after your year of service is over. It’s a demanding role but it’s also one of the most rewarding experiences you can have. Thank you to everyone who makes City Year happen .”

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Chair and Acting Chief Executive’s Introduction

Over the course of this year, our incredible City Year mentors have ‘saved the day’ not through grand gestures, but through countless small acts of care and commitment. Their heroism shows up in the quiet words of encouragement, in moments that gently lift children’s self-belief and stretch their sense of what’s possible. As a headteacher at one of our partner schools so powerfully explained:

“ Through small but mighty moments, the relationship between City Year mentors and the children they support develops and grows and so does the children’s confidence and resilience. Those moments that the City Year team deliver - that’s what these children need .”

Because of our mentors’ dedication, children from some of our most disadvantaged communities were able to find their feet, or sometimes put themselves back on track. In this report, you’ll read how one child discovered confidence through chess, while another was captivated by a whole new world of books. You’ll also see just how personal this year was for the mentors themselves, as they witnessed those changes unfolding day by day:

“ I’ve had the opportunity to grow in ways I never imagined. I was challenged, stretched, and inspired - personally and professionally. This chapter may be closing, but the impact will stay with me forever .”

Many of our young adults joined City Year UK to build employability skills, complete a placement, or strengthen their CVs. They finished the year as different people altogether, shaped and reshaped by the children they supported and the relationships they built. These stories of impact carry real hope for the future, but we are also clear-eyed about the challenges we face. The fundraising environment remains tough, and school budgets are under immense pressure, with pupil premium funding still being used to plug gaps while need continues to grow[12] . We met this reality head-on, choosing to double down on the quality of our support for the children who need it most and sharpening our interventions. We worked in three fewer schools, but successfully embedded City Year within an alternative education provider and piloted a part-time model for primary schools whose falling pupil rolls might otherwise have put us out of reach.

In our 15th year, innovation remained just as central to our work as it was when we began. Our anniversary gave us a welcome chance to pause and reflect on how far we’ve come. A real highlight was our Summer Fair, where we celebrated alongside more than 100 supporters, from children and their families to corporate partners. On a sadder note, we also said goodbye to our CEO, Kevin Munday, who after seven incredible years moved on to a new role as CEO of the KPMG Foundation.

1 Sutton Trust, School Funding and Pupil Premium, 2025

2 Action for Children, Above and beyond. How teachers fill gaps in the system to keep children learning, 2024

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We are deeply grateful for his tireless service, and for the leadership he provided through significant organisational change and meaningful improvements to our programme and impact measurement.

to believe in them when they are struggling to believe in themselves. This is what City Year UK exists to do, and this is the standard we continue to hold ourselves to as need grows.

As we look ahead to 2025–2026, we want to sincerely thank all our partners who have walked this journey with us, whether this year or across the last 15. We hope this report continues to inspire many more to join us. Our mentors are everyday heroes, helping to unlock children’s potential, but they do not do this alone. It is teachers and school staff, alongside our funders and wider community of supporters, who make this work possible and set the stage for change.

Our mentors continue to ‘save the day’ in the ways that matter most. As one pupil said, because of City Year UK:

“When I feel sad or unsure about something I can get help .”

We want this to be true for all children and young people, no matter what their background, and we will continue to strive to deliver it.

Our ambition is simple, but urgent: that no child who needs support feels alone. That every child knows there is someone in their corner, ready to listen, to help, and

Yours in service,

Matthew Davies, Chair of the Board of Trustees Chandni Radia, Acting Chief Executive

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A Global Movement

1988 City Year was founded in the US. 2005 Nelson Mandela invited City Year to Johannesburg leading to City Year South Africa, the first international affiliate. 2009 The City Year London pilot followed... 2013 to later become City Year UK

More than 43,000 young people have now played their part in the global City Year movement - built on the belief that diverse teams of young people can be united to take on some of our most difficult challenges

An Overview of Our Impact 2024-2025

Championed by 425 supporters who gave 2,229 hours to enhance mentors’ prospects

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13,455
young people aged 5–25 Inspired 727
empowered to help each children to succeed in
other achieve their potential school with 1:1 coaching by 97
City Year mentors
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9 out of 10 mentors in education, employment or training within 3 months of City Year

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98,634 hours of social action drove
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change for children in underserved 8 out of 10 pupils communities achieved, or out did, the socialemotional skills expected for their age

Engaged around half a million people in our community and their networks through our 15th anniversary stories, campaigns and events, spreading our message that young people can change the world, one child at a time

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Celebrating the Small Acts that Leave a Lasting Mark

“ Few of us will have the greatness to bend history; but each of us can work to change a small portion of the events… Each time a person stands up for an ideal, or acts to improve the lot of others, or strikes out against injustice, he sends forth a tiny ripple of hope …”

Robert F Kennedy, University of Cape Town, 1966

In 2024, a new mentor forum asked us to shine a light on the human dimension of their impact. Inspired by one of our founding stories, we’re proud to interweave their ‘ripples of hope’ throughout this report, alongside the moments that still matter to our alumni, retold to celebrate our 15th anniversary year.

JOEY’S STORY City Year mentor, 2011-2012, team leader 2012-13

“ One of my school’s main priorities was having City Year mentors run a breakfast club - to engage pupils and get them into the building early. The first morning we had a toaster, a loaf of bread, a box of cornflakes and cheerios and that was about it. I remember this one Year 8 lad turning up, really quiet, He didn’t want to make eye contact. I sat opposite him, introduced myself and all he said was, ‘Sir, I haven’t got any friends and that’s why I’ve come.’ He ate his cereal and walked out. It was heartbreaking.

For the first interaction you have with a student at a school with 1000 pupils to be, ‘I don’t have a friend in this place,’ it was really hard to hear.

“ He wasn’t on my mentoring list but I always kept an eye out for him. When I saw him, I’d ask how his day was, about his interests and how it was going in class. Slowly, he began to find a bit of trust in me and opened up. After several months he said, ‘I really like chess.’ There was a lunchtime chess club so I said, ‘Brilliant, could you teach me?’ Perhaps six months in, we’d agreed to meet at chess club as usual, same time, same place but when I got there, he walked past me with another student. He said, ‘Sorry Sir, I can’t make it today.’ He had made a friend. I was smiling inside.

“It got to the point in the summer term where he’d bring his chessboard up to the playground where the older kids hung out. We would play chess with these big Year 11 lads gathered round, cheering him on to beat the City Year. His journey showed me what City Year can do. I went back several years later when he was a Year 11 and he came up to me. He was now taller than me and he shook my hand and said, ‘Thank you Sir, thank you for the time you spent with me .”

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Fighting for Children’s Futures

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The Children Who Counted on Us

727 children were chosen with teachers and support staff to receive 1:1 mentoring from City Year UK:

59% eligible for pupil premium 39% special educational needs 54% eligible for free school meals 19% English as a second language

In one school alone, pupils were dealing with:

family breakdown sudden bereavement self-harm

low self-esteem truancy harmful online content

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How mentoring mattered to pupils:
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“Sometimes I have a hard time talking to people and my mentor helps me open up and talk.”

“They help me with panic attacks, make school less lonely, push me but also don’t push me too far.”

“ My mentor is understanding and gave me a chance even though I felt people had written me off.”

Pupil

“I have a person that I can vent to without feeling ashamed. I can put a lot of trust in my City Year.”

“My mentor makes me feel safe and cared about”

“Mentors help me with my learning which makes me feel

smart.”

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Here, There, Everywhere: A Day In The Life Of A City Year Mentor

“ All of the team seem to be on it. Supporting pupils, anticipating. They all just seem to be about at the right time.” Teacher

Like all superheroes, our mentors are ALWAYS READY. In school four days a week for a year, they are someone for pupils to turn to; someone who is there just for them.

In the classroom

“ Students I teach, and in my year group, have shown good progress in their academic attainment as well as their attitude to learning and that is a huge testament to the work that the City Year mentors are doing on a day-to-day basis .” Maths Teacher

With individual pupils

” I used to struggle to make friends and wasn’t confident in lessons. I felt worried and thought I might get bullied for who I am. With my mentor, I finally had someone I could trust and who is always there to listen to my worries and feelings. Mentoring has helped me make friends and finally get less detentions. I feel better about

coming into school, I’m able to concentrate more and can face setbacks. I’d like to thank my mentor for her support, it means a lot to me .” Pupil

At breaktime

“ The City Years have had a really positive presence in the playground. They’re approachable, calm and consistently supportive, helping to resolve minor conflicts and encourage inclusive play. Children are drawn to them and feel safe and listened to. Their involvement has improved the overall atmosphere, especially for those who sometimes struggle with social interactions. They’ve made a real difference in creating a more positive and respectful playground culture .” Year 3 Teacher

Organising extra-curricular clubs

“ For all the City Year mentors that have helped run games club at lunch as a safe space for our more vulnerable students. Thank you - it has made a massive difference. ” SENCO manager

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Beyond the school gates

“ The consistent encouragement and support from City Year has made a noticeable difference to Jamie’s* attitude. He seems more confident and willing to engage, which is a big step forward. Homework has become less of a struggle. Most importantly, his outlook on attending school has improved. While there are still occasional challenges, he’s heading into school more positively and with a greater sense of purpose. It’s clear the City Year team is having a real impact .” Parent

*Name has been changed

WATCH Freya’s day in the life as a City Year mentor on our YouTube channel.

Time to Make a Difference

Children supported 1:1 by a City Year mentor felt:

93% listened to

92% valued

76% their mentor helped them enjoy school

Headmaster

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76,000 hours given to schools serving some of our most disadvantaged communities in 2024-2025 meant time to…

support stretched school staff

“As a Head of Year, having the City Year team in school has been invaluable to not only the students but staff too. The extra support that they have been able to provide has helped students to stay in class, enjoy and want to come into school and provided support that staff in school unfortunately do not have time to give.” Teacher

watch over wellbeing

“Ever since I’ve been supported by my City Year mentor I feel so much more stable, both physically and mentally with my emotions. She is not only someone I trust, she is someone who feels like a friend.” Pupil

enrich education

“A massive shout out and thank you goes to the City Years. Your hard work, planning, and support were felt in every moment. You’ve helped bring the spirit of the creative arts to life across the school!” Curriculum leader, creative arts

set a child on a path of self-discovery

“My mentor helped me discover things about me I didn't even know.” Pupil

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Building the super-skills children need

At the heart of our programme are strong, trusting mentoring relationships. These relationships allow our young adult volunteers to focus first on nurturing children’s social and emotional learning - the foundational “super-skills” that help children engage, persist and ultimately succeed in school. Through consistent coaching, both in and out of the classroom, mentors support pupils to develop confidence, resilience and self-belief, and then translate those life skills into improved academic attainment, attendance and behaviour, including for those pupils who are hardest to reach.

This link between social-emotional development and academic progress is well evidenced. Large-scale studies of City Year in the US have found that making gains in social-emotional skills is equivalent to gaining an entire school year of achievement growth in maths or English (across Grades 3–10, ages 8–16)[3] .

How Dani* found her confidence

"Before City Year, Dani had got into a rut and believed everyone was against her. She had low self-esteem and confidence and would just put her head down in lessons if she found a task difficult. Through working with the City Years, she has grown in confidence and genuinely tries her best in every lesson. Dani has become more resilient and is really back on track .” Head of Year 10

Between the start and end of the year, Dani’s negative behaviour incidents fell by 93%. *Name has been changed

Our wider data reflects this same pattern of impact. 8 out of 10 children (82%) mentored 1:1 felt challenged, agreeing that their City Year Mentor had high expectations of them and encouraged them to try things that are difficult - a critical driver of both confidence and academic engagement.

How we measure social-emotional skills

Academic performance is routinely measured and widely understood, but social and emotional development is just as critical to children’s success. The Devereux Student Strengths Assessment (DESSA) is an internationally recognised, evidence-based platform that allows us to measure progress in these areas with the same rigour[4] . Used in partnership with schools, teachers and parents, the DESSA helps us to ‘see’ and develop pupils’ strengths across eight measures of social skills and emotional wellbeing. By strengthening these capabilities, we support children to build positive behaviours that underpin learning now and serve them for a lifetime.

3 The Everyone Graduates Centre and City Year, Connecting Academic Achievement, Interpersonal Skill Development and Student Outcomes, 2022 and 2023 4 apertureed.com

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From barriers to breakthroughs

Our impact on pupils mentored 1:1

Social-emotional learning

Pupils learnt the positive power of:

Self-belief

83% optimistic thinkers, up from 37% Empathy 82% socially aware, up from 41%

Self-control

People skills

Insight

81% had relationship skills, up from 40%

76% could selfmanage, up from 31%

84% self-aware, up from 42%

Good judgement Accountability Purpose 79% could make 79% took personal 82% capable of goalconstructive decisions, up responsibility, up from 37% directed behaviour, up from 36% from 35%

Taken together, they saw their social-emotional skills improve:

Only 1 in 3 pupils started the year at their expected level - the lowest baseline at City Year UK for three years

84% improved their skills By the end of the year, 82% met (3% maintained them) achieving the (73%) or exceeded (9%) the expected highest rate of progress seen at City level for their age Year UK

*Data from DESSA assessments measured against expected benchmark for each pupil’s age

How Jack* discovered his inner superhero

" Jack, 11, has ADHD and autism. He struggles to make friends and I saw him being left out. During our early sessions he’d be disengaged and mess about. I tried my best, organising games with classmates and slowly, he began to enjoy our 1:1s. He started to share more about himself and even began to ask how I was. I saw another side of Jack, bubbly and funny, but the highlight was during a game of tennis. Another child was frustrated and Jack comforted her, explaining it’s ok to fail - he made her feel better. From being disengaged to helping others is a huge improvement and he’s playing more sports with children he likes, taking steps to making more friends .”

City Year Mentor

*Name has been changed

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Academic Attainment

In 2024-2025 pupils chosen for mentoring in:

Maths Reading 87% improved (60%) or maintained 93% improved (53%) or maintained (27%) their level (40%) their level

Writing 96% improved (50%) or maintained (46%) their level

How Hannah* found hope

“ When I started with Hannah she was struggling with attendance and losing hope of passing most of her GCSEs. She was either distracted or had her head down. We talked about the importance of taking part and her exams. I told her she’s not doing it for anyone but herself. She’d started with a U in maths but I helped her in class and once Hannah was comfortable with me, I suggested after school sessions. She was very against the idea but I persisted and two weeks later she agreed !” City Year UK mentor

“ I’d like to recognise Hannah’s mentor for her incredible work. Hannah is

often withdrawn in lessons but the rapport her mentor has built is being used so effectively to encourage participation; after-school study sessions are a huge step for her .” Hannah’s maths teacher

How Alex* learnt a love of reading

“ Alex, 12, began the year with a reading age of six, battled with confidence with schoolwork and spent afternoons in detention. After a four week programme with a City Year mentor, he found an interest in fiction, discussing the plots and becoming immersed in stories, and his reading age increased to nine. He continued to meet with mentors when they could fit in extra reading and this June, when they took his end of year assessment, he achieved a reading age of 11.2 years.

“Without City Year mentors offering their time, experience and guidance, these opportunities would not happen and we are fortunate that they can reach at least 60 of our weakest readers every year through intensive interventions. New parents often tell us that the library is the heart of the Academy, but it’s our committed City Year mentors’ ongoing support for the reading intervention programme, who keep it beating.” School librarian

*Names have been changed

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Attendance

66% of pupils across our London schools with attendance below 90% came into school more.

Our impact was strongest in schools where City Year mentors were fully embedded in attendance initiatives such as breakfast club or morning greetings.

How mentoring supported the step up to secondary school

“The transition from primary to secondary school is different for every student. For some it is an exciting fresh start and for others it can be the most daunting and scary time in their lives so far. As a City Year mentor working with Year 7 students, I had the chance to support this transition, watch them become comfortable in their new school and even begin to thrive.

“It was important to work closely with school staff. The Head of Year 7 eloquently described the students’ transition as being similar to experiencing sea-sickness - when you are advised to focus on the land. My role was to be that steady point, providing stability for the Year 7s while everything else around them changes. I have been a person to talk to, lean on and support them in an unfamiliar environment. While mentoring has been a big part of this, I have run lunchtime clubs, particularly art and wellbeing, giving a space to have some calm time and make friends.” City Year UK mentor

Year 7 pupils chosen for 1:1 City Year mentoring at this London secondary school had average attendance of 92.7% in 2024-2025 up from 86.5% in 2023-2024.

Behaviour

Of all pupils mentored 1:1:

86% agreed they’d been given clear boundaries on 82% said they’d been shown how to learn from their unacceptable behaviour mistakes

70% of our Greater Manchester pupils targeted for extra help with behaviour showed a measurable improvement.

How Nathan* turned his behaviour around

“ When asked to support Nathan, 14, I felt a wave of anxiety. How was I going to support a child who struggles so much with anger? The next time I saw him in class, I didn’t press him to work. I sat quietly beside him and asked how he was. To my surprise, he replied. From that day on, I focused on creating a bond. Our conversations were light, never about schoolwork, just moments to help him feel at ease. Slowly, I saw a change. He began to open up and ask if I could join him in lessons. And then something remarkable happened. He received a reward for positive behaviour. His attitude in school had visibly improved and so had his confidence.

“ One afternoon, a teacher said: ‘This is the first time we’ve seen him smile.’ At that moment I felt something shift inside me. It wasn’t just about helping Nathan with behaviour or lessons. It was about connection, trust, and being the one safe, consistent presence in his day .” City Year Mentor

Over the year, Nathan achieved a 300% increase in lessons rated ‘good’ for behaviour. He improved his grades in 9 lessons and maintained them in his other 5. *Name has been changed

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Our impact on pupils mentored 1:1

In 2024-2025 City Year UK provided teams of mentors to:

4 primary schools 10 secondary schools 1 alternative education provider

Alongside 1:1 support for individual children, our mentors dedicated 14,532 hours to extra enrichment activities, open to pupils across our school communities:

How Ahmed* found a place to belong

“Ahmed, 14, is a refugee. We started off by creating a space where he felt safe to speak . I shared a little about my own journey to the UK and he began opening up, especially when we talked about things familiar to him - Iraqi food and language. I made sure I was genuinely interested and in return, he shared more. He told me about struggling to make friends and feeling left out. I knew he loved gaming, so I encouraged him to try gaming club. He was hesitant, unsure how he’d fit in, but with encouragement, he gave it a try. Now he regularly chats and plays with boys who welcomed him in. Watching Ahmed go from quiet, withdrawn moments to laughing and feeling part of something has been one of the most meaningful experiences of my year .” City Year Mentor

*Name has been changed

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Days of discovery

In 2024-2025, in partnership with our corporate supporters, we offered over 420 pupils outstanding opportunities to explore new frontiers for their future careers.

Thank you to:

Bain Capital for welcoming pupils to their office to Akin for a day of STEM inspiration, with a cyber learn about law, banking, IT and HR challenge, AI training and career stories Ardian Foundation for sparking pupils’ imaginations “ It was really, really fun. The teamwork made me with its app design challenge, testing teamwork and more creative and the pitch built my confidence creativity Pupil DHL for careers sessions on the logistics, AI and tech “ The session was incredibly beneficial as it sectors. Workshops fostered employability through helped me understand advancements in AI and transferable skills the skills required to become successful .” Pupil

Mastercard for a journey into tech careers, exploring algorithms, cryptology and fraud detection through Girls4Tech and taking Mic Drop to two of our schools. They hosted music industry professionals and an up-and-coming singer to inspire interest in the creative industries.

“ My favourite part was the performance from Young Athena, her vocals were insane! The event was great because I’m interested in backstage tech, lighting and sound and it was so enjoyable! ” Year 11 pupil

“ Thank you for bringing such a fantastic event to the school. The pupils had an incredible experience and were truly engaged. I am certain it will have left a lasting impact. We have careers week next week and this will have been a perfect way to kick things off .” Teacher

Championing the hardest to reach children

Mentoring at an alternative education provider

“City Year is fully embedded with us - not as a separate intervention or external support, but as part of the core team. This speaks volumes about the mutual respect, collaboration, and shared commitment between staff and mentors. We are all in this together, supporting our students, sharing responsibility, and celebrating their progress. That kind of integration doesn’t just happen - it’s a reflection of the culture we’ve built together. I’m so proud of that.” Executive Headteacher

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By the year end, mentored pupils:

93% felt listened to 91% felt valued

75% had the social-emotional skills expected for their age

How Alfie* found the courage to come into school

“Alfie, 14, hadn't attended a lesson all year. I was asked to support him in maths but he was very apprehensive. I explained that I'd be sitting right next to him the whole time. I showed him the classroom, he chose a desk, put his things down, and immediately left the room. It was too overwhelming. I encouraged him to sit down with me in another room. We talked through what was making him anxious and did deep breaths. Once he was ready, we went back to the classroom. The lesson went very well. Even when he got some answers incorrect he didn't get upset, instead he asked me to show him where he went wrong. ” City Year Mentor

Alfie started the year with 25% attendance. By the summer, it had improved to 80%.

*Name has been changed

SAKSHI'S STORY City Year mentor, 2024-2025

From the beginning, I was thrust into situations that required adaptability, empathy and creativity. The environment was intense at times, especially when students shared traumatic experiences, but it was also incredibly rewarding. I’ve learned how to hold space for vulnerable young people while not carrying that emotional burden home, a skill I continue to work on but one that has undoubtedly made me more resilient.

“Some of the most impactful experiences have been with individual students who taught me just as much as I helped them. One 14-year-old was quiet and reserved but over time she opened up. Working with her required creativity; I developed Billie Eilish-themed worksheets to help her concentrate during English lessons. The most powerful affirmation of my work came when her EHCP* was approved and I was mentioned as her trusted adult. It was a deeply moving moment that encapsulated everything this role has meant to me. The trust that students place in us, especially when they struggle to connect with others, is something I will never take for granted.

“This year has been a profound journey of mutual growth, trust-building, and personal development. I’ve come to understand that the smallest connections - shared jokes, personalised worksheets or just being a consistent adult presence - can make the biggest difference. This role has confirmed my desire to pursue a career supporting young people with additional needs and I’m incredibly grateful for the chance to have played even a small part in their journey.”

*Education, health and care plan

Hear more from Sakshi on our podcast, ' Satchels of Success: Young Leaders Making a Diference’

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Programme Innovation

Part-time delivery model

City Year UK has long championed full-time, year-long social action as a powerful way for young people to make a difference while developing their own skills and confidence. As our context continues to evolve, we have been equally committed to designing models that respond thoughtfully to the realities facing both schools and young adults, without compromising on quality or impact.

Alongside sustained financial pressures on schools, particularly primary schools with lower pupil rolls, we also recognise that a full-time volunteering model is not accessible to everyone. Many potential mentors bring valuable lived experience but have caring responsibilities, need to earn alongside volunteering, or wish to continue part-time study. Broadening our delivery model allows us to reach these individuals and build mentor teams that better reflect the diversity of the communities we serve.

In 2023–2024, we introduced a part-time mentor option as an addition to existing school teams. This year, we took a more intentional step forward, successfully piloting part-time partnerships in two primary schools. These mentors were in school for two days a week rather than four, enabling us to continue supporting children in their vital early years while offering a more flexible and inclusive route into City Year UK. A particular highlight was the strength of the teams themselves, with part-time mentors bringing experience, focus and commitment that allowed them to hit the ground running.

10/10

Rating given by 2

pilot primary schools

“If you can afford it, there is substantial impact.” SENCO, Primary School

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Empowering Young People Through Purpose

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“ Careers education, work experience, volunteering, social action and employer engagement are the bridges into work. Each one is in decline. Students eligible for free school meals, those with additional needs, Black, African, Black British or Caribbean students and NEET young people are consistently the least supported, leaving the young people who most need opportunity with the least access to it ." Youth Voice Census 2025[5]

Anyone can be a hero with City Year UK

1 in 8 young people aged 16 to 24 are not in education, employment or training (NEET)[6]

“ If you want ‘to be the change’, then join . I was neglected and almost put into foster care when I was younger. I went through separation and grief. I had the same role as many daughters in immigrant families but my school didn’t know, they didn’t care, the counselling was never personal. I never felt heard or understood, so I wanted to be that change, I wanted to be that person for someone else and I can confidently say I was. That’s my biggest achievement by far.” City Year Mentor

The 18 to 25-year-olds, from all backgrounds, who volunteered in 2024-2025:

61% were economically inactive; they weren’t working, weren’t seeking work and / or were not available to start work[7]

63 full-time 30 part-time 30 school service mentors mentors leaders*

*Year-long paid placements with UK Year of Service starting in April 2024

Ethnicity Background and 14% with a disability, education learning support Asian 37% 4 in 10 had been or well-being Black 38% eligible for free school requirements Dual 4% meals Other 6% 16 mentors received White 14% 8 in 10 placement enhanced support to Prefer not to say 1% students overcome barriers to 1 in 10 graduate volunteering 1 in 10 school leaver

Less than half (47%) of 18 to 24-year-olds feel ready for work after education[8]

5 Youth Employment UK, Youth Voice Census, 2025,

6 Department for Work and Pensions, Rising youth inactivity independent investigation to be launched, 2025

7 House of Commons Library, NEET: young people not in education, employment or training, 2025

8 IPPR, Towards universal opportunity for young people, 2025

Report and Financial Statements for the Year Ended 31 July 2025 | 27

Side by Side with Our Mentors

170 hours of dedicated skills building

242 supporters from 12 partner organisations provided professional insight and experience

Opportunity to take a nationally recognised management qualification

8 out of 10 (81%) mentors completed their City Year

Development and support for in-school role

11 days of A supportive City Year Ongoing coaching and CMI Level 3 in coaching comprehensive staff member in every learning sessions to and mentoring training to start school grow in-school skills

Access to digital mental health 3 wellbeing days for mentors to Workshops on wellbeing, support platform with network of do something just for them resilience, self care and protective accredited therapists boundaries

Preparation for life beyond City Year UK

Employability skills forged in the real world

Time management Project management Stakeholder management Public speaking Creating pathways to opportunity Cross sector career exploration: office visits, industry Workshops: job applications, CV writing, interview insight days, internships techniques, problem solving ‘Learning from leaders’ events Enterprise challenge: product ‘Career Ready’ day; careers advice spanning business, public sector design, market research, budgeting, panel and keynote speakers and charities presenting Underpinned by mentoring for our mentors Own career mentor for 10 months Individual development plans

28 Report and Financial Statements for the Year Ended 31 July 2025

A mentor-informed programme

As part of our commitment to putting mentors at the centre of City Year UK - shaping decisions and driving change - we translated their feedback from our new forum into action:

How Changing Children's Lives Changed Mentors' Own

In 2025, our mentors said:

100% gained skills likely to 95% felt they made an 88% had new experiences apply to future roles impact on pupils’ lives

8 out of 10 likely to recommend City Year UK

More than 9 out of 10 were in education, employment or training within three months of finishing their ‘City Year’

“

What I’ve learnt this year is invaluable - my other work experience hasn't developed me like this. It is so rewarding and it has given me a reason to live. If you aren’t sure if you want to go to uni or do an apprenticeship, this year will open your eyes to so many types of opportunities and so many people. I recommend it to anyone and everyone. The people you meet will be irreplaceable, the tears you shed for your students’ sake will pay off and you won't regret taking this year out. Starting the programme at 18 and it now coming to a close, I have changed for the better in so many ways!” City Year Mentor

A reason to live:

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“
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Not only changed but stronger:

Compared to when I first started, I’ve seen a transformation, not just as a leader, but as a team member . I’ve learned how to listen, communicate, and allow others to support me when I need it. Despite moments where I felt challenged, I stayed focused on what mattered: the children and the difference I could make. I adapted to changing situations, pushed through difficult periods and continued to give my best. I leave this experience not only changed, but stronger, more selfaware, and better equipped to take on future challenges with purpose and confidence.” City Year Mentor

The Powers They'll Take with Them

The world of work is changing fast. Employers increasingly tell us that young people are entering the workforce without the essential skills they need to thrive - skills like communication, teamwork, problem solving and leadership. Rapid technological change, fewer face-to-face interactions and disrupted education and employment pathways have all played a part. While technical knowledge remains important, it is these human, transferable skills that employers consistently say are hardest to find and most valuable in the long term.

City Year’s full-time social action model directly addresses this gap. By volunteering in schools every day, mentors are immersed in real-world, people-focused challenges that stretch them far beyond a classroom or training room. They are required to communicate clearly, build relationships, adapt quickly and lead with empathy - often in complex and high-pressure environments.

As one mentor reflected: “ Volunteering full-time for a year has not been easy, in fact it’s probably the most difficult thing I’ve ever done but if I could do that, I can now do anything .”

30 Report and Financial Statements for the Year Ended 31 July 2025

How mentors enhanced their essential skills*

City Year UK’s impact on mentors’ essential skills is not accidental. Alongside the learning that happens every day in schools, we intentionally deepen and refine these capabilities through our structured Leadership Development Programme, delivered to mentors each Friday. This dedicated time allows mentors to step back from practice, reflect on their experiences, and deliberately strengthen the skills they are using in real time. The programme focuses on the development of eight essential skills, giving mentors a shared language, clear progression pathways and practical tools they can carry forward into employment and life beyond City Year.

While the importance of essential skills has long been recognised, there has historically been no consistent way of measuring, building or even naming them. In 2019, City Year UK joined the pilot of the Skills Builder Universal Framework, designed to do just that. The framework clarifies what essential skills are and provides a model for progression across the four areas routinely recognised as the core, transferable skills for employment: communication, creative problem solving, self-management and collaboration. This approach enables us to combine real-world experience with structured development and robust measurement.

% of mentors working at ‘advanced level’
by year end
› Speaking › 99% (up from 17%)speaking engagingly
using facts, visual aids, expression and gesture
› Creativity › 96% (up from 21%)applying creativity
to their work and wider life, developing
ideas, questioning and considering diferent
perspectives
› Leadership › 82% (up from 14%) aware of their own
strengths and weaknesses and those of their
teams, building skills to mentor, coach and
motivate others
› Problem solving › 81% (up from 12%)exploring complex
solutions, thinking about causes and efects and
generating and evaluating options
› Across 8 skills(composite
measure)		 › Across 8 skills(composite
measure)		 › 88%up from 9%

*Measured by the Skills Builder Universal Framework

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How we measure essential skills

By 2025, the Skills Builder Universal Framework had been used by nearly 10 million people in more than 20 countries. In 2021 City Year UK was delighted to be awarded its highest level 4 for our impact on young people’s essential skills.

Bridging the Gap between Education and Work

Each of our mentors is also given their own career mentor. Known as a ‘Bridge Builder’, and often drawn from our corporate partners, they provide personal and career support over 10 months.

“

What sets my mentor apart is how deeply she

listens . She doesn’t just hear you, she truly listens; with empathy, patience and without judgment. Her thoughtful, tailored advice has been some of the most valuable I’ve ever received. I carry her words with me in everything I do, whether it's preparing for an interview, writing my Master’s applications, or just navigating the challenges of everyday life. My mentor truly embodies what it means to be a ‘Bridge Builder’. She builds people up. She bridges gaps - not just between City Year and the future, but between self doubt and self-belief. ” City Year Mentor

32 Report and Financial Statements for the Year Ended 31 July 2025

Top 3 skills mentors gained from their ‘Bridge Builders’ in 2024-2025

› CV writing › CV writing
› CV writing › “Rather than making me feel self-
conscious or overwhelmed, her
suggestions made me feel empowered
and motivated. My applications became
more focused, polished, and refective of
my strengths - and I felt more confdent
submitting them.”
› Career planning › “When I started, I was lost but a common
hobby with my mentor has transformed
into pursuing a career in the video game
and e-sports industry. It’s unlikely I’d have
fgured out how to break into the industry,
or where to begin, without his guidance
and advice.”
› Interview skills › “They have pushed me out of my comfort
zone and have helped massively with skill
building. Our sessions have included mock
interviews and presenting a talk in front
of colleagues from around the UK. The
feedback was very useful!”

Insightful internship

Thanks to the support of J Leon - a London-based Investment organisation, eight mentors completed a four-day internship, exploring a wide range of career paths and learning from cross-sector leaders.

A few mentor takeaways:

“ To network harder and not be afraid to try something new .”

“Learn from failure and how many ways there are to reach your own success.”

“An insight into careers I wouldn’t have been interested in before.”

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Preparing a Pipeline of Teachers and School Staff

Top 3 mentor career aspirations:

5 out of 10 education and 3 out of 10 human resources 3 out of 10 social care teaching

“

As the year has gone on and I’ve developed amazing relationships - seeing my students grow, learn and break their personal glass ceilings, I’ve developed a zeal for teaching, pastoral care, safeguarding, working with SEND pupils and helping students realise and achieve their fullest potentials. This zeal is one I plan to nurture and grow and I am truly grateful to have had this year to be able to gain clarity on my professional purpose.” City Year Mentor

34 Report and Financial Statements for the Year Ended 31 July 2025

Developing Destinies

Report and Financial Statements for the Year Ended 31 July 2025 | 35

Fifteen years on, City Year UK has established itself as a powerful launch pad for more than 1,800 young people. To mark our anniversary, we reconnected with some of our earliest mentors to hear what City Year still means to them today and where their journeys have taken them since.

Zipporah

“At City Year if you give, you also gain. They are invested in you - in your career journey and your development as a person. I know a year is a long time and it can feel very hard during the dark days but when you get to August, you can say, ‘I did this, I made a difference to a child’s life, that possibly wouldn’t have got through the hard times without me.’

“My City Year experience didn’t end with volunteering as a mentor. I then applied for different roles inside the organisation and ended up working for City Year UK for 12 years, making lifelong friends and gaining experience across different departments. At our ten year anniversary I was on a panel talking about my experience and another Black young woman was on the panel. She said, ‘seeing Zipporah in leadership inspires me to know I can do the same.’ It even gives me shivers now, remembering that moment, because it really highlights social mobility for me. You can’t always be what you can’t see. I’m now an ambassador of sorts and being able to come back and share my story with the mentors who’ve come after me is gratifying.”

A City Year mentor in 2010-2011, Zipporah is now Head of Talent and Engagement at 20/20 Levels, a social mobility organisation empowering Black and racially underrepresented young people through opportunities to maximise their potential.

Hear more from Zipporah, Joey and Amna on our podcast, 'Satchels of Success: Young Leaders Making a Diference'

36 Report and Financial Statements for the Year Ended 31 July 2025

Joey

“What resonated with me at City Year was the feeling, wow, I belong to this team, we had the matching red jackets, we were all doing the same thing, we were in this together. Even when times were challenging we were able to support each other to achieve the goals we were working towards in school every day. That’s what helped me really enjoy the experience and the reason I stayed on.

“We also had these little sayings that you could bring into your team meeting every day, like ‘always communicate’ and ‘always put your front foot forward.’ They were little lessons in how to approach things in a collaborative way. What stuck with me most was ‘ubuntu’ - it takes a village to raise a child - that mentality that you have to bring people with you on the journey. I’ve been able to apply those, particularly in my volunteering beyond City Year.”

A City Year UK mentor in 2011-2012, Joey works in regeneration for a borough council and was previously at East London Business Alliance, building connections between businesses and local communities to support young people.

Amna

“Growing up, I wasn’t used to seeing women being asked about their ideas and opinions - it just wasn’t the norm. People say that when you’ve never had something, even the bare minimum of it can feel like everything. For me, joining City Year UK in 2013 was that moment. As a volunteer I found myself surrounded by an extraordinary team of women leaders.”

A City Year mentor in 2013-2014, Amna is a Forbes 30 under 30 honouree, TEDx speaker, and co-founder of GirlDreamer, an award-winning nonprofit dedicated to breaking systemic barriers for women of colour. Read more about Amna’s story at cityyear.org.uk/about/blog

Report and Financial Statements for the Year Ended 31 July 2025 | 37

Our Commitment to Our Communities

38 Report and Financial Statements for the Year Ended 31 July 2025

Taking social action

City Year UK is built on youth social action and that extends beyond the school gates and into our communities. Alongside their mentoring role, each team of young people developed their own social action project to support a cause they care about. Here’s a snapshot:

Helped refurbish The River Fundraised for Birmingham Children’s Volunteered at Burnage Foodbank, Manchester, a charity supporting Hospital: “As we work with children reorganising its storage space women who’ve experienced daily we would wish for them to get to make food donations more domestic abuse and provided food the best treatment should anything accessible and improve its efficiency parcels for families in need. affect their health.” to better serve the local community.

Steps to Togetherness

Last year, we became part of Steps to Togetherness, a grassroots movement dedicated to reducing isolation and loneliness by strengthening connections within and between communities. The movement has identified 32 practical, evidence-informed actions that help people build meaningful relationships and drive wider, systemic change.

Civil Society Consulting, the not-for-profit organisation behind the initiative, delivered a training session for City Year UK mentors, introducing them to the steps and exploring how they could be brought to life in school settings. One mentor reflected on the impact of one particular step:

“

My favourite step is ‘joining a club’ . We’ve seen the computer games club really take off at our school. It’s taking something which can be quite isolating - gaming at home - and bringing it into a school environment where pupils from different age groups can sit around the same game and bond. It’s been our most popular club and we’ve had to expand it into a second classroom. It’s really clear that that interest is a really good way for those children to build a little gaming community.” City Year mentor

Civil Society Consulting also partnered with one of our teams to bring the Steps to Togetherness approach directly into a school for the first time. Around 60 Year 9 pupils took part in workshops exploring what community means to them and why it matters. Together, they mapped their own ‘villages’, identifying the people, places and spaces where they find belonging, connection and support.

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Connecting with our corporate community

Across six days of community action in 2024–2025, mentors and corporate partners worked side by side to support children in local communities. Alongside the immediate benefit for pupils, mentors had the chance to connect with professionals, develop teamwork and communication skills, and talk directly about the difference they see every day in schools

THANK YOU to the 150 volunteers from Akin, Ardian and Vertex who together:

Gave 646 hours

Created 400 resource packs and pencil cases for pupils in our schools

Painted murals and storage carts and built bench boxes and buildings for a community centre and adventure playground

Regenerated a community rooftop garden

Service days were delivered in collaboration with Care Force™, a division of City Year Inc.

40 Report and Financial Statements for the Year Ended 31 July 2025

“

It was a fun and creative day. The Ardian volunteers spoke to us about their jobs and what their daily life looks like. It was nice hearing their insights about different roles and I was, in turn, able to outline how we coach, support and inspire the children within our remit to enhance their life chances." City Year Mentor

Pitching in

Our thanks also goes to Alvarez & Marsal’s Financial & Operational Restructuring and Insolvency teams for hosting a five-a-side charity football tournament in aid of City Year UK and Campaign Against Living Miserably in summer 2025.

Our mentors joined over 75 players from across the restructuring and investment community. We’re grateful to everyone who participated, cheered from the sidelines, and gave so generously.

Report and Financial Statements for the Year Ended 31 July 2025 | 41

Spreading our Message

42 Report and Financial Statements for the Year Ended 31 July 2025

Only one in three people have the perception that young people are making a contribution to their communities[9] . We used our 15th anniversary to spread our message that they can change the world, they just need the opportunity.

In 2024-2025 we:

Launched a podcast

Listen to 'Satchels of Success: Young Leaders Making a Diference’ to hear how young people are impacting their communities; turning bags of potential into satchels of success

Revamped our animation explaining City Year UK’s model

Watch it on our YouTube channel at @TVCityYearUK

Reached out to our alumni

We invited former mentors to an alumni dinner hosted by Rodney and Zipporah, two of our earliest mentors and now long-term supporters and we reconnected through a fundraising campaign, 15for15.

received alongside alumni’s donations:

Just some of the messages we received alongside alumni’s donations: “Will stand by City Year always.” “City Year was where my career began… thank you “City Year I owe you so much.” for the opportunities that were so formative.”

Held a Summer Fair

With special thanks to City of London Academy Islington for hosting our celebration, bringing together over 100 people drawn from corporate partners, trustees, teachers, pupils and their families, City Year staff and our mentors.

City Year alumnus, Big Zuu, sent a video of support, touching on how wearing the red jacket had changed him as a person, and two students took to the stage, alongside a mentor, to share their personal stories of progression.

We were delighted to raise over £80,000 to tackle educational inequality.

9 The #iWill Movement, “Can you see us?” Understanding public perceptions of young people and youth social action, 2024

Report and Financial Statements for the Year Ended 31 July 2025 | 43

Our 15th Anniversary Summer Fair was made possible with the generous support of our sponsors and individual donors. THANK YOU TO:

----- Start of picture text -----
Akin
HarbourVest Bank of America
Jennifer Eplett Reilly Peter Wilson Aliza Blachman O’Keeffe Lisa Grattan Gretchen Bergstresser
& Sean Reilly
Jonathan Beebe Caroline Clark Patrick Flaherty Stephen Greene
Mat t hew Davies
Candice Sammeroff
Colin Hely- Kevin Munday Sue Sherring James Terry
Hutchinson
Suzanne Bonk Bill Bonk &
in memoriam AnnMaura Connolly Kanna & Jill Kunchala John & Alice Scardino
Phyllis Segal Tom Sheridan Stephanie Wu & Frank Campagna
----- End of picture text -----

44 Report and Financial Statements for the Year Ended 31 July 2025

Partnering to Unlock Potential

Report and Financial Statements for the Year Ended 31 July 2025 | 45

Meaningful partnerships are fundamental to the breadth and depth of difference we make to children and young people.

In 2024-2025:

242 volunteers inspired and guided the next generation

Sharing insights, advice and expertise on cross-sector careers and skills development through talks, panels, networking, workshops and mentoring

61 volunteers supported us as ambassadors, advocates and advisers

Spreading our message, shaping our strategy and celebrating our mentors.

We are proud to share our impact with:

Akin

Ardian Bain Capital Bank of America Baron Davenport's Charity BGF Foundation

CVC Capital Partners Limited DHL UK Foundation

E B M Charitable Trust Garfield Weston Foundation Gowling WLG (UK) Charitable Trust HarbourVest

The Christopher and Henry Oldfield Trust

Howden Jefferies

John Scott Charitable Trust

Lillie Johnson Charitable Trust Mastercard

National Citizen Service Trust Souter Charitable Trust

St James’s Place Charitable Foundation The Drapers’ Charitable Fund The John Armitage Charitable Trust

46 Report and Financial Statements for the Year Ended 31 July 2025

The Joseph Strong Frazer Trust The Merriman Charitable Foundation The Pamela Barlow Charitable Trust The Roger & Douglas Turner Charitable Trust The W O Street Charitable Foundation Vertex Pharmaceuticals

THANK YOU.

Teaming Up to Transform Tomorrow

City Year UK and the DHL UK Foundation

2016-2025

Over £1 million in funding : boosting education, skill development and employment opportunities for the next generation growing up in disadvantaged communities

8,981 children in underserved areas impacted, with careers education delivered in and out of class. 63 GoTeach sessions since 2021

1,230 young adults empowered as mentors and equipped for the future, with 500 achieving accredited leadership and management qualifications

THANK YOU to over 600 DHL employees who gave their time and expertise

Mentors to our mentors Careers talks Skills workshops Industry exploration days

“ Without a doubt, a key component of our special partnership has been City Year UK’s collaboration with DHL employees. Through various activities, DHL employees have shared their skills and experience, offering guidance to City Year UK mentors, whether through the Bridge Builder mentoring programme, panel events or mock interviews. We know the significant impact of employer interactions for young people’s development and career trajectory and are proud that our partnership has provided these opportunities.

“City Year’s approach was always, ‘What more can we do, what are the opportunities available?’ It wasn’t just about ticking a box but about what we could do together to shift the needle. It was about having the shared ambition to build a beautiful programme.” Caroline Courtois, CEO, DHL UK Foundation

Hear more from Caroline and her inspiring perspective on partnering for social impact in episode 6 of our podcast, 'Satchels of Success: Young Leaders Making a Diference’

Report and Financial Statements for the Year Ended 31 July 2025 | 47

Financial Review

48 Report and Financial Statements for the Year Ended 31 July 2025

The charity sector continues to operate within a challenging economic environment, with increased costs and pressure on fundraising income. Schools have also faced sustained financial pressures, limiting capacity for discretionary external programmes. During the year, City Year UK delivered its programme in 15 schools across three sites.

City Year UK reported net outgoing resources for the year ended 31 July 2025. This position had been identified early in the financial year through updated forecasting and regular financial monitoring. Total incoming resources were £1,651,566 and total resources expended were £2,117,235, as shown in the Statement of Financial Activities on page 67.

The position arose primarily from a reduction in programme and fundraising income, while the organisation’s cost base had been structured for a larger scale of delivery in previous years. During the year, the trustees and senior leadership team undertook a comprehensive organisational review. This included a restructuring process and a reduction in staffing levels through redundancy and natural attrition, resulting in a reduction of 12 roles, approximately 32 per cent of the workforce, and a leaner organisational structure.

The net outgoing resources were met from reserves accumulated in prior years. At 31 July 2025, unrestricted reserves stood at £6,458. Restricted funds were fully expended in accordance with funder requirements and stood at nil at the year-end.

The restructuring actions taken during the year have reduced the ongoing cost base and positioned the organisation to operate on a more sustainable footing going forward.

Reserves

Trustees’ policy is to retain a prudent level of reserves from unrestricted income to:

Amount of reserves

At 31 July 2025, unrestricted reserves stood at £6,458 compared to £472,127 at 31 July 2024. The reduction reflects the net outgoing resources reported for the year and the utilisation of previously accumulated reserves to support the organisation through a period of transition and restructuring.

The trustees’ reserves policy is to hold unrestricted reserves equivalent to two to three months of operating expenditure. Based on the approved budget for the current year, this equates to between £327,000 and £491,000.

Unrestricted reserves at the year-end are significantly below this target range. The trustees have therefore implemented a recovery plan which includes operating within a reduced cost base and a focused fundraising strategy to rebuild reserves. Cashflow forecasts and reserve levels are reviewed at each Board meeting, with the committees meeting more frequently to monitor financial performance and cashflow and report regularly to the Board.

Report and Financial Statements for the Year Ended 31 July 2025 | 49

Assessment of going concern

The Trustees have considered the appropriateness of preparing the financial statements on a going concern basis. In doing so, they have reviewed the charity’s current financial position, updated cash flow forecasts, fundraising pipeline, reserves position, committed expenditure, and the key risks and mitigating actions available to the organisation.

The assessment covers a period of at least twelve months from the expected date of approval of the financial statements. As the approval of the financial statements has been deferred, the Trustees have also considered the organisation’s projected position across the 2026/27 financial year.

The charity continues to operate with minimal unrestricted reserves, which remain below the target range set out in the reserves policy. This limits the organisation’s ability to absorb unexpected reductions or delays in income. The Trustees also recognise that the charity remains reliant on the successful conversion of fundraising opportunities in order to meet its financial obligations and support delivery in the next financial year.

For the current financial year ending 31 July 2026, management’s latest forecast indicates that the charity is expected to remain cash positive to the year end, subject to the receipt of income from donors that has been committed but not yet paid.

Looking ahead to 2026/27, approximately 47% of the organisation’s income for the financial year is derived from school partnership income relating to programme delivery with partner schools. This provides an underlying level of recurring operational income across the academic year. At the date of this assessment, 100% of target partner schools have committed to the 2026/27 programme, reflecting the strength of existing school relationships and continued demand for the organisation’s programme delivery.

The remaining income for FY27 is reliant on external donors. The Trustees recognise that fundraising income forecasts in the prior period did not convert in full within the anticipated timeframe. As a result, additional scrutiny has been applied during the current assessment to the maturity, probability weighting and expected timing of pipeline opportunities. The Trustees have focused particularly on opportunities assessed as having a higher likelihood of conversion within the assessment period. The Trustees have considered the progress made in strengthening fundraising oversight during the year. This has included more structured pipeline monitoring, probability weighting of opportunities, more frequent reporting to Trustees and closer review of the timing and maturity of individual prospects.

The Trustees have reviewed the current cash flow forecast and fundraising pipeline. At the date of this assessment, secured income for 2026/27 remains limited and the organisation is dependent on the conversion of both existing funder renewals and new fundraising opportunities. While the pipeline includes a number of opportunities across corporate partnerships, trusts and foundations, individual giving and philanthropic networks, a significant proportion remains unconfirmed and subject to funder decision-making and timing.

Whilst based on current funding opportunities within the pipeline the organisation would be fully funded for 2026/27 if all opportunities converted to committed funding, Trustees note that the overall value of the pipeline at this stage of the year is lower than at comparable points in previous years, and there remains an immediate requirement to secure material additional funding during the remainder of 2026.

50 Report and Financial Statements for the Year Ended 31 July 2025

Given the challenging fundraising environment in the UK, the organisation has been working closely with City Year Inc (US) who have been providing support to the organisation both in terms of supporting engagement with USbased donors who have a global perspective, plus providing additional fundraising resources. Given the challenges facing private sector fundraising, the Trustees have also identified a strategy of income diversification through partnerships with the public sector, given the strong focus of the education sector on improving English and Maths in schools, and the growing issue of NEET youth in the UK. Both of which are central to the mission and work undertaken by the organisation.

The Trustees have also considered the impact of leadership stability on the organisation’s fundraising and external engagement activity. The organisation has operated without a permanent Chief Executive for a prolonged period during the current year, but a new permanent Chief Executive has recently been appointed and will join the organisation shortly. The new Chief Executive has many years of experience in delivering youth services that meet local needs and support our communities. The Trustees consider that this appointment provides greater organisational stability and strengthens the charity’s leadership capacity, external engagement and fundraising capability going forward, including the development of relationships with existing and prospective funders and supports the Trustees' strategy of diversification of income in the public sector.

The Trustees have also considered the mitigating actions available to the organisation should income not be secured in line with current forecasts. These include close monitoring of cash flow, continued control of discretionary expenditure, review of staffing and programme delivery assumptions, active management of creditor and payment timings where appropriate, and further Trustee oversight of financial decision points. The organisation has also previously taken action to reduce its cost base and align expenditure more closely with current levels of activity.

Notwithstanding these actions, the Trustees recognise that there is a material uncertainty relating to the charity’s ability to secure sufficient income during 2026/27 to meet its obligations as they fall due without requiring significant further action. This uncertainty arises principally from the current level of unsecured fundraising income required for 2026/27, the reliance on successful conversion of elements of the fundraising pipeline, the limited level of unrestricted reserves, the timing of funder decisions, and the implementation of the organisation’s public sector income diversification strategy.

The Trustees have concluded that these conditions indicate the existence of a material uncertainty which may cast doubt on the charity’s ability to continue as a going concern. The financial statements do not include any adjustments that would result if the charity were unable to continue as a going concern.

However, given the status of current fundraising opportunities, the level of secured school income, and the confirmation of all target partner schools for the 2026/27 programme, the actions already taken to strengthen fundraising and financial oversight, the appointment of a permanent Chief Executive, and the strategic actions available to the organisation, the Trustees consider that there remains a reasonable expectation that the charity will have adequate resources to continue in operational existence for the foreseeable future.

For this reason, the Trustees have concluded that it remains appropriate to prepare the financial statements on a going concern basis.

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Our funders

We thank all our supporters during the year, to whom we are deeply grateful:

Akin John Scott Charitable Trust Ardian Lillie Johnson Charitable Trust Bain Capital Mastercard Bank of America National Citizen Service Trust Baron Davenport's Charity Souter Charitable Trust BGF Foundation St James’s Place Charitable Foundation CVC Capital Partners Limited The Drapers’ Charitable Fund DHL UK Foundation The John Armitage Charitable Trust E B M Charitable Trust The Joseph Strong Frazer Trust Garfield Weston Foundation The Merriman Charitable Foundation Gowling WLG (UK) Charitable Trust The Pamela Barlow Charitable Trust HarbourVest The Roger & Douglas Turner Charitable Trust The Christopher and Henry Oldfield Trust The W O Street Charitable Foundation Howden Vertex Pharmaceuticals Jefferies

52 Report and Financial Statements for the Year Ended 31 July 2025

Principal risks and risk management

City Year UK’s trustees have considered the major risks to which the charity is exposed and have reviewed those risks and established policies, systems and procedures to manage them. A risk register is updated at least annually and this is regularly reviewed to mitigate the risks the charity faces.

The principal risks are:

City Year UK has a safeguarding policy that covers all our interactions with pupils and all volunteers undertake child protection training before being permitted to volunteer in schools or work with children. In a review of the safeguarding policy, the NSPCC noted that it was 'fit for purpose' and made recommendations for further improvement which have been implemented. Volunteers and staff undergo a DBS check before they can take up a paid or voluntary role with City Year UK. Policies and procedures are in place to ensure compliance with the health and safety of our staff, volunteers and visitors. There are internal policies and procedures covering HR, IT, GDPR/data protection, privacy and security as well as internal financial controls for the authorisation of all financial transactions and projects.

Report and Financial Statements for the Year Ended 31 July 2025 | 53

Plans for 2025 - 2026

52 Report and Financial Statements for the Year Ended 31 July 2025

Measurement

At City Year UK we use measurement to drive programme design, inform our interventions and improve outcomes for children in need. Looking forward, we continue to hone our approach and explore the potential for more precise evaluation of the link between pupil engagement and progress.

Following our acceptance onto Sainsbury's Data Philanthropy Programme, our team took part in a two day hackathon-style event with data analysts. A key insight from our 2024-2025 data showed that pupils with significantly improved social-emotional skills (measured using DESSA) improved their attendance by 3.5%.

In 2025-2026, City Year mentors will use our own ‘Areas of Focus’ model, bringing together research, best practice and proven high-impact strategies to sharpen delivery of interventions. At its heart is social and emotional learning, reinforced by the opportunity for schools to target three other areas for improvement per pupil: attendance, behaviour and maths or English. Taken together, these pillars create the conditions for children to thrive.

Where schools have chosen maths or English support, each child will be enrolled onto IXL Learning, a leading educational platform aligned to the National Curriculum. Offering personalised maths and English practice, the platform will also help us maintain consistency in our academic support and improve data insights. A diagnostic assessment gives a clear picture of where pupils are in their own learning journey and the skills they need to develop. An interactive dashboard tracks real-time progress, also enabling school staff to receive intervention updates. There are dedicated GCSE and SATs skills plans and for maths, pupils with English as an additional language can practise skills using translation.

Our 'Areas of Focus' Model for 2025-2026

Pupils chosen for individual mentoring in consultation with school

Identify which social-emotional skills will benefit each child. Weekly sessions to develop:

Pupils chosen for individual mentoring in consultation with school Pupils chosen for individual mentoring in consultation with school Pupils chosen for individual mentoring in consultation with school Pupils chosen for individual mentoring in consultation with school Pupils chosen for individual mentoring in consultation with school
Pupils chosen for individual mentoring in consultation with school
I dentify whichsocial-emotional skillswill benefit each child. Weekly sessions to develop:
Optimistic thinking Self-management Relationship skills Social awareness
Self-awareness Personal responsibility Goal-directed behaviour Decision making


Tailored strategies for individual pupils
Activities integrated into daily routines
Social-emotional learning fostered within class		 Focus on positive behaviours
Track progress to inform next steps
Close collaboration with teachers and staff

Report and Financial Statements for the Year Ended 31 July 2025 | 55

PLUS opportunity for schools to target: PLUS opportunity for schools to target: PLUS opportunity for schools to target: PLUS opportunity for schools to target: PLUS opportunity for schools to target:
PLUS opportunity for schools to target:
Maths or English Behaviour Attendance
Personalised plan
Real-time progress tracker
SATs and GCSE options		 Coaching in and out of
class
Skills development, lesson
recap or exam preparation		 In-lesson support
Attention to learning
Check-ins		 Morning meet and greet
Phone calls home
Walking to lessons
Support for allpupils before, duringand after school
New opportunities and innovative activities Promoting positive, welcoming
communities
Running
extra clubs		 Helping on class trips Staging events Extra ‘eyes and ears’
at breaktime		 Someone to talk to
who isn’t a teacher

56 Report and Financial Statements for the Year Ended 31 July 2025

Structure, Governance and Management

Report and Financial Statements for the Year Ended 31 July 2025 | 55

Governing document

City Year UK is a registered company limited by guarantee, incorporated on 17 July 2009 and registered as a charity (number 1131350) on 25 August 2009. It was established under a Memorandum of Association, which defines its objects and powers and is governed under its Articles of Association. In the event of the company being wound up, members (who are currently solely the trustees of the charity) are required to contribute an amount not exceeding £10. The board of trustees, together with the senior management team, are set out at the end of this document.

Recruitment and appointment of trustees

The directors of the company are also charity trustees for the purposes of charity law. Under the requirements of the Memorandum and Articles of Association, trustees serve a three-year term. They can be re-elected and generally serve a maximum of three terms. The articles make provision for trustees to serve additional terms in exceptional circumstances and with the unanimous agreement of all other trustees. One existing trustee was re-elected for a new term, and one trustee resigned from the board. All trustees gave their time voluntarily and received no benefits from the charity.

Trustee induction and training

An induction pack for trustees is in place, and all new trustees are invited to meet with the chair and chief executive to discuss the work of the charity and in particular to be informed of:

Trustees’ needs are assessed on an individual basis, and training is provided if required. During the year, all trustees engaged in development sessions covering educational policy changes, trends in volunteer engagement and building a culture of equity, diversity and inclusion.

Organisational structure

City Year UK has a board of trustees who meet quarterly, as well as delegating specialist matters to committees where appropriate. Collectively, they are responsible for the strategic direction, policy and financial sustainability of the charity. At present, the board has ten trustees from a variety of professional backgrounds relevant to City Year UK’s work.

Recommendations on strategic direction, financial progress and day-to-day management of the charity’s activities are delivered by the senior leadership and wider staff team.

Arrangements for setting pay and remuneration of key management personnel

Pay and remuneration of the senior leadership team are set by the chief executive by reference to both internal pay scales and external benchmarking. This process is conducted by the trustees for the remuneration of the chief executive.

58 Report and Financial Statements for the Year Ended 31 July 2025

Relationship with related parties

City Year UK operates under an international affiliation agreement with City Year Inc., a not-for-profit registered in the US. The technical assistance and affiliation agreement gives City Year UK the rights to use the proven City Year Inc. programme design. The affiliation agreement came up for renewal in December 2019 and has since gone through two successful bi-annual recertification processes.

Statement of trustees’ responsibilities

The trustees (who are also the directors of City Year UK for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure of the charitable company for that period. In preparing those financial statements, the trustees are required to:

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 of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Public benefit

In developing the objectives for the year and in planning our activities, the trustees have considered the Charity Commission's guidance on public benefit.

City Year UK’s purpose (as set out in the Objects of the Charity in the Articles of Association) is to promote the education of young people under the age of 25 years in the UK and to advance citizenship by the development of

Report and Financial Statements for the Year Ended 31 July 2025 | 59

volunteering opportunities. The work we do in pursuit of our mission is illustrated throughout this report. City Year contributes to public benefit through both coaching students furthest from opportunity in school and supporting young adults to develop skills for life and work.

Fundraising

City Year UK is registered with the Fundraising Regulator and is committed to fundraising in line with the Code of Fundraising Practice in a way that is open, honest and respectful. During the year, City Year UK did not make use of any external consultants to undertake its fundraising activities. No data was shared with, or sold to, any external agencies. We did not undertake direct mail shots, send any unsolicited newsletters or approach any vulnerable individuals to support our work. A complaints policy is in place, but we received no complaints during the year about any of our fundraising activities.

This report was approved by the Trustees on 29/05/2026 and signed by order of the Board

…………………………………………

Matthew Davies (Chair of Trustees)

29/05/2026

60 Report and Financial Statements for the Year Ended 31 July 2025

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Report and Financial Statements for the Year Ended 31 July 2025 | 59
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Independent Auditors’ Report and Financial Statements

60 Report and Financial Statements for the Year Ended 31 July 2025

Opinion

We have audited the financial statements of City Year UK (the ‘charitable company’) for the year ended 31 July 2025 which comprise the statement of financial activities, the balance sheet, statement of cash flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Material uncertainty relating to going concern

We draw attention to the accounting policy on Going concern in the Financial Statements which sets out the challenges the charity has faced in converting its fundraising pipeline into secured income in a challenging fundraising environment and whilst the charity has been without a permanent Chief Executive. The accounting policy sets out the steps the charity is taking to address these issues. As stated in the accounting policy these conditions indicate that a material uncertainty exists that may cast significant doubt on the charity’s ability to continue as a going concern. Our opinion is not modified in respect of this matter.

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Our evaluation of the Trustees’ assessment of the charity’s ability to continue to adopt the going concern basis of accounting included review of the fundraising pipeline and cashflow forecasts to July 2027. Our key observations are that the charity is working closely with City Year Inc who are providing additional fundraising resources and supporting engagement with US-based donors and with the appointment of a new permanent Chief Executive the charity has identified a strategy of income diversification.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditors report thereon. The trustees are responsible for the other information.

Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine

Report and Financial Statements for the Year Ended 31 July 2025 | 63

whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 59, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line

64 Report and Financial Statements for the Year Ended 31 July 2025

with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of the audit report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken, so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report or for the opinions we have formed.

Simon Goodridge (Senior Statutory Auditor)

For and on behalf of Knox Cropper LLP, Statutory Auditor 65 Leadenhall Street London EC3A 2AD

29/05/2026

Report and Financial Statements for the Year Ended 31 July 2025 | 65

Statement of Financial Activities

64 Report and Financial Statements for the Year Ended 31 July 2025

CITY YEAR UK

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 JULY 2025

Notes
Income and endowments from
Donations and legacies
Grants and Donations
2
Investment Income
Charitable activities
School Fees
Total Income
Expenditure on
Raising funds
Costs of Generating Voluntary Income
Charitable Activities
Programme Expenses
Total Expenditure
3
Net income/(expenditure)
Net Movement in funds
Reconciliation of funds
Total Funds Brought Forward
Total Funds Carried Forward		 Unrestricted
Funds
563,910
5,064
775,476
1,344,450
275,687
1,534,432
1,810,119
(465,669)
(465,669)
472,127
6,458		 2025
Restricted
Funds
307,116
-
-
307,116
-
307,116
-
-
-
-
307,116		 Total Funds
871,026
5,064
775,476
1,651,566
275,687
1,841,548
2,117,235
(465,669)
(465,669)
472,127
6,458		 Unrestricted
Funds
1,486,075
656
973,570
2,460,301
296,939
2,141,218
2,438,157
22,144
22,144
449,983
472,127		 2024
Restricted
Funds
179,682
-
-
-
179,682
179,682
179,682
-
-
-
-		 Total Funds
1,665,757
656
973,570
2,639,983
296,939
2,320,900
2,617,839
22,144
22,144
449,983
472,127

All incoming resources and resources expended derive from continuing activities.

67

Balance Sheet

66 Report and Financial Statements for the Year Ended 31 July 2025

CITY YEAR UK

BALANCE SHEET AS AT 31 JULY 2025

Notes
Fixed Assets
Investments
9
Current Assets
Debtors
10
Cash at Bank and in Hand
Liabilities
Creditors: amounts falling due
Within One Year
11
Net Current Assets
Total Net Assets
13
The Funds of the Charity:
Unrestricted Funds
General Funds
12
Restricted Funds
12
Total Funds		 2025
£
-
-
17,275
225,673
242,948
236,490
6,458
6,458
6,458
-
6,458		 2024
£
1
1
202,271
397,945
600,216
128,090
472,126
472,127
472,127
-
472,127

Approved by the Board of Trustees on 29/05/2026 and signed on its behalf by:

…………………………………………………………..

Matthew Davies

Chair of Trustees

Registered Company Number: 06965846

Registered Charity Number: 1131350

69

Statement of Cashflows

68 Report and Financial Statements for the Year Ended 31 July 2025

CITY YEAR UK

STATEMENT OF CASHFLOWS

2025
£
CASH FLOWS FROM OPERATING ACTIVITIES
Net cash flows provided by (used in) operating activities
(172,272)
NET CHANGE IN CASH AND CASH EQUIVALENTS
(172,272)
Cash and cash equivalents at the start of the year
397,945
Cash and cash equivalents at the end of the year
225,673
RECONCILIATION OF OPERATING SURPLUS TO NET CASH INFLOW FROM OPERATING ACTIVITIES
2025
£
Net Income / (expenditure) for the financial year
(465,668)
Adjustments for:
(Increase)/decrease in debtors
184,997
Increase/(decrease) in creditors
108,339
Net cash provided by (used in) investing activities
(172,272)		 2024
£
(57,474)
(57,474)
455,419
397,945
2024
£
22,144
(69,530)
(10,087)
(57,473)

71

Notes Forming Part of the Financial Statements

70 Report and Financial Statements for the Year Ended 31 July 2025

CITY YEAR UK

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025

1. ACCOUNTING POLICIES

a. Basis of Accounting

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102 second edition) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

b.

Going concern

The trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements in respect of a period of one year from the date of approval. In making this assessment, the trustees have reviewed detailed cashflow forecasts, expected school income, secured funding, the weighted fundraising pipeline, current reserves and the risks associated with future fundraising income.

The trustees have concluded that these conditions indicate the existence of a material uncertainty which may cast significant doubt on the charity’s ability to continue as a going concern. However, having considered the level of expected school income, current fundraising opportunities, the appointment of a new permanent Chief Executive, and the actions taken to strengthen fundraising and financial oversight, the trustees consider that there remains a reasonable expectation that the charity will have adequate resources to continue in operational existence for the foreseeable future.

Accordingly, the trustees continue to adopt the going concern basis in preparing the financial statements. The financial statements do not include any adjustments that would result if the charity were unable to continue as a going concern.

Income consists of grants and donations and bank interest receivable. These are dealt with on a receivable basis, i.e., income is recognised when it becomes legally receivable. Where income has been used specifically for funding fixed assets, the income is recognised in the Statement of Financial Activities and depreciation on the fixed assets is charged against the relevant fund as it arises.

d.

Donations in Kind

Donations in kind are recognised both as income and expenditure where their value can be ascertained with reasonable certainty.

e. Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is recognised on an accruals basis. Whenever possible, expenditure is allocated direct to the activity to which it relates on an actual basis. Where actual allocation is not possible the costs are apportioned on the basis of staff costs.

f. Restricted Funds

Where income is given for a specific purpose or project, the funds are treated as restricted and any surplus or deficit will be carried forward as a restricted fund until it is fully applied for the specified purposes.

g.

Value Added Tax

The Charitable Company is not registered for value added tax (VAT) and input tax is not recoverable. Expenditure is therefore recorded inclusive of VAT.

h. Pension costs

The charity has a defined contribution pension scheme. Employer contributions are charged to the statement of financial activities in the period to which they relate.

i.

Financial instruments

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

73

CITY YEAR UK

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025

2. GRANTS AND DONATIONS

Grants
London
West Midlands
Greater Manchester
Central costs
Other grants and donations
Unrestricted
Donations in Kind
Staff training funded through transfer
of Apprenticeship Levy		 Unrestricted
£
-
-
-
-
-
554,540
554,540
9,370
9,370
563,910		 Restricted
£
101,888
20,000
72,499
112,729
307,116
-
307,116
307,116		 2025
Total
£
101,888
20,000
72,499
112,729
307,116
554,540
861,656
9,370
9,370
871,026		 2024
Total
£
35,833
17,833
75,094
50,922
179,682
1,467,435
1,647,117
18,640
18,640
1,665,757

There were £9,370 in value donations in kind during FY25 (FY24: £18,640). In addition to this Akin provided space to run our Leadership Development Programme for our London based volunteer mentors on Fridays, generously giving us conference room space and breakout rooms. Several of our funders restrict their giving either to a region or to a specific team of volunteers. We have grouped these together by region for reporting purposes and have separately shown any other restricted funds not defined by region, but by other purpose

74

CITY YEAR UK

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025

3. TOTAL RESOURCES EXPENDED

Direct Programme Staff
Non Programme Staff
Volunteer Expenses
Volunteer Recruitment- Salaries
Volunteer Recruitment- Other
Programme Costs
Training
Property & Maintenance
Staff Recruitment
IT & Telecoms
Staff Travel & Accommodation
Communications
Legal & Professional
Other Overheads
Fundraising Events
Affiliation Fee
Reallocation of support Costs		 Cost of
Generating
Funds
Charitable
Expenditure
Support
Costs
2025
Total
2024
Total
£
£
£
£
£
771,677
771,678
855,076
266,721
-
222,666
489,387
604,308
452,585
613,830
118,257
137,730
18,884
65,580
43,382
56,917
44,810
84,538
-
42,199
-
452,585
118,257
18,884
43,382
44,810
42,199
49,563
-
2,944
2,944
3,469
-
43,525
43,525
55,676
6,697
424
7,121
11,724
17,271
-
17,271
17,759
13,872
16,334
30,206
24,055
2,263
2,263
8,052
8,966
8,966
2,460
23,757
27,101
23,757
275,687
1,511,192
330,356
2,117,235
2,617,839
330,356
(330,356)
275,687
1,841,548
-
2,117,235
2,617,839

75

NOTES TO THE FINANCIAL STATEMENTS

CITY YEAR UK

FOR THE YEAR ENDED 31 JULY 2025

4. NET INCOMING RESOURCES FOR THE YEAR

This is stated after charging/(crediting):
Auditors Remuneration
5.
STAFF COSTS
Salaries and Wages
Social Security Costs
Pension Costs
Redundancy Costs		 Year
Ended
31 July
2025
£
13,872
1,214,961
119,430
44,929
27,262
1,406,582		 Year
Ended
31 July
2024
£
12,285
1,412,273
129,658
55,184
-
1,597,115

Employees who received benefits, excluding pension contributions in excess of £60,000 during the current period:

No. No.
£60,001 to £70,000 1 -
£70,000 to £80,000 1 1
£80,001 to £90,000 - -
£90,001 to £100,000 1 -
£100,001 to £110,000 1 1

The average number of employees during the year was as follows:-

Programme Staff
UK Year of Service: School service Leaders
Fundraising, Administration and Support		 No.
15
4
13
32		 No.
25
4
21
50

The charity has a defined contribution pension scheme for its employees. Since 1 April 2017 the charity has operated this on an auto enrolment basis. In the current year contributions were paid on behalf of 26 employees (2024:41). As at the year end, £5,712 was outstanding (2024: £9,383).

76

CITY YEAR UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025 KEY MANAGEMENT PERSONNEL The key management personnel of Ihe Charity are those persons having authority and responsibility for planning. City Year UK Ihey comprise the Trusiees and senior management ieam The total employee benefits. Including employer pension contributions. payable io key management personnel during Ihe year amounie¢ lo £459.327 12024-. E291.3861. TRUSTEE REMUNERATION AND RELATED PARTY TRANSACTIONS None ol the Trustees received any ¥emunerèlion or were reimbur5eJ expenses during the period12024'. none) The following Trustees aLs0 have Senior role5 Wlth Some of the ch3rity'5 key lunders. Maiihew Davies Managing Director. Treasury Services. Global Banking Markets. Bank ol America Merary Soto-saunders Former Global Head of Diversity @ CVC Capital Partner51 HR & Talent Expertise James David Terry Pariner ai Akin We received E22.78812024 E29.923 from Bank ol America and E20.ODO from Akin IFY24 E60.0001 and E78.116 from CVC Capital Partners IFY24. £87.2E91 There were no amounts due 10 or from Ihese lunders 81 the year end Nine Irustees also made personal don8tion5 10 the charity during ihe year which amounted 10 £33.430 In total 12024. Seven Trustees tolalling E39.7311 Trusiees Annmaura Connolly and Stephanie Wu ar& also Ihe Chief Slraiegy Officer of Cily Year Inc and Chief Transformation Officer. respectively Ciiy Year UK has an alfilialion agreem&ni with City Year Inc under Ihe terms of which the Schools programrne oper3les TAXATION As a charity City Year UK 15 exempt from tsx on income and gains lo the emlent that these are applied lo it5 chariiable objects. No lax charges have arisen In the charity In the current period INVESTMENTS As at 31 July 2025 As at 31 July 2024 Investrnenl In unquoted subsidiary undertaking At cost The wholly-owned trading subsidiary. City Year London Trading Limited. which was incorporated in Ihe Unite(J Kingdom on 3 November 2010. operated 811 commercial trbding operations carried out by Ihe Chariiy The Ch3rity owns the entire i55ued share capital of I share with a nominal value of El The company h35 been dormani since September 2019 The company was dissolved on 15 April 2025

NOTES TO THE FINANCIAL STATEMENTS

CITY YEAR UK

FOR THE YEAR ENDED 31 JULY 2025

10. DEBTORS

Trade Debtors
Accrued Income
Other Debtors
Prepayments		 As at
31 July 2025
£
(570)
-
1,000
16,845
17,275		 As at
31 July 2024
£
14,871
172,706
1,600
13,094
202,271

11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade Creditors
Taxes and Social Security
Other Creditors
Accruals and Deferred Income		 As at
31 July 2025
£
20,895
173,548
5,712
36,335
236,490		 As at
31 July 2024
£
11,841
32,348
9,383
74,518
128,090

78

NOTES TO THE FINANCIAL STATEMENTS

CITY YEAR UK

FOR THE YEAR ENDED 31 JULY 2025

12. MOVEMENTS IN FUNDS

Restricted
Funds:
London
West Midlands
Greater
Manchester
Central Costs
Unrestricted
funds:
General Funds
Restricted
Funds:
London
West Midlands
Greater
Manchester
Central Costs
Unrestricted
funds:
General Funds		 At
1 August
2024
Incoming
Resources
Outgoing
Resources
Transfers
At 31 July
2025
£
£
£
£
£
101,888
(101,888)
20,000
(20,000)
72,499
(72,499)
112,729
(112,729)
307,116
(307,116)
472,127
1,344,450
(1,810,119)
6,458
472,127
1,651,566
(2,117,235)
6,458
At
1 August 2023
Incoming
Resources
Outgoing
Resources
Transfers
At 31 July
2024
£
£
£
£
£
-
35,833
(35,833)
-
-
-
17,833
(17,833)
-
-
-
75,094
(75,094)
-
-
-
50,921
(50,921)
-
-
-
179,682
(179,682)
-
-
449,983
2,460,301
(2,438,157)
-
472,127
449,983
2,639,983
(2,617,839)
-
472,127

Restricted funds:

The application of these funds is subject to restrictions imposed by the funders with the grants available being allocated to certain categories of payroll and administration costs or to specific activities or events as specified in the grant agreements.

79

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JULY 2025

CITY YEAR UK

13. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Fixed Assets
Net Current Assets
Net Assets at 31 July 2025		 General
Funds
Restricted
Funds
Total Funds
£
£
£
-
-
6,458
6,458
6,458
6,458

For comparative period:

Fixed Assets
Net Current Assets
Net Assets at 31 July 2024		 General
Funds
Restricted
Funds
Total Funds
£
£
£
1
-
1
472,126
-
472,126
472,127
-
472,127

80

Additional Informatidn aj ac

Reference & administrative details

Board of Trustees

Matthew Davies Chair of the Board AnnMaura Connolly Patrick Flaherty Kasey Hooper Sachin Jogia Michael Lynas Bethia McNeil Resigned 31 March 2025 Merary Soto-Saunders James Terry Chair of the Finance Committee Rodney Williams Stephanie Wu

Senior management team

Kevin Munday Chief Executive (Left 18 July 2025) Chandni Radia Alison Vaughan Director of Finance (Left 31 July 2025) Sophie Fanning-Tichborne Associate Director of Development (Left 20 May 2025) Louisa Hopkins Dean Thomas-Lowde

Director of Development and External Relations / Acting Chief Executive Director of Finance (Left 31 July 2025)

Associate Director of School Partnerships and Volunteer Recruitment Associate Director of Programmes

Auditors

Bankers

Knox Cropper LLP Chartered Accountants 65 Leadenhall St London EC3A 2AD

CAF Bank 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4TA

Solicitors

Ashurst LLP Broadwalk House 5 Appold Street London EC2A 2HA

Akin Eighth Floor Ten Bishops Square London E1 6EG

82 Report and Financial Statements for the Year Ended 31 July 2025

how you could get involved with fundraising and volunteering at cityyear.org.uk/ get-involved.

dynamic, young City Year mentors? Email schools@cityyear.org.uk or call 020 7014

talent pool of diverse young people? Email development@cityyear.org.uk or call 020 7014 2680. Have a question or feedback? Get in touch at cityyear.org.uk/contact-us

Report and Financial Statements for the Year Ended 31 July 2024 | 83

Contact us London (Headquarters) City Year UK 200a Pentonville Road /cityyearuk London N1 9JP 020 7014 2680 Other Offices: Greater Manchester, West Midlands cityyear.org.uk info@cityyear.org.uk City Year UK is a registered charity (1131350) and company registered in England and Wales (06965846)