**The Chartered Institution of Highways & Transportation Report and financial statements For the year ended 31 December 2022**
**Registered by Royal Charter: RC000835 Registered Charity: England (1136896), Scotland (SC040873) and the Republic of Ireland (20103989)**
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 CONTENTS**
|**Introduction and CEO Update**|**1**|
|---|---|
|**Trustees’ Report the year ended 31 Dec 2022**|**3**|
|**Reference and administrative details**|**16**|
|**Independent Auditor's report**|**18**|
|**Consolidated statement of financial activities**|**22**|
|**Charity and group balance sheets**|**23**|
|**Group Statement of Cash Flows**|**24**|
|**Notes to the financial statements**|**25**|
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 CHAIR’S INTRODUCTION AND CEO UPDATE**
## **Introduction**
We have continued to experience significant external factors including the outbreak of war in Ukraine, gradual recovery from the impacts of Covid-19 and ongoing economic uncertainty that has impacted on us all.
During my second year as Chair of the Board of Trustees, I have been well placed to see how CIHT has positively reacted to these challenges and been able to continue on a successful route. Trustees have worked closely with the Executive staff over this period to ensure good governance and maintain financial sustainability throughout this period.
We have continued to deliver on our three strategic aims as outlined in the CIHT Strategy 2022+. The Institution has adapted well to new ways of working and has prioritised its use of resources.
The commentary provided in this report highlights some of our key achievements during 2022. The Institution could not have achieved all it has done without the unstinting efforts of members who give their time and attention to the work of the Institution. In this respect, the work of the regions and devolved nations in the UK and the international groups in the Republic of Ireland, Hong Kong, Malaysia, Dubai, and Qatar, should be recognised. In addition, many members contributed by serving on the Council, Strategic Boards (Committees) and working groups of the Institution. The Trustees are grateful to our volunteers and their employers for allowing their staff to undertake this work in the interests of the profession.
Looking forward to 2023, I know we will continue to focus on our key themes of Climate Action, Professionalism and Equality, Diversity and Inclusion.
With the support of our members, in collaboration with our partners, I believe we can continue to deliver public benefit and continue to show the relevance and importance of highways, transportation infrastructure and services.
## **Gordon Baker Chair – Board of Trustees**
1
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 CHAIR’S INTRODUCTION AND CEO UPDATE**
## **CEO Update**
2022 was a challenging year due to the ongoing impacts of the Covid restrictions at the beginning of the year, and geopolitical challenges – particularly the war in Ukraine and the sharp rise in inflation.
As Covid restrictions eased staff returned to a hybrid office working with a minimum of two days in the office per week, with all staff in on Wednesdays.
Despite the uncertainties, we had a good year and have, for example, successfully delivered over 100 events (a mix of online and in-person) with over 10,000 people attending, launched our new Transportation Professional magazine (which has been well received), provided a new digital learning platform through CIHT Learn and quickly adapted the business model to reflect sales opportunities, launched Strategy 2022+ and held a very successful in person CIHT Annual Luncheon.
More information on some of our successes is detailed in the following report but we were especially pleased to be successful in our 5-year Engineering Council review – a positive outcome for all those involved.
Finally, it was also really encouraging to see the positive response from the 2022 member survey with 77% of members very satisfied or satisfied with their membership compared with 74% in 2020.
2023 will see us embark on some ambitious and exciting projects, through working with the Department for Transport on the Bus Center of Excellence to releasing the results of our first ever Employment Trends Research project.
We have continued to develop as an organisation and are always striving to improve. We face the future with optimism and confidence in the knowledge that the commitment and support from our Board of Trustees, Council and volunteers will enable us to flourish and develop for our members’ and the public’s benefit.
## **Sue Percy CEO**
2
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
## **Trustees’ Report for year ended 31[st] December 2022**
The Institution is a Registered Charity in England and Wales (1136896), a Registered Charity in Scotland (SCO40873); a registered charitable body in the Republic of Ireland (20103989), and incorporated by Royal Charter. Our central office is located at Britannia Walk near Old Street in London.
The Board of Trustees of the Chartered Institution of Highways & Transportation (CIHT) presents its Annual Report and Financial Statements for the year ended 31 December 2022.
## **Objectives and Activities**
The CIHT was formed on 1 January 2010 following the Grant of a Royal Charter by the Privy Council. (The former Institution of Highways & Transportation was a registered charity and a company limited by guarantee founded in 1930 as the Institution of Highway Engineers). The objects of the Institution are to advance for the public benefit the science and art associated with Highways and Transportation in all their aspects; and to promote education, training, and research and development of the said science and art.
The charitable powers of the Chartered Institution are set out in its Royal Charter and Byelaws dated 30 October 2009. The Institution aims to achieve its objectives by promoting good practice amongst its members, through programmes of meetings, conferences, seminars, and publications, providing routes to Chartered and Incorporated Engineer, Engineering Technician, the SoRSA Certificate of Competency and Chartered Transport Planning Professional; and providing a forum for consultation on all matters affecting Highways and Transportation. The Institution promotes debate in all areas affecting the discipline of Highways and Transportation.
CIHT provides strategic leadership and support to help our members develop, deliver, and maintain sustainable solutions for highways, transport infrastructure, and services that:
- Address the challenges of climate change
- Support the economy
- Help address societal inequalities
- Reduce environmental degradation
- Respond to a changing world
In November 2021, CIHT’s Council signed off a new medium-term strategy ( **CIHT Strategy 2022+)** which highlights our strategic priorities over the next five to ten years which are to:
- **Promote Learning** – providing members with the skills, training, and qualifications to be the workforce that our society, the environment, and the economy need.
- **Influence the future** – working with members, stakeholders, and decision-makers to demonstrate the value of efficient transport infrastructure and services and to help improve all networks so that they are safe, sustainable, effective and able to meet the changing needs of society.
- **Promote the value of membership** – Recruiting new members and retention of existing members through a reputation for excellence and a range of attractive membership services.
In addition to our priorities, we have three overarching themes; **Climate Action** ; **Professionalism** ; and **Equality, Diversity and Inclusion** (EDI)
3
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
## **Delivering public benefit**
All our charitable activities are to advance for the public benefit the science and art associated with highways and transportation in all their aspects; and to promote education, training, and research and development of the said science and art. Success for the Institution is defined in terms of developing the knowledge, skills and effectiveness of members of the Highways and Transportation profession, and in influencing the development of policy and best practice in the field. Performance is measured in terms of increasing numbers availing themselves of existing provision, and the development of new ways of working to support these aims. In addition, the Institution continues to provide advice and guidance to the industry and stakeholders in accordance with its objects.
Membership of CIHT is open to applicants who meet the relevant professional criteria. Lower rates are charged for retired members, graduates, part-time students, and associate members whilst special concessions are offered in cases of personal change of circumstance, hardship, or unemployment. Full-time students and apprentices are offered membership free of charge.
The achievements and performance set out in this report provide a more detailed account of CIHT’s contribution to the industry in pursuit of its charitable objectives.
The Trustees have referred to the Charity Commission’s general guidance on public benefit when reviewing the charity’s aims and objectives and in planning its future activities. Trustees consider how planned activities will contribute to the aims and objectives that have been set.
The Trustees confirm that they have complied with the duty in section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission in determining the activities undertaken by the charity.
In formulating our corporate strategy, we have adopted a commitment to advance on three key cross cutting themes that underpin our ambition to deliver public benefit.
- **Climate Action** – there is an urgent and immediate need to decarbonise our transport systems to tackle the climate crisis and to provide better long-term solutions for a more sustainable world.
- **Promoting professionalism** – to give the public the confidence that our members can be held to account for advice and actions. We expect all our members to operate within the CIHT Code of Professional Conduct.
- **Equality, Diversity and Inclusion** – We are committed to working for equality, diversity and inclusion in the transportation sector. A sector that truly represents the wider community that we serve enables us to deliver the best solutions to the challenges we face.
Our achievements and performance in addressing these three themes is set out in the next section of the report.
4
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
## **Achievements, and performance highlights for 2022**
Key achievements and performance are reported below referencing the three strategic priorities and the three cross cutting themes as set out in the corporate strategy which was signed off in November 2021.
## **Climate Action**
|**We will:**|**Key Achievements / Initiatives in 2022**|
|---|---|
|Become a net
Zero carbon
organisation by
2027|•
CIHT have subscribed to the CAFA support service that has been set up to
specifically help membership bodies deliver on net zero commitments. Our aim is
to be a net Zero organisation by 2027.
•
All renewals communications sent by email where possible unless no email held.
•
Move to electronic membership certificates - printed certificates only issued on
request.|
|Support our
members by
providing training
on carbon
literacy|•
The Transport Decarbonisation Pathway has been produced by an Expert Focus
Group that provides members with a clear Continuing Professional Development
(CPD) Framework including advice on key topics and learning outcomes. There is
an expectation that members should dedicate a proportion of their annual CPD
effort to growing their decarbonisation-related skills and knowledge.
•
A one-hour carbon literacy course is available on CIHT Learn (our online digital
training hub) for take-up by members.
•
Providing support for the climate agenda through events such as the CIHT East
Midlands Conference: The Road to Zero Carbon that focused on developing a
more sustainable and low carbon future, with valuable insight being provided by a
range of high-quality speakers.|
|Promote
initiatives across
our sector that
decarbonise our
transport system
and move
towards more
sustainable forms
of transportation|•
Carbon Calculation and Accounting Standards for Local Highways Authorities:
CIHT is a partner in a major, multi-stakeholder project led by ADEPT and the
Future Highways Research Group to develop and implement standards that will
tackle the sector’s highly fragmented and inconsistent approaches to carbon
measurement, carbon accounting, and carbon reduction. Work to develop the
standards and tool is well advanced and is under live trial with several large
highway authorities. The aim is to publish the standards by the second half of
2023. CIHT are leading a sub-group seeking to ascertain the support that
organisations will need to roll out the standard.
•
Partnered with the Office for Zero Emission Vehicles (OZEV) to stage an expert
workshop to support the creation of guidance on site selection of Electric Vehicle
charging infrastructure.
•
Contributor to the Construction Industry Council’s (CIC) work on carbon reduction.|
## **Promoting professionalism**
|Support our
members to
uphold
professional
standards
through
knowledge
sharing,
networking,
learning, and
training|•
Provision of a complementary course on CIHT Learn for members addressing
Professional Ethics.
•
An updated Code of Professional Conduct was approved by the Membership and
Member Services Strategy Board (MMSSB) in September 2022.
•
A new CPD policy guidance was published that sets out the expectation for CIHT
Member’s professional development.
•
CIHT Learn has been developed with tools to support Members to plan, undertake
and record their CPD.
•
The Institution has continued to run a comprehensive programme of webinars,
events and social activities.|
|---|---|
5
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
|**RT**||
|---|---|
|•|Provided regular updates to CIHT’s website that contain good practice case studies,|
||thought leadership articles, research and the latest updates.|
|•|Updated guidance provided for Transport Planning Professional mentors in October|
||2022.|
## **Equality, Diversity & Inclusion**
|Introduce a
CIHT Equality,
Diversity and
Inclusion (EDI)
Strategy in 2021
and put a 5 year
action plan into
progress|•
EDI action plan developed and launched.
•
EDI manager recruited to support the delivery of actions set out in the plan.
•
EDI Panel has commenced a new governance cycle, including several new
members each bringing intersectional diversity.
•
Recruitment of Regional EDI Officers has commenced.
•
CIHT Learn includes EDI related content including Understanding Disability,
Allyship, Tackling Age Bias – currently working on several additional modules.
•
Held webinars that have had a focus on EDI including ‘Do Transport Professionals
GET-IT? Gender Equality Toolkit in Transport (CIHT Scotland)’.|
|---|---|
|Push for more
equality,
diversity and
inclusion across
the sector|•
EDI Officer role description created for regional / national committees.
•
EDI element included in 2023 Annual Business Plans.
•
The regions and nations have been working on speaker diversity.
•
78 organisations have signed up to CIHT’s Diversity & Inclusion Charter.
•
Draft EDI Charter updates have been completed and consultation with Partnerships
Network members undertaken. The updated charter will directly link with the
updated EDI Toolkit – thereby supporting prospective signatories to progress EDI at
pace.
•
Engineering and Transport Planning Professional Reviewer training has included a
module on understanding unconscious bias.
•
CIHT are working to recruit more STEM ambassadors to inspire people from a range
of backgrounds to join the sector. We have run a podcast series and webinars on
STEM ambassadors. Activities undertaken by our STEM ambassadors have
reached over 44,000 young people.
•
Regular use of speaking platforms at events, articles and news commentary to raise
issues and promote initiatives.
•
Embedding EDI as a key organisational value.
•
Two EDI related ‘themes’ incorporated into CIHT’s Content Strategy.
•
EDI related activity (webinar and communication) took place for INWED 2022.
•
EDI related activities held for National Inclusion Week (Sept/Oct) and Black History
Month (October).|
## **1) Promote learning**
CIHT is the only body to offer the full range of professional transportation qualifications including Chartered Engineer, Incorporated Engineer, Engineering Technician, the Certificate of Competence in Road Safety and, uniquely, Chartered Transport Planning Professional. These qualifications ensure that our members work to high professional standards on behalf of the societies we serve.
6
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
||||||
|---|---|---|---|---|
|||**2021**|**2022**||
||Registered Members – Eng Council|1,410|1,461|+51|
||Registered Members – ©TPP|264|290|+26|
The following table highlights how we have addressed key commitments set out in our corporate strategy.
|**We will:**|**Key Achievements / Initiatives in 2022**|
|---|---|
|Encourage and
support
members to
achieve
recognised
professional
qualifications|•
91 Candidates applied for Professional Review for CEng, IEng or EngTech
through CIHT in 2022
•
A free module on ‘Preparing for Professional Review’ launched on CIHT Learn and
we held several professional qualification webinars.
•
CIHT’s Engineering Council Licence was retained at its 5-year review.
•
An experiential route to CEng pilot was approved for launch in 2023.
•
28 Candidates applied for Transport Planning Professional in 2022.
•
Initial Assessment introduced for Transport Planning Professional so members
interested in this qualification can check their route and we can monitor the
pipeline of interested candidates.|
|Demonstrate
and promote the
value of
qualifications to
professionals
and employers|•
New education and professional development strategy launched in April.
•
Profiles of successful candidates from different routes and backgrounds have been
included in Transportation Professional.
•
Promotion of qualifications and professionalism through regional webinars
including Careers after a PhD: Networking event (CIHT East Mids); Professional
Qualifications Event – Meet the Reviewer and Reviewees (CIHT Northern Ireland);
Engineering Professional Qualifications with CIHT (EngTech, IEng, CEng) and
Transport Planning Professional – How to get qualified (CIHT Yorkshire & the
Humber).|
|Embed CPD as
an essential
requirement for
our members at
all stages of
their career|•
CPD survey and focus groups conducted with members on their experience of
CPD. Member feedback has been used to draft the new CPD policy guidance note
to be launched in 2023.
•
New CPD recording functionality on CIHT Learn has been designed to support
members to plan, undertake and record CPD on CIHT Learn. Over 500 CIHT
members are now recording their CPD on CIHT Learn.
•
A new CPD Guide was published in December 2022 in response to member
feedback. The new guide sets out CPD expectations for CIHT Members including
advice on what can count as a CPD activity and the new expectation that
members focus some of their CPD on decarbonisation.
•
Regular promotion to members in newsletters and publications|
|Provide
mentoring and
professional
development
opportunities to
our members|•
Published mentoring guidance for Engineering and TPP qualifications.
•
Help webinars for mentors for the Engineering and Transport Planning
Professional qualifications.
•
50 CIHT members have completed the Introduction to Mentoring course on CIHT
Learn.|
|Develop and
deliver a digital
learning
platform for our
members|•
Launched CIHT Learn in April 2022.
•
10% of current CIHT members have to date registered on one or more courses.
•
Regular promotion of content and opportunities on CIHT Learn.|
7
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
## **2) Influence the future**
## **Raising the profile**
CIHT members play key roles in policy and technical developments across highways and transportation. Through working closely with members and influential stakeholders, CIHT shapes the decisions that affect our society, environment, and economy.
|Shape and contribute to
transport policy across the
UK and internationally|•
Represented CIHT in government consultations across the UK through a
supporting framework of policy forums in Scotland, Wales and Northern
Ireland.
•
Engagement and support through the Highways Sector Council.
•
Developed policy briefings on social value, mobility pricing and behavioral
change.
•
Contributed to conferences on a variety of topics including the importance
of the integration of planning and transport.
•
Provide media commentary, appeared at 3rdparty events, presented views
and opinion at CIHT events and through Transportation Professional (print
and digital).|
|---|---|
|Maintain and develop
relationships with national,
devolved and regional
governments, industry and
the public|•
Key stakeholder engagements have included interacting with the
Department for Transport (DfT), National Highways, ADEPT, members of
our Partnership Network, the Welsh and Scottish governments.
•
Secured ongoing secretariat support to the UK Roads Leadership Group
and World Road Association.
•
Release regular media briefings, news analysis and opinion articles.|
|Encourage research and
debate on a long-term vison
for sustainable and integrated
transport infrastructure|•
Conducted surveys that have fed into policy projects (on integrating
planning and transport and on green/blue infrastructure).
•
Held a workshop with OZEV on site selection for EV charging
infrastructure.
•
Regular development meetings with DfT Planners alongside other
professional institutions.|
|Identify and share good
practice through exchange of
knowledge and information|•
Between CIHT, Regions, Nations and SORSA we have held over 100
events attended by 10,000 people.
•
Delivery of new look Transportation Professional and associated digital
outputs via new publishing partner (Think Publishing).
•
Establishment of a more coordinated approach to content production
through a 12-month content strategy.
•
Ongoing engagement with all parts of UK public and private sector through
CIHT Partnership Network activities.
•
The CIHT Awards have highlighted excellent case projects, schemes and
initiatives from over 200 submitted entries. Shortlisted entries added to
‘The Work’ section of CIHT website to provide new case studies and
project overviews.|
|Provide thought leadership
on key highways and
transportation issues|•
Work has continued on the formulation of the new Manual for Streets and
the development of a Bus Centre of Excellence in England with DfT.
•
Highlighted key issues of climate action, policy developments across UK,
and member’s work via regular media briefings and news commentary
including a BBC Radio 4 interview ‘Positive Thinking’.
•
Regular speaker at 3rdparty events.
•
Release of regular views and thought leadership.
•
Contributed to National Inclusion Week with a podcast, the podcast
‘Transport Talks (28k downloads) and blog material all help support
thought leadership for the sector focusing on key issues.|
8
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
## **3) Promote the value of membership**
Recruiting new members and retaining existing members through a reputation for excellence and a range of attractive membership services.
|attractive membership services.|||
|---|---|---|
||||
||**2021**|**2022**|
|Paying members|10,532|10,442|
|No of apprentices in membership|411|459|
|% of all new members identify as female|26%|26%|
|% of UK new members that identify as BAME|22%|23%|
|Help shape a long-term
vision for the profession
that will equip it to attract,
retain and develop diverse
talent|•
Launched our updated Membership recruitment and retention strategy.
•
Started work on a new CIHT Employment Trends survey and research report.
•
Membership survey completed.
•
Promoted success of Young Professional and Apprentice of Year awards at
Young Professional summit.
•
Use of updated diverse member profiles to promote the value of membership.
•
Working with partners including Tomorrow’s Engineers, Engineering UK and
STEM Ambassadors to promote the positive image of the profession.|
|---|---|
|Provide equitable services
and support to members
wherever they are located|•
Formulation of new Regional Working Arrangements to promote consistent
levels of support across the UK irrespective of member location.
•
Review of international strategy for support for all members across the globe.
•
Increased support for International Groups.|
|Build on our provision of
international, national, and
regional high quality,
accessible events,
seminars and networking
opportunities|•
Delivery of mixed programme of events embracing face to face, hybrid and
online webinars.
•
Provision of CIHT Connect to offer a supplementary channel for online
networking across the membership.
•
New modern Transportation Professional published for members.
•
100+ events held year to date.|
|Launch a comprehensive
membership strategy to
achieve sustainable
growth across all grades,
diversify our membership
profile and meet the future
needs of the sector|•
Launch of new Membership recruitment and retention strategy in March 2022.
•
Embarked on numerous specific membership campaigns including a focus on
Masters students and the member get member relaunch.
•
Ongoing recruitment activities include lapsed campaign to encourage members
to rejoin.
•
Onboarding work started – focus on year 1 members to demonstrate the value
•
Successful transfer/ upgrade campaign – record numbers of transfers including
71 transfers to Fellowship grade and 24 from non-paying to paying grades.
•
All non-member touchpoints reviewed – weekly follow up by membership team.
•
Co-opted Young Professional and Apprentice members to Membership and
Member Services Strategy Board (MMSSB)
•
Promotion of membership and recruitment campaign at Traffex, Highways UK
and other 3rdparty events.|
|Have a membership and
governance structure and
composition that is more
representative of the
society we serve and
suitable for a modern
professional body|•
New guidelines for set up and operation of international groups prepared by
Audit Committee (Aug 2022).
•
Formulation of new regional working agreements.
•
Regular review and update to member code of professional conduct.|
9
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
## **Future plans**
The key foundations that will support the delivery of the three strategic aims and three underpinning themes set out in CIHT Strategy 2022+ are set out below.
## Regions, nations, and technical groups
CIHT regions, nations, and technical groups will be at the heart of delivering our strategy. They support members individually, provide local services and engage with governments and regional bodies on strategic issues.
## International focus
We have members across the globe and will continue to deliver on our international strategy. We will collaborate with our international counterparts on shared agendas.
## Member Services
We will continue to extend our offer to members by investing in digitally enabled platforms, including CIHT Learn, our new digital learning platform so that they can receive more personalised support services. This will also help us achieve our aim of cutting carbon emissions. We will enhance accessibility to our services and ensure members have plenty of opportunities to network digitally or in person.
## Diversification of income base
We will continue to diversify our financial resources to ensure we are not overly reliant on membership subscriptions. We will do this by developing our training offering, events and additional services. We will regularly review our investment portfolio to optimise returns and provide a sustainable income base.
## Research, technical and policy
We will continue to develop and deliver quality thought leadership through research, technical and policy pieces to advance the art and science of highways and transportation and build our influence and impact.
## Governance
We will continue to strengthen succession planning across CIHT by encouraging more members to become actively involved in governance. We will review the skills, knowledge and competencies needed to be a progressive professional body and evolve our structures to remain relevant in a changing world.
## Volunteering
We will be clear on what opportunities are available to members to become more actively involved and what they can expect from us through our volunteer strategy. We will provide training and support for volunteers so that they feel valued and able to contribute to the delivery of our work.
## Business planning
We will continue with a three-year business planning cycle to enable the delivery of our strategy, including the prioritisation of actions, strong financial reporting, effective monitoring of performance and alignment of resources to ambition.
## Equality, Diversity and Inclusion Strategy
We will build on our achievements to date to drive the EDI agenda more consistently and with greater pace within the membership and across the sector.
## Climate Action
We will continue to develop our leadership role and support to members through training, influencing and evidence-based research in response to the UK government’s objective of a Net Zero carbon emissions economy by 2050 (2045 in Scotland). We aim to become a net zero organisation by 2027.
10
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
## **Structure, governance, and management**
The Institution is a Registered Charity in England and Wales (1136896), a Registered Charity in Scotland (SCO40873) and incorporated by Royal Charter. In June 2017, the Institution was also approved as a registered charitable body in the Republic of Ireland (20103989). With the grant of Royal Charter by HM the Queen at the end of 2009 the Royal Charter and Byelaws became CIHT’s governing documents. CIHT’s members (individually and via the regions) elect the Council of the Institution, and the Council in turn appoints the Board of Trustees. The Board of Trustees is responsible for directing the affairs of the charity and ensuring it is solvent, well run and delivering the charitable outcomes for which it has been set up. It is the policy of the Institution to give a full briefing and guidance to new Trustees on their duties and responsibilities, and to ensure that they have a strong understanding of the issues and risks facing the Institution in achieving its objectives. All Trustees are given induction training each year and access to other training on an ongoing basis. The Board of Trustees has four strategic Boards reporting to it as follows;
- The Appian Trading Board
- The Education and Professional Development Strategy Board
- The Membership and Member Services Strategy Board
- The Learned Society and Technical Strategy Board
The Audit Committee met with CIHT’s External Auditors twice a year to review the Audit Plan and to receive the Audit of the Annual Accounts and the Management Letter and reports back to the Board of Trustees on the findings and management response.
All profits of the trading subsidiary, Appian Trading Limited, are transferred to the charity through Gift Aid to ensure that funds for the Institution’s activities are used efficiently.
## **Good Governance Code**
Since the Charity Governance Code was launched on 13 July 2017, CIHT has utilised the Code as a framework to support the development of better practice. Trustees acknowledge that the charity is best placed to fulfill its vision, mission, and strategic goals if it has effective governance in place. To date, the charity's Board has established a solid foundation in governance in which all its members are clear about their legal responsibilities as Trustees.
In conducting operations, CIHT seeks to operate in line with the seven principles and recommended practice set out in the Charity Governance Code. CIHT already has several of the Code’s measures in place. These include:
- Trustee’s review of CIHT’s charitable purpose and reflect on changes to the external environment at annual planning days and when we conduct business planning.
- The impact of CIHT’s activities against KPIs are reported at each Board meeting.
- Development of a 5-year strategic plan based on CIHT’s agreed values with three strategic aims which are subject to annual review in terms of evaluating our performance and progress in terms of delivery.
- • Declarations of interest are collected annually.
- Conflicts of interest are a standard item on the agenda for all Board meetings.
- There is an agreed scheme of delegated authority recorded in CIHT’s Standing Orders and Financial Regulations.
- An annual skills audit for all Trustees is used to identify requirements for Board development and inform the process of new appointments to the Board.
## **Trustee remuneration and pay policy for senior staff**
The key management personnel of the charity comprises the non-executive Board of Trustees and the Senior Management Team. The Board of Trustees has ultimate responsibility for directing the affairs of the charity
11
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
and ensuring it is solvent, well-run, and delivering the charitable outcomes for which it has been set up. Day to day operational management of activities is delegated to senior management of the charity.
The Board of Trustees comprises a group of 13 elected members drawn from the CIHT Council. They do not receive any remuneration for volunteering their time and expertise. Details of Trustees’ expenses and related party transactions are disclosed in Note 5 and Note 20, respectively.
A Staff and Remuneration Panel has delegated authority from the Trustees to set pay and benefit levels for all staff members including the CEO and Directors. The Panel comprises the Chair, President, Vice President, Immediate Past President, and Hon. Treasurer, and is advised by the CEO.
Staff pay is reviewed annually considering national salary data information from ONS, current inflation rates, London average fare increases, the economic situation in the industry which the Institution serves, and the current finances of the Institution. Every four years the Institution benchmarks against pay levels in other charities of a similar size. In 2021, we introduced a new form of employment contract for staff that enables flexible working arrangements.
## **Investment holdings**
As set out in the CIHT Investment policy, the objective of our investment holdings is to maximise returns within reasonable and prudent levels of risk.
In 2022, a decision was taken to consolidate all our CCLA investment holdings into the CCLA Ethical Investment Fund. This is a managed fund with specific restrictions (e.g. no investments in any organisation that derives more than a specified % of its turnover from fossil fuels, etc.)
Unfortunately, global uncertainties during 2022 have adversely impacted financial markets. Over the year ended 31 Dec 2022, we have seen a 9.4% (circa £135K) reduction in the unrealised saleable value of CIHT investments. This compares to a 10.5% annual increase in the CPI over the same period. In the first three months of 2023, we have seen some recovery in performance (i.e. up £31k).
12
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
## **Reserves policy**
CIHT maintains reserves to enable the Institution to fulfill its objectives and to implement the Corporate Plan as well as ensuring the provision of liquid resources representing four months’ operating expenditure estimated as £1,117k based on the 2023 budget. In addition, contingencies may arise due to the long-term nature of the Institution’s activities which may need funding out of reserves in the event of unforeseen circumstances.
As of 31 December 2022, free reserves (which includes designated funds and is defined as Current Assets plus Investments less Current Liabilities and less Restricted Funds) stood at £2,049,271 (2021: £2,030,576). Excluding designated funds (set aside for specific purposes and outlined in Note 15 of the financial statements), net free reserves totaled £1,685,762 (2021: £1,792,396).
## **Going Concern**
The Board of Trustees has carefully reviewed the financial position of the CIHT group, including financial projections for 2023 and 2024, and are satisfied that there are sufficient funds at the date of signature of the financial statements to manage any foreseeable downturn in the UK and global economy. The Board having reflected on the level of liquid reserves held also considers that there is a reasonable expectation that CIHT has adequate resources to continue in operational existence for the foreseeable future and for these reasons the Board of Trustees continues to adopt the going concern basis in preparing financial statements.
## **Use of voluntary assistance**
The Institution relies upon the support of many members contributing their own time in the operation of its activities both within the nations, regions, and groups and at Britannia Walk. It is not possible to quantify in financial terms the benefits derived, but all such voluntary assistance is gratefully acknowledged. As indicated below, the ongoing engagement of volunteers is perceived as a medium risk faced by the Institution.
## **Fundraising**
Fundraising is not a material source of raising income for the Institution and we do not engage in the use of third parties. There has been no non-compliance with the Fundraising code and no concerns, or complaints received.
13
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
## **Statement on Risk Assessment**
Overall responsibility for risk management rests with the Board of Trustees who manage the process through formal reviews at board meetings and via the Audit Committee. Day to day responsibility is delegated to the Senior Management Team who identify and evaluate risks that relate to their areas and manage the mitigation plans accordingly.
CIHT maintains a Strategic Risk and Assurance Register which seeks to group together key risks over five areas. On an annual basis, the Audit Committee conducts a comprehensive review of the register to ensure any new emerging risks are properly reflected and that appropriate mitigations are in place or key actions are set out to address areas of perceived risk exposure. The results of the review are presented to the Board of Trustees. The Audit Committee continue to oversee delivery of key actions and take account of the trending status in each. A summary dashboard with commentary is fed back to each Trustee meeting for their consideration.
|||||
|---|---|---|---|
|**Strategic**
**Risk Areas**|**Net**
**Assurance**
**score**|**What this risk area covers**|**Key mitigations**|
|Strategy and
Impact|Low
Risk|How we plan and deliver the
strategy and the impact that
it makes on our charitable
objectives.|Corporate strategy / Business planning and
performance management framework.
Oversight by Trustees, strategic Boards and
Council.|
|Financial
sustainability|Low
Risk|To
address
external
environment (for example
the impacts from Covid 19,
inflation, cost of living crisis
and
global
economic
uncertainty).|Financial, Membership and income diversification
strategies.
Financial Regulations and policies.
Financial management practice and budget
management.
Reserves.
Investment Policy.|
|Governance|Low
Risk|Ensuring organisation is well
run
and
efficiently
that
problems
are
identified
earlier
and
addressed
appropriately;
preservation
of reputation and integrity;
achieving charitable objects|New governance arrangements.
Oversight by Board of Trustees and Council.
Comprehensive suite of policies and procedures.
Risk management process.
External audit review.
Business continuity planning.|
|People (staff
and
volunteers)|Medium
Risk|Acting as a responsible
employer and to manage our
use of resources effectively.|Human Resource (HR) Framework supported by
external HR provider.
Staff and Remuneration Panel.
Annual staff survey.
Regional Panel and committees.
Regional Action Plans.
Monitoring
engagement
and
supporting
volunteers.
EDI Strategy.|
14
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 TRUSTEES’ REPORT**
||||||
|---|---|---|---|---|
||Statutory and
regulatory
compliance|Low Risk|Encompassing broad range
of statutory and regulatory
requirements.|Policies
and
procedures
(Data
protection,
Safeguarding, etc).
Annual Health and Safety review.
Use of professional advisors as appropriate.
Compliance checklist is overseen by Audit
Committee.
Reporting to the Charities commission and other
regulators/ government bodies.|
## **Statement of Trustees’ responsibilities**
The Trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The laws applicable to charities in England, Wales and Scotland require the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and the group and of the incoming resources and application of resources of the group for that period. In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgments and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008, and the provisions of the Royal Charter and Byelaws, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the charity’s constitution. They are also responsible for safeguarding the assets of the charity and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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.
Signed on behalf of the Trustees
Gordon Baker Chair of the Board of Trustees
Date: 18 May 2023
15
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 REFERENCE AND ADMINISTRATIVE DETAILS**
## **Name and Registered Office of the Institution**
The Chartered Institution of Highways & Transportation 119 Britannia Walk London N1 7JE
**Charity Registration in England and Wales No:** 1136896 **Charity Registration in Scotland No** : SCO40873 **Charity Registration in Republic of Ireland No:** 20103989
## **Members of the Board of Trustees 2022**
The members of the Board of Trustees, who were Trustees of the charity until 22 June 2022, are shown below.
G Baker (Chair of the Board)
D Sims (President) N Johnstone (Vice President) S Sharland (Hon Treasurer) M Tugwell D Skelley R Llewellyn P Molyneux D Sprunt M Solanki S Hindshaw K Lodge D Kitchener
The members of the Board of Trustees, who were Trustees of the charity from 22 June 2022, are shown below.
G Baker (Chair of the Board) N Johnstone (President) K McShane (Vice President) S Hindshaw (Hon Treasurer) D Sims D Skelley R Llewellyn K Evans P Molyneux L Nightingale M Solanki O Reed D Kitchener
## **Chief Executive and Secretary**
Sue Percy
## **Auditor**
Sayer Vincent LLP Chartered Accountants and Statutory Auditor Invicta House 108-114 Golden Lane London EC1Y 0TL
16
**REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2022 REFERENCE AND ADMINISTRATIVE DETAILS**
## **Solicitors**
Withers Old Bailey London EC4M 7EG
## **Bankers**
Royal Bank of Scotland PLC 24 Grosvenor Place London SW1X 7HP
## **Investment Managers**
CCLA Investment Management Limited Senator House 85 Queen Victoria Street London EC4V 4ET
17
**INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHARTERED INSTITUTION OF HIGHWAYS & TRANSPORTATION**
## Opinion
We have audited the financial statements of The Chartered Institution of Highways and Transportation (the ‘parent charity’) for the year ended 31 December 2022 which comprise the consolidated statement of financial activities, the group and parent charity balance sheets, the consolidated statement of cash flows and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:
- Give a true and fair view of the state of the group and parent charity’s affairs as at 31 December 2022 and of the group’s incoming resources and application of resources, for the year then ended
- Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice
- Have been prepared in accordance with the requirements of the Charities Act 2011 and of the Charities and Trustee Investment (Scotland) Act 2005 and regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006 (as amended)
## 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 group 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.
## Conclusions relating to going concern
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.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on The Chartered Institution of Highways and Transportation's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
18
**INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHARTERED INSTITUTION OF HIGHWAYS & TRANSPORTATION (CONTINUED)**
## Other information
The other information comprises the information included in the trustees’ annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, 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 course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine 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.
## Matters on which we are required to report by exception
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 and the Charities Accounts (Scotland) Regulations 2006 (as amended) require us to report to you if, in our opinion:
- The information given in the trustees’ annual report is inconsistent in any material respect with the financial statements;
- Sufficient and proper accounting records have not been kept; or
- The financial statements are not in agreement with the accounting records and returns; or
- We have not received all the information and explanations we require for our audit
## Responsibilities of trustees
As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, the trustees 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 charity’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.
19
**INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHARTERED INSTITUTION OF HIGHWAYS & TRANSPORTATION (CONTINUED)**
## Auditor’s responsibilities for the audit of the financial statements
We have been appointed as auditor under section 144 of the Charities Act 2011 and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with regulations made under that Act.
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 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 are set out below.
## Capability of the audit in detecting irregularities
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:
- We enquired of management and the audit committee, which included obtaining and reviewing supporting documentation, concerning the group’s policies and procedures relating to:
- Identifying, evaluating, and complying with laws and regulations and whether they were aware of any instances of non-compliance;
- Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected, or alleged fraud;
- The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations.
- We inspected the minutes of meetings of those charged with governance.
- We obtained an understanding of the legal and regulatory framework that the group operates in, focusing on those laws and regulations that had a material effect on the financial statements or that had a fundamental effect on the operations of the group from our professional and sector experience.
20
**INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHARTERED INSTITUTION OF HIGHWAYS & TRANSPORTATION (CONTINUED)**
- We communicated applicable laws and regulations throughout the audit team and remained alert to any indications of non-compliance throughout the audit.
- We reviewed any reports made to regulators.
- We reviewed the financial statement disclosures and tested these to supporting documentation to assess compliance with applicable laws and regulations.
- We performed analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud.
- In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments, assessed whether the judgements made in making accounting estimates are indicative of a potential bias and tested significant transactions that are unusual or those outside the normal course of business.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
## Use of our report
This report is made solely to the parent charity’s trustees as a body, in accordance with section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005, section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the parent charity’s trustees 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 parent charity and the parent charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Sayer Vincent LLP, Statutory Auditor Invicta House, 108-114 Golden Lane, LONDON, EC1Y 0TL
## 1 June 2023
Sayer Vincent LLP is eligible to act as auditor in terms of section 1212 of the Companies Act 2006
21
## **THE CHARTERED INSTITUTION OF HIGHWAYS & TRANSPORTATION CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (Incorporating a Consolidated Income and Expenditure Account & Statement of Total Recognised Gains and Losses) For the year ended 31 December 2022**
|**Unrestricted**
**Funds**
**2022**
Note
**£**
**Income**
Donations and legacies
**-**
Member activities
2
**2,060,873**
Project income
3
**200,143**
Education income
**74,152**
Publication sales
**38,104**
National Conference
**-**
**2,373,272**
Other trading activities:
Appian Trading
**458,865**
Investment income receivable
**4,829**
Other income
**-**
**Total income**
**2,836,966**
**Expenditure**
Expenditure on Charitable activities:
Membership
**1,528,631**
Education
**354,230**
Publications
**391,220**
Motorway Archive Trust
**632**
**2,274,713**
**573,125**
**Total expenditure**
4
**2,847,838**
**(10,872)**
Net (losses) / gains on investments
10
**(135,439)**
**(146,311)**
**Net movement in funds**
**(146,311)**
**Reconciliation of funds**
Total funds brought forward
**4,370,478**
**Total funds carried forward**
15
**4,224,167**
**£ **
Income from Charitable activities:
**Net (expenditure) before**
**(losses) / gains on investments**
Expenditure on raising funds:
Trading & collecting subscriptions
**Net (expenditure) /**
**Net movement in funds**|**Restricted**
**Funds**
**2022**
**£**
**4,958**
**10,343**
**-**
**14,202**
**-**
**-**
**24,545**
**-**
**-**
**-**
**29,503**
**118,932**
**-**
**-**
**-**
**118,932**
**-**
**118,932**
**(89,429)**
**-**
**(89,429)**
**(89,429)**
**218,967**
**129,538**
**£ **|**Total**
_Total_
**Funds**
_Funds_
**2022**
_2021_
**£**
_£_
**4,958**
_-_
**2,071,216**
_1,730,523_
**200,143**
_278,448_
**88,354**
_126,639_
**38,104**
_35,648_
**-**
_3,137_
**2,397,817**
_2,174,395_
**458,865**
_54,249_
**4,829**
_1,556_
**-**
_30,450_
**2,866,469**
_2,260,650_
**1,647,563**
_1,402,269_
**354,230**
_357,081_
**391,220**
_402,125_
**632**
_613_
**2,393,645**
_2,162,088_
**573,125**
_338,935_
**2,966,770**
_2,501,023_
**(100,301)**
_(240,373)_
**(135,439)**
_212,111_
**(235,740)**
_(28,262)_
**(235,740)**
_(28,262)_
**4,589,445**
_4,617,707_
**4,353,705**
**£ **
_4,589,445_
_£ _|
|---|---|---|
All of the above results are derived from continuing activities.
The annexed notes form part of these financial statements 22
## **THE CHARTERED INSTITUTION OF HIGHWAYS & TRANSPORTATION BALANCE SHEETS As at 31 December 2022**
|Note
**Fixed assets**
Intangible assets
8
Tangible assets
9
Investments
10
**Current assets**
Debtors
13
Cash at bank and in hand
**Creditors: amounts falling due**
**within one year**
14
**Net current assets**
**NET ASSETS**
**Funds**
Unrestricted funds:
General funds
Designated funds
Total unrestricted funds:
Restricted funds
**TOTAL FUNDS**
15|**Group**
**2022**
**£**
**265,742**
**1,909,154**
**1,299,422**
**3,474,318**
**248,901**
**1,129,741**
**1,378,642**
**(499,255)**
**879,387**
**4,353,705**
**£ **
**3,594,916**
**629,251**
**4,224,167**
**129,538**
**4,353,705**
**£ **|_Group_
_2021_
_£_
_376,943_
_1,962,959_
_1,434,861_
_3,774,763_
_228,305_
_920,542_
_1,148,847_
_(334,165)_
_814,682_
_4,589,445_
_£_
_3,755,355_
_615,123_
_4,370,478_
_218,967_
_4,589,445_
_£_|**Charity**
**2022**
**£**
**265,742**
**1,909,154**
**1,299,522**
**3,474,418**
**697,796**
**329,659**
**1,027,455**
**(377,559)**
**649,896**
**4,124,314**
**£ **
**3,365,525**
**629,251**
**3,994,776**
**129,538**
**4,124,314**
**£ **|_Charity_
_2021_
_£_
_376,943_
_1,962,959_
_1,434,961_|
|---|---|---|---|---|
|||||_3,774,863_|
|||||_401,841_
_674,766_|
|||||_1,076,607_|
|||||_(310,072)_|
|||||_766,535_|
||||||
|||||_4,541,398_
_£_|
|||||_3,707,308_
_615,123_|
|||||_4,322,431_
_218,967_|
|||||_4,541,398_
_£_|
The financial statements have been prepared in accordance with section 415A of the Companies Act 2006 relating to small companies. They were approved, and authorised for issue, by the Trustees on 18 May 2023 and signed on their behalf by:-
Gordon Baker Chair of the Board of Trustees
Simon Hindshaw Honorary Treasurer
The annexed notes form part of these financial statements
23
**THE CHARTERED INSTITUTION OF HIGHWAYS & TRANSPORTATION GROUP STATEMENT OF CASH FLOWS For the year ended 31 December 2022**
|**Cash flows from operating activities:**
Adjustments for:
Depreciation charges
Amortisation charges
Dividends and interest from investments
(Increase) / decrease in debtors
Increase / (decrease) in creditors
**Cash flows from investing activities:**
Dividends and interest from investments
Purchase of tangible fixed assets
Purchase of intangible assets
Losses / (gains) on investments
Cash and cash equivalents at the
beginning of the year
**Cash and cash equivalents at the end**
**of the year**
Change in cash and cash equivalents
in the year
Net (expenditure) for the year
(as per the statement of financial activities)
**Net cash provided by**
**operating activities**
**Net cash provided by / (used in)**
**investing activities**|**£**
**£**
_£_
_£_
**(235,740)**
_(28,262)_
**63,300**
_66,421_
**172,580**
_147,591_
**(4,829)**
_(1,556)_
**(20,596)**
_208,127_
**165,090**
_(15,799)_
**139,805**
_376,522_
**4,829**
_1,556_
**(9,495)**
_(4,342)_
**(61,379)**
_(130,500)_
**135,439**
_(212,111)_
**69,394**
_(345,397)_
**209,199**
_31,125_
**920,542**
_889,417_
**1,129,741**
**£ **
_920,542_
_£ _
_2021_
**2022**|**£**
**£**
_£_
_£_
**(235,740)**
_(28,262)_
**63,300**
_66,421_
**172,580**
_147,591_
**(4,829)**
_(1,556)_
**(20,596)**
_208,127_
**165,090**
_(15,799)_
**139,805**
_376,522_
**4,829**
_1,556_
**(9,495)**
_(4,342)_
**(61,379)**
_(130,500)_
**135,439**
_(212,111)_
**69,394**
_(345,397)_
**209,199**
_31,125_
**920,542**
_889,417_
**1,129,741**
**£ **
_920,542_
_£ _
_2021_
**2022**|
|---|---|---|
||||
|||_31,125_
_889,417_|
|||_920,542_
_£ _|
The annexed notes form part of these financial statements
24
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **1. ACCOUNTING POLICIES**
## **1.1 STATUTORY INFORMATION**
The Chartered Institution of Highways and Transportation is a charitable company limited by royal charter in England and Wales. The registered office address and principal place of business is 119 Britannia Walk, London N1 7JE.
## **1.2 BASIS OF PREPARATION OF FINANCIAL STATEMENTS**
These financial statements have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The charity and its subsidiary are a public benefit group for the purposes of FRS 102 and therefore have also prepared the financial statements in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (The FRS 102 Charities SORP) and the Charities Act 2011.
The financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The Trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity and group to continue as a going concern. The Trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the Trustees have considered the charity and group’s forecasts and projections. After making enquiries the Trustees have concluded that there is a reasonable expectation that the charity and group have adequate resources to continue in operational existence for the foreseeable future. The charity and group therefore continue to adopt the going concern basis in preparing the financial statements.
These financial statements consolidate the results of the charity and its wholly-owned subsidiary Appian Trading Limited on a line by line basis. Transactions and balances between the charitable company and its subsidiary have been eliminated from the consolidated financial statements. Balances between the two entities are disclosed in the notes to the financial statements.
The financial statements are presented in pounds sterling as this is the functional currency of the group. The accounts of non-sterling branches are translated into sterling. Income and expenditure items are translated at appropriate average rates and monetary assets and liabilities at the rates at the balance sheet date. The currency gains and losses are taken to the unrestricted funds.
## **1.3 INCOME**
Income is included in full in the statement of financial activities when receivable unless it relates to a specific future period, in which case it is deferred.
Income from government and other grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably.
25
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **1.4 EXPENDITURE**
Expenditure is recognised in the period in which it is incurred. Expenditure includes attributable VAT which cannot be recovered.
Expenditure is allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration of each activity, comprising the salary and overhead costs of the central function, is apportioned based on an estimate of staff time, of the amount attributable to each activity.
Support costs relate to premises costs which are allocated on floor area basis; other costs are allocated in proportion to income. Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities.
Branches / regions are accounted for on the accruals basis, other than branches which are treated as affiliates for accounting purposes which are not consolidated.
Monetary assets and liabilities and transactions in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date.
## **1.5 TANGIBLE FIXED ASSETS AND DEPRECIATION**
Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:
|Building core|50 years|
|---|---|
|Long leasehold land|not depreciated|
|Leasehold improvements|25 years|
|Office equipment and furniture|5 years|
|Computer equipment|3 years|
Items of equipment are capitalised where the purchase price exceeds £500. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.
## **1.6 INTANGIBLE FIXED ASSETS AND AMORTISATION**
Amortisation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The amortisation rates in use are as follows:
Database and website 5 years Development learning platform 5 years
## **1.7 FUND ACCOUNTING**
Restricted funds are to be used for specified purposes as laid down by the donor. Expenditure which meets these criteria is identified to the fund, together with a fair allocation of management and support costs.
Unrestricted funds are donations and other income received or generated for the charitable purposes.
Designated funds are unrestricted funds earmarked by the Trustees for particular purposes.
## **1.8 INVESTMENTS**
Fixed asset investments are stated at market value, where market value represents the mid-market value on the last trading day before the year end. Gains and losses arising on investment assets, whether realised or unrealised, accrue to the fund for which the investments are held.
26
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **1.9 STOCKS**
Stocks are stated at the lower of cost and net realisable value. Net realisable value is the price at which stocks can be sold in the normal course of business after allowing for the costs of realisation.
## **1.10 CREDITORS AND PROVISIONS**
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## **1.11 PENSIONS**
The charitable company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charitable company in an independently administered fund. The pension cost charge represents contributions payable under the scheme by the charitable company to the fund. The charitable company has no liability under the scheme other than for the payment of those contributions.
## **1.12 FINANCIAL INSTRUMENTS**
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
With the exceptions of prepayments and deferred income all other debtor and creditor balances are considered to be basic financial instruments under FRS 102.
The year end carrying value of financial assets and financial liabilities, measured at amortised cost, was as follows:
|Financial assets measured at fair value
Financial assets measured at amortised cost
Financial liabilities measured at amortised cost|**Group**
**2022**
**£**
**1,299,422**
**136,041**
**312,805**|**_Group_**
**_2021_**
**_£_**
**_1,434,861_**
**_95,190_**
**_182,313_**|**Charity**
**2022**
**£**
**1,299,522**
**584,936**
**225,350**|_Charity_
_2021_
_£_
_1,434,961_
_269,678_
_182,313_|
|---|---|---|---|---|
The year end carrying value of financial assets that are equity instruments, measured at cost less impairment and relating to the charity only were £100 (2021: £100). This balance relates to the investment in the subsidiary company, Appian Trading Limited.
## **1.13 ACCOUNTING JUDGEMENTS AND ESTIMATES**
The key judgements and estimates used in the preparation of these financial statements are as follows:
- The depreciation rate of tangible fixed assets and amortisation rate of intangible assets (as detailed above)
- Support costs are apportioned to direct activities based on the direct staff costs allocated to those activities
There are no other key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.
27
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **2. INCOME FROM MEMBER ACTIVITIES**
|Member subscriptions
Corporate partners
Regions & Nations
Other|**Unrestricted**
**Funds**
**2022**
**£**
**1,691,411**
**179,600**
**174,938**
**14,924**
**2,060,873**
**£ **|**Restricted**
**Funds**
**2022**
**£**
**-**
**-**
**10,343**
**-**
**10,343**
**£ **|**Total**
_Total_
**Funds**
_Funds_
**2022**
_2021_
**£**
_£_
**1,691,411**
_1,540,595_
**179,600**
_140,008_
**185,281**
_37,382_
**14,924**
_12,538_
**2,071,216**
**£ **
_1,730,523_
_£ _|
|---|---|---|---|
In 2021, £444 relating to Regions & Nations was restricted. All income from member activities in 2021 was unrestricted.
## **3. PROJECT INCOME**
|Secretariat fees
Visibility project|**Unrestricted**
**Funds**
**2022**
**£**
**200,143**
**-**
**200,143**
**£ **|**Restricted**
**Funds**
**2022**
**£**
**-**
**-**
**Nil**
**£**|**Total**
_Total_
**Funds**
_Funds_
**2022**
_2021_
**£**
_£_
**200,143**
_183,448_
**-**
_95,000_
**200,143**
**£ **
_278,448_
_£ _|
|---|---|---|---|
In 2021, £95,000 relating to Visibility project was restricted. All other project income in 2021 was unrestricted.
## **4. EXPENDITURE**
## **CURRENT YEAR**
|Membership
Education
Publications
Motorway Archive Trust
Fundraising Appian
Trading & collecting
subscriptions
Support costs (see Note 6)|**Staff**
**costs**
**£**
**566,990**
**182,516**
**102,850**
**331**
**852,687**
**185,102**
**445,028**
**1,482,817**
**£ **|**Direct**
**costs**
**£**
**564,375**
**5,548**
**194,733**
**-**
**764,656**
**219,503**
**499,794**
**1,483,953**
**£ **|**Support**
**costs**
**£**
**516,198**
**166,166**
**93,637**
**301**
**776,302**
**168,520**
**(944,822)**
**Nil**
**£**|**2022**
_2021_
**£**
_£_
**1,647,563**
_1,402,269_
**354,230**
_357,081_
**391,220**
_402,125_
**632**
_613_
**2,393,645**
_2,162,088_
**573,125**
_338,935_
**-**
_-_
**2,966,770**
**£ **
_2,501,023_
_£ _|
|---|---|---|---|---|
28
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **4. EXPENDITURE (continued)**
## **PRIOR YEAR**
|_Membership_
_Education_
_Publications_
_Motorway Archive Trust_
_Fundraising Appian_
_Trading & collecting_
_subscriptions_
_Support costs (see Note 6)_|_Staff_
_costs_
_£_
_520,897_
_184,979_
_107,419_
_329_
_813,624_
_173,497_
_414,740_
_1,401,861_
_£ _|_Direct_
_costs_
_£_
_431,239_
_12,252_
_201,880_
_-_
_645,371_
_15,510_
_438,281_
_1,099,162_
_£ _|_Support_
_costs_
_2021_
_£_
_£_
_450,133_
_1,402,269_
_159,850_
_357,081_
_92,826_
_402,125_
_284_
_613_
_703,093_
_2,162,088_
_149,928_
_338,935_
_(853,021)_
_-_
_Nil_
_£_
_2,501,023_
_£ _|
|---|---|---|---|
## **5. NET (EXPENDITURE) FOR THE YEAR**
This is stated after charging:
|Depreciation
Amortisation
Trustees' expenses
Auditor remuneration (excluding VAT):
Audit - current year|**2022**
**£**
**63,300**
**172,580**
**5,470**
**13,250**|_2021_
_£_
_66,421_
_147,591_
_979_
_12,075_|
|---|---|---|
The Trustees received no remuneration in the year. Trustees' expenses represent the costs of travel and subsistence for 7 trustees (2021: 4).
## **6. DIRECT SUPPORT COSTS**
|Governance costs:
Audit fee
Legal & professional
Trustee, Council and committee meetings
Other support costs:
Telephone, power, cleaning, rates
Building maintenance
Insurance
Printing, postage & stationery
Computer & internet
Subscriptions
Irrecoverable VAT, payroll processing & bank charges
Depreciation
Accountancy
PR & marketing|**2022**
_2021_
**£**
_£_
**13,250**
_12,075_
**8,357**
_7,078_
**27,607**
_4,517_
**49,214**
_23,670_
**46,949**
_40,387_
**28,564**
_19,040_
**8,789**
_9,462_
**8,783**
_7,581_
**128,356**
_130,527_
**10,271**
_7,794_
**69,020**
_55,907_
**63,300**
_66,421_
**54,020**
_52,080_
**32,528**
_25,412_
**499,794**
**£ **
_438,281_
_£ _|
|---|---|
29
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **7. STAFF COSTS**
Staff costs were as follows:
|Salaries and wages
Social security costs
Pension contributions
Other staff costs, recruitment and training
Total staff cost included as expenditure|**2022**
_2021_
**£**
_£_
**1,244,061**
_1,134,126_
**137,384**
_124,035_
**74,604**
_68,696_
**26,768**
_75,004_|
|---|---|
||**1,482,817**
**£ **
_1,401,861_
_£ _|
The key management personnel of the charity comprise the Chief Executive Officer and senior management team. The total employee benefits of the key management personnel of the charity, inclusive of employer pensions and employer National Insurance contributions, were £408,208 (2021: £441,291).
The number of employees whose emoluments amounted to over £60,000 in the year (exclusive of employer pensions and employer National Insurance contributions) was as follows:
|£60,000 - £69,999
£70,000 - £79,999
£110,000 - £119,999
The average headcount during the year was as follows:|**2022**
**No.**
**-**
**3**
**1**
**29.5**|_2021_
_No._
_1_
_2_
_1_|
|---|---|---|
|||_27.1_|
## **8. INTANGIBLE ASSETS - CHARITY AND GROUP**
|**£**
**Cost**
At 1 January 2022
**130,500**
Additions
**61,379**
At 31 December 2022
**191,879**
**Amortisation**
At 1 January 2022
**-**
Charge for the year
**25,584**
At 31 December 2022
**25,584**
**Net book value**
At 31 December 2022
**166,295**
At 31 December 2021
_130,500_
**Development**
**learning platform**|**£**
**730,154**
**-**
**730,154**
**483,711**
**146,996**
**630,707**
**99,447**
_246,443_
**Database**
**and website**|**Total**
**£**
**860,654**
**61,379**|
|---|---|---|
|||**922,033**|
|||**483,711**
**172,580**|
|||**656,291**|
|||**265,742**|
|||_376,943_|
30
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **9. TANGIBLE FIXED ASSETS - CHARITY AND GROUP**
|**Cost**
At 1 January 2022
Additions
Disposals
At 31 December 2022
**Depreciation**
At 1 January 2022
Charge for the year
On disposals
At 31 December 2022
**Net book value**
At 31 December 2022
At 31 December 2021
**10. INVESTMENTS**
**Market Value**
At 1 January
Additions at cost
Disposal proceeds
Net (losses) / gains
At 31 December
Historic cost at the year end
Investments comprise:
Investment in subsidiary undertaking
CCLA COIF Charities Ethical Investment Fund
CCLA COIF Charities Investment Fund|**Long**
**leasehold**
**property**
**£**
**2,564,585**
**-**
**-**
**2,564,585**
**616,687**
**47,137**
**-**
**663,824**
**1,900,761**
**£ **
_1,947,898_
_£ _
**Group**
**2022**
**£**
**1,434,861**
**1,120,847**
**(1,120,847)**
**(135,439)**
**1,299,422**
**£ **
**1,293,847**
**£ **
**Group**
**2022**
**£**
**-**
**1,299,422**
**-**
**1,299,422**
**£ **|**£**
**26,955**
**-**
**(11,315)**
**15,640**
**25,673**
**698**
**(11,315)**
**15,056**
**584**
**£ **
_1,282_
_£ _
_Group_
_2021_
_£_
_1,222,750_
_-_
_-_
_212,111_
_1,434,861_
_£ _
_739,332_
_£ _
_Group_
_2021_
_£_
_1,206,973_
_227,888_
_-_
_1,434,861_
_£ _
**Office**
**equipment &**
**furniture**|**£**
**66,407**
**9,495**
**-**
**75,902**
**52,628**
**15,465**
**-**
**68,093**
**7,809**
**£ **
_13,779_
_£ _
**Charity**
**2022**
**£**
**1,434,961**
**1,120,847**
**(1,120,847)**
**(135,439)**
**1,299,522**
**£ **
**1,293,947**
**£ **
**Charity**
**2022**
**£**
**-**
**1,299,422**
**100**
**1,299,522**
**£ **
**Computer**
**equipment &**
**software**|**Total**
**£**
**2,657,947**
**9,495**
**(11,315)**|
|---|---|---|---|---|
|||||**2,656,127**|
|||||**694,988**
**63,300**
**(11,315)**|
|||||**746,973**|
|||||**1,909,154**
**£ **|
|||||_1,962,959_
_£ _|
|||||_Charity_
_2021_
_£_
_1,222,850_
_-_
_-_
_212,111_|
|||||_1,434,961_
_£ _|
||||||
|||||_739,432_
_£ _|
|||||_Charity_
_2021_
_£_
_1,206,973_
_227,888_
_100_|
|||||_1,434,961_
_£ _|
31
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **11. SUBSIDIARY UNDERTAKING**
The charity owns the whole of the issued ordinary share capital of Appian Trading Limited, a company registered in England. The subsidiary is used for non-primary purpose trading activities. All activities have been consolidated on a line by line basis in the statement of financial activities. Available profits are gift aided to the charity. A summary of the results of the subsidiary is shown below:
|Turnover
Cost of sales
Surplus for the period
Changes in equity:
Total equity brought forward
Total comprehensive income for the year
Gift aid distribution to parent charity|**2022**
**£**
**643,071**
**(420,148)**
**222,923**
**£ **
**2022**
**£**
**48,047**
**222,923**
**(41,579)**
**229,391**
**£ **|_2021_
_£_
_223,353_
_(181,774)_|
|---|---|---|
|||_41,579_
_£ _|
|||_2021_
_£_
_56,853_
_41,579_
_(50,385)_|
|||_48,047_
_£ _|
The aggregate of the assets, liabilities and funds was:
|Debtors
Cash at bank and in hand
Creditors
**Capital and reserves at the year end**
**(including £100 share capital)**|**2022**
**£**
**109,692**
**800,082**
**(680,283)**
**229,491**
**£ **|_2021_
_£_
_8,039_
_245,776_
_(205,668)_|
|---|---|---|
|||_48,147_
_£ _|
The subsidiary results for the year include the following transactions with the parent charity:
Recharge of staff costs from the parent charity to the subsidiary undertaking
**£ 185,102** _£ 173,497_
## **12. PARENT CHARITY**
The parent charity's gross income and the results for the year are disclosed as follows:
|Total income
Net movement in funds|**2022**
**£**
**2,264,977**
**£ **
**(417,084)**
**£**|_2021_
_£_
_2,087,682_
_£ _|
|---|---|---|
|||_(19,456)_
_£_|
32
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **13. DEBTORS**
|Trade debtors
Prepayments
Grant debtors
Other debtors
Taxation receivable (VAT)
Due from subsidiary inc Gift Aid
Branch debtors|**Group**
**2022**
**£**
**42,602**
**112,860**
**-**
**73,970**
**19,469**
**-**
**-**
**248,901**
**£ **|_Group_
_2021_
_£_
_11,498_
_133,115_
_69,018_
_5,475_
_8,853_
_-_
_346_
_228,305_
_£ _|**Charity**
_Charity_
**2022**
_2021_
**£**
_£_
**8,179**
_5,094_
**112,860**
_132,163_
**-**
_69,018_
**26,351**
_4,792_
**-**
_8,853_
**550,406**
_181,575_
**-**
_346_
**697,796**
**£ **
_401,841_
_£ _|
|---|---|---|---|
## **14. CREDITORS:**
## **AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Trade creditors
Branch creditors
Taxes and social security
Pension costs creditor
Other creditors
Deferred income
Accruals
**Deferred income**
Balance at 1 January
Amount released from previous years
Amount deferred in the year:
Member subscriptions
Secretariat fees
Partnership income
Other income (including events)
Balance at 31 December|**Group**
**2022**
**£**
**167,417**
**-**
**37,669**
**1,723**
**70,358**
**186,450**
**35,638**
**499,255**
**£ **
**Group**
**2022**
**£**
**151,852**
**(151,852)**
**123,319**
**25,492**
**9,416**
**28,223**
**186,450**
**£ **|_Group_
_2021_
_£_
_67,442_
_500_
_34,055_
_26,355_
_22,885_
_151,852_
_31,076_
_334,165_
_£ _
_Group_
_2021_
_£_
_162,909_
_(162,909)_
_92,026_
_23,521_
_24,093_
_12,212_
_151,852_
_£ _|**Charity**
**2022**
**£**
**72,081**
**-**
**45,850**
**1,723**
**70,358**
**152,209**
**35,338**
**377,559**
**£ **
**Charity**
**2022**
**£**
**127,759**
**(127,759)**
**123,319**
**25,492**
**-**
**3,398**
**152,209**
**£ **|_Charity_
_2021_
_£_
_67,442_
_500_
_34,055_
_26,355_
_22,885_
_127,759_
_31,076_|
|---|---|---|---|---|
|||||_310,072_
_£ _|
|||||_Charity_
_2021_
_£_
147,509
(147,509)
_92,026_
_23,521_
_-_
_12,212_|
|||||_127,759_
_£ _|
33
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **15. STATEMENT OF FUNDS - CURRENT YEAR**
|**Restricted funds:**
1.
CIHT Foundation Fund
2.
Hong Kong Branch Fund
3.
Motorway Archive Trust
4.
YP Transport Visions Group
5.
DfT Visibility
6.
DfT Manual for Streets 3
**Total restricted funds**|**Brought**
**forward**
**£**
**57,470**
**37,950**
**696**
**9,473**
**27,389**
**85,989**
**218,967**|**Income**
**£**
**4,958**
**10,343**
**-**
**14,202**
**-**
**-**
**29,503**|**£**
**-**
**(2,469)**
**-**
**(3,085)**
**(27,389)**
**(85,989)**
**(118,932)**
**Expenditure**|**Transfers**
**and gains**
**Carried**
**forward**
**£**
**£**
**-**
**62,428**
**-**
**45,824**
**-**
**696**
**-**
**20,590**
**-**
**-**
**-**
**-**
**-**
**129,538**|
|---|---|---|---|---|
1. The CIHT Foundation Fund has been set up as a separate restricted fund to receive charitable donations from collections and other appeals to distribute to activities and projects that advance the art and science of highways and transportation.
2. The Hong Kong branch funds are controlled locally by the CIHT branch in that territory and are regarded as restricted to use in Hong Kong.
3. The Motorway Archive Trust fund is used to maintain its archives related to the development of UK wide motorways.
4. A grant from Rees Jefferies to support young professionals in the transport sector address approaches to exploring the future challenges and opportunities facing the sector and its professionals on a cross-sector and cross-institution basis.
5. Award of grant funding by Department for Transport to enable CIHT to progress the Visibility at Junctions research project.
6. Award of grant funding by Department for Transport to enable CIHT to progress the development of a revised Manual for Streets.
|**Designated funds:**
1.
IT Development
2.
Refurbishment
3.
Research
4.
Diversification of Income
5.
Climate change
6.
Diversity & Inclusion
7.
HR Development
**Total revenue funds**
**Capital funds**
8.
Database and website
9.
Digital Learning Platform
**Total designated funds**|**Brought**
**forward**
**£**
**34,414**
**15,000**
**85,074**
**32,780**
**39,180**
**16,732**
**15,000**
**238,180**
**246,443**
**130,500**
**615,123**
**£ **|**Income**
**£**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**|**£**
**-**
**-**
**(25)**
**(1,500)**
**(30,251)**
**(1,516)**
**-**
**(33,292)**
**(146,996)**
**(25,584)**
**(205,872)**
**£**
**Expenditure**|**Transfers**
**Carried**
**forward**
**£**
**£**
**6,000**
**40,414**
**5,000**
**20,000**
**(10,000)**
**75,049**
**93,621**
**124,901**
**45,000**
**53,929**
**14,000**
**29,216**
**5,000**
**20,000**
**158,621**
**363,509**
**-**
**99,447**
**61,379**
**166,295**
**220,000**
**£ **
**629,251**
**£ **|
|---|---|---|---|---|
The Trustees approved the transfers between designated and general funds during the year as detailed above.
34
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **15. STATEMENT OF FUNDS - CURRENT YEAR (CONTINUED)**
## **Purposes of designated funds**
1. **IT Development** . To cover ongoing future development of IT platform and website.
2. **Refurbishment.** To fund the renovation and replacement of facilities and equipment for Space 119 to ensure that we are able to retain and develop lettings income.
3. **Research** . A fund to build capacity to research emerging issues in transportation infrastructure, fund specific projects in the policy and technical areas and to conduct research directly related to the Institution.
4. **Diversification of Income** . A fund to enable the research and development of commercial activities that might be undertaken by the Institution as a means of diversifying sources of revenue e.g. development of sponsorship strategy, new digital learning platform, new products, etc.
5. **Climate Change** . Enabling activities that will enable us to address objectives set out in the CIHT Climate change pledge.
6. **Diversity & Inclusion.** To provide funding to support progression of our developmental work in this area.
7. **HR Development.** Enabling investment in development and appraisal of staff and supporting change management activities **.**
8. **Database and website** . A transfer has been made into the fund to represent the amount spent in the year on the database and website. The year end balance on the fund equates to the book value of intangible assets.
9. **Digital Learning Platform** - A transfer has been made into the fund to represent the amount spent in the year on set up and development of CIHT learn. The year end balance on the fund equates to the book value of intangible assets.
## **SUMMARY OF FUNDS IN THE YEAR**
|Total general funds
Designated funds
Total unrestricted funds
Restricted funds
Total funds|**Brought**
**forward**
**1 January**
**2022**
**£**
**3,755,355**
**615,123**
**4,370,478**
**218,967**
**4,589,445**
**£ **|**Income**
**£**
**2,836,966**
**-**
**2,836,966**
**29,503**
**2,866,469**
**£ **|**£**
**(2,641,966)**
**(205,872)**
**(2,847,838)**
**(118,932)**
**(2,966,770)**
**£**
**Expenditure**|**Transfers**
**and gains**
**Carried**
**forward**
**31 December**
**2022**
**£**
**£**
**(355,439)**
**3,594,916**
**220,000**
**629,251**
**(135,439)**
**4,224,167**
**-**
**129,538**
**(135,439)**
**£**
**4,353,705**
**£ **|
|---|---|---|---|---|
35
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **16. STATEMENT OF FUNDS - PRIOR YEAR**
|_Brought_
_forward_
_£_
**_Restricted funds:_**
_CIHT Foundation Fund_
_58,370_
_Hong Kong Branch Fund_
_41,932_
_Motorway Archive Trust_
_696_
_YP Transports Vision Group_
_4,500_
DfT Visibility
_-_
_DfT Manual for Streets 3_
_223,298_
**_Total restricted funds_**
_328,796_
_Brought_
_forward_
_£_
**_Designated funds:_**
_IT Development_
_43,450_
_Refurbishment_
_-_
_Research_
_58,724_
_Diversification of Income_
_37,064_
_Climate change_
_50,000_
_Diversity & Inclusion_
_30,000_
HR Development
_-_
**_Total revenue funds_**
_219,238_
**_Capital funds_**
_Database and website_
_394,034_
_Digital Learning Platform_
_-_
**_Total designated funds_**
_613,272_
_£ _
**SUMMARY OF FUNDS IN THE PRIOR YEAR**
_Brought_
_forward_
_1 January_
_2021_
_£_
_Total general funds_
_3,675,639_
_Designated funds_
_613,272_
_Total unrestricted funds_
_4,288,911_
_Restricted funds_
_328,796_
_Total funds_
_4,617,707_
_£ _|_Income_
_£_
_-_
_444_
_-_
_19,898_
_95,000_
_-_
_115,342_
_Income_
_£_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_Nil_
_£_
_Income_
_£_
_2,145,308_
_-_
_2,145,308_
_115,342_
_2,260,650_
_£ _|_£_
_(900)_
_(4,426)_
_-_
_(14,925)_
_(67,611)_
_(137,309)_
_(225,171)_
_£_
_(25,586)_
_-_
_-_
_(35,784)_
_(25,820)_
_(23,268)_
_-_
_(110,458)_
_(147,591)_
_-_
_(258,049)_
_£_
_Expenditure_
_£_
_(2,017,803)_
_(258,049)_
_(2,275,852)_
_(225,171)_
_(2,501,023)_
_£_
_Expenditure_
_Expenditure_|_Transfers_
_£_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_Transfers_
_£_
_16,550_
_15,000_
_26,350_
_31,500_
_15,000_
_10,000_
_15,000_
_129,400_
_-_
_130,500_
_259,900_
_£ _
_Transfers_
_and gains_
_£_
_(47,789)_
_259,900_
_212,111_
_-_
_212,111_
_£ _|_Carried_
_forward_
_£_
_57,470_
_37,950_
_696_
_9,473_
_27,389_
_85,989_|
|---|---|---|---|---|
|||||_218,967_|
|||||_Carried_
_forward_
_£_
_34,414_
_15,000_
_85,074_
_32,780_
_39,180_
_16,732_
_15,000_|
|||||_238,180_
_246,443_
_130,500_|
|||||_615,123_
_£ _|
|||||_Carried_
_forward_
_31 December_
_2021_
_£_
_3,755,355_
_615,123_|
|||||_4,370,478_
_218,967_|
|||||_4,589,445_
_£ _|
36
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **17. ANALYSIS OF GROUP NET ASSETS BETWEEN FUNDS**
|**CURRENT YEAR**
Tangible fixed assets
Intangible fixed assets
Investments
Net current assets
**PRIOR YEAR**
_Tangible fixed assets_
_Intangible fixed assets_
_Investments_
_Net current assets_|**Designated**
**funds**
**£**
**-**
**265,742**
**-**
**363,509**
**629,251**
**£ **
_Designated_
_funds_
_£_
_-_
_376,943_
_-_
_238,180_
_615,123_
_£ _|**General**
**funds**
**£**
**1,909,154**
**-**
**1,299,422**
**386,340**
**3,594,916**
**£ **
_General_
_funds_
_£_
_1,962,959_
_-_
_1,434,861_
_357,535_
_3,755,355_
_£ _|**Restricted**
**funds**
**£**
**-**
**-**
**-**
**129,538**
**129,538**
**£ **
_Restricted_
_funds_
_£_
_-_
_-_
_-_
_218,967_
_218,967_
_£ _|**Total funds**
**£**
**1,909,154**
**265,742**
**1,299,422**
**879,387**|
|---|---|---|---|---|
|||||**4,353,705**
**£ **|
|||||_Total funds_
_£_
_1,962,959_
_376,943_
_1,434,861_
_814,682_|
|||||_4,589,445_
_£ _|
## **18. RELATED PARTY DISCLOSURES**
The members of the Trustee Board received no remuneration in relation to fulfilling their role as Trustees. Expenses for travel and subsistence reimbursed to 7 Trustees amounted to £5,470 (2021: 4 Trustees reimbursed a total of £979).
Most of the Trustees are also members of or employed by other organisations which may undertake transactions with CIHT and Appian in the normal course of business. All such transactions are on an arm’s length basis.
37
**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022**
## **19. STATEMENT OF FINANCIAL ACTIVITIES - PRIOR YEAR**
|**_Income_**
_Member activities_
_Project income_
_Education income_
_Publication sales_
_National Conference_
_Other trading activities:_
_Appian Trading_
_Investment income receivable_
_Other income_
**_Total income_**
**_Expenditure_**
_Expenditure on Charitable activities:_
_Membership_
_Education_
_Publications_
_Motorway Archive Trust_
**_Total expenditure_**
Net gains on investments
**_Reconciliation of funds_**
_Total funds brought forward_
**_Total funds carried forward_**
**_Net income / (expenditure)_**
**_Net movement in funds_**
_Income from Charitable activities:_
_Expenditure on raising funds:_
_Trading & collecting subscriptions_
**_Net (expenditure) / income before_**
**_gains on investments_**|_Unrestricted_
_Funds_
_2021_
_£_
_1,730,079_
_183,448_
_106,741_
_35,648_
_3,137_
_2,059,053_
_54,249_
_1,556_
_30,450_
_2,145,308_
_1,177,098_
_357,081_
_402,125_
_613_
_1,936,917_
_338,935_
_2,275,852_
_(130,544)_
_212,111_
_81,567_
_4,288,911_
_4,370,478_
_£ _|_Restricted_
_Total_
_Funds_
_Funds_
_2021_
_2021_
_£_
_£_
_444_
_1,730,523_
_95,000_
_278,448_
_19,898_
_126,639_
_-_
_35,648_
_-_
_3,137_
_115,342_
_2,174,395_
_-_
_54,249_
_-_
_1,556_
_-_
_30,450_
_115,342_
_2,260,650_
_225,171_
_1,402,269_
_-_
_357,081_
_-_
_402,125_
_-_
_613_
_225,171_
_2,162,088_
_-_
_338,935_
_225,171_
_2,501,023_
_(109,829)_
_(240,373)_
_-_
_212,111_
_(109,829)_
_(28,262)_
_328,796_
_4,617,707_
_218,967_
_£ _
_4,589,445_
_£ _|
|---|---|---|
38