REGISTERED COMPANY NUMBER: 07328777 (England and Wales) REGISTERED CHARITY NUMBER". 1137163 REPORT OF THE TRUSTEES AND CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 FOR CARDIFF UNIVERSITY STUDENTS, UNION MHA statutory Auditor Elfed House Oak Tree Court Cardiff Gate Business Park CARDIFF County of Cardiff CF23 8RS
CARDIFF UNIVERSITY STUDENTS, UNION CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Page Report of the Trustees 1 to 11 Report of the Independent Auditors 12 to 14 Consolidated Statement of Financlal Activltles 15 Consolidated and Charity Balan¢e Sheet 16 Consolidated Cash Flow Statement 17 Notes to the Financial Statements 18 to 35
CARDIFF UNIVERSITY STUDENTS, UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 The trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity and ils subsidiary for the year ended 31 July 2024. The trustees have adopted the provisions of Accounting and Reporting by Charities.. Statement of Recommended Practice applicable lo char¢lies preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 1021 (effective l January 2019). OBJECTIVES AND ACTNITIES The objects of the charity are the advancement of education of students at Cardtff University for the public benefit by- Promoting Ihe interests and welfare of students at Cardiff University during their course of study and representing. supporting and advising students,. Being the recognised representative ¢hannel between students and Cardiff Unniersity and any other extemal bodies- and Providing social. cultural. sporting and recreational a¢tNlties and forums for discussions and debate for the personal development of its students. In shaping the Union's objectives for the year and planning its activities, the trustees have Considered the Charity Commission's general alld relevant supplementary guidance on public benefit. In pursuit of these aims for the public benefit. the Union has established departmenls and services for use by its members 8nd works with the University and other organisations on behalf of Cardiff University students. The Union sets its long-temi priorities in line with ils strategic plan. reviewed periodically and Infomied by research undertaken with Cardiff Universty students. The tnjstees consider the strategic plan when setting the Union's annual objectives. articulated in a baland scorecard and pursued by trustees and Union staff. In December 2021 the Union launched its current strategic plan covering 2021 to 2025. entitled 'The Heart of the Cardiff Student Lrfe. and it can be viewed at.. https:1Aw.Cardff5tUdents.eOM1Hb0UVhwr/Our-5traIegYI. Over the next academic year the organisation 15 undertaking a revkew of the strategic plan for beyond 2025 the development of whi¢h will involve again engagement with relevant stakeholders. ACHIEVEMENTS AND PERFORMANCE Student engagement rose to new highs. with more students engaging with us and in more activities than ever before. The overall number of engagements rose considerably and was helped by general increases in many areas as shown in the table below. Unique Students ed 22,396 21,658 17.401 22,144 23,671 24,923 Engagements by Uni ue Students 62.394 57,661 29.529 2019 Pre Covid 2020 Covid Impact for final foyr months Covid impact throughout the year Minimal Covid impact Operating as nomial Operating as nomial 2021 2022 59.659 2023 68,370 2024 70.923 Page 1
CARDIFF UNIVERSITY STUDENTS, UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 ACHIEVEMENTS AND PERFORMANCE - continued 2019 2020 2021 2022 2023 2024 Advice Centre 6,634 6,500 4.501 3.372 Academic Re 925 980 945 982 969 959 Annual Members Meelin 633 871 693 806 888 Associations 132 135 52 276 300 341 Athletic Union 4,915 3.131 5.328 5.150 Cardiff Student Lettin 1,977 2,316 2,254 2.140 2,093 Driver 143 99 75 86 91 Election Candidate 166 108 89 119 100 156 Freshers, Fairs attendance 11,039 11.412 Give it a Go 4,036 4.907 5.458 5A75 Guild of Societies 8.159 7.874 3.376 8,714 8.420 9.006 Jobsho 5.036 4.318 2,318 2,118 3.843 2,368 2.760 Referendum Skills Develo ment Service 1,951 1,706 1,237 1.322 1.311 Student Senate 25 27 23 65 41 25 Student Media 308 257 184 341 285 380 Student Led Services 234 138 54 74 43 57 Union Volunteers 844 306 Venues 11.299 10,078 11.345 12.030 Volunteerin 1.293 1.137 138 235 234 201 Voter 7,540 6,126 9,228 7.568 8,286 7,771 Varsi 6.518 5.013 5.968 Total Page 2
CARDIFF UNIVERSITY STUDENTS, UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 ACHIEVEMENTS AGAINST TARGETS SET The company's top key perfomiance indicators for 2023124 are listed below with a slalement of progress against them. During 2023124 the Union did not undertake an assessment of staff time and financial resources used to achieve these objectives. Objective Launch a new recognition program and event to recognise the positive impact of our student leaders and volunteers Outcome Partially achieved Celebrate the su¢ce$ses of the new building developments and past building history Partially achieved Student safety development initiatives aimed at reviewing key democratic policy developments and working with third parties Partially achieved lrnprove the Students. Unions democratic functions. making the activity more accessible and engaging for sludents to take part in Partially achieved To review partnership working across CU and CSU across key projects and improve key relationships Achieved Review the Union Articles of Association. in concert with the University, for recommended action and implementation Partially achieved Creale an annual social program of events focused on non-club night activity. Including utilising zorbs. crazy golf, outdoor cinema, laser tsg to allow studént5 to socialise in non-drink-focused setting Partially achieved Ensure the Students, Union spaces and facilities are fully utilised throughout the academic calendar. Ensuring bookings are efficiently agreed and new initiatives are development to further support student groups in the spaces Achieved Support the promotion and development of the Welsh Language at the Students, Union, increasing the support and development of Welsh initiatives Achieved Ensure welfare activity continues with the loss of the VP Welfare elected role and that the merger of Student Advice and Student Voice doesn't have a negative impact on oulput and provision Achieved Provide support to students to improve their housing experience and research altemalive student housing rent struclures, including a Union-led student housing feasibility study Achieved Produce a wider harm reductlon project team to look at how the Students. Union create5 a series of initiatives aimed at supporting harm reduction activity without negatively impacting trading activity Achieved The priority capital development areas of Roof Surfacing. Solar Panels and Second lift feasibility will each to progressed to at least declsion package stage Achieved Page 3
CARDIFF UNIVERSITY STUDENTS, UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 ACHIEVEMENTS AGAINST TARGETS SET- continued Work with the Universlty on longer term planning-. Work with the University to develop a basis of block grant and ¢apilal funding that allows us to strategically plan inlo the medium to longer term Partially a¢hieved Develop a long-term sustainability and building maintained plan, with the aims of combatting rising fuel prices and reducing overall waste Partially achieved Develop a blended induction and ongoing engagement process which is used for all volunteers, casual l career staff and trustees Not achieved Implement a series of improvements to "ways of working. capturing feedback froffl employees to assist with improving the planning, communication and team working of the organisation Partially achieved Review the Graduate Intern Scheme programme after year two, making ensuring continuation of the scheme where value has been added Achieved Review all data handling processes and data management across Ihe organisalion Partially achieved Deliver key growth in digital adverttsing, by reviewing current policies and implementing a new screen strategy to maximise sales opportunities Achieved Conduct digital systems review Partially achieved FINANCIAL REVIEW The group's total income amounted to £12,908.971 (2023.. £12,393.5001 with total expenditure of £12.835,212 12023: £12.643,876} in Ihe year. The unwinding of the dis¢ounted pension provision resulted in a debit to the Statement of Financial Activities of £{146.7961 (2023=1£390.908)) Overall, this resulted in net expenses of £173,037) {2023= £(641,284)}. This comprises a $trIcted svrplu5 of £29.326 and an unrestricted deficit of £{102,363}- At 31 July 2024, the group's free reserves (i.e. unrestricted funds excluding designated funds and not represented by fixed assets and pension fund liability) amounted to £1.886.847 {2023= £1.746,590} and the trustees are satisfied that the Union has a sound financial base to continue to operate and pursue its objectives and activities. In addition, a further £72.934 12023- £43,608) was held in restricted funds. Wtthin the Union's Irading subsidiary, Cardiff Union Services Limited, turnover increased to £5,807,849 (2023.. £5.515,116) resulting in a gross profil of £2,759,189 {2023'. £2,517,348). Administrative expenses in¢reased to £5.109,202 (2023: £4,808.546) in the year. Overall. the trading subsidiary reported a loss of £1432,044)12023- profit £80.034). During the year the trading company's pension liability decreased to £4.625.233 {2023= £4,821.724) as a result of the updated net present Value of fijlure deficit contributions and accounting for deficit payments made in the year. The deficit arises from the company's future obligations towards the Students, Union Superannuation Scheme {SUSS). which was closed to future accrual in 2011. The trustees and directors are satisfied that it has the funds to meet the obligations to Ihe fund as they fall due over the life of the scheduled defi¢it recovery plan up to 2037. Reserves policy The tnjstees annual review the Union's resetves position and sel targets for reserve levels in accordance with fvlure needs, should funding not be available from the principal funding source5. The Union's reserves policy slates that the Union will budget to achieve surpluses annually from its consolidated activities lo build unrestricted free reserves of £1.6m. Free reserves are defined as 'unrestricted funds not represented by fixed assets,. At 31 July 2024 the parent charity's free reserves amounted to £2,950,009 {2023.' £2,612.917} and for the group consolidatsd F)osilion of £1,886,847 {2023'. £1.746.590}. Page 4
CARDIFF UNIVERSITY STUDENTS, UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 FINANCIAL REVIEW - continued Going concern After making appropriate enqLtiries. the trustees hav& a reasonable expectation that the Union has adèquate resour8 to continue in operational existence for the foreseeable future. For this reason. they Continue to adopt the going concem basis of preparing the financial statements. Further details regarding Ihe adoption ot the going concern basis can be found in the accounting policies. Flnanclal rlsk management objectives and policies The trustees examine the major strategic. business and operational risks faced by the Union and maintain a risk regSster that is reviewed annually. Where appropriale, systems OT procedures have been established lo mitigate the risks faced by the Union. These procedures are periodically reviewed to ensure that they continue lo meet the needs of the Union. Budgetary and intemal control risks are minimised by expendItre limits set by the Board of Trustees. In addition. stringent procedures are in place to ensure the health and safety of staff. volunteers and participants on all activities organised by the Union. All other types of risk have specific mitigation plans that are implemented by appropriate staff and reported to the Board of Trustees. Principal risks and uncertainties The Union maintains a risk register that is reviewed annually by the trustees and was last reviewed in May 2024. The followtng risks areas have been identified as the most critical lo the Union's strategic. financial and reputalional health. Cateqory Financial Risk type The Union fails to meet ils financial targets for budgeted surpluses in order lo reach a minimum free reserves target Systems, controls and mitigating factors Detailed budgeting and comprehensive management reporting via the Board of Trustees and the Finance & Risk Committee. Annual forecasting is in place and the Union has achieved its budgeted surpluses in recent years. Reserves taryet exceeded at the end of July 2022 with a free reserve balance held of £1.5m. The free reserves target was increased in 2023 to £1.6m and has been exceeded to date. The Union's pension costs through SUSS have more than doubled in recent years due to the deficit within Ihe scheme. Further increases are very likely and may outstrip the Union's ability to fund them without assistance from the Univeisity. The SUSS scheme is closed to future accrual and the Union now offers a stakeholder pension scheme as well as NEST. The outcome of the triennial review date of 30th June 2022 means that the 5% increase expected over the nèxt 3 years is unchan ed. DDA audit and University oversight ensures that the Union vigilant over DDA requirements and responds to deficiencies immediately when they arise. The Union has assessed that physical building improvements are necessary lo avoid potential litigation and disrepute. in particular in lift use and availability- This is being addressed currenuy with the installation of a second passenger lift which will come into use in 2024-25. Bodies undertaking activities and managerial staff supervising those areas are trained in risk assessment and are required to use this in assessing the suitsbility ot undertaking the activity. The wide range of activities does give rise lo the likelihood of omission. Financial Pension structures deliver unmanageable increases in cost to the Union. Health & Safety The Union fails to meel requirements for access and function of faciltties under Disability Discrimination Act Health & Safety Student volunteers undertake activitses that have not been subject to a fomial risk assessment. or which have not been authorised by the Union. Page 5
CARDIFF UNIVERSITY STUDENTS. UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 FINANCIAL REVIEW - continued Prlnclpal funding One of the Union's principal funding sources is Cardiff University. The relationship behveen Cardiff University and the Union is established within the ordinances of the Universlty's governing documents and in 2023124 the Union received a grant of £3.326,975 {2022123.' £3.073.285). The grant is set by agreement on an annual basis. The Union also leases buildings and occupies spaces controlled by the University and this non-monetary support is inlTinsic lo the relats'onship between the University and the Union. Mthough Ihe Unlon continues to generate supplementary income from varlous mulual-tradlng activities, it is dependent on the University's financial support. There is no reason to believe that this or equivalent support from Ihe University will not continue for the foreseeable future. The 1994 Education Act imposes a duty on the Unniersity to ensure that the Union operates in a fair and democratic manner and is accountable for its finanS. FUTURE PLANS The Union's strategy 2021-2025- The heart of Cardiff Student Life outlines the Union's plans over the coming years and splils its priorTrties into four themes and three building blocks. These are.. Themes Cardiff community- Academic Life. Student experiences,. and Wellbeing and future. Bulldlng blocks Resources- People-. and Digital and Data The new strategy together with new branding wa5 launched to students. staff and the University in December 2021. The trustees have sel the following operational targets fr)r 2024125.. Cardiff Community 50th Bvilding Celebrations - Celebrate the successes of the new building developments 2nd past building 50th history, through a serie5 of digital timelines and events wth past students and officers. H&S sludent group compliance - Working with leaders and volunteers in student run groups to ensure that all their activities are taking place in a manner that 15 consistent with and where possible exceeds recognised best pr2etice. Induding the development and roll out of additional training and guidance to student groups to help them effectivety manage their activities. Aeademi¢ Ltfe International and Academle Communities in the coming academic year. a new focus will be placed on international students wtlh the inaugural Intemational Students Officers. The organisalion will support this new post and establish them within University committees. Furthermore, a focus will be place on developing a trial for academic communities, that bring together Reps and societies to improve bek)nging and In¢8$e PreSentatiOn on courses. Review the Unlon Artl¢les of Assoclation implementation in concert with the University, for recommended action and Student experlences Food Court Redevelopmont: Redevelop the food court area to create a dynamic. multi-use space that 96nèrates additional income streams through prevclub and society events, and new agreements with food vendors. This project aims to enhanc• the venue's appeal and functionality. attracting a broader range of activities and driving foottall in day and night sessions across the week. As part of this initiative, revamp the venue's page to reflect the upgraded facilities and offerings. thereby increasing vi5ibilily and engagement with potential users and partners. Development of Non-Alcoholic Freshers. Welcome Events.. Collaboraling with the university to create non- alcoholic welcome @vents at Halls of Residence sites. such as Talybont, wlll signiftcantly enhance the student welcome experience. This inilialive wll fost8r a supportive and inclusive environment, ensuring all freshers feel welcomed and integrated into student life. By promoting healthy social interactions and a diverse range of activities, we enhance the overall student experience and well-being. Additionally. it provides another valuable touchpoinl to promote the Students, Union lo freshers, further embedding its presence and support in thelr university journey. Page 6
CARDIFF UNIVERSITY STUDENTS, UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 FUTURE PLANS - contlnued Wellbelng & Future Sexual violence task group - following on from work established in 2023-24, the SU will continue to review and develop a series of iniliatives that focus on improving Students. Union services and practices surrounding support for the prevention of sexual violence. This work will review information shared with student groups, sludenl staff and other communities, as well as a studenl facing campaign to change behaviours where possible. Resources New lift Installatlon - following the successful bid for exlemal fvnding for a second passenger lift in 2023-24. the work will be underway to complete the development by April 2025. The extensive work required will be balanced against disruption to key events and activities in the building trroughout the year. Solar panels - to schedule, plan and install a first phase of solar cells on the roof of the Union building in a timeline coordinated with other roof works being undertaken by the University and Students, Union Pooplo HR Policy and process review A significant review of the Performance Management Policy is scheduled to review how employees are supported to create objectives and perfomi against them. and how managers are supported to gel the best out of their direct reports. Finally. improving and streamlining induction and onboarding process for all staff is scheduled for the upcoming academic year, with view to make the process less paper based and more dep8rtment specific. Employee Trainin9 Plan develop an annualised training plan for career staff. ranging from individual to team opportunities. Digital & Data Improve Data Maturity of CSU - Data maturity is a measure of how well an organisation can make effecltve use of its data. The more mature an organisation the more data it can effectively and efficiently utilise. It is also a good indicator of how well an organisation will be able to adapt and suNive in a rapidly changing data landscape. Following on from an external data audit in May 2024. the recommendations from the audit will be actioned in the coming year Future Di9ltal Plan - the Students, Union utilises MSL as it's main digital CRM system and interface with students. The coming year. the Web team will lead a review into the digital systems and agree a future with MSL or others. Trustees. indemnities Group directors, and officers. indemnity insurance is held by the parent entity up to a limit of £2m. STRUCTURE. GOVERNANCE AND MANAGEMENT Constitution The Union is a registered charity (Charity No= 1137163) linked to Cardiff University (the University). The Union is also a company limited by guarantee registered in England and Wales {Company No: 07328777). The Union is consliluted by its Memorandum and Articles of Association and is controlled by a Board of Trustees. who act as directors for the purposes of Company law and Injstees for the Purposes of charity law. Decisions a made by simple majority vote. The Union has one subsidiary company controlled by the Union by virtue of sole membership.. CardÉff Union Services Llmlted {CUSL). CUSL and CUSU are reported as a group within the Year End accounts that accompany this report. The Vnion is a slud¢nts' unlon, as defined in the Education Act 1994, with internal regulations and rules approved by its Board of Trustees and the Council of Cardiff University (its goveming body). Page 7
CARDIFF UNIVERSITY STUDENTS, UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 STRUCTURE, GOVERNANCE AND MANAGEMENT- continued Recruitment, appolntment and Induction of new truste8s The Union has fifteen constituted trustee roles split into foltr groups: Seven Sabbatical Trustees, elected in accordan with the Union's Memorandum and Articles of Association and its Bye-Laws; Three Student Trustees, appointed in accordance wtlh the Union's Memorandum and Artides of Association,. Three Extemal Trustees, appointed in accordance with the Union's Memorandum and Articles of Association: and Two University Nominated Trustees. appointed in accordance with the Union's Memorandum and Articles of Association. The Board of Trustees meets at least four times a year and is responsible for maintaining legal, financial and reputational integrity whilst setting the organisalion's strategy, approving general policies and approving the annual budgets and aco)unts. The Board has established six committees to ensure effective oversight of operations and where appropriate invite experts to allend and advise these commillees: Leadership Team Finance & Risk Committee People, Diversity & Inclusion Committee Satisfaction. Engagement & Participation {SEP) Committee Appoinlments & Remuneration Committee Chief Executive's Appraisal Group All new trustees are provided induction training and are introduced to the activities of the Union by the existing Board, the Chief Executive and other stsff. Trustees are provided with ongoing training a5 and when required, based on an assessment of their existing skills set and according to the Board's Development Plan. The political and campaigning policies of the Union are set by the Student Council (referred to as the Student Senate for publicity purposes) and executed by the Sabbatical Trustees and other elected student officers. The Board of Trustees maintains oversight of these policies in accordance with their duties. The Union's Sludent Senate membership comprises students elected by the Union's student members. Organlsatlonal structure and deci5ionwmaking policies The Board of Trustees delegates the day-to-day management of the Union to a Chief Executive, through a scheme of delegated authority approved annually by the Board of Trustees. To ensure effective maftagement the Chief Executive leads a Strategic Management Team ISMT), with responsibility for operational management of the Union's activities, services and representation support. In addition. The Chief Executive appoints non-senior staff to the SMT from time to time as associates lo support the SMT'S work and to aid professional development. During 2023124 followng the resignation of the Deputy Chief Executive in October 2023. the SMT was restwclured with the role of Director of Communications being placed with a Director of Enterprise. During the year SMT consisted of the following roles-. Permanent members Chief Executive Deputy Chief Executive Deputy Chief Executive Director of Particrpation & Safeguarding Direttlor of Finance Director of Enterprise Director of Communications Daniel Palmer Raechel Mattey (appointed 1 March 2024) Ben Eagle (resigned 31 October 2023} Steve Wilford Jan Boyce Phil Daymenl {appointed 27 November 2023) Raechel Mattey (resigned 29 February 2024) The Union's slaff excluding the Sabbatical Trustees - are employees of CUSL who are contracted to work across the Union's group of companies. The Sabbatical Trustees are employees of Cardiff University Students, Union directly, as prescribed within the Memorandum and Artlcles of Assodation. Key management remuneration The Union ha5 adopted a job evaluation scheme, approved by the People. Diversity & Inclusion Committee and overseen by the Chief Executive, lo ensure that pay for staff roles are fair and related to the level of responsibilities undertaken. The pay for the Chief Executive and the Sabbatical Trustees is set by the Appointments and Remuneralion Committee with ben¢hmark5 and parameters agreed in comparison to other large educational charities and leading $ludenls' unions. Page 8
CARDIFF UNIVERSITY STUDENTS, UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 Affiliations The Union is affiliated to the National Union of Students INUSI and Biilish Universities and Colleges Sport {BUCS) and paid affiliation fees of £37.500 and £22.913 respectively in 2023124. Both affiliations were ratified by referendum, which took place on 23 November 2023. The Union participates in the NUS SeNices purchasing consortium and receives trading support and other benefits. Afflllated student clubs and societles The Union provides a long-standing framework of grant funding for affiliated student sports clubs and societies. in accordance with the provisions slated within the 1994 Education Act. In 2023124 the Union allocated grants to Ihese groups totalling £46,87012023'. £65,145) which is comparable lo grants given in prior years. Volunteers The Union makes use of volunteers, who in most cases a also beneficiaries, to achieve Its objectives. Volunteews are engaged in activities such as inducting new students into the University, supervising social, cultural, sporting and recreational activities and in representing students lo the University and external bodies. The Union has not conducted an exercise to identify the number of hours, volunteers contribute or ils staff equivalency. Employee involvement and employment of the disabled Employees have been consulted on issues of concem to them by means of regular consultative committee and staff meetings and have been kepl informed on specific matters directly by management. The Union and the group carries out exit inteNiews lor all staff leaving the organisation and has adopted a procedure of upward feedback fr)r senior management and the trustees. In accordance with the Union and the Group's Equal Opportunities Policy, the Union and the Group has long established fair employment practices in the recruitment. selection, retention and training of disabled staff. Full details of these policies are available from the Union and the Group's offices. The policies are reviewed and updated regularly as part of a cycle of policy review process. REFERENCE AND ADMINISTRATIVE DETAILS Reglstered Company number 07328777 (England and Wales) Registered Charity number 1137163 Registered office Park P18ce CARDIFF CF10 3QN Page 9
CARDIFF UNIVERSITY STUDENTS, UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2024 REFERENCE AND ADMINISTRATIVE DETAILS - ¢ontinued Trustees Madison Poppy Johnston Hutchinson, President lappoinled 1 July 202411 Angle Janysse Flores Acuna, President (resigned 30 June 202411 Georgia Kelsey Spry. VP Sports & Alhlelic Union President 1 Micaela Louise Panes. VP Postgraduate Students (Education & Welfare) 1 Eve Hallé Chamberlain, VP Societies and Volunteering (appointed 1 July 202411 Madison Poppy Johnston Hutchinson. VP Societies and Volunteering {resigned 30 June 202411 Olusola Anne-marie Bold VP Heath Park Campus {Education & Welfare) (appointed 1 July 2024)1 Alexander lan Geoffrey Meers. VP Heath Park Campus (Education & Welfare) (resigned 23 February 2024)1 Catrin Edith Parry. VP Cymraeg lappoinled 1 July 2024)1 Deio Si6n Llewelyn Owen. VP Welsh Language. Community & Culture (resigned 30 June 202411 Ana Maria Nagiel Escobar. VP Intemational Students (Education & Welfare) (appointed 1 July 2024}1 Noah Russell. VP Undergraduate Students (Education & Welfare) (resigned 30 June 2024)1 Emilia Sharon Parker. Non-portfolio (appointed 12 June 2024)2 Edward James Bright, Non-portfolio (appointed 12 June 2024)2 Michael Summers. Non-portfolio (resigned 2 February 2024) 2 Courtney Endall, Non-portfolio {resigned 26 February 2024) 2 Jayne Ann Sadgrove, Non-portfolio 3 Agnes Xavier-Phillips JP DL. Non-portfolio 3 Elliot Lloyd Howells, Non-portfolio 4 Rameshwar Singh CBE. Non-portfolio 4 Sian Davies, Non-portfolio (appointed 12 June 2024N 1 Sabbatical Trustees 2 Sludent Trustees 3 University Nominated Trustees 4 Exlemal Truslees Chief Executive Officer Daniel Palmer Auditors MHA Statutory Auditor Elfed House Oak Tree Court Cardiff Gate Business PaTk CARDIFF CF23 8RS Banker5 Lloyds TSB Bank PIC 31 Queen Street CARDIFF CF10 2AG Solicitors TLT LLP 1 Redcliff St Bristol BS16TP Poppleslon Allen 37 Stoney Street Nottingham NG1 1LS Page 10
CARDIFF UNIVERSITY STUDENTS. UNION REPORT OF THE TRUSTEES FOR THE YEAR ENDEO 31 JULY 2024 STATEMENT OF TRUSTEES, RESPONSIBILrriES The Irustees (who are also the ¢Jireclor5 of Cardiff University Students.. Union for the purposes of company law) are resportsible tr preparing the Report of the Trustees and the financial slatements rn accordance Y&th appltcable law and United Acc4Junting Standards (United lfjns¥Jom Generally Acceptsd knwiting Practice). Company law requires Ihe Iruslees to prepara firtancial statsments foreach financial whÉch gNe a true and fair view of Ihe state of affairs of the group and parenl chafilable company and of Ihe incomiThJ rosources and application of resources. income and e¥perKliture. of the group for that period. In preparing (hose fwlancial statemenL%. the trustees are required to select 5uftable accounting policies and then apply them ConsK%tenu. observe Ihe [nelfr$ and principles in the Chafity SORP: rnake J[ementS and estKnates that are reasonable and prudenl: stale whether acable accountirMJ slandards have been followed. subiect lo any material depatlures disdosed and e4aIned fCial statements: prepare the financial statements on the golng Concern basis unless Èt is inappropriate to pre5urne fhat the eharttabla (X)M will contiwe In busingss. The twstees are reswHl1o ky keep lequate accnting records pwhich (ffsdose reasonaNe accwacy at any time fuwKial of the 9roup and parent iaritable company aTrd to enable them to ensure that Ihe financial statements comply th the Companies Act 2006. They are also responstble for safeguardmry the assets of Ihe group arKf parent Clable company arKI hence for taking reasonable 51ep5 for the prevenlion detection of fr3ud and olher Kregularitr"es. In so far as fhe trustees are aware: there is relovant audbt rrformatKJn of which the group's atlIS are unavfft: and tho trustees haye taken all steps that they oUt to have taken to make themsefves a4&e of any relevant aKfit Infom1#1 and tr) eslatrfish that the auditors are aware of Ihat infonnafio Approved by cthr of Ihe Board of Tn$St$ on .-........... ........ ............ ..... aThl signed on its behalfty. l.c.E£li SOL.................................. M P J Hutthrtsbn Union President 2024125 and Ctkiir ofthe Board of Trustees Pa9e 11
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF CARDIFF UNIVERSITY STUDENTS, UNION Oplnlon We have audited the financial statements of Cardiff University Students, Union (the 'parent charitable company'l and its subsidiaries (the group) forthe year ended 31 July 2024 which comprise the Consolidated Statement of Financial Activities. the Consolidated and Charity Balance Sheet, the Consolidaled Cash Flow Statement and Notes lo the Consolidated Cash Flow Statement and Notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements.. give a true and fair view of the slate of the group's and parent charitable Company's affairs as al 31 Juty 2024 and of the group's incoming resources and application of resoUs, including its income and expenditure, for the year then ended- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice., and have been prepared in aceordance with the requirements of the Companies Act 2006. Basls for oplnlon We conducted our audit in accordance wilh Intemational Standards on Auditing {UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards a further described in the Auditors. responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordan with the ethical requirements that are relevant lo our audit of the financial statements in the UK. including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Concluslons relating to golng concern In auditing the financial statements. we have concluded that the trustees, use of the going concem basis of accounting in Ihe preparation of the financial statements is appropriale. Based on the work we have perfomed, we have not identified any material uncertainties relating to events or conditions that. individually or collectively. may cast signtficant doubt on the group's ability to continue as a going concem for a period of at least twelve months from when the financial statements are authofised for issue. Our re5ponsibililies and the responsibilÈties of the Injstees with respect to going concern are described in the relevant sections of this report. Other intormation The trustees a responsible for the olher infomiation. The olher infomialion comprises the information includerj in the Report ot the Trusteès, other than the financial statements and our Report of the Indèpendent Auditors thereon. Our opinion on the financial statements does nol cover the other information and, except to the extent otherwise explicitly stated in our report, we do not expres5 any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to ad the other information and. in doing so, consider whether the other information is materially inconsistent wilh the financial statements, or our knowledge obtained in the audit or otherwise appears lo be materially misstated. If we identify such material inconsistencies or apparent material misstatemenls. 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 eonclude that there is a material misstatement of this other infomation, we are required to report that fact. We have nothing lo reFX)rt in this regard. Opinions on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit: the infomialion given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with Ihe financial statements.. and the Report of the Trustees has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In Ihe light of Ihe knowledge and understanding of the group and the parent charitable company and Ils environment obtained in the course of the audit. we have nol identified material misstatements in the Report of the Trustees. We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: adequate accounting records have not been kept by the panI charltable company or returns adequate for our audit have not been received from branches not visited by us.. or the parent charitable company financial statements are not in agreement with the accounting records and retums., or certain disclosures of trustees, remuneration specified by law are not made- or Page 12
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF CARDIFF UNIVERSITY STUDENTS. UNION we have not reIVed all the information and explanations we require for our audit- or the trustees were not entitled lo lake advantage of the small companies exemption from the requirement to prepare a Slralegic Report or in preparing the Report of the Trustees. Responslbllltles of trustees As explained more fully in the Statement of Trustees, Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the truslees delermine is necessary lo enable the preparation of financial statements that are free from material misstalemenl, whether due to fraud or error. In pParIng the financial statements, the Irustoes are responsible for assessing the group's and the parent charitable companys ability to continue as a going concem, dis¢105ing, as applicable, matters related lo going Concem and using the going concem basis of accounting unless the twstees either intend to liquidate the charitable company or to cease operations, or have r¢0 realistic alternative but to do so. Our responsibilities for the audlt of the finan¢ial statements Our objectives are to obtain reasonable assurance aboutwhelher the financial statements as a whole are free from material misstatemenl, whether due to fraud or error. and to issue a Report of the Independent Auditors 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 IUKI 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 coukl reasonably be expected to influence the economic decisions of usets taken on the basis of ihese financial statements. IegUlaritieS, including fraud, are instances of non-compliance with laws and regulations. We design proCedUS in line with our responsibilities, oullined above, to detect material misstatements in respect of irregulattties, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, ir¢cluding fraud is detailed below- We evaluated management's incentives and opportunities forfraudulent manipulation of the financial slalements (including the risk of override of controls) and determined thal the principal risks were related to posting inaccurate joumals. We addressed these risks by carrying out specifically targeted procedures. which included.. Enquiries of management, those charged with govemance around actual and potential litigation and cEaims' Performing audit work over the risk of management override of controls. including testing of journal entries and other 2djustmenls for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias-, Reviewing minutes of meetings of those charged with govemance- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations. Because of the inherenl limitations of an audit there is a risk Ih8t we will not detect all irregularilies. including those leading lo a malerial misstalement in the financial statements or non-compliance with regulation. The risk in¢aseS the more that compliance with a law or regLtlation is removed from the events and transactions reftected 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 lo fraud ralher than error, as fraud involves intentional ¢oncealmenl, forgery, collusion, omission or misrepresentations. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at ww.frc.org.ukJauditorsresponsibililies. This description fomis part of our Report of the Independent Auditors. Page 13
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF CARDIFF UNIVERSITY STUDENTS. UNION Use of our report This report is made solely to the charitable company's members, as a body, in accordance wth Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state lo the charitable company's members those matters we are required to stale to them in an auditors, report and for no other purpose. To the fullest extent pemiilted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable companrfs members as a body, for our audit work, for this report. or for the opinions we have fom)ed. a Mortimer (Senior Slatulory Auditor) for and on behalfof MHA Statutory Auditor CARDIFF CF23 8RS Date.. MHA is the trading name of Maclntyre Hudson LLP, 8 limited liability partnership in England and Wales (registered number OC312313> Page 14
CARDIFF UNIVERSITY STUDENTS, UNION CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 JULY 2024 2024 Total lunds 2023 Total Funds Unrestricted fund Restricted funds Notes INCOME AND ENDOWMENTS FROM Donations and legacies Charitable activities Other trading adtvilies Investment income 3,326,975 3,398.707 5,807.849 49,440 326,000 3.652,975 3.398.707 5,807.849 49,440 3.380.884 3,482.313 5,515,116 15.187 Total 12,582.971 326,000 12,908.971 12,393,500 EXPENDITURE ON Raising funds Chariiable activities 8,147,112 8,147,112 7.812,760 4.622.578 65,522 4.688.100 4,831.116 Total 12,769,690 65,522 12,835,212 12.643.876 NET INCOME I (EXPENDITURE) (186,719) 260,478 73,759 {250,376) Unwinding of discounted pension provision (146.796) 1146.796) 1390,908) Net Incomel(expenditure} for the year {333,5151 260.478 {73,037) 1641.284) Transfer between funds 231.152 231.152 (102,363) 29.326 173.037} 1641.284) RECONCILIATION OF FUNDS Total funds broughl forward 9.177.354 43.608 9.220.962 9,862,246 TOTAL FUNDS CARRIED FORWARD 9,074.991 72,934 9.147.925 9.220,962 Page 15
CARDIFF UNIVERSSTY STUDENTS. UNION CONSOLIDATED AND CHARrrY BALANCE SHEET 31 JULY 2024 Group Charity 2024 2023 2024 2023 Notes FIXED ASSETS Tangible assets Investments 15 16 11.813.378 7.3,563 12,252.488 73.563 6,865 14.277 11.886,941 12.326,051 8.865 16,2ri CURRENT ASSETS Stocks Debtors: amounts faiftng due vfithin one year Cash at bank 17 18 102.608 1.095.427 3.213.321 136,326 1,035,164 2.591.521 1.395.959 1,534.727 2,122.396 4,411,356 3,763,011 4,224,281 3.657.123 CREDITORS Amounts falling due within one year 19 (2.525.1391 {2.046.376} {1.203,338) (1.002.598) CURREKf ASSErs 1886217 1.716.635 3,020.943 2 654,525 TOTAL ASSEfs LESS CURRENT LIABILFTIES 13,773.158 14.042.686 3.029.808 2,670.802 PENSION UABILfTY 21 (4.625,233) (4.821.724) NET ASSErs 9 147.925 9.220.962 3.029.808 2.670.802 FUNDS Revaluation fosetve Pension reseNe Unrestrtcted funds- l)esigr Unrestrtcted fijnds - Genaral 23 8,814.127 (4,625,233) 2,999.250 1,886.847 9.183.828 (4.821,724) 3.068.660 1,746.590 14.277 2,612,917 Restrlcied funds 72.934 43.608 72.934 43.608 TOTAL FUNDS 9.147.925 9.220,962 2.670,802 and were signed on Its behalf by: M P J Hutchinson Union President 2024125 and Chair of Ihe Board of Tnjstees Page 16
CARDIFF UNIVERsrrY STUDENTS. UNION CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 JULY 2024 2024 2023 Notes Cash flows from operating actlvltles.. Cash generated from operations 922.678 377.605 Net cash provided by (used inl operatlng activities 922,678 377 605 Cash flows from investlng actlvltles: Purchase of tangible fixed assets Sale of tangible fixed assets Interest received (350,318) {1,090,480) 49,440 Net cash provlded by (used In) Investing activities {300,878) {1,075.293) Net cash flows from finan¢lng activities: Bank loan repayments 191667) Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beglnnlng of the reporting period 621,800 (889,3551 2.591.521 3.480,876 Cash and cash equivalents at the end of the reportlng perlod 3.213.321 2.591.521 RECONCILIATION OF NET INCOMEI{EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES 2024 2023 Net incomellexpenditure) for the reporting period {as per the statement of financial activities) Adjustments for: Depreciation charges Loss on disposal of fixed assets Interest received Decreasel{increase) in stocks Decreasel(increase) in debtors Increasel{decrease) in creditors {DeC8$eY1n¢re8Se in pension provision {73,037) (641,284) 789.052 376 149.4401 33,718 160,262) 478,762 196,491} 993,882 78 {15,187) {27.808} {68,736) 72,689 63.971 Net cash provided by (used in) operating actlvltles 922,678 377,605 ANALYSIS OF CHANGES IN NET FUNDS At 118123 Cash flow Al 3117r24 Net ¢ash Cash at bank and in hand Debt due within one year Debt due after one year 2.591,521 621,800 3,213.321 2,591,521 621,800 3.213,321 Page 17
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 STATUTORY INFORMATION Cardiff University Students, Union is a registered charity and private company limited by guarantee, incorporated n Wales in the United Kingdom. The registered office is Pa Place, Cardiff, CFIO 3QN. The nature of the group's operations and principal activities are disclosed within the Report of the TTUStees. The financial statements are presented in Sterling (£), the group's functional currency, and rounded lo the nearest pound. The significant accounting pollcies applied in the preparation of Ihese financial statements are sel out below. These policies have been consistently applied to all years presented Ltnless otheise stated. ACCOUNTING POLICIES Basis of preparing the financlal ststements The financial statements of the charitable company. which is a public benefit entity under FRS 102, have been prepared in acix)rdance with the Charities SORP (FRS 102)'Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective l January 2019).. Financial Reporting standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland. and the Companies Act 2006. The financial slalements have been prepared under the historical cost convention. with the exception of investments which are included at market value. There h8ve been no material departures from Financial Reporting Standard 102. G04ng concern The Injslees have reviewed the forecasts based on the lalest income and expenditure to ensure cash liquidity is maintained to an appropriate level for the 12 month period. from the date of signing these statements. In the circumstances they have concludèd Ihal no additional disclosure is required to the financial statements at this lime. The Iruslees are satisfied that il is appropriate for the financial statements lo be prepared on a going con basis. Consolidation The Statement of Financial Aclivitie5 {SOFAI and Balance Sheet consolidate the financial statements of the charity and its subsidiary undertakings. The results of each subsidiary are consolidated on a line by line basis. Income All income is recognised in the Statement of Financial Activities once the group has enlillemenl to the funds. il is probable that the income will be 1ved, and the amount can be measured reliably. This includes capital grants. Donations and legacies income includes donations. gifts and grants that provide core funding or are of a general nature and are recognised where there is entitlement. probability of receipt and the amount can be measured with sufficient reliability. Such income is only deferred when the donor specifies it musl be used in fvture accounting periods or the donor has imposed conditions which musl be mel before the charity has unconditional entillement. Income from charitable actsvilies includes income received under contract or where entitlement to grant fvnding is subject to specific perfomiance conditions. This income is recognised as the related services are prov¢ded and there is entitlement. probability of receipt and the amount can be measured with sufficient reliability- Income is deferred when the amounts received are in advance of the performance of Ihe service or event to which they relate. Income from other trading a1vIlle$ Includes income received under contract. This income is recognised as the related services are provided and there is entitlement, probability of receipt and the amount can be measured with sulficient reliability. Income is deferred when the amounts received are in advance of the p6rformance of the service or event to which they relate. Investment income is recognised on a receivable basls. Page 18
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 ACCOUNTING POLICIES Basis of recognition of liabilities Llabilities are reccgnised as expenditure as soon as there is a legal or constructive obligation committing the group lo that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measUd reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings, they have been allocated lo a¢tivitie$ on a basis consistent with the use of resources. Raising funds include direct merchandise costs which are available for resale. Expenditure on charitable activities comprises those costs incurred by the charity in the delivery of its activities and seTvices for its beneficiaries. It includes both costs that cartr be allocated directly to such activities and those costs of an indirect nature n8Ssary to support them. Support costs are those costs that. whilst necessary to deliver an activity, do not thernselves produce or constitute the output of the charitable activity. This includes governance costs which are those costs associated with meeting the constitutional and statutory requirements of the group and include the accountancy fees and costs linked lo the strategic management of the group. Allocation and apportlonment of ¢o$t$ All costs are allocated between the expenditure c8tegories on a basis designed to reflect the use of the resource. Costs relating to a partiGular activity are allocated directly: others are apportioned on an appropriate basis. Tangible fixed assets Tangible fixed assets are initially recorded at cost. The Group has taken advantage of the transitional exemptions of FRS 102 and cary the long leasehold property at its previously revalued amount 8s deemed cost An amount equal to the excess of the annual depreciation charge on revalued assets over the notional historical cost depreciation charge on those assets is transferred annually from the revaluation reserve to the profit and loss account. Depreciation is provided at the following annual rates in order to wrtle off each asset over its estimated useful life= Long terrn leasehold property Leasehold improvements Plant and machinery offi equipment Computer equipment Over the remaining term of the lease 10 years straight line 5-10 years straight line 2-5 years straight line 3 years straight line Tangible fixed assets are capilalised in line with the organisations capitalisation policy as follows= Leasehold improvements - £2,500 Plant and machinery- £2.500 Office equipment- £2.000 Computer equipment- £1,000 Work In progress Work in progress represents capital costs incurred to date on the leasehold property which is still under construction at the balance sheet dale. Upon completion of the works, the cost will be reclassified to the relevant asset line and depreciated in line with the above accounting policies as appropriate. Investments Fixed asset investments are stated at cost. Provision is made, where necessary, for any pemanent diminullon in value. stocks Stocks are valued at the lower of cost and nel realisable value, after making allowance for obsolete and Slow moving items. Stock is included at the lower of cost or net reali5able value using the FIFO stock valuation method. Page 19
CARDIFF UNIVERSITY STUDENTS, UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2024 ACCOUNTING POLICIES - continued Fund accounting Unrestricted funds can be used in accordance with Ihe charitable objectives at the di$¢retion of the Irustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Reslriotions arise when specified by Ihe donor or when funds are raised for particular restricted purposes. FLtrther explanation of the nature and purpose of ea¢h fvnd is included in the notes to the financial statements. Financial instruments The group only has financial assets and financial liabilltles of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. Debtors with no slated interest rate and receivable within one year are recorded al transaction price. Any losses arising from impairment are recognised in expenditure. Prepayments are valued at the amount prepaid net of any trade discounts due. Creditors are recognised where the group has a psent obligation resulting from a past event that wlll probably result in the transfer of funds to a third party and the amount due 10 settle the obligation can be measlired or estimated reliably. Creditors are normally recognised at their settlement amount after allowing for any trade discounts due. Pension costs and other post-retirement benefits The group participates in the Students, Union Superannuation Scheme. a defined benefit scheme which is extemally funded and contracted out of the State Second Pension. The fund is valued at least every three years by a professionally qualified independent actuary with the rates of contribution payable being determined by the trustees on the advice of the actuary. The scheme operales as a pooled affangement. with eontribulions paid at a centrally agreed rate. As a consequence, no share of the underlying assets and liabilities can be directly attributed to the Union. Where a plan has been agreed to fund an identified deficit. a liability is recognised for the present value of the contributions payable that arise from that agreement with the resulting expense recognised in Ihe statement of Financial Activities. The group also operates a defined colllribulion plan for its employees. Contributions payable to thi5 pension scheme are Charged to the Statement of Financial Activities in the period to which they relate. Employee benefits When employees have rendered SeICe to the group, short-tem) employee benefits to which the employees are enlilled are recognised at the undiscounted amount expected to be paid in exchange for that service. Operatlng lease commitments Rentals applicable to operating leases where substantially all of the benefils and risks of ownership remain with the lessor are Charged against profits on a straight line basis over Ihe period of the lease. Signlficant accountlng Judgement$ and estimates Estimates and judgements are continually evaluated and are based on historical experience and other relevant factors, including expectations of future events that are believed to be reasonable under the CircumstanS. The preparation of the financial statements requires management lo make estimates and assumptions concerning the future. The Tesulling accounting estimates will, by definition, bè likely to differ from the related actual résults. The estimates and assumplions that have significant risk of causing material adjustrnenl to the carying amount of assets and Ilabilifjes wllhin the next financial year are set out below: Pension liabili The pension liability is based on the latest deficit reduction recovery plan in place as at the year-end.11 is an estimate of the future liabilily of the expected payments adlusted by a discount rate, which is eslimaled based on latest economic trendslexpeclalion5. Page 20
CARDIFF UNIVERSITY STUDENTS, UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - contlnued FOR THE YEAR ENDED 31 JULY 2024 DONATIONS AND LEGACIES 2024 2023 Donations Grants 529 3,380,355 3 652.975 3.652,975 3.380,884 Grants receNed, Included In the above, are as follows: 2024 2023 Cardiff University- Block grant Cardiff University - ex gratia grant payments Cardiff University- Passenger Lift funding Cardiff University- Enriching Student Life Awards contribution Cardiff University- Black History Month HEFCW (via Cardiff Universityl- Wellbeing and cost of living Initiatives Department of Work and Pensions 3,326,975 3,073.285 253,975 270,000 5,000 1,000 50.000 49,000 4,095 3.652.975 3.380,355 Page 21
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - contlnued FOR THE YEAR ENDED 31 JULY 2024 OTHER TRADING ACTIVITIES 2024 2023 Bars and food Entertainment and venue Retail shop Letting agency Rental income Advertising Other 3,283,096 966,941 270.351 620,451 371,883 157.234 137,893 3,337.735 794.925 273,032 571,892 340.992 146,342 50,199 5,807,849 5 515,116 INVESTMENT INCOME 2024 2023 Deposit account interest 49.440 15,187 INCOME FROM CHARITABLE ACTIVITIES 2024 2023 Jobshop Athletic Union membership income Societies membership income Transport income student Development incorne Give it a Go programme Other 2.904.046 173,453 3,059.507 142,895 54.907 69,809 1.258 82.748 112.486 37,280 46,662 3.113 82.155 110,701 3,398,707 3.482,313 RESULTS OF PARENT CHARITABLE COMPANY The total income of the parent charitable company was £7.089,027 and net income wa5 £359,007. RAISING FUNDS other tradlng activities 2024 2023 Cardiff Union Services - C05t of sales Cardiff Union Services - other costs (exduding audit fees) 3,048,660 5,098,452 2.997,768 4.814,992 8.147,112 7,812.760 Page 22
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2024 CHARITABLE ACTNITIES COSTS Support costs (see note 10) Direct Cosls Totals General 2,948.771 1 739 329 4,688,100 2.948,771 1739.329 4,688,100 10. SUPPORT COSTS Staff costs Governance costs Other costs Depreciation Totals General 1.057.760 656.757 7,412 17,400 1.739.329 1.057.760 656.757 7.412 17,400 1.739.329 11. NET INCOMEIIEXPENDITURE) Net incomel{expendFlure) is stated after chargingl(crediting}: 2024 2023 Audilors, remunerdtion - Parent charity Auditors. remuneration- Cardiff Union Services Depreuation - owned assets Loss on disposal of fixed assets 6.650 10.750 789.052 376 6,650 10.000 993,882 78 12. TRUSTEES. REMUNERATION AND BENEFITS Trustees who are elected to the role of Sabbatical Officers are remunerated for their services on an annual basis as aulhorised under Section 6 of the Artides of Association. During the year. remuner81ion including employers pension contributions. was paid to 11 (2023: 13) Sabbatical Officers in respect of these roles as follows: Gross pay Employer pension contributions Name O Bold E Chamberlain A Nagiel Escobar A Flores Acuna M Hutchinson A Meers D Owen M Panes C Parry N Russell Gspry 3,102 3.102 3,102 23.281 24.885 21,271 22,744 24.812 3.102 22.744 24.812 527 374 511 511 511 During the year under review 4 (2023: 41 Sabbatical I)ffir$ were paid a total of £459 {2023: £5741 in respect of travel expenses. During the year expenses of £1,308 (2023.. £Nil) were paid to 3 exlemal Iruslees in respect of travel and accommodation expenses. Page 23
CARDIFF UNIVERSITY STUDENTS, UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - contlnued FOR THE YEAR ENDED 31 JULY 2024 13. STAFF COSTS 2024 2023 Wages and salaries Social security costs Other pension costs and deficit ¢ontributions 6,513.912 388.676 96,019 6,641,657 396.259 92,077 6,998,607 7.129.993 The average number of employees during the year was as follows.. 2024 2023 CardFff University Students, Union - Sabbatical officers Cardiff University Students, Union - Jobshop Cardiff University Students. Union- Admini5tralive Cardiff Union Services- Cost of sales Cardiff Union Services- Administrative 645 28 188 84 677 45 211 92 952 1,032 During the year ended 31 July 2024 the full-time equivalent number of staff employed was 226 {2023.. 2551. The number of employees whose emoluments amounted to a rale of over £60.000 during trte year were as follows: 2024 2023 No. £60.001- £70.000 £70.001- £80.000 £80.001- £90,000 £90.001- £100,000 Total remuneration paid lo key management personnel {In¢luding Sabbatical trustees) in the year was £612.986 12023.. £598,956). 14. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES- YEAR END 31 JULY 2023 2023 Unrestricted funds 2023 Restricted funds 2023 Total funds INCOME AND ENDOWMENTS FROM Donations and legacies 3,327.789 53.095 3.380.884 Charitable activltles 3,482,313 3,482,313 Other Irading activlties Investment income Other income 5,515,116 15,187 5,515,116 15,187 Total 12,340,405 53,095 12.393.500 Page 24
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2024 14. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued Unrestricted funds Restricted funds Total funds EXPENDITURE ON Raising funds Charitable actlvltle$ Charitable Activities 7.808.665 4,095 7,812,760 4.775,936 55,180 4.831.116 Total 12.584.601 59,275 12,643.876 NET INCOMEI EXPENDITURE {244,196) (6.180} 1250,3761 Other recognised gainsl(losses) Unwinding of discounted pensron provision 1390.908) {390.908} Transfers beeen funds 535.210 535,210) Net movement in funds {99,894} {541,390} 1641.284) RECONCILIATION OF FUNDS Total fund5 brought fonvard 9.277.248 584.998 9,862,246 TOTAL FUNDS CARRIED FORWARD 9,177,354 43,608 9.220.962 15. TANGIBLE FIXED ASSETS- Group Long term Leasehold Property Leasehold Worf( in Improvements Progress COST At 1 August 2023 Additions Disposals Reclassificalionl transfer 14.000,000 3,482.268 23,178 303,109 51.688 51,688) At 31 July 2024 14.000,000 3.533.956 274.599 DEPRECIATION At 1 August 2023 Charge for year Eliminated on disposal 4,816,172 369.701 566,305 355,164 At 31 July 2024 5.185,873 921469 NET BOOK VALUE At 31 July 2024 8.814,127 2.612.487 274 599 Al 31 Juty 2023 9,183,828 2,915.963 23.178 Page 25
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2024 15. TANGIBLE FIXED ASSETS- Group- contlnued Office equipment Computer equipment Totals COST Al 1 August 2023 Additions Disposals Reclassificationl transfers 605,149 44.491 {69,024) 159,125 2.718 136.9311 18,269,720 350,318 {105.955) Al 31 July 2024 580,616 124,912 18 514 083 DEPRECIATION At 1 August 2023 Charge for year Eliminated on disposal 489.281 52,097 69.0241 145,474 12.090 36,555) 6,017,232 789,052 105.579) At 31 July 2024 472.354 121,009 6,700.705 NET BOOK VALUE At 31 July 2024 108.262 3.903 11.813.378 At 31 July 2023 115.868 13.651 12,252,488 The group elected to adopt the transitional exemption of FRS 102 and has used the long leasehold properties. previous valuation 8s deemed cost. If freehold property had not been revalued they would have been included at the following historical ¢osl'. 2024 2023 Cost 1.554.978 1,554,978 Aggregale depreciation 1.554.978 1.554.978 Carrying value Chaiity Office equipment Computer equipment Totals COST Al 1 August 2023 Additions Disposals 80,246 34.952 115,198 At 31 July 2024 80,246 33,891 114.137 DEPRECIATION At 1 August 2023 Charge for year Disposal 70,120 3,737 30,801 3,675 100,921 7,412 Al 31 July 2024 73.857 33.415 107.272 NET BOOK VALUE At 31 July 2024 6.389 476 6,865 At 31 July 2023 10.126 4,151 14,277 Page 26
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - Gontinued FOR THE YEAR ENDED 31 JULY 2024 16. FIXED ASSET INVESTMENTS - Group Unlisted Investments COST At 1 August 2023 and 31 July 2024 73.563 NET BOOK VALUE At 31 July 2024 73,563 At 31 July 2023 73.563 The above unlisled investments relate to Welsh Rugby Union Debentures (£62,000) and NUS Credit Guaranlee Scheme {£11.563}- Unlisted Investments Charlty COST At 1 August 2023 and 31 July 2024 2.000 NET BOOK VALUE At 31 July 2024 2,000 At 31 July 2023 2.000 The above unlisted investments relate to Welsh Rugby Union Debentures. 17. STOCKS- Group 2024 2023 Venues- wet stock and food Retail stock 36.792 65,816 26,541 109.785 102,608 136,326 18. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Group 2024 Group 2023 Charity 2024 Charity 2023 Trade debtors Amount due from groLFP undertakings Other debtors Prepayments and accrued income 746.880 639,669 414,484 792.932 1.919 186,624 502,811 876.023 24,009 324,538 5.908 389,587 155,893 1,095.427 1,035,164 1,395,959 1534.727 Page 27
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 JULY 2024 19. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Group 2024 Group 2023 Charity 2024 Charity 2023 Trade creditors Social security and other taxes VAT Other ¢dItOrS AccnJ81s and deferred income 555,465 101,508 34.054 926,323 907,789 309.170 104.152 118,698 704.277 810.079 86,233 2.969 13.253 636,121 464,762 57,973 2,171 34.343 610,301 297 810 2.525.139 2,046,376 1.203.338 1,002.598 Included within creditors above is the following deferred income: 2024 2023 Rental deposits held Gig ticketsldeposits Other deferred sales 38,760 230.714 71.185 28.200 65,685 340,659 139.271 The deferred income relates to monies received irb advan¢e of the period or events to which they relate. All amounts excluding £28,200 of rental deposits held in the year ended 31 July 2023 were released to the Statement of Financial Activities during the year and amounts deferred in the year ended 31 July 2024 are new sources of income. Rental deposits held relate to rental income. Page 28
CARDIFF UNIVERSITY STUDENTS, UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - contlnued FOR THE YEAR ENDED 31 JULY 2024 20. LEASING AGREEMENTS - Group Minimum lease payments under nOnncelIable operating leases fall due as follows: 2024 2023 Within one year Between one and five years 17,859 18.926 24,583 26.393 43,509 Total lease payments Tecognised as an expense in the year were £27,821 {2023- £26.8661. Charlty Minimum lease payments under non-cancellable operating leases fall due as lollows: 2024 2023 Within olle year Beeen one and five years 13,136 8.254 14,203 19.580 21,390 33,783 Total lease payments recognised as an expense in the year We £22,587 {2023- £18,595). 21. PROVISIONS FOR LIABILITIES - Group Pension piovision Balance a11 August 2023 Unwinding ol discounted 2mount Payments during the year 4,821.724 146,796 343,287 Balance al 31 July 2024 4.625.233 See Note 22 for further details. Page 29
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 JULY 2024 22. EMPLOYEE BENEFIT OBLIGATIONS The group participates in the Students, Union Superannuation Scheme, which is a defined benefit scheme whose membership consists of employees of students, unions and related bodies throughout the country. Benefits in respect of SeICe up tr) 30 September 2003 are accrued on a 'final salary. basis. with benefits in respect of seNice from 1 October 2003 accruing on a Career Average Revalued Earnings (CARE) basis. With effect from 30 September 2011 the scheme closed to fvture accrual. The most recent Valuation of the Scheme was carried out as at 30 June 2022 and showed that the market value of the Scheme's assets was £106.7m with these assets representing 44% of the value of benefits that had accrued lo members after allowing for expected future increases in earnings. The deficit on an ongoing fLEnding basis amounted to £136.6m which report8d a decrease to the previous 2019 valuation deficit of £140.9m. The assumptions which have the most significant effect upon the results of the valuation are those relating to the rale of return on investments and the rates of increase in salaries and pensions. The previous 2019 actuarial valuation ¢0MMended a monthly contribution requirement by each Union expressed in monetary terms intended to clear the ongoing funding deficit over a period of 16 yeatE which was due lo end in August 2035. The 2022 actuarial valu2tion re¢ommends extending this period to 1 May 2037. Employer contributions are expected to increase at a rate of 5Yo per annum annually in October. In addition to the above contrlbutions. the company also pays its share of the scheme's levy and associated expenses to the Pension Protection Fund. The total contributions paid into the scheme by trte Union in respect of eligible employees tor the year ended 31 July 2024 amounted to £343,287 which are all deficit contributions {2023.' £326,937). At the year end. a liability was recognised for the present value of the contributions payable of £4,625.233 {2023- £4,821.724}. The group operates a defined contrtbution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge rePsentS ¢onlributions payable by the company to the fund and amounted to £96.019 {2023: £92,077). At the year end there were oulstanding contribulton5 of £17.32312023= £6.2831- Page 30
CARDIFF UNIVERSITY STUDENTS, UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - ¢ontlnued FOR THE YEAR ENDED 31 JULY 2024 23. MOVEMENT IN FUNDS- Group Nel movement in funds Transfers between fvnds At 3117124 Al 118123 Unrestri¢ted funds Revaluation reserve Pension reserve General fund Designated fund.. Fixed Assets Fund 9,183,828 (4.821,724) 1,746,590 3 068,660 (369.701) 343,287 1462,076) 719.642 8,814,127 {4.625.233) 1,886,847 2 999.250 1146,796} 602,333 789,0521 9,177,354 1333,515) 231.152 9.074,991 Restrlcted funds Waste & recycling project Period Poverty Grant Cardiff Volunteering Second Passenger Lift 6,090 9,404 28,114 (6.0901 {3.1171 13151 270,000 6.287 27,799 38.848 {231,152} TOTAL RESTRICTED FUNDS 43.608 260.478 (231.152) 72.934 TOTAL FUNDS 9.220,962 73,037 9,147,925 Net movement in funds. included in the above are as follows: Incoming resources Resources expended Gains and losses Movement in funds Unrostricted funds General fund Pension reserve Designated fund- Fixed Assets Fund 12.582.971 {11,980.638) 602.333 {146,7961 789,052) {146,7961 789,052) 12,582.971 {12.769.690) {146.796) 1333,515) Restrlcted funds Black History Month Waste & recycling project Period Povety Grant HEFCW- Wellbeing and cost of living initiatives Enriching Student Life Awards Cardiff Volunteering Second Passenger Lift 1.000 (1.0001 16.090) (3,117) 150,000) (6.0901 13,117) 50.000 5.000 {5,0001 1315) 1315) 270.000 270.000 326,000 65.522 260,478 TOTAL FUNDS 12,908.971 73.037) Page 31
CARDIFF UNNERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - ¢ontinued FOR THE YEAR ENDED 31 JULY 2024 23. COMPARATIVE MOVEMENT IN FUNDS - GTOUP Net movement in funds Transfers between lunds Al 3117123 At 118122 Unrestrlcted funds Revaluation reserve Pension reserve General fund Designated fund.. Fixed Assets Fund Designated fund= Great Hall and entrance project 9,786.047 {4.757.753} 1,534,034 2,369,920 345,000 (602,219) 326.937 1537,130) 1,692,622 {345,000) 9,183,828 14,821,724} 1.746,590 3,068,660 {390.908) 749,686 {993,8821 9,277,248 {635,1041 535,210 9,177,354 Restrlcted funds Black History Month Waste & re¢ycling project Period Povety Grant Sanlander Diversity Fund Cardiff University- 3rd floor project Cardiff University- Great Hall and front entrance Cardiff Volunteering 513 6.090 10,424 3,757 15,755 (513} 6,090 9,404 (1,0201 13,757) {15.755) 548,459 (548,459) 29.004 (890} 28.114 TOTAL RESTRICTED FUNDS 584.998 (6.1801 1535.210) 43.608 TOTAL FUNDS 9,862,246 641,284 9.220,962 Net movement in funds. included in the above are as follows= Incoming resources Resources expended Gains and losses Movement in lunds Unrestrfcted funds General fvnd Pension reserve Designated fund.. Fixed Assets Fund 12,340.405 (11,590,719) 749.686 {390.9081 993,8821 (390,9081 993.882) 12.340.405 (12.584.601) {390.908) 1635.104) Restricted funds Black History Month Period Povety Grant Santsnder Diversity Fund HEFCW- Wellbeing and c05t of living initiatives Cardiff Volunteering DWP- Access lo work grant 15131 11.0201 13.757) 1513) {1.020) {3,757} 49,000 149,000) {890} {8901 53.095 59.275) 6,180 TOTAL FUNDS 12,393,500 12.643.876) 390.908) Page 32
CARDIFF UNIVERSITY STUDENTS, UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 JULY 2024 23. MOVEMENT IN FUNDS - Group Designated funds Pension SerVe In 2018 the trustees decided to designale the pension liability held in Cardiff Union Services Limited. Fixed assetfund In 2018 the twslees decSded lo designate the net book value of the group's fed assets. Restricted funds Black Hlstory Month Funding of £1,000 was received via Cardiff University In the year towards Black History Month. Thls fijnding was fully spent in the year. Waste & Recycling project Funding of £8,500 was recetved from Cardiff University in 2018 towards Initiatives for waste and recycling. The remaining part of this funding was fully spent in the year. Perlod Poverty Grant Funding of £15,000 was received during 2020 from Higher Education Funding Council of Wales. via Cardiff University, towards the period povety project. Spend has continued on this project during the year. Cardiff Unlverslty - project grants Grant funding of £270.000 was received from Cardiff University towards the cost of a second passenger lift installation. Cardiff University- EnTiching Student Life Awards Contribution Grant funding of £5.000 was received towards the cost of the Enriching Student Life Awards event. This funding was fully spent in the year. HEFCW- Wellbeing and cost of living initiatives Grant funding of £50.000 (2023.. £49.0001 was ceiVed via Cardiff University from Higher Edu¢ation Funding Council for Wales (HEFCWI for wellbeing and cost of living initiatives. This funding was fully spent in the year. Cardiff Volunteering On 29 July 2022. the Board of Trustees of Cardiff Volunteering. 8 registered charity, took the decision lo dissolve the charity and transfer the remaining assets to its parent, Cardiff University Students, Union. The donation of £29,004 is restricted for continued use in line with the originating charitable objectives of Cardiff Volunteering. Spend against this has contrnued in the year. Prior ear onl Black History Month Funding of £4,300 was received via Cardiff University in 2018-19 towards Black History Month. The final element of this funding of £513 was spent in the 2022-23 finanual year. Santander Diversity fund Funding was reiVed from Santander for this project based around promoting initiatives on diversity and inclusion. Great Hall and front entrance During the 2021-22 financi81 year the trustees agreed to designate an amount of £345.000 to cover the remaining anticipated costs for the Great Hall and fronl entrance proje costs. DWP- A¢¢e$s to work grant A grant of £4.095 was received durlng the comparative year from the Department of Work and Penslons tr) fvnd the Puhase of specialised equipmenl for an employee. Page 33
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 JULY 2024 23. MOVEMENT IN FUNDS- Group Transfers between funds During the year a transfer of £231,152 was made to the general fund from the Second Passenger Llft fund to Teftect spend on capital fixed asset works. Prior year transfers between funds During the prior year the ft)Ilowing transfers were made to the general fund to reflect spend on capital project woths- Cardiff University- Great Hall and fronl entrance £548,459 Cardiff University- 3rd tloor project £15.755 Desi9naled fund~ Great Hall and entrance project £345,000 24. RELATED PARTY DISCLOSURES During the financial year and the previous year. there were no further related party transactions requiring disclosure. 25. ANALYSIS OF GROUP NET ASSETS BEfwEEN FUNDS Restricted funds Unreslricted funds Total Fund balances at 31 July 2024 are represented by: Tangible fixed assets Investments Currenl assets Current liabilities Pension liability 11,813,378 11,813,378 73.563 73,563 4,338.422 4.411.356 12.525,139) {2,525.139) 4.625.233 4,625,233 72,934 Totsl net assets 72,934 9,074,991 9.147.925 Page 34
CARDIFF UNIVERSITY STUDENTS. UNION NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 JULY 2024 26. SUBSIDIARY COMPANY- CARDIFF UNION SERVICES LIMITED During the year the charity owned 1000/0 of the issued ordinary share capital of Cardiff Union Services Limited, a company registered in England and Wales. The subsidiary manages 8 purpose-buill University Union building and plays a valuable and widely recognised role supporting the student experience at Cardiff University. All activities have been consolidated on a line by line basis in the SOFA. A summary of the results of the subsidiary for the year is shown below: Tumover Co$1 of sales 5,807.849 13,048.660} Gross profit Administrative expenses 2,759,189 (5,109,202) 12.350,013) Other operating income 2,052,670 (297.3431 Interest receivable and similar income 12.095 Interest payable other finance costs (146,796) LOSS ON ORDINARY ACTIVITIES BEFORE TAXATION (432.0441 Taxation LOSS FOR THE FINANCIAL YEAR 432.044 The aggregate of the assets. liabilities ond funds was.. Assets Liabilities 12.858,080 (6,739,966) Reserves 6.118.114 Page 35