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2021-03-31-accounts

Company registration No. 07298912 (England & Wales) Charity No. 1137309

North Lancashire Citizens Advice Bureau

Trustees’ Report and Unaudited Financial Statements

For The Year Ended 31 March 2021

citizens Bian Tea Lancashire

© mha MOORE & SMALLEY

NORTH LANCASHIRE CITIZENS ADVICE BUREAU

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CONTENTS

Page
Charity reference and administrative details 1
Trustees’ annual report 2
Independent Examiner’s reporttothetrustees 10
Statement offinancial activities (incorporating the incomeand expenditure
account)		 4
Balance sheet 12
Cash flow statement 13
Notestotheaccounts 14

NORTH LANCASHIRE CITIZENS ADVICE BUREAU

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CHARITY REFERENCE AND ADMINISTRATIVE DETAILS

FOR THE YEAR ENDED 31 MARCH 2021

Registered charity name North Lancashire Citizens Advice Bureau
(known as Citizens Advice North Lancashire)
Charity registration number 1137309
Company registration number 07298912
Registered office Oban House
87-89 Queen Street
Morecambe
Lancashire
LA4 5EN
TheTrustees J Ashworth
P Gardner
S Welberry
D Whitaker
R Tulej
M Smyth
A Hatton-Yeo
D Bunting
C Hanna
C Hartley
R Jones
T Dant
Chief Officer H Greatorex
independent Examiner MHA Moore and Smalley
Chartered Accountants
Priory Close ;
St Mary's Gate
Lancaster
Lancashire
LA11XB

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS REPORT AS REQUIRED BY COMPANY LAW)

FOR THE YEAR ENDED 31 MARCH 2021

The Board of Trustees, who are also directors of the charity for the purposes of the Companies Act, submit their annual report and the unaudited financial statements for the year ending 31 March 2021, which are also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.

The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and 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).

1 Structure

North Lancashire Citizens Advice Bureau (operating as Citizens Advice North Lancashire) was incorporated on 29 June 2010 as a company limited by guarantee. The company registration number is 07298912. The charity is governed by a Memorandum & Articles of Association, dated 01 October 2009. The charity registration number is 1137309.

The administrative details of the charity are set out on page 1 of the accounts including the charity’s principal office. The trustees, who are also the directors for the purpose of company law, and who served during the year were:

J Ashworth P Gardner S Welberry D Whitaker R Tulej M Smyth A Hatton-Yeo D Bunting C Hanna M Chambers (resigned 6 September 2021) C Hartley R Jones (appointed 11 May 2021) T Dant (appointed 13 July 2021)

The number of Trustees is governed by the Articles of Association and is fixed at a maximum of 15. The present establishment is 11.

Members of management & staff and volunteer representatives may be appointed by Trustees to serve on the Board but have no voting rights. Potential Trustee Board members are provided with an information-pack, asked to complete an application form and are interviewed by the Board Chair or Vice Chair & at least one other Trustee, before membership to the Trustee Board is proposed. The prospective Trustee will be invited to visit organisation locations.

An appropriate process of induction will be undertaken governed by the new Trustee's relative experience and knowledge of Citizens Advice activities. The new Trustee will also complete and sign a confidentiality agreement, declaration of interest, a skills assessment and code of conduct. An information assurance online assessment must be completed, and certificate provided. Health and safety policy and equality and diversity policy will be discussed and agreed.

2 Governance and Management

The Charity is governed by its Trustee Board which meets bi-monthly. Certain work is delegated to four subcommittees who also meet bi-monthly, as follows:

a Finance: Is responsible for the proper administration of funds and other financial resources to operate the service. It also includes responsibility for property, IT and telecoms.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS REPORT AS REQUIRED BY COMPANY LAW) FOR THE YEAR ENDED 31 MARCH 2021

Each Group comprises Trustees, management & staff and reports to the Trustee Board who will have final say on decision making. Trustees are responsible for determining key management personnel remuneration.

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Citizens Advice North Lancashire is a member of Citizens Advice, which provides a framework for standards of advice & casework management, governance, financial and operational and risk management, business planning, partnership and research and campaigns as well as monitoring performance against these standards ~ and to which the Organisation pays an annual affiliation fee.

Operating policies are independently determined by the Trustees of Citizens Advice North Lancashire in order to fulfil its charitable objects and to comply with the national Citizens Advice membership rules.

The charity also co-operates & liaises with a number of other charitable bodies & statutory agencies on behalf of clients. Where one of the Trustees holds the position of trustee/director of another charity they are required to declare it, may take part in discussions regarding that other charity, but not in the ultimate decision-making process.

The Trustee Board is sensitive to potential risks to which the charity may be exposed. Each sub-Group is charged with putting in place processes & systems to mitigate those risks and the Trustee Board will regularly review appropriate risk management arrangements.

The most significant risks to funding relate to the delivery of Commissioned Service with Lancaster City Council and to the compliant delivery of Legal Aid Agency and Money Advice Service contracts. The organisation has a management structure in place to provide the internal capacity to monitor service performance & compliance with contractual terms and to take appropriate steps to maintain acceptable standards.

There are also inherent risks associated with the management of confidential client data. New IT hardware & software systems have been acquired, implemented, and integrated at both main office locations. The organisation has implemented a new management information and client case-handling system, with enhanced procedures for accessing & handling client and management data. All staff, volunteers and trustees are required to complete the relevant training modules in Information Assurance/GDPR and renew their certificates annually. To maintain operational integrity, day-to-day operating procedures, practices, protocols & documentation, have been standardised and harmonised across all sites. The organisation conforms with the Citizens Advice National Membership Scheme, as well as the Advice Quality Standard and the Specialist Quality Mark Scheme (for those with LAA Housing Contracts). In June 2020, the organisation passed the Specialist Quality Mark with no recommendations it will be due for renewal in June 2023.

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The organisation achieved the highest rating under Citizens Advice Leadership and Management audit in 2020. The organisation is audited on quality of advice delivered and consistently achieves the highest RAYG rating. There is a Business Plan, with a comprehensive risk analysis, that is regularly reviewed by the Trustee Board.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS REPORT AS REQUIRED BY COMPANY LAW)

FOR THE YEAR ENDED 31 MARCH 2021

3 Objectives and activities

The charity's objectives are to promote any charitable purpose for the benefit of the community in North Lancashire, by the advancement of education, the protection & preservation of health and the relief of poverty, sickness & distress.

To further this purpose, the organisation has offices in Morecambe and Lancaster and in a number of out-reach locations for the provision of advice & guidance to people faced with problems in relation to social welfare law.

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The aims of the Citizens Advice North Lancashire service are:

Citizens Advice North Lancashire is a member of ‘Citizens Advice’, a network of independent UK charities that helps people resolve their debt, welfare benefits, housing, employment, legal & other problems, by providing information & advice and by influencing policymakers. It works entirely in the public interest.

The advice provided by the Citizens Advice North Lancashire service is free, independent, confidential & impartial, available to everyone, regardless of race, gender, disability, sexual orientation, religion, age, or nationality.

The environment in which the organisation has operated during 2020/21 has included some major challenges & changes in circumstances that have governed the way in which organisation services can operate and plan for the future, including:

The most significant risks to funding relate to the delivery of Commissioned Service with Lancaster City Council and Money Advice Service contracts, the compliant delivery of Legal Aid Agency contacts and continued security of funding of these contracts. The organisation has a management structure in place to provide the internal capacity to monitor service performance & compliance with contractual terms and to take appropriate steps to maintain acceptable standards. It also monitors the security of funding streams in the light of national changes in funding policy.

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During the year, Trustees have addressed these challenges through a review of the organisation's 3-year strategic plan and the identification of a range of objectives in the key areas of performance management, personnel management and development/funding opportunities. Essential elements of the initial phases of the revised strategy were intended to create the conditions appropriate for consolidating & then developing the range & scope of client services, including:

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Throughout this strategic review, considerable efforts were made to keep paid-staff, volunteers and external funding bodies informed & involved in the process of change.

Throughout the year, the charity receives the help & support of many volunteers who assist in advising clients and in the administration of the charity, through the following roles:

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The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

The main activities of the organisation are to provide a generalist information & advice service, with assistance, advocacy & representation across a wide range of issues. This core activity is funded by Lancaster City Council through grant funding. This core fund is invaluable providing the firm base for all other funded activities. The Money Advice and Pensions Service funds caseworkers to provide specialist debt advice. The Legal Aid Agency (LAA) funds a caseworker and two housing solicitors to provide specialist services in housing (with a limited amount of debt advice) up to & including legal representation at the County Court across the Lancaster District, Blackpool and Preston. This works also takes place in our Citizens Advice partner agencies at Citizens Advice West Lancashire Citizens Advice Blackpool. The quality of all services provided is subject to audit & approval by the Legal Services Commission through Specialist Quality Mark (renewed in June 2020 for 3 years). Contract and governance audits also by LAA and Citizens Advice take place annually, as part of its membership scheme and Money Advice and Pensions Service peer review scheme and Debt Advice Peer Assessment (DAPA) undertaken by Recognising Excellence. Supervisors check cases for quality and completeness daily and these are assessed by Citizens Advice every 3 months to ensure high quality of advice.

Access to these services was, prior to the pandemic through face to face drop in, telephone, emai! and through appointments at the Organisation's main offices at 87-89 Queen Street, Morecambe and 87 King Street, Lancaster. Access throughout the pandemic was via telephone, video call, email, letter, and community/home visits for the most vulnerable.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS REPORT AS REQUIRED BY COMPANY LAW) FOR THE YEAR ENDED 31 MARCH 2021

3 Objectives and activities (continued)

The core service funded by Lancaster City Council is key to the need to reach out to those not using the service and to address the demand for advice during this time of change. The Lancaster City Council funding underpins all our work including all other funded projects. The majority of clients we see are as a result of this core funding. Lancaster City Council provides the resources to enable volunteer training, supervision, and support. It also provides the funds for our rented Lancaster accommodation and the face to face, email, and telephone access to advice in Lancaster and Morecambe that allows easy access for clients.

Face to face work was halted at the end of March 2020 as the Covid-19 lock-down started. The team moved overnight to telephone delivery, suspending face to face services. These changes will continue into the new financial year. With a determination to provide face to face work with clients again once it is safe to do so.

Our new Community Fund Project - Advice Matters developed what we jearned with our Healthy Finances project and allows us to take advice out to the community in partner organisations, home visits and GP surgeries. This Is a three-year grant from the Community Fund providing advice and support through a strength-based model which aims to work with clients to address advice issues then to build personal resilience and promote wellbeing and community engagement for those previously excluded.

The organisation received funding to provide an IT hub accessible to clients to have supervised access to computers for completing online applications, job searches, conduct of personal business etc. rather than have to wait for an appointment with an adviser. This opened in April 2019. and has been funded since then by an anonymous doner and in 2021 we will fund this from savings we have made due to the pandemic.

Two thirds of debt advice is also provided via a drop-in service that increases client throughput; The Money Matters session takes place in Morecambe every Wednesday all day. This helps caseworker workload and project targets, reduces the numbers of people who don't attend appointments, limits waiting times for clients and upskills our volunteer team who is led by a specialist debt caseworker (this changed to telephone and video link as the Covid19 pandemic hit us at the end of March 2020).

Working in partnership with Lancaster City Council we placed a worker in Customer services in both Town Halls and this service has been well used and well received and has consolidated our partnership. During the Covid pandemic this worked has continued to develop through direct access to our funded adviser for the City Council teams.

We entered into partnership with Greater Manchester Law Centre to provide a region wide pilot to enable people with employment problems to access to employment law help to Litigants in Person (those who are expected to deal with the complexities of employment law and employment tribunals with no formal representation) and navigation/signposting to other areas of advice across the region. This will be further developed in 2021. Funded as an 18-month pilot by the Access to Justice foundation, the aim is to obtain further support to continue this work.

The organisation has, as its twin aim advice and research and campaigns. Our Research and Campaigns work highlights policies and practices that unfairly impact upon our clients. Using anonymous feedback of client problems to Citizens Advice central office, it is used lobbying Parliament for change, to inform new and to amend existing legislation. The organisation also uses client experience to inform local networks of policymakers. The Chief Officer meets with both local MPs on a regular basis and discussions with Lancaster City Council led to an implementation of a kinder and more understanding Council Tax arrears Collection protocol and to work more closely in partnership on our shared aims. We play and active part in our regional Research and Campaigns team.

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A more detailed account of the Organisation's research and campaign activities can be found in our annual Research and Campaigns plan.

The Trustees of Citizens Advice North Lancashire believe they have complied with the duty in Section 4 of the Charities Act 2006, to have due regard to the public benefit guidance published by the Charity Commission. The Trustees have also confirmed that the major risks to the charity are regularly reviewed, and systems and procedures are in place to mitigate those risks.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS REPORT AS REQUIRED BY COMPANY LAW) FOR0THE YEAR ENDED 31 MARCH 2024

4Achievements and performance The main performance and achievements during the year were as follows:

5 Financial review

Total income for the year was £776,919 (2020: £616,808), of which, £318,545 (2020: £173,007) related to projectspecific activities. A surplus was generated in the year of £129,221 (2020: Surplus £57,419).

The Trustee Board has agreed an unrestricted reserves policy equal to 3 months operating costs which would enable the Charity to maintain a sufficient level of reserves to enable funding of its normal programme of services to clients on a steady-state basis. This would also facilitate an orderly wind-down process in the event such was required.

The Trustees have considered the risks in respect of normal operating expenditure, redundancy costs, and restricted and unrestricted income. Citizens Advice North Lancashire enjoys resilient income streams from multiple, reliable sources and the Trustees believe that the policy of 3 months running costs is sufficient.

At 31st March 2021, unrestricted reserves stood at £279,243 (2020: £237,431) and restricted reserves were £123,301 (2020: £35,892). The Trustees will continue to strive to manage the Organisation's finances so that an adequate level of reserves can be maintained, in compliance with the reserves policy. Total free reserves after deduction of fixed assets are £238,207 (2020: £183,298), and £229,486 (2020: £165,484) after the deduction of designated funds. At 318! March 2021 the charity had a designated fund which consist of amounts set aside by the Trustees for specifically for investment in IT (£8,721).

The Trustees wish to acknowledge Lancaster City Council's support for the generalist advice work of the charity.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

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TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS REPORT AS REQUIRED BY COMPANY LAW) FOR THE YEAR ENDED 31 MARCH 2024

5 Financlal review (continued)

Other specific funding was received from:

As required in its Memorandum, paragraph 4.15, in furtherance of its objects and for no other purposes, the Company has the power to invest or deposit the monies of the Company not immediately required for its purposes in or upon such investments securities or property as may be thought fit, subject nevertheless to such conditions & such consents as may for the time being, be imposed or required by law. Accordingly, such monies are held in higher bearing, but relatively risk-free, charity accounts

6 Plans for the future

Citizens Advice North Lancashire intends to continue the activities outlined above, subject to continued funding and to be proactive at taking opportunities for income generation opportunities.

The Trustee Board will continue to review its own internal operating policies, practices & expenses, in order to optimise the range & scope of client services. This will include the consideration of the means & available hours for client access, publicity & promotion of the work of the charity and the potential for securing new sources of funding for new services. Developing the new ways of working via telephone and community delivery services we started in March when Covid-19 pandemic sent us into lockdown. Recruitment & training of Volunteers will remain a priority, with new roles identified to meet client need, together with continued training & personal development, where appropriate, of paid and unpaid staff.

Further opportunities will be sought for funding and developing collaborative arrangements to serve the local community, through loca! government departments and with other charitable & support agencies.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS REPORT AS REQUIRED BY COMPANY LAW) FOR THE YEAR ENDED 31 MARCH 2024

7 Statement of Trustees’ responsibilities

The trustees (who are also the directors for the purposes of company law) are responsible for preparing the Trustees Annual Report and the financial statements in accordance with applicable law and regulations. The trustees have taken advantage of the smail companies’ exemption in the Companies Act 2006.

Company Jaw requires the trustees to prepare financial statements for each financial year. Under that law the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable jaw). Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charity and the income and expenditure of the charity for that period.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

On behalf of the board of trustees (who are also directors under company law)

De Atlan theth.- “Lee Wie Dr. Alan Hatton Yeo - MBE Chair of Trustees

Dated: 3e\e la

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF NORTH LANCASHIRE CITIZENS ADVICE BUREAU

FOR THE YEAR ENDED 31 MARCH 2021

| report on the accounts of the charitable company for the year ended 31 March 2021 which are set out on pages 11 to 24.

Responsibilities and basis of report

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

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

Independent examiner's statement

Since the charitable company’s income exceeded £250,000 your examiner must be a member of a body listed in Section 145 of the 2011 Act. | confirm that | am qualified to undertake the examination because | am a member of the Association of Certified Chartered Accountants, which is one of the listed bodies.

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

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

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities.

| have no concerns and have come across no other maiters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Richard Hall FCCA MHA Moore and Smalley Chartered Accountants Priory Close St Mary’s Gate Lancaster LA1 1XB

1 December 2021

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

STATEMENT OF FINANCIAL ACTIVITIES

(INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2021

Total Total
Unrestricted Restricted funds funds
funds funds 2021 2020
£ £ £ £
Income from:
Donations and legacies
Charitable activities
Trading activities		 3
4
5		 9,095
420,188
2,131		 -
318,545
-		 9,095
738,733
2,131		 8,533
599,697
2,369
Investments 6 619 - 619 889
Other income 7 9,838 16,503 26,341 5,320
Total 441,871 335,048 776,919 616,808
Charitable activities 8 400,059 247,639 647,698 559,389
Total 400,059 247,639 647,698 559, 389
Net Income/(expenditure) 41,812 87,409 129,221 57,419
Transfers between funds - - - -
Net movement In funds 41,812 87,409 129,221 57,419
Reconcillation of funds:
Total funds brought forward 237,431 35,892 273,323 215,904
Totalfundscarrledforward 18 279,243 123,301 402,544 273,323

The Statement of Financial Activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.

All of the above amounts relate to continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

The notes on pages 14 to 24 form part of these financial statements.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

BALANCE SHEET

AS AT 31 MARCH 2021

2021 2020
£ £ £ £
Fixed assets
Tangible assets 12 41,036 54,133
Current assets
Debtors 13 28,240 17,598
Cashatbankand inhand — 390,755 —_— 315,223
418,995 332,821
Creditors: amounts falling due within
one year 14 (57,487) (105,373)
Net current assets 361,508 227,448
Total assets lesscurrent liabilities 402,544 281,581
Provisions for liabilities 15 - (8,258)
Netassets 402,544 273,323
Funds:
Unrestricted funds 279,243 237,431
Restricted income funds 123,301 35,892
Totalfunds 18 402,544 273,323

For the year ended 31 March 2021 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Trustees‘ responsibilities:

The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and the trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

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These accounts were approved by the members of the committee and authorised for issue on the 30fi" /a and are signed on their behalf by:

Be Moe. slew ter MRE Dr. Alan Hatton Yeo- MBE Chair of Trustees Company Registration Number: 07298912

The notes on pages 14 to 24 form part of these financial statements.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

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CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 MARCH 2021

2021 2020
Total Total
£
£
Cash generated in operating activities 76,151 131,058
Cashflowsfrom investing activities
Investment income (619) (889)
Cash provided by investing activities 75,532 130,169 :
Increase in cash and cash equivalents
in the year 75,532 130,169
Cash and cash equivalents b/fwd 315,223 185,054
Cash and cash equivalents c/fwd 390,755 315,223
Reconciliation of netmovement in funds to net cashflow from operating activities
Net movement in funds 129,221 57,419
Investment income received 619 889
Depreciation 13,097 13,097
(Increase)/Decrease in debtors (10,642) (7,170)
Increase/(Decrease) in creditors (47,886) 66,823
Increase/(Decrease) in provisions (8,258) -
Net cash generated In operating
activities 76,151 131,058
Components ofcash and cash equivalents
Cash at bank and in hand 390,755 315,223
390,755 315,223

The notes on pages 14 to 24 form part of these financial statements.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

Legal form

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The charity constitutes a limited company, limited by guarantee as defined by the Companies Act 2006, incorporated in England and Wales. The address of the charity, the nature of its operations and its principal activities are all detailed in the Trustees’ report and charity administrative details pages in these financial statements.

Basis of accounting

The charity constitutes a public benefit entity as defined by FRS102. The financial statements have been prepared in accordance with the accounting policies set out in note to the accounts and comply with the charity’s governing document, the Charities Act 2011 and 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).

The financial statements have been prepared on a going concern basis under the historical cost convention. The financial statements are prepared in sterling which is the functional currency of the charity.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

Preparation of the accounts on a going concern basis

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During the year and before the approval of the accounts, there has been an escalation of measures taken within society to combat the COVID-19 pandemic. The trustees consider the charity to have a sufficient level of working capital to see it through the upcoming months and there is reasonable expectation that the charity has adequate resources to continue operations for the foreseeable future. Accordingly, the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

Taxation

The charity is recognised by the Inland Revenue as a UK Charity and is entitled to exemptions from corporation tax.

Income

Donations are included as they are receivable by the charity, except insofar as they are incapable of financial measurement.

Grants received to finance the activities of the bureau are credited to the SOFA in the period to which they relate. Grants received in advance of the period in which the funder requires the expenditure to be applied will be reflected in deferred income within the balance sheet.

No income is shown net of expenditure.

Expenditure

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required, and the amount of the obligation can be measured reliably.

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Irrecoverable VAT is charged as a cost in “other costs” within charitable activities expenditure.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

NOTES TO THE ACCOUNTS

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FOR THE YEAR ENDED 31 MARCH 2021

  1. Accounting policies (continued)

Support costs are those which assist the work of the charity but do not directly represent charitable activities and include office costs and governance costs. They are incurred directly to support the objectives of the charity. Where costs cannot be directly attributed to a particular heading, they have been allocated on a basis consistent with the use of the resources.

Tangible fixed assets

Tangible fixed assets other than freehald jand are stated at cost less depreciation. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life: Freehold buildings - 4% straight line on original cost value Equipment - 25% straight line on original cost value Fixtures and fittings - 25% straight line on original cost value

Freehold land is not depreciated.

Debtors and creditors

Debtors and creditors with no stated interest rate and receivable and payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.

Cash and cash equivalents

Cash represents cash held on cail at banks and cash held in hand.

Pensions

The charity operates a defined contribution pension scheme for all of its employees. Contributions paid are charged to the SOFA in the period to which they relate.

Accumulated funds

Unrestricted funds - these are available for use at the discretion of the trustees in furtherance of the general activities of the charity

Restricted funds - these are subjected to restrictions on their expenditure imposed by the donor. The restricted fixed asset fund represents assets purchased from specific grants and funds future depreciation of those assets.

Designated funds - these are allocated out of unrestricted funds by the trustees for specific purposes. The use of such funds is at the trustees’ discretion.

Financial instruments

The Charity 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 but does not currently hold any instruments that are classified as “other” in these financial statements. Financial instruments are recognised in the Charity's balance sheet when the Charity becomes party to contractual provisions of the instrument.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method. Financial assets classified as receivable within one year are not amortised.

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NORTH LANCASHIRE CITIZENS ADVICE BUREAU

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies (continued)

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting end date. Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. The impairment loss is recognised in the statement of financial activities.

De-recognition of financial assets

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Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity.

Classification of financial liabilities

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Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into.

Basic financial liabilities

Basic financial liabilities, including creditors, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

2 Judgements and key sources of estimation uncertainty

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

There have been no significant judgements, except for those involving estimates, made in the process of applying the above accounting policies.

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.

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NOTES TO THE ACCOUNTS (CONTINUED)

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FOR THE YEAR ENDED 31 MARCH 2021

3 Income from donations and legacies

Income from donations and legacies
Unrestricted Restricted Total Total
funds funds 2021 2020
£
£
£
£
Donations and gifts 9,095 - 9,095 8,533
9,095 - 9,095 8,533
All income from donations and legacies in the comparative yearwas unrestricted.
Income from charitableactivities
Unrestricted Restricted Total Total
funds funds 2021 2020
£ £ £ £
Legal Aid Agency 151,430 - 151,430 222,242
Lancaster City Council 208,008 - 208,008 201,100
Face to Face Debt Advice - 95,626 95,626 81,901
The Henry Smith Charity - 59,500 59,500 60,500
Big Lottery Community Fund ” 130,757 130,757 -
Community Justice Fund 55,750 - 55,750 -
CitAd Remote 5,000 - 5,000 -
Citizens Advice “Help to Claim" - 32,662 32,662 30,161
Energy Best - - - 3,495
Other general advice . - - 298
420,188 318,545 738,733 599,697
Income from charitable activities included £172,562 in restricted funds and £427,135 in unrestricted
funds in the prioryear.
Income from trading activities
Unrestricted Restricted Total Total
funds funds 2021 2020
£ £ £ £
Fundraising - - - 275
Gift Aid 2,131 - 2,131 2,094
2,131 - 2,131 2,369

All income from donations and legacies in the comparative year was unrestricted.

4 Income from charitable activities

Income from charitable activities included £172,562 in restricted funds and £427,135 in unrestricted funds in the prior year.

5 Income from trading activities

:

All income from trading activities in the comparative year was unrestricted.

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NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

6 Income from investments

Unrestricted Restricted Total Total
funds funds 2021 2020
£ £ £ £
Interest receivable 619 - 619 889
619 - 619 889

All income from investments was unrestricted in the prior year.

Unrestricted Restricted Total Total
funds funds 2021 2020
£ £ £ £
Other income 9,838 16,503 26,341 5,320
9,838 16,503 26,341 §,320

Other income included £445 in restricted funds and £4,875 in unrestricted funds in the prior year.

8 Costs of charitable activities

Activities
directly
undertaken Total Total
Activity {advice & 2021 2020
support)
£ £ £
Staffcosts 449,519 449,519 382,301
Other staffand volunteer costs 1,075 1,075 9,378
Office costs 37,102 37,102 793
Premises costs 4,112 4,112 3,670
Othercosts 5,445 5,445 11,487
Disbursements 1,113 1,113 1,151
Depreciation 9,093 9,093 9,093
Support Costs (note 9) 140,239 140,239 141,516
647,698 647,698 559,389

Of the expenditure above, £247,639 (2020: £169,148) related to restricted income funds, and £400,059 (2020: £390,241) related to unrestricted income funds.

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NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

9 Support costs
Total Total
2021 2020
£ £
Office support costs 42,822 38,684
Premises costs 35,928 45,490
Othercosts 48 2,986
Legal costs
Support staff costs		 656
58,385		 2,257
49,627
Independent examination 2,400 2,400
Trustees expenses - 72
140,239 141,516
10 Net income/(expenditure) ,
2021 2020
Net income/expenditure is stated after charging/(crediting): £ £
Depreciation 13,097 13,097
Independent examiners remuneration:
- independent examination fee 2,520 2,400
11. Analysis of staffcosts, trustee remuneration and expenses and the cost of key management
personnel
personnel
2021 2020
£ £
Wages and salaries 470,082 396,959
Social security costs 28,616 27,573
Other pension costs 9,206 7,396
507,904 431,928

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NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

  1. Analysis of staff costs, trustee remuneration and expenses and the cost of key management personnel (continued) Particulars of employees: The average number of employees during the year was as follows:
2021 2020
No No
Number of staff (full-time equivalents) 22 20

We are required by statute to disclose any employees remunerated more than £60,000 in the year. No such salaries were paid in either the current or prior year.

The charity trustees were not paid and did not receive any other benefits from employment with the charity in the year (2020: Enil). Travelling and other reimbursed expenses amounting to Enil (2020: £72) were paid to one trustee during the year.

Key management personnel at the charity received aggregate remuneration in the year of £40,749 (2020: £39,359) which includes social security costs and pension contributions.

12 Tangible fixed assets

Tangible fixed assets
Land and Equipment Fixtures &
buildings fittings Totals
£ £ £ £
Cost
At 1 April 2020 71,984 61,391 10,867 144,242
Additions - - - -
Disposals - - - -
At 31 March 2021 71,984 61,391 10,867 144,242
Depreciation
At 1 April 2020 36,036 43,206 10,867 90,109
Charge for the year 4,004 9,093 ~ 13,097
Eliminated on disposals - ~ - -
At 31 March 2021 40,040 52,299 10,867 103,206
Net book value
At 31 March 2021 31,944 9,092 - 41,036
At1April2020 35,948 18,185 - 54,133

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NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

13 Debtors: Amounts falling due within one year

14

Debtors: Amounts falling due within one year
2021 2020
£ £
Other debtors 26,677 16,129
VAT repayable 1,411 -
Prepayments 152 1,469
28,240 17,598
Creditors: Amounts falling duewithin oneyear
2021 2020
£ £
Trade creditors 17,376 13,004
Taxes and social security costs 7,945 15,839
Other creditors 6,057 63,325
Accruals 26,109 13,205
57,487 105,373

15 Provisions for liabilities

No provisions have been included in the financial statements. Included within the prior year financial statements was a provision of £8,258 for potentially repayable legal aid income.

16 Pension costs

The charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in independently administered funds. The pension cost charge represents contributions payable by the charity to the fund.

2021 2020
£ £
Contributions payable by the charity for the year 9,206 7,396
9,206 7,396

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NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

17 Commitments under operating leases

As at 31 March 2021 the charity was committed to making the following payments under noncancellable operating leases:

2021 2020
Other Other
items items
£ £
Within 7 year 4,248 4,248
Within 2 to 5 years 3,540 7,788
After more than 5 years - 7
7,788 12,036
18 Analysisofcharitablefunds: currentyear
At1 At 31
April March
2020 Income Expenditure Transfers 2021
£ £ £ £ £
Unrestricted funds
General fund 219,647 441,871 (400,059) 9,093 270,522
Designated funds 17,814 - - (9,093) 8,721
237,431 441,871 (400,059) - 279,243
Restricted funds
Face to Face - 95,626 (84,541) - 11,085
Community Fund - 130,757 (81,608) - 49,149
LIP Access to Justice
Foundation		 - 16,503 (6,262) - 40,241
Help to Claim 7,676 32,662 (27,828) - 12,510
The Henry Smith Charity 28,216 59,500 (47,400) - 40,316
35,892 335,048 (247,639) - 123,301
Totalfunds 273,323 776,919 (647,698) - 402,544

Restricted funds are analysed as follows:

Face to face debt advice — a restricted fund for the provision of debt advice to the local community.

Community Fund — National Lottery funding to adapt, extend and expand the work of Citizens Advice North Lancashire in community settings that reach the most vulnerable members of the communities we serve.

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NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

18 Analysis of charitable funds: current year (continued)

Lip Access to Justice foundation — grant funding to improve access to justice for the most vulnerable in society.

Help to Claim ~ funding rolled out by National Citizens Advice to set up and deliver support to clients with Universal Credit claims

The Henry Smith Charity — grant funding to provide specialist advice on Welfare Beneiits.

Designated Funds:

Designated funds consist of amounts set aside by the Trustees to undertake specific projects. The charity has a designated fund for investment in IT (£8,721) which is being released to match the depreciation charge of these assets. The charity also had a designated fund for telephone advice services which was fully spent in the period.

19 Analysis of charitable funds: prior year

At1 At 31
April March
2019 Income Expenditure Transfers 2020
£ £ £ £ £
Unrestricted funds
General fund 136,110 443,801 (390,241) 29,947 219,617
Designated funds 35,135 - - (17,321) 17,814
171,245 443,801 (390,241) 12,626 237,431
Restricted funds
Face to Face - 81,901 (71,305) (10,596) -
Comic Relief 26,839 - (25,420) (1,419) -
The Galbraith Trust 14,132 - (13,521) (611) -
Help to Claim 3,688 30,606 (26,618) - 7,676
The Henry Smith Charity - 60,500 (32,284) - 28,216
44,659 173,007 (169,148) (12,626) 35,892
Totalfunds 215,904 616,808 (559,389) “ 273,323

Details of funds still in place are included in note 18 of the financial statements. Details on fund transfers are included in note 23.

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NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

20 Analysis of net assets by funds: current year

Analysis of net assets by funds: current year
Unrestricted Restricted Total
Funds Funds
£ £ £
Fund balances at 31 March 2021 are represented by:
Tangible fixed assets 41,036 - 41,036
Current assets 295,694 123,301 418,995
Creditors: amounts falling due within one year (57,487) - (57,487)
Provisions for liabilities - - -
279,243 423,301 402,544
Analysis of net assets by funds: prior year
Unrestricted Restricted Total
Funds Funds
£ £ £
Fund balances at 31 March 2020 are represented by:
Tangible fixed assets 54,133 - 54,133
Current assets 296,929 35,892 332,821
Creditors: amounts falling due within one year (105,373) - (105,373)
Provisions for liabilities (8,258) - (8,258)
300,176 35,892 273,323

21 Analysis of net assets by funds: prior year

22 Related party transactions

There are no related party transactions that require disclosure in the current or prior period beyond the Trustee expenses detailed in note 11.

There is no ultimate controlling party in the current or prior period.

23 Fund transfers

During the prior year the restricted fund balances for Face-to-Face debt advice, Comic Relief, and The Galbraith Trust were reclassified as unrestricted as the projects were completed during the year and such funds are available for general use. No fund transfers occurred from restricted funds in the current year.

24 Company limlted by guarantee

:

:

Every member guarantees, in the event of the charitable company being wound up, while he, she or it remains a member, or within 12 months of he, she or it ceasing to be a member, to contribute £1 towards the costs of dissolution and the liabilities incurred by the charity while the contributor was a member.

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