THE WORK FOUNDATION PAR T OF LA14CAS7ER VMItrE451-.¥ The Work Foundation Alliance Limited Aiinual Report and Financi¥l Siaiements For the l'ear ended 31 Juh. 21121 Charih" number: 1146813 Compani" number." 07746776
The Work Foundation Alliance Limited Annual Report and Findncial statemcnls for the Year Ended 31 Julv 2021 Contents Page l. Legal and administrative information 2. Annual report of the Irustees 2.1 Struclure. governance and managcmeni 2.2 Activities and principal achievements 2.3 Future plans 2.4 Trustees. report of financial results 3. Siatement of tru51ees rL'sponsibililies 4. Indepcndent audiior s report lo ihe members of The Work Foundation Alliance Limiled 5. Sialemenl of Financial Aciivities including) income and expenditure accounl for th¢ year ended 31 July 2021 10 6. Balance sheel as at 31 July 2021 7. Notes lo the financial statements for the year ended 31 July 2021 12- 18
The Work Foundation Alliance Limited Legal AdJninistraii*e incormation harit Charil Com name.. The Work Foundation Alliance Limiied 1Stration number- 114681J. registered in England &. Wales re istTation number.. 07746776. regisiered in England & Wales isiered Office.. Lancaster Universiry Universit). House Bailrigg Lan¢a%ter LAI 4YW Triistees-. Mrs S Randall-Palev Prolessor A Laing (Chair) Mr GP Fielding Com se¢reia Mr G P Fielding an Statuiorv auditor- BDO LLP 2 Sno¥v Hill Qu¢¢nswa>' Birmingham B4 6GA Uniied Kingdom Banke Barclay5 B¢ink Barclays Business Cenire Manchester City Office PO Box357 51 Mosley Strect MANCHESTER M60 2AU al advis Ashurst LLP Bro#dwalk House G5 Appold Sireet London EC2A 2HA Eversheds LLP Eversheds House 70 Great Bridgewater Street Manchester MI.5ES
The Work Foundation Alliance Limited Annual Report of the Trustees The Trustees. who are also Dire¢iors of ihe charilable company for the purposes of the Companies Aci. preseni their annual repon and audited financial staiements for the year ended 31 July 2021. The charity is exempi from preparing a strntegic report under the small companies, exemption. 2.1 Strueiure. Governance M#nagemen¢ Group Strncture The Work Foundation Alliance Limited (TWF) is a charitable company limited by guarantee which ceascd tradingy in April ?021. The a¢iiviLies which underpinned ihe cliaritable purposes are now solely undertaken by Lancaster Universiry. TWF was incorporaied on 19 August ?0 I l and r¢gisiered as a charilv on l O April 201 ? The company ivas e51ablish¢d under a Meinorandum of Association which esiablished the obj¢¢is and powers ofthe ¢hariiable company and 1.% governed under it5 Articles of A550Clation. In the event of thL company being wound up membets are required io Contribute an amount not exceedinb £ l. The Work foundation Alliance Limited commenced irading as TWF on l August 2012 when the trade. aciivilies, certain a55els and liabiliiies of l.andec Limiied Iiradiiig as Tlie Work Foundation) were (ransferred ¢0 Twr rollowinbTr its successful chariiy regisiration. Thc liabiliiies transferred were £294.512. The charity is a wholly owned subsidiary of Lancaster University. The chariiy has three appointed trusiees as delailed in lh¢ legal and administraiive infomiation and ¢omprise of two Lancasier University employees and four exiernally appoinied irusiee5. The trustees ofih¢ company during Ihe year and up to the dale of signing the financial statemenrs were a5 noted on Page 2. The Irusiees are responsible for overseeing and approving all key decisions und¢rtaken with regards to the cl)arity. Remuneration Policy The Trustees of the charity in their role as Trustees did not receive any remunerdtion in the ¢urreni or prior period. Recruitment, appointment and induction of lrnstees Triistee5 were elected based Lipon the skills sei and the deemed contribution thev could rnake to the charity in achi¢vinb> it5 objectives. Th¢ tnjsiees were duly inducted inio the organisation and the role of th¢ trnstee via meelings held ai TWF with other irustees and the company secretary and meetings with the staff of the ¢harity. Trustee m¢¢tings were held ai lea51 once per annum with appmpriai¢ inforniation being diss¢minated to the truslees as and when requir¢d.
The Work Foundation Alliance Limited 2. Annu¥l Report ol tbe Trustees (coDtinued) 2.1 Structur¢, Gol'erDace ManagtmeDI (continuedl. Risks uncertainties and key performanee indicators The trustees. reviewed and assessed ihe major risks of the charity on a regular basis and there were sysiem5 in place to Ix>¢h address and mitigate Ihose risks as ihey arose. These included regular reponing to the board of trustees wilh regards io financial and operaiional issues affecting the business. meeiings beThveen mernbers of the internal management team and regular reporting 10 Lancaster University represeniaiive5 and comminees ivith regards io ihose risks and the charity's p¢rformance against lis key objectives. Objeetlves, Activities and Public Benefit The charitable objectives and aciivilies of TWF are now operaied directly through Lan¢asier University. namely. io SUPFon ihe promotion of ihe indusirv and commerce of rhe UK and worldivide. The outpuis from research are made publicly available, beiiefi¢ing WOTkcrs by improving managemeni and industrial relaiionships. Dlre¢lors' indemnltles As perniilted by the Articles of Asso¢iarion. the directors have the ben¢fii of an indemnity which is a qualifying (hird-parry indemnil). provision as defined bi Se¢iion ?34 ofthe Coinpanies Act 2006. The indemnity was in force throLtghou¢ ihe last financial j'ear aiid is currenilv in force. The compai)y also purchased and maintained ihroughoui ihe financial year Directors and ol¢ers. Liabilily Insurai)ce in respeci of itsell-and lis direciors. Key personnel The charity does not have any managemeni personnel or employees (2020: nill. The operalions of the charity are overseen by the Dire¢iors. 2.2 A¢tii'ities Prin¢ip41 Af biti'emeots During the financial year ?020121 until ihe Charii). ceLs¢d trading in April 20? l. the charitv worked towards achieving ihe objeciives sei in 2016117. Perfomiance against these objeciives is set oui below.. Links with Lancaster Universi The charity continued to 5UPPOrt the work of TWF. wliich operates through Lancaster University Management School. from its Londott base. TWF campaigns to improve the quality of working life through advo¢aiy, research and pra¢ii¢al interveniions. Financial 5UStainabili The charity coniinu¢d io oversee the management of the premises for a tenanL uniil the lease ceased on 24 April 2021.
The Work Foundation Alliance Limited 2. ADnuAI Report of the TTllSt¢es leotttinued) 2.3 Future plans The charity has ceas¢d irading and will be wound up during 2021122. 2.4 Trustee5' Report of Flnancial Review Income for the year ended 31 Julv 2021 was £383.368 with expendI(u of £724.740 resulting in deficit of £341.372. The comparable resulis for the year ended 31 July 2020 were income of £525.209 and expenditure of £679.570 resulting in a deficii ot £154.36]. Jn¢oming Resource5 Other trading activity contributed £383.368 10 income (2020.. £525.209) which comprised of income from venue space hire and ancillary services. Resour¢e$ Expended Expenditure comprises of directly incurred project relaied costs and gener81 overheads. The trusiees received no remunera¢ion {2020'. nil) for acting in their capaciiy as a trustee and have not received any reimbursemeni of ¢xpenses (2020: nil}. A breakdown of expenditure by lype is given in note 2. Rcscrves The charity is ¢iirrently reporting a negative reserves posilion of £3.240.106120*0.. £? 898,934). Takinb fuilire projections inio accouni, the negative reserve position 1% unlikely (o be eliii)inated. However. althoiigh thcsc negative reserv¢s will remain on tl)e ElalancL' Sheei. tlie charily coniinues 10 receive financial support from it5 pareni entity. Lancasier University. Gotng Concern Noie l {A¢¢ounting Poli¢io) The Charity cca5¢d trading in April ?021 and tlie tru51e¢5 do nol consider tl)e Cliarity to a going Coiicern. Accordingly. the financial 51aiemenis have not been prepared on a gioing ¢on¢em basis. No adjiistments were necessarv io the amounis ai which the remainingi assets and liabilities ar¢ included in the financial statements.
The Work Foundation Alliance Limited S¢atemeni ofTrusiees' responsibilities The trustees (who are also directors of The Work Foundation Alliance Limited for the purposes of Cotnpany la) are responsible for preparing the Trusiees. Annual RerM)rt and the financial stateinents in aecordance '1th applicable ta. and Uniied Kingdom Accotsniing Standards (United Kingdom Generally Aecepted Ac¢ounting Prnctice) in¢luding FRSIO? -.The financial reporting siandard applicable in the UK & Republic of Ireland" Company law requires ihe irusiees to prepare financial 51aiemenis for each financial )'ear ivliich gyive a true and fair view of the slate of affairs of ihe charitable company and of ihe incoming regources and applicdtion of resources. including the income and expenditure. of ihe charitable company for thar period. In preparing these financial siaiements. ihe iruslees are required io- select suitable accounting policies and then appl>. them consisientlv: observe the me¢hods and principles in the Charilies SORP.. make judgments and esiiJnaies thai are reasonable and prudeni: slate whether applicable A¢couniing STandards have been followed. subje¢1 To any maierial departures dis¢losed and explained in ihe financial staiements: and prepare the financial staiemenis on the going Concern basis unless li is inappropriate to presume that the ch£lriiable coinpany will ¢oniinue in business. As explained in noie l io the financial siaiements. Ihe trL15tees do noi believe the going concern basis io be appropriate and. in coiisequence. these financial siaiemenis hav¢ noi been prepared on that basisThe iTusiees are responsible for keeping adequate accouniing records that disclose with reasonable accurdcv ai anv lime ihe financial position of the chariiable company and enable them 10 ensure that the financial siaiemenls comply with ihe Companies Act 2006. They are also reswnsible for safeguarding ¢he asseis of the chariiable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregulariiies. The trustees are responsible for the maintenance and integrity of the corporate and financial inforniaiion included on the charitable company's website. Legislation in ihe United Kingdom governing ihe prepardiion and dissemination of financial Siatements may differ from l¢gislation in other jurisdi¢iion5. In so far as ihe trustees are aware: there is no relevant audit inforniaiion of which the charithble company's auditor is unaware; and the irusiee5 have taken all sieps that they oughi to have taken to make ihem5elves aware of any relevant audit inforn)aiion and to establish ihai ihe audiior is a.are ol'that information. Approved by the Board and signed on its behalf by: Mr G P Fielding Company Secretary
INDEPENDEKf AUDITOR'S REPORT TO MEMBERS OF THE WORK FOUNDATION ALL4INCE LIMITED Oplnlon on the flnancial statements In our opinion. the financial 5tatanents: give a tnje and fair view of the state of the Charitable Company's affairs a5 ai 31 July 2021 and of its incoming resources and application of reXrte$ for the year then ended. have been properly prepared in accortjance with United Kingdom Gwerally Accepted Accounting F*actice; and have been prepared in acc¢ydance wth the requlrements of the Companies Act 2006. We have audited the finandal statement5 of The Vlork Foundation Alliance Limited I'the Charitable Company") for the year ended 31 July 2021 which comprise the statement of financial activities, the balance sheet and rteS to the financial statement5, including a Summary of significant accounting policie5. The financial reporting framework that has been applied in their preparation is applicable law and United Kingd(Yn Accounting Standards, inclu¢Jing Financial Reporting Siandard 102 The FirkinciGI Reportins Standard t7pplicoble In the UK arKI Republic ol Irelofftl (United Kingdom Generally Accepted Accounting aCtIce1. Basls for opinlon We conducted cHJr audit in accordance with International Standard5 On Auditing IUKI IISAS IUKII and applicable law. Our responsibiliiies under those standards are further deKribed in the Auditor's responsibilities for the audit of the financial statement5 section of our report. We belleve that the audit evidence we have obtained 15 wfficient and appropriate to provide a basis for our opinion. Independence We rernain Independent of the Charitable Company in accordance with the ethical requirements relevant to our audit of ihe finanoal statements in the UK, including Ihe FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. Empha515 of matter- flnancSal statements prepared on a bas15 Qther than golng concern We draw attention to Note 1 to the financial statements which explains that the directors intend to liquidate the company and therefore do not consider the company to be a going concern. Accordingly the financial statement5 have been prepared on a ba515 Other than that of going concern as described in Note 1. Our opinion is not modified in this respect of this matter. Other Informatlon The Trustees are responsible for the other infomiation. The other information comprises the information included in theAnnual Report, other than the financial statements and our auditor's report thereon. The other information comprises: annual report of the trustees. Our opinion on the financial statements does not cover the other infomiation and, except to the extenl otheTrwse explicitly stated in our report, we do not express any form of a55urance conclusion thereon. Our responsibility is to read the other inforn)ati¢)n and, in doing so, consider whether the other information is materially incon51Stent with the financ7al statements or our knowledge obtained in the audit or otherwse appear5 to be materially mlsstated. If we identify such material inconsistencie5 or apparent material mi5Statements. we are required to determine whether there is a material misstatement in the finanaal statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard. Other Companies Act 2006 reportlng In our opinion, based on the undertaken in the course of the audit: the information given in the Trustees. Report, which includes the Directors. Report and the Strategic report prepared for the purposes of Company Law, for the financial year for which the financial statements are prepared is consistent with the financial statements,. and the Strategic report and the Director5, Report, which are included in the Trustees, Report, has been prepared in accordance wilh applicable legal requirements. In the light of the knowledge and understanding of the Charitable Comparry and Its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Trustee'5 report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if. in our opinion. adequate accounting records have not been kept, or retum5 adequate for our audlt have not been received from branches not visited by LSS,. or the financial statements are nol in agreement with the accounting records and returns,. or certain disclosures of D7rectors' remuneration specified by law are not made,. or we have not received all the infomiaticffl and explanatlcrfls we require for c4Jr audit Responslbllltles of Trustees As explalned more fully in the statement of trustee5' responsibilities, the Trustees (who are a150 the directors of the charilable company for the purp05e5 of company lawl are responsible for the preparation of the financial statements and for being satlsfied that they give a true and fair view, and for such internal control as the Trustees detemiines 15 neSsary to enable the preparati( of financial 5tatement5 that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustee5 are responsible for assessTng the Charitable Company's ability to continue as a going concern, disclosing. as applicable. matters related to going concern and using the going concem basis of accountinq unless the Trustees either intend to liquiéate the Charitable Company or to cease operations, or have no realistic alternative but to do so. Audltor's responslbllltles for the audlt of the flnanclal statements We have been appointed as audit( under the Companies Act and report in accordance with the Act and relevant regulations made or having effert thereunder. Our objectives are to obtain reasonable assurance about whether the financial Statements as a whole are free from material ffli5Statement. whether due to fraud or error, and to issue an auéitor's report that include5 our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS IUKI Y1[ always éetect a Material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individL¢ally or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Extent to which the audit was capable of deterting irregularitie5, including fraLKJ
Irregularities, including fraud, are instances of non-compliance with law5 and regulations. We design procedures in line with our responsibilities, Outlined above, to detect material misstatements in respect of irregularities. including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: As a part of our audit in accordance wth Llnited Kingdom Generally Accepted Accounting Practice; and requirement5 of the Companie5 Act 21KJ6 we exercise professional judgement and maintain professional scepticism throughout the audit. Based on our understanding and accumulated knowledge of the Charity and the sector in which ii operates we considered the risk of acts by the Charity which were contrary to applicable laws and regulations, includlng fraud and whether such actions or non-compliance might have a material effect on the financial statements. These included but were not limited to those Ihat relate to the form and content of the financial statements, such as the Charities SORP 2019, Financial Reporting Stanéard 102 The Financial Reportins Standard opplicable in the UK ond Republic of Irelond Iunited Kingdom Generally Accepted Accounting Practice) the UK Companies Act 2CQ6 and those that relate to the payment of ernployees. All leam members were briefed to ensure they were aware of any relevant regulation5 in relation to their work. We evaluated management's incentlves and opportunities for fraudulent manipulatlon of the financial statements lincludinq the risk of override of controls), and determined that the principal risks were related to Posting inappropriate journal entries, management bias in accounting estimate5 and impr¢Jper revenue recognition associated with year-end cut.off. Our audit procedures included. but were not limited to: Agreement of the flnanclal statement dlsclosures to underlwn8 SUPPQrtlnq documentation; Challenging assumptions and judgements made by managament in their siqnlficant accounting estimates, In particular in relation to recoverability of debtors Revenue year end ctjl-off procedures; Identifying and tesiin8 joumal entrles, in particular any journal entries posted with specific unusual narrative, manual joJrnals to revenue and cash. and review of journa15 posied to least Used accounts: Discussion5 Wlth management,. including consiéeratlon of known or suspected instances of non-compliance wth laws and regulation and fraud. Obtained an understan(Jing of how ihe Charity is complwng with Ihose legal and regulatory frameworks such as Companie5 Act 2Cth & Employment Taxes Act by making enquiries to management and those responsible for legal and compliance procedures. We corroborated our enquiries through our review of board minutes and other evidence gathered during the course of the audlt; Obtaining an understanding of internal control relevant to the audit in order to design audit procedufe5 that are appropriate in the circumstance5, but not for the purpose of expres5in8 an Opini on the effectiveness of the Charity'5 internal control- and Evalualed tthe overall preseniatlon, strvcture and Ctent of the financial statement5, including the disclosures. and whether the financial statements represent the underlying transaction5 and events in a manner that achieve5 fair presentation. Our audit procedures were designed to respond to risks of material misstatement in the financial siatements, recognising thal the risk of not detecting a material misstatement due to fraud is higher than the risk of not deteclin8 one resulting from error, as fraud may involve deliberate concealment by, for example, forgery. misrepresentatior15 or through collusion. There are inherent limitations in the aL7t predureS perfomied and the further removed non- compliance with laws and regulations is from the events and transactions reflected in the financial statements, the le55 likely we are to bec(Kne aware of it. A further de5criptTron of wr responsibilities for the audit of the financial statements is located at the Financial Reporting Council's I"FRC's"I website at- htt s.. //www.frc.or -uklauditorsres sibilities. This description forms part of our auditor's report.
Use of our report Th?s report 15 made solely to the Charitable Company's members. a5 a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2(K]6. Our audit work has been undertaken 50 that we might state to the Charitable C(Mnpany's members those matters we are required to state to them in an auditor's report and foi no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charitable Company and the Charitable Company's members as a body. for our audit work, for this report. or for the opinions we have formed. Oottu$*n•d by.. A11A1e0130tA4AC Kyla Bellingall15enior Statutory Auditor) For and on behalf of BDO LLP. statutory auditor Birmingham 13 April 2022 BDO LLP 15 a limited liability partnership registered in England and Wale5 Iwth registered number OC3051271.
The Work Foundation Alliance Limited Statement of Financial Activities including income and expenditure account for the vear ended 31 Juh. 2011 Totsl Toial 2021 2020 Note Income and eDdowments from: Other irading activities 383,368 383J68 5•5.?09 525.209 Tot41 383.368 5?5 ?09 Expenditure on: RaisinbT fiinds 662.217 667.196 Charitable activiiies (rovernancc cosis 12.374 Tol*l 724,740 679.-570 Net expenditure for th¢ year (341 J72) (154.3611 Net moYem¢nt in funds (341 J72 11.54.361 Reeoncili#lii)n of fun(Is: Unrestriclcd funds balance5 brought fon¥ard at l Au¥usi Unrestri¢ied lunds balan¢¢s caThied forward ai 31 July {2,898,934) (2.744.573) (3.240J06> (2,898.9341 There is no material difference between Ihe Ios5 before taxation and the loss for the financial year slated above and their histori¢Jl cosi equivalenis. 10
The Work Foundation Alliance Limited Balance Sbeet as at 31 Juli 2021 Tot*1 Total Total Toial Note 2021 2021 2020 2020 Current Asse1$ Debtors Cash at bank and in hand Tothl Current Assets 302.989 4,939 307.928 442.491 4.969 447.460 Creditors.. amounts falling due within one year 13.548.234) 1).)37.3141 Net ¢urrent liabilities (3.240.306) (2,889.854) Total 454ets less current liabilities 13.240.306> 11 889.8541 Creditors- amounis falling due after one year (9,080) Net Liabllities (3.240,J06) 12.898.934) The funds ofthe Charitv Unrestricted funds {3,240J06) {2.898.934} Total Charlty deficit (3,240.306) 1? 89fl.9341 These financial siotements on page5 1 O to 18 were approved by the board of directors and were signed on 115 behalf by Mrs S Randall-Paley Trustee Charity number= 1146813 Company number". 07746776
The Work Foundalion Alliance Limited Note5 to the financial statements for the vear ended 31 Jul). 2021 Accounting policies Charity information The Work Foundation Alliance Limited is a ¢hariiable company limiied by guardn¢ee registered in England & Wales. The charitable company 15 a publi¢ bei)efit cntity. The registered office is Lancaster University. Universiiy House. Bailrig& Lancaster. Lan¢ashir¢. LA14YW. Basis of preparntio These financial siatemen15 have been prepared under the hisiorical cosi convention and in accordance witli Accounting and Reporting by Charitie5.' Siaiement of Rccommended Pracli¢¢ applicable to charities preparinbj their accounis in accordanc¢ willi ihc Financial Reporting Standard applicdble in Ihe UK and Republic ot ITeland IFRS I O?) leffe¢iive l January 2019)- Ihe Chariti¢s SORP IFRS102), Charities Act 201 l and the Companies Act 2006. Going Concern The Charity ceased trading in April 2021 and ihe Trustees intend io liquidate the Charity in due ¢OLirse. The Trusiees do noi Consider the Chariiy io be a bioing conceni. Accordinbly. the fii)an¢ial siatLiiienis havL noi been prepared on a going concern basis. No adjusiments were nLc¢ssary to the umollnis ai which ihe r¢mainingT assets and liabilities are included in ihe financial stat¢menis Cash Flow The company is exempt from ihe r¢quiremeni of FRS 102. to prepare a cash flow siaiement. as li is a siibsidiary und¢rtaking? of LancasEer University and its cash flows are included within the con501idated casli Ilow 8ldtcm¢nt ol-tha¢ eniily Financial Instruments TrddL and other debtors are re¢ognised al the seitl¢ment amount due afier anv irade discount off¢red. PrLpayments are valued at the amount Prepaid nei of any Irdde discounts due. Cash ai bank and cash in liand includes cash and short i¢mi highly liquid investmen15 With a short maiurily of three months or less froin the da¢¢ of dcquisilion or opening of ihe dewsit or Similar accounl. Crediiors and provisions are reeogTnised where ihe ¢hariiy has a pr¢5¢ni obligation r¢5uliinb? from a evenl that will probably resuli in ihe (rdnsfer of funds lo a third party aiid ihe noUn1 due to settl¢ the obligation an be measLired or es(imated reliably. Credilor5 and provision5 are nomially recognised ai their 5ettlem¢ni dmount after allowing for any trade dioUntS due. 12
The Work Foundation Alliance Limited Notes io ihe finanLial siatenients for the l'ear ended 31 Jul* 2021 leontinued) Accountin2 ptslRcies IconiiDuedl Related party transactions exemption The COTnpany has taken advantage of ihe exemption under section 33.1 I from ihe provisions of FRS102 on the ground5 Ihar it is a wholly owned subsidiary of a group headed b), Lancaster Universit),. Current t8x#tion Corpordiion ta.x payable is provided on iable profiis at ihe curreni raie. Irrecoverable VAT is charged 10 the income and eXndItUre account as incurred. Turnover Turnover arises from provision of services in the UK. Revenue is OgnISed in line with the provision of services. The method of revenue recogniiion varies according ihe ternis of the individual contrdcts or income stream wilh revenue being recognised when the deliverables are deemed io have been fully mei. These meihods include-. Venue hire- spread equally over ihe hire period. All funds received during the year and the prior year were unrestricted funds and are used to deliver Ihe aims and objectives of the chariiy. Deferred income Income is deterred in the annual financial siaiemenis to the extent that li has been billed in advance of service delivery and entiilemeni io the funds noi due at ihe year end. Slgnificant accounting estimates and judgements Management has nol made an) dc¢ouniing estimaies or judgements that would have a significani effect on the amounts recognised in lh¢ financial siaiements. The Directo di5ciiss accounting estimaies and judgemenis in the contexi of the budgel setting process and during ils periodic revi¢w of ihe accounts ai Board wneetin8S.
The Work Foundation Alliance Limited riotes to the financi1 %tatements for the year ended 31 Jul!. 2021 (continued) Accounting polieies {conlinued) BASIS of allocation of expenditure Direct Costs are allocated in full to th¢ specific departmenl or income stream io iyhich they relate. Centrally incurred expenditure which 15 noi dire¢ily atiribuiable to a specific department or income sireain is allocated to each department pro-rath io ihe siaff number5 lIhIrt Ihe depaninent. DLiring ?0?0121 ihere was no centrdlly incurred expendiiure ihai was not directly attributable io a specitic income siream12020.. £nil). Opcr¥ting leases Rentals payable in re5ptt¢ ol'operating leases are charbed to ihe siaiemeni of financial activilies over lh¢ pLriod of the lease. Lease inc¢niives. such a5 reni-free periods. a allocaled over the term ol-tli¢ lease on a slraighi-line b&sis. The Inanab)emeni of the lease is the responsibility of the Univetsily property service team. Fund accounting Unrestricted fund5 are available io spend on activilies ihai deliver th¢ aims and objectives ol'ilie charily. The charity has noi received any reslricted funds during ihe year and ihe prior year. Curreno. The financial staiements are presenied in £ sierling. 14
The Work Foundation Alliance Limited Notes to the fjnancial stdteni¢nts for the l'ear ended 31 Jul!. 2021 (euntinued) Resources e¥pended Siaff Cos Office Cosis her Costs Total Total 2021 2020 Otl)er Governance Totil 662,217 662.217 667.196 9.988 66?.217 9.988 724,740 679.570 Office Cosis consisi of rent, service charges. business rdres. electriciiy and property insurance. Prior year comparative5 St3tT Cosis Other Cosis Total 2020 Costs Other Governance TotAI 667.196 667,196 12,374 679.$70 1.948 1.948 10.4?6 10.4?6 667.196 Governance co$ts consist of: _ 2021 20?0 Mana¥emeni Cosis Legal and Siaiutory Fe¢$ Support Costs Total 2.535 59,988 1.948 10,416 62.523 Stff costs The charily does noi have any employees (2020: nil). Directo. remuneratitsn The charity does not employ any directors (2020: nil). Administrative expenses include rnanagement charges of £2.535 in respeci of pan lime duties of company directors employed by the University i?020= £1.948). No trustees received remunerdiion or reimbursement of expense5 from the charity during the current or prior year. Interest pa!'#ble and similar chrgt Interest is received or paid on the inier-companv balances held 'Ith its pan¢. Lancaster Universitv. at a rdte of Base Rate plus 0.25Yo. Interest pavabl¢ is included i¥iihin office support costs in Noie 2. 15
The Work Foundation Alliance Limited Notvts to the financial statements for the vear ended 31 Jul!. 2021 Icontinued) Net oulgoinE resources before taxation 2021 2020 Loss IJ stufed llfler chanjiug.. Auditor's remuneration: auditing of the financial statements 7.760 Debtors: amounts f¥lling due wilhim one i'er 2021 2020 Trade debtors Ac¢rued income Amounis owed by Land¢c Limiied * Prepayrnent5 Value Add¢d Tax 22,282 13,805 294,512 100.797 11.095 442.491 294.512 8,477 302.989 The Work Foundation Alliance Limited commenced trading a5 TWF on l Augyusl ?0 l • wlien the Irade, activities, certain ass¢is and liabilities ol-Landec Limited (trading as Tl)e Work Foundalioi)) were Iranslerred to TWTr' lollowinbT its SLiccessful ¢harily regTlStraiion. The liabilities transferred wer¢ £294,512. Creditors: amounts falllngdue wlthln one year 2021 2020 Trade creditor5 Amolinls owed io Lancaster University Accrual% and def¢rr¢d income 6,967 3,523.054 18,212 3.548.234 ?10 3.178.570 158.534 3.337.314 Lancasler University ha5 Confirnied thai it will seek repayment of this amouni for the foreseeable tLItLire. Inierest is paid on the balance al a rate of Base Rate plus 0.2S% per annum. Deferred income inclLide5 venue hire income received in advance of the hire wi. The fund5 re¢¢ived are deterred and released to match the timing of the hi periJ. The moveinents in deferred inconie over the y¢ar were Deferred income balance brought forward New delerrdl in the year Releases from deferred income Deferred income balance Caled forward 80,843 (80,843) 16
The Work Foundation Alliance Limited Notes io the fjnallcial slaremenis for the l'ear ended 31 Jul!. 202 R (continued) Credltors.. amounts falllng due after more than one year Lease Premium in respeci of properry rental 2021 2020 Within orbe year Wiihin two io five years Total 9.080 9,080 The lease premium was being released over a period of10 years. Operalin% lease ¢ommitm¢nls Lessor As The lease ceased on 24 April 2021. Ihe charitv had no commitments under operaiing ILases at ihe year end (2020.. £611.30]). These figures retleci ihe rent review ihai look effect froin Sepiemb¢r ?016. Future minimum le&se payments under non-cancellable operatin¥ leases 2020 ?020 Within one year Within iwo ro five years Total 525.1)00 86.301 611.iOI Le55ee The charity had a subienani at its Palmer Sireei premises uniil the revised end dale of 24 April 2021. Ai the year cnd the charity was Iherefore due no income under operating leas¢12020: £486,351). FuiLITe minimum lease receipts under non-can¢ellable operating leases 2021 20?0 Within one year Within iwo to live years Toial 417,690 68.661 486.3%1 17
The Work Foundation Alliance Limiled Note5 to the financial statements for the )'eor ended 31 Jul1- 2021 (continuedl io. Ultimate p#rent eompan The ultimate pareni undertak'ing and controlling party is Lancasier Universiiy. The principal purpose of Lancaster Universiry 15 the provision of teachhng and research Lancaster Universiiy is the parent undertaking of the largesi and smalle51 group of undertakings to consolidate these financial staiements at 31 July 2021. Th¢ consolidaied financial statements can be obtain¢d trom Lancaster University University House Bdilrigg, Lan¢aster Lan¢ashire LAI 4YW 18