Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F Registered number: 08274430 Charity number: 1151939 THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) CONTENTS Page Reference and Administrative Details of the Company, its Trustees and Advise Trustees. Report Independent Auditors. Report on the Financial Statements 8-12 Statement of Financial Activities Balance Sheet 14 Statement of Cash Flows Notes to the Financial Statements 16-29
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2025 Trustees Gregory Bemian Mark Blake (Resigned 3 March 2025) Courtney Bryan Aubrey Fox Shauneen Lambe Karyn Mccluskey Geraldine O'Hare Gordon Wassemian (Resigned 4 November 2024) Robert Zara Adjoa Abekah-mensah Kevin Sadler Sal Naseem Company registered number 08274430 Charity registered number 1151939 Registered office Unit 321 Edinburgh House 170 Kennington Lane London SE115DP Independent auditors Nyman Libson Paul LLP Chartered Accountants 124 Finchley Road London NW3 5JS Bankers Barclays Bank PLC 81 Fleet Street London EC4Y 1 EL Senior Management Phil Bowen (Director) Vicki Morris (Deputy Director) Patron The Rt Hon. the Lord Falconer of Thoroton Page 1
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) TRUSTEES, REPORT FOR THE YEAR ENDED 31 MARCH 2025 The objects of the charity. defined in our memorandum and articles of associations, are to promote, for the benefit of the public, the efficiency and effectiveness of the Justi system in the United Kingdom. Vision and mission 2024125 was the third and final year of the Centre's three-year strategy, Fair and Effective.. Putting practitioners and the eviden at the heart of Justi refonn. Fair and Effective sets out our vision to build a justice system which every citizen believes is fair and effective. We believe that the justice system should be focused on solving the issues that drive crime and social harm- that it should be fair in how it treats people., that it should be proportionate in the things it does-, and that those on the front line should be given the freedom and support to come up with innovative solutions to the problems their communities fa. To deliver our vision of fairer and more effective justice system, Fair and Effective describes how we work.. provide hands on support to practitioners in the justice system to help them develop and share innovative and effective practice., conduct research into how things work right now and how they could work better, promote eviden-based, innovative justice policy reforms., share lessons beleen the jurisdictions of the UK and with our sister organisation in New York City, the Center for Justi Innovation. Policy and operational context As outlined in our strategic paper, Systems Shift, 'serious recorded crime is rising. Victims wait years for their trials. Our prisons are overcrowded and violent. Our frontline practitioners are exhausted, overworked, and burnt out. The result is a public that feels less safe and is increasingly losing Confiden in the criminal justice system's ability to protect them. At the root of these problems is a system that is overloaded an excessive amount of work surges into a system that has become increasingly fractured and fragile over the past decade.- During 2024125, we saw the election of a new Govemment in July 2025 and an immediate focus on the emergency problems of prisons, probation and court capacity, with also longer-term strategic reviews commissioned into sentencing and into the criminal courts, chaired by Rt Hon. David Gauke and Sir Brian Leveson respectively. In Scotland, a Sentencing and Penal Policy Commission was established in February 2025, along similar lines to the Gauke review. Key achievements in 24125 In Fair and Effective, we highlighted our six areas of focus, which shape our objectives and our programmes of work. We have achieved the following in these areas: Strate olic Throughout the year, the Centre has combined confidential political engagement with public thought leadership. Our strategic policy paper Systems Shrft set out a long-temi vision for the criminal justice system. We produced detailed policy proposals on court refomi, probation, youth justice, and prison pressure reduction, influencing both Opposition parties, pre-election and incoming Ministers post-election. We have strengthened our parliamentary engagement, attending major paty conferences and meeting Ministers, including those responsible for children, families, prisons and probation. Our work has intersected with wider governmental reviews, including the Leveson review of criminal courts and spending settlements with implications for courts, probation, and children's social care. Page 2
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) TRUSTEES, REPORT (CONTINUED FOR THE YEAR ENDED 31 MARCH 2025 Out of court resolutions The Centre's longstanding commitment to promoting effective out of court resolutions {OOCRs) has continued to grow, with an increased emphasis on youth diversion and gender-responsive practice. Over the year, we supported police and youth justice setvices to improve diversion schemes, notsbly through our Youth Justice Partnership funded by the Youth Endowment Fund. The first year saw work with ten youth justice seNice areas to enhance the use of informal and formal OOCRS. with a positive lessons-learned report confirming the Centre as the only national source of expertise in this area. The second year will expand into four police forces to ensure consistency across force areas. We hosted and contributed to national platforms, including the National Police Chiefs, Council event for poli leads across England and Wales. and specialist workshops on diversion for women. Our research and policy engagement have influenced both the Ministry of Justice and the Youth Justice Board, despite uncertainty caused by delays to the new 'lwo-tierf OOCR framework. Court innovation The Centre has consolidated its reputation as a leader in court innovation. We completed training and support for all four new adult criminal problem-solving court pilots (called Intensive Supervision Courts {ISCs)), including the latest Crown Court pilot in Bristol. Interim evaluation feedback is positive, with courts largely targeting those at risk of custody and fostering constructive practitioner-client relationships. The thrust of our Systems Shift paper, which called for changes to which cases come to court, how courts areas structured to deal with them and the use of more technology, has informed the Leveson Reviews first report. In the family justice arena, we trained new "pathfinderf private family law courts designed to better respond to domestic abuse and continued to provide national leadership in supporting Family Drug and Alcohol Courts (FDACS). This included helping establish new FDACS in Liverpool, Northamptonshire, Thames Valley and Teesside, developing business cases in other areas. and convening MPS and Ministers to advocate for national funding. Challenges remain, with closures such as the North East FDAC and financial pressures in local government. Our Highbury Community Advi se1 provided dedicated casework to over 300 clients and navigational support to more than 1,500 others. Smarter sentencin Our research on the use and impact of criminal court fines, especially on people on low incomes, has had national traction, including forming part of new Sentencing Guidelines issued by the Sentencing Council. The first phase highlighted the disproportionate financial and wellbeing impacts of fines, and the second phase- due for publication later in the year will propose targeted refomis, including avoiding fines for those unable to pay and reducing fine use for povety-related OffenS. The Centre helped shape the Independent Sentencing Review, with many of its recommendations aligning with our advocacy, including expanded community sentencing opts-ons, deferred sentencing, and the development of more Intensive Supervision Courts (ISCS). We are now working closely with the Ministry of Justice on the planned roll-out of up to eight new ISCS. including women-specific and youth pilots, positioning the Centre as a likely delivery partner. Page 3
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) TRUSTEES, REPORT (CONTINUED FOR THE YEAR ENDED 31 MARCH 2025 Women in ustice Women's justice has become a more prominent organisational priority, supported by significant new funding. We completed in4epth research on women's experiences of substance use treatment, which confirmed that many mainstream services fail to meet women's needs. The findings are shaping improved commissioning guidan and practice. Our "Transforming Community Justice for Women. project is building a national neOrk of practitioners, commissioners, and policymakers to expand women's problem-solving courts and gender-responsive diversion schemes. We are working with the Ministry of Justice on the development of women-specific ISCS, and in July will publish new evidence and cost-benefit analyses to strengthen the case for expansion. FINANCIAL REVIEW In financial year 2024125, the charity received £1.332,631. The total income represents a 14 /0 increase on the previous year (£1,166,442). In total. we reiVed £872,392 in unrestricted funds and £460,239 in restricted funds. This compares to £852,471 in unrestricted funds and £313.971 in restricted funds we received in 2023124. Of the restricted funds received in 2024125. the funds were used as follows" Funder Aberdeen Financial Fairness Trust Barrow Cadbu Trust Youth Endowment Foundation Hadle Trust Jabbs Foundation Anon mous donors Pur ose Smarter Sentencin Pre-COUrt dis osals Pre-COUrt dis osals Court reform.. Hi hbu Communi Advice Women in ustice" Women and treatment services Common Ground Justice Pro ect Amount £45,000 £33,500 £135,125 £94,500 £94,614 £57,500 £460 239 Court fines and fees In financial year 2024125, the charity spent £1.242,451. The total expenditure represents a 10 % increase on the previous year (£1,125.7421. Going concem The Trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern. After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. In particular, approval of the budget for 25126 by the Board in March 2025 indicated that 90°k of the required expenditure had been secured in income prior to the start of the financial year, with 6 months in free reseNes. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going cOnM basis can be found in the Accounting Policies. Page 4
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) TRUSTEES, REPORT (CONTINUED FOR THE YEAR ENDED 31 MARCH 2025 Risk management The principal risks and uncertainties facing the Centre are.. During 2024125 and looking ahead into 2025126. funding for the Centre's family justice work is insufficient for the demand for our ServIS and our ability to operate in this area has become precarious., Operational challenges that justice agencies are facing, especially the continuing mismatch beeen demand and capacity in significant areas of justi policy and operations, which reduces practitioner time and energy to innovate and change., The potential for divisive and hostile public engagement in our work, stemming from controversy following For Women Scotland Ltd (Appellant) v The Scottish Ministers (Respondent) which could cause negative organisational publicity- The Centre carries significant risk related to its Highbury Community Advi services, specifically risks concerning health and safety and safeguarding risks related to clients of the selv1. To manage these risks, we worked closely with fijnders and others to explore new opportunities for fund raising for our family justice work. We have also ensured that we have maintained links with officials, politicians and advisers and others who have influence over policy formation away from national Government. As respects the operation of our Highbury Community Advi service, we have safeguarding and health and safety policies and procedures in pla and it is subject to regular discussion and review by the Centre's management. Reserves policy The charity aims to maintain free reserves sufficient to cover at least six months, of total future annual expenditure {minus grants). This equates to £560,000 £600,000. Specific permission from the Trustees is required if reserves are likely to fall below this minimum target. At year end, the Charity held fijnds totalling £817,325 (2024.. £727,145), including £245,609 held in restricted funds (2024= £119,512) and £571,717 held in unrestricted funds (2024.. £607,633). The Charity's free reserves (unrestricted funds less fixed assets and commitments) totalled £550,860 (2024.. £585,714) and is in line with the free reserves target. Plans for future periods In financial year 2025126, the charity has confirmed income of £1,295,730, and anticipates spending £1,474,708, of which the biggest expenditure is on staff costs {£964,309 or 65QA of total anticipated expenditure). We have submitted additional applications for funding for 2025126 and plan to submit further applications to close the gap beeen income and expenditure. Recognising the change in Government, and that 2024125 is the last year of our current strategy, the Centre has revised its overall strategy. Our new strategy was published in June 2025. This sets out our key areas of focus, which are.. Out of court resolutions Family justice reform Smarter sentencing Court innovation Women in justice. Page 5
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) TRUSTEES, REPORT (CONTINUED FOR THE YEAR ENDED 31 MARCH 2025 STRUCTURE, MANAGEMENT AND GOVERNANCE Constitution The charity is registered as a charitable company limited by guarantee and was set up by a Trust deed on 30th October 2012. The charity is registered (charity number 1151939). Method of election of Trustees The management of the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Articles of Association. Trustees are identified via open recruitment, including through encouraging applications from within our existing neOrkS. and selection is conducted through formal and informal conversations with the Chair and Director of the charity. Induction of Trustees Induction of Trustees is through conversations with the Director of the charity, the issuance of formal induction materials to the Trustee and their further involvement in the work of the charity. The training of trustees includes the provision of up-t¢idate financial and other information about the charity, the circulation of Charity Commission publications giving guidan on the role of Trustees, informal meetings with the team and the Director, and an annual 'in person, meeting with the Director and other staff. Decision making The business of the Charity is managed by the Trustee Board. The Trustees are responsible for the following decisions.. {1) approval of the annual budget- (li) review of fInans.. (iii) reviewing the performance of the charity against its stated aims and charitable objects. The chair of the Trustee Board is responsible for the remuneration and performance appraisal of the Director, in consultation with the Trustee Board. The chair gathers feedback on the performance of the Director from the team and other stakeholders as part of the Directorfs pefft)miance appraisal. Remuneration of staff Remuneration of all staff is set through the charity's salary policy. We set initial salaries through benchmarking exercises comparing pay scales across the sector. The Centre's pay policy is based on a combination of inflationary and performance-related increases, with the goal of rewarding good performance and team well- being, as far as the Centre's overall financial situation can allow. Risk management The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity. and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks. Public benefit The Trustees are aware of and give due consideration. when setting objectives and planning activities, to the Charity Commission's guidance on public benefiL Page 6
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) TRUSTEES, REPORT (CONTINUED FOR THE YEAR ENDED 31 MARCH 2025 ststement of Trustees. Responsibilities The trustees (who are also directors of The Centre for Justice Innovation UK for the purposes of company law) are responsible for preparing the Trustees, Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charitable company and of the incoming reSoUrS and application of resources, including the income and expenditure. of the charitable company for that period. In preparing these financial statements, the trustees are required to- select suitable accounting policies and then apply them consistently., observe the methods and principles in the Charities SORP., make judgements and estimates that are reasonable and prudent", state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements., prepare the financial statements on the going concem basis unless it is inappropriate to presume that the charitable company will continue in operation. The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the 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. In so far as the trustees are aware.. there is no relevant audit inft)rmation of which the charitable company's auditor is unaware., and the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information Auditors Nyman Lisbon Paul LLP have expressed their willingness to continue in office and will be proposed for reappointment in accordance with Section 485 of the Companies Act 2006. Small company exemptions This report has been prepared in accordan with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. Approved by order of the members of the board of Trustees on 16 SeptembeT 2025 and signed on their behalf by.. Karyn Mccluskey Chair of the Board Page 7
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE CENTRE FOR JUSTICE INNOVATION UK Opinion We have audited the financial statements of The Centre for Justice Innovation UK (the 'charitable company,) for the year ended 31 March 2025 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes. including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements- give a true and fair view of the state of the charitable company's affairs as at 31 March 2025 and of its incoming resources and application of resources, including its income and expenditure for the year then ended., have been properly prepared in accordan with United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordan with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK}} and applicable law. Our responsibilities under those standards are further described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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. Conclusions relating to going concern In auditing the financial statements, we have concluded that the Trustees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report. Page 8
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE CENTRE FOR JUSTICE INNOVATION UK ICONTINUED) Other infonnation The other information comprises the information included in the Annual Report other than the financial statements and our Auditors, Report thereon. The Trustees are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent othewise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or othewise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If. based on the work we have performed. we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Opinion on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Trustees, Report for the financial year for which the financial statements are prepared is consistent with the financial statements. the Trustees. Report has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misststements in the Trustees, Report. We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion.. adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us., or the 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 we have not received all the information and explanations we require for our audit., or the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies, exemptions in preparing the Trustees, Report and from the requirement to prepare a Strategic Report. Page 9
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE CENTRE FOR JUSTICE INNOVATION UK ICONTINUED) Responsibilities of trustees As explained more fully in the Trustees, Responsibilities Statement. the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements. the Trustees are responsible for assessing the charitable company's ability to continue as a going concern. disclosing. as applicable. matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. Auditors. responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors, Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if. individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud. are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misststements in respect of irregularities, including fraud. The extent to which our prOdureS are capable of detecting irregularities, including fraud is detailed below- In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, we considered the following.. the nature of the industry and sector. control environment and business performance., results of our enquiries of management about their own identification and assessment of the risks of irregularities., any matters we identified having obtained and reviewed the charitable company's documentation of their policies and procedures relating to- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance-, detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud the internal controls established to mitigate risks of fraud or non-complian with laws and regulations., the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud. As a result of these procedures. we considered the opportunities and inntiveS that may exist within the organisation for fraud and identified the greatest potential for fraud in relation to timing of income recognition. In common with all audits under ISAS (UK), we are also required to perfom specific prOdureS to respond to the risk of management override. Page 10
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE CENTRE FOR JUSTICE INNOVATION UK ICONTINUED) We also obtained an understanding of the legal and regulatory frameworks that the charitable company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act. In addition, we considered other laws and regulations that could have an effect on the company and result in the imposition of financial or other penalties and litigation. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors and other management and inspection of regulatory and legal correspondence. if any. These limited procedures did not identify actual or suspected non-compliance. All matters in relation to non-compliance with laws and regulations and potential fraud risks were communicated to all members of the engagement team and we remained alert to any indications of non-compliance throughout the audit. Our procedures to respond to risks idents-fied included the following- reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements., enquiring of management concerning actual and potential litigation and claims., assessing the appropriateness and where appropriate with third parties concerning actual and potential litigation and claims., performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud., reading minutes of meetings of those charged with governance and correspondence with HMRC., in addressing the risk of fraud through management override of controls, reviewing the appropriateness of journal entries and other adjustments,. assessing whether the judgements made in making accounting estimates are indicative of a potential bias- and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at.. www.frc.or -uklauditorsres onsibilities. This description forms part of our Auditors, Report. Page11
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE CENTRE FOR JUSTICE INNOVATION UK ICONTINUED) Use of our report This report is made solely to the charitable company's members, as a body. in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditors, Report and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone other than the charitable company and its members. as a body. for our audit work, for this report, or for the opinions we have formed. Andrew Thomas (Senior Statutory Auditorl for and on behalf of Nyman Libson Paul LLP Chartered Accountants 124 Finchley Road London NW3 5JS Date: 25 September 2025 Page 12
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2025 Unrestricted funds 2025 Restricted funds 2025 Total funds 2025 Total funds 2024 Note Income from: Donations and legacies Charitable activities 694,723 177,669 460,239 1,154,962 177,669 1,010,971 155,471 Total income 872,392 460,239 1,332,631 1,166,442 Expenditure on: Charitable activities 908,308 334,143 1,242,451 1,125,742 Total expenditure 908,308 334,143 1,242,451 1,125,742 Net movement in funds {35,916) 126,096 90,180 40,700 Reconciliation of funds: Total funds brought fomard Net movement in funds 607,633 {35,916) 119,512 126,096 727,145 90,180 686,445 40,700 Total funds carried forward 571,717 245,608 817,325 727,145 The Statement of Financial Activities includes all gains and losses recognised in the year. The notes on pages 16 to 29 form part of these financial statements. Page 13
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) REGISTERED NUMBER: 08274430 BALANCE SHEET AS AT 31 MARCH 2025 2025 2024 Note Fixed assets Tangible assets Current assets 20,857 21,919 Debtors Cash at bank and in hand 10 64,451 791,494 94,478 650,745 855,945 745,223 Creditors.. amounts falling due within one year (59,477) (39,9971 Net current assets 796,468 705,226 Total assets less current liabilities 817,325 727,145 Total net assets 817,325 727,145 Charity funds Restricted funds 12 245,608 571,717 119,512 607,633 Unrestricted funds 12 Total funds 817,325 727,145 The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime. The financial statements were approved and authorised for issue by the Trustees on 16 September 2025 and signed on their behalf by.. bayp Karyn Mccluskey Chair The notes on pages 16 to 29 form part of these financial statements. Page 14
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 2025 2024 Note Cash flows from operating activities Net cash used in operating activities 14 154,314 (7,7391 Cash flows from investing activities Purchase of tangible fixed assets (13,565) (16,7171 Net cash used in investing activities (13,5651 (16,7171 Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year 140,749 (24,4561 675,201 650,745 Cash and cash equivalents at the end of the year 15 791,494 650,745 The notes on pages 16 to 29 form part of these financial statements Page 15
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 General information The Centre for Justice Innovation UK is a charitable company limited by guarantee, incorporated in England and Wales. The liability of each member in respect of the guarantee is limited to £1. Its registered office and principal pla of business is Unit 321 Edinburgh House, 170 Kennington Lane, London, SE11 5DP. The Directors of the company are the Trustees named in the Reference and Administrative Information on page 1. Accounting policies 2.1 Basis of preparation of financial statements The financial statements have been prepared in accordance with the Charities SORP (FRS 102) Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102> (effective 1 January 2019). the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The Centre for Justice Innovation UK meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otheNise stated in the relevant accounting policy. 2.2 Going concern The Trustees have reviewed the charity's forecasts and budgets and accordingly have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Having therefore assessed the Charity's financial position, its plans for the foreseeable future and the risks to which it is exposed and, taking into account future expected income streams, the Trustees are satisfied that it remains appropriate to prepare the financial statements on the going concern basis. 2.3 Income All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. Grants are included in the Statement of Financial Activities when the Company is entitled to receive the money. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balan Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is reived. the income is accrued. Income tax recoverable in relation to donations reiVed under Gift Aid is recognised at the time of the donation. 2.4 Expenditure Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributsble to a single activity are allocated directly Page 16
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies (continued) 2.4 Expenditure (continued to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned beeen those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset's use. Expenditure on charitable activities is incurred on directly undertaking the activities which further the Company's objectives. as well as any associated support costs. All expenditure is inclusive of irrecoverable VAT. 2.5 Tangible fixed assets and depreciation Tangible fixed assets costing £1.000 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably. Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tsngible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost. Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives. using the straight-line method. Depreciation is provided on the following basis- Short-term leasehold prope Fixtures and fittings Office equipment 33/ 33/ 33/ 2.6 Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 2.7 Cash at bank and in hand Cash at bank and in hand includes cash and short-term highly liquid investments. 2.8 Liabilities and provisions Liabilities are recognised when there is an obligation at the Balan Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be ests"mated reliably. 2.9 Financial instruments The Company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are inits'ally recognised at transaction value and subsequently measured at their settlement value. Page 17
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies (continued) 2.10 Operating leases Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight-line basis over the lease term. 2.11 Pensions The Company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Company to the fund in respect of the year. 2.12 Fund accounting General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Company and which have not been designated for other purposes. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. 2.13 Critical accounting judgements and key sources of estimation uncertainty In the application of the Company's accounting policies, which are described above, Trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 undedying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects the current and future periods. In the view of the Trustees, no assumptions concerning the future or estimation uncertainty affecting assets and liabilities at the balan sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year. Page 18
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Income from donations and legacies Unrestricted funds 2025 Restricted funds 2025 Total funds 2025 Total funds 2024 Donations Grants 57,500 402,739 57,500 1,097,462 694.723 1,010,971 694,723 460,239 1,154,962 1,010,971 Total 2024 697,000 313,971 1,010,971 In addition to the Restricted grant funders detailed on page 4 in the Trustees, report, the Charity reiVed unrestricted grants from the following funders, which are included within total unrestricted grants.. £445,000 from the Hadley Trust £100,000 from the Esmee Fairbaim Foundation £75,000 from the Jongen Charitable Trust £50,000 from the Aurum Trust £20,000 from the AB Charitable Trust Income from charitable activities Unrestricted funds 2025 Total funds 2025 Total funds 2024 Consultancy contracts and fees 177,669 177,669 155,471 Total 2024 155,471 155,471 Income from consultancy contracts is derived from research projects and consultancy seNices of a contract nature that the charity has undertaken to promote evidence-based justice policy reforms. Page 19
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Anatysis of expenditure by activities Activities undertaken directly 2025 Support costs 2025 Total funds 2025 Total funds 2024 Research and dissemination 932,643 309,808 1,242,451 1,125,742 Total 2024 791.163 334,579 1,125,742 Anatysis of direct costs Total funds 2025 Total funds 2024 Wages and salaries Consultancy Other direct costs Training 740,046 119,679 68,615 4,303 656,329 63,641 67,774 3,419 932,643 791,163 Page 20
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Anatysis of expenditure by activities (continued Anatysis of support costs Total funds 2025 Total funds 2024 staff costs 81,230 14,627 27,429 38,863 2,870 62,366 48,805 7,699 15,387 10,532 80,001 10,794 39,666 47,368 1,673 76,451 49,338 2,805 15,589 10,894 Depreciation Office costs Recruitment, health & safety and staff welfare Insurance Rent and rates Travel and subsistence Sundry expenses Subscriptions Governance costs 309,808 334,579 Auditors. remuneration 2025 2024 Fees payable to the Company's auditor for the audit of the Company's annual accounts 7,500 7,200 Staff costs 2025 2024 Wages and salaries Social security costs Contribution to defined contribution pension schemes 686,409 66,516 68,351 620,127 52,989 63,214 821,276 736,330 Page 21
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Stsff costs (continued) The average number of persons employed by the Company during the year was as follows.. 2025 2024 Employees All employee time is involved in providing either direct or support ServIS to the charitable activities of the Company. The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was.. 2025 2024 In the band £60,001- £70,000 In the band £80.001- £90,000 The total amount of employee benefits reiVed by key management personnel was £180,761 (2024.. £176,950}. Trustees. remuneration and expenses During the year, Shauneen Lambe was paid remuneration of £Nil (2024.. £4,019) by the Charity. This related to project work undertaken in partnership with and on behalf of the Charity's sister organisation, the Center For Justice Innovation and was paid out of unrestricted funds. The Center for Justice Innovation reimbursed the Charity for the payment made on its behalf. During the year, Geraldine O'Hare was paid remuneration of £Nil (2024= £1,000) by the Charity. This related to training provided on problem solving courts. Trustees received no other remuneration or benefits. During the year ended 31 March 2025, travel expenses incurred to attend meetings and workshops totalling £7,656 (2024.. £7,221) were reimbursed or paid directly to 12 Trustees (2024.. 6 Trustees). Page 22
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Tangible fixed assets Short-term leasehold Fixtures and property fittings Office equipment Total Cost At 1 April 2024 Additions 7.683 11,790 3,087 72,244 10,478 91,717 13,565 At 31 March 2025 7,683 14,877 82,722 105,282 Depreciation At 1 April 2024 Charge for the year 191 11,790 1,029 57,817 11,037 69,798 14,627 2.561 At 31 March 2025 2,752 12,819 68,854 84,425 Net book value At 31 March 2025 4,931 2.058 13,868 20,857 At 31 March 2024 7,492 14,427 21,919 Page 23
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 10. Debtors: Amounts falling due within one year 2025 2024 Other debtors Prepayments and accrued income 17,296 47,155 23,766 70,712 64,451 94,478 11. Creditors: Amounts falling due within one year 2025 2024 Other tsxation and social security Other creditors Accruals and deferred income 17,928 5,939 35,610 16,412 5,468 18,117 59,477 39,997 Page 24
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 12. Ststement of funds ststement of funds - current year Balance at 31 March 2025 Balan at 1 April 2024 Income Expenditure Unrestricted funds General Funds- all funds 607.633 872,392 1908,3081 571,717 Restricted funds Court reform Pre-court disposals Problem-solving courts Smarter Sentencing Women in justice Common Ground Justice 34,264 21,014 33,134 34,947 (3,847) 94,500 168,625 (81,0201 (115,503) 47,744 74,136 33,134 54,273 13,787 22,534 45,000 94,614 57,500 (25,674) (76,9801 (34,9661 119,512 460,239 (334,143) 245,608 Total of funds 727,145 1,332,631 (1,242,451) 817,325 Page 25
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 12. Ststement of funds {continued) Purposes of restricted funds The purposes of the restricted funds are summarised below. Further details on the objectives and achievements of restricted funds are provided in the Trustees, report. Court refonn These funds are used to promote eviden based court reform research to improve procedural fairness in court. The charity also provides Community Advi seNices, including the running the service in Highbury Corner magistrates, court, where the charity worked with over 150 court users to help them access the support they need relating to housing. benefits support and mentsl health issues. Pre-COUrt disposals These funds are used to improve the use and effects"veness of pre-COUrt disposals as an evidence-based way of addressing low-level criminal behaviour. while minimising the collateral consequences of prosecution on people's future life chans. Problem-solving courts These funds are used to help practitioners implement evidence-led problem-solving approaches, in particular supporting the 16 Family Drug and Alcohol Courts, which work with families to overcome the substance misuse, mental health and domestic abuse problems which lead to their children being at risk of serious harm. Smarter sentencing These funds are used to promote evidence-based practi in sentencing across the UK where crime is proportionately punished. the harm caused by crime is repaired, victims feel listened to and protected, systemic racial disparities are tackled. and where people who have offended are given the chance to turn around their lives. Women in justice These funds are used to research and implement gender-specific responses for women in the justice system, especially around violence against women and girls. This includes supporting practitioners to deliver gender-responsive intetventions and victim services. traumainformed practice and ensuring policy change recognises the distinct needs of women and girls. Common Ground Justice The Common Ground Justice Project aims to find a better balan beeen different perspectives on crime and justice. The project is uncovering a new way fotward - towards a justice system that makes communities safer while restoring public Confiden and trust in the system. The Centre for Justice Innovation is acting as an incubator for the project. Page 26
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 12. Ststement of funds {continued) ststement of funds - prior year Balance at 31 March 2024 Balance at 1 April 2023 Income Expenditure Unrestricted funds General Funds- all funds 591.671 852,471 1836,5091 607,633 Restricted funds Court reform 29.321 14.570 32.548 34.947 (16.612) 95,000 49,500 67,950 40,000 61,521 (90,057) (43,0561 (67,364) (40,0001 (48,756) 34,264 21,014 33,134 34,947 (3,8471 Pre-court disposals Problem-solving courts Smarter Sentencing Women in justice 94.774 313,971 (289,233) 119,512 Total of funds 686,445 1,166,442 (1,125,742) 727,145 13. Analysis of net assets between funds Anatysis of net assets between funds - current year Unrestricted funds 2025 Restricted funds 2025 Total funds 2025 Tangible fixed assets Current assets Creditors due within one year 20,857 610,337 (59,477) 20,857 855,945 (59,4771 245,608 Total 571,717 245,608 817,325 Page 27
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 13. Analysis of net assets between funds (continued) Anatysis of net assets between funds - prior year Unrestricted funds 2024 Restricted funds 2024 Total funds 2024 Tangible fixed assets Current assets 21,919 625,711 (39,997) 21,919 745,223 (39,9971 119,512 Creditors due within one year Total 607,633 119,512 727,145 14. Reconciliation of net movement in funds to net cash flow from operating activities 2025 2024 Net income for the year (as per Statement of Financial Activities) 90,180 40,700 Adjustments for: Depreciation charges Decreasel(increase) in debtors Increasel(decrease) in creditors 14,627 30,027 19,480 10,794 (45,2081 (14,0251 Net cash provided byllused in) operating activities 154,314 (7,7391 15. Anatysis of cash and cash equivalents 2025 2024 Cash in hand 791,494 650,745 Total cash and cash equivalents 791,494 650,745 Page 28
Docusign Envelope ID.. 8299Al8>8E3Acl-A64u207D0A1489F THE CENTRE FOR JUSTICE INNOVATION UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 16. Anatysis of changes in net debt At 1 April 2024 Cash flows At 31 March 2025 Cash at bank and in hand 650,745 140,749 791,494 650,745 140,749 791,494 17. Pension commitments The charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. Contributions payable by the charity to the fund amounted to £5,936 (2024: £5,238) at the balan sheet date and are included in creditors. 18. Operating lease commitments At 31 March 2025 the Company had commitments to make fvture minimum lease payments under non- CanlIable operating leases as follows.. 2025 2024 Not later than 1 year 25,170 35,955 Page 29