2024-08-31-accounts

THE ENGINEERING DEVELOPMENT TRUST Company Number 08879288

ANNUAL REPORT & ttt FINANCIAL STATEMENT for the year ended 31st August 2024

CONTENTS

Page 3-20 STRATEGIC REPORT

Page 3: Foreword from our CEO Page 4: A year in numbers: Celebrating milestones & impact Page 6: Delivering 250K Industrial Cadets experiences Page 7: Our tailored pathway of programmes Page 8: Developing the workforce of the future Page 10: Building work-readiness skills for young people Page 12: Empowering through inclusive opportunities Page 14: Strengthening partnerships for collective impact Page 20: Long term impact and future goals

Page 21-37 TRUSTEES’ REPORT Page 21: Performance and Achievements Page 25: Plans for Future Periods and Scheme Review Page 31: Financial Review Page 32: Structure, Governance and Management Page 37: Responsibilities of the Trustees

Page 38-41 INDEPENDENT AUDITOR’S REPORT

Page 42-62 FINANCIAL STATEMENTS

Page 42: Statement of Financial Activities Page 43: Statement of Financial Position Page 44: Statement of Cash Flows Page 45: Notes to the Financial Statements

Page 63 ACKNOWLEDGEMENTS

EDT | ANNUAL REPORT | PAGE 2

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

FOREWORD

“As we present the 2023/24 Impact Report for EDT and Industrial Cadets, I am filled with immense pride in what we have achieved together as an organisation and in the lives we have touched. Our mission—to provide equal access to STEM education and industrial experiences for all young people, inspiring them towards careers in STEM industries—is not just a statement; it is a commitment that drives our every action.”

In today’s rapidly evolving landscape, the demand for work-ready young talent is more crucial than ever. At EDT and Industrial Cadets, we address this need by providing a comprehensive approach that equips young people with both employability and technical skills through our Industrial Cadets initiative.

Our tailored programmes engage youth at key educational moments, supported by collaborations with employers at local, regional, and national levels. With 70% of leaders facing challenges in finding diverse early talent with the right skills, our initiatives are essential for creating a stronger workforce.

The impact of our work is evidenced by the significant milestones we have achieved. As we celebrate the remarkable achievement of 250,000+ Industrial Cadets experiences to date, we remain steadfast in our ambition to inspire one million young people to pursue careers in industry by 2035. Our accredited awards and structured programmes foster creativity, innovation, and resilience—qualities vital for success in today’s workforce.

By partnering with key sectors like Energy and Manufacturing, we are well-positioned to address future industry demands, including Net Zero and Green Skills.

JULIE FEEST Chief Executive at EDT and Industrial Cadets

As you explore this report, I encourage you to reflect on the transformative stories of young people impacted by our programmes. I extend my gratitude to our partners, supporters, and the EDT team for their commitment to our mission. Together, we are making a lasting impact, and I am excited about what we will achieve in the years to come.

EDT | ANNUAL REPORT | PAGE 3

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

A YEAR IN NUMBERS: CELEBRATING MILESTONES & IMPACT

Industrial Cadets experiences to date

hours of transformative learning delivered to young people across the UK

Ethnic Minority Educational Representation 1,383 Institutions Engaged 45% Female Participation EF =a NM & Students Entitled to Passionate Volunteers Industry Free School Meals 878 878 Mobilised 318 318 Partnerships Cultivated (FSM)

© _ 6

EDT | ANNUAL REPORT | PAGE 4

In 2024 we celebrated achieving 250,000 Industrial Cadets experiences, with our ambition to inspire 1 million young people to embrace jobs in Industry by 2035.

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

DELIVERING 250K INDUSTRIAL CADETS EXPERIENCES

Having celebrated hitting the milestone of delivering 250,000 Industrial Cadets experiences this year, we are passionate about continuing our transformative journey to empower young people and bridge the skills gap. Our ambitious goal is to inspire 1 million young people to pursue careers in industry by 2035, fostering a skilled, diverse, and innovative workforce. Through the Industrial Cadets programme this year alone, participants have engaged in transformative learning experiences, dedicating more than 1.7 million hours to equip them with the skills and confidence for success.

In July 2024, we celebrated the milestone of delivering 250K Industrial Cadets Experiences across the UK at an event held in London with our Board of Trustees, EDT Staff, our partners and student alumni. To watch the event video, please click here.

EDT | ANNUAL REPORT | PAGE 6

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

OUR TAILORED PATHWAY OF PROGRAMMES

We are dedicated to supporting young people at every pivotal moment of their educational journey, offering a diverse range of programmes from Challenger through to Platinum level. Our initiatives and the Industrial Cadets awards scheme, provide bespoke activities designed to enhance employability skills and connect young people with industry pathways.

EDT | ANNUAL REPORT | PAGE 7

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

DEVELOPING THE WORKFORCE OF THE FUTURE

In today's dynamic workforce, equipping young people with essential work-readiness skills is vital for their career success. EDT and Industrial Cadets play a crucial role inspiring and empowering young people through innovative programmes and hands-on experiences.

We offer two distinct programmes to support young people's educational and career journeys: Structured EDT programmes and the Industrial Cadets awards scheme.

Our structured programmes create a clear pathway for youth to build essential work readiness skills and foster a passion for STEM. Beginning with the Challenger level, students develop foundational skills and progress through Bronze, Silver, Gold, and Platinum levels, each offering increasingly targeted experiences that prepare them for the workforce.

The Industrial Cadets scheme, patroned by His Majesty the King, provides accredited industry-based experiences that bridge education and employment. Together, these programmes empower young people with the skills and confidence needed for success in a rapidly changing job market.

“ It is a great opportunity for students to have an insight into engineering before committing to a career in the field, as well as being able to work with local engineering companies to have a step in the door to joining future schemes.” - Mentor, Liberty Steel Group OC “I’ve become more confident in how STEM can spread into apprenticeships – before I believed university was the only route, so now it is exciting to know there are many different pathways.” - Student, Industrial Cadets Silver Insight into Apprenticeships OC

EDT | ANNUAL REPORT | PAGE 8

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

DEVELOPING THE WORKFORCE OF THE FUTURE

Meet Zenisha Peterkin and Charlotte Martin, two alumni whose journeys showcase the power of mentorship. Zenisha gained confidence as a female engineer through EDT and Industrial Cadets, while Charlotte developed problem-solving skills and assertiveness during her GSK placement. Their experiences underscore the vital role of support and hands-on learning in career development.

Zenisha Peterkin

Charlotte Martin

Alumni Student & Mechanical Engineering Graduate

Alumni Placement Student at GSK

“I first started at EDT when I was 14 years old and since then I've been on a number of different engineering courses with them. With EDT’s inspiration and support as a female engineer, I genuinely feel empowered to take on a career in engineering. And I think without EDT’s support, I never would have had the confidence to apply for jobs that I didn't think I was qualified to apply for."

“I found before my placement year I sometimes had a lot of self-doubt, particularly around my own ideas, however placement taught me to be more assertive, trust my own judgements and decisions and be confident to make suggestions. I have grown in confidence and critical problemsolving skills, allowing me to work through scenarios logically and methodically which I have applied during my final year at university and I know I will prove invaluable in my future career.”

EDT | ANNUAL REPORT | PAGE 9

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

BUILDING WORK-READINESS SKILLS FOR YOUNG PEOPLE

Inspiring curiosity and engagement

EDT and Industrial Cadets create structured environments that foster exploration and inquiry, engaging 56,847 young people in 2023/24 and equipping them with essential work-readiness skills while encouraging them to envision their roles in STEM fields. This impactful approach builds confidence and promotes viewing challenges as growth opportunities.

“I really enjoyed working with new people and testing my own communication and critical thinking skills. I also became much more confident in my own future, and I know now that I definitely want to go to university.” - Student, Industrial Cadets Bronze Routes into STEM

“My mentors were incredibly helpful with every aspect of the project and taught me a lot about the different decisions that have to be made when considering the materials to use and how it will work. I have developed many new skills from this experience and have them to thank for this.” - Student, Industrial Cadets Gold Mentored Projects

EDT | ANNUAL REPORT | PAGE 10

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

BUILDING WORK-READINESS SKILLS FOR YOUNG PEOPLE

Building core employability skills

Our programmes go beyond traditional education by nurturing essential employability skills, empowering young people to excel and thrive in a rapidly changing professional landscape.

Through hands-on projects, presentations, and collaborative tasks, young people enhance their self-esteem and develop a range of core employability skills including creativity, innovation, digital literacy, confidence, and resilience, all of which are essential for workforce readiness

“I had an amazing experience during this project and have learnt a lot about the company Avantor and its operations. This project has given me great amounts of information about how to prepare for interviews and how to write CVs and personal statements which will be very important in my future education and career. - Student, Industrial Cadets Silver Virtual Work Experience at Avantor

“I found my project amazing and very interesting. It has helped me develop skills that I may have never used before or not to such an extent. My mentoring companies Leonardo and London Luton Airport and my teachers have supported me throughout my journey in this project and have enabled me to work outside of my comfort zone. Overall, this project was truly engaging and granted me a lot of learning experience which I can use during my future education and career.” - Student, Industrial Cadets Bronze mentored projects

100% 100% [of students in placements found value in applying STEM knowledge hands-on]

GAY 94%[of young people expressed increased interest in STEM careers due to their experiences]

EDT | ANNUAL REPORT | PAGE 11

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

EMPOWERING THROUGH INCLUSIVE OPPORTUNITIES

We play a crucial role in providing inclusive opportunities for young people from all backgrounds to explore and excel in STEM fields. By promoting social mobility, embracing diversity, and fostering inclusion, these initiatives transform individual lives and contribute to a more equitable society. Our targeted outreach strategies engage young people from underrepresented and underresourced communities.

Creating social impact

EDT and Industrial Cadets programmes generate significant social impact by fostering community development and cultivating a diverse talent pool for the STEM industry. By empowering young people through technical and soft skills training, we enhance individual prospects while contributing to the overall well-being of communities.

With the demand for skilled workers in STEM often outpacing supply, EDT and Industrial Cadets address this skills gap through tailored offerings and industry exposure. Our collaboration with industry partners ensures programme alignment with market demands, preparing a workforce equipped with essential skills that contribute to economic growth.

of students are from ethnic minorities

of young people identify as female

of students engaged are from quantile 1-3 regions with low to average higher education participation

young people engaged, showcasing the significant social impact of our initiatives

EDT | ANNUAL REPORT | PAGE 12

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

EMPOWERING THROUGH INCLUSIVE OPPORTUNITIES

Enabling upward mobility - transforming lives

EDT and Industrial Cadets are vital catalysts for upward mobility, equipping young people with the skills, knowledge, and networks to overcome socio-economic barriers and succeed in the workforce. Our hands-on programmes provide essential technical skills relevant to various STEM fields, building competence and confidence that make students more attractive to employers.

In addition to technical expertise, our programmes emphasise soft skills—communication, teamwork, problem-solving, and critical thinking - essential for career advancement. Apprenticeships and industry visits further enhance personal development, helping participants navigate workplace challenges and collaborate effectively.

“It really helped me discover how to work on group projects and work with deadlines to keep on track with the project and to communicate with teammates. It also showed me that I enjoyed the technology and the coding part to making our rover, so I will be looking down the route of computer science and electrical engineering.” - Student, Industrial Cadets Gold Mentored Projects

“I have gained a numerous number of valuable skills throughout this year placement. My communications skills have developed in terms of being able to speak in front of large audiences. Problem solving skills have been utilised when I have been given tasks that are difficult and requires me to think outside the box. Time management skills when having work that needs to be completed at a specific time. Teamwork skills and leadership skills have played a role in my ability to conform work within the company to a much higher standard through taking on advice from my colleagues.” - Industrial Cadets Platinum Placement Student

of young people felt more connected to employers as a result of their experiences

of students reported a remarkable boost in confidence, empowering them to step out of their comfort zones and engage with individuals they once considered out of reach

EDT | ANNUAL REPORT | PAGE 13

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRENGTHENING PARTNERSHIPS FOR COLLECTIVE IMPACT

EDT and Industrial Cadets emphasise the power of collaboration in STEM education and industrial skills development through strategic alliances with employers, educators, and non-profit organisations.

Building a pipeline for future talent through collaborative engagement

Together, we collaborate and unite to provide a funnel of diverse early talent interested in entering the STEM industries, answering the needs of growth in areas such a Net Zero, Green Skills, AI, Data Science, Cyber and Health.

To excite and inspire young people, we align what is important for society, industry and education and work in partnership to drive forward a shared vision, creating opportunities for young people, and solutions for industry.

Through the Industrial Cadets accreditation awards scheme, we quality benchmark outreach and education programmes delivered by partners, industry, and institutions. Over 40,000 young people received awards through partner programmes: from individuals and small groups of students taking part in courses, working on projects or within placements to large cohorts taking part in UK wide education programmes - we accredit national and local outreach programmes delivered by industry, charity, and education partners.

Coleg Cambria

Coleg Cambria, a further education college successfully ran a Silver Work Experience placement with TATA, JCB, Kronospan, and Networld Sports, highlighting practical engineering applications.

STEM Learning Centre - M44 Project

The M44 Project offers Year 9 Gold level students a transformative 20-week program of immersive sessions that ignite interest in STEM careers. Through creative mentoring and coaching, dedicated mentors empower students to build self-awareness, resilience, and motivation, inspiring them to pursue STEM options as they prepare for their future.

EDT | ANNUAL REPORT | PAGE 14

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRENGTHENING PARTNERSHIPS FOR COLLECTIVE IMPACT

The Institution of Engineering and Technology (IET)

Learnbase Co - Air Quality STEM Challenge

EDT and The IET are working together to support young people on their education pathways through education to employment, providing quality education and outreach programmes and awards to demonstrate and celebrate achievements. Young people taking part in The IET’s education programmes: First Lego League Explore and Challenge, and The Faraday Challenge achieve their Industrial Cadets awards across different Industrial Cadets levels.

Baker Hughes - Girls Get Set

The Girls Get Set programme inspires young women to explore careers in Science, Engineering, and Technology (SET) through multiple engaging activities. Initially at the Bronze level, the programme has expanded to include over 700 students with plans for a Gold level next year.

Year 9 students tackled real-world air pollution issues, working in teams as project managers, policy advisors, data analysts, engineers, and coders. The teams built sensors to collect data, analyse it against WHO standards, and proposed evidencebased policy solutions for their schools.

Supported by Physics with Kate's STEM Workshops and Mums for Lungs, each student earned an Industrial Cadet Challenger Award, recognising their dedication to STEM and community improvement. This successful initiative not only enhanced essential skills but also inspired a passion for STEM careers, paving the way for an annual event that empowers young innovators to create meaningful change.

GSK & Haleon - Supporting students attain Platinum wards

Kim Larham expresses her enthusiasm: “We're doing things that we've never done before, and I'm excited because it will bring more people into the fold. There is nothing I love doing more than talking about the program for 20 minutes over a coffee, throwing ideas around about how we can do things differently, and seeing the spark of passion for the brand ignite in other people.”

GSK and Haleon both achieved Platinum and Platinum Leader awards for their university students during their 1-year placements. GSK has seen a renewal in participation, with an increasing number of students wanting to take part, while Haleon, which accredited with us for the first time last year as a trial, expressed satisfaction with the outcome, showcasing a growing student interest in STEM fields.

EDT | ANNUAL REPORT | PAGE 15

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRENGTHENING PARTNERSHIPS FOR COLLECTIVE IMPACT

Championing Environmental Education with Viridor

Energy company, Viridor has partnered with EDT for over 12 years, collaborating to deliver STEM programmes for young people across their local authority partner areas such as Glasgow, South Lanarkshire and Clyde Valley. Viridor has been involved in a range of exciting programmes and work experience, including the Industrial Cadets Bronze Programme – an annual sustainability competition aimed at secondary school pupils. This programme, among others, aims to develop knowledge and understanding of science, engineering and technology through project work.

The partnership aims to result in future STEM talent realising exciting employment opportunities in a key growth sector, supporting the development of the future workforce.

“Viridor’s long term partnership with EDT has facilitated the delivery of a suite of educational programmes creating bespoke STEM opportunities for young people across our local authority partner areas. Viridor looks forward fulfilling further educational opportunities in years to come via our collaborative partnership with EDT.” - S. Don, Head of Contracts, Viridor

EDT | ANNUAL REPORT | PAGE 16

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRENGTHENING PARTNERSHIPS FOR COLLECTIVE IMPACT

Developing Sustainable STEM Skills with Ørsted

EDT was awarded a two-year grant from Ørsted’s Walney Extension Community Fund. In the first year of the programme, 300 young people engaged in experience days, enhancing their STEM skills and knowledge through hands-on activities and extra-curricular learning, while earning an Industrial Cadets Challenger Award.

Twenty-five students immersed themselves in STEM, undertaking a sustainabilitythemed challenge over 12 weeks with the support of an industry mentor, culminating in the achievement of an Industrial Cadets Bronze Award. Students not only developed their STEM skills and knowledge but also honed essential life and work skills, such as teamwork, communication, and problem-solving.

of students said it helped their teamwork skills

of students that taking part gave them confidence that anyone can have a STEM career if they want to

“This is a great example of the Walney Extension Community Fund showing Ørsted’s dedication to nurturing young talent and empowering the next generation through educational and developmental opportunities. Well done to all involved.” - Emma Toulson, Head of Stakeholder Relations for Ørsted

“From this project, I gained a lot of knowledge on sanitation. I discovered the existence of solar stills which are devices that remove salt and other contaminants from ocean water, using solar power. I learned how to work as a team efficiently and assign different roles according to each person’s strengths and weaknesses. Overall, this project was a great experience, and I was able to learn different skills which boosted my confidence, and I was able to work with people I’ve never worked with, making great friends.” - Industrial Cadets Bronze Project student

EDT | ANNUAL REPORT | PAGE 17

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRENGTHENING PARTNERSHIPS FOR COLLECTIVE IMPACT

STEM Learning UK Improves Science Capital

Funded by STEM Learning, EDT delivered pilots using multiple Industrial Cadets accredited activities to add further value and STEM experiences for young people from underrepresented groups.

Working with Primary schools in Hertfordshire/Bedfordshire, we provided STEM workshops for Year 5 and 6 pupils who have limited opportunities to hear about STEM careers. In addition, we piloted a family STEM event as we see improving family science capital being an equally vital task.

“I'm sure you can see from the community we serve, how invaluable the experience was for our children. It really helps to give our children aspiration and a better understanding of careers and skills involving STEM”. - Garden City Academy Teacher, Lucy Hopkinson

We were also able to support students in Year 9, which is an important time for young people making their GCSE choices. We piloted our Industrial Cadets Bronze Mentored Projects and Routes into STEM, which allowed the pupils to benefit from STEM skills development while also gaining a better understanding of the best routes into STEM careers.

“It has opened my eyes to see how broad STEM careers are and I am proud to say it has changed my mind about not taking a career in STEM.” - Bluecoat Trent Academy student

of students said their teamwork skills and resilience were excellent or very good – an increase from 60% at the start of the programme

of students agreed that taking part gave them the confidence that anyone can have a career in STEM if they want to

EDT | ANNUAL REPORT | PAGE 18

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRENGTHENING PARTNERSHIPS FOR COLLECTIVE IMPACT

ScottishPower Inspires the Next Generation

ScottishPower and EDT work in partnership to support students entering work through the Year in Industry programme (YINI). ScottishPower gain access to dedicated, diverse and highly prepared students which add value to their existing workforce, while the students learn a range of skills to support professional development and growth at the beginning of their careers.

“The energy sector is at the heart of the UK’s net-zero agenda, and nurturing future talent is essential for the innovations and solutions required to reach this goal. At ScottishPower we view the YINI programme as more than a chance for young professionals to gain experience; it is a critical investment in skills that will shape a sustainable future. EDT’s extensive experience in placing students within STEM industries means that they have perfected an approach that consistently delivers industry-ready talent. By partnering with EDT, we gain access to dedicated, highly prepared students who demonstrate strong commitment and drive for professional growth.” - Social Projects & Sector Education at ScottishPower

growth in student recruitment over 4 years

of recruits from non-British backgrounds, reinforcing inclusivity commitment

“The YINI has been a foundational step in my career, giving me a balance between independent work, responsibility, and freedom. I believe the placement prepared me for work after university, opening a career path in People Services within ScottishPower, and coaching me in skills such as office communication, teamwork, and IT. The YINI volunteering activities were excellent opportunities for networking with other YINIs and developing organisation skills.” – Jithin Thomas, former YINI student who is now a permanent employee at ScottishPower

EDT | ANNUAL REPORT | PAGE 19

STRATEGIC REPORT

FOR YEAR ENDED 31 AUGUST 2024

LONG TERM IMPACT AND FUTURE GOALS

Empowering tomorrow's workforce: a journey of impact and transformation - celebrating 250K engaging experiences for young people, striving for 1 million inspired by 2035.

EDT and Industrial Cadets are on a transformative journey to empower young people and bridge the skills gap. Our ambitious goal is to inspire 1million young people to pursue careers in industry by 2035 , fostering a skilled, diverse, and innovative workforce.

Our commitment

Expand reach and impact Expand our programmes to reach underserved areas and underrepresented groups, ensuring equal access to opportunities G5 Expand reach and impact Future-proofing skills By integrating project-based learning and real-world challenges into Future-proofing skills our initiatives, we enhance students’ skills while simultaneously cultivating work-readiness. This encourages critical thinking and creative problem-solving for their careers. Sustainable impact Our impact goes beyond individual success, nurturing collective A Sustainable impact talent and fostering inclusivity and break cycles of limited prospects. ofdU We are committed to preparing students for the changing job market, driving community growth for a brighter future.

EDT | ANNUAL REPORT | PAGE 20

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

PERFORMANCE AND ACHIEVEMENTS

We have continued to develop our service and programmes to meet the needs of our beneficiaries and funders in a volatile marketplace, mindful of the changing needs of our funders.

We have seen challenges for funders in terms of; increased applications for grants, staff reductions and re-organisations, with greater emphasis on return-on-investment required for outreach leading to recruitment.

A significant change has been the increased importance of development of work-readiness skills for young people, where Industrial Cadets Awards can show an improved employability characteristic that companies need for successful recruitment into early careers. Despite these challenges, the charitable company showed an improved result over budget target after investment revaluation and release of pension provision.

The hybrid method of delivery continues to deliver with excellence, with activities delivered either face-face or virtually, taken in mind the needs of the schools, the geographic location and most impactful way to deliver the specific activity.

Consultation with Stakeholders

Changes to our schemes and activities have been based on feedback from our funders, partners, staff and beneficiaries to ensure we offer the best service we can. We received overwhelmingly positive feedback from all stakeholders, as they appreciated our agile, flexible and tailored approach building new content on some of the exciting changes in the industry such as Green Jobs.

It has been a difficult year for funders and we continue to engage with them to understand how their own issues could affect charity support. This is true from large multi-national to small businesses, where effects of the changing marketplace have meant rescaling, restructuring and in some cases reduction of staff.

While this is the case for companies, many could not focus on supporting the charity as they have done in the past, but we continue to engage with them to ensure they are supporters for future years. To be successful in this volatile marketplace, adaptability has been key and our bespoke offerings fruitful in developing content and activities supporting employers and students’ needs.

For Trusts and Foundations, their funds have been stretched even further over this last academic year with larger numbers of charities, who have had to diversify as their normal funding channels dried up, requesting funds. We continue to focus on stewardship and manage these relationships to ensure we continue to be considered in this difficult climate.

EDT | ANNUAL REPORT | PAGE 21

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

Consultation with Stakeholders continued

A particular focus for this year has been with consultation with employers who work with us on our Industrial Cadets Gold Project during their first year at college. During an extensive consultation with the employers, we talked to them about their needs, and our focus on charitable objectives inspiring young people and the need to build stronger work readiness skills such as teamwork, resilience, design, creativity and presentation.

Through analysis of the feedback, the charity could move forward with confidence to put in place a plan to alter the delivery model for the Industrial Cadet Gold Project programme, safe in the knowledge that the majority of employers would support this renewal.

Our vision, ambition and messaging were developed particularly for Industrial Cadets looking ahead to 24/25, with the major milestone of reaching 250,000 Industrial Cadets experiences in July 2024, with help and consultation with our funders and Ambassadors, continuing to focus on industry-specific solutions to help drive the economy and a diverse talent pool for the future. This led to an ambition to inspire one million young people to embrace jobs in industry by 2035, led by our Ambassadors.

We were also delighted that Buckingham Palace confirmed that our Ambassadors could be renamed as ‘The King’s Ambassador for Industrial Cadets’ once His Majesty King Charles III announced his continued patronage of the Industrial Cadets programme.

Flexibility for Funders

EDT continue to work in partnership with corporates (small, medium and large), trusts, foundations, grant givers, and public funders supporting the work we do for young people across the UK.

With a focus on improving access to STEM education for young people from under-resourced and underrepresented groups, we work closely with partners to understand their early careers strategy, strategic objectives and goals and how these align with our own charitable mission and vision.

Working in collaboration, we create pathways for students through education to employment by; delivering existing EDT programmes, developing bespoke/tailored education programmes and partners can use the Industrial Cadets accreditation as a quality benchmark for their own outreach and education activities.

We are able to provide added flexibility through hybrid delivery, offering opportunities for industry and young people to engage in person and virtual.

EDT | ANNUAL REPORT | PAGE 22

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

Sector and Theme Focus

The charity has seen continued success moving away from a generic STEM theme to one focused on specific subjects in areas such as Environmental Sustainability, Circular Economy, Net Zero, Cyber, AI, Aerospace and Health.

The focus on sectors and specific topics appeals to students and funders, with EDT uniquely positioned with its strong links to industry and schools/universities and experience in creating curriculum-aligned exciting, relevant content, specifically focused on Green Jobs and transition to Net Zero ambitions for industry during the year.

Digital Learning Platform

Throughout the 23/24 period we continued to utilise our Digital Learning Management System for virtual delivery, investing in the development of new content and bespoke services to enhance the interactive learning experience for students.

The platform offers several advantages to students, enabling them to progress through courses at their own pace and seamlessly resume from where they last left off when they have spare time. Students can easily track their course completion progress, participate in live or recorded sessions, and upon completion, receive their digital Industrial Cadets Award.

We remain vigilant in monitoring feedback from students and teachers to ensure that the platform continues to align with their evolving needs, both in terms of technological functionality and flexibility. This ongoing assessment ensures that we uphold high standards of usability and relevance in our digital learning environment.

EDT | ANNUAL REPORT | PAGE 23

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

The Engineering Development Trust in Scotland (EDT is a separately registered charity in Scotland, number SC039635)

The team continued collaborating with stakeholders across Scotland, with ongoing support from key partners like Viridor, successfully delivering the Bronze project across five local authorities.

The in-person and virtual Challenger scheme remains strong, with renewed interest in Family Challenges and FunSTEM. The team delivered FunSTEM project in three learning communities working with Clyde Gateway and reaching 496 primary pupils.

They also delivered a FunSTEM and Bronze project in two Additional Supports Schools in collaboration with Developing Young Workforce (DYW).

The Gold project saw lower engagement this year, with only six teams completing it. The Bronze project remained consistent, with 333 pupils participating.

EDT secured two new large contracts in Scotland, including a three-year partnership with The Gannochy Trust, expanding opportunities to engage with schools in Perth & Kinross on multiply pathways from primary to secondary. Additionally, the success of the SSEN Transmissions proposal marked the beginning of a strong relationship, enabling the team to deliver Challenger sessions virtually in over 20 primary schools and in person at 9 high schools across the Angus, Highlands and Shetland regions.

EDT | ANNUAL REPORT | PAGE 24

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

PLANS FOR FUTURE PERIODS

The next year starts with a strengthened position for the charity to follow a stringent process of strategy development, with assistance from a trustee who is a strategy consultant. We will go through a process with the board and executive team to understand the market needs, our goals and aspirations, our strategic objectives with a renewed vision and mission, due to be launched in April 25.

Alongside this major work on strategy development, we continue to work with funders on pilot programmes, testing and trialling new ideas to help students in this important period, building work readiness skills leading to employment such as our new ‘Insight into Apprenticeships’ programme.

We will continue and develop the concept of ‘Sector Partnerships’ around a specific industry, with employers and other organisations coming together and working collaboratively for greater impact for young people, producing a more diverse talent pool for them to work from when they recruit. An example of this would be in the Manufacturing sector with Make UK in the Midlands and their local employers and the Energy sector in Scotland with SSEN Transmission. The plan moving forward for the next year is to expand and grow these partnerships, with others focused on for example the digital, nuclear and hydrogen sectors.

This approach moves EDT away from a short-term focus to an adaptive way of working which renews the vitality and competitiveness of us as an organisation and our conversation with funders. It recognises the need for systemic change, strategic experimentation and organisational flexibility.

A growth mindset is needed throughout this strategic change. For long-term growth and innovation, the charity needs to invest in new approaches to drive growth and move to an outward looking, growth-focused culture.

Pilot programmes investigated include:

An Industrial Cadet Pathway which will take students on a journey of discovery through multiple interventions in a specific location.

A new apprenticeship scheme to support young people within two regions of the UK.

Industry-specific approaches in areas such as manufacturing, energy and nuclear; focusing on Green Jobs of the future. Highlighting how Industrial Cadets can create collaboration across industry and other organisations to meet the growing demand for a diverse talent pool for the future. For greatest impact, this approach will be supported by content built on themes which are relevant to the region as well as industry.

EDT | ANNUAL REPORT | PAGE 25

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

PLANS FOR FUTURE PERIODS continued

The strategy and business plan recognises the changing funding environment for all sectors with which the charitable company works, including the effect of the economic environment on companies, the on-going impact of changes in the education sector and the expansion of apprenticeships and T-levels. The broad approach is to focus on the young persons' continuing experience through Industrial Cadets Awards, with particular focus on disadvantaged young people who were most affected by the impacts of the pandemic.

The strategy maintains that the student needs lie at the heart of our work, considering the different needs that they may have, dependent on socio-economic background. A stronger focus on account management for our key sponsors is particularly relevant in this period of economic decline, with increased work on digital presence to ensure funders feel their support is recognised within social media and thus their brand is better recognised for their commitment to young people.

The focus on further widening participation will remain with continued development of the charitable company's diversity activities such as bursaries where appropriate, creating bespoke content for Experience Days relevant to the local job prospects and explaining the variety of pathways to a career through Routes into STEM.

Industrial Cadets provide the strength to pull the activities together, creating a journey for a young person, when they need many interactions to sustain confidence and belief in their skills and prospects.

EDT will continue in a stable hybrid delivery model in 24/25, mixing virtual and face-to-face where it adds value. Virtual delivery will continue as it allows us to reach more students with our limited funds. We will continue to use the Learning Management System in our hybrid model, whilst assessing additional features including a shop for further advancements to our service.

We will focus on our fundraising activities and prioritisation, building upon a strong strategy within a changing external environment. The plan will include growth in Trusts and Foundations, with a particular attention to skills for fundraising larger bids and with philanthropists.

EDT | ANNUAL REPORT | PAGE 26

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

EDT SCHEMES REVIEW

EDT EXPERIENCES

Experience Days/Activities accredited at Industrial Cadets Challenger

Industrial Cadets Challenger activities continue to be in demand for both schools and funders. The scheme delivered an additional 22% activities compared to the previous year, the growth enables EDT to have impact on a greater number of young people due to the large audience the scheme can deliver to.

An important aspect of these is to bring the curriculum to life with hands on activities to inspire and educate the audience through different themes; such as Engineering and Coding being popular topics chosen in 2023/24.

Routes into STEM accredited at Industrial Cadets Bronze and Silver levels

Routes into STEM has experienced a decline in student numbers for face-to-face courses across the UK. Certain established areas and some new areas fully recruited, but others, even with fully funded courses, proved difficult to recruit for.

In 24/25, we will be offering both funded and fee-paying courses, necessitating a careful balance to meet the requirements of our partners. We will run fewer courses overall and evaluate geographical areas carefully to ensure we are only running courses in locations where we know there is proven student demand.

Following a decline in applications for the virtual course during the 22/23 period, which ran during two school holiday periods, we implemented changes for the 23/24 academic year. The virtual course was accessible throughout the academic year, allowing students greater flexibility in their study schedules. We did not find success by using this ‘on-demand’ method of delivery, which saw a decrease in student uptake and inefficiencies in delivery from a staffing perspective.

For 24/25 we have reverted to running the course during a specific school holiday, at Easter time, and we will assess the appetite. Due to the fact that over the last few years, and trialling different delivery patterns, the student engagement has steadily declined, we may decide that this is the final year to run the virtual Routes into STEM course.

The Routes into STEM 16+ courses which have now been running as an adapted model for a couple of years have continued in 23/24 as fully funded offerings. The silver level course which involves 2 days at different unis and 2 days at different companies has been successful. We will trial running the first fee paying version of these courses in 24/25.

EDT | ANNUAL REPORT | PAGE 27

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

EDT EXPERIENCES Continued

Insight into University accredited at Industrial Cadets Silver

Insight into University continues to maintain its popularity among students who are beginning to contemplate their UCAS applications. Both virtual and residential formats were offered again this year, driven by the persistent demand for both programmes. While there was a slight decrease in interest for the virtual offering, there was a notable growth in demand for the residential format. However, given the benefits of each format - the virtual offering providing a broad overview of STEM options and the subject-specific residential courses - there is sufficient justification to continue offering both.

In the 23/24 academic year, we expanded the residential program to include 10 courses, providing spaces for 314 students to participate. All the courses were full and oversubscribed.

The plan is to continue to grow the programme in 24/25 to 13 courses after positive conversations early on with existing and new university partners but given the recent funding issues for universities we will review the likelihood of this number taking place.

There has been a notable increase in the number of students requesting bursaries, and financial plans have been established to accommodate as many funded places as possible. However, securing funding for these activities proves to be challenging due to the high cost per student compared to other initiatives.

The virtual course, now in its sixth year, has become an established offering that can be delivered with relatively minimal resources while reaching approximately 500 students across the UK. Participation in the Insight into University courses leads to the attainment of an Industrial Cadet Silver Award.

Insight into Apprenticeships – funded pilot programme accredited at Industrial Cadets Silver

In 23/24 we launched the new Insight into Apprenticeship programme. This is a six-month, extracurricular course for students to have a 30-hour programme over an extended time period that mixes face-to-face, virtual and independent study to inform and prepare students for apprenticeship opportunities.

The first cohort was made up of EDT alumni who had already completed a bronze award and were interested in apprenticeships. The second cohort started in September 24 and the students are participating from our focus areas in the Scottish Highlands and the West Midlands of England.

We have seen good levels of company engagement in the programme, which bodes well for continuation funding plans at the end of the current three-year pilot.

EDT | ANNUAL REPORT | PAGE 28

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

SCHEMES REVIEW continued

EDT MENTORED PROJECTS

Industrial Cadets Bronze Level Project

The Industrial Cadet Bronze Project is an extracurricular programme designed to enhance work readiness skills for students before they choose their exam subjects. It saw a 21% increase of uptake in 23/24 through various funding streams; trust & foundations, companies and schools compared to the 22/23 period.

This initiative is highly valuable for young participants, offering access to industry mentors, fostering the development of transferable skills, and providing opportunities for collaborative project work. The hybrid structure enables students to celebrate their achievements together and demonstrate their collaborative efforts whilst having opportunity to remotely work too, representing the world of work.

Industrial Cadets Gold Level Project

The Industrial Cadets Gold Project remains highly valuable for both educators and young participants, preserving its impact and quality through a hybrid delivery model since the pandemic.

The programme has transformed over the last few years with the highlight focusing on the work readiness and experience that the young people are gaining enhancing future opportunities for them by connecting and networking with potential future employers and employees. Additionally, companies recognising the potential work force of the future, the project offers students the opportunity to stand out during the application process by showcasing the skills they've developed and their commitment to personal growth.

Industrial Cadets Gold Project celebrated its 40th year in 2024.

Placements Accredited at Industrial Cadets Platinum

23/24 was the first year of the Placement scheme focussing on school leavers. We worked with existing companies, some new companies and a few who returned for the first time since pre-pandemic, understandably we stopped working with several companies who only wanted undergraduate students.

We continued to work with Scottish Power as our biggest client and they enrolled all Placement students through our scheme whether recruited by us or directly by themselves. Due to the volume of work provided, we offer them a bespoke service to recruit school leavers, undergraduates and graduates across all their business areas.

Placement recruitment at Scottish Power has increased significantly over the last few years with 90 vacancies for the 24/25 year. They appreciate the diversity of students that we can provide compared to their internal recruitment process. There remains a focus on new business to manage the risk of having such a high dependency on one company.

EDT | ANNUAL REPORT | PAGE 29

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

SCHEMES REVIEW continued

Industrial Cadets Accreditation (Partner Programme Accreditation)

The Industrial Cadets Community, comprising young individuals, educational institutions such as schools, colleges, and universities, alongside industry stakeholders, is experiencing consistent growth. There has been a year-on-year increase in the number of partners adopting Industrial Cadets accreditation as a benchmark for the quality of their STEM outreach activities.

We have achieved 318 Industry Partnerships cultivated: - nearly doubling the collaborations to provide valuable real-world experiences for students. Throughout the academic year, our partners have accredited programmes ranging from half-day workshops to more comprehensive projects, work experiences and internships.

We celebrated reaching 250,000 Industrial Cadet experiences in July 2024, and we have launched an ambition to inspire one million young people in industry by 2035.

Through our inclusive approach, we aspire to create a level playing field, ensuring young people across the UK have the chance to unlock their potential and pursue a successful future in STEM.

Our overarching vision entails the integration of Industrial Cadets into every school, inspiring one million young people to embrace career opportunities within the industry by 2035.

Moving forward into the next academic year (24/25) and beyond, we are committed to fostering partnerships with both industry and educational entities. Our objectives include elevating the visibility of Industrial Cadets, recognising achievements, and highlighting the successes of young individuals and their supporters.

EDT | ANNUAL REPORT | PAGE 30

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

FINANCIAL REVIEW

Income

The charitable company continued to adapt in response to a challenging funding market.

Total income for the year decreased by £1,030k, 35%, from last year to £1,929.9k. This was understandable after the large, £1,028k, one-off donation in 22/23 on closure of the Thomas Gerald Gray Charitable Foundation

income from other donations in the year increased by £112k overall and ended the year at £789k.

Charitable activities decreased by 10% overall with all schemes reduced by varying levels. Due to the restructure in 22/23 to focus on school leavers only and not graduates, Placements had the worst outcome, reducing by 22%. Experiences had a marginal decrease of 1% and projects fell by 6%. Industrial Cadets external accreditations and work experience fell by 20% but this was minor in value terms.

Expenditure

Total expenditure was £2,295k, a decrease of £47k or 2%, on last year which reflected an increase in staff costs offset by the release of the pension provision for the USS defined benefit scheme that moved into a surplus situation at their triennial revaluation.

Net Gains from Investments

The market revival saw investment funds held at CCLA give a £15.1k realised profit on disposal of £400k of funds invested in the year with £98.6k of unrealised gains at the year-end.

Net Income/Expenditure

The overall result for the year was a deficit of £251.4k, marginally worse than budget. The charity's unrestricted reserves at the end of the year amounted to £1,235.5k, above the minimum level required by the reserves policy. Restricted reserves at the year-end were £127.4k.

EDT | ANNUAL REPORT | PAGE 31

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT

The Trustees' Report

The Trustees, who are also directors of the company for the purpose of company law, present their report and the audited financial statements for the year ended 31 August 2024.

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 (SORP) applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015), the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. The Trustees' report should be read in conjunction with the Strategic Report on pages 3 to 20.

Administrative Information

The company number is 08879288.

The registered charity numbers are 1156066 for England and Wales and SC039635 for Scotland.

The registered address is Weltech Centre, Ridgeway, Welwyn Garden City, AL7 2AA.

The Trustees who served during the year are:

Elena Rodriguez-Falcon, Chair of Trustees Georgina Harris Mary Pooley Helen Anderson Paul Senior Jon Bolton, Treasurer until 21/09/2023 Dominic Waring joined 21/09/2023, Treasurer from 21/09/2023 Robyn Vincent joined 19/10/2023 Iain Kinnis joined 19/10/2023 Jonathan Simmons joined 19/10/2023 Olivier Usher joined 19/10/2023 Katie Mawdsley (EDT alumna), re-joined 13/06/2024 Howard Mathers, left 19/10/2023 Peter Chivers, left 25/04/2024 Laura Steedman (EDT alumna), left 21/08/2024 Michelle Watiki (EDT alumna), left 21/08/2024

EDT | ANNUAL REPORT | PAGE 32

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT continued

Day-to-day management of the charity is delegated to the Senior Management Team (SMT):

Julie Feest, Chief Executive Officer David Sobo, Director of Operations, joined 02/02/2024 Tim Miller, Finance Manager, joined 02/10/2023 Penny Tysoe, Funding and Communications Director Ciara Duffy, Scotland Director/Delivery Director

The Board of Trustees and SMT are supported by the following professional advisers:

Bankers: CAF Bank Ltd, 25 Kings Hill, West Malling, ME19 4JQ Investment Managers: CCLA Investment Ltd, 1 Angel Lane, London, EC4R 3AB Auditor: Abraham & Dobell, 230 Shirley Road, Southampton, SO15 3HR Solicitors: Blake Morgan LLP, New Kings Court, Tollgate, Chandlers Ford, SO53 3LG Pension advisors: Spence & Partners Limited, The Culzean Building, 36 Renfield Street, Glasgow, G2 1LU

Governing Document

The Engineering Development Trust was incorporated on 6 February 2014 as a company limited by guarantee, formed specifically to accept the transfer of the assets and entire business from the Engineering Development Trust, a registered charity, number 1002459, constituted 8 March 1991. The incorporation resulted in a new registered charitable company number being issued, number 1156066. The charitable company is also a registered charitable company in Scotland, number SC039635.

Organisational Structure

The charitable company is run by a Board of Trustees, which sets and monitors strategy and policies. The trustees delegate authority to deliver the strategy to the Chief Executive and staff. Regular board meetings receive reports on all the principal activities of the charitable company from the Chief Executive and other members of the Senior Management Team.

The trustees have established standing committees, each with its own terms of reference for Governance and Trustee Nominations, Audit and Risk and Remuneration.

The charitable company aims to give people ownership of the job, delegate decisions to an appropriate level and encourage staff to exercise personal initiative to achieve results on behalf of the charitable company. Considerable delegation of authority is therefore made to the Chief Executive and through the Chief Executive to the scheme’s functional and regional staff, who ensure those activities meet the needs of the intended beneficiaries.

The Engineering Development Trust has, amongst others, informal working relationships with the IET, Engineering UK and Make UK, whose educational objectives are complementary to those of the charitable company.

EDT | ANNUAL REPORT | PAGE 33

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT continued

Recruitment and Appointment of Trustees

The trustees regularly consider the mix of skills and experience needed to run the charitable company effectively and seek to recruit trustees to fill any vacancies. The Governance and Nominations Committee oversees the trustee recruitment process. Trustees are elected in accordance with the Memorandum and Articles of Association by members of the charitable company.

The Nominations Committee seeks a balance of representation from key stakeholder groups. It also seeks trustees who support the aims of the charitable company and are willing to make a contribution to its activities and, in addition, are sufficiently experienced to provide for effective governance.

At the Balance Sheet date there were 12 trustees (members), all of whom have limited liability of £1.

Trustee Induction and Training

New trustees are given an induction pack and meet with the Chair, Treasurer and Chief Executive to familiarise them with:

the charitable objectives the obligations of the trustees

the operational framework for the charitable company strategy and future plans resourcing and the current financial position, and the various activities of the charitable company

Risk Management

The assessment and management of risk is built into the day-to-day management of the activities of the charitable company and through mechanisms to ensure the long-term sustainability of its programmes.

A risk register has been developed using the Charity Commission template which is used to identify the main risks, their potential impact, likelihood and actions to mitigate them. The Audit and Risk Committee reviews and agrees these at least four times a year and the trustees receive reports by exception.

The charitable company’s income is directly linked to the level of activity and is raised on a year-on-year basis. The level of participation by employers, educators and young people is significantly influenced by factors outside of the charitable company’s control e.g. the economic outlook or government education policy. The reserves policy reflects and addresses the main risks identified by the risk register.

EDT | ANNUAL REPORT | PAGE 34

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT continued

Related Parties

None of the trustees receive remuneration or other benefits from their work with the charitable company. Trustees are required to provide details of other organisations in which they are employed or are linked with in another significant capacity and to report any contractual relationship with a related party. In the current year no such related party transactions were reported.

Key Management and Personnel Remuneration

The trustees consider themselves and the senior management team as the key management personnel of the charitable company in charge of directing, controlling, running and operating the Trust on a day-to-day basis. Details of trustees’ expenses and related party transactions are disclosed in notes 9 and 23 to the accounts.

The pay of the senior staff is reviewed annually against benchmarking data from the charity sector and from the wider economy with additional adjustments being applied as required to support the recruitment and retention needs of the charitable company.

Reserves Policy

The trustees have reviewed the major risks faced by the charitable company to determine the level of reserves necessary to meet their commitments to young people, employers, educators and other stakeholders. This value of reserves is then expressed within a range and is subject to an annual review which includes the requirement to establish an action plan, should reserves fall outside of the range agreed.

The major risks identified and other elements considered included within the reserves policy are:

• Working capital requirements

• Unexpected deficit situation caused by a loss of major funding streams

• Strategic decision to close or significantly change an EDT scheme.

Investment Policy

Reserves not required to meet the short-term needs are invested with the aim of mitigating the impact of inflation on the value of those reserves and to generate annual income to support the work of the charitable company. The trustees review the investment strategy on a regular basis, receiving quarterly reports from the fund management company managing the investments, CCLA, which specialises in managing investments for charities.

The funds are currently invested in CCLA COIF Charitable Funds. The Audit and Risk Committee meets with the fund managers on an annual basis to review the performance of the portfolio in relation to the trustees’ investment strategy. The Audit and Risk Committee makes proposals to the trustees, taking account of advice received, to implement changes to investments in line with the investment strategy. EDT | ANNUAL REPORT | PAGE 35| ANNUAL REPORT | PAGE 35 ANNUAL REPORT | PAGE 35| PAGE 35 PAGE 35

EDT | ANNUAL REPORT | PAGE 35| ANNUAL REPORT | PAGE 35 ANNUAL REPORT | PAGE 35| PAGE 35 PAGE 35

TRUSTEES’ REPORT

FOR YEAR ENDED 31 AUGUST 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT continued

Our Charitable Aims

The objectives of the charity are the advancement of education for the public benefit including (without limitation) by the promotion of the study of science, technology, engineering and mathematics amongst young people and the furtherance of any other charitable activities for the advancement of education as the Directors (Trustees) think fit.

The Engineering Development Trust achieves public benefit by focusing on its mission, which is to help talented young people achieve their full potential, in particular, through careers in STEM (science, technology, engineering and maths).

The trustees confirm they have complied with their duty in the Charities Act 2011 to have due regard to Public Benefit and have followed guidance published by The Charity Commission.

The activities undertaken by the charitable company are all aimed at encouraging more young people to take up careers in STEM. The charitable company aims to make their programmes and schemes accessible to all through the provision of bursaries.

This results in public benefit in several ways, including:

To the young people who obtain experience and skills development, thereby enabling them to make more informed choices at key moments in their education in relation to potential careers and to study subjects offering real long-term sustainable opportunity and value creation;

by aiming to widen access to key professions, enhancing diversity and ‘first in family’ into higher education, thereby enabling both fairer access and a wider talent pool for the economy;

to the UK economy through the input to society of the new generation of scientists and engineers;

and to the parents and educators who benefit from seeing their children and students undertaking activities and experiences which complement the learning and advice obtained at home and school.

EDT | ANNUAL REPORT | PAGE 36

TRUSTEES, REPORT •>EDT] • Industrial Cadets FOR YEAR ENDED 31 AUGUST 2024 STRUCTURE. GOVERNANCE AND MANAGEMENT continued RESPONSIBILITIES OF THE TRUSTEES The charitable companls trustees (who are also directors of The Engineering Development Trust 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. 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 the affairs of the charitable company and of the incoming resources and application of resources (including the income and expenditure) of the charitable company for that year. In preparing those 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 (FRS 102), makejudgements and accounting 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 and prepare the Financial Statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose, with reasonable accuracy at any time, the financial position of the charitable company and to enable them to ensure that the Financial Statements comply with the Companies Act 2006 and the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 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. AUDITORS Abraham and Dobell were re-appointed as auditors during the year and they have indicated their willingness to continue in that capacity. Approved by the Board of Trustees on 24th April 2025 and signed on its behalf by: Professor Elena Rodriguez-Falcon. Chair of Trustees EDT | ANNUAL REPORT | PAGE 37

AUDITOR’S REPORT

FOR YEAR ENDED 31 AUGUST 2024

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES AND MEMBERS

OPINION

We have audited the Financial Statements of The Engineering Development Trust (Limited by Guarantee) (the charitable company) for the year ended 31 August 2024, which comprise of Financial Activities, the Balance Sheet, the Statement of Cash Flows and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, 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 August 2024 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;

· have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

· have been prepared in accordance with the requirements of the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and regulation 8 of the Charities Accounts (Scotland) Regulations 2006.

BASIS OF OPINION

We conducted our audit in accordance with the International Standards on Auditing (UK) (ISAs (UK) and applicable law. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the Financial Statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. 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.

EDT | ANNUAL REPORT | PAGE 38

AUDITOR’S REPORT

FOR YEAR ENDED 31 AUGUST 2024

OTHER INFORMATION

The other information comprises the information included in the Trustees' Annual Report, other than the Financial Statements and our Auditor’s Report thereon. The Trustees are responsible for the other information contained within the Trustees' Annual Report. Our opinion on the Financial Statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the Financial Statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives 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.

OPINIONS ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

In our opinion, based on the work undertaken in the course of the audit:

· the information given in the Trustees’ Annual Report, incorporating the Directors’ Report, for the financial year for which the Financial Statements are prepared is consistent with the Financial Statements; and

· the Directors’ Report has been prepared in accordance with applicable legal requirements.

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors’ Report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 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 returns; or

· certain disclosures of trustees' and directors’ 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’ Annual Report and from the requirement to prepare a Strategic Report.

EDT | ANNUAL REPORT | PAGE 39

AUDITOR’S REPORT

FOR YEAR ENDED 31 AUGUST 2024

RESPONSIBILITIES OF TRUSTEES

As explained more fully in the Responsibilities of the Trustees' 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’ REPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under the Companies Act 2006 and report in accordance with regulations made under these Acts.

Our objectives are to obtain reasonable assurance about whether the Financial Statements, as a whole, are free from material misstatement, whether due to fraud or error and to issue an Auditor’s Report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Financial Statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

· We gained an understanding of the legal and regulatory framework applicable to the charity and the sector in which it operates through discussions with management, sector research and the application of relevant audit knowledge and experience.

· We made enquiries of management around actual and potential litigation and claims.

· We made enquiries of management and relevant staff and designed our audit procedures, including reviewing financial statement disclosures and testing of supporting documentation to access compliance with applicable laws and regulations.

· We identified the risk of material misstatement of the Financial Statements due to fraud and designed audit procedures to respond to the risk. We performed audit procedures designed to address the risk of fraud arising from management override of controls, including, but not limited to, testing of journal entries and other adjustments; reviewing accounting estimates for evidence of bias and evaluating the rational of significant transactions outside the normal course of business.

EDT | ANNUAL REPORT | PAGE 40

AUDITOR'S REPORT •>EDT] • Industrial Cadets FOR YEAR ENDED 31 AUGUST 2024 AUDITORS. REPONSIBILITIES continued 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 Accounts of noncompliance with regulation. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities is available on the Financial Reporting Council's website at www.frc.org.uk/auditors/audit-assurance-ethicslauditorsresponsibilities-for-the- audit. This description forms part of our Auditor's Report. 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 and to the charitable companls trustees as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable companys members and trustees, those matters we are required to state to them in an auditorfs 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, the charitable companls members as a body and the charitable company's trustees as a body, for our audit work, for this report or for the opinions we have formed. DJ MANT 230 Shirley Road Southampton S015 3HR SENIOR STATUTORY AUDITOR 24th April 2025 For and on behalf of Abraham & Dobell. Chartered Accountants. Statutory Auditor EDT | ANNUAL REPORT | PAGE 41

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

Statement of Financial Activities for the Year ended 31 August 2024 Incorporating Income and Expenditure account

		2024	2024	2024	2023
	**Notes **	**Unrestricted **	Restricted	Total Funds	Total Funds
		£000	£000	£000	£000
INCOME
Donations and Legacies	2	650.9	138.2	789.1	1,705.0
Charitable Activties	3	1,080.5	-	1,080.5	1,194.1
Investments	4	60.3	-	60.3	60.4
TOTAL INCOME		£1,791.7	£138.2	£1,929.9 £2,959.5	£1,929.9 £2,959.5
EXPENDITURE
Cost of Raising Funds	5	134.2	-	134.2	186.2
Charitable Activties	6	1,979.6	181.2	2,160.8	2,155.8
TOTAL EXPENDITURE		£2,113.8	£181.2	£2,295.0 £2,342.0	£2,295.0 £2,342.0
Net (Loses)/Gains from Investments	11	113.7		113.7	(55.2)
NET (EXPENDITURE)/INCOME AND NET MOVEMENT IN FUNDS		(£208.4)	(£43.0)	(£251.4)	£562.3
RECONCILLIATION OF FUNDS
Total Funds Brought Forward		1,443.9	170.4	1,614.3	1,052.0
Total Funds Carried Forward		£1,235.5	£127.4	£1,362.9 £1,614.3	£1,362.9 £1,614.3

EDT | ANNUAL REPORT | PAGE 42

FINANCIAL STATEMENTS f>EDT] ¥ Industrlal Cadets FOR YEAR ENDED 31 AUGUST 2024 Statement of Financial Position for the Year ended 31 August 2024 2024 2023 Notes £000 £000 £000 £000 FIXED ASSETS Tangible Fixed Assets Investments 10 11.5 14.5 11 1.537.2 1,823.5 TOTAL FIXED ASSETS £1.548.7 £1.838.0 CURRENT ASSETS Debtors 12 222.5 212.5 Cash at Bank and In Hand 69.9 292.8 TOTAL CURRENT ASSETS £292.4 £505.3 LIABILITIES Creditors: Amounts falling due within one year NET CURRENT ASSETS/(LIABILITIES) 13 478.2 595.6 (185.8) (90.3) Provisions 15 (133.4) TOTAL ASSETS LESS CURRENT LIABILITIESINET ASSETS 18 £1,362.9 £1.614.3 CHARITABLE COMPANY FUNDS Unrestricted Income Funds Restricted Income Funds 19 20 1.235.5 127.4 1,443.9 170.4 TOTAL CHARITABLE COMPANY FUNDS 18 £1.362.9 £1,614.3 FINANCIAL STATEMENTS The trustees have prepared the Financial Statements in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies and constitute the annual Financial Statements required by the Companie5 Att 2006 and are for circulation to members of the charitable company. Approved by the Board of Trustees on 24th April 2025 and signed on its behalf by: Professor Elena Rodriguez- alcon, CHAIR OF TRUSTEES The notes on pages 45 to 62 form part of these Financial Statements. Company Registration Number 08879288 EDT I ANNUAL REPORT | PAGE 43

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

Statement of Cash Flows for the Year ended 31 August 2024

	Notes	2024	2023
		£000	£000
CASH FLOWS FROM OPERATING ACTIVTIES
Net Cash provided/(used) in operating activities	28	(679.4)	500.0
CASH FLOWS FROM INVESTING ACTIVTIES
Dividends from investments		50.9	50.9
Bank Interest		9.4	9.5
(Purchase)/sale of investments		400.0	(400.0)
Purchase of property, plant and equipment		(3.8)	(36.7)
NET CASH PROVIDED BY INVESTING ACTIVITIES		456.5	(376.3)
Change in cash and cash equivalents in year		(222.9)	123.7
Cash and cash equivalents at the beginning of the year		292.8	169.1
CASH AND CASH EQUIVALENTS AT END OF THE YEAR	27	£69.9	£292.8

EDT | ANNUAL REPORT | PAGE 44

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

Notes to the Financial Statements

for the year ended 31 August 2024

1. ACCOUNTING POLICIES

Charity Information

The Engineering Development Trust is a charitable company established under its Memorandum and Articles of Association and is registered with the Charity Commission and Companies House in England and Wales and the Office of the Scottish Charity Regulator in Scotland. The principal address is Weltech Centre, Ridgeway, Welwyn Garden City, AL7 2AA. The charitable company is a public benefit entity.

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the Financial Statements are as follows:

a) Basis of Preparation

The Financial Statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their Financial Statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006.

The Engineering Development Trust meets the definition of a public benefit company under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.

The Financial Statements are prepared in sterling, which is the functional currency of the charitable company. Monetary amounts are rounded to the nearest £000.

b) Preparation of the Financial Statements on a Going Concern Basis

The Trustees have prepared the Financial Statements on a going concern basis.

EDT | ANNUAL REPORT | PAGE 45

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

1. ACCOUNTING POLICIES cont.

c) Income

All income is included in the Statement of Financial Activities when the charitable company is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

• Donations and legacies are received by way of donations and gifts and are included in full in the Statement of Financial Activities when receivable.

• Grants, where entitlement is not conditional on the delivery of a specific performance by the charitable company, are recognised when the charitable company becomes unconditionally entitled to the grant.

• Donated services and facilities are included at the value to the charitable company where this can be quantified. The value of services provided by volunteers has not been included in these Financial Statements.

• Investment income is included when receivable

• Income from charitable activities and grants which are related to performance and specific deliverables are accounted for as the charitable company earns the right to consideration by its performance.

d) Expenditure

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure excludes VAT, where recoverable, as the charitable company is VAT registered. Expenditure on charitable activities comprises those costs incurred by the charitable company in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and their associated support costs.

Support costs are those functions that assist the work of the charitable company but do not directly undertake the charitable activities. These costs have been allocated between the expenditure categories of the Statement of Financial Activities on a basis designed to reflect the use of the resource and are apportioned on an appropriate basis, e.g. floor areas, per capita or estimated usage.

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charitable company and include the audit fees and costs linked to the strategic management of the charitable company.

EDT | ANNUAL REPORT | PAGE 46

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

1. ACCOUNTING POLICIES cont.

e) Tangible Fixed Assets

Tangible assets are measured at cost less accumulated depreciation and any accumulated impairment losses.

Fixed assets costing more than £100 are capitalised at cost.

Depreciation is provided at the following annual rates in order to write-off each asset over its estimated useful economic life:

Computer equipment 33.33% per annum on cost Office equipment 33.33% per annum on cost Software and website 33.33% per annum on cost

f) Investments

Investments are held as fixed assets and are included on the Balance Sheet at market value. Changes in the market value of investments between financial years are recognised in the Statement of Financial Activities as gains and losses.

Gains and losses made on the sale of investment in the year are shown on the Statement of Financial Activities.

Interest on cash deposited with banks and investment management companies is included in investment income in the Statement of Financial Activities.

g) Debtors

Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid net of any trade discounts due.

h) Cash at Bank and in Hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

i) Creditors and Provisions

Creditors and provisions are recognised where the charitable company has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

j) Operating Leases

Rentals payable under operating leases are charged to the Statement of Financial Activities evenly over the period of the lease.

EDT | ANNUAL REPORT | PAGE 47

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

1. ACCOUNTING POLICIES cont.

k) Pension Costs - Further information on pensions is provided in note 26

The charitable company has three pension schemes for staff, which are the University’s Superannuation Scheme (USS), the University of Southampton’s Pension and Assurance Scheme for non-academic staff (PASNAS) and Scottish Widows Pension Scheme.

The USS is a multi-employer scheme for which it is not possible to identify the assets and liabilities due to the mutual nature of the scheme and, therefore, this scheme is accounted for as a defined contribution retirement benefit scheme. A liability is recorded within provisions for any contractual commitment to fund past deficits within the USS scheme.

PASNAS is a defined benefit scheme for which it is not possible to identify assets and liabilities due to the mutual nature of the scheme and, therefore, this scheme is accounted for as a defined contributions retirement benefit scheme.

Defined Benefit Schemes

Defined benefit schemes are post-employment benefit schemes other than defined contribution schemes. Under defined benefit schemes, the charitable company’s obligation is to provide the agreed benefits to current and former employees. Because of the mutual nature of the schemes, a scheme-wide contribution rate is set.

The charitable company is exposed to actuarial risk and investment risk associated with other institutions’ employees. The charitable company recognises a liability for its obligations under defined benefit schemes as a provision in the Accounts. The provision for net defined benefit liability arising from contractual obligations to fund past deficits is accounting for on a discounted present value basis.

Defined Contribution Schemes

A defined contribution scheme is a post-employment benefit scheme under which the charitable company pays fixed contributions into the scheme and has no legal or constructive obligation to pay further amounts. Obligations for contributions to defined contribution pension schemes are expensed in the year during which services are rendered by employees. Scottish Widows is a defined contribution scheme and is accounted for on that basis.

l) Taxation

The charitable company is exempt from Corporation Tax on its charitable activities.

m) Fund Accounting

Unrestricted funds consist of the general purposes fund and designated funds. Designated funds are funds established by the trustees from time to time for specific projects or purposes. They are not in any way restricted and any surplus or deficit will be transferred to/from the general purposes fund when the designated fund is closed. Restricted Funds are funds subject to specific restrictions imposed by the donors.

EDT | ANNUAL REPORT | PAGE 48

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

1. ACCOUNTING POLICIES cont.

n) Financial Instruments

The charitable company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

o) Significant Judgements and Estimates

Preparation of the Financial Statements may require management to make significant judgements and estimates. There are no items in the Financial Statements where judgements and estimates would have a significant effect on amounts recognised in the Financial Statements.

2. DONATIONS AND LEGACIES

2. DONATIONS AND LEGACIES
2. DONATIONS AND LEGACIES	2024	2024	2024	2023
	**Unrestricted **	Restricted	Total	Total
	£000	£000	£000	£000
Donations and Legacies	£650.9	£138.2	£789.1	£1,705.0

£187.3 of the donations and legacies received were restricted in the year to 31 August 2023.

Our top four donors were GFG Foundation, STEM Learning, Avantor Foundation and Garfield Weston Foundation. There were no donated services and facilities receivable which could be quantified in the year (2023 - £nil).

3. INCOME FROM CHARITABLE ACTIVITIES	2024	2024	2024	2023
**Unrestricted **		Restricted	Total	Total
	£000	£000	£000	£000
Income from Charitable Activities
Experiences	302.8	-	302.8	304.8
Projects	458.1	-	458.1	484.8
Placements	196.0	-	196.0	250.9
Industrial Cadets Accreditations and Development	123.6	-	123.6	153.6
	£1,080.5	-	£1,080.5	£1,194.1

EDT | ANNUAL REPORT | PAGE 49

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

3. INCOME FROM CHARITABLE ACTIVITIES cont.

The charitable company has received grants from local authorities and organisations linked to the government to provide various services and specific deliverables. There were no unfilled conditions and/or other contingencies attaching to the grants that have been recognised in income.

The grants and donations shown above relate to payments received during the charitable company‘s year to 31 August 2024 but adjusted for any deferments where the expenditure arising for that grant is being incurred in a subsequent year.

Our top five funders were Scottish Power, GSK, Leonardo UK, Viridor Waste Management and Mott McDonald.

The income received from charitable activities was unrestricted for both years.

4. INVESTMENT INCOME

Investment income was unrestricted for both years.

	2024	2024	2024	2023
	**Unrestricted **	Restricted	Total	Total
	£000	£000	£000	£000
Investment Income
Bank Interest	9.4	-	9.4	9.5
Dividends	50.9	-	50.9	50.9
	£60.3	-	£60.3	£60.4
5. COST OF RAISING FUNDS
	2024	2024	2024	2023
	Unrestricted Restricted		Total	Total
	£000	£000	£000	£000
Fundraising and Charity Development	134.2	-	134.2	186.2
	134.2	-	134.2	186.2

5. COST OF RAISING FUNDS

The cost of raising funds includes staff costs, travel expenses and general running costs and a portion of support and governance costs.

The expenditure on raising funds was unrestricted for both years.

EDT | ANNUAL REPORT | PAGE 50

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

6. ANALYSIS OF EXPENDITURE ON CHARITABLE ACTIVITIES

	Staff Costs	**Travel **	Recruitment	Events Courses Workshops	Tutors Supervisors
	£000	£000	£000	£000	£000
Experience Days	568.8	28.3	6.8	86.5	0.0
Projects	487.0	11.4	11.3	47.1	0.0
Year In Industry	97.0	0.3	3.6	0.0	0.0
Industrial Cadets	127.4	5.4	0.0	6.2	0.0
2024 Total	£1,280.2	£45.4	£21.7	£139.8	£0.0
2023 Total	£1,209.2	£46.3	£11.3	£145.2	£0.0
		Running	Support	Governance	Total
		Costs	Functions	Costs	Expenditure
		£000	£000	£000	£000
Experience Days		29.7	228.7	16.0	964.8
Projects		26.6	183.4	16.0	782.8
Year In Industry		14.3	58.9	16.0	190.1
Industrial Cadets		9.9	58.2	16.0	223.1
2024 Total		£80.5	£529.2	£64.0	£2,160.8
2023 Total		£198.4	£483.4	£62.0	£2,155.8

Included in the expenditure above £181.2 was restricted (2023 £16.9).

EDT | ANNUAL REPORT | PAGE 51

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

7. ANALYSIS OF SUPPORT AND GOVERNANCE COSTS

The charitable company identifies the costs of its support functions. It then identifies those costs which relate to the governance function. Having identified its governance costs, the remaining support costs together with the governance costs are apportioned between the main charitable activities undertaken in the year. Refer to the table below for the basis for apportionment and the analysis of support and governance costs.

	General **Support **	Governance	Total Funds	Basis of Apportionment
	£000	£000	£000
Staff Costs	284.4	52.0	336.4	Time/Usage
Recruitment	11.8	0.0	11.8	Usage
Travel	15.3	3.3	18.6	Usage
Pension Provision	(13.3)	0.0	(13.3)	Usage
Running Costs	70.4	1.2	71.6	Usage
Marketing/Publicity	33.9	0.0	33.9	Usage
Depreciation	6.8	0.0	6.8	Usage
ICT	117.9	0.0	117.9	Usage
Professional Fees	2.0	0.0	2.0	Usage
Audit Fees	0.0	7.5	7.5	Governance
	£529.2	£64.0	£593.2

8. NET INCOME FOR THE YEAR

This is stated after charging:	2024	2023
	£000	£000
Operating Leases	54.4	57.1
Depreciation	6.8	27.1
Professional Fees	2.0	2.1
Audit Fees	7.5	7.5

EDT | ANNUAL REPORT | PAGE 52

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

9. ANALYSIS OF STAFF COSTS, TRUSTEE REMUNERATION AND EXPENSES AND THE COST OF KEY MANAGEMENT PERSONNEL

	**2024 Total **	2023 Total
	£000	£000
STAFF COSTS
Gross Salaries and Wages	1,558.9	1,404.5
Social Security Costs	152.7	129.6
Pension Costs	148.0	167.4
Pension Provision for USS (Note 26)	(133.4)	(40.5)
	£1,726.2	£1,661.0
	2024	2023
The average number of Employees during the year:	46	43
Equivalent full-time	43	40
The number of high paid employees over £60k was:	2	2
In the band £100,000 - £110,000	1	1
In the band £90,000 - £100,000	0	0
In the band £80,000 - £90,000	0	0
In the band £70,000 - £80,000	0	0
In the band £60,000 - £70,000	1	1
The employee benefits of higher paid employees:	£10.4	£9.9
	2024	2023
Trustee renumeration throughout the year	£0	£0
Trustees may claim for reimbursement of expenses
incurred whilst discharging their role as a trustee.
During the year 6 Trustees claimed travel expenses	£1.1	£1.6

EDT | ANNUAL REPORT | PAGE 53

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

10. TANGIBLE FIXED ASSETS

	Software and Website	Computer Equipment	Office Equipment	Total
	£000	£000	£000	£000
Cost
At 31st August 2023	300.6	180.1	20.1	500.8
Additions	-	3.8	0.0	3.8
Disposals	-	-	-	-
At 31st August 2024	300.6	183.9	20.1	504.6
Depreciation
At 31st August 2023	300.6	165.9	19.8	486.3
Provided for the year	0.0	6.7	0.1	6.8
At 31st August 2024	300.6	172.6	19.9	493.1
Net Book Values
At 31st August 2024	-	£11.3	£0.2	£11.5
At 31st August 2023	-	£14.2	£0.3	£14.5

EDT | ANNUAL REPORT | PAGE 54

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

11. INVESTMENTS

11. INVESTMENTS	11. INVESTMENTS
		2024 Total	2023 Total
		£000	£000
	Market Value
	CCLA Charities Common Investment Fund	1,392.5	1,673.7
	CCLA Charities Property Fund	144.7	149.8
	Market Value at the end of the Financial Year	£1,537.2	£1,823.5
	Reconciliation of Movement in Market Value of Investments
	Market Value at start of the financial year	1,823.5	1,478.7
	Sale of Investment at Market Value (Jan. 2024)	(400.0)	-
	Purchase of Investment	-	400.0
	Profit on sale at Market Value (Jan. 2024)	15.1	-
	Net (loss)/gain on revaluation of investments at the end of the financial year	98.6	(55.2)
	Market Value at the end of the Financial Year	£1,537.2	£1,823.5
		2024 Total	2023 Total
		£000	£000
	Cost
	CCLA Charities Common Investment Fund	1,247.2	847.2
	Additions/(Disposals)	(286.8)	400.0
		960.4	1,247.2
	CCLA Charities Property Fund	134.5	134.5
	Cost at the end of the Financial Year	£1,094.9	£1,381.7
12. DEBTORS	12. DEBTORS
		2024 Total	2023 Total
		£000	£000
	Trade Debtors	130.7	140.4
	Other Debtors and Prepayments	91.8	72.1
		£222.5	£212.5

EDT | ANNUAL REPORT | PAGE 55

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

13. CREDITORS - AMOUNTS FALLING DUE WITHIN ONE YEAR

		2024 Total	2023 Total
		£000	£000
	Trade Creditors	180.6	167.7
	VAT	6.0	1.2
	Taxation and Social Security	31.3	25.6
	Pension Scheme Contributions	11.5	8.7
	Deferred Income (Note 14)	159.9	214.8
	Accruals	88.9	177.6
		£478.2	£595.6
14. MOVEMENTS IN DEFERRED INCOME	14. MOVEMENTS IN DEFERRED INCOME
		2024 Total	2023 Total
		£000	£000
	Deferred Income at 1 September	214.8	311.1
	Deferred Income released during the year	(214.8)	(311.1)
	Income received during the year and deferred	159.8	214.8
	Deferred Income at 31 August	£159.8	£214.8
15. PENSION PROVISION	15. PENSION PROVISION
		2024 Total	2023 Total
		£000	£000
	Provision at 1 September	133.4	173.8
	Release of provision	(133.4)	-
	Discount rate adjustment	-	(26.4)
	Deficit contributions paid in the year - USS	-	(14.0)
	Provisions at 31 August	£0.0	£133.4
16. FINANCIAL INSTRUMENTS	16. FINANCIAL INSTRUMENTS
		2024 Total	2023 Total
		£000	£000
	Financial Instruments measured at the amortised
	cost comprise the following:
	Financial assets that are debt instruments (Trade Debtors)	130.7	140.4
	Financial liabilities that are debt instruments (Creditors)	229.4	203.2
		EDT	ANNUAL REPORT

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

17. OPERATING LEASES

The charitable company is committed to payments after the year ended 31 August 2024 under non-cancellable operating leases which expire as follows:

			2024	2023
			Total	Total
			£000	£000
Premises Licences to occupy expiring between 1-5 years			11.8	14.6
Office Equipment - expiring between 1-5 years		Office Equipment - expiring between 1-5 years	1.0	1.3
			£12.8	£15.9
18. ANALYSIS OF NET ASSETS BETWEEN FUNDS
	2024	2024	2024	2023
	General	Restricted	Total	Total
	Funds	Funds	Funds	Funds
	£000	£000	£000	£000
Tangible Fixed Assets	11.5	-	11.5	14.5
Investments	1,537.2	-	1,537.2	1,823.5
Current Assets	165.0	127.4	292.4	505.3
Currrent Liabilities	(478.2)	-	(478.2)	(595.6)
Provisions	-	-	-	(133.4)
Total Funds	£1,235.5	£127.4	£1,362.9	£1,614.3

18. ANALYSIS OF NET ASSETS BETWEEN FUNDS

In 2023 £170.4 of the Current Assets were restricted funds.

EDT | ANNUAL REPORT | PAGE 57

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

19. ANALYSIS OF CHARITABLE FUNDS

Unrestricted Funds comprise those funds which trustees are free to use in accordance with the charitable objects. Restricted Funds are funds which have been given by a donor for particular purposes and projects.

	At 01-09-23	Incoming Resources	Outgoing Resources	At 31-8-24
	£000	£000	£000	£000
Analysis of Movements in
Unrestricted Funds
General Funds	1,193.9	1,791.7	1,999.3	986.3
Designated Funds	250.0	-	0.8	249.2
Total Unrestricted Funds	£1,443.9	£1,791.7	£2,000.1	£1,235.5
Analysis of Movements in
Restricted Funds
Fund 1	100.0	100.0	100.0	100.0
Fund 2	70.4	38.2	81.2	27.4
Total Restricted Funds	£170.4	£138.2	£181.2	£127.4
Total Funds	£1,614.3	£1,929.9	£2,181.3	£1,362.9

20. RESTRICTED FUNDS

The restricted funds are comprised of two funds from charitable organisations:

• Fund 1 - The balance is £100k, being the second instalment of a three-year project to deliver a new STEM apprenticeships programme having spent the first £100k.

• Fund 2 - is for £27.4k, being a three-year project to establish a new Head of Impact role and improve data capture systems. This year £81.2k of this fund been spent.

21. DESIGNATED FUNDS

A designated fund of £250k was established in 22/23 to assist in securing matched funding. At the year-end £55.3k of this has been allocated but only £0.8k spent.

22. CONTINGENT LIABILITIES AND POST BALANCE SHEET EVENTS

The charitable company had no contingent liabilities as at 31 August 2024 (2023 - £nil). There are no post balance sheet events as at 31 August 2024 (2023 - none).

23. RELATED PARTY TRANSACTIONS

A number of trustees are directors of, or are associated with, organisations that provide funding to the charitable company or participate in our schemes/programmes. There were no related party transactions arising in the year to 31 August 2024 (2023 - none).

EDT | ANNUAL REPORT | PAGE 58

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

24. TAXATION

As a registered charity, the charitable company’s income is generally exempt from Corporation Tax under Section 478 of the Corporation Taxes Act 2010 by reason of its charitable objects and activities.

25. LEGAL STATUS OF THE CHARITABLE COMPANY

The charitable company is a private company limited by guarantee and has no share capital. The liability of each trustee, in the event of winding-up, is limited to £1.

26. PENSION COSTS

The charitable company has three pension schemes for staff :

The University’s Superannuation Scheme (USS), the University of Southampton’s Pension and Assurance Scheme for non-academic staff (PASNAS)

Scottish Widows Pension Scheme.

The USS is a multi-employer scheme for which it is not possible to identify the assets and liabilities due to the mutual nature of the scheme and, therefore, this scheme is accounted for as a defined contribution retirement benefit scheme. A liability is recorded within provisions for any contractual commitment to fund past deficits within the USS scheme.

PASNAS is a defined benefit scheme for which it is not possible to identify assets and liabilities due to the mutual nature of the scheme and, therefore, this scheme is accounted for as a defined contributions retirement benefit scheme.

Defined Benefit Schemes are post-employment benefit schemes other than defined contribution schemes. Under defined benefit schemes, the charitable company’s obligation is to provide the agreed benefits to current and former employees. Due to the mutual nature of the schemes, a scheme-wide contribution rate is set. The charitable company is exposed to actuarial risk and investment risk associated with other institutions’ employees. The charitable company recognises a liability for its obligations under defined benefit schemes as a provision in the Accounts. The provision for net defined benefit liability arising from contractual obligations to fund past deficits is accounting for on a discounted present value basis.

Defined Contribution Schemes are post-employment benefit schemes under which the charitable company pays fixed contributions into the scheme and has no legal or constructive obligation to pay further amounts. Obligations for contributions to defined contribution pension schemes are expensed in the year during which services are rendered by employees. Scottish Widows is a defined contribution scheme and is accounted for on that basis. ‘Trustees of the University of Southampton Pension and Assurance Scheme’. The Engineering Development Trust has no representation on either of these externally administered schemes. The PASNAS closed to new members on 31 December 2018.

EDT | ANNUAL REPORT | PAGE 59

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

26. PENSION COSTS cont.

A group personal pension scheme with Scottish Widows was set up in August 2017. This is a defined contribution scheme meeting the requirements of the auto-enrolment legislation for new employees not eligible for membership of the USS pension scheme.

The total pension cost for the charitable company was £148.0 for the year (2023 £167.4). The trustees of The Engineering Development Trust consider and review updates and information received from the trustees of each pension scheme.

USS

FRS102 makes the distinction between a group plan and a multi-employer scheme. A group plan consists of a collection of entities under common control typically with a sponsoring employer. A multi-employer scheme is a scheme for entities not under common control. The accounting for a multi-employer scheme where the employer has entered into an agreement with the scheme that determines how the employer will fund a deficit results in the recognition of a liability for the contributions payable that arise from the agreement (to the extent that they relate to the deficit) and the resulting expense in profit or loss in accordance with section 28 of FRS102. The directors are satisfied that the USS meets the definition of a multi-employer scheme and that contractual contributions under the recovery plan in existence at the balance sheet date have been recognised at a discounted fair value.

The latest triennial actuarial valuation at 31 March 2023 when the scheme surplus was valued at £7.4bn, a funding ratio of 111%. This is a significant improvement since the estimated £2.1bn shortfall at 31 March 2022. Following the 2020 valuation, the USS Trustees were working towards an 18-year recovery plan ending in April 2038 which has now been cancelled with contributions reducing to their normal levels for employers and employees.

EDT was committed to paying annual deficit recovery contributions equivalent to 6.2% until 31 March 2024 and then 6.3% until 30 April 2038. The present value of these future contributions was calculated as £133.4k at the 2023 year end Balance Sheet date. Due to the current surplus on the scheme this amount has been released to the profit and loss this year.

EDT | ANNUAL REPORT | PAGE 60

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

26. PENSION COSTS cont.

Deficit contribution this year were nil (2023 £14k)

The contribution rate payable by the charitable company remained at 21.6% of pensionable salaries until December 2023 and then 14.5% for the remainder of the year. (2023 21.6%). The contribution rate pre January 2024 includes the deficit recovery contribution. Employees' contribution rate was 9.8% until December 2023 and then reduced to 6.1% for the remainder of the period. At 31 August 2024, out of a total active membership in USS of 232,360 (as per USS March 2024 annual report), the charitable company had 4 active members participating.

PASNAS

The triennial valuation for PASNAS as at 31 July 2021 revealed a deficit of £56.5m, corresponding to a funding level of 83%. The latest updated position, at 31 July 2024, indicated a deficit of £3.6m, 98% funding level, the improvement being driven by a £30m contribution to the scheme by the Southampton University. Following the 2021 valuation, the university continues to pay deficit contributions. The PASNAS Trustees currently aim at clearing the deficit by 31 March 2031.

EDT has not entered into a formal agreement to make payments in relation to future contributions to cover any deficit relating to past service of the members of the schemes. As such, it is unable to recognise the present value of future contributions as they are not known at the balance sheet date. It may change in future accounting periods.

The contribution rate payable by the charitable company at the Balance Sheet date was 16.85% of pensionable salaries (7.2% for employees). As at 31 August 2023, the charitable company had 6 active members participating, out of 965 active members in PASNAS (31st July 2023).

27. ANALYSIS OF CASH AND CASH EQUIVALENTS

	2024 Total	2023 Total
	£000	£000
Cash at Bank and In Hand	69.9	292.8
Total Cash and Cash Equivalents	£69.9	£292.8

EDT | ANNUAL REPORT | PAGE 61

FINANCIAL STATEMENTS

FOR YEAR ENDED 31 AUGUST 2024

28. RECONCILIATION OF NET INCOME/ EXPENDITURE TO NET CASH FLOW FROM OPERATING ACTIVITIES

	2024 Total	2023 Total
	£000	£000
Net (Expenditure)/Income for the year (as per the Statement of Financial Activities)	(251.4)	562.3
Adjustments for:
Depreciation Charges	6.8	27.1
Loss /(Gain) on Investments	(98.6)	55.2
Dividends from Investments	(60.3)	(60.4)
Loss/(Gain) from Sale of Investments	(15.1)	0.0
Decrease/(Increase) in Debtors	(10.0)	48.3
(Decrease) in Creditors & Provisions	(250.8)	(132.5)
Net cash Provided by/(Used in) operating activities	(£679.4)	£500.0

EDT | ANNUAL REPORT | PAGE 62

THANK YOU

The support of our donors, funders, sponsors, and volunteers helps bring us one step closer to a fairer society where all young people can develop the skills, knowledge, and confidence they need to succeed in STEM. Whether you have volunteered at an event or mentored a young person, made a one-off donation, supported us through a corporate partnership or awarded us a grant, we thank you. We are hugely grateful for each and every one of our supporters. Particular thanks to the following organisations for their significant support during the year:

We would also like to thank Belling Charitable Settlement & John Swire 1989 Charitable Trust . As well as all of our local and regional supporters that help to fund our communities nationwide.

Get Involved

Access to careers advice, extra-curricular activities, and opportunities to build the skills they’ll need for work are out of reach for many young people living in our communities today. Donations, corporate support, and gifts of time can enable young people to take part in hands-on activities and projects, work with mentors from diverse backgrounds, and build vital connections with industry and educators.

Talk to our philanthropy & partnerships team about supporting high impact programmes which make a real difference to young people’s lives – contact [e-mail] or 01707 906549. If you’re interested in volunteering, please visit: www.etrust.org.uk

EDT | ANNUAL REPORT | PAGE 63