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2022-07-31-accounts

Index
Page
Executive and Union Information 3-4
Annual Report
Trustee Report 57
Structure Governance and Management 5
Relationship with the University of East Anglia 6
Charitable Objects 6
Trustee Board Responsibilities 6-7
Strategic Report 8-14
Review of achievements and performance 8-10
Financial Review and results 10-12
Reserves Policy 11
Principle risks and uncertainties 12 - 13
Future Plans
Independent Auditors report 14 -17
Statement of Financial Activities for the year to 31 July 2020 18
Balance Sheet as at 31 July 2020 19
Consolidated Cash Flow Statement 20
Notes to the Consolidated Cash Flow Statement 21
Notes to the Accounts 22-40
including
Accounting Policies 22-24
Financial Performance of the Union 25
Incoming Resources from activities to generate funds 26
Analysis of expenditure on charitable activities 27
Central Overhead Costs 28
Analysis of staff costs 29
Tangible Fixed Assets 32
Analysis of Charitable Funds 35 - 36

2019 2020 2021 2022
Individual votes 1,977 2,750 2,140 1815
LUnique votes 9,560 16,733 14,902 10,750
[Engagement score 4.84 6.08 6.96 6.0

-
£‘OOO £‘OOO
Unrestricted reserves (1,792)
Add back long term pension liabilities 2,595
Long term loans 886
liability for advanced tickets (normalised) 400
Less NBV of tangible fixed assets (4,683)
excluding assets from restricted funds 3,625
(1,058
Free Reserves 1,031

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Annual Report and Accounts for the year ended 31[st ] July 2022 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE UNION OF UEA STUDENTS LIMITED (CONTINUED)

testing a sample of income across the year to supporting documentation, and reviewing income received either side of the year end to ensure this has been recognised correctly.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non­ compliance and cannot be expected to detect non-compliance with all laws and regulations. These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: w .frc.orq.uk/auditorsresponsibilities. 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. Our audit work has been undertaken so that we might state to the Charitable Company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charitable Company and the Company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Janette Joyce

Senior Statutory Auditor For and on behalf of

Crowe U.K. LLP

Statutory Auditor

Reading

Date: 23 March 2023

17

2022 2021
Unrestricted Restricted Restricted Total Year ended
Notes Funds Building Funds Funds 31 July
projects Other
£‘OOO £‘OOO £‘OOO £‘OOO E’OOO
Income and Endowments
from:
Donations
University Grants 880 - - 880 530
Provision of accommodation 438 - - 438 788
Compensation for transferred 4 494 - - 494 597
businesses
Other funding from University 109 - - 109 214
Charitable activities for
students
Contributions from Club &
society members 4 - - 717 717 217
Commercial trading operations 5 5,445 - - 5,445 2,258
Income from Govt. support
schemes and Insurance claims 6 34 - - 34 1,546
Other operating income 39 - - 39 26
Total Income 7,439 - 717 8,156 6,176
Expenditure on Resources
Charitable activities for
students 8 (1,442) - - (1,442) (1,204)
Club & Society expenses - - (729) (729) (165)
Expenditure against grants (320) (1) (321) (335)
Commercial Trading Operations 4/5 (5,418) - - (5,418) (4,804)
Total Expenditure (6,860) (320) (730) (7,910) (6,508)
Decrease in Pension deficit 403 - - 403 42
Net income I (Expenditure) 982 (320) (13) 649 (290)
Funds brought forward at 31 (2,775) 4,006 389 1,620 1,909
July 2021/ (2020)
Fund balances at 31 July (1,793) 3,686 376 2,269 1,620
2022 /2021

Group Union
2022 2021 2022 2021
Note £‘OOO £‘OOO £‘OOO £‘OOO
FIXED ASSETS:
Tangible assets 16 4,683 5,144 3,661 3,997
Investments 13 - - 750 750
4,683 5,144 4,411 4,747
CURRENT ASSETS
Stocks 17 65 54 - -
Debtors 18 278 492 1,853 404
Cash at bank and in hand 2,065 1,335 134 457
2,408 1,881 1,987 861
CURRENT LIABILITIES
Amounts falling due within one year 19 (1,340) (1,510) (961) (476)
NET CURRENT ASSETS 1,068 371 1,026 385
TOTAL ASSETS LESS CURRENT LIABILITIES 5,751 5,515 5,437 5,132
LIABILITIES FALLING DUE AFTER
MORE THAN ONE YEAR
Bank Loans 20 (227) (292) (227) (292)
Loans from University 20 (659) (394) (659) (394)
UUEAS Pension deficit 20 (22) (30) (22) (30)
SUSS Pension deficit 20 (2,574) (3,179) (2,574) (3,179)
TOTAL NET ASSETS 2,269 1,620 1,955 1,237
RESTRICTED FUNDS
Club and Society Funds 21 350 362 350 362
Other Grant funding 26 27 26 27
Capital Projects funded by Grant 3,686 4,006 3,686 4,006
UNRESTRICTED FUNDS
Accumulated Funds (1,793) (2,775) (2,107) (3,158)
2,269 1,620 1,955 1,237

Consolidated Cash Flow Statement
Year ended Year ended
31.7.22 31.7.21
Notes £‘OOO £‘OOO
Net Cash Flow from operating activities A 589 (15)
Returns on investments and servicing of finance B 212 639
Capital Expenditure B (71) (91)
Increase in cash in the period 730 533
Reconciliation of net cash flow to movement in net funds
Increase in cash in the period C 730 533
Decrease / (increase) in Bank Loans in period 53 (245)
Net funds at 31 July 2021/ (31 July 2020) 990 702
Net Funds at 31 July 2022 / (31 July 2021) 1,773 990

Notes to the consolidated cash flow statement
Year ended Year ended
31.7.22 31.7.21
Note A
Reconciliation of operating profit to net cash inflow from operating activities
£‘OOO £‘OOO
Total net income I (expenditure) on ordinary activities 649 (290)
Interest received (-) (-)
Net Income / (Expenditure) 649 (290)
Add back depreciation charges 532 553
Loss on disposal of Fixed assets - 8
(Increase) / Decrease in stocks (11) 60
(Increase) / Decrease in debtors 214 (353)
Increase/ (Decrease) in creditors (180) 259
(Decrease) in long term liabilities (615) (252)
Net cash inflow/ (outflow) from unrestricted activities 589 (15)
Note B
Analysis of cash flows for headings netted in the cash flow statement
£‘OOO £‘OOO
Returns on investments and servicing of finance
Bank Loans acquired - 350
Bank Loans repaid
Loans from University
( 53)
265
(105)
394
Interest received - -
Net Cash inflow on investments and servicing of finance 212 639
Capital expenditure
Purchase of tangible fixed assets — unrestricted funds (71) (91)
Purchase of tangible fixed assets — restricted funds - -
Net cash outflow for capital expenditure (71) (91)
Note C
Analysis of changes in net funds
1.8.21 Cash Flow 31.7.22
£‘OOO E’OOO £‘OOO
Net Cash 1,335 730 2,065
Bank Loans (345) 53 (292)
Total 990 783 1,773
Analysed in balance sheet
Cash at bank and in hand 1,335 2,065
Creditors within 1 year (53) (65)
Creditors falling due after more than 1 year (292) (227)
990 1,773

depreciated over its exp ected useful life, as follows:
New Building 2% straight line
Property Improvements — Union House, SUS (EA) Ltd 5 - 10% straight line
Property Improvements — Waterfront SUS Ltd 20% straight line
Motor Vehicles 25% straight line
Fixtures, Fittings and Equipment 10 - 25% straight line
Computers and IT. 25% straight line

The summary financial performance of the Union alone is:
Year ended Year ended
31.7.22 31.7.21
£‘OOO £‘OOO
Incoming resources
University Block grant 739 363
Grant for repairs and utilities 167 167
Grant for/ donation of accommodation 438 788
Payments in respect of transferred business 494 597
INTO and Easton College fees - -
Income from catering operations commercial trading - 222
Income from Covid Support schemes 20 787
Other operating income 39 16
Gift aid payable from subsidiaries 110 -
Other UEA departmental grants 109 214
2,090 3,154
Contributions from Club and Society members 717 217
Rent & service charges from subsidiary companies 724 712
3,531 4,083
Expenditure on charitable activities (1,443) (1,308)
Expenditure from catering operations commercial trading
Expenditure recharged to subsidiary companies
(-)
(724)
(324)
(712)
Furloughed wages of casual staff
Club and Society expenses
(-)
(729)
(626)
(165)
Restricted fund expenditure against capital grants (320) (335)
(Increase) /Decrease in pension deficit (UEASSS) 403 42
Write down in value of Investment - (1,100)
Net Incoming / (Outgoing) resources 718 (444)
Total funds brought forward 1,237 1,681
Total funds carried forward 1,955 1,237
Represented by
Restricted funds 4,062 4,395
Unrestricted funds (2,107) (3,158)
1,955 1,237

The summary financial performance of the subsidiary com panies is:
Year ended Year ended
31.7.2022 31.7.2021
SUS WF SUS WF
£‘OOO £‘OOO £‘OOO E’OOO
Turnover 3,904 1,541 1,901 135
Cost of Sales and Administrative Costs (3,342) (1,467) (2,625) (412)
Rent and Service Charges allocated from the Union (649) (76) (667) (45)
Interest receivable
Other income from Covid Support schemes 116 12 343 426
Profit for the year 29 10 (1,048) 104
Brought forward 709 325 1,757 221
Payments under gift-aid to the Union - (110) -
Retained in subsidiary companies 738 225 709 325
The assets and liabilities of the companies were:
31 July 2022 31 July 2021
SUS WF SUS WF
£‘OOO £‘OOO £‘OOO £‘OOO
Fixed Assets 851 169 949 197
Current Assets 2,182 710 611 835
Current Liabilities (2,195) (652) (751) (707)
Long term liabilities - - - -
838 227 809 325
Aggregate share capital and reserves 838 227 809 325

he Group received income in the form of grants, support pa
ompensate for the impact of Covid-19
yments and insurance recoveries in the year to
2021/22 2020/21
£‘OOO £‘OOO
Furlough Scheme 26 1,009
Arts Council England grants (Venues) 2 264
Insurance recoveries - 200
Local Authority grants 6 69
Other - 4
Total 34 1,546

8. Analysis of expenditure on charitable activities
Year ended Year ended
31.7.22 31.7.21
£‘OOO E’OOO
Representation & governance
Employment costs 387 371
Internal democracy 5 4
Postgraduate activities 6 7
Volunteer Scheme - 2
Conferences 5 -
NUS affiliation 13 12
Schools I teaching awards - -
Campaigns 5 2
Central overhead costs 250 223
671 621
Student support services
Employment costs 164 134
Miscellaneous expenses 2 1
Subscriptions 12 12
Stationery & telephone - -
Professional fees - -
Central overhead costs 114 57
292 204
Sports Association, Clubs and Societies
Employment costs 239 214
Individual clubs & societies 63 53
Postgraduate activities 7 6
Central overhead costs 169 106
478 379
Total Expenditure on charitable activities 1,442 1,204

2022 % Staff Premises Other Total
costs costs costs
£‘OOO £‘000 £‘OOO £‘OOO
Representation 47.1 141 57 53 251
Student Support Services 21.3 64 26 24 114
Sports Association, Clubs & Societies 31.6 95 39 35 169
Catering operations - - - - -
Recharged to subsidiary companies 243 407 74 724
543 529 186 1,258
2021 % Staff Premises Other Total
costs costs costs
£‘OOO £‘OOO £‘OOO E’OOO
Representation 50.7 130 40 54 224
Student Support Services 13.0 33 10 14 57
Sports Association, Clubs & Societies 24.1 62 19 26 106
Catering operations 12.2 31 10 13 54
Recharged to subsidiary companies 220 430 67 719
476 509 174 1,159

The total resources exp e nded includes the following expenses
Year ended Year ended
31.7.22 31.7.21
£‘OOO £‘OOO
Depreciation 532 553
Auditors Remuneration Consolidated accounts 8 7
Subsidiary companies accounts 15 10
Tax and other services 4 6

Annual Report and Accounts for the year ended 31[st] July 2022 Notes to the Accounts, continued

11. Analysis of Staff Costs

11. Analysis of Staff Costs
Year ended Year ended
31.7.22 31.7.21
£’000 £’000
Group
Salaries and Wages 2,813 2,977
Social Security Costs 171 171
Pension Costs 163 210
Union
Salaries and Wages 966 1,745
Social Security Costs 85 91
Pension Costs 96 117

The average number of employees in the year was 492 (2021 - 524). This splits between salaried staff and staff on short term contracts, the majority of whom are students who work varying hours according to demand and availability and are generally limited to 15 hours per week. The average numbers employed across the year in each category were as follows:-

Group Union
2022 2021 2022 2021
Career Staff 72 81 38 44
Staff on short-term contracts 420 443 39 66
Total 492 524 77 110

The Union has identified as key management personnel the 5 full time sabbatical officers and the senior management team, comprising the Chief of Staff, Director of HR and Shared Services, and Assistant Directors of Social Enterprise, Advocacy and Finance.

The combined remuneration, including payments in lieu of notice, employer’s N.I. and pension costs, accrued holiday and severance of these key management personnel was £409,000 in the year to July 2022 (2021: £385,000)

2022 2021
No. No.
The number of higher paid employees in the Union and the group at
the end of the period under review was:
Total emoluments band
£60,001- £70,000 1 1
£70,001-£80,000 - -
£80,001-£90,000 - -
£90,001-£100,000 - -
£100,001-£110,000 - -

The above employees were members of a defined contributions pension scheme and group contributions during the period were £9,764 (2021: £8,492)

29

Annual Report and Accounts for the year ended 31[st] July 2022 Notes to the Accounts, continued

12. Trustees’ Remuneration and Expenses

The full time officers elected in March 2021 took office from 1[st] July 2021. Each of the 5 full-time officers in office for the period 1[st] July 2021 to 31[st] June 2022 received a basic salary of £20,433 p.a. (2021: £20,130) and participated in the Union’s salary sacrifice defined contribution scheme.

Their salaries are for the representation, campaigning and support work they undertake, as authorised by the Union’s Constitution. The total salary costs for the full-time officers was £117,000 (2021: £107,000), plus cost of pension contributions £4,000 (2021, £6,000) which includes a period of overlap between incoming and outgoing officers. Expenses were reimbursed to 2 Trustees (2021, 1) in relation to travel and accommodation costs.

13. Investments

13. Investments
2022 2021
£ £
Students’ Union Services (East Anglia) Limited 750,000 750,000
Waterfront Student Union Services Limited 4 4

14. Control

The Board of Trustees is responsible for the management and administration of the Union (as described in section 57 of the Constitution). The Trustees are appointed and may be removed by Union Council, which consists of representatives elected by the membership.

15. Pensions

SUSS Pension

The Union of UEA Students participates in the Students’ Union Superannuation Scheme (SUSS), which is a defined benefit scheme whose membership consists of employees of students’ unions and related bodies throughout the country. Benefits in respect of service up to 30 September 2003 are accrued on a “final salary” basis, with benefits in respect of service from 1 October 2003 accruing on a Career Average Revalued Earnings (CARE) basis. With effect from 30 September 2011 the scheme closed to future accrual.

The most recent available valuation of the scheme was carried out as at 30 June 2019 and showed that the market value of the scheme’s assets was £119,103,000 with these assets representing 46% of the value of benefits that had accrued to members after allowing for expected future increases in earnings. The deficit on an ongoing funding basis amounted to £140,907,000.

The assumptions which have the most significant effect upon the results of the valuation are those relating to the rate of return on investments and the rates of increase in salaries and pensions.

The following assumptions applied at 30 June 2019:-

The investment return would be 4.0% per annum before retirement and 2.0% per annum after retirement.

Pensions accruing on the CARE basis would revalue at 3.7% per annum.

Present and future pensions would increase at rates specified by scheme rules with appropriate assumptions where these are dependent on inflation.

30

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

The 2019 Valuation recommended a monthly contribution requirement by each Participating Employer expressed in monetary terms intended to clear the ongoing funding deficit over a period of 13 years and 10 months and will increase by at least 5% each year, with an additional increase on a specific employer by employer basis at October 2021. These contributions also include an allowance for the cost of the ongoing administrative and operational expenses of running the Scheme. These rates applied with effect from 1 October 2020 and will be formally reviewed following completion of the next valuation due with an effective date of 1 July 2022. Surpluses or deficits which arise at future valuations will also impact on Union of UEA Students’ future contribution commitment. In addition to the above contributions, Union of UEA Students also pays its share of the Scheme’s levy to the Pension Protection Fund.

The decrease in the liability in the year relates to the annual review of the discount factor used to value the future contributions. The discount factor used at 31 July 2022 was 3.7% (2021 – 1.8%)

Contributions under the 2019 Valuation apply with effect from October 2021 at a rate of £198,756 p.a., increasing by 10.6% p.a, with an additional increase of 5.0% for the year commencing October 2023.

UEASSS Pension

The Union also participates in the University of East Anglia Staff Superannuation Scheme, (UEASSS). Benefits in respect of service accrue on a “final salary” basis.

Under the latest triennial valuation, dated 31 July 2018, contributions continued at the previous rate for the year ended 31 July 2019 with a revised schedule of contributions to be put into effect from August 2019 until 31 December 2022.

At 31 July 2022, the value of the deficit was £31,000 (2021 - £41,000). The value of the deficit has not been discounted over the period of repayment.

The Union now has one active member of the scheme. The contribution rate during the period ended 31 July 2022 applicable to this Union remained at 8.0% of Earnings for the employee and 27.4% of Earnings for the Union (35.4% in aggregate). In future, employer contributions will increase to 35.7% of salary.

The contributions excluding deficit paid into the scheme in respect of eligible employees for the period ended 31 July 2022 amounted to £7,012 (2021 - £5,501).

31

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

16. Tangible Fixed Assets

Group
Cost
At 1 August 2021
Additions
Transfer
Disposals
At 31 July 2022
Depreciation
At 1 August 2021
Charge for the year
Transfer
Eliminated on
disposal
At 31 July 2022
Net Book Value
At 31 July 2022
At 31 July 2021
Union
Cost
At 1 August 2021
Additions
Transfer
Disposals
At 31 July 2022
Depreciation
At 1 August 2021
Charge for the year
Transfer
Eliminated on
disposal
At 31 July 2022
Net Book Value
At 31 July 2022
At 31 July 2021
New
Property
£’000
1,000
-
-
-
Property
Improve-
ments
Fittings,
Equipment
& I.T.
Motor
Vehicles
Totals
£’000
£’000
£’000
£’000
7,957
-
-
-
2,474
71
-
-
-
-
-
11,431
71
-
-
7,957
2,545
-
11,502
3,824
404
-
-
2,123
108
-
-
-
-
-
-
6,287
532
-
-
-
4,228
2,231
-
6,819
3,729
314
-
4,683
4,133
351
-
5,144
Property
Improve-
ments
Fittings,
Equipment
& I.T.
Motor
Vehicles
Totals
£’000
£’000
£’000
£’000
5,462
-
-
-
876
5
-
-
-
-
-
-
6,338
5
-
-
1,000
340
20
-
-
360
640
660
5,462
881
-
6,343
1,693
278
-
-
648
63
-
-
-
-
-
-
2,341
341
-
-
1,971
711
-
2,682
3,491
170
-
3,661
3,769
228
-
3,997

Transfers amend historical classification of refurbishment between property improvements and fixtures and fittings.

32

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

17. Stocks Group Union Union
31.7.22 31.7.21 31.7.22 31.7.21
£’000 £’000 £’000 £’000
Goods for resale 65 54 - -
_____ ____ _____ _____

Goods for resale 65 54 - -

18. Debtors: Amounts falling due within on year

Group Union Union
31.7.22 31.7.21 31.7.22 31.7.21
£’000 £’000 £’000 £’000
Trade debtors 84 43 68 29
Amounts due from group undertakings - - 1,747 -
Prepayments and Accrued Income 194 449 38 375
_____ _____ _____ _____
278 492 1,853 404
_____ ____ _____ _____

19. Creditors: Amounts falling due within one year

Group Union Union
31.7.22 31.7.21 31.7.22 31.7.21
£’000 £’000 £’000 £’000
Trade Creditors 185 116 106 28
VAT 115 64 115 64
Taxes and Social Security Costs 12 12 12 12
Bank Loans 65 53 65 53
Accruals and Deferred Income 745 1,059 168 70
Pension Deficit contributions 218 206 218 206
Amounts owed to group undertakings - - 277 43
_____ _____ _____ _____
1,340 1,510 961 476
_____ _____ _____ _____

Deferred Income represents ticket sales for events in the nightclubs and venues paid for in advance prior to the year end and income received in advance from stallholders and sponsors in respect of Welcome Week.

Group 31.7.21 Released Additions 31.7.22
in year in year
£’000 £’000 £’000 £’000
Net advanced tickets sales for future events 762
(762) 492 492
Income and outlet vouchers for Welcome week 10 (1) 5 14
_____ _____
_____
_____
Total Deferred Income 772 (763) 497 506
_____ ____ _____ _____

33

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

Deferred Income
Union 31.7.21 Released Additions 31.7.22
in year in year
£’000 £’000 £’000 £’000
Income for Welcome week 9 -
-
9

20. Creditors: Amounts falling due after one year

20. Creditors: Amounts falling due after one year
Group Union
31.7.22 31.7.21 31.7.22 31.7.21
£’000 £’000 £’000 £’000
Bank Loans 227 292 227 292
Loans from university 659 394 659 394
SUSS Pension Deficit 2,574 3,179 2,574 3,179
UEASSS Pension Deficit 22 30 22 30
_____ _____ _____ _____
3,481 3,895 3,481 3,895
_____ _____ _____ _____

Bank Loans represent CBIL loans taken out in June 2021 and payable over 6 years. Interest charges were met by the Government for the first 12 months.

Group Union Union
31.7.22 31.7.21 31.7.22 31.7.21
£’000 £’000 £’000 £’000
Bank Loan ageing
Due within one year 49 53 49 53
Within two to five years inclusive 242 234 242 234
Greater than five years - 58 - 58
_____ _____ _____ _____
291 345 291 345

Bank Loans represent CBIL loans taken out in June 2021 and payable over 6 years. Interest charges were met by the Government for the first 12 months. A debenture is held in the name of Union of UEA Students Limited, incorporating a fixed and floating charge over the assets of the company, including a cross company guarantee between the Union of UEA Students Limited, Waterfront-Student Union Services Limited and Students’ Union Services (East Anglia) Limited.’

During the year, an additional loan was provided by the University as part of the historical funding arrangements. This loan of £265,000 is interest free and repayable in 10 years. The £394,000 loan from the previous year is repayable when the reserves position of the Union allows.

The liability for SUSS is payable in increasing instalments over 13 years. The liability is discounted at a factor of 3.7% p.a. (2021: 1.8%)

The liability for UEASSS is payable in equal instalments over 3 years. The liability is not discounted

34

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

21. Analysis of charitable funds

Analysis of movements in unrestricted funds of the Union

UNION Balance Incoming Resources Funds at
1.8.21 resources expended 31.7.22
£’000 £’000 £’000 £’000
Current year movements on ordinary activities (3,159) 2,814 (2,164)
(2,509)
Movement on long term pensions deficit 403 - 403
Current year movement on Fund
(3,159) 3,217 (2,164) (2,106)
Analysis of movements in unrestricted funds of the Group
GROUP Balance Incoming Resources Funds at
1.8.21 resources expended 31.7.22
£’000 £’000 £’000 £’000
Current year movements on ordinary activities (2,775) 7,439 ( 6,860)
(2,196)
Movement on long term pensions deficit - 403 - 403
Current year movement on Fund
(2,775) 7,842 (6,860) (1,793)
Analysis of movements in restricted funds of Group – current year
Balance Incoming Resources Funds
1.8.21 resources expended 31.7.22
£’000 £’000 £’000 £’000
Clubs and Societies Funds 362 717 ( 729) 350
Capital assets funded by specific grants
Union House refurbishment 4,006 - ( 320) 3,686
Other assets funded by specific grants 27 (1) 26
_____ _____ ______ ______
4,395 717 (1,050) 4,062
_____ _____ __ ______
Analysis of movements in restricted funds of Group – prior year
Balance Incoming Resources Funds
1.8.20 resources expended 31.7.21
£’000 £’000 £’000 £’000
Clubs and Societies Funds 310 217 ( 165) 362
Capital assets funded by specific grants
Union House refurbishment 4,340 - ( 334) 4,006
Other assets funded by specific grants 27 - 27
_____ _____ ______ ______
4,677 217 ( 499) 4,395
_____ _____ __ ______

35

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

The Clubs and Society funds can only be expended by the elected committee of the club or society for the benefit of the members of that club or society in accordance with the club or society aims.

Assets funded by capital grants are matched against specific non-discretionary funding and not available for general expenditure. As these assets are for long-term use, they are recorded as fixed assets in the balance sheet and the resources expended represents the depreciation charge to the SOFA in the period.

22 Net Assets of the Funds

The Net assets of the UNION at 31.7.22 belong to the various funds as follows

Fixed Investments Net Long Funds
Assets Current Term Balance
Assets Liabilities
£’000 £’000 £’000 £’000 £’000
Restricted Funds
Club and Society Funds - - 350 - 350
Capital Assets Funded by specific grants
3,625
- 61 - 3,686
Other assets funded by specific grants - - 26 - 26
Unrestricted funds
General funds 36 750 588 (3,482) (2,107)
_____ _____ _____ _____ _____
Union 3,661 750 1,026 (3,482) 1,955
_____ _____ _____ _____ _____
The Net assets of theGROUP at 31.7.2022belong to the various funds as follows
Fixed Investments Net Long Funds
Assets Current Term Balance
Assets Liabilities
£’000 £’000 £’000 £’000 £’000
Restricted Funds
Club and Society Funds - - 350 - 350
Capital Assets Funded by specific grants
3,625
- 61 - 3,686
Other assets funded by specific grants - - 26 - 26
Unrestricted funds
General funds 1,058 - 632 (3,482) (1,793)
_ _ _ _ _____
Group 4,683 - 1,068 (3,482) 2,269
_ _ ______ ______ _____

36

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

23. Leasing Commitments

At 31 July 2022, the Union and its subsidiary companies had future minimum lease payments under noncancellable operating leases as detailed below:-


cancellable operating leases as detailed below:-
31.7.22 31.7.21
£’000 £’000
Other operating assets
Due within one year 77 77
Within two to five years inclusive 227 293

Waterfront Student Union Services Limited occupies premises leased from Norwich City Council. A new Lease was signed in March 2021 for a term of 6 years ending in August 2026. Rent paid under the lease in the year was £73,000.

24. Capital Commitments

The service lift at the Waterfront Venue has been identified as requiring replacement and options for the work are being investigated. The capital commitment in relation to this for year to July 2022 is expected to be £30,000 - £40,000 (2021, £30,000 - £40,000).

25. Related Party Transactions and Ultimate Controlling Party

The Union of UEA Students owns 100% of the issued share capital of Students Union Services (East Anglia) Limited, company no. 01524381 and Waterfront - Students Union Services Limited, company no. 02834353, which are companies incorporated in England & Wales. During the year, the Union entered into the following transactions:-


ansactions:-
Student Union Services
Waterfront
2022 2021 2022 2021
£’000 £’000 £’000 £’000
Provision of staff 1,451 1,196 549 207
Management charges 321 342 78 44
Rent on Union House and retail unit 325 325 - -
Covenanted payment in respect of - - - -
taxable profits

The ultimate controlling party of the Union is its Trustee Board. The directors of the subsidiary companies are also directors of the Union and members of the Trustee Board.

The Union and its trading subsidiary, Student Union Services (East Anglia) Limited engages in a number of transactions with the University of East Anglia. In addition to the block grant of £880,000 the University provided additional grants and funding for Joint initiatives and clubs & society grants of £97,000 (2021, £196,000).

Under the funding arrangement an additional grant of £474,000 was paid in compensation for the transfer of the Union’s retail and catering operations.

The Union owes the University £394,000 in respect of unpaid rent d on Union House uring the first Covid-19 lockdown and completed a further loan of £265,000 in August 2021. Both Loans are held as long-term liabilities on the Balance Sheet.

The Union paid rent on the use of Union House of £438,000 (2021, £438,000), which was funded by a corresponding grant payment. In addition the Union paid £89,000 for utilities (2021, £79,000), £3,000 for repairs and maintenance (2021, £17,000), £25,000 for IT equipment and licences (2021, £5,000), £38,000 in relation to capital expenditure (2021, £7,000) and £7,000 for use of other campus services and facilities (2021, £11,000). In addition, the Union made deficit contributions into the UEASSS pension scheme of £11,000 (2021, £16,000).

37

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

The Union and its subsidiary, Students Unions Services (EA) limited, made sales relating to venues and security services of £1,000 to the University (2021, £89,000)

26. Affiliations

The Union, on behalf of the generality of the students, is currently affiliated to, and paid affiliation fees during the year to, the following external organisations:


year to, the following external organisations:
£’000s
Advice UK 1
National Union of Students 13
__
14
27. Financial Instruments.
31.7.22 31.7.21
£’000 £’000
Group
Financial assets measured at amortised cost
2,149
1,378
Financial liabilities measured at amortised cost (942) (1,186)
Financial assets measured at fair value - -
Financial liabilities measured at fair value (3,858) (3,948)
The group’s income, expense, gains and losses in respect of financial instruments are summarised below:
31.7.22 31.7.21
£’000 £’000
Interest income and expense
Total interest income for financial assets held at amortised cost - -
31.7.22 31.7.21
£’000 £’000
Union
Financial assets measured at amortised cost 201 486
Financial liabilities measured at amortised cost (2,148) (153)
Financial assets measured at fair value 750 750
Financial liabilities measured at fair value (3,743) (3,895)
The Union’s income, expense, gains and losses in respect of financial instruments are summarised below:
31.7.22 31.7.21
£’000 £’000
Interest income and expense
Total interest income for financial assets held at amortised cost - -
-

Included within financial instruments held at amortised cost are trade debtors, intercompany balances, cash at bank and in hand, trade creditors, accruals, other creditors and social security and other taxes and bank loans.

Included within financial instruments held at fair value are investments and pension scheme liabilities.

38

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

28. Contingent liabilities

HMRC is currently challenging the application of the catering concession by Students Unions if they consider the establishment to be a pub or bar. Whilst the Union believes it has complied with the concession in good faith, the subjective nature of the interpretation of the concession could mean that HMRC take a different view. No contingent liability has been quantified.

39

Annual Report and Accounts for the year ended 31[st] July 2022

Notes to the Accounts, continued

29. Comparative 2021 Statement of Financial Activities

2021 2020
Notes Unrestricted
Funds
Restricted
Building
projects
Restricted
Funds
Other
Total
Funds
Year ended
31 July
£’000 £’000 £’000 £’000 £’000
Income and Endowments
from:
Donations
University Grants
Provision of accommodation
Compensation for transferred
businesses
Other funding from University
Charitable activities for
students
Contributions from Club &
society members
Commercial trading operations
Income from Govt. support
schemes and Insurance claims
Other operating income
4
4/5
6
530
788
597
214
2,258
1,546
26

-
-
-
-
-
-
-
-
-
-
217
-
-
-
530
788
597
214
217
2,258
1,546
26

521
788
-
68
647
6,475
714
44
Total Income 5,959 - 217 6,176 9,257
Expenditure on Resources
Charitable activities for
students
Club & society expenses
Expenditure against grants
Commercial Trading Operations
8
4/5
(1,204)
-
(4,804)
-
-
(335)
-

-
(165)
-
-
(1,204)
(165)
(335)
(4,804)
(1,674)
(568)
(639)
(7,482)
Total Expenditure (6,008) (335) (165) (6,508) (10,363)
(Increase) / decrease in
Pension deficit
42 - - 42 (1,177)
Net income / (Expenditure) (7) (335) 52 (290) (2,283)
Funds brought forward at 31
July 2020/ (2019)
(2,768) 4,340 337 1,909 4,192
Fund balances at 31 July
2021 /2020
(2,775) 4,005 389 1,620 1,909

40