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← Citizens Advice Liverpool Limited

2024-03-31-accounts

Charity registration number 1169879

Company registration number 10286899 (England and Wales)

CITIZENS ADVICE LIVERPOOL LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

CITIZENS ADVICE LIVERPOOL LIMITED

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr S F Anton
Ms K M Crowe
Mrs A M Gibbon
Mr F T Hont
Dr J B Organ
Mr P R Wilkie
Ms D Aspinall
Ms E Carey
Ms J K Vithlani
Mr S C Turner
Secretary Ms H Jessop
Charity number 1169879
Company number 10286899
Registered office 242 Picton Road
Wavertree
Liverpool
L15 4LP
Auditor DSG Audit
Castle Chambers
43 Castle Street
Liverpool
L2 9TL

CITIZENS ADVICE LIVERPOOL LIMITED

CONTENTS

Page
Trustees' report 1 - 7
Statement of trustees' responsibilities 8
Independent auditor's report 9 - 11
Statement of financial activities 12
Balance sheet 13
Statement of cash flows 14
Notes to the financial statements 15 - 26

CITIZENS ADVICE LIVERPOOL LIMITED

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2024

The trustees present their annual report and financial statements for the year ended 31 March 2024.

This report provides an overview of Citizens Advice Liverpool's activities for the financial year 2023-2024, including our financial performance and key statistics. It highlights our achievements in fulfilling our mission and objectives, especially in the face of ongoing economic challenges.

At Citizens Advice Liverpool, we understand the significant impact that life events like job loss, relationship breakdown, illness, or disability can have on individuals and families. We remain dedicated to providing comprehensive support and advice to those facing such challenges.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019).

Our Values

Our work is guided by our core values:

These values underpin our commitment to equality, diversity, and inclusion (EDI), ensuring our services are accessible and welcoming to all, especially within our immigration services where clients often face unique vulnerabilities.

Performance and Impact

This year, our focus was:

Despite our efforts, the demand for our services continued to outpace capacity. We constantly reviewed and adapted our service delivery model to maximise efficiency and reach.

Key Achievements

CITIZENS ADVICE LIVERPOOL LIMITED

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

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Financial Impact:

Impact:

Debt:

CITIZENS ADVICE LIVERPOOL LIMITED

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

Focus Areas

Working in Partnership

We strengthened our commitment to partnership working through:

Research and Campaigns

Our research and campaign work focused on:

Our Teams

Our dedicated staff and volunteers are the backbone of our organisation. We are committed to:

CITIZENS ADVICE LIVERPOOL LIMITED

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

Volunteering

Our volunteers played a crucial role in our service delivery, and it has been great to see the number of volunteers increasing. Volunteers contributed many hours, providing invaluable support to our clients and staff. We are proud that over 70% of our volunteers who left transitioned into paid employment, many within our organisation.

Funding

Our vital work is made possible through a diverse range of funding sources, enabling us to deliver crucial services to the community:

Conclusion

Citizens Advice Liverpool has continued to provide essential support to our community throughout 2023-2024. We have adapted to the challenges of the ongoing cost of living crisis, expanded our service delivery, and strengthened our partnerships. We remain committed to providing high-quality advice and advocacy, empowering individuals and families to overcome challenges and improve their lives.

Financial review

Total incoming resources for the year amounted to £4,096,212 (2023: £3,392,323) and total resources expended amounted to £4,082,038 (2023: £3,361,839) giving a surplus before actuarial gains/losses in respect of the pension liability of £14,174 (2023: £30,484).

Total reserves at the 31 March 2024 were £1,409,711 (2023: £1,419,537).

Total unrestricted reserves were £1,367,825 (2023: £1,368,643) and restricted reserves were £41,886 (2023: £50,894). The general unrestricted reserves are £998,795 (2023: £1,001,918).

The trustees extend their gratitude to Liverpool City Council who continued to support the core operating capacity of the charity.

CITIZENS ADVICE LIVERPOOL LIMITED

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

Reserves policy

Citizens Advice Liverpool Limited is required to ensure that any free reserves are available in each financial year to meet any reasonable foreseeable contingency. Despite the short term and volatile nature of the funding the management team and trustees will endeavour to secure funding on a regular basis from as many sources as possible. The charity take all necessary steps to ensure that the cessation of one or more funding streams would not present so serious a challenge to the future of the organisation that it could not be managed. So as to continue to provide a best value advice service in reviewing the potential costs that could arise should a significant reduction in income be incurred, the trustees have determined that “free reserves” should be maintained equal to between 3 and 6 month’s normal operating expenditure. Based on current levels of general unrestricted reserves, this is currently sufficient for between 3 and 4 months of operating costs.

The charity does not have an investment policy and does not currently hold investments

Review of risks

The trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to the major risks.

Loss of funding is always the principal external risk. However, the charity did not experience any cancellation of existing contracts due to COVID-19 and is moving into a period of recommissioning for some services with optimism having performed robustly against targets throughout the year. Overall risks are mitigated by seeking to secure funding across a range of sources and by holding sufficient reserves to cover some loss of funding.

Internal risks are mitigated by the implementation of strong financial controls which are regularly reviewed. The Finance, Risk and Governance Sub-Committee meets quarterly to review risks and controls.

Strategic plans for the future are to concentrate on integrating and optimising the services, in particular rationalising office space whilst continuing to seek opportunities to widen the scope of the services provided. The charity will look for opportunities to work co-operatively with other Local Citizens Advice offices across the City Region. The impact of COVID-19 has accelerated work on the client journey and will influence decisions on the best way to provide a positive client experience while keeping staff, volunteers and clients safe.

Plans for future periods

Looking ahead, we are committed to further developing our services to meet the evolving needs of our community. This includes an ongoing search for new premises to better accommodate our growing team and enhance accessibility for our clients. We recognise that we face ongoing challenges, including the continued impact of the cost of living crisis and increasing demand for our services. Funding, as always, remains a challenge, and this next year includes the potential recommissioning of a number of our contracts. However, we remain dedicated to our mission and confident in our ability to adapt and innovate to ensure that we continue to provide vital support to the people of Liverpool.

We also recognise that our services are only as good as the teams delivering them. We are committed to supporting our staff and volunteers, providing them with the tools, training, and resources they need to continue delivering highquality advice and support.

Structure, governance and management

The charity is a company limited by guarantee, incorporated on 19th July 2016 and registered as a charity on 26 October 2016. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. The current Memorandum and Articles of Association have been approved by the Charity Commission and Companies House. In the event of the company being wound up members are required to contribute an amount not exceeding £1.

At the 31 March 2024 the charity had 11 trustees.

CITIZENS ADVICE LIVERPOOL LIMITED

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

Mr S F Anton Ms K M Crowe Mrs A M Gibbon Mr F T Hont Mr A G Malthouse (Resigned 17 May 2023) Dr J B Organ Mr P R Wilkie Ms D Aspinall Ms E Carey Ms J K Vithlani Ms R S Harrison (Resigned 15 May 2024) Mr S C Turner

Trustees are elected from the local community and must either reside or work in Merseyside. An elections committee made up of trustees, the Company Secretary and chaired by the Chair, oversees the elections process for Board appointments. A separate process agreed by the Trustee Board is followed for the election of the Chair. The procedure detailed above identifies the process by which each of the current trustees were elected. No other persons or bodies external to the charity were entitled to appoint persons to the Trustee Board.

A successful recruitment drive took place, targeted to improve the equality and diversity of the board and bridge the skill gaps identified. The Board is delighted to welcome our four new Trustees to the service.

Citizens Advice Liverpool is governed by its members Trustee Board that is responsible for setting the strategic direction of the organisation and the policy of the charity. The trustees carry the ultimate responsibility for the conduct of the organisation and for ensuring that the charity satisfies its legal and contractual obligations. Trustees meet as a minimum quarterly and delegate the day-to-day operation of the organisation to the Chief Officer who reports directly to the trustees. The Trustee Board is independent from management. A register of members' interests is maintained at the registered office and is available to the public

Newly appointed Trustees are provided with a comprehensive induction to Citizens Advice Liverpool Limited through the provision of induction and training materials and mentoring by established trustees.

Citizens Advice Liverpool Limited has membership of Citizens Advice (CA), the operating name of the National Association of Citizens Advice Bureau, which provides a framework for standards of advice and casework management as well as monitoring progress against these standards. Operating policies are independently determined by the Trustee Board of Citizens Advice Liverpool in order to fulfil its charitable objects and comply with the national membership requirements.

The charity also co-operates and liaises with a number of other advisory services, local charities and social services departments on behalf of clients. Where one of the trustees holds the position of trustee/director of another charity they may be involved in discussions regarding that other charity but not in the ultimate decision-making process.

Auditor

DSG resigned as auditor on 11 September 2024. DSG Audit were appointed on 11 September 2024 as auditor to the company and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they be reappointed will be put at a General Meeting.

CITIZENS ADVICE LIVERPOOL LIMITED

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

Disclosure of information to auditor

Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The trustees' report was approved by the Board of Trustees.

Mr P R Wilkie Trustee

13 November 2024

CITIZENS ADVICE LIVERPOOL LIMITED

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 MARCH 2024

The trustees, who are also the directors of Citizens Advice Liverpool Limited for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

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

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

CITIZENS ADVICE LIVERPOOL LIMITED

INDEPENDENT AUDITOR'S REPORT

TO THE MEMBERS OF CITIZENS ADVICE LIVERPOOL LIMITED

Opinion

We have audited the financial statements of Citizens Advice Liverpool Limited (the ‘charity’) for the year ended 31 March 2024 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including 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:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity 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 charity’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.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent 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 course of 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 rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

CITIZENS ADVICE LIVERPOOL LIMITED

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF CITIZENS ADVICE LIVERPOOL LIMITED

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report included within the trustees' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the charity for the purpose 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 charity’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.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an 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.

Discussions with and enquiries of management and those charged with governance were held with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity.

The following laws and regulations were identified as being of significance to the entity:

Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and noncompliance with laws and regulations) comprised of: inquiries of management and the Trustees as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; review of Trustee meeting minutes; testing the appropriateness of journal entries; and the performance of analytical review to identify unexpected movements in account balances which may be indicative of fraud

CITIZENS ADVICE LIVERPOOL LIMITED

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF CITIZENS ADVICE LIVERPOOL LIMITED

No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity’s controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.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 charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Jean Ellis BA FCA CTA (Senior Statutory Auditor) for and on behalf of DSG Audit

13 November 2024

Chartered Accountants Statutory Auditor

Castle Chambers 43 Castle Street Liverpool L2 9TL

CITIZENS ADVICE LIVERPOOL LIMITED

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2024

Unrestricted
Restricted
funds
funds
2024
2024
Notes
£
£
Income and endowments from:
Charitable activities
3
893,485
3,166,705
Investments
4
36,022
-
Other income
5
-
-
Total income
929,507
3,166,705
Expenditure on:
Charitable activities
6
891,391
3,190,647
Total expenditure
891,391
3,190,647
Net income/(expenditure)
38,116
(23,942)
Transfers between
funds
(14,934)
14,934
Other recognised
gains and losses:
Actuarial gains/(losses)
on defined benefit
pension schemes
(24,000)
-
Net movement in
funds
8
(818)
(9,008)
Reconciliation of funds:
Fund balances at 1 April 2023
1,368,643
50,894
Fund balances at 31 March
2024
1,367,825
41,886		 Total
Unrestricted
Restricted
funds
funds
2024
2023
2023
£
£
£
4,060,190
824,430
2,531,463
36,022
10,421
-
-
26,009
-
4,096,212
860,860
2,531,463
4,082,038
757,133
2,604,706
4,082,038
757,133
2,604,706
14,174
103,727
(73,243)
-
(8,608)
8,608
(24,000)
19,615
-
(9,826)
114,734
(64,635)
1,419,537
1,253,909
115,529
1,409,711
1,368,643
50,894		 Total
2023
£
3,355,893
10,421
26,009
3,392,323
3,361,839
3,361,839
30,484
-
19,615
50,099
1,369,438
1,419,537

The notes on pages 15 to 26 form part of these financial statements.

CITIZENS ADVICE LIVERPOOL LIMITED

BALANCE SHEET

AS AT 31 MARCH 2024

Notes
Fixed assets
Tangible assets
12
Current assets
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due within
one year
14
Net current assets
Total assets less current liabilities
Defined benefit pension liability
15
Net assets
The funds of the charity
Restricted income funds
16
Unrestricted funds
17		 2024
£
£
316,528
616,380
1,293,509
1,909,889
(816,706)
1,093,183
1,409,711
-
1,409,711
41,886
1,367,825
1,409,711		 2023
£
£
329,535
117,075
1,882,010
1,999,085
(909,083)
1,090,002
1,419,537
-
1,419,537
50,894
1,368,643
1,419,537		 2023
£
£
329,535
117,075
1,882,010
1,999,085
(909,083)
1,090,002
1,419,537
-
1,419,537
50,894
1,368,643
1,419,537
1,419,537
-
1,419,537
50,894
1,368,643
1,419,537

The financial statements were approved by the trustees on 13 November 2024

Mr P R Wilkie Trustee

Company registration number 10286899 (England and Wales)

CITIZENS ADVICE LIVERPOOL LIMITED

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024

Notes
Cash flows from operating activities
Cash (absorbed by)/generated from
operations
20
Investing activities
Investment income received
Net cash generated from investing
activities
Net cash used in financing activities
Net (decrease)/increase in cash and cash
equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year		 2024
£
£
(624,523)
36,022
36,022
-
(588,501)
1,882,010
1,293,509		 2023
£
£
819,028
10,421
10,421
-
829,449
1,052,561
1,882,010		 2023
£
£
819,028
10,421
10,421
-
829,449
1,052,561
1,882,010
829,449
1,052,561
1,882,010

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

1 Accounting policies

Charity information

Citizens Advice Liverpool Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is 242 Picton Road, Wavertree, Liverpool, L15 4LP.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

1.5 Expenditure

Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs can not be directly attributed to particular headings the have been allocated to activities on a basis consistent with the use of resources.

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

1 Accounting policies

(Continued)

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold land and buildings 2% per annum straight line Leasehold land and buildings straight line over the lease Fixtures and fittings 25% straight line Computers 25% straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

Assets are capitalised if valued over £1,000 at the point of receipt.

1.7 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the charity transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

1 Accounting policies

(Continued)

Basic financial liabilities

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

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

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

1.10 Taxation

The charity benefits from various exemptions from taxation offered by tax legislation and is not liable to corporation tax on income and gains falling within those exemptions. Recovery is made of tax deducted from qualifying income and from receipts under gift aid.

1.11 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.12 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

The charity participates in the Pensions Trust's Growth Plan for certain of its employees. The Growth Plan is a multi-employer pension plan. Assets and liabilities of the scheme are not accounted for in the financial statements in accordance with FRS 102. A deficit funding plan has been agreed and a provision has been recognised in the financial statements for the net present value of the future contributions.

2 Critical accounting estimates and judgements

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

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

There are no estimates and assumptions that are considered to have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities.

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

3 Income from charitable activities

Unrestricted
Restricted
funds
funds
2024
2024
£
£
Services provided under
contract
881,996
3,166,705
Other income
11,489
-
893,485
3,166,705		 Total
Unrestricted
Restricted
funds
funds
2024
2023
2023
£
£
£
4,048,701
819,691
2,531,463
11,489
4,739
-
4,060,190
824,430
2,531,463		 Total
2023
£
3,351,154
4,739
3,355,893

4 Investments

**Unrestricted ** Unrestricted
funds funds
2024 2023
£ £
Interest receivable 36,022 10,421
Other income
**Unrestricted ** Unrestricted
funds funds
2024 2023
£ £
Other income - 26,009

5 Other income

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

6 Expenditure on charitable activities

Direct costs
Staff costs
Depreciation and impairment
Premises costs
Office costs
Staff and volunteer costs
Share of support and governance costs (see note 7)
Governance
Analysis by fund
Unrestricted funds
Restricted funds
7
Support costs allocated to activities
Governance costs
Governance costs comprise:
Audit fees
Legal and professional
Trustee expenses
8
Net movement in funds
The net movement in funds is stated after charging/(crediting):
Fees payable for the audit of the charity's financial statements
Depreciation of owned tangible fixed assets		 2024
£
3,516,001
13,007
146,658
273,165
92,941
4,041,772
40,266
4,082,038
891,391
3,190,647
4,082,038
2024
£
40,266
2024
£
12,800
26,028
1,438
40,266
2024
£
12,800
13,007		 2023
£
2,829,449
13,007
156,798
296,751
49,163
3,345,168
16,671
3,361,839
757,133
2,604,706
3,361,839
2023
£
16,671
2023
£
13,550
2,207
914
16,671
2023
£
13,550
13,007

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

9 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.

10 Employees

The average monthly number of employees during the year was:

Administration
Service providers
Total
Employment costs
Wages and salaries
Social security costs
Other pension costs		 2024
Number
31
97
128
2024
£
3,146,858
275,727
93,416
3,516,001		 2023
Number
21
85
106
2023
£
2,512,510
222,852
94,087
2,829,449

There were no employees whose annual remuneration was more than £60,000.

Remuneration of key management personnel

The remuneration of key management personnel was as follows:

2024 2023
£ £
Aggregate compensation 94,383 79,619

11 Taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

12
Tangible fixed assets
Freehold land
and buildings
Leasehold
land and
buildings
Fixtures and
fittings
£
£
£
Cost
At 1 April 2023
334,715
95,991
214,521
At 31 March 2024
334,715
95,991
214,521
Depreciation and impairment
At 1 April 2023
22,990
95,991
196,711
Depreciation charged in the year
6,695
-
6,312
At 31 March 2024
29,685
95,991
203,023
Carrying amount
At 31 March 2024
305,030
-
11,498
At 31 March 2023
311,725
-
17,810
13
Debtors
Amounts falling due within one year:
Trade debtors
Other debtors
Prepayments and accrued income
14
Creditors: amounts falling due within one year
Other taxation and social security
Deferred income
Trade creditors
Other creditors
Accruals		 Computers
£
14,847
14,847
14,847
-
14,847
-
-
2024
£
515,910
93,179
7,291
616,380
2024
£
112,112
129,593
130,743
337,430
106,828
816,706		 Total
£
660,074
660,074
330,539
13,007
343,546
316,528
329,535
2023
£
65,732
44,573
6,770
117,075
2023
£
64,814
79,027
53,446
625,299
86,497
909,083

Included in the year end other creditors balance is £294,570 (2023: £606,520) of cash is being held pending payment out to clients.

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

15 Retirement benefit schemes

Retirement benefit schemes
2024 2023
Defined contribution schemes £ £
Charge to profit or loss in respect of defined contribution schemes 93,416 94,087

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

Defined benefit schemes

Key assumptions

Defined benefit schemes
Key assumptions
2024 2023
% %
Discount rate 4.9 4.9
Expected rate of increase of pensions in payment 2.8 2.8
Expected rate of salary increases 4.2 4.2
CPI inflation 2.7 2.7

Mortality assumptions

The assumed life expectations on retirement at age 65 are:

2024
Years
Retiring today
- Males
20.9
- Females
23.4
Retiring in 20 years
- Males
22.2
- Females
25.2
Amounts recognised in the profit and loss account
2024
Costs/(income):
£
Current service cost
11,000
Net interest on defined benefit liability/(asset)
(10,000)
Total costs
1,000
2024
Liabilities/(assets):
£
Present value of defined benefit obligations
1,086,000
Fair value of plan assets
(1,086,000)
Deficit in scheme
-		 2023
Years
21.2
23.7
22.6
25.5
2023
£
18,000
145,000
163,000
2023
£
984,000
(984,000
-

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

15 Retirement benefit schemes (Continued)
2024
Movements in the present value of defined benefit obligations £
Liabilities at 1 April 2023 984,000
Current service cost 11,000
Contributions from scheme members 5,000
Actuarial gains and losses 47,000
Interest cost 39,000
At 31 March 2024 1,086,000

The defined benefit obligations arise from plans which are wholly or partly funded.

Movements in the fair value of plan assets
Fair value of assets at 1 April 2023
Interest income
Remeasurements
Contributions by the employer
Contributions by scheme members
At 31 March 2024
The actual return on plan assets was £63,000 (2023 - £114,000).
Fair value of plan assets
Equity instruments
Debt instruments
Property
Cash
Other		 2024
£
569,000
76,000
127,000
11,000
303,000
1,086,000		 2024
£
984,000
49,000
14,000
34,000
5,000
1,086,000
2023
£
477,000
130,000
107,000
17,000
253,000
984,000

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

16 Restricted funds

The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.

Health & Wellbeing
Money Advice & Financial
Wellbeing
Social Justice & Welfare
Support
Partnerships & Innovations
Previous year:
Health & Wellbeing
Money Advice & Financial
Wellbeing
Social Justice & Welfare
Support
Partnerships & innovations		 At 1 April
2023
Incoming
resources
Resources
expended
£
£
£
50,894
733,157
(776,340)
-
1,002,216
(968,041)
-
1,354,866
(1,366,621)
-
76,466
(79,645)
50,894
3,166,705
(3,190,647)
At 1 April
2022
Incoming
resources
Resources
expended
£
£
£
68,297
826,754
(844,157)
12,587
606,523
(627,718)
29,895
957,915
(987,810)
4,750
140,271
(145,021)
115,529
2,531,463
2,604,706		 Transfers
At 31 March
2024
£
£
-
7,711
-
34,175
11,755
-
3,179
-
14,934
41,886
Transfers
At 31 March
2023
£
£
-
50,894
8,608
-
-
-
-
-
8,608
50,894

Health & Wellbeing - Advice and Link Work services, improving mental health and wellbeing by supporting patients with non-medical issues that may impact on their health. CAL provides treatment options that help patients work towards debt reduction, financial stability, better housing and employment conditions and reduced social isolation. The services also include specialist areas providing support for perinatal patients, those living with cancer and those with chronic respiratory illnesses.

Money Advice & Financial Wellbeing - Provision of a specialist debt, money and pensions advice service. Particularly supporting clients to maximise their income and manage debt issues.

Social Justice & Welfare Support - Services providing specialist welfare benefits advice and representation. Working in partnership with other agencies to improve the outcomes of clients who do not have access to legal aid or advice. Providing initiatives to help improve health and economic wellbeing for ethnic communities in Liverpool.

Partnership & Innovations - Provision of a welcome programme for Hong Kong British Nationals (overseas) settling in Liverpool,support to clients seeking EU Settled Status following Brexit and support to clients experiencing the effects of hate crimes.

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

16 Restricted funds

(Continued)

Restricted Funding has been provided by the following organisations: ·

17 Unrestricted funds

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

Restructuring reserve fund
Land & buildings reserve fund
General funds
Previous year:
Restructuring reserve fund
Land & buildings reserve fund
General funds		 At 1 April
2023
Incoming
resources
Resources
expended
£
£
£
55,000
-
-
311,725
-
(6,695)
1,001,918
929,507
(908,696)
1,368,643
929,507
(915,391)
At 1 April
2022
Incoming
resources
Resources
expended
£
£
£
55,000
-
-
318,420
-
(6,695)
880,489
860,860
(730,823)
1,253,909
860,860
(737,518)		 Transfers
At 31 March
2024
£
£
-
55,000
-
305,030
(14,934)
1,007,795
(14,934)
1,367,825
Transfers
At 31 March
2023
£
£
-
55,000
-
311,725
(8,608)
1,001,918
(8,608)
1,368,643

Restructuring reserve fund

This fund reflects the estimated costs relating to the expected organisational restructure around recommisioning of significant projects in 2021/22 and 2022/23.

Land and buildings reserve fund

This fund reflects the carrying value of the property owned and used operationally by the charity.

CITIZENS ADVICE LIVERPOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

18
Analysis of net assets between funds
Unrestricted
funds
Restricted
funds
2024
2024
£
£
Fund balances at 31
March 2024 are
represented by:
Tangible assets
316,528
-
Current assets/(liabilities)
1,051,297
41,886
1,367,825
41,886		 Total Unrestricted
funds
Restricted
funds
2024
2023
2023
£
£
£
316,528
329,535
-
1,093,183
1,039,108
50,894
1,409,711
1,368,643
50,894		 Total
2023
£
329,535
1,090,002
1,419,537

19 Company limited by guarantee

Citizens Advice Liverpool Limited is incorporated under the Companies Act as a company limited by guarantee. The liability of the members is limited to £1.

20
Cash generated from operations
(Deficit)/surpus for the year
Adjustments for:
Investment income recognised in statement of financial activities
Depreciation and impairment of tangible fixed assets
Difference between pension charge and cash contributions
Movements in working capital:
(Increase)/decrease in debtors
(Decrease)/increase in creditors
Increase in deferred income
Cash (absorbed by)/generated from operations		 2024
£
14,174
(36,022)
13,007
(24,000)
(499,305)
(142,943)
50,566
(624,523)		 2023
£
30,484
(10,421)
13,007
-
135,890
634,969
15,099
819,028

21 Analysis of changes in net funds

The charity had no material debt during the year.