**Charity number: 1137401 / 1197170**
UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
## CONTENTS
||**Page**|
|---|---|
|Legal and administrative information|1|
|Report of the Trustees|2|
|Report of the independent Auditors|17|
|Consolidated statement of financial activities|21|
|Consolidated balance sheets|22|
|Union balance sheet|24|
|Consolidated cash flow statement and note|26|
|Notes to the financial statements|27|
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
## LEGAL AND ADMINISTRATIVE INFORMATION
## **Trustees**
||Alison Jones|
|---|---|
||Chris Warrington|
||Mithu Komarnuckyj (resigned 08/09/2022)|
||Millie Avery (resigned 30/06/2023)|
||Ann Allen|
||Philip Taylor (resigned 08/09/2022)|
||Elze Demereckaite (resigned 30/06/2023)|
||Muhammad Taha Khan|
||Sarah Elkady (resigned 30/06/2023)|
||Katie Tucker (resigned 30/06/2023)|
||Martin Calvert (appointed 08/09/2022)|
||Gareth Pye (appointed 08/09/2022)|
||Craig Dominique-Smith (appointed 29/03/2023)|
||Olufemi Olutuyibi (appointed 29/03/2023) (resigned 31/07/2023)|
||Diana Simikova (appointed 30/06/2023)|
||Wamick Aijaz (appointed 30/06/2023)|
||Rothith Narayan (appointed 30/06/2023)|
|**Company registered**||
|**number**|13435053|
|**Charity registered number**|1197170|
|**Principal office**||
||Students’Union|
||Queensgate|
||Huddersfield|
||HD1 3DH|
|**Senior Leadership team**|Rhiannon Roberts, Chief Executive Officer|
||Lydia Blundell, Head of Engagement and Deputy CEO|
||Matt Short, Head of Operations and Deputy CEO|
|**Independent auditor**|BHP LLP|
||Chartered Accountants|
||Statutory Auditor|
||2 Rutland Park|
||Sheffield|
||S10 2PD|
|**Bankers**|HSBC Bank Plc|
||2 Cloth Hall Street|
||Huddersfield|
||HD1 2ES|
Page 1
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
## TRUSTEES’ REPORT
FOR THE YEAR ENDED 31 JULY 2023
The Trustees present their Annual Report together with the audited financial statements of University of Huddersfield Students’ Union for the year ended 31 July 2023. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” in preparing the annual report and financial statements of the charity.
The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 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 published in October 2019.
## **Structure, governance and management**
## Articles of Association
University of Huddersfield Students’ Union (HSU) is constituted under the Education Act 1994 as a charity with internal regulations and Articles of Association approved by the governing body of the University of Huddersfield (the University) and members of HSU. As a registered charity and a company limited by guarantee, its Articles have been approved by the Charity Commission. HSU charitable objects under the Act are the advancement of education of students at the University of Huddersfield for the public benefit by:
- Promoting the interests and welfare of students at University of Huddersfield during their course of study and representing, supporting and advising students;
- Being the recognised representative channel between students and University of Huddersfield and any other external bodies; and
Providing social, cultural, sporting and recreational activities and forums for discussions and debate for the personal development of its students.
## Public Benefit
In planning and delivering our services and activities, the Trustees and management of the Union have given due regard to the need to ensure that the charity provides public benefit, following the Charity Commission’s guidance on these matters. Details on how the Union has carried out its activities for the public benefit are outlined in the strategic plan section of this report.
Page 2
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023
## **Trustees**
HSU is administered by its Board of Trustees made up of 5 students elected by the membership of HSU, 5 external Trustees and 2 appointed Student Trustees, who are regarded as the Charity Trustees for the purposes of the 2011 Charities Act. The five elected Officer Trustees are remunerated as authorised by the Articles and individuals cannot serve more than two years as an Officer Trustee.
As the Charity Trustees, all Officer Trustees receive an induction into their legal and administrative responsibilities, with an on-going training programme as and when needed, addressing matters arising during their term of office.
The External Trustees and Student Trustees are selected and appointed to ensure there is a balance of skills and experience within the Board. The External Trustees are appointed to support the Students’ Union to discharge strategic and governance functions and the Student Trustees ensure that there is the best possible diversity of student representation on the Board. Student Trustees serve a 12 month term that can be extended for a further year. Trustee search and selection is undertaken by the Performance, Audit, Risk and Remuneration Committee, which includes Officer and lay Trustees; vacancies are advertised, and candidates are invited to apply setting out how they meet a Trustee specification. The University Vice Chancellor appoints one external Trustee, bringing a University perspective to Board deliberations.
## **Committees and Delegation**
The position of the Officer Trustee is at the heart of the Board of Trustees and their membership on all other key sub committees ensures that the student voice is heard throughout HSU decision making structures and that our decision makers are accountable to the student body.
|Board of Trustees|Meets quarterly|Responsible for overall strategic direction of HSU.|
|---|---|---|
|Management and
Executive Committee|Meets monthly|Responsible for campaigning and representative functions of HSU
as well as ensuring activity is in line with strategic, operational and
financialplans.|
|Finance & Staffing
Committee|Meets quarterly|Responsible for review and development of financial procedures,
budgets,staffing policies andprocedures.|
|Performance, Audit,
Risk and Remuneration
Committee|Meets quarterly|To consider audit requirements, evaluate risk profile and appetite,
recommend appointments to Board and remuneration
arrangements.|
|Student Activities
Executive|Meets as
required|To consider matters affecting student activity groups, their funding
bids and activity plans.|
The Board of Trustees and Finance & Staffing Committee consider annual budgets and accounts on a quarterly basis. On a day-to-day basis performance is monitored by the management team.
The five Officer Trustees are responsible for the day to day development of representation and campaigning policy that affects students. A Student Panel, made up of a random, representative sample of 30 students, establishes Students’ Union policy, and an appointed Accountability Panel scrutinises and supports the work of the Officer Team.
HSU also employs around 27 non-student staff for the sake of continuity in the management and delivery of its many activities. A clear staff structure is in place and staff members are accountable to the Chief Executive for the performance of their duties. The Chief Executive is accountable to the Board of Trustees and is formally line managed by the Chair of the Board of Trustees
Page 3
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023
## **Pay Policy for Key Management Personnel**
The Board consider the Trustees and the Senior Management Team to be the key management personnel of the Union in charge of directing controlling, running and operating the Union on a day to day basis. All Lay Trustees and Student Trustees give of their time freely and did not receive remuneration in the year. Officer Trustees receive an annual salary for their work as Full-time Elected Officers. This is set at a fixed scale that is the same for all the Officer Roles. PARR Committee (see table above) regularly review remuneration arrangements and benchmark against the sector.
The Senior Managers are appraised annually by the Chief Executive and receive an increase if they have successfully achieved their objectives for the year. Senior Managers who have reached the top of their grade do not usually receive any further incremental uplifts. The pay scales for SMT are considered in line with the pay scales for the whole organisation and regularly benchmarked against the sector.
The Chief Executive is appraised by the Chair of the Board and the President, who will recommend an increase subject to achieving the objectives that are agreed by the Board at the start of the year. This recommendation is considered by PARR and then approved by the Board of Trustees.
## **Relationship with, and support of the University of Huddersfield**
The relationship between the University and HSU is formally established in the University Code of Practice, detailed in the HSU Articles, a joint memorandum of co-operation, and the buildings lease approved by both organisations.
The relationship with the University is based on partnership where the strategy of the University and HSU are aligned and aim to make student life better. Regular meetings between senior University staff and the Officer Trustees discuss strategy and joint working. These and other meetings also provide opportunities to represent student views and lobby University decision makers to make changes that will improve the student experience.
HSU received a block grant from the University of £1.373m in 2022/23, an increase of £8k from the previous year. HSU pays an annual rent of circa £204K and is responsible for utility costs and recharges made by the University. The University provides support and other services to HSU, such as IT support, and access to facilities such as rooms and sports facilities, which support student activities. The Students’ Union is able to draw on professional advice of University colleagues in areas such as health and safety and data protection.
In addition to the University grant HSU operates a number of income generating activities:
- Freshers’ welcome activities generated circa £33.8k income, the balance of which is spent on activities for member’s benefit.
- HSU’s retail operation generated £80.9k net surplus before allocated marketing and support costs of £64k (2022: £94k) compared to a £48k surplus in 2021/22. HudLets letting agency returned a net surplus of £17.3k compared to a £7.2k net deficit in 2021/22. No amount was gift aided to the SU during the year, £11.3k in 2021/22.
Page 4
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
## TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
Consequently, HSU generates a modest supplementary funding contribution from its primary purpose and ancillary trading activities, which illustrates that HSU will continue to be dependent on the University to provide finances for the wide range of membership services it offers. There is no reason to believe that this support from the University will not continue for the foreseeable future, as the Education Act 1994 imposes a duty on the University to ensure the financial viability of its student representative body.
HSU do not engage in raising funds directly from the general public; the Union will continue to monitor its sources of income and should it start to generate significant funds from fundraising activities it will inform the fundraising regulator and take all necessary measures to ensure it complies with the guidance issued.
## **Risk Management**
The Board of Trustees has examined the major strategic, business and operational risks faced by HSU. A risk register is established and is updated annually, with quarterly updates to Board of any significant changes in the risk profile. Further to this the Union has undertaken a Business Impact Analysis and established a Business Continuity Plan to minimise the impact of business disruption and reputational risk.
Where appropriate, systems or procedures have been established to mitigate the risks the Charity faces. Budgetary and financial risks are minimised by the implementation of procedures for the authorisation of all transactions and projects. A reserves policy is established to ensure financial viability. Procedures are in place to ensure compliance and the health and safety of staff, volunteers and participants in all activities organised by the Union. These procedures are periodically reviewed to ensure that they continue to meet the needs of the Charity.
Other key risks facing the organisation include:
## Governance Risk
Union elections are undemocratic, compromised or are void.
Relevant policies and procedures are not created or kept up to date.
External Risk
Student accommodation providers expose students to unacceptable risks.
National Union of Students (NUS) position threatens HSU’s reputation. NUS is no longer financially sustainable and is unable to offer service support in areas including digital, retail, and TOTUM and officer/staff development.
Government changes funding and evaluation mechanisms for Higher Education.
## Regulatory and Compliance Risk
HSU fails to be compliant with GDPR and PECR.
Financial risk
- University grant to HSU is reduced as University is subject to tighter public spending or student numbers drop.
- Pension structures deliver unmanageable increases in costs to HSU.
- University raises premises rent to an unsustainable level
- Critical systems failure or major disruption to operations affects the Union’s ability to trade or operate
Page 5
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
## TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
## Operational Risk
- Critical system failure or major disruption to operations affects the Union’s ability to trade or operate. The Union fails to have skilled staff to meet operational and commercial requirements.
- Communication of activities and issues between staff is poor leading to failures in planning and delivery. HSU Health, safety and welfare is not appropriately managed.
## **Strategic Plan 2018-25**
HSU is currently entering the final phase of the strategic plan. This plan stated that by 2025 all Huddersfield students will agree that the Union helps to develop the life skills they need to make and shape their future. They will understand and value being part of the HSU community.
The impact of covid on campus and student environments, coupled with the University’s recruitment of increasing numbers of local, commuting students has led the Trustees to agree to an early close of the 2018 strategy. Rather than continue with existing KPIs and targets until 2025, the Officers and SLT will develop a new strategy during the 2023/4 academic year with a view to launching a new strategy at the start of the Spring term in 2024. This strategy will be based on new student insight research, engagement with key stakeholders and analysis of the regional and national context.
The 2018 strategy was an overwhelming success in engaging more students in more activity. The impact of Covid can not be underestimated, and the changing student demographic necessitates a pause and realignment to ensure HSU continues to focus resource at the most impactful activities.
The mission of Huddersfield Students’ Union is to make student life better. The success of delivering this is measured through three levels of engagement **:** _**we will work together to create personal connections, inclusive communities and meaningful change.**_ All the departments and teams contribute to engaging students, and those departments include:
- Student Voice: supporting elected representatives and academic reps to make changes within and beyond the University.
- Student Advice: providing advice, information and representation through appointments with students.
- Student Activities: supporting students to participate in general and academic societies, volunteering and sports clubs
- Student Outreach and Events: coordinating a programme of high profile welcome events, activities and events throughout the year and a Schools and Halls Outreach programme.
- Communications and Marketing: promoting HSU services through a range of media, responding to students and undertaking market research. Students’ Union Shop: a store on campus that provides relevant products for students
- Finance and Administration: providing finance and HR support to ensure HSU functions effectively. HudLets: a student lettings agency providing a full range of affordable and quality assured lettings options to students.
The above departments are directed by a small Senior Management Team who work closely with the elected Officers to ensure activities and team members are focused on having a positive impact for students. The new strategy allows for more project-based working that moves away from the department structure and allows for innovation in services to take place.
Page 6
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
## **Strategy update**
As described above, the current strategy will be completed one year early and replaced with a new strategic plan in the Spring of 2024. There have been many successful projects and activities undertaken during this plan, and some of the highlights in this financial year are listed below:
Key achievements in year 5 of the strategy included:
1. Sending out 1,252 transcripts to committee members, academic reps and volunteers from other projects across the Students’ Union that gave them a formal accreditation for all the skills they had gained with the SU.
2. Over 2,900 students actively participated in societies. .
3. 90% of staff agreed/ strongly agreed that they would recommend the organisation as a good place to work.
Page 7
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023
Page 8
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023
Strategic Aim 1: All students will connect with us in the best way for them, they will understand our services and know we are there if they need us.
- **The Advice Centre dealt with 8510 student enquiries,** with 1145 going on to have formal appointments and support from our team of advisors.
- Academic enquiries saw a slight decline, but are still significantly above pre-pandemic levels.
- Fewer students needed financial advice, due to increased support provided by the University of Huddersfield in response to the cost of living crisis.
- A new partnership was launched with Kirklees Rape and Sexual Assault Crisis Centre, offering support to victims of sexual abuse.
The Advice Centre has been part of the University Mental Health Charter submission, with the President leading the student submission.
- **3219** students voted in the Officer elections, the highest turnout since pre-pandemic.
- **3397** students attended a wide range of events.
- **9959** students were auto-enrolled into academic societies.
- **2897** students showed an interest in “Getting Involved” with a Sports Club or Society,
- **3671** students regularly opened the emails they were sent.
Page 9
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023
Strategic Aim 2: 60% of students will be an active member of the HSU community, developing their personal skills and co creating activities.
- **1558** students actively engaged in academic societies. Some highlights from their activity include:
- The Art Society have successfully created an inclusive and active art community across the campus. The Art Camp workshop programme, dedicated to providing important industry skills, delivered events such as screen printing, pumpkin carving and life drawing sessions.
- Bioscience Society have delivered an action-packed year of activity from educational trips, guest speakers, charity fundraisers and social events.
- **1060** students actively engaged with general societies with highlights including:
- Musical Theatre organising and performing their showcase event bringing singing, laughter, and tears across multiple audiences.
- 3D Printing have reinvigorated interest back into their society from selling Christmas decorations, holding weekly drop-in sessions, and setting up a new IT system for remote access to the printers.
- Dance Society have not only boosted their numbers but have entered their first competitive dance tournament, which will hopefully be the first of many to come.
- **755** students became members of sports clubs representing the University of Huddersfield across 24 sports. Highlights from the season include:
- Scoring 96 BUCS points, which is more than double the points scored last season with Rugby League scoring 30 points following a good league and cup campaign.
- Five new head coaches have successfully supported Badminton, Cricket, Men’s Football, Women’s Football and Volleyball.
- Our sports teams beat rivals Bradford 11-7 in the Varsity Cup to reclaim the trophy.
- **63** students submitted their Big Ideas, with the Officers securing changes including:
- Partnering with the university to support students through the National cost of living crisis, including securing additional money in the University Hardship Fund and launching £1.99 meals in a new university catering outlet.
- Improving “out of hours” catering facilities through late-night opening of university catering outlets and SU shop provision.
- Lobbying the local MP around international healthcare placement funding provisions and advocated for a yearly allocation for students in the Human and Health School to cover placement expenses.
- Proposed that the university trial water bidets, after 420 liked the Big Idea.
- Led the "We've got your back" campaign against sexual violence, which involved training student leaders as active bystanders, launching a student-led media campaign, and establishing a specialist support service for survivors.
Page 10
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
Strategic Aim 3: 20% of students will lead and create change by becoming leaders within HSU, the University, and local and global communities.
- **118** students joined one of our 6 student-led liberation networks. Their achievements were celebrated at the annual SU Awards event.
Examples of events & activities the Networks have led on:
- Disabled Student Network collaborated with ActiveHud to ensure equal access to the gym and other physical activities through This Body Can
- Disabled Student Network collaborated with the University Estates Team and Disability Services to lead campus accessibility tours, resulting in improved access to university buildings and accessibility provision.
- LGBT Network ran a Pride Duck Hunt, educating campus users about the importance and history of Pride events.
- - B.A.M.E. Ambassadors provided feedback on the university’s new religion and belief policy, and worked with the team in the new Jo Cox More in Common Centre to support students practicing their faith on campus, including extending the opening hours for night prayers during Ramadan.
- LGBT Network ran a rainbow laces campus throughout Varsity, resulting in every Sports Team proudly wearing rainbow laces and learning about running inclusive training sessions and understanding allyship.
- Women’s Network and the Community Officer collaborated to run a trial providing free period products for students on campus.
- The Global Citizens Network celebrated cultural heritage and brought together international societies,
- **274** Academic Reps attended training to support students across campus with issues on their courses. Key changes include:
- Launching a student **-** led Inclusivity Checklist
- Increased revision sessions led by Reps in lieu of the Train Strikes
- Creating community cohesion in Occupational Therapy by running a “bake-off” event
- Providing feedback on exams, and improving accessibility of exam rooms
- **200** club and society committee members were trained to deliver 100s of opportunities and by doing so gain valuable skills for their own development.
## **Values and Enablers**
We will demonstrate our values by ensuring everything we do is inclusive, engaging, empowering and delivered with integrity.
This year we have committed to becoming an anti-racist organisation and undertook research and analysis work in partnership with the Institute for Educational and Social Equity. This work has led us to an action plan of tangible, impactful workstreams that we believe will tackle some of the structural racism facing our students of colour. Much of this work will be done in partnership with the University, and as much of the activity as possible will be student-led.
As part of our commitment to ongoing training and development for our staff, we also commissioned new EDI training for all staff via Inclusive Employers – who delivered one session for staff members, and then a separate session for Managers, focusing on how we can lead and empower staff at all levels to be actively inclusive.
In the 2023 staff engagement survey, 93% of staff (including all student staff) strongly agreed/ agreed with the statement ‘This organisation values diversity’
Furthermore, an impressive 100% of our career staff strongly agreed/ agreed with the statement ‘I would willingly put in extra effort in order to help the organisation” which demonstrates the dedication and commitment of HSU’s excellent staff team.
Page 11
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
## **We will be a financially sustainable organisation, looking for new ways to add value to the student experience and our services.**
Students via their University fees, translated into a block grant of £1.373k, remain the Students’ Union primary funder and the Students’ Union works hard to ensure the circa £65 per student works hard to benefit students.
An ongoing partnership was entered into with Thirteen Media Sales and resulted in £15k of revenue.
The NUS Student Card (now rebranded as Totum) contributed an additional £1k income to HSU. This is significantly lower than previous years due to changes made to the commission structure.
Following a full refurbishment in 21-22 of the shop whereby £167k was spent on the infrastructure and fixtures and fittings, 22-23 has been a positive trading year for the shop with turnover of £852k, the online shop contributed £5.1k to the overall surplus. The net surplus of £80.9k (before support and marketing recharges) is to be invested into services to students.
The investment and development of HudLets was primarily aimed at securing a better housing deal for students. However, the operation is based on making a small surplus that can be used to support student accommodation issues. In 22-23 HudLets have returned a surplus of £17.3k. Since trading commenced, HudLets has gift aided over £85k to the Student Union whereby it has been invested into services for students.
We will be a diverse, inclusive and innovative organisation that encourages new ways of working and develop digital solutions to engaging with students.
Having motivated, talented and engaged staff is essential to deliver the HSU mission. Over the past year a number of new people have been appointed who fit our mission, vision and values and we continue to look for new talent while offering staff the opportunities to develop their own abilities.
Over the last year we have advertised **10** different student staff roles, received 360 applications, and appointed 49 new student staff. During the year student staff were paid over £116,847 (2022: £120,452) in wages in return for their hard work and commitment.
Page 12
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023
## **KPIs summary: results for 2022/23**
|||**Strategic KPIs**|**2021/22 Targets**|**Results**|
|---|---|---|---|---|
|**HSU Vision**|By 2025 all
Huddersfield students
will agree that we can
help them develop the
life skills they need to
make and shape their
future.|Every year 1% of the student
population will be added to
the longitudinal survey and
100% will agree that HSU has
had a positive impact on the 7
identified life skills.|500 students have taken part in
HudFutures by the end of the
year.|HudFutures project
on hold|
|**HSU Mission**|To make student life
better.
We will work together
to create personal
connections, inclusive
communities and
meaningful change.|Top quartile for NSS Q.26|59% HSS satisfaction rating
63% NSS satisfaction rating.|75.7%
The Students’
Union places 14th,
in the top quartile,
2.9 points above
benchmark.|
|||95% of students will connect
with us.|16,331 unique students|13,934|
|||60% of students will be part of
the HSU community.|4,000 unique students|3,362|
|||20% of students will create
change.|1,000 unique students|752|
|**Values**|Everything we go is
inclusive, engaging,
~~e~~mpowering and
delivered with
integrity.|90% agree HSU is a great place
to work.|90%|82%|
|||90% agree that they
understand the values and
how they demonstrate them
through behaviours at work. (I
see this organisation's values
beingacted out inpractice)|90%|89%|
|**Enablers**|Financially sustainable
organisation looking for
new ways to add value
to the student
experience and our
services.
A diverse, inclusive and
innovation organisation
~~t~~hat encourages new
ways of working and
develops digital
solutions to engaging
with students.|Small operating surplus every
year.|To deliver within approved
budget.|Ahead of forecast.|
|||Excellent rating in all QSU
categories.|Continue with current status.|Current very good
and Excellent.|
|||Sustainable liberation groups
that deliver change.|125 individual students involved
with a minimum of 15 within
each network and one major
campaign from each.|
118 members of
networks
15+ in every
network.|
|||Achieved Investing in Ethnicity
and Race in the Workplace.|Level 1 of 4 achieved.
Additional accreditation
achieved.|Decision to focus
on ‘inclusive
employers’
standard. Bronze.|
|||New digital solutions to
engaging with students.|Digital strategy developed and
initial stages implemented.|In progress|
Page 13
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
## **Financial review**
HSU has made an overall surplus of £213k this year. Total income of £2,490m with expenditure of £2,277m. HSU has continued to benefit from the support of the University, this year the annual grant was £1,373,020 this was an increase of £3k on the previous year. The £2,277m expenditure went on a range of student benefits detailed within the financial statements. HSU aims to work within its budget which planned a surplus budget of £44k before reserves expenditure, a deficit budget of £8,8k after which addressed the SU’s reserve levels which were lower in 21-22.
Under the requirements of FRS 102 the Union has recognised in the accounts its share of the pension liability for the Students’ Union Superannuation Scheme. The inclusion of the pension scheme liability has resulted in a negative pension fund of £1,051,369 (2022: £1,234,763). The Trustees’ assumption is that the Union will continue to make contributions to the pension scheme such that, after 13 years, the deficit will be reimbursed; as such the trustees consider that this does not impact on the going concern of the Union.
## **Reserves Policy**
The Trustees have reviewed HSU’s reserves requirements, and set a reserve and budgeting policy summarised below:
Budgeting and Reserves Policy Objectives
To establish a balanced revenue budget in each financial year.
To maintain an adequate level of operating reserves as detailed below and only allocate surplus reserves for a clear purpose.
To release reserves to support strategic objectives with Board approval.
|£375,000|**Operating Reserve:**has been designated to stabilise HSU finances providing a cushion
against unexpected events, losses or income. The figure will cover day to day operations and
cash flow,based on 3 months operatingcosts.|
|---|---|
|£120,449|**Designated fixed asset fund:**£120,449 is to be released over a period of 3 years for the
retail outlet after the current infrastructure, fixtures and fittings where updated.|
|£20,000|**Designated Capital commitments:**£20,000 is to be invested in updating IT equipment over
a two year period.|
|£3,000|**Designated strategic commitments**: In 2023/24 this is made up of funds designated for the
following project: strategic planning.|
|£75,000|**Free reserves:**to allow for any unexpected issues arising relating to areas such as the SUSS
pension, employment costs and write offs of unexpected charges.|
The free reserves at 31 July 2023 were £353,923 (2022: £255,021). Free reserves are unrestricted funds not tied up in fixed assets and which have not already been designated for a particular purpose. This assumes an additional £278,923 of reserves are available for HSU. The trustees will review the strategic plan and allocate these funds by designating them for strategic projects in 2023-24. Net current assets are £711,221 indicating we are operating in line with our established policies. This level falls within our minimum requirement of having three months’ activity costs in hand to cope with any unexpected downturn in funding or additional calls on our resources without immediately curtailing activities. Their aim is to finish 23-24 on breakeven or a small surplus before designated funds expenditure.
Page 14
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
## TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
## **Affiliations**
HSU has two corporate affiliations: these include the National Union of Students £28,073 (2022: £27,848) and the British Universities and Colleges Sports £5,225 (2022: £4,941). Individual clubs and societies affiliate to their national governing body or membership organisation. These are reviewed and approved by the Student Activities Committee. No donations were made during the year to any external institutions.
## **Custodian Activities: Clubs’ and Societies’ Funds and the annual RAG**
HSU acts as custodian for funds raised by the student clubs and societies, individual clubs and society fund’s balances are carried forward into the next financial year.
At 31 July 2023 £26.2k (2022: £13k) was carried forward on behalf of sports clubs and £32.7k (2022: £31.4k) was carried forward on behalf of societies.
HSU is custodian of the annual RAG proceeds from fundraising events. These are organised by the students under HSU’s auspices for distribution to the intended charities.
Funds raised by this year’s RAG amounted to £6,872 (2022: £3,280) out of which £6,880 was distributed to the major charity nominated by the RAG Committee, leaving a balance of £366) (2022: £374) in hand for next year’s RAG activities.
## **Board of Trustees Responsibilities**
The Trustees 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).
The law applicable to charities in England & Wales 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 Union and of the incoming resources and application of resources of the Union for that period. In preparing these financial statements, the Trustees are required to:
- Select suitable accounting policies and then apply them consistently;
- Observe the methods and principles in the Charities SORP 2019 (FRS 102);
- Make judgements and estimates that are reasonable and prudent;
- State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Union will continue in operation.
The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Union and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities Act 2011, and the provisions of the Articles of Association. 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.
The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the Union’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Page 15
## UNIVERSITY OF HUDDERSFIELD STUDENTS’ UNION
TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
## **Auditor**
The auditor, BHP LLP, has indicated their willingness to continue in office. The designated Trustees will propose a motion reappointing the auditor at a meeting of the Trustees.
This report was approved by the Trustees on 28 November 2023 and signed on their behalf by:
> Muhammad Taha Khan (Dec 12, 2023 14:06 GMT) ………………………………………. President
………………………………………. **Ann Allen** Chair of Board of Trustees
Page 16
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
We have audited the financial statements of University of Huddersfield Students' Union (the ‘parent charitable company’) and its subsidiaries (the 'group') for the year ended 31 July 2023, 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:
- give a true and fair view of the state of the group’s and parent charitable company’s affairs as at 31 July 2023, and of the group’s 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.
## **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 responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent 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 group and parent 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.
## **Other information**
The other information comprises the information included in the trustees' report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the trustees' 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.
Page 17
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION (CONTINUED)**
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' 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 group and parent 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 requires us to report to you if, in our opinion:
- adequate and sufficient accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or
- the parent charitable company’s financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of 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 directors’ report and from the requirement to prepare a strategic report.
## **Responsibilities of trustees**
As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors of the parent 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 group and parent 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 group or parent charitable company or to cease operations, or have no realistic alternative but to do so.
## **Auditor 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.
Page 18
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION (CONTINUED)**
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:
- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
- we identified the laws and regulations applicable to the group and parent charitable company through discussions with management and trustees, and from our knowledge and experience of this organisation;
- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the group, including the Charities Act 2011, the Companies Act 2006, data protection, health and safety legislation and employment law;
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and trustees;
- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit of the group and parent charitable company.
We assessed the susceptibility of the charitable group’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by;
- making enquiries of management and trustees as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
- To address the risks of fraud through management bias and override controls, we:
- performed analytical procedures to identify any unusual or unexpected variances;
- tested journal entries to identify unusual transactions;
- assessed whether judgments and assumptions made in determining the accounting estimates set out in note 3 were indicative of potential bias; and
- investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
- agreeing financial statement disclosures to underlying supporting documentation;
- reading the minutes of meetings of those charged with governance;
- reviewing legal expenses;
- enquiring of management as to actual and potential litigation and claims.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities is available on the FRC's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Page 19
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION (CONTINUED)**
## **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.
Jane Marshall (Dec 12, 2023 15:39 GMT)
Jane Marshall (Senior statutory auditor)
for and on behalf of
## **BHP LLP**
Chartered Accountants Statutory Auditor 2 Rutland Park Sheffield S10 2PD
Date: Dec 12, 2023
Page 20
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 JULY 2023**
|**Note**
**Income from:**
Donations and legacies
4
Charitable activities
5
Other trading activities
6
Investments
7
Other income
8
**Total income**
**Expenditure on:**
Raising funds
9
Charitable activities:
10
Remeasurement of SUSS defined benefit
pension scheme
. Other charitable activities
**Total expenditure**
**Net income/(expenditure)**
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
Net movement in funds
**Total funds carried forward**|**Unrestricted**
**funds**
**2023**
**£**
**1,168,844**
**969,224**
**120,478**
**27,728**
**-**
**2,286,274**
**92,272**
**(144,868)**
**2,125,546**
**2,072,950**
**213,324**
**213,324**
**(392,321)**
**213,324**
**(178,997)**|**Restricted**
**funds**
**2023**
**£**
**204,176**
**-**
**-**
**-**
**-**
**204,176**
**-**
**-**
**204,176**
**204,176**
**-**
**-**
**-**
**-**
**-**|**Total**
**funds**
**2023**
**£**
**1,373,020**
**969,224**
**120,478**
**27,728**
**-**
**2,490,450**
**92,272**
**(144,868)**
**2,329,722**
**2,277,126**
**213,324**
**213,324**
**(392,321)**
**213,324**
**(178,997)**|Total
funds
2022
£
1,370,145
687,463
107,594
8,055
1,983
2,175,240
107,075
-
2,139,468
2,246,543
(71,303)
(71,303)
(321,018)
(71,303)
(392,321)|
|---|---|---|---|---|
The Consolidated statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 27 to 59 form part of these financial statements.
Page 21
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee) REGISTERED NUMBER: 13435053**
## **CONSOLIDATED BALANCE SHEET AS AT 31 JULY 2023**
|**Note**
**Fixed assets**
Tangible assets
16
**Current assets**
Stocks
18
Debtors
19
Cash at bank and in hand
Creditors: amounts falling due within one year
20
**Net current assets**
**Total assets less current liabilities**
Creditors: amounts falling due after more than
one year
21,27
**Total net assets**|**41,087**
**26,275**
**1,192,378**
**1,259,740**
**(548,519)**|**2023**
**£**
**120,449**
**120,449**
**711,221**
**831,670**
**(1,010,667)**
**(178,997)**|30,961
26,034
1,116,199
1,173,194
(543,991)|2022
£
161,921
161,921
629,203
791,124
(1,183,445)
(392,321)|
|---|---|---|---|---|
Page 22
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee) REGISTERED NUMBER: 13435053**
## **CONSOLIDATED BALANCE SHEET (CONTINUED) AS AT 31 JULY 2023**
|**Note**
**Charity funds**
Restricted funds
22
Unrestricted funds
Designated funds
22
General funds
22
Unrestricted funds excluding pension liability
22
Pension reserve
22
Total unrestricted funds
22
**Total funds**|**518,449**
**353,923**
**872,372**
**(1,051,369)**|**2023**
**£**
**-**
**(178,997)**
**(178,997)**|571,778
270,664
842,442
(1,234,763)|2022
£
-
(392,321)
(392,321)|
|---|---|---|---|---|
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
Muhammad Taha Khan (Dec 12, 2023 14:06 GMT) ................................................ ................................................ **Muhammad Taha Khan Ann Allen** President Chair of Board of Trustees
## Date: 28 November 2023
The notes on pages 27 to 59 form part of these financial statements.
Page 23
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee) REGISTERED NUMBER: 13435053**
## **UNION BALANCE SHEET AS AT 31 JULY 2023**
|**Note**
**Fixed assets**
Tangible assets
16
Investments
17
**Current assets**
Stocks
18
Debtors
19
Cash at bank and in hand
Creditors: amounts falling due within one year
20
**Net current assets**
**Total assets less current liabilities**
Creditors: amounts falling due after more than
one year
21
**Net liabilities excluding pension asset**
**Total net assets**
**Charity funds**
Restricted funds
22
Unrestricted funds
Designated funds
22
General funds
22
Unrestricted funds excluding pension liability
22
Pension reserve
22
Total unrestricted funds
22
**Total funds**|**41,087**
**73,133**
**1,121,130**
**1,235,350**
**(534,308)**
**518,449**
**343,844**
**862,293**
**(1,051,369)**|**2023**
**£**
**120,449**
**100**
**120,549**
**701,042**
**821,591**
**(1,010,667)**
**(189,076)**
**(189,076)**
**-**
**(189,076)**
**(189,076)**|30,961
74,655
1,054,222
1,159,838
(521,848)
571,778
277,920
849,698
(1,234,763)|2022
£
160,290
100
160,390
637,990
798,380
(1,183,445)
(385,065)
(385,065)
-
(385,065)
(385,065)|
|---|---|---|---|---|
The Union's net movement in funds for the year was £195,989 (2022 - £(52,724)).
Page 24
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
**(A company limited by guarantee)**
## **UNION STATEMENT OF FINANCIAL POSITION (CONTINUED) AS AT 31 JULY 2023**
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
Muhammad Taha Khan (Dec 12, 2023 14:06 GMT)
**Muhammad Taha Khan** President
**Ann Allen** Chair of Board of Trustees
Date: 28 November 2023
The notes on pages 27 to 59 form part of these financial statements.
Page 25
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 JULY 2023**
|**Note**
**Cash flows from operating activities**
Net cash provided by operating activities
24
**Cash flows from investing activities**
Bank interest
Purchase of tangible fixed assets
**Net cash provided by/(used in) investing activities**
**Cash flows from financing activities**
**Net cash provided by financing activities**
**Change in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**
25|**2023**
**£**
**48,451**
**27,728**
**-**
**27,728**
**-**
**76,179**
**1,116,199**
**1,192,378**|2022
£
225,245
8,055
(167,181)
**(159,126)**
**-**
**66,119**
1,050,080
1,116,199|
|---|---|---|
The notes on pages 27 to 59 form part of these financial statements
Page 26
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **1. General information**
University of Huddersfield Students' Union is a registered charity (no. 1137401). The registered office is Queensgate, Huddersfield, HD1 3DH.
The members of the charity are the Trustees named on page 1.
## **2. Accounting policies**
## _**2.1 Basis of preparation of financial statements**_
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Accounting Practice.
The University of Huddersfield Students’ Union (the “Charity”) was registered as a charity on 1 September 2022, number 1197170, succeeding The University of Huddersfield Students’ Union, which is now a linked charity. The Trustees have taken advantage of the Charity Commission concession to link charities which have a common Trustee board allowing preparation of one set of financial statements for both charities the Charity has adopted merger accounting as prescribed by paragraph 27 of the charity SORP. Accordingly these financial statements present comparative amounts on the same basis to show the aggregated results for the combining charities for the previous reporting period.
University of Huddersfield Students' Union meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The Consolidated statement of financial activities (SOFA) and Consolidated balance sheet consolidate the financial statements of the Group and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.
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 £1.
The Group has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements.
## _**2.2 Going concern**_
The block grant for 2023-24 has been confirmed at £1.43m. A business as usual budget has been set for 202324 and there is no anticipated cut to the university grant.
The Union has no overdraft facility or other external loans, the Union's forecasts and projections show that the Union has sufficient reserves to be able to operate for at least 12 months from the date of approval of these financial statements. As such the Trustees consider it appropriate to continue to prepare the financial statements on the going concern basis.
Page 27
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **2. Accounting policies (continued)**
## _**2.3 Income**_
All income is recognised once the Group has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.
The Coronavirus Job Retention Scheme (CJRS) income is recognised in other income in the period to which it relates on an accruals basis.
## _**2.4 Expenditure**_
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.
## _**2.5 Interest receivable**_
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
## _**2.6 Taxation**_
The charity is considered to pass the tests set out in Schedule 6, paragraph 1 of the Finance Act 2010 and therefore it meets the definition of a charity for UK income tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Income Tax Act 2007, Part 10 s521 – s537 or s. 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## _**2.7 Tangible fixed assets and depreciation**_
Tangible fixed assets costing £1,000 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Page 28
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **2. Accounting policies (continued)**
## _**2.7 Tangible fixed assets and depreciation (continued)**_
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following bases:
- Fixtures and fittings 20% straight line - Office equipment 33% straight line
## _**2.8 Investments**_
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Consolidated statement of financial activities.
Investments in subsidiaries are valued at cost less provision for impairment.
## _**2.9 Stocks**_
Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.
## _**2.10 Debtors**_
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## _**2.11 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.
Page 29
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **2. Accounting policies (continued)**
## _**2.12 Liabilities and provisions**_
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Group anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated statement of financial activities as a finance cost.
## _**2.13 Financial instruments**_
The Group 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.
## _**2.14 Operating leases**_
Rentals paid under operating leases are charged to the Consolidated statement of financial activities on a straight line basis over the lease term.
## _**2.15 Pensions**_
The Union participates in the Students’ Union Superannuation Scheme, a defined benefit scheme which is externally funded and contracted out of the State Second Pension. The fund is valued at least every three years by a professionally qualified independent actuary with the rates of contribution payable being determined by the trustees on the advice of the actuary. The scheme operates as a pooled arrangement, with contributions paid at a centrally agreed rate. As a consequence, no share of the underlying assets and liabilities can be directly attributed to the Union. Under the terms of FRS102, in these circumstances contributions are accounted for as if the Scheme were a defined contribution scheme based on actual contributions paid through the year. The present value of the Union’s deficit contribution is recognised as a liability in accordance with SORP (FRS102).
The Union also contributes to defined contribution pension schemes for its employees. The pension charge represents the amounts payable by the company to the fund in respect of the year.
Page 30
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **2. Accounting policies (continued)**
## _**2.16 Fund accounting**_
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
## _**2.17 Employee benefits**_
The costs of short-term employee benefits are recognised as a liability and an expense.
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 Group is committed to terminate the employment of an employee or to provide termination benefits.
Page 31
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## _**3.**_ **Critical accounting estimates and areas of judgment**
Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
## Critical accounting estimates and assumptions:
The Group makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.
## Critical areas of judgment:
## (i) Pension deficit contribution
The charity has entered into a commitment to provide deficit funding to the Students' Union Superannuation Pension Scheme, of which it is a contributing employer. Under FRS 102, the present value of the commitment is recognised. The calculation of the present value of the commitment is subject to an assumption of the discount rate. The discount rate is determined by reference to market yields at the reporting date on high quality corporate bonds.
## (ii) Support costs
Staffing and adminstration support costs are allocated across the various activities of the Group. The Group's policy for allocation is detailed in note 11 to the financial statements.
Page 32
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **4. Income from donations and legacies**
|**_Grants_**
University block grant
University grant for rent
University support and recharges
**_Total grants_**
Total 2022|**Unrestricted**
**funds**
**2023**
**£**
1,116,459
-
52,385
1,168,844
1,168,844
1,161,719|**Restricted**
**funds**
**2023**
**£**
-
204,176
-
204,176
204,176
208,426|**Total**
**funds**
**2023**
**£**
**1,116,459**
**204,176**
**52,385**
**1,373,020**
**1,373,020**
1,370,145|Total
funds
2022
£
1,161,719
204,176
4,250|
|---|---|---|---|---|
|||||1,370,145|
|||||1,370,145|
||||||
## **5. Income from charitable activities**
|Fresher's week and refreshers
NUS Totum
Retail operations
Sports and societies
Other trading operations
**_Total 2023_**
Total 2022|**Unrestricted**
**funds**
**2023**
**£**
33,812
990
852,779
66,933
14,710
969,224
687,463|**Total**
**funds**
**2023**
**£**
**33,812**
**990**
**852,779**
**66,933**
**14,710**
**969,224**
687,463|Total
funds
2022
£
50,457
1,242
583,851
38,985
12,928|
|---|---|---|---|
||||687,463|
|||||
Page 33
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **6. Income from other trading activities**
## **Income from non charitable trading activities**
|Huddersfield Students' Union Lettings Ltd
Total 2020
**Investment income**
Bank interest receivable
Total 2022
**Other incoming resources**
Coronavirus Job Retention Scheme income
Total 2020 as restated|**Unrestricted**
**funds**
**2023**
**£**
120,478
107,594
**Unrestricted**
**funds**
**2023**
**£**
27,728
8,055
**Unrestricted**
**funds**
**2023**
**£**
-
1,983|**Total**
**funds**
**2023**
**£**
**120,478**
107,594
**Total**
**funds**
**2023**
**£**
**27,728**
8,055
**Total**
**funds**
**2023**
**£**
**-**
1,983|Total
funds
2022
£
107,594|
|---|---|---|---|
||||Total
funds
2022
£
8,055|
||||Total
funds
2022
£
1,983|
|||||
## **7. Investment income**
## **8. Other incoming resources**
Page 34
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **9. Expenditure on raising funds**
## _**Other trading expenses**_
|Operating costs
Staff costs
Depreciation
Total 2022|**Unrestricted**
**funds**
**2023**
**£**
13,391
77,250
1,631
92,272
107,075|**Total**
**funds**
**2023**
**£**
**13,391**
**77,250**
**1,631**
**92,272**
107,075|Total
funds
2022
£
17,660
87,590
1,825|
|---|---|---|---|
||||107,075|
|||||
Page 35
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **10. Analysis of expenditure on charitable activities**
## _**Summary by fund type**_
|Clubs and societies
Student representation
Welfare and advice services
Volunteer services
NUS affiliation
Trading operations
Student events
Goverance
Fresher's week
SUSS pension re-measurement
Total 2022|**Unrestricted**
**funds**
**2023**
**£**
284,775
224,434
320,450
565
31,119
971,639
228,007
32,108
32,449
(144,868)
1,980,678
1,931,042|**Restricted**
**funds**
**2023**
**£**
17,713
123,990
26,569
-
-
27,048
8,856
-
-
-
204,176
208,426|**Total**
**2023**
**£**
**302,488**
**348,424**
**347,019**
**565**
**31,119**
**998,687**
**236,863**
**32,108**
**32,449**
**(144,868)**
**2,184,854**
2,139,468|Total
2022
£
269,246
518,264
340,540
6,076
-
631,638
297,231
31,841
44,632
-|
|---|---|---|---|---|
|||||2,139,468|
||||||
Page 36
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **10. Analysis of expenditure on charitable activities (continued)**
## **Summary by expenditure type**
|Clubs and societies
Student representation
Welfare and advice services
Volunteer services
NUS affiliation
Trading operations
Student events
Goverance
Fresher's week
SUSS pension re-measurement
Total 2022|**Staff costs**
**2023**
**£**
72,780
169,932
265,320
-
-
300,949
172,038
-
4,825
-
985,844
1,043,954|**Depreciation**
**2023**
**£**
7,455
8,573
7,704
-
-
9,404
6,707
-
-
-
39,843
28,343|**Other costs**
**2023**
**£**
222,253
169,919
73,995
565
31,119
688,334
58,118
32,108
27,624
(144,868)
1,159,167
1,067,171|**Total**
**2023**
**£**
**302,488**
**348,424**
**347,019**
**565**
**31,119**
**998,687**
**236,863**
**32,108**
**32,449**
**(144,868)**
**2,184,854**
2,139,468|Total
2022
£
269,246
518,264
340,540
6,076
-
631,638
297,231
31,841
44,632
-|
|---|---|---|---|---|---|
||||||2,139,468|
|||||||
Page 37
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **11. Analysis of expenditure by activities**
|Clubs and societies
Student representation
Welfare and advice services
Volunteer services
NUS affiliation
Trading operations
Student events
Goverance
Fresher's week
SUSS pension re-measurement
Total 2022|**Activities**
**undertaken**
**directly**
**2023**
**£**
166,758
119,319
238,145
565
31,119
902,781
166,730
-
32,449
-
1,657,866
1,481,523|**Support costs**
**2023**
**£**
135,730
229,105
108,874
-
-
95,906
70,133
32,108
-
(144,868)
526,988
657,945|**Total**
**funds**
**2023**
**£**
**302,488**
**348,424**
**347,019**
**565**
**31,119**
**998,687**
**236,863**
**32,108**
**32,449**
**(144,868)**
**2,184,854**
2,139,468|Total
funds
2022
£
269,246
518,264
340,540
6,076
-
631,638
297,231
31,841
44,632
-|
|---|---|---|---|---|
|||||2,139,468|
||||||
Page 38
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **11. Analysis of expenditure by activities (continued)**
## **Analysis of support costs**
|Staff costs
Depreciation
Facilities costs
Other costs
Governance costs
Total 2022
Staff costs
Depreciation
Facilities costs
Other costs
Goverance costs
Total 2022|**Clubs and**
**societies**
**2023**
**£**
72,780
7,455
55,495
-
-
135,730
128,869
**Goverance**
**costs**
**2023**
**£**
-
-
9,701
-
22,407
32,108
31,841||**Student**
**rep**
**2023**
**Welfare**
**and**
**advice**
**2023**
**Trading**
**operation**
**s**
**2023**
**Student**
**events**
**2023**
**£**
**£**
**£**
**£**
66,958
52,402
61,135
37,845
8,573
6,709
7,828
6,707
153,574
49,763
26,943
25,581
-
-
-
-
-
-
-
-
229,105
108,874
95,906
70,133
227,431
106,759
94,447
68,598
**SUSS Pension**
**2023**
**Total**
**funds**
**2023**
Total
funds
2022
**£**
**£**
£
-
**291,120**
286,195
-
**37,272**
25,561
-
**321,057**
226,290
(144,868)
**(144,868)**
94,059
-
**22,407**
25,840
(144,868)
**526,988**
657,945
-
657,945|**Student**
**events**
**2023**
**£**
37,845
6,707
25,581
-
-|
|---|---|---|---|---|
||||||
|||||70,133|
||||||
|||||68,598|
The support costs detailed above, excluding rent, are allocated using a proportion of staff numbers. 25% (2022: 25%) is allocated to Clubs and Societies expenditure, 13% (2022: 13%) to Events expenditure, 23% (2022: 23%) to Student Representation expenditure, 18% (2022: 18%) to Welfare and Advice services expenditure and 21% (2022: 21%) in relation to raising funds. Rent is allocated 70% (2022: 70%) to Student Representation, 15% (2022: 15%) to Welfare and Advice services, 10% (2022: 10%) to Clubs and Societies expenditure, and 5% (2022: 5%) to Events expenditure.
Page 39
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
|**12.**|**Auditors' remuneration**|||
|---|---|---|---|
|||**2023**|2022|
|||**£**|£|
||Fees payable to the Group's auditor for the audit of the Group's annual accounts|**17,025**|13,405|
## **13. Staff costs**
|Wages and salaries
Social security costs
Contribution to defined contribution pension
schemes|**Group**
**2023**
**£**
**946,772**
**77,758**
**38,564**
**1,063,094**|Group
2022
£
1,010,837
80,689
40,019
1,131,545|**Union**
**2023**
**£**
**869,522**
**77,758**
**38,564**
**985,844**|Union
2022
£
923,245
80,689
40,019|
|---|---|---|---|---|
||||||
|||||1,043,953|
During the year redundancy payments of £11,067 were paid to four employees (2022: £1,400 to one employee).
The average number of persons employed by the Group during the year was as follows:
||**Group**|Group|
|---|---|---|
||**2023**|2022|
||**No.**|No.|
|Staff numbers|**67**|79|
Page 40
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **13. Staff costs (continued)**
The average headcount expressed as full-time equivalents was:
|Student representation
Welfare services
Governance
Commercial services
Administration
Student staff- student representation
Student staff - commercial services|**Group**
**2023**
**No.**
**10**
**4**
**1**
**4**
**6**
**3**
**3**
**31**|Group
2022
No.
14
4
1
6
6
2
4|
|---|---|---|
||||
|||37|
The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:
|||**Group**|Group|
|---|---|---|---|
|||**2023**|2022|
|||**No.**|No.|
|In the band £60,001|- £70,000|**1**|-|
The total amount of employees benefits received by key management personnel including employers NI and pension contributions is £300,701 (2022: £281,167). The Union considers its key management personnel to comprise the trustees, including the sabbatical officers who are remunerated and the Senior Management.
## **14. Trustees' remuneration and expenses**
The five sabbatical roles each incurred a salary charge as authorised in the Students' Union governing document, for the representation, campaigning and support work they undertake as distinct from their trustee responsibilities. This work includes voicing student opinion with the University and local community, defending and extending the rights of students through petitions, discussions with MP’s and also organising and supporting student volunteers and service provision for them. Details of the five sabbatical officers are available on page 1 of the financial statements.
Remuneration is paid to each sabbatical officer for an annual term which runs to the 30 June, should an officer leave part way through the year the remuneration is paid on a pro rata basis. New sabbatical officers also receive an additional 2 weeks pay for training. For the year to 30 June 2022 and 30 June 2023 each officer received annual remuneration of £21,401. The aggregate amount payable under such contracts in the year ended 31 July 2023 was £118,130 (2022: £111,564).
In the year, 7 trustees had expenses reimbursed of £5,595 (2022: 5 trustees totalling £2,141).
Page 41
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
|**15.**
**Intangible assets**
**_Group_**
**_Cost_**
At 1 August 2022
At 31 July 2023
**_Amortisation_**
At 1 August 2022
At 31 July 2023
**_Net book value_**
At 31 July 2023
At 31 July 2022|**Website**
**development**
**£**
**6,600**|
|---|---|
||**6,600**|
||**6,600**|
||**6,600**|
||**-**|
||-|
Page 42
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **16. Tangible fixed assets**
## **Group**
|**_Cost or valuation_**
At 1 August 2022
At 31 July 2023
**_Depreciation_**
At 1 August 2022
Charge for the year
At 31 July 2023
**_Net book value_**
At 31 July 2023
At 31 July 2022|**Fixtures and**
**fittings**
**£**
**130,604**
**130,604**
**43,571**
**22,334**
**65,905**
**64,699**
87,033|**Office**
**equipment**
**£**
**115,575**
**115,575**
**40,687**
**19,138**
**59,825**
**55,750**
74,888|**Total**
**£**
**246,179**|
|---|---|---|---|
||||**246,179**|
||||**84,258**
**41,472**|
||||**125,730**|
||||**120,449**|
||||161,921|
Page 43
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **16. Tangible fixed assets (continued)**
## **Union**
|**_Cost or valuation_**
At 1 August 2022
At 31 July 2023
**_Depreciation_**
At 1 August 2022
Charge for the year
At 31 July 2023
**_Net book value_**
At 31 July 2023
At 31 July 2022|**Fixtures and**
**fittings**
**£**
**120,010**
**120,010**
**34,531**
**20,780**
**55,311**
**64,699**
85,479|**Office**
**equipment**
**£**
**111,861**
**111,861**
**37,050**
**19,061**
**56,111**
**55,750**
74,811|**Total**
**£**
**231,871**|
|---|---|---|---|
||||**231,871**|
||||**71,581**
**39,841**|
||||**111,422**|
||||**120,449**|
||||160,290|
Page 44
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **17. Fixed asset investments**
|**_Union_**
**_Cost or valuation_**
At 1 August 2022
At 31 July 2023
**_Net book value_**
At 31 July 2023
At 31 July 2022
**Principal subsidiaries**|**Investments in**
**subsidiary**
**companies**
**£**
**100**|
|---|---|
||**100**|
||**100**|
||100|
|||
The following was a subsidiary undertaking of the Union:
|**Name**|**Company**|**Registered office or**|**Principal activity**||**Class of**|**Holding**|
|---|---|---|---|---|---|---|
||**number**|**principal place of**|||**shares**||
|||**business**|||||
|Huddersfield Students'|09108828|Queensgate,|Providing support|and|Ordinary|100%|
|Union Lettings Ltd||Huddersfield,|advice to students on||||
|||HD1 3DH|lettings.||||
|The financial results of the subsidiary||for the year were:|||||
|**Name**||**Income**|**Expenditure**|**Profit/(Loss)/**||**Net assets**|
|||**£**|**£**||**Surplus/**|**£**|
|||||**(Deficit) for the**|||
||||||**year**||
||||||**£**||
|Huddersfield Students' Union Lettings Ltd
**120,478**|||**103,143**||**17,335**|**10,179**|
The financial results of the subsidiary for the year were:
Page 45
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **18. Stocks**
|Finished goods and goods for resale
**19.**
**Debtors**
**_Due within one year_**
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income|**Group**
**2023**
**£**
**41,087**
**Group**
**2023**
**£**
**3,897**
**-**
**3,077**
**19,301**
**26,275**|Group
2022
£
30,961
Group
2022
£
-
-
1,120
24,914
26,034|**Union**
**2023**
**£**
**41,087**
**Union**
**2023**
**£**
**3,897**
**50,000**
**2,973**
**16,263**
**73,133**|Union
2022
£
30,961|
|---|---|---|---|---|
|||||Union
2022
£
-
50,000
1,020
23,635|
||||||
|||||74,655|
Page 46
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **20. Creditors: Amounts falling due within one year**
|Trade creditors
Other taxation and social security
SUSS defined benefit pension scheme liability
Other creditors
Accruals and deferred income
Deferred income at 1 August 2022
Resources deferred during the year
Amounts released from previous periods|**Group**
**2023**
**£**
**62,329**
**42,364**
**40,702**
**70,873**
**332,251**
**548,519**
**Group**
**2023**
**£**
**275,057**
**298,297**
**(275,057)**
**298,297**|Group
2022
£
62,750
42,165
51,318
59,052
328,706
543,991
Group
2022
£
15,832
275,057
(15,832)
275,057|**Union**
**2023**
**£**
**60,041**
**42,364**
**40,702**
**70,407**
**320,794**
**534,308**
**Union**
**2023**
**£**
**261,885**
**286,841**
**(261,885)**
**286,841**|Union
2022
£
60,600
38,757
51,318
55,638
315,535|
|---|---|---|---|---|
|||||521,848|
|||||Union
2022
£
5,682
261,885
(5,682)|
|||||261,885|
At the financial year end, £283,507 (2022: £258,552) was recognised in deferred income in relation to grants receivable from the University of Huddersfield in advance of the period for which it related. Remaining deferred income relates to employer's rebate from HMRC of £3,333 (2022: £3,333) and income received in advance in Hudlets of £11,456 (2022: £13,172) relating to website advertising and open days.
## **21. Creditors: Amounts falling due after more than one year**
|||**Group**|Group|**Union**|Union|
|---|---|---|---|---|---|
|||**2023**|2022|**2023**|2022|
|||**£**|£|**£**|£|
|SUSS defined benefit pension scheme||||||
|liability|27|**1,010,667**|1,183,445|**1,010,667**|1,183,445|
Page 47
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
|**22.**
**Statement of funds**
**Statement of funds - current year**
**_Unrestricted funds_**
**_Designated funds_**
Operating reserve
Capital expenditure reserve
Charity incorporation
IT equipment replacement
Anti racism project
Strategic planning
**_General funds_**
General Funds
Huddersfield Students' Union
Lettings Limited
SUSS pension deficit
**_Total Unrestricted funds_**
**_Restricted funds_**
Rent
**_Total of funds_**|**Balance at 1**
**August 2022**
**£**
**375,000**
**146,278**
**12,500**
**30,000**
**8,000**
**-**
**571,778**
**277,920**
**(7,256)**
**(1,234,763)**
**(964,099)**
**(392,321)**
**-**
**(392,321)**|**Income**
**£**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**2,165,796**
**120,478**
**-**
**2,286,274**
**2,286,274**
**204,176**
**2,490,450**|**Expenditure**
**£**
**-**
**(32,897)**
**(12,500)**
**-**
**(8,000)**
**-**
**(53,397)**
**(2,018,656)**
**(103,143)**
**102,246**
**(2,019,553)**
**(2,072,950)**
**(204,176)**
**(2,277,126)**|**Transfers**
**in/out**
**£**
**-**
**7,068**
**-**
**(10,000)**
**-**
**3,000**
**68**
**(81,216)**
**-**
**81,148**
**(68)**
**-**
**-**
**-**|**Balance at 31**
**July 2023**
**£**
**375,000**
**120,449**
**-**
**20,000**
**-**
**3,000**
**518,449**
**343,844**
**10,079**
**(1,051,369)**
**(697,446)**
**(178,997)**
**-**
**(178,997)**|
|---|---|---|---|---|---|
Page 48
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
|**22.**
**Statement of funds (continued)**
**Statement of funds - prior year**
**_Unrestricted funds_**
**_Designated funds_**
Operating reserve
Capital expenditure reserve
Charity incorporation
Student minds
IT equipment replacement
Trustee recruitment
Anti racism project
**_General funds_**
General Funds
Huddersfield Students' Union
Lettings Limited
SUSS pension deficit
**_Total Unrestricted funds_**|Balance at
1 August 2021
£
375,000
151,896
7,837
5,175
-
8,000
-
547,908
402,319
11,323
(1,282,568)
(868,926)
(321,018)|Income
£
-
-
-
-
-
-
-
-
1,859,220
107,594
-
1,966,814
1,966,814|Expenditure
£
-
(20,242)
(6,369)
(5,175)
(3,132)
(6,000)
(6,000)
(46,918)
(1,846,367)
(114,850)
(29,982)
(1,991,199)
(2,038,117)|Transfers
in/out
£
-
14,624
11,032
-
33,132
(2,000)
14,000
70,788
(137,252)
(11,323)
77,787
(70,788)
-|Balance at
31 July 2022
£
375,000
146,278
12,500
-
30,000
-
8,000
571,778
277,920
(7,256)
(1,234,763)
(964,099)
(392,321)|
|---|---|---|---|---|---|
Page 49
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **22. Statement of funds (continued)**
**----- Start of picture text -----**
Balance at Transfers Balance at
1 August 2021 Income Expenditure in/out 31 July 2022
£ £ £ £ £
Restricted funds
Rent - 204,176 (204,176) - -
- - -
IT support 4,250 (4,250)
- - -
208,426 (208,426)
-
Total of funds (321,018) 2,175,240 (2,246,543) (392,321)
**----- End of picture text -----**
## **22. Statement of funds (continued)**
## **Designated funds:**
## _Operating reserve_
£375,000 has been designated to stabilise HSU finances providing a cushion against unexpected events, losses or income. The figure will cover day to day operations and cash flow, based on 3 months of operating costs.
## _Capital expenditure reserve_
£120,449 is being carried forward as designated funds which represent the value of fixed assets held at the year end.
## _Charity Incorporation_
A one off project to move the organisation from an unincorporated to incorporated organisation. The funding would cover the legal costs to set up the new company and transfer the assets and liabilities including the SUSS pension.
## _I.T. Equipment_
£30,000 is to be invested in updating IT equipment over a three year period.
## _Anti-Racism Project_
This investment is for a Project Steering Group to represent the different organisations that make up the Union, to facilitated conversations (voices), a review of policies (student and staff facing policies) and to understand the Union’s existing practice of anti-racism data and review.
## _Strategic planning_
- £3,000 has been designated for spend in 2023/24 on strategic planning.
Page 50
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## _Student Minds_
This is investment for a temporary role and additional resources to establish a new Peer to Peer mentoring service with support from Student Minds. This is a main objective for the Officers and was the key issue highlighted by new students as the area that they wanted us to help with, all funds were spent during the year.
## **Restricted funds:**
## _Rent_
The University of Huddersfield provide funding to the Union to cover the costs of renting the Students' Union's building.
## _IT Support_
The Students' Union receives IT support from the University of Huddersfield free of charge. In accordance with the principles of SORP 2019, this has been recognised in the Statement of Financial Acitivities.
## **Transfers** :
A transfer has been made from unrestricted reserves to the capital expenditure reserve for £7,068 to align the tangible fixed assets with this designated fund balance.
In the previous year, the Trustees designated £30,000 to be spent equally across three years. A transfer of £10,000 has been made between the IT equipment replacement designated reserve to unrestricted funds which represents the unspent annual allocation.
A transfer of £3,000 has been made from unrestricted reserves to the strategic planning designated fund to represent funds set aside for anticipated spend on strategic planning costs in 2023/24.
A transfer of £81,148 has been made to the pension fund. This amount represents contribution payments made to the SUSS pension scheme.
## **23. Analysis of net assets between funds**
## **Analysis of net assets between funds - current year**
|Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
**_Total_**|**Unrestricted**
**funds**
**2023**
**£**
120,449
1,259,740
(548,519)
(1,010,667)
(178,997)|**Total**
**funds**
**2023**
**£**
**120,449**
**1,259,740**
**(548,519)**
**(1,010,667)**
**(178,997)**|
|---|---|---|
Page 51
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **23. Analysis of net assets between funds (continued) Analysis of net assets between funds - prior year**
|Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
**_Total_**|Unrestricted
funds
2022
£
161,921
1,173,194
(543,991)
(1,183,445)
(392,321)|Total
funds
2022
£
161,921
1,173,194
(543,991)
(1,183,445)
(392,321)|
|---|---|---|
## **24. Reconciliation of net movement in funds to net cash flow from operating activities**
|Net income/expenditure for the year (as per Statement of Financial Activities)
**_Adjustments for:_**
Depreciation charges
Bank interest
(Increase)/decrease in stocks
(Increase)/decrease in debtors
(Decrease)/increase in creditors
Pension finance cost
SUSS pension remeasurement
**_Net cash provided by operating activities_**|**Group**
**2023**
**£**
**213,324**
**41,472**
**(27,728)**
**(10,126)**
**(241)**
**(66,004)**
**42,622**
**(144,868)**
**48,451**|Group
2022
£
(71,303)
30,170
(8,055)
1,953
12,622
229,876
29,982
-
225,245|
|---|---|---|
Page 52
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **25. Analysis of cash and cash equivalents**
|Cash in hand
**_Total cash and cash equivalents_**|**Group**
**2023**
**£**
**1,192,378**
**1,192,378**|Group
2022
£
1,116,199|
|---|---|---|
||||
|||1,116,199|
## **26. Analysis of changes in net debt**
|Cash at bank and in hand
Debt due within 1 year|**At 1 August**
**2022**
**£**
**1,116,199**
**(51,318)**
**1,064,881**|**Cash flows**
**£**
**76,179**
**-**
**76,179**|**Other non-**
**cash changes**
**£**
**-**
**10,616**
**10,616**|**At 31 July**
**2023**
**£**
**1,192,378**
**(40,702)**|
|---|---|---|---|---|
|||||**1,151,676**|
Page 53
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **27. Pension commitments**
The Union participates in the NUS Pension Scheme, a defined contribution scheme. During the year, contributions of £38,564 (2022: £40,019) were paid to the scheme. Included within other creditors at the year end were pension liabilities totalling £6,184 (2022: £7,009).
The Union also operates a defined benefit pension scheme.
The Union participates in the Students’ Union Superannuation Scheme, 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 onwards accruing on a Career Average Revalued Earnings (CARE) basis. With effect from 30 September 2011 the scheme closed to future accrual.
The most recent valuation of the Scheme was carried out as at 30 June 2019 and showed that the market value of the Scheme’s assets was £119.1m 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 £140.9m.
Valuations are conducted every three years based upon assumptons agreed by the Trustees, and is used to set the contributions payable by the participating employers.
The outcome in financial terms is set out in the table below:
||30 June 2016
£m|30 June 2019
£m|
|---|---|---|
|Assets|£101.3|£119.1|
|Liabilities|£221.0|£260.0|
|Deficit|(£119.7)|(£140.9)|
|FundingLevel|46%|46%|
The increase shown in the deficit since 2016 is in line with the changes previously reported, following annual reviews, but makes allowance for the impact of the 7% pension increase issue. This has increased the deficit in SUSS but its impact has been mitigated by the member consent exercise.
Whilst the assets have performed well, rising by over 17% over the three years, the liabilities have increased by a similar percentage. The sustained low yield on government bonds has continued to affect the liabilities, but the increase was driven in large part by the pension increase issue. The Trustees have concluded that the level of contributions to clear the deficit will have to rise above the planned 5% annual increase in order to address this. However, in order to allow time for unions to make the necessary arrangements the increase in contributions will come into effect from October 2021.
The increase of 5% due in October 2020 proceeded as planned, and these contributions form part of the plan to remove the funding deficit in SUSS.
Following the 2020 increase, and in order to attribute the further increase in costs as fairly as possible, the Trustees have allocated the additional liabilities arising from the 7% pension increase issue to those unions whose members are directly affected by it. This means that a union with many affected members may see a substantial increase in their contributions to SUSS from October 2021, while a union with no members affected by the issue would see a
Page 54
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **27. Pension commitments (continued)**
much smaller increase.
The Trustees also considered whether the costs of carrying out the member consent exercise should be borne only by those unions whose members are directly affected by the pension increase issue. After careful consideration, and keeping in mind the principle of collectivism, they concluded that a significant proportion of the costs incurred were justifiable expenses of running SUSS as a whole (because benefits needed to be adjusted, and members written to, whether or not the compromise offer was made). What remained, once allocated to the many affected unions and reclaimed over a reasonable period of time, was not material in the context of the overall level of payments being made to SUSS by the unions, and so no additional charges will be made in respect of this.
The existing recovery plan, based on the results of the 2016 valuation, was due to end in 2033. One option considered by the Trustees was to retain this target end date, in line with the Pensions Regulator’s guidance that funding deficits should be addressed over as short a period as possible. However, given the already substantial level of contributions being made to SUSS by the employers, the Trustees concluded that extending the recovery period, and hence reducing the initial increase in contributions that unions would be required to make, struck an appropriate balance between removing the deficit as quickly as possible while remaining affordable.
In summary, employer contributions increased by 5% in October 2020 as planned and then by around 18%, on average, from 1 October 2021 (8% for those without any members affected by the compromise issue, and more for those with affected members). Contributions will increase by 5% each year thereafter until the end of the deficit recovery period, which is expected to be in August 2035. However, contributions due from October 2023 onwards will be reviewed following the next actuarial valuation.
Under FRS102 the Union is required to recognise as a liability the present value of its agreed share of future deficit contributions. Finance costs are recognised as the present value unwinds.
Page 55
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **27. Pension commitments (continued)**
The full reconciliation of this present value is as follows:
## _**Present value of provision**_
||**2023**|2022|
|---|---|---|
||**£**|£|
|Student's Union Superannuation Scheme
**_Present value of provision:_**
Creditors: amounts fallingdue within oneyear(note 20)|**1,051,369**
**40,702**|1,234,763
51,318|
|Creditors: amounts falling due after more than one year (note 21)|**1,010,667**|1,183,445|
|**_Reconciliation of opening and closing provisions:_**|**1,051,369**|1,234,763|
|||**2023**|
|||**£**|
|Provision as at 1 August 2022||**1,234,763**|
|Unwindingof discount factor||**42,622**|
|Deficit contributionpaid||**(81,148)**|
|Movement in net present value calculation||**(144,868)**|
|Provision as at 31 July 2023
**_Assumptions:_**||**1,051,369**|
||**2023**|**2022**|
||**%**|**%**|
The discount rates shown above are the equivalent single discount rates when used to discount the future recovery plan contributions due, would give the same results using a full AA corporate bond yield curve to discount the same recovery plan contributions.
Page 56
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **28. Operating lease commitments**
At 31 July 2023 the Group and the Union had commitments to make future minimum lease payments under noncancellable operating leases as follows:
||**Group**|Group|**Union**||Union|
|---|---|---|---|---|---|
||**2023**|2022|**2023**||2022|
||**£**|£|**£**||£|
|Not later than 1 year|**204,176**|205,119|**204,176**||205,119|
|Later than 1 year and not later than 5 years|**102,088**|306,264|**102,088**||306,264|
||**306,264**|511,383|**306,264**||511,383|
|The following lease payments have been recognised|as an expense in the Statement||of financial activities:|||
||**Group**|Group|**Union**||Union|
||**2023**|2022|**2023**||2022|
||**£**|£|**£**||£|
|Operating lease rentals|**205,120**|205,434|**205,120**||205,434|
## **29. Related party transactions**
The Union is in receipt of a recurring grant from the University of Huddersfield of £1,116,459 (2022: £1,161,719).
The Union also paid rent totalling £204,176 (2022: £204,176) and IT and other support recharges totalling £52,385 (2022: £4,250) to the University during the year. At the year end, the Union owed the University of Huddersfield £27,104 (2022: £nil).
Included in deferred income is a balance of £283,507 (2022: £258,552) which relates to the block grant received in advance from the University.
Huddersfield Students' Union Lettings Limited (Hudlets) is a wholly owned subsidiary of University of Huddersfield Student's Union. During the year, the Union recharged costs amounting to £10,871 (2022: £12,033) to Hudlets. At the balance sheet date, £50,000 (2022: £50,000) was owed to the Union.
Page 57
**(A company limited by guarantee)**
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **30. Merger Accounting**
University of Huddersfield Students' Union was an unincorporated charity (charity number 1137401). A seperate charity, under the name of University of Huddersfield Students' Union was incorprated as a charitable company on 1 September 2022 (charity number 1197170). The unincorporated charity and the charitable company were merged on 1 September 2022 and as such merger accounting has been used in these financial statements. The assets, liabilities and funds of the combining charities are presented as though they had always been part of the same reporting charity. Due to the merger occuring during the reporting period, the results of the combined charities for the whole reporting period relate to 1 month of the pre merger period and 11 months of the post merger period. The compartive amounts all related to the pre merger period.
## **Analysis of SoFA components for the current reporting period**
|Total income
Total expenditure
**_Net movement in funds_**|**Unincorporat**
**ed charity**
**(pre-merger)**
**2023**
**£**
136,496
(140,132)
(3,636)|**Incorporated**
**charity (post-**
**merger)**
**2023**
**£**
2,353,954
(2,136,994)
216,960|**Total**
**funds**
**2023**
**£**
**2,490,450**
**(2,277,126)**
**213,324**|
|---|---|---|---|
There was no activity in the incorporated charity pre-merger.
## **Analysis of principal SoFA components for the previous reporting period**
|Total income
Total expenditure
Other gains/(losses)
Total funds brought forward|**Unincorporat**
**ed charity**
**2022**
**£**
**2,175,240**
**(2,246,543)**
**-**
**(321,018)**
**(392,321)**|Total funds
2022
£
2,175,240
(2,246,543)
-
(321,018)
(392,321)|
|---|---|---|
Page 58
## **UNIVERSITY OF HUDDERSFIELD STUDENTS' UNION**
## **(A company limited by guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
|**Analysis of net assets at the date of merger**
Designated funds
General funds|**2023**
**£**
**572,370**
**(968,327)**
**(395,957)**|
|---|---|
Page 59