OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2024-07-31-accounts

REGISTERED CHARITY NUMBER: 1204514

Report of the Trustees and

Financial Statements for the Year Ended 31 July 2024

for

ROYAL COLLEGE OF ART STUDENTS' UNION

Knox Cropper LLP Chartered Accountants and Statutory Auditors 153 -155 London Road Hemel Hempstead Hertfordshire HP3 9SQ

ROYAL COLLEGE OF ART STUDENTS' UNION

Contents of the Financial Statements for the Year Ended 31 July 2024

Page
Report of the Trustees 1 to 6
Report of the Independent Auditors 7 to 9
Statement of Financial Activities 10
Balance Sheet 11
Cash Flow Statement 12
Notes to the Cash Flow Statement 13
Notes to the Financial Statements 14 to 23

ROYAL COLLEGE OF ART STUDENTS' UNION

Report of the Trustees for the Year Ended 31 July 2024

The trustees present their report with the financial statements of the charity for the year ended 31 July 2024. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Objectives and aims

The Union's objects are the advancement of education of students at the Royal College of Art for the public benefit by promoting the interests and welfare of students at the Royal College of Art during their course of study and representing, supporting and advising students; being the recognised representative channel between students and the Royal College of Art 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.

Our vision is:

We will engage our members in creating an exceptional student experience at the Royal College of Art and help students to achieve their potential.

Our values are: Independence Transparency Equality Inclusivity Sustainability

Public benefit

Statement of Public Benefit

Our students' union has a strategy that reflects its intention to work for public benefit under the following strategic themes:

CONNECT: Promoting the interests and welfare of students at the Royal College of Art during their course of study and representing, supporting and advising students; REPRESENT: Being the recognised representative channel between students and the Royal College of Art and any other external bodies; and SUPPORT: providing social, cultural, sporting and recreational activities and forums for discussions and debate and for the personal development of its students.

Page 1

ROYAL COLLEGE OF ART STUDENTS' UNION

Report of the Trustees for the Year Ended 31 July 2024

ACHIEVEMENT AND PERFORMANCE

1 Introduction

This document highlights the RCA SU's activities, achievements, and challenges throughout the year, emphasising its commitment to representing and supporting the student community. The report details progress made in enhancing student representation, improving the student experience, and fostering an inclusive environment. The RCA SU expresses gratitude to the student body for their active participation and collaboration with staff and the RCA community, aiming to build a stronger, more inclusive Royal College of Art.

The RCA Students' Union received a significant grant of £367,900 from the Royal College of Art for the year 2023/24 as detailed in our accounts, to support the achievement of these objectives. The Union greatly appreciates this support, as well as the other in-kind contributions that the Union receives from the College, including for example the provision of office space and IT services. It also values the relationships with colleagues in the College who collaborate with the Union and who respond to our feedback and the issues we raise on behalf of students. While the Union's primary responsibility is to its beneficiaries, it is also accountable to its funders for the use of the resources which have been provided.

We are especially grateful for the continued support from the College for funds to assist students with the Cost of Living which we have helped to distribute during the year.

2 Strategic Plan

The RCA SU Strategic Plan (2022-2027) is a roadmap to enhance the student experience and foster inclusivity. In 2023/2024, we achieved good progress in line with the plan with most commitments having at least some or good progress made against them.

3 ArtBar & Physical Space

Following the reopening of the Artbar in February 2023, we have made further improvement to the space this year though the addition of a jukebox, student artwork and improved décor. We have introduced events for College alumni in conjunction with the College's alumni team. The ArtBar offers a versatile space for students to host their events and celebrations. These include both Student led events such as exhibitions, and ArtBar operated events. Students can work part-time as bartenders and the Union aspires to pay the London Living Wage, rather than the lower Minimum Wage.

The unexpected closure of the Art Bar Terrace, following the discovery of aerated concrete (RAAC), which has caused issues in a number of public buildings, had an impact on the sales of the ArtBar, with Spring particularly affected.

4 Events and Marketing

The Union hosted 14 events during Welcome Week 2023/24. These included events such as:

Events were well attended throughout the week, with each picnic hosting over 400 students each, and the ArtBar events at capacity each event night. We will continue to increase our events, with 16 planned for 2024/25, with an increased budget to ensure that more of our members can attend and learn about the Union and communities.

The flagship event of the year, 2023 was the 10th official Students' Union Christmas Fete, continuing the Market Place initiative set up in 2012. Over 60 stallholders took place, earning over £50,000 between them, with 100% of sales going to the stallholders.

Page 2

ROYAL COLLEGE OF ART STUDENTS' UNION

Report of the Trustees for the Year Ended 31 July 2024

The Spring Fair has continued to grow since the Students' Union revived it in 2022, with 2024 hosted at Battersea. Over 50 stallholders participated, earning over £28,000 between them, with 100% of the revenue going to the stallholders.

Green Week was revived for 2023/24, featuring four events throughout the week and personalised infographics made by each staff member to distribute critical information. The events included a focus on bees, with activities ranging from plant potting and honey giveaways, to urban foraging. The clothes swap event was also a success, with students actively participating by donating their pre-loved items.

5 Student Societies

2023/24 saw an unprecedented number of student societies affiliated with the Union. 43 (115% increase on 2022/23) societies were active by the end of the academic year, with a steady flow of societies being set-up across the year. For the first time we asked students to register for societies through our redeveloped website, with over 380 official society members registering (over 12% of the student body). The Union offered each society a fund of £300, an increase of 20% on the previous year. The Union offered central support by reviewing a staff role to introduce the Communities Officer. This Officer offers ongoing support to societies. There is a clear demand for student societies and communities, and we will continue to support the growth of student societies with opportunities and funding to increase in 2024/25.

Our Student Newspaper was officially rebranded as The DODO this year, reviving the Union newspaper of the mid-1980's. The Student Newspaper has expanded its remit and includes various new sections. This year there were two paid editors and three volunteers, who assisted with design and printing. We believe it is important to offer this opportunity to students and give them a chance to build their experience. With the change of format, we have increased the number of issues per year from 3 to 5 and increased the number of prints from 50 per issue to almost 300 per issue.

We plan to increase the number of prints per issue in 2024/25 and switch the volunteers to paid positions.

6 Non-Academic Shows

This year the Union facilitated 8 Non-Academic Shows using the Hockney Gallery, DesignBar, Hangar Gallery, and the Upper Gulbenkian. Each round was highly competitive, with 58 applications throughout the year, which involved over 280 students. Students from a diverse range of programmes were given the opportunity to curate and exhibit at the Non-Academic Shows. Each show had the opportunity to open to the public for a private view, with over 800 attendees visiting the private views across the year.

7 Representation

The Union agreed to an RCA plan, following their Postgraduate Taught Experience Survey Report, to bring the administration and main responsibility of School Assemblies back to the College. This will help to evolve the assemblies and create a more effective representative structure, which will work in the interests of our members.

We continue to review the representative training programme to ensure that it is effective, and that our representatives are supported by dedicated Union staff members.

After an absence of numerous years, the Students' Union Assembly was successfully revived, in accordance with our Bye Laws, and offered our members the opportunity to influence Students' Union policy and its campaigns. Over 90 students took part in the Assembly and voted on two motions, both passing with a majority. This important constitutional route for feedback and influence has been embedded back into Students' Union activity and we aim to grow its influence and ability to improve our members' experience at the RCA.

To become experts in the views and opinions of our members, the Union conducts an annual survey. This data is used to help drive the direction of the Union and helps us to better understand our members' needs. We continue to receive a similar response to the survey each year, with 2023/24 major themes including shuttle bus times, RCA food offers on campus, and access to technical workshops. We also receive valuable feedback on Union activities, including societies, events and the ArtBar. This feedback is reviewed and implemented where possible.

Page 3

ROYAL COLLEGE OF ART STUDENTS' UNION

Report of the Trustees for the Year Ended 31 July 2024

8 Advice & Support

In the Students' Union 2022-27 Strategic Plan, we committed to provide students with access to advisors who can support them in times of crisis, specifically covering academic, disciplinary, and student life issues. In November 2023 the Union launched an Advice Service, to offer confidential, free and impartial advice for all RCA students with issues impacting their studies.

Feedback from students has been overwhelmingly positive: 'Very good service and helped me out'

9 Charitable Incorporated Organisation (CIO)

We completed the transformation of the Union into a Charitable Incorporated Organisation during the year. As part of this transition, we have taken the opportunity to update the Bye Laws and Constitution, with the College supporting us fully in this change.

FINANCIAL REVIEW

The Union reported an overall loss of £15k. Income increased overall by £112k from £489k in 2023 to £601k in 2024. There is £99k of restricted income this year which predominantly relates to a student hardship fund. These funds were almost entirely matched by corresponding expenditure.

Overall expenditure increased by £104k from £513k in 2023 to £617k in 2024. Net assets decreased from £304k to £289k.

The union made a decision to invest in its strategic development again this year in the interests of its members. As the Union holds a level of reserves above the minimum level required by its reserves policy, this enabled a budget with a small deficit to be set to achieve these strategic aims while ensuring the Union remained in a strong and stable financial position

Investment policy and objectives

The Charity's policy is to invest all cash balances in excess of day-to-day requirements in interest bearing bank accounts.

Reserves policy

The Trustees have established a reserves policy. It is the intention to maintain the reserves to fund at least six-months operational expenditure in a normal operational year. The Trustees are currently reviewing the reserves policy.

Page 4

ROYAL COLLEGE OF ART STUDENTS' UNION

Report of the Trustees for the Year Ended 31 July 2024

FUTURE PLANS

The Union intends to continue the implementation of its strategic plan while contributing constructively to the College's strategic initiatives over the next year. We will continue to develop our events programme, utilising the ArtBar and Students' Union spaces. We plan to continue further events across all the campuses in 2025.

RCASU is continuing to work closely with the RCA to help distribute funds across the student community, including the Cost of Living Fund, Student Community Fund and the Student Community Liberation Fund.

RCASU continues to work closely with the Head of Student Experience and the Student Centre to ensure that all students receive the best possible educational experience. Student Experience and RCASU are working together to ensure that representative systems and feedback systems are effective and involve the Schools more closely.

RCASU and the Sabbatical Officers continue to be active across numerous Committees of the RCA, and we will continue to strive for the best student experience for our members.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The Union is a Charitable Incorporated Organisation controlled by its governing document, the Constitution and registered as a Charity with the Charity Commission, number 1204514.

Recruitment and appointment of new trustees

The RCASU operate as a full registered charity. The Charity Board of Trustees have met regularly throughout the year, considering matters such as staffing, RCASU's statutory obligations and trustee recruitment. Trustees are elected to their positions in accordance with the Constitution and include the salaried President & Vice-President of the Union.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number

1204514

Principal address

Jay Mews Kensington Gore London SW7 2EU

Trustees

President - Lening Huang - 01 August 2024 Vice President - Janmejay Singh - 01 August 2024 President - Kimberley Marie Burrows - 01 August 2023 - 31 July 2024 Vice President - Thomas Carvalho Cury - 01 August 2023 - 31 July 2024

Student Trustee - Myles Igwebuike - 13 December 2023 - 31 July 2024 Student Trustee - Roisin Sullivan - 13 December 2023 - 31 July 2024 Student Trustee - Faith Johnson - 11 November 2020 - 13 December 2023 Student Trustee - Joshua Adkins - 09 March 2022 - 14 August 2023

External Trustee - Jacqui Moore - (Chair from 1 December 2022) - 10 February 2021 External Trustee - Ed Pearson - 17 May 2023 External Trustee - Gordon Mattocks - 28 February 2024 External Trustee - Frank Brown - 10 February 2021 - 25 July 2024 External Trustee - Jane Crumpton-Taylor - 13 November 2017 - 13 December 2023

Directors

Ceri Davies - 01 September 2024 Ryan Lea - 10 October 2022 - 18 October 2024

Page 5

ROYAL COLLEGE OF ART STUDENTS' UNION

Report of the Trustees for the Year Ended 31 July 2024

REFERENCE AND ADMINISTRATIVE DETAILS Auditors

Knox Cropper LLP Chartered Accountants and Statutory Auditors 153 -155 London Road Hemel Hempstead Hertfordshire HP3 9SQ

Bankers

HSBC Bank PLC 92 Kensington High Strett London W8 4SA

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees are responsible for preparing the Report of the Trustees 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 and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. 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 accounts have been prepared to give a 'true and fair view' and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair view'. This departure involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) issued on 16th July 2014 rather than the Accounting and Reporting by Charities Statement of Recommended Practice effective from 1st April 2015 which has since been withdrawn.

Approved by order of the board of trustees on 9 January 2025 and signed on its behalf by:

J Moore - Trustee

Page 6

Report of the Independent Auditors to the Trustees of Royal College of Art Students' Union

Opinion

We have audited the financial statements of Royal College of Art Students' Union (the 'charity') for the year ended 31 July 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

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.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Page 7

Report of the Independent Auditors to the Trustees of Royal College of Art Students' Union

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, the trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Our responsibilities for the audit of the financial statements

We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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 a Report of the Independent Auditors 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

• The Charity is required to comply with charity law and, based on our knowledge of its activities, we identified that the legal requirement to accurately account for restricted funds was of key significance.

• We gained an understanding of how the charity complied with its legal and regulatory framework, including the requirement to properly account for restricted funds, through discussions with management and a review of the documented policies, procedures and controls.

• The audit team, which is experienced in the audit of charities, considered the charity's susceptibility to material misstatement and how fraud may occur. Our considerations included the risk of management override.

• Our approach was to check that all restricted income was properly identified and separately accounted for and to ensure that only valid and appropriate expenditure was charged to restricted funds. This included reviewing journal adjustments and unusual transactions.

There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

Page 8

Report of the Independent Auditors to the Trustees of Royal College of Art Students' Union

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Knox Cropper LLP Chartered Accountants and Statutory Auditors 153 -155 London Road Hemel Hempstead Hertfordshire HP3 9SQ

9 January 2025

Page 9

ROYAL COLLEGE OF ART STUDENTS' UNION

Statement of Financial Activities for the Year Ended 31 July 2024

Notes
INCOME AND ENDOWMENTS FROM
Income - grant from Royal College of Art
2
Charitable activities
5
Art Bar
Social Events
Clubs and Societies
Other trading activities
3
Bank interest
4
Other income
6
Total
EXPENDITURE ON
Charitable activities
7
Art Bar
Social Events
Clubs and Societies
Student Welfare
Total
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 2024
Unrestricted
Restricted
Total
funds
funds
funds
£
£
£
367,898
99,000
466,898
110,908
-
110,908
11,310
-
11,310
9
-
9
7,915
-
7,915
2,495
-
2,495
1,531
-
1,531
502,066
99,000
601,066
118,487
-
118,487
64,655
-
64,655
2,444
-
2,444
328,128
102,829
430,957
513,714
102,829
616,543
(11,648)
(3,829)
(15,477)
300,345
3,829
304,174
288,697
-
288,697		 2023
Total
funds
£
406,334
67,764
12,773
601
209
731
308
488,720
97,177
61,391
2,810
352,082
513,460
(24,740)
328,914
304,174

The notes form part of these financial statements

Page 10

ROYAL COLLEGE OF ART STUDENTS' UNION

Balance Sheet 31 July 2024

Notes
FIXED ASSETS
Tangible assets
13
CURRENT ASSETS
Stocks
14
Debtors
15
Cash at bank
CREDITORS
Amounts falling due within one year
16
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
NET ASSETS
FUNDS
17
Unrestricted funds:
General fund
Societies fund
Restricted funds
TOTAL FUNDS		 Unrestricted
Restricted
funds
funds
£
£
10,337
-
7,241
-
10,246
-
286,587
-
304,074
-
(25,714)
-
278,360
-
288,697
-
288,697
-		 2024
Total
funds
£
10,337
7,241
10,246
286,587
304,074
(25,714)
278,360
288,697
288,697
280,306
8,391
288,697
-
288,697		 2023
Total
funds
£
8,267
6,676
9,327
312,570
328,573
(32,666)
295,907
304,174
304,174
289,438
10,907
300,345
3,829
304,174

The financial statements were approved by the Board of Trustees and authorised for issue on 9 January 2025 and were signed on its behalf by:

J Moore - Trustee

The notes form part of these financial statements

Page 11

ROYAL COLLEGE OF ART STUDENTS' UNION

Cash Flow Statement

for the Year Ended 31 July 2024

Notes
Cash flows from operating activities
Cash generated from operations
1
Net cash used in operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
Interest received
Net cash used in investing activities
Change in cash and cash equivalents
in the reporting period
Cash and cash equivalents at the
beginning of the reporting period
Cash and cash equivalents at the end
of the reporting period		 2024
£
(24,003)
(24,003)
(4,475)
2,495
(1,980)
(25,983)
312,570
286,587		 2023
£
(27,062)
(27,062)
(9,876)
731
(9,145)
(36,207)
348,777
312,570

The notes form part of these financial statements

Page 12

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Cash Flow Statement for the Year Ended 31 July 2024

1. RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM OPERATING ACTIVITIES

ACTIVITIES
Net expenditure for the reporting period (as per the Statement
of Financial Activities)
Adjustments for:
Depreciation charges
Interest received
Increase in stocks
Increase in debtors
(Decrease)/increase in creditors
Net cash used in operations		 2024
£
(15,477)
2,405
(2,495)
(565)
(919)
(6,952)
(24,003)		 2023
£
(24,740)
1,609
(731)
(5,962)
(4,009)
6,771
(27,062)
2.
ANALYSIS OF CHANGES IN NET FUNDS
Net cash
Cash at bank and in hand
Total		 At 1.8.23
Cash flow
At 31.7.24
£
£
£
312,570
(25,983)
286,587
312,570
(25,983)
286,587
312,570
(25,983)
286,587		 At 1.8.23
Cash flow
At 31.7.24
£
£
£
312,570
(25,983)
286,587
312,570
(25,983)
286,587
312,570
(25,983)
286,587
286,587
286,587

The notes form part of these financial statements

Page 13

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements for the Year Ended 31 July 2024

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.

The accounts have been prepared to give a 'true and fair view' and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair view'. This departure involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) issued on 16th July 2014 rather than the Accounting and Reporting by Charities Statement of Recommended Practice effective from 1st April 2015 which has since been withdrawn.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

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

Plant and machinery - 20% on cost Computer equipment - 33% on cost

The Charity's policy is to capitalise any expenditure on Facility Improvements, New Equipment, Refurbishment, or Purchases (not for resale) over £700; and for these items to be depreciated over fixed terms as defined by approved accountancy procedures.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

The charity is exempt from tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Page 14

continued...

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements - continued for the Year Ended 31 July 2024

1. ACCOUNTING POLICIES - continued

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The charity operates a defined contribution pension scheme, a group personal pension plan managed by Legal and General. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Going concern

After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.

2.
INCOME - GRANT FROM ROYAL COLLEGE OF ART
College grant
3.
OTHER TRADING ACTIVITIES
Merchandise sales
NUS extra
Student union bar hire
Other trading income
4.
BANK INTEREST
Deposit account interest		 2024
£
466,898
2024
£
1,888
7
2,042
3,978
7,915
2024
£
2,495		 2023
£
406,334		 2023
£
406,334
2023
£
-
209
-
-
209
2023
£
731

Page 15

continued...

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements - continued for the Year Ended 31 July 2024

5. INCOME FROM CHARITABLE ACTIVITIES

Activity
Art Bar sales
Art Bar
Events hosted
Social Events
Convocation ball, fairs &
fUte
Social Events
Society & clubs income
Clubs and Societies
OTHER INCOME
Marketing income
CHARITABLE ACTIVITIES COSTS
Art Bar
Social Events
Clubs and Societies
Student Welfare		 Direct
Costs
£
118,487
64,655
2,415
117,362
302,919		 2024
£
110,908
2,987
8,323
9
122,227
2024
£
1,531
Support
costs (see
note 8)
£
-
-
29
313,595
313,624		 2023
£
67,764
2,506
10,267
601		 2023
£
67,764
2,506
10,267
601
81,138
2023
£
308
Totals
£
118,487
64,655
2,444
430,957		 2023
£
308
616,543

6. OTHER INCOME Marketing income

7. CHARITABLE ACTIVITIES COSTS

8. SUPPORT COSTS

Management
£
Clubs and Societies
27
Student Welfare
278,437
278,464		 Finance
£
-
4,304
4,304		 Governance
costs
£
2
30,854
30,856		 Totals
£
29
313,595
313,624

Activity Basis of allocation Management Estimate of time spent Finance Estimate of time spent Governance costs Estimate of time spent

Management includes Co-Presidents.

Page 16

continued...

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements - continued for the Year Ended 31 July 2024

9. AUDITORS' REMUNERATION

AUDITORS' REMUNERATION
2024 2023
£ £
Fees payable to the charity's auditors for the audit of the charity's
financial statements 4,730 4,450
Auditors' remuneration for non audit work 2,384 3,978

10. TRUSTEES' REMUNERATION AND BENEFITS

The constitution empowers the Union to pay the Co-Presidents who are also trustees. The following trustees were remunerated in the year ended 31 July 2024:

Employers Employers
Salary Pension NIC Total
K Burrows £24,461 £410 £2,138 £27,009
T Cury £24,461 £410 £2,120 £26,991

Trustees' expenses

Three trustees received expenses totalling £777 for the year ended 31 July 2024.

The expenses consisted of: Travelling expenses £216 Subsistence £41 Reimbursement of cost incurred on behalf the SU £520

11. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs		 2024
£
302,941
23,114
5,413
331,468		 2023
£
243,282
18,088
2,530
263,900

The average monthly number of employees during the year was as follows:

ArtBar
Sabbatical Officers
Admin/Finance
Diversity
Events
Advice		 2024
7
2
3
1
1
1
15		 2023
3
2
3
1
2
-
11

No employees received emoluments in excess of £60,000.

The key management personnel of the charity during the year ended 31 July 2024 consisted of the Director. The total amount paid, including Employers National Insurance and Pension, to the Key Management Personnel for the year ended 31July 2024 was £59,370 (year ended 31 July 2023 £42,460).

Page 17

continued...

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements - continued for the Year Ended 31 July 2024

12.
COMPARATIVES (PRIOR YEAR) FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
Restricted
funds
funds
£
£
INCOME AND ENDOWMENTS FROM
Income - grant from Royal College of Art
355,805
50,529
Charitable activities
Art Bar
67,764
-
Social Events
12,773
-
Clubs and Societies
601
-
Other trading activities
209
-
Bank interest
731
-
Other income
308
-
Total
438,191
50,529
EXPENDITURE ON
Charitable activities
Art Bar
97,177
-
Social Events
61,391
-
Clubs and Societies
2,810
-
Student Welfare
305,382
46,700
Total
466,760
46,700
NET INCOME/(EXPENDITURE)
(28,569)
3,829
RECONCILIATION OF FUNDS
Total funds brought forward
328,914
-
TOTAL FUNDS CARRIED FORWARD
300,345
3,829		 Total
funds
£
406,334
67,764
12,773
601
209
731
308
488,720
97,177
61,391
2,810
352,082
513,460
(24,740)
328,914
304,174

Page 18

continued...

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements - continued for the Year Ended 31 July 2024

13.
TANGIBLE FIXED ASSETS
Plant and
Computer
machinery
equipment
£
£
COST
At 1 August 2023
9,876
3,283
Additions
2,464
2,011
At 31 July 2024
12,340
5,294
DEPRECIATION
At 1 August 2023
1,609
3,283
Charge for year
2,125
280
At 31 July 2024
3,734
3,563
NET BOOK VALUE
At 31 July 2024
8,606
1,731
At 31 July 2023
8,267
-
14.
STOCKS
2024
£
Bar stocks
7,241
15.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024
£
Trade debtors
4,510
Prepayments and accrued income
5,736
10,246		 Totals
£
13,159
4,475		 Totals
£
13,159
4,475
17,634
4,892
2,405
7,297
10,337
8,267
2023
£
6,676
2023
£
3,374
5,953
9,327

Page 19

continued...

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements - continued for the Year Ended 31 July 2024

16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade creditors
Taxation and social security
Other creditors		 2024
£
6,860
8,353
10,501
25,714		 2023
£
12,148
9,882
10,636
32,666

17. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Societies fund
Restricted funds
Student cost of living fund
Student community fund
TOTAL FUNDS
Net movement in funds, included in the above are as follows:
Unrestricted funds
General fund
Societies fund
Restricted funds
Student cost of living fund
Student community fund
Equality, Diversity and Inclusion
TOTAL FUNDS		 At 1.8.23
£
289,438
10,907
300,345
3,679
150
3,829
304,174
Incoming
resources
£
502,057
9
502,066
90,000
3,000
6,000
99,000
601,066		 Net
movement
in funds
£
(9,132)
(2,516)
(11,648)
(3,679)
(150)
(3,829)
(15,477)
Resources
expended
£
(511,189)
(2,525)
(513,714)
(93,679)
(3,150)
(6,000)
(102,829)
(616,543)		 At
31.7.24
£
280,306
8,391
288,697
-
-
-
288,697
Movement
in funds
£
(9,132)
(2,516)
(11,648)
(3,679)
(150)
-
(3,829)
(15,477)

Page 20

continued...

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements - continued for the Year Ended 31 July 2024

17. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
Societies fund
Restricted funds
Student cost of living fund
Student community fund
TOTAL FUNDS		 At 1.8.22
£
315,758
13,156
328,914
-
-
-
328,914		 Net
movement
in funds
£
(26,320)
(2,249)
(28,569)
3,679
150
3,829
(24,740)		 At
31.7.23
£
289,438
10,907
300,345
3,679
150
3,829
304,174

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Societies fund
Restricted funds
Student cost of living fund
Student community fund
TOTAL FUNDS		 Incoming
resources
£
437,590
601
438,191
50,230
299
50,529
488,720		 Resources
expended
£
(463,910)
(2,850)
(466,760)
(46,551)
(149)
(46,700)
(513,460)		 Movement
in funds
£
(26,320
(2,249
(28,569
3,679
150
3,829
(24,740

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds
General fund
Societies fund
TOTAL FUNDS		 At 1.8.22
£
315,758
13,156
328,914
328,914		 Net
movement
in funds
£
(35,452)
(4,765)
(40,217)
(40,217)		 At
31.7.24
£
280,306
8,391
288,697
288,697

Page 21

continued...

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements - continued for the Year Ended 31 July 2024

17. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 939,647 (975,099) (35,452)
Societies fund 610 (5,375) (4,765)
940,257 (980,474) (40,217)
Restricted funds
Student cost of living fund 140,230 (140,230) -
Student community fund 3,299 (3,299) -
Equality, Diversity and Inclusion 6,000 (6,000) -
149,529 (149,529) -
TOTAL FUNDS 1,089,786 (1,130,003) (40,217)

Societies fund

Is a designated fund set aside that can be used by the Clubs and Societies if they wish.

Student cost of living fund

A restricted fund to support students experiencing unanticipated and significant financial difficulties with essential living costs through a grocery voucher scheme.

Student community fund

A restricted fund to enable group connection-making through an offer of funding food and drink for student group meet-ups.

Equality, diversity and inclusion fund

A restricted fund to support student groups for organising events and projects aligned with the principle of Equality, Diversity and Inclusion.

18. RELATED PARTY DISCLOSURES

Other than as disclosed in note 10 there were no related party transactions for the year ended 31 July 2024 nor for the year ended 31 July 2023.

Page 22

continued...

ROYAL COLLEGE OF ART STUDENTS' UNION

Notes to the Financial Statements - continued for the Year Ended 31 July 2024

19. CHANGE OF LEGAL STATUS

On 1 December 2023 the assets, liabilities, reserves and operations of the Charity (Unincorporated Charity, charity registration number: 1145168) were transferred to Royal College of Art Student's Union (Charitable Incorporated Organisation, charity registration number: 1204514 ). Under FRS 102, when a charity changes its legal form but its purposes and beneficiary class remain the same, merger accounting should be used.

Page 23