**Registered number: 00231435 Charity numbers: 207823 & SCO39289**
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS (A Company Limited by Guarantee)**
**TRUSTEES’ REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 MARCH 2022**
## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **CONTENTS**
||Page|
|---|---|
|**Reference and Administrative Details of the Charity, its Trustees and Advisers**|2-3|
|**Trustees' Report**|4-12|
|**Independent Auditor's Report on the Financial Statements**|13-16|
|**Consolidated Statement of Financial Activities**|17|
|**Consolidated Balance Sheet**|18|
|**Charity Balance Sheet**|19-20|
|**Consolidated Statement of Cash Flows**|21|
|**Notes to the Financial Statements**|22-53|
Company number 00231435
Page 1
## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2022**
## **Trustees**
A Clark, Honorary Treasurer (appointed 26 November 2021) I Holborn, Honorary Treasurer (resigned 26 November 2021) S Jones S Kirk J McNulty G Parker M Parker, Chairman J Redhead K Saunders
## **Registered company number**
00231435
## **Charity registered numbers**
207823 and SCO39289
## **Registered office**
28 Calthorpe Road Edgbaston Birmingham B15 1RP
## **Company secretary**
T Hussain
## **Chief executive officer**
E Taylor
## **Executive Team**
N Davies Executive Head of Policy and Portfolio R Hickman Relationships Director T Hussain Executive Head of Finance T Rudge Operations Director J Small Achievements Director E Taylor Chief Executive Officer
## **Independent auditor**
BDO LLP Two Snowhill Birmingham B4 6GA
Company number 00231435
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## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022**
## **Bankers**
Lloyds Bank plc 142 Edgbaston Park Road Birmingham B15 2TY
## **Solicitors**
Veale Wasborough Visards Second Floor 3 Brindley Place Birmingham B1 2JB
## **Fund Managers**
Rathbone Brothers plc 8 Finsbury Circus London EC2M 7AZ
## **Patron**
Her Majesty the Queen (1952-2022)
## **Lifetime President**
Lord Jordan of Bournville CBE
## **President**
Baroness Jolly of Congdon’s Shop
## **Deputy President**
Baroness Eaton of Cottingley DBE, DL
Company number 00231435
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## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2022**
## **Governance and Internal Control**
RoSPA is governed by its Memorandum and Articles of Association originally dated 17 May 1951 and last amended 14 November 2014. The Society has Members, who may be individuals or corporate bodies. RoSPA also has Honorary Members, appointed at the discretion of RoSPA's Board of Trustees (known as the "Board"). RoSPA holds an AGM each year open to all members.
## **Trustees**
As set out in the Articles of Association, RoSPA is governed by the Board. The Trustees, of whom there are currently 8, are elected annually. The Trustees nominate those persons that they wish to be trustees for appointment by the Members in the notice of the Annual General Meeting. All retiring trustees are eligible for reappointment assuming other criteria requirements are met. Trustees must be aged 18 or more and have an interest in or skills, experience or knowledge relevant to the work of the Society. The Members shall then approve appointments at the Annual General Meeting. The normal term of office is 3 years, which may be extended for a second term of 3 years. Exceptionally, the Officers of the Charity may serve for longer periods, at the discretion of the Board, who will carry out a full review of the reasons and rationale for the extended period of service.
The requirement for new trustees arises on the retirement or resignation of existing trustees or where the Nominations Committee identifies the need for new skills.
In selecting new trustees the Board seeks to achieve a range of skills and experience appropriate to the mission and objectives of the Society as the UK's leading safety charity.
Trustees may be recruited from, or on the recommendation of, organisations that encompass particular skills sets or professional skills. However, appointment of a trustee is based on the quality and skills of the individual and not simply by nomination of a particular organisation.
An interview process will take place before an individual is recommended to the Board as a prospective new trustee. On appointment, a new trustee will be given an induction pack and have induction meetings with RoSPA's senior managers. Trustees are encouraged to attend RoSPA events. On appointment, and during their term of office, training needs are identified and addressed.
Trustees at all times operate under the powers and duties given to them by the Memorandum and Articles of Association and under the various statutes relating to Trustees, Charities and Directors of Companies.
The Trustees normally meet four times a year as the Board and additionally have at least one full day Strategy meeting per year. The Board governs the Charity and delegates specific responsibilities to committees comprising the Nominations Committee (NomCom), the Remuneration Committee (RemCom), the Audit & Risk Committee and the Investment and Pensions Committee. These committees are all made up of trustees with senior members of RoSPA staff in attendance to support the decision-making processes.
All committees operate under specific terms of reference and their decisions are ratified by the Board.
As part of the Board of Trustees, a Remuneration Committee is established to monitor, discuss and recommend the remuneration of the charity’s key personnel. Salaries are benchmarked every year in March and proposed changes are reviewed and approved by the Remuneration Committee.
Company number 00231435
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## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022**
## **Management Committees and the decision-making process**
· The Board (of Trustees) RoSPA's Board of Trustees are Directors of RoSPA for the purposes of the Companies Act. The Board governs the Charity and delegates certain powers to the following entity and committees:
· RoSPA Enterprises Limited (REL) REL is a registered company, wholly owned by RoSPA. The Board of REL reports to the Board of RoSPA. REL optimises RoSPA's income from commercial business opportunities, recommends and develops new commercial activities and monitors business performance.
· Nominations Committee (NomCom) The RoSPA Nominations Committee monitors and reviews the skills mix of the Board, identifies areas for improvement and makes recommendations to the Board on matters relating to the recruitment of new trustees.
· Remuneration Committee (RemCom) RemCom determines, within the policy approved by the Board, the remuneration of the Chief Executive, other Executive Committee members and the overall level of staff pay. It also monitors a variety of Human Resourcesrelated Key Performance Indicators and policies.
· Audit and Risk Committee (ARCom) The Audit Committee reviews and reports to the Board on any financial statements produced for statutory and regulatory purposes, reviews the reports and findings of the external auditors and reviews the processes governing risk management and internal control within RoSPA.
· Investment and Pensions Committee (IPCom) The Investment and Pensions Committee meets on an ad hoc basis to review and report to the Board on all matters relating to the Society's investment portfolio and RoSPA's Retirement and Death Benefits Plan, a closed final salary pension scheme.
## **RoSPA's Mission:**
Life, free from serious accidental injury
## **RoSPA's Vision:**
Exchanging life-enhancing skills and knowledge to reduce serious accidental injuries
How RoSPA delivers its Mission and Vision changes over time to reflect the safety issues and challenges facing people in an ever-changing world. Increasingly RoSPA seeks to demonstrate the effectiveness and value of the work that it does. RoSPA seeks to effect positive change through its work as a promoter of key safety issues and as a provider of relevant services. The Society collects data, carries out research, develops policies, informs, educates, audits and provides expert consultancy in each of the following areas:
- At work
- At leisure
- On the road
- In the home
Company number 00231435
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## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022**
## **Public Benefit**
A comprehensive review of RoSPA's activities during the year ended 31 March 2022 is presented below. Through these initiatives, RoSPA continued to focus on achieving its mission and vision and the Trustees are satisfied that the Charity continues to meet the required public benefit test: there is a clear public benefit and RoSPA's activities are designed and implemented to meet it.
For further information and a more detailed review of achievements and performance, see also RoSPA's Annual Review for the year ended 31 March 2022.
## **Strategic Report**
The Trustees, who are also Directors of the Charity for the purposes of the Companies Act 2006, present their Strategic Report and the audited Financial Statements for the year ended 31 March 2022.
The Trustees have adopted the provisions of the Statement of Recommended Practice 'Accounting and Reporting by Charities' applicable to charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS102).
The Strategic Report of the Trustees comprises the following sections:
- Achievements and Performance.
- Financial Review of RoSPA 2021/22.
- Plans for Future Periods.
- Principal Risks and Uncertainties.
- Statement of Trustees' Responsibilities.
- Auditors.
## **Achievements and Performance**
The year 2021-22 saw RoSPA take huge strides in protecting people from the needless harm caused by accidents, especially in defending the safety of the most vulnerable in our society.
Falls are the biggest cause of accidents in the UK and are on the rise, nearly doubling in England from 3,667 deaths in 1990 to 7,274 in 2019. Most falls happen in the home and although we can all be affected by a fall, they are most common and most serious for those in later life. In fact, falls are the largest cause of accidental death among over65s in the UK and every year more than a third of people over the age of 65 (and half of those over 80) have a fall that requires hospital treatment.
As well as costing society more than £2.3billion every year, falls have a devastating effect on individuals and their families; causing death, pain, loss of mobility, loss of independence, social isolation and a long-term impact on both physical and mental health.
As the only safety charity working across all areas of safety, we are in a unique position to help tackle the devastating toll of falls and this year, we made it our top priority – with amazing results.
Our ground-breaking Fall Fighter campaign, developed with partner RSA Insurance Group, was created to inspire and educate people from all walks of life with the simple steps that can make a life-changing difference to the number and severity of falls taking place in the home.
Once mobilised with these Fall Fighting skills, through our innovative e-learning session, participants can then spread the word to others, creating a powerful ripple effect.
As well as affecting change through awareness and education, we are making a tangible difference to fall prevention through regulatory change.
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## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022**
Falls on the stairs claim the lives of over 700 people every year and hospitalise more than 43,000. We identified that improving safety standards for stair design would significantly reduce this number.
British Standard 5395-1 does just this. Homes built to this standard reduce the risk of falls by a staggering 60 per cent. We made it our mission to have BS 5395-1 enshrined into law, making it mandatory for all newly-built houses.
Over the months of 2021 and 2022, we worked with housing companies such as Berkeley Homes and Orbit Group, and engaged tirelessly with Government ministers, MPs, Peers and officials.
We were overjoyed that thanks to our campaigning, in March the Government pledged to conduct a consultation on updating the Building Regulations to include British Standard 5395-1 “as expeditiously as possible, and certainly within the year”.
While falls were our key concern, we certainly didn’t slow down our work in other crucial areas during 2021-22.
Road safety remained a top priority, with our team closely involved in influencing the decision-makers. Smart motorways were a major topic this year and in June, Road Safety Manager for England, Becky Needham, was among the expert witnesses called forward to give their views at the House of Commons Transport Committee.
Following the Committee’s report, the Government announced a pause in the rollout of smart motorways to assess their safety and the report adopted RoSPA’s recommendation to reduce the distance between safe stopping places.
We were also integral to shaping policy on other major road safety issues and while we welcomed the ban on using handheld mobile phones for any purpose while driving, we argued for a major education campaign around changes to the Highway Code, expressed deep concern over changes to HGV and bus driving tests and called for action to tackle a rise in deaths among cyclists and children.
In fact, child safety was the focus of RoSPA research that found that almost 90 per cent of children do not feel safe when crossing the road without an adult, and as a result, we urged the Government to introduce a standardised pedestrian training package to help keep children safe.
The safety of new technology was also of prime interest. We developed new guidance on autonomous vehicles, electric motorcycles, zero emission light-powered vehicles and smart motorways, as well as motorcycle safety training, minibus safety and mature drivers.
We continued our work with e-scooter providers, including the launch of the ScootSafe campaign with Neuron Mobility, promoting safe riding during e-scooter rental trials in Newcastle and Sunderland, and a research project with Spin.
Driving for work continued to be a major focus, primarily through the success of the Scottish Occupational Road Safety Alliance (ScORSA), whose exemplary work has produced approaches that can be shared more widely worldwide.
Our Keeping Kids Safe campaign to reduce the number of domestic accidents involving under 5s continued, with activity including the launch of a project in Dundee, while Our Take Action Today campaign, helping protect children from the risks of household cleaning products, launched in the Wirral, Trafford, Calderdale, York, Bournemouth, Christchurch, Poole, North Yorkshire, Redcar & Cleveland, Gateshead and Sunderland. So far the scheme has run in over 60 areas, helping more than 500,000 families across the country.
We also carried on our work with the Office for Product Safety, helping them to deliver messages on important issues such as magnets, button batteries and toy safety.
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## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022**
Preventing drowning was another key concern during 2021/22, with the RoSPA-hosted National Water Safety Forum running its well-known Respect the Water campaign as well as publishing annual fatality figures through the Water Incident Database. These statistics provide a vital insight into levels of risk, informing national decision-making on water safety.
RoSPA also published new research on local authority approaches to managing water safety in England, Wales and Northern Ireland and hosted its first-ever online Water Safety Conference, gathering professionals, academics and campaigners to share their knowledge.
COVID was still very much with us during this year and so once again, our Health and Safety Awards ceremony was held virtually, with great success. We received nearly 2,000 entries from 49 countries, confirming the RoSPA Awards as the most prestigious and recognised health and safety awards scheme in the world. We revamped our Awards webpages and successfully automated the entry process.
In addition to our main Awards scheme, we wanted to specifically recognise those who have continually gone above and beyond to keep their colleagues safe during the pandemic, so we launched a free new COVID Workplace Champion scheme. Nominations were sought for staff who used their expertise, passion and unwavering commitment to help limit the transmission of coronavirus in workplaces and we received nearly 300 entries from 19 countries. The successful champions were invited to a special garden party in July 2022.
COVID-19 changed so many aspects of our lives, not least the way that people work. We were thrilled to finally welcome our staff back to our offices during the summer of 2021 but recognised the freedom and flexibility working from home offers, so we introduced hybrid working, with staff time split between the office and home. Our headquarters were revamped to enable hot-desking, with break-out areas and even a ping pong table!
While celebrating past achievements, such as the 25th anniversary of our pioneering Management of Occupational Road Risk approach, RoSPA looked to the future, with new partnerships and projects.
Our workplace and fleet training and our consultancy services continued to develop, gaining a range of new clients from both the private and public sector, while we launched a new qualification for our RoSPA Advanced Drivers and Riders. The newly formed RoADAR team engaged extensively with riders and drivers on the development of the new level three awards in Advanced Rider and Driver Coaching. This included extensive consultation with instructors and examiners on course content and piloting of the new provision that replaced the previous RoSPA Diplomas in Driving and Motorcycle Instruction.
We also developed and implemented a new membership strategy, undertook a member survey, ran regular webinars on a wide range of topics and revamped our website so that we could ensure we offer the very best service to our valued members.
RoSPA Qualifications enjoyed huge success in designing, developing and certificating vocational qualifications and launching a course assurance service, while RoSPA joined the international Capitals Coalition, leading the conversation on how healthy and safe workers – our human capital – add value to businesses.
With our partner L’Oréal, we helped women working in health and safety become more ‘visible’ and better ‘connected’ through the Leading Safely for Women programme and the launch of a new Inspiring Women in Safety Award.
And with our newly-launched web hub for members, we aimed to spread the Safe@Work-Safe@Home message further, encouraging everyone to apply safety skills they already use at work and applying them across their whole lives.
We also looked to influence and collaborate across the globe, taking part in a variety of research and data projects and embarking on exciting new overseas partnerships designed to share our expertise with others.
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## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022**
We exhibited at Intersec 2022 in Dubai and engaged with a range of clients across the GCC, while closer to home we are key members in the European Association for Injury Prevention and Safety Promotion (EuroSafe).
Through our mission of exchanging life-enhancing skills and knowledge, we are collaborating with a wide range of partners big and small, from all parts of the world, to achieve our vision of life, free from serious accidental injury. Join us on our journey to keep people safe from harm as we move forward together to achieve our vision of life, free from serious accidental injury.
## **Financial Review of RoSPA**
The Society's Key Performance Indicators are net income/expenditure (before net gains on investments) and the balance of unrestricted funds. The Society generated a net deficit of £74k for the year (2021: deficit £121k). This included a £214k (2021: £215k) charge in respect of the legacy final salary pension scheme.
After accounting for an unrealised gain on investments of £146k (2021: £687k gain) and an actuarial gain on the final salary pension scheme of £567k (2021: £132k loss), there was a net surplus for the year of £639k (2021: £434k surplus). The £639k surplus was represented by an increase in unrestricted funds of £755k and a decrease of £116k in restricted funds.
RoSPA strives to drive income growth through the delivery of more services in both the domestic and international markets, income grew by 16% in the year (2021: 30% decrease). This increase was largely the result of trading operations beginning to recover after the UK coronavirus shutdown in the prior year. Expenditure has increased by 15% in the year (2021: 29.7% decrease). This has increased in line with growing income and restoration of trading levels.
RoSPA has consolidated net assets of £706k as at March 2022 (March 2021: £67k assets). Given the long term nature of the pension liability, planned cost saving measures and with cash and debtors of £4.0 million (2021: £2.9 million) and investments of £4.2 million (2021: £4.0 million) as of the balance sheet date, the Board remains of the view that RoSPA is a going concern.
The Group continued to maintain a healthy bank balance: at the year end, cash balances totalled £2.3 million (2021: £0.9 million).
RoSPA's wholly owned trading subsidiary, RoSPA Enterprises Limited (REL), continued to trade successfully during the period, providing training and consultancy, advertising and sponsored activities such as the RoSPA Occupational Health & Safety Awards Scheme. For the year ended 31 March 2022 REL made a covenanted payment to the Charity, included in the results discussed above, of £564k, representing all of its taxable profits (2021: £178k).
Further information about the extensive range of activities and services provided through REL are included in the Annual Review and on the RoSPA website (www.rospa.com).
The factors likely to affect the financial position going forward as identified by the Trustees on the risk register are primarily external in respect of movement on investments and liabilities and the final salary pension scheme deficit. These are mitigated by the fact that RoSPA maintains significant cash balances, has no external debt and holds significant long term investments.
## **Pension Scheme**
Despite being closed to new members and new accruals since 2001 the deficit remains significant; £5,350k at year end, (2021: £6,034k). Nevertheless, RoSPA has no external debt other than trade creditors and has been successful at strengthening its balance sheet over recent years to provide a strong covenant for this long term liability. An ongoing agreement is in place to make additional annual contributions, supplemented by a further agreement to make further contributions insofar as the Society exceeds its annual financial targets, with a view to clearing the funding deficit over the medium term.
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## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022**
## **Pension Scheme (continued)**
The latest triennial valuation of the Scheme fell due on 5 April 2022, with work underway to negotiate the additional annual contributions (previous valuation £277k per annum).
The Scheme itself is managed by its own Board of Trustees and is administered by Quantum Advisory LLP. The Scheme continues to invest a proportion of its assets in a form of 'Liability Driven Investment', with the intention of achieving better tracking between movements in the Scheme's assets and liabilities and thereby reducing volatility in the valuation of the deficit.
## **Reserves**
The Trustees continue to recognise the need to hold sufficient free reserves to protect the continuation of RoSPA's core activities. These reserves should allow the organisation to plan ahead with a reasonable degree of confidence in the event of income shortfalls due to economic or market downturns and to undertake effective long-term strategic planning.
Free reserves available for use by RoSPA comprise those that are readily realisable, less funds subject to restricted uses or designated for particular purposes and less fixed assets. At 31 March 2022 these comprised a total of £4,124k (2021: £4,086k), an increase of £38k for the year.
The ongoing target level for RoSPA's free reserves should approximately equate to six months of fixed operating costs, reflecting the variability of commercial returns and the fact that RoSPA's income is predominantly selfgenerated via its training and associated activities. Hence we are currently operating at our target level of free reserves. Restricted reserves at 31 March 2022 were £88k (2021: £204k) as analysed in Note 22 to these accounts.
## **Investment Portfolio**
The investment portfolio managed by Rathbone Investment Management Ltd, London increased in value by £161k during the period. This included investment management fees of £39k and dividends achieved on investments of £54k, leaving a balance of £4,164k. The total return on investment stood at 5% over the period.
The Investment Policy continues to target three objectives:
- a) the maintenance/enhancement of invested funds - Rathbone are seeking to deliver CPI+4% over the investment cycle;
- b) a reasonable balance between capital growth and income; and c) the avoidance of undue risk.
The Policy also seeks to achieve a sound financial return while seeking not to invest in assets that could be detrimental to the aims and objectives of the Society.
## **Plans for Future Periods**
RoSPA will continue to focus on its policy priorities across the areas of road, workplace, home and leisure safety, guided by its overarching vision: Life, free from serious accidental injury and mission: Exchanging life-enhancing skills and knowledge to reduce serious accidental injuries.
In pursuing these objectives, RoSPA will campaign on key issues, provide high quality advice and information through a variety of media, develop evidence through research and deliver a range of professional services including training, consultancy, qualifications and events.
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## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022**
## **Plans for Future Periods (continued)**
It will also continue to welcome organisations into its membership and awards communities where they can learn from best practice and celebrate their achievements.
To further its aim of reducing accidental injuries, RoSPA will collaborate with a wide array of organisations, including Governmental departments, businesses and other bodies, from the UK and around the globe.
## **Principal Risks and Uncertainties**
## **Identification and Management of Risks**
The Board assesses business risks and implements risk management strategies. The Trustees are pleased to report that the Charity's internal financial controls conform to guidelines issued by the Charity Commission. In addition, the Trustees have considered the guidance for directors of public listed companies contained within the Turnbull and Higgs reports.
A Risk Register has been prepared to help manage the risk process. It contains all risks identified, and is subject to regular review. A formal review of the risk management processes is undertaken on an annual basis.
The key controls used by the charity include:
- Formal agenda for all Board and Committee activity.
- Detailed terms of reference for all Committees.
- A commitment to selecting suitable nominated trustees and where applicable, to provide risk training.
- A process for strategic planning, budget setting and management accounting.
- Established organisational structure with clear lines of reporting.
- Written policies, clear authorisation and approval levels.
- Clear allocation of all significant risks to named individuals.
Through the established risk management processes, the Board is satisfied that, while systems can only provide reasonable rather than absolute assurance, the major risks encompassing the Charity as detailed below have all been identified and appropriately managed as necessary:
- Final salary pension scheme deficit.
- Weak economic environment.
- Cessation of face to face activities due to restrictions in response to a pandemic.
- Reputational risk.
- Weak financial reserves.
## **Statement of Trustees' Responsibilities**
The Trustees are responsible for preparing the Strategic Report, the Annual Report and the financial statements in accordance with applicable law and regulations.
Charity law requires the Trustees to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and charity and of the incoming resources and application of resources, including the income and expenditure, of the group and charity for that period.
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## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022**
## **Statement of Trustees' Responsibilities (continued)**
In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- make judgments and accounting estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **Auditors**
All of RoSPA's current trustees have taken all the steps that they ought to have taken to make themselves aware of any information needed by the company's auditors for the purposes of their audit and to establish that the auditors are aware of that information. The Trustees are not aware of any relevant audit information of which the auditors are unaware.
Approved by order of the members of the board of Trustees on 21 March 2023
and signed on their behalf by:
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## **INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **Opinion on the financial statements**
In our opinion, the financial statements:
- give a true and fair view of the state of the Group’s and of the Parent Charitable Company’s affairs as at 31 March 2022 and of the Group’s incoming resources and application of resources and the Parent Charitable Company’s incoming resources and application of resources 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.
We have audited the financial statements of the Royal Society for the Prevention of Accidents (“the Parent Charitable Company”) and its subsidiaries (“the Group”) for the year ended 31 March 2022 which comprise the consolidated statement of financial activities, the consolidated and charity balance sheets, the consolidated 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, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (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 Auditor’s responsibilities for the audit of the financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## _Independence_
We remain 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.
## **Conclusions related 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 the 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.
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## **INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS (CONTINUED)**
## **Other information**
The Trustees are responsible for the 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 other information comprises: 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.
We have nothing to report in this regard.
## **Other Companies Act 2006 reporting**
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Trustees’ Report, which includes the Directors’ Report and the Strategic report prepared for the purposes of Company Law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic report and the Directors’ Report, which are included in the Trustees’ report, have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Group and the Parent Charitable Company and its environment obtained in the course of the audit, we have not identified material misstatement in the Strategic report or the Trustee’s 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 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 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.
## **Responsibilities of Trustees**
As explained more fully in the Trustees’ responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determines 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’s and the 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 the Parent Charitable Company or to cease operations, or have no realistic alternative but to do so.
Company number 00231435
Page 14
## **INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS (CONTINUED)**
## **Auditor’s responsibilities for the audit of the financial statements**
We have been appointed as auditor under the Companies Act 2006 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 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.
## _Extent to which the audit was capable of detecting irregularities, including fraud_
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We made enquiries of management. This included the following:
- how they have identified, evaluated and complied with laws and regulations and whether they were aware of any instances of non-compliance;
- their process for detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; and
- which internal controls have been established to mitigate risks related to fraud or non-compliance with laws and regulations.
We obtained an understanding of the legal and regulatory frameworks that are applicable to the Charity. These include, but are not limited to the Companies Act 2006, Charities SORP and UK GAAP.
In addition, the Company is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance through the imposition of fines or litigation. We identified the following areas as those most likely to have such an effect: data protection. In order to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, we made enquiries of management and those charged with Governance about whether the entity is in compliance with such laws and regulations and we inspected any relevant regulatory and legal correspondence.
We considered management’s incentives and opportunities for fraudulent manipulation of the financial statements (including revenue recognition and the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to manipulate financial results and management bias in accounting estimates.
Audit response to risks identified
- We made enquiries of management of known or suspected instances of non-compliance with laws and regulations and fraud;
- We reviewed minutes of meetings of those charged with governance;
- We reviewed any Serious Incident Reports submitted;
- In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments; assessed whether the judgements made in making accounting estimates are indicative of a potential bias; considered completeness of related party transactions; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.
- In addressing the risk of fraud through improper income recognition we tested the appropriateness of certain journals.
**INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF**
Company number 00231435
Page 15
## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS (CONTINUED)**
## **Auditor’s responsibilities for the audit of the financial statements (continued)**
Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that 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, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.
A further description of our responsibilities for the audit of the financial statements is located at the Financial Reporting Council’s (“FRC’s”) website at:
https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
## **Use of our report**
This report is made solely to the Charitable Company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Charitable Company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charitable Company and the Charitable Company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Samantha Lifford (Senior Statutory Auditor) For and on behalf of BDO LLP, statutory auditor Birmingham, UK Date 21 March 2023
BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127).
Company number 00231435
Page 16
## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2022**
|**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
Other
**Total expenditure**
**Net income/(expenditure) before net**
**gains on investments**
Net gains on investments
**Net income/(expenditure)**
Transfers between funds
22
**Net movement in funds before other**
**recognised gains/(losses)**
**Other recognised gains/(losses):**
Actuarial gains/(losses) on defined
benefit pension schemes
27
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
Net movement in funds
**Total funds carried forward**|**Unrestricted**
**funds**
**2022**
**£000**
**Restricted**
**funds**
**2022**
**£000**
**Total**
**funds**
**2022**
**£000**
_Total_
_funds_
_2021_
_£000_
**101**
**2**
**103**
_-_
**4,733**
**870**
**5,603**
_4,563_
**1,290**
**-**
**1,290**
_1,080_
**54**
**-**
**54**
_49_
**7**
**-**
**7**
_401_|
|---|---|
||**6,185**
**872**
**7,057**
_6,093_|
||**765**
**-**
**765**
_930_
**5,048**
**1,318**
**6,366**
_5,271_
**-**
**-**
**-**
_13_|
||**5,813**
**1,318**
**7,131**
_6,214_|
||**372**
**(446)**
**(74)**
_(121)_
**146**
**-**
**146**
_687_|
||**518**
**(446)**
**72**
_566_|
||**(330)**
**330**
**-**
_-_|
||**188**
**(116)**
**72**
_566_
**567**
**-**
**567**
_(132)_|
||**755**
**(116)**
**639**
_434_|
||**(137)**
**204**
**67**
_(367)_
**755**
**(116)**
**639**
_434_|
||**618**
**88**
**706**
_67_|
The Consolidated Statement of Financial Activities includes all gains and losses recognised in the year.
The notes on pages 22 to 53 form part of these financial statements.
Company number 00231435
Page 17
## **CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2022**
|**Note**
**Fixed assets**
Intangible assets
15
Tangible assets
16
Heritage assets
17
Investments
18
**Current assets**
Debtors
20
Cash at bank and in hand
25
Creditors: amounts falling due within
one year
21
**Net current (liabilities)/assets**
**Total assets less current liabilities**
**Net assets excluding pension**
**liability**
Defined benefit pension scheme liability
27
**Total net assets**
**Charity funds**
Restricted funds
22
Unrestricted funds
Unrestricted funds excluding pension
asset
22
Pension reserve
22
Total unrestricted funds
22
**Total funds**|**1,766**
**2,266**|**2022**
**£000**
**253**
**1,591**
**185**
**4,164**|_2,013_
_892_|_2021_
_£000_
_212_
_1,600_
_185_
_4,003_|
|---|---|---|---|---|
|||**6,193**
**(137)**||_6,000_
_101_|
||**4,032**
**(4,169)**||_2,905_
_(2,804)_||
||**5,968**
**(5,350)**||_5,897_
_(6,034)_||
|||**6,056**||_6,101_|
|||**6,056**
**(5,350)**||_6,101_
_(6,034)_|
|||**706**||_67_|
|||**88**
**618**||_204_
_(137)_|
||||||
|||**706**||_67_|
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 were approved and authorised for issue by the Trustees on 21 March 2023 and signed on their behalf by:
The notes on pages 22 to 53 form part of these financial statements
Company number 00231435
Page 18
## **CHARITY BALANCE SHEET AS AT 31 MARCH 2022**
|**Note**
**Fixed assets**
Intangible assets
15
Tangible assets
16
Heritage assets
17
Investments
18
**Current assets**
Debtors
20
Cash at bank and in hand
25
Creditors: amounts falling due within
one year
21
**Net current liabilities**
**Total assets less current liabilities**
**Net assets excluding pension**
**liability**
Defined benefit pension scheme liability
27
**Total net assets**
**Charity funds**
Restricted funds
22
Unrestricted funds
General funds
22
Unrestricted funds excluding pension
liability
22
Pension reserve
22
Total unrestricted funds
22
**Total funds**|**1,867**
**2,130**|**2022**
**£000**
**253**
**1,591**
**185**
**4,164**|_1,742_
_858_|_2021_
_£000_
_212_
_1,600_
_185_
_4,003_|
|---|---|---|---|---|
|||**6,193**
**(137)**||_6,000_
_(103)_|
||**3,997**
**(4,134)**||_2,600_
_(2,703)_||
||**5,968**||_5,897_||
|||**6,056**||_5,897_|
|||**6,056**
**(5,350)**||_5,897_
_(6,034)_|
|||**706**||_(137)_|
|||**88**
**618**||_-_
_(137)_|
||**5,968**
**(5,350)**||_5,897_
_(6,034)_||
||||||
|||**706**||_(137)_|
Company number 00231435
Page 19
## **CHARITY BALANCE SHEET (CONTINUED) AS AT 31 MARCH 2022**
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 were approved and authorised for issue by the Trustees on 21 March 2023 and signed on their behalf by:
The notes on pages 22 to 53 form part of these financial statements.
Company number 00231435
Page 20
## **CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2022**
|**Cash flows from operating activities**
Net cash provided by/(used in) operating activities
**Cash flows from investing activities**
Dividends, interests and rents from investments
Purchase of intangible assets
Purchase of tangible fixed assets
Cash withdrawn from investment portfolio
**Net cash (used in)/provided by investing 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**|**2022**
**£000**
_2021_
_£000_
**1,561**
_(434)_|
|---|---|
||**-**
_49_
**(121)**
_(151)_
**(66)**
_(11)_
**-**
_450_|
||**(187)**
_337_|
||**1,374**
_(97)_|
||**892**
_989_|
||**2,266**
_892_|
The notes on pages 22 to 53 form part of these financial statements
Company number 00231435
Page 21
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **1. General information**
The Society is a Charity registered in England no. 00231435, limited by guarantee and having no share capital. There were 3,107 registered members as at 31 March 2022 (2021: 3,228) who are liable to contribute 50p each in the event of the Society being wound up.
The Society is a registered charity no. 207823 in England and Wales and SCO392289 in Scotland and its objects are set out in its Articles of Association. As a charity the Society's charitable activities are exempt from corporation tax
## **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) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The Royal Society for the Prevention of Accidents 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 Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.
The Charity 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**
While the effects of the COVID-19 pandemic are still being felt, the Trustees believe that operational changes implemented in the prior year helped minimise the worst effects of the pandemic and the business has recovered well as the world emerges from lockdown. The Trustees continue to monitor financial forecasts and cashflows to 31 March 2024 and review scenario forecasts to 31 March 2024 to assess the impact of future scenarios on income. The liquidity of investments continues to be considered, ensuring funds are sufficiently accessible should they be required.
The Trustees have also considered the £706k net asset position of the Group balance sheet at 31 March 2022. A significant liability which contributes to the overall position is RoSPA’s final salary pension fund, which has a net deficit of (£5.4m) at 31 March 2022. This is a long term liability which is subject to annual valuation and will crystallise over the next 30 years. As such, the impact on cashflows over the going concern assessment period is far less significant and has been included in the modelling set out above.
The Trustees are confident that most of the uncertainty arising from the pandemic has now passed and are now satisfied, based on the assessment performed, that cash and investments will remain sufficient to enable the Charity and Group to meet its obligations as they fall due for a period of at least 12 months from the date of signing these accounts. The Trustees therefore consider it appropriate for the accounts to be prepared on a going concern basis.
Company number 00231435
Page 22
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **2. Accounting policies (continued)**
## **2.3 Income**
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Grants are included in the Consolidated Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.
Subscriptions are receivable on varying dates throughout the year and are apportioned on a time basis.
Awards, events, training, consultancy and journal income is deferred from the period when it is received to the period in which the service or goods will be delivered. Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
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.
## **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, support costs and central staff costs which are not attributable to a single activity are apportioned between those activities on a FTE staff number basis consistent with the use of resources.
Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of investment management and non-charitable trading.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
## **2.5 Foreign currencies**
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the reporting date.
Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.
Exchange gains and losses are recognised in the Consolidated Statement of Financial Activities.
Company number 00231435
Page 23
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **2. Accounting policies (continued)**
## **2.6 Intangible assets and amortisation**
Intangible assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.
Amortisation is provided on intangible assets at rates calculated to write off the cost of each asset on a straight-line basis over its expected useful life.
Amortisation is provided on the following basis:
Computer software - 25 %
## **2.7 Tangible fixed assets and depreciation**
Tangible fixed assets costing £500 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.
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 basis:
|Long-term leasehold property|-|2%|
|---|---|---|
|Plant and machinery|-|7%|
|Fixtures and fittings|-|15%|
|Computer equipment|-|25%|
Company number 00231435
Page 24
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **2. Accounting policies (continued)**
## **2.8 Heritage assets**
The charity’s collection of artwork and posters is reported in the Balance Sheet at valuation. Valuations are reviewed every year and updated by professional valuers every 5 years or more often if the trustees consider it necessary. The trustees would consider this necessary if for example further heritage assets had been discovered or if the level of related sales had changed significantly in the period.
The artwork and posters are deemed to have indefinite lives and the Trustees do not therefore consider it appropriate to charge depreciation.
It is the charity’s policy to maintain its collection of artwork and posters in good condition and any maintenance costs incurred to preserve such are charged to the Statement of Financial Activities when incurred.
## **2.9 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.
## **2.10 Debtors**
Trade and other debtors are recognised at the settlement amount. Prepayments are valued at the amount prepaid.
## **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.
## **2.12 Liabilities**
Liabilities and provisions 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 Charity 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.
## **2.13 Contingent liabilities**
There is a potential clawback for all grant monies and restricted funds where they are not spent in accordance with the terms and conditions of the grant offer letter or contract. The Society’s expenditure controls are designed to ensure that there is no such liability.
Company number 00231435
Page 25
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **2. Accounting policies (continued)**
## **2.14 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.
## **2.15 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.
There are currently no assets purchased under finance leases.
## **2.16 Pensions**
The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.
The Group operates a defined benefits pension scheme and the pension charge is based on a full actuarial valuation dated 5 April 2019 and updated to 31 March 2022.
The difference between the fair value of the assets held in the charity’s defined benefit pension scheme’s liabilities measured on an actuarial basis using the projected unit method are recognised in the charity’s balance sheet as a pension scheme liability. The carrying value of any resulting pension scheme asset is restricted to the extent that the charity is able to recover the surplus either through reduced contributions or through refunds from the scheme.
Changes in the deferred benefit pension asset or liability arising from factors other than cash contribution by the charity are charged to the SOFA in accordance with FRS102.
## **2.17 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.
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.
Company number 00231435
Page 26
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **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 Charity 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:
1. To determine whether leases entered into by the company either as a lessor or a lessee are operating leases or finance leases depends on a lease-by-lease assessment of whether the risks and rewards of ownership have been transferred from the lessor to the lessee.
2. To determine whether there are indicators of impairment of the company’s tangible assets the factors taken into consideration include the economic viability and expected future financial performance of the asset and, where it is a component of a larger cash-generating unit, the viability and expected future performance of that unit. Tangible fixed assets are depreciated over their useful lives. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values.
3. To determine the provision against trade debtors, debts are assessed at each reporting date for recoverability. If there is any evidence of impairment the carrying amount of the debtor is reduced to its recoverable amount. The impairment loss is recognised immediately in the Consolidated Statement of Financial Activities.
## **4. Income from donations and legacies**
|Donations
Donations|**Unrestricted**
**funds**
**2022**
**£000**
**Restricted**
**funds**
**2022**
**£000**
**Total funds**
**2022**
**£000**
101
2
**103**|
|---|---|
||_Unrestricted_
_funds_
_2021_
_£000_
_Restricted_
_funds_
_2021_
_£000_
_Total funds_
_2021_
_£000_
-
-
-|
Company number 00231435
Page 27
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **5. Income from charitable activities**
|Income from charitable activities - At Work
Income from charitable activities - At Leisure
Income from charitable activities - On the Road
Income from charitable activities – In the Home
Income from charitable activities – By Influencing &
Informing
Income from charitable activities - At Work
Income from charitable activities - At Leisure
Income from charitable activities - On the Road
Income from charitable activities – In the Home
Income from charitable activities – By Influencing &
Informing|**Unrestricted**
**funds**
**Restricted**
**funds**
**Total funds**
**2022**
**2022**
**2022**
**£000**
**£000**
**£000**
3,963
9
**3,972**
12
66
**78**
726
417
**1,143**
12
378
**390**
20
-
**20**
4,733
870
**5,603**
_Unrestricted_
_funds_
_Restricted_
_funds_
_Total funds_
_2021_
_2021_
_2021_
_£000_
_£000_
_£000_
_2,444_
_131_
_2,575_
_28_
_45_
_73_
_458_
_472_
_930_
_177_
_273_
_450_
_520_
_15_
_535_
_3,627_
_936_
_4,563_|
|---|---|
Company number 00231435
Page 28
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **6. Income from non charitable trading activities**
|Trading income
_Trading income_|**Unrestricted**
**funds**
**2022**
**£000**
**Total**
**funds**
**2022**
**£000**
1,290
**1,290**|
|---|---|
||_Unrestricted_
_funds_
_2021_
_£000_
_Total funds_
_2021_
_£000_
_1,080_
_1,080_|
## **7. Investment income**
|Income from investments
Income from investments
**8.**
**Other incoming resources**|**Unrestricted**
**funds**
**2022**
**£000**
**Total**
**funds**
**2022**
**£000**
54
**54**|
|---|---|
||_Unrestricted_
_funds_
_2021_
_£000_
_Total funds_
_2021_
_£000_
_49_
_49_|
|||
||**Unrestricted**||
|---|---|---|
||**funds**|**Total funds**|
||**2022**|**2022**|
||**£000**|**£000**|
|Other operating income|7|**7**|
Company number 00231435
Page 29
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **8. Other incoming resources (continued)**
|Furlough income
Other operating income|_Unrestricted_
_funds_
_Total funds_
_2021_
_2021_
_£000_
_£000_
_399_
_399_
_2_
_2_
_401_
_401_|
|---|---|
## **9. Expenditure on raising funds**
## **Fundraising trading expenses**
|Investment management costs
Investment management costs|**Unrestricted**
**funds**
**2022**
**£000**
**Total**
**funds**
**2022**
**£000**
39
**39**|
|---|---|
||39
**39**|
||_Unrestricted_
_funds_
_Total_
_funds_
_2021_
_2021_
_£000_
_£000_
_28_
_28_
_28_
_28_|
Company number 00231435
Page 30
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **9. Expenditure on raising funds (continued)**
## **Other trading expenses**
|Trading costs of sale
Trading administrative expenses
Trading account staff costs
Trading costs of sale
Trading administrative expenses
Trading account staff costs|**Unrestricted**
**funds**
**2022**
**£000**
**Total**
**funds**
**2022**
**£000**
380
**380**
52
**52**
294
**294**|
|---|---|
||726
**726**|
||_Unrestricted_
_funds_
_2021_
_£000_
_Total_
_funds_
_2021_
_£000_
_311_
_311_
_227_
_227_
_364_
_364_|
||_902_
_902_|
Company number 00231435
Page 31
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **10. Analysis of expenditure on charitable activities**
## **Summary by fund type**
|At Work
At Leisure
On the Road
In the Home
By Influencing & Informing|**Unrestricted**
**funds**
**2022**
**£000**
**Restricted**
**funds**
**2022**
**£000**
**Total**
**2022**
**£000**
3,699
10
**3,709**
(62)
247
**185**
1,023
451
**1,474**
(80)
573
**493**
468
37
**505**|
|---|---|
||5,048
1,318
**6,366**|
|At Work
At Leisure
On the Road
In the Home
By Influencing & Informing|_Unrestricted_
_funds_
_Restricted_
_funds_
_Total_
_2021_
_2021_
_2021_
_£000_
_£000_
_£000_
_3,061_
_132_
_3,193_
_56_
_125_
_181_
_440_
_689_
_1,129_
_73_
_360_
_433_
_285_
_50_
_335_|
|---|---|
||_3,915_
_1,356_
_5,271_|
Company number 00231435
Page 32
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **11. Analysis of expenditure by activities**
|At Work
At Leisure
On the Road
In the Home
By Influencing & Informing
At Work
At Leisure
On the Road
In the Home
By Influencing & Informing|**Activities**
**undertaken**
**directly**
**2022**
**£000**
**Support**
**costs**
**2022**
**£000**
**Total**
**funds**
**2022**
**£000**
2,933
776
**3,709**
107
78
**185**
1,139
335
**1,474**
339
154
**493**
249
256
**505**|
|---|---|
||**4,767 **
**1,599**
**6,366**|
||_Activities_
_undertaken_
_directly_
_2021_
_£000_
_Support_
_costs_
_2021_
_£000_
_Total_
_funds_
_2021_
_£000_
_2,008_
_1,185_
_3,193_
_67_
_114_
_181_
_666_
_463_
_1,129_
_200_
_233_
_433_
_326_
_9_
_335_|
||_3,267_
_2,004_
_5,271_|
Support costs include expenditure on staff, facilities, IT, finance and governance.
## **12. Auditor's remuneration**
The auditor's remuneration amounts to an auditor fee of £45,000 (2021 - £35,000).
Company number 00231435
Page 33
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **13. Staff costs**
|Wages and salaries
Social security costs
Contribution to defined contribution
pension scheme
Operating costs of defined benefit
pension scheme
Other employee costs|**Group**
**2022**
**£000**
_Group_
_2021_
_£000_
**Charity**
**2022**
**£000**
_Charity_
_2021_
_£000_
**2,742**
_2,653_
**2,480**
_2,653_
**249**
_238_
**227**
_238_
**140**
_159_
**132**
_159_
**139**
_34_
**139**
_34_
**195**
_172_
**195**
_172_|
|---|---|
||**3,465**
_3,256_
**3,173**
_3,256_|
Termination and redundancy payments made to staff in the period totalled £30,233 ( _2021: £100,173_ )
The average number of persons employed by the Charity during the year was as follows:
|Charitable activities and cost of generating funds
Management and administration of the charity|**Group**
**2022**
**No.**
_Group_
_2021_
_No._
**Charity**
**2022**
**No.**
_Charity_
_2021_
_No._
**72**
_64_
_72_
_64_
**17**
_19_
_17_
_19_|
|---|---|
||**89**
_83_
_89_
_83_|
The average headcount expressed as full-time equivalents was:
|Charitable activities and cost of generating funds
Management and administration of the charity|**Group**
**2022**
**No.**
_Group_
_2021_
_No._
**Charity**
**2022**
**No.**
_Charity_
_2021_
_No._
**62**
_64_
_62_
_64_
**16**
_19_
_16_
_19_|
|---|---|
||**78**
_83_
_78_
_83_|
Company number 00231435
Page 34
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **13. Staff costs (continued)**
The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:
||**Group**|_Group_|
|---|---|---|
||**2022**|_2021_|
||**No.**|_No._|
|In the band £60,000 - £70,000|**2**|_3_|
|In the band £70,001 - £80,000|**2**|_3_|
|In the band £80,001 - £90,000|**1**|_-_|
|In the band £120,001 - £130,000|**-**|_1_|
|In the band £130,001 - £140,000|**1**|_-_|
Six employees (2021: Six) earning more than £60,000 in the year participated in recognised pension schemes to which contributions of £40,790 were paid during the year (2021: £36,111) on their behalf. The total employee benefits of the senior management team were £668,906 (2021: £628,801).
## **14. Trustees' remuneration and expenses**
During the year, no Trustees received any remuneration or other benefits ( _2021 - £NIL)._
During the year ended 31 March 2022, expenses totaling £87 were reimbursed or paid directly to 1 Trustee ( _2021 - £NIL to 0 Trustees_ ). The expense relates to travel costs incurred to attend a Trustee meeting.
Company number 00231435
Page 35
## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **15. Intangible assets**
|**Group**
**Cost**
At 1 April 2021
Additions
At 31 March 2022
**Amortisation**
At 1 April 2021
Charge for the year
At 31 March 2022
**Net book value**
At 31 March 2022
At 31 March 2021|**Computer**
**software**
**£000**
**370**
**121**|
|---|---|
||**491**|
||**158**
**80**|
||**238**|
||**253**|
||_212_|
Company number 00231435
Page 36
## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **15. Intangible assets (continued) Charity**
|**Cost**
At 1 April 2021
Additions
At 31 March 2022
**Amortisation**
At 1 April 2021
Charge for the year
At 31 March 2022
**Net book value**
At 31 March 2022
At 31 March 2021|**Computer**
**software**
**£000**
**370**
**121**|
|---|---|
||**491**|
||**158**
**80**|
||**238**|
||**253**|
||_212_|
Company number 00231435
Page 37
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **16. Tangible fixed assets**
## **Group**
|**Cost or valuation**
At April 2021
Additions
At 31 March 2022
**Depreciation**
At April 2021
Charge for the year
At 31 March 2022
**Net book value**
At 31 March 2022
At 31 March 2021|**Long-term**
**leasehold**
**property**
**£000**
**Plant and**
**machinery**
**£000**
**Fixtures and**
**fittings**
**£000**
**Computer**
**equipment**
**£000**
**Total**
**£000**
**2,016**
**219**
**162**
**324**
**2,721**
**-**
**-**
**30**
**36**
**66**|
|---|---|
||**2,016**
**219**
**192**
**360**
**2,787**|
||**503**
**159**
**161**
**298**
**1,121**
**47**
**14**
**4**
**10**
**75**|
||**550**
**173**
**165**
**308**
**1,196**|
||**1,466**
**46**
**27**
**52**
**1,591**|
||_1,513_
_60_
_1_
_26_
_1,600_|
Company number 00231435
Page 38
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **16. Tangible fixed assets (continued)**
## **Charity**
|**Long-term**
**leasehold**
**property**
**£000**
**Plant and**
**machinery**
**£000**
**Fixtures**
**and**
**fittings**
**£000**
**Cost or valuation**
At April 2021
**2,016**
**219**
**162**
Additions
**-**
**-**
**30**
At 31 March 2022
**2,016**
**219**
**192**
**Depreciation**
At April 2021
**503**
**159**
**161**
Charge for the year
**47**
**14**
**4**
At 31 March 2022
**550**
**173**
**165**
**Net book value**
At 31 March 2022
**1,466**
**46**
**27**
At 31 March 2021
_1,513_
_60_
_1_
**eritage assets**
**roup and Charity**
**Assets recognised at valuation**
Carrying value at 1 April 2021 and 31 March 2022|**Long-term**
**leasehold**
**property**
**£000**
**Plant and**
**machinery**
**£000**
**Fixtures**
**and**
**fittings**
**£000**
**2,016**
**219**
**162**
**-**
**-**
**30**|**Computer**
**equipment**
**£000**
**Total**
**£000**
**324**
**2,721**
**36**
**66**|
|---|---|---|
||**2,016**
**219**
**192**|**360**
**2,787**|
||**503**
**159**
**161**
**47**
**14**
**4**|**298**
**1,121**
**10**
**75**|
||**550**
**173**
**165**|**308**
**1,196**|
||**1,466**
**46**
**27**|**52**
**1,591**|
||_1,513_
_60_
_1_|_26_
_1,600_|
|||**Heritage**
**asset**
**2022**
**£000**
**Total**
**2022**
**£000**
185
**185**|
|||185
**185**|
## **17. Heritage assets**
## **Group and Charity**
The Society's archive of artwork and posters was valued at £185,000 at 31 March 2018 by Dr Paul Rennie of the University of Arts, London. Management reviewed the valuation at 31 March 2022 based on prevailing market conditions and considered there was no movement in the valuation
Company number 00231435
Page 39
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **18. Fixed asset investments**
|**Group and Charity**
**Cost or valuation**
At April 2021
Gain on investment
Management fees
Dividends reinvested
At 31 March 2022
**Net book value**
At 31 March 2022
_At 31 March 2021_
**Historical cost at 31 March**|**2022**
**£000**|**Listed**
**investments**
**£000**
**4,003**
**146**
**(39)**
**54**|
|---|---|---|
|||**4,164**|
|||**4,164**|
|||_4,003_|
|||_2021_
_£000_|
||**3,601**|_3,390_|
Investments are held to achieve long term capital growth with income.
Company number 00231435
Page 40
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **18. Fixed asset investments (continued)**
An analysis of the market value of investments at 31 March is as follows:
|UK equities
Overseas equities
Fixed interest
Cash
Other|**2022**
**£000**
_2021_
_£000_
1,187
_1,187_
1,581
_1,664_
382
_476_
254
_166_
760
_510_|
|---|---|
||**4,164**
_4,003_|
## **19. Subsidiary company : RoSPA Enterprises Limited**
The Charity owns the whole of the issued ordinary share capital of RoSPA Enterprises Limited, a company registered in England and Wales company no 03021397. The subsidiary is used for non-primary purpose trading activities, namely consultancy and sales of advertising in the Society's journals. In addition corporate sponsorships are also carried out by the subsidiary. All activities have been consolidated on a line by line basis in the SOFA. The total net profit is gifted to the Charity.
A summary of the results of the subsidiary is shown below:
|Turnover
Cost of sales
**Gross profit**
Administrative expenses
**Net profit**
The aggregate of the assets, liabilities and funds was:
Assets
Liabilities
**Funds (representing 2 ordinary shares of £1 each)**|**Total**
**2022**
**£000**
_Total_
_2021_
_£000_
1,290
_1,080_
(413)
_(610)_|
|---|---|
||**877**
_470_
(313)
_(292)_|
||**564**
_178_|
||390
_412_
(390)
_(412)_|
||**-**
_-_|
Company number 00231435
Page 41
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **20. Debtors**
|**Due within one year**
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income|**Group**
**2022**
**£000**
_Group_
_2021_
_£000_
**Charity**
**2022**
**£000**
_Charity_
_2021_
_£000_
**1,452**
_1,811_
**1,197**
_1,455_
**-**
_-_
**356**
_107_
**60**
_1_
**60**
_1_
**254**
_201_
**254**
_179_|
|---|---|
||**1,766**
_2,013_
**1,867**
_1,742_|
## **21. Creditors: Amounts falling due within one year**
|**Due within one year**
Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income|**Group**
**2022**
**£000**
_Group_
_2021_
_£000_
**Charity**
**2022**
**£000**
_Charity_
_2021_
_£000_
**193**
_331_
**160**
_303_
**219**
_279_
**219**
_279_
**30**
_240_
**30**
_167_
**3,727**
_1,954_
**3,725**
_1,954_|
|---|---|
||**4,169**
_2,804_
**4,134**
_2,703_|
Deferred Income is in relation to events and membership fees received in advance. Income is recognised in the statement of financial activities in the period to which it relates.
Deferred income released from the prior year was £1,954k and deferred income received in the current year was £2,872k.
Company number 00231435
Page 42
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **22. Statement of funds**
## **Statement of funds - current year**
|**Unrestricted funds**
**Restricted funds**
At Work - Corporate
Partners
At Leisure - Donations
At Leisure - Maritime &
Coastguard Agency
At Leisure - Trinity House
Maritime Charity Dft Fund
On The Road – Corporate
Partners
On The Road - Scottish
Government
On The Road - UK
Government
On The Road - Welsh
Government
In The Home - Corporate
Partners
In The Home - Northern
Ireland Executive|**Balance**
**at 1 April**
**2021**
**£000**
**_Income_**
**_£000_**
**Expenditure**
**£000**
**_Transfers_**
**_in/(out)_**
**_£000_**
**_Gains/_**
**_(Losses)_**
**_£000_**
**_Balance at_**
**_31 March_**
**_2022_**
**_£000_**
**(137)**
**6,185**
**(5,813)**
**(330)**
**713**
**618**|
|---|---|
||**5**
**-**
**(10)**
**5**
**-**
**-**
**-**
**-**
**(12)**
**22**
**-**
**10**
**82**
**45**
**(214)**
**87**
**-**
**-**
**-**
**21**
**(21)**
**-**
**-**
**-**
**3**
**-**
**(3)**
**2**
**-**
**2**
**20**
**85**
**(116)**
**26**
**-**
**15**
**-**
**214**
**(214)**
**-**
**-**
**-**
**-**
**118**
**(118)**
**-**
**-**
**-**
**64**
**30**
**(166)**
**124**
**-**
**52**
**-**
**71**
**(71)**
**-**
**-**
**-**|
Company number 00231435
Page 43
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **22. Statement of funds (continued)**
## **Statement of funds - current year (continued)**
|In The Home - Scottish
Government
In The Home - UK
Government
By Influencing And
Informing - Corporate
Partners
By Influencing And
Informing – Brighter
Beginnings Campaign
**Total of funds**|**Balance**
**at 1 April**
**2021**
**£000**
**Income**
**£000**
**Expenditure**
**£000**
**Transfers**
**in/out**
**£000**
**Gains/**
**(Losses)**
**£000**
**Balance at**
**31 March**
**2022**
**£000**
**8**
**117**
**(133)**
**8**
**-**
**-**
**9**
**160**
**(203)**
**43**
**-**
**9**
**2**
**-**
**(3)**
**1**
**-**
**-**
**11**
**11**
**(34)**
**12**
**-**
**-**|
|---|---|
||**204**
**872**
**(1,318)**
**330**
**-**
**88**|
||**67**
**7,057**
**(7,131)**
**-**
**713**
**706**|
To the extent costs of restricted fund projects are not covered by associated restricted income, RoSPA transfers in contributions from unrestricted funds.
Company number 00231435
Page 44
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **22. Statement of funds (continued)**
## **Statement of funds - prior year**
|**Unrestricted funds**
**Restricted funds**
At Work - Corporate
Partners
At Work – Scottish
Government
At Work - Sponsorships
At Leisure - Donations
At Leisure - Maritime &
Coastguard Agency
On The Road – Corporate
Partners
On The Road - Scottish
Government
On The Road - UK
Government
On The Road - Welsh
Government
In The Home - Corporate
Partners|_Balance at_
_1 April_
_2020_
_£000_
_Income_
_£000_
_Expenditure_
_£000_
_Transfers_
_in/out_
_£000_
_Gains/_
_(Losses)_
_£000_
_Balance at_
_31 March_
_2021_
_£000_
_(665)_
_5,157_
_(4,858)_
_(326)_
_555_
_(137)_|
|---|---|
||_4_
_5_
_(4)_
_-_
_-_
_5_
_2_
_-_
_(2)_
_-_
_-_
_-_
_-_
_126_
_(126)_
_-_
_-_
_-_
_(3)_
_-_
_(4)_
_7_
_-_
_-_
_101_
_45_
_(121)_
_57_
_-_
_82_
_3_
_-_
_-_
_-_
_-_
_3_
_23_
_124_
_(127)_
_-_
_-_
_20_
_-_
_230_
_(416)_
_186_
_-_
_-_
_-_
_118_
_(146)_
_28_
_-_
_-_
_97_
_71_
_(104)_
_-_
_-_
_64_|
Company number 00231435
Page 45
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **22. Statement of funds (continued)**
## **Statement of funds - prior year**
|In The Home - Northern
Ireland Executive
In The Home - Scottish
Government
In The Home - UK
Government
By Influencing And
Informing - Corporate
Partners
By Influencing And
Informing - Brighter
Beginnings Campaign
**Total of funds**|_Balance at_
_1 April_
_2021_
_£000_
_Income_
_£000_
_Expenditure_
_£000_
_Transfers_
_in/out_
_£000_
_Gains/_
_(Losses)_
_£000_
_Balance at_
_31 March_
_2022_
_£000_
_9_
_88_
_(97)_
_-_
_-_
_-_
_10_
_114_
_(159)_
_43_
_-_
_8_
_9_
_-_
_-_
_-_
_-_
_9_
_4_
_-_
_(2)_
_-_
_-_
_2_
_39_
_15_
_(48)_
_5_
_-_
_11_|
|---|---|
||_298_
_936_
_(1,356)_
_326_
_-_
_204_|
||_(367)_
_6,093_
_(6,214)_
_-_
_555_
_67 _|
Company number 00231435
Page 46
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **23. Analysis of net assets between funds**
**Analysis of net assets between funds – current year**
|Tangible fixed assets
Intangible fixed assets
Fixed asset investments
Heritage assets
Current assets
Creditors due within one year
Provisions for liabilities and charges
**Total**|**Unrestricted**
**funds**
**2022**
**£000**
**Restricted**
**funds**
**2022**
**£000**
**Total**
**funds**
**2022**
**£000**
1,591
-
**1,591**
253
-
**253**
4,164
-
**4,164**
185
-
**185**
3,944
88
**4,032**
(4,169)
-
**(4,169)**
(5,350)
-
**(5,350)**|
|---|---|
||618
88
**706**|
## **Analysis of net assets between funds - prior year**
|Tangible fixed assets
Intangible fixed assets
Fixed asset investments
Heritage assets
Current assets
Creditors due within one year
Provisions for liabilities and charges
**Total**|_Unrestricted_
_funds_
_Restricted_
_funds_
_Total_
_funds_
_2021_
_2021_
_2021_
_£000_
_£000_
_£000_
_1,600_
_-_
_1,600_
_212_
_-_
_212_
_4,003_
_-_
_4,003_
_185_
_-_
_185_
_2,701_
_204_
_2,905_
_(2,804)_
_-_
_(2,804)_
_(6,034)_
_-_
_(6,034)_|
|---|---|
||_(137)_
_204_
_67 _|
Company number 00231435
Page 47
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **24. Reconciliation of net movement in funds to net cash flow from operating activities**
|Net income for the year (as per Statement of Financial Activities)
**Adjustments for:**
Depreciation charges
Amortisation charges
Gains on investments
Dividends, interest and rents from investments
Decrease in debtors
Increase/(decrease) in creditors
Investment management costs
Society pension contributions
Pension costs borne by pension fund
Increase/(Decrease) in deferred income
**Net cash provided by/(used in) operating activities**|**Group**
**2022**
**£000**
_Group_
_2021_
_£000_
**72**
_566_|
|---|---|
||**75**
_95_
**80**
_38_
**(146)**
_(687)_
**(54)**
_(49)_
**247**
_50_
**447**
_(68)_
**39**
_28_
**(331)**
_(296)_
**214**
_215_
**918**
_(326)_|
||**1,561**
_(434)_|
## **25. Analysis of cash and cash equivalents**
|Cash in hand
**Total cash and cash equivalents**|**Group**
_Group_
**2022**
_2021_
**£000**
_£000_
**2,266**
_892_|
|---|---|
||**2,266**
_892_|
Company number 00231435
Page 48
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
|**26.**
**Analysis of changes in net debt**
Cash at bank and in hand|**At 1 April**
**2021**
**£000**
**Cash**
**flows**
**£000**
**At 31**
**March**
**2022**
**£000**
**892**
**1,374**
**2,266**|
|---|---|
||**892**
**1,374**
**2,266**|
## **27. Pension commitments**
The Society operates a defined benefit scheme in the UK - the RoSPA Retirement and Death Benefits Plan. A full actuarial valuation was carried out as at 5 April 2019 and has been updated to 31 March 2022 by a qualified independent actuary
Society contributions of £331,000 were paid over the year ended 31 March 2022. This includes payments towards expenses of £95,000. The Society expects to contribute £310,000 plus £106,000 in expenses, to its defined benefit pension scheme in the next financial year.
Principal actuarial assumptions at the Balance Sheet date (expressed as weighted averages):
||**At 31 March**|_At 31_|
|---|---|---|
||**2022**|_March 2021_|
||**%**|_%_|
|Discount rate|**2.70**|_2.00_|
|Salary increases|**n/a**|_n/a_|
|Revaluation in deferment|**3.40**|_2.50_|
|Pension increases:|||
|CPI max 3% p.a.|**2.55**|_2.10_|
|RPI max 5% p.a.|**3.65**|_3.20_|
|Mortality assumption|**110% of**|_110% of_|
||**S3PA with**|_S3PA with_|
||**CMI_2018**|_CMI_2018_|
||**[1.0%]**|_[1.0%]_|
Company number 00231435
Page 49
## **THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **27. Pension commitments (continued)**
Under the mortality tables adopted, the assumed life expectancy at age 65 is as follows:
||**At 31 March**|_At 31 March_|
|---|---|---|
||**2022**|_2021_|
||**Years**|_Years_|
|Male currently aged 45|**22.1**|_22.1_|
|Male currently aged 65|**21.1**|_21.0_|
|Female currently aged 45|**24.5**|_24.5_|
|Female currently aged 65|**23.4**|_23.3_|
Amounts Recognised in the Balance Sheet at the Review Date
|Fair value of assets
Present value of defined benefit obligation
Surplus/(Deficit) before deferred taxation|**At 31 March**
**2022**
_At 31 March_
_2021_
**£000**
_£000_
**9,853**
_10,097_
**(15,203)**
_(16,131)_|
|---|---|
||**(5,350)**
_(6,034)_|
Amounts Recognised in the Statement of Financial Activities over the year to the Review Date:
|Net interest cost
Expenses
Total|**At 31 March**
**2022**
_At 31 March_
_2021_
**£000**
_£000_
**(119)**
_(135)_
**(95)**
_(80)_|
|---|---|
||**(214)**
_(215)_|
Company number 00231435
Page 50
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **27. Pension commitments (continued)**
The major categories of assets as a percentage of total assets held are as follows:
|Diversified Growth Funds
Liability Driven Investment (LDI) Funds
Fixed interest
Cash and other assets
Total|**At 31 March**
**2022**
**%**
_At 31 March_
_2021_
_%_
**51**
_54_
**18**
_17_
**30**
_28_
**1**
_1_|
|---|---|
||**100**
_100_|
The actual return on the Plan’s assets over the year to the Review Date was 2%. The assets do not include any direct investment in the Society.
The change in assets over the period was:
|Assets at the beginning of the period
Interest income
Contributions by employer
Expenses paid
Benefits paid
Actuarial gain on assets
Total|**At 31 March**
**2022**
_At 31 March_
_2021_
**£000**
_£000_
**10,097**
_9,500_
**197**
_212_
**331**
_296_
**(95)**
_(80)_
**(690)**
_(815)_
**13**
_984_
**9,853**
_10,097_|
|---|---|
The actual return on scheme assets was £197,000 (2021 - £212,000).
Company number 00231435
Page 51
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **27. Pension commitments (continued)**
Movements in the present value of the defined benefit obligation were as follows:
|Defined benefit obligation at the beginning of the period
Interest cost
Benefits paid
Actuarial gain/(loss)
- assumptions
- experience
Defined benefit obligation at the end of the period|**At 31 March**
**2022**
_At 31 March_
_2021_
**£000**
_£000_
**(16,131)**
_(15,483)_
**(316)**
_(347)_
**690**
_815_
**656**
_(1,526)_
**(102)**
_410_
**(15,203)**
_(16,131)_|
|---|---|
Defined benefit costs recognised in other comprehensive income:
|Experience gains and (losses) on Scheme liabilities
Assumption gains and (losses) on Scheme liabilities
Experience gains and (losses) on Scheme assets
Total amount recognised in other comprehensive income - gain/(loss)|**At 31 March**
**2022**
_At 31 March_
_2021_
**£000**
_£000_
**(102)**
_410_
**656**
_(1,526)_
**13**
_984_
**567**
_(132)_|
|---|---|
Company number 00231435
Page 52
**THE ROYAL SOCIETY FOR THE PREVENTION OF ACCIDENTS**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **28. Operating lease commitments**
At 31 March 2022 the Group and the Charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows:
|Land and Buildings
Not later than 1 year
Later than 1 year and not later than 5 years
Land and Buildings
Other
Not later than 1 year
Later than 1 year and not later than 5 years
5 or more years
Other|**Group**
**2022**
**£000**
_Group_
_2021_
_£000_
**Charity**
**2022**
**£000**
_Charity_
_2021_
_£000_
**73**
_64_
**73**
_64_
**127**
_161_
**127**
_161_|
|---|---|
||**200**
_225_
**200**
_225_|
||**400**
_338_
**400**
_338_
**237**
_337_
**237**
_337_
**1**
_-_
**1**
_-_|
||**638**
_675_
**638**
_675_|
|||
||**838**
_900_
**838**
_900_|
## **29. Financial Activities of the Charity**
The financial activities shown in the consolidated statement includes those of the Charity's wholly owned subsidiary, RoSPA Enterprises Limited.
A summary of the financial activities undertaken by the Charity is set out below:
|Gross incoming resources
Net incoming / (outgoing) resources
Net movement in funds|**2022**
**£000**
_2021_
_£000_|
|---|---|
||**6,332**
_5,191_|
||**491**
_745_|
||**843**
_527_|
Company number 00231435
Page 53