Company Règlstratlon No: 01157249 (England and Wales) Charlty No: 267026 THE INSTITUTE OF ACOUSTICS LIMITED IA Company limit8d by guarantee and not havlng a Share Capltal} TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2023 Faulkner House Victoria Street st Albans Herts AL1 3SE RAYNER ESSEX LLP CHARTERED ACCOUNTANTS
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limitod by guarantee and not having a Share Capltall CONTENTS Page Legal and Admlnlstrative Informatlon Trustees. Report (Including Dlrectors, report) 3107 Audltors, Report 8t011 statement of Flnanclal Actlvltles 12 Balance Sheet 13 Statement of Cash Flows 14 Notes to the Financial Statements 151023 Page.. 1
THE INSTITUTE OF ACOUSTICS LIMITED {A Company Ilmitod by guarantèe at)d not havlng a Share Capltall LEGAL AND ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED 31ST DECEMBER 2023 Constltutlon The Instilulo of Acoustics is a company limited by guarantee and has no share c8pilal. The liability of each member in the event of windir up is limited lo £1. The company is a registered charity governed by its Memorandum and Articles of Association, last revised Nov 2012. which establishes the objects and powers of the charitable company. Trustegs Contlnulng trustees C Barlow H Nolley Rèslgned truStS {16 October 2023} B Fenech G H¢8ld K R Holland F E Rogerson P A Lepper R Lesler S W Tumer R M hA Miroh8ndani D Goodhand PJ Rogers A Lamacrall A W M SomeTvllle YLIU D Waddlnglon Appointed trustegs116 October 2023> J Mclntyre R Perklns M Toriussen Presldent A W M SomeNllle Secretary A Chesney Honorary Treasurer M R Lesler Honorary Secretary F E Rogerson Company Number 01157249 Charlty Number 267026 Rggistgr8d and Prln¢lpal Office: Silbury Court 406 Silbury Boulevard Milton Keynes MK9 2AF Audltors Rayner Essex LLP Faulkner House Victoria Street Sl Albans Herts AL13SE Soll¢ltors Plctons Sollcitors LLP 28 Dunstable Road Luton Bedfordshire LU1 1 DY Bankers Lloyds TSB PIC Knightsbridge Branch 9-13 Brompton Road London SW3 1DD Page.. 2
THE INSTITUTE OF ACOUSTICS LIMITED IA Company Ilmlted by guarantee and not having a Share Capltal) TRUSTEES. ANNUAL REPORT (INCLUDING DIRECTORS, REPORT) FOR THE YEAR ENDED 31ST DECEMBER 2023 The trustees present their report and the independently audlted flnancial statements of the charity for the year ended 31 December 2023. The legal and adminislralive information sel out on page 2 forms parl of thls report. The financial statements have been prepared in accordance with the accounting policies sel out in note 1 to the financial statements and comply with the Inslilute's governing document, the Companies Act 2006, FRS 102 "The Financial Reporling Standard applicable in the UK and Republic of Ireland" {'FRS 102.1 and the Charities SORP "Accounting and Reporting by Charities.. Slalemenl of Recommended Practice applicable lo charities preparing their accounts in accordance with Ihe Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102}. (effective 1 January 20191. Obje¢tivos and Actlvltles The objects of the charity are lo promote those working in acoustics. The Inslilule's principal objectives are.. Education The Inslilule administers its own Diploma in Acoustics and Noise Control together with Certificates in Workplace Noise Assessment, Environmental Noise Measurement, the Measurement of Sound Transmission within Buildings, the Management of Occupational Exposure lo Hand Arm Vibration and Certificate of Proficiency in Anti-social Behaviour elc. {Scolland} Act 2004 - Noise Measurements. Courses are held at regular intervals al Centres. Conferences and Megtings A substantial annual programme of technical conferences and meetings takes place, some of which have an international flavour. These include many one-day meetings together with evening meetings organised by the Specialist Groups and Regional Branches. These are a mixture of face-lo face, hybrid and fully online events. Publicatlons 'Acouslics Bulletin, is published bi~monlhly and carries articles of professional, academic and technical interest. A Register of Members is available on the IOA website. Proceedings record the papers presented al the Inslitule's Annual Conference, Reproduced Sound and Underwater Acoustics conferences held during the year. A well-slocked Library is available to members and the Inslitule's Vveb Sile is a regularly updated source of information. Enginegring Councll As a nominated body of the Englneering Council the Institute can award Chartered Engineer and Incorporated Engineer stslus lo suitably qualified members. International The Inslilule is a member of the International Institute of Noise Control Engineering IIIINCE), the European Acoustics Association IEAAI and the International Congress of Sound and Vibration {ICSVI. In 2023 the Institute ran two conferences overseas, namely, Synthetic Sonar and Radar in Italy and Auditorium Acoustics in Athens. Future Devalopmgnt Future development of the Institute will focus on proTnoling the profession and the science of acoustics, providing advice related lo acoustics. supporting the professional development needs of members, increasing membership. developing the education facilities and promoting acoustics in education and maintaining and extending present activities throughout the country. In addition, the Diploma in Acoustics and Noise Control is avallable by tutored distance learning. This will increasingly be achieved through the Inslilule becoming a digital organisalion. In 2023, the Inslitijle was given leave by the Privy Council lo pelilion lo become a chartered Inslilute. Work towards making that petition will occur in 2024. Page.. 3
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limited by guarantee and not having a Share Capital} TRUSTEES, ANNUAL REPORT {INCLUDING DIRECTORS. REPORT) FOR THE YEAR ENDED 31ST DECEMBER 2023 Achlèvoments and Performance The Institute has continued to serve the interests of ils members through its established programmes in the areas of education, professiona1 development. me81ings and publicatlOll5, and by providing representation in areas such as the Engineering Council, Slandardisation and Inlernational affairs. Strategic development of the Inslitule continued to be a priority and variou8 actlons were implemented. The Trustees confirm that in the exercise of their powers as charity Iruslees, they have had due regard lo the published guidance from the Charities Commission on the operation of the public benefit requirements and the aims of the charity are carried out for the public benefit. The Trustees also agreed a programme of investment in 2023 in various areas, making use of some of the Inslitule's financial reserves lo furlher the objective of the Institute. During the year.. One day and evening face-to-face meetings took place. In addition, shorter online workshops and webinars were held which have proved popular. The year saw the institute run 4 face-lo- face conferences In the Autumn of 2023.. Synlhetlc Sonar and Radar in Italy, Auditorium Acoustics in Athens, Acoustics 2023 in Winchester and Reproduced Sound in Bristol. Face-lo- face teaching was offered al the IOA office bul the majority of Diploma students chose lo allend onllne. Online sessions are popular as students avoid travel lime and costs. Slud8nts are also able lo watch the lessons again in their own lime via the Moodle learning platform. In 2023, 67 candldalas passed the diploma wllh 211 candldales passing other courses. The Parliamentary Llaison Group has made steady success al Parliamentary level in growing a network of influence. The Inslilule has responded lo relevant Government consultations and continues lo have informal liaison wllh policy officl81s in Westminster and the devolved administrations. Although, pro-actlve work to try and establish an All Party Parliamentary Group relating to Sound, Noise and HeaSth was pul on hold untll post the 2024 election, the immediate Pasl-President Stephen Turner accepted an invitation to become an individual member of th& Parliamentary and Scientific Committee. By attending these meetings, he used the opporlunity lo raise awareness about the importance and value of acousll¢s to society. Earfy in 2023. the IOA was invited lo give wrillen evidence to an Inquiry being held by Iho House of Lords Scientific and Technology Commlllee into the effects of noise on human health. The Committee then invited the IOA lo give oral 6vldence to the Inquiry which was given by Stephe Turner and Paul Rogers on behalf of the Inslilute. Later in the year, along with the Chair of the Welsh Branch Rosie Pitt, they also gave oral and written evidence to the Welsh Senedd, Commillee of Cllmale Change & Energy on the proposed Air Quality & Soundscape Bill. Th8 Institute continued to support STEM activities, including.. funding Edlnburgh Science to work with schools in Scotland. Funding and working with SpringPod lo deliver online workshops lo 526 school pupils of which 65°/¢ were from an ethnic minority, 56Yo were female. 21 were on free school meals and 5Yo had a disability. In partnership with Women in Engineering, a social media campaign with a Lottle doll to promote women In acoustics. Approxlmalely 30 organisations look part wlh belween 25,000 - 30,000 people viewing the campaign through ellher X, Inslagram. Fa¢ebook, TikTok or Linkedln. Running successful Primary and Secondary Schools comp8lilions,' the winners of the Secondary School Competition Ing presented with Iheiraward al the Noise Abatement Societs John Connell Awards at the Palaoe of Weslmin8ler. A Major review of the purpose and structure of the website was condsjcled in 2023 with a view lo the Institute become even more digital in ils operations and reach. The results will be reviewed by Council In 2024. Pag8'. 4
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limited by guarantee and not having a Share Capital} TRUSTEES, ANNUAL REPORT (INCLUDING DIRECTORS, REPORTI FOR THE YEAR ENDED 31ST DECEMBER 2023 Achlevements and performan {conlinuedl Membership again saw a small increase from 3008 in December 2022 10 3092 in December 2023 {excludlng students and affilialesl. The Inslitijle also establis a new grade irf membership specifically aimed al those worklng in acouslic8 research. Eight candidales presented themselves for the CEng Professional Revi8w Interview, of whom all wore 'Individual route, candidates with diverse backgrounds. One 'individual route, candidate presented themselves for IErig Professional Review Interview,. The Institute is represented internationally through the following members-. Paul Lepper IIOA VP Inlarllational>, Adrian Brown (Director IIAV}. Graham Parry (Oirector IIAVI, Jo Webb IICA Board), andl- Barry Gibbs11-INCEI Flnanclal Revlew Due lo the decislon made by the Trustees lo invest ill various areas of development to further the objecllves of the Inslitule. The slalemenl of financial activities shows that incoming resources were lower than resources expended by £89,193. (Similar inveslment..occurred in 2022 resulting in resources expended exceeding income by £39,465}. The balance sheet indicates that lolal funds of the charity were £1,502,74712022.. £1,592,568) of which all funds were unrestricted funds bar £NIL12022: All funds unreslricled bar £6281. These were represented by tangible fixed assets of £304,875 {2022'. £353,524) and other nel assets of £1,197,872 (2022.. £1,239,044). Investment olic Other than relaining a level of funds lo meet the reserv8 pdicy of the Inslllule, most of the funds are lo be utilised in meeting the main objectives of the In51ilute. The Iruslees do not believe il to be prudent lo utilise the funds in long term inveslrnents and instead have decided lo invest the available funds in short- term bank deposit accounts lo ellsure the liquidity of these funds. As available funds increase over and above the amount required by the reserve policy the trustees will review the inveglmenl policy to ensure that the relurns the Institute receives is maximised whilst not delracling funds from ils maln objectives, Reserves olic The trustees have adopted a reserves policy that they consider appropriate to ensure the continue ability of the Institute to meet ils objectives in the light of the predominant risks lo the organisation. The target reserves are based on conlinulng operations for one year having had a 250k reduction in membership and having sufficient funds lo ensure Diploma students, courses are maintained for two years. Al 31 December 2023 the target was approximately £650,000, with a minimum reserve of £400,000, and the free reserves excluding fixed assets were £1,197,87212022'. £1.239,0441. Out of this £NIL (2022.. £6281 is reslricled lo use on bursarles. The Iruslees have agreed a business plan to ensure that the appropriate level of reserves will be maintained into the future. Plans for Future Periods The Inslilule is looking at continuing to develop ils provision of educalion and the diploma courses that are run so that they are continually held with high regard within the seclor. This will include the crealion of online CPD courses. The Irkslilule has digilized the proceedlngs within the library, theso are being made available online in batches. Votg of thank8 Thanks are due agaln lo our Professional Advisors. Derbnis Baylis our Adverlisemenl Manager, Blane Judd our Engineerir¢g Manager, Keith Attenborough our Education Manager, our dedicated staff al Head Office in Milton Keynes. and those members involved in the numerous Commillee5, Regional Branches and Specialist Groups who have done 80 much in a voluntary capacity behind the scenes. 11 is their continued support and effort that assures our future success. Page.. 5
THE INSTtTLrrE OF ACOUSTICS LIMITED {A Company Ilmlted by guarantoe and not havlng a Sharo Capital) TRUSTEES, ANNUAL REPORT (INCLUDING DIRECTORS. REPORT) FOR THE YEAR ENDED 31ST DECEMBER 2023 Structurgj govornan¢¢ and management Recruitment and A ointment of Trustees The directors of the charitable company are its trustees for the purpose of charity law ar throughout this replyt are collectively r¢ferred to as trustees. Trustees are elected at the Annual General Meeting and shall hold office for a period of two years. The trustees are eligible for re-election at the end of the two-year period, up lo an additional four years lup to six years if up lo six years are in an Honorary position. Due lo the nature of the lrnstllule's objectives the 1rusl8os seek lo ensure that the trustees either have a related qualification or are working within the acoustics sector. The Iruslees believe that by appropriately reflecting their members in the make- up of the board of trustees that this gives the Institute and its staff an enhanced understanding of the members, requirements. Trustee induction and Irainin Most trustees are already famillar with the practlcal work of the Inslilute. Additionally new trustees are invited and encouraged lo meet wlh Spec10 trustees lo discuss and familiarise themselves with the Institute and the context in which itoperale8. This includes the future plans and objectives of the Inslllute. Risk mana emenl The Ifustees regularly review an assessment of the rlsks to whlch the Inslilule is exposed, particularly business, opefalional and finanGial risks, and intToduce pmcedures and reporling regimes lo manage and reduce the identified risks. anisa ional structure The Inslilule of Acoustics is a registered charity and is conslituled as a company, limiled by guarantee. Its objects and powers and other conslilutional mallers are sel out in ils Memorandum and Articles of Association. 11 is governed by a Board of Trustees who are responsible for selling the 51ralegic direction of tha organisalion and for establishing policy. A scheme of delegallon is in place for the day to day running of the charity. The Inslilule is the professional body representing acoustics in the United Kingdom. and provides a range of services for meml)ers. Th¢ Trustees confirm that in the exercis8 of their powers as charity trustees. they have had due regard lo the published guidance from the Charities Commission on the operatlon of the public benefit requiremanls and the aims of Ihe charity are carried out for the public benefit. Trustees Thg Trustees during the year under review were.. C Barfow J HS11 F E Rogerson P A Lepper ' M R Lesler S W Tumer D Waddington J Mclntyre R Perkins M Torjussen R M M M1handan1 H Nolley D Goodhand P J Rogers A Lamacratt A W M Someryilrg YLIU Pag8'.
THE INSTITUTE OF ACOUSTICS LIMITED IA Company Ilmited by guarante& and not havlng a Share Capltal} TRUSTEES, ANNUAL REPORT (INCLUDING DIRECTORS. REPORTI FOR THE YEAR ENDED 31ST DECEMBER 2023 Trustees. R¢$pon$ibilitig8 The trustees are responsible for preparing the financial statements in accordance with applicable law alld United Kingdom Generally Accepted Accounling Pracllce. Company law requires Trustees, as directors of the company, lo prepare financlal statements for each firnancial year which give a true and fair view of the slate of the charity's affairs and of the incoming resources and application of resources including the income and expenditure of the charitable company for that year. In preparing these financial Statements the Trustees are required to.. Seleel sullable accounting policies and then apply them consistenuy; Observe the rnelhods and principles in the Chari119s SORP., Make judgements and estimates that are reasonable and prudent., Stale whelher applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial slalemenls., and Prepare the financial st8lemenls on the going concern basis unless il is inappropriate lo presume that the charlly wlll continue in business. The Trustees are responsible for keeping proper accounting records which disclose, with reasonable accuracy at any lime, the financial position of the charity and enable them lo ensure that the financial slalemenls comply with the Companies Act 2006. They are r&sponsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prèvention and detection of fraud and other irregularities. The Trustees are also responsible for the maintenance and integrily of the corporate and financial information included on the charitable companys wèbsite. In addition, the trustees confirm that.. in the exercise of their powers as charity trustees. they have had due regard lo the published guidance from the Charity Commission on the operalioll of the public benefit requirements,. and the aims of the charity are carried out for the publlc benefit. Audltors In accordance with section the articles, a resolution prop08ing Ihal Rayner Es¥ex LLP be reappointed as auditors of the company will be pul lo the Annual General Meeting. Statement of dlsclosurg to auditor lal so far as the Iruslees are aware. there is no relevant audit Informallon of which the Institute's auditors are unaware, and (bl they have taken all the slep5 that they ought to have taken as trustees in order to make themselves aware of any rolevanl audit information and to establish that th8 Inslitula's auditors are aware of that information. A Chesney Secretary Page.. 7
THE INSTITUTE OF ACOUSTICS LIMITED {A Company limited by guarantee and not havlng a Share Capital) INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF THE INSTITUTE OF ACOUSTICS LIMITED Oplnion We have audited the financial slalements of The Institute of Acoustics Limited (the 'Charily') for the year ended 31 Decetnber 2023 which comprise the slalemeF)l of financial aclivilies, the balance sheet, cash flow statement and notes to the financial staloments, including a summary of significant accounting policies. The financial reporting framework (hal has been applied in their preparation is applicable law and United Kingdom Accounting Standards. including Financial Reporting Standards 102.. The Financial Reporting Standard applicabl8 in th8 UK and R&public of Ir&land (United Kingdom Gènerally Accepted Accounting practi). In our opinion the financial statements.. give a true and fair view of the slate of Ihe ¢haritable company's affairs as al 31 Deoember 2023 and of ils Incoming resources and application of resources, including its income and expenditure. for the y6ar then ended.. have been properly prepared in ac¢ord8nce with Unlled Kingdom Generally Accepted Accounting Practice,. and have been prepared in accordance with the requirements of the Companies Act 2006. Bayl$ for oplnlon We conducled our audit in accordance with International Standards on Audlling IUKI IISAS (UK)} and applicable law. Our responsibilities under those siaF)dards are further described in the Audilorfs responsibilities for the audit of the financial slalemenls section of our report. We are independent of the charitable company in accordance with the ethical reqLsiremenls that are relevant lo our audit of the financial statements in the UK, including tho FRC'S Ethical Standard. and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is Sufficient and appropriate lo provide a basi5 for our opinlon. Concluslon5 relating to going concern In audillng the llnancial slalemenls, we have concluded that the Iruslegs. us8 of the going concern basis of accounting in th6 preparatlon of Ihe financial statements is approprlale. Based on the work we have performed, we have not idenufied any material uncgrtaSntles relallng lo events or conditions Ihal, IndidUallY or colle¢lively, may cast significaril doubt on the company's ability to contlnue as a going concern for 8 pariod of al least Iwelve months frorn when the financia1 slalemenls are aulhorised for issue. Our responslbllilies and the rosponsibilllles gf Ihe Iruslees with respect to golng concern are described in the relevant sections of thls report. Other Informatlon The other information comprises tho Inlormauon included in the annual report other than the fin8nci81 slalemenls and our auditor's report Ihereon. Tha TrusteBs are responslble for the other informallon conlalned wlthin the annual report. Our opinlon on the flnanclal statements does not CDveT the other infoimalion and, excgpt lo the exlenl otheTWiS8 explicitly staled in our reporl. we do not express any fom of assurance conclusion Ihereon. Our responsiblllly Is lo read th8 olher Inform81ion and, in doing so, consider whelhor the other information is materially inconsislenl with the flnanclal slalemenls or our ktsedge oblalned In the course of the audit, or olheMis8 appears lo be malarially misslaled. If we identify such maierlal Inconslslencies or apparent malerlal mlsstatemenls, we are requlrgd lo delemiine whether this gives risg to a material misslalemenl in the financial statements Ihtsmsolves or a material misstalemenl of the olhar Information. If, based on the work we have perfomied, we conclud6 that there Is a material misslal&ment ol this other infomiatlon. we are required lo report that fact. We have nothing to report in this regard. Page.. 8
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limited by guarantee and not havlng a Share Capltal) INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF THE INSTITUTE OF ACOUSTICS LIMITED CONTINUED Opinions on other mattèrs prescrlbèd by thè Companles A¢t 2006 In our opinion, based on the work urndertaken in the course of our audit.. the information given in the Iruslees. report (incorporating tho trustees, report) for the flnanclal year for which the financial ststemenls are prepared is consistent with the financial slalemenls., and the trustees, report {incorporaling the directors, report) has been prepared in accordance with applicable legal requirements. Matlors on whlch we arg requlrgd lo report by exceptlon In the light of the knowledge and understanding of the charitable company and ils environment obtained in the course of the audit. we have not identified malerial misslatemenls in the Trustees Annual Report. We have nothing lo report in respect of the follow¢ng rnallers where the Companies Acl 2006 requires us to report lo you if, in our opinion.. adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us,. or the financial statements are not in agreement with the accounting rocords and returns., or certain dscIo$Ures of Iruslees, remuneration specified by law are not made.. or we have not received all the information and explanations we require for our audit, or the Iruslees were nol entitled to prepare the fin8ncial statements in accordance with the small companies regime and lake advantage ol the small companies, exemptions In preparlng Ihts trustees, report and from the requirement lo prepare a strategic report. Re$pon$lblllties of the trustees As explained more fully in the Iruslegs, responsibilities statement Isel out on page 6 and 71, the Irustees 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 they determine is necessary lo enable the preparation of financial statements that are free from material misstatement, wh8ther due lo fraud or error. In preparing the financial statements, the trustees are responsible for assessing th8 charitable company'5 ability lo continue as a going concern, disclosing, as applicablo, matters related lo going concern and using the going concern basis of accounting unless tho trustees either intend lo liquidate the charitable company or to cease operations, or have no realistic allernalive bul lo do so. Audltor's responslbilltles for the audlt of the financlal statements Our objectives are lo obtain reasonable assurance about whèther the fln8n¢lal statements as a whole arg free frorn rNalerial misstalemenl, whether due to fraud or error, and lo issue an auditor's report that includes our opinion. Reasonable a55urance is a high level of assurance bul is not a guarantee that an aLsdil conducted in accordarnce with ISAS IUKI will always delecl a material misslalemenl when il exists. Misslalements can arise from fraud or error and are considered material if, individually or the aggregate. they could reasonably be expected to influence the economic decisions of users iaken on the basis of these financial ststements. Irregularilles, including fraud. are instances of non-compliance wllh laws and regulallons. We deslgn procedures in line with our responsibilities. outlined above, lo delecl malerfal mSsslalemonls In resp1 of irregularities, including fraud. The exlenl lo which our procedur&s 8re capablè ol delecling irregLJlarili&s. including fraud, is detailed below. The exlent to which the audlt was conslderod capablè of dot8cllng irr8gulariti•s Includlng fraud. Our approach lo identifying and assessing the risks of material misstalemenl in respect of irregLJlarili@s. Includlng fraud and n¢)n-compliance with laws and regulations, was as follows.. Page.. 9
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limited by guarantee and not havlng a Shar8 Capltal INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF THE INSTITUTE OF ACOUSTICS LIMITED CONTINUED the engagemenl partner ensured that the engagement team collectlvely had the appropriate competence, capabilllies and skills to idenlily or recognSse non-compliance with applicable laws and regulalions- we identified the laws and regulations appllcable lo the company through discussions with th& Chlef Executive and other managemenl. and from our knowledye and experl8n¢e of the charity sector.. we focused on specific laws and regulalluns which we considered may have 8 direct material effect on the Ilnanclal statements orthe operations of the company, including the Companies Act 2006, the Charities A¢1 2011, the Charity SORP. laxalion legislauon and data protection. anli-bribery, employment, environmentsl and other relevant regulations., we assessed Ihe axlenl of compliance wllh the laws and regulallons identlfled above through making enquiries of manag8menl and Inspectlng legal correspondence. and identified laws and regulations were Communicated within the audit team regularly and the team remained alert lo instances of non-compliance Ihroughoul the a4Jdil. We assessed the susceptibility of the company's linanclal stslemenls lo" material mlsslalemenl, Includlng obtainin9 an understanding of how fraud might occur, by.. making enquiries of management a5 to where they consldered there was suseeplibillty to fraud, Ih8ir knowledge ol actual, suspected and alleged fraud., and nsldering Ihe internal controls in place to millgale risks of Iraud and nonwcompliance with laws and regulations. To address th8 risk of fraud through management bias and overrlde of controls, we.. performed an81yts.cal procedures lo identify any unusual or unexpected relationships., tested journal enlcl8s1o idantify unusual Iransaclions., assessed whelherludgemenls 8nd 8ssumptions made in delemiining the accounllng estimates were indicatve of potential blas., and investigated the rationale behlnd slgnlflcanl or unusual transactions. In response lo the llsk of irregularilles and non-compliance wllh laws and r8gulaliDns, we designed procedures which included. bul were not limlled lo: agreelng financial slalemenl disclosures to underlying supportlng duMentation reading the mlnules of meetings of those charged with govemance., enquliing of management as lo actual and potential liligallon and claims,. and reviewing corr6spondence wllh the Charity Commiss$ion. There are inherent limitations In our audit procedures described above. The more removed that laws and regulations are from financAal Iransacllons, the less likely il is Ihalwe would become 8wara of non-comp11ance. Auditing standards also limll the 8udll procedures required lo identify non-¢ompllance wllh laws and regulatlons lo enquiry of the dlreclors and other management and the inspection of rogulalory and legal ¢orrespondence, if any. Material misslalements that arise du6 to fraud can be harder lo delecl than those that arfse from error as they may Involve deliberate concealment or collusS0n. A fLJrther description of our responsibilities for the audll of fhe financial stalemenls Is localed on the Financial Reporting Council's website al.. hllp'.Ilwww.frc.org.uklauditor8respDnslbililies. This d6scrlpllon forms part of our eudilDr's report, Page.. 10
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limited by guarantee and not havlng a Share Capltall INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF THE INSTITUTE OF ACOUSTICS LIMITEO CONTINUED Uso of our raport This report is made solely to the 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 slate lo the company s members those mallers we are required lo stale lo them in an auditor's reporl and for no other purpose. To the fullest exlenl permilled by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body. for our audit work, for this report, or for the opinions we have formed, Antony Federer FCA FCCA CF IS9nlor Statutory Audltorl for and on behalf of Raynor Essèx LLP Charterod Accountants ststutory Audltor Faulkner House Victoria Street Sl Albans Herts AL13SE Page.. 11
THE INSTITUTE OF ACOUSTICS LIMITED {A Company limitod by guarantee and not having a Share Capital} BALANCE SHEET AS AT 31ST DECEMBER 2023 Notes 2023 2022 Flxed Assets Tangible assets 304.875 353,524 Current Assets Debtors Cash at bank and In hand 159.441 1,271.661 103,733 1,344,060 Total Current Assets 1,431,102 1,447,793 Credltors- Amounts Falllng Du• wlthln One Year 10 1233,2301 {208,749) Net Current Assets 1,197,872 1,239,044 Total Assets Less Current Llabilitie5 1,502,747 1,592,568 The Funds of the Charlty Reserves- unreslricled Reserves - restricted 11 11 1,502,747 1,591,940 628 Total Fund8 1,502,747 1,592,568 These flnancial slalemenls have been prepared in accordance with Companies Act 2006. on M Somervillo Prgsldent Company Regislralbn No. 01157249 Charity Regislration No. 267028 The notes on pages 15 to 23 form part ol these finan¢lal statements. Page., 13
THE INSTITUTE OF ACOUSTICS LIMITED (A Company limited by guarantee and not having a Share Capital) STATEMENT OF FINANCIAL ACTIVITIES {In¢orporating Income & ExponditurB Account) FOR THE YEAR ENDED 31ST DECEMBER 2023 2023 Total Funds 2022 Total Funds Unr8strlcted R8strlcted Funds Funds Notes Incomlng rasourc68 from.. Donation5 &18gaa8s'. Donation5 Legacies Charitable acliwlies.. Subscripbons Meeting5 4,000 536.321 181.892 536.321 181.892 503,295 51.959 Internoise event 15,000 Publications Branch and groups Education Engineering Diwsion Inveslfflents.. nve51menl Income Other.. Sundry Incom8 133.576 88 3e5.459 18.544 133,576 88 365,459 18,544 142,170 397,594 14.058 12.757 12,757 6,876 4.132 4.132 4,312 Total Incomlng resources 1,252.769 1,252,760 1,139,264 Re50urc85 expended C051s of generating fuThJs Charilable activities 345.179 996.783 345,179 997.411 333,223 845.506 628 Total r650urc85 expended 1.341.962 628 1,342,5 1,178,729 Net Incorning resource5 before other recogn15ed galns and losses 189.1931 16281 189,8211 139,4651 Other recognl$ed Gains and Losses Nol movement In lunds 189.1931 16281 189,8211 139,4851 Reconciliation of funds Fund Balances Brought Forward Tran5fets beiween funds 11 1.591.940 628 1,592,568 1,632.033 Fund balance5 carrled forward 11 1.502.747 1,502,747 1,592.568 All activities are classified as continuing. There were no recognised gains or losses for 2023 or 2022 other than those recorded in the Statement of Financial Activities. All incoming resources and resources expended in 2023 were unreslricled bar nel outgoing resources of £62812022.. net incoming resources.. £7,022). The notes on pages 15 to 23 fom parl of these financial stslemenls. Page.. 12
THE INSTITUTE OF ACOUSTICS LIMITED IA Company Ilmlted by guarantee and not havlng a Shar6 Capilall STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31ST DECEMBER 2023 2023 2022 Cash flows from operatlng activltles Net income lexponditurel for the year Adjuslmenls for.. Depreciation Loss of disposal of fi'xed assets Investment income (Increasellreduction in debtors Increasel{reduclionl in creditors (89.8211 {39,4651 115,809 101,263 {12,7571 (55,7081 24,481 16,8761 30,607 {24,2201 Net cash provldedl (usgd) in operating actlvltles {17,9961 61,309 Cash flows from Investing aclivitios Purchase of tangible fixed assels Sale of tangible fixed assels Investment income {67,160} 186,575) 12,757 6,876 Net cash {u$¢d Inl Investlng actlvltles {54,403) (79,699) Nel increase I Idecreasel in cash and cash equlvalenls Cash and cash equivalents al the beginning of the year 172,399) (18,3901 1,344,060 1,362,450 Cash and cash equivalents al the end of the year 1,271,661 1,344,060 Cash and cash equivalents is mado up of the following.. Cash at bank and In hand 1.271,661 1,344,060 Total 1,271.661 1,344,060 The notes on pages 15 lo 23 form parl of these financial statements. Page.. 14
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limited by guarantee and not havlng a Share Capital) NOTES TO THE FINANCIAL STATEMENTS AS AT 31ST DECEMBER 2023 Accounting Policies Charlty inforrnation The Institute of Acoustics Limited by guarantee incorporated in England and Wales. The registered office and principal place of business is Silbury Court, 406 Silbury Boulevard, Milton Keynes, MK9 2AF. Basls of preparallon The Inslilute meets the definition of a public benefit entity as defined under FRS 102. The financial slatemenls have been prepared in accordance with the Inslitule's governing document, the Companies Act 2006, FRS 102'The Financial Reporting Standard applicable in the UK and Republic of Ireland" I'FRS 102.1 and th8 Charities SORP "Aceounting and Reporllng by Charities.. Slalemenl of Recommended Practice applicable lo charities preparing Ihelr accounlg in accordance with the Financial Repoiling Standard applicable in the UK and Republic of Ireland {FRS 102). {effective 1 January 2019). The financial statements are prepared in sterling which is the funcltonal currency of the company. Monetary amounts in the financial sta18menls are rounded to the nearest £. Charitablo funds Unr&slricled funds are funds which the trustees are free lo use for any purposo In furtherance of the charity s objectives. Restricted funds are fufjds which are to be used in accordance with Spef roslrictions imposed by the donor or Ihrough the terms of an appeal. Incomlng resources All incoming resources are included in the Statement of Financial Aclivilies when the charity is enlilled lo the income and the amount can be qualltified with reasonable accuracy. The following specific policies are applied to particular categories of income.. Membership income is invold al the start of each financial year and fully cognISed In the year. Meeting and conference income is recognised in the year that the me?ting or conference is held. Publication income is recognised when the publications are sold. Education income is recognised in the year when the courses aTe run. Donations are recognised on receipt and are Irealed as unrestricted funds unless they are specifically reslricled by the donor Legacy enlillemenl is taken on a case by case basls as Ihe e2rller of the d21e when the oharily is aware that probate has been granted, and either.. the estate has been flnallsed and eslale accounts have been received by the charlty nolificalion has been made by the executorlsl lo the charity that a di8lribulion will be made., or when a dislribulion is received from the estate In eslimaling the valu6 of legacies at the year end the Iruslees have exercised their judgemenl based on the available information and the appropriate applicatlon of the Charities SORP Pag8.' 15
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limlted by guarantee and not havlng a Share Capltall NOTES TO THE FINANCIAL STATEMENTS AS AT 31ST DECEMBER 2023 1. Accountlng Pollclgs (continued) Resources expended All exp8ndilure is accoLtr¢led for on an accwals basls as a liability is incurred. Expenditure excludes VAT. Any VAT Ihal cannot be reclaimed is reported separately. Costs of generating funds comprise the costs associated wilh th8 handling of the MemtTshlp. Charitable expenditure comprises those costs incurred by the charity in achieving its objsctives including the holding or supporting of conferences. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary io support them. Governance costs include those costs assooialed wlth meetlng the constitutional and 8talulory requirements of the charity and include the audll fees and costs linked to the strateglc management of the charity. All costs are allocalod between the expenditure CategOe$ of the Slalement of Financial Activities on a basis designed to reflect the use of the resource. Costs relating to a particular aGlivity are allocated directly, other costs are apportioned on an appropriate basis. Where Costs are apportioned, these are either allooaled directly as a result of the usage of the resource, such as floor space or staff lime, or where this is rK)t possible th8 allocation is based on a per¢enlage basis as agreed by the trustees. Support cost$ The support costs of the charity are allocated betwe8n charitable activities and costs of raising funds. Governance costs have been allocated lo resources expended on charitable activllles. Financial instruments Thg charity has dected to apply th& provisions of Section 11 'Basic Finan¢lal Inslrumenls, and Section 12 '01her Financial Instrumernls Issues. of FRS 102 to all of ils financial instruments. Financial instruments are recognised in the charity's balance sheet when the charlty becomes party lo the conlraclual provisions of the inslrumenl. Financial asse15 and liabilities are offset, wllh the nel amounts Presented in the financlal statements, when there is a legally enforceable right to Sel off th8 recognised amounls and there is an intention lo s¢llle on a nel basis or lo realise the asset and settle the liability simultaneously. Baslc flnancial assets Short term debtors are measured at transaction pric8, les8 any impaimient losses. Baslc flnanclal Ilabllitles Short term creditors are measured al Ihe transaction price. Cash and Cash equlvalants Cash and cash equivalents Gomprise c85h al bank and in hand and demand deposits with banks. Page,. 18
THE INSTITUTE OF ACOUSTICS LIMITED {A Company Ilmlted by guarantee and not havlng a Share Capltall NOTES TO THE FINANCIAL STATEMENTS AS AT 31ST DECEMBER 2023 Depreciation Depreciation is calculated to write down the cost or valuation less eslimaled residual valije of all tangible fixed assets over their expected useful lives. The rates generally applicable are.. Computer equipment Audio Visual system Office equipment Leasehold improvements 20Yo-330/o Straight line 100/0 straight line 100/0 straight line 100A straight Line Leased Assets Assets under finance leases and hire purchase contracts are capilalised in the Balance Sheel and depreciated over their expected useful lives. The interest element of leasing payments represents a constant proportion of the capital balance outstanding and is charged lo the Profil and Loss Account over the period of the lease. All other leases are regarded as operating leases and the payments made under them are charged lo the Profil and Loss Accounts on a slraighl- line basis over the lease term. Taxatlon The Charity is a registered charity and is not liable to United Kingdom income lax or capital gains tax on its wholly charitable activities. Going concern Al the time of approving the financial slalemenls, the Trustees have a reasonable expectation that the Charity has adequate resources lo continue in opeTalional existence for the foreseeable future. In parlicular cash balances are considered sufficient to mitigate uncertainties. The Trustees consider that there are no material uncerlainlies about the Charity s abllity lo continue as a going concern. Thus the Charity continue to adopt the going concern basis of accounting in preparing the financial stalemenls. Judgments in applying accountlng pollcles and key sources of estlmatlon uncertalnty The preparation of the financial slalemenls requires management lo make judgments, eslimales and assumptions that affect the amounts reported for assets and liabilities as al the balance sheet dale and the amounts reported for revenues and expenses during the year. The nature of estimation mean5 the actual outcomes could differ from those eslimales. There were no material estimations necessary other than the decision on depreciation rates. Incoming resourcgs The income was derived from the charity's principal activities which were carried out mainly in the UK. The Inslitule's main sources of income centre around the subscriptions receivable from ils members and income derived from the meetings and educational activities that are provided to ils members. Investment incom 2023 2022 Interest recelvable 12,757 6,876 Page.. 17
THE INSTtTUTE OF ACOUSTICS LIMITED (A Company limited by guarantee and not havlng a Share Capital) NOTES TO THE FINANCIAL STATEMENTS AS AT 31ST DECEMBER 2023 Total resources expended osts of onf£ran¢e8 and edtteafion 2029TDlal Fund 2022 Total Fund8 fund$ Oth•r Gov¢roan o¥¢$ dlr8Ctly allocated to 8Gllvltlo8 Meeting5 Intsrnolse event PublIcaonS Educalon 8ranch and Group ActieS groin88ring Division Subscdpuor STÉM Legal f888 Avdlt Attatsnlancy & taxation Markellng oxppJ$e$ Bad debts 172.516 172,516 41,450 52.355 1D4,rx)9 110,402 2.755 24,760 19.212 47,490 8.735 9.(X)O 9,629 116,988 102,596 102,5g8 108.383 1,973 25.704 19.342 41,301 10.482 11,280 9.200 115.636 108,383 1,973 25,704 19,342 41,301 10.482 11,280 9.2(M) 115,e36 218,232 343,515 25,704 30,2 618,413 544,785 Support ¢osl$ allo¢atsd to a¢llvllle$ Stalf ¢osls Rent, rates and s8pAc8 charJe Light. hea¢and Insurance Hlre Df equipmanl Compulei fees Prlnling, siationgry & duplicati Poslaoe Ilndudlng Bullellnl Telephone CotntnilleB and managemènt expenses Sundry eypenses Bank and Gredlt card charges Oepreoaiion Irfecoveiable VAT Trsvel Repalrs and malntenance 73,230 12,738 1,886 146.458 31,844 3,773 8,1 87,012 4,706 2,723 7.321 14,645 3,183 377 58,563 15,922 1,510 292,916 63,687 7,546 8.165 108,764 283,686 63,9)3 8,543 8.224 10,876 589 340 914 10,876 4,317 5,445 7.955 341 3.404 8,135 1.549 984 4,062 11,581 4,917 537 2.844 7,746 2.459 9,475 92,647 36,873 21,685 1,231 30,980 4.919 13,537 115,809 49,184 1,796 9,471 28,702 3,469 9,159 101,263 S6,488 1,013 245 11,561 4.916 179 2.458 179 4,733 345.179 790.351 47,T39 15e,321 1.342,590 1,178,729 Included within Committee and management under conferences and educallon IS £628 12022.. £7.022} bursary expenditure relating lo restricted funds. Within meeting expenditure is £16,239 is respect of restricted gr8nl spending on the Inlernatlonal Conference on Underwater Acoustics. The remaining expendlture is unrestricted. STEM relates lo discretionaiy expenditure promoling SGlewe Technology Engifieerig and Mathematlcs in schools. Pagé.. 18
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limited by guarantee and not havlng a Share Capltall NOTES TO THE FINANCIAL STATEMENTS AS AT 31ST DECEMBER 2023 Net Movement In Funds The movement of funds is statgd after charging or {creditin91'. 2023 2022 Oepreciation of owned assets Auditors, remuneration Operating leases- premises Hire of equipment 115,809 11,280 54,810 8,165 101,263 9,000 54,667 8,224 Taxation No provision for UK corporation tsx has been made since the Trustees are of the opinion that all of the charills income is applied for charitable purposes. Trustees and Employees The Trustees received no remuneration during the year bul 13 12022.'12) Trustees have been reimbursed for travel and subsistence costs incurred by them on behalf of the Institute, lotalling £9,722 12022.. £10,338). During the year a company connected lo a trustee was paid £26.95512022.. £25,540) for the provision of centre based education. This was awarded after a lender process undertaken by staff who are not Iruslees, standard trading rules applied. 2023 2022 Wages and salaries Employers, national insurance Employers, pension costs 255,734 22,162 15,020 229,764 20,599 13,323 292,916 263,686 The average monthly number of employees, excluding Trustees, during the year was as follows.. 2023 Numbor 2022 Number Direct charitable activities Management and administration One individual employee12022.' one) received employee benefits of £60,000 or higher, {£60,000- £70,000 band- 11 The cost lo the Institute regarding key management personnel was £84,06312022'. 79,4781 Pag8.' 19
THE INSTITUTE OF ACOUSTICS LIMITED IA Company limitod by guaranteo and not havlng a Share Capltall NOTES TO THE FINANCIAL STATEMENTS AS AT 31ST DECEMBER 2023 Tangible Flxèd A$$et$ Leasehold Improvements Computer Office Equipmant Equlpment Total Cost Al 1st Jat)uary 2023 Additions Disposals 161,481 1,968 577,647 65,192 27,475 766,583 67,160 At 31st December 2023 163,429 642,839 27.475 833,743 Depreclatlon Al 1st January 2023 Charge for the year Disposals 80,735 16,311 318,584 96,750 13,740 2.748 413,059 115,809 Al 31st December 2023 97,046 415,334 16,488 528,868 Net Book Value Al 31 sl December 2023 66,383 227,505 10,987 304,875 At 3151 De¢emb8r 2022 80,726 259,063 13,735 353,524 Dèbtors 2023 2022 Trade debtors Prepayments and accrued Income VAT recoverable Other debtors 47,105 83.312 28,976 48 50,036 53,598 51 48 159,441 103,733 10. Creditors- Amounts Falllng Due Within Ono Year 2023 2022 Trade creditor5 Other taxes and soal security Accruals Deferred income 73,529 9.580 31,714 118,407 15,006 8,320 39,769 145,654 233,230 208,749 The deferred income is Bducalion Income which has not yel been recognised as the events to which thay r61ale are post year end. All deferred income from 2022 has been recognised in 2023. Pag&.' 20
THE INSTITUTE OF ACOUSTICS LIMITED IA Company Ilmited by guarantee and not having a Share Capital) NOTES TO THE FINANCIAL STATEMENTS AS AT 31ST DECEMBER 2023 11. Funds Unrestrlcted- g8noral fund Al 1 sl January 2023 Net incoming loulgoing resources) 1,591,940 189,1931 At 31 sl December 2023 1,502,747 The comparatlve note is as follows.. At 1 sl January 2022 Nel incoming loulgolng resources) 1,624.383 132,4431 At 31 st December 2022 1,591,940 R88trlct8d- bur88ryfund Al 1 st January 2023 Nel incoming loulgoing resources) 628 1628) At 31 st December 2023 £628 of the brought forward Bursary fund was Spent for the purpose given which was that of bursaries. The comparative note is as follows.. Al 1 sl January 2022 Nel incoming loutgoing resources} 7,650 {7,0221 Al 31st December 2022 628 £7,022 of the comparative fund was spent, and all of the restricted grant received in the year from the Office of Naval Research was spent for the purpose given which was the International Conferenco on Underwater Acoustics. Pag&.' 21
THE INSTITUTE OF ACOUSTICS LIMITED {A Company limited by guarantee and not havlno a Share Capltal) NOTES TO THE FINANCIAL STATEMENTS AS AT 31ST DECEMBER 2023 12. Analysls of Assets botwe8n Fund5 Fund balances al 31 December 2023 are represented by., Bursary Restrlcted Fund Total General Fund Totsl Fixed Assets Debtors Cash al bank and in hand Creditors 304,875 304,875 159,441 159,441 1,271,661 1.271,661 {233,230) {233,230) At 315t December 2023 1,502,747 1.502,747 13. Analysls of changes in net Idgbt)ffunds The charity had no debt during the year. 14. Oparatlng Lease Commltments Al 31st December 2023 th9 charity had total Gommitments under non-oancellable operating leases as sel out below.. Land & Bulldlngs 2023 2022 Other 2023 2022 Operating leases whlch expire.. 1-2 years 2-5 years After five years 54,810 196,395 31,972 7,709 943 7.709 8,652 251,203 31,972 8,652 16.361 15. Members Ilablllly The liability of the members is restricted lo £1 on the event of the winding up of the Instilute. Page- 22
THE INSTITUTE OF ACOUSTICS LIMITED (A Company 5imited by guarantee and not havlng a Share Capltall NOTES TO THE FINANCIAL STATEMENTS AS AT 31ST DECEMBER 2023 16. Comparatlve Resources Expended year ended 31 December 2022 Total rgsourcgs oxpended Costs of generatlng funds confer4CeS and Educatlon 2022TolBI Funds 2021 Total Funds Other Govern&neo Costs dlrtrctly allocatèd to aG¢ivlties Meellngs Internoise 8vent Public81ions Educats"on Branch and Group Acllvllles Engineerlng DIS1on Subscripllons STEM Legal lees Audit Accountancy & laxallon Markeling expenses Bad debts 41.450 52.355 41.450 52.355 104,009 110.402 2.755 24,760 19,212 47.490 6,735 9,000 9,829 116,988 22,165 104.009 93,890 90,858 1,326 21,881 19,194 110,402 2.755 24.760 19,212 47.490 6,735 9,000 9.e29 5,068 8,500 11,505 79,654 9,203 116,988 220.997 273,664 24,760 25.364 544,785 383.244 Support costs allocaied to actlvltlos Staff eosls Rent, rale5 and sewce Gharge Light, heal and insurance Hlre of Équlpmènl Computer fees Prlnling, Sblionery & duplicating Postage Ilncluding 8ullélinl Telephon8 CommI1188 and management expenses Sundry 8xp8ns8S Bank and cr8dll card d)arges Depreclalon Irreeoverable VAT Trav81 Repairs and maintenance 65.922 12.781 2.136 131.843 31.952 4.271 8,224 51.509 3.453 4355 7,159 13.184 3.194 427 52.737 15,978 1709 263.686 83.903 8.543 8.224 64.385 4.317 5.445 7,955 258.432 59.900 7.S20 11,122 61,096 2.876 5,019 7,741 6,438 432 545 796 6.438 432 $45 1,435 694 2.748 10,126 5.649 303 2,221 7,176 1,734 6,411 81,011 42.364 508 3,695 20,091 28,702 3,469 9.159 101.263 56,486 1,013 7.394 34,467 1,938 8,746 89,178 43,934 813 6,616 173 10,126 5,649 2,824 739 739 333.223 659.329 45.402 140.775 1.178.729 962,642 Included within Committee and management under conferences and education is £7,022 {2021'. £2,350) bursary expenditure relating lo restricted funds. Within meeting expenditure is £16,239 is respect of restricted grant spending on the International Conference on Underwater AcoustlC5. The remaining expenditure is unreslriGled. STEM relates lo discretionary expenditure promoting Science Technology Engineeiing and Malhemalics in schools. Page.. 23