## 2021 ANNUAL REPORT
## Year ended 31 December 2021
2
## **OBJECTIVE**
“…to promote for the public benefit by all available means the general advancement of the science and practice of measurement and control technology and its application.”
Bearing in mind the Charity Commission’s guidance on public benefit, the Institute pursues its commitment to public benefit through a 5-year Strategic Plan formulated in 2015 and maintained in the 2020 re-write. The plan defines ….
## **Our Vision**
“to be a globally recognised body for promoting the advancement of the science and application of measurement and control.”
## **Our Mission**
“…to maintain the Institute as the eminent professional UK body for advancing the science and application of measurement and control technology.”
## **Our Strategic Goals**
- ●to raise the profile and public perception of the Institute, nationally and abroad
- ●to increase membership at every professional level
- ●to expand membership geographically
- ●to improve the value of membership
- ●to promote professional excellence throughout Institute services and activities
- ●to sustain a culture of continual improvement in the Institute
- ●to keep the Institute relevant and responsive to its stakeholders.
3
## **Serving the Public**
Measurement underpins the welfare of a modern society by providing a structure in which individuals and organisations can interact and operate confidently, consistently, competently, safely, and innovatively. Measurement therefore touches almost every facet of daily life and in some areas, particularly those that affect or involve the public, such as health, transport, and safety, the need for accurate measurement is critical. It is more important than ever that engineers, scientists and technologists engaged in measurement and the related control activities and systems are properly qualified and able to meet the expectations of an increasingly technically aware and expectant society.
The Institute has pursued its seven strategic goals during 2021 through a series of initiatives which have the general objective of presenting a modern professional engineering body responsive to technical and societal changes. We have been seeking to meet the needs of members and the general public by a number of proactive ventures and by engagement with a range of external bodies, whilst reacting to the ongoing international pandemic which had a significant impact during 2021.
## _**raise the profile and public perception of the Institute, nationally and abroad**_
We continued to produce Precision, our member magazine throughout the year. Intended as a coffee-table style magazine, Precision carries articles that are designed to stimulate and inspire our current membership and serve as a shop window into the Institute for other readers. Many articles are written by existing members both individual and corporate. During the year we were able to increase the standard length of Precision from 32 to 36 pages.
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In June 2021 The Institute’s Flow Measurement SIG produced the report “Will hydrogen measurement issues impede the rollout of hydrogen fuel?” This report was very well received and had a lot of interest across social media, also leading to an increase in the membership of the SIG.
Two peer review Journals, Transactions of the Institute and Measurement and Control, have retained links with the Institute but are hosted and available online through the Sage Publishing website.
The e-newsletter, The Wire, continued to be sent on a monthly basis and provided a useful tool for keeping members updated on the activities of the Institute and other relevant organisations that may be of interest.
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The Institute continued to make use of social media throughout the year, and this provided yet another platform for us to inform and support the membership and promote the activities of the Institute. In 2021 we revamped and relaunched the Institute’s YouTube channel. The content is made up of a mixture of technical presentations from head office and seminars and talks put on by our Local Sections. It is slowly building to be an excellent resource for both Members and potential members and showcases some of the excellent content and CPD that the Institute provides.
We have continued to increase our influence and public benefit by collaborating with partner organisations and groups that share our aims and vision. We are an active member of the Royal Academy of Engineering’s Policy Centre which gives us the ability to influence areas of national policy and debate. Through this partnership we have been able to respond to several calls from Government and provide our members with the opportunity to express their views and contribute to future policy through panels, providing evidence, and responding to surveys. It has also allowed the Institute to be a signatory on Industry letters to government and contribute to feedback on important issues such as R&D spending.
Through the Royal Academy and the Engineering Council we maintain communications and collaborations with other Professional Engineering Institutes and related bodies, and work collaboratively where it is of benefit to our members and the profession.
We continue to be represented on numerous standards committees both nationally and internationally.
We continue to develop links internationally, and this year our Chief Executive Steff Smith was invited by the China Instrument and Control Society at one of its events, to highlight the importance and benefit of professional registration for Engineers. We have also strengthened our relationship with the International Society of Automation (ISA) and hope to continue to work together to the benefit of all our members.
6
## _**sustain a culture of continual improvement in the Institute**_
The Institute continued to adapt and update its IT infrastructure throughout 2021 to allow us to continue to serve our members during the second year of the pandemic, with a focus on updating and improving our Membership database and management system. The Trustees held several strategy days throughout the year to discuss and monitor the Institute’s progress against its existing aims and look to future and new strategic directions.
The Trustees held several strategy days throughout the year to discuss and monitor the Institute’s progress against its existing aims and look to future and new strategic directions.
Throughout 2021 we started the work of identifying and updating old or outdated internal policies and regulations of the Institute. The purpose of this piece of work is the ensure that our rules keep up with modern developments and practices. This was particularly important as we found ourselves in the second year of an international pandemic, and some policies were no longer fit for purpose in an increasingly virtual approach to work and communication. This year the Trustees also approved a new Diversity and Inclusion policy for the Institute and will look at developing a D&I strategy in 2022.
The Local Sections continued to cope incredibly well with the restrictions of the pandemic in the first part of the year and continued to make use of technology to maintain a relationship with members. As restrictions started to ease later in the year, many Local Sections began the return to face to face networking and social events, including organising exhibitions and annual dinners.
Throughout 2021 the head office team continued the work on the new website and membership database system. After sourcing multiple quotes and liaising with stakeholders a new developer was chosen. The new design and feel of the site were signed off and the new database and member facing site will be launching at the start of 2022. The new member’s area of the site will offer more control to members, as well as having new features which will improve the member experience.
7
## _**keep the Institute relevant and responsive to its stakeholders**_
Many members continue to engage with the Institute primarily through their Local Sections.
Local Sections continued to provide many varied events and activities throughout the year, including technical seminars, networking and CPD opportunities. The continuation of virtual events saw our engagement and attendance figures increase as it allowed members who previously could not attend events in person, to take part and join in with their Local Sections.
The Council and Board of Trustees continued to meet virtually throughout the year. Council is made up of elected members, Chairs of Local Sections and Chairs of the major Committees and provides an invaluable medium for members to discuss the work of the Institute and feedback any issues or suggestions to Head Office and the Board of Trustees.
We hosted a very well received Meet the SIGS event during the year, which gave members the opportunity to hear from the Chairs of each group on the work they are doing, ask questions and find out how they can get involved.
We held our AGM virtually again and saw an increase in members from prepandemic years, and an increase on numbers attending in 2020. With this in mind the Institute will continue to provide a virtual option at future AGMs so as many members as possible have the chance to take part.
The Institute undertook another membership survey this year, which was focused on early career members and potential members, which provided valuable insight on the needs and expectations of this group. This has fed into the work of our new Membership Development Manager and is being used to influence our recruitment and retention activities.
8
## _**promote professional excellence throughout Institute services and activities**_
We continue to select a sample of 5% of the membership to take part in our annual CPD surveys, to provide a record of their CPD activities for review and feedback.
The Institute accredits university courses and approves company training programmes, to ensure that they are providing content and training in line with UK SPEC. Throughout 2021 we continued to undertake accreditation visits virtually, which has worked very well.
Throughout 2021 the Institute continued to work very closely with the Midlands Centre for Data Driven Metrology (MCDDM). The main goals of this partnership are to produce an industry recognised professional standard for Metrologists and ultimately a professional qualification against this standard. The work progressed well throughout the year, and we have now been joined by many industry partners and have created the National Metrology Skills Alliance to continue this activity. We hope to have a draft standard to test with industrial partners in late 2022.
The Institute was proud to be a member of the Cyber Security Alliance, and in 2021 the work of this group resulted in the formation of the UK Cyber Security Council, which is supported by government and received its charitable status in 2021. InstMC is a founding member of the Council and is committed to continuing to work with them to promote the importance of Industrial Cyber Security as part of their ongoing work towards professional recognition for individuals working in cyber security.
In 2021 with the sponsorship of the Worshipful Company of Scientific Instrument Makers (WCSIM), we launched a new award. The Cornish Award is given to an individual, group or company that has excelled in some dimension of scientific instrument making. These people or groups can come from industry, academia, and national or independent laboratories.
In September 2021 our Flow Measurement Special Interest Group published a Horizon Scan with the support of TÜV SÜD National Engineering Laboratory, called “Flow Measurement in Support of Carbon Capture, Utilisation and Storage (CCUS)”.
During the year the Digital Transformation SIG started work on a number of guides for Industry on Digital Transformation and these will be published and sold in 2022.
9
## _**improve the value of membership**_
We have continued to develop and support our Special Interest Groups during the year. Our Current SIGs are:
- Cyber Security
- Digital Transformation
- Explosive Atmospheres
- Flow Measurement
- Functional Safety
- Measurement
- Standards
We also have begun to develop two exciting new SIGs (Net Zero and Far Future Technologies).
The SIGS are open to all members as well as any other interested parties. All SIGS continued to meet virtually throughout 2021 and this has helped to continue the trend of more engagement from a wider pool of the membership.
## _**increase membership at every professional level**_
Our Local Sections regularly hold events with local businesses and universities to promote the various levels of membership and discuss the benefits of professional registration, and these activities have continued throughout the year in a virtual setting.
Staff from head office were invited to give a presentation to Freshers at Wrexham University about the benefits of Professional Registration, and we continue to develop and strengthen our links with our partner universities so that we can promote the importance of membership to the students who will be the engineers of the future.
We continued to work on our new Scholarship Scheme, and as we start to move out of restrictions and lockdowns, we are now planning to launch the scheme in full during 2022.
In 2021 the Institute was also a signatory on the Engineering Kids Future letter which was submitted to government.
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Our new Membership and Development Manager joined us in the second half of 2021 and has started work on how we can improve our membership offering to recruit more members and better support and represent our existing ones.
## _**expand membership geographically**_
As in 2020 we have reported a much higher percentage of international attendees at all our digital events, including SIG and Local Section activities. We have made the commitment to maintain a strong virtual presence in 2022 even as restrictions lift so that as many of our members as possible are able to take part in Institute activities regardless of their geographic location.
## **ACKNOWLEDGEMENT**
None of the Institute’s achievements would have been attained without the particular effort of members, nationally and locally, who volunteered their time and expertise for various activities and affairs. The Trustees wish to extend their unanimous appreciation to all volunteers and to the small but dedicated team of staff at our head office.
## **FINANCIAL REVIEW**
At the end of 2021, the Institute had maintained a stable financial position. The Investments are performing well and are monitored regularly by our Investment Advisory Group. The operating budgets of the Institute are healthy.
## **RESERVES POLICY**
The Institute’s policy remains to conduct regular reviews to ensure that its reserves are sufficient to match its current and future needs. The Institute aims to fund its core activities through revenue and to maintain adequate capital reserves which are not used to support normal operating costs; and the Institute believes its resources should be used to realise its charitable objectives, not to accumulate capital.
## **RISK REVIEW**
The Chief Executive, supported as appropriate by the Trustees, is responsible for the operation of the Institute’s approach to internal risk management and control, the systems for which are reviewed regularly. An annual risk audit is conducted based on a comprehensive risk register that is refreshed periodically. In addition, a schedule of
11
procedural audits is carried out at least annually covering specific aspects of the Institute’s work and governance. We use external audits and reviews as appropriate to validate our internal processes.
## **TRUSTEE BOARD**
The Board of Trustees is the governing body of the Institute. As defined in the Institute’s Royal Charter and Bye-laws, membership of the Board comprises elected Officers of the Institute and elected representatives of the Council; their terms of office being subject to triennial election.
The Trustees during 2021 were: Martin Belshaw, Billy Milligan, Ian Craig, Stewart Macfarlane, Louis Lock, Gary Tse, Malcolm George, Duncan Hutton and Maurice Wilkins.
The Trustees meet regularly throughout the year to conduct the affairs and business of the Institute in keeping with their powers and duties laid down in the Royal Charter and Bye-laws. Although they remain accountable for decisions and actions, the Trustees have the authority to delegate responsibilities, the Board therefore operates through Council and a hierarchy of Boards, Committees and SIGs, some of which have their own sub-committees and panels.
## **COUNCIL**
Council’s remit is to advise and support the Trustees on matters affecting the Institute’s affairs. It is an elected body comprising representatives from across the membership. It has a responsibility to monitor the governance of the Institute.
12
## **OFFICERS OF THE INSTITUTE**
President Mr Martin Belshaw Vice-Presidents: Mr Maurice Wilkins Mr Louis lock Mr Gary Tse Honorary Secretary Mr Billy Milligan Honorary Treasurer Mr Ian Craig
## **Principal Boards and Committees in 2021**
Professional Registration Committee: chair Dr B. Stanford Accreditation Committee: chair Professor S. Smith
SIG Management Board: chair Mr H. Dearden
## **Chief Executive Officer**
The Chief Executive for 2021 was Steff Smith.
## **LEGAL AND ADMINISTRATIVE INFORMATION**
**Founded in 1944 as the Society of Instrument Technology, the Institute of Measurement and Control took its present name in 1968 and was incorporated by Royal Charter in 1975.**
**Registered charity in England and Wales, number 269815. Address: 297 Euston Road, London, NW1 3AD.**
**Telephone +44 (0)20 7387 4949 Website: www.instmc.org**
**Bankers: CAF Bank, 25 Kings Hill Avenue, West Malling, ME19 4JQ**
**Independent Examiner:**
**Steve Cracknell FCA, ESW, Chartered Accountants, 162-168 High Street, Rayleigh, Essex SS6 7BS .**
**Martin Belshaw President**
**Steff Smith Chief Executive**
**Charity Registration No. 269815**
## Institute of Measurement & Control
Financial Statements Year to 31 December 2021
Page 1 of 11
## **INSTITUTE OF MEASUREMENT & CONTROL**
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF INSTITUTE OF MEASUREMENT & CONTROL**
I report to the trustees on my examination of the financial statements of Institute of Measurement & Control (the charity) for the year ended 31 December 2021.
## **Responsibilities and basis of report**
As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England & Wales, which is one of the listed bodies.
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
2 the financial statements do not accord with those records; or
3 the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
Mr S Cracknell FCA 162-168 High Street Rayleigh Essex SS6 9BS
Dated: March 2022
Page 2 of 11
## **Institute of Measurement & Control Statement of Financial Activities Including Income and Expenditure Account for the Year to 31 December 2021**
|**Institute of Measurement & Control**
**Statement of Financial Activities**
**Including Income and Expenditure Account**
**for the Year to 31 December 2021**||
|---|---|
|**Note**
**Income from:**
Donations, gifts and legacies
3
**Charitable Activities**
Membership Subscriptions & Fees
Technical & Professional Activities
Publications and Web Services
Other
**Investments**
4
**Total Income**
**Expenditure on:**
Charitable activities
5
**Net Income/(expenditure) before gains on investments**
Net gains/(losses) on investments
10
**Net Income/(expenditure) and Net movement in funds**
Fund Balances at 1 January 2021
**Fund Balances at 31 December 2021**|**Unrestricted**
**Restricted**
**Total**
**_Total_**
**Funds**
**Funds**
**2021**
**_2020_**
**£**
**_£_**
**£**
**_£_**
1,559
1,559
_4,265_
423,238
423,238
_442,411_
0
0
_17,527_
14,967
14,967
_6,156_
578
578
_976_
8,858
8,858
_7,904_|
||449,201
0
449,201
_479,239_|
||442,508
0
442,508
_389,510_|
||**6,693**
**0**
**6,693**
**_89,729_**
215,303
215,303
_102,884_|
||221,996
0
221,996
_192,613_
2,530,458
6,108
2,536,566
_2,343,953_|
||**2,752,454**
**6,108**
**2,758,562**
**_2,536,566_**|
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Page 3 of 11
## **Institute of Measurement & Control Balance Sheet at 31 December 2021**
|**Note**
**Fixed Assets**
Tangible Assets
9
Investments
10
**Current Assets**
Debtors
11
Cash at Bank & in Hand
**Creditors - Amounts falling due within one year**
12
Net Current (Liabilities)/Assets
**Total Assets Less Current Liabilities**
**Net Assets**
**Income Funds**
**_Restricted Funds_**
13
**Unrestricted Funds:**
**_Designated Funds_**
14
**_General Fund_**|**2021**
**2021**
**_2020_**
**£**
**£**
**_£_**
1,313
2,226,015
2,227,328
9,991
_9,404_
695,229
_695,699_
705,220
_705,103_
(173,986)
_(143,247)_
531,234
2,758,562
2,758,562
6,108
1,202
_1,202_
2,751,252
_2,529,256_
2,752,454
2,758,562|**_2020_**
**_£_**
_1,859_
_1,972,851_|
|---|---|---|
|||_1,974,710_
_561,856_|
|||_2,536,566_|
|||_2,536,566_|
|||_6,108_
_2,530,458_|
||||
|||_2,536,566_|
The accounts were approved by the Trustees on 16th March 2022
Martin Belshaw _Chairman of the Board of Trustees_
Ian Craig _Trustee and Honorary Treasurer_
Page 4 of 11
**Institute of Measurement & Control Notes to the Financial Statements 31 December 2021**
## **1 Accounting policies**
## **Charity information**
Institute of Measurement & Control is a charitable institute incorporated by Royal Charter in 1975.
## **1.1 Accounting convention**
The accounts have been prepared in accordance with the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The accounts have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The accounts have been prepared under the historical cost convention subject only to the revaluation of Listed Investments. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the accounts, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the accounts.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.
Designated funds comprise funds which have been set aside at the discretion of the Board of Trustees to pursue a particular objective or group of objectives under the Royal Charter. The purposes and uses of the designated funds are set out in the notes to the accounts.
Restricted funds are subject to specific conditions by donors as to how they may be used within the objectives of its Royal Charter. The purposes and uses of the restricted funds are set out in the notes to the accounts.
## **1.4 Incoming resources**
Membership Subscriptions & Fees received are allocated to the membership period to which they relate. Amounts relating to subsequent periods are carried forward as deferred income until that period.
Donations, gifts and legacies are included in the financial statements when receivable.
Technical & professional, publications & information services and other activities represent amounts receivable in respect of goods and services provided during the period.
Investment income and gains
Investment income, including any tax recoverable thereon, is included in the financial statements in the year in which they are receivable. Investment gains and losses are incorporated in the financial statements as they occur. Unrealised gains and losses arising from the valuation of investments, together with any movements in such gains are separately identified within the financial statements.
## **1.5 Resources expended**
Resources expended are accounted for on an accruals basis including irrecoverable Value Added Tax and include expenditure where there is a constructive or legal obligation to pay. Charitable expenditure comprises expenses incurred on the defined charitable purposes of the Institution. Each category includes direct expenses and staff costs, together with an allocation of support and governance costs based on direct staff costs.
## **1.6 Volunteers**
InstMC as an organisation relies heavily on its volunteers to allow it to carry out the wide variety of work that it does, across a range of fields within measurement & control. Attempting to provide such in-depth knowledge for a science and industry as diverse as measurement & control is an enormous undertaking, and would be extremely difficult without the many members who give their time, resources and expertise to the Institute helping it to maintain standards and to remain on the forefront of technology. However, as it is impractical to place a monetary value on the volunteers' contribution due to the absence of a reliable measurement basis, the contribution of volunteers are not included as income in the financial statements.
Page 5 of 11
**Institute of Measurement & Control Notes to the Financial Statements 31 December 2021**
## **1 Accounting policies (Continued)**
## **1.7 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Equipment renewals due to technological changes are charged to income & expenditure as incurred. Tangible fixed assets costing more than £1,000 are capitalised and included at cost including any incidental expenses of acquisition.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Furniture and equipment 33% per annum on cost
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.
## **1.8 Investments**
Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The Statement of Financial Activities includes the net gains and losses arising on revaluation and disposals throughout the year
A source of financial risk faced by the charity is that is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities, particularly currency risk, and within particular sectors or sub sectors
## **1.9 Impairments**
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
## **1.10 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts.
## **1.11 Financial instruments**
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. _**Basic financial liabilities**_
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
Page 6 of 11
**Institute of Measurement & Control Notes to the Financial Statements 31 December 2021**
## **1 Accounting policies (Continued)**
## **1.12 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
## **1.13 Retirement benefits**
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
## **1.14 Leases**
Rentals payable under operating leases, including any lease incentives received, are charged to income on a straight line basis over the term of the relevant lease.
## **2 Critical accounting estimates and judgements**
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
|**3**
**Donations and Legacies**
**2021**
**_2020_**
**£**
_£_
Donations and Gifts
1,559
_4,265_
Legacies
0
_0_
1,559
_4,265_
**4**
**Investments**
**2021**
**_2020_**
**£**
_£_
Interest Receivable
1,464
_5,660_
Listed Investments
7,392
_2,244_
8,858
_7,904_
**5**
**Charitable activities**
**£**
**£**
**£**
**£**
**£**
**£**
**_£_**
Staff costs
10,965
76,757
76,757
43,861
27,413
235,753
204,585
Publication costs
21,624
21,624
20,511
Conferences
0
0
0
10,965
76,757
76,757
65,485
27,413
257,377
225,096
Share of support costs (note 6)
8,503
59,518
59,518
34,010
21,257
182,806
_159,944_
108
757
757
433
270
2,325
_4,470_
19,576
137,032
137,032
99,928
48,940
442,508
389,510
**Analysis by fund**
Unrestricted funds
442,508
**For the year ended 31 December 2020**
Unrestricted funds
_389,510_
Sections &
Branches
**2020**
**2021**
**Total**
Technical
& Prof'nal
Other
Activities
Share of Governance costs
(note 6)
Professional
Standards &
Development
Publications|**2021**
**_2020_**
**£**
_£_
1,559
_4,265_
0
_0_
1,559
_4,265_
**2021**
**_2020_**
**£**
_£_
1,464
_5,660_
7,392
_2,244_
8,858
_7,904_
**£**
**£**
**£**
**£**
**£**
**£**
**_£_**
10,965
76,757
76,757
43,861
27,413
235,753
204,585
21,624
21,624
20,511
0
0
0
Sections &
Branches
**2020**
**2021**
**Total**
Technical
& Prof'nal
Other
Activities
Professional
Standards &
Development
Publications|**2021**
**_2020_**
**£**
_£_
1,559
_4,265_
0
_0_|
|---|---|---|
|||1,559
_4,265_|
|||**2021**
**_2020_**
**£**
_£_
1,464
_5,660_
7,392
_2,244_|
|||8,858
_7,904_|
||10,965
76,757
76,757
65,485
27,413
257,377
225,096
8,503
59,518
59,518
34,010
21,257
182,806
_159,944_
108
757
757
433
270
2,325
_4,470_||
||19,576
137,032
137,032
99,928
48,940
442,508
389,510||
|||442,508
_389,510_|
||||
Page 7 of 11
## **Institute of Measurement & Control Notes to the Financial Statements 31 December 2021**
## **6 Support Costs**
|**Support costs**
Staff Costs
Consultancy
Independent Examination
Legal and professional
Payment & Bank charges
Postage
Stationery and copying
Telephone
Travel
General expenses
Irrecoverable VAT
Rent & Storage
Insurance
IT & Equipment Maintenance
Other bodies
Awards & Lectures
Meeting Room Hire
Institute promotion
Sections & Branches
Depreciation
Interest paid
Investment Managers Charges|**Support**
**Costs**
**Governance**
**2021**
**2020**
**Basis of**
**Allocation**
£
£
£
_£_
38,379
38,379
_33,304_
Staff Time
20,500
20,500
_36,180_
Staff Time
0
1,600
1,600
_1,610_
Staff Time
1,575
1,575
_720_
Staff Time
7,531
7,531
_7,768_
Staff Time
401
725
1,126
_1,799_
Staff Time
249
0
249
_1,769_
Staff Time
670
670
_966_
Staff Time
163
0
163
_4,268_
Staff Time
45
45
_129_
Staff Time
12,462
12,462
_9,339_
Staff Time
16,747
16,747
_15,394_
Staff Time
2,965
2,965
_3,134_
Staff Time
53,604
53,604
_28,166_
Staff Time
4,145
4,145
_4,114_
Staff Time
1,350
1,350
_0_
Staff Time
0
0
_3,125_
Staff Time
1,238
1,238
_1,086_
Staff Time
2,400
2,400
_2,355_
Staff Time
2,516
2,516
_2,916_
Staff Time
0
0
_0_
Staff Time
15,866
15,866
_6,272_
Staff Time
182,806
2,325
185,131
_164,414_|
|---|---|
## **7 Trustees**
None of the trustees (or any persons connected with them) received any remuneration during the year (2020 - none), and none were reimbursed any travelling and other expenses (2020- 4 were reimbursed £1,035).
## **8 Employees**
## **Number of Employees**
|**Number of Employees**||
|---|---|
|
The average number of employees during the year was:
**Employment costs**
Wages and Salaries
Social Security Costs
Other Pension Costs
Other Costs
Number of employees earning in excess of £60,000
£60,000 - £70,000|**2021**
**_2020_**
**Number**
**Number**
6
_6_|
||**2021**
**_2020_**
**£**
_£_
246,692
_215,617_
22,224
_18,615_
4,116
_3,431_
1,099
_226_|
||274,132
_237,889_|
||**2021**
**_2020_**
**Number**
**Number**
1
_1_|
Page 8 of 11
## **Institute of Measurement & Control Notes to the Financial Statements 31 December 2020**
## **9 Tangible Fixed Assets**
|**Cost or valuation**
At 1 January 2021
Additions
Disposal
At 31 December 2021
**Accumulated Depreciation**
At 1 January 2021
Depreciation Charged in the year
On Disposal
At 31 December 2021
**Net Book Value**
At 31 December 2021
At 31 December 2020|**Furniture &**
**Equipment**
**Total**
**£**
**£**
11,123
11,123
1,970
1,970
(2,376)
(2,376)|
|---|---|
||10,717
10,717|
||9,264
9,264
2,516
2,516
(2,376)
(2,376)|
||9,404
9,404|
||1,313
1,313|
||1,859
1,859|
## **10 Fixed Asset Investments**
|**Valuation**
At 1 January 2021
Purchase of units
Sale of units
Net gain on revaluation at 31 December
At 31 December 2021
Net gains/(losses) on investments are made up of:
Gain/(Loss) on sale of investments
Net gain on revaluation at 31 December
**Investments are made up of:**
Listed investments
**The historical cost of investments are:**
At 1 January 2021
Purchase of units
Sale of units
At 31 December 2021|**2021**
**_2020_**
**£**
_£_
1,972,851
0
199,344
_1,869,967_
(162,199)
_0_
216,019
_102,884_|
|---|---|
||2,226,015
_1,972,851_|
||(716)
_0_
216,019
_102,884_|
||_215,303_
_102,884_|
||2,226,015
_1,972,851_|
||1,869,967
0
199,344
_1,869,967_
(154,371)
_0_|
||1,914,940
_1,869,967_|
The listed investments are managed on behalf of the Institute by Tilney Investment Management Limited
The basis of fair value for listed investments is equivalent to the market value, using the mid-market price.
## **11 Debtors**
|**Amounts falling due within one year**
Debtors in respect of charitable services
Other Debtors
**Total debtors**|**2021**
**_2020_**
**£**
**_£_**
300
_1,548_
9,691
_7,856_|
|---|---|
||9,991
_9,404_|
Page 9 of 11
**Institute of Measurement & Control Notes to the Financial Statements 31 December 2021**
## **12 Creditors: amounts falling due within one year**
|
Deferred Income:
Amounts Received in Advance for subscriptions & services
Creditors and accruals for goods and services provided|**2021**
**_2020_**
**£**
**_£_**
96,926
_86,440_
77,060
_56,807_|
|---|---|
||173,986
_143,247_|
## **13 Restricted Funds**
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
||**Balance**
|**Movement**|**in Funds**|**Balance**|
|---|---|---|---|---|
||**31 December**|**Incoming**|**Resources 31 December**||
||**2020**|**Resources**|**Expended**|**2021**|
||**£**|**£**|**£**|**£**|
|Pamely Evans Fund|921|0|0|921|
|A Davies Memorial Fund|1,474|0|0|1,474|
|Dr Alec W Hough-Grassby Fund|2,311|0|0|2,311|
|Process Tomography Prize Fund|1,402|0|0|1,402|
||------------|------------|------------|------------|
||6,108|0|0|6,108|
||------------|------------|------------|------------|
Each of the funds are restricted to the award of prizes or grants in particular disciplines.
## **14 Designated Funds**
|||**Balance**
|**Movement**|**in Funds**|**Balance**|
|---|---|---|---|---|---|
||**31**|**December**|**Incoming**|**Resources 31 December**||
|||**2020**|**Resources**|**Expended**|**2021**|
|||**£**|**£**|**£**|**£**|
|Leo James Prize Fund||1,202|0|0|1,202|
|||------------|------------|------------|------------|
|||1,202|0|0|1,202|
|||------------|------------|------------|------------|
This fund was established from a donation from the estate of Leo James for the award of prizes for excellence in the study of measurement and control technology
## **15 Analysis of Consolidated Net Assets between Funds**
|**Analysis of Consolidated Net Assets between Funds**||||
|---|---|---|---|
||**Unrestricted**|**Restricted**|**Total**|
||**Funds**|**Funds**|**2021**|
||**£**|**£**|**£**|
|**Fund Balances at 31 December 2021**||||
|**are represented by:**||||
|Tangible Fixed Assets|1,313|0|1,313|
|Fixed Asset Investments|2,226,015||2,226,015|
|Current Assets/(Liabilities)|525,126|6,108|531,234|
||------------|------------|------------|
|**Total Net (Liabilities)/Assets**|2,752,454|6,108|2,758,562|
||_------------_|_------------_|_------------_|
Page 10 of 11
**Institute of Measurement & Control Notes to the Financial Statements 31 December 2021**
## **16 Related party transactions**
## **Remuneration of key management**
The remuneration of key management was as follows:
|**Remuneration of key management**
The remuneration of key management was as follows:|||
|---|---|---|
||**2021**|**_2020_**|
||**£**|**_£_**|
|Remuneration of key management|69,304|_66,124_|
||_------------_|_------------_|
Page 11 of 11