2023-03-31-accounts

Reports	Reports
Reference and administrative		information	1
Trustees' annual report
Independent auditor's	report		14
Financial statements
Statement offinancial	activities		19
Balance sheet			20
Statement ofcash flows			21
Principal accounting	policies		22
Notes to the financial	statements		26

	Charity	Charity	name	Collections Trust
	Charity	number		0273984
	Company	number		01300565
	Registered		office	Rutland House
				23-25 Friar Lane
				Leicester LE1 5QQ
	Trustees and	directors		Ms C Hampshire	(Chair)
				Mr RAvann
				Dr A Bhaugeerutty
				Ms K Childs
				Ms N Golding
				Ms SJohnson
				Ms A Karia
				Ms S Longmuir
				Dr C Michaels
				Ms TSimpson
				Ms R Sloss
				Mr P Stevenson
				Ms L Turner
Company	Secretary and Chief Executive			Mr K Gosling
		Bankers		CAF Bank Ltd
				25 Kings Hill Avenue
				West Mailing
				ME194JQ
		Auditor		Buzzacott LLP
				130Wood Street
				London
				EC2V 6DL

Trustees		Appointed	/ Resigned
Ms C Hampshire	(Chair)
Mr RAvann
DrA Bhaugeerutty		(Appointed	30 May 2022)
Ms K Childs
Ms S Elliott		(Resigned	3 March 2023)
Ms N Golding		(Appointed	30 May 2022)
Ms SJohnson		(Appointed	30 May 2022)
Ms A Karia
Ms SLongmuir		(Appointed	30 May 2022)
Dr C Michaels
Ms TSimpson
Ms RSlcss		(Appointed	30 May 2022)
Mr P Stevenson
Ms LTamer

Risk	Cyber security
	CT is reliant on IT and the internet for all its operations. A cyber-attack
	could compromise its ability to deliver its services and generate income. A
	data breach could risk litigation and damage to our reputation.
Tolerance	Medium to low —whilst a cyber-attack is unlikely to threaten the existence
	of Collections Trust, it could take considerable time and resources to
	resolve an attack and may lead to costly legal fees and fines.
Mitigation	A password management system has been introduced to ensure all
	passwords are complex, with multi-factor authentication also required for
	key systems. The organisation is working to renew its Cyber Essentials
	accreditation and is commissioning more proactive help with certain
	requirements from its external IT support. The Cyber Smart app that
	underpins this accreditation includes training modules on topics such as
	phishing and password protection that all staff must complete.
Risk	Loss ofstrategic direction and focus during MDS start up
	As the Museum Data Service becomes a reality, with Collections Trust as
	one of three founding organisations, there is potential for confusion
	amongst stakeholders regarding our brand and purpose, and questions
	around capacity to cope with such change.
Tolerance	Low —the organisation has been working towards this for many years and
	needs to maximise the current opportunity to deliver on its strategic aims.
Mitigation	Our Investment Principles action plan sets out how the trust will manage
	the transition, including continued board development and succession
	planning for board and key staff.
Risk	Loss ofkey member ofstaff
	Employee turnover is inevitable, and in a small organisation a lot of
	institutional knowledge rests with a few key individuals.
Tolerance	Medium —the sudden departure ofa key member of staff in 2023 proved
	challenging and time-consuming, but survivable.
Mitigation	The management team works closely together. Handover procedures and
	documented processes proved effective. Reserves provide the financial
	resources to hire interim staff when needed.

			Un-		2023	2022
			restricted	Restricted	Total	Total
			funds	funds	funds	funds
		Notes		6	6
Income from:
Charitable activities		2	136,409	235,198	371,607	379,635
Investments		3	694		694	7
Total income			137,103	235,198	372,301	379,642
Expenditure on:
Charitable activities
.Projects snd progremmes				235,198	235,198	234,232
.Other charitable activities			129,708		129,708	128,721
Total expenditure		4	129,708	235,198	364,906	362,953
Net income for the year			7,395		7,395	16,689
Other recognised	gains (losses)
Actuarial gain in respect to defined
benefit pension scheme		19	279,000		279,000	165,000
Net movement in funds			286,395		286,395	181,689
Total funds brought	forward		(135,390)		(135,390)	(317,079)
Total funds carried forward			151,005		151,005	(135,390)

		Notes	2023 5	2023f	2022 F	2022
Fixed assets
Tangible assets				2,916		799
Current assets
Stock		9	177		1,336
Debtors		10	8,517		15,889
Cash at bank and	in hand		173,575		161,947
			182,269		179,172
Liabilities:
Creditors: amounts	falling due
within one year		11	(34,180)		(36,361)
Net current assets				148,089		142,811
Total assets less	current
liabilities				151,005		143,610
Pension liability		19				(279,000)
Total net asset (liabilities)				151,005		(135,390)
The funds ofthe	charity:
Restricted funds		13
Unrestricted funds:
. Designated funds			20,000		20,000
.Pension reserve		13			(279,000)
.General funds		13	131,005		123,610
Total unrestricted	funds	13		151,005		(135,390)
Total funds				151,005		(135,390)

				2023	2023	2022	2022
			Note	5	f	F
Cash flows from operating
activities:
Net cash provided by operating
activities			14		13,518		20,453
Cash flows from investing
activities:
Interest received				694		7
Purchase offixed assets				(2,584)		(1,007)
Cash used in investing	activities				(1,890)		(1,000)
Change in cash and cash
equivalents in the year					11,628		19,453
Cash and cash equivalents		at the
beginning ofthe year					161,947		142,494
Cash and cash equivalents		at the
end ofthe year			15		173,575		161,947

1	Detailed comparatives	Detailed comparatives	Detailed comparatives	for the statement	for the statement	of	financial activities	financial activities
										2022
							Vnrestrlcted Restricted			Total
								funds	funds	funds
							Notes
	Income from:
	Charitable activities						2 175,403		204,232	379,635
	Investments						3	7		7
	Totalincome						175,410		204,232	379,642
	Expenditure on:
	Charitable activities:
	.Projects and pmgrammes								234,232	234,232
	. Other charitable	activities					128,721			128,721
	Total expenditure						4 128,721		234,232	362,953
	Net income (expenditure)			for the year				46,689	(30,000)	16,689
	Other recognised	losses
	Acluarial gainin respect to			defined benelit
	pension scheme						19 165,000			165,000
	Net movementin	funds					211,689		(30,000)	181,689
	Total funds brought		forward				(347,079)		30,000	(317,079)
	Total funds carried		forward				(135,390)			(135,390)
2	income from charitable			activities
				Un-			2023	Un-		2022
				restricted	Restricted		Total	restricted	Restncled	Total
				funds	funds		funds	funds	funds	funds
				6		6	6	6	f	f
	Projects and programmes
	Arts Council England				234,232		234,232		204,232	204,232
	Other charitable activities
	Retail and pubbshmg			34,097			34,097
	Spectrum partnership
	licenmng scheme			62,628			62,628	56,147		56,147
	Consultancy			27,584			27,584	70,750		70,750
	Tl'sining			6,300			6,300	6,600		6,600
	Conference			5,800			5,800	7,064		7,064
	Other income					966	966
	Total income from
	charitable activities			136,409	235,198		371,607	175,403	204,232	379,635

								2023	2023			2022
					Unrestricted		Restricted	Total	Unrastnctcd		Restricted	Total
						funds	funds	funds		funds	funds	funds
						6	6 6			6'	6'	r.
		Bank interest						694		7		7
		Analysis	ofexpenditure
			Restricted					Unrestricted
					Other
					grant							2023
			ACE funding f. E			Retail E	Spectrum f	Consultancy E	Training E	Conference E	CTAward E	Total 8
	Expenditure
	Direct casts		19,336		966	16,679	383			1,222	1,042	39,628
	Duecl st8ff costs		162,432			10,814	1,900	16,574	2,769			194,489
			181,768		966	27,493	2,283	16,674	2,769	1,222	1,042	284,117
	Overheads
	Adminntration
	overheads		52,464			6,672	7068	56,623	1,286			67,751
	Staff	ovsmeads				27,514	2,911	27308	5,305			63,038
			52,404		—	32,6!I7	3,469	32,453	6,304			127,377
	Total	expenditure
	2023		234,232		tes	81,679	5,900	50,505	9,380	1,222	1,042	M4,908
			ReatllCI8d					unrestncred
												2022
				ACE 5		Relail f	Spectrvm f	Consvnaecy 1'	Training 5	Conference f	CTAwanl f	Tofelf
		Expenditure
		Direct costs		16,221		14,026	434	73,131		452		44,264
		Direct slalf coals		742,433		9,610	1,249	37,529	2,551			187,582
				758,654		23,638	1,683	44,760	2,561	452		231,846
		Overheads
		Adminrsfrehon
		overheads		54,	145	4,283	336	0,903	964			69,631
		Staffoverheads		21,433		11,075	80S	25,606	2,493			61,470
				TS,STS		15,358	1,204	35,509	3,458			131,107
		Total expendilum
		2022		234,232		38,994	2,887	80,269	6,119	452		382,953

Analysis of staff costs, tru management personnel Staff costs were as follows:	stee remuneration and	expenses, and the c	ost of key
		2023	2022
		6	6
Salaries and wages		232,730	222,751
Social security costs		19,383	18,908
Pension costs		13,414	13,116
Redundancy costs			4,283
Temporary staff costs		9,734
		275,261	259,058
FRS 102defined benefit pension	adjustment	(8,000)	(10,000)
		267,261	249,058

2023	2022
6	F

The average number ofemployees (head the year was as follows:	count based on number ofstaff employe	d) during
	2023	2022
	No.	No.
ACE	3.4	3.0
Retail	0.3	0.3
Spectrum	0.1	0.1
Consultancy	0.2	0.5
Training	0.1	0.1
Support	1.2	1.5
	5.3	5.5

	Computer	2023
	equipment	Total
	F	6
Cost
At 1 April 2022	1,007	1,007
Additions	2,584	2,584
At 31 March 2023	3,591	3,591
Depreciation
At 1 April 2022	208	208
Charge for the year	467	467
At 31 March 2023	675	675
Net book values
At 1 April 2022	799	799
At 31 March 2023	2,916	2,916

Stock
		2023	2022
		5	6
Forms and	catalogue cards	177	1,336
		177	1,336
Debtors
		2023	2022
		5	6
Amounts	falling due in less than one year:
Trade debtors		1,523	4,201
Sundry debtors			161
Prepayments		6,994	5,977
Rental deposit			5,550
		8,517	15,889

Credito	rs:	amounts falling due within one ye	ar
			2023f	2022
Trade creditors			9,572	4,894
Taxation	and	soma) secunty		5,154
Pension	contributions			956
Redundancy		payment		4,283
Deferred	income			308
Accrue(a			18,982	15,367
VAT payable			5,626	5,356
Royalties				41
			34,180	36,361

Analysis ofn	et assets	between funds
				2023				2022
				Total				Total
		Unrestricted	Restricted	funds	Unrestricted	Restncted		funds
		6	6	6		r.	6	6
Tangible fixed assets		2,916		2,916	799		—	799
Net current assets		148,089		148,089	142,811		—	142,611
Pension hability					(279,000)		—	(279,000)
Net assets/liabilities
atthe end ofthe	year	151,005		151,005	(135,390)			(135,990)
Movement in	funds
		At 1				Gains	/	At 31
		Apnl			(losses) end			March
		2022 f	Income f	Expenditure r		transfers r.		2023 r.
Restricted funds
Arts Council England
.Core funding			234,232	(234,232)
.Other income			966		(966)
Total restricted funds			235,198	(235,198)
Unrestricted funds
Designated funds
. Strategic development		10,000						10,000
. Defined benefit	pension
scheme management		10,000						10,000
		20,000						20,000
FRS102pension	liability	(279,000)				279,000
General funds		123,610	137,103	(129,708)				131,005
Total unrestricted	funds	(135,390)	137,103	(129,708)		279,000		151,005
Total funds		(135,390)	372,301	(364,906)		279,000		151,005

Movement in	funds (con	tinued)
		At 1			Gains /	At 31
		April			(losses) and	Mamh
		2021	Income	Expenditure	transfers	2022f
Restricted funds
Arts Cuuncil England
Core funding		30,000	204,232	(234,232)
Total restricted funds		30,000	204,232	(234,232)
Unrestricted funds
Designated funds
Strategic development					10,000	10,000
Defined benefit pension
Scheme management					10,000	10,000
					20,000	20,000
FRS 102pension	liability	(445,000)		1,000	165,000	(279,000)
General funds		97,921	175410	(129,721)	(20,000)	123,610
Total unrestricted	funds	(347,079)	175,410	(126,721)	165,000	(135,390)
Total funds		(317,079)	379,S42	(3S2,953)	165,000	(135,390)

Reconciliation ofn	et income	to net cash flow from operating	activities
			2023 5	2022f
Net income for the reporting period
(as per the statement	offinancial activities)		7,395	16,689
Depreciation			467	315
Interest			(694)	(7)
Decrease / (Increase)	in stock		1,159	(274)
Decrease I(increase)	in debtors		7,372	(2,497)
(Decrease) / Increase	in creditors		(2,181)	7,227
Defined benefit pension scheme service and finance cost adjustments				(1,000)
Net cash provided by operating		activities	13,518	20,453

						At 1		At 31
						Apnl		March
						2022	Cashtlows	2023
						f	f	f.
Cash	at	bank	and	in	hand	161,947	11,628	173,575
						161,947	11,628	173,575
						At 1		At 31
						April		March
						2021	Cash Bows f	2022 f
Cash	at	bank	and	in	hand	142,494	19,453	161,947
						142,494	19,453	161,947

			2023	2022
			per annum	per annum
Rate of mcrease	in salaries		2.80	3.15
Rate of increase	in pension	payments	2.75	3.15
Discount rate			4.75	2.75
Rate of m8ation - CPI			2.75	3.15

The mortality assumptions used were as follows:
	2023	2022
Longevity at age 65for current pensioners
.Men	21.7	22.2
.Women	24.3	24.2
Longevity at age 65for future pensioners
.Men	22.2	23.0
.Women	25.5	25.7

				2023	2022
				5'ooos	F'000s
Net deficit in scheme at I April				(279)	(445)
Service cost				(17)	(14)
Net interest				(8)	(9)
Employer contributions				25	24
Re-meesurement ofthe defined		liability per actuary		577	165
Net asset I(deficit) in the scheme as per actuarial			valuation	298	(279)
Adjustment recognised	within actuarial losses to cap pension asset'			(298)
Net deficit in scheme	at 31 March as recognised		on the balance
sheet					(279)

Total expenditure	recognised	in the statement offinan	cial activities (SOFA) was:
			2023	2022
			FOOOs	FOOOs
Service cost			17	14
Total expenditure	recognised	in SOFA	17	14
Employer contributions			(25)	(24)
FRS 102charge	(credit)		(8)	(10)

The net gain recognised	in the re-measurements in other r	ecognised gains and los	ses was:
		2023	2022
		Ecoos	6000s
Actuarial losses on scheme	liabilities	575	97
Actuarial gains on scheme	assets	2	68
Adjustment to cap pension	asset	(298)
Remeasurement ofthe defined benefit liability		279	165

		2023	2022
		FOOOs	FOOOs
Defined benefit obligation at	1 April	(1,561)	(1,624)
Current service cost		(17)	(14)
Interest cost		(43)	(33)
Contributions by scheme participants		(3)	(2)
Benefits paid		16	15
Actuarial gains		575	97
Defined benefit obligation	at 31 March	(1,033)	(1,561)

Reconciliation ofopening and closing balances ofthe f scheme assets:	air value ofthe charity's sh	are ofthe
	2023	2022
	60009	FOOOs
Fair value ofscheme assets at 1 April	1,282	1,179
Actuarial gains	2	68
Interest income on assets	35	24
Contributions by employer	25	24
Contributions by scheme participants	3	2
Benefits paid	(16)	(15)
Fair value ofscheme assets at 31 March	1,331	1,282

				Value at		Value at
				31 March		31 March
				2023		2022
				6'000		F'000
Equities			69.0	918	58.3	747
Government	bonds		4.7	63	5.0	64
Other bonds			9.3	124	9.2	118
Property			8.3	110	8.9	114
Other managed		funds	8.7	116	18.6	239
Total market	value ofassets			1,331		1,282