CTVC Limitgd Company Registration Number: 1375941 Registgrgd Charity Number: 276286 Roport of thg Trustges and Financial Statements for the year ended 31 December 2021
CTVC Limited Contents Report ofthe Trustees Rgfergnce and Adminlstratlon Trustees, Committgos and Professional advlsors 1-2 Company Infom)ation Structure, Govemanco and Management Constltutlon Trustees, Responsibililies Risk Management and Internal control Objectives and Activitie$ Achievements and Perfom)ance 7-10 Financial Review 11-12 Indgpendent Audltor'8 Report 13.15 Statements of Financial Activities Consolidated Company 16 17 Balance Sheets Consolidated Company 18 19 Consolldated Cash Flow Statement 20 Notgs to The Flnanclal Statements 21.34
CTVC Limited Report of Thg Trustees for Ihg ygar ondgd 31 December 2021 Reference and Administration The Directors who act as Trustees for the chariiable actimties of CTVC Limited present lo the members their report and financial slalemenis for the year ended 31 Decembef 2021. The report and financial slalemenls have been prepared in accordance wlh the Charities Slalemenl of Recommended Praclice12019 SORPI, 'Accounliro and Reporting by Charities, effective from 1 January 2019. the Companies Acl 2006. the Charities Act 2011 and applicable UK accounting standards. including FRS 102. Committg Membership Trustee and Council Members: Chairman Mr. A. E. Cowen, MRICS Mr A. N. R. Fleming Resigned 1510312021 Appointed 2410312021 The Rev'd M. A. Booth. MA Mr. N. F. Buxton Ms. L Clay Mr. G. C. King, MA. CA Mr. J. R. Newton Mr. M. D. B. Simon 11) 12) (1.21 {21 . Membets appointed by The Rank FoundatM)n Limited) Board Advisors- Father Christopher Jamison OBD Mr. P. F. Kafno. MA {11 Committees: Managemenl (11 Audit {21 Reglstered office: 12 Warwick Square, London, SW1V 2AA
CTVC Limited Report of The Trustees for the year ended 31 Oecember 2021 {contlnuedl Reference and Administration Icontinuedl Company Information: Chief Executlve Offlcer- Miss. C. C. Matthews Chlef Operating Officer: Mr. P. O. Connolly Rgsign9d 0811012021 Company Secr9tary: M$. Stephanie Edwards Appolnted 0311112021 Professlonal Advisors: Auditor.. BDO LLP 55 Baker Street, London, W1 U 7EU Bankers.. Barclays Bank plc 27 Soho Square, London, W1D 3QR Sollcltors: Paris Smith LLP Number 1 London Road, Soulhamplon, S015 2AE
CTVC Limited Report of The Trustees for the year ended 31 Decgmber 2021 (continued) Structure, Governance and Mana ement Constitution CTVC is a company limited by guarantee Iregislered number 1375941) governed by ils Memorandum and Articles of Association Ilasl amended June 20201, and a registered charity Iregislered number 2762861. As a company limited by guarantee CTVC has no share capital. the liability of members is limit1 to £1 each in the event of CTVC being wound up. Parent undertaking The parent company is The Rank Foundation Limited Iregislered company number 5164341, a registered charity Iregislered number 276976}, whose address is.. 12 Warwick Square, London. SW1V 2AA. CTVC is a wholly controlled subsidiary of The Rank Foundation. The Rank Foundation prepares consolidated accounts, which incorporate the resulls of CTVC, and ils subsidiary company (Hillside Produclions Limiledl. Appointmenls to the Board The Rank Foundation Limited has the right lo appoint a majority of the Trustees and lo remove any TNslees il appoints. Additional Trustees can be appointed either by the Board or by the members. Truslees are appointed on the basis of the particular skills required by the Board. The Memorandum and Articles of Associalion allow for Trustees lo be remunerated for professional seNices they render lo CTVC and ils subsidiary. see note 6. Subsidiary undertaking CTVC has a wholly-owned trading subsidiary company which is incorporated in the United Kingdom. Hillside Productions Limited Iregislered number 17821301. Its principle activity is the making of media prodwlions. Any profits of Hillside Productions Limiled are donated lo CTVC by way of quality'ng charitable donation. A summary of Hillside Productions Limiled's trading results for the year is shown in note 16. Charity Governance Code In conjunction with the Rank Foundation. the Trustees are seeking lo adopt the principles and recommended practice for good governance as sel out in the Code, and intend to make well-considered decisions about how these should be applied where applicable. Theme specific training on key mallers is being pul in place. Updating key policies is an area that is being actively worked on. Any areas of non-compliance with the code will be identified and highlighted in future reports. Fundraising Section 162a of the Charities Act 2011 requires charities lo make a slalemer)I regarding fundraising activities. The legislation defines fund raising as 'soliciling Of olheNise procuring money or other properly for charitable purposes. Such amounts receivable are presented in the accounts as Income - Donations and includes grants. However, CTVC does not undertake fundiaising from the geneTal public. In relalion lo the above we confim) that there is no involvement of commercial participators. professional fund- raisers, or third parties The day to day management of all income generaln is delegated lo the executive team, who are accountable lo the Trustees. Amy soliestalions would be managed inlemally. The charity is not bound by any undertaking to any regulatory scheme and the charity does not considèr il necessary lo comply with any voluntary fundraising codes of practice. No complaints have been received in relation to fundraising activities. The terms of employment require staff lo behave reasonably at all limes., as we do not approach individuals for funds we do not have a particular reference lo fundraising activities nor do we consider il necessary lo design specific procedures lo monitor such aclivilies.
CTVC Limited Report of The Trustoos for tho year gndgd 31 Decgmbgr 2021 {continuedl Structure, Governance and Management (continued} Trustees, Responsibilities in relation to the Financial Statements The Trustees (who are also Directors of CTVC for the purposes of company lawl are responsible for preparing the Trustees, Report and the financial slatemenls in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generalty Accepted Accounting Practice). Company law requires the Trustees lo prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounts"ng Practice (United Kingdom Accotjnting Standards and applicable Lawl. Under company law the Trustees musl not approve the financial slalemenls unless they are satisfied that IIEY give a true and fair view of the slate of affairs of the group and charity and of the incoming resour$ and application of resources, In preparing these financial slalemenls, the Truslees are required lo.. select suitable accounting policies and apply them consistently. make judgments and eslimales Ihal are reasonable and piudenl., slate whether applicable accounting standards, including FRS 102. have been followed. subject lo any material departures disclosed and explained in the financial slalemenls". prepare the financial statements orb the going concern basis unless Tt is inappropriate lo presume that the charitable company will continue in business. The Trustees are responsible for keeping proper accounting records that disclose with reasonable acc¥racy al any time the financial position of the charitable company and enable them lo ensure that the financial statements comply with the Companies Act 20(. They are also responsible for safeguarding the assets of Ihe charilabb company and hence for taking reasonable steps for the prevention and delection of fraud and other irregularities. None of the Truslees had any beneficial interest in any conlracl lo which the organisation was party during the year. Trustees, and Executive remuneration Trustees, are not remunerated for their services as a Trustee. Remuneraln, rf any. is sel by the Fard and is based on the number of days required lo peiform their duties and to reflect the skills, knowledge and comFelences required for the additional professional services they provKle_ The Trustees. remuneratK)n is detailed in note 6 of the financial slalemenls. The iemuneralion of the senior executive staff is sel by the Chaimans Commillee of The Rank Foundabon and the Management Committee approve the remuneratson of the company's other senior staff. The Trustees and senior executive staff comprise the charitys key management personnel. Remuneration is sel in the conlexl of the charity's purposes, aims and values and lo reflect the skills. knowledge and competences required for executivè roles. Induction and training All new Trustees receive on appointment an induction pack. This contains copies of the Governing d0mentS, all committee conslilulions, the previous year's annual report and financial slaternents, a book delailiro Ihe history of the charity, and the group, and a profile of all Tfuslees and seniof staff. Formal trainin9 is also prowded as and when required or appropriate.
CTVC Limited Report ofThg Trustees for the year ended 31 December 2021 Icontinuedl Structure, Governanc8 and Management {¢onlinued) The Council of the Assoclatlon {the Board) and Committees The Board is responsible for leading and conlroyling CTVC. The Board achieves this by selling the long-lerm strategic direction of CTVC, preparing and adopting its medium-term business plans and annual budgets. The Board regularly monitors performance against budget. plans and key perfomiance indicators. The Board is comprised sdely of non- execulive Trustees. The Board has delegated specrfic responsibilities to the Managemer)I Committee whose purpose is lo ensure the business ol CTVC is conducted on a day to day basis within the limits delegated by the Board and in accordance with the policies and strategies prescribed by the Board. An Audit Committee creates 8 lormal conduit between the external auditor and the Board and advises on the content and presentation of the annual reports and financial slalemenls. The Committee ieviews audit plans and the external auditor's management leller, and monitors implementation of actions iequired and satisfies itself as to the extèrnal auditor's continuing independence. 11 has the authority to appoint. and to fyx the iemuneralion of, the external auditor. The risk register is reviewed by the Committee. The Committees comprise members of the Board and may include advisers appointed for their speClISt knowledge. The membership of the Commillees is sel out on page 1 of this report. Risk management and Internal control The Board has overall responsibility for Ihe Group's syslem of risk managernenl, intemal control and for monitoring and reviewing the systems in place. Such systems cannot eliminate all risks, bul the Board is satisfied that systems are robust and operate effectively. The principal risks identified and a surnmary of how they are managed are sel OLJt below.. Rlsk Management of risk Loss of CEO or key staff in a small organisalion Appropriate level of salaries and benefits - benchmarked within the industry Documentation of systems and succession planning where possible Securing commissions in a difficull business environment Constant monitoring of broadcasters fequirements. Development and submission of ideas with frequent contact with all potential commissioneis Business interruption - Coronavirus COVID19 The aim is to keep disruption lo a minimum while preserving cash flows. The current business plan, including financial modelling, has been approved by the Trustees Failure of the Rank Foundation Limiled's {RFL) inveslmenl policy causing loss of grant RFL has experienced. financially compelenl Trustees in their investment committee. Professional advisors,. Monitoring and control of RFL budgets and expenditure Vvorsening of defined benefit pension scheme RFL has guaranteed Ihe funding of the scheme. and use their expertise assisting in assessing the perfom)ance of the advisors Loss of reputation leading lo loss of business Careful monitoring of pioduclions in order lo recognise and manage potenlwl damaging content
CTVC Limited Report of The Trustees for the year end9d 31 December 2021 Icontinuedl Objectives and Activilios Objectlvgs The objeels for which the Charity is established are the advancement and promotion of the Christian religion and the advancement ol Christian religious education of the public. In furtherance of the objectives, the folbwing are the lead powers given- lo advance the public knowledge and understanding of the other historic world faiths with signilicant communities in the United Kingdom lo promote the understanding of the shared values, traditions and practeS of the Christian faith, and faiths referrèd lo above and their applicats.on in a secular environment lo stimulate and molivale people lo think about moral and spiritual issues in their everyday lives The Trustees refer to the guidance coniained in the Charity Commission's general guidance on public benefit when reviewing its aims and objectives and in planning future aclivilies. In particular. the Trustees consider how planned activities will contribute lo the aims and objectives they have sel. Our aim is lo engage vieweTS, listeners and readers through all media wilh mallers of religion, failh, morals and elhics from a perspective which respects those of all faiths and those with none. Activities Televlslon In order lo achieve as wide an audience as possible. programme ideas are submilled lo Commissioning Editors of all key channels. CTVC can also enter inlo co-production agreements with oiher independent companies and broadcasters in projects that reflect the aims of the charity. Audio {Broadcast and Podcasts) CTVC produces programmes mainly for BBC Radio neOrkS. As with television. ideas are sent to Commissioning Editors for consideration. CTVC also produces 'thoughl-provoking and inlellvJenl' speech radio for rts pocscasl platform. Things Unseen. Other broadcasters, includin9 Piemier Radio and RTE. iegularly transmit this conlenl. Dlgltal (Education l New Media l Training) 'TrueTube.co.uk" is a BAFTA award-winning website which provides free films for secondary schools about moral, social and religious issues for use in form limes. assemblies, PSHE, Crtizenship, and Religious Education lessons. The fi'lms ale short and ideal for lesson starters, provoking discussion and igniting students, imaginations. Additionally, teachers, notes, lesson plans. assembly scripts and inleraclive resources are provided lo assist in using the films in a Creative way. CTVC also produce short films and resources foi external clients including BBC Education, other charitable organisalions and community outreach programmes. CTVC also fulfil media trainin9 contracts that are predominantly for the British Film Inslilule.
CTVC Limited Report of The Trustees for the year ended 31 December 2021 Icontinuedl Objectives and Activities Icontinuedl Alone Together This online resource was maintained during 2021 as the county contin¥Jed to endure feslficlions due lo coronavirus. With assistance from those with vast expefience of social distancing or isolation, further resources were produced for the thousands of people si¥uggling in the UK. The Sunday Service TheSundayServlce.org is an online platform initially sel up lo help those isolated in their communities as a result of ill health or reduced mobility. servIs are streamed live over the inlernel on a Sunday morning from 8 churches across the UK, to enable 'Worshipers" to participate in their k)cal church services from the comfort of their own home, maintaining a connection lo spiritual communities and to continue lon9sianding religious Iradilions. The services can also be watched at a later dale via a recording link. TheSundayService.org continued lo stieam live services from a number of churches across the UK as the pandemic kept parishioners away from Iiadilional worship. Additional services were requested includng funerals, Easter and Advent which helped to maintain a connection to spiritual communities and longstanding religious Iradilions. The number of views for 2021 lolalled 41.80012020 ' 35.9001- Achievements and Perforniance Industry Recognltlon l Awards.. Success in achieving our objectives can be shown in the quantity and quality of our oulpul across al areas. Awards received in 2021 are lor conlenl made in previous years. and despite 2020 being an exceptional year in which not much conlenl was able lo be made due to COVID19, we are pleased our work has been recognised in the form ol awards. Below are some ofour 2021 achEvements'. Audio Phone Prayers and PPE, for Things Unseen.. -Highly Commended" in the Sandford St Martin Trustees Awards. 8 multi-media category for broadcast conlenl made in response lo the COVID19 pandemic. Hashtag Pray for BBC Radio 4-. Shortllsted foi the {delayedl Understanding Unbelief Media Award. The Right Thing.. Saving the Man Who Shot Me, for BBC World SeNice'. Shortlisted for the AIB (Association for International Broadcaslingl Awards. in the Human Interest category. Heart and Soul, Jonestown from socialism to slaughter. for BBC World Service". Nomlnated in the RadiolAudio category of the Sandford Sl Martin Awards. DlgStal Along Toggthgr was "Highly Commended- in the Sandford St Martin Trustees. Awards in the Community mulli- media category for broadcast conlenl made in response to the COVID19 pandemic. Just M9 - Winner of the audience award "Goldene Perle" for the best short film al PERLEN - Queer Film Festival Hannover. Just Me - nominated as part of the LGBTQ Film festival. il has been iecognised by the Ir¢s Prize. The film will now feature on Film 4's ALL4 platform for one year- a great achievement that will bring the subject maller to a wide audience. BBC Biteslze RE15 Key Facts and Me & My Community}- Nominated in The Sandford Sl Martin Trust Awards Children's Award. BBC Teach Pop Culture Bible Stories- Nominated in The Sandford St Martin Trust Awards Children's Award.
CTVC Limited Report of The Trust99s for the year ended 31 December 2021 (continued) Achievements and Perforniance Icontinuedl Performanc9- Some of our programme8- T91evision Due lo the pandemie, Pilgrimage 4 filming was postponed in 2020, resuming in 2021. Under sliicl COVID19 guidelines, Pilgrimage.. The Road lo the Scollish Isles, filmed in September and involved a hugely c(xnplex health and safety location shoot. The 4th series of our landma fom)al had anolher all-slar cast including Nick Hewer, Scarlell Mollall, Laurence Llewelyn-Bowen and Monty Panesar. Living as simple pilgrims, they trace tre footsteps and legacy of 6th century Irish monk, Sl Columba, who helped spread Christianity from Ireland to Scd12nd and beyond. The 3 parl series will be broadcast in the run up lo Easter 2022, for the first time, the will make the entire series available on iPlayer after the transmission of the first episcrfje. Britain's Novel Landscapes with Marlella Frostrup was CTVC'S second series commissioned during the pandemic. Broadcast on More 4, we explore the stunning landscapes that inspired female British aLJlh(xs lo write our besl-loved novels, including Jane Auslen's Hampshife, the Brontes. Yorkshife. Daphne Du Mauriei's Cornwall and Beatrix Potter's Lake District. Audio - Radio On the Covid Ward for BBC World Service. This was an ad hoc commission as the Broadcaster felt CTVC was well equipped lo deal with the very sensitive subject matter. In a radio montage introduced by Muslin hospital chaplain Rehanah Sadiq, we hear the stories of some of the sickest pab.ents who survived the Covid wards, as well as their families. We meet care staff who found ways of tooking after the emotional and spirilual well-being of patients and families in the most dIff1t of cirCumstans. The Comrnissioning Editor called il'a fantastic listen, raw in inlensily and full of hope. The Mganing of Rltual for BBC Radio 3. In this series of five Essays broadcast in the week running up to Chiislmas, writer Madeleine Bunting explores why religious and secular ritual has been such a pervasive feature of human societies and whether the 21st century may see much of il disappeaf. Or are we witnessing Ihe creation of new forms of ritual which are both personal and meaningful? The Right Thing: A Llfe Worth L6vlng7 Mike wldridge tslks lo Beth and Stephen Ball. a Christian couple who were dislraughl when their first child was diagnosed with Down's syndrome in the womb. Bul their emotional and spiritual crisis was not the end of the story. "Heart-breaking slulf. Very mowng indeed. You make thè personal and private fresh and epic. Another pair of slandoul programmes. Go and win prizes.. Simon Pilts, Commissioning Editor, BBC World Service Elghteen Years in Hell_ John Mccarthy hears the slory of Azyz Bine8ine. who spent 18 years in Morocco's notorious Tazmamart prison following a failed coup. The conditions were so awful that most of his fellow prisoners perished- bul Aziz survived, thanks not least lo his allilude of complete surrender lo God. 'Anolhw fascinating portrait. The birds make it. And mummys plate at dinner. And the 0. How extraordinary.. Simon Pitts,
CTVC Limited Report of The Trustees for the year endod 31 Docgmber 2021 {continued} Aehievements and Performance (continued) Pgrformance- Some ofour programmes: Audio- Podcast {Things Unseen) A Midwife for Mary. The Gospels say little aboul the actual birth of Jesus. What would it have been like for a young woman, probably a leenager. lo give birth for the fiist lime. far Irom home. with no medical kelp, in a stable or cave? Wouldn't Joseph have gone lo find a I(al midwife? According to one apocryphal versK)n of the nativity story. that's what he actually did - and in Ihis Christmas edrtion of Things Unseen, Rae Duke explore5 that story with modern-day midwives. Caiholic writer Tina Beallie explains how parts of il have influenced the faith of some Christians lo this day. Premier Christian Radio bioadcasl il on 27th December. A Uyghur Ramadan. Ouf Ramadan podcast fealured members of three Uyghur families in exile in the UK, including the singer Rahima Mahmul. They share their memories of Ramadan al home in China's Xinjiang province, and how parents had to keep theif fasting secret even from their own children. It was parts"cularly timely because in April, the House ol Commons declared China's persecution of its mostly Muslim Uyghur minority, a genocide. Patient 13. We marked Holy Week and Easter with an original CTVC avdio drama written and directed, in COVID19 compliant fashion, in-house. Mov4ng belween the lime of Jesus and a 21st century hospital ward il explores the story of Chrisl's passion from the perspective of Judas, the Irailor. The cast was led by Brian Vernel Iwho previously shone in Dunkirk and Star Wars) as Judas. Premier Christian Radio played the podcast on Maundy Thursday, when il would have had around 70-100,000 lisleners and extended the subject malÈr lo a full hour by inviting an expert studio guest lo talk about Judas. Audio . Training Institute for Strategic Dialogue. CTVC delive(ed another two media training WOTkshops for members of this think lank organisalion who deal with religiovs, and other forms. of exlfemism. Digital - Education {TrueTubel TrugTube wgbsite. After an extensive evaluation. a new plalfomi was developed with an improveLI search functionality. 11 also hosts conlenl we have created for the BBC through our new embedding funclionalily. Work is now underway lo write the back-log of lesson plans and teaching resources which are needed lo improve the sile further. Centre Stage.. In time for Black History Month, CTVC released films exploring racism, as well as k)oking at the true definition of racism. They have also been well-received on our YouTube channel, where we released them early in response to the racism problems seen in British football.
CTVC Limited Report of Tho Trustees for the year ended 31 December 2021 (continued) Achievements and Performance Icontlnuedl Digital - New Media Addiction. Funded by the Romani Foundation, TrueTube released nine new films in memory of the founder's son who died four years ago aflef his struggle with addiction. Accompanied by lesson plans ancl leactrEr notes, the films have been well received. Paflnerships. CTVC have worked with a record number of highty regarded charities and or9anisations to create conlenl for TrueTube including. BBC Teach, The Salters Inslilijte, Red Cross. FASTN, Money Advise Service and the Capuchin Franciscans of Great Britain. This is an excellent way of working with likeminded Feople to bring their voices lo a mass audien. Dlgltal Training CTVC delivered a number of training courses for The Brilish Film Inslitule. Normally, Ihey would be delivered in regular group meetings or a in a residential selting. however. due lo COVID19 reslriclions, the coutses were all delivered online and have been very SUc$shI1. Futurg Plans Across departments, CTVC again secured commissions across the board despite the continuing unceitainly with further lockdowns and reslriclions, which is an extraordinary achievement. CTVC continued lo produce high quality programmes and has siarled working on new commissions for 2022. Despite the relaxing of COVID19 working resliiclions, the team are continuing to work either al home or In professional co-working spaces. A piiority will be secuiing permanenl 0fe facilities to accommodate a reduced office based workforce. With the support of Father Christopher Jamison, in Juty. CTVC presented ils slrale9y for considerali)n lo the RFL Trustees. Once finalised, the CTVC team look forward lo working more closely with their colleagues at thè Rank Foundation lo further the aims and objectives of both organisalions. -10-
CTVC Limited Report of The Trustegs for thg ygar endgd 31 December 2021 (continued) Financial Review Res9rvgs policy Al 31 Dècember 2021, the group hetd unreslricled funds of £651k12020 .. £582kl. The restricted funds deficit of £44k12020 deficit .' £3.3ml is made up of the defined benefit pension scheme liability and the pensDn scheme reserve.The pension reserve of £5.Om represents a funding commilmenl of £457k per annum over the next 11 years made by The Rank Foundalion. This is not available for other operational activities and is therefore shown as a reslricled fund in the financial statements_ The Defined Benefit Pension Scheme Reserve was in deficit of £5.Om 12020 deficil .' £8.8ml as a result of the annual valualion. Details of the pension scheme and pensicn scheme reserves are sel out in notes 12 and 14 of the financial slalemenls. Al the year end, the cash balance held was £673k {2020 - £773kl. The business depends on cash liquidity lo function adequately and the Trustees consider the cash balance to be an appropriate measure of ils reserves. The intention is lo maintain prudent cash reserves consistent wilh trading conditions.11 needs to be sufficient lo meet the financial obligations which may include any requirement lo'cash Flow- the initial stages of program production or if required 'Exit' costs, defined as staff leavin9 Costs and any other costs associated with 'kninding up the organisalion. Our forecast for the next 12 months has concluded that the previous desired level of cash held is no longer appropriate. Following the easing of reslriclions, the Truslees will review and update ihe reserves policy lo reflect the needs of the business al Ihal bme. Operating income and funding Following a reduction in the COVID19 reslriclions. income iKreased significantly compared lo 2020. Income received from third parties for television contributions was £1.058m (2020 £551 kl, for Digital £397k12020 ." £238kl and for Audio programme £78k12020 ." £34k). See note 16 for the perfomance of Hillside Productions. Grants were received from our parent undertaking, The Rank Foundation, of £1.293m12020 ." £1.268m}. The operational grant has been approved at an increased level of £1.332m for 2022. We received grants lolalling £29k12020 .' £ 45k) from the Governments Job Relents'on Scheme to pay for staff placed on furlough. Overall perfomiance The financial performance of the group as detailed in the Slalement of Financial Activities is still being affected by the restrictions placed upon us caused by the COVID19 pandemic_ However, income in all areas was up on 2020. The year-end valuatn ol the Defined Benefit Pension Scheme liability undei the FRS102 accounting rules has improved considerably, the overall result is an actuarial gain of £3.413m12020 ". loss £ 1.788ml.
CTVC Limited Report of The Trustees for the year ended 31 December 2021 (continued) Financlal Review Icontinuedl Revlew Throughout the year staff have continued to work mainly from home, while access to the serviced offre secured during 2020 has continued on an occasional basis. 11 is envisaged thal duiing 2022 8 more permanent home will be located. While il is impossible lo prediel with any real certainty how long il will take lo recover in full. measures have been taken lo assure that the cash reserve will see the company through the next Iwelve months wilhoul IFE need for additional funding. Going con¢grn The Rank Foundation Limited has confirmed its grants lo support the pension deficit, and for operaltinal activities at eurrenl levels until al least April 2023. In light of the conlinued financial support, and the measures outlined above, the Trustees are satisfied that CTVC is a going concern. This report has been prepared in accordance with the special provisions relating to small companies within Parl 15 of the Companies Acl 2006. Other A full copy of the annual report and accounts can be obtained from 12 Wamick square. London, SW1V 2A4. Provision of Information to our Auditor So far as the Trustees are aware at the lime the report is approved, There is no relevant audit information of which the companls auditors are unawaie, and the Trustees have taken all steps that they ought lo have taken lo make themselves aware of any relevant audit information and lo establish that the auditors are awaie of that informatK)n. Auditor The audilors, BDO LLP, are deemed to be reappointed under section 487121 of the Companies Act 2006. On behalf of the Board. 26 April 2022 12 Warwick Square London SW1V2AA MrA. N. R. Fleming -12-
CTVC Limited Independent Auditorfs Report to the Members and TrustO9s of CTVC Limited Opinion on the Financial Statements In our opinion. the financial slalemenls.. give a true and fair view of the stale of the Group's and of the Parent Charitable Company's affairs as at 31 December 2021 and ol the Group's incoming Tesouices and application of resources and the Parent Charitable Company's incoming resources and application of resources for the yeai then ended.. have been properly prepared in accordance with United Kingd( Generalty Accepted Accounting Practice., and have been prepared in accordance with the requiremerbls of the Companies Act 2006. We have audited the financial stalemenls of CTVC Limited {"the Charitable Company") and ils subsidiary l.the Group I for the year ended 31 December 2021 which compii5e the consolidated statement of financial aclivilies incorporating a consolidated income and expenditure account, the company slalemenl of financial activities incorporating a income and expenditure account, the consolidated balance shee( the company balance sheet, the consolidaledl cash flow slalement and notes lo the financial slalemenls, including a summary of significant accounting poliryes. The financial ieporling framework that has been applied in their preparation is applicable law and United 'ngdoM Accounting Standards, including Financial Reporling Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland Iuniled Kingdom Generalty Accepted Accounting Practs.l. Basis for opinion We conducted our audit in 8ecordance with International Slandaids on Auditing IUKI {ISAs IUKII and applicable law. Our responsibilities under those standards are further described in the Auditorfs responsibilities for the audit of the financial slalements section of our report. We are independent of the Gioup and the Parent charitab Company in accordance with the ethical requirements relevant lo our audit of the financial slalemenls in the UK including the FRC'S Ethical Standard We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusion5 related to going concern In auditing the financial slalemenls. we have concluded that the Trustees. use of the going conrn basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed. we have not identsfied any material uncertainties relating lo events or conditions that, individually or eolleclively. may cast significant doubl on the Group and the Parent Charilable Company's ability to continue as a going concern for a period of al least ts¥elve months fiom when the financial slalements are aulhorised tor issue. Our responsibilities and the responsibilities of the Trustees wilh respecl lo going concern are described in the relevant sections of this reporL Other information The Trustees are responsible for the other infomation. The other infomialion comprises the information included in the Report of the Trustees and Financial Statements, other than the financial statements and our auditor's reF)orl thereon. The other information comprises." the Report of the Trustees. The Trustees are responsible for the other information. Our opinion on the financial slalemenls does nol cover the other information and. except lo the exlenl otherwise explici15y slated in our report, we do not express any form of assurance conclusion Ihereon. Our responsibility is lo read the other infomialion and, in doing so. consider whether the other information is materially inconsislenl with the financial slalemenls or our knowledge obtained in the audit or olheiwise appears lo be materially misstated. If we identify such material inconsistencies or apparent rnalerial misslalemenls, we are required lo determine whether there is a material misstalemenl in the financial slalemenls or a material misslalemenl ol thè other information. If, based on the work we have performed, we conclude Ihal there is a malerial misslalemenl of this other information. we are required to report that fact. We have nothing lo report in this regard. -13-
CTVC Limited Independent Auditorfs ReF>Ort to the Members and Trustees of CTVC Limited Icontinuedl Other Companies Acl 2006 reporting In our opinion, based on the work undertaken in the course of the audit the informalion given in the Trustees, Report, which includes the Directors. Report prepared for the purposes of Company Law. for the financial year for which the financial statements are piepared is consistent wi(h the financial slalemenls., and the Directors, Report, which is included in the Truslees. Report. has been prepared in accordance wrth applicable legal requirements. In the light of ihe knowledge and understanding of Ihe Group and the Parent Charitable Company and Is environment obtained in the course of the audit, we have not identified material misstalemenls in the Strategic report or the Trustees, report. We have nothing lo report in respecl of the following matters in relalJ"on to which the Companies Act 2006 requires us lo report lo you if. in our opinion", adequate accounting records have not been kept by the Parent Charilable Company. or returns adequate for our audit have not been received from branches not visited by us". of the Parenl Charitable Company financial statements are not in agfeemenl with the accounting records and returns., certain disclosures of Trustees, remuneration specified by law are not made", or we have not received all the informalion and explanalions we require for our audit., or the Trustees were not enlilled lo prepare the financial ststemenls in accordance with the small companies regime., or were not enlilled lo lake advantage of the small companie5, exemptions in preparing the directors, report and from the requirement lo prepare a strategic report. Responsibilitigs of TrustgOS As explained more fully in the Trustees, responsibilities in ielalion lo the Financial Slalemenls. the Trustees Iwho are also the directors ol the charitable company for the puiposes of company lawl are responsible for the preparation of the financial statements and for being salisfied Ihal they give a true and fair view. and for such nlernal control as Ihe Trustees determines is necessary lo enable the preparation of financial statements that are free fr material misslalemenl, whether due lo fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the Group's and Parent Charitable Company's ability lo continue as a going conceTn, disclosing. as applicable, mallers reiaed lo going concern and using the going concern basis of accounting unless the Trustees either intend lo liquidate the Group or the Parent Charitable Company or to cease operations. or have no realis allemalive but lo do so. Auditor's responsibilities for the audit of the financial statements We have been appointed as auditor under seelion 144 of the Charities Act 2011 and report in accorda with the Act and relevant regulations made or having effect Ihereun¢Jer. Our objectives are lo obtain reasonable assurance about whether the financial slalemenls as a whole are free from material misslalemenl, whether due to fraud or error, and to issue an audilorfs report that includes our opinion. Reasonable assurance is a high level of assurance, bul is not a guaranlee that an audit conducted in accordance with ISAS IUKI will always delecl a material missialemenl when it exists. Misslalemenls can arise from fraud or error and are considered material if, individually or in Ihe aggregate. they could reasonably be expected to nfluence the economic decisions of users taken on the basis of these financial stalemenls. Extent to which the audit was capable of detecting iAregulariti&s. including fraud Irregularities, including fraud, are instances of non<ompliance with laws and regulations. We design procedures in line with our responsibilities, ouuined above. lo detect material misslatemenls in respect of irregularities, including fraud. The extent lo which our procedures are capable of delecling irregularities. including fraud detailed below.. Based on our understanding of the Charity and the induslry in which il operates, we identified that the principal laws and regulations that directly affect Ihe financial slalemenls lo be the Companies act 2D06 and the relevant charilies acts in the UK. We assessed the exlenl of compliance wlh these laws and regulalions as part of our procedures on the related financial slalemenl items. -14-
CTVC Limited Independent Auditorfs Report to the Members and Trustegs of CTVC Limited l¢ontinuedl In addition the Charity is subject lo many olhei laws and regulations where the consequences of non<ompliance could have a material elfecl on amounts or disclosures in the financi31 stalements. for instance through the imposition of fines or liligalion. We identified the followin9 areas as those most likely lo have such an ellecl. employment law, data protection and health and safely legislation. Audiling standards limit the required audit proc&Jures lo identify non- compliance with these laws and regulab.ons to enquiry of the Truslees and other management and inSptiOn of regulatory and legal correspondence if any. Audft procedures performed by the engagefflenl team ir7cluded= Discussions with management and group audit committee. including consideration of known or suspected instances of non-compliance with laws and regulations and fraud. Reading minutes of meeting of those charged wilh governance. and reviewing coriespondence with HMRC and the various charity regulators., Challenging assumptions made by management in their significant accounting eslimales in particular in relation lo the eslimalion of costs lo complete of revenue contracts and assumptions used in the Calculation of the defined benefit pension liability. and In addressing the risk of fraud through management oveiride of conlrols., lesling the appropriateness of journal entries and olher adjuslmenls, in particular any joumals posted by senior management or with unusual accounts ombinalions Our audit procedures were designed to respond to risks of material misslalemenl in the financial slatemenls, recognising that the risk of not detecb.ng a material misslalemenl due lo fraud is higher than the risk of not delecling one resulting from error. as fraud may involve deliberate concealment by. for example, forgery, misrepresenlalions or through collusion There are inherenl limitations in the audit procedures perfomied and the further removed non- complianee with laws and regulations is from the everbls and transactions reflected in the financial slalemenls, the less likely we are lo become aware of it. A further description of our responsibilities for the audit of the financial statements is l¢xaled al the Financial Reporting Council's I'FRC'S'I website at.. hllps".Ilwww.frc.org.uklauditOTsreswJnsibililies. This deriptiOn forms part of our auditor's reporL Use of our report This report is made solely lo the Charitable Company's members. as a body. in accoidance wth Chapter 3 of Parl 16 ol the Companies Act 2006. Our audit WOTk has been undertaken so that we might slate lo the CharilatAe Company's members those malters we are required to stale lo them in an audilor's report and lor no other purpe. To the fullest exlenl permilled by law, we do not accept or assuffle responsibility to anyone other than the Charitae Company and the Charitable Company s members as a body, for our audit work. for this report. oi for the opinions we have fomed. 8cec15411E97446 Fiona Condron {senior slalulory auditor} For and on behalf of BDO LLP. ststulory auditor Gal¢k Dale.. 03 May 2022 BDO LLP is a limited liability partnership registered in England and Wales (with fegistered number OC3051271. -15-
CTVC Llmltèd Consolidated Ststement of Financial Aclivities incorporating a Consolidated Incomè and Expenditure Account for the year ended 31 December 2021 2021 2020 Note Incomè £'ooo £'ooo £'ooo rooo £'ooo £'ooo Donatlons Grants General Job Retenlion Sthen Kickslart scheme 1.293 29 1.293 29 1.268 45 1.268 45 1,328 1,328 1.313 1,313 Income from charltable actlvltles Contributions towards Pfoduclion costs Television Audio 1.058 78 241 1,377 1.058 78 397 1,533 551 34 141 726 551 34 238 823 156 156 97 97 Investment Income Other Income Sundry sales Total Income 2,7( 156 2,862 2.047 97 2.144 Expendlture Co8ts of ralslng funds Commercial products.ons Expènditure on charitable aclivitiès Television produC.0n Audio 1.323 317 993 2.633 112 1.435 317 1,149 2,901 142 1,010 365 1.104 2,479 365 1,007 2.240 239 Total èxpenditurè 2,637 268 2,905 2,245 239 2.484 Net income I lexpenditurel 69 11121 1431 11981 11421 13401 Actuarial gains I Ilossesl on defined benefit pension scheme Net movement Sn funds 12 3.413 3.413 11,7881 11,7881 69 3,301 3.370 11981 11,9301 12,1281 Reconciliation of funds Total funds brought forward 582 13.3451 12.763 780 11.4151 16351 Total funds earnèd forward 44 607 3.345 2.763 All income and expenditure derive from CA)ntinuing aclivilies. The Group has no recognised gains or losses other than Ihose shown in Ihe stalemenl of finan81 aclwilie5. -1
CTVC Limited Company Statement of Flnanclal Activlties incorporating an Income and Expenditure Account for thè year Ènded 31 December 2021 2021 2020 Note Income £'ooo £'ooo £'ooo É'ooo £'ooo £'ooo Donation8 Grants General Job Retention Scheme Kickstarl Scheme 1.293 29 1.293 29 1,268 45 1,268 45 1.328 1.328 1.313 1,313 Income from charitable actlvltles Conlribulion5 towards products.on costs Television Audio 1,058 78 241 1.377 1.058 78 397 1.533 551 34 141 726 551 34 238 823 97 97 Invèstmont Income Other Income Sundry salès Total Income 2.7( 156 2.862 2,047 97 2.144 Expenditure Impairment of subsldlary 16 56 56 Expendlture on charitable activities Television Audio Training Digital 1.323 317 112 1.435 317 868 365 142 1.010 365 993 2.633 156 1,149 2.1 1,(x)7 2,240 97 239 1.104 2,479 Total expendlture 2.633 268 2.901 2.296 239 2,535 Nèt in¢oTne I lexpenditurèl 73 11121 1391 12491 11421 13911 Actuarial gains I Ilossesl on defined benefit pension scheme Net movement in funds 12 3,413 3.413 {1.7881 11,7881 73 3.301 3.374 12491 11.9301 12,1791 Reconclllation of funds Total lund5 brought fonyard 582 (3.345) 12.7631 831 11,4151 15841 Total funds earned lorward 44 611 3.345 2.763 All income 8nd expenditu derive from cont¥iuing activities. The charity has no CogniSed gains or b55es other than those shown in statement of financial activities. -17-
CTVC Llmlted Consolldated Balancè Sheet 31 De¢embeT 2021 Company number 137S941 2021 Total Funds 2020 Total Funds Note t'ooo £'ooo Flx•d assets Tangible asset5 14 Total flxed assets 14 Current assèts Debtors Cash at bank and in hand 10 5,357 673 5,591 773 Totsl eurr•nt assets 6.030 6.364 Liabilities Amounts lalling due wthin one year 11 {3971 13501 Net current assets 5,633 6,014 Net assets excluding penslon Ilabllity 5,640 6,028 Defined benefit pension schemè liablty 12 15.033} 18.7911 Net assets I Illabllltlesl Includlng penslon Ilablllty 607 2,763 rhè funds of th& charity General Fund Defined Benelil PenSn Scheme Reserve Pension Reserve 14 12and 14 13and 15 651 15,0331 4.989 582 18,7911 5,446 Total consolldated charfty funds 607 2.763 The accounts have been prepared in accordance wth the speaal provisions relating to small ornpanies within Part 15 ofthe Companies Act 21JO6. The financial statements on payes 16 to 34 were approved an¢J authorised lor issue by the Board of Trustees on 26 April 2022_ Mr A. N. R. Fleming Chairman
CTVC Limited Company Balan¢e Sheet 31 December 2021 Company number 1375941 2021 Total Funds 2020 Totsl Funds Note £'ooo rooo Flxed assets Tangib asseis Shares in subsidrary undertaking 14 16 19 Total fSxed assets 26 33 Currènt assets Debtors Cash al bank and in hand 10 5,360 516 5,591 616 Total current assets 5,876 6.207 Liabilities Amounts falling due within one year 12581 12121 Net ¢UTrènt assèts 5,618 5.995 Net assets excludlng penslon IlabS11ty 5.644 6,028 Defined benefit pension scherne liabih'ty 12 15,0331 18,7911 Net assets I Iliabilitiesl Includlng penslon Ilablllty 611 2,763 The funds ol the charity General Fund Defined 8enelil Pension Scheme Reserve Pension Reserye 655 15.033 4,989 582 18.7911 5,446 12and14 13and15 Total charity funds 611 2,763 The accounts have been prepared in accordance with the special provisions relating lo small ompanies wthin Part 15 oflhe Companies Act 2006. The financkql s181emenls on pages 16 to 34 were approved and authorised foi issue by the Board of Truslees on 26 April 2022. MrA. N. R. Fleming Chaiirnan -19-
CTVC Limited Consolidated Cash Flow Statement for the year ended 31 Decembgr 2021 Note 2021 £'ooo 2020 £'ooo Cash flows from optratin9 a¢tivities'. Net cash used In operatlng activitiès 1991 13201 Cash flows from Snvestlng actlvltles Investment Income Purchase of tangible fixed assels Net cash used in Inve$ting activitles Change In cash and cash equivalents in the reporting pèriod {1CKII 13201 Cash and cash equlvalents at the beginnin9 of the reporting pèriod 773 1,093 Total cash and cash equlvalents at the end of the reporting pèriod 673 773 A. Reconclllatlon of net expendrturè to nèt eash flow frorn operating activities Net expenditure for the period las per the statement of flnanelal activiiiès) 1431 13401 Adjustments for Pension finan Pension contributions Investment income Depreciation charge Detrease in debtors Increase I Idecreasel in creditors 112 14571 142 14571 234 47 541 (2131 Nèl ¢a¥h used in operating activities 99 320 No re¢oncilialion of net funds ha5 been prepared as CTVC only h)Ids cash and cash equivalents. -20-
CTVC Limited Noles To The Financlal Statements for the year ended 31 December 2021 Accountlng pollciès al 8asis of preparation The financial slalemenls comprise the charity and ils subsidiary. These financial slalemenls have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 102). The Charitable Company and its subsidiaries are a public benefit group for the purposes of FRS 102 and theielore the Charrty also prepaled ils financial slalements in accordance with the Statement of Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {The FRS 102 Charities SORP), the Companies Act 2006 and the Charities Act 2011. These financial slalemenls are prepared on a going concern basis. under the historical cost Conventn. The reslriclions pul in place due to Coronavirus COVID19, have significanuy impacted our ability lo re1ve commissions for new work, and the impact of this could repiesenl a material uncertainly in the going concern assessment. A review of the forecasts for the company has been undertaken for the 12 months from date of signing. which included updating the business m(Mlel. The projecb.ons only include income already contraeled and deliverable during the currenl restrictions and therefore within our control while removing any material uncertainty in the assessment. Staffing levels will be monitored and steps taken lo reduce overhead costs where possible. The Trustees have assessed whelhef the use of the going concein basis is appropriate and have considered possible events or conditions that might cast significant doubl on the ability ol the charitable group lo continue as a going concern. The group had a negative balance of funds al the balance sheet dale. As explain in the reserves policy note on page 11, this is the combined effect of the defined benefit pension scheme lability and the pension scheme reserve. The Trustees have collsidered the changing nalufe of pension scheme fund valuations in this process. The Trustees have received a binding commilmenl from Ihe Rank Foundation for funding until April 2023 and are aware of the Rank Foundation's intention lo provide ongoino support for the foreseeable future. Consideration has also been given lo the charitable group's forecasts and projections and have taken account of pressures on donation and investment income. The majority of the Trustees are also Trustees of TIE Rank Foundation and are aware of The Rank Foundalions finances and are able to conclude that there is a reasonable expectation that the charitable group has adequate res(r¢eS lo continue in operational exislence for the foreseeable future. The Truslees have concluded that il is appropriale for the charilable group lo continue lo adopt the going concerrk basis in preparing ils financial stalemenls. -21-
CTVC Limited Notes To The Flnaneial Statements forthe year ended 31 Dècember 2021 1. Accounting policies Icontinuedl The principal accounting policies adopted in Ihe preparation of the financial statements are sel bl Funds Unrgstricted General Fund All transactions not requiring the use ol other specific funds are recorded here. Restrlcted - General Fund Contains funds that can only be used for specific purF)oses. Restricted - Defined Benefit Pension Schem9 Reserve The liability of Ihe pension scheme as per the FRS 102 valuation as at 31 December 2021. Restricted - Pgnsion Rgserve The amount sel aside by The Rank Foundation lo clear the outstanding balance ol the pensson scheme deficit as defined in the triennial pension valuation. The ¥emaining period is len years. eleven months. c) Income All income is recognised when there is enlrtlemenl to the funds. the receipt is probable and the amInI can be measured reliably. In addition, for income relating lo the rendering of services which are partially complete al the baance sheet dale. Where the costs incurred for the service and the costs lo complete the transaction can be measured reliably, the income recognised in the slalemenl of financial activilies is calculated by the percentage complelicl) method. d} Expenditure Liabilities are recognised once there is a legal or constructive oblioation to transfer economic benefit lo a third parly, il is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis and has LEen classified under headings that aggregate all costs related lo the category. el Basis of allocation of costs Costs of Charitable activities Costs of activities in furtherance of the ch8riVs objects Inle$ 811 costs relating lo the production, sale and distribution of programmes and allributable overheads plus an apportK)nmenl ol overhead, support and governance costs. Allocation of overhead. support and govgrnan¢e ¢ost$ Costs are allocated between the cost of raising funds and charitable aclivib"es. Costs relating lo tharilable activities have been apportioned beiween activities on ihe basis of headcounl.. -22-
CTVC Limited Notes To The Financial Statements for the year ended (continued) 31 December 2021 Accounting pollcles (continued) fl Critical accountlng estlmates and areas of judggment In the view of the Trustees in applying the accounting policies adopted, with the exception of the Lkfilled Pension Scheme (see below}, no judgements were required that have a significant eflecl on the amounts recognised in the financial slalemenls nor do any estimates or assumplK)ns made carry a significant risk of material adjustment in the next financial year. The annual budget estsmates the surplus required from programrne funding lo supplement the grant in covering salaries and overheads. Assumptions in relation lo the estimate of the Defined Benefit PenSn Scheme Reserve obligation such as standard rales of inflation, mortality and discount rate. Variations in these assumptions have the ability lo significantly influence the value of the liability recorded and annual defined benefit expense. Assumptions are based on actuarial advice. g) Basls of consolidation The consolidated financial statements comprise CTVC Limited {"CTVC"l and ils trading subsidiary, Hillside Productions Limited. A summarised profit and loss accouDI and balance sheet of Hillside Productions Limited are given in note 16. h) Basis of capitalisation Amounts capilalised ielate to costs of acquisition of assets expected lo be used by CTVC in the lon¥ lerrn. Only pieces of equipment that have a cost price of more than £1,000 are capitalised. Dgpreciation - Assets for the Charity's own use Tangible fixed assets are slated al cost less accumulated depreciation. Depreciation of fixed assets is Calculated by reference lo cost at rates eslimaled to write off the relevant assets over their expected useful lives, taking into account normal commercial and technical obsolescence. The annual rales used are-. Plant and equipment Fixlures and fillings". Technical Oflice 10% to 50% of cost 10% to 50% of cost 10% to 20% of cost Any assets considered impaired are written down to their recoverable amount. -2&
CTVC Limited Notes To Thè Fillancial Statements for the year ended Icontinuedl 31 Decembgr 2021 1. Aecounting policies Icontinuedl i} Dèfined benefit pension schemg The scheme was closed during 2002. In 2021 £457k was paid into this scheme in line with Ihe schedule of conlribulions. The amount charged lo the slalement of financial activities in iespecl of this scheme is the eslimaled increased cost of providing the historical benefits accrued. The interest cost and expected return on 8ssels are included within other finance costs in support costs. The assets of the scheme ale held separalety from Ihe gfoup in separate Iruslee administered funds. Full actuarial valuations, by a professionally qualified actuary. are obtained al least every three yearA and updated lo rellecl current conditions al the balance sheet dale. The pension scheme assets are measured al fair value. The pension scheme liabilities are measured using the projected unil method and discounted al the current rale of return on a high quality corporate bond of equivalent term and currency. A pension liability is recegnised on the balance sheet lo the exlenl that the group has accepted the obligation lo settle the eslimaled liablity. jl Defined contrlbution penslon 8¢heme Employerfs contributions are charged to the ststemenl of financial aclNibes and accrued as they become paya)le. kl Disclosure gX9mption$ The company has taken advantage of the following Financial instrument disclosures Key management personnel compensation Ibul company law dI10$Te$ for Trustees. remuneration still apply) No cash flow slalemenl has been prepared for the parent company Constitution CTVC is limited by guarantee not having a share capital. Parent undertaking Grant The grant is from the immediate and ullimale parent company, The Rank Foundation Limiled15164341, a re9isleied charity1276g761 whose address is." 12 Warwick Square, London, SW1V 2AA. The Rank Foundation Limited has provided a guarantee that they will fund the deficit of the Defined Benefit Pension Scheme. In addition, il has confirmed ils financial support foi operational activities until al least April 2023, The operational grant has been approved al an increased level of £1.332m lor 2022. The Rank Foundation Limited prepares consolidated accounts. which incorporate the results of The Rank Foundation and ils subsidiary companies which include CTVC and Hillside Productions. -24-
CTVC Limited Note5 To The Financial Statements for the year ended Icontinuedl 31 Dec9mber 2021 4. Analysis of total expendoturn 2021 Dlrect Costs £'ooo Stsft Costs Occupancy O•preclatlon £'ooo £'ooo £'ooo Support Costs £'ooo Other £'ooo Total £'ooo Cost of Raislng Funds Charitable activities Television Radio 898 59 270 317 126 340 1,435 317 1,149 2,901 132 462 77 Total Charitable actlvrtles 1,227 783 196 695 Analysis o15UPPOrt costs Governance ¢osls 23 25 109 21 16591 1361 15 Total Support and Governance costs Total expenditure 517 23 25 130 16951 1,227 1.3LK) 23 25 330 2,905 2020 Cost of Raising Funds ChaTltable actlvltlas Television Radio 363 19 171 290 148 209 191 579 1,010 365 1,104 2,479 58 Total Charitable activities 553 741 2(6 979 Analysis of sUPPOrt costs Governance costs 558 15 217 157 24 19401 1391 19791 Total Support and Governance costs 573 217 Total expendlturè 553 1.314 217 392 2.484 Included above in Charitsble actiwties- Television, is £112k12020 .' £142kl. which relates to pension finance costs and an adjustment lor past senrice c05t5 in the reStrled funds- Nole 12. The expenditure above includes cost5 incurred by the subsidiary under'cost of Raswig Funds. and this line is the difference between consolidated and CTVC only expendituie. Total Support and Govemance costs have been apportioned over Ihe Charitable acbvitEs usin9 Staff nutnbers as the basis for the apportionment. 5. Analysis of Governance costs 2021 £'ooo 2020 É'ooo Auditorfs remuneration Legal and professional fees Senior management- remuneration all(>Galion 15 16 15 36 39 Governance costs for the Group include an allocaiion ol the operating cosls relating lo the CEO and COO. They represent the support necessary to deliver the management and reporting requ1meThI$ foi Ihe Boards wrthin the wider Group. -2
CTVC Limited Notes To The Financial Statements for the year ended Icontlnuedl 31 December 2021 Trustees and Employees 2021 2020 Avèrag8 number employed Employed in charltable actlvltles lexcludlng Trustees) Direct charitable Support 16 16 Total 21 Employees. emoluments Number of Staff eaming £70,001 to £80,0 Number ol Staff eaining £80,001 to £90,OQKI Number ol Staff eaming £90.001 lo £100.CKJO Nutnbei of Staff eaming £100,001 to £110.000 Number ol Staff eaming £120.001 to £130,000 Number ol Staff eaming £130,001 to £140.000 Employer conlribulions lo Ihe money purchase schemes were paid in respecl of ihe above ernployees £30,91412020 .' £30.81. The Key management personnel of the group are the Chief Execulive Olficer and the Chief Operaling OffIr Isee page 21 whose employee benefits totalled £224,80212020: £235.9431. Stsff co¥lJ including Trustees. emoluments £'ooo £'ooo Wages and salaries Re¢Jundancy paytnenls Social security costs Personal Insurance IPHI. DISI Pension Scheme Contribultons Pension Scheme Costs 1,028 1,056 104 36 64 52 1.314 37 82 1,300 Trustees. emoluments Pension Contributions Emoluments excluding pension scheme contributions Chairm8n G. C. King M. A. Booth 16 10 26 10 28 Related Party Transactions The above mentioned Ttustees are not entrtled to pension benefiis and remuneraled solely for the profession81 services they render to CTVC and its subsKliary as allowed lor in our Memofandutn and Arb"cks of Association. The other 5 Trustees received no remuneration. Reimbursernent of expenses lo 2 Truslees12020'. 21 incurred in relation to dulle5 a5 Trustee5. 145 273 -26-
CTVC Limited Notes To Th8 Financial Statements for the year ended {continuedl 31 December 2021 Net expendlture Group CTVC Net expenditure Is stated after eharglng= 2021 £'ooo 2020 £'ooo 2021 £'ooo 2020 £'ooo Depreciation of tangible fixed assets Hire of equipment Rental ol premises 21 21 119 119 Auditorfs remuneration- audit Auditorfs remuneration- other 16 15 15 15 14 12 DUn9 the year CTVC purchased Trustees. and Officers, insurance Loss on currency exchange rate Contingent liability CTVC is included in a UK group regislralKJn lIh its subsKliary undertakn.ng for VAT purposes and is therefore jointly and severally liable for all group ¢ornpanies' unpaid debis in Ihis ¢onneclion amounting lo £4.175 as al 31 December 2021 {2020". Nlll. -27-
CTVC Limited Note8 To The Financial Statements for thg year gnded lcontinugd) 31 Decembgr 2021 Tangible fixed assets- Assets for the Charlty's own use GTOUP and CTVC A¥at 01 January 2021 £'ooo Asat 31 December 2021 £'ooo Additions £'ooo Disposals £'ooo Co¥t Plant and equipment Fixtures and fittings 38 29 67 39 29 68 Depreclatlon Plant and equipment Fixtures and fillings 33 20 53 35 26 61 Net book value Plant 8nd equipmenl Fixiures and fillings 161 Archlve CTVC owns a Film and Television programme archNe, %thich may have potential for further exploration to the benefit ol the ¢ompany. The unique nature of the archive means that it 18 onty in demand interrnittenlty depending on worfd events elc. We theiefore do nol think a reas0nab1elreliab valuatKJn o)uld be perfom)ed due lo Ihe uncEAainly ol ils use. -28-
CTVC Limited Notes To The Financial Statgments for the year ended {continued) 31 December 2021 10. Deblors Group CTVC 2021 £'ooo 2020 £'ooo 2021 £'ooo 2020 £'ooo Trade debtors Other taxation and social secunty Amount due from paienl undertaking (non pens)n1 Amount due from parent undertaking Ire pension) Amount due from subsidiary undertaking Accrued income and prep8yment5 123 49 123 49 26 5.446 26 5,446 4,989 4.989 245 5.357 67 5.591 245 5,360 67 5,591 Included in the amount due from parent vlertakIng Ire pension) is an amount of £4,531,925 12020 '. £4,988,921) due in more Ihan one year. 11. Amoun15 falling due within one year Note Group CTVC 2021 £'ooo 2020 £'ooo 2021 £'ooo 2020 £'ooo Creditors Trade creditors Other taxation and socSal security Amount due to parent undertaking Atnount due lo subsidiary undertaking Accruals and deferred income Other creditors 73 32 121 32 34 73 32 32 61 149 93 152 60 92 14 397 350 258 212 -29-
CTVC Limited Notes To The Financial Statements fof the year ended (continued) 31 Decembgr 2021 12. Penslons Al Dtrfined bèntrfit schème- closèd April 2002 The defined benefit. scheme covered Ihe maiorily ol CTVC'S employees up to the date of closure. The pension cost relating to the principal scheme is assessed in accordance wrth the advice of an independenl qualified actuary using tho projected unil method. It is to be noted that under this valuation method the cosls will increase as the members of the scheme approach retirement. The lalesl acluarial valualion of Ihis scheme was at the 30 Seplember 2018. The next fijll valuation will be as al 30 September 2021. The Rank Foundation has formalised their commitmenl to the fvnding of this scheme by puttin9 in plaee a legal guarantee that has been accepted by the Pensions Regulator. The Charity expects Io pay £457k in Ihe year to 31 December 2022. The Rank Foundabon seeks independent acluarral admce from lirne to lirne to manage the strategic risks of funding the scheme. The management ol the funding. inveslment. and compliance risks is undertaken by the pension sd)eme Trustees. who have 8PPOitiled their own indepèndent professional actuarial advisors. administrators, and investrnent manager. The TIu5tees have 8ppointed the scheme actuary to prepare the *olknwing detailed disckjsures and they have relied on the acluary's expertise in this regard. Explanation of amounts in th• financial statements Amounts recognlsed In the Balance Sheet at 31 December 2021 Value at 31 Dee¢mbèr 2021 £'ooo Value •t. 310eeember 2020. Fair value of assets Present value of funded obligations 11,366 116,3991 10.204 118,9951 Net Ilefined benèfit Ilabillty IS,0331 18.7911 Amounts recognisecl in the Income and Expenditure account over the year (See note 41 31 December 2021 £'ooo 31 Decembei 2020 È'ooo 242 1130} 339 11971 Interest on assets Total 112 142 Actuarial ains I losses Over the ear 31 December 2021 £'ooo 31 December 2020 £'ooo Gains on scheme assets in excess of interest Expenenee losses on liabililies Gains from changes to derrK)graphic assumptions (Gains) I losses from changes to financial assumplions 11.3781 141 13581 11,6731 12421 2,030 Total actuarlal movement 13.4131 1,788
CTVC Limited Notes To The Financial Statements for the year ended (continuedl 31 Decembgr 2021 12. Pension5 Icontinued} Explanation of amounts In the flnanclal statements {continuedl Reconclliatlon of aB8ets and defined benefit obligatlon The change In the assets over the period was= Value at 31 De¢tmber 2021 £'ooo Value'at 31 December 2020 £'ooo Falr value of assets at the beglnning of the perlod 10.204 9.947 Interest on assets Company contributions 8enefils paMI Return on scheme assets less intere51 130 457 18031 1.378 197 457 16391 242 Fair value of assets at the end of the perS0(5 11.366 10,204 The chan e in the Defined Benefit obli ation over the eriod was.. 31 December 2021 £'ooo 31 Decembor 2020 £'ooo. Definèd Benefit obligation at the beginning of the perSod 18,99S 17,265 242 18031 141 13581 11.6731 339 16391 8enefits paid Experience loss on defined benefil obligation Gains from changes to demographic assumptions (Gains) I losse5 from changes lo financial assumptions 2,030 Defined Beneflt obllgatlon at the end of the perfod 16.399 18,995 Assets 31 Decembei 2021 £'ooo 31 Decembèr 2020 £'ooo Equities Fixed interesl Alternatives Cash 8.535 2 1,530 399 7,765 829 1,367 243 Total 11.366 10,204 Actual r•tum On •s$•ts 1.508 439 -31-
CTVC Limited Notes To The Financial Statements for the year ended Icontinuedl 31 December 2021 12. Pensions Icontinuedl The principal actuarial assumptions used to calculate the Scheme's liabilities in¢lude= 2021 2020 Discount rate Retail Prices In¢Jex IRPII inflatK)n Revaluation in deferment.. Pre May 2001 benefits Post May 2001 benefits Pension incfeases GMP earned before 06104188 GMP earned after 06104188 Pension earned before 01111V92 in excess of GMP Pension earned beeeTr 01110192 and 31105101 in excess of GMP Pension earned after 01106101 1.90% 3.60°/o 1.30• 3 20Yo 5.00V. 3.20¢ 360% 3 00°h 3.00% 5.00°/ts 3.10% 3.45% Life expectancy at age 65 01 male aged 45 Life expectancy 81 age 65 of rnale aged 65 Life expectancy al age 65 of lemale aged 45 Life expectancy at age 65 of female aged 65 22.6 21.3 25.9 24.5 23.2 21.8 26.0 24.4 Bl Defined contribution schemes The Company runs an autoonrolment compliant, salary sacrifice deffined cOntributn pensK)n scheme. The scheme is placed with and administered by The Creative PenSn Trust. 2021 £'ooo 2020 £'ooo Pension Charge for the period Balance due lo the schemes as at Ihe year end 54 Sensltivit laced on the value of the liabilities 31 Decefflber 2021 £'ooo 31 Decefflbèr 2020 £'ooo Appr0Mate affect on liability Dlseount Rale Discount rate -0.10% Cash Commutation Assutne members exchange 15% ofpension for cash Mortality Mortality loading redu¢ed by 5% for males and females 1100°/o of S3PMA and 90°k ol S3PFAI 255 323 432 339 423 13. Movement In trlennSal valuatSon £'ooo £'ooo É'ooo Deficit as per triennial valualion al 30 September 2018 Estimale lor loss of income 5,140 1,334 6,474 11141 1,371 Payments made into the fund during 2018 (pre valualionl Paymen15 made into Ihe lund during 2019 to 2021 Balance carrled forward The curtenl Schedule of ContributK)ns requsres an annual payment of £457,000 for a fvrther 10 years 11 rnonlhs (November 20321. -32-
CTVC Limited Notes To The Financial Statements for tho year ended {continued) 31 December 2021 14. Resee$ 2021 Note Asat 1 January £'ooo Other I transfèrs £'ooo Asat 31 December £'ooo Incorne £'ooo Expènditure £'ooo Unrèstricted Funds General 582 2.706 12,6371 651 Rèstricled Funds Training 9rants- BFI Total Gene[81 156 1971 1971 1591 1591 Penslon ReseNes Defined Benefit Pension Scheme Reserve Pension Reserve 14 {8.7911 (1121 3.870 15,0331 15 5,446 14571 3,413 4,989 Total- Pensions 13.345) 13.345) {1121 12091 1441 1441 607 Total- Restricted Funds 156 3.354 Total Funds The Brltish Film institute IBFII grant ftjnd film making training courses foryoung people. The surplus trom these activities have been allocated lo recovery ol CTVC overheads. 2020 Asat 1 January £'ooo othgr I translers £'ooo Asat 31 Dècèmber £'ooo Income £'ooo Expendlture £'ooo Unrestricted Funds General 2.047 2.245 582 Restrietèd Funds Training gr8nls- 8FI Total- General 97 1691 (281 97 1691 1281 Penslon Defined Benefrt PerTrsKTrn Scheme Resetve Pension Reserve 14 17.318) 11421 11,3311 18,791} 15 5.903 14571 5.446 Tolal- Pensions {1.4151 11421 11,7881 13,3451 Total- Reslricled Funds 11.4151 97 11,816 3.3451 Total Funds 635 -33-
CTVC Limited Notes To The Financial Statements for the year ended leontinuedl 31 December 2021 15. Analysls of net assets between funds Unrestricted General £'ooo Restrlcte(I Genèrdl £'ooo Pension £'ooo Total È'ooo 2021 Fixed assets Current assels Creditors." Amounts falling due wlhin one year Defined benefit pension scheme liability 1.041 13971 4.989 6,030 13971 15,0331 15.0331 Total net assets 651 44 607 2020 Fixed assets Current assets cditOrS." amounts falling due within one year Defined benefit pension scheme liability 14 918 {350) 14 6,364 13501 18,7911 5.446 18,7911 Total net assets I Iliabllitiesl 582 16. Net expenditure from trading activities of subsidiary CTVC has a wholly-owned trading subsNliary. Hillside Ptoductions Limited, %¥hich is inCoorated in England and Wales. The Prill¢lP81 activrty of Hillside Productions Limited is the making ol medka prDduclions. Any profils of HilL8ide Producbons Limited are usualty donated to CTVC by vrdy of qualtying tharitable dothation. A summary of Hillside Pioductions Lirnited's trading results for Ihe year is shown below. Profit and 108s account 2021 £'ooo 2020 É'ooo Turnover Cost of sales Gross protit Adminislralion expenses Operatlng loss {41 141 151 Lo¥¥ for the year 141 Summarlsed balance sheet Currenl assets Creditors.. amounts lalling due wthin e year 157 157 11381 Nel assets 16 19 Equity shaholderS. funds 16 19 CTVC's investment in Hillside Producliorhs Limited is 75,orK) ordinary shaS of £1 each. being Ihe whole issued equity share capital of that company. During 2020 an impairment reieW reduced Ihe value of Ihe shares held in the subsidiary undertaking by £56k. This being the cumulative effect ol prior years losses.
CTVC Limited 12 Warwick Square London SW1V 2AA t 020 7834 7731 f 020 7834 0579