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2020-12-31-accounts

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Charity No. 278104

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

CONTENTS

Page

1 Trustees’ Report
43 Independent Auditor’s Report
47 Consolidated Statement of Financial Activities
48 Consolidated and Institution Balance Sheets
49 Consolidated Cash Flow Statement
50 Notes forming part of the Consolidated Financial Statements

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Our Vision

Better performing buildings for society and the environment.

Our Mission

To advance and promote the art, science and practice of building services engineering, to invest in education and research, and to support our community of built environment professionals in their pursuit of excellence.

Our Values

We Lead

We are a trusted authority on the present and future challenges facing the built environment; we use our collective expertise and influence to champion the best and most innovative solutions with rigour and integrity.

We Empower

We provide people with knowledge, training and networking and a pathway to professional registration, so that their work will have a meaningful impact.

We Champion

We are vocal and visible in our drive to improve the performance, safety, health and sustainability of the built environment and we support and celebrate the talented people who make it happen.

We Inspire

We are passionate about the quality of the built environment and we encourage committed people, from every background, to join our community.

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Presidents message

When I took office last May we were just two months into the pandemic and it was clear, as I noted in my Presidential Address, that we had entered unprecedented times. COVID-19 has been devastating in its personal impact, causing losses among our communities, colleagues, friends and families. Those consequences for many businesses have been severe, adding concerns over livelihoods to the worries over the immediate health effects. But we have also seen how individuals, organisations, healthcare systems and governments have had to adapt and do things very differently to respond to uncertain and fast-evolving circumstances.

Our industry, and the wider science and engineering fraternity, have risen to the challenges, bringing their considerable expertise and energy to the emergency. The NHS Nightingale Hospitals provided a potent example of our industry at its best, with professional teams collaborating and leading to deliver complex healthcare settings rapidly within an array of existing buildings.

CIBSE has continued to operate and serve its members in the best way it can through the pandemic, helping to make its outputs as readily accessible as possible to members and the public and contributing to initiatives advising government on the safe operation of our buildings and homes during the crisis. We provided vital support to facilitate a safer built environment during the pandemic by publishing freely available guidance covering ventilation and safe re-occupation of buildings following lockdown, as well as the recommissioning of lifts and escalators. CIBSE was one of the very first engineering bodies to identify the potential risk of aerosol transmission of COVID-19 and explain the need to minimise that transmission route.

During this challenging year, it was especially important to recognise the talent of our industry and its diverse achievements, particularly in driving action to improve the performance, safety and comfort of buildings and respond to the climate emergency. CIBSE’s Building Performance Awards, now in their thirteenth year, paid tribute to the exemplary work of individuals, teams and organisations, featuring a string of projects showcasing excellence in renovation and renewal. The winning projects included the large-scale Agar Grove housing estate regeneration in London, delivered to the Passivhaus standard; the refurbishment of the Bartlett School of Architecture in London; The Engine Shed, Scotland’s Building Conservation Centre in Stirling; and the repurposing of the Mason Bros warehouse in Auckland, New Zealand.

CIBSE also understands the importance of supporting the next generation to develop and realise their potential in building services engineering. With that in mind, in 2020 CIBSE presented its first Apprentice of the Year Award, which was won by Megan Whitbread, an apprentice building services engineer at Troup Bywaters + Anders in London. The worthy finalists for this award and for the CIBSE ASHRAE Graduate of the Year Award all represent a very bright future for our industry.

Both of these awards are part of our Young Engineers Awards, which were presented in October in our first online awards ceremony. Like others, we had to move swiftly from face-to-face to online communication over the year to enable our events and training to continue. This move proved to be highly successful and has provided valuable industry insight and connections for our members during the pandemic’s lengthy periods of uncertainty and isolation.

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Presidents message (continued)

In September, the CIBSE ASHRAE Technical Symposium enjoyed its largest ever attendance, welcoming more than 350 delegates to its two-day programme. The CIBSE Build2Perform Live event in November, which took place in a virtual format over four days instead of its conventional two days, attracted more than 3,000 visitor registrations, an increase of 50% on usual numbers. In recognition of the challenges the building services community faced in keeping their CPD up to date while working remotely, CIBSE launched the #GrowYourKnowledge free webinar series, and this has quickly become a popular and much valued resource. Added to this, the Society of Light and Lighting ran its Lighting Research and Technology Symposium online, attracting a worldwide audience, which was double the usual size.

For all these events and more, we owe a special debt of thanks. Firstly, it is important to thank our volunteers and members, who have given their time and knowledge through often difficult circumstances to help maintain our online networks and deliver more publications than ever before. I would also like to thank CIBSE colleagues, who through their adaptability, resilience, effort and innovation have enabled so many important initiatives to be delivered through the year.

In championing technical, policy and regulatory improvement to drive better performance, safety, health and sustainability of the built environment, we also draw on the views of our members. We submitted formal responses to 16 consultations over the course of the year and continue to work with government and industry on actions in response to the Grenfell Tower fire. CIBSE contributed constructively to the pre-legislative scrutiny on the Draft Building Safety Bill in October and continues to work both directly with government and in collaboration with the Engineering Council and British Standards Institution to support reform.

Climate change remains one of our greatest medium and long-term challenge and we have continued our work to lead the response amongst built environment professionals. In July we updated the CIBSE Climate Change Action Plan and this is now serving as the basis for development of the Construction Industry Council’s Plan.

All of us have worked through unforeseen and challenging circumstance in 2020 and these required CIBSE to take action to initiate cost savings. In making these essential savings we have constantly sought to prioritise delivering our public benefit and maximising the value of our services to all.

I am extremely proud of the year’s achievements, set out in this report. The experiences of 2020 provide lessons that could change the way we work and do business and have the potential to help drive a more resilient and sustainable future. Given the wealth of talent, expertise and knowledge within building services engineering, we should all be alert to the opportunities that could lie ahead and look to the future with optimism.

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Our Values

Our Vision, Mission and Values continued to underpin all areas of CIBSE’s work in 2020:

We Lead

CIBSE is leading the conversation on equipping the built environment for a changing climate.

Building services are key to keeping building users as safe and comfortable as possible, promoting occupant health and wellbeing, minimising impact on the environment during construction and in use, and driving improved performance and productivity.

CIBSE leads the way in promoting improvement in the performance of buildings to the benefit of users, developers and owners, and as a natural consequence of what we do day-to-day.

Our involvement in government level discussions and consultations makes us a strong champion for better standards and enforcement, driving buildings that are safe and fit for purpose.

We Empower

CIBSE empowers our members and the wider building community through the sharing and dissemination of knowledge and training. We enable people to access the skills and knowledge they require to fulfil their potential and serve society.

Knowledge sharing is one of CIBSE’s primary roles in the industry. Working with the industry and its clients, CIBSE serves wider society by developing and publishing internationally recognised guidance and codes.

This knowledge provides authoritative guidance for the design, installation and operation and maintenance of engineering services in buildings. It enables engineers to keep up to date with best practice in technology and standards, and supports the implementation of policies to improve safety, comfort and productivity of buildings and reduce their carbon emissions.

In an industry that is seeing increasingly complex and changing technology, CIBSE enables building services engineers to keep abreast of the changes and empowers them to deliver the best outcomes for clients and end users. By improving their skills and knowledge, building services engineers can help everyone live and work in safer, healthier and more comfortable spaces.

We Champion

CIBSE supports and champions the diversity, breadth and strength of its membership. CIBSE membership recognises and accredits expertise, so that those who are competent can be widely and reliably recognised.

CIBSE champions the skills and experience of our members, raising their profile and giving prominence to the best engineers who value good building performance.

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Our Values (continued)

We Champion (continued)

CIBSE relies on our members to help generate knowledge in a variety of specialisms for industry and public benefit across many areas of the world. Diversity of CIBSE’s membership is central to achieving these goals.

CIBSE delivers the greatest benefit to society when its knowledge is drawn from the full spectrum of people and disciplines who form its membership.

We Inspire

We inspire our community and wider society to strive for better and safer building performance.

Our monthly CIBSE Journal, the annual Building Performance Awards, the Technical Symposium and Build2Perform Live, all serve to raise wider public awareness of what we do and the importance of building services engineering to society. In addition our Groups and Societies run hundreds of smaller events during the year, and together these many and varied activities maximise the impact of the work CIBSE does, and demonstrate the breadth, scope and impact of building services engineering in its broadest sense, to a highly diverse and worldwide audience.

Raising awareness helps people appreciate the benefits of supporting building services engineers in their careers and work to improve building performance.

Demonstrating the importance of good building performance, and the link with good building services engineering, reinforces the message that the effective operation of the built environment is crucial to many areas of public life.

Our Building Performance Awards and Young Engineers Awards demonstrate what can be achieved by the expertise and talent across the industry, and inspire others to tap into their own creativity and encourage innovation.

Inspiring others to join our community and choose engineering as a career are essential if we are to meet our environmental targets and successfully respond to climate change We encourage committed people from every background. Through the work of our Inclusivity Panel and our commitment to diversity, we aim to attract as broad a range of new engineers as possible.

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We Lead

A primary purpose for CIBSE is to be a leading provider of authoritative guidance on the principles of building safety and performance, enabling engineers to keep up to date with the very latest guidance in meeting their clients’ requirements.

Under our Royal Charter we support ‘the Science, Art and Practice of building services engineering, by providing the public and our members with first class information and education services’.

The demands of the pandemic created a very fast-changing environment, requiring digital delivery and creation of knowledge and guidance, as well as a move online for all our training and knowledgebased events. CIBSE was quick to embrace the online capability made possible by our investment in Microsoft 365 and associated upgrades to our office IT systems to enable this move to online working. We continue to seek to improve our online activities and the user experience across all facets of CIBSE membership, professional networking, training and knowledge generation activity, as well as our publishing and knowledge delivery.

COVID-19

Our agility has been evident in CIBSE’s ongoing response to the emerging COVID-19 crisis. We were first approached in April 2020 to consider the implications of the pandemic for building performance, in particular ventilation but also other aspects of the systems within buildings.

In May 2020 we published our initial guidance on ventilation in buildings and on the wider considerations required to reopen buildings after a period of closure. The ventilation guidance is now in its fourth version, which covers considerations relevant during the winter months. The general guidance is in its third edition, and there is also specific guidance on lifts. Our guidance has been cited by the Health and Safety Executive on their COVID-19 webpages and referenced by the BBC and other national media. Members and staff have been sought to contribute to the media and have spoken at events through the year.

Building safety

The Draft Building Safety Bill was published just before the summer parliamentary recess, setting the stage for the most fundamental reform of the Building Regulations relating to the construction and operation of buildings in England for at least two generations. There should be no doubt that this legislation will result in radical changes for all in the construction sector in England and, indeed, more widely across the UK, due to the internal market and the wish of the devolved administrations to seek to improve building safety in their own jurisdictions. CIBSE is actively communicating the scale of the changes that government is looking to drive through this legislation. We are working closely with the wider engineering profession in relation to engineering competence requirements.

Government accepted the 52 recommendations made by Dame Judith Hackitt’s 2018 review of the Building Regulations and Fire Safety. These address the regulations, guidance and industry practices,

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We Lead (continued)

Building Safety (continued)

particularly calling for a change of culture to end what Dame Judith called the “race to the bottom”, driving down standards, prices and any sense of personal responsibility. We continue to cover the industry change agenda through CIBSE Journal, our website and regular events.

The Draft Building Safety Bill amends significant elements of the Building Act 1984, as well as creating a new national Building Safety Regulator (BSR), which will be responsible for buildings over six storeys or 18m high containing residential units and provide stronger oversight of the safety and performance of all buildings. It also creates a new regime for the statutory management and regulation of the safety of all occupied high rise residential buildings, covering the design, construction and operation of all new and existing buildings in scope. We are actively engaged with government in the development of the new regime and the measures that underpin it.

Professional Competence

The Bill heralds significant and radical change for the building control profession, with statutory registration to protect the public interest and drive further improvements in building control competence. Indeed, all who work on high rise residential buildings will be required to demonstrate and maintain competence, with new statutory roles and responsibilities and statutory safety cases.

A statutory function of the new BSR is to “facilitate improvement in the competence of industry and of building inspectors” and there is a duty for the BSR to give appropriate “assistance and encouragement” to those in the industry or members of a profession to improve their competence.

The Bill establishes new statutory roles for individuals or organisations who design, construct and operate buildings. The BSR will set competence requirements for the designer and contractor, with duties on those appointing them to ensure that those appointed really are competent.

To support these new requirements the British Standards Institution is developing new standards and an ‘overarching framework’ for industry competence. CIBSE is closely involved in this work, both directly and in collaboration with the Engineering Council, having contributed extensively to the first draft for public comment in October 2020 and in continuing to provide active support.

Fire safety engineering

Fire safety remains a priority in the aftermath of the Grenfell Tower tragedy. With the introduction in November 2018 of the ban on combustible materials in the external walls of residential buildings over 18m in height, there has been considerable debate about details of the application of the ban and of the permitted exemptions. Whilst the overall intent is for designers and constructors to avoid the use of combustible materials wherever that is realistically feasible, there is a need for further guidance.

The Society of Façade Engineering, a division of CIBSE, has worked with the Centre for Window and Cladding Technology (CWCT) to develop further guidance on the current regulations, which is now available from the CWCT website. The guidance is based on the best knowledge available at the time

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We Lead (continued)

Fire Safety Engineering (continued)

of publication and it is intended that it will be maintained and revised as further information becomes available.

Net zero carbon building

As the net zero carbon agenda develops we will see significant changes in the way we build homes, offices, healthcare and leisure buildings. CIBSE’s knowledge is key to providing building designers, constructors and operators with the guidance they need to design, build, manage and operate low carbon buildings. Our expertise is vital to setting appropriate standards for future homes and other buildings to provide safe, healthy, low carbon places to live, work, study and spend leisure time.

CIBSE continues to work with government and industry to develop knowledge and guidance to enable us to meet the net zero challenge safely, and to support the changes to regulations that will be introduced to drive the development of net zero carbon building approaches.

Supporting climate change policy

CIBSE has an established record of engagement on climate change mitigation and adaptation and the link to building performance. Our work on the impact of climate change on buildings, in particular overheating, continues to inform our guidance and also supports the work of the Climate Change Committee, being cited in its recommendations for the sixth carbon budget, published at the end of 2020. CIBSE also supported the CCC in the development of the 6th Carbon Budget scenarios, in particular by bringing together expert advice on housing retrofit.

CIBSE collaborates with a number of organisations on climate change guidance and policy, including the Royal Academy of Engineering, London Energy Transformation Initiative (LETI), RIBA. As a full member of the Construction Industry Council (CIC) CIBSE participates actively in CIC policy related work, including the Climate Change Panel, where our Technical Manager Dr Julie Godefroy is an active participant on CIBSE’s behalf.

In 2020 CIBSE updated its own climate change action plan, first published in 2019, which informed the CIC's framework action plan for other organisations and set out CIBSE’s own actions to adapt CIBSE activities to climate change.

In August 2020, CIBSE was appointed by the Department for Business, Energy & Industrial Strategy (BEIS) as part of a consortium on a project to develop a detailed vision for how SAP/RdSAP 11 should model home energy use to best support Government policies that rely on its outputs. The project will provide recommendations to Government to support development of the next version of this important tool.

This again shows the direct relevance of CIBSE’s work to improving the performance of new and existing homes and non-domestic buildings in the UK and demonstrates the value and influence of CIBSE guidance in the development of wider policy and regulation in relation to climate change.

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We Lead (continued)

Digital standards and tools

CIBSE contributes to various industry initiatives and committees on digital standards. in 2020 we became affiliates of the UK BIM Alliance, which brings together all interested parties in the development of digital information management, including building information modelling (BIM), in the construction engineering sector.

CIBSE was the contractor for the development of the British Standards Institution (BSI) publication PAS 14191:2020, published in mid-2020. This details requirements for interconnected data dictionaries for use in the UK and is intended to be used with BS EN ISO 23386:2020, Methodology to describe, author and maintain properties in interconnected data dictionaries, to create a consistent language for data templates. These should be created and managed in accordance with BS EN ISO 23387:2020,BIM — Data templates for construction objects used in the life cycle of built assets — Concepts and principles.

CIBSE continues to contribute significantly to the series of international standards, BS EN ISO 19650, Organization of information about construction works. Two further parts were published in 2020: Part 3, Information management using BIM – Operational phase of the assets, which sets out how BIM applies to asset information during the operational phase of an asset life cycle, and Part 5, Securityminded approach to information management.

Technical Symposium

The annual CIBSE Technical Symposium is an established and invaluable opportunity for professionals of all ages to hear about the latest building services innovations and research. With the participation of both younger and more experienced industry practitioners, researchers and building users, it provides a unique forum in which to share experiences and develop networks.

The tenth CIBSE ASHRAE Technical Symposium was held online in September, a move from the original date in April, due to the restrictions caused by the pandemic.

The first ever virtual symposium, co-sponsored by ASHRAE, hosted 75+ speakers and welcomed over 350 delegates – the largest ever attendance. The theme - Engineering buildings, systems and environments for effective operation - focussed on mitigating and adapting for a changing climate, informing the procedures and processes for maintenance and refurbishment to ensure life-long effective operation, low environmental impact and occupant safety and wellbeing. The Symposium papers are available at cibse.org/symposium.

Consultations

CIBSE is committed to leading the industry on technical, policy and regulation changes. Responding to relevant consultations is a crucial activity and our Technology Committee oversees responses to government and devolved administration consultations and calls for evidence from Select Committees, ensuring the interests of our members are represented. We invite members to

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We Lead (continued)

Consultations (continued)

contribute their views to the development of CIBSE responses via the consultations page on our website.

A major focus of our efforts has been the ongoing response to the Building Safety Programme, set up in the aftermath of the Grenfell Tower fire. CIBSE is committed to supporting the reform programme and continues to work closely with government and the wider industry through the CIC Building Safety Committee, where we are represented by CIBSE Vice President, Ashley Bateson, and with other trade and industry bodies in the services engineering sector.

CIBSE staff and members continue to contribute to the review of Parts F and L of the Building Regulations on overheating and are also engaging with the Welsh Government on its own review of the regulations in Wales. We have significant dialogue with the Department for Business, Energy and Industrial Strategy (BEIS) and the Committee on Climate Change on emerging zero carbon policy for energy in buildings.

In 2020 formal responses were submitted to the following consultations:

CIBSE also responded to the Housing, Communities and Local Government Select Committee scrutiny of the Draft Building Safety Bill.

All responses submitted by the Institution are published in the closed consultations section of the CIBSE website.

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We Lead (continued)

Leading in collaboration - National Engineering Policy Centre (NEPC)

CIBSE is part of the National Engineering Policy Centre (NEPC), an ambitious new partnership of the 36 UK engineering organisations, led by the Royal Academy of Engineering. The NEPC manifesto –

Engineering priorities for our future economy and society - calls on government to invest in skills, innovation, digital and traditional infrastructure and clean energy technologies. It gives key policy recommendations to enhance the UK’s world-leading innovation and engineering capacity.

We Empower

The CIBSE Knowledge team produces guidance to help empower the engineering community to build better-performing buildings.

Despite the difficulties of 2020, CIBSE produced 21 titles over the year, more than ever before.

This exceptional level of output was achieved through the dedication and engagement of our members. Some members tried authoring for the first time, some agreed to join one of our Knowledge Committees or Panels, to help support and direct the Knowledge programme, and some acted as allimportant peer reviewers, helping to ensure that our guidance maintains its high standards.

Over the last 12 months, CIBSE Knowledge delivered the following:

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We Empower (continued)

cibse.org/knowledge

Technical journals

CIBSE publishes two peer-reviewed technical journals: Building Services Engineering Research and Technology (BSER&T); and Lighting, Research & Technology (LR&T) in partnership with publisher SAGE. They continue to go from strength to strength, with BSER&T published six times a year and LR&T eight times a year to meet demand. These significantly increase the role of the Institution in disseminating research to a wide international audience.

BSER&T featured two special issues in 2020. In March we published a special issue on wellbeing, reviewing some of the current research looking at the connections between various aspects of building performance and occupant wellbeing. This was issued alongside the publication of our new edition of CIBSE TM40 on health and wellbeing, just before the impact of the pandemic forced us to think hard about the role of ventilation in controlling the transmission of COVID-19.

The May issue featured a selection of papers developed and subsequently peer-reviewed from those delivered at the ninth annual CIBSE Technical Symposium. The event, Transforming built environments – Driving change with engineering, was held in Sheffield in April 2019 and included a rich variety of research and application delivered by a diverse and enthusiastic group of presenters. They not only inform but also inspire researchers and practitioners to transform our built environment through the application of engineering.

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We Empower (continued)

Technical journals (continued)

The year marked a transition on the editorial board of LR&T, with Geoff Cook handing over the chair to Theresa Goodman. It also featured a highly successful online Symposium, highlighting the range of research that is covered in the journal. Run over five lunchtimes, it reached a global audience with a larger number and geographic spread of participants than would be possible in a physical event.

Both journals are available online to CIBSE members as one of the benefits of membership, with a worldwide subscriber base supported by our publishing partner Sage. cibse.org/technicaljournals

Training

At CIBSE the welfare of our training delegates is of the utmost importance to us. We have closely monitored the evolving situation through the pandemic to ensure we take every precaution to look after our delegates, trainers and staff.

Based on UK guidance, and general uncertainty and company restrictions around traveling, we made the decision to migrate all our training offering online until June 2021.

In 2020 CIBSE’s training team worked with:

In 2020 CIBSE’s training team moved over 40 courses online, maintaining the same quality content as the face-to-face courses, but in different formats to provide the trainee with the flexibility to learn in a way that suits them. As well as moving quickly to update procedures and training formats, the team also released the following new courses and modules:

cibse.org/training

#GrowYourKnowledge webinars

The #GrowYourKnowledge webinar series was launched during the first national UK lockdown in April 2020, to help the CIBSE community maintain their CPD remotely. Webinars were presented weekly covering an array of topics, echoing the seven CIBSE Knowledge priorities.

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We Empower (continued)

#GrowYourKnowledge webinars (continued)

38 webinars were hosted as part of the series, amounting to over 20,000 views. The most popular events included:

cibse.org/growyourknowledge

We Champion

CIBSE is the leading professional body for the building services profession, with more than 20,000 members in more than 100 countries serving the global construction engineering sector.

CIBSE members are part of a network that offers professional support and expertise across the globe. They work in partnership with other professional bodies, construction and engineering firms worldwide to deliver engineering excellence in the built environment.

Supporting engineers into CIBSE membership and professional registration remains at the centre of what the membership department does. We continue to develop initiatives to increase professional competence in the profession, which is also a key recommendation of the Hackitt Review.

CIBSE provides members with:

Our 2020 highlights include:

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We Champion (continued)

The Board of CIBSE have agreed that CIBSE should make an application to Ofqual, the new regulator for End Point Assessment of apprentices. Successful application will strengthen the Institution’s position in the landscape of apprenticeships.

Regions

The Institution is organised on a regional basis. There are 16 regions in the UK and four overseas - in Ireland, Australia and New Zealand, Hong Kong and the United Arab Emirates (UAE).

Each region is driven by a committee of dedicated volunteers who engage with members and improve understanding of building services engineering among other professions and society in general. This is achieved primarily through events covering a wide range of built environment topics, often organised in collaboration with other CIBSE Groups and Societies, as well as other institutions and organisations.

The 20 regions are:

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We Champion (continued)

Young Engineers Network (YEN)

The CIBSE Young Engineers Network is a global network of regional centres offering a forum for engineers at the beginning of their careers to learn new skills, expand their knowledge and give or receive peer support. YEN is open to both CIBSE members and non-members. YEN exists to:

In 2020 YEN were concerned about keeping the wellbeing and motivation of their network high and so as well as taking part in the CIBSE Technical Symposium and running technical webinars, they have also taken an active role in maintaining social connections by running virtual meet-ups, yoga and quizzes.

Societies and Divisions

Key sectors are represented within CIBSE by professional bodies that offer professional recognition to their members and support the science, art and practice within their field. These are all Divisions of the Institution but are often referred to as Societies. Following the formation of the Society of Digital Engineering and the recognition of CIBSE Patrons as a Division, the General Rules for the Divisions have been updated and the supplementary rules for all the various Divisions reviewed to reflect the revised Divisional Rules.

Society of Digital Engineering (SDE)

The Society of Digital Engineering provides a forum for those involved in digitising the built environment, whether as designers, contractors, manufacturers, clients, facilities managers or software vendors. Membership is open to all involved in digital engineering, building information modelling (BIM), software for design and analysis of buildings, computer aided facilities management and other related activity. It provides professional recognition to digital engineers and a route to CIBSE membership and registration with the Engineering Council.

The Society has not yet held its third annual Digital Engineering Awards, but we are planning to do this in 2021.

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We Champion (continued)

Society of Digital Engineering (SDE) (continued)

In 2020 the SDE ran another One Working Day Challenge to see what could be done to automate common project workflows and, in view of lockdown restrictions, how remote working is being achieved. Feedback on the challenge from those involved was overwhelmingly positive, with many reporting that the exercise will help with their internal processes. Feedback from the One Working Day event was presented at Build2Perform.

The SDE continues to work closely with the CIBSE Digital Steering Group, which works to create the products and services used by members. In 2020 the Digital Steering Group:

The Society of Façade Engineering (SFE)

The Society of Façade Engineering brings together the disciplines involved in the process of design, supply, installation, testing and operation of building façades in a forum where they can work together to advance knowledge and practice in façade engineering. The Society includes architects, façade engineers, building services engineers, structural engineers, academics and contractors.

The Society promotes good practice to enable today's increasingly complex building façades to meet performance criteria, including safety, weather-tightness, thermal performance, ventilation, lighting, solar control, and acoustics.

In 2020 the Society continued to contribute to work in response to the Grenfell Tower fire and jointly produced new guidance on facades and the latest changes to the Building Regulations in England together with the Centre for Window and Cladding Technology. Other activities included online events on topics such as: Façade design and delivery at The Broadway Westminster and the Bloomberg Headquarters. Unfortunately, due to the COVID-19 restrictions, the annual SFE Awards were unable to take place at the Glass Supper, but they were replaced with a two-day online event showcasing the best runners up of the awards over the past few years, giving a chance for some impressive projects to be seen in more depth.

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We Champion (continued)

Society of Public Health Engineers (SoPHE)

The Society aims to provide a higher profile and focus for public health engineers.

The Society transferred their usual extensive programme of technical events online in 2020. Events are open to all and cover various aspects of water, drainage, energy, sustainability and legislation, as well as projects incorporating cutting edge engineering solutions, which go beyond current design practices and challenge industry norms.

The Society has also worked closely with the SoPHE Industrial Working Group to produce the new and improved bi-annual SoPHE Journal.

The Society of Light and Lighting (SLL)

The Society welcomes all who are interested in the art, science and engineering of light, lighting and its applications. Lighting designers, consulting engineers, researchers, students, academics, manufacturers, and sales staff all contribute to its membership. It offers authoritative guidance, professional recognition, and a range of technical events. SLL is recognised worldwide as an authority on lighting and its applications.

The Society published the new Factfile 16: Visual guide to emergency lighting and signage, along with an updated version of the SLL Circadian Lighting Position Statement.

After awarding the SLL Jean Heap Research Bursary to Karen van Creveld in 2019, the Society was pleased to publish Karen’s final report, Measuring real daylight exposure afforded by various architectural environments and the implications for our health and wellbeing . The 2020 bursary was awarded to Dr Manuel Spitschan for his research proposal, lightbox: Development, validation and refinement of a free, open-access tool for calculations related to light and lighting .

The SLL LightBytes series was presented at one venue in 2020 prior to completing the series online, in partnership with sponsors Thorlux, Zumtobel and Xicato. Developed in association with the CIBSE Daylight Group and the sponsors, the series focused on light and wellness, with presentations split into four sessions looking at people, space, time and place. Dr Eleonora Brembilla, Research Associate in advanced building daylight modelling at Loughborough University, was the guest presenter.

The Society developed and hosted many webinars online, including the first online Trotter Paterson Lecture, which was given by Paule Constable. CPD webinars enabled the Society to continue to share knowledge and education in light and lighting to a worldwide audience, with topics including the circular economy, lighting for healthcare environments, lighting controls, BIM for lighting, and lighting and the WELL Building Standard. Recordings of all the webinars are available to view via the website.

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We Champion (continued)

The Society of Light and Lighting (SLL) (continued)

The Society took part in online exhibitions at [d]arc room and the Illuminating Engineering Society (IES) events in September and LuxLive in November, where the final of the SLL Young Lighter 2020 was held before the winner was announced at the Lux Awards. The Society has also taken part in a number of collaborative events in support of the Women in Lighting initiative.

Also in November, the Society held the Lighting Research & Technology online Symposium: Applying light for human health. The event took place over five days and hosted internationally recognised speakers.

The Institute of Local Exhaust Ventilation Engineers (ILEVE)

The Institute was established to promote air quality in the workplace and reduce ill health and death due to occupational lung disease, caused by airborne contamination and hazardous substances in the working environment. There are around 8,000 new cases of occupational lung disease annually, making it a significant problem for all those affected, their families and dependants and a serious burden on the healthcare system.

ILEVE works with the Health and Safety Executive (HSE) and other professional and trade bodies to raise awareness of the need for local exhaust ventilation (LEV) to safeguard workplace health and promote competence.

The Institute’s Competence Cards are issued to members as proof of their peer assessed and evidenced competence and provide a benchmark for LEV competence standards. ILEVE offers a path to full professional registration for engineers in LEV and a means to maintain and enhance professional standing.

In 2020 ILEVE, with Building Engineering Services Association (BESA), and CIBSE, published TR40: A guide to good practice for local exhaust ventilation, and held their first series of webinars covering a range of LEV topics, such as how to use their competency matrix, a summary of the TR40 guidance and how to commission for LEV systems.

Patrons

CIBSE Patrons is a network of businesses that collaborate to give financial, technical and moral backing to a wide range of initiatives led by CIBSE.

Membership includes a spread of consulting engineering practices, manufacturers, contractors, trade bodies, recruiters and marketing companies. The unique nature of the network means they reflect all parts of the building services industry supply chain and this gives CIBSE access to a wide range of expertise beyond its core membership. This knowledge and experience of training and in technical, commercial and site-based knowledge is of great practical benefit to the Institution.

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We Champion (continued)

Patrons (continued)

They support a wide range of initiatives designed to attract, encourage and improve the recruitment, development, training and retention of engineers on behalf of the industry at large. This support ranges from the production of careers booklets, to the sponsorship of bursaries, to their growing role as lead supporter of the CIBSE Young Engineers Awards. Patrons are also developing into a business forum where members can discuss and learn about matters as diverse as social media, contracting law and how to gain access to export markets.

Unfortunately, due to COVID-19 restrictions the Patrons were unable to hold many of their planned events in 2020.

Special Interest Groups

The 18 Special Interest Groups cover topics ranging from daylighting and lifts to controls and electrical services. Total membership of Groups is currently 45,300 people and participation in activities is open to anyone - CIBSE members and non-members alike. The Groups are:

  1. ASHRAE

  2. Building Simulation

  3. Chimneys and Flues

  4. CHP and District Heating

  5. Daylight

  6. Electrical Services

  7. Energy Performance (including the Young Energy Performance Group)

  8. Facilities Management

  9. Healthcare

  10. Heritage

  11. Homes for the Future

  12. HVAC Systems

  13. Information Technology (IT) & Controls

  14. Intelligent Buildings

  15. Lifts

  16. Natural Ventilation

  17. Resilient Cities

  18. School Design.

The Groups run a wide variety of technical activities and provide knowledge and information through a range of channels. Whilst 2020 has been a challenging year, the amount of activity and output has been very high, with a mixture of webinars, podcasts and blogs.

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We Champion (continued)

Special Interest Groups (continued)

In response to the pandemic the Natural Ventilation, HVAC and Facilities Management Group chairs, members of the Lifts Group and other experts came together very rapidly to develop a statement on the risks of aerosol transmission of COVID-19 and then to prepare guidance on ventilation, emerging from lockdown, lift use and occupancy and recommissioning of lifts and escalators. This guidance was produced very quickly to support other government initiatives and committees and has been updated several times since it was published in early May 2020.

Inclusivity

CIBSE believes that an inclusive culture brings resilience, creativity and innovation – qualities that deliver both better buildings and a stronger building services engineering community. CIBSE is working hard to ensure our organisation and profession are welcoming to all, for the benefit of all. Actively working to address and improve inclusivity is more than a business imperative, it’s simply the right thing to do.

The CIBSE Inclusivity Panel continues to focus on its three key aims, which are to:

  1. Improve awareness and understanding of inclusivity and diversity across CIBSE, and embed these concepts within the Institution’s strategic aims

  2. Improve the breadth and quality of data captured about staff and members’ ‘protected characteristics’

  3. Increase the proportion of female members and registrants.

For the first aim, the Panel drafted an Inclusivity Policy and has been working with the Groups and Societies in CIBSE to help improve inclusivity and diversity in the Institution.

As well as working hard behind the scenes, the Panel has also been engaging extensively externally. Kieran Thompson, a member of the Inclusivity Panel, spoke at a joint Institution event with other professional bodies about dyslexia in engineering. The Panel also helped provide a role model series of profiles to help celebrate Black History Month. Other role model profiles from a range of CIBSE members from various backgrounds and at differing points in their career are planned for 2021.

In the summer the Panel recruited Annette Ash as the new Chair of Women in Building Services Engineering (WiBSE) to help refresh the network. Annette is contacting those previously involved in WiBSE and scoping out how it can best serve its members going forward.

The panel is currently working closely with the senior staff team to help capture membership data in a compliant, transparent and secure manner. In 2021 we are undertaking a survey to help better understand the make-up of our Panel members and the wider CIBSE membership.

cibse.org/inclusivity

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We Inspire

CIBSE worked to raise the public profile of the importance of our members' contribution and the Institution throughout 2020, maximising reach through diverse communication routes, including events, digital media, press coverage, and wide-ranging and impactful social media channels. The year also brought the opportunity to make all our communications easily accessible digitally. This effort supports the increased use of the Institution's knowledge and expertise to deliver better buildings and shape the debate around key issues in the building services sector.

CIBSE Build2Perform Live

23-26 November 2020

CIBSE Build2Perform Live is a free-to-attend event that facilitates the sharing of CIBSE and industry knowledge to benefit the wider built environment.

The 2020 event had to move to a virtual format and took place over four days, instead of its usual two. In this more accessible format over 3,000 people registered to attend, a 50% increase from previous years. The technical programme took place on 24-25 November and was structured around CIBSE's seven knowledge themes:

  1. Circular economy

  2. Climate adaptation

  3. Digital engineering

  4. Health, wellbeing and safety

  5. Net zero carbon

  6. Retrofit and refurbishment

  7. Smart buildings.

The technical programme was sandwiched between two days of exhibitor and supporter content to update attendees on the latest technical product information.

cibse.org/b2plive

CIBSE Journal

The CIBSE Journal team was delighted to be voted top member benefit again in the biannual member survey in 2020.

In such an exceptional year it was more important than ever that the Journal continued to bring upto-date news and guidance to members during the pandemic. The Journal has featured extensive coverage of the CIBSE COVID-19 ventilation and emerging from lockdown guidance, articles on the new Nightingale Hospital in London, and guidance on mothballing buildings.

The Journal also released its first podcast, which looked at minimising the risk of COVID-19 spreading in buildings and featured CIBSE Technical Director Hywel Davies, and Bill Bahnfleth, Chair of the ASHRAE Epidemic Task Force.

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We Inspire (continued)

CIBSE Journal (continued)

A second podcast, the first sponsored one, looking at the concept of ambient loop systems and how they can help decarbonise heating in dwellings, was released at the end of the year.

More broadly, the Journal continued to support CIBSE’s priorities, guidance and events with extensive coverage of the Building Performance Awards winners across the year, content from the Technical Symposium, Young Engineers Awards and Build2Perform Live.

As with all areas, this year brought some challenges for the magazine, with advertising income overall dropping significantly, and recruitment advertising income falling to its lowest ever levels.

The drop in advertising income, together with rising international mailing costs, resulted in the CIBSE Board suspending the mailing of the Journal to overseas members. The resulting saving allowed for the continued production of the magazine.

All members continued to receive the CIBSE Journal e-newsletter, with a direct link to download the digital version from the website.

Due to the budget constraints brought about by the advertising loss, supplements across the year were all produced as bound-in special sections. These covered: commercial heating, health and wellbeing, hotel and leisure, CPD and lighting.

The Journal hosted five sponsored webinars covering a broad range of subjects, including: pumping solutions, R32 VRF and F-Gas phase down, high rise drainage, and uninterruptible power supply. All are available on demand through the CIBSE Journal website.

The CIBSE Journal website continued to attract high numbers of visitors, with average monthly users rising to 26,000, compared to 19,000 in 2019. The website is supported by regular social media activity highlighting the main features and news stories.

cibsejournal.com

jobs.cibsejournal.com

Media relations

In 2020 CIBSE's media relations played a vital role in the communication of the emerging from lockdown guidance. This unique set of guidance, created by collaborative groups of members and other industry experts, covered ventilation, safely re-occupying buildings, recommissioning of lifts and escalators post lockdown, and lift use and occupancy. CIBSE represented our members' expertise across print, online and broadcast media, achieving a combined audience of 320 million people. Coverage was achieved in 40 outlets, including:

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We Inspire (continued)

Media Relations (continued)

The guidance was downloaded 62,000 times during 2020.

The team also worked to raise the visibility of other CIBSE work, including discussing overheating in homes on BBC 1’s Panorama programme, and featuring 2020 Building Performance Award winning entries in nine industry media reports.

CIBSE website

The website continues to be the focus for our interaction with members and the wider industry. Based on feedback from members, we have continued to update the website content and functionality. In 2020 CIBSE completed a website discovery project, informed by the website survey, member survey and member focus group. The website attracted 3.5 million page views, 1.1 million user sessions and 634,000 unique users, with 80% of user sessions on desktop and 18% on mobile (up from 15% in 2019).

cibse.org

Social media

We continued to grow our social media following throughout 2020 and use our platforms to engage with the wider building services community.

The marketing team focused on creating quality content to post on social media, including increased use of videos, blogs, polls, and articles. We also focused on commenting and responding to mentions of CIBSE across social media, to encourage conversation and interaction with our followers.

Engagement with CIBSE posts grew on LinkedIn during the pandemic, with more followers commenting, liking and clicking on links in our posts once lockdown began in April. We also ran interactive quizzes on Instagram during the spring, which proved popular with our followers and which we hope to resume in 2021.

Our reach has grown exponentially on LinkedIn throughout 2020. From the beginning to the end of the year, the organic average monthly reach of our posts grew from 11,146 to 145,688 (a 1206% increase).

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We Inspire (continued)

Social Media (continued)

CIBSE now has 77,612 followers across social media, with growth on individual platforms outlined below:

----- Start of picture text -----
Followers
Channel 2020 2019 2018 2017 2016
1,245
Facebook 930 600 224 -
(↑34%)
25,228
Twitter 24,300 22,900 21,210 19,000
(↑4%)
50,023
LinkedIn group and company page 39,935 33,445 25,613 22,210
(↑27%)
1,116
Instagram 466 - - -
(↑139%)
----- End of picture text -----

CIBSE network accounts

There are 73 CIBSE related accounts across social media, which are run by CIBSE Regions, Young Engineers Network, Groups and Societies. To help improve the impact of these accounts and strengthen the CIBSE brand online, we have recently launched a new guidance document and a support forum for our members who are running social media pages.

CIBSE Blog

In 2020, we published 25 new blogs, which covered a range of topics and were mostly written by CIBSE members.

We continued to publish interviews with our members and volunteers for the #WeAreCIBSE campaign to inspire others to get more involved in CIBSE's work. We also introduced two new series this year, including A career in building services series for students, produced by the CIBSE Young Energy Performance Group, and a Role model series, designed to highlight a diverse set of role models from the building services sector.

Our blog attracted over 73,600 views in 2020, with the most popular blogs being:

  1. A career as a building services engineer – 1230 views

  2. "I am experienced in conducting over 250 interviews for CIBSE members" – 949 views

  3. Get to know your trainers: Kevin Noyce, Building Services Explained Trainers – 880 views

cibseblog.co.uk

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Building Services Awards

Our awards highlight the vast talent and expertise present across the building services industry, showcasing the outstanding achievements of individuals, teams and companies. All those who entered, shortlisted or won awards in 2020 should be incredibly proud of their achievements.

Building Performance Awards 2020

The awards showcase the highest achievements in building performance across the construction and property industry, providing recognition of outstanding building services engineering practice.

Now in their thirteenth year, the 15 awards recognise the individuals, teams and companies who demonstrate an exceptional commitment to ensuring buildings deliver safety, comfort, efficiency and sustainability, and that they are fit for purpose for their lifespan.

The 2020 awards demonstrated an emerging focus on renovation and renewal, with dramatic building performance achievements in existing and re-modelled buildings being celebrated.

Entries to project categories were required to provide at least one year’s operational performance data to demonstrate their achievements in delivering measurable excellence in building performance. The 2020 winners were announced at the awards dinner at the Grosvenor House Hotel in London, in front of more than 700 guests.

The Engine Shed, at the heart of Scotland’s new Building Conservation Centre, was named Building Performance Champion for 2020. Transforming redundant Ministry of Defence buildings in Stirling, the project, entered by Max Fordham, also won the Public Use project category.

The new Retrofit category was won by the Bartlett School of Architecture building, 22 Gordon Street, in London, which was entered by BuroHappold. This project demonstrated the potential for huge improvement in existing buildings.

Hywel Davies, CIBSE Technical Director said: ‘Our engineers have always been able to demonstrate how to design new buildings that deliver first-class performance; it is vital to see how existing buildings, which are far more numerous, can be refurbished to perform to the highest standards.’ cibse.org/bpa

Ken Dale Travel Bursary Winners: Joey Aoun and John Smyth

For the first time, two people were awarded the Ken Dale Travel Bursary in 2020. Joey Aoun won with his research titled, The social housing retrofit challenge: lessons learned from pioneering projects. He will travel to Germany, Japan, New Zealand and the UK to complete his research. John Smyth won with his research titled, How building services can help in the fight against viruses and contaminants, and plans to travel to Singapore, Australia, Korea, China and Israel.

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Building Services Awards (continued)

The award judges made the decision to award the bursary to two people this year, and will not hold an award in 2021, allowing time for the winners to complete their research and travels in 2021, once the COVID-19 restrictions are lifted.

The annual travel bursary offers between £1,500 and £4,000 to young building services engineers in the early stages of their career, providing them with the opportunity to research an aspect of their field of work in another country.

President’s Prize – The Undergraduate Award (sponsored by Hays Building Services)

Winner: Rosie Fishburn, University of Nottingham

Rosie Fishburn, studying for an MEng in Architecture and Environmental Design, won the CIBSE Undergraduate Award 2020. She won for her final year project, ‘The effect of coloured daylight on occupants’ emotions’. Judges were impressed by the highly original and interesting subject matter and layout of the report.

The award, sponsored by Hays Building Services, is designed to encourage students to develop their potential and aim for excellence. It is awarded to those in their final year of a building services course accredited by CIBSE, and recognises their academic achievements.

Society of Light and Lighting (SLL) Young Lighter of the Year Award

Winner: Aluwaine Manyonga

The award is open to anyone with an interest in light and lighting. It provides finalists with a unique platform to illustrate their knowledge and research on a lighting subject, hone their presentation skills and raise their profile within the industry.

Aluwaine Manyonga won the competition with his presentation, Offgrid solar lighting and Chigubhu lantern, Africa’s education system game changer. His concept sought to provide a viable off-grid solar lighting solution for education in Africa.

Ruth Kelly Waskett, SLL President Elect and a 2020 judge said: ‘The judges were impressed by the social value of Aluwaine’s project. He showed immense initiative, as well as technical know-how, using limited resources to create something that will improve the lives of a huge number of people. Aluwaine’s work reminds us how lighting can make the world a better place.’

Building Simulation Awards

Winner: Meredith Davey

Young Modeller winner: Wejung Alan May

These annual awards, set up by the CIBSE Building Simulation Group, aim to encourage innovation in building simulation techniques. The 2020 awards included the new Young Modeller Award, launched to recognise the outstanding contribution of young engineers, apprentices and sustainability consultants working with building simulation.

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Building Services Awards (continued)

Building Simulation Awards (continued)

Wejung Alan May, of Cyclone Energy Group, Chicago, won the Young Modeller award. His submission included 140 models he had worked on and was praised by the judges for his advocation of performance-based compliance and modelling support design.

Meredith Davey, from Atelier Ten, won the main prize with his presentation on Jewel Changi Airport, Singapore. The project, which included the world’s largest indoor waterfall, stood out for the judges for the level of attention to detail and the methods used to understand the implications of the design desires, particularly in relation to thermal comfort.

CIBSE Young Engineers Awards

A new award recognising the invaluable contribution played by apprentices was launched in 2020 as part of the Young Engineers Awards, joining the Employer of the Year and CIBSE ASHRAE Graduate of the Year Awards.

The Young Engineers Awards collectively shine a spotlight on the pool of new talent and future leaders who are vital to the future of our industry, while also celebrating those who champion, mentor and nurture them.

cibse.org/yea

CIBSE Apprentice of the Year

Winner: Megan Whitbread

Launched to coincide with the twenty fifth year of the Young Engineers Awards, the new award allowed the CIBSE community to recognise more of its early career contributors.

Megan Whitbread, from Troup Bywaters + Anders, was selected from a shortlist of nine finalists to win after impressing the judges with her three minute video presentation on, Why the role of a building services engineer is a good career.

In her video she said: ‘Being a building services engineer is an exceptional career where you can make a difference in so many ways. I’m helping to provide a better future by educating our clients and peers to always go the extra mile in terms of carbon reduction.’

Runners up were George Field, from chapmanbdsp, and George Suddery from Hoare Lea.

CIBSE ASHRAE Graduate of the Year 2020

Winner: Jennifer Cox

The Graduate of the Year Award recognises excellence in the early stages of the engineer’s career. The shortlisted finalists are among the best young engineers in the profession. This year, due to COVID-19 restrictions, the shortlisted entrants had to put their ideas and arguments online rather

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Building Services Awards (continued)

CIBSE ASHRAE Graduate of the Year 2020 (continued)

than face to face, creating a video to explain, How the role of the building services engineer should evolve to meet the challenge of a new normal.

Jennifer Cox, from AECOM and Heriot Watt University, won for her articulate and confident presentation, arguing that the new normal would be a focus away from office environments towards homeworking and health and wellbeing. The move away from the office would mean buildings had to adapt to users’ changing needs and occupancy density of spaces would have to be re-evaluated.

Runners up were Joey Aoun, of Foster + Partners, and Joshua Vasudevan of Loughborough University.

CIBSE Employer of the Year Award 2020

Winner: InTandem Systems

The Employer of the Year Awards recognise employers that have shown excellence and innovation in developing the engineers of the future. InTandem Systems took the overall award for the second time, having previously won in 2017, also winning in the small company category.

InTandem particularly impressed the judges with its inclusive, personal and continuing dedication to developing staff.

Elementa Consulting won the medium company category, and Cundall won the large company category.

Full list of awards

CIBSE Silver Medals

Bronze medals for service to the Regions

Honorary Fellow

Carter Bronze Medal

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Building Services Awards (continued)

Full list of awards (continued)

Napier Shaw Bronze Medal

Ken Dale Travel Bursary

President’s Prize: CIBSE Undergraduate Award

Society of Light and Lighting Young Lighter of the Year Award

CIBSE Building Simulation Awards

Young Engineers Awards

CIBSE Building Performance Awards

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Building Services Awards (continued)

CIBSE Building Performance Awards (continued)

Future plans

We Lead

Evidence of the gap in performance between building designs and what is built in practice continues to emerge. COVID-19 has exposed the widespread failings of ventilation provision to meet the current requirements and comes after revelations about a lack of compliance with fire safety requirements in the wake of the Grenfell Tower tragedy and long standing concerns about the energy performance gap, which emerged well over a decade ago.

If we are serious about delivering net-zero emissions buildings that are safe, properly ventilated, and comfortable places to occupy then this must be addressed. There is an urgent need to redouble efforts to drive improved performance of our built environment, not just in design and construction, but throughout the life cycle of operation and maintenance. CIBSE will continue to deliver guidance to support this improvement, and to work with others to do so.

CIBSE will continue to support the response to the inquiry into the Grenfell Tower tragedy and the Building Safety Programme in every appropriate way, seeking as far as possible to eliminate the risk of such an event happening again. We will continue to support the ongoing reforms to industry regulation, competence, practice, procurement, enforcement and guidance.

We Empower

CIBSE will continue to work with our members and the wider industry to deliver best practice knowledge, guidance and learning through all appropriate media and at point-of-use to support further improvement of the safety, comfort and performance of buildings, occupants and wider community.

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We will continue to review our delivery of engineering knowledge and continuing professional development activity to maintain and enhance the competence of our members and the industry.

Future Plans (continued)

We Empower (continued)

We will maintain a wide-ranging programme of knowledge development to continue to provide guidance that meets the needs of a safe and net zero carbon built environment for all.

We Champion

Supporting engineers into CIBSE membership and professional registration remains at the centre of what the membership department does.

Initiatives for 2021 include:

We Inspire

We will continue to maximise the impact of the work of CIBSE, our members and the wider building services engineering community and their commitment to improving the performance, safety, health and sustainability of the built environment.

We will move forward with creating a new website, which personalises members’ experience, clearly reflects CIBSE’s voice and provides access to knowledge and information that supports our diverse community of built environment professionals.

We will continue to showcase good practice through CIBSE Journal, our awards, Build2Perform Live, Technical Symposium, our technically focussed Societies and Special Interest Groups and other technical activities and communications, raising public awareness of what CIBSE and its members do do and the importance and value of building services engineering to society.

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Future Plans (continued)

Certification

In 2020 CIBSE Certification continued to certify the competence of energy professionals. It recorded more than 750 certified energy assessors for the purposes of the Energy Performance of Buildings Regulations, including 60 in Scotland, and more than 900 Low Carbon Consultants.

CIBSE Certification continuously worked to raise the profile of its certification schemes to reinforce the reputation of Low Carbon Consultants (LCCs) and Low Carbon Energy Assessors (LCEAs) as a high quality, expert service and an important means of raising competence across the industry. The Minimum Energy Efficiency Standards Regulations have seen an increase in demand for CIBSE Certification registered energy assessors from landlord organisations reviewing their portfolios.

The COVID-19 lockdown and ongoing restrictions presented a challenge in 2020, but through regular contact with Ministry of Housing, Communities & Local Government (MHCLG) officials and the Property Energy Professionals Association, CIBSE Certification were able to keep assessors informed on Government guidance and business support.

Lodgement credit sales in 2020 were severely impacted in the early stages of the lockdown, but recovered before tailing off again towards the end of the year. This meant that the sales success of 2019 has not been matched but, to give some context, figures are in line with those for 2017.

Our UKAS accreditation to certify energy management systems against ISO 50001 and ISO 9001 means that CIBSE Certification can support companies operating energy management systems or quality management systems, by providing third party verification that their system operation conforms to the standard. In 2020 it was anticipated that CIBSE Certification would be able to broaden their appeal by adding ISO 14001 to their portfolio. Delays due to COVID-19, including difficulties in arranging faceto-face witnessing of audits, meant that this was not achieved in 2020. The vision for CIBSE Certification remains for us to be the go-to certification body for the building services engineering sector. Despite limitations imposed by the pandemic, 2020 saw the largest income from this area of activity to date, more than doubling the income from 2019.

CIBSE Certification Ltd is a wholly owned subsidiary company of CIBSE. Its day-to-day operations are overseen by its Board and Steering Committee to maintain the objectivity and impartiality required of a Certification body by the international and national standards under which it operates.

cibsecertification.co.uk

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Financial Review

The Institution’s Annual Accounts are presented to comply with the Charities Act 2011, its Royal Charter and By-Laws and to meet all applicable accounting standards including the Statement of Recommended Practice - Accounting and Reporting by Charities and the Financial Reporting Standard applicable in the UK and Republic of Ireland (Charities SORP FRS 102). Investments are shown at market value and the Annual Accounts incorporate the assets, liabilities, income and expenditure of the Regions. The results of the Institution’s commercial subsidiaries CIBSE Services Limited, CIBSE Certification Limited and The Chartered Institution of Building Services Engineers Hong Kong Limited are incorporated into the Consolidated Accounts.

Total income for 2020 was £6.12M, representing a decrease of around £1.24M on 2019. Whilst Membership subscriptions showed an increase and investment income remained stable, the effects of the COVID-19 pandemic had a significant impact on other income areas. Fees receivable for charitable services reduced by around £147K, but the biggest impact was in trading subsidiaries which show a drop in excess of £1M. This reflects the fact that face-to-face training could not be undertaken during most of the year, and industry uncertainty further impacted on advertising revenue and on plans to develop certification business. No efforts in 2020 were undertaken to generate fundraising revenue.

Significant efforts were made to reduce expenditure in view of the impact of the COVID-19 pandemic. Trading subsidiary costs were reduced by almost £600K compared with the previous year, and cost savings were implemented across all areas of charitable activities. A significant factor was the cancellation of face-to-face meetings and events in favour of online offerings, with a resultant reduction in venue, travel and subsistence costs.

The overall result of the above was a net expenditure before gains on investments of £87K, compared with net income of £70K in the previous year. This was mitigated by a net gain on investments of £125K, resulting in a net surplus of £38K.

There was an actuarial loss on the defined benefit pension scheme of £131K, as a result of investment experience, actuarial assumptions and the effect of the asset ceiling. The Institution continues to fund the recovery plan agreed following the triennial valuation of the scheme carried out as of 1st April 2017.

As a result, funds decreased by £93K from £2.67M in 2019 to £2.57M in 2020.

The cash balance decreased from £1.38M in 2019 to £1.28M, following the loss of additional income from trading subsidiaries.

Reserves policy

The Institution has a reserves policy to maintain a level of funds that is sufficient to meet four months of payroll expenditure, any unplanned contingencies and to accommodate investment for new

34

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Financial Review (continued)

Reserves policy (continued)

initiatives. The Board considers that the Institution’s overall level of funds is sufficient for these purposes, and the free reserves of the Institution have increased during the year. The intention of the Board is to rebuild free reserves to previous levels over time.

At the year end, the Institution held free reserves of £0.69M (2019: £0.61M), being the amount of funds available excluding restricted and designated funds, and less reserves held as tangible fixed assets.

It is the view of the Board that any expenditure from reserves should be applied only to finance new initiatives which will make a substantial contribution to the delivery of the Institution’s strategic charitable objectives, and that the cost of existing activities should be met from incoming revenues from year to year. Any decision on the use of reserves rests with the Board on the advice of the Hon. Treasurer and the Finance, Risk, Audit & Governance Sub Committee.

Going concern

Revenue streams within the institution were largely unaffected by COVID-19 in 2020. A large portion of membership fees were received prior to Government-enforced lockdowns, protecting the revenue stream from cash flow pressures faced by members.

In addition, changes to the construction industry and competency requirements are likely to improve the value CIBSE provides to its members. COVID-19 itself presented CIBSE opportunities to strengthen its position within the industry and the general public with widely circulated technical advice around healthcare & ventilation. This too ensures the Institution continues to meet its charitable objectives.

Fortunately, thanks to recent investments in the IT infrastructure, general operations of the Group had a relatively smooth transition to working online and from home, with face-to-face activity being the obvious exception. The Institution achieved significant cost savings through the regions, societies, and travel costs after also moving most of its activity online and the Group quickly adopted tighter cost management controls. As a result, the reduction to the Group’s cost base and strong performing membership fees almost entirely offset the reduction of income suffered by the Group through the commercial entities and loss of face-to-face activity.

The Institution also owns, entirely, the freehold premises from which it operates at 222 Balham High Road, an asset likely to be worth more to the institution than is currently recognised in the accounts. Whilst short term liquidity continues to be an area of focus, as is the case for most businesses, there are currently healthy cash reserves. The Group also completes detailed forecasts and cashflow analysis to assess liquidity and are confident that there is adequate resources to enable it to meet its obligation and return to a reasonable level of trading for the foreseeable future.

It is for the above reasons that the Trustees continue to consider CIBSE a going concern.

35

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Financial Review (continued)

Risk management

It is the responsibility of the Board as the Trustees of the Institution to examine the major operational and business risks which the Institution faces and to establish appropriate systems to manage significant risks.

The Trustees have identified a loss of contact with, and relevance to the membership and failure to develop and maintain appropriate and relevant content for the Knowledge Portal, as a major operational risk to CIBSE and its subsidiary. The Knowledge Management Committee reviews and updates content on a regular basis and communication with members through Council, Regions, Societies and Groups, election of Board and Council Members is in place to mitigate this risk to ensure continuous provision of service and development.

Financial sustainability has been identified as a principal financial risk for both the charity and its subsidiary companies. A key element in the management of financial risk is a regular review of available liquid funds to settle debts as they fall due, regular liaison with the bank, and active management of trade debtors and creditors balances to ensure sufficient working capital.

Attention has also been focussed on non-financial risks arising from processing online payment transactions, fire, health and safety of employees and members. These risks are managed by ensuring accreditation is up to date, having robust compliance policies and procedures in place, and regular awareness training for staff.

Risk is assessed as part of the consideration of all new projects, and the Finance, Risk, Audit & Governance Sub Committee is charged with the detailed examination of the Institution’s Risk Register and the presentation of an annual review of the Institution’s overall risk profile for the Board’s consideration. This review has identified and assessed the major risks faced by the Institution and confirmed that appropriate control systems have been established to manage those risks. The Board will continue to review the overall risk profile on an annual basis, and to consider specific and substantial risks as they arise.

The Covid-19 pandemic of 2020 has impacted on several areas of risk, in particular affecting income streams and limiting the Institution’s ability to conduct its normal activities. The Finance, Risk, Audit & Governance Sub Committee has added an additional section to the Risk Register to analyse the specific risks arising from the pandemic and has kept the situation under constant review. Mitigating action has also been taken wherever possible, including moving activities to an online format and reducing expenditure where possible.

The Board also remains aware that the UK’s exit from the European Union has potentially significant consequences for the Building Services Industry and for the Institution. Whilst longer term consequences remain uncertain, an additional section continues to be maintained in the Risk Register referring specifically to risks that may be associated with Brexit.

36

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Structure, Governance and Management

The Chartered Institution of Building Services Engineers is governed by its Royal Charter and By-Laws, which were awarded in 1976 and last amended in 2010, when they were substantially streamlined by the removal of many former By-Laws into a new set of Regulations. Further changes to the By-Laws and Regulations concerning Officer and Board Member nominations, appointments and elections were approved in General Meeting during 2018.

The members of the Board of the Institution are the Trustees of the Charity. The Board is composed of the Officers of the Institution (the President, the President Elect, the three Vice Presidents, the Honorary Treasurer and the Immediate Past President) and five additional members who are elected for a three-year term of office. The office of President is filled automatically by the previous year’s President Elect, with the office of Immediate Past President being filled by the previous year’s President. Under new rules approved during 2018, the Vice Presidents and the Honorary Treasurer are appointed by the Board, whilst the President-Elect position remains subject to election.

The Board is required to nominate candidates each year for forthcoming vacancies for President Elect and for members of the Board and to make appointments to the offices of Vice President and Honorary Treasurer following consideration of advice received from the Nominations Committee. All newly appointed Trustees are provided with an information pack containing relevant information on their role, including Charity Commission guidance on Trustees’ responsibilities. In addition, training on Trustees’ responsibilities is carried out annually.

The Board meets every two months to direct the business of the Institution and is assisted by the House & Remuneration Sub Committee (which deals with terms and conditions of employment of the Chief Executive and senior staff and ad hoc issues) and the Finance, Risk, Audit & Governance SubCommittee (which deals with budgeting, management and financial accounts, audit, risk and governance issues). The Standing Committees of the Institution (the Education, Training & Membership Committee, Technology Committee, Professional Practices Committee, Publications & Research Outputs Delivery Committee and the Regional Liaison Committee) report to the Board and have delegated authority within their spheres of activity.

CIBSE Services Limited, one of two of the Institution’s trading subsidiaries, is governed by Directors, appointed by the Board of the Institution, who meet regularly to monitor and direct its activities. The purpose of CIBSE Services Limited is to generate income for the Institution through the development and operation of commercial activities which are aligned with and support the objectives of the Institution. The Chair of CIBSE Services Limited makes regular reports to the Board of the Institution.

CIBSE Certification Limited, the other of the Institution’s trading subsidiaries, is governed by Directors, appointed by the Board of the Institution, who meet regularly to monitor and direct its activities. The purpose of CIBSE Certification Limited is to generate income for the Institution through certification activities which are aligned with and support the objectives of the Institution. The Directors of CIBSE Certification Limited report to the Finance, Risk, Audit and Governance Sub Committee of the Institution.

37

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Structure, Governance and Management (continued)

The Chartered Institution of Building Services Engineers Hong Kong Ltd is a company limited by guarantee registered in Hong Kong. It was established to handle the operation of the CIBSE Hong Kong Region in order to meet local legislative requirements, and ultimate control of the company rests with the CIBSE Board through the appointment of its directors. The Hong Kong region otherwise operates in the same manner as other CIBSE regions, but under the auspices of this local incorporation.

Key management personnel remuneration

The Board of Trustees is responsible for the governance and overall control of the Institution. The Chief Executive conducts the business of the Institution on a day-to-day basis under the direction of the Board of Trustees, supported by the senior management staff of the Institution.

All Trustees give of their time freely and no Trustee remuneration was paid in the year. Details of trustee expenses and related party transactions are disclosed in Note 8 to the accounts.

Trustees are required to disclose all relevant interests and register them with the Chief Executive and in accordance with the Institution’s policy withdraw from decisions where a conflict of interest arises.

The pay of the charity’s Chief Executive and senior management staff is reviewed annually by the House & Remuneration Sub Committee, which is a sub-committee of the Board of Trustees comprising the President, President-Elect, Immediate Past President and Honorary Treasurer. Authority is delegated to the House Sub Committee to appraise the performance of the Chief Executive and to approve any increase to the remuneration of the Chief Executive and of the senior management staff.

A range of factors are considered in this process, including job performance, price and earnings inflation, market conditions and comparisons with other professional institutions.

Public benefit

We have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities.

Trustees

The following were members of the Board and thus Trustees of the Charity during the whole year, unless otherwise stated:

Stuart MacPherson Kevin Kelly Ashley Bateson Susan Hone-Brookes Kevin Mitchell Adrian Catchpole

38

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Structure, Governance and Management (continued)

Trustees (continued)

Lynne Jack Vince Arnold (from 5th May 2020) David Cooper (from 5th May 2020) Les Copeland Fiona Cousins David Fitzpatrick Stephen Lisk (until 5[th] May 2020) Pak Leung Yeung (until 5[th] May 2020)

Co-opted to the Board

Stephen Lisk Alexandra Logan

Chief Executive Officer

Stephen Matthews

Members of the Consultative Council

All Board members are also members of Council

Past Presidents

Stephen Lisk Peter Wong

Elected Members

Colin Ashford Sebastian Gray Maria Longo Laura Mansel-Thomas Scott Mason Andrew Piper Mike Smith Becci Taylor Linda Vidler

Co-Opted Members

Wally Gilder Paddy Conaghan

39

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Structure, Governance and Management (continued)

Divisional Representatives

Bob Bohannan (SLL) Jonathan Gaunt (SoPHE) Savario Passetto (SFE) Les Copeland (SDE) Dean Greer (ILEVE) Nick Mead (Patrons)

Young Engineers Network

Rebecca Neill

YEN Mentor

Andrew Saville

WiBSE

Laura Dunlop (Annette Ash from July)

Inclusivity Panel

Alexandra Logan

REHVA

Andy Ford/David Fisk

Fellows Network

Geoff Prudence

EC(UK) Board Rep

George Adams

Digital Steering Group

Les Copeland

Standing Committee Chairs

40

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Structure, Governance and Management (continued)

Group Representatives

Regional Representatives

41

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 Structure, Governance and Management (continued) Trustees, respon51billties The Trustees are responsible for preparlng the Tru5tees' report and the fi'nancial statements in accordance with applicable law and United Kin8dom Accountingstandards (United Kingdom Generally Accepted Accountlng Practicel. The law appllcable to charities in England & Wales require5 the Tru5tee5 to prepare financial statements for each financial year which give a true and fair view of the State of affairs Df the Institution and the Group and of the incoming resources and application of resources of the Institution and the Group for that perSod. In preparing these financial statements, the Trustees are required to- Select suitablÈ accounting policies and apply them consistentlv,. Observe the methods and prlnclples In the Charities SORP,. Make judgements and estimates that are reasonable and prudent,. state whether applicable accounting standards have been followed, subject to any material departure5 disclosed and explained in the financial statement5- and Prepare the financial statements on the going concern basis unless It Is inappropriate to pre5urne that the Institution and the Group will continue in operation. The Trustees are reswnslble for keeplng adequate accounting records that are sufficient to show and explain the Institution's transactions and that disclose with reasonable accuracy at 31)y time the financial position of the Institution and the Group and enable them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the Institution and the Group and hence for tsking reasonable steps for the prevention and detection of fraud and other irregLJlarities. The Trustees are responsible for the maintenance and integrity of the corporate and financial information Included on the Institution and the Group's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statement5 may differ from le8islation in other jurisdictions. Approved by the Board of Trustees and signed on its behalf bv.. Stuart MacPherson President 2020- 2021 42

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

INDEPENDENT AUDITOR’S REPORT TO TRUSTEES OF THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

Opinion on the financial statements

In our opinion, the financial statements:

We have audited the financial statements of The Chartered Institute of Building Services Engineers (“the Parent Charity”) and its subsidiaries (“the Group”) for the year ended 31 December 2020 which comprise the consolidated statement of financial activities, the consolidated balance sheet, the consolidated cash flow statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Group and the Parent Charity in accordance with the ethical requirements relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions related to going concern

In auditing the financial statements, we have concluded that the Trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group and the Parent Charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

43

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

INDEPENDENT AUDITOR’S REPORT TO TRUSTEES OF THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

Other information

The Trustees are responsible for the other information. The other information comprises the information included in the Trustees Report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 require us to report to you if, in our opinion;

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the Group’s and the Parent Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the parent Charity or to cease operations, or have no realistic alternative but to do so.

44

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

INDEPENDENT AUDITOR’S REPORT TO TRUSTEES OF THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Extent to which the audit was capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

A further description of our responsibilities for the audit of the financial statements is located at the Financial Reporting Council’s (“FRC’s”) website at:

https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

45

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS INDEPENDENT AUDITOR'S REPORT TO TRUSTEES OF THE CHARTERED INSTITUTION OF BUILDING 5ERVICE5 ENGINEERS Use ol our report This report Is made solely to the Charivs trustees, as a body. in accordance with the Charities Act 2011. Our audit work has been undertaken 50 that we might state to the Charity's trustees those matters we are required to state to them in an auditor's report and for no other purpose, To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charity and the CharitV'S trustees as a body, for our audit work, for this report, or for the opinions we have formed. by., 2CA02FD3ÈC43458. Richard Willis15enior Statutory Auditor) For and on behalf of BDO LLP. statutory auditor London, UK Date 07 June 2021 8DO LLP is eligiblè for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2CQ6. BDO LLP is a limited liability partnership registered in En8land and Wales Iwith registered number OC3051271. 46

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020

**Unrestricted ** Restricted **Total ** **Unrestricted ** Restricted Total
Funds Funds 2020 Funds Funds 2019
Note £ £ £ £ £ £
INCOME FROM:
Charitable activities
Members' subscriptions 3,403,003 51,815 3,454,818 3,319,871 49,875 3,369,746
Fees receivable for charitable services 3 215,945 2,500 218,445 354,469 10,837 365,306
Other trading activities
Trading subsidiary companies 2,379,344 ‐ 2,379,344 3,560,955 ‐ 3,560,955
Investments
Investment income 4 64,085 ‐ 64,085 63,649 ‐ 63,649
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Total income 6,062,377 54,315 6,116,692 7,298,944 60,712 7,359,656
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
EXPENDITURE ON:
Raising funds
Trading subsidiary companies 2,582,211 ‐ 2,582,211 3,176,466 ‐ 3,176,466
Charitable activities
Membership 1,639,580 ‐ 1,639,580 1,716,128 ‐ 1,716,128
Technical 514,529 49,008 563,537 701,057 75,437 776,494
Regional & special interest groups 961,404 ‐ 961,404 1,112,584 ‐ 1,112,584
Research 457,204 ‐ 457,204 507,127 ‐ 507,127
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Total expenditure 5 6,154,928 49,008 6,203,936 7,213,362 75,437 7,288,799
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net (expenditure)/income before
gains on investments (92,551) 5,307 (87,244) 85,582 (14,725) 70,857
Net gains on investments 11 125,574 ‐ 125,574 297,830 ‐ 297,830
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net income/(expenditure) 33,023 5,307 38,330 383,412 (14,725) 368,687
Other recognised losses
Actuarial loss on defined benefit
pension scheme 19 (131,000) ‐ (131,000) (143,000) ‐ (143,000)
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net movement in funds (97,977) 5,307 (92,670) 240,412 (14,725) 225,687
Fund balances brought forward at 1
January 2,569,224 96,951 2,666,175 2,328,812 111,676 2,440,488
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Fund balances carried forward at
31 December 2,471,247 102,258 2,573,505 2,569,224 96,951 2,666,175
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

All amounts relate to continuing activities.

The notes on pages 50 to 69 form part of these financial statements.

47

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS CONSOUDATED AND INSTITUTION BALANCE SHEEfs AS AT 31 DECEMBER 2020 Group 2020 The Institution 2019 20ZO 2019 Note Flxed assets Intangible assets Tangible a55Ets Investments io 585.157 2,088,999 667,520 1.963.425 419,897 2,089.003 468,040 1,963,429 li Total fixed assets 2,674,156 2,630.945 2,S08,900 2,431,469 Current assets Stocks ol publications Debtor5 Cash at bank and In h)nd 29,900 626,948 1,283,711 30,529 865,675 1,381,831 12 363,561 992,351 281.567 1,247,865 Total current assets 1,940,559 2,278,035 1.355.912 1,529,432 Current Ilabilltie5 Credltors-. Amounts fallinB due within one year 13 12,065.2101 12,278,8051 11.508,1011 11.985,9501 Net curreblt Ilabllltles 1124,6SII 17701 1152,1891 1456,5181 Net 355ets exdudln8 pension 5cherne a55Et 2,549,505 2,630,175 2,356.711 1,974,951 Defined benefit pension scheme asset 19 24,￿0 36,rM)o 2Ji,000 36,000 Total net a55ets 2,573,505 2,666,175 2.380.711 2,010,951 The funds of the charlty Restricted Funds Unrestrlrted funds General fund Desi8nated fund5 14 102,258 96,951 102,258 96,951 15 1,278,354 1,192,893 1,279,637 1,289.587 1,085,560 1.192.893 624,414 1.289,586 15 Total charftyfund5 2,573,505 2,666,175 2.380.711 2,010,951 2010512021 Approved ancl auihorlsed for issue on behalf of the Board of Trustees on...................... S MacPherson President 2020- 2021 A Catchpole onoraryTrea5urer The tiotes on page5 $0 to 69 form part of these financial statements. 48

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2020

Note 2020 2019
£ £
Net cash (used in)/provided by operating activities I (65,949) 538,509
Net cash flow from investing activities
Income from investments 64,085 63,649
Purchase of property, plant and equipment (96,256) (127,212)
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net cash used in investing activities (32,171) (63,563)
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Reconciliation of net cash flow to movement in net funds
(Decrease)/increase in cash II (98,120) 474,946
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Change in net cash funds resulting from cash flows (98,120) 474,946
Net cash funds at 1 January 1,381,831 906,885
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net cash funds at 31 December 1,283,711 1,381,831
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Notes to the cash flow statement
I. Reconciliation of net income to net cash flow from operating activities
Net income for the reporting period (as per the
Statement of Financial Activities) 38,330 368,687
Net loss on investments (125,574) (297,830)
Investment income (64,085) (63,649)
Depreciation charges 178,619 154,204
Loss on disposal of fixed assets ‐ 4,072
Decrease/(Increase) in stocks of publications 629 (3,036)
Decrease/(Increase) in debtors 238,727 (10,019)
Increase/ (decrease) in creditors (213,595) 520,080
Decrease in pension asset to liability (119,000) (134,000)
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net cash (used in)/provided by operating activities (65,949) 538,509
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
II. Analysis of changes in net funds excluding term deposits
At Cash At
01/01/2020 Flows 31/12/2020
£ £ £
Short term deposits_(deposited on 24 hour notice)_ 692,569 115,338 807,907
Cash at bank and in hand 689,262 (213,458) 475,804
‐‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐‐
Total cash and cash equivalents 1,381,831 (98,120) 1,283,711
‐‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐‐

The notes on pages 50 to 69 form part of these financial statements.

49

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

1 GENERAL INFORMATION

The Chartered Institution of Building Services Engineers is a charity registered in England and Wales, registration number 278104. It is governed by its Royal Charter and By‐laws which were awarded in 1976 and last amended in 2010. The registered office is 222 Balham High Road, London, SW12 9BS.

2 ACCOUNTING POLICIES

The principal policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

2.1 Basis of accounting

The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these financial statements. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) ‐ (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a ‘true and fair view’ and 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 applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) issued on 16 July 2014 rather than the previous Statement of Recommended Practice: Accounting and Reporting by Charities which was effective from 1 April 2005 but which has since been withdrawn.

The Chartered Institution of Building Services Engineers meets the definition of a public benefit entity under FRS 102.

2.2 Going concern

Having reviewed the Group’s forecasts and cashflow projections, the Trustees believe there to be no material uncertainties about the Group’s ability to continue as a going concern. The Trustees believe this will be aided by recent and upcoming changes to regulation within the construction industry, in view of the Group’s ability to influence those changes and assist in that transition, alongside significant reductions to the Group’s cost base.

The Trustees believe there is adequate cash and liquid investments to meet their liabilities as they fall due for a least a year from the date of the signing of these accounts. As such the Trustees continue to adopt the going concern basis for the preparation of the annual financial statements.

The most significant areas of judgement and key assumptions that affect the items in the financial statements relate to the estimation of the defined benefit pension scheme’s assets and liabilities (see Note 2.18 and Note 19).

2.3 Financial statements of the Institution and its trading subsidiaries

The financial statements include the consolidation of CIBSE Services Limited, CIBSE Certification Limited and The Chartered Institution of Building Services Engineers Hong Kong Limited (CIBSE Hong Kong Limited), all wholly owned subsidiaries of the Institution.

No separate Statement of Financial Activities has been presented for the Institution. The results of the Institution for the year ended 31 December 2020 are included in Note 16.

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THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

2 ACCOUNTING POLICIES (continued)

2.3 Financial statements of the Institution and its trading subsidiaries (continued)

Exemption from the requirement to disclose transactions between the Institution and its subsidiary companies has been taken under section 33.1A of FRS 102 as transactions occur between wholly owned members. The Institution has taken advantage of the disclosure exemption permitted by FRS 102 of the requirements of Section 7 Statement of Cash Flows to not disclose a charity‐only Statement of Cash Flows.

2.4 Funds

The Institution has divided its funds into categories according to their nature and purpose as follows:

Unrestricted funds

Funds available for the Institution to pursue all of its objectives under its Royal Charter and comprise:

General fund

This represents the undesignated accumulated surpluses from funds available for the general objectives of the Institution.

Designated fund

Funds designated to pursue a particular objective or group of objectives under the Royal Charter and comprise:

Research Fund

This fund has the objectives of raising and designating funds for the purpose of enabling research to advance the art, science and practice of building services engineering.

Education Fund

CIBSE established this fund with the objective of raising and designating funds to enable CIBSE to further education in the art, science and practice of building services engineering.

Richard Tully Family Publication Fund

This fund was established by the designation of a gift from Richard E J Tully, with the objective of funding awards to encourage the continued publication of good engineering practice in the profession of building services engineering.

Domestic Building Services Panel Fund

This fund has the objectives of raising and designating funds for the purpose of enabling research to advance the art, science and practice of building services engineering for Domestic Heating publications.

Society of Light and Lighting Fund

This fund has the objective of funding the operations of the Society of Light and Lighting Fund.

Ken Dale Fund

This fund was established following receipt of a legacy from past president Ken Dale designated to advance the art, science and practice of building services engineering in his name.

Restricted funds

These funds have been received by the Institution with specific restrictions on their use within the objectives of its Royal Charter and comprised:

Patrons Fund

This fund was formed to provide a base for financing activities of concern to the building services industry as a whole, for which adequate funds were not available within the unrestricted funds of the Institution, and to provide liaison between the Institution and its members with the commercial organisations involved in building services engineering.

51

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

2 ACCOUNTING POLICIES (continued)

2.5 Branches, groups and regions

The activities of branches, groups and regions, together with their assets and liabilities are incorporated within these accounts.

2.6 Income

Subscriptions

Subscriptions due are treated as income for the periods to which they relate. Subscriptions received in respect of future years are carried forward in the financial statements as deferred income until the relevant subscription year.

Legacies

Legacies are included in the Statement of Financial Activities where probate was granted prior to the balance sheet date and a distribution is considered probable and the amount can be reliably estimated.

Donations and grants

Donations and grants are included in the financial statements when receivable.

Volunteers

CIBSE 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 building services. Attempting to provide such in‐depth knowledge for an industry as diverse as building services is an enormous undertaking, and would be impossible without the hundreds of experts who give their time and resources to the Institution and work to remain on the forefront of technology.

Carrying out a variety of roles on a voluntary basis for CIBSE, from contributing to technical papers, to serving on the board and deciding strategy, to helping at events and with media requests, the volunteers give substantial resources at a time when the industry has never been more stretched. 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.

Fees received for charitable services

These represent amounts receivable in respect of goods or services during the year.

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.

2.7 Expenditure

Expenditure is accounted for on an accrual basis and is recognised where there is a legal and constructive obligation to pay for the expenditure.

Charitable expenditure comprises expenses incurred on the defined charitable purposes of the Institution. Cost of raising funds comprises expenses incurred in enhancing and maintaining the public image of the Institution and expenditure incurred in trading activities that raise funds.

Governance costs comprise expenses incurred in the governance of the Institution and its assets and are primarily associated with constitutional and statutory requirements.

Each category includes direct expenses and staff costs, together with an allocation of overhead costs based on a combination of direct staff costs and activity levels.

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THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

2 ACCOUNTING POLICIES (continued)

2.8 Intangible fixed assets

Goodwill arising on an acquisition of trade and assets represents the difference between the fair value of the consideration paid and the fair value of the net assets acquired. It is capitalised and amortised through the profit and loss account over the estimate of its useful economic life of three years.

Goodwill is amortised on cost at 50% in the first year and, 30% & 20% over the next two years after consideration of its estimated useful life of 3 years.

2.9 Tangible fixed assets

Freehold land is not depreciated. The charity separately identifies the major components of its properties and charges depreciation so as to write down the cost of each component to its estimated residual value on a straight line basis over its expected useful life.

The useful lives are as follows: Building structure 50 years
Doors 30 years
Windows 10 years
Other tangible fixed assets: Computer equipment 3 ‐ 5 years
Fixtures & fittings 5 years

2.10 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.

Unlisted investments comprise investments in subsidiaries which are measured at cost less impairment.

A source of financial risk faced by the charity is that is that of volitatility 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.

2.11 Impairments

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. When the carrying amount exceeds it's recoverable amount, an impairment loss is recognised in the Statement of Financial Activities unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

2.12 Financial Instruments

The company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

A financial asset is derecognised only when the contractual rights to cash flows expire or are settled, or substantially all the risks and rewards of ownership are transferred to another party, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell

53

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

2 ACCOUNTING POLICIES (continued)

2.12 Financial Instruments (continued)

the asset in Its entirety to an unrelated third party. A financial liability (or part thereof) is derecognised when the obligation specified in the contract is discharged, cancelled or expires.

2.13 Stocks

Finished stocks relate to technical publications and are stated at the lower of cost and net realisable value. Cost comprises the price of purchasing, printing, binding and compilation.

2.14 Debtors

Trade and other debtors which are receivable within one year and which do not constitute a financing transaction are initially measured at the transaction price. Trade debtors are subsequently measured at amortised cost, being the transaction price less any amounts settled and any impairment losses.

A provision for impairment of trade debtors is established when there is objective evidence that the amounts due will not be collected according to the original term of the contract. Impairment losses are recognised in the statement of financial activities for the excess of the carrying value of the trade debtor over the present value of the future cash flows discounted using the original effective interest rate. Subsequent reversals of an impairment loss that objectively relate to an event occurring after the impairment loss was recognised, are recognised immediately in the statement of financial activities.

2.15 Cash at bank and in hand

Cash at bank and in hand include cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit.

2.16 Creditor

Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

2.17 Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which has accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

2.18 Pension contributions

The Institution operates a non‐contributory pension scheme providing benefits based on final pensionable salary. The assets of the scheme are invested with an insurance company and are totally separate from those of the Institution. This scheme was closed to new members in 1999. The Institution has fully adopted the disclosures set out in section 28 of FRS 102. The difference between the fair value of the assets held in the Institution's defined benefit pension scheme and the scheme's liabilities measured on an actuarial basis using the projected unit method are recognised in the Institution's Balance Sheet as a pension scheme asset or liability as appropriate. The carrying value of any resulting pension scheme asset is restricted to the extent that the Institution is able to recover the surplus either through reduced contributions in the future or through refunds from the scheme.

Changes in the defined benefit pension scheme asset or liability arising from factors other than cash contributions by the Institution are charged to the Statement of Financial Activities in accordance with section 28 of FRS 102. The Institution contributes to a stakeholder pension scheme operated by Aviva and is open to all employees. The annual contribution payments are charged to the Statement of Financial Activities.

54

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

2 ACCOUNTING POLICIES (continued)

2.19 Taxation

The Institution is registered as a charity, registration number 278104, and in consequence it is exempt from taxation on income arising from and expended on its charitable activities.

2.20 Foreign currencies

Transactions in foreign currency are recorded at the rate ruling at the date of the transaction. Monetary assets and liabilities are translated at the rate of exchange ruling at the balance sheet date. All differences are taken to the Statement of Financial Activities.

2.21 Judgements and key sources of estimation uncertainty

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. There are no estimates and assumptions that are considered to have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

3 CHARITABLE SERVICES INCOME

Fees receivable for charitable services for the year is derived from:

Unrestricted
funds		 Restricted
**funds **		 Total 2020 Unrestricted
funds		 Restricted
funds		 Total 2019
£ £ £ £ £ £
Training delegate fees 11,100 2,500 13,600 75,400 10,837 86,237
Publications 16,260 ‐ 16,260 30,269 ‐ 30,269
Societies sponsorship fees 19,600 ‐ 19,600 24,000 ‐ 24,000
Grants and royalties 83,642 ‐ 83,642 159,310 ‐ 159,310
Sundry 85,343 ‐ 85,343 65,490 ‐ 65,490
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
215,945 2,500 218,445 354,469 10,837 365,306
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

4 INVESTMENT INCOME

Investment income for the year is derived from:

Unrestricted
funds		 Restricted
**funds **		 Total 2020 Unrestricted
funds		 Restricted
funds		 Total 2019
£ £ £ £ £ £
Listed investments 60,728 ‐ 60,728 59,534 ‐ 59,534
Cash deposits 3,357 ‐ 3,357 4,115 ‐ 4,115
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
64,085 ‐ 64,085 63,649 ‐ 63,649
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

55

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

**5 ** EXPENDITURE
Staff Other Staff Other
Direct Direct Support Support 2020 2019
Costs Costs Cost Cost Total Total
£ £ £ £ £ £
Expenditure on raising funds
Trading subsidiary companies 1,037,155 1,545,056 ‐ ‐ 2,582,211 3,176,466
Expenditure on charitable activities
Membership 580,487 148,343 562,365 348,385 1,639,580 1,716,128
Technical 146,493 187,205 141,920 87,919 563,537 776,494
Regional & special interest groups 276,027 252,307 267,410 165,660 961,404 1,112,584
Research 133,195 115,034 129,037 79,938 457,204 507,127
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
2,173,357 2,247,945 1,100,732 681,902 6,203,936 7,288,799
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

6 SUPPORT COSTS

The support costs have been allocated on the following basis:

2020 2019
Support cost Basis of allocation £ £
Administration staff and welfare Staff costs 1,100,732 1,263,043
Temporary staff, recruitment & consultants Direct allocation to projects 21,242 79,579
Meeting costs Direct allocation to projects 5,577 55,390
Office costs Total number of employees 83,105 110,493
Premises Area occupied basis 57,645 83,243
IT Direct allocation to projects 259,954 214,732
Legal & professional fees Direct allocations to projects 85,809 84,718
Depreciation Direct allocation to projects 88,795 87,986
Bad debt Actual 2,726 2,774
Marketing Direct allocation to projects 41,594 48,328
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
1,747,179 2,030,286
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Governance costs Basis of allocation
Auditor's remuneration ‐ statutory audit Direct allocation to projects 24,750 25,622
AGM & annual report cost Direct allocation to projects 6,793 14,356
Trustees expenses Direct allocation to projects 3,912 25,173
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
35,455 65,151
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

56

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

7 STAFF COSTS
2020 2019
£ £
Wages and salaries 2,719,308 2,588,848
Temporary staff and agency fees 25,057 90,762
Social security costs 297,745 282,619
Pension costs: ‐
Defined contribution pensions 141,383 140,344
Defined benefit pensions 6,000 7,000
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
3,189,493 3,109,573
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
The average number of employees during the year, who were all engaged in the
activities of the Institution and its subsidiaries, was: 61 61

All Trustees give of their time freely and no Trustee remuneration was paid in the year (2019: £Nil).

The key management personnel of the parent charity, the Institution, comprise the Trustees, the Chief Executive Officer and the senior management team. Total employee benefits of key management personnel for the year under review, excluding the Trustees were £1,042,716 (2019: £864,329).

None of the Institution's wholly‐owned subsidiaries employ staff directly. As a result, the key management personnel and their aggregate employee benefits for the group is the same as the Institution as disclosed above.

The number of employees earning total emoluments of £60,000 or more:

£60,001 to £70,000 2 ‐
£70,001 to £80,000 3 3
£80,001 to £90,000 3 2
£90,001 to £100,000 1 1
£100,001 to £110,000 1 1
£180,001 to £190,000 1 1

Contributions in the year for provision of the pension schemes in respect of the above higher paid employees amounted to £51,792 for 11 staff (2019: £51,386 for 7 staff).

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THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

8 TRANSACTIONS WITH TRUSTEES AND RELATED PARTY TRANSACTIONS

The Trustees of the Institution are the members of Board, who are drawn, from time to time, from the membership of the Institution. No member of Board received any remuneration or benefits‐in‐kind for their duties as Trustees (2019: Nil).

Members of the Board of Trustees are reimbursed for travelling and other expenses whilst engaged on the activities of the Institution.

of the Institution.
2020 2019
Reimbursements were made as follows: £ £
Reimbursed to 4 Trustees (2019: 7 Trustees) 3,912 25,582
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

Under the terms of the Royal Charter & Bylaws, the Institution is empowered to make reasonable and proper payments to members for services actually rendered to the Institution. This power includes Trustees, in their capacity as members of the Institution. In their capacity as members of the Institution, Trustees are obliged to pay annual subscriptions due to the Institution and are entitled to take advantage of the services offered by the Institution and its subsidiary company, on the same terms offered to all members, or to the general public. Where members or their connections provide services to, or utilise any other services or facilities of the Institution, the amounts paid to or charged by the Institution are based on either:

‐ Standard rates paid by the Institution to members and non‐members alike, for services such as lecturing or interviewing of candidates; or

‐ Rates negotiated on behalf of the Institution, independently of the member involved, by the Board, or their delegated committee, based on competitive tenders or general commercial rates.

During the year, the Institution is aware that payments have been made by the Institution for commercial services provided to it, or charges made by the Institution for utilising other services or facilities of the Institution, by certain Members of the Board of Trustees, or their connections, as follows:

During 2020, there were no speaker fees paid to Trustees (2019: £Nil).

As at 31 December 2020, CIBSE was owed £626 (2019: £16,297) by the CIBSE Benevolent Fund Trust, a related party by virtue of the Fund's objectives to provide support to members or former members of CIBSE and their immediate dependants of such persons. The following transactions took place during the year:

2020 2019
£ £
Administration fee charged to the Benevolent Fund 1,750 1,750
Payments made on behalf of the Benevolent Fund
Expenses ‐ 3,496
Grants 8,250 39,200
Amounts received on behalf of the Benevolent Fund
Donations 25,671 28,149

58

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

9 INTANGIBLE FIXED ASSETS

Group Goodwill
£
Cost or valuation
Balance at 1 January 2020 and at 31 December 2020 155,572
‐‐‐‐‐‐‐‐‐‐
Accumulated Amortisation
Balance at 1 January 2020 and at 31 December 2020 155,572
‐‐‐‐‐‐‐‐‐‐
Net Book value
At 31 December 2019 and at 31 December 2020 ‐
‐‐‐‐‐‐‐‐‐‐

10 TANGIBLE FIXED ASSETS

Freehold Computer Furniture &
Property Equipment Equipment Total
Group
£ £ £ £
Cost
Balance at 1 January 2020 426,000 941,567 293,579 1,661,146
Additions ‐ 93,642 2,614 96,256
Disposals ‐ ‐ ‐ ‐
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Balance at 31 December 2020 426,000 1,035,209 296,193 1,757,402
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Accumulated depreciation
Balance at 1 January 2020 153,766 596,579 243,281 993,626
Charge for the year 5,680 165,119 7,820 178,619
Disposals ‐ ‐ ‐ ‐
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Balance at 31 December 2020 159,446 761,698 251,101 1,172,245
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net book value
At 31 December 2020 266,554 273,511 45,092 585,157
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
At 31 December 2019 272,234 344,988 50,298 667,520
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

59

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

10 TANGIBLE FIXED ASSETS (continued)

Freehold Computer Furniture &
Institution Property Equipment Equipment Total
£ £ £ £
Cost
Balance at 1 January 2020 426,000 397,355 290,320 1,113,675
Additions ‐ 41,738 1,694 43,432
Disposals ‐ ‐ ‐ ‐
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Balance at 31 December 2020 426,000 439,093 292,014 1,157,107
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Accumulated depreciation
Balance at 1 January 2020 153,766 251,721 240,148 645,635
Charge for the year 5,680 78,549 7,346 91,575
Disposals ‐ ‐ ‐ ‐
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Balance at 31 December 2020 159,446 330,270 247,494 737,210
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net book value
At 31 December 2020 266,554 108,823 44,520 419,897
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
At 31 December 2019 272,234 145,634 50,172 468,040
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

60

THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

11 FIXED ASSETS INVESTMENTS

Group The Institution The Institution
2020 2019 2020 2019
£ £ £ £
Balance as at 1 January 1,963,425 1,665,595 1,963,429 1,665,597
Purchase of units ‐ ‐ ‐ 2
Sale of units ‐ ‐ ‐ ‐
Net gains on investments
Gains on sale of investments ‐ ‐ ‐ ‐
Net gain on revaluation at 31 December 125,574 297,830 125,574 297,830
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Balance as at 31 December 2,088,999 1,963,425 2,089,003 1,963,429
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Investments are made up of:
Listed investments 2,088,999 1,963,425 2,088,999 1,963,425
Trading subsidiaries:
100% interest in CIBSE Services Limited ‐ ‐ 2 2
100% interest in CIBSE Certification Limited ‐ ‐ 2 2
100% interest (100% Group / 50% The Institution) in The
Chartered Institution of Building Services Engineers Hong
Kong Limited ‐ ‐ ‐ ‐
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
2,088,999 1,963,425 2,089,003 1,963,429
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
The historical cost of listed investments are:
Listed Investments cost at 1 January 1,117,199 1,117,199 1,117,199 1,117,199
Less sale of units ‐ ‐ ‐ ‐
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Listed Investments cost at 31 December 1,117,199 1,117,199 1,117,199 1,117,199
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

The listed investments are managed on behalf of the Institution by CCLA Investment Management Limited.

The significance of financial instruments to the ongoing financial sustainability of the Institution is considered in the investment powers section of the Trustees' Annual Report. The basis of fair value for listed investments is equivalent to the market value, using the mid‐market price.

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THE CHARTERED INSTITUTION OF BUILDING SERVICES ENGINEERS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

12 DEBTORS

Group The Institution The Institution
2020 2019 2020 2019
£ £ £ £
Trade debtors 266,763 339,693 11,646 31,601
Amounts owed by group undertakings ‐ ‐ 156,821 ‐
Prepayments and accrued income 252,380 366,841 111,013 138,621
Other debtors 107,805 159,141 84,081 111,345
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
626,948 865,675 363,561 281,567
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

13 CREDITORS: AMOUNTS DUE WITHIN ONE YEAR

Group Group The Institution The Institution
2020 2019 2020 2019
£ £ £ £
Trade creditors 146,453 252,992 55,204 161,140
Accruals 162,601 138,979 117,629 105,304
Amounts owed to group undertakings ‐ ‐ 26,547 394,574
Deferred income: amounts received in advance
for subscriptions & services 1,169,697 1,235,344 918,131 956,606
Taxation and social security 239,378 296,707 120,796 112,804
Other creditors 347,081 354,783 269,794 255,522
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
2,065,210 2,278,805 1,508,101 1,985,950
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Deferred income
At 1 January 1,235,344 1,177,974 956,606 884,512
Amounts released to income (1,235,344) (1,177,974) (956,606) (884,512)
Amount deferred in the year 1,169,697 1,235,344 918,131 956,606
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
At 31 December 1,169,697 1,235,344 918,131 956,606
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

**14 ** RESTRICTED FUNDS – Group
Current Year Movement in Funds
Balance at 1 Balance at 31
January Income Expenditure Transfers December
2020 2020
£ £ £ £
Patrons Fund 96,951 54,315 (49,008) ‐ 102,258
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
96,951 54,315 (49,008) ‐ 102,258
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Prior Year Movement in Funds
Balance at 1 Balance at 31
January Income Expenditure Transfers December
2019 2019
£ £ £ £
Patrons Fund 111,676 60,712 (75,437) ‐ 96,951
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
111,676 60,712 (75,437) ‐ 96,951
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

See Note 2.4 for description of funds

15 UNRESTRICTED AND DESIGNATED FUNDS – Group

Current Year

Movement In Funds

Net of
investments
gain &
Balance at 1 pension
scheme		 Balance at 31
January movement December
2020 Income Expenditure 2020
£ £ £ £ £
Research Fund 484,224 64,268 (248,230) ‐ 300,262
Education Fund 58,913 3,273 (1,644) ‐ 60,542
Richard Tully Family Publication Fund 132,190 7,344 ‐ ‐ 139,534
Domestic Building Services Panel Fund 233,232 31,385 (19,742) ‐ 244,875
Society of Light and Lighting 278,440 220,418 (159,466) ‐ 339,392
Ken Dale Fund 102,588 5,700 ‐ ‐ 108,288
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Designated Funds 1,289,587 332,388 (429,082) ‐ 1,192,893
General Fund 1,279,637 5,729,989 (5,725,846) (5,426) 1,278,354
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Unrestricted Funds 2,569,224 6,062,377 (6,154,928) (5,426) 2,471,247
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
See Note 2.4 for description of funds

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

Prior Year

Movement In Funds

Net of
investments
gain &
pension Balance at 31
Balance at 1 scheme December
January 2019 Income Expenditure movement 2019
£ £ £ £ £
Research Fund 524,937 249,418 (290,131) ‐ 484,224
Education Fund 58,371 4,339 (3,797) ‐ 58,913
Richard Tully Family Publication Fund 123,043 9,147 ‐ ‐ 132,190
Domestic Building Services Panel Fund 206,224 48,187 (21,179) ‐ 233,232
Society of Light and Lighting 244,346 243,953 (209,859) ‐ 278,440
Ken Dale Fund 98,986 7,359 (3,757) ‐ 102,588
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Designated Funds 1,255,907 562,403 (528,723) ‐ 1,289,587
General Fund 1,072,905 6,736,541 (6,684,639) 154,830 1,279,637
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Unrestricted Funds 2,328,812 7,298,944 (7,213,362) 154,830 2,569,224
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

See Note 2.4 for description of funds

16 RESULTS OF THE INSTITUTION

RESULTS OF THE INSTITUTION
2020 2019
£ £
Total income 4,056,143 4,018,491
Total expenditure (3,680,956) (3,984,922)
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net income before gains on investments 375,187 33,569
Net gains on investments 125,574 297,830
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net income after gains on investments 500,761 331,399
Actuarial loss on defined benefit pension scheme (131,000) (143,000)
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net movement in funds 369,761 188,399
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

17 TRADING SUBSIDIARIES

The Group has three wholly owned subsidiaries, CIBSE Services Limited (company registered no. 03645473) and CIBSE Certification Limited (company registered no. 06083016), which are both incorporated in the UK and The Chartered Institution of Building Services Engineers Hong Kong Limited, which is incorporated in Hong Kong. CIBSE Services Limited and CIBSE Certification Limited carry out various activities in pursuance of the charitable aims of the Institution and operates various commercial activities. CIBSE Services Limited and CIBSE Certification Limited donate their taxable profit to the Institution. The principal activities of The Chartered Institution of Building Services Engineers Hong Kong Limited are the provision of conferences and exhibition services.

A summary of the trading results and net assets of the subsidiaries for 2020 are shown below. Audited accounts for all of the subsidiaries are filed with their respective Registrars.

CIBSE
CIBSE Services Certification CIBSE HK
Limited Limited Limited
£ £ £
Turnover 1,764,842 739,901 95,966
Cost of sales (1,268,349) (651,626) (61,624)
Administration expenses (519,476) (81,135) ‐
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Operating profit (22,983) 7,140 34,342
Interest receivable 119 ‐ ‐
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐‐
Net (loss)/profit before gift aid (22,864) 7,140 34,342
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
The aggregate of the assets, liabilities and funds was:
Fixed assets 107,601 57,085 575
Net current (liabilities)/assets (24,315) (53,015) 104,866
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net assets 83,286 4,070 105,441
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Funds
Called up share capital 2 2 ‐
Reserves 83,284 4,068 105,441
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
83,286 4,070 105,441
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

18 ANALYSIS OF CONSOLIDATED NET ASSETS BETWEEN FUNDS

Current Year

Current Year
General Designated Restricted Total
Funds Funds Funds 2020
£ £ £ £
Fund balances
Fixed assets 585,157 ‐ ‐ 585,157
Investments 2,088,999 ‐ ‐ 2,088,999
Net current (liabilities)/assets (1,419,802) 1,192,893 102,258 (124,651)
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net assets excluding pension scheme liability 1,254,354 1,192,893 102,258 2,549,505
Defined benefit pension scheme liability 24,000 ‐ ‐ 24,000
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net assets including pension scheme liability 1,278,354 1,192,893 102,258 2,573,505
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

Prior Year

General Designated Restricted Total
Funds Funds Funds 2019
£ £ £ £
Fund balances
Fixed assets 667,520 ‐ ‐ 667,520
Investments 1,963,425 ‐ ‐ 1,963,425
Net current (liabilities)/assets (1,387,308) 1,289,587 96,951 (770)
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net Assets excluding pension scheme liability 1,243,637 1,289,587 96,951 2,630,175
Defined benefit pension scheme liability 36,000 ‐ ‐ 36,000
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐
Net assets including pension scheme liability 1,279,637 1,289,587 96,951 2,666,175
‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐‐

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

19 CIBSE PENSION SCHEMES

CIBSE operates both a defined contribution and a defined benefit pension scheme which require contributions to be made separately to administered funds for the benefit of the employees. The defined contribution scheme was opened in November 2001 and employer contribution commenced in April 2007.

Final salary pension scheme

The defined benefit scheme has been reported under section 28 of FRS 102. The most recent valuation was at 1 April 2017. The assumptions which had most significant effect on that valuation were:

This actuarial valuation showed that the market value of the scheme's assets was £4,523,000 and that their actuarial value was 90% of the benefits that had accrued to members after allowing for expected future salary increases. The actuarial valuation recommended that the rate of contributions be increased to 45.2%. The Trustees and the Employer agreed to additional Employer contributions of £108,000 p.a. from 1 April 2017 until the Funding Valuation shortfall is addressed. The actuarial valuation calculated the Funding Valuation shortfall is expected to be addressed until 28 February 2022. The payments are payable by the last day of February each year and are due to remain the same over the period.

Based on the current schedule of contributions the estimated contribution to be paid over to the scheme in 2020 is at least 45.2% p.a of the pensionable salary roll, on a monthly basis.

The number of employees in the scheme at the year end were:

2020 2019
Active employees 1 1
Deferred pensioners 17 18
Pensioners 10 10

The financial assumptions used by the actuary to calculate the scheme liabilities under FRS 102 were as follows:

2020 2019
Rate of increase in salaries 4.30% 4.40%
Rate of increase in pensions in payments accrued before 6 April 1997 3.00% 3.00%
Rate of increase in pensions in payments accrued after 6 April 1997 3.00% 3.00%
Discount rate 1.20% 1.90%
Retail price inflation 3.10% 3.20%

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

19 CIBSE PENSION SCHEMES (continued)
2020 2019
£'000 £'000
Analysis of the amount charged to expenditure
Current service cost (16) (14)
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Total service cost (16) (14)
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Net interest costs
Interest income on plan assets 91 111
Interest expense on defined benefit obligation (81) (104)
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Net return 10 7
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Total pension costs charged to the Statement of Financial Activities (6) (7)
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Analysis of the actuarial loss recognised in the Statement of Financial Activities
Actual return on plan assets, excluding interest income 6 570
Experience gains and losses arising on the scheme liabilities 27 (37)
Changes in assumptions underlying the present value of the scheme liabilities (279) (441)
Effect of asset ceiling 115 (235)
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Total actuarial loss recognised in the Statement of Financial Activities (131) (143)
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Analysis of the pension accounting information under FRS 102 is shown below
Amount recognised in the Balance Sheet
Present value of defined benefit obligation (4,544) (4,345)
Fair value of plan assets 4,826 4,754
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Net defined benefit asset 282 409
Effect of asset ceiling (258) (373)
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Recognised defined benefit asset 24 36
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Change in defined benefit obligation
Defined benefit obligation at beginning of period (4,345) (3,906)
Current service costs (16) (14)
Interest expenses (81) (104)
Remeasurement arising from changes in assumptions (279) (441)
Remeasurements arising from experience 27 (37)
Benefits paid 150 157
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
(4,544) (4,345)
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐

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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

19 CIBSE PENSION SCHEMES ( continued)

2020 2019
£'000 £'000
Change in plan assets
Assets at beginning of year 4,754 4,089
Interest income 91 111
Actual return on plan assets, excluding interest income 6 570
Employer contributions 125 141
Benefits paid (150) (157)
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Assets at end of year 4,826 4,754
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
Actual return on assets 97 681
Asset class split
2020 2019
Equities 58% 58%
Property 11% 13%
Corporate Bonds 7% 6%
Gilts 16% 15%
Cash 1% 8%
Annuities 7% 0%
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐
100% 100%
‐‐‐‐‐‐‐‐‐‐‐ ‐‐‐‐‐‐‐‐‐‐‐

20 SUBSEQUENT EVENTS

After the Balance Sheet date, the Charity has been granted support by the government’s Coronavirus Business Interruption Loan Scheme and received a loan facility of £500,000. The facility is over a term of 72 months, carrying nil interest rate for the first 12 months from drawdown, and thereafter an interest of 2.95% over base rate. Monthly repayments of £8,333.33 are due on the anniversary of the drawdown of the loan. The amount due over one year is £500,000 plus any interest incurred. There is no penalty for early repayment.

69