**Annual Report 2020-21**
**Year ended 31 March 2021 Company limited by guarantee Company 2219673** | **Charity 298740**
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**Centre for Sustainable Energy** | **2020-21**
## **Trustees’ report** _&_ **financial statements**
**Year ended 31 March 2021**
he trustees present their annual report together with the audited financial statements of the charity for the year 1 April 2020 to 31 March 2021. The annual report serves the purposes of both a trustees’ report and a directors’ report under company law. **T** The trustees confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company’s governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).
Since the charity qualifies as small under section 382 of the Companies Act 2006, the strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors’ Report) Regulations 2013 has been omitted.
**Introduction 3**
**Impact 4**
**Objectives & activities 6**
**Achievements & performance 7**
**Finanical review & Future strategy 20**
**Funders & clients 21**
**Independent auditor’s report 24**
**Statement of financial activities 26**
**Balance sheet 27**
**Notes to financial statements 29**
**Company Trustees 2219673 Peter Capener MBE Charity Ariane Crampton 298740 Andrew Darnton Dr Jane Dennett-Thorpe Registered office Peter Ellis St James Court William Gillis St James Parade Bill Hull Bristol Felicity Jones BS1 3LH Anne Obey OBE[*] Shantha Shanmugalingam Dr Chris Vernon Kaye Welfare**
*** Chair of Trustees**
**Company Secretary Kaye Welfare**
**Chief Executive Simon Roberts OBE**
**Independent auditors Bishop Fleming LLP 10 Temple Back Bristol BS1 6FL**
## **Bankers**
**HSBC Bank plc 62 George White Street Bristol BS1 3BA**
**Solicitors**
**TLT LLP One Redcliff Street Bristol BS1 6TP**
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**Centre for Sustainable Energy** | **2020-21**
## **Introduction** _from our_ **Chair of Trustees** _&_ **Chief Executive**
he year started with lockdown and an amazing response from CSE’s staff to reconfigure work to sustain our support for people struggling in fuel poverty **T** and enabling communities and local authorities to address the climate emergency. We saw a growing need for our services and responded quickly with our funders and partners, adjusting projects to suit the new conditions and securing new income to expand, meeting increasing demand.
Despite the challenges from Covid-19, we achieved so much throughout 2020-2021:
- Advising 43% more households, most of them at risk of fuel poverty, and achieving 47% more benefit for these clients than in the previous year.
- Reporting findings and recommendations of Smart _and_ Fair? Phase One, our ground-breaking research programme.
- Influencing national policy, particularly in relation to local area energy planning and consumer protection and fairness in a smarter energy market.
These considerable achievements sit alongside posting healthy financial results. Such a positive outcome in such a difficult year is wholly due to a fantastic team effort bringing together the dedication and expertise of CSE’s staff and volunteers, the insight, encouragement and challenge offered by our board of trustees, the resilience of our project partnerships, and the continuing engagement and support offered by our many generous funders.
- Engaging proactively and innovatively with the huge challenge of growing, more-or-less from scratch, a local market in retrofitting homes for net zero carbon emissions.
- Shifting successfully to on-line support for energy action planning by local councils and communities.
- Establishing our innovative THERMOS software as a key resource in local planning for heat decarbonisation.
- Securing funding for a new phase of our youth empowerment programme, Bright Green Future, focusing on young people from Black, brown and other minority ethnic communities, currently so poorly represented in the energy and environmental sectors.
Addressing the challenges of achieving net zero carbon emissions while leaving no one behind demands far more of what CSE does well. Our strategic plans for the coming years boil down to us stepping up to meet this demand, responding to the ultimatum ‘if not us, then whom? If not now, then when?’
As George Eliot said some 150 years ago: “It will never rain roses; when we want to have more roses, we must plant more roses.”
**Anne Obey OBE Chair of Trustees**
**Simon Roberts OBE Chief Executive**
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**Centre for Sustainable Energy** | **2020-21**
## **Impact[!]**
Shaping places for Taking on tough sustainable energy challenges in scaling up low carbon 3,500 housing retrofit
Empowering new voices to make positive change
## 191
We supported around 3,500 people working on locally led climate action. This includes 179 community groups and 45 neighbourhood planning groups, and 2,330 people at 158 local and community empowerment events.
## 70
Currently 191 young people are involved with our environmental leadership programme, Bright Green Future.
With our partners, we’ve trained 70 ‘Futureproof Assured Builders’ (FABs) to enable more skilled builders and contractors to move into this emerging market of energy efficient housing retrofit.
## 1,000
We’re working with schools supporting approximately 1,000 young people.
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housing retrofit.
schools supporting
approximately
1,000 young
people.
more ... more ... more ...
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## **Income** _&_ **surplus**
## **2020-21**
## **2019-20**
**Income £3.54m Income £3.99m**
**Surplus £0.22m Surplus £0.20m**
**Jump to accounts** è
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Expanding our
support to people
in vulnerable
circumstances
43%
Our advice line saw a 43%
increase in enquires over the last
year.
14,850
We supported 14,850 households smart and
in fuel poverty with 21,337
separate enquiries.
£2.76m
We secured £2.76m of energy
bill savings and income uplifts
worth an average of £191 per
household.
more ... more ...
**----- End of picture text -----**
Revealing the path Creating tools for to a smart and fair better decisionenergy future making for a net zero future
We articulated a more coherent, and comprehensive approach to local area energy planning to underpin future regulatory and policy thinking.
## 1,486
1,486 registered users across the world have used our Thermos software. Between them, they’ve created 3,925 maps to support heat decarbonisation planning.
We stimulated consideration of the regulatory and policy challenges of achieving a net zero energy system that is both **smart** and **fair.**
## 3,000
‘Impact’, our open source, free to access, community-scale carbon foot printing tool had 22,000 views from around 3,000 users. The launch event was attended by representatives of 300 local councils.
We highlighted the challenges of developing decent quality supply chains for the insulation and net zero heating technologies we need in our homes.
We led a coalition pushing for the National Planning Policy Framework to recognise climate change as the **principal concern** for sustainable development.
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more ...
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## **A growing organisation**
## **2017-18 42 staff (full time equivalents)**
**42**
## **2018-19 47staff (FTEs)**
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47
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**2019-20 55 staff (FTEs)**
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55
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## **2020-21 66 staff (FTEs)**
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66
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**Centre for Sustainable Energy** | **2020-21**
## **Objectives** _&_ **Activities**
**Our mission as an independent charity is to share our knowledge and practical experience to enable people to change the way they think and act about energy.**
We believe we owe it to current and future generations for the UK to reduce carbon emissions rapidly to virtually zero. And we think that being able to afford to keep healthily warm in winter is a basic right for every household.
All our work is dedicated to achieving this positive vision. It’s what we mean by ‘sustainable energy’ and it’s why we exist.
- Testing and nurturing new ideas to improve impact, accelerate change and engage new audiences in cutting carbon emissions and ending cold homes.
- Using our experience and evidence to shape local and national policy through expert analysis and research and targeted activity to influence policy makers.
In practical terms, this means we focus on:
- Designing and delivering effective services enabling individuals and organisations in our local area (West of England, Somerset, Wiltshire and Swindon) to make their energy supply and use more sustainable and build their energy resilience.
- Empowering and supporting young people, communities and local councils across the UK to take effective action.
- Developing analytical tools and models to improve policy and practice, enabling better insights and lowering the costs of action.
These approaches not only provide different ways of achieving impact and influence. They also create connections across our work – bringing direct contact with individuals’ experiences together with engagement with practitioners and detailed research and analysis. This nourishes the quality of the understanding and insights that we can share with clients, partners, and policy makers to accelerate the transition to a genuinely sustainable energy future.
Our work is delivered in partnership with national and local government and associated agencies, community groups, the energy industry, academics, business, other energy charities across the country - and the general public. At any given time, CSE has around 100 different and separately funded projects underway.
Our website, has more information about our work and gives free access to our publications and resources, including our popular energy advice leaflets and videos. This sharing of knowledge and practical experience is central to CSE’s mission; doing it well enables others to take action and accelerates change. **www.cse.org.uk**
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**Centre for Sustainable Energy** | **2020-21**
**Achievements** _&_ **performance**
**Revealing the path to a smart and fair energy future 8**
**Expanding our support to people in vulnerable circumstances 10**
**Creating tools for better decision making for a net zero future 12**
**Shaping places for sustainable energy 14**
**Empowering new voices to make positive change 16**
**Taking on tough challenges in scaling up low carbon housing retrofit 18**
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**Achievements & performance** | **2020-21**
## **Revealing the path to a smart and fair energy future**
We know the energy system needs to get much smarter if the UK is to achieve our commitment to reach net zero greenhouse gas emissions. But can it get smarter in ways which ensure widespread consumer participation and share the costs and benefits of the transition fairly? Can we have a net zero energy system which is both smart and fair?
This is the focus of our ground-breaking Smart and Fair? research programme launched In June 2019 with support from Western Power Distribution and Scottish and Southern Electricity Networks. We reported on the findings and recommendations from its first phase in September 2020.
Our Smart and Fair? Phase One report outlines how ‘smart’ and ‘fair’ could co-exist in a future net zero energy system. It details the purposeful actions required to start ensuring they do, with recommendations to government, energy regulator Ofgem, consumer advocates and smart energy market practitioners. We’ve also developed the analytical approaches needed to anticipate and assess progress.
The findings to date are having influence with Ofgem and the Department for Business, Energy and Industrial Strategy (BEIS) and the programme was singled out as offering valuable insights by the Scottish Government’s Just Transition Commission when it reported in March 2021 (see page 65).
We have now embarked on an expanded programme for Phase Two which will shift our work from a theoretical approach to one grounded in practical applications, real market activity and associated market monitoring, and active policy analysis and advice.
While energy industry and policy-makers are committed to ensuring ‘no one is left behind’, we found there was no detail on what this might look like in practice. Our work has started to provide that detail and to develop the analytical techniques that can reveal it further. It leaves little doubt about two important findings and an obvious resulting conclusion:
- **The sorts of smart innovation needed and coming forward in the energy market – from time of use tariffs to smart technologies – will bring with them new ways to generate unfairness and leave people behind.**
- **The smart innovation we need is unlikely to be forthcoming if we seek to achieve fairness by insisting that every smart offer in the market has itself to be fair and inclusive from the outset.**
- **Smart and fair outcomes will not emerge reliably from the market without deliberate and purposeful action to secure them by policymakers and regulators, including requiring adherence by all market participants to a set of Smart and Fair Guidelines.**
“ **CSE has delivered genuinely thoughtPhase one of Smart and Fair? represents provoking analysis which challenges us a real stride forward in understanding and many others to reflect in our future what the principle ‘no one left behind’ plans. It will enable us to reconsider the means in practice. The findings and tools nature of consumer vulnerability in a are readily and gainfully applicable in smarter energy system and to adapt and our work and others will undoubtedly develop new practices.**[“] **find the same.**
**Phase one of Smart and Fair? represents a real stride forward in understanding what the principle ‘no one left behind’ means in practice. The findings and tools are readily and gainfully applicable in**
**Alison Sleightholm, Resources & External Affairs Director, Western Power Distribution**
**Stewart Reid, Head of Future Networks at Scottish and Southern Electricity Networks**
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**Achievements & performance** | **2020-21**
## **Expanding our support to people in vulnerable circumstances**
During 2020-21, we supported thousands more households than ever before. Like many others, we had to quickly adapt our services to meet a growing need while lock-down restrictions ruled out face-toface contact.
The Covid-19 pandemic caused widespread financial hardship and more households are now classified as being in fuel poverty meaning they are likely to suffer a cold home and be making tough choices about how to spend limited budgets; sometimes choosing between putting the heating on or buying food.
_**Cold homes cause misery, ill-health and social exclusion. Currently more than 5m households in the UK can’t afford to keep adequately warm in winter.**_
Our CSE advice line saw a 43% increase in enquires over the last year. Our advice and support secured these people £2.76m in energy bill savings and income uplifts, an average of around £190 per household.
Our advisors answered 21,604 enquiries from 14,465 households in 2020-21 compared to 15,646 enquiries from 10,093 households in the same period 2019-20.
Many other public advice agencies operate face-toface from drop-in centres and when lockdown hit, they had to close. At the same time we were able to offer prepayment meter vouchers to people in need through our advice line which meant it became an increasingly important source of support. Many clients have referred to us as a light in the darkness because we provided someone at the end of the phone who genuinely cares and actively helps.
Wider trends on the CSE advice line in 2020-21 included:
- **More calls from single men – a new client group. Before the pandemic, support was usually taken up by low income families, single parents, pensioners and people with health needs.**
“
**Thank you CSE for all your hard work. Your advice line team enabled my financial situation to be understood by those that would not listen before and it has enabled me to move forward. It takes a truly special soul to offer patience, compassion and understanding throughout these difficult times. I will be forever grateful that you came into my life. You have been a light when all around was darkness. I will never forget or be able to properly express my gratitude.**
**Marie, Somerset**
**• An increase in people who are suffering from mental health issues, including calls from people who feel suicidal.**
**• Calls taking much longer, probably due to increased social isolation.**
**• Normally CSE’s advice line is busiest at the beginning of winter as people turn on their heating. In 2020-21, there was no notable peak, it was constantly busy throughout the summer.**
**• CSE received double the number of referrals from local authorities and more word of mouth referrals than ever.**
When lockdown hit in March 2020, we innovated and adapted services quickly, working with energy industry funding partners who were also quick to respond. Existing funders like Ofgem’s Energy Redress fund made more funding streams available for emergency financial aid for vulnerable people and new funders like Barclays’ 100x100 fund helped charities provide more support to those needing it most.
Meanwhile, when our face to face in-person services like home visits had to stop, CSE advisors worked with clients in other ways including phone support, video calls and visiting people in parks and gardens, when restrictions allowed. The entire office-based advice service shifted to home working within days of lockdown.And CSE support workers normally based in hospitals (to help ensure patients aren’t discharged to a cold home) teamed up with foodbanks to continue to reach vulnerable clients. We also introduced a variety of new measures to support wellbeing at work for our frontline staff as they dealt with increased demand and more clients in very challenging circumstances.
The increase in demand for our advice services confirms what we already know: that people at risk of fuel poverty need more support and their situation can quickly shift from just-about-coping to a desperate struggle with the slightest of changes in income or energy costs.
_**We are dedicated to continuing this vital work until no one suffers a cold home.**_
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**Achievements & performance** | **2020-21**
## **Creating tools for better - decision making for a net zero future**
Our data analysts and software developers are dedicated to building analytical tools and models enabling better insights on sustainable energy outcomes and lowering the costs of action. Our tools and models are supporting better understanding, improved decision-making and more appropriate and cost-effective action by policy-makers and practitioners at both local and national level.
Alongside completing a major re-implementation for BEIS of the National Household Model that we first developed for the government in 2012, we launched two particularly significant new tools in 2020-21.
We finalised and released our open-source heat network planning tool THERMOS - one of our largest ever projects. Almost five years in development, THERMOS is now revolutionising the way opportunities for low-carbon district heating networks are identified and evaluated. The tool was developed through a multi-partner EU-funded initiative led by CSE. Our software developers created a unique modelling tool which estimates the energy performance of every building in a city, and deploys a set of purpose-built algorithms to optimise the design and layout of local heating and cooling networks.
THERMOS does this by integrating advanced buildinglevel energy demand mapping with a detailed spatial representation of road networks. These are combined to generate and solve a mixed-integer linear optimisation problem, taking into account user-inputs such as the energy supply source, local energy costs, investment budgets, and the carbon emission reduction obligations of a developer or local authority. The outputs are exceptionally detailed, including fully routed, sized and costed network designs in which Thermos decides which buildings to include, and how to route the network to connect them.
THERMOS fills a gap in the world of heat decarbonisation planning and is already being applied widely around the world with some 1,400 users from energy agencies, urban planning offices,
universities, engineering consultancies etc. And it is now underpinning work we are undertaking for BEIS to support the department’s policy thinking on “ identifying and prioritising heat network zones in cities.
**Thank you for developing this amazing Impact tool and making it open access with no requirement to buy further services. We used the tool to compare carbon footprints of eight parish and town councils to help focus activities on the areas of highest impact. It has been fascinating to go through the data comparatively for the different areas as we have great variety in socio**
1,486 registered users across the world have used our Thermos software creating 3,925 maps to support heat decarbonisation planning.
In February 2021 we launched **Impact** , an open source, free to access, community-scale carbon foot printing tool, created by CSE’s data analysts and software developers in collaboration with the University of **areas as we have great variety in socio** Exeter’s Centre for Energy & the Environment. **economic factors in this district.** Impact enables small administrative geographies in England, initially parish and town councils, to understand the carbon footprint of their localities. By June 2021, it had already received over 22,000 views from around 3,000 users and the launch event was **Council’s Climate Action Forum.** attended by representatives of 300 local councils. The tool gives communities estimates of the carbon emissions caused by their residents and businesses that is easy to understand, easy to share, and gives them a clear idea of their main ‘impact areas’ – those places where focused community-based action will make the biggest contribution to cutting local emissions.
**Shelaine Siepel, Managing Director, Sustainable Business Partnership CIC working with Lewes District Council’s Climate Action Forum.**
The tool has been designed with a simple web-based user interface and dynamic visual representation of data that’s easy for a layperson to interpret. With further funding secured, it will be extended in summer 2021 to include urban wards, completing coverage across the whole of England.
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**Achievements & performance** | **2020-21**
## **Shaping places for sustainable energy**
Achieving a sustainable energy future – net zero carbon emissions and affordable energy for all – needs changes everywhere in the UK that will affect everyone. It requires an understanding of what’s involved and any choices to be made. Just as importantly, it requires the active participation and consent of people as both consumers and citizens in the processes of change.
The central role of local initiatives to build this understanding and secure this participation has come to the fore in 2020-21, on the back of the wave of commitments to tackling the climate emergency emerging from local councils over the last few years.
CSE has been working with neighbourhoods, communities, parish and town councils, and local authorities small and large to help develop plans and projects for their localities based on:
- **Robust data analysis, revealing the scale of technological and system change required and specific local options.**
- **Comprehensive understanding of the full range of factors which need to be addressed for those options to become straightforward and common (from supply chain skills and costs and financing options to policies and regulations and social and cultural attitudes to change).**
- **Engagement processes which build understanding, draw out insights based on local knowledge, and involve stakeholders – from councillors and business leaders to expert practitioners and community representatives from all walks of life – to create plans and establish a sense of shared purpose.**
- **Ways of organising across a locality to support initiative-taking and develop momentum while establishing accountability.**
We documented how each of these elements can be ‘done well’ in Local Area Energy Planning: The Method. Written by CSE with input from the Energy System Catapult, the project for Ofgem also involved BEIS, Scottish and Welsh Governments, the Committee on Climate Change and Innovate UK.
“
**Thanks CSE for all the support you offer to communities, and the great set of resources. The Neighbourhood Planning Programme provided us with useful reference to planning policy, outlined the key areas we needed to focus on, suggested an appropriate and realistic approach and signposted us to useful case studies and examples that had worked in other communities. Anonymous feedback from attendee at event**
Our three-year programme (funded by Esmée Fairbairn Foundation) has been supporting and providing expertise to neighbourhood planning groups to lay the groundwork to ensure their area contributes to a sustainable, low carbon future. The programme has directly engaged and supported at least 250 neighbourhood planning groups and more than 50 local planning authorities, with more than 37,400 downloads of our key resources on neighbourhood planning for net zero.
Alongside this bottom-up programme we led a coalition with the Town & Country Planning Association of 16 organisations highlighting considerable shortcomings in the government’s proposed changes to national planning policy for England in terms of (a) shaping new developments, transport patterns and energy systems that can deliver on national and local targets for achieving net zero carbon emissions (see **www.cse.org.uk/news/view/2587** ) and (b) providing for appropriate local influence and control.
Our Climate Emergency Support Programme, partfunded from our own reserves, has continued in the year to provide free advice to local councils on the next steps needed in tackling the climate emergency: from commissioning the right sort of technical study to understanding how best to navigate the myriad opportunities and barriers to change locally and nationally. This included developing an accredited Climate Literacy training course for councillors, now a routine feature in our work with councils, and developing a similar course for local planning officials which will be piloted in summer 2021.
A particular focus of this programme has been to provide support that was otherwise missing for parish and town councils. Covid-19 restrictions meant we had to re-design our Parish Action Days, wondering whether such an interactive process could work on-line given the common caricatures of the likely participants. More than 300 parish councillors and clerks have joined in to prove that it could, drawing in turn on the new Impact tool to understand their locality’s carbon footprint.
We have also been working with the pioneers in community energy, leading the Next Generation programme from Power to Change to support them to explore the new business models which could enable them to realise their ambitions in a post-subsidy, smarter energy market. A series of well-attended innovation webinars has showcased the findings (see **www.nextgeneration.org.uk/innovation** ).
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**Achievements & performance** | **2020-21**
## **Empowering new voices to make positive change**
Across the world, there’s a growing movement of young people deeply concerned about the escalating impacts of climate change and the urgent need for far-reaching action to cut carbon emissions. At CSE, we are nurturing this power in young people to make positive change happen in society, helping them to enhance their understanding and strategic insights, develop their influencing skills and explore how best to focus their efforts. Alongside this, we know we need systemic change within the environmental sector so it better reflects and embraces the diverse voices and concerns of every citizen.
Bright Green Future, our inclusive environmental leadership programme for young people, has now supported 191 young people (15 – 19 years old) from urban and rural communities across all corners of the UK. The programme is going from strength to strength in spite of the virtual approach we were forced to adopt throughout the fifth year of the programme. Students are finding new ways to push for climate action during uncertain times and a recent example of this is a current BGF student being appointed to the Youth Board of Good Energy to give their perspective on the climate crisis.
BGF alumni are making fantastic strides in the environmental sector; a BGF alumni student was one of the first UK Youth Ambassadors for WWF and many former BGF students now work in the green economy and other relevant careers.
BGF is the only UK-wide environmental leadership programme free for young people, providing leadership skills, opportunities for self-development, future career prospects and professional networks.
As we start its sixth year and move beyond the initial funding from the ‘Our Bright Future’ programme (funded by National Lottery Community Fund), we have committed to focus on young people from Black, brown and other minority ethnic backgrounds. This will to help to ensure that the next generation of environmental leaders and decision-makers is more
diverse and the sector becomes more representative of wider society. In June 2021 we were excited to announce sponsorship from National Grid ESO for this new phase of Bright Green Future.
We have also started working to build the capabilities of young people on our doorstep in Bristol. In January 2020, we launched our new Green Influencers programme as part of national scheme supported by Ernest Cook Trust. We are supporting 10 – 14 yearolds to become environmental influencers in their communities developing youth social action projects to benefit their schools and surrounding areas. Green Influencers will apply for funding for their local projects from the Trust and together they’ll turn words into action by stimulating a range of initiatives to protect and enhance the local environment and tackle climate change.
“ **this was something I could do.**
**As a person from an underrepresented community, BGF has shown me I can pursue a career in the environmental sector. I hadn’t thought much about a career in this area before as I didn’t really know anybody who had that kind of job. As well as my work placement, the programme showed me other Black, brown and ethnic minority people within the environmental sector and demonstrated that**
**Demi, London**
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**Achievements & performance** | **2020-21**
**Taking on tough challenges in scaling up low carbon housing retroft**
Improving the energy efficiency of UK homes is central to delivering our net zero climate change targets. But as troubled and short-lived government schemes like the Green Homes Grant have shown us in 2020, reaching that goal is far from simple.
At CSE, we’re committed to taking on this tough but crucial challenge. Securing energy performance upgrades to homes – often called ‘retrofit’ – will also tackle fuel poverty, boost local economies and support new skilled jobs in the building trades.
At the end of March 2021, we completed the final year of the pilot phase of Futureproof, funded by BEIS. This tested a targeted, bottom-up model for building local supply chains and growing the market for owner-occupier-led low carbon retrofit in the West of England.
Futureproof’s market transformation approach is to orchestrate (a) creating demand for retrofit services from well-advised and committed householders while also (b) increasing the supply of high quality builders and other tradespeople who’ve received appropriate training in the right technologies and techniques. We anticipated that, by revealing householder demand, the supply chain would react to these new opportunities and take advantage of the training available through the programme from our partner, The Green Register.
In practice, it has proved relatively easy and quick to stimulate householder interest and commitment and much harder and slower to secure engagement and participation by the building trades. And of course if a householder can’t get someone decent to provide a quote, getting the improvements done becomes all but impossible, however committed you are.
“
**Thank you again for all your advice on my internal wall insulation… it was so difficult wading through all the different and completely contradictory views out there, so I really appreciated your balanced and**
**thoughtful perspectives on things.**
**Futureproof client**
and in-home advice in the final year of the pilot. But householder demand still grew, helped by the virtual house tours we created to showcase what pioneering householders in Bristol had achieved and how they did it. What these lost in direct hands-on experience they at least partly made up by securing higher audiences through the greater access over a longer time available via the internet. On the supply chain side, we initially saw an increase in engagement by builders as the ban on in-home construction work gave them time to join in and a rapid switch by The Green Register to create online versions of their courses – including the new ‘Futureproof Essentials – provided access to the content.
The scheme is now well known across the region and has enabled more local builders and contractors to move into this emerging market with now 70 trained ‘Futureproof Assured Builders’ (FABs). However, it is still only scratching the surface of transforming the market to the extent required to meet future carbon emission reduction targets.
This is why we are continuing with the Futureproof programme beyond the pilot, taking forward the many lessons learned so far in this demanding project. This includes sustaining both the demand-creating support and advice for householders and the supplyexpanding training and support for builders in partnership with The Green Register.
We upgraded our advice service after the introduction of the PAS 2035 standard to improve standards in the retrofit industry, including training up staff to become assessors and coordinators, and licensing new tools and software to ensure we can deliver our service. The success of this pilot inspired us to develop a menu of further advice services.
We will also apply these lessons and our improved capabilities to help local authorities implement their own home retrofit schemes in response to continuing government funding opportunities and to work with other organisations taking on the challenge.
With our partners, we’ve trained 70 ‘Futureproof Assured Builders’ (FABs) to enable more skilled builders and contractors to move into this emerging market of housing energy efficient housing retrofit.
Covid-19 restrictions during 2020-21 limited opportunities for face-to-face open homes events
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**page 18** Trustees Report: year ended 31 March 2021
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**Centre for Sustainable Energy** | **2020-21**
## **Finanical review**
n the year to 31 March 2021, CSE made a surplus of £200,774 on its income of £3.99m (2019-20: surplus of £223,356 on a turnover of £3.54m). This record turnover reflects our success in raising funds **I** to support strategically valuable initiatives and delivering these initiatives effectively, even with the challenges brought by the pandemic. It also reflects the extent to which our core strategic objectives – tackling the climate emergency and ending the misery of cold homes – have become much more widely shared priorities in recent years.
Our staff team has grown to deliver this greater workload, rising from an average of 62 members of staff last year to an average of 74 in 2020-21. Turnover has nearly doubled in the last three years (since 2017-18) and a combination of tight control of overheads and decent staff productively have enabled us to generate modest but healthy surpluses each year. At the end of the year our reserves (total unrestricted funds) stood at £1,204,732.
## **Future strategy**
he pandemic and its potential long-term consequences now combine in our world with strong local and national commitments to **T** achieve net zero carbon emissions. This creates an unprecedented and highly dynamic context for our existing and future work, a context that was central to the review of CSE’s strategic priorities undertaken by the trustees and the senior leadership team in Autumn 2020.
The review focused on the potential within this new context for strengthening our impact and influence by scaling and sharpening up our current practices and through ambitious new initiatives. It also considered key funding risks and opportunities, operational challenges associated with a growing organisation, and the importance of maintaining staff wellbeing and productivity with shifting working arrangements.
This process identified four priority areas for strategic action from CSE:
- 1 Increased focus on and need for place-based local energy planning and delivery for net zero, building on local commitments to tackling the climate emergency and the shift from the public expressing concern about climate change to sharing their desire for local and community action.
- 2 A strong new imperative for decarbonising the way we heat buildings, requiring sustained system change to build quality local supply chains and develop demand to retrofit buildings alongside a shift from gas heating to heat pumps and heat networks.
- 3 Growing momentum and commitment to a transition to a smarter energy system which genuinely embraces the need to achieve fair outcomes and secure wide public participation.
- 4 Greater economic hardship and higher energy costs, leading to increased need and demand for our advice services from more people in more desperate circumstances.
The strategic review also established commitments to:
- Shifting our work on youth empowerment to focus on working with young people from Black, brown and other minority ethnic communities to enhance their skills and knowledge and give voice to underrepresented perspectives in the energy sector.
- Strengthening our operational support functions for our growing organisation, recruiting additional finance and HR management staff and nurturing CSE’s positive culture as we establish post-pandemic working arrangements.
- Expanding our development and communications capacity to enable us to respond to new funding opportunities, build new and more influential projects and establish the multi-sector partnerships necessary for genuinely transformative change.
t **page 20** Trustees Report: year ended 31 March 2021
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## **Funders** _&_ **clients**
**In 2020-21 CSE secured more than £3.99m for its activities, a record level of income. This came from national and local government and associated agencies, industry and charitable sources. Some activities were grant funded while others were delivered as project or consultancy services. In addition, some funding came via project partners with whom we jointly developed funding proposals to third parties.**
**The Trustees would like to thank all of CSE’s funding partners and clients for their support for projects undertaken during the year, including:**
Affordable Warmth Solutions (National Grid Warm Homes Fund) Alliance Homes Ashley Community Housing
Aware Technologies Limited (Awaretag) Barclays Covid-19 Community Relief Funding (via Charities Trust) Bath & North East Somerset Council Bath & West Community Energy
Baxter Kelly Ltd Big Lottery Fund (Awards for All) Bridgend County Borough Council Bristol City Council
Bristol Green Capital Partnership CIC Bristol Energy British Gas Energy Trust
Cadent Gas Cardiff University Chichester District Council
Citizens Advice (for Big Energy Saving Network) Citizens Advice Scotland City Energy Network Ltd Cotswold District Council
## C & T Eco Consultants
Department for Business, Energy & Industrial Strategy (BEIS) Dorset Council
Dyson Energy Services EA Technology Electricity North West Ltd
Eliq Ltd
Energy Saving Trust (Ofgem Energy Industry Voluntary Redress Scheme) The Ernest Cook Trust
Esmée Fairbairn Foundation
European Commission (Horizon 2020) European Commission (Sustainable Urbanisation Global Initiative) Evolve Home Energy Solutions Folkestone and Hythe District Council Forest of Dean District Council Francis Winham Foundation Friends Provident Foundation Frome Renewable Energy Coop Gosport Borough Council
Greater London Authority Greater Manchester Combined Authority Horsham District Council
Iclei Action Fund (on behalf of Tides Foundation) Joseph Rowntree Charitable Trust J & J Crump & Son Ltd Kestrelman Trust
Leicestershire and Rutland Association of Local Councils Liverpool City Council (through Eunomia Research and Consulting) London Borough of Greenwich Mendip District Council Muswell Hill Parish Council
National Grid Electricity System Operator National Lottery Community Fund
Neighbourly
North East Local Enterprise Partnership North Somerset Council
Midlands Energy Hub (via Nottingham City Council) One Family Foundation Ofgem
## Ovo Energy
Portishead Neighbourhood Planning Group
Power to Change Trust Quartet Community Foundation Rother District Council
Royal Society of Wildlife Trusts (The Community Fund Our Bright Future programme)
Samsung Electronics UK Ltd Scottish Power Energy Networks Scottish and Southern Electricity Networks
Sedgemoor District Council Shropshire Council
Smart Energy GB (via Agility Eco) Society of Local Council Clerks Somerset Community Foundation South Coast Insulation Services South Gloucestershire Council South Somerset District Council Suffolk County Council SP Energy Networks St Monica Trust Stroud District Council Sustainability First Swindon Borough Council Tamar Parish Council
Taunton Deane Borough Council TDS Charitable Foundation Test Valley Borough Council (through Land Use Consultants) Tesco Charity Trust The Green Register The Warmer Group Thrive Renewables Plc UK Power Networks University College London University of Exeter Wales and West Utilities Wessex Water Services Ltd West Oxfordshire District Council Westbury Town Council Western Power Distribution plc Wiltshire Community Foundation Wiltshire Council Winchester City Council
**page 21** Trustees Report: year ended 31 March 2021
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## **Structure, governance** _&_ **management**
## **Constitution**
The Centre for Sustainable Energy (CSE) is a registered charity and company limited by guarantee, having no share capital. CSE’s Memorandum and Articles of Association are the primary governing documents of the charity.
## **Policies & structure**
The charity operates with a board of volunteer trustees that meets quarterly. The board has also established a Finance Committee and which also meets and reports
## **Reserves policy**
Our reserves policy establishes a minimum target for our unrestricted reserves and outlines the approach we take to any reserves in excess of that minimum.
The minimum reserves target takes account of two scenarios: (a) the liabilities which would be faced by the charity if it were to cease operating, and; (b) the financial cushion the charity
to the board in accordance with its terms of reference.
The trustees have overall responsibility for organisational strategy, financial management and compliance with the purposes of the charity. This responsibility is devolved within a clearly documented framework of delegated powers to the Chief Executive and Senior Management Team. The Senior Management Team maintains and implements the policies of the organisation and the Chief Executive and members of the Senior Management Team report to the trustees at each quarterly meeting.
## **Pay policy for senior staff**
All staff at CSE are paid according to a graded salary scale which
would need to cover losses while it responded to a serious but possible funding crisis without immediately losing valuable staff.
The reserves policy was reviewed by trustees in March 2021, taking account of the recent growth of the organisation and the diversity of our funding sources. As a result of that review, the minimum reserves target was increased to £600,000, with a minimum target for net current assets of £450,000. At the end of March 2021, our reserves were in excess of this figure, standing with total unrestricted funds standing at £1,204,732 (with £1,011,603 in net current assets).
was established to reflect the differences in responsibility, skills and capabilities required in each role. The ratio between the salaries of the highest (Chief Executive) and lowest paid member of staff (our interns) is currently 4.5.
All staff are entitled to participate in the CSE contributory pension scheme (8% employer contribution, 6% employee contribution) which has also been adopted as our auto enrolment scheme since November 2015.
## **Public benefit**
CSE has complied with the duty in Section 17(5) of the Charities Act 2011 to have due regard to public benefit guidance published by the Charity Commission.
The trustees’ aim is to invest reserves above this minimum target through a designated Strategic Investment Reserve on initiatives shaped by the charity’s strategic priorities and which have proved difficult to fund from external sources. Such initiatives are designed to help us to increase our impact, explore new approaches, build our capacity and that of others, or make the case for funding to external funders. Trustees agreed in March 2021 to allocate £300,000 to the Strategic Investment Reserve and asked the executive team to develop project proposals for investment during the year.
## **Related parties**
As detailed in note 21 to the accounts
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## **Risk management**
The board of trustees has assessed the major risks to which CSE is exposed and is satisfied that systems and procedures are in place to mitigate exposure to them. This is a routine consideration in the annual budget setting process.
The principal risks identified are continuing to secure sufficient
## **Statement of trustees’ responsibilities**
The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees’ report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:
- Select suitable accounting policies and then apply them consistently.
funding, maintaining staff knowledge, and maintaining productivity levels, with the additional risk during this year of maintaining staff health and safety (including mental health) in the face of the challenges of working from home and demanding workloads. Because of the exceptional circumstances in the year, these risks were monitored by the Senior Management Team on at least a fortnightly basis, resulting in additional investment mental health first aid training and resources to enable remote ‘buddying’ support
- Observe the methods and principles of the Charities SORP (FRS 102).
- Make judgements and accounting estimates that are reasonable and prudent.
- State whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements.
- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity’s transactions and disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
between staff. These actions limited the impact of these risks to manageable levels.
We also identified a new risk to the operational stability of the organisation arising from the rapid growth we had recently experienced and the further expansion we are planning. As a result, we are significantly expanding our Finance and Operations team to improve operational support across the organisation and provide sufficient new capacity to accommodate anticipated future growth.
## **Disclosure of information to auditors**
Each of the persons who are trustees at the time when this trustees’ report is approved has confirmed that:
- So far as that trustee is aware, there is no relevant audit information of which the charity’s auditors are unaware.
- That trustee has taken all the steps that ought to have been taken as a trustee in order to be aware of any relevant audit information and to establish that the charity’s auditors are aware of that information.
The auditors, Bishop Fleming LLP, have indicated their willingness to continue in office. The designated trustees will propose a motion reappointing the auditors at a meeting of the trustees.
Approved by order of the members of the board of trustees on 15 July 2021 and signed on their behalf by:
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## **Independent auditors’ report to the members of Centre for Sustainable Energy**
## **Conclusions relating to going concern**
## **Opinion**
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.
We have audited the financial statements of Centre for Sustainable Energy (the ‘charity’) for the year ended 31 March 2021 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes, 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).
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 charitable company’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
In our opinion the financial statements:
- ¡ Give a true and fair view of the state of the charitable company’s affairs as at 31 March 2021 and of its incoming resources and application of resources, including its income and expenditure for the year then ended;
## **Other information**
The other information comprises the information included in the Annual report other than the financial statements and our Auditors’ report thereon. The Trustees are responsible for the other information contained within the Annual report. 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 course of the audit, or otherwise appears to be materially misstated.
- ¡ Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- ¡ Have been prepared in accordance with the requirements of the Companies Act 2006.
## **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 Auditors’ responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council’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.
If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. 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.
## **Opinion on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- ¡ The information given in the trustees’ report for the financial year for which the financial statements are prepared is consistent with the financial statements.
- ¡ The trustees’ report has been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report.
We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:
- ¡ Adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- ¡ The financial statements are not in agreement with the accounting records and returns; or
- ¡ Certain disclosures of trustees’ remuneration specified by law are not made; or
- ¡ We have not received all the information and explanations we require for our audit; or
- ¡ The trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the trustees’ report and from the requirement to prepare a Strategic report.
## **Responsibilities of trustees**
As explained more fully in the Trustees’ responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) 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 determine is necessary to enable the preparation of financial statements that are free from
**cont ...**
**page 24** Trustees Report: year ended 31 March 2021
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material misstatement, whether due to fraud or error.
In preparing the financial statements, the Trustees are responsible for assessing the charitable company’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 charitable company or to cease operations, or have no realistic alternative but to do so.
## **Auditors’ responsibilities for the audit of the financial statements**
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 Auditors’ 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.
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:
- ¡ We have considered the nature of the sector, control environment and financial performance;
- ¡ We have considered the results of enquiries with management and members in relation to their own identification and assessment of the risk of irregularities within the entity;
- ¡ We have reviewed the documentation of key processes and controls and performed walkthroughs of transactions to confirm that the systems are operating in line with documentation; and,
- ¡ We have considered the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and potential indicators of fraud.
As a result of these procedures, we have considered the opportunities and incentives that may exist within the organisation for fraud and identified the highest area of risk to be in relation to revenue recognition, with a particular risk in relation to year-end cut off. In common with all audits under ISAs (UK) we are also required to perform specific procedures to respond to the risk of management override.
We have also obtained understanding of the legal and regulatory frameworks that the Charity operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the Companies Act 2006, Charities Act 2011, Charity SORP 2019, FRS 102 and the terms and conditions attaching to material contracts, agreements and grants received by the Charity.
In addition, we considered the provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Charity’s ability to operate or avoid a material penalty.
Our procedures to respond to risks identified included the following:
- ¡ Reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;
- ¡ Performing analytical procedures to identify unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;
- ¡ Reviewing board meeting minutes;
- ¡ Enquiring of management in relation to actual and potential claims or litigations;
- ¡ Performing detailed transactional testing in relation to the recognition of revenue, with a particular focus around year-end cut off; and,
- ¡ In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments.
We also communicated identified laws and regulations and potential fraud risks to all members of the engagement team and remained alert to possible indicators
of fraud or non-compliance with laws and regulations throughout the audit.
As a result of the inherent limitations of an audit, there is a risk that not all irregularities, including a material misstatement in financial statements or non-compliance with regulation, will be detected by us. The risk increases the further removed compliance with a law and regulation is from the events and transactions reflected in the financial statements, given we will be less likely to be aware of it, or should the irregularity occur as a result of fraud rather than a one off error, as this may involve intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors’ report.
## **Use of our report**
This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an Auditors’ 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 charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.
David Butler FCA DChA (Senior statutory auditor) for and on behalf of Bishop Fleming LLP Chartered Accountants Statutory Auditors, 10 Temple Back, Bristol BS1 6FL 1 October 2021
**page 25** Trustees Report: year ended 31 March 2021
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## Statement of financial activities
||**Unrestricted funds**|**Restricted funds**|**Total funds**|Total funds|
|---|---|---|---|---|
||**2021 (£)**|**2021 (£)**|**2021 (£)**|2020 (£)|
|**Income from**|||||
|Donations and legacies**(note 3)**|**46,768**|**-**|**46,768**|**-**|
|Charitable activities**(note 4)**|**2,015,451**|**1,929,943**|**3,945,394**|3,541,315|
|**Total income**|**2,062,219**|**1,929,943**|**3,992,162**|3,541,315|
|**Expenditure on:**|||||
|Charitable activities**(note 5)**|**1,838,008**|**1,953,380**|**3,791,388**|3,317,959|
|**Total expenditure**|**1,838,008**|**1,953,380**|**3,791,388**|3,317,959|
|**Net income/(expenditure)**|**224,211**|**(23,437)**|**200,774**|223,356|
|Transfers between funds**(note 13)**|**(23,437)**|**23,437**|**-**|-|
|**Net movement in funds**|**200,774**|**-**|**200,774**|223,356|
|**Reconciliation of funds:**|||||
|Total funds brought forward|**1,003,958**|**-**|**1,003,958**|780,602|
|Net movement in funds|**200,774**|**-**|**200,774**|223,356|
|**Total funds carried forward**|**1,204,732**|**-**|**1,204,732**|1,003,958|
n The Statement of Financial Activities includes all gains and losses recognised in the year. The notes on pages 22 to 33 form part of these financial statements.
t **page 26** Financial statements: year ended 31 March 2021
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**----- Start of picture text -----**
Balance sheet as at 31 March 2021
**----- End of picture text -----**
|**Fixed assets**
Tangible assets**(note 10)**
**Current assets**
Debtors**(note 11)**
Cash at bank and in hand
**Creditors:**amounts falling due
within one year**(note 12)**
**Net current assets**
**Total assets less current liabilities**
**Total net assets**
**Charity funds**
Restricted funds**(note 13)**
Unrestricted funds
Designated funds**(note 13)**
General funds**(note 13)**
Total unrestricted funds
**Total funds**|**2021**
**£**
**1,496,708**
**1,114,979**
**2,611,687**
**(1,600,084)**
**300,326**
**904,406**
|**2021**
**£**
**193,129**
**193,129**
**1,011,603**
**1,204,732**
**1,204,732**
**-**
**1,204,732**
**1,204,732**|2020
£
1,094,592
583,856
1,678,448
(842,062)
326
1,003,632|2020
£
167,572
167,572
836,386
1,003,958
1,003,958
-
**1,003,958**
**1,003,958**|
|---|---|---|---|---|
The trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the trustees on 15 July 2021 and signed on their behalf by:
t **page 27** Financial statements: year ended 31 March 2021
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**----- Start of picture text -----**
Statement of cash flows
**----- End of picture text -----**
||**2021 (£)**
2020 (£)
**Cash fows from operating activities**
Net cash used in operating activities **(note 16)**
**603,733**
171,959
**Cash fows from investing activities:**
Purchase of tangible assets
**(72,610)**
(71,569)
**Net cash used in investing activities**
**(72,610)**
(71,569)
**Change in cash and cash equivalents in the year**
**531,123**
100,390
Cash and cash equivalents brought forward
**583,856**
483,466
**Cash and cash equivalents carried forward(note 17)**
**1,114,979**
583,856|
|---|---|
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## **note 1. General information**
The charity is a company limited by guarantee. The members of the charity are the trustees named on page 1. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The charity’s registered office is: St. James Court, St. James Parade, Bristol BS1 3LH
## **note 2. Accounting policies**
## **2.01 Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Centre for Sustainable Energy meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
## **2.02 Going concern**
The Trustees assess whether the use of going concern is appropriate, i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The Trustees make this assessment in respect of a period of one year from the date of approval of the financial statements.
The Trustees continue to monitor the impact that Covid-19 is having on operations and are taking actions to minimise their effect on the longterm reserves of the charity. Under all the scenarios reviewed, the charity has sufficient reserves to enable it to continue as a going concern for the foreseeable future. For this reason it continues to adopt the going concern basis in preparing the financial statements.
## **2.03 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
## **2.04 Income**
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Contractual income is recognised in the Statement of Financial Activities to the extent that the charity has provided the services. Where contractual income is received in advance but the charity has not provided the relevant services then this income is deferred.
Grants are included in the Statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors
as deferred income. Where entitlement occurs before income is received, the income is accrued.
## **2.05 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Charitable activities and governance costs are costs incurred on the charity’s operations, including support costs and costs relating to the governance of the charity apportioned to charitable activities.
All expenditure is inclusive of irrecoverable VAT.
## **2.06 Government grants**
Government grants relating to tangible fixed assets are treated as deferred income and released to the Statement of financial activities over the expected useful lives of the assets concerned. Other grants are credited to the Statement of financial activities as the related expenditure is incurred.
**page 29** Financial statements: year ended 31 March 2021
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## **note 2 (continued). Accounting policies**
## **2.07 Tangible fixed assets and depreciation**
Tangible fixed assets costing more than £500 are capitalised.
A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of Financial Activities.
Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases: leasehold improvements, over the life of the lease; fixtures and fittings, over 4-5 years; office equipment, over 2-4 years; project assets, over the life of the project.
## **2.08 Operating leases**
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the lease term.
## **2.09 Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
## **2.10 Debtors**
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **2.11 Cash at bank and in hand**
Cash at bank and in hand includes 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 or similar account.
## **2.12 Liabilities and provisions**
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.
## **2.13 Financial instruments**
The charity 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.
## **2.14 Pensions**
The charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the charity to the fund in respect of the year.
## **note 3. Income from donations and legacies**
|**note 3. Income from donations and legacies**||||
|---|---|---|---|
||**Unrestricted funds**|**Total funds**|Total funds|
||**2021 (£)**|**2021 (£)**|2020 (£)|
|Donations|32,513|**32,513**|-|
|Government grants - Coronavirus Job Retention Scheme|
14,255|**14,255**|-|
||46,768|**46,768**|-|
**page 30** Financial statements: year ended 31 March 2021
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**Centre for Sustainable Energy** | **2020-21**
## **note 4. Income from charitable activities**
|**note 4. Income from charitable a**|**ctivities**||||
|---|---|---|---|---|
||**Unrestricted funds**|**Restricted funds**|**Total funds**|Total funds|
||**2021 (£)**|**2021 (£)**|**2021 (£)**|2020 (£)|
|Research and analysis|1,045,024|155,199|**1,200,223**|1,109,838|
|Household energy services|648,991|1,528,524|**2,177,515**|1,668,756|
|Local and community empowerment|321,436|246,220|**567,656**|762,721|
|**Total 2021**|2,015,451|1,929,943|**3,945,394**|3,541,315|
|Total 2020|2,083,079|1,458,236|3,541,315||
## **note 5. Analysis of expenditure on charitable activities**
## **Summary by fund type**
|**Summary by fund type**||||||
|---|---|---|---|---|---|
||**Unrestricted funds**|
**Restricted funds**||**Total funds**|Total funds|
||**2021 (£)**||**2021 (£)**|**2021 (£)**|2020 (£)|
|Governance costs|10,302||-|**10,302**|16,703|
|Research and analysis|914,459||151,677|**1,066,136**|1,085,405|
|Household energy services|582,175||1,555,415|**2,137,590**|1,217,776|
|Local and community empowerment|331,072||246,288|**577,360**|998,075|
||**1,838,008**||**1,953,380**|**3,791,388**|3,317,959|
|Total 2020|1,859,723||1,458,236|3,317,959||
|**Summary by expenditure type**||||||
||**Staff costs Depreciation**||**Other costs**|**Total funds**|Total funds|
||**2021 (£)**|**2021 (£)**|**2021 (£)**|**2021 (£)**|2020 (£)|
|Governance costs|-|-|10,302|**10,302**|16,703|
|Research and analysis|781,093|24,440|260,603|**1,066,136**|1,085,405|
|Household energy services|1,289,770|15,123|832,697|**2,137,590**|1,217,776|
|Local and community empowerment|428,154|7,490|141,716|**577,360**|998,075|
||2,499,017|47,053|1,245,318|**3,791,388**|3,317,959|
|Total 2020|2,041,797|30,217|1,245,945|3,317,959||
## **note 6. Analysis of expenditure by activities**
|**note 6. Analysis of expenditure**|**by activities**||||
|---|---|---|---|---|
||**Activities undertaken**|**Support costs**|**Total funds**|Total funds|
||**directly 2021 (£)**|**2021 (£)**|**2021 (£)**|2020 (£)|
|Governance costs|-|10,302|**10,302**|16,703|
|Research and analysis|873,210|192,926|**1,066,136**|1,085,405|
|Household energy services|2,018,216|119,374|**2,137,590**|1,217,776|
|Local and community empowerment|518,235|59,125|**577,360**|998,075|
||3,409,661|381,727|**3,791,388**|3,317,959|
|Total 2020|2,967,287|350,672|3,317,959||
**page 31** Financial statements: year ended 31 March 2021
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**Centre for Sustainable Energy** | **2020-21**
## **note 7. Auditors’ remuneration**
||**2021 (£)**|2020 (£)|
|---|---|---|
|Fees payable to the charity’s auditor for|||
|the audit of the charity’s annual accounts|**8,500**|7,225|
## **note 8. Staff costs**
|**note 8. Staff costs**|||
|---|---|---|
||**2021 (£)**|2020 (£)|
|Wages and salaries|**2,168,350**|1,763,107|
|Social security costs|**174,608**|151,810|
|Other pension costs|**156,059**|126,880|
||**2,499,017**|2,041,797|
- n The average monthly number of employees during the year was 74 (2020: 62) of which 69 were project staff (2020: 57) and 5 were management and admin staff (2020: 5).
- n Average headcount expressed as a full time equivalent: 66 (2020: 55).
- n The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was: in the band £60,001-£70,000 was 3 (2020: 1), in the band £70,001-£80,000 was 1 (2020: nil) and in the band £80,001£90,000 was nil (2020: 1).
- n The total employee benefits of key management personnel were £486,915 (2020: £494,149).
- n Total employer contributions for the provision of defined contribution pension schemes in respect of employees earning more than £60,000 were £21,508 (2020: £11,555). This amount is not included in the banding above.
## **note 9. Trustees’ remuneration and expenses**
n During the year, no Trustees received any remuneration or any benefits in kind (2020: £Nil).
n During the year ended 31 March 2021, no trustee expenses have been incurred (2020: £Nil).
t **page 32** Financial statements: year ended 31 March 2021
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**Centre for Sustainable Energy** | **2020-21**
## **note 10. Tangible fixed assets**
||**Long-term leasehold**
**property (£)**|**Fixtures &**
**fttings (£)**|**Offce**
**equipment (£)**|**Project**
**assets (£)**|**Total**
**(£)**|
|---|---|---|---|---|---|
|**Cost**||||||
|At 1 April 2020|**197,750**|**9,788**|**178,602**|**1,569**|**387,709**|
|Additions|**27,826**|**-**|**44,784**|**-**|**72,610**|
|At 31 March 2021|**225,576**|**9,788**|**223,386**|**1,569**|**460,319**|
|**Depreciation**||||||
|At 1 April 2020|**75,871**|**9,038**|**133,659**|**1,569**|**220,137**|
|Charge for the year|**19,401**|**405**|**27,247**|**-**|**47,053**|
|At 31 March 2021|**95,272**|**9,443**|**160,906**|**1,569**|**267,190**|
|**Net book value**||||||
|At 31 March 2021|**130,304**|**345**|**62,480**|**-**|**193,129**|
|At 31 March 2020|121,879|750|44,943|-|167,572|
**----- Start of picture text -----**
note 11. Debtors
**----- End of picture text -----**
||**2021 (£)**
2020 (£)
**Due within one year**
Trade debtors
**866,788**
647,844
Other debtors
-
5,698
Prepayments and accrued income
**629,920**
441,050
**1,496,708**
1,094,592|
|---|---|
**note 12. Creditors: amounts falling due within one year**
||**2021 (£)**|2020 (£)|
|---|---|---|
|Trade creditors|**151,855**|97,166|
|Other taxation and social security|**203,297**|173,204|
|Other creditors|**42,886**|33,457|
|Accruals and deferred income|**1,202,046**|538,235|
||**1,600,084**|842,062|
||**2021 (£)**|2020 (£)|
|Deferred income at 1 April 2020|**451,764**|339,069|
|Resources deferred during the year|**794,608**|451,764|
|Amounts released from previous periods|**(451,764)**|(339,069)|
||**794,608**|451,764|
n Deferred income related to project income which has been received or invoiced in advance of the work being carried out.
**page 33** Financial statements: year ended 31 March 2021
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**Centre for Sustainable Energy** | **2020-21**
## **note 13. Statement of funds**
**----- Start of picture text -----**
Statement of funds - current year
Balance at Income Expenditure Transfers Balance at 31
1 April 2020 (£) (£) in/out (£) March 2021
(£) (£)
Unrestricted funds
Designated funds
Strategic Investment Reserve 326 - - 300,000 300,326
General funds
General Funds 1,003,632 2,062,219 (1,838,008) (323,437) 904,406
Total unrestricted funds 1,003,958 2,062,219 (1,838,008) (23,437) 1,204,732
Restricted funds
A Warm Welcome Home - 47,822 (47,822) - -
ABLE (Assisting Bath & NE Somerset on Local Energy) - 51,043 (51,043) - -
BEIS MEES Pilot - 10,344 (10,344) - -
BESN 19-20 - 1,107 (1,107) - -
BESN 20-21 - 13,609 (13,609 ) - -
Bright Green Future (Big Lottery Fund Grant) - 151,151 (151,151) - -
Bristol Climate Action Fund - 18,456 (18,456) - -
Bristol Energy Emergency Fund - 12,510 (12,542) 32 -
Bristol Warm Homes Fund - 3,048 (19,125) 16,077 -
Building Capacity for Energy Resilience (FPF) - 23,701 (23,701) - -
Community Consent for Low Carbon Future (EFF) - 39,954 (39,954) - -
Community Energy for Everyone (JRCT) - 8,204 (8,204) - -
Food Energy Water Urban Living Lab (FEWULL) - 3,854 (3,854) - -
Futureproof - 384,887 (391,784) 6,897 -
Green Influencers - 4,754 (4,754) - -
HEART - 42,686 (42,686) - -
Heat, Eat & Talk - 82,813 (82,813) - -
HH Advice Grant – Healthy Homes Dorset - 55,346 (55,346) - -
Lottery Covid support - 49,395 (49,395) - -
PPM Redress - 178,750 (178,750) - -
Redress Caseworker Support Project - 34,250 (34,250 ) - -
Redress PPM Voucher project - 35,970 (35,981) 11 -
Social Innovation and Capabilities - 1,280 (1,612) 332 -
Somerset Warm Homes Fund - 114,476 (114,476) - -
Staying Warm Together - 104 (104) - -
Supporting MEES - 321 (321) - -
THERMOS - 149,961 (149,961) - -
Volunteers Restricted - (6,015) 6,015 - -
Warm & Safe Wiltshire - 1,050 (1,050) - -
Warm & Safe Wiltshire Hopsital Placements - 3,381 (3,469) 88 -
Cont ...
**----- End of picture text -----**
**page 34** Financial statements: year ended 31 March 2021
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**----- Start of picture text -----**
Warm Homes Wiltshire - 61,972 (61,972) - -
Warm Welcome - 6,149 (6,149) - -
WCF Surviving Winter Grant - 54,046 (54,046) - -
WE Over 65 Project (WEOVE) - 10,432 (10,432) - -
WHAM (National Grid Warm Homes Fund) - 197,348 (197,348) - -
WHAM (Warmer Homes Advice & Money) - 74,655 (74,655) - -
Wiltshire Community Caseworker - 5,669 (5,669) - -
Wiltshire Winter Grant Scheme - 1,460 (1,460) - -
Total restricted funds - 1,929,943 (1,953,380) 23,437 -
Total of funds 1,003,958 3,992,162 (3,791,388) - 1,204,732
Statement of funds - prior year
Balance (£) at Income Expenditure Balance (£) at
1 April 2019 (£) (£) 31 March 2020
Designated funds
Strategic Investment Reserve 326 - - 326
General funds
General funds 780,276 2,083,079 (1,859,723) 1,003,632
Total unrestricted funds 780,276 2,083,079 (1,859,723) 1,003,632
Restricted funds
BEIS MEES Pilot - 95,722 (95,722) -
BESN 18-19 - 615 (615) -
BESN 19-20 - 12,911 (12,911) -
Bright Green Future (Big Lottery Fund Grant) - 245,280 (245,280) -
Bristol Warm Homes Fund - 15,632 (15,632) -
Building Capacity for Energy Resilience (FPF) - 30,509 (30,509) -
Community Consent for Low Carbon Future (EFF) - 56,341 (56,341) -
Community Energy for Everyone (JRCT) - 13,486 (13,486) -
EASE (Big Lottery Fund Grant) - 53,776 (53,776) -
Food Energy Water Urban Living Lab (FEWULL) - 28 (28) -
Futureproof - 321,131 (321,131) -
Get ready for MEES - 1,814 (1,814) -
HEART - 41,100 (41,100) -
Project in a Box (AFA) - 742 (742) -
Seniors Living Smarter - 24,521 (24,521) -
Social Innovation and Capabilities - 5,720 (5,720) -
Somerset Warm Homes Fund - 14,230 (14,230) -
THERMOS - 150,744 (150,744) -
Volunteers Restricted - 3,285 (3,285) -
Warm & Safe Wiltshire - 38,950 (38,950) -
Warm & Safe Wiltshire Hospital Placements - 22,675 (22,675) -
Warm Homes Wiltshire - 51,777 (51,777) -
Cont ...
Cont ...
**----- End of picture text -----**
**page 35** Financial statements: year ended 31 March 2021
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|**_Cont ..._**|Warm Welcome
-
435
(435)
-|
|---|---|
||WE Over 65 Project(WEOVE)
-
6,391
(6,391)
-|
||WHAM (WHF)
-
141,673
(141,673)
-|
||WHAM Fuel Good Fund
-
17,594
(17,594)
-|
||WHAM Warmer Homes Advice & Money
-
91,154
(91,154)
-|
||Total restricted funds
-
1,458,236
(1,458,236)
-|
||Total of funds
780,602
3,541,315
(3,317,959)
1,003,958|
## **Designated funds**
The Strategic Investment Reserve has been set up by the Trustees in order to support agreed projects that would otherwise not receive funding but which the Trustees consider will enhance the organisation’s impact and future prospects.
## **Restricted funds**
The significant restricted funds are explained below:
**A Warm Welcome Home (Energy Redress Fund):** funding for energy advisors based in Great Western Swindon and Salisbury hospitals to work with staff and patients to ensure no one is discharged to a cold home.
**ABLE (Assisting Bath & NE Somerset on Local Energy) (Energy Redress Fund):** funding to support in-depth energy advice work with older and disabled people in Bath & North East Somerset who are living in fuel poverty.
**BEIS MEES Pilot (BEIS):** pilot to raise awareness of, and compliance with Minimum Energy Efficiency standards for private, rented, domestic properties in Bristol.
**BESN 20-21 & 19-20 (Citizens Advice):** Energy champions in our advice team supporting fuel poor and vulnerable households to get the best deal from their energy supplier and save money on bills.
**Bright Green Future (Big Lottery Fund Grant):** a programme to engage and train young people aged 15-19 to get involved in energy and sustainability with a view to them embarking on a future career in the sector.
**Bristol Climate Action Fund (now ‘Community Climate Action’) (Bristol Green Capital Partnership – as funded by National Lottery Climate Action Fund):** a programme supporting six community organisations across Bristol to develop effective climate action plans whilst also including some of the less heard community voices in the climate change debate.
## **Bristol Energy Emergency Fund**
**(Bristol Energy):** fund to support interventions to relieve immediate risks to vulnerable people of suffering a cold home (through heating failure, income loss or energy debt).
**Bristol Warm Homes Fund (National Grid Warm Homes Fund):** funding to enable vulnerable and fuel poor households who are not currently connected to the gas grid access to install a new gas connection and/or gas central heating system. Covers Bristol, Bath and North East Somerset and North Somerset unitary authority areas.
**Building capacity for energy resilience (Friends Provident Foundation):** building capacity for energy resilience in deprived areas.
**Community Consent for Low Carbon Future (Esmee Fairbairn Foundation):** supporting Low Carbon Neighbourhood Plans embedding energy and environmental objectives and climate change mitigation.
**Community Energy for Everyone (Joseph Rowntree Charitable Trust):** this project aims to identify, develop and disseminate learning, tools and resources that will increase the participation, capacity and leadership of marginalised communities in community energy activity and to support those who could facilitate and catalyse similar projects in future.
**Food Energy Water Urban Living Lab (FEWULL) (Innovate UK):** CSE is the energy partner in an ‘Urban Living Lab’ in Bristol to explore the food, water and energy nexus.
**Futureproof (BEIS):** Futureproof aims to make it easy for homeowners and contractors in the West of England to carry out energy saving improvements and refurbishments with confidence.
**Green Influencers (The Ernest Cook Trust):** funding for a Green Mentor to support young people aged 10 -14 in Bristol to lead the way as Green Influencers on social action projects in their communities, as part of a national initiative.
**HEART (Big Lottery Fund Grant):** Supporting fuel poor households in Somerset, especially those in private rented accommodation to stay warm at an affordable cost.
**Heat, Eat & Talk (Barclays Covid-19 Community Relief Funding):** funding to distribute 550 ‘Heat, Eat, Talk’ financial support packages to the very poorest households across the South West that access our advice services, helping to meet their immediate needs in a time of crisis.
**HH Advice Grant – Healthy Homes Dorset (Dorset County Council):** grant to support advice work for clients of Healthy Homes Dorset insulation and heating improvements scheme.
**Lottery Covid Support (National Lottery Community Fund Coronavirus Community Support Fund):** a Covid-19 relief initiative funding additional energy advice caseworker capacity to deal with greater demand and higher complexity of cases.
**page 36** Financial statements: year ended 31 March 2021
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**Centre for Sustainable Energy** | **2020-21**
## **note 13 (continued). Statement of funds**
## **Restricted funds cont.**
**PPM Redress (Energy Redress Fund):** a Covid-19 relief initiative to provide vouchers to vulnerable households to enable them to top up pre-payment meters without leaving home.
**Redress Caseworker Support Project (Energy Redress Fund):** a Covid-19 relief initiative funding additional energy advice caseworker capacity to deal with greater demand and higher complexity of cases.
**Redress PPM Voucher project (Energy Saving Trust):** funding to distribute 600 PPM vouchers to vulnerable clients in the South West region.
**Social Innovation and Capabilities (Cardiff University):** exploring whether social innovation can contribute to generating solutions to energy related problems.
**Somerset Warm Homes Fund (National Grid Warm Homes Fund):** providing face to face advice to clients in Somerset with back-office support from the advice line and project management team. Working in partnership with Somerset Independence Plus to deliver home safety and adaptation measures.
**Staying Warm Together (City Funds Quartet Community Foundation):** Codesigning warm homes support services for multi-generational South Asian households in Bristol through focused research and engagement to understand context, needs, priorities and ways to enable uptake.
## **Supporting MEES (The TDS**
**Charitable Foundation):** providing advice to tenants and landlords to make effective use of the minimum energy efficiency standards to improve energy performance and reduce fuel costs in private rented homes.
**THERMOS (EC Horizon 2020):** a multipartner project that aims to accelerate the development of low carbon district energy networks in Europe.
## **Volunteers Restricted (Awards for All):**
funding to support the coordination of our volunteers. This includes guidance, training, scheduling of activities and regular communication with the coordinator.
## **Warm & Safe Wiltshire (Wiltshire**
**Council):** delivering telephone energy advice to residents under the Warm and Safe Wiltshire banner.
## **Warm and Safe Wiltshire Hospital Placements (Wiltshire County**
**Council):** funding for CSE energy advisors based in Wiltshire hospitals to support vulnerable patients to make it easier to keep affordably warm when they are back at home.
**Warm Homes Wiltshire (National**
**Grid Warm Homes Fund):** delivering outreach and home visit energy advice to residents across Wiltshire, including Swindon, under the Warm and Safe Wiltshire banner.
**Warm Welcome (Ashley Community Housing):** A two year project supporting refugees living in Bristol by providing workshops and advice in their homes. Funded by Ashley Community Housing and working in partnership with other refugee advice agencies across Bristol.
**WCF Surviving Winter Grant (Wiltshire Community Foundation):** fund to provide grant payments to vulnerable households in Wiltshire at risk of fuel poverty.
**WE Over 65 Project (WEOVE) (St Monica Trust):** project offering home visits and in-depth casework to people over the age of 65 in the West of England, helping them to lower their energy bills and keep warm at home
## **WHAM (National Grid Warm Homes**
**Fund):** This is a two year project adding more capacity to the existing WHAM project until July 2021. This fund has extended the project into North Somerset, recruited 4 more caseworkers (one hospital based) and brought more partners to the project including Citizens Advice, AMS electricals and Bristol Energy Network.
**WHAM Warmer Homes Advice & Money (Bristol City Council Impact Fund):** a project involving providing in depth support to fuel poor households in partnership with Talking Money and We Care Home Improvements.
**Wiltshire Community Caseworker (Wiltshire County Council):** as part of Warm and Safe Wiltshire, a energy advice caseworker based in Wiltshire to support in depth advice provision to the most vulnerable clients.
## **Wiltshire Winter Grant Scheme**
**(Wiltshire County Council):** fund to provide grants to vulnerable Boaters and Travellers in Wiltshire at risk of fuel poverty.
**page 37** Financial statements: year ended 31 March 2021
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**Centre for Sustainable Energy** | **2020-21**
## **note 14. Summary of funds**
|**Summary of funds - current year**|**Summary of funds - current year**|**Summary of funds - current year**|**Summary of funds - current year**|||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
|||**Balance at**|||**Income**|**(£)**|**Expenditure**|**(£)**|**Transfers**|**Balance at**||
|||**1 April**|**2020 (£)**||||||**in/out (£)**|**31 March 2021 (£)**||
|Designated funds||||**326**||**-**||**-**|**300,000**|**300,326**||
|General funds||**1,003,632**|||**2,062,219**||**(1,838,008)**||**(323,437)**|**904,406**||
|Restricted funds||||**-**|**1,929,943**||**(1,953,380)**||**23,437**|**-**||
|||**1,003,958**|||**3,992,162**||**(3,791,388)**||**-**|**1,204,732**||
|**Summary of funds - prior year**||||||||||||
|||||Balance at||Income (£)||Expenditure (£)||Balance at||
||||1|April|2019 (£)|||||31 March 2020 (£)||
|Designated funds|||||326||-||-|326||
|General funds|||||780,276||2,083,079||(1,859,723)|1,003,632||
|Restricted funds|||||-||1,458,236||(1,458,236)|-||
||||||780,602||3,541,315||(3,317,959)|1,003,958||
## **note 15. Analysis of net assets between funds**
|**Current year**|||
|---|---|---|
||**Unrestricted funds**|**Total funds**|
||**2021 (£)**|**2021 (£)**|
|Tangible fxed assets|193,129|**193,129**|
|Current assets|2,611,687|**2,611,687**|
|Creditors due within one year|(1,600,084)|**(1,600,084)**|
||1,204,732|**1,204,732**|
|**Prior year**|||
||Unrestricted funds|Total funds|
||2020 (£)|2020 (£)|
|Tangible fxed assets|167,572|167,572|
|Current assets|1,678,448|1,678,448|
|Creditors due within one year|(842,062)|(842,062)|
||1,003,958|1,003,958|
t **page 38** Financial statements: year ended 31 March 2021
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**Centre for Sustainable Energy** | **2020-21**
## **note 16. Reconciliation of net movement in funds to net cash flow from operating activities**
||**2021 (£)**|2020 (£)|
|---|---|---|
|Net income for the year (as per|||
|Statement of Financial Activities)|**200,774**|223,356|
|**Adjustment for**|||
|Depreciation charges|**47,053**|30,935|
|Increase in debtors|**(139,060)**|(250,118)|
|Increase in creditors|**494,966**|167,786|
|Net cash provided by operating activities|**603,733**|171,959|
## **note 17. Analysis of cash and cash equivalents**
||**2021 (£)**|2020 (£)|
|---|---|---|
|Cash in hand|**1,114,979**|583,856|
|Total|**1,114,979**|583,856|
## **note 18. Analysis of changes in net debt**
|**note 18. Analysis of changes i**|**n net debt**||||||
|---|---|---|---|---|---|---|
||**At**|**1**|**April**|**2020 (£)**|**Cash fows (£)**|**At 31 March 2021 (£)**|
|Cash at bank and in hand||||**583,856**|**531,123**|**1,114,979**|
## **note 19. Pension commitments**
The charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and amounted to £156,060 (2020: £126,880). Contributions totalling £37,834 (2020: £28,349) were payable to the fund at the balance sheet date and are included in creditors.
## **note 20. Operating lease commitments**
At 31 March 2021 the charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows:
||**2021 (£)**|2020 (£)|
|---|---|---|
|Not later that 1 year|**147,845**|148,032|
|Later than 1 year and not later than 5 years|**239,279**|387,123|
||**387,124**|535,155|
t **page 39** Financial statements: year ended 31 March 2021
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**Centre for Sustainable Energy** | **2020-21**
## **note 21. Related party transactions**
Peter Capener, a trustee of the charity, is a director of Bath and West Community Energy which during the year received an innovation grant from Power to Change’s Next Generation programme which is managed by CSE. These interests were disclosed to Power to Change as part of its decision-making over grant awards.
Ariane Crampton, a trustee of the charity is also an employee of Wiltshire Council. The charity received funding of £58,367 (2020: £45,281) for delivery of Warm Homes Fund advice work including measures. The charity also received a grant of £40,000 to support the Wiltshire Community Caseworker project (2020: £Nil) and a grant of £499,973 (2020: £Nil) to support the installation of heating, measures and other financial support as well as the employment of two Wiltshire based trainee advisors. Ariane has declared her trusteeship on the Council’s register of interests and takes no part in procurement decisions that involve CSE.
Andrew Darnton, a trustee of the charity, has a directorship in A D Research & Analysis Limited with which CSE undertook a number of projects. During the year, the charity invoiced £Nil (2020: £7,200) for services provided and £Nil (2020: £Nil) was outstanding at year end.
Jane Dennett-Thorpe, a trustee of the charity, is an employee of Ofgem. During the year the charity invoiced Ofgem for £Nil (2020: £161,280). There was no balance outstanding at year end.
William Gillis, a trustee of the charity is a trustee of British Gas Energy Trust (BGET). During the year the charity invoiced BGET £31,530 (2020: £Nil) for research undertaken. There was no balance outstanding at year end.
Bill Hull, a trustee of the charity, is a designated member of TLT LLP. During the year, TLT LLP invoiced £3,083 (2020: £13,231) to the charity for services provided. At the year end, CSE owed the company £1,458 (2020: £678).
Felicity Jones, a trustee of the charity, is an employee and minority shareholder of Everoze Partners Ltd. During the year, Everoze Partners Ltd invoiced CSE for £10,829 (2020: £29,193). This was as subcontractor to CSE for the Next Generation programme, a project funded by Power to Change. At the year end, CSE owed the company £6,494 (2020: £Nil).
Simon Roberts, the Chief Executive of the charity, is also a non-executive director of Thrive Renewables plc. During the year the charity invoiced Thrive Renewables £20,439 (2020: £23,016) for Simon Roberts’ services and for managing the company’s Community Benefit Fund. £Nil (2020: £Nil) was outstanding at year end.
Simon Roberts, the Chief Executive of the charity, is a non-executive director of Bristol Green Capital Partnership CIC. The charity made a subscription of £3,500 in the year (2020: £3,500) to support the work of the Partnership. CSE also administers payments for BGCP on a pro bono basis. During the year the charity invoiced Bristol Green Capital Partnership CIC £19,210 (2020: £Nil) for services provided to the Bristol Community Climate Action project in which CSE is a partner. There was no balance outstanding at year end.
Kaye Welfare, a trustee of the charity, is also a parttime consultant for EVOLVE Home Energy Solutions. EVOLVE HES work on ECO Innovation and other insulation projects. During the year, the charity was invoiced by EVOLVE HES for £21,441 (2020: £55,491) towards the costs of measures installed under these projects and £Nil (2020: £4,455) was owed at year end.
## **note 22. Assets held on behalf of third parties**
The charity acts as an agent in administering and distributing funds provided to it for which the charity has no responsibility for their ultimate application and acts on the direct instructions of the funds’ donors. As at 31 March 2021 the charity held funds of £407,323 (2020: £291,177) which are not included in these financial statements but are held in separate bank accounts for the original donor and are returnable on demand.
The charity is also holding €22,830 (£19,451) (2020: €266,105 (£236,514)) in relation to the THERMOS project as the lead partner. These funds are held in a separate bank account and are included in these financial statements; the funds will be distributed to partners as the project progresses.
t **page 40** Financial statements: year ended 31 March 2021
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**We are in the business of . societal change**
**Our vision is a world where sustainability is second nature, carbon emissions have been cut to safe levels and fuel poverty . has been replaced by energy justice**
**St James Court St James Parade Bristol BS1 3LH**
**0117 934 1400**
**info@cse.org.uk www.cse.org.uk**
**twitter: @cse_bristol youtube: csebristol**
**Company 2219673 Charity 298740**
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