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2020-12-31-accounts

Trustees’ Report and Financial Statements

31 December 2020

CILIP: Registered charity number in England 313014 CILIP: Registered company number in England RC000780 CILIP: the Chartered Institute of Library and Information Professionals: Inaugurated April 2002 following the unification of the Institute of Information Scientists and the Library Association. Originally incorporated by the Library Association Royal Charter 1898. Registered office address: 7 Ridgmount Street, London WC1E 7AE

Website: www.cilip.org.uk

Report of the Trustees For the year ended 31[st] December 2020

The trustees present their report along with the consolidated financial statements of the Chartered Institute of Library and Information Professionals (CILIP) for the Financial Year ended 31[st] December 2020. The accounts are those of CILIP and its 100% owned subsidiary CILIP Pathways. The financial statements have been prepared based on the accounting policies set out in note one to the financial statements and comply with the organisation’s Royal Charter. CILIP is a charity operating under Royal Charter registered with the Charity Commission (Reg. No 313014).

1. Objectives and activities

Strategic objective

As a Chartered Institute, CILIP operates under Royal Charter which sets the following objective:

“The objects of the Institute shall be to work for the benefit of the public to promote education and knowledge through the establishment and development of libraries and information services and to advance information science (being the science and practice of the collection, collation, evaluation and organised dissemination of information).”

We deliver this objective through the mission and activities set out in our 5-year Strategic Plan. The previous plan, Securing the Future, was completed in 2020 and by Agreement with the Board of Trustees a new strategy is currently under development to cover the period 2022-26.

CILIP's purpose is to support, unite and advocate for everyone working in information, knowledge and libraries. Our vision is of a professional community that is dedicated to changing lives through access to quality information, knowledge and data.

As a charitable organisation, our work is strongly guided by our values, which include a commitment to:

Activities

Our mission is to be the leading professional association for people working in information, knowledge and libraries. We will achieve this mission by focusing on 5 key priorities:

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In setting our strategic priorities and developing our annual programme, we have due regard both to the Charity Commission’s general guidance on public benefit and the improvement of education and knowledge for public benefit. The trustees review CILIP’s annual delivery plans and budgets to ensure that all activities are in line with the charity’s objects and goals.

Four nations, regional devolution and international

CILIP is a UK-based organisation with a global reach. Through our international programmes, we support intercultural dialogue, cultural diplomacy and knowledge exchange with librarians, information and knowledge professionals worldwide.

We recognise the unique and distinct context of each of the four Nations that comprise the United Kingdom. Where possible, we develop programmes with a UK-wide remit, and work with our representative partners and members in all four Nations to tailor our activities and priorities to their national context.

To this end, in addition to the leadership of CILIP as the main UK-wide body, we also work in Scotland in affiliation with CILIP in Scotland, an independent charity registered in Scotland. In Wales, our work is led by CILIP Cymru Wales, a National Committee of CILIP. In Ireland, our work is led by CILIP Ireland, a National Committee of CILIP.

We have considered the current context of increased devolution in national policy and are satisfied that these governance arrangements provided an approach that is responsive to changing circumstances while supporting the overall delivery of our charitable purpose.

Wider context

This report is provided in the context of a global pandemic that has transformed the lives of millions of people worldwide. Throughout the pandemic, CILIP has remained open and has continued to focus on supporting our members as they support the users and communities that depend on them.

In the early days of the pandemic, CILIP set out a ‘COVID 19 Response Plan’ which has enabled us to continue to meet our obligations throughout this period of disruption while continuing to deliver the benefits our members expect. This plan included:

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We are particularly grateful to our community of Member Networks and our colleagues in CILIP in Scotland, CILIP Wales and CILIP Ireland, without whose support it is unlikely that we could have maintained our operations on behalf of our members.

The challenges of the pandemic will be with us for many years to come. Entire societies have seen ‘digital’ access taking equal place alongside physical experiences. The impact on learners of all ages, and particularly schoolchildren and students, has been profound.

We have set out an ambitious programme for the future, helping to ensure that our profession is able to play its part at the centre of our national recovery.

How we deliver public benefit

CILIP is a charity operating under Royal Charter. Our purpose is to support, unite and advocate for everyone working in information, knowledge and libraries. Our vision is of a professional community that is dedicated to changing lives through access to quality information, knowledge and data.

We maintain a ‘theory of change’ which articulates how our work generates public benefit, both directly and indirectly. Our aim is to generate social, cultural, educational, economic, scientific and personal benefit for everyone by actively promoting an equal and inclusive information society and a competitive knowledge economy.

We have seen first-hand during the pandemic the vital role that reading, literacy, digital skills and access to information play in the lives of every citizen. Our role is to support the library and information professional workforce who deliver this benefit for everyone, regardless of their means.

2. What we did: activities, achievements and impact

The table below summaries how we delivered against our priorities and objectives in 2020.

Member support

CILIP has worked hard to provide support for our members throughout 2019-20, despite the complex challenges of COVID-19. A summary of our activities and impact is provided below.

Outcome Activity Impact Member services CILIP’s membership team We have seen positive results have provided timely and in terms of member effective customer service for engagement and retention, our members throughout the with members citing the pandemic, helping to resolve friendly, helpful service queries, process changes and provided by our team. ensure members get value from their subscription.

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Outcome

Activity

Impact

CILIP has implemented a wide range of COVID-19 support for our members, including authoritative advice through the Coronavirus Information Service, guidance for school librarians and the establishment of the £150,000 support fund by the CILIP Benevolent Fund.

CILIP has been able to deliver value for our members as a conduit to authoritative information from Public Health England and other public bodies.

We have demonstrated the value and importance of our role as an umbrella professional body for our membership, in the process enhancing the resilience of our professional community.

CILIP implemented our own ‘digital pivot’ early in the pandemic and have been able to continue to support our members through online events, activities, training and resources throughout.

As we begin to emerge from current restrictions, we will continue to develop our ‘digital first’ approach, ensuring that we can deliver the same quality of service to members, wherever they are based.

We have received positive feedback from members throughout this year, highlighting the improved presence and accessibility of our work as an online offer.

As a result, more members have been able to derive more value and use from their membership.

Member Networks Our busy and proactive The specialist support of the network of Special Interest Special Interest Groups has Groups have been working been consistently cited as hard throughout the pandemic among the most valuable to provide specialist expertise elements of our work, helping and support for members. members to develop their skills, improve their practice Collectively, the SIGs and SIG and progress their careers.

Collectively, the SIGs and SIG and progress their careers. Committees have delivered dozens of training and As an umbrella body, it is knowledge-exchange events, essential that CILIP is able to hundreds of networking support members both in their opportunities and a vital overall development as programme of engagement information professionals and and support for CILIP within their chosen members across the UK. specialisms. The SIGs provide

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a highly effective mechanism to deliver this support.

Outcome

Activity

Impact

The CILIP Regional Member Networks have acted as CILIP’s ‘face’ in the English regions, helping to ensure that our support is timely, relevant and tailored to the distinct needs of each region.

During the past year, the Regional Member Networks have provided CPD and professional development support through online events, training and content.

The Regional Member Networks ensure that CILIP is able to be effective both nationally and regionally. They are frequently the ‘frontline’ for engagement with and support for members, helping to drive recruitment and retention in our membership.

As a result of the work of the Regional Member Networks, we have been able to deliver better value for members across the UK.

Devolved Nations CILIP in Scotland is CILIP’s affiliated partner organisation in Scotland, delivering a proactive programme of member support, representation, networking and advocacy.

During the past year, CILIPS’ work has gone from strength to strength, helping to ensure that members in Scotland have access to authoritative support and representation tailored to the distinct nature of the Scottish context.

CILIPS has represented the sector both in national policy development and local political decision-making while also supporting a busy community of Scottish Branches and Networks.

CILIPS has been able to provide clear leadership, representation and support for CILIP members in Scotland. As a result, recruitment and retention rates for membership have improved significantly over the course of the year and members can now benefit from a broader programme of support.

The voice of the profession is clearly represented in key political processes in Scotland and there is evidence of strong and informed engagement with the whole sector across all types of library and information service by political leadership.

The active CILIP Cymru Wales Thanks to the efforts of the Committee and national Committee and national Development Manager for Development Manager, there Wales have been able to is a strong identity and

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deliver a strong programme of purpose for the professional
tailored support for members community in Wales.
in Wales.
As a result, membership
Significant progress has been recruitment and retention
made in advocating for the have shown positive signs
profession in Wales and during the past year and we
securing recognition in public have received very positive
policy and decision-making. feedback relating to member
engagement and CPD and
At the same time, CILIP training support for members
Cymru Wales has been able to in Wales.
act as a focal point for
community, networking,
solidarity and support for
members in Wales throughout
the pandemic.
Outcome Activity Impact
The CILIP Ireland Committee The work of the CILIP Ireland
and national Development Committee and national
Manager for Northern Ireland Development Manager have
have delivered a resulted in significant
comprehensive programme of improvements in the visibility,
representation, support, profile and influence of CILIP
advocacy and professional Ireland as a sector-wide
development throughout the convening body and
past year. professional support.
As a result, CILIP Ireland has Ongoing engagement with
been able to provide sector employers in Northern
leadership and a focal point Ireland is delivering real value
for sector development and and impact in terms of the
dialogue throughout the recognition of professional
pandemic. skills, which in turn is having a
positive effect on membership
engagement.
Diversity Networks The newly-established CILIP The BAME Network has
BAME Network has provided a already delivered positive
platform for career impact in terms of
development, support and representation and inclusivity
knowledge-sharing for within CILIP membership. The
librarians and information network has been able to
professionals from BAME advise on key areas of sector
backgrounds. and professional policy
development and has
After a positive and inclusive provided a critical ‘sounding
launch event, the Network is

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developing a work programme board’ for CILIP’s wider to provide ongoing support for activities. the professional community.

Outcome

Activity

Impact

The new LGBTQ+ Network was established in 2019 to provide a focus for professional representation and support for LGBTQ+ people in the library, information and knowledge profession.

The network has already delivered an active programme of events, member engagement and CPD and training support.

The LGBTQ+ Network is already emerging as a force for positive change and better representation across all areas of CILIP’s work.

As a result, we are a more engaged, inclusive and representative organisation that is better-able to reflect and respond to the diversity of our professional community.

Recruitment and retention The membership voted for the implementation of a new membership model from 2021, designed to deliver more value and impact for members while providing more flexibility to reflect the different circumstances of different membership groups and securing CILIP’s overall financial viability as a professional association.

Although it is too early to tell the impact of the new model on membership recruitment and retention in this reporting period, there are positive initial signs that it is helping to deliver on CILIP’s targets for greater diversity and representation in our membership community.

Once the model was voted in, we were able to deliver a rapid deployment across our internal systems and processes, ensuring that the model was ready in time for January 2021 renewals (issued November 2020).

Training and development

Outcome Activity Impact
Professional Registration CILIP has delivered a As a result of the hard work
comprehensive programme of of the new Sector

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professional registration Development Committee, the support throughout 2020, Professional Registration including maintaining the Panel and CILIP staff workflow of submissions, professional registration assessments and awards services have been throughout the pandemic. maintained and improved throughout this year, Candidates have been supporting membership supported with new retention and helping applications for Chartership, members to invest in their Certification, Fellowship as own development and well as professional evidence their career revalidation. progression to employers.

Outcome

Activity

Impact

CILIP concluded the It is clear that it will take a Professionalism Review project long time to refresh attitudes in 2020, delivering a new, and ideas around updated and more inclusive ‘professionalism’ in the library definition of ‘professionalism’ community. It has come to be for the library and information synonymous with exclusivity community. when our belief is that it ought to be robust, meaningful and inclusive.

The initial ‘soft launch’ publication has had limited impact and traction, but this is likely to change as we progress into 2021 and reflect the updated definition across all areas of our work and professional support.

CILIP has worked with Health The work had not yet been Education England to initiative concluded within the period a comprehensive review and covered by this report. The refresh of the Professional initial ‘discovery phase’ of the Knowledge and Skills Base work has already proven (PKSB) as a ‘Sector Skills tremendously productive, Standard’ for our profession. highlighting both the robustness of the existing PKSB and key areas for development including digital skills.

Also in partnership with NHS The initial research and Health Education England, literature review are providing CILIP has commissioned a valuable insight into the likely

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Outcome

‘tech review’ into the impact of AI, machine learning, process automation and robotics for our profession, due for publication in 2021.

Activity

CILIP has successfully launched and rolled out ‘KM Chartership’ (professional registration for Knowledge Managers).

future skills needs of the profession, which will be fed into the PKSB review process (above).

Impact

The move towards an explicit professional registration option for Knowledge Management practitioners have significantly enhanced CILIP’s profile and reputation with the UK and international KM community, introducing us to new partners and stakeholders and creating new opportunities for business development.

The first ‘cohorts’ of KM Chartership candidates filled almost immediately, with strong evidence of international demand for professional registration services in future.

Workforce development

CILIP has successfully launched CILIP Pathways, a new wholly-owned subsidiary company providing professional assessment services to the sector, beginning with registration as an end-point assessment organisation (EPAO) for the new Library, Archive and Information Services Assistant Level 3 Apprenticeship.

The establishment of an EPAO for library apprentices was the key ‘final step’ in creating an apprenticeship programme for our professional community.

Thanks to the hard work of the CILIP staff and our Trailblazer group, sector employers are already actively recruiting new apprentices, who will be assessed over the next 18-24 months.

In addition to unlocking a key element of our workforce development strategy, the registration of CILIP Pathways has created a new

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income stream for the organisation, scheduled to break even and deliver a net return by 2023.

Activity

Outcome

During this reporting period, the new Information Professional Jobs platform continued to develop as the sector-leading source of information about jobs and vacancies.

Training and CPD CILIP has continued to publish Information Professional magazine and the accompanying Suppliers Guide throughout 2020, providing an essential platform for current information, insight, analysis and professional development for our community.

Impact

Information Professional Jobs is a key element of ensuring that members can benefit from quality employment opportunities. In addition to advertising vacancies, the platform provides an opportunity for dialogue with employers and terms and conditions for our members, as well as key sector professional insight to help guide our CPD and training.

Information Professional is consistently cited as among the most valuable and valued benefits of membership, providing quality editorial coverage and in-depth analysis into current developments across the breadth of our profession.

As a result, CILIP is able to demonstrate thoughtleadership for our profession while ensuring that our priorities and activities are driven by current awareness of and insight into the challenges and opportunities confronting our members.

Facet Publishing has continued to act as a sector-leading specialist publisher throughout the pandemic, despite the impact of the coronavirus on global supply-chains. Facet has maintained a strong backlist of professional publications

Facet makes a central contribution to the thoughtleadership, positioning and expertise of CILIP as a professional association. We have been able to do more this year to strengthen the collaboration between CILIP and Facet, helping to improve

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while also developing a ‘frontlist’ of new specialist titles.

the value we can offer to both authors and members.

Facet also provides a vital net return into CILIP’s charitable activities, helping to ensure that our operations are sustainable and that we can deliver value-for-money for our members.

Outcome

Activity

As part of our ‘digital pivot’ the CILIP team moved our busy programme of events, training and conferences online, including a highly successful annual CILIP Conference, delivered through the Pheedloop platform.

We have been able to deliver a very popular programme of webinars covering a wide range of subjects as well as specialist online training support in partnership with our Member Networks.

CILIP has continued to provide support for international standards throughout 2020, including specifically our role in the international leadership and development of the RDA standard.

CILIP has provided ongoing support for LIS teaching and learning in the UK and internationally through our

Impact

Professional development, training and CPD support is a key part of the value proposition for members and the wider community. As a result of our move online, we have seen significant increases in participation and engagement with our training events and activities.

The shift online has also helped us to begin to address the environmental impact of physical events and training. As we look ahead to postpandemic recovery, it will be important to consolidate these gains in terms of participation and ease-ofaccess to our support programme.

There has been significantly increased engagement with and take-up of the RDA standard during this reporting period. We are actively engaged with the RDA community to implement a longer-term programme of development support.

Accreditation provides a vital mechanism to deliver on our vision for the future development of the

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International development

Accreditation programme, while also beginning to diversify our role as an accrediting body in related sectors including Archival and Museum Studies, Records, Information and Data Management.

CILIP has led the ACE-funded Working Internationally programme, providing grant funding support to 4 public library authorities to develop collaborative programmes with their counterparts overseas.

professional workforce. By expanding into ‘Short Course Accreditation’ we are able to engage new and existing learning providers with a more flexible model that reflects the changing ways in which people undertake professional development.

Working Internationally has highlighted a significant appetite among UK libraries in all sectors for international working. The programme has provided an opportunity to showcase the positive benefits of international collaboration for innovation and knowledge exchange.

Looking ahead, CILIP and the Working Internationally Project Board are hoping to put forward a case for a Phase 2 programme, building on the lessons learned in Phase 1.

Advocacy

Outcome

Championing Equality, Diversity and Inclusion

Activity

Through our Changing Lives programme, CILIP has made a lasting commitment to equality, diversity and inclusion across every aspect of our work, leadership and governance.

Impact

Changing Lives has already delivered significant impact in terms of equality, diversity and inclusion in our work, helping us both to present a more representative voice for our professional community and to begin to tackle systems which prevent people from marginalised communities entering and progressing in our profession.

It is clear that this is the beginning of a long-term

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process for CILIP and for our profession, but Changing Lives represents an unequivocal statement of intent allied to practical action.

Outcome

Building political influence

Activity

As the only independent association representing librarians, information and knowledge management professionals in all sectors, CILIP maintains an active programme of political relations in Westminster and the Devolved administrations.

Through our secretariat of the All-Party Parliamentary Group for Libraries (APPG Libraries) we have been able to develop and maintain relationships with Parliamentarians and key political stakeholders, providing a channel for regular dialogue and briefings.

We have also been able to reflect the priorities and capabilities of our professional community in key Government consultations, including those towards a Media and Information Literacy Strategy, a Digital Strategy for Wales and the consultation for a National Data Strategy.

We have continued to build the evidence base in support of our advocacy of librarians, information and knowledge management professionals in all sectors.

Impact

Our political engagement is helping both to ensure that key decisions impacting on our professional community are based on insight, evidence and understanding and that our potential contribution is reflected in wider policy documents.

Our ongoing dialogue with political stakeholders means that we can answer questions, provide guidance and briefings to enable Parliamentarians to provide more effective support for library and information services in all sectors.

We have seen real progress in expanding the scope of our political dialogue to encompass a broader understanding of the scale, composition and impact of our profession beyond public libraries.

Although some progress has been made in assembling evidence in support of our arguments, it is clear that the overall evidence-base is still sorely lacking, particularly in respect of consistent and clear impact metrics for our profession in all sectors.

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Although we will continue to seek opportunities to address this on a piecemeal basis, it is clear that the whole sector would benefit from a sectorwide approach to evidencebased practice and the development of assessment data in support of advocacy.

Outcome

Activity

CILIP has maintained a proactive approach to public and media relations, providing commentary and quotes for national, local and trade press and media outlets throughout 2020.

Impact

As a result of our active engagement with media outlets, we were able to help ‘tell the story’ of the tremendous support provided by librarians and information professionals to their users, organisations or communities during the pandemic.

In the process, we have been able to present a more positive and proactive voice for libraries in all sectors, and to start to be more effective in securing recognition of the scope and size of the sector beyond public libraries.

CILIP has provided national representation for our professional community through participation in Working Groups, advisory councils and other strategic platforms, including the English Public Libraries Strategic Working Group, chaired by the Arts Council England.

In addition to our national representation, CILIP has

As a result of this proactive representation, we have started to see real progress in ‘re-connecting’ sector leadership and other stakeholder organisations with the central role and value of professional skills. This participation has provided us with an opportunity to set out our more progressive and inclusive vision of the role of professional skills and to enable key partners to see them as an opportunity rather than an obligation.

CILIP has seen a marked shift from ‘reactive’ responses to

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continued to provide local proposed service reductions, representation in support of particularly in Local our members. Authorities, towards a more constructive and proactive dialogue that takes place increasingly before public announcements are made. This has provided us with an opportunity to make the case for the retention of professional skills and in some instances has helped to ‘soften’ the impact of proposed cuts to budgets.

Outcome Activity Impact Promoting public engagement Despite the disruptions of Libraries Week has continued COVID-19, CILIP delivered a to grow and develop as a key highly successful Libraries opportunity for public Week 2020 campaign in the engagement during the year. first week of October The theme of ‘Books and (coinciding with key moments Reading’ was timely in light of in the political calendar, the huge shift towards e- including budget-setting reading and the increased within Local Authorities). national interest in readership more generally. The campaign focused on the theme of ‘Books and Reading’ We are aware of a need to and attracted widespread translate participation into participation across most ongoing engagement. Our parts of the library and future planning for Libraries information sector, delivering Week will include a clear ‘callsignificant public engagement to-action’ to ensure that new and visibility. and existing audiences engaged through the campaign become longer-term and habitual users of library services. During the ‘first lockdown’ in The National Shelf Service had England, CILIP and the Youth a tremendously positive Libraries Group worked with impact, attracting thousands partners including Nielsen of views and helping to align Book, Bolinda and OverDrive librarians to the emerging to launch the National Shelf national interest in reading. Service, a YouTube channel featuring daily book CILIP was able to meet our recommendations for children advocacy goal, which was to and young people. re-state the role of librarians

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and information professionals as ‘expert recommenders of books’, making a positive contribution to discovery and readership in the overall publishing sector.

Outcome

Activity

CILIP was able to deliver the Carnegie Greenaway Awards 2020 successfully as an online-only programme, supported by the UK-wide ‘Shadowing Scheme’.

Despite the impact of COVID19, the Awards process was delivered successfully, albeit with some changes to timings.

At the same time, the Awards are presented with a complex longer-term financial challenge as key sponsors revisit their priorities in response to the pandemic. As a result, CILIP commissioned a specialist Awards Agency to develop proposals for future financial sustainability.

CILIP continued to publish Pen & Inc., the diversity magazine and listings guide throughout 2020.

Impact

Thanks to the hard work of the CILIP staff team, the Youth Libraries Group, Working Party and awards judges, the 2020 Awards process went ahead and delivered an outstanding longlist and shortlist as well as worthy winners of both the Carnegie and Kate Greenaway Medals.

The new review into the longer-term financial and delivery model for the awards will help to ensure their longer-term sustainability.

Pen and Inc. addresses a key problem highlighted by CILIP members relating to better options to discover a broader and more diverse range of identities in books for children and young people.

The magazine is circulated to key contacts including bookshops and schools across the UK. It features, editorial, recommendations and examples of beautiful illustration, all highlighting the diversity and creativity of children’s publishing.

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Activity

Outcome

Targeted campaigns CILIP has continued to work with Health Education England and the Health Libraries Group to support ‘A Million Decisions’ – the campaign to highlight the life-changing impact of librarians and knowledge specialists in health.

CILIP has supported the School Libraries Group and School Library Association (SLA) in the ongoing implementation of the Great School Libraries campaign.

During 2020, we were pleased to support the launch of the findings of a research study funded by the Foyle Foundation, which highlighted concerns about the inequality of school library provision between the state and independent sectors.

Employer engagement CILIP has continued to maintain and grow the Employer Partners Scheme, providing a much-needed platform for dialogue and knowledge-sharing between the professional body and sector employers.

Following the 2020 AGM, we undertook additional research which confirmed the ongoing development and identity of the scheme.

Impact

The campaign has continued to deliver positive results throughout 2020, providing an opportunity to engage with clinicians and senior decisionmakers in the healthcare sector.

As part of this work, we have been pleased to support Health Education England with the development of their study Value Proposition: The gift of time, which provides further evidence in support of the campaign

Great School Libraries has provided an important platform from which to advocate for quality school library provision. The Research Report has provided the first comprehensive evidence of the ‘state of the nation’ in provision and sets out clear priorities for future advocacy.

The impact of the Employer Partners Scheme continues to be very significant for CILIP, providing a vital platform for sector development, prioritisation and advocacy across all sectors. As a result, participating employers have made a number of strong commitments to supporting CPD, development and professional registration for their staff, while also sharing

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key current insight back into the organisation.

Operations and governance

We have successfully maintained efficient, accountable and effective operations throughout 2020 in support of our charitable objects. Highlights of this work and its impact are set out below:

Outcome Activity Impact
Governance Effective leadership CILIP continues to benefit from clear
and effective governance and
leadership across the CILIP Trustee
Board, our national committees in
CILIP Cymru Wales and CILIP Ireland
and our affiliated partner CILIP in
Scotland.
Accountability We have reviewed and updated the
governance sections of the CILIP
website to ensure that key governing
documents and papers are publicly
available for scrutiny by the
membership.
Finance and Audit Statutory compliance CILIP completed a successful audit
for 2019 with no material issues
raised and the audited accounts were
approved by the membership,
providing visibility on the
organisation’s financial performance.
Risk management Our risk register has provided an
effective mechanism for the CILIP
Board and Senior Leadership Team
to track and manage risks and
ensure that controls are adequate.
Facilities Office premises CILIP and CILIP in Scotland have
continued to maintain office premises
in London and Glasgow. CILIP has
also provided managed office
services, meeting room and event
hire through our wholly-owned
property at 7 Ridgmount Street in
London.

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Future plans

2020 represents the final year of CILIP’s current 5-year strategy, Securing the Future. The aim of this strategy has been to:

CILIP has made strong progress against these agendas in 2019 and during 2020, we plan to consolidate our role as a professional association and place of quality for librarians, information and knowledge management professionals to advance their skills and career.

We are committed to being an open, inclusive and democratic association, and so the process of developing our new 5-year plan (2022-26) will be undertaken in consultation with our membership and the wider profession.

Activities in the devolved nations

We aspire to combine a UK-wide perspective and common goals with effective and equal representation across Wales, Scotland, Northern Ireland and England.

CILIP Cymru Wales

During 2020 CILIP Cymru Wales comprised a National Committee for Wales supported by a CILIP Development Manager. CILIP Cymru Wales is active in ensuring that the needs of CILIP members in Wales are addressed and that their priorities are fed into our overall programmes. Key achievements included:

CILIP Ireland

CILIP Ireland comprises a National Committee based in Northern Ireland supported by a CILIP Development Manager. CILIP Ireland is responsible for ensuring that the needs of CILIP members in Ireland are addressed and that their priorities are fed into our overall programmes. Key achievements for 2020 included:

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During 2020, the CILIP Ireland Committee has developed a strategic plan which identifies key priorities, connected to the five strategic goals and priorities set out in the CILIP Action Plan.

CILIP in Scotland (CILIPS)

CILIP in Scotland (CILIPS) is an independent organisation registered as a charity with OSCR, the Scottish Charity Regulator. Each year, CILIPS sets out its own business plan which is aligned to the priorities and goals set out in the CILIP action plan.

CILIPS is supported through an annual grant, agreed with CILIP, which includes the cost of staffing and delivery of activities to the benefit of CILIP members in Scotland.

The joint CILIP/CILIPS Service Level Agreement (SLA) agreed in 2018 has provided a strong foundation for mutual dialogue and collaboration throughout 2019. As a result, we have agreed to translate the SLA from a ‘rolling annual’ agreement to a permanent standing one, representing the trust and respect between our organisations and our mutual interest in meeting the needs of our members.

Monitoring and evaluation

At the request of the CILIP Board, the Senior Management Team has developed a performance management framework which supports ongoing decision-making, evaluation and future planning. The performance management report focuses on:

External factors affecting our work

We undertake a periodic ‘foresight’ exercise in order to identify the main trends and external factors, which will affect our work. The key trends we have identified in 2020, which will inform our future work, include:

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Fundraising

The majority of CILIP’s income comes from its members and it undertakes very little direct fundraising activity involving individual donors. CILIP did not receive any complaints in relation to fundraising in 2020 and 2019. Due to the nature of CILIP, CILIP is not registered with the fundraising regulator.

3. Future plans

2020 represents the final year of CILIP’s current 5-year strategy, Securing the Future. The aim of this strategy has been to:

The strategy was largely successful, meaning that we look ahead to 2021 and beyond as a period of recovery and new ambition. The impact of COVID19 lockdown has resulted in the depletion of reserves, and so a key priority for 2021 is to re-build our free reserves investments to a minimum position in line with the Reserves Policy established by the Board of Trustees.

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We are in the process of developing our new 5-year plan (2022-26) which will be undertaken in consultation with our membership and the wider profession.

Our primary plan for 2021 is therefore the establishment of a new, cash-positive ‘business as usual’ for CILIP which ensures that we can continue to deliver value for the membership. The key elements of this will be:

4. Financial review

The financial statements were in the format required under the Statement of Recommended Practice: Accounting and Reporting by Charities (SORP FRS 102) and the Statement of Financial Activities (SOFA) reflects the strategic priorities of CILIP.

Overview of 2020 financial position and performance for CILIP and CILIP Pathways Ltd

During the pandemic year 2020, CILIP carried out a number of actions to ensure its short and medium term financial sustainability. These actions included:

23 | CILIP Annual Report & Accounts 2020

Taking the above proactive actions enables CILIP’s overall income to increase from £3,919,174 in 2019 to £3,946,319 in 2020. This 1% increase in overall income was mainly due to the Coronavirus Job Retention Scheme and the 1[st] round of government recovery fund grants. COVID-19 did have significant impact on CILIP’s following activities;

Fortunately, CILIP’s diversification into professional services did have a favourable variance of 58% increase in income in 2020 compared to 2019

CILIP has made savings of 5% on overall expenditure by implementing restrictions on noncommitted expenditure to manage outgoings thereby decreasing our costs from £4,093,946 in 2019 to £3,871,193 in 2020.

CILIP Pathways limited commenced trading in March 2020, incurring mainly start-up costs of £27,754. There is also a time lag between opening apprentices and receiving income from successful apprentices. Income from successful apprentices is expected to gradually increase during 2021.

Future financial outlook for CILIP and CILP Pathways Ltd

2020 represents the final year of CILIP’s current 5-year strategy ‘Securing the Future’, we developed our longer term action based on an assumption of continued disruption in 2021 and 2022 due to the impact of COVID-19. In addition, we are developing longer term plans particularly through the Strategy Finance review that would be completed in July 2021. The recommendations from the strategic review would inform our new 5-year plan (2022-26) which will be undertaken in consultation with our membership and the wider profession.

In 2021, we have begun work on creating a ‘Future CILIP’ programme to ensure our future sustainability. This programme of work is looking in detail at:

CILIP Pathways Ltd: During the period ended 31 December 2020, CILIP Pathways Limited incurred losses of £27,754 in relation to start-up costs. CILIP Pathways limited forecast to make a modest profit in 2021 with an increase in profits year on year projected. The directors are confident that CILIP Pathways is establishing itself well and forecasts that growth in 2021 and beyond will be achieved.

24 | CILIP Annual Report & Accounts 2020

CILIP’s financial activities

Reserves

Total group’s reserves in 2020 were £16,807,695 (2019: £17,325,118) which consists of unrestricted funds £14,045,723 (2019: £14,746,554), designated funds £1,812,273 (2019: £1,829,394) and restricted funds £949,699 (2019: £749,170). Further details about the funds are as stated below:

Unrestricted funds

Unrestricted funds consist of CILIP’s (i) central operations activities, (ii) Member Networks activities, (iii) designated funds activities, (iv) pension reserve and (v) revaluation reserve.

(i) CILIP’s central operations activities

CILIP’s Central operational activities during the year had a net expenditure of £213,650 (2019: £115,572). £137,162 deficit was due to the impact of COVID-19 on our operational activities and deficit of £76,488 on our investment assets due to the stock market performance.

The total reserve carried forward to 2020 for central office activities was £222,820, in 2019 it was £240,674 as per note 19.

(ii) Member Networks activities

Our Member Networks continue to provide a range of high quality events, conferences and training opportunities at a fee that our members can afford to ensure their professional development thereby having a positive movement of £27,688 in 2019 but this was negative movement of £22,469 in 2020 due to cancellation of events because of the pandemic.

The total reserve carried forward to 2020 for Member Network activities was £678,915 (2019:£701,384) as per note 19.

(iii) Designated funds activities

Designated funds consist of the fixed asset reserve and development fund reserve.

The movement on the designated fund fixed asset reserve as per note 17 was due to the acquisition in 2020 of £18,200 (2019: £nil) worth of computer assets and the depreciation charge for the year of £70,465 (2019: £72,590). The total fixed asset reserve carried forward to 2020 was £1,712,535 (2019: £1,764,800) and this did not include the revaluation reserve on buildings.

25 | CILIP Annual Report & Accounts 2020

The total designated funds development reserves as per note 17 analysed below:

Member Network development fund
My library by right campaign fund
Central office master plan building repairs fund
Member Network CPD Forum development fund
Infrastructure development fund		 2020 Amount
2019 Amount
£8,901
£8,901
£1,942
£1,802
£60,572
£25,568
£4,103
£4,103
£24,220
£24,220
£99,738
64,594

(iv) Pension reserves

The trustees believe that the defined benefit pension scheme funding calculation, which can vary considerably according to the assumptions made at each year-end, has no material effect on the charity’s cash flows in the short term, and that in the longer term its effects are sustainable out of future income. For this reason, in the trustees’ view, it is disregarded for reserves policy purposes. The movement on the pension reserve of £1,281,000 in 2020 (2019: £637,000) as per note 22 was mainly due to an increment in the present value of the defined benefit obligations. In 2020 the pension scheme deficit was £7,051,000 in 2019 this was £5,770,000.

(v) Revaluation reserve

CILIP fully owns the central office building as a primary asset of the charity which generates revenues (rental of office and meeting space) which are driven back to support our charitable objects. The freehold property revaluation takes place every two years. The market value as at 2019 £21,200,000 (as per note 9) in 2020 estimated to be £21,876,000 using property non-core prime yield guide at 4.25%.

Restricted funds activities

Restricted funds are those used in accordance with specific restrictions imposed by the donors or raised by the charity for particular purposes. The costs of raising and administering such funds, where applicable, charged against the specific fund. The movement on the restricted fund is analysed in note 16.

Subsidiaries

CILIP has three subsidiaries of which two are dormant.

CILIP Pathways Limited incorporated on 4[th] March 2020 as a trading subsidiary of the parent charity, CILIP. CILIP Pathways Ltd was set up to conduct assessment of apprenticeships. CILIP’s customers are the employers of apprentices, the apprentices and apprenticeship-training providers. CILIP Pathway Ltd incurred a start- up cost of £27,754.

Further information on investment in subsidiary companies is set out in note 11.

5. Investment powers and selection of investments

The Royal Charter gives powers to the trustees to invest the monies of the Institute not immediately required for the furtherance of its objects in or upon such investments, securities or

26 | CILIP Annual Report & Accounts 2020

property as may thought fit. The Byelaws allow the Board to delegate power to an investment manager to buy and sell investments on behalf of the Institute, within a prescribed investment policy.

Funds which are expected to be available for more than two years may be put into long-term investments to provide both income and capital growth. Funds available for investment on either short or long-term periods are invested with appropriate external fund managers, who will comply with our investment objectives. The Finance, Audit and Risk Committee makes decisions on which managers are used.

CILIP’s investment policy and investment :

The trustees will not invest directly in investments which conflict with CILIP’s aims and objectives as set out in the Royal Charter.

Restricted investments classified as long-term investments and unrestricted investments classified as short-term investments to fund CILIP’s strategic plan capital projects.

CILIP holds units in M&G Charifund. The Fund had a net yield of 6% in 2020 (2019: 5.5%). In addition to offering an attractive yield, Charifund has a strong long-term performance record.

The value of the total investments decreased in 2020 by 17% to £864,283 with unrealised net loss of £181,041 due to the stock market. Further information on CILIP’s investments is set out in note 10.

6. Reserves policy

CILIP’s reserves policy designed to determine the level of reserves required to:

Under the policy in place in 2020, the reserves required to fund central operations are a minimum of three months’ (£803,571) and a maximum of six months’ operating costs (£1,607,142). Central office reserves stood at £222,820 at 31 December 2020, which equates to approximately one months’ costs.

In addition, the policy allows sums to be set aside in designated reserves for important expenditure outside the normal operating budget. If overspend occurs, this needs to be recouped within a few years.

This policy also applied to Member Networks, which retain separate reserves sufficient to fund their own activities. Member Networks’ reserve stood at £678,914 in 2020 (2019: £701,384).

27 | CILIP Annual Report & Accounts 2020

Going concern assessment

In June 2021, although the most severe implications of the COVID-19 pandemic appear to have passed in the UK, there are still some uncertainties about the long term effect on income. However, having reviewed the funding facilities available to CILIP especially the government recovery fund and coronavirus job retention scheme together with the expected future cash flows, the trustees have a reasonable expectation that CILIP has adequate resources to continue its activities for the foreseeable future and consider that there were no material uncertainties over CILIP's financial viability. Accordingly, the trustees are of the view that CILIP is a going concern.

7. Principal risks and uncertainties

The Board recognises its responsibility for ensuring a sound system of risk management and internal control is in place. The Finance, Audit and Risk Committee provides assurance to the Board that this system is adequate and appropriate. The Senior Management Team is responsible for implementing the system of risk management and internal control and for identifying and evaluation of risks, putting in place appropriate mitigating action and monitoring and reporting progress.

Key risks identified during the year were:

Financial risk including possible declining income from membership income and tenant income; potential increasing costs in relation to pensions; fall in value of investments. Mitigating actions include regular review of risk by Finance, Audit and Risk Committee and Senior Leadership Team (SLT); introduction of new subscription levels and diversification of membership; introduction of marketing and sales strategy; and regular meetings with Pension Trustees and investment advisers.

Operational risk including possible failure to deliver business plan, failure to meet objectives throughout the year, failure to retain and motivate staff through extended periods of working at home. Mitigating actions include reviewing annual delivery plan at every SLT meeting, strong leadership from Board and SLT, regular communications with staff.

Reputational risk including failure to identify potential sources of reputational risk; failure to have in place adequate protocols for responding to events which carry reputational risk; failure to fully embrace obligations to equalities, diversity and inclusion. Mitigating actions include ensuring that reputational risk is factored into risk assessments, identifying key staff with responsibility for reputational risk, ensuring that we have a comprehensive equalities, diversity and inclusion change programme and that diversity is reflected in our leadership.

Compliance risk including possible breaches of CILIP’s legal and regulatory duties; breaches of CILIP’s duties under the Data Protection Act and the General Data Protection Regulation; breaches of CILIP’s cyber security. Mitigating actions include Finance, Audit and Risk Committee regularly reviewing internal controls and implementation, CILIP website and virtual learning environment is secured with SSL encryption, new systems configured to comply with GDPR.

28 | CILIP Annual Report & Accounts 2020

The risk register is regularly reviewed by the Board, Senior Leadership Team and by the Finance, Audit and Risk Committee. The trustees continue to assess the risks and uncertainties brought about by the COVID-19 pandemic.

8. Structure, governance and management

CILIP Board

Members of the Board are trustees of CILIP for the purpose of charity legislation.

The Board has twelve members elected directly by the membership, with a provision for up to three co-opted members to achieve a balance in the event of missing skills or jurisdictions. Should vacancies remain after an election, these also may be filled through the appointment process. During 2020, nine of the twelve Board members were in place. All of these Board members were individual members of CILIP. In 2020 three co-opted members served on the Board of which one was co-opted as a new professional. The Chair of the Board, Caroline Brazier stood down on 30 January and was replaced on 26 March 2020 by John Trevor-Allen.

Reporting to the Board are the Finance, Audit and Risk Committee, which oversees CILIP’s financial management and control, statutory accounts, investments and pension liabilities; and provides reassurance that proportionate mechanisms exist to manage risk, strategy, compliance and finance.

Chief Executive

Day-to-day management of the Charity delegated by the trustees to the Chief Executive, who is responsible for managing staff and resources to implement the decisions made by the Board. The Chief Executive is also included as key management personnel and his salary reviewed and agreed by the Remuneration Committee.

Key management personnel

Other key management personnel in 2020, in addition to the Chief Executive were the Chief Operating Officer; Editor, Information Professional; Head of CILIP in Scotland; Head of Digital and IT; Head of Facilities; Head of Finance; Head of Sales and Marketing; Head of Publishing; Head of Sector Development and Head of Programmes. Their salaries are included in CILIP’s general pay scales.

Trustees’ induction and training

In January 2020 an induction day was held for all existing and new trustees. The focus was on the role of the Board and of individual trustees as well as on their financial, risk management responsibilities and collective decision-making.

Each new trustee received a welcome pack, which included:

29 | CILIP Annual Report & Accounts 2020

Changes to legislation or other rules affecting CILIP reported to CILIP Board to keep trustees upto-date.

Office of the President

The Office of the President comprises the President, the Vice-President and the Immediate Past President. They are directly elected by the membership, and are independent of the trustees of CILIP. Members of the Presidential Team represent CILIP at functions and events as well as being ex-officio on all committees.

The Annual General Meeting

The Annual General Meeting, normally held in September/October each year, approves the member subscription rate for the following year and agrees the appointment of CILIP’s auditors. It also approves by resolution any proposed changes to the Royal Charter and Byelaws (subject to approval by the Privy Council). In all other respects, its role is mainly advisory but the CILIP Board will give serious consideration to its recommendations.

The Finance, Audit and Risk Committee

The purpose of the Finance, Audit and Risk Committee is to assess CILIP’s overall governance framework for fitness-for-purpose, to identify and escalate issues and to confirm to the Board that proportionate mechanisms exist to manage risk, strategy, compliance and finance. The Committee contributes to audit planning, identifying areas of concern, receiving and reviewing the audit report and monitoring the management response.

Following consideration of the Audit Findings Report, risk management, internal controls and other items discussed by the Finance, Audit and Risk Committee during the course of its work in 2020, it did not identify any particular issues to report as a matter of concern to the Board.

30 | CILIP Annual Report & Accounts 2020

9. Membership information

Membership and subscription income by category

In 2017, members voted at the AGM for the membership categories to change in 2018 in order to make it fairer and affordable for most members. The result of the change analysed below:

Membership type
Leaders network
Member
Registered Professional (Full)
Student
Members paying full rate
Leaders network (concession)
Member (Concession)
Registered Professional (Concession)
Student Concession
Members paying discounted rates		 2020
2020
% of
members
% of fees
income
4%
8%
38%
35%
21%
32%
10%
3%
73%
78%
1%
2%
12%
6%
14%
14%
27%
22%		 2019
2019
% of
members
% of fees
income
7%
14%
31%
30%
27%
34%
5%
2%
70%
80%
1%
1%
11%
5%
18%
14%
30%
20%

The average subscription per member in 2020 was £96 in 2019 it was £104.

Membership by Geographical location

2020 2019
East Midlands 545 547
East of England 817 837
London 1719 1,693
North East 283 270
North West 721 672
South East 1,441 1,366
South West 906 828
West Midlands 515 493
Yorkshire & Humberside 531 522
England Total 7,478 7,228
CILIP in Scotland 1,210 1,121
CILIP in Wales 405 383
CILIP in Ireland 105 181
Total UK & Ireland 9,198 8,913
Overseas members 551 424
9,749 9,337

Membership per geographical location numbers given above were as at 31 December 2020 and 2019

31 | CILIP Annual Report & Accounts 2020

In addition to joining member networks in member’s geographical area, members may join any group that they have interest in, namely:

  1. Academic and Research Libraries group (ARLG)

  2. Metadata and Discovery group (MDG)

  3. Commercial, Legal and Scientific Information group (CLSIG)

  4. Community, Diversity and Equality group (CDEG)

  5. Government Libraries and Information group (GIG)

  6. Health Libraries group (HLG)

  7. Knowledge and Information Management group (KIM)

  8. Information Literacy group (ILG)

  9. International Library and Information group (ILIG)

  10. Library and Information History group (LIHG)

  11. Library and Information Research group (LIRG)

  12. Local Studies group (LSG)

  13. Multimedia, Information and Technology group (MMIT)

  14. Prison Libraries group (PLG)

  15. Public and Mobile Libraries group (PMLG)

  16. Marketing and Communication group (MCG)

  17. Rare Books and Special Collections group (RBSCG)

  18. School Libraries group (SLG)

  19. UKeiG: the UK e-information Group

  20. Youth Libraries group (YLG)

  21. Retired Professional Group (RPG)

  22. Lesbian, Gay, Bisexual, Transgender, Transsexual and Questioning group (LGBTQ+)

  23. Blacks, Asian Minority Ethnic group (BAME)

32 | CILIP Annual Report & Accounts 2020

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The trustees 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 Policies).

Charity law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of its net income for that year, and adequately distinguish any material special trust or other restricted fund of the charity. In preparing those financial statements the trustees are required to:

The trustees are responsible for keeping proper accounting records which 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 Charities Act 2011, the Charity (Accounts & Reports) Regulations and the provisions of the Royal Charter.

They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud or other irregularities.

This Annual Report and Accounts complies with current statutory requirements, the requirements of CILIP’s Royal Charter and the current Statement of Recommended Practice on Accounting and Reporting by Charities.

So far as each Trustees is aware at the time the report is approved:

Signed on behalf of the Board of trustees

John Trevor-Allen Honorary Chair

Date : 9th September 2021

33 | CILIP Annual Report & Accounts 2020

INDEPENDENT AUDITORS’ REPORT TO THE TRUSTEES OF THE CHARTERED INSTITUTE OF LIBRARY AND INFORMATION PROFESSIONALS

Opinion

We have audited the financial statements of Chartered Institute of Library and Information Professionals for the year ended 31 December 2020 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, the Consolidated Statement of Cash Flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ 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.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of trustees for the financial statements

As explained more fully in the trustees’ responsibilities statement set out on page 33, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such

34 | CILIP Annual Report & Accounts 2020

internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

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

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:

Based on our understanding of the group and the environment in which it operates, we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011, the Charity’s Royal Charter, payroll tax and sales tax.

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls). Audit procedures performed by the engagement team included:

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 auditor’s report.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity’s trustees as a body for our audit work, for this report, or for the opinions we have formed.

Haysmacintyre LLP Haysmacintyre LLP 10 Queen Street Place
Statutory Auditors London
EC4R 1AG
Date: 14 September 2021

Haysmacintyre LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

35 | CILIP Annual Report & Accounts 2020

CONSOLIDATED CHARITY AND GROUP STATEMENT OF FINANCIAL ACTIVITIES (incorporating an income and expenditure account) for the year ended 31 December 2020

CHARITY CHARITY GROUP GROUP
31-Dec-20 31-Dec-19 31-Dec-20 31-Dec-19
Notes £ £ £ £
INCOME
Incoming from charitable activities
Members'subscriptions 1,009,480 1,040,172 1,009,480 1,040,172
Training, Events & Conferences 273,417 699,466 273,417 699,466
Publications 555,142 805,019 555,142 805,019
Professional Services 262,404 166,409 262,404 166,409
2,100,443 2,711,066 2,100,443 2,711,066
Incoming from trading activities
Rent & Service charge 878,081 973,372 878,081 973,372
CILIP Pathways income - - - -
Income from donations and legacies
Grants-CJRS 159,807 - 159,807 -
Grant-ACE recovery fund 623,000 - 623,000 -
Grant-Others 70,500 167,500 70,500 167,500
Legacy 41,665 - 41,665 -
Donations from individuals 23,238 280 23,238 280
Income from Investment
Income from quoted investments 3 49,585 66,956 49,585 66,956
Other income
TOTAL INCOME 3,946,319 3,919,174 3,946,319 3,919,174
EXPENDITURE
Expenditure on Charitable Activities
Training, Events & Conferences 243,858 470,904 243,858 470,904
Publications 443,752 403,953 443,752 403,953
Professional services 2,944,283 2,954,513 2,972,036 2,954,513
Total Charitable Expenditure 3,631,893 3,829,370 3,659,646 3,829,370
Expenditure on Raising Funds
Services to tenants 239,300 264,575 239,300 264,575
CILIP Pathway costs - - 27,754 -
Total expenditure on raising funds 239,300 264,575 267,054 264,575
TOTAL EXPENDITURE 4 3,871,193 4,093,945 3,926,700 4,093,945
Net income & expenditure before investment gains
and (losses)		 75,126 (174,771) 19,619 (174,771)
~~-~~
Net Gains/(losses) on investment assets 10 (181,041) 192,118 (181,041) 192,118
NET INCOME/(EXPENDITURE) (105,915) 17,347 (161,422) 17,347
Transfers between funds - - - -
Other recognised gains/(losses):
Revaluation of tangible fixed assets 9 676,000 (9,060,000) 676,000 (9,060,000)
Actuarial gains/(losses) on defined benefit
pension scheme		 22 (1,032,000) (630,000) (1,032,000) (630,000)
NET MOVEMENT IN FUNDS (461,915) (9,672,653) (517,422) (9,672,653)
Reconciliation of Funds
Total Fund brought forward at 1 January 2020 17,325,118 26,997,771 17,325,117 26,997,771
Total Fund carried forward at 31 December 2020 16,863,203 17,325,118 16,807,695 17,325,118

36 | CILIP Annual Report & Accounts 2020

CONSOLIDATED CHARITY AND GROUP BALANCE SHEET As at 31 December 2020

CHARITY CHARITY GROUP GROUP
31-Dec-20 31-Dec-19 31-Dec-20 31-Dec-19
Notes £ £ £ £
FIXED ASSETS
Tangible assets 9 21,963,032 21,339,297 21,963,032 21,339,297
Long term investments 10 498,078 599,935 498,078 599,935
Investments in subsidiary companies 11 4 4 4 4
Investment in CILIP Pathways 11 - - - -
Other investments 11 1 1 1 1
Total Fixed Assets 22,461,115 21,939,237 22,461,115 21,939,237
CURRENT ASSETS
Short term Investments 10 366,205 445,389 366,205 445,389
Stock and work in progress 12 91,108 144,008 91,108 144,008
Debtors 13 613,117 553,054 585,362 553,054
Cash at bank and in hand 1,877,700 894,543 1,877,700 894,543
2,948,130 2,036,994 2,920,375 2,036,994
LIABILITIES
Creditors: Amounts falling due within one year: 14 (1,291,795) (853,501) (1,319,548) (853,501)
NET CURRENT ASSETS 1,656,335 1,183,493 1,600,827 1,183,493
TOTAL ASSETS LESS CURRENT LIABILITIES 24,117,450 23,122,730 24,061,942 23,122,730
Creditors: Amounts falling due after more than one
Life members provision in advance (23,247) (27,612) (23,247) (27,612)
CBIL loan (180,000) - (180,000) -
NET ASSET OR LIABILITIES EXCLUDING PENSION ASSET
OR LIABILITY		 23,914,203 23,095,118 23,858,695 23,095,118
Defined benefit pension scheme funding deficit 22 (7,051,000) (5,770,000) (7,051,000) (5,770,000)
TOTAL NET ASSETS 16,863,203 17,325,118 16,807,695 17,325,118
REPRESENTED BY;
Restricted funds 949,699 749,170 949,699 749,170
Unrestricted funds:
Revaluation Reserve 20,250,496 19,574,496 20,250,496 19,574,496
Pension Reserve 22 (7,051,000) (5,770,000) (7,051,000) (5,770,000)
CILIP Pathways reserve 19 - - (27,754) -
Central Operations reserve 19 222,820 240,674 195,066 240,674
Total central operational funds 13,422,316 14,045,170 13,366,808 14,045,170
Member Networks-other funds 678,915 701,384 678,915 701,384
Total other unrestricted funds 14,101,231 14,746,554 14,045,723 14,746,554
Designated funds-Fixed Asset Reserve 17 1,712,535 1,764,800 1,712,535 1,764,800
Designated fund-Development reserve 17 99,738 64,594 99,738 64,594
Total Designated Funds 1,812,273 1,829,394 1,812,273 1,829,394
Total unrestricted funds 15,913,504 16,575,948 15,857,996 16,575,948
TOTAL CILIP'S RESERVE 16,863,203 17,325,118 16,807,695 17,325,118

Note: Charity and Group are the same in 2019.

The notes on pages 39 to 61 form part of these financial statements approved by the Board on 9[th] September 2021.

Signed on behalf of the Board by:

Alison Wheeler Honorary Treasurer

37 | CILIP Annual Report & Accounts 2020

CONSOLIDATED CHARITY AND GROUP STATEMENT OF CASHFLOWS For the period ended 31 December 2020

Cash-flow from operating activities:
2020
£
Net cash (used in)/provided by operating activities
979,525
Cash flows from investing activities
Investment income and bank interest
49,585
Purchase of tangible fixed assets
(18,200)
CILIP Pathways Ltd
(27,754)
Sales of investments
-
(Decrease)/Increase in cash
983,157
Reconciliation of net (expenditure)/income to net cash flow from
operating activities
Net (expenditure) for the reporting period
(105,915)
Depreciation charges
70,465
Expenses and net interest costs
331,000
Pension contributions paid
(82,000)
(Gains)/losses on investments
181041
CILIP Pathway investment loss/(profit)
27,754
Life members provision in advance
(4,365)
Investment income and bank interest received
(49,585)
Decrease/(Increase) in stocks
52,900
Decrease/(Increase) in debtors
(60,064)
Increase/(Decrease) in creditors
618,294
Net cash (outflow)/inflow from operating activities
979,525
Change in cash and cash equivalents in the reporting
period
At
1 January
2020
Change
In cash
£
£
Bank balances and cash in hand
894,543
983,157
Reconciliation of Net Debts
At
1 January
2020
Cash
flow
Cash
894,543
983,157
Loans due within one year
-
(60,000)
Loans due after one year
-
(180,000)
Totals
894,543
743,157		 Cash-flow from operating activities:
2020
£
Net cash (used in)/provided by operating activities
979,525
Cash flows from investing activities
Investment income and bank interest
49,585
Purchase of tangible fixed assets
(18,200)
CILIP Pathways Ltd
(27,754)
Sales of investments
-
(Decrease)/Increase in cash
983,157
Reconciliation of net (expenditure)/income to net cash flow from
operating activities
Net (expenditure) for the reporting period
(105,915)
Depreciation charges
70,465
Expenses and net interest costs
331,000
Pension contributions paid
(82,000)
(Gains)/losses on investments
181041
CILIP Pathway investment loss/(profit)
27,754
Life members provision in advance
(4,365)
Investment income and bank interest received
(49,585)
Decrease/(Increase) in stocks
52,900
Decrease/(Increase) in debtors
(60,064)
Increase/(Decrease) in creditors
618,294
Net cash (outflow)/inflow from operating activities
979,525
Change in cash and cash equivalents in the reporting
period
At
1 January
2020
Change
In cash
£
£
Bank balances and cash in hand
894,543
983,157
Reconciliation of Net Debts
At
1 January
2020
Cash
flow
Cash
894,543
983,157
Loans due within one year
-
(60,000)
Loans due after one year
-
(180,000)
Totals
894,543
743,157		 2019
£
(577,998)
66,957
-
453,000
(58,041)
17,347
72,590
330,000
(323,000)
(192,118)
-
(4,687)
(66,957)
(44,052)
(6,539)
(360,582)
(577,998)


At
31 December
2020

£

1,877,700
At
1 January
2020
Cash
flow
894,543
983,157
-
(60,000)
-
(180,000)

At
31 December
2020

1,877,700

(60,000)

(180,000)
894,543
743,157
1,637,700

The notes on pages 39 to 61 form part of these financial statements.

38 | CILIP Annual Report & Accounts 2020

Notes to the Accounts

1. ACCOUNTING POLICIES

1.1 Basis of accounting

The consolidated financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

CILIP 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 note(s).

The consolidated financial statements presented show the consolidated statement of financial activities, balance sheet and cash flows of the CILIP Group for the year ended 31 December 2020. The CILIP Group financial statements consolidate the accounts of CILIP as a charity and CILIP Pathways Ltd wholly owned trading subsidiary on a line-byline basis.

Going concern

These financial statements are prepared on the going concern basis. The trustees has considered the impact of the COVID-19 crisis on the going concern assumptions. The Finance and Audit Risk committee has reviewed and approved a detailed impact assessment presented by the Chief Operating Officer and Head of Finance on 16[th] June 2021. The ultimate impact of the COVID 19 pandemic is still unclear, but management are modelling scenarios should there be a material effect on income. However, having reviewed the funding facilities available to CILIP together with the expected future cash flows for financial years 2022 and 2023, the trustees have a reasonable expectation that CILIP has adequate resources to continue its activities for the foreseeable future and consider that there were no material uncertainties over CILIP's financial viability. Accordingly, CILIP also continue to adopt the going concern basis in preparing the financial statements.

The particular accounting policies adopted by the Trustees described below and have been applied consistently throughout the current and preceding year.

1.2 Income

All income is included in the Statement of Financial Activities (SOFA) when CILIP is legally entitled to them as income or capital respectively, ultimate receipt is reasonably certain and the amount to be recognised quantified with reasonable accuracy.

39 | CILIP Annual Report & Accounts 2020

when:

1.3 Expenditure and irrecoverable VAT

Building costs Square footage occupied ICT and Personnel costs Per Capita basis Finance costs Estimated time spent Governance costs Proportion of total charitable expenditure and cost of raising fund

Governance costs relate to the organisational administration in compliance with constitutional and statutory requirements.

Costs of raising funds are primarily those incurred in raising funds for CILIP’s charitable activities.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

1.4 Operating leases

Rental incomes under operating leases where substantially all of the benefits and risks of ownership remain with the lessors are recognised in the statement of financial activities as income.

1.5 Employee benefits

Short term benefits

Short term benefits including holiday pay are recognised as an expense in the period in which the service is received.

Employee termination benefits

Termination benefits are accounted for on an accruals basis and in line with FRS 102.

1.6 Tangible fixed assets and depreciation

Freehold property: revaluation to market value every two years has been adopted. In any accounting period where a revaluation is not undertaken an impairment review will be conducted and provision would be made for any impairment.

40 | CILIP Annual Report & Accounts 2020

Depreciation: is charged at the following rates, which are expected to reduce the assets to their net realisable values over their expected lives:

Furniture, fixtures and equipment 20% per annum on cost Computers and programs 25% per annum on cost Plant and machinery Various rate

All tangible fixed assets are capitalised, subject to a cost threshold of £1,000.

1.7 Investments

Investments are listed on a recognised stock exchange and stated at fair value at the balance sheet date. The Statement of Financial Activities includes the net gains and losses arising on revaluations and disposals throughout the year.

1.8 Stocks

Stocks are valued at the lower of cost and net realisable value after making allowance for any obsolete or slow moving items. In the case of work in progress and finished goods, costs consists of direct materials, direct labour and attributable overheads. Net realisable value means estimated selling price less all further costs to completion and all costs to be incurred in marketing, selling and distribution.

1.9 Financial instrument

CILIP 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.

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due

Cash at bank and in hand

Cash at bank and in hand includes cash and short term deposits with a short maturity of three months or less from the date of opening of the deposit or similar account.

Creditors and Provisions

Creditors and provisions are recognised where CILIP has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

1.10 Fund accounting

41 | CILIP Annual Report & Accounts 2020

1.11 Accounting judgements and estimates

In preparing these financial statements, management has made judgements, estimates and assumptions in the reported defined benefit pension scheme and property valuation in the disclosures made in the financial statements. Estimates, assumptions and judgements are continually evaluated and are based on historic experience and other factors, including expectations of future events that are believed to be reasonable.

1.12 CILIP operates two pension schemes:

1.12.1 CILIP operates a defined benefit pension scheme on behalf of employees.

The assets of the scheme are held separately from those of CILIP in an independently administered fund. The scheme is funded by contributions from the employer in accordance with the recommendations of independent qualified actuaries on the basis of triennial valuations. The Pensions Act 2004 sets out a statutory funding objective: that every pension scheme must have sufficient and appropriate assets to cover its funding target (referred to in legislation as Technical Provisions) and if there is a shortfall the trustees and the employer are required to agree a Recovery Plan to make this good. The Pension Scheme trustees have accepted a charge of the full value of the building secured on the freehold property against the shortfall. The pension scheme was closed to new members on 1 April 2009 and was closed to existing members for further accruals from 31 March 2011.

For CILIP’s defined benefit pension scheme the amounts charged in arriving at net income/ (expenditure) in the Statement of Financial Activities are the expenses and net interest costs & income, employer’s contributions and benefits paid. Actuarial gains and losses are also recognised in the SOFA together with other recognised gains and losses. Further details of the defined benefit pension scheme are set out in note 21.

1.12.2 CILIP also operates a defined contribution pension scheme

42 | CILIP Annual Report & Accounts 2020

2A CHARITY – 2020 STATEMENT OF FINANCIAL ACTIVITIES

Notes
INCOME
Income from charitable activities
Members’ subscriptions
Training, Events, Conferences
Publications
Professional Services
Income from trading activities
Rent & Service charge
Income from grants, donations and legacies
Grant-Coronavirus Job Retention scheme
Grant-Government Recovery fund scheme
Grant-Others
Donations from individuals
Legacies
Income from investment
Income from quoted investments and bank
interest
3
TOTAL INCOME
EXPENDITURE
Expenditure on charitable activities
Training, Events & Conferences
Publications
Professional services
Expenditure on raising funds
Services to tenants
TOTAL EXPENDITURE
4
Net income/expenditure before
investment gains and losses
Net gain/(losses) on investment assets
10
NET INCOME / (EXPENDITURE)
Transfers between funds
18
Other recognised gains/(losses)
Revaluation of tangible fixed assets
9
Actuarial (losses)/gains on defined benefit
scheme
22
NET MOVEMENT IN FUNDS
RECONCILIATION OF FUNDS
Total Fund brought forward
Total Fund carried forward		 Unrestricted funds
Restricted
Total
Total
Central
operations
Member
Networks
Designated
fund
funds
2019
2019
£
£
£
£
£
£
1,009,480
-
-
-
1,009,480
1,040,172
250,812
22,605
-
-
273,417
699,466
532,342
22,800
-
-
555,142
805,019
162,781
99,623
-
-
262,404
166,409
1,955,415
145,028
-
-
2,100,443
2,711,066
878,081
-
-
-
878,081
973,372
159,807
-
-
-
159,807
-
-
-
-
623,000
623,000
-
-
-
-
70,500
70,500
167,500
23,098
-
140
-
23,238
280
41,665
-
-
-
41,665
-
19,050
13,554
-
16,981
49,585
66,956
3,077,116
158,582
140
710,481
3,946,319
3,919,174
(143,006)
(100,852)
-
-
(243,858)
(470,904)
(438,761)
(4,991)
-
-
(443,752)
(403,953)
(2,393,211)
(75,208)
(70,465)
(405,399)
(2,944,283)
(2,954,513)
(2,974,978)
(181,051)
(70,465)
(405,399)
(3,631,893)
(3,829,370)
(239,300)
-
-
-
(239,300)
(264,575)
(3,214,278)
(181,051)
(70,465)
(405,399)
(3,871,193)
(4,093,945)
(137,162)
(22,469)
(70,325)
305,082
75,126
(174,771)
(76,488)
-
-
(104,553)
(181,041)
192,118
(213,650)
(22,469)
(70,325)
200,529
(106,915)
17,347
(53,204)
-
53,204-
-
-
-
676,000
-
-
-
676,000
(9,060,000)
(1,032,000)
-
-
-
(1,032,000)
(630,000)
(622,854)
(22,469)
(17,121)
200,529
(461,915)
(9,672,653)
14,045,170
701,384
1,829,394
749,170
17,325,118
26,997,771
13,422,316
678,915
1,812,273
949,699
16,863,203
17,325,118

43 | CILIP Annual Report & Accounts 2020

2B CHARITY COMPARATIVE – 2019 STATEMENT OF FINANCIAL ACTIVITIES

Notes
INCOME
Income from charitable activities
Members’ subscriptions
Training, Events, Conferences
Publications
Professional Services
Income from trading activities
Rent & Service charge
Income from grants and donations
Donations from individuals
Grants
Income from investment
Income from quoted investments and bank
interest
3
TOTAL INCOME
EXPENDITURE
Expenditure on charitable activities
Training, Events & Conferences
Publications
Professional services
Expenditure on raising funds
Services to tenants
TOTAL EXPENDITURE
4
Net gain/(losses) on investment assets
10
NET (EXPENDITURE)
Transfers between funds
18
Other recognised gains/(losses)
Revaluation of tangible fixed assets
9
Actuarial (losses)/gains on defined benefit
scheme
22
NET MOVEMENT IN FUNDS
RECONCILIATION OF FUNDS
Total Fund brought forward
Total Fund carried forward		 Unrestricted funds
Restricted
Total
Total
Central
operations
Member
Networks
Designated
fund
funds
2019
2018
£
£
£
£
£
£
1,040,172
-
-
-
1,040,172
1,101,087
383,300
316,166
-
-
699,466
901,077
774,420
30,599
-
-
805,019
815,836
130,746
33,663
2,000
-
166,409
148,715
2,328,638
380,428
2,000
-
2,711,066
2,966,715
973,372
-
-
-
973,372
956,740
195
-
85
-
280
4,463
-
-
-
167,500
167,500
169,500
36,159
9,747
-
21,050
66,956
81,932
3,338,364
390,175
2,085
188,550
3,919,174
4,179,350
(276,136)
(194,768)
-
-
(470,904)
(664,742)
(391,560)
(12,393)
-
-
(403,953)
(487,888)
(2,630,595)
(155,326)
(41,210)
(127,382)
(2,954,513)
(3,776,967)
(3,298,291)
(362,487)
(41,210)
(127,382)
(3,829,370)
(4,929,597)
(264,575)
-
-
-
(264,575)
(251,610)
(3,562,866)
(362,487)
(41,210)
(127,382)
(4,093,945)
(5,181,207)
108,930
-
-
83,188
192,118
(209,605)
(115,572)
27,688
(39,125)
(144,356)
17,347
(1,211,462)
(174)
-
-
174
-
-
(9,060,000)
-
-
-
(9,060,000)
-
(630,000)
-
-
-
(630,000)
643,000
(9,805,746)
27,688
(39,125)
(144,530)
(9,672,653)
(568,462)
23,850,916
673,696
1,868,519
604,640
26,997,771
27,566,233
14,045,170
701,384
1,829,394
749,170
17,325,118
26,997,771

44 | CILIP Annual Report & Accounts 2020

3 INVESTMENT INCOME AND BANK INTEREST – CHARITY AND GROUP

Investmen
t income
Bank
interest
Totals		 2020
Unrestricted fund
Central
operatio
n
Member
Network
Designated
fund
Restricted
fund
Total
£
£
£
£
£
18,082
7,350
-
16,960
42,392
968
6,204
-
21
7,193
19,050
13,554
-
16,981
49,585		 2019
Unrestricted fund
Central
operatio
n
Member
Networks
Designated
fund
Restricted
fund
Total
£
£
£
£
£
34,979
8,922
-
21,014
64,915
1,180
825
-
36
2,041
36,159
9,747
-
21,050
66,956

4 TOTAL EXPENDITURE – CHARITY AND GROUP

Charitable activities
Training, Events & Conferences
Publications
Professional services
Total Charitable expenditure
Cost of raising funds
Services to tenants
Total Expenditure		 Direct costs
Support costs
Totals 2020
£
£
£
217,546
26,312
243,858
377,421
66,331
443,752
2,426,061
518,222
2,944,283
3,021,028
610,865
3,631,893
-
239,300
239,300
3,021,028
850,165
3,871,193		 Totals 2019
£
470,904
403,953
2,954,513
3,829,370
264,575
4,093,945

In 2020 Professional services includes net defined benefit pension costs of £249,000 in 2019 it was £7,000. CILIP Pathways cost of £27,754 was included in the professional services.

4B COMPARATIVE 2019 TOTAL EXPENDITURE – CHARITY AND GROUP

Charitable activities
Training, Events & Conferences
Publications
Professional services
Total Charitable expenditure
Cost of raising funds
Services to tenants
Total Expenditure		 Direct costs
Support
costs
Totals
2019
£
£
£

434,626
36,278
470,904
323,047
80,906
403,953
2,314,977
639,536
2,954,513
3,072,650
756,720
3,829,370
-
264.575
264,575
3,072,650
1,021,295
4,093,945		 Totals 2018
£
664,742
487,888
3,776,967
4,929,597
251,610
5,181,207

In 2019 Professional services includes net defined benefit pension costs of £7,000 in 2018 it was £119,000.

45 | CILIP Annual Report & Accounts 2020

5 SUPPORT COSTS CHARITY AND GROUP

Training, Events &
Conferences
Publications
Professional services
Services to tenants
Total Support Costs
2019 Support costs		 Finance
Personnel
Building
ICT
Governance
Total 2020
£
£
£
£
£
£
5,368
7,811
1,254
9,473
2,406
26,312
14,315
15,622
3,752
25,260
7,382
66,331
128,832
89,828
16,994
243,132
39,436
518,222
5,368
-
220,500
9,473
3,959
239,300
153,883
113,261
242,500
287,338
53,183
850,165
179,020
134,670
263,399
342,965
101,241
1,021,295		 Total
2019
£
36,278
80,906
639,536
264,575
1,021,295

5B COMPARATIVE 2019 SUPPORT COSTS CHARITY AND GROUP

Training, Events & Conferences
Publications
Professional services
Services to tenants
Total Support Costs
2018 Support costs		 Finance
Personnel
Building
ICT
Governance
Total 2019
£
£
£
£
£
£
6,245
9,288
1,363
11,306
8,076
36,278
16,653
18,575
4,075
30,151
11,452
80,906
149,877
106,807
18,457
290,200
74,195
639,536
6,245
-
239,504
11,308
7,518
264,575
179,020
134,670
263,399
342,965
101,241
1,021,295
176,699
134,065
250,716
412,949
71,642
1,046,071

Basis for the support cost allocation

Support costs allocated to activities as follows:

Building costs Square footage occupied (includes insurance, lighting, heating, maintenance, cleaning and reception costs) ICT and Human resources costs Per Capita basis Finance costs Estimated time spent Governance cost Proportion of total charitable and cost of raising funds

Wages and salaries
Social Security costs
Pension costs
Redundancy costs		 2020
2019
£
£
1,565,502
1,417,692
148,258
135,401
463,924
445,377
6,563
-
2,184,247
1,998,470

In addition, to the staff costs above, CILIP in 2020 used the services of agency staff whilst awaiting the recruitment to vacant posts making a total cost of £34,126 (2019: £66,814).

46 | CILIP Annual Report & Accounts 2020

The number of employees whose emoluments exceeded £60,000 in the year was:

£60,001 to £70,000
£80,001 to £90,000
Total		 2020
2019
Number
Number
1
1
1
1
2

Employer’s pension contribution for higher earners totalled £6,439 (2019: £5,954).

The key management personnel of CILIP, comprises the trustees, member network committee members, the Chief Executive Officer, Chief Operating Officer and the rest of the senior leadership team. The total employee benefits for the key management personnel were £586,806 (2019: £541,935). No trustee and member network committee members received any remuneration from CILIP.

The average monthly employee head count was 46 (2019:45) and the average number of full time equivalent analysed by function, was:

Business services
Professional services
Support services		 2020
2019
Number
Number
7
8
32
33
2
2
41
43

7 TRUSTEES’ REMUNERATION AND EXPENSES – CHARITY AND GROUP

No trustee has received any remuneration from CILIP during the year (2018: nil). Expenses totalling £30 (2019: £17,358) were reimbursed to trustees for travel, subsistence, amounts directly paid to third parties and other out-of-pocket costs incurred in attending meetings. During the year the charity paid £1,232 (2019: £1,081) in respect of trustees’ indemnity insurance on behalf of the trustees. See Related Parties note 24 for arm’s length payments to trustees.

8 NET EXPENDITURE FOR THE YEAR – CHARITY AND GROUP

Net outgoing expenditure from operations for the year are stated after charging:
Auditors' remuneration:
Fees payable to CILIP’s auditors for the audit of the annual accounts
Fees payable to CILIP’s auditors for the audit of CILIP Benevolent Fund annual accounts
Depreciation of tangible fixed assets:		 2020
£
22,900
780
23,680
70,465		 2019
£
21,225
750
21,975
72,590

47 | CILIP Annual Report & Accounts 2020

9 TANGIBLE FIXED ASSETS – CHARITY AND GROUP

Cost or valuation
At 1 January 2020
Additions in the year
Revaluation
At 31 December 2020
Depreciation
At 1 January 2020
Charge for the year
At 31 December 2020
Net book value
At 1 January 2020
At 31 December 2020		 Freehold land
and buildings
Furniture,
fixtures and
equipment
Computers
and programs
Web
enhancement
Total
£
£
£
£
£
21,200,000
202,822
334,571
302,218
22,039,611
-
-
18,200
-
18,200
676,000
-
-
-
676,000
21,876,000
202,822
352,771
302,218
22,733,811
-
178,184
321,499
200,631
700,314
-
2,301
12,752
55,412
70,465
-
180,485
334,251
256,043
770,779
21,200,000
24,638
13,072
101,587
21,339,297
21,876,000
22,337
18,520
46,175
21,963,032

The freehold land and buildings were revalued March 2020 by Jones Lang LaSalle IP, Inc, Chartered Surveyors, on an open market basis at £21,200,000. The historic cost of freehold land and buildings was £1,625,504. In March 2012, the charge over the freehold and buildings in favour of the CILIP Pension and Assurance Scheme increased to the full value. In 2020, the property was estimated to fair value using publicly available indices of local property yields guide at 4.25% per annum.

9B COMPARATIVE 2019 TANGIBLE FIXED ASSETS – CHARITY AND GROUP

Cost or valuation
At 1 January 2019
Additions in the year
Revaluation
At 31 December 2019
Depreciation
At 1 January 2019
Charge for the year
At 31 December 2019
Net book value
At 1 January 2019
At 31 December 2019		 Freehold land
and buildings
Furniture,
fixtures and
equipment
Computers
and programs
Web
enhancement
Total
£
£
£
£
£
30,260,000
202,822
334,571
302,218
31,099,611
-
-
-
-
-
(9,060,000)
-
-
-
(9,060,000)
21,200,000
202,822
334,571
302,218
22,039,611
-
175,456
307,049
145,219
627,724
-
2,728
14,450
55,412
72,590
-
178,184
321,499
200,631
700,314
30,260,000
27,366
27,522
156,999
30,471,887
21,200,000
24,638
13,072
101,587
21,339,297

48 | CILIP Annual Report & Accounts 2020

10 INVESTMENTS – CHARITY AND GROUP

Quoted Investments
Fixed Asset Long term Investments
Market value at 1 January
Transfer to short term investments
Unrealised (losses)/gains on revaluation of investment portfolio
Market value at 31 December
Historical Cost at 31 December
Fixed Asset Short term Investments
Market value at 1 January
Transfer from long term investments
Disposal proceeds
Realised (losses)/gain on investment disposal
Unrealised (losses)/gains on revaluation of investment portfolio
Market value at 31 December
Historical Cost at 31 December
Long and Short term investment holdings over 5%
2020
2020
M&G Charifund
61,016 units
£864,283
Unlisted subsidiary –
Library Association Publishing Limited
3 units
£99		 2020
£
599,935
-
(101,857)
498,078
233,715
445,389
-
-
-
(79,184)
366,205
189,315		 2019
£
516,747
-
83,188
599,935
233,715
789,459
-
(453,000)
43,942
64,988
445,389
189,315
2019
2019
61,016 units
£1,045,324
3 units
£99

11 INVESTMENT IN SUBSIDIARY COMPANIES

At 31 December 2020 and 31 December 2019 the institute held the following investments:

Name of Company Country of Holding Proportion Nature of
registration And operation business
CILIP Pathways Limited England Company limited by 100% Apprenticeship
Guarantee and not having assessment
a share capital
Library Association Publishing Limited England Ordinary shares 100% Dormant
Clive Bingley Limited England Ordinary shares 100% Dormant

The shares in Clive Bingley Limited are held by Library Association Publishing Limited.

The aggregate of the share capital and reserves are stated below:

he aggregate of the share capital and reserves are stated below:
2020 2019
£ £
Library Association Publishing Limited (137,045) (137,045)
Clive Bingley Limited 702 702

As full provision has been made in these accounts for the deficiency in Library Association Publishing limited, the latter’s accounts have not been consolidated into CILIP’s figures.

49 | CILIP Annual Report & Accounts 2020

Other investments:

Library Services Limited

At 31 December 2020 and at 31 December 2019, CILIP held one share, out of 1,000 shares issued, in Library Services Limited.

CILIP Pathways Limited (registered company no: 12497166)

CILIP Pathways Limited incorporated on 4[th] March 2020 as a trading subsidiary of the parent charity, CILIP. CILIP Pathways Ltd was set up to conduct assessment of apprenticeships. The customers are the employers of apprentices, the apprentices and apprenticeship-training providers.

Details of the trading activities are set out below:

Income
Costs
Profit/(loss)
Taxation
Profit/(loss) after tax
Summarised statement of financial position:
Current assets
Creditors: falling due within one year
Creditors and accrued charges
Provision for liabilities and charges
Total net assets
Capital and reserves
12
STOCK – CHARITY AND GROUP
Finished books
Work in progress books
Total stocks		 Pathways Ltd
2020
£
-
(27,754)
(27,754)
-
(27,754)
2020
£
-
(27,754)
-
(27,754)
(27,754)
2020
£
88,486
2,622
91,108		 Pathways Ltd
2019
£
-
-
-
-
-
2019
£
-
-
-
-
-
2019
£
72,690
71,318
144,008		 Pathways Ltd
2019
£
-
-
-
-
-
2019
£
-
-
-
-
-
2019
£
72,690
71,318
144,008
144,008

13 DEBTORS

Amounts due within one year:
Trade debtors
Prepayment
Other debtors
Total debtors		 Group
2020
Charity
2020
Group
2019
Charity
2019
£
£
£
£
340,248
340,248
428,257
428,257
43,798
43,798
65,670
65,670
201,316
229,071
59,127
59,127
585,362
613,117
553,054
553,054

50 | CILIP Annual Report & Accounts 2020

14 CREDITORS

Amounts falling due within one year:
Trade creditors
Other taxes and social security
Other creditors
CBIL Loan
Deferred income (see below)
Accruals
Total creditors		 Group
2020
Charity
2020
Group
2019
Charity
2019
£
£
£
£
340,743
340,743
233,261
233,261
52,216
52,216
66,732
66,732
397,007
429,254
44,228
44,228
60,000
60,000
-
-
297,709
297,709
356,573
356,573
171,873
171,873
152,707
152,707
1,319,548
1,291,795
853,501
853,501

Other creditors includes £337,000 owed to the Defined benefit pension scheme.

CBIL loan was used to supplement CILIP’s operations between June and September 2020 due to the impact of the pandemic on CILIP’s income. The loan is repayable over forty two months and the interest rate is 1.85%above the bank of England base rate.

2020 2019
£ £
Amount due within one year 60,000 -
Amount due one to two years 60,000
Amount due within two to five years 120,000 -
240,000 -
Analysis of the movement in Deferred income
At 1 January 2020 Amount Amount deferred At 31 December 2020
released
£ £ £ £
Rental income 118,915 (119,913) 126,805 125,807
Conference income 32,080 (31,855) - 225
Training income 13,705 (1,310) - 12,395
Membership subscription 191,873 (191,873) 159,282 159,282
356,573 (344,951) 286,087 297,709

Deferred income comprises advance rental, conference, training vouchers and membership income. Deferred income released and deferred in 2020 analysed above.

15 FINANCIAL INSTRUMENTS

Financial assets measured at fair value (a)
Financial assets measured at amortised cost (b)
Financial liabilities measured at amortised cost (c)
Net financial assets measured at amortised cost		 Group
2020
Charity
2020
Group
2019
Charity
2019
£
£
£
£
864,283
864,283
1,045,324
1,045,324
2,419,265
2,447,019
1,381,927
1,381,927
(1,267,333)
(1,239,579)
(786,769)
(786,769)
2,016,215
2,071,723
1,640,482
1,640,482

(a) Financial assets measured at fair value include investments.

(b) Financial assets measured at amortised cost include: short term deposits, cash in hand, trade debtors and other debtors.

(c) Financial liabilities measured at amortised cost include trade creditors, other creditors, accruals and deferred income.

51 | CILIP Annual Report & Accounts 2020

16 RESTRICTED FUNDS – CHARITY AND GROUP

Mitchell Memorial Fund
Anthony Thompson Scholarship Fund
Arundell Esdaile Memorial Fund
Catherine Hamilton Memorial Prize
K Pierce - legacy
F Robinson - legacy
Colin Mears – legacy
D Chilcot – legacy
Bob McKee-CILIP/IFLA Award
Foyle Foundation
ACE-Every Library data driven project
ACE-Working internationally project
ACE-Independent review of Public
Library Financing
ACE-Recovery Fund
GA Cooks legacy – CILIP Cymru
Total Restricted Funds		 At 1 January
2020
Income
Expenditure
net
gains
Transfer
At 31
December
2020
£
£
£
£
£
£
9,734
2
(783)
-
-
8,953
10,001
365
(176)
(1,582)
-
8608
2,842
95
(51)
(412)
-
2,474
1,779
-
(36)
-
-
1,743
11,646
393
(207)
(1,689)
-
10,143
14,346
484
(255)
(2,080)
-
12,495
413,267
15,637
(16,857)
(67,183)
-
344,864
14,221
5
(285)
-
-
13,941
103
-
(2)
-
-
101
6,157
-
(123)
-
6,034
16,283
8,500
(24,783)
-
66,613
44,000
(48,277)
-
-
62,336
-
18,000
-
-
-
18,000
-
623,000
(313,564)
-
-
309,436
566,992
710,481
(405,399)
(72,946)
-
799,128
182,178
-
-
(31,607)
-
150,571
749,170
710,481
(405,399)
(104,553)
-
949,699

16B COMPARATIVE 2019 RESTRICTED FUNDS – CHARITY AND GROUP

Mitchell Memorial Fund
Anthony Thompson Scholarship Fund
Arundell Esdaile Memorial Fund
Catherine Hamilton Memorial Prize
K Pierce - legacy
F Robinson - legacy
Colin Mears – legacy
D Chilcot – legacy
Bob McKee-CILIP/IFLA Award
Art Council PLSS
Foyle Foundation
ACE-Every Library data driven project
ACE-Working internationally project
GA Cooks legacy – CILIP Cymru
Total Restricted Funds		 At 1 January
2019
Income
Expenditure
net
gains
Transfer
At 31
December
2019
£
£
£
£
£
£
10,277
3
(546)
-
-
9,734
8,451
456
(205)
1,299
-
10,001
2,442
119
(58)
339
-
2,842
2,120
1
(342)
-
-
1,779
10,011
486
(238)
1,387
-
11,646
12,332
598
(293)
1,709
-
14,346
358,357
19,379
(16,961)
52,492
-
413,267
14,503
8
(290)
-
-
14,221
105
-
(2)
-
-
103
(174)
-
-
-
174
-
30,000
-
(23,843)
-
-
6,157
-
76,500
(60,217)
-
-
16,283
-
91,000
(24,387)
-
-
66,613
448,424
188,550
(127,382)
57,226
174
566,992
156,216
-
-
25,962
-
182,178
604,640
188,550
(127,382)
83,188
174
749,170

52 | CILIP Annual Report & Accounts 2020

The Mitchell Memorial Fund provides loans to members to fund full or part-time study to further their careers. CILIP’s Board of Trustees merged Henrik Jones Memorial Prize with the Mitchell Memorial fund in 2017 because postgraduate course no longer offered at the University of Brighton.

Anthony Thompson Scholarship Fund enables a qualified library and information professional from outside the UK to visit and study some aspects of UK library and information work for two to three weeks. The International Library and Information Group (CILIP special interest group) manage the award for CILIP.

Arundell Esdaile Memorial Fund was set up to endow a lecture given periodically on librarianship and bibliography. Only the interest from the fund may be used.

Catherine Hamilton Memorial Prize awarded for the most outstanding Master’s dissertation in the broad area of information retrieval or electronic text management.

K Pierce – legacy assists librarians to carry out engagements which would further the interests of librarianship in attending conferences overseas (not IFLA).

F Robinson – legacy was set up to reward innovation in library administration and particularly aimed at para professionals. Only the interest from the fund may be used.

The Colin Mears legacy provides funds for the Colin Mears Awards for the illustration of children’s books.

The D Chilcot legacy provides funds to be utilised for information facilities at CILIP and education purposes.

Bob McKee-CILIP/IFLA Aspire award helps new professionals develop through networking at UK and international events. IFLA provides an international bursary to support new professionals.

Arts Council England (ACE) grant given for the development of Public Libraries Skills Strategy programme. The programme completed in 2018. CILIP wrote off the over spend of one hundred and seventy four pounds in 2019.

Foyle Foundation; provided the grant to commission a research to look into the level of school library provision in the UK.

ACE, every library data driven project; deployed to develop skills & capability for public librarians to advocate & build local political support and for public engagement to support public library sector development.

ACE, working internationally project; It is a two-year programme to promote international working for public libraries in England.

ACE-Recovery Fund; was given by the government towards CILIP sustainability due to the impact of COVID19 lock down on CILIP’s operations.

The GA Cooks legacy; was donated for use by the Welsh Member Network of CILIP.

17 DESIGNATED FUNDS – CHARITY AND GROUP

The following designated funds have been set aside out of unrestricted funds for specific purposes:

Fixed asset Reserve
Development fund		 At
1 January
2020
Income
Expenditure
Transfer
At
31 December
2020
£
£
£
£
1,764,800
-
(70,465)
18,200
1,712,535
64,594
140
-
35,004
99,738
1,829,394
140
(70,465)
53,204
1,812,273

53 | CILIP Annual Report & Accounts 2020

17B COMPARATIVE 2019 DESIGNATED FUNDS – CHARITY AND GROUP

Fixed asset Reserve
Development fund		 At
1 January
2019
Income
Expenditure
Transfer
At
31 December
2019
£
£
£
£
1,837,391
-
(72,590)
-
1,764,800
31,128
2,085
31,380
-
64,594
1,868,519
2,085
(41,210)
-
1,829,394

The fixed asset reserve is established to represent the net book value of fixed assets, which is not attributable to other reserves, it excludes the revaluation reserve on the building.

The development reserve has been set aside for a number of one-off projects to enhance the effectiveness of CILIP services for its members.

18 TRANSFER BETWEEN FUNDS

Fixed Asset
transfer
Development
fund transfer
Cost
Reimbursement
Totals		 2020
Unrestricted fund
Central
operations
Member
Networks
Designated
fund
Restricted
fund
£
£
£
(18,200)
-
18,200
-
(35,004)
-
35,004
-
-
-
-
-
(53,204)
-
53,204
-		 2019
Unrestricted fund
Central
operations
Member
Networks
Designated
fund
Restricted
fund
£
£
£
-
-
-
-
-
-
-
-
(174)
-
-
174
(174)
-
-
174

In 2020, fixed asset acquisitions transferred from central operations to designated funds. In 2019, no fixed asset acquisitions. In 2020, funds transferred from central operations to designated fund to cover the costs of major works on the central office building. In 2019, projects discontinued. In 2019, restricted fund grant over spent by a small amount written off.

19 UNRESTRICTED FUNDS

Group Unrestricted funds
Revaluation Reserve
Pension Reserve (note 20)
Central operations fund
CILIP Pathways ltd funds
Member Networks		 At
1 January
2020
Income
Expenditure
Gains and
(Losses)
Transfers
At
31 December
2020
£
£
£
£
£
£
19,574,496
-
-
676,000
-
20,250,496
(5,770,000)
-
(249,000)
(1,032,000)
-
(7,051,000)
240,674
3,077,116
(2,993,034)
(76,488)
(53,204)
195,066
-
-
(27,754)
-
-
(27,754)
701,384
158,582
(181,051)
-
-
678,915
14,746,554
3,235,698
(3,450,837)
(432,488)
(53,204)
14,045,723

54 | CILIP Annual Report & Accounts 2020

Charity Unrestricted funds
Revaluation Reserve
Pension Reserve (note 20)
Central operations fund
Member Networks		 At
1 January
2020
Income
Expenditure
Gains and
(Losses)
Transfers
At
31 December
2020
£
£
£
£
£
£
19,574,496
-
-
676,000
-
20,250,,496
(5,770,000)
-
(249,000)
(1,032,000)
-
(7,051,000)
240,674
3,077,116
(2,965,278)
(76,488)
(53,204)
222,820
701,384
158,582
(181,051)
-
-
678,915
14,746,554
3,235,698
(3,395,329)
(432,488)
(53,204)
14,101,231

19B COMPARATIVE 2019 UNRESTRICTED FUNDS – CHARITY AND GROUP

Revaluation Reserve
Pension Reserve (note 20)
Other funds – Head office
Member Networks		 At
1 January
2019
Income
Expenditure
Gains and
(Losses)
Transfers
At
31 December
2019
£
£
£
£
£
£
28,634,496
-
-
(9,060,000)
-
19,574,496
(5,133,000)
-
(7,000)
(630,000)
-
(5,770,000)
349,421
3,338,364
(3,555,867)
108,930
(174)
240,674
673,695
390,175
(362,486)
-
-
701,384
24,524,612
3,728,539
(3,925,353)
(9,581,070)
(174)
14,746,554

20 STATEMENT OF FUNDS

tement of funds
Restricted fund
Designated fund
Unrestricted fund
atement of funds
Restricted fund
Designated fund
Unrestricted fund		 At
1 January
2019
Income
Expenditure
Gains and
(Losses)
Transfers
At
31 December
2019
£
£
£
£
£
£
749,170
710,481
(405,399)
(104,553)
-
949,699
1,829,394
140
(70,465)
-
53,204
1,812,273
14,746,554
3,235,698
(3,450,837)
(432,488)
(53,204)
14,045,723
17,325,118
3,946,319
(3,926,701)
(537,041)
-
16,807,695
At
1 January
2019
Income
Expenditure
Gains and
(Losses)
Transfers
At
31 December
2019
£
£
£
£
£
£
749,170
710,481
(405,399)
(104,553)
-
949,699
1,829,394
140
(70,465)
-
53,204
1,812,273
14,746,554
3,235,698
(3,395,329)
(432,488)
(53,204)
14,101,231
17,325,118
3,946,319
(3,871,193)
(537,041)
-
16,863,203

Group statement of funds

Charity statement of funds

55 | CILIP Annual Report & Accounts 2020

20B COMPARATIVE 2019 STATEMENT OF FUNDS – CHARITY AND GROUP

Restricted fund
Designated fund
Unrestricted fund		 At
1 January
2019
Income
Expenditure
Gains and
(Losses)
Transfers
At
31 December
2019
£
£
£
£
£
£
604,640
188,550
(127,382)
83,188
174
749,170
1,868,519
2,085
(41,210)
-
-
1,829,394
24,524,612
3,728,539
(3,925,353)
(9,581,070)
(174)
14,746,554
26,997,771
3,919,174
(4,093,945)
(9,497,882)
-
17,325,118

21 ALLOCATION OF NET ASSETS TO FUNDS

Group allocation of net assets to Funds
Tangible assets
Long term investments
Fixed assets
Current assets
Current liabilities
Long-term liabilities
Net Assets
Charity allocation of net assets to Funds
Tangible assets
Long term investments
Fixed assets
Current assets
Current liabilities
Long-term liabilities
Net Assets		 Unrestricted
Restricted
Total
Central
operations
Member
Networks
Designated
Funds
Pathways
Limited
Funds
2020
£
£
£
£
£
£
20,250,497
-
1,712,535
-
-
21,963,032
5
-
-
-
498,078
498,083
20,250,502
-
1,712,535
-
498,078
22,461,115
1,536,431
832,586
99,738
-
451,621
2,920,376
(1,138,124)
(153,671)
-
(27,754)
-
(1,319,549)
(7,254,247)
-
-
-
-
(7,254,247)
13,394,563
678,914
1,812,273
(27,754)
949,699
16,807,695
£
£
£
£
£
20,250,497
-
1,712,535
-
21,963,032
5
-
-
498,078
498,083
20,250,502
-
1,712,535
498,078
22,461,115
1,564,185
832,586
99,738
451,621
2,948,130
(1,138,124)
(153,671)
-
-
(1,291,795)
(7,254,247)
-
-
-
(7,254,247)
13,422,318
678,915
1,812,273
949,699
16,863,203

21B COMPARATIVE 2019 ALLOCATION OF NET ASSETS TO FUNDS – CHARITY AND GROUP

Tangible assets
Long term investments
Fixed assets
Current assets
Current liabilities
Long-term liabilities
Net Assets		 Unrestricted
Restricted
Total
Central
operations
Member
Networks
Designated
Funds
Funds
2019
£
£
£
£
£
19,574,497
-
1,764,800
-
21,339,297
5
-
-
599,935
599,940
19,574,502
-
1,764,800
599,935
21,939,237
1,067,659
755,506
64,594
149,235
2,036,994
(799,379)
(54,122)
-
-
(853,501)
(5,797,612)
-
-
-
(5,797,612)
14,045,170
701,384
1,829,394
749,170
17,325,118

56 | CILIP Annual Report & Accounts 2020

22 PENSION COMMITMENTS

CILIP operates two pension schemes;

22.1 Defined Contribution Pension Scheme

CILIP’s existing employees were entitled to join the Scottish Widows group stakeholder salary sacrifice pension scheme, which is funded, by 5% of salary contribution from employee and 10% of salary contribution by the employer. New and existing employees who are not in the scheme may join at any time. Staff may opt-out of the scheme at any time.

The amount paid into the scheme by CILIP in 2020 was £130,717 (2019: £190,729). The amount within trade creditors in note 14 above was £16,656 (2019: £15,131).

22.2 A Defined Benefit Pension Scheme in the UK.

This is a separate trustee administered fund, holding the pension scheme assets to meet long term pension liabilities. The results of the most recent triennial actuarial valuation as at 31 December 2016 showed a deficit of £8,079,000. 2016 results represent 72% of the Technical Provisions and 80% of PPF (section 179). The Institute and the Pension Trustees agreed a revised Recovery Plan with contributions of £106,416 per annum in respect of expenses and £207,000 per annum in respect of the funding shortfall with contributions increasing at 3.5% per annum beginning in January 2018 and running to 31 March 2031.

Contributions in 2020 were in accordance with the Recovery Plan agreed after the triennial actuarial valuation as at 31 December 2016 and were £205,000 per annum in respect of expenses and £132,000 per annum in respect of the funding shortfall. The amount within other creditors in note 14 above was £337,000 (2019: £81,507).

Trustees are aware that the volatile investment market is expected to have an impact on the pension scheme in terms of asset values and the measure of liabilities. No information has been received to date as to the quantum of the impact of COVID-19 on the pension scheme, and no requests for any change to deficit funding have been received.

A full actuarial valuation was carried out at 31 December 2016 and updated to 31 December 2020 by a qualified actuary, independent of the scheme’s sponsoring employer. The major assumptions used by the actuary shown below:

2020 2019 2018
Discount rate 1.35% 2.15% 2.9%
Inflation (RPI) 2.90% 2.95% 3.2%
Inflation (CPI) 2.3% 2.05% 2.2%
Allowance for pension in payment increases of RPI 2.90% 2.95% 3.2%
Allowance for pension in payment increases of RPI or 2.5% p.a. if less 2.10% 2.15% 2.1%
Allowance for pension in payment increases of RPI or 3% p.a. if less 2.05% 1.90% 2.0%
Allowance for commutation of pension for cash at retirement 20% 20% 20%

Present values of defined benefit obligation, fair value of assets and defined benefit asset (liability):

2020 2019 2018
£’000 £’000 £’000
Fair value of plan assets 21,702 20,801 19,577
Present value of defined benefit obligations (28,753) (26,571) (24,710)
Surplus (deficit) in plan (7,051) (5,770) (5,133)
Defined benefit asset (liability) to be recognised (7,051) (5,770) (5,133)

Reconciliation of opening and closing balances of the defined benefit obligation:

Defined benefit obligation at start of period
Scheme Administration Expenses
Interest expense
Actuarial losses/(gains)
GMP equalisation impact/Past service costs
Benefits paid and expenses
Defined benefit obligation at end of period		 2019
2019
£’000
£’000
26,571
24,710
205
183
357
521
2,500
2030
-
-
(880)
(873)
28,753
26,571

57 | CILIP Annual Report & Accounts 2020

Reconciliation of opening and closing balances of the fair value of plan assets:

Fair value of plan assets at start of period
Interest income
Actuarial (losses) gains
Contributions by CILIP
Scheme administration expenses
Benefits paid
Fair value of plan assets at end of period		 2020
2019
£’000
£’000
20,801
19,577
436
557
1,468
1400
82
323
(205)
(183)
(880)
(873)
21,702
20,801

The actual return on the plan assets over the period ended 31 December 2020 was £1,904,000 in (2019: £1,957,000).

Defined benefit costs recognised in statement of financial activities:

Scheme administration expenses
GMP equalisation impact/past service costs
Net interest on the defined benefit liability
Fair value of plan assets at end of period		 2020
2019
£’000
£’000
205
183
-
-
126
147
331
330

Defined benefit costs recognised in other comprehensive income:

efined benefit costs recognised in other comprehensive income:
Gain/(Loss) Return on plan assets (excluding amounts included in net interest cost)
Gain/(loss) Effects of changes in the demographic and financial assumptions underlying the
present value of the plan liabilities
Total gain/(loss) recognised in other comprehensive income		 2020
2019
£’000
£’000
1,468
1,400
(2,500)
(2,030)
(1,032)
(630)

Assets:

Cash
Immediate annuity policies
Managed growth
Liability driven investments
Total assets		 2020
2019
2018
£’000
£’000
£’000
77
229
157
141
146
156
12,676
12,460
11,374
8,808
7,967
7,890
21,702
20,801
19,577

None of the fair values of the assets shown above includes any direct investments in CILIP’s own financial instruments or any property occupied by, or other assets used by CILIP.

The best estimate of contributions to be paid by CILIP to the scheme for the period commencing 1 January 2021 £303,000 (1 January 2020: £302,000).

58 | CILIP Annual Report & Accounts 2020

23 CORPORATION TAXATION

CILIP is a registered charity and as such is exempt from taxation of its income and gains to the extent that they fall within the exemptions available to charities under the Taxes Act and are applied to its charitable objectives.

24 RELATED PARTIES

CILIP Benevolent Fund Registered Charity No. 237352

This trust exists for the relief of poverty of CILIP members, former members and their dependants (including former Library Association and Institute of Information Scientists members). CILIP Board appoints all trustees. CILIP provided £1,000 towards their running costs on a yearly basis. As at 31[st] of December 2019 the amount of donation received on-behalf of CILIP Benevolent Fund and not yet transferred was £1,575 (2019: £835).

The John Campbell Trust Registered Charity No. 802262

This trust exists to advance the education of the public in Information Science in particular by the awarding of grants, scholarships, research fellowships and prizes. CILIP Board appoints all trustees. There were no outstanding balances for 2020 and 2019.

Library Services Trust Registered Charity No. 287404

This trust exists to promote education in librarianship, bibliography and related subjects. CILIP Board appoints two of the six trustees. There were no outstanding balances for 2020 and 2019.

CILIP Board, Presidential Team and Committee Members with arm’s length business relationship with CILIP

Ayub Khan received in 2020 £23 (2019: £35) as Royalty as an author for a book published for CILIP Facet publishing. Jo Webb received in 2020 £41 (2019: £36) as Royalty as an author for a book published for CILIP Facet publishing. Caroline Carruthers received in 2020 £nil (2019: £1,591) as Royalty as an author for a book published for CILIP Facet publishing.

There were no other related parties in the year or in the prior year.

25 OPERATING LEASE

At the end of the year, CILIP was committed to receiving the following rental incomes in respect of tenant leases:

Leases which expire:
- within one year
- within two to five years
- over five years		 2020
2020
Land
& buildings
Plant
& Machinery
£
£
740,799
-
1,828,533
-
-
-
2,569,332
-		 2019
2019
Land &
buildings
Plant
& Machinery
£
£
723,252
-
1,749,731
-
-
-
2,472,983
-

59 | CILIP Annual Report & Accounts 2020

CILIP’S Operational management directory

The information shown below is that pertaining between 1 January 2020 and 9[th] September 2021, the date of signing the accounts.

CILIP Board members are trustees for the purpose of charity legislation

Chair

John Trevor-Allen BA(Hons) MSc Econ MCLIP

Honorary Treasurer

Alison Wheeler MBE PG Cert Mgnet MCLIP

CILIP Board members

Karen McFarlane CMG BA(Hons) MLib FCLIP (Trustee until 1 January 2021) Dawn Finch ACLIP (Trustee until 1 January 2021) John Trevor-Allen BA(Hons) MSc Econ MCLIP (from 1 January 2018) Sue Lacey Bryant BA(Hons) DipLib MSc MCLIP MIHM (from 1 February 2019) Jo Webb MA MLib MBA FCLIP FHEA FRSA (from 1 January 2018) Alison Wheeler MBE MCLIP (from 1 January 2017, re-elected 1 January 2021) Steve Williams BA MSc FBCS (from 1 January 2019) Shirley Yearwood-Jackman BA(Hons) MSc (from 1 January 2019) Nicola Davies BA(Hons) MSc Econ (from 1 June 2019) Helen Workman (from 1 January 2020) Binni Brynolf (from 1 January 2020) Simon Burton (from 1 January 2021) Stephen Phillips (from 1 January 2021) Alison Brettle (from 1 January 2021) Sue Ball (from 1 January 2021) Liz Jolly (from 30 April 2021)

Presidential Team

President

Judy Broady-Preston BA(Hons) MA PhD MCLIP FHEA (from 1 January 2020) Paul Corney (from 1 January 2021)

Vice-President

Paul Corney (from 1 January 2020) Kate Robinson JP, BA, MA, FCLIP, FRSA (from 1 January 2021)

60 | CILIP Annual Report & Accounts 2020

CILIP Senior Leadership Team

Chief Executive Officer

Nick Poole BA MA

Chief Operating Officer

Editor, Information Professional Head of CILIP in Scotland Head of Digital and IT Head of Facilities Head of Finance Head of Sales and Marketing Head of Publishing Head of Sector Development Head of Programmes

Adam Pokun BA (Hons) MSc (from December 2019) Rob Green (from April 2019) Sean McNamara (from April 2019) Lisa Goldsmith MBA Bsc (from April 2019) Fredy Castrillon (from April 2019) Abosede Dada FCCA (from April 2019) Gemma Wood MA (from August 2019) Pete Baker (from July 2019) Jo Cornish FCLIP (from July 2019) Natalie Jones (from December 2019)

Professional Advisers

Bankers:

Bank of Scotland Teviot House, 41 South Gyle Crescent Edinburgh EH12 9XD

Unity Trust Bank PLC Nine Brindley place Birmingham B1 2HB CCLA Senator House 85 Queen Victoria Street London EC4V 4ET

Auditors: Haysmacintyre LLP 10 Queen Street Place London EC4R 1AG Solicitors: Bates, Wells 10 Queen Street Place London EC4R 1BE Pension providers: Defined Benefit Scheme Isio (trading as Iseran Bidco Ltd) 1 St Peter’s Square Manchester M2 3AE Group Stakeholder Pension Scottish Widows Scheme 69 Morrison Street Edinburgh EH3 8YF

61 | CILIP Annual Report & Accounts 2020