| Directors' and Trustees' Annual Report (continued) Forthe year ended 31July 2021 |
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| Structure, Governance &Management |
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| Lancaster Training Services is a charitable company limited by guarantee and has no authorised or issued share capital. Fouteen |
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| members, ss indicated in a list held at the registered oflice, agme to oontribute 2200 each to the assets ofthe charity in the event |
ofa |
| winding up. The company is governed by its Memorandum and Artides ofAssociation dated 7 September 1979as amended by a special resolution dated 13November 1996. Management ofthe Charity's affairs is vested in its executive commiitee. |
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| The directors and trustees are subject to re-appointment annually by the members in the Annual General Meeting. |
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| ' ' |
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| T tee induction an r |
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| Trustees are given such advice and information by the Chief Executive Officer as is necessary to sfiow them to carry out their function. |
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| ~Or anisation | |
| The operafion snd administrafion of the charity is controlled by Mr M Horsbin, training manager and company secretary. Strategic |
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| issues and important business matters induding setting the pay and remuneration of the charity's key management personnel |
rest |
| with the directors and trustees. They are able to use the advice ofthe executive committee, to which each of the charity's members |
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| csn send one representafive . |
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| The chair ofexecutive meetings is the charity's chairman, Mr RW Litfie. |
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| During the year the charity employed one training manager, eleven driving instructors, seven - house tutors and five administrative |
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| staff. | |
| Bjfijkgtfig&ggment | |
| The trustees have assessed the major risks to which the charity is exposed, in particular those related to the opersfions and finances of the chariity, and are satisfied that systems sre in place to mitigate our exposure to the major risks. The charitable company is |
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| striving to build up its liquid assets in its current location and believes that it is taking the necessary steps to achieve this end. |
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| Objectives & Activities |
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| The charity's principal object as set out in the Memorandum ofAssociation is to provide training for persons employed or intending |
to |
| be employed in Road Transporl activities or such other persons employed or intending to be employed in such other activiTies as msy benetit from the training services provided by the Company. |
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| The prinupal activity ofthe charity during the year was the continuing provision of transport related training services to its members |
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| and other outside interests. The charity meets the standards required by the Education & Skills Funding Agency I Ofsted, |
the |
| government body responsible for maintaining the standards ofgovernment funded training providers, thus maintaining its status as |
an |
| approved training centre in Norih Lancashire and South Cumbria. |
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| licies ado t further the ob'acts ofthe chari |
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| - Maintaining strong links with its member companies in order to conknue the original principal acfivity. |
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| - Confinuing to be the approved training centre forthe Education &Skills Funding Agency. |
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| - Achieving high rates ofqualificarion to secure a oommensurate level offunding from the Educafion &Skills Funding Agency. |
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| - Raising the profile ofthe charity to outside businesses through the wide range ofroad transport training services provided. |
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| - Maintaining the standards required by the Education & Skills Funding Agency/ Ofsted. |
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| - To maintain the standards required for 'Investors in Peoplek |
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| - To maintain links with National bodies which support the charity in the pursuit of its objectives e.g.The National Logistics Academy, The Road Transport Association. |
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| Achievements and Performance |
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| The charity has continued to offer s wide range oftraining services during the year. The 'In-House Training' depariment continue |
to |
| achieve a success rate higher than the national average. Over 1,000 individuals were trained during the year. Of the 336 Driving |
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| Vehide Standard Agency (DVSA) tests conducted, a fimt time pass rate of69%and overall pass rate of69%was achieved against |
a |
| combined national average of 58%.The company has continued successfully to establish itself at Heysham where it believes the |
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| facilities are excellent. |
| A summary of |
the results is as fofiaws: | ||
|---|---|---|---|
| 2021 | 2020 | ||
| 5 | 2 | ||
| Total incoming | revenue resouries | 924,286 | 958,929 |
| Totalresources | expended | (982,277) | (929,065) |
| Profit on disposal offixed assets | 1,067 | ||
| Net inooming resources for the year | (57,991) | 30,931 |
| Unres | kicted |
rese | rves at 31 | July 2021 are comprised as follows: | |
|---|---|---|---|---|---|
| 2 | |||||
| Fixed | assets | net | ofsecured | loan | 1,202,966 |
| Free | reserves | 618,258 | |||
| 1,821,224 |
| Unrestricted | Endowment | |||||||
|---|---|---|---|---|---|---|---|---|
| Funds | Funds | Total | Total | |||||
| Note | 2021 | 2021 | 2021 | 2020 | ||||
| 5 | 5 | 5 | ||||||
| INCOIEE AND ENDOWMENTS | FROIE | |||||||
| Charitable activities |
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| - Training allowances - Course fees |
364,016 480,721 |
364,016 480,721 |
367,098 489,760 |
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| Other trading activities | ||||||||
| - Membership fees |
271 | 271 | 271 | |||||
| - Miscellaneous income |
Ta,114 | 79,114 | 99,934 | |||||
| Investments | ||||||||
| - Bank interest receivable | 166 | 185 | 1,865 | |||||
| Other | ||||||||
| - Profit on disposal offixed assets | 1,067 | |||||||
| Total income and endowments | 924,286 | 924,286 | 959,996 | |||||
| EXPENDITURE ON | ||||||||
| Charaable activities | ||||||||
| - Training costs | a73,356 | $73,868 | 922,332 | |||||
| Other | 8,421 | 8,421 | 6,733 | |||||
| Total expendltum | 682,277 | 982,277 | 929,065 | |||||
| Net income | (57,991) | (67,881) | 30,931 | |||||
| Total fund bahrnces 1Augtist 2020 |
brought | forward at | 1,879,216 | 42,4181,921,634 | 1,690,703 | |||
| Total fund balances | carried | forward at | ||||||
| 31July 2021 | 1,821,224 | 42,419 | 1,863,643 | 1,921,634 |
| Note | 2021 | 2020 | ||||
|---|---|---|---|---|---|---|
| 5 | 2 | |||||
| Fixed Assets | ||||||
| Tangible assets | 1,221,755 | 1,195,521 | ||||
| Current Assets | ||||||
| Stocks | 4,900 | 4,500 | ||||
| ()enters | 173,928 | 108,473 | ||||
| Cash at bank and in | hand | 643+78 | 773,502 | |||
| 822,306 | 886,475 | |||||
| Credltorsi amounts |
fanlng | due within one year | 8 | (175,981) | (141,192) | |
| Net current assets | 546,325 | 745,283 | ||||
| Total assets less curmnt | liabgitles | 1,868,080 | 1,940,804 | |||
| Creditors: Amounts | falling | due after more than one year | 10 | (4,437) | (19,170) | |
| Net assets | 1,86$,643 | 1,921,634 | ||||
| Funded by:- |
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| Unrestrictedfunds | 16 | 1,821,224 | 1,879,215 | |||
| Endowment funds |
13 | 42,419 | 42,419 | |||
| Restricted funds |
14 | |||||
| Total funds | 1,96$,64$ | 1,921,634 |
| 202'I | 2,020 | ||
|---|---|---|---|
| 6 | |||
| Cash flows from operating activities: |
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| Net income /(expenditure) for the year Adjustments for: |
( 57,991) | 30,931 | |
| Depmciation oftangible assets |
42,764 | 50,534 | |
| (Proiit)/Loss on disposal oftangible assets Interest paid |
412 | ( 1,067) 392 |
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| Interest received Decrease /(increass) in stock Decrease / (increase) in debtors Increase /(decrease) in creditors |
( 195) ( 400) ( 56,455) 34,789 |
( 1,866) ( 600) 55,082 ( 35,021) |
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| Net cash provided by operating activities |
( 46,066) | 98,385 | |
| Cash flows horn Investing activitiesr |
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| Interest received | 165 | 1,866 | |
| Purchase oftangible fixed assets Proceeds on sale oftangible fixed assets |
I 68,879) | ( 3,162) 1,067 |
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| Net cash (used In) / provided by investing |
activities | ( 68,714) | ( 229) |
| Cash flows from financing activates |
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| Loan repayments Interest paid |
( 14,842) ( 412) |
( 14,540) ( 392) |
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| Net cash (used in) / provided by financing |
activities | ( 15,254) | ( 14,932) |
| Net Increase in cash and cash equivalents |
( 130,024) | 83,224 | |
| Cash and cash equivalents at the beginning |
ofthe year | 773,502 | 690,278 |
| Cash and cash equivalents atthe end ofthe year |
643,478 | 773,502 |
| Total resources expended | ||||
|---|---|---|---|---|
| Support | Total | Total | ||
| Training 6 |
COStS 8 |
2021 2 |
2020f | |
| Costs directly agocated to activities | ||||
| Vehicle fuel and oil | 27,152 | 27,152 | 30,585 | |
| Vehicle repairs | 14,543 | 14,643 | 10,018 | |
| Vehide licence, insurance, and hire Salaries |
17,643 638,057 |
17.643 638,057 |
16,193 603,666 |
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| Employer pension contributions |
40,936 | 40,936 | 42,506 | |
| Insurance | 12,856 | 12,856 | 12,276 | |
| Office expenses Telephone |
4,943 3,136 |
4,943 3,136 |
5,590 2,875 |
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| Computer expenses | 4,987 | 4,987 | 3,784 | |
| Advertising | 3,902 | 3,902 | 4,994 | |
| Light and heat Bad debts |
(1,172) 893 |
(1,1'r2) 893 |
(2,412) 'f19 |
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| Rates and water | 8,923 | 8,923 | 8,764 | |
| Teaching and course expenses | 96,763 | 96,763 | 84,289 | |
| ADR course fees | 6,980 | 8,980 | 7,820 | |
| Subscriptions, and consultancy accreditations |
16,104 | 18,104 | 12,932 | |
| Staff training course |
6,258 | 6,268 | 3,083 | |
| Repairs and maintenance | 6,957 | 6.987 | 5,565 | |
| Bank charges | 2,546 | 2.646 | 3,844 | |
| Bank interest | 412 | 412 | 392 | |
| Audit and accountancy Legal and professional fees |
8,421 | 8,421 | 6,733 | |
| Sundry expenses Laundry and cleaning Depreciation -Freehold buildings - Motor vehides -Plant and equipment -Oftice equipment |
9,485 8,798 10,222 19,380 8,029 5,123 |
9,485 8,768 10,222 19,380 8,029 6,123 |
7,223 7,692 10,222 33,205 2,342 4,765 |
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| 973,856 | 8,421 | 982,277 | 929,065 | |
| Net incoming resoumes for the year | 2021 | 2020 | ||
| 6 | 5 | |||
| The net incoming resources for the year is stated after charging i(crediting) the following: |
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| Depreciation oftangible fixed assets |
42,764 | 50,534 | ||
| Profit on disposal offixed assets Auditor's remuneration -audit senrices |
4,790 | (1,067) 4,700 |
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| Auditor's remuneration -non audit services |
1,600 | 2,033 | ||
| Auditor's mmuneration - non audit senrices compnises: |
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| VAT services | 1,600 | 2,033 |
| 4 | Employees | 2021 | 2020 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 5 | F | |||||||||||||||||
| The aggregate | payroll | costs | during | the year | amounted | to:- | ||||||||||||
| Wages and salaries | 684,$33 | 553,482 | ||||||||||||||||
| Social security | costs | 53,124 | 50,184 | |||||||||||||||
| Pension costs | 40,936 | 42,506 | ||||||||||||||||
| 678,$93 | 646,172 | |||||||||||||||||
| The average monthly |
number | of | full | time and part time employees | during | the year | wash | |||||||||||
| 2021 | 2020 | |||||||||||||||||
| Number | Number | |||||||||||||||||
| Training: | ||||||||||||||||||
| Management | snd administration | 6 | 6 | |||||||||||||||
| Operations staff |
18 | 18 | ||||||||||||||||
| 24 | 24 | |||||||||||||||||
| The average monthly |
number | of | full | time equivalent | employees during the year was:- |
19 | ||||||||||||
| One employee | earned | between 260,000-270,000 | in | the | year (2020:1). | |||||||||||||
| 5 | Trustees snd key management | pemonnel | remuneration | |||||||||||||||
| No trustee received any remuneration | from the charity | during | either | ofthe two financial | years. | |||||||||||||
| Travel expenses reimbursed | to2trustees amounted | to2 | 702 in the | year. | ||||||||||||||
| During the year | the charity paid 263,829(2020:265,138) | in | remuneration | to ksy management | personnel. | |||||||||||||
| 6 | Tangible fixed | assets | ||||||||||||||||
| Freehold | ||||||||||||||||||
| Lend and | Plant and | Office | Motor | |||||||||||||||
| Buildings | Equipment | Equipment | Vehicles | Total | ||||||||||||||
| 9 | 2 | 2 | 2 | 2 | ||||||||||||||
| Cost | ||||||||||||||||||
| At 31 July 2020 | 1,282,127 | 254,666 | 111,146 | 317,406 | 1,965,345 | |||||||||||||
| Additions | 60,035 | 2,844 | s,ooo | ss,sra | ||||||||||||||
| Disposals | ||||||||||||||||||
| At 31 July 2021 | 1,282,127 | 314,701 | 113,990 | 823406 | 2,034,224 | |||||||||||||
| Depmclation | ||||||||||||||||||
| At 31 July 2020 | 132,100 | 264,038 | 96,001 | 287,636 | rsa,524 | |||||||||||||
| Adjustment to blfwd charge |
(10$) | (109) | ||||||||||||||||
| Charge for the year | 10,222 | 8,029 | 6,123 | 1a,3sg | 42,764 | |||||||||||||
| Dispossls | ||||||||||||||||||
| At 31July 2021 | 142,322 | 261,958 | 101,124 | 307,065 | 812,469 | |||||||||||||
| Net book value | ||||||||||||||||||
| At 31 July 2021 | 1,139,805 | 52,743 | 12,866 | 15,341 | 1,221,755 | |||||||||||||
| At 31 July 2020 | 1,150,027 | 628 | 15,145 | 29,721 | 1,195,521 |
| 7 | Stk | |||
|---|---|---|---|---|
| ocs | 2021 | 2020 | ||
| E | ||||
| Stock offuel Sundry stock |
4,000 soo |
4,000 500 |
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| 4,800 | 4,500 | |||
| 8 | Debtors | 2021 | 2020 | |
| E | K | |||
| Trade debtors | 105,831 | 28,700 | ||
| Prepayments | 24,247 | 21,596 | ||
| Accrued income | 43,860 | 58,177 | ||
| 173,928 | 108,473 | |||
| 8 | Creditors: amounts | falling due within one year | 2021 | 2020 |
| E | K | |||
| Bank loan Trade creditors |
14,352 18.172 |
14,475 13,865 |
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| Taxation and social security | 36,924 | 19,274 | ||
| Accruals and deferred income | 106,633 | 93,575 | ||
| 'l75,981 | 141,192 | |||
| 10 | Creditors: amounts | faglng due after more than one year | 2021 | 2020 |
| E | K | |||
| Bank loan | 4,437 | 19,170 | ||
| Due between 2 and 5years Due in more than 5years |
4,437 | 19,170 | ||
| 4,437 | 19,170 |
| Analysis | ofnet assets between funds | ||||
|---|---|---|---|---|---|
| unrestricted | Restricted | Endowment | Total | ||
| tend | rllnde | ronde | tunde | ||
| E | E | E | E | ||
| Tangible | fixed assets | 1,17$,336 | 42,419 | 1,221,755 | |
| Currant | assets | 822,306 | 822,306 | ||
| Current | liabilities | lI(75,981) | (175,$81) | ||
| Long term liabilities | (4,437) | (4,437) | |||
| 1,821,224 | 42,419 | 1,853,643 |
| Fixed | asset | Total | Total |
|---|---|---|---|
| fund | 2021 | 2020 | |
| E | 8 |
| At 1 August | At 1 August | |
|---|---|---|
| Annual | release offixed asset restricted | fund |
| At 31 | July |
| Unrestricted funds |
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|---|---|---|---|
| Total | Total | ||
| General | 2021 | 2020 | |
| E | E | E | |
| At 1 August | 1,879,215 | 1,879,215 | 1,648,284 |
| Surplus forthe year | (57,991) | (57,991) | 30,931 |
| At 31 July | 1,821,224 | 1,821,224 | 1,879,215 |
| 2021 f | 2020 | 2 | ||
|---|---|---|---|---|
| Ofgce | equipment | |||
| Within | 12months | 286 | 260 | |
| 286 | 260 |
| alysis | ofchanges in net debt |
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|---|---|---|---|---|
| 1 August | Cash flows | 31July | ||
| 2020 | 2021 | |||
| 8 | ||||
| Cash Loans Loans |
at bank and in hend falling due within one year falling due sacr more than one year |
773,502 (f4+78) R8,170) |
(130,024) 126 14,733 |
643,478 (14,352) (4,437) |
| 739,864 | (115,165) | 624,689 |
| 2021 | 2020 | ||
|---|---|---|---|
| 5 | 2 | ||
| Incoming Resources: | |||
| Apprenticeship funding |
315,322 | 282,602 | |
| Other IHT training Course fees |
48,69S 460,736 |
84,496 475,421 |
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| DGSA consultancy | 19,986 | 14,339 | |
| Bank deposit interest Membemhip fees |
165 271 |
1,866 271 |
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| Rental income Other income Pmfit on disposal offixed assets Furlough scheme |
9.364 5,057 64,60S |
10,404 4,414 1,067 85,116 |
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| 824.286 | 959,900 | ||
| Resources Expended: | |||
| Vehicle fuel and oil Vehicle repairs Vehicle licence, insurance, and Salaries |
hire | 27,152 14,543 17,643 638,057 |
30,585 10,018 16,193 603,666 |
| Employer pension contributions |
40,938 | 42,506 | |
| Insurance | 12,856 | 12,276 | |
| Office expenses Telephone |
4,943 3,136 |
5,590 2,875 |
|
| Computer expenses Adverksing |
4,987 3.002 |
3,784 | |
| Light and heat Rates and water Teaching and coume expenses ADR course fees Subscriptions, and consultancy Staff training course Repairs and maintenance Bad debts |
accreditations | I1,172) 8,923 96,763 6,980 16,104 6,258 6,957 8$3 |
(2,412) 8,764 84,28$ 7,820 12,932 3,083 5,565 119 |
| Bank charges Bank interest |
2,546 412 |
3,844 392 |
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| Legal and professional fees | |||
| Audit and accountancy Sundryexpenses Laundry and deaning Depreciation - Freehold buildings -Motor vehides -Plant and equipment |
8,421 9,486 8,7$8 10,222 19,380 8,029 |
6,733 7,223 7,692 10,222 33,205 2,342 |
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| -Office equipment | 5,123 | 4,765 | |
| 982,277 | 929,065 | ||
| Net Incoming resources forthe | year | I57,091) | 30,931 |