Charity registration number 528635 Company registration number 00926888 (England and Wales) NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2024
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED LEGAL AND ADMINISTRATIVE INFORMATION Tru$tees E Sims l R8eside A Sirns Mr J Bailey (Appointed 24 April 20241 Secr•tsry P Smith Charity numbèr 528635 Company number 00926888 Registsrad offl¢e Hanley Technical Institute 151-153 Marsh Street North Hanley Stoke-on-Trent Staffordshire ST15HR Auditor Geen5 Limited Graphic house 124 City Road Stoke on Trent ST4 2PH Bankers National Weslminsler Bank plc 1 Upper Market Square Hanley Sloke-on-Trent ST1 1NS Sollclto Freeth Cartwright LLP Federation House Station Road Stoke on Trent ST4 2SA
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED CONTENTS Page Trustees. report statement of trustees, responsibilities Independent audilorfs report 10-12 Stslemenl of finanaal a¢tivities 13 Balanea shÈet 14-15 Statement of cash flows 16 Notes lo the finanaal ststements 17-27
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED TRUSTEES. REPORT {INCLUDING DIRECTOR'S REPORT) FOR THE YEAR ENDED 31 AUGUST 2024 The trustees present their report and the financial stalèmen15 and business plan for the year ended 31 August 2024. The trustees, who are also directors for the purposes of company law and who servéd during the year and up to the date of this report are set out in the Reference and Adminislralive Information. The financial statements have been prepared in accordance with the accounting poliaes sét out in note 1 to the financial statements and comply with the charitable companys governing document. the Companies Act 2006 and "Accounting and Reporting by Chaiities". Statement of Recomrnended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic ol Ireland IFRS 1021" leffe¢tive 1 January 20191. Objectives and activities To promote, organize and arrange the prowsion of training for persons empbyed or looking for ernployment in the enginèÉring industry. To provide support lo employers through apprenticeship programs. To offer advice and guidance to schools l young persons on engirieering careers. To offer local employers a range of engineering focused based training support servi¢Ès. To upskill and link unemployed people with local engineering employment opportunities. Offer health and safely sUPPOrt adwce and guidance to local engineering companies. This has been achieved from tha followlng a¢VIlle$ Apprenti¢eship progr8ms. The group has facilitated and deliveTed apprenticeship programs in all types of engineering activities. These delivered from its base in Hanley and also within the work place of members and clients. The group has 50 - 60 apprentices on progiam at any one lirne. The group has invested heavily in its delivery with Mo studios developed a few years ago to offer continual training on line and acces5 to the recorded training programs are offered fieely 2417 and 365 days a year to both thè student and employer. The group rarry out regular skill gap analysis for the groLJP'S mernbers and clients these have taken place and training arranged. The group offers an advisory sewice to discuss training and training programs free to engineering sector companies. It offers a free reoruitrrent and testing service to enable smaller Companies to receive direct support. It has applied on behalf of the members and has given advice enabling them to re1ve assisted financial support. The group has continued to work dosely with the local job ntre plus in srtes plad around the city, wsiting regLJlarly one or two limes a week to prornote and educate those looking for employment and discussing those opportunities available to thern from the local engineering sector following the groups engineering upskilling training. Our upskilling training is developed and completed in areas requested through continued consultation with local engineering employers. The group run two separate steering groups throughout the year with both employers and appientices. This upskilling of the unernployed and the group's apprentiShip offer means thè demographic for the group continues to be very diverse supporting both older and the younger people in the area. WÉ are also supportive to those with learning disabilities, low educational level attainment and registered disabled, all who benefit from the groups academy and its hands on approach.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED TRUSTEES. REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 The group attends and supports local career events and Job shops. The group participate in school career activities to offer advice on career paths and apprentIshipS at all levels. We give taster sessions to school pupils on engineering actiwties using special equipment and our new for this year educational Mobile activity van purchased lo hèlp them understand engineering and the different ioles better,. NSEG now leach out to the people of Sloke-on- Trent with laslers of engineering activities and employment skills. The van fully modernized has disability access and designed to promote social inlegr8lion and community engagement., it continues to reach out to those that would not nomially be able to get access to thi5 information or activity. This Èngagés individuals 2nd crÈales training opportunities, particulady for those that face barriers to erllploymenl andlor live in deprived areas. The knock on affe¢l will benefit employers in industries with known skills shortages such as engineering. The van and its activities are designed to give an appreciation of Engineering skills and allow people to try out their ability using enjoyable but sale equipment whilst receiving high qu81ily irnpartial IAG. NSEGTA staff continue to engage with and attend at least 20 local social groups, careersljob fairs, schools 15 per quarterl of which 20.14 will be fiorn underrepresented groups. These invèstments, in the services and support we offer to the local community gives the group the ability to give free advice guidance lo all, the sector we support and the local people of Stoke on Trent, and surrounding areas. Our Education and Skills Funding expertise continues to ensure th81 there is fair and equal access to funding for training employees to the group's members and associates. Governmenl incentive information as and wher) it becomes available is serit out via e-mails telephone calls and marketing material. Our team of training officers briefed regularly on inntiVe payments also pass on relevant information lo employers. We continue to offer education, apprenticeship and training Information In all forms to ensure we reach all areas ol our demographic in the fomi of media releases information given with leaflets, e-mail bulletins and special arranged zoom meetings, giving group piesentations and face to face support wa our new studios. The group links wilh the local employers, IOCAI colleges, and Staffordshire training network. Our past and future investments have been, and will continue lo be so that the group can offer training, upskilling, and support lo enhance, develop and read) out to increasing numbers of people. The equipment purchased was chosen to ensure that any tiaining taking place 15 Carried out on industrial Standard equipment used by employers results in work ready skills and smooth transition into employment by NSEGTA learneT3. Health and safety support to members and other companies to meet obligations In legislative requirernen15 in he8h and safety ¢ontinues. Subsidized by surplus the group Make, this Servi continues to improve, with equipment purchased lo support local tompanies in testing coolant and assessing atmospheric pollutants. Membership costs have remained static again bLrt we have offered evèn more levels of SLJPPQrt, and our memb8rship numbers stay consistent. We have referred to the guidance contained in the Charity Comrnission's general guidance on public benefit when reviewing our aims and objeetives and in planning our investments, which influence future activities and believe we have accomplished this. We have made surplus monies over a number of years, which have supported our continual investments designed to improve the chances for local people and support the needs of lo¢al engineering companies in line with our public benefft objectives.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED TRUSTEES, REPORT (INCLUDING DIRECTOR'S REPORT) {CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 Achievemènts and performance This year has again seen the group making signilicant differences in the engineering sedor. from up skilling ernployees to arranging and oversèeing apprenticeship programmes and our training to the unemployed. a recent customer satisfaction survey has concluded that 100°/o of employers would recommend NSEGTA to other èmployeis. A comprehensNe breakdown ofthe group's perfOr[nan is seen below. thievernents and rm Au 24. 202&24- Final Recorded success Rates and 2023-24 contractual laigets record ets EB ntr Contract allocation of £655k was exeded by £2.5k. 187 Ace Academy PMO Starts1129 L1158 L21 Target= 160 137 Employability Starts Target= 90 79 Functional Skills Starts Target- 60 92 EOS Starts Target- 1001.81 19 Workplace NVQ S18rts Target= 301_111 tion A hi 2023124 Oveiall AEB (Induding Ace l FS I NVQSI = 95°A - Ace Academy- 96°A N81 Av 84.2'A Progréssion rates into FE l employment= 790/ - Workplace L2 NVQs= Functional Skills - 920/0 2024125 ASF contract has commenced, the contract Value and targets remain the same as 2023124. Relationships with JCPS are extremely good and we currently have a waiting list of 33 unemployed indwiduals lo start in the aG3demy which takes us up lo the November course. ESFA funding rules have also been relaxed which will allow all indiwduals lo progress from the level 1 course to the level 2 course (prior to Ihis il they were aged 1&23 they had to already hold a L2 qualification). renticeshi U date 2023r24". 24 x L2 Apprenticeship starts (plus induding 3 x 6 week leavers and 2 early leavers) 8 x L3 Apprenticeship starts Stoke on Trent College Total = 32 ApprentIShIp starts against a target on 45 Starts lunderperforrnance 0113 Starts) ualific3tion Achiev ntRa Overall Apprenticeships- 800 Mal Av 54.6O/, 12 Lean ManufaGluringAchievements~ 10 Pass (83%) /2 Distinelion (17%). We will be rewewing the feedbad( from the EPA'S to better understand why leamers are only achiewng a pass. Review and update the curriculum l training if necessary. En 15 Engineering Operative Achievements- 4 Pass127¢AI 111 Distinclion173°/01.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED TRUSTEES, REPORT {INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 Overall End oint assessmen results= 14 Pass- 52 /0 113 Distinc Apprenticeships- 804 (National Average 53.4•/01 Ace Academy- 99UA (National Average 86.20/01 740/0 Piogressed in Employmenl l Further Education Functional Skills- 100°A (National Average 86.2°Al Workplace NVQs- 95¢/o (National Average 88.2Oknl on-4 Retention Rates- 80% Retention Rates- 99% Retention R3te5- 100Q Retention Rates- 95° The results of our annual •mployers and Leamers survey seèn balow. A good response rate from both employers and learners. Employers 44 employer surveys were emailed out with 30 Employer Tesponses reiVed 68°A response rate. 100% of employers would reeommend NSEG to other employers. 674h of Èmployèrs agree that their apprenli¢es arè acquiring the knowledge, skills and behawours they need lo support them in their job and ohosen next steps. 27°A strongly agree and 6°/0 neithèr agrèe noT disagree. 53°A ol employèrs strongly age that NSEG communitr31es well with Iheir organisation to plan the pprenticeship training and 47¢A agree. 60°/ts of wmpanies would like PPE to be donated. 37°/0 of cornpanies do not have a dear understanding of NSEG'S charitable aims and objectives and a further 10.10 would like to know more. 17°A of companies would like to know more aboLJI the benefits of becorning 8 member F.Ball, Don-Bur. Merfin, SPE & Coorstek. 3°A of companies would like more information OT) becorning a Trustee IF.Balll and 17°/o would consider it in the future Pets at Home, Alpha Engineering, Grenville, Parkhouse & Coorsték. 93th/o of cotllpanies do not require further support wlh their Health & Safety, 3.5°A do ISPEI and 3°A maybe (Alpha Engineeiing). What NSEG does well.. Good l Excellènt ¢ommunic21ic>n, communication from NSEG is far beitei than any other apprenticeship services we have worked wilh Good l Excellent Feedback session5 on rnonthty visits and apprentice fully understands Apprenticeships are well structures and apprentIS are kept on track Understand5 the employers needs and structures the trainin9 foi the employer Good. qu2lity candidates providèd lo be apprentieés Vthat NSEG could do better: Deliver level 3 apprenticeships and level 3 qualifi¢ations17°/1 More skills based tr8ining I practical training120°/,1 More CNC training around G Code13°Al Tailor the training to the workplaGe13Y No improvements required, very good 167¢AI Learners 46 le3mer surveys weie emailed out with only 38 leamer responses received 83ts/o response rate. 100 Its of leamers would recommend NSEG to their friends.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED TRUSTEES. REPORT (INCLUDING DIRECTOR'S REPORT) {CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 61QA of learners agree their appienliceship prograrnrne rneets their training needs and are aequiring the knowledge, skills and behaviours to do their job. 37°/0 Strongly agree and 2°A neither agree nor disagree. 68°/0 ol learners strongly agree they receive the support from their Training Officer l Tutor. 29¢1ts agree and 3QA disagree11 learner). 84QA of le3meis strongly agree their Training Officer l Tutor treats Ihern fairty and with respect and 16% agree. 71°/o of leamers strongw agree their Training Officer l Tutor gives them regular fe&dba¢k on their progress and sets them challenging largets, 26°/o agree and 3°/0 neither agree nor disagree. What NSEG does well from the survey.. Monthly progress meeting to make sure l am on target. Good communication. Good 2nd frequent feedback on work and setting targets. Targets are sel clearly. Provides help I support and well planned lessons. Staff are triendly and comrnunicate information dearfy in an easy to understand way. Enable me to learn in a sale environment by checking in regulady and listening 10 any ¢ollcerns. What NSEG could do better from the survey= CoMmunition(l2°I More regular visits checking progress and near to the end ol apprenticeship lo prepare you15°/01 Send out off the job records before the review13°Al More practical training with NSEG18°/ol Online lessons could be improved. a little more entertaining l interactive {19°kl Access lo resources130} Scheduling13°Al Nothing to thange I happy wth how things are147°Al The group remain the leading provider for local engineering companies for their apprenticeships. In February 2021. the group became a prime training provider. It received its first independent ofsled monitoring visit inspection in 2022. followed up by a full inspection December 2024 where the group reIVed a good grade auoss all areas, the full report Can be seen al. hlt ."Ilr ov.ukl 12 The group have sucSsfUllY retained the matrix standard this year for advice and guidance. It aM)lied for 8nd sucSsfUllY met the education & skills funding agency standards and rernained on the register of UK training providers submitted at the beginning ol the year. It successfully gained 2 years in 2023 for adult education funding for Its provision in engineering training and up skilling. having now completed the first year the group achieved its largets and will be applying for an additional 2 years funding for at the end of 2025. The adult educAtion dèlivèry Ifor those over the age of 191 at nse9la completed with excellent rewlts as seen in the performance review. The nurnbers passing through the training academy program topped over 180 lo1 unemployed people, beating last years resutts ', these were made up of men, women, low academic achiwemenl and special needs, including previous offenders. The group conlinue to offer a no barriers approach to those we support. 27 work experience I trial progr3rns and support h3ve been accomplished with a special program off&ing companies the opportunity to give taster se55ion5 In partnership with the local colleges,. these have resulted in those on the program gailling an apprenticeship with those companies involved. Accredit81ion with the Instrtule of Mechanical Engineers, the British Safety Council, the Institute of Occupational Safety and Health, the M3lrix standard for advice and guid3nce, Ihe awarding bodies for EAL, and the AOFA regulated health gnd safety national standard, cyber secure. the Information cornmissioner's office and Direct daims status with EAL awarding body all rnaintained.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED TRUSTEES, REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 The heatth and safety service conlinues lo itnprove. The group now recognised 85 a leading health and safety consultant for local engineering companies by thè health and safety executive and following a number ol inspections. They continue lo approach us to support alld offei advice on dwell b'mes lor machining, almospheri¢ conlaminales and coolant safe handling. We will continue to invest in this area to meet the demands of the illdustry and offer support., there is planned significant investment in this area for 2025. Financial review To ensure that monies surplus are channelled to enhan the groups not for profit services NSEGTAhas decided lo have 3 areas which are now designated from surplus and its current assets.. £612,846 Fixed Assets l¢apital inveslment building and èquipment} 4 £131,000 Staff Corilingencies Iredundancy payments el¢.) £500,000 Strategic Developrnenl Fund These areas will be shown on the balance sheet and constitute a commitment to develop 115 ch8rilable activities. The trustees have reviewed the resèrves of the charity. Cash rèsèrvès are reqLJired to fund new service opportunities for members and cover the cost of potential repairs on the group's capital investment. The cash reserves of approximately £1,019,000 laftei deducting certain fund designations) meet these requirements. Invèstment powers, policy and perfomiance The trustees h8ve considered the most appropriate policy for investing funds surplus to immediate needs. They have decided that this should be lo maximize the return whilst minimizing the risk ol loss of funds. Accordingly. funds invested in bank deposit accounts and building soaety accounts. Highèi risk investments not pemitled. Flnancial performance A surplus made this year, some invested in non-risk bonds and some reinvested in the group's assets throughout the year. The designation has been tailored in-line with any surplus made. to ensuré maximum investrnent goes back into the group to help it meet and improve its services and charitable objectives. The trustees have assessèd the major risks to whi¢h the charitable company is exposed and are satisfied that systerns are in place lo mitigate exposure to those rnajor risks.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED TRUSTEES. REPORT (INCLUDING DIRECTOR'S REPORT) {CONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2024 Plans for future periods Senior management changes for 2024 12025 will result in the group's CEO changing. From Seplernber 2024 Sarah Stanway will be taking on the position as joint CEO with Paul Wlliams and from January 2025 when she will lake on the role with sole responsibility. The Iruslees h8ve considered the impact on the group and asked that the current CEO to support the transition, 3s joint CEO from September to December 2024 then taking the position of company piesidenl for an ijndelermined period from Jan 2025. A business plan presented to the b08rd in June 2024 was unanimously approved. The plans objè¢tive 15 to continue the groups desi lo maintain sleady growth and stability. The areas. we have focused on have been tradrtional group 8Ctivilies. growth in these areas will result in a slight re-posrtioning back to a more traditional offering for members. This should reduce OLJr susceptibility made possible by an almost certain ohanging political landscape and any possible impact to govemment funding. NSEGTA is facing new and sustained Challenges, prirne contracts for AEB and apprentIShIp funding means that meeting auditing and quality requiremen15 is now a full time and costly iequirement. Loss of skills through a number of employee departures has also irnpacled on the group's ability to attack bollle necks. The investments rnade in multi skilling employee5 over time has resulted in them becoming more attractive to other organisalions, which is slightly conceming but unavoidable. We know no other way lo get the skills required and will need lo continue lo invest in ernployee development. We will also need to employ additional staff. We have taken into a¢count the planned management changes taking place, which means that there a arèas for the group to wnsolidate for a smooth transition. Current delivery lor the Ace academy must be maintained al the current levels, the income is strong in thi5 area and a cautious approach is required to ensure that both contract values and audit requirements are mel. which will support another bid. Vve have identified however, other areas we feel are ready for inveslment for growth and improved Servi$. Throughout our discussions, consideration has been given to the group's heritage. ils membership ?d charitable objectives as well as tradition81 services. It iernains wlally irnportant thal the group relain ils strong financial position.. investments planned from the approved busine55 plan will allow the group lo work with its members to identity and implement important heatth 2nd safety training and the general up skiS1ing of employees and apprentices in the new heatth and safety hub planned for 2025. Our contract with the AEB budget runs out by July 2025, thè next 12 months is cruaal that we meet and if possible exceed the target ol spend that the group has been allocated. We will need to apply for funding again sometime around springtime In 2025. Following successful tenders, it is dear that the delivery providers have been ciously culled over the last few years and the ESFA wanted to decrease the number of allotted training providers. Support from members will make it a stronger bid with an employment drive for those cornpleling Iraning at the Ace academy would piove very useful. This will increase our progression rates into employment, which is a contractual requirement. NSEGTA procured and was awarded £446k for its first AEB contract in 2021122, but only 88 providers were successful la reduction from 208 pioviders the previous yearl. In 2022123. NSEGTA procured again lor an AEB contract, with an increasÈd allocation of £655k. on 55 providers were successful la further redu¢tion from 88 providers the previous yearl, with only 15 providers, being 3warded the full allocation, NSEGTA being one of them. A further adult eduralion procurement is a very important lo the group's plans and will form part of a Concentrated effort to secuie this during 2025 when we believe fresh procurement bids will be released.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED TRUSTEES, REPORT (INCLUDING DIRECTOR'S REPORT} {CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 Strncturè. governance and management Governing document North Stafford5hire Engineering Group Training Association Limited INSEGTAI is a company limited by guarantee, and is a registered charity governed by its Memorandum and Articles of Assoaation which were last amended in November 2001. The IIu51ees. who ale also the directors for the purpose of company law, and who served during the year and L)p lo the dale of signature of the finanrial slalements were". E Sims P Smith l Raeside A Sims Mr J Bailey (Resigned 19 July 2024) (Appointed 24 April 20241 A board of tiustees administer5 the charity. It éndeavours to meèt bmonthlY and at other times vthen required. 11 has power to appoint sub-commillees oonsisling of not less than Iwo trustees for the purposes of making inquiry into or supervising or performing any function or duty which in the opinion of the trustees would be rnore conveniently Ljndertaken or carried out by a sUCOMMittee provided that all acts and proceedings of any such sui>committees shall be fully and promptly reported to the trustees. A chief executive is appointed by the Iruslees to manage the day to day operalions of the charity. The pay s¢ales of senior staff are sét by the trustees and are benchrnaiked against similar Zed organisations operaling in the area. Pay of Individual members are reviewed annually and this rewew takes into aeeount perfomance and any other additional responsibilities undertaken. Auditor In accordance with the company's articles, 3 rèsolution proposing that Geens Limited bè rèappointéd as auditor of the company will be put at a General Meeting. The IrLJStees' rèport was approved by the Board of Trustees. l Raeside Trustee Date..
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED STATEMENT OF TRUSTEES, RESPONSIBILITIES FOR THE YEAR ENDED 31 AUGUST 2024 The trustees, who are also the directors of North Slaffordshire Engineering Group Training Assoaation Limited for the purpose of COTnpany law. are responsible for preparing the Trustees. Report and the accounts in *cordance with applic3ble law and United Kingdom Accounting Standards (United Kingdom Generally Apted Accounting Practi1. Company law requires the trustees lo prepare accounts for eath financial year which give a true and fair view of the state of affairs of the charitable company and of the incorning resources and application of resources. in¢Juding the income and expenditure, of the charitable company for that year. In preparing these accounts, the trustees are required to.. selèct suitsble accounting policies and then apply them consislently., observe the methods and principles in the Charities SORP., make judgements and estimates that ale reasonable and prudent.. slate whether applicable UK Accounting Standards have been followed, subject to any material dep8rtures disdosed and explained in the accounts,. and prepare the accounts on the going concem basis unless il is inappiopriale lo presume that the charitable company will continue in operation. The Iruslees are responsible lor keeping adequate accounting records that disclosè with reasonable accuracy al any time the linanaal position of the charitable company and enable them to ensure that the accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hen for taknng reasonablè steps for the prevention and detedion of fraud and other irregularrties.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED Opinion We have audited the financial staternents of North Staffordshire Engineering Group Training Association Limited Ilhe 'charrtable cornpany'l lor the year ended 31 August 2024 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable 13W and United Kingdom Accounting Standards, including Financial Reporting Standard 102 Tl)e FinanGial R8POrting Standard applicable in Ihe UK and R8publiG of Ireland (United Kingdorll Genera51y Accepted Accounting Practice). In our opinion, the fin8nci81 slalement5". give a true and fair wew of the state of the charitable company's affairs as at 31 August 2024 arKI of its incoming resources and application of resource5. for the year then ended". have been properfy prepared in a¢¢ordance with United Kingdom Generally Accepted Ac¢ounling Practi". and have been prepared in ardancE with the requ1mentS of the Companies A¢t 2(MJ6. Basis for opinion We conducted c)ur audit in accordance with International Standards on Auditing (UK) IISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditorfs SponSibl11t1eS for the audit ol th8 fjnaneial statem8nls sedion of our rÈport. We are independent of the charitable company in accordance with the ethical requirements that are relevaril to our audit of the financial statements In the UK, Including the FRC'S Ethical standard, ar)d 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 concem In auditing the financial slalemenls. we have conduded that the Injslees, use of the going cOnM basis ol accounting in the preparalion of the finanal statements is appiopriale. Based on the work we have performed, we have not identified any material unc£rtainties relating to events or conditions that. indilduallY or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of al least twelve months from when the financial slalements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are desuibed in the relevant se¢lions ol this report. Other informatlon The other information comprises the information inoauded in the annual report other than the finarrial statements and our auditorfs report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial st3tetMents does not cover the other information and we do not express any form of assuran conclusion thereon. Our responsibility Is to read the other information and, in doing so. consider whether the other information is materially inconsistenl wilh the financial 51atemenls or our knowledge oblained in the course of the audit, or otheNise appears lo be m31erially misstated. If we Identify such rnaterial inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have perfomed, we conclude that ihèré is a material misstalemenl of this other information, we are required to report that fact. We have nothing to report in this regard. 10
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED atters on which we are required to port by exception We have nothing to report in respect of the following tnatters in relation to whith the Charities IAcc<)unts and Reports) Regulations 2008 require us to report to you il, in our opinion.. the inforTnalion given in the financial statements is incL)T)sislent in any material respect with the trusteès, report., or sufficient accounting records have not been kept., or the financi31 statements are not in agreement with the ae£ounling records., or we havè not Feceived all the information and explanations we require for our audit. Responsibilities of trustees A5 explained more fully in the statement of trustees, responsibilities, the trustees, who are also the directors of the charitable company for the purpose ol company law, are responsible lor the preparation ol the financial slalernenls and for being satisfied that they give a true and fair wew, 2nd for such internal control as the trustees determine is necessary to enable the preparation of finan¢ial statements that are Iree from material rnisstatement, whether due to fraud or error. In preparing the financial slalernenls, the Iruslees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going toncein and using the going concern basis of accounting unless the trustees either intend to liquidate the Chairtable company or to cease operations, or have no realistic alternative but to do so. AudIt05 responsibllities for the audit of the finan¢ial statements We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Ad and relevant regulations made or having effect thereunder. Our objedives are to obtain reasonable assurance about whether the finanryal statemen15 as 8 whole are free from m8teiial tllisslalemenl. whether due lo fraud or eiror, and lo issue an audilorfs report that indudes our opinion. Re3son8ble assuran is a high level of assurance bul is not a guarantee that an audit conducted in accordancè with ISAS IUKI will always detect a material misstatement when it exists. Misstatements can arise frorn fraud OT error and are considered material il, indwidually or in the aggregate, they could reasonably be expected to influence the economic deasions of users taken on the basis of these financial slaleTnenls. Irregularities, includir)g fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to delect material misstatements in respect of irregularities. including fraud. The e£Lenl lo which our procedures are capable of detecting irregularities, including fraud, is detailed below. As part of our planning process.. we enquired of management the systems and controls the charity has in place, the areas of the financial statements that a most susceptible to the risk of irregularities and fraud. whelhei there was any known, SLJspected or alleged fraud. the oharity did not infom us of any known. suspected ar alleged fraud. We obtained an understanding of the legal and regulatory frameworks applicable lo the charity. We determined that the following were most relevant.. the Charity SORP. FRS 102, Charities Act 2011. Companies Act 2006. We considered the incentives and opportunities that exist in the charity, including the extent of management bias. which present a potential lor irregularities and fraud to be perpetuated, and tailored our risk asse5srnenl accordingly, Using our knowledge of the Qharity. together with the dius$10llS held with the charity at the planning Stage, we formed a conclusion the risk of misslatemenl due to irregularits'es induding fraud and tailored our procedures according lo this risk assessrnent.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED The key procedures we undertook to detect iiregularilies including fraud during the course of the audit included.. Identifying and testing joumal entries and the overall 8wounling records, in particular those that were significant and unusual. Rewewino the financial slalernenl disclosures and determining whether aLLounting policies have be appropriately applied. Reviewing and challenging the assumption5 and judgements used by management in their significant accounting e51imales. Assessing the extent of oornpliance. or lack of, with relevant laws and regulations. Assessing the validity of the cla5sifieAlion of income, expenditure, assets and liabilities between unrestricted and restricted funds. Obtaining third party confirmation of material bank balan5. Documenting and verifying all significant related party balances and transactions. Reviewing docurnentalion such as charity board minutes lor discussions of irregularities including fraud. Because of the inherent lirnilalions of an audil, there is a risk that we will not delecl all iriegularities, including those leading lo a malerial misslalemenl in the financial statements or non<ompliance with regulation. The risk incre8ses the more that compliance with a law or iegulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to becom8 aware ol instances of notFcompliance. The risk is also greater regarding irregularities occurring due lo fraud rather than error, as fraud involves intentional Conalment, forgery, collusion. omission or misrepresentalion. A further de5CriPtion of our responsibilities is available on the Financial Reporting Council's website at.. https'.11 www.fr¢.org.uklaudilorsresponsibilities. This description foms part of OLJf aLJdilorfs report. Other matters An audit of the finanaal slalements was perfomied for the year ended 31 August 2022. The comparative figures are unaudited. This report is mad8 solely to the charity's trustee5, a5 a body, in accordance with part 4 of the Charities IAccountS and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees Ihose matters we are required to 5t8te to them in an auditoffs report and for no other purpose. To the fullest extent petrnitted by law, we do not accept or assume iesponsibility to anyone other than the charity and the ch8rty'5 trustees as a body. lor our audit work, for this report, or for the opinions we have formed. Geens Llmltèd Chartered Accountants Statutory Auditor Graphic House 124 City Road Stoke on Trent ST4 2PH Geens Lirnited Is eligible for appointment as auditor of the oharil8ble company by virtue of its eligibility for appointment as auditor of a company Ljnder section 1212 of the Companies Act 2006. 12-
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 AUGUST 2024 Unaudited Unaudited Unaudited Totsl Unrestricted Unrestricted Total funds funds general designated 2023 2023 Unrestricted Unrestricted fvnds funds general designated 2024 2024 2024 2023 Notes Income and endowmènts from= Charitable activities Investments Other income 1,167.973 50.439 2,945 1,167.973 50,439 2,945 960.152 20,332 6,453 960,152 20,332 6,453 Total incom• 1,221,357 1,221,357 986,937 986,937 Expenditure on: Charitable activitie5 778,291 52,710 831,001 742.875 48.647 791,522 Total expenditure 778,291 52,710 831,001 742.875 48,647 791,522 Net incomellexpendlturèl 443.066 152,7101 390,356 244,062 148,6471 195,415 Transfers beeen funds 113,6301 13.630 182,2921 82,292 Net movem•nt In funds 429,436 139,0801 390.356 161,770 33,645 195,415 Reconciliation of funds.. Fund balances at 1 September 2023 633,279 1,282,928 1,916,205 471,509 1,249,281 1.720.790 Fund balances at 31 August 2024 1.062,715 1,243,846 2,306,561 633.279 1,282,926 1,916.205 The statement of finall81 activrties indudes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. Tre statement of finanaal activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED BALANCE SHEET AS AT31 AUGUST2024 Unaudited 2023 2024 Notes Fixed assets Tangible asse15 12 612,846 651,926 Currènt ass•ts Debtors Cash at bank and in hand 13 84,376 1,650,396 99.793 1.193.307 1,734,772 1,293,100 CredKtors.' amounts falllng du• within one year 14 124,0811 110,4331 Net current assets 1.710,691 1,282,667 Total assets less current liabilities 2.323.537 1,934,593 Creditors.. amounts falling due after more than one year 15 116,9781 118,3881 Nat ass•ts 2,306,561 1,916,205 The funds of the charitsble company Unrestricted funds- general Unrestricted funds- designated 1,062,715 1,243,846 633,279 1,282,926 18 2,3[,561 1,916,205 The company is entilled to the exemption from the audit requirement contained IT) section 477 of the Companies Act 2006, for the year ended 31 August 2024, although an audit has been CArried out under section 144 of the Charities Act 2011. The directois acknowledge their responsibilities for complying with the requiremenis of the Companies Act 2006 with respect to aUting records and the preparation of fin2ncia1 statements. The membèrs hava not required the company lo obtain an audit of its financial statements under the requirements of the Gompanies Ad 2006. for the year in question in accordan with section 476. These financial statements have been prepared in a¢coidance with the proS1onS applicable to companies subject to the small companies regime. 14-
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED BALANCE SHEET (CONTINUED) AS AT31 AUGUST 2024 The finan I statements were approved by the trustees on .... l R2eside Trustee Company iegistratioll number 00926888 (England and Wales) 15-
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2024 Unaudited 2023 2024 Notes Cash flow5 from operating activitias Cash generated from operations 22 418,745 189,758 Investing activities Purchase of tangible fixed assets Proceeds from disposal of tangible fixed assets Investment income received 117,4271 193,840) 6.744 50,439 18,000 20,332 Nèt cash generated fromllused inl investing a¢tivitie$ 39,756 155,5081 Financing activities Payment of finance leases obligations 11,4121 19.962 Net cash lused inllgenerated from financing activities 11,4121 19,%2 Net increase in cash and cash equivalents 457,089 154,212 Cash and cash equivalents at beginT)ing of year 1.193.307 1.039,095 Cash and cash equivalents at end of year 1,650,396 1,193,307 16
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2024 Accountiny policies Charity inforn)ation North Staffordshire Engineering Group Training Associalion Limited is a privatè Cotnpany limiled by guarantee incorporated in England and Wales. The registered office is Hanley Technical Inslitule, 151-153 Marsh Street North, Hanley, Stoke-on-Trenl, Slaffordshire, ST1 SHR. 1.1 Accounting convention The financial statements have been prep8ied in accordance with the charitable cA)mpany's goveming document. the Companies Ad 2006 and 'Accounting and Reporting by Charities.. S121ement ol Recommended Practice applicable lo charities preparing their accoullls in a[dan with the Financial Reporting Standard applicable in the UK and Republic of Iland IFRS 1021 (effective 1 January 20191" The charitable company is a Public Benefil Entity as defined by FRS 102. The financial statements a prepared in slerfing, which is the functional curiency of the charitable company. Monetary amounts in these financial stalemenls are rounded lo the nearest £. The accounts have been prepared on the historical cost convention. The prinpaI accounting poliaes adopted are set out below. 1.2 Going ¢on¢em The fin8n¢ial slalements have been prepared on a going concern basis as the tmstees believe that no material uncertainties exist. The trustees have eonsidered the level of funds held and the expected level of Income and expenditure for 12 months frotll authorising these financial staternents. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able lo continue as a going concem. 1.3 Charitable funds 1.4 Income All incoming resources are included in thè slalemenl of financial aclivilies vthen the chartty is entitled to the income and the amount ¢2n be quantified with reasonable accuracy. 1.5 Expenditure Expenditure is recognised on an a¢¢ruals b8S15 as a liability is incurred. 1.6 Tangible fixed assets Tangible fixed assets are initially measured al cost and subsequently measured al Cost or valuation. net of depreciation and any impaiment losses. Depreciation is recognised so as to write off the cost or valuation of assets less Iheir residual values ovèr their useful lives on the following bases.. Land and buildings Fixtures, fittings & equipment Motor vehides 2°A p.a. 10°/0 p.a. to 25°A p.a. straight line 25°/D reducing balance 1.7 Impairment of fixed assets At each reporting end date, the charitable company reviews the carryino amounts of ils tangible assets to determine whether there is any indication th81 those assets have suffered an impairment loss. If any such indication exists, the recoverable Amount of the asset is eslirnated in order lo determine the extent of the impairment loss lif any). 17
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 Accountlng pollclé$ (Continued) 1.8 Ca$h and ¢a$h èquivalents Cash and cash equivalent5 include cash in hand, deposits held al call with banks, other short-lettm liquid inve5trnenls with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. 1.9 Financial instruments Thè charitable cotnp3ny h85 elected lo apply the provision5 of Section 11 'Basic Finanaal Instruments. and Section 12 '01her Financial Instruments Issues, of FRS 102 to all of its financial instrurnents. Financial instruments are recognised in the charitable company's balance sheet when the charitable company becomes party to the contractual provisions of the Inslrumenl. Financial assets and liabilities are offsel, with the net amounts presentèd in thè financial slalements, when there is a legally enforceable right to set off the recognised amounts and there is an intention lo settle on a net basis or to re3lise the asset and settle tha liability simultaneously. 8asic financial assets Basic financial assets, which indude debtors and cash and bank balances, are Initial measured at transaction pri induding transaction costs and are subsequendy carried al amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where Ihe transaction is measured at the present value of the ftjture receipts discounted al a rnarket rate of interest. Financial assets dassified as receivable within one yeai are not amortised. Basic financial liabilities Basic financial liabilities, induding creditors and bank loans are initially recognised al transaction price unless the arrangement constillrtes a financing transaction, where the debt instrument is measured at the present value of the luiure payments discountèd at a market rale of interest. Financial liabilities classified as payable within one year are not amortised. Oebt instruments are subsequendy carried at amortised cost, using the effe1ve interest rate method. Tradè ¢redilors ale obligations lo pay for goods or services that have been acquired in the ordinary [se of operations from suppliers. Amounts payable are dassif1ed as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors ale recognised initially at transaction pri and subsequently measLJred al amortised cost using the effective interest method. Derecognition of financial liabilities Financial liabilities are derecognised when the charitable company's contractual obligations expire or are discharged or canlled. 1.10 Employee benefits Temiination benefits are recognised immediately 8S 8n expense when the charitable company is demonstrably comrnitted lo leIale the employment of an employee or to provide lem)ination benefits. 1.11 Retirement benefits Payments lo defined contribLrtion reliremenl benefit schemes are tharged as an expense as they fall due. 18-
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 Accounting policies Icontinuedl 1.12 Lèasè$ Leases are classified as finance leases whenever the terms of the lease transfer SLJbstantially all the risks 8nd rewards of ownership to th8 lessèés. All other leases are classified as operating leases. Assets held under finance leases are recognised as assets at the lower ol the assets fair value al the date ol inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elemellls. The interest is charged to nèt incomÈllexpendilurel for the year so as lo produce a constant periodic rale of interest on the remaining balance of the liability. 1.13 Fund accounting Unrestricted funds are available for use at the discretion of the trustees in furtheran of the neral objectives of the charity and which have not been designated for other purposes. Designated funds comprise unrestricted funds Ih8t have been set asKJe by the Iruslees for particular purposes. The aim and use of each designaled fund is sel out in the notes lo the financial statements. Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are Set out in the notes to the accounts. Critical accounting estimates and judgements In the application of the charitable company's accounting poliaes. the Iruslee$ 8Te qUIred lo make judgernents. estimates and assumptions about the carrying arrounl of assets and liabilities that are not readily apparent from other sources. The estiwales and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underfying assumptions a reviewed on an ongoing basis. Revisions lo accounting eslirllates are recognised In the period in which the eslirnate 15 revised where the revision affects llY that period, or in the period ol the revision and future periods where the revision affects boih current and future periods. Key sources of estimation uncertainty Useful economic lives of tangible assets The annual depreciation charge for tallgible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological 8dvancement, lulure investments, economic utilisation and the physical condition of the assets. Seè note 8 for the carrying amount of fixed a5sels, and note 1.6 for the useful econornic lives for each class of assets. 19
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 Income from charitable activities Training andTraining and èducation education 2024 2023 Membership fees seNis to managing agents Gourses Safety services ESFA Funding Enhanced apprenticeships Ace Academy 35.751 31,203 89,209 14,493 973,611 23.7( 31.219 41.155 115,819 12,622 753,979 800 4.558 1.167,973 960,152 Analysis by fund Unieslricted funds- general 1,167,973 960,152 Income from investments Unrèstrfctèd Unrestricted funds funds 2024 2023 Interest receivable 50,439 20.332 Other income Unrestricted Unrestricted funds funds 2024 2023 Nel gain on disposal of tangible fixed assets 2,945 8,453 -20-
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 Expenditure on tharltsble activities Training and Training and education èducation 2024 2023 Qirect costs Staff costs Depreciation and impairment Course expenses (inc NSEG costs) Rent, rates and insuran Heal, light and water Minor equiprnenl. maintenance and premises expenses Printing, stationèry and telephone Publicity lincluding websilel Motor and travelling expenses Auditors, remuneralionl Independent examiners fees Sundry expense5 EAL charge5 Subscriptions and donations Irrecoverable VAT Other charitable expenditure 534.970 52.710 59.781 16,085 12,903 25,617 11,956 11.525 13,356 4,500 507,390 48,647 74,786 10,961 8,400 23,228 9,281 13.479 13,643 2,030 li 11,8 25,387 5,344 13,236 31,683 12,736 21,570 4.498 11.017 29,856 831,001 791,522 Analysis by fund Unrestricted funds- general Unrestricted funds- designated 778,291 52,710 742,875 48,647 831,001 791,522 Net movement in funds 2024 2023 The net rnovemenl In funds is stated after chargingllcreditingl.. Fees payable to the charity's auditor. lor the audit ol the charity's financial statements for other financial services Depreciation of owned t8ngible fed assets Profrt on disposal of tangible fixed assets 4,500 2,000 48,647 16.4531 52,710 (2.945) 21
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 AUdit0S remuneration Fees payable lo the charity's auditor and a550Clates'. 2024 2023 For audit seNices Audit of the financial statements of the charty 4.500 For other sèrvicès All othèr non-audit services 2,000 TNstees None of the trustees lor any persons connected wlh them) reoeived any remuneration during the year, and none of therr weie reimbursed any expenses12023- none). 10 Taxation The charity is exempl from taxation on ris activities because all its income is applied for tharilable purposes. 11 Employees The average monthly number of employees during the year was.. 2024 Number 2023 Numbèr 15 Employment costs 2024 2023 Wages and salaries Social security costs Other pension costs 465,351 39,073 30,546 442,000 39,607 25,783 534,970 507,390 The total amount of employee benefits paid to its key management personnel, induding the trustees. amounted to £76,27612023.' £69,621) The nLJmber of employees whose annual remuneration was more than £60,000 is as follows.. 2024 Number 2023 Number £60.001 to £70,000 -22-
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 12 Tangible fixèd assets Land and bulldlngs Flxturos, fltlln98 & aqulpmgnt Motor vehl¢las Totsl Cost At 1 September 2023 Additions Disposals 523,394 203,143 17,427 94,5C 821.043 17,427 119,3921 119,3921 At 31 August 2024 523,394 220,570 75,114 819,078 Depreciation and impaimient At 1 September 2023 Depreciation charged in the year Eliminated in respect of disposals 54,616 90.647 28.316 23,852 16.854 {15.5931 169,115 52,710 115,5931 At 31 August 2024 62.156 118,963 25,113 206.232 Carrying amount Al 31 August 2024 4e1,238 101.607 50,001 612,846 At 31 August 2023 468,778 112,495 70.653 651,926 13 Debtors 2024 2023 Amounts falling due within one year: Trade debtors Other debtors Prepayments and accrued income 8,686 518 75,172 9,854 1,065 88,874 84,376 99,793 14 creditors: amounts falling due wlthln onè year 2024 2023 Notes Obligations under finance leases Other taxation and social security TradÈ ¢reditors Acuu81s deferred income 16 1,574 9,534 8,473 4,500 1,574 6,859 2,000 24.081 10,433 Details of the obligation under finance lease are pro¥ided in note 16. -23.
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 15 Creditors: amounts falling duè aftèr morè than one year 2024 2023 Notes Obligations under finance leases 16 16,976 18,388 16 Finance lease obligations Futu minimum lease p8ymen15 due under finance leases.. 2024 2023 filhin one year Mfithin two 8nd five years 1,574 16,976 1,574 18,388 18,550 19,962 The obligation under finance lease is secured over the relevant asset included within motor vehides. 17 Retirement benefit scheme5 2024 2023 Defined contribution schom•s Charge to profil or loss in respect of defined contribution schemes 30,546 25,783 The charitable company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charitable company in an independently adtninislered fund. -24-
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 18 Unrestricted fund5 - designated The incorne funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific puiposes.. Atl Septembèr 2023 Resources expendèd Transfers At 31 August 2024 Fixed Assets Staff Contingencies Stratègic Development Fund 651,926 131,000 500,000 152,7101 13,630 612,846 131,000 500,000 1.282.926 152,7101 13,630 1,243,846 Prèvious yèar: At1 September 2022 Resources expended Transfers At 31 August 2023 Fixed Assets S18ff Gonlingencies Slr3tegi¢ Development Fund 618,281 131,000 500,000 {48,6471 82,292 651,928 131,000 500,000 1.249,281 148,6471 82,292 1,282,926 Fixed Assets. This fund represents the net book valLJe of the fixed assets held by the charity. Staff Contingencies. This fund is to provide resources should the services of the chaTty be affected by sid(ness or other absence of staff or should the charity have to make staff redundarTrl. Strategic Development Fund. This is a fund set aside to ensure the charities sustainability giving it the ability to implement any possible rapid Capital investment due to any proposed changes in delivery or apprentIShIp developments I requirements, or loss of ESFA short letrn contiact. This would have signifiG3nt imp8Ct on the charity. The charity will rely on its ability to react quickly lo those ¢hanges required lo deliver training. fund new equipment and any other reSoUrS required. This will be a significant cost to the charity and must be accounted foT and designated as required and reviewed yearly. 25-
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2024 19 Analysis of net assets betwèèn funds Unrestricted Designated funds funds 2024 2024 Total Unrestricted Designated funds funds 2023 2023 Totsl 2024 2023 Fund balances a131 August 2024 are represented by.. Tangible assets Current assetsllliabilities) Long term liabilities 612.846 631,0(M) 612.846 1,710.691 116,9761 651.926 651,926 631.000 1,282,667 118,3881 1,079,891 116,9761 651,667 118,3881 1,062,715 1,243,846 2,306,561 633,279 1,282,926 1,916,205 20 Operating lease commitments Le$$èè Al the reporting end dale the ¢harf(able Company had outstanding commitment5 for lulure minimum lease payrnenls under non-cancellable operating leases, which fall due as follows". 2024 2023 thin one year Between two and five years 1,088 848 1,088 1,936 1,936 3,024 21 Related party transactions There wère no disclosable related party transa¢lions during the year12023- none). 26-
NORTH STAFFORDSHIRE ENGINEERING GROUP TRAINING ASSOCIATION LIMITED NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 AUGUST2024 22 Cash generated from operations 2024 2023 Surplus for the year 390,356 195,415 Adjustrnents for.. Investment income recognised in statement of financial a¢livities Gain on disposal of tangible fixed assets Depreciation and impairment of tangible fixed assets {50,4391 12,9451 52,710 120,3321 16,4531 48,647 Movements in working capital.. Decreasellincreasel in debtors In¢reaselldecreasel in ¢redrtors 15,417 13,646 126,5841 {9351 Cash generated from operations 418,745 189,758 23 Analysis of changes in net fvnd5 At 1 September 2023 cash Ilows At 31 August 2024 Cash al bank and in hand 1,193.307 457,089 1,650,396 Obligations under finance leases I19.2) 1,412 118,5501 1,173,345 458,501 1,631,846 -27-