Company Registration NO. NI 0258?3 CCNI Charity Registration No. NIC 101463 FOOD AND DRINK SECTOR SKILLS IA COMPANY LIMITED BY GUARANTEE AND NOT HAVING A SHARE cAP￿AL} TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2020 FOOD AND DRINK SECTOR SKILLS CONTENTS Page Charity inft)rmation Trustees, report Independent Examinerfs report Statement of financial actiV51ies Balan￿ sheet 10 Notes to the financial Statements FOOD AND DRINK SECTOR SKILLS CHARITY INFORMATION Trustses G Boyd T Cander C Devlin O Donnelly J Proctor M Dawson G Ferguson (Chairperson) (Deceased September 20191 Secretary K Martin Company number Nl 025853 RegiSte￿d charity name Food and Drink Sector Skills Charitynumber NIC 101463 Registered office Belfast Mills 71-75 Percy Street Belfast BT13 2HW Independent Examlner Moore IN.I.I LLP 4th Floor- Donegall House 7 Donegall Square North Belfast BT1 5G8 Busine55 address Belfast Mills 71-75 Percy Street Belfast BT13 2HW Bankers Ulster Bank Limilerj 11-16 Donegall Square East Belfast BT1 SUB Solicitors Johnsons Solicitors Johnson House 50156 Wellington Place Belfast BT1 6GF FOOD AND DRINK SECTOR SKILLS TRUSTEES. REPORT (CONTINUED) INCLUDING DIRECTORS, REPORT FOR THE YEAR ENDED 31 MARCH 2020 The Trustees p￿Senttheir report and audited finanoal statements forthe year ended 31 M8rch 2020. Structure, Governance and Management Food and Drink Sttctor Skill- a company limitcd by guarant¢¢, not havin9 0 ￿har¢ ¢apTtal. It is gistered in Northem Ireland Ireoistration number.. Nl 0258531 and has obtained charitsble status tth Charities Commission Norrhem Ireland {reference number. NIL 1014bJl. li is governed by its hllemorandum and Articles of Association. The a¢tttsunL havc bccn prcporcd in occordan¢e with the a¢¢ounting poli¢ies set out ift ftot¢s to th¢ accounts and comply with the companies. Memorandum and Athcles of Association, the Companies Act 2006 and "Accounting and Reporbng by Charities: Slalement of Recommended Practice applicable to charities prÈpsring their accounts sn accordance wth the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021. (as amended for accounting periods commencing from 1 January 2U1ti}. Trustees The Trustees, who are also the directors for the puryKJse of company law. and who served during the year were- G Boyd T Cander M Oawson C Dgvlin O Donnelly J Proctor G FgrgiJ4nn {Chairperson} (Deceased September 2019) Governlng Document The company was inwrporated in Northem Ireland as the Food and Drink Industry Trwning Advisory Council and is governed by its Memorandum and Articles of Association. The Charity is registered as a wmpany limite¢J by guarantee and not having share capitsl. Recruitment and Training of Trustees The Ch8rity is govemed by its committee which consists of not More than 18 members elected by the company at a general meeting and include the following-. The Ch8imian for the time beino of cornpany who shall be a member ex4)fficyo. tsl (11 Not more man seven members nominateu Dy employers. organisauons from the fooa ano drink industry who are members of the cornpany. lill Nut iiiuiv Ili_ prAvioirJn r)f A rAngp nf %lirJpnrt.*o￿I￿.pS tn mpp.t thp. fLJrrp.nt sjnd futurè pÈopla development needs. Provide key training Servi￿$. Ensuring that national standards match local needs and by en¢ouragino companies to achieve these stsndards. Promoting the industry's n¢eds. These objectives are achieved through close ¢ontsct wth the industy and through the use of experienced a￿￿0Cla*e teacher- in each. -peeffic progQTn. Achievements and Pèrformance Durin9 the year tho company delivered the following training coiirv*.- FOOQ Safety Training at Level 2 was ueiivere(J to enaDie ￿MpanIeS to comply wlth legal requlrements detsiled under General Food regulations 2004. FDSS assists the National Skills Academy for Food and Drink with their Work on the updating of Nationa5 Occupational Standards as they apply to the Food M8nufa¢turing Sector- part of the suite of Stsndards is updated annually, requiring employer input these included Food Safety, Food 8Gienoe & Technology. and Spirit Induatry relats¢J Standar¢J- for the year cnded. FOOD AND DRINK SECTOR SKILLS TRUSTEES. REPORT (CONTINUED) INCLUDING DIRECTORS, REPORT FOR THE YEAR ENDED 31 MARCH 2020 FDSS also has a seal on the Industry Sectoral Partnership for Food in Northern Ireland- this body i tssked with the developrnent of suitable employer endorsed frameworks for Apprenticeships, and this year saw work ￿Mpleted on level 2, with level 3 to follow. This year has seen the development of 8 pilot scheme which is aimed at local food companies becoming the focus of a network for loca5 schools in a symbiotic relationship aimed at skills d9volopment and sgctoral attractivgngss forlhe industy will r•ethiv• a gte2dy pipeline of enthusi¥sti¢ young people and schools will have a solid link which they ran exploit for 8 Variety of purposes. FD.£8 manaops and d?.Iwp.r8 the T28ty Careèrs prooramme which has proven to be an effeGtive areers awareness tool for the local Agri-Food sector. Tasty Careers sends ambassadors into local Schools to present thelr stortes 10 Students.. the programme als0 ha3 a strong uiiliiie yrebgiib¥. Additionally, the company has also taken part in S¢hc>ol careers events and is represented on a number of f(K)d skills related groups including the Ministerial Ch￿red Future S￿lIs Action Group for Food. Of note kn thc factthat Covid 19 restri¢t¥on# 6aw mu¢h work roducod and likolyto romgin $oforseveral months into 2020. Finaneial R@vi Results Total Income decrease(J trom £35.952 in 2019. to £13.708 In 2020. The Charty generated a negativE financial outcome for the period with a nel decrease in funds of £76,07812019.. £25.2031. Re>EfvE> PDIIGY The Committee has estsblished a policy whereby the unrestricted fvnds not committed or invested in tsngible fixed assets {'the free resources'l held by the Charity should be four months of the unrestricted resou￿￿ exposed, which equat￿ to £35.309. At this lèval. the Comrnitt99 momb•rs feel thatthey would be able to continue the current acty"vities ofthe Charity. In the event ofa significant drop in funding, it would obviously be necessary to consider how the funding would be replaced or actimties changed. At presènt the free rÈgources are bplow Ihp tArgpt Ipvg.12t fS.99.fj. The Cornmittee has en$u￿d that any remaining balan￿$ on restricted funds transferred to unrestricted funds will not have to be repaid and r2n be spent at the di5￿￿"0n of the charity. Reserves are to be used to fund activities, in line with the organisation's *ated objectives. The utilizaticn DI IE&eiveb will L)￿ i¥v1¥W￿ qu&rte¥ly. Note 1 to the financial statements contains the necessary disclosures relating to the Charity's ability to ¢ontinu¢ 88 8 going concem. Investment Policy Tho Cornmitt99'$ polt¢y for inv•stmonts is to invest in socurities that bp. rpstdily mnvgrted into cash whieh will provide income to supplement the organisations eharitable income. Regular reviews are camed out by The Commrttee ot the wort( undenaken by Gunningnam Co*es SEockbroKer5 on the Charitys behaff. Plans for fLrture periods The Charity's plans for future periods will remain broadly in line wrth its core organisational objective which is the developrnent of skills and people withln the agri-food industry. In the short term the -try at secondary 3nd foGus ￿111 be to continue to promote the 3ector818ttractivene4W of thc indu- tertiary level education by enlisting the help of young ambassadors from member companies- we also FOOD AND DRINK SECTOR SKILLS TRUSTEES. REPORT (CONTINUED) INCLUDING DIRECTORS, REPORT FOR THE YEAR ENDED 31 MARCH 2020 hope to develop the schoolslcompanies partnership furtherand one ofthe objectives from this Should be the employment of those yDunger people with less a¢8dèmic qualifications. This in tum will continue to help lead towards the realisalion of our medium and lorYJ-term goals forthe in(5ustry, being the Gommitment of bu8ine3se3. 9overnment and -tok¢holdcr in the edu¢8tion Soctor to an ¥li9nod strategy for sknlls and people development. targeting increased GVA and best in class operations. Tho onsot of Brgxit may provide opporbJnitiès #s the Charity can u50 r9.￿lJrCA to assist local companies through this process in temis of advice and ongoing support. pa￿cul8￿Y to the SME sector. COVID The onset ofCOVID and the lockdown meantthat FDSS was faced wlh a dramatic potential downtum in work with cancellations of all planned face to face meetings and presentations_ However. we were able to utilise Ihe furlough scheme to ses us through this. Whilst the short to middle tern picture is uncertain, we are continually seeking out wable areas of work, preferably ftjnded. ststement of Trustces. Rcspontsibilitiès The Trustees, who are also the directors of Food and Drink Sector Skills for the purpose of cornpany 18w, are responsible for preparing the Report and the accounts In accordance with appllcable13w and United Kingdom Aeeounting StsnA¥rd_* (Ilnitpd Kinudom General￿ Accèpted Accounts"no Praclicel. Lompany Law requires ihe Trustees io prepare account5 for edL41 fiii¢iiitial year which giv¢ a true and fair view of the state of affairs of the charitsble company and of the incoming resources and application of resources. including the income and expenditure. of the charitsble company for that year. In p￿parIng these accounts. the Trustees a￿ required to.. select suitable accounting policies and then apply them consisterrtly., observe the methods and principles in the Charities SORP.. makg jud9ements anLI esb"m•tÈs that arp rgx2nnAhlp and prudent- slate whether 8pplicable UK A¢¢ounting Standards h2ve been followed. subject to any material departures disclosed and explained in the accounts," and prp.pare the accounts on the golng concern basis unless rf( is inappropriate to presume th8t the Charity will continue in operation. The trustees are responsible for keeping adequate accounting recL)rds that disclose with reasonable accuracy at any lime the financial position ofthe Charity and enable them lo ensure that the accounts Gomply with the Companie3 Act 2006. Thcy are also responsibl8 for safeguarding the assets of thp Charity and hence for taking reasonable steps for the p￿vention and detection of fraud and other irregularities. The report Was approved by the Board of Trustees. On behalfo the board ¢.4£J Date: G Boyd Trustee FOOD AND DRINK SECTOR SKILLS INDEPENDENT EXAMINER'S REPORT TO THE MEMBERS OF FOOD AND DRINK SECTOR SKILLS FOR THE YEAR ENDED 31 MARCH 2020 We report to kne Trustee5 on our examinab.on of the financial statements of Food and Drink Sector Skills for the year ended 31 March 2020. Responsibilities and basis of report As Ihe Trustees of The Uhanry land also its directors for The purposes of company law) you are responsible for the preparation of the financial statements in accordan￿ with the requirements of the Companies Act 2006 {the 2006 Acll. Hawng satisfied outselves that the Charity Is not subject to audit under co￿panY law, and i5 Eligible for independent examin8tion, it is our responsibility to.. examine the accounts under section 65 of the Charities Act follow the proceduros laid down in the general directions givan by tha Charity Cornmission for Northern Ireland under section 6519llbl of the charib.es Act state whether particular matters have come to our attention. We have examined your Charity accounts as required under section 65 of the Chartties Act and our èxaminabon w?= G3rried out in accordance the general DireGlionÈ givtsn by thg Charity Commission for Northem Ireland under section 6519llbl of the Charities Act. The examination Included a revlew of the accountlng ￿CordS kept by ine Charfry and a compamson of tne accounts presented with those ￿cordS. It ?Iso included consideration of 8ny unusual items or disclosures in the accounts and seeking explanations from you as Chatity Twstees Con￿rning any such matters. Independent examlner's statement We have completed our examination. We confirm that no matters have come to our attention in nneGtion with the examination giving us caL5se lo believe that in any material respect.. 1 a￿OUntIng records were not kept in respect of the Charity as required by section 386 of the 2006 Act," or 2. the ffinancial statements do not accord with those records" or 3. the ffinancial statements do not comply wth the accounting ￿quIrernents of section 396 of the 2006 Act other than any requirement that the accounts give a tnje and fair view which is not a matter considered as part of an independent examination., or 4. the financial ststernents have not been prepared in accordan￿ wth the method5 and principles of the Statement c>f Recommended Practice for accounting and reporh.ng by charitiès applicable to charities prepanng their accounts in accorcIan￿ wth the Financial Kepornng stsnaard applicable in the UK and Republic of Ireland IFRS 1021. We have no concems and have come across no other matters in eonnection the examination to which attention should be drawn in this repon in oroer to enatrie a proper understan¢Slng of the finanaal statements to be reached. M¢TL Q,5 Moore IN I.) LLP 4th Floor Donegall House 7 Donegall Square North Belfast Datod.. 22nd Octobor 2020 FOOD AND DRINK SECTOR SKILLS STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2020 Unrestricted Restricted Funds Funds 2020 2020 Total Funds 2020 Total Funds 2019 Notès Income Charitable activities Investment ineome 1,959 6,035 5.714 1.959 6,035 5,714 25,500 10.295 157 Other Total income 13,708 13.708 35.952 Expenditure Charitable activities Other 160,8371 11.8501 {50.¥371 11.8501 16¥,8861 11.6751 Tgtal expenditure {62,6871 162.6871 167,5631 TT8nsfeT between funds Olher recognlsed galnslllossesl GainsllLossesl on investments 127.0991 127,0991 6,408 Net tnovementforthe year (76,0781 176,0781 1252031 ReconGiliations of funds Totsl fund5 brou9ht fonNard 183,047 183.047 208,250 Total funds carried forward 106,969 106,969 183.047 The Statement of Financial Activities includes all gains and losses in the year and therefore statement of total recognised o8ins and lossès has not been Prepared. Al of Ill￿ dbuve ciiiiourits r¥lat¢ to continuing aGtivities. The statement of financial activities also complies with the wuirements for an income and expenditure account under the compani￿ Act 2006. FOOD AND DRINK SECTOR SKILLS BALANCE SHEET FOR THE YEAR ENDED 31 MARCH 2020 2020 2019 Notes Fixed a55ets Tanglble a5seis Investments ,041 99,933 S61 168.895 100.974 169.456 Current as$ets Debtors Cash at bank and in hand 5.743 6,900 978 20,310 12.643 {6,6481 21.288 17,6971 Creditors: amounts falllng due wlthin cnp yV¢ll 10 Nèt current a55ets 5,995 13,591 Total assets less current liabilitiès 106,969 183,047 Funds Unrestricted funds 11-12 1U6.969 183,047 Total funds 106,969 183,047 These financial ststements have been prepared in accordance with the provisions applicable to Gharitsble ¢ompaniekl ￿￿b}ect to the Èm211 companio$ regime. The company is entitled to the exemption from the audit requirernent contained In 5ecUgn 477 vf Ihe Comp8ni•$ Act 2008. for the ye8r pndprl 11 Mareh 2020. The Trustees acknowledges their ￿sponsIbilitieS for ensuring that the ¢harity keeps accounting rprnrds which comply with section 386 of the Act and for preparing financial slaternenls which give a true and fair view of the state of affairs of the company as at the end of the financ181 year and of its incoming resources and application of resources, including its income and expenditure. for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise Comply Tmth the requirements of the Companies Act 2006 relating to financial slatemenls, so trdr as applicable to the company. The membeTS have not required the company to obtain an au(J These finanual statements were approved by the Trustees on the and are signed on their behalf by: Trustse G Boyd Company Registration Number: N1025853 The notes on pages 11 to 18 fonn part of these finanual statements 10 FOOD AND DRINK SECTOR SKILLS NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2020 Accounting poli¢ies Charlty infomiation Food and Drink Sector Skills is a private charitsble comp8ny limited by guarantee incorpordted in Northem Ireland. The registered office is Belfast Mills. 71-75 Percy Street, Belfast, BT13 2HW. 1.1. Accounting convention The financial statements are prepared in accordance with FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" ('FRS 102.1, 'Accounting 2nd Reporting by Charities" the Statement of Recommended Practice foT charities applying FRS 102, the Companies Act 2006 and UK Generally Accepted Accounting Practice as il applies from 1 January 2015. The Charitsble Company is a Public Benefit Entity as defined by FRS 102. The acwunls are prepared in steding, which is the funthonal currency of the Charitsble Company. Monetary amounts in these financial statements are rounded to the nearest £. 1.2. Going concèrn At the time of approving the accounts. the Trustees have reasonable expectation that the charitsble company has adequate resources to continue in operational existence for the foreseeable ftjture. Thus. the Trustees continue to adopt the going concern basis of accounting in preparing the accounts. The Trustees are Currently seeking alternative sources of funding and a￿ confident that futu funding will be secured through the Tasty Ca￿er$ pr￿raMMe and Improve. However, given the current economic dimate there is considerat>le uncertainty at the present tlme that other additional future funding will be available. The Trustees are of the opinion that the Ch8rity has uifibiviil uiiiv>liiLted Evselv￿￿ to coiitinue as a going conGErn for a period of at least Iwelve months from the date of signirig the financial statements. As a result, they ￿lIeVe that it is appropriate to p￿pare the financial ststements on the going Concern basis. 1.3. Charitable funds Un￿Stricted tunds are available tor use at tne aisttevon of me Trustees in fUrtneran￿ of thelr charitable objectives unless the fvnds have been designated for other purposes. Restricted funds are subject to spe¢ifi¢ 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. 1.4. Investments Fixed asset investments, other than progtxmme related investsnents, are included at market value at the balance sheet date. Realised gains and losses on investments a￿ calculated as the difference btheen sales procÈ8ds and their market value at the stsrt ofthe year. or Iheirsubsequent cost. and are charged or Credited to the stslement of financial activitie5 in the year of disposal. Un￿alised gains and losses ￿present the movement in market values dLJring the year and are creditod or charged to thg statomont of financial grtivitip.8 hx%g.rl nn thp m2rket valuè at the year end. Programme related investments are made in furtherance of the Chari￿$ objects and 8ny investment relum is secondary to the Charitable purpose sUPPOrted by the investment. Such snvestments are included at their o￿t. Any lo8- or impairmcnt oritring frorn such investments is charged as part of charitable activities within the ststement of financial activities. 11 FOOD AND DRINK SECTOR SKILLS NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2020 1.5. Income All Income is incluclett in the statement Of financi81 activities wnen the Chamty Is eniiue(J to the income, receipt is probable, and the amount can be quantified with reasonable accuracy. The follow2ng specffic policies are applied to particular categories of income.. Voluntary income 15 received by way of grants, donations and gifts and is included in full in thè Ststement of Financial Activities when receNable. Grants, where entitlement is not condition81 on the delivery of a spècific performance by the charity, are recognised when the Charity becomes unconditionally ents￿ed to the grant. Donated services and facilities are inGluded at the value to the Charity where this c2n be quantified. The value of services provided by volunteers has not been included in these accounts. Income derived from events is reCK)gn￿ed as eamed (that is, as the related goods or services are prowdedl. Investment income is included when receivable. Income from charitable activities includes income recognised as eamed las the related goods or services are provided) under contract or Whe￿ entrtlement to grant funding is subject lo specrfic performan¢e Conditions. Grant income induded in this category prov&des fvnding to support programme aclivilie5 and is r¢co9nised where there is entittetnent. probable ￿ceipt and the amount Can be measured wth sufficient reliability- 1.6. Expenditure Expenditure is recognised on an 8¢¢ruals basis as 3 liability is incurred. Funding provided through contractual agreements and performance related grants a￿ recognised as goods or services are supplied. Other grant payments are recognised when a consthjctive obligation arises that resutts in the payment being un8voidable. Expenditure on Charitable activities are those costs incurred in attracting voluntary in￿me. and those incuffed in trading activities that raise fvnds. Govemance costs include those incurred in the governance of its assets and are primarily assoaated with constitutional and statutory requirement5. All costs are allocated between the expenditure Cat￿orIeS of the SOFA on a basis designed to reflect the us8 of the resource. Costs relating lo a parbcuiar activity are allo¢ated diredy,. other5 a￿ apportioned on an approprtate basis. 1.7. Fixed assets Fixed assets are initially measU￿d al cost 8ftd subsequentty me8sured at cost or valuation, net of depreaation and any impaiment losses. Depreciation is calcu5ated so as to write off the cost of an asset, less its estimated resiLIu81 value. over the useful economic lrfe of that asset as follows.. offi￿ equipment Printèrg, copi•rs and scanners 330/0 Straight line 200/¢ Straight line 1.8. Cash at bank and in hand Cash and cash equivalents include cash in hand, deposits held at call with banks, other short- tem liquid investments with original m8turitie8 of three month4¥ orle-=, and bank overdr2ft8. Bank overdrafts are shown within borrowings in current liabilities. 12 FOOD AND DRINK SECTOR SKILLS NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2020 1.9. Financial instruments The company has eiecteu to apply ihe provisions of SeciTon I I 'Ba5ic Fi1I115lbl