Kent Union Financial Statements 2011-12

FinancialStatements31 July 2012

Kent UnionFinancial Statements

31 July 2012

CONTENTS PAGE

Reference and Administration Information 3

Report of the Trustees 5

Independent Auditors’ Report to the Members 20

Consolidated Statement of Financial Activities 21

Consolidated Balance Sheet 22

Kent Union Balance Sheet 23

Consolidated Cash Flow Statement 24

Notes to the Consolidated Financial Statements 25

Kent Union Financial Statements 31 July 2012Page 3

REFERENCE AND ADMINISTRATION INFORMATION

Kent Union is the students’ union of the University of Kent; it incorporates the Universities at Medway Students’ Association (UMSA) and all properly affiliated clubs and societies of both Kent Union and UMSA. It is also known as the Union, the University of Kent Students’ Union, UoK Students’ Union and Kent Students’ Union; its legal name is Kent Union. The principal addresses and places of business of Kent Union are:

Kent Union The Universities at Medway Students’ AssociationMandela Building Pilkington BuildingThe University North RoadCanterbury Chatham MaritimeKent, CT2 7NW Kent, ME4 4JBTel: 01227 824200 Tel: 01634 888989Fax: 01227 824204 Fax: 01634 888992www.kentunion.co.uk www.umsa.org.uk

Trustees

President and Chair Tom Ritchie (1 July 2011 to 30 June 2013)Education Officer Lauren Crowley (1 July 2010 to 30 June 2012) Alex Murray (1 July 2012 to 30 June 2013)Welfare Officer Colum McGuire (1 July 2011 to 30 June 2013)Sports Officer Hannah Davis (1 July 2011 to 30 June 2012) Matt Harris (1 July 2012 to 30 June 2013)Student Activities Officer Kenny Budd (1 July 2011 to 30 June 2013)Student Trustee Etienne Churet (1 November 2010 to 31 October 2011)Student Trustee Sue Shepherd (1 November 2010 to 31 October 2014)Student Trustee Emily Morrey-McGrath (1 July 2011 to 30 June 2012)Student Trustee Yin Lee (1 November 2011 to 31 October 2013)Student Trustee Phil Butler (1 July 2011 to 30 June 2012)Student Trustee Misha Upadhaya (1 July 2012 to 30 June 2013)Student Trustee Maya Esslemont (1 July 2012 to 30 June 2013)External Trustee, Vice Chair and Derek Smith (1 July 2010 to 30 June 2013)Chair of Finance and Risk Committee External Trustee and Chair of Kate Heywood (1 July 2010 to 30 June 2013)Appointments and Governance Committee External Trustee Matt Williams (1 July 2010 to 30 June 2013)External Trustee Ted Friswell (1 July 2011 to 30 June 2014)

Senior Management

Chief Executive Jim GardnerDirector of Finance and Technology Peter ColeDirector of Graduate Employability Kirsty Monkand Medway Director of Operations Tony LoganDirector of Marketing Hannah Wallingtonand Business Development


Principal professional advisors

The principal professional advisors of Kent Union are:

Bankers National Westminster Bank 11 The Parade Canterbury, CT1 2SQ

Solicitors Furley Page Solicitors Admiral’s Offices, Main Gate Road The Historic Dockyard, Chatham ME4 4TZ

Auditors Crowe Clark Whitehill LLP (formerly Horwath Clark Whitehill LLP) Arkwright House, Parsonage Gardens Manchester, M3 2HP Insurance Brokers Endsleigh Business Insurance Services Hadley House, Shurdington Road Cheltenham Spa, GL51 4UE

External Affiliations

Under the Education Act 1994, the Union is required to report to its members, on an annual basis, all current external affiliations. As at 14 September 2012, the Union was affiliated to the following organisations:

• The National Union of Students (NUS)• National Union of Students Services Limited (NUSSL)• National Council of Voluntary Organisations (NCVO)• British Universities and Colleges Sport (BUCS)• The UK Council for International Student Affairs (UKCISA)• The National Association of Student Money Advisors (NASMA)• Association of International Student Advisers (AISA)• The National Association of Student Employment Services (NASES)• Advice UK• Child Poverty Action Group (CPAG)• The National Association of Citizens Advice Bureaux (NACAB)


REPORT OF THE TRUSTEESYEAR ENDED 31 JULY 2012

Introduction

The Trustees submit their annual report and financial statements for the year ended 31 July 2012. In preparing this report, the Trustees have complied with the Charities Act 2006, the Accounting and Reporting by Charities: Statement of Recommended Practice (revised 2005) (‘the Charity SORP’) and the constitution of Kent Union.

Structure, Governance and Management

Structure

Kent Union is an unincorporated association and a registered charity, registration number 1138210.

Kent Union is a membership organisation that is governed by a written constitution and via democratic structures detailed in its constitution. Students of the University of Kent automatically become members of Kent Union as soon as they enrol at the University. Students have the right (under the Education Act 1994) to ‘opt-out’ of Union membership; once their student status at the University of Kent ends they lose their membership of Kent Union. The Union’s constitution is reviewed at least every five years and any changes approved by the membership, through General Meeting or Referendum, and by the University of Kent, through its Senate. The constitution was revised and approved most recently in June 2010, following a comprehensive review of the Union’s governance arrangements.

The Union’s constitution provides for the following democratic structures:

Referenda & Elections

General Meetings(including an Annual General Meeting)

7 Elected Trustees (of 13)

Union Council


Governance

The Union’s Board of Trustees consists of five sabbatical officers, four student trustees and four external trustees. The sabbatical officers are elected by and from the Union’s membership on an annual basis, serving from 1 July to the following 30 June. The sabbatical officers work full-time for the Union, receiving an allowance and completing a portfolio of duties, alongside their role as trustee of the Union. They may stand for re-election for a second year but, under the Education Act 1994, may only serve for two years in total. Two of the student trustees are also elected by and from the membership and the other two are selected from amongst the Union’s members; the student trustees are not employed by the Union and do not receive an allowance; the two elected student trustees serve a one year term of office; the two selected student trustees serve a term of office of up two years and can be reappointed subject to Board of Trustees approval. The external trustees are appointed via an open recruitment process and serve a three year term of office, and can be reappointed for further terms subject to Board of Trustees approval.

The Trustees receive a comprehensive induction during July and August each year, co-ordinated internally by the Executive Assistant & Governance Support Manager and the Chief Executive. The programme includes internal training and courses as well as attendance on courses run by the National Union of Students. The Board undergoes an annual appraisal facilitated by an external consultant, most recently in February 2012. The Board meets at least four times a year, with the Chief Executive in attendance.

Management

The Trustees are responsible for protecting the values of the Union, as set out in the Union’s Values Statement, and ensuring that the Union is working towards its vision and delivering its charitable purpose (see Our Charitable Purpose, Our Vision and Our Values on page 8). The trustees are responsible for approving the strategy, major plans (including the annual budget and long-term financial goals) and policies of the Union and for ensuring that these are implemented. The Trustees delegate much of the day-to-day running of the Union to the Chief Executive and Director Group, who oversee the Union’s 600 staff. At 31 July 2012 the Management Structure of the Union was based around four ‘directorates’, each headed by a Director who reports to the Chief Executive:

The organisation is further divided into 11 departments, headed up by a senior manager of the Union, each of whom reports to one of the Union’s directors. The Trustees also utilise three formal committees of the Board – Finance and Risk Committee, Appointments and Governance Committee and Campaigns and Marketing Committee. The Union also has a further three scrutiny committees, Health and Safety, Equal Opportunities and Environment and Ethics committees, but as part of the management arrangements of the Union rather than as part of its governance arrangements. These committees operate to terms of reference, approved by the Board of Trustees.

Chief Executive

Director of Operations

• Retail• Licensed Trade• Advice Services• Nursery• Jobshop

Director of Finance and Technology

• Financial reporting and management

• Audit• Technology• Ethical and

Environmental• Risk Management

Director of Marketing & Business Development

• Marketing• Advertising Sales • Sponsorship• Press & PR• Democracy &

Representation• Student Media• Community

Relations

Director of Graduate Employability and Medway

• Medway operations• Student Activities• Graduate

Employability• Equality and

Diversity


Finance and Risk CommitteeThe Finance and Risk Committee has delegated responsibility on behalf of the Board of Trustees, for ensuring that the Union complies with relevant legislation and regulations; that the Union remains solvent and in sound financial health; and for analysing and managing the Union’s overall risk profile.

Appointments and Governance CommitteeThe Appointments and Governance Committee has delegated responsibility on behalf of the Board of Trustees, for appointing, inducting, supporting and developing the Chief Executive, Student Trustees and External Trustees and for inducting, supporting and developing the sabbatical officers; the Committee is also responsible for promoting good governance, reviewing the Union’s governance arrangements on a continuous basis and identifying opportunities to improve the Union’s governance.

Campaigns and Marketing CommitteeThe Campaigns and Marketing Committee has delegated responsibility on behalf of the Board of Trustees, for overseeing the Union’s priority campaigns and ensuring those agreed are being implemented and that the Union is progressing its campaign objectives. The Committee is also responsible for overseeing the Union’s marketing management, including press and public relations, sponsorship and advertising sales, and fundraising, and for ensuring that the Union meet the needs of its members; this includes scrutinising the Union’s marketing strategy and marketing plans and overseeing the interface between marketing management and democratic engagement.

Health and Safety CommitteeThe Health and Safety Committee oversees the Union’s management of health and safety, provides a forum for consultation with staff and trade unions on health and safety matters, and oversees the Union’s health and safety policies, procedures and systems.

Equality, Diversity and Inclusiveness CommitteeThe Equal Opportunities Committee is responsible for promoting best practice with regard to equality of opportunity across all areas of the Union; it is also responsible for drawing up an Equal Opportunities Policy and developing a subsequent strategy.

Environment and Ethics CommitteeThe Environment and Ethics Committee is responsible for promoting best practice with regard to environmental and ethical issues across the Union; it is also responsible for developing and implementing an environmental and ethical strategy.

Auditors

The Union’s auditors, Crowe Clark Whitehill LLP have expressed their willingness to accept reappointment as auditors.

Public benefit

The Trustees have had regard to the Charity Commission’s guidance on public benefit. The ways in which the Union demonstrates how it provides public benefit are included in its review of objectives and activities which follows.


Objectives and Activities

Our Charitable Purpose

Kent Union’s charitable object, as detailed in its constitution, is the advancement of education of students at the University of Kent for the public benefit.

Our Vision

Our vision is to be an exceptional organisation that has a lasting impact upon the world around us, through helping our members grow as people, representing their views to improve the educational experience at the University of Kent and being a sustainable and responsible organisation.

Our Values

Democratic - we are student led through strong democratic structures; we believe in the principle and power of democracy; our members play an active role in our democracy and in society.

Outstanding - we know that our stakeholders expect a lot from us, so we endeavour to excel at everything we do – representing students and providing high quality services.

Inclusive - we have a deep belief in the principle of equality of opportunity and take positive action to promote diversity; we campaign on behalf of discriminated-against groups and have an inclusive culture.

Responsible - we are an open, transparent and responsible organisation; we have strong and effective governance arrangements; we implement best ethical and environmental practice and are committed to the principle of volunteerism.

Professional - we have a professional management team and professional staff and we are an outstanding employer; we create a positive working environment in which our staff enjoy work and are passionate about what they do.

Detailed below is how Kent Union’s activities and the services we provide our members aim to support and deliver in practice our public benefit, charitable purpose, vision, and values.

Representation and Democracy

Students studying at Kent at the Canterbury, Medway and other campuses engage in the representative and democratic structures throughout their time at the University of Kent. In 2011/2012 there were 350 students elected as Course Reps to represent the views of their peers to the University on all matters regarding learning and teaching. The Course Reps are trained and supported by Kent Union and rewarded at the end of the academic year with a certificate for their volunteering.

There are 6 student committees that operate across the Canterbury campus to represent the education and welfare issues of students on campus. Kent Union runs elections for all of the committee president positions, provides them with budgets for the year and trains them to run events and represent the views of students. The committees run a large number of events and campaigns during the year in which students can participate. In 2011/12 66 students volunteered as committee members and represented the views of 4,000 students.

The sabbatical officers and student trustees are elected by and from the Union’s membership on an annual basis. 18,231 votes were cast by 4,544 voters in these elections in March 2012, with 25% of registered Kent Union voters taking part. This represented one of the highest students’ union election turnouts in the UK in 2012.

UMSA organises Student Forums where all Medway students can raise issues relevant to their experience with the link officers from the three University Students’ Unions and supported by the staff of UMSA. A range of events is organised by UMSA through the year in which all students can participate as well as supporting student clubs and societies in their organising of events for all Medway students.


Student Activities

Sports and Societies

Students at Kent and within UMSA can join 68 sports clubs covering a huge variety of sports, or 216 societies covering a wide range of activities to enhance and enrich their time at Kent. In 2011/2012 there were 3,095 individual sports club members and 3,645 total sports clubs members including participants in more than one club, and 5,260 individual society members and 7,003 total society members including participants in more than one society. Each sports club or society is run by Kent students, for Kent students, or at Medway is run by UMSA students. Each group has an elected committee and individual constitution (guided by the Kent Union constitution) to set out the aims and objectives of the group. Training and support is given to each committee, covering amongst other things: democracy and representation, health and safety, finance, equal opportunities, fundraising and event planning to enable each group to run effectively.

The constitutions and aims of each group are considered and approved by the elected representative committees for sports or societies, Team Kent Executive Committee or Societies Federation Committee respectively. These decisions are ratified or otherwise by the collective bodies for each area (Sports Council or Societies Federation). For Sports clubs budgets are allocated to each group on an annual basis, following a budget application that is submitted by each committee. For Societies funding is allocated according to membership figures linked to a model voted on by the Societies Federation, where every society is given a voice.

All committee members are encouraged to sign up for the Kent Student Certificate for Volunteering (KSCV) or Stand Out Certificate (SOC) to recognise their achievements. The Colours Ball and Activities Awards are annual events that celebrate the achievements of the sports clubs and societies, including Green Colours for club administration for a 2 year period, Blue Colours for those who have competed at a regional level, Red Colours for those who have competed for their country, Outstanding Administrator award, Sportsman of the Year, Sportswoman of the Year, Team of the Year, Outstanding Individual of the Year and Club of the Year and for Societies there is Best New Society or Student Led Volunteering Group (SLVG), Best Trip or Event of the Year and Best Society/SLVG awards.

Student Media

InQuire is a bi-monthly, independent newspaper produced on a voluntary basis by students at the University of Kent. With a print-run of 1,500 copies and 24 pages, the paper is run by the Newspaper Editor, a Chair (handling all ‘off-paper’ issues) and a team of sub-editors who take charge of the various sections of the paper. The Student Media Manager is responsible for InQuire’s budget and proofing of the paper. InQuire also produces issues with 2,000 print run and 28 pages during the elections period, and busy times such as Welcome Week and Varsity.

InQuire also has an online presence at www.inquirelive.co.uk, on which all of the content is original and not simply a duplication of inQuire newspaper. Staffed by a separate editorial team but working very closely with the paper, this allows events to be covered on a daily or even hourly basis. In addition, it allows instant feedback from our readership who regularly comment on articles appearing on the site, encouraging and sparking debate amongst both readers and editorial staff. During the academic year 2011/2012, 240 student volunteers worked across both platforms.

CSR is a community radio station broadcast from two studios at the University of Kent and Christ Church University and jointly funded by these two bodies and their respective students’ unions. The station is run by volunteers (270 during the 2011/12 academic year – a record number) drawn from the two universities and the wider Canterbury community. CSR was the first student led community FM radio station in the country and has a 5 year license with Ofcom, recently extended to 2017.

An executive group of 4 key student volunteers is responsible for the day-to-day running of the station. Below this group are heads of department overseeing the very different and specialised aspects of running a radio station – from producing factual speech shows to reviewing music, building IT systems or ensuring community relations. CSR has had one of its most successful years to date, with record membership figures, unprecedented amount of live outside broadcasts and continued excellent graduate employability opportunities.


The project as a whole is overseen by a Board of 15 directors of Canterbury Youth and Student Media Limited, made up of representatives from the funding bodies plus key student representatives and external Directors. This Board is advised by the Student Media Manager and Company Secretary who acts as a link between the Board and the station executive.

This year, a brand new TV Station, Kent Television (KTV), will also operate within the Student Media Department.

Volunteering

Kent Union helps and supports students to volunteer for activities in the local community in Canterbury and Medway. The service helps students find appropriate placements and supports student led volunteering groups.

During 2011/2012 the volunteering database had just over 1,800 students registered on the database. Throughout this year the Volunteer Coordinator, Volunteer & Skills Development Coordinator (based at the Medway campus) and the Graduate Employability Coordinator have been working with MSL the provider of the Kent Union website to create a new Employability and Volunteering (E&V) toolkit. This toolkit will enable students to browse for volunteering opportunities, record their volunteering hours and employability skills, as well as record any paid work which they may do. As this is a new toolkit that currently doesn’t have any registered volunteers it is envisaged that the total number of registered volunteers may fall slightly during the first year.

Kent Union has been reaccredited with Investing in Volunteers status, the UK quality standard for all organisations which involve volunteers in their work.

Kent Student Certificate for Volunteering (KSCV) is a joint award from Kent Union and the University of Kent that recognises volunteering achievements. The highest level of the award, KSCV Platinum involves completing four modules of volunteering across one academic year, as well as a panel presentation, a portfolio of evidence and a written assessment to gain this award, which can also count as a 15 credit bearing module. The number of students taking the module this year has increased from 1 in 2010-11 to 17 in 2011-12, with capacity of the module now being at 50 students for 2012-13. For the other KSCV awards (Silver and Gold) volunteers are required to undergo a review session, set target objectives and monitor their progress throughout the year. This year 270 volunteers gained the KSCV Gold award, more than ever before and in total this year volunteers have logged 82,024 volunteering hours, an increase of over 36,000 hours in comparison to 2010-11.

There are a number of different types of volunteering that Kent students can get involved with. These include:

• Community placements - usually involving a regular commitment (for example in a charity, school or hospital setting). There are a wide range of roles available such as mentoring, fundraising, running group activities, gardening, catering and administration

• Student led volunteering groups (SLVG) - activities organised and run by students independently of an outside organisation. These projects include fundraising activities, awareness campaigns, running group activities and providing services

• One-off projects or events - these provide a good way to do some volunteering without regular commitment. One off events that have been organised this year include litter picks, painting projects, shrub clearance and fundraising events

• Club or Society Committees - each of the many societies and sports clubs has a committee responsible for running the group

• Course Representatives - students volunteer to represent the views of their peers about academic related issues

• Widening participation project in conjunction with the Partnership Development Office at the University. This has involved 18 volunteers going into two schools (three classes) to deliver a drama and literacy project based on Fantastic Mr. Fox at the Canterbury site and 8 volunteers volunteering in two primary schools to deliver literacy support sessions at the Medway site. There are plans to expand both projects in 2012/2013


• Raise and Give (RAG) - RAG is a fundraising group that works to raise funds for charities locally, nationally and internationally

• Welcome Week - Welcome Week is an extremely popular time for students to volunteer to engage with new students on campus in September. Activities include assisting new students to locate their rooms, helping to carry possessions to the room and providing information on accommodation and the campus. UMSA supports the Welcome Week activities and associated volunteering opportunities at the Medway site

Advice Services

The Advice Service provides advice, information and representation to all full members of Kent Union and the partnership universities at Medway. This also includes students who are studying at FE colleges on University of Kent validated courses. There is an advice centre located on both the Canterbury and Medway campuses. In addition we have an Advice and Outreach worker who is able to provide the same service to students studying at franchise colleges. We are also able to advise prospective students who have enquiries in regard to immigration and funding issues.

The aims of our service are to enable clients to make informed decisions having first been provided with all of the options available to them. The service is free and confidential and advisers do not make judgements on how their clients got into difficulty. Students are interviewed in a confidential space and case notes are kept on an electronic database and are totally confidential.

Advice is offered on a wide range of topics which can include immigration issues, housing issues, financial issues including student funding, multiple debts and other money related issues such as budgeting. We offer advice on academic issues and will attend appeal hearings to support students. We are also able to give advice on consumer issues, welfare benefits and employment. To ensure that the advice we give is accurate and up to date, the information system used by Citizens Advice is utilised, updated monthly. All staff giving advice are fully trained as generalist advisers and also specialise in a particular area of interest. For example, one of the advisers specialises in debt, and the advice centre provides a Money Advice Service.

The Advice Centre offers assistance to students who wish to make an academic appeal or who are required to attend an academic hearing or panel. Advisers have supported students and assisted in the preparation of appeal statements and/or provided support at a hearing.

The Advice Service in Canterbury holds a Community Legal Services Quality Mark. Every two years we undergo an Audit to ensure that we are still adhering to the nationally recognised standards of best practice in advice. Our Audit was conducted in November 2011 and we successfully passed the audit which allows us to continue to hold the Quality Mark for another two years. The Advice Service in Medway holds a preliminary Quality Mark and will be audited for the full Quality Mark during the 2012/2013 academic year.

In the 2011/2012 academic year, 3,334 new cases were opened at Canterbury and 1,316 cases at Medway. This represented increases of 7.4% and 2.7% respectively at the two campuses. The majority of these cases covered finance, immigration, housing and assistance with academic appeals. This total does not include all of the ongoing casework that was dealt with and neither does it include all the other services we provide for students in regard to giving talks and having a presence at the different events such as freshers’ fayre around campus during the year. The total does however include enquiries made via our Drop In Service at both campuses, the Advice Email service and our telephone Help Line.

Jobshop

The jobshop@kent service offers help and advice to students at the University seeking paid employment whilst they study. Students have come under increased financial pressure in recent years and coupled with a competitive graduate recruitment market, finding work has become an essential part of University life for many students. Part-time employment not only provides a valuable income but also practical work experience that future employers value.

Students have a one-stop service with jobshop@kent; part-time, temporary and some graduate roles are advertised on-line, via their social media sites Facebook and twitter and also on notice boards on the


Canterbury and Medway campuses. These roles are located within Kent Union, University departments and a wide range of organisations. They also offer information on taxation, National Insurance, working in the UK as an international student, preparing CVs and completing application forms. Students registered with the service can also gain access to all vacancy details on-line and attend CV and interview skills workshops throughout the year.

In 2011/12, 2,898 vacancies were advertised. In addition to these, 215 individual students were employed directly by the service to fulfil temporary or translation assignments and 5,500 students have registered with Jobshop. Overall we have grown student temping by 60% and the number of students registered with Jobshop by 10%.

Nursery

The Oaks Day Nursery is open Monday to Friday for 50 weeks of the year from 8am to 6pm. It is registered for 65 children a day aged from 3 months to 5 years. The Nursery holds Kent Quality accreditation, providing high quality childcare to staff and students of the University of Kent, Kent Union, and families from the wider community. The families using the service are predominately university staff and children attending are from diverse and multi-cultural backgrounds. 32 children have family groups which are bi-lingual or have English as a second or third language. The nursery aims are to be a leading full day care setting in the Canterbury district to serve the University of Kent’s students, staff, Kent Union staff and the wider community in providing competitive, flexible childcare, and to ensure that children receive a high quality learning experiences led by a team of professional, qualified staff.

For the year to 31 July 2012 the nursery had a total of 114 children on its roll of which 55 are children of University of Kent staff, 47 children are from families in the local community, 9 have student parents and 3 Kent Union staff parents. A total of 47 children accessed the government nursery education grant for 3-4 year olds.

Operating Activities

Specific activities that were planned for the period 1 August 2011 to 31 July 2012 can be grouped into five main areas, in line with the Union Strategic Plan – Creating Change, Enhancing the Student Experience, The Voice of Students, Supporting Graduate Employability and Sustainable and Healthy Organisation. These are detailed below:

Creating Change

• Our members will have cast 160,000 votes in our democratic processes and at least 35% of our members will have voted in a Kent Union election at some stage in the year

• At least 2,250 of our members will be actively participating in voluntary activity through Kent Union, donating 75,000 hours of their time to the community

• We will have achieved Investors in Diversity Level 2 status and confirmed our action plan to achieve Leaders in Diversity status

• We will have raised at least £20,000 of external funding for volunteering or environmental initiatives• We will have developed an action plan to ensure that our members’ demographics are reflected in the

active membership and staff of Kent Union

Enhancing the Student Experience

• We will have completed the internal elements of the strategic review of our advice services • We will employ 550 students directly or through Jobshop and put £800,000 back into students’ pockets in

staff wages during the year • We will have increased the number of students involved in clubs and societies to 40% of our

membership, whilst retaining members’ satisfaction• 80% of our members will rate Kent Union as either Good or Very Good in our annual student satisfaction

survey • We will have secured at least £150,000 from fundraising campaigns • We will have developed a firm proposal for a new Union building providing a mix of commercial and

membership services and submit a proposal to the University


The Voice of Students

• We will publish at least 3 campaign objectives for the year and achieve at least 50% of the objectives• 50% of our members will agree that their course rep provides them with effective representation • We will have received at least 1,000 submissions to our new Teaching Awards • We will produce an annual report of our successes in this area for the Board of Trustees

Supporting Graduate Employability

• We will increase the total number of students who work for the University or Kent Union by 5% • We will introduce the new system for certifying all training for student staff and 100 student staff will leave

with the new certified transcript of courses they have done• We will have developed a clear plan to utilise student interns and work placements to help students

develop transferable skills• 300 students will graduate with our new ‘skills transcript’, detailing the transferable skills that they

developed through involvement in Kent Union activities or employment

Sustainable and Healthy Organisation

• We will build our reserves, generating an annual surplus• We will reduce our carbon footprint per full time equivalent employee by 3%• We will allocate 5% of our capital expenditure budget for initiatives that reduce our carbon footprint• We will achieve 100% compliance against the NUS Code of Good Governance for Students’ Unions• We will have finalised the business plan and architect’s drawings for the new Nursery building and works

will have started• We will achieve a place in the Sunday Times 100 Best Places to Work in the Public/Third Sector• We will retain our Full Assurance from the University Internal Audit• We will receive an Unqualified Audit Opinion from the Union’s external auditors

Achievements and Performance

In total, Kent Union achieved in full 13 of its 27 major objectives for the year, partly achieved a further 10 objectives and failed to achieve 4 objectives. Notable successes included:- delivering 3 priority campaign objectives in the year, a ‘True Costs’ campaign designed to make university more accessible for students by reducing unnecessary cost, work with the Gulbenkian to make it more student focused, providing a better student experience, and working to get the agreement of the University of Kent to creating exam feedback for all students; employing 665 students directly or through Jobshop and putting £888,000 in students’ pockets through staff wages paid in the year; reducing our carbon footprint per FTE by 3.1% on a like for like basis; significantly increasing the proportion of our members who agree that their course rep provides them with effective representation; and being ranked 35th in the Sunday Times Best Places to Work in the Public/Third Sectors 2012, an outstanding achievement. A detailed breakdown of performance against the 26 major objectives for the year is shown below:

Creating Change

• Our members will have cast 160,000 votes in our democratic processes and at least 35% of our members will have voted in a Kent Union election at some stage in the year Not Achieved – 34.3% of our members voted in a Kent Union election during the year

• At least 2,250 of our members will be actively participating in voluntary activity through Kent Union, donating 75,000 hours of their time to the community Partly achieved – 1,800 members have signed up to the KSCV award, donating 82,000 hours of their time to the community

• We will have achieved Investors in Diversity Level 2 status and confirmed our action plan to achieve Leaders in Diversity status Partly achieved – Level 2 award gained, and our action plan for Leaders in Diversity is to be reviewed by our IID assessor and leadership team

• We will have raised at least £20,000 of external funding for volunteering or environmental Initiatives


Not Achieved – approximately £2,000 was raised and this ongoing objective will be the subject of greater focus in 2012/2013 consequent from the appointment of the Director of Marketing and Business Development part-way through the 2011/2012 year• We will have developed an action plan to ensure that our members’ demographics are reflected in the

active membership and staff of Kent Union Partly achieved – action plans in place for student membership usage data. Staff demographics report and plan to go to the November 2012 Equality, Diversity and Inclusiveness Committee

Enhancing the Student Experience

• We will have completed the internal elements of the strategic review of our advice services Partly Achieved – we are collating benchmarking data and statistics from the 2011/2012 academic year and we will conduct student research and focus groups during term 1 2012/2013• We will employ 550 students directly or through Jobshop and put £800,000 back into students’ pockets in

staff wages during the year Achieved – 665 students employed directly or through Jobshop and £888,000 paid in student staff wages in the year• We will have increased the number of students involved in clubs and societies to 40% of our membership,

whilst retaining members’ satisfaction Partly achieved - 32.3% of our members participated in clubs and societies during the year; the satisfaction levels of students participating in both sports clubs and societies increased compared to the previous year• 80% of our members will rate Kent Union as either Good or Very Good in our annual student satisfaction

survey Not achieved – 78% of our members rated Kent Union as either Good or Very Good, slightly below the target• We will have secured at least £150,000 from fundraising campaigns Not Achieved – this ongoing objective will be the subject of greater focus in 2012/2013 consequent from the appointment of the Director of Marketing and Business Development part-way through the 2011/2012 year• We will have developed a firm proposal for a new Union building providing a mix of commercial and

membership services and submit a proposal to the University Partly Achieved – we are well progressed with developing the proposal and have secured funding from the University for a consultant to conduct a feasibility study


• We will publish at least 3 campaign objectives for the year and achieve at least 50% of the objectives Achieved – the 3 priority campaign objectives in the year were a ‘True Costs’ campaign designed to make university more accessible for students by reducing unnecessary cost; work with the Gulbenkian to make it more student focused, providing a better student experience; and working to get the agreement of the University of Kent to creating exam feedback for all students; 85% of all sabbatical officers’ manifesto commitments were successfully delivered• 50% of our members will agree that their course rep provides them with effective representation Achieved – 68.4% of our members agreed that their course rep provides them with effective representation • We will have received at least 1,000 submissions to our new Teaching Awards Achieved - approximately 1,500 submissions were received• We will produce an annual report of our successes in this area for the Board of Trustees Achieved - an annual report for the Board of Trustees has been prepared



• We will increase the total number of students who work for the University or Kent Union by 5% Achieved – the total number of students employed increased by more than 5%• We will introduce the new system for certifying all training for student staff and 100 student staff will leave

with the new certified transcript of courses they have done Achieved – customer service and health & safety training for all new student staff certified and 147 certificates issued • We will have developed a clear plan to utilise student interns and work placements to help students

develop transferable skills Achieved – plan developed and funding in place to run intern programme for 2012/13• 300 students will graduate with our new ‘skills transcript’, detailing the transferable skills that they

developed through involvement in Kent Union activities or employment Partly achieved – we have developed our Employability toolkit and run a pilot scheme involving 120 students Sustainable and Healthy Organisation

• We will build our reserves, generating an annual surplus Achieved – we recorded a surplus during the year, enabling us to build our reserves • We will reduce our carbon footprint per full time equivalent employee by 3% Achieved – on a like for like basis our carbon footprint per FTE fell by 3.1% compared to the previous year• We will allocate 5% of our capital expenditure budget for initiatives that reduce our carbon footprint Achieved – 5% of our capital expenditure budget was allocated and is being committed for spend in 2012/2013, along with that year’s allocation, for carbon footprint initiatives relating to the new retail development and other capital projects• We will achieve 100% compliance against the NUS Code of Good Governance for Students’ Unions Partly Achieved – we have achieved over 95% compliance against the Code and have an action plan in place to achieve the final 5%• We will have finalised the business plan and architect’s drawings for the new Nursery building and works

will have started Partly achieved – the business plan has been completed and approved by the University for Kent Union to manage the new operation, but the location of the proposed site is no longer suitable and a new on campus site is being reviewed and architect’s plans being developed • We will achieve a place in the Sunday Times 100 Best Places to Work in the Public/Third Sector Achieved – we retained our place in the Sunday Times 100 Best Places to Work in the Public/Third Sector• We will retain our Full Assurance from the University Internal Audit Partly achieved – the Union retains its Full Assurance level from the previously completed Planning, Budgeting and Financial Systems Audit, and received a Satisfactory Level of Assurance, the second highest level available, in the Income and Cash Collection audit completed during the year • We will receive an Unqualified Audit Opinion from the Union’s external auditors Achieved


Financial Review

Responsibilities for the Accounts and Financial Statements

The Charities Act 2006 and the Constitution of Kent Union require the Trustees to prepare financialstatements for each financial year that provide a true and fair view of the Union’s financial activitiesduring the year and of its financial position at the end of the year. In preparing these financial statements,the Trustees are required to:

• Select suitable accounting policies and then apply them consistently• Make judgements and estimates that are reasonable and prudent• State whether applicable accounting standards have been followed• Prepare the financial statements on a going concern basis unless it is inappropriate to presume• that the Union will continue in operation

The Trustees are responsible for keeping proper accounting records, which disclose with reasonableaccuracy the financial position of the Union at any time and ensure that the financial statements complywith applicable law and regulations. The Trustees are also responsible for safeguarding the assets of theUnion and for their proper application under charity law, and therefore for taking reasonable steps todetect and prevent fraud.

Basis of Accounting

The annual financial statements of Kent Union are attached to this report; they have been preparedusing the Charity SORP. The Trustees, as part of the preparation of these financial statements, havereviewed Kent Union’s key accounting policies to ensure that they continue to be in accordance withthe requirements of the Charity SORP and of best accounting practice.

Income and Expenditure Account

The Union made a surplus of £83k for the period ending 31 July 2012, against a budgeted surplus of£15k, a favourable variance of £68k. This is considered a very satisfactory financial performance,and a very significant turn-around compared to the deficit recorded in the previous financial year.

Total revenues for the period were £10,412k, compared with total revenues of £9,529k in 2010/2011, an increase of £883k (8.5%). The commercial services revenues increased by £765k (10.1%) to £8,328k. This demonstrates a continuing strong turnover performance in a challenging environment and against a backdrop of declining commercial revenues in many students’ unions.

Balance Sheet

The Union’s total reserves stood at £560k as at 31 July 2012; this was an increase from £477k as at31 July 2011 due to the surplus recorded during the year. The Union’s cash position has reduced from£378k as at 31 July 2011 to £352k as at 31 July 2012 due to timing of payments to creditors around theyear end period compared to the previous year. Net current liabilities have decreased from £347k asat 31 July 2011 to £290k as at 31 July 2012 due to the surplus recorded. A key criterion of the Union’sReserves Policy is to address the existing net current liabilities situation and to achieve net current assets as soon as practicable over the medium term.

Reserves Policy

The trustees have reviewed the organisation’s needs for reserves and assessed that unrestricted reserves are needed: -• To preserve the sustainability of Kent Union for the benefit of our membership. In doing so, to underwrite

existing services against possible future periods of deficit caused by financial risks and uncertainties• To provide the financial resources to be able to invest in premises, facilities and equipment to enhance the

range of services Kent Union provides to its members


The trustees consider it prudent that unrestricted reserves (which definition shall include any designated reserves existing from time to time) should be sufficient:• to maintain a minimum of net current assets on Kent Union’s balance sheet in order to be able to meet its

current liabilities as they fall due • further, to provide funds for investment in capital expenditure on premises, facilities and equipment to

enhance its service provision to its members and meet their future needs without compromising the stated policy on maintaining a minimum of net current assets

• to maintain a sufficient level of reserves to enable operating activities to be maintained, taking account of potential financial risks, uncertainties and contingencies that may arise from time to time

In order to achieve such sufficient level of reserves to enable operating activities to be maintained in the light of potential financial risks, the Union will maintain a level of unrestricted reserves within a range of between twice and four times the average monthly amount of the Union’s total fixed [non-variable with the level of income] cash expenditure, net of funding income.

In order to establish and maintain reserves in accordance with this reserves policy, Kent Union will budget to generate surpluses year on year as necessary to ensure achievement of its reserves policy.

The Reserves Policy is reviewed annually by trustees.

The Reserves Policy was attained in the year.

Financial Controls

The Union maintains robust financial controls, processes and systems in support of the Union’s financial objectives of obtaining an unqualified audit opinion from the Union’s external auditors, and of maintaining a level of Full Assurance from the University of Kent’s internal audit of the Union. An unqualified audit opinion was obtained, and the Union retains its Full Assurance level from the previously completed Planning, Budgeting and Financial Systems Audit, and received a Satisfactory Level of Assurance, the second highest level available, in the Income and Cash Collection audit completed during the year by the University of Kent.

Trading Subsidiary

Kent Union holds 100% of the issued share capital of Kent Union Trading Limited. During the financial year, Kent Union Trading Limited made a charitable donation of £4,078 to Kent Union, and recorded a net result of £0 during the year.

Risk Management

The Trustees have identified the major risks facing the Union and established controls and actions to manage them. The Union’s Risk Management Policy was approved by Finance and Risk Committee in February 2012. The Risk Management Policy identifies compilation and maintenance of a Risk Register as a key tool within the Union’s risk management strategy and processes. A Risk Register covering all services and functions on the Canterbury and UMSA campuses is in place and subject to annual review. It outlines the major strategic risks facing the Union and the controls and actions that have and are being put in place to manage them. As a result of the Policy, all budget holders have been trained in risk management.

The Union’s Business Continuity Plan was approved by Finance and Risk Committee in February 2012. Additionally, each business critical function within Kent Union has a departmental business continuity plan detailing the actions which would be required in the event of the occurrence of an incident leading to business interruption. The Union’s annual Business Continuity Plan Simulation Events were held shortly after the end of the financial year in August and September 2012 at the Canterbury and Medway campuses to test the robustness of the Business Continuity Plan and its associated departmental plans, and feedback from the simulation events is incorporated into the plans.


Custodian Activities: RAG

Kent Union acts as custodian for funds raised by students from Raise and Give (RAG) fundraising events organised by the students under Kent Union auspices for distribution to the intended charities. At 31 July 2012 Kent Union held as custodian a balance of £3,650 in relation to RAG collections, awaiting onward transmission to the intended charities in the early part of the 2012/2013 financial year. Kent Union also undertakes various fundraising events amongst staff for distribution to its chosen charity for 2011/2012, East Kent Rape Line. At 31 July 2012 Kent Union held as custodian a balance of £507 in relation to fundraising collections, awaiting onward transmission to the chosen charity in the early part of the 2012/2013 financial year.

Plans for Future Periods

Strategic Plan 2011-2014

In 2010/2011 the Union completed its Strategic Plan “From Good to Great” for the period 2011-2014.The plan has five strategic themes, which are the key areas that the Union has determined it must focus on in order to achieve its vision:

• CreatingChange - we take positive action to create change and to help students play a full role in society• EnhancingtheStudentExperience - we help students to stay on track with their courses, to complete their

studies and to enjoy their time at Kent• TheVoiceofStudents - we are the voice of all students at the University of Kent; we represent our

members to the University, the communities in which they live and to wider society through our membership of the national student movement

• SupportingGraduateEmployability - we work with the University to help students develop transferable skills and self-confidence so that they are better able to secure graduate employment

• SustainableandHealthyOrganisation - we ensure that Kent Union meets its charitable objectives and is a successful, well-governed and well-managed organisation, which keeps an eye on the present as well as ensures its long-term future

Operating Plan for 2012/2013

To support the From Good to Great Organisational Strategic Plan for 2011-2014, the Union has compiled an Operating Plan for 2012/2013, the second year of the Strategic Plan, detailing the major objectives and year two outcomes for Kent Union for the next financial year in order to ensure the Strategic Plan is delivered over its full period. These year two outcomes are detailed below:-

Creating Change

• Our members will have cast 50,000 votes in our democratic processes and at least 40% of our members will have voted in a Kent Union election at some stage in the year

• At least 2,600 of our members will be actively participating in voluntary activity through Kent Union, donating 90,000 hours of their time to the community

• We will have achieved Leaders in Diversity status from the National Centre for Diversity • We will have raised at least £35,000 of external funding for volunteering or environmental initiatives• We will make significant progress against our plan to ensure we are more reflective as an organisation of

the communities that we operate in


Enhancing the Student Experience • We will have completed a review of our advice services and agreed new delivery methods to ensure they

are user-focused• We will employ 600 students directly or through Jobshop and put £850,000 back into students’ pockets in

staff wages during the year • We will have increased the number of students involved in clubs and societies to 45% of our membership,

whilst retaining members’ satisfaction• 85% of our members will rate Kent Union as either Good or Very Good in our annual student satisfaction

survey (at confidence level 95% and confidence interval 3)• We will have secured firm commitment from the University for a new Student Activities Centre, containing

a student media centre, space for student activities and non-alcoholic social space


• We will publish at least 3 campaign objectives for the year and achieve at least 50% of the objectives• 60% of our members will agree that their course rep provides them with effective representation • We will have received at least 2,000 submissions to our annual Teaching Awards • We will produce an annual report of our successes in this area for the Board of Trustees


• We will increase the total number of students who work for the University or Kent Union by 10% • We will ensure 200 student staff leave with a certified transcript of all training they have they have

completed with Kent Union• We will have provided at least 3 students with internships or work placements to help students develop

transferable skills• 800 students will graduate with our new Skills Record, detailing the transferable skills that they developed

through involvement in Kent Union activities or employment

Sustainable and Healthy Organisation

We will build our reserves, generating a surplus of £25,000We will reduce our carbon footprint per full time equivalent employee by 3%We will allocate 5% of our capital expenditure budget for initiatives that reduce our carbon footprintWe will achieve 100% compliance against the NUS Code of Good Governance for Students’ UnionsWe will have opened our new Nursery and increased the number of places for student placesWe will achieve a place in the Sunday Times 100 Best Nor-For-Profit Organisations To Work ForWe will retain our Full Assurance from the University Internal AuditWe will receive an Unqualified Audit Opinion from the Union’s external auditors

Conclusion

The Trustees would like to sincerely thank the hundreds of volunteers and the Union’s 600 staff who do so much to make Kent Union such a successful organisation. The Trustees also convey their thanks to the Union’s many stakeholders, in particular the University of Kent, who contribute so much towards the Union’s many achievements. This report was approved by the Trustees on [date to be inserted after approval by the AGM on 3rd December and signed on their behalf by Tom Ritchie, President 2012/2013 and Chair of Board of Trustees.


Independent Auditor’s Report to the Trustees of Kent Union

We have audited the financial statements of Kent Union for the year ended 31 July 2012 set out on pages 1 to 24 and the related notes numbered 1 to 29.

The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

Respective responsibilities of trustees and auditorAs explained more fully in the Statement of Trustees' Responsibilities, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's Ethical Standards for Auditors

Scope of the audit of the financial statementsAn audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or error. This includes an assessment of: whether the accounting policies are appropriate to the charity’s circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant accounting estimates made by the trustees; and the overall presentation of the financial statements.

In addition, we read all the financial and non-financial information in the Trustees’ Annual Report to identify material inconsistencies with the audited financial statements. If we become aware of any apparent material misstatements or inconsistencies we consider the implications for our report.

Opinion on financial statementsIn our opinion the financial statements:• give a true and fair view of the state of the charity’s affairs as at 31 July 2012 and of its incoming resources

and application of resources for the year then ended;• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting

Practice; and have been prepared in accordance with the requirements of the Charities Act 2011. Matters on which we are required to report by exception• We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to

report to you if, in our opinion:• the information given in the Trustees Annual Report is inconsistent in any material respect with the

financial statements; or sufficient accounting records have not been kept; or the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

Crowe Clark Whitehill LLPStatutory AuditorArkwright HouseParsonage GardensManchesterM3 2HP

Crowe Clark Whitehill LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.


Kent UnionConSolidated Statement oF FinanCial aCtivitieS (inCluding inCome and exPenditure aCCount) Year ended 31 JulY 2012

2012 2011Unrestricted Restricted Total Total

Funds Funds Funds FundsNote £ £ £ £

Incoming resources Incoming resources from generated funds: Voluntary income 2 1,192,766 38,729 1,231,495 1,179,231 Activities for generating funds 3 8,320,586 7,847 8,328,433 7,562,764 Investment Income 4 567 0 567 406Incoming resources from charitable activities 5 0 852,037 852,037 787,402

========= ========= ========= =========Total incoming resources 9,513,919 898,613 10,412,532 9,529,803

========= ========= ========= =========

Resources expended

Fundraising trading Costs of fundraising trading 6 8,047,660 49,515 8,097,175 7,626,560

Charitable activities: Advice and Welfare 7 317,567 146,005 463,572 424,846 Volunteering and Community 8 117,000 57,969 174,969 167,224 Sport and Recreation 9 367,730 460,625 828,355 774,225 Representation 10 590,900 161,607 752,507 721,542 Governance costs 11 12,759 0 12,759 11,827

========= ========= ========= =========Total resources expended 9,453,616 875,721 10,329,337 9,726,224

========= ========= ========= =========

Net Movements in Funds 60,303 22,892 83,195 (196,421)

Surplus brought forward at 1 August 434,582 42,395 476,977 673,398========= ========= ========= =========

Surplus carried forward at 31 July 494,885 65,287 560,172 476,977========= ========= ========= =========

All activities of the Union are continuing operations.

The Statement of Financial Activities includes all gains and losses arising in the year.

The notes on pages 25 to 41 form part of these financial statements


Kent UnionConSolidated BalanCe Sheet31 JulY 2012

2012 2011£ £ £ £

FIXED ASSETSTangible assets 13 844,447 818,675Investments 14 5,460 5,460

========= =========849,907 824,135

CURRENT ASSETSStocks 15 224,615 214,870Debtors 16 349,392 283,322Cash and bank 351,846 378,486

========= =========925,853 876,678

CREDITORS:Amounts falling due within one year 17 (1,215,588) (1,223,836)

========= =========NET CURRENT LIABILITIES (289,735) (347,158)

========= =========TOTAL ASSETS LESS CURRENT LIABILITIES 560,172 476,977

========= =========560,172 476,977

========= =========

RESERVESUnrestricted Reserves 24 330,663 238,104Restricted Reserves 25 65,287 42,395Designated Reserve 24 164,222 196,478

========= =========560,172 476,977

========= =========

Tom Ritchie President


These financial statements were approved by the Trustees on 3rd December 2012 and are signed on their behalf by:

Note


Kent Unionunion BalanCe Sheet31 JulY 2012

2012 2011£ £ £ £

FIXED ASSETSTangible assets 13 844,447 818,675Investments 14 5,461 5,461

========= =========849,908 824,136

CURRENT ASSETSStocks 15 224,615 214,870Debtors 16 349,392 289,238Cash and bank 350,562 376,863

========= =========924,569 880,971

CREDITORS: Amounts falling due within one year 17 (1,218,385) (1,223,088)

========= =========NET CURRENT LIABILITIES (293,816) (342,117)

========= =========TOTAL ASSETS LESS CURRENT LIABILITIES 556,092 482,019

========= =========556,092 482,019

========= =========

RESERVESUnrestricted Reserves 24 326,583 243,146Restricted Reserves 25 65,287 42,395Designated Reserve 24 164,222 196,478

========= =========556,092 482,019

========= =========


Tom Ritchie President

These financial statements were approved by the Trustees on 3rd December 2012 and are signed on their behalf by:

Note


Kent UnionConSolidated CaSh Flow StatementYear ended 31 JulY 2012

2012 2011£ £ £ £

ACTIVITIES 27 266,273 437,237

Payments to acquire tangible fixed assets (292,913) (229,889)0 1,500

========= ========= EXPENDITURE AND FINANCIAL INVESTMENT (292,913) (228,389)

========= =========(26,640) 208,848

========= =========(26,640) 208,848

========= =========

Receipts from disposals of tangible fixed assets

(DECREASE) / INCREASE IN CASH

CASH INFLOW / (OUTFLOW) BEFORE FINANCING


CAPITAL EXPENDITURE AND FINANCIAL INVESTMENT

Note


Kent UnionNotes to the CoNsolidated FiNaNCial statemeNtsYear eNded 31 JulY 2012

Note 1: ACCOUNTING POLICIES

Basis of accountingThe financial statements have been prepared under the historical cost convention and Accounting andReporting by Charities – Statement of Recommended Practice (revised 2005).

The Statement of Financial Activities and Balance Sheet consolidate the financial statements of Kent Unionand its subsidiary undertaking Kent Union Trading Limited. The results of the subsidiary are consolidated on aline by line basis after the elimination of intra-group transactions.

Recognition of incoming resourcesAs a charity Kent Union receives grants from the University of Kent, income under contracts for the provisionof charitable services, membership contributions and income from trading activity closely associated with itscharitable purposes. Incoming resources are accounted for in the period in which the service is provided.

Resources expendedAll expenditure is accounted for on an accruals basis and has been included under expense categories thataggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activitiesthey have been allocated on a basis consistent with the use of the resources.

Cost of fundraising trading comprises the costs associated with trading and includes the direct costs oftrading and an allocation of support costs as noted below.

Charitable expenditure comprises direct expenditure including direct staff costs attributable to the Union’sactivities. Where costs cannot be directly attributed, they have been allocated to activities on a basisconsistent with the use of resources as detailed below.

Governance costs include those costs incurred in the governance of the Union’s assets and are associatedwith constitutional and statutory requirements.Support costs include the central functions and have been allocated to activity cost categories on the basis ofassessed consumption as detailed below.

Support costsMany of the costs incurred by the Union such as support staff costs and service costs are shared betweenactivities. The Union’s policy is to allocate these costs on the basis of assessed consumption, currentlyassessed as Trading 31.50%, Representation 29.97%, Sport and Recreation 14.91%, Welfare and Advice13.69% and Volunteering and Community 9.93%.

DepreciationDepreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over theuseful economic life of that asset as follows:

Fixtures and Fittings - between 20% and 33.33% p.a. straight lineLeasehold Improvements - remainder of the lease termComputer Equipment - 33.33% p.a. straight lineMotor Vehicles - 33.33% p.a. straight line

All fixed assets in excess of £500 are capitalised at the time of acquisition.



Operating lease agreementsRentals applicable to operating leases where substantially all of the benefits and risks of ownership remainwith the lessor are charged against profits on a straight line basis over the period of the lease.

Pension contributionsKent Union participates in the Superannuation Arrangements of the University of London “(SAUL)” which is acentralised defined benefit scheme and is contracted-out of the Second State Pension. SAUL is a “last manstanding” scheme so that in the event of the insolvency of any of the participating employers in SAUL, theamount of pension funding shortfall (which cannot otherwise be recovered) in respect of that employer willbe spread across the remaining participant employers and reflected in the next actuarial valuation. A formalvaluation of SAUL is carried out every three years by professionally qualified and independent actuaries usingthe Projected Unit method. Informal reviews of SAUL’s position are carried out between formal valuations.

Donated services and facilitiesThe Union occupies its administration building on a rent-free basis from the University of Kent subject to theUnion maintaining the building in a good state of repair. The value of this donation has been estimated at acomparable market rent in the local area.

TaxationNo provision is made in these accounts for corporation tax as the Union is exempt from such taxes as a resultof its charitable objectives and activities.

InvestmentsInvestments are stated at cost less any provision for diminution in value.

StocksStocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete andslow moving items.

Fund accounting policyUnrestricted funds are funds which are available for use at the discretion of the Trustees in furtherance of thegeneral objectives of the Union. Restricted funds are funds subject to specific restrictive conditions imposedby donors. The purpose and use of the restricted funds is set out in the notes to the financial statements. Allincome and expenditure is shown in the Statement of Financial Activities. Designated funds are unrestrictedfunds that have been set aside by the Trustees for particular purposes. The aim and use of each designatedfund is set out in the notes to the financial statements.

Going ConcernThe Union has net current liabilities at the end of the year of £289,735 (2011 - £347,158). The Trusteesconsider that it is still appropriate to prepare the financial statements on the going concern basis due to thecontinued support from the University of Kent and from the budgeted surpluses planned from commercialactivities.



2 VOLUNTARY INCOME2012 2011

£ £ Block grant Kent Union Canterbury 866,861 855,799Block grant UMSA 359,353 309,276Environmental 5,281 14,156

========= =========1,231,495 1,179,231

========= =========

2012 2011£ £

Retail Trade 5,294,901 4,627,879Licensed Trade & Catering 2,205,646 2,220,627Other Trade 827,886 714,258

========= =========8,328,433 7,562,764

========= =========

4 INVESTMENT INCOME2012 2011

£ £ Interest receivable 567 406

========= =========

2012 2011£ £

University restricted grants:- Advice and Welfare 139,636 137,695 Volunteering & Community 55,210 67,416 Sport & Recreation 59,658 59,658 Representation 151,951 126,951 Job Shop 12,923 12,923 Pilkington Building UMSA Reception 15,113 14,640Members' contributions: Sport & Recreation 160,494 124,330 Fundraising 257,052 243,789

========= =========852,037 787,402

========= =========

Although the block grants are reported as being received on behalf of the two sites of Canterbury and UMSA, there are no restrictions placed by donors, other than their use at Canterbury or UMSA as applicable, which would require the grants to be accounted for as restricted income.

Included in other trade income is an amount of £4,678 which relates to amounts fundraised by Nursery staff and parents which are restricted to purchase toys, equipment and other items for the Nursery, and an amount of £7,109 fundraised from students from payments for carrier bags in the Union's outlets restricted for use to fund environmental projects on campus.

The members' contributions relate to subscriptions made by members of sports clubs and societies which are restricted to being utilised to provide sports and societies services to the members of the clubs and societies, and to amounts fundraised by sports club and society members to purchase equipment or funds trips or events relating to their sports club or society.

3 ACTIVITIES FOR GENERATING FUNDS

5 INCOMING RESOURCES FROM CHARITABLE ACTIVITIES



2012 2011£ £ £ £

Retail TradeStock 3,499,107 3,056,702Career staff costs 407,805 357,987Student staff costs 364,311 334,713Other costs 368,765 319,402Depreciation 68,036 64,250

========= =========4,708,024 4,133,054

Licensed Trade and CateringStock 800,708 748,537Career staff costs 287,259 324,287Student staff costs 351,236 343,807Other costs 770,774 943,410Depreciation 99,257 105,441

========= =========2,309,234 2,465,482

Other TradeCareer staff costs 464,911 442,702Student staff costs 140,959 94,748Expenditure re fundraising income 2,913 5,573Other costs 68,851 81,253Depreciation 4,924 6,608

========= =========682,558 630,884

Support staff costs 290,692 290,877Supports facilities costs 106,667 106,263

========= =========397,359 397,140

========= =========8,097,175 7,626,560

========= =========

6 COSTS OF FUNDRAISING TRADING



7 ADVICE AND WELFARE2012 2011

£ £

Wages and salaries 277,064 245,916Other costs 13,854 12,548Support staff costs 116,414 109,553Support facilities costs 56,240 56,828

========= =========463,572 424,846

========= =========

2012 2011£ £

Wages and salaries 37,095 44,780Community volunteering 3,160 3,953Kent Student Certificate for Volunteering 1,804 2,141Other costs 7,713 3,478Support staff costs 85,405 71,389Support facilities costs 39,792 41,483

========= =========174,969 167,224

========= =========

9 SPORT AND RECREATION2012 2011

£ £

Direct grants to clubs 134,927 99,391Coaching 18,096 17,756Entry fees and affiliations 28,009 30,442Facilities and pitches 10,241 9,784Insurance 11,367 8,161Officials 10,148 6,885Sundry expenses 23,937 19,704Motor and travel 57,921 50,708Website costs 8,907 7,443Printing, postage and stationery 12,500 8,899Minibus lease 12,810 15,206Depreciation 2,197 2,001Wages and salaries 70,156 61,242Expenditure re fundraising income 239,094 239,480Support staff costs 124,345 131,774Support facilities costs 63,700 65,349

========= =========828,355 774,225

========= =========

8 VOLUNTEERING AND COMMUNITY



10 REPRESENTATION2012 2011

£ £

Affiliations 31,123 32,243Campaigns 2,235 5,970Depreciation 8,806 3,049Election expenses 12,677 12,771Outreach worker expenses 6,245 7,813Printing, postage and stationery 402 489Publications 8,559 12,174Rent 4,291 4,852Services and utilities 12,957 9,952Sabbatical salaries 96,148 95,852Sundry expenses 23,905 20,513Training 8,797 9,038Wages and salaries 158,346 109,484Support staff costs 262,917 280,086Support facilities costs 115,099 117,256

========= =========752,507 721,542

========= =========

11 GOVERNANCE COSTS2012 2011

£ £

Auditor's remuneration - for audit services 11,768 10,600 - for other services 991 1,227

========= =========12,759 11,827

========= =========



12 SUPPORT COSTS2012 2011

£ £ £ £

Staffing costsWages and salaries 748,157 782,221Student staff 31,895 14,478Staff recruitment 25,468 12,827Staff training 74,252 74,153

========= =========879,772 883,679

Administration costsConferences 7,164 7,913Consultancy 6,150 2,150Insurance 5,528 9,186IT costs 7,436 8,705Legal and professional 5,248 1,630Loss on disposal of fixed assets 186 3,531Marketing and market research 43,929 50,217Payroll administration fees 12,532 12,532Printing, postage and stationery 50,478 67,572Sundry expenses 70,882 77,432

========= =========209,533 240,868

Establishment costsCleaning 6,001 8,288Depreciation 83,735 72,360Equipment repairs and renewals 7,006 5,983Rent 22,307 21,245

========= =========119,050 107,876

Finance costsBank charges 15,647 16,959Irrecoverable VAT 30,803 21,012Bad debts written off 6,466 464

========= =========52,916 38,435

========= =========1,261,271 1,270,858

========= =========

These costs are allocated to charitable activities as noted in the accounting policies.



13 TANGIBLE FIXED ASSETS

GROUP AND PARENT £ £ £ £

COST OR VALUATIONAt 1 August 2011 1,087,966 1,331,064 6,495 2,425,525Additions 203,192 89,721 0 292,913Disposals (48,278) 0 0 (48,278)

========= ========= ========= =========At 31 July 2012 1,242,880 1,420,785 6,495 2,670,160

========= ========= ========= =========DEPRECIATIONAt 1 August 2011 809,493 790,862 6,495 1,606,850Charge for the year 144,724 122,231 0 266,955Disposals (48,092) 0 0 (48,092)

========= ========= ========= =========At 31 July 2012 906,125 913,093 6,495 1,825,713

========= ========= ========= =========NET BOOK VALUEAt 31 July 2012 336,755 507,692 0 844,447

========= ========= ========= =========At 31 July 2011 278,473 540,202 0 818,675

========= ========= ========= =========

Capital commitments2012 2011

£ £ Contracted but not provided for in the financial statements 4,538 55,554

========= =========

14 INVESTMENTS

GROUP UnlistedInvestments

£COST:At 1 August 2011 and 31 July 2012 5,460

=========

NET BOOK VALUE:At 1 August 2011 and 31 July 2012 5,460

=========

All tangible fixed assets are held in the parent, Kent Union. No tangible fixed assets are held by the subsidiary company.

At 31 July 2012 the Group held investments in the following companies which are incorporated in the United Kingdom.

TotalFixtures and Fittings

Leasehold Improve-

ment

Motor vehicles



Unlisted Investments

Name of Company Main Trading ActivityNUS Services Limited Purchasing Services Number %

of shares Equity

A Shares 60 0.33% B Shares 270 1.83%

UNION Subsidiary Unlisted Unlistedundertakings Investments Investments

£ £ £At 1 August 2011 and 31 July 2012 1 5,460 5,461

========= ========= =========

NET BOOK VALUE:At 31 July 2012 1 5,460 5,461

========= ========= =========

Unlisted Investments

Name of Company Main Trading Activity Equity HeldNUS Services Limited Purchasing Services Number %

of shares Equity

A Shares 60 0.33% B Shares 270 1.83%

Subsidiary Undertakings

Kent Union Trading Limited Management and Insurance Advisory Services

Turnover Profit/(Loss) Aggregate Equity Heldshare capital Number %and reserves of shares Equity

£ £ £10,000 0 1 1 100%

All shares held are ordinary shares.

These investments are not held to earn an investment return, but to further the activities of the Union.

These investments are not held to earn an investment return, but to further the activities of the Union.

At 31 July 2012 the Union held investments in the following companies which are incorporated in the United Kingdom.

13 TANGIBLE FIXED ASSETS

GROUP AND PARENT £ £ £ £

COST OR VALUATIONAt 1 August 2011 1,087,966 1,331,064 6,495 2,425,525Additions 203,192 89,721 0 292,913Disposals (48,278) 0 0 (48,278)

========= ========= ========= =========At 31 July 2012 1,242,880 1,420,785 6,495 2,670,160

========= ========= ========= =========DEPRECIATIONAt 1 August 2011 809,493 790,862 6,495 1,606,850Charge for the year 144,724 122,231 0 266,955Disposals (48,092) 0 0 (48,092)

========= ========= ========= =========At 31 July 2012 906,125 913,093 6,495 1,825,713

========= ========= ========= =========NET BOOK VALUEAt 31 July 2012 336,755 507,692 0 844,447

========= ========= ========= =========At 31 July 2011 278,473 540,202 0 818,675

========= ========= ========= =========

Capital commitments2012 2011

£ £ Contracted but not provided for in the financial statements 4,538 55,554

========= =========

14 INVESTMENTS

GROUP UnlistedInvestments

£COST:At 1 August 2011 and 31 July 2012 5,460

=========

NET BOOK VALUE:At 1 August 2011 and 31 July 2012 5,460

=========

All tangible fixed assets are held in the parent, Kent Union. No tangible fixed assets are held by the subsidiary company.

At 31 July 2012 the Group held investments in the following companies which are incorporated in the United Kingdom.

TotalFixtures and Fittings

Leasehold Improve-

ment

Motor vehicles



15 STOCKS 2012 2012 2011 2011£ £ £ £

Group Parent Group ParentRetail 203,286 203,286 181,670 181,670Licensed Trade and Catering 21,329 21,329 33,200 33,200

========= ========= ========= =========224,615 224,615 214,870 214,870

========= ========= ========= =========

16 DEBTORS 2012 2012 2011 2011£ £ £ £

Group Parent Group ParentTrade debtors 99,408 99,408 49,185 49,185Amounts owed by group companies 0 0 0 5,916Prepayments and accrued income 249,984 249,984 234,137 234,137

========= ========= ========= =========349,392 349,392 283,322 289,238

========= ========= ========= =========

2012 2012 2011 2011£ £ £ £ £

Group Group Parent Group ParentTrade creditors 1,030,488 1,030,488 1,094,862 1,094,862

VAT 24,960 25,060 21,864 21,864Other creditors 0 0 1,395 1,396Amounts due to group companies 0 3,737 0 0Accruals and deferred income 160,140 159,100 105,715 104,966

=========185,100

========= ========= ========= =========1,215,588 1,218,385 1,223,836 1,223,088

========= ========= ========= =========

17 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Other creditors including taxation and social security:-



Land and Buildings Other2012 2011 2012 2011

£ £ £ £ Operating leases which expire:Within 1 year 112,206 62,614 16,030 0Within 2 to 5 years 42,292 48,044 4,185 34,015Within more than 5 years 148,084 236,447 0 0

========= ========= ========= =========302,582 347,105 20,215 34,015

========= ========= ========= =========

Staff costs were as follows: 2012 2011£ £

Wages and salaries 3,068,086 2,987,266 Social security costs 150,927 166,412 Other pension costs 255,734 171,908

========= ========= Total costs 3,474,747 3,325,586

========= =========

2012 2011Number Number

Direct charitable activities 28 26 Fundraising trading 193 209 Administration 29 26

========= ========= Total numbers 250 261

========= =========

The number of higher paid employees was:-

2012 2011Number Number

1 1In the band £70,000 - £80,000 ========= =========

Retirement benefits are accruing for 1 member of staff under a defined benefit scheme.

19 STAFF COSTS AND NUMBERS

18 COMMITMENTS UNDER OPERATING LEASES

The average monthly number of employees, based on full-time equivalents, during the year was as follows:-

At 31 July 2012 the Union had annual commitments under non-cancellable operating leases as set out below.



Discount rate - pre retirement 6.80% p.a. - post retirement 4.70% p.a.

General* Salary Increases 3.75% p.a. until 31 March 2014, 4.50% p.a. thereafterRetail Prices Index Inflation (RPI) 3.50% p.a.Consumer Price Index Inflation (CPI) 2.80% p.a.Pension Increases in payment (excess over GMP) 2.80% p.a.Mortality - base table

Mortality - future improvements

Kent Union is a registered charity, registration number 1138210. The Union is in receipt of a recurrent grant from the parent body of £974,532 (2011 £951,682).

In addition the Union occupies its administration building on a rent free basis under an informal licence subject to the union maintaining the building in a good state of repair. The value of this donation relating to this rent free arrangement has been assessed at £22,307 (2011 £21,245) per annum.

The Union also occupies a number of premises on campus under formal leases from the University of Kent and is charged on a commercial rent basis for these premises.

The University provides payroll services to the Union. The annual fee for this service in the year to 31 July 2012 was £12,532 (2011 £12,532). The cost of the Union's staff is recharged by the University on a regular basis, resulting in a balance due to the University on a regular basis. The rent and payroll transactions resulted in a balance due to the University at the end of the year of £372,668 (2011 £516,526).

The sabbatical officers work full-time for the Union, receiving an allowance and completing a portfolio of duties, alongside their role as trustee of the Union. The aggregate amount payable in relation to this portfolio of duties in the year was £88,903 (2011 £95,852).

The actuarial valuation applies to SAUL as a whole and does not identify surpluses or deficits applicable to individual employers. As a whole, the market value of SAUL's assets was £1,506 million representing 95% of the liability for benefits after allowing for expected future increases in salaries.

Based on the strength of the Employer covenant and the Trustees' long-term investment strategy, the Trustee and the Employers agreed to maintain Employer and Member contributions at 13% of Salaries and 6% of Salaries respectively following the valuation. The above rates will be reviewed when the results of the next formal valuation (as at 31 March 2014) are known.

A comparison of SAUL's assets and liabilities calculated using assumptions consistent with FRS 17 revealed SAUL to be in deficit at the last formal valuation date (31 March 2011). As part of this valuation, the Trustee and Employer have agreed that no additional contributions will be required to eliminate the current shortfall.

The more material changes (the introduction of a Career Average Revalued Earnings, or "CARE" benefit structure) to SAUL's benefit structure will apply from 1 July 2012. As a consequence, the cost of benefit accrual is expected to fall as existing final salary members are replaced by new members joining the CARE structure. This will allow an increasing proportion of the expected asset return to be used to eliminate the funding shortfall. Based on conditions as at 31 March 2011, the shortfall is expected to be eliminated by 31 March 2021, which is 10 years from the valuation date.

20 RELATED PARTY TRANSACTIONS

31 March 2011

SAPS Normal (year of birth) tables with an age rating of +0.5 years for males and - 0.4 years for females

Future improvements in line with CMI 2010 projections with a long term trend rate of 1.25% p.a.

* an additional allowance is made for future promotional Salary increases.

21 PENSION

Kent Union participates in a centralised defined benefit scheme for all qualified employees with the assets held in separate Trustee administered funds. Kent Union has now adopted FRS17 for accounting for pension costs. It is not possible to identify Kent Union's share of the underlying assets and liabilities of SAUL. Therefore, contributions are accounted for as if SAUL were a defined contribution scheme and pension costs are based on the amounts actually paid (i.e. cash amounts) in accordance with paragraphs 8-12 of FRS 17.

SAUL is subject to triennial valuations by professionally qualified and independent actuaries. The last available valuation was carried out as at 31 March 2011 using the projected unit credit method in which the actuarial liability makes allowance for projected earnings. The main assumptions used to assess the technical provisions were:-



£ Jim Gardner, Chief Executive 1,353Joe Cooper, Deputy Chief Executive 83Peter Cole, Director of Finance and Technology 388Kirsty Monk, Director of Graduate Employability

73

Tony Logan, Director of Operations 212Victoria Todd, Director of Central Services 595

=========2,704

=========

24 UNRESTRICTED RESERVESAt 1 August Incoming Resources At 31 July

Group 2011 Resources Expended 2012£ £ £ £

General reserve 238,104 9,513,919 (9,421,360) 330,663========= ========= ========= =========

Designated Reserves At 1 August Incoming Resources At 31 July 2011 Resources Expended 2012

£ £ £ £Fixed asset reserve 196,478 0 (32,256) 164,222

========= ========= ========= =========

At 1 August Incoming Resources At 31 July Parent 2011 Resources Expended 2012

£ £ £ £General reserve 243,146 9,503,919 (9,420,482) 326,583

========= ========= ========= =========



========= ========= ========= =========

Reimbursement of expenses

The fixed asset reserve relates to funds the Trustees have designated to match the net book value of assets purchased with the assistance of a capital grant from the University. Depreciation will be charged against this reserve over the life of the asset acquired with the funding.

The reimbursement of expenses relates to expenditure wholly and exclusively incurred in the course of their duties as employees, and none relates to expenditure of a personal nature. The reimbursement of expenses principally relate to business travel expenses, attendance at conferences and business related purchases made on personal credit cards and subsequently reimbursed. All claims for reimbursement of expenses by the above individuals are authorised and counter-signed by a senior executive of the organisation. The above titles are titular and none of the above individuals have a legal status as Directors of either Kent Union or its subsidiary.

23 EXPENSES REIMBURSED TO SENIOR EXECUTIVES

The amount of expenses reimbursed to senior executives during 2011/2012 was as follows:-

Remuneration Reimbursement

of expensesTotal

£ £ £ Tom Ritchie, President 2011/2012 and 2012/2013 17,663 558 18,221Colum McGuire, Welfare Officer 2011/2012 and 17,663 281 17,944Kenny Budd, Student Activities Officer 2011/2012

17,663 93 17,756

Lauren Crowley, Education Officer 2011/2012 16,191 222 16,413Hannah Davies, Sports Officer 2011/2012 16,191 225 16,416Alex Murray, Education Officer 2012/2013 1,766 0 1,766Matt Harris, Sports Officer 1,766 0 1,766

========= ========= =========88,903 1,379 90,282

========= ========= =========

The total remuneration paid to the Trustees during the financial year 2011/2012 was as follows:-

22 REMUNERATION OF TRUSTEES

The remuneration to Trustees is an allowance for completing a portfolio of duties, alongside their role as a Trustee, as provided by the Union's constitution.

The reimbursement of expenses relate entirely to expenditure incurred in the course of their duties as Trustees, and none relates to expenditure of a personal nature. All Trustee claims for reimbursement of expenses are authorised and counter-signed by a senior executive of the organisation.



£ Jim Gardner, Chief Executive 1,353Joe Cooper, Deputy Chief Executive 83Peter Cole, Director of Finance and Technology 388Kirsty Monk, Director of Graduate Employability

73

Tony Logan, Director of Operations 212Victoria Todd, Director of Central Services 595

=========2,704

=========

24 UNRESTRICTED RESERVESAt 1 August Incoming Resources At 31 July

Group 2011 Resources Expended 2012£ £ £ £

General reserve 238,104 9,513,919 (9,421,360) 330,663========= ========= ========= =========



========= ========= ========= =========

At 1 August Incoming Resources At 31 July Parent 2011 Resources Expended 2012

£ £ £ £General reserve 243,146 9,503,919 (9,420,482) 326,583

========= ========= ========= =========



========= ========= ========= =========

Reimbursement of expenses

The fixed asset reserve relates to funds the Trustees have designated to match the net book value of assets purchased with the assistance of a capital grant from the University. Depreciation will be charged against this reserve over the life of the asset acquired with the funding.

The reimbursement of expenses relates to expenditure wholly and exclusively incurred in the course of their duties as employees, and none relates to expenditure of a personal nature. The reimbursement of expenses principally relate to business travel expenses, attendance at conferences and business related purchases made on personal credit cards and subsequently reimbursed. All claims for reimbursement of expenses by the above individuals are authorised and counter-signed by a senior executive of the organisation. The above titles are titular and none of the above individuals have a legal status as Directors of either Kent Union or its subsidiary.

23 EXPENSES REIMBURSED TO SENIOR EXECUTIVES

The amount of expenses reimbursed to senior executives during 2011/2012 was as follows:-



25 RESTRICTED FUNDSAt 1 August Incoming Resources At 31 July

Group and Parent 2011 Resources Expended 2012£ £ £ £

University restricted grants:- Advice and Welfare 0 139,636 (139,636) 0 Volunteering & Community 0 55,210 (55,210) 0 Sport & Recreation 0 59,658 (59,658) 0 Representation 0 151,951 (151,951) 0 Job Shop 0 12,923 (12,923) 0 Pilkington Building UMSA Reception 0 15,113 (15,113) 0 Environmental 0 5,281 (5,281) 0University voluntary income:-

0 22,307 (22,307) 00 11,141 (11,141) 0

Member's contributions:-0 160,494 (160,494) 0

- fundraising 31,656 257,052 (239,094) 49,614Nursery fundraising 3,292 2,852 (2,913) 3,231Carrier bag income fundraising 7,447 4,995 0 12,442

========= ========= ========= =========42,395 898,613 (875,721) 65,287

========= ========= ========= =========

Contribution to on campus security costs Donation rent free use of Mandela Building

Sport & Recreation - member's contributions

The University restricted grants relating to Advice and Welfare, Volunteering & Community, Sport and Recreation, Representation and Job Shop are grants made by the University of Kent, which are restricted to being used to meet costs incurred in the provision of the services in those designated categories to the students of the University of Kent.

The University restricted grants relating to Pilkington Building UMSA Reception are grants made by the University of Kent and the University of Greenwich restricted for use to meet costs incurred in the provision of reception services to students and visitors in the Pilkington Building at the Universities of Medway.

The University restricted grant relating to environmental is a grant made by the University of Kent which is restricted to meet costs in the employment of an Environmental Coordinator. The University voluntary income relates to the assessed value of the rent free arrangement on the use of the Union's principal administration building and to a contribution towards providing on campus patrols in relation to students leaving the Union's night club.

The members' contributions relate to subscriptions made by members of sports clubs and societies which are restricted to being utilised to provide sports and societies services to the members of the clubs and societies, and to amounts fundraised by sports club and society members to purchase equipment or funds trips or events relating to their sports club or society. Nursery fundraising relates to amounts fundraised by Nursery staff and parents which are restricted to purchase toys, equipment and other items for the Nursery .

Carrier bag income fundraising relates to amounts fundraised from students from payments for carrier bags in the Union's outlets restricted for use to fund environmental projects on campus.



Restricted Unrestricted Total TotalFunds Funds Funds Funds

Group 2012 2012 2012 2011£ £ £ £

Tangible Fixed Assets 0 844,447 844,447 818,675Investments 0 5,460 5,460 5,460Current Assets 65,287 860,566 925,853 876,678Creditors due within one year 0 (1,215,588) (1,215,588) (1,233,836)

========= ========= ========= =========65,287 494,885 560,172 476,977

========= ========= ========= =========

Restricted Unrestricted Total TotalFunds Funds Funds Funds

Parent 2012 2012 2012 2011£ £ £ £

Tangible Fixed Assets 0 844,447 844,447 818,675Investments 0 5,461 5,461 5,461Current Assets 65,287 859,282 924,569 880,971Creditors due within one year 0 (1,218,385) (1,218,385) (1,223,088)

========= ========= ========= =========65,287 490,805 556,092 482,019

========= ========= ========= =========

2012 2012 2011 2011£ £ £ £

Group Parent Group ParentSurplus/(deficit) for the year 83,195 74,073 (196,421) (196,168)Loss on disposal of Fixed Assets 186 186 3,531 3,531Depreciation 266,955 266,955 253,707 253,707(Increase) in stocks (9,745) (9,745) (19,407) (19,407)(Increase)/Decrease in debtors (66,070) (60,154) 63,388 57,472Increase in creditors (8,248) (4,703) 332,439 312,711

========= ========= ========= =========266,273 266,612 437,237 411,846

========= ========= ========= =========

Net cash inflow from operating activities

27 RECONCILIATION OF OPERATING SURPLUS TO NET CASH INFLOW FROM OPERATING ACTIVITIES

26 ANALYSIS OF NET ASSETS BETWEEN FUNDS



2012 2011£ £ £

(26,640) 208,848

========= =========Change in net funds (26,640) 208,848

Net funds at 1 August 2011 378,486 169,638========= =========

Net funds at 31 July 2012 351,846 378,486========= =========

ANALYSIS OF CHANGES IN NET FUNDSAt 1 August At 31 July

2011 Cash flows 2012£ £ £

Net cash:Cash in hand and at bank 378,486 (26,640) 351,846

========= ========= =========Net funds 378,486 (26,640) 351,846

========= ========= =========

29 CONTROLLING PARTY

The ultimate control of the Union is vested under the Constitution in the membership in General meeting. As such no single person or entity controls the Union as defined by Financial Reporting Standard 8.

Increase / (decrease) in cash in the period

28 RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN NET FUNDS

Documents

Kent Union Financial Statements 2011-12