The Chartered Institute of Management Accountants

The Chartered Institute of Management Accountants Consolidated financial statements for the year ended 31 December 2020

Consolidated financial statements 1

2 President’s report

10 Financial performance review

14 The Audit and Finance Committee

15 Independent auditors’ report

17 Consolidated statement of comprehensive income

18 Consolidated statement of financial position

19 Consolidated statement of cash flows

20 Consolidated statement of changes in funds

21 Notes to the consolidated financial statements

45 CIMA’s Council and Committee members

Contents


President’s report

My year in office as President of CIMA and Vice Chair of the Association of International Certified Professional Accountants® was not what I might have originally envisaged, but I am very proud of our response to the unprecedented disruption caused by the COVID-19 pandemic and its economic fallout.


The COVID-19 pandemicThrough the Association of International Certified Professional Accountants (Association), the combined force of CIMA® and the American Institute of CPAs® (AICPA) we have supported members, enabled students to progress their examinations, and provided leadership to many organisations and businesses as they navigated through disruption during the pandemic. In March 2020, we launched the CIMA Coronavirus Resource Centre, sharing tools and resources to help members, students and businesses stay informed as the pandemic unfolded. We paid heed to the needs of small to medium enterprises (SMEs) and upped our efforts to make members aware of the CIMA Benevolent Fund. Our focus is now shifting to supporting economic recovery and building a more resilient and sustainable future.

We also continued to advance our profession, being very mindful of the needs of our current and future members and students. We reconfigured the CIMA exams onto a secure and safe remote testing platform; rolled out the Finance Leadership Programme globally; and implemented a refreshed Code of Ethics. We also progressed the final proposals following the review of CIMA Council and completed research into how to develop new learning based on the CGMA Competency framework.

As the Association we have achieved a lot — from the support we provide members to the products we offer. We have increased our advocacy efforts globally; accelerated solutions toward a streamlined, digital-first approach to deliver global learning and conferences; expanded key member benefits such as Global ENGAGE and launched the Global Finance Leadership Program in many key markets. And most importantly, we have brought the people, processes and technologies together to enable the Association to achieve its goal to transform the global accounting profession. Further details of these initiatives and progress on a number of key strategic initiatives for management accounting are set out in the Association’s Integrated Report, which is adopted by CIMA Council as a significant element of its reporting on 2020.

Our activities in 2020At 31 December there were 114,492 CIMA members, an increase of 1,875 new members, and the total CIMA student population was 98,833.

The Association enables us to respond more effectively and efficiently to the needs of members, students, firms, employers and universities across the globe.

CIMA carries out its global governance and regulatory responsibilities in relation to standard setting, licensing, monitoring, compliance and meeting its Royal Charter obligations.

In 2020 we:

• Launched the CIMA and AICPA coronavirus resource centres, sharing the latest news, tools, resources, guidance and learning to support members and students throughout the pandemic. There were nearly 860,000 pageviews of our COVID-19 content on the CIMA Global website and 2.8 million pageviews across all Association sites.

• Launched remote testing for the CIMA exams, making us the first accounting professional qualification to offer its entire program online. At year end, just over 79,195 exams were delivered in over 80 countries. Since May, 57% of all exams — 34,594 in total — have been taken online; 81% of test takers reported they would recommend the online exams to others.

• Began roll out of the CGMA Finance Leadership Programme (FLP) globally. FLP is a new pathway to the CGMA designation and CIMA membership based on the same syllabus, case study exams and practical experience requirements (PER) as our other pathways. The new pathway is designed to facilitate our entry to new markets and improve accessibility to the qualification.

• Piloted Level 1 of the Digital Management Accounting (DMA) product in China, which provides an alternative entry-level pathway to the CGMA qualification and is designed to target university students and early career professionals.

• Partnered with Oracle to launch Agile Finance Reimagined to help CFOs and finance leaders increase resiliency and growth. This five-part webcast and whitepaper series shared expert insights and practical guidance from leaders at Oracle and McKinsey & Company on topics including economic recovery and supply chain management. The program elevated awareness of our brand and resources to more than 9,000 finance leaders.

• Updated the CGMA Digital Mindset Pack to include modules on data analytics, robotic process automation and blockchain. Since introducing the CGMA Digital Mindset Pack in 2019, we’ve had over 56,000 downloads. We also launched a personalized learning experience, the “Future Mindset” tool; more than 16,000 CIMA members logged into the tool in 2020.

• Increased participation in virtual management accounting events throughout the world. For example, in the UK, webinar attendance reached over 32,000, an increase of 440% compared to 2019.

• Hosted the CGMA100 North Asia Management Accounting Leaders’ Summit 2020 and the CIMA University Forum on Digital Evolution in August 2020, which attracted over 200,000 virtual attendees.

• FM magazine increased its news production by 52% and saw 1.95 million pageviews in 2020, an increase of 6.25% over 2019.

• Leveraged our media reach to guide members, firms, employers, and the public through the crisis. Our efforts resulted in 5,097 articles on COVID-related topics, with


more than 13.26 billion media impressions globally, including numerous articles in top-tier new outlets such as The Financial Times, The New York Times, Reuters and The Times.

• Influenced 14 major policy wins in the UK through proposals sent to the Chancellor of the Exchequer supporting small and medium enterprise (SME) business recovery. These policy successes included bounce back loans, a self-employed income support scheme and measures to help businesses defer tax. After the initial successes, the 20-point plan was developed in the summer, and a 40-point plan was released at the end of 2020. The 40-point plan resulted in a meeting between Treasury Minister Kemi Badenoch and Andrew Harding.

• Influenced a prominent UK think tank, the Centre for Policy Studies, which adopted the Association’s proposal to change the Apprenticeship Levy into an Apprenticeship and Skills Levy to help with economic recovery. The Centre for Policy Studies recommended the Apprenticeship and Skills Levy to the UK Parliament Education Select Committee’s All-Party Parliamentary Group on Apprenticeships, a cross-party group of Ministers of Parliament (MPs) and Peers. Additionally, we advocated to make the Apprenticeship and Skills Levy more flexible, allowing larger firms to give their own levy funds to smaller firms, which created the capacity for smaller firms to participate in apprenticeships.

• Responded to the UK House of Lords EU Services Committee Inquiry into professional services and Brexit, and the committee quoted two of our comments in its final report on the impact of Brexit on professional services. Our comments underscored the importance of mutual recognition of qualifications post-Brexit and regulatory cooperation to maintain high global standards for accounting and audit practices. Andrew Harding met with the Prime Minister to discuss Brexit and SME advocacy efforts as part of his consultation with business.

• Served as host and secretariat of the Chairmen’s Forum. The Chairmen’s Forum is comprised of the Chairs of the FTSE 250 and other large corporations. Over the course of the year, we hosted four events — one in person and three online — with top business leaders addressing the forum.

• Submitted recommendations in Hong Kong to improve economic stimulus packages, and in South Africa to aid economic recovery to the President of the country.

• Implemented updates to the CIMA Code of Ethics. Effective Jan. 1, 2020, the new CIMA Code of Ethics helps management accountants have the tools and resources to safeguard the accounting profession and public interest as they enter the 2020s.

• Released Sustainability and business: The finance call to action, the first report in a series of briefs exploring sustainability, business and the role of finance professionals. We also launched a summary guide on Sustainability frameworks & standards: Sustainability Accounting Standards Board (SASB).

• Supported members in their job searches through the Association Global Career Hub, the first global job board dedicated to management and public accounting professionals. In 2020, we posted nearly 1.3 million jobs in the U.S., U.K., Europe, Asia and Africa.

• Delivered against our UK Apprenticeships program achieving the pre-COVID target for acquisition. This crucial student pathway is expected to continue to expand in line with UK government support initiatives and will deliver approximately 13% of our entire 2021 global MA membership numbers.

• Partnered with the Finance and Accounting Services Sector Education and Training Authority (FASSET) in South Africa to sponsor CIMA students. We were awarded funding by FASSET that allowed us to offer free access to our student pathway for 77 unemployed young people in South Africa.

• Continued to build relationships with leading global employers and provide our members with the latest market insights and international trends to help them stay informed and confident in today’s rapidly changing business environment.

• Delivered ten virtual CIMA President “Responsible Finance ” Roadshows, with 2,654 members registering to attend from across the Americas, Africa, Continental Europe, the UK, Ireland, North Asia, South East Asia and Australasia.

The UK Corporate Governance CodeCIMA is committed to reaching and maintaining the highest standards of corporate governance and in so doing supports the UK Corporate Governance Code, published by the Financial Reporting Council. The Code is principally for listed companies, and, as such, CIMA is not obliged or in some respects able to follow it completely. However, CIMA Council is committed to adopting best practice governance processes so, therefore, chooses to apply the Code to CIMA’s operations as far as it is applicable and appropriate for a professional body incorporated by Royal Charter. This report aims to show how the Council has adopted and supported the Code’s principles in the interests of best practice.

Council is also cognisant of its stewardship responsibilities towards the profession and works, where applicable, in accordance with the principles of the UK Stewardship Code. It gives careful attention to its responsibility to drive change, so that the profession remains well positioned. This helps ensure our members are equipped with the right skills and knowledge to meet the growing demands of business while protecting the public interest, including work on social, sustainability, and environmental responsibilities.


The CouncilThe governance, overall oversight, and control of the Institute are the responsibility of the Council (‘Council ’), which currently comprises up to 58 members. Council is led by a team of Honorary Officers including the President, the Deputy President, the Vice President, and the Immediate Past President. The other members include up to 38 Fellows elected by constituency; up to 12 members co-opted based on their skills and experience; and 4 members of the AICPA who are CGMA designation holders.

The Council is responsible for setting standards, for the regulation of members in line with the objects of CIMA’s Royal Charter, and for representing the interests of, and reporting to, the general membership. It approves any changes to the regulations which form part of the constitutional documents and is the ultimate authority within CIMA. All members of the Council are equally responsible for ensuring that they are considering the best interests of members in their deliberations regarding strategy and any decisions for which Council is responsible.

Upon appointment, all new members of the Council are provided with an induction designed to provide closer understanding of the governance structure for CIMA and the Association, their roles and responsibilities, and the ways in which the Council governance and meetings are conducted. Members of the Council may not be remunerated for their work for CIMA, except as permitted by the Royal Charter, Byelaws and Regulations. A register of Council members’ interests is maintained, which details any personal or business interests that could give rise to a conflict of interest between CIMA and other bodies.

Presidential termAs CIMA President and Vice Chair of the Association, I have been proud to have been the honorary leader of CIMA for the year, during which time I chaired the Council. I have represented the interests of CIMA and the Association externally, including to the Government, the public, the accounting profession, regulatory bodies, employers, and the media.

At the beginning of my term, I presented to Council a plan on how we could advance the Association’s strategy and engage with Council on that. Our theme was ‘ Reimagine’ as we seek to reimagine what we do as a profession and how we do it. Our proposition was “If it doesn’t challenge you, it doesn’t change you. Growth happens outside our comfort zones.” We set out to explore how we can reimagine the profession, gaining global insights into what fellow finance professionals are doing to keep our profession relevant while maximising opportunities in a rapidly changing world.

During the year, my theme focused on promoting Responsible Financial Leadership, reflecting the importance of finance leaders taking a longer-term perspective, which reflects the interests of all stakeholders. This has proved particularly timely with COVID-19 highlighting why finance needs to reimagine how it operates.

If the COVID-19 pandemic teaches us anything, it’s that we need to put in place economic firebreaks. Responsible finance means we create businesses that build in that protection.

Added to this, business and finance also need to rebuild trust with the public after a number of scandals across the world. According to the most recent Edelman Trust survey, under one-third of people believe that business puts people before profits. And the number of people who think that it has helped small business in need is even lower.

Council worked to build strategies to seize opportunities to change those views and redefine responsible finance as a partnership between stakeholders that recognizes the impact a business has on its wider environment. It is also a way to build a resilient, long-term focused business that can absorb shocks. And it is about trust.

Council also considered how we met our objectives, through the meetings we held and organisations and individuals we visited within the target groups. Our objectives include to:

• Drive member engagement and value.

• Emphasise how the competency framework and the professional qualification, and our regular updates to both, strengthen the employability of our members and future members.

• Profile CIMA and the Association as the leader in driving the future of finance, and the expert in defining the future skills and competencies needed.

• Drive awareness and recognition that we are globally the most influential body of professional accountants.

• Strengthen our collaborative network of partners.

• Build/deepen our relationship with key employers and drive the value and demand of the designation.

• Showcase globally that we are at the forefront of sustaining the relevance of the finance function to the wider business and society.

Council meetingsThe President, together with the other Honorary Officers, provides direction to the Council in its deliberations and is responsible for ensuring the democratic process of the Council and the management of the meetings is maintained. The Council met six times in 2020, of which one meeting, in February, was in- person. At each of its meetings, it has focused on matters of strategic importance to the profession and management accounting. In line with the changes enabled via the Council review, we should now hold two face-to-face meetings each year, each of two days duration, with intermittent and shorter virtual meetings in-between. One of those face-to-face meetings would be held in London in tandem with the AGM, and the other in one of our key markets to enable greater engagement with members and students across the globe. However, the June face-to-face meeting had to be changed to a virtual meeting due to COVID-19 travel restrictions.


As a result of restructuring the frequency and duration of its meetings, Council is now able to devote much more of its meeting time to debating matters of strategic importance to the profession. Council’s strategic discussions form part of the input to the Association’s strategy . Strategic discussions are also informed by engaging with external experts on change drivers.

In 2020 Council appointed a new Secretary General for CIMA and a new Secretary to the Professional Standards Committee.

Council reviewIn 2018, Council posed the question as to whether it is fit for purpose going forward and, to that end, commenced a review of Council, setting up a working party. The Working Party concluded its assessment in October 2018 and presented options of what a future Council might need to look like to discharge its responsibilities effectively. Council members considered a number of options in October 2019, leading to the adoption of proposals including a revised Council composition including 36 elected members, revised seat allocations to reflect the increasingly global distribution of members, allowing Associate members to join Council and increased lay involvement in Council. The Byelaw changes necessary to give effect to the final set of changes reflecting the proposals are due to be submitted to the membership at the 2021 General Meeting.

GovernanceUnder the Charter, the chief executive is the most senior staff member of CIMA by whatever title they may be known – currently that is fulfilled by the Secretary General (who is also CEO — Management Accounting at the Association). They are the prime source of operational and governance information and advice for the Council and committee members and, with the assistance of the governance department, is responsible for ensuring that adequate and timely information is available to allow them to prepare for each meeting. The combined role of CEO – Management Accounting and Secretary General, ensures that we have consistency in thinking and across all management accounting and related activities.

The Council delegates activities within CIMA’s governance in line with an annually updated scheme of delegations and authorisations to the appropriate committees and the Secretary General. Following the formation of the Association, the Council has also authorised the Association Board to carry out certain strategic, service and support activities. The Council, however, retains responsibility for ensuring that CIMA’s Royal Charter objects and responsibilities continue to be upheld, and for ensuring the Association delivers on its assurances and protections in respect of the same.

To ensure the Council is meeting its obligation to consider the best interests of members, all members of CIMA are entitled to attend the AGM, to vote in person or by proxy on matters required to be referred to the membership, and are invited to complete regular satisfaction surveys.

Financial reporting responsibilities of the CouncilThe Byelaws of CIMA require the Council to ensure that financial statements are prepared for each financial year, and that they give a true and fair view of the state of affairs including a surplus or deficit for that period.

The Council is not aware of any relevant information that has not been disclosed to the external auditor. The Council is responsible for ensuring the maintenance and integrity of the financial information included on CIMA ’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Going concern and COVID-19Proper books of account are maintained by the direction of the Council, as required by the Byelaws of CIMA. These accounts must disclose, with reasonable accuracy, the financial position of CIMA at any time. Council has assessed CIMA’s financial position noting it has a strong financial position with cash of £15.5m at 31 December 2020, good visibility of income with the long-term nature of membership, of which most of its member subscriptions for calendar year 2021 having been collected through 31 March 2021. CIMA has strong plans in working with the Association to successfully manage the business risks and impact of COVID-19.

Various income streams were impacted by COVID-19 including income from exams and promote competency globally. However, CIMA executed several actions to minimize the impact to these income streams including offering our exams and products via remote testing and digital delivery. These changes will have lasting, positive implications to CIMA’s business model and ongoing digital transformation efforts. The financial statements are prepared on a going concern basis as the Council is satisfied that there is a reasonable expectation that there are adequate resources to continue in operational existence for the foreseeable future.

Appointments CommitteeThe Appointments Committee met five times in-person and made decisions out of committee one time. The list of Committee members who served during the year is provided at the end of this report.

The Committee has delegated authority and responsibility for coordinating the arrangements for all the governance elections, including elections to the Council, selection of the next Vice-Presidential candidate for recommendation to the membership, policy committee chairmen, and ‘without portfolio’ members of the Appointments Committee. It also has delegated authority from the Council to appoint individuals to represent the Institute on other non-Institute bodies or organisations and it makes


recommendations to Council for members of the Association’s Nominations Committee and at large members of the Association Board. It appoints the Chairmen, Vice Chairmen, and members of the Conduct Committees, through an independent selection process in accordance with the Laws of the Institute. As a part of its delegated responsibility, it also approves nominations for the Institute medals and other awards. Its decisions and nominations are made in accordance with the Royal Charter, Byelaws and Regulations, and the legal and procedural framework that governs the functions of this Committee.

The Appointments Committee is responsible for overseeing the selection and recruitment of members/individuals to serve on CIMA’s committees. In 2020, June Council resolved that the Vice Chair of the Appointments Committee be appointed from amongst the without portfolio members. In light of this, the Appointments Committee appointed Michael Lowney as its Vice Chair.

Building up talent for the future is an important initiative for the Committee. To achieve this initiative, the Committee has developed and keeps up to date a talent pool of individuals interested in governance roles. The talent pool has become the primary source for appointments and selections and has increased the range of individuals available to the Committee for selection. The Committee is working towards improving the information available and the methods used to attract volunteers, including improving diversity and inclusion within CIMA’s governance bodies.

The Committee is also responsible for determining and approving modifications to the terms of reference for the CIMA Committees.

The Appointments Committee ensures that any payments to Council members for services to CIMA are in accordance with the Byelaws. In accordance with the revisions approved by members at the AGM in 2019, this year the Committee has worked on the principles to be applied for determining an optional, fixed nominal payment of a President’s honorarium that come into effect from the governance year that begins from the conclusion of the AGM in 2022.

The Committee began a programme of reviews that will continue into 2021. They included a review of the Policy Committee Chairs selection and the Vice-President nominate selection process.

Professional Standards CommitteeCIMA’s work in professional standards included a significant programme of measures designed to support members during the COVID crisis, including revised arrangements for CPD and AML monitoring and production of a variety of resources to assist members in obtaining relevant information and support for their businesses.

A great deal of staff and Committee time continued to be dedicated to CIMA’s role as the anti-money laundering (AML) supervisor for members in practice. This included oversight of a successful virtual inspection visit by the UK government regulator, the Office for Professional Body Anti-Money Laundering Supervision, in June 2021. It also reviewed the question of the definition of “accounting services” under the Member in Practice Rules to ensure that these rules stay in step with current government guidance and best practice.

In furtherance of its regulatory remit, the Committee also considered social media guidance for members and students and approved an application by CIMA for exemption from the provisions of the Rehabilitation of Offenders Act 1974 to strengthen its professional conduct powers.

The team continued to meet national and international regulators on a regular basis to discuss issues of mutual interest in relation to regulatory oversight, albeit virtually, and responded to consultations and exposure drafts, including on matters relating to ethical standards and codes. The new CIMA Code of Ethics was launched on 1 January 2020, accompanied by an information campaign to inform members of the changes and their significance for management accountants. In October, a communications campaign focussing on the role of management accountants in responsible business and ensuring sustainable development accompanied publication of a new interactive ethics checklist for members on our website.

The Institute’s work to uphold the standards and conduct of its members and students remains at the core of its public interest obligations despite the inevitable difficulties caused by lockdown and other COVID-related restrictions in the UK. It is assisted in this by three independent conduct committees which together met on 17 occasions during the course of the year (most of which were remote hearings), dealing with 33 cases. This volume of work was comparable with previous years. There were no appeals against decisions of the Investigation or Disciplinary Committees during the year.

Membership CommitteeThe Membership Committee is responsible for overseeing the policies, criteria, and standards governing membership of CIMA.

In 2020, the Committee continued its work on future proofing the standards for membership to ensure that the membership journey is fit for purpose and a positive experience for those dealing with the Institute. It welcomed the ongoing work across the Association to reimagine membership models as part of the Reimagining the Association’s Value and Experience (RAVE) project and thereby improve the perceived value of CIMA membership. The Committee’s own insights and perspectives on this were provided to the relevant teams and it looked forward to the outcome of this project.


The Committee also established a working group to review the Practical Experience Requirements (PER). The Committee endorsed the design principles behind the PER review, which covered the following development goals:

• Alignment with the Future of Finance initiative;

• Making the process a celebratory experience;

• The intention to instil a growth mindset;

• A fair, regulatory compliant and frictionless process;

• A mentoring role for Assessors with students in addition to the traditional role of gatekeeping;

• The scope of the project, which covered CIMA students and those on apprenticeships; and

• Fully utilising the role of the assessors.

The Committee’s work in this area will continue into 2021, as will its review of the fellowship criteria, building on the work of the Fellowship Review which reported in 2018. The Committee noted that it was important to seek to understand the varying perspectives of members, employers and the wider market on fellowship and to look again at its benefits and award criteria in that light.

Having introduced video conferencing for face-to-face assessments in 2019 to enable wider global reach and agile assessments, this proved to be invaluable in helping membership assessors adapt to the COVID-related restrictions. The Committee was pleased to note the success of membership assessors in dealing with assessments in a timely and robust manner despite the prevailing difficulties in 2020.

The Committee is also responsible for the appointment of assessors, and in 2020 appointed new assessors to ensure demand for timely assessments could be met. It undertook its annual review of the roles assessors perform, ensuring each was allocated to the role appropriate to their level of skills and experience.

Global Member Engagement CommitteeEstablished in late 2019, the Global Member Engagement Committee (GMEC) has been driving the Council agenda of ensuring support and engagement for members wherever they are located globally. GMEC’s core roles are to review existing member support structures across the world, to report into Council on the effectiveness of that support and to review and establish supportive digital engagement solutions for members. The committee is the conduit between Council and the member support networks.

The Committee has reviewed and implemented revised governance structures in Africa, Sri Lanka and the United Kingdom & Ireland which represent 80% of the global CIMA member footprint. The decision to update structures was made to ensure that good governance practices prevail across all regional networks and that all activities for which governance groups are responsible for are cost effective and add value. These structure changes will also ensure GMEC can provide oversight of all networks and help regions to develop consistent standards of support for members; defining and disseminating best practice. The committee has also established a reporting template to gather and analyse regional information for Council and most recently are discussing a report on the most appropriate method to link the digital support needs with the RAVE platform and provide a framework outside of that framework. This framework will include guidance for existing networks on the best way to engage members in regions through digital means. The Committee has made tremendous progress in delivering successful outcomes against their terms of reference and are looking to ensure more impact in the coming year.

Charitable trusts and other fundsThe CIMA Benevolent Fund is a registered charity, created to provide assistance to members and ex-members, and their families, in times of hardship. The fund is managed by CIMA Council on behalf of CIMA, the sole trustee. CIMA Council delegates functions, including casework to a Committee.

The Anthony Howitt Lecture Trust, a registered charity created to advance education in accounting and related subjects, takes the form of a lecture, normally biennial, by eminent speakers on matters of interest to accountants and other leading members of the business world. The trust receives income from funds originally gifted from the founder, Anthony Howitt. The trustees are all current Honorary Officers of CIMA.

The General Charitable Trust is a registered charity and was formed for the advancement of education in the subjects of accounting, management accounting, electronic data processing, costing, auditing, taxation, applied economics, finance, and other related subjects of an educational nature. The trust is an independent body with an arm’s length relationship with CIMA.


Social responsibilityWe are committed to ensuring social responsibility through our public interest accountability under the Royal Charter. CIMA, therefore, takes its role in promoting responsible business practice seriously. Members and students have a duty to observe the highest standards of conduct and integrity and to uphold the good standing and reputation of the profession. All students are issued with the CIMA Code of Ethics on commencement of their training, are examined in ethical decision-making, and must have regard to the Code in their work. The updated Code, which came into force in 2019, is based on international standards and defines the core principles that an Associate or Fellow of the Institute or a CGMA designation holders must uphold: integrity, objectivity, professional competence and due care, confidentiality, and professional behaviour. Practical guidance on identifying and resolving ethical conflicts is provided through dedicated resources and helplines.

CIMA is similarly committed to supporting members in understanding and implementing responsible business practices, including relating to the UN Sustainable Development Goals. As a signatory of the UN Global Compact, CIMA is

committed to upholding key principles on human rights, sustainability, labour rights and anti-corruption. Resources relating to responsible business are available on the CIMA website and in FM magazine.

As an Investor in People, CIMA also strongly recognises the importance of its own employees, and the link between satisfied staff and satisfied stakeholders. To this end, it has implemented extensive health and safety, employee satisfaction, learning and development, performance appraisal programmes, gender pay gap reporting, and a statement and policy on modern slavery.

Nicholas Jackson, FCMA, CGMA President, CIMA Vice Chair, Association

9 April 2021


Financial performance review Summary2020 has been a year like no other. While the COVID-19 pandemic has caused tremendous disruption across the globe, the accounting profession has played a pivotal role in helping individuals, businesses, communities and economies adapt. Even with disrupted routines at home and work, the volunteers and staff have used their expertise, resilience and creativity to deliver the guidance, resources and advocacy members and students have needed, when they most needed it. We responded quickly to the pandemic, shifting our focus to new efforts that met the needs of our members, students and the profession, such as launching remote testing for CIMA exams making us the first accounting professional qualification to offer its entire program online. Our quick response to the pandemic received extremely positive feedback from members, students, and the profession.

While 2020 was a challenging year, we learned valuable lessons that sets us up for success in 2021 and beyond. The pandemic underscored how imperative it is to focus on member needs, and the importance of ongoing digital transformation. It also highlighted our ability to pivot to support members and students; as the impact of the pandemic continues to unfold, we will monitor member sentiment and adjust as needed. Finally, this year emphasised the importance of supporting staff and adjusting plans to prevent burnout, which we remain committed to in 2021.

Through the Association of International Certified Professional Accountants (the Association), we continued to leverage the combined strengths of The Chartered Institute of Management Accountants (CIMA) and the American Institute of Certified Public Accountants (AICPA) to increase value to our members and students. We made significant progress in each of our five key strategic priorities:

1. Promote Competency Globally

2. Grow Key Markets

3. Future-proof Management Accounting and Public Accounting

4. Evolve Auditing in the Future

5. Transform our Organisation

Details about our performance in these and other areas are included in the “Results” section below .

CIMA and the AICPA continue to integrate strategy, management and operations. During this ongoing integration period, some assets, liabilities and intellectual property (ALIP) will transfer to the Association while others, such as pension scheme liabilities of both founding bodies, will not transfer to the Association. CIMA’s member subscription income is used to support its members in management accounting, fulfil the CIMA pension scheme obligation, and support the growth of the Association.

While CIMA continues to have an independent audit, its operating results will be combined with the AICPA’s as part of the Association’s integrated annual report, which will be approved by the Association’s Board of Directors and available to all CIMA and AICPA members. CIMA’s audit report should be read in conjunction with the Association’s integrated annual report, which includes details of internal audit, risk management, executive remuneration and more.

ResultsHere are a few highlights of the top accomplishments we achieved this past year to move the organisation and the profession forward:

1. �Promote�competency�globally�(PCG)�We lead the global profession in competency development and lifelong learning — learn, unlearn, and relearn.

In response to the crisis, we moved quickly to support members, students and the profession. We launched our Coronavirus Resource Center to provide the latest news, resources, and guidance; it had over 600,000 views from March through December. We flooded the continuing professional development market with a quick response on several different topics, including business continuity planning, remote auditing, and pandemic risk mitigations. We offered Q&A events via Facebook Live and Go Beyond Disruption podcasts for U.S., the U.K. and Europe, and the Asia markets. We published over 140 Go Beyond Disruption podcast episodes; they are increasing in popularity with over 150,000 downloads in 2020.

With a digital-first approach, we saw increased participation in virtual management accounting events throughout the world. In the U.K., webinar attendance reached over 32,000, an increase of 440% compared to 2019. We also transitioned from in-person events to a virtual roadshow to give members a chance to hear from and connect with leadership. From September 2020 to January 2021, CIMA President Nicholas Jackson and Andrew Harding, CEO – Management Accounting, held ten virtual roadshow events that allowed them to discuss issues impacting the profession and our support for members and students, with an opportunity for direct engagement. Over 2,600 members globally registered for these events. In November 2020, our Asia Pacific Regional Vice President Venkkat Ramanan moderated a panel discussion Reimagining Finance Leadership with two of our members at the virtual Accounting & Finance Show Asia 2020, which was attended by 190 participants. Overall, opening regional events to a worldwide audience doubled webinar attendance and average registrations to global events increased tenfold.


2. �Grow�Key�Markets�We seek to grow management accounting in key markets including China and the US.

We successfully began piloting Level I of Digital Management Accounting (DMA). This fit-for-China product provides an alternative entry-level pathway to the CGMA qualification and is designed to target university students and early-career professionals who are looking for a combination of digital skills and competencies that will prepare them for employment in public sector finance functions. The DMA is comprised of two levels and exams will be offered four times a year, with reliance on tuition providers for exam preparation. We began the pilot in December 2020, with the full launch slated for May 2021; this has allowed us to test the effectiveness of tuition provision and estimate the cognitive load on students. We will update the DMA level I in 2021 based on the results of the pilot, and then begin piloting DMA level II. Once students complete the DMA, they can progress into the management case study level of the CIMA Professional Qualification.

A key component to being successful in China is having a government partner. In 2020, we entered contract negotiations with the China International Talent Exchange Foundation (CITEF). CITEF is a public institution directly under the China Ministry of Science and Technology that promotes international exchange, cultivation of talents and funding support. CITEF is responsible for the exchange and cooperation with domestic and foreign governments, universities, scientific research institutes, enterprises and social organisations and other relevant professional institutions. CITEF employs experts from relevant countries or regions, holds professional conferences, seminars, training, and promotion activities, and establishes international talent training bases. CITEF has successfully partnered with PMI to promote the PMP certificate. In the 20-year partnership with PMI, they have recruited more than 300,000 PMP students. Now, CITEF is working with us, seeking fast-track programs. This collaboration could be an open opportunity to grow significantly in China in the next five to ten years. Our projection is to gain 60,000 students and 35,000 members by 2025. While we are still finalising the structure of the partnership, this is a huge step that will give us the legitimacy needed to be successful in China. We anticipate finalisation in the first half 2021.

We piloted the CGMA Finance Leadership Program (FLP) with Western Michigan University in the U.S. Students in an advanced managerial graduate class within the Master of Accountancy program were presented with the opportunity to enrol in the CGMA FLP as part of their coursework. All students in the class signed up, following the recommendation of their professor. The pilot was a huge step for CGMA in the U.S. and is the third model that the Academic and Student Engagement team is testing. In addition to this model, a pilot program at Brigham Young University allows students to study the FLP in parallel to their coursework. Finally, the third approach allows the team to go directly

to students to generate interest in the FLP without university involvement.

In our ongoing effort to strengthen management accounting in the U.S., we continue to partner with the CFO Leadership Council. Leveraging the new CGMA brand positioning and messaging we developed for the U.K. market, we developed new collateral aimed at finance professionals and finance leaders in the United States. We then started performance marketing and advertising at the end of 2020; this is a major milestone and will open a new channel for future growth.

3. �Future�proof�management�accounting�and�public�accounting We constantly evolve the requirements, pathways, and delivery of learning and assessments for our qualifications.

With respect to future proofing management accounting, we note the following achievements.

We rolled the CGMA FLP out globally. The CGMA FLP — based on the same syllabus, case study exams and practical experience requirement (PER) as our other pathways — is a new pathway to the CGMA designation and to CIMA membership. The program was developed based on feedback from members, students and employers, and combines learning and assessment in a fully online, modern, frictionless experience that allows us to measure student mastery without requiring the standard Objective Tests.

It was already used in the United States and we expanded globally in June. By the end of the year, we had contracts with 22 universities around the world to recruit their students to the FLP pathway, with another 15 universities in the process of signing contracts. We also began B2B sales, with six companies, including Accenture, Hanes Brands and Swiss Re, contracting with us to put their staff on the FLP pathway.

In 2021, we plan to expand to the United Kingdom, offering the program to finance professionals who wish to accelerate their career.

In response to COVID-19 pandemic, we launched the CIMA exam online in May. After a great deal of work across the organisation, the online exam launched in May, making us the first accounting professional qualification to offer the entire program online. At year-end, just over 76,000 exams were delivered.

Since May, over 55% of all exams have been taken online. The online exam has been a huge success in the face of constantly changing restrictions across our markets; 81% of test-takers reported they would recommend CIMA online exams to others.

To help CFOs and finance leaders increase resiliency and jump-start growth amid the COVID-19 environment, we partnered with a technology company, Oracle, to launch Agile Finance Reimagined. This five-part webcast and white paper series shared expert insights and practical guidance


from leaders at Oracle and McKinsey & Company on topics including economic recovery and supply chain management. This program elevated awareness of our brand and resources to more than 9,000 finance leaders.

We implemented updates to the CIMA Code of Ethics. Effective Jan. 1, 2020, the new CIMA Code of Ethics helps management accountants have the tools and resources to safeguard the accounting profession and public interest as they enter the 2020s. The updates included a revised conceptual framework to help professionals identify, assess and address ethical threats; strengthened provisions about how to ensure effective governance; and revised provisions about offering and accepting inducements, including gifts, hospitality and entertainment.

With respect to future proofing public accounting, we note the following achievements.

Both AICPA Council and NASBA’s Board of Directors voted in support of advancing an evolved CPA licensure model as part of the CPA Evolution initiative. This was a critical milestone in the effort to transform the CPA by adopting a core + discipline model, intending to develop model curricula and course content for academia in 2021 and launching a new CPA Exam in 2024.

AICPA, NASBA and Prometric have successfully negotiated an extension of the tri-party agreement to 2039 (2024 for Prometric) where the AICPA will continue to develop and score the CPA Exam, NASBA will continue to provide candidate services and interfaces to the state boards for the administration of the exam, and Prometric will deliver the exam through its testing centres.

4. Evolve�auditing�in�the�future.We are dedicated to defining auditing in the future and the future of assurance services through foundational guidance, research, and exploration of new technologies.

The Dynamic Audit Solution (DAS) is a multi-year initiative of the AICPA, CPA.com, and our technology partner, CaseWare International, to develop a data-driven, technology-enabled audit solution that will enhance the efficiency, quality, and value of audits. In October, we delivered a minimally viable product (MVP) to firms for their experimentation and feedback. From the 36 participating firms, we had about 400 auditors actively engaging with the MVP and sharing valuable insights on key elements of the DAS methodology, including: risk assessment, integrated audit data analysis and materiality. They shared feedback on the key areas of enhanced functionality, such as engagement setup and client collaboration. This feedback is being incorporated in future commercial releases, which will include additional features, industry content, and capabilities in pursuit of the full transformative vision for DAS.

We launched a DAS MVP guided learning experience to support the 36 participating firms. This collection of learning

materials educated MVP participants on key information related to certain aspects of the DAS methodology and tool functionality. It was designed to ensure participating firms understand the rationale behind core DAS methodology decisions, as well as certain aspects of application design, functionality and linkages built in and/or anticipated in future releases. The learning experience built for MVP will be leveraged as the foundation for the ongoing development of learning to support future commercial releases of DAS.

We reprioritised Enhancing Audit Quality goals to support navigating COVID disruption. Enhancing Audit Quality aligns all AICPA assurance-related activities to support auditors in areas where quality challenges are most prevalent. In 2020, when the pandemic began, we reprioritised our goals for the year to focus on aiding members in areas affected by the change in working environment, like remote auditing, inventory observation, internal control, fraud risk identification and response, non-compliance with laws and regulations (e.g. PPP loans), accounting estimates and going concern. Through these efforts, we produced COVID-related articles and blogs that were viewed over 500,000 times, webcasts with over 7,500 attendees and various resources and tools to aid practitioners. We did this while still executing on our planned campaigns relative to revenue recognition (26,000 visits to our toolkit) and risk assessment (20,000 toolkit visits).

5. Transform�our�organization.�We are reimagining how, where, and what services we provide to today’s and tomorrow’s members and students.

In 2020, we made significant progress on upgrading the web experience for our members. In March, we launched an MVP to AICPA members in the United States, and their feedback was used to influence later stages of development. In June, we transitioned all COVID-19 content to the RAVE platform, giving members and professionals better access to critical information during the pandemic. In November, we launched version 1.1, which focuses on premium content capabilities. The feedback has overall been positive; performance metrics show growth in registered users, page views and revenues.

In addition, we consolidated our legacy Enterprise Resource Planning (ERP) systems into one ERP, which launched in January 2021. One ERP will drive efficiencies across business units and the finance function.

We upgraded network equipment in several offices to improve network stability in several major offices. In addition, we issued new computers to about 90% of employees to modernise and standardise equipment. Both projects have contributed to employee productivity and satisfaction.

As part of the ongoing evolution of our Global Business Services (GBS) hub in Kuala Lumpur, we continued to shift workload and roles to GBS, leveraging the skill sets and competencies built in that location.


Financial performanceFrom a financial performance perspective, CIMA, excluding charitable trusts, generated an operating deficit of £3.4m in 2020 as compared to an operating gain of £0.2m in 2019. CIMA experienced £4.4m in revenue decline over 2019, from a decrease in Exams and PCG revenue due to the COVID-19 Pandemic, which was partially offset by an increase in subscriptions revenue due to membership growth and a nominal rate increase. While CIMA was able to mitigate the revenue decline through expense reductions, CIMA did experience additional expense of approximately £3.2m associated with Value-Added Tax in several countries as we continue to expand our global reach.

Pension schemeCIMA operates a defined benefit pension scheme, which has been closed to future accruals since 2012. While the present value of the liability and fair value of assets both increased by £8m due to a decline in the discount rate on the liability and positive market performance on the scheme’s assets as well as contributions into the scheme, the net deficit remained flat to prior year at £15.6m. The scheme’s current funding plan has the

deficit being recovered by February 2027; however, the scheme is performing its tri-annual valuation in 2021, which may yield a different horizon. Both CIMA and the independent pension scheme trustees work to manage liability exposure and to optimise the risk and return balance for asset management.

ConclusionAs noted earlier, CIMA continues to have a stand-alone audit, and its operating results will be included in the combined, audited financial statements of the Association, available to all CIMA and AICPA members. The combined resources of the Association will provide a stronger platform to fulfil the Association’s vision and mission.

Scott H. Spiegel, CGMA, CPA/CITP Chief Financial Officer

9 April 2021


Committee membersDoug Roosa chairs the Audit and Finance Committee (the ‘Committee’) of the Association. Mr. Roosa serves as Chief Internal Auditor with the State of Michigan’s Public Safety and Quality of Life division, and formerly held assurance leadership roles at General Motors and Masco. The remaining Committee members who have served during the period are Sheila Balzer, Louise Connaughton, Sarah Ghosh, and Okorie Ramsey, each with extensive business experience.

The role of the CommitteeThe Audit and Finance Committee of the Association exists to review, and challenge where necessary, the actions and underlying opinions and judgements of management and employees, in relation to the audited annual financial statements of CIMA and the audited annual financial statements of the Association (and interim statements and reports where appropriate) together with its various charities, trusts, pension and benevolent funds, and the draft annual accounts of CIMA and AICPA subsidiaries. All such considerations are made before recommending such reports and statements where applicable to the Board and Council for endorsement and approval. Throughout the year, the Committee meets separately with key staff of the Association’s management team, internal audit, and the independent external auditors.

In addition, the Committee also provides financial oversight to the Association’s budget and forecasting process.

The Committee Chair attends the Council meeting at which the annual accounts of CIMA are approved to give him the opportunity to comment on any matters pertaining to the annual accounts, the underlying judgements and other matters of material relevance that have been discussed at the Committee during the preceding year.

During the year, the following items were reviewed:• Terms of Reference of the Committee and the Internal

Audit, Risk & Compliance (IARC) function;

• Annual IARC Project Programme;

• Financial statements and accounts;

• All internal and external audit reports;

• Data protection compliance;

• Business transformation; and

• Whistleblowing arrangements and compliance.

Additionally, the Committee takes an active interest in audit committee best practice and discusses key industry priorities at its meetings. Members are encouraged to attend appropriate development opportunities.

External auditSaffery Champness LLP was reappointed by the membership at the AGM as CIMA’s external auditor.

The Committee ensures that the external auditor remains independent of CIMA, AICPA and the Association in all material aspects and that they have adequate resources available to them to enable the delivery of their audit objective to the membership. The Committee reviews the overall performance of the auditors annually and is responsible for making formal recommendations each year to the Council on the position of the external auditors.

As detailed in the Committee’s Terms of Reference, the auditors are precluded from engaging in non-audit services that would compromise their independence and objectivity or violate any laws or regulations affecting their appointment as auditors.

£57K was incurred on non-audit services during the year. This was primarily in tax advisory services.

Internal auditThe Association has an Internal Audit, Risk & Compliance function (IARC) who participate in each Committee meeting. The Senior Director of IARC reports functionally to the Committee, and administratively to the CFO, with a dotted line to the CEO of the Association.

The internal audit programme is based upon an annual risk assessment, that takes into consideration the Association’s strategy, Enterprise Risk Management programme, in combination with discussions with senior management, the external auditors and the Committee. The 2020 programme covered:

• Internal controls over financial reporting;• Cybersecurity;• Regional activities;• COVID implications and response;• CGMA and CPA Examination activities;• Association business transformation activities;• General Data Protection Regulation (GDPR) compliance.

The Committee has received reports on the work carried out by internal audit and the results of their investigations including management responses and timelines. If any such recommendations, in the opinion of the Committee, are unreasonably rejected or delayed by management then these would be reported to the Council. No such report was necessary in 2020.

On behalf of the Committee,

Doug Roosa, CPA, CGMAChair of the Audit and Finance Committee Association of International Certified Professional Accountants

9 April 2021

The Audit and Finance Committee


OpinionWe have audited the financial statements of The Chartered Institute of Management Accountants (CIMA) (the ‘parent entity’) and its subsidiaries (the ‘group’) for the year ended 31 December 2020 which comprise the consolidated statement of comprehensive income, consolidated statement of financial position, consolidated statement of changes in funds, consolidated cash flow statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and International Accounting Standards (IAS).

In�our�opinion�the�financial�statements:• give a true and fair view of the state of affairs of the group

and of the parent entity as at 31 December 2020 and of the group’s total comprehensive income/(expense) for the year then ended;

• have been properly prepared in accordance with International Accounting Standards.

Basis for opinionWe conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group and the parent entity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the Financial Reporting Council (FRC) Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concernIn auditing the financial statements, we have concluded that the Council’s use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

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

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

Other informationThe Council are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information; we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exceptionIn the light of the knowledge and understanding of the group and the parent entity and their environment obtained in the course of the audit, we have not identified material misstatements in the President’s Report.

Responsibilities of CouncilAs explained more fully in the President’s report set out on page 8, the Council are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Council determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the group and parent entity financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our

Independent auditors’ report


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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below.

Identifying�and�assessing�risks�related�to�irregularities:We assessed the susceptibility of the group and parent entity’s financial statements to material misstatement and how fraud might occur, including through discussions with the Council, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements. We identified laws and regulations that are of significance in the context of the group and parent entity by discussions with Council and internal audit, communication with component auditors and by updating our understanding of the sector in which the group and parent entity operate.

Laws and regulations of direct significance in the context of the group and parent entity include The Royal Charter, Byelaws and Regulations.

Audit�response�to�risks�identified:We considered the extent of compliance with these laws and regulations as part of our audit procedures on the related financial statement items including a review of group and parent entity financial statement disclosures. We reviewed the parent entity’s records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the parent entity’s policies and procedures for compliance with laws and regulations with members of management responsible for compliance.

During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve non-compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We reviewed the work of internal audit and considered whistle blowing reports. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of business. We undertook testing in areas where increased control risk was identified by internal audit. We assessed whether judgements

made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the audit, the engagement partner’s review included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify non-compliance with laws and regulations and fraud.

As group auditors, our assessment of matters relating to non-compliance with laws or regulations and fraud differed at group and component level according to their particular circumstances. Our communications with component auditors included a request to identify instances of non-compliance with laws and regulations and fraud that could give rise to a material misstatement of the group financial statements in addition to our risk assessment.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities is available on the Financial Reporting Council ’s website at: frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our reportThis report is made solely to the parent entity’s members, as a body, for and only for management’s purposes to assist the Council to discharge its stewardship obligations and fiduciary responsibilities in respect of CIMA under the terms of the Royal Charter and Byelaws in accordance with our terms of engagement letter dated 10 November 2020 which was approved by the members on 21 January 2021 and for no other purpose. Our audit work has been undertaken so that we might state to the parent entity’s members 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 parent entity and the parent entity’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Alistair Hunt (Senior Statutory Auditor) for and on behalf of Saffery Champness LLP Chartered Accountants Statutory Auditors Suite C, Unex House Bourges Boulevard Peterborough Cambridgeshire PE1 1 NG

9 April 2021

http://frc.org.uk/auditorsresponsibilities


Results for the year are all derived from continuing operations.The notes on pages 29 to 61 form an integral part of these financial statements.

Consolidated statement of comprehensive incomeFor the year ended 31 December 2020

2020 2019

Note £’000 £’000 £’000 £’000

Income 56,228 60,587

Member and student subscriptions 39,611 38,780

Exams and exemptions 11,404 14,831

Promote competency globally 4,574 5,331

Investment 47 77

Advertising and other 592 1,568

Expenditure (58,917) (59,584)

Cost of goods sold (3,582) (3,977)

People costs (22,510) (22,244)

Professional services (16,394) (14,761)

Meetings and travel (1,178) (4,523)

Occupancy (1,486) (1,924)

Selling (2,171) (2,414)

Depreciation and amortisation (4,263) (4,446)

Office (1,091) (1,257)

Organisational support (1,099) (1,806)

Other (5,143) (2,232)

Operating (deficit)/gain before charitable trusts and other funds (2,689) 1,003

Finance costs (731) (798)

Income from charitable trusts and other funds 72 41

Total operating (deficit)/gain (3,348) 246

Taxation charge 5.1 (88) (78)

(Deficit)/gain for the year (3,436) 168

Other comprehensive income

Items which will not be reclassified to net income

Actuarial loss on pension scheme 14.2 (2,117) (3,132)

Items which may be reclassified to net income

(Decrease)/increase in foreign currency translation reserve (165) 338

Unrealised gain on investment revaluation 511 649

Total other comprehensive expense (1,771) (2,145)

Total comprehensive expense (5,207) (1,977)


The notes on pages 29 to 61 form an integral part of these financial statements.

The financial statements on pages 25 to 61 were approved by the Council as at 9 April 2021, and signed on its behalf by:

As of 31 December 2020

Consolidated statement of financial position

2020 2019

Note £’000 £’000

Non-current assets

Property, plant and equipment 6 4,798 5,159

Intangible assets 7 1,912 3,507

Right-of-use assets 8 12,641 13,759

Interest in other investments 9 5,939 5,431

25,290 27,856

Current assets

Trade and other receivables 10.1 4,616 4,288

Cash and cash equivalents 10.2 15,501 14,750

20,117 19,038

Total assets 45,407 46,894

Funds

Accumulated funds (20,006) (14,381)

Fair value reserves 3,475 2,949

Foreign currency translation reserve (3,160) (2,995)

Charitable trusts and other funds 2,883 2,826

(16,808) (11,601)

Current liabilities

Trade and other payables 11 9,929 6,650

Provisions 12 322 296

Subscriptions and fees received in advance 13 21,021 19,817

Lease liabilities 8 1,316 1,211

32,588 27,974

Non-current liabilities

Provisions 12 577 498

Pension scheme liability 14.1 15,639 15,588

Lease liabilities 8 13,344 14,384

Other retirement obligations 14.8 67 51

29,627 30,521

Total funds and liabilities 45,407 46,894

Scott H. Spiegel, CGMA, CPA/CITP Chief Financial Officer

Paul Ash, FCMA, CGMA Deputy President

Nicholas Jackson, FCMA, CGMA President


Consolidated statement of cash flows

2020 2019

Note £’000 £’000

Cash flows from operating activities

Member and student income 56,380 61,328

Other income 544 1,581

Payments to suppliers (29,620) (34,423)

Payments to employees (17,315) (17,085)

Payments relating to taxes (1,374) (1,361)

Payments relating to post retirement benefits (4,825) (3,158)

Payments lease interest 8 (719) (781)

Activities relating to charitable activities 72 41

Net cash generated by operating activities 3,143 6,142

Cash flows from investing activities

Purchase of property, plant and equipment 6 (455) (1,314)

Purchase of intangible assets 7 (662) (618)

Purchase of investments 9 (77) (80)

Sale of investments 9 80 –

Repayment of lease liabilities 8 (1,231) (1,153)

Investment income 118 139

Net cash used in investing activities (2,227) (3,026)

Net increase in cash and cash equivalents 916 3,116

Cash and cash equivalents at 1 January 14,750 11,284

Effect of foreign exchange rates

Change in foreign currency translation reserve (165) 338

Net exchange differences on property, plant and equipment – 12

Cash and cash equivalents at 31 December 10.2 15,501 14,750


For the year ended 31 December 2020


Consolidated statement of changes in funds


Accumulated funds

Fair value reserves

Foreign currency translation

Total before charities

Charitable trusts and other funds

Group total

Note £’000 £’000 £’000 £’000 £’000 £’000

Balance at 31 December 2018 (11,376) 2,487 (3,333) (12,222) 2,598 (9,624)

Changes in funds for 2019

Gain for the year 127 – – 127 41 168

Unrealised gain on investment revaluation

9 – 462 – 462 187 649

Actuarial loss on pension scheme 14.2 (3,132) – – (3,132) – (3,132)

Foreign exchange gain on translation – – 338 338 – 338

Total comprehensive income/(expense)

(3,005) 462 338 (2,205) 228 (1,977)


Changes in funds for 2020

(Deficit)/gain for the year (3,508) – – (3,508) 72 (3,436)

Unrealised gain/(loss) on investment revaluation

9 _ 526 – 526 (15) 511

Actuarial loss on pension scheme 14.2 (2,117) – – (2,117) – (2,117)

Foreign exchange loss on translation – – (165) (165) – (165)

Total comprehensive income/ (expense)

(5,625) 526 (165) (5,264) 57 (5,207)


For the year ended 31 December 2020


1. Summary of accounting policies1.1 Basis�of�preparationThe Chartered Institute of Management Accountants (“CIMA”) is a body incorporated by Royal Charter and domiciled in the United Kingdom. The financial statements are prepared on the going concern basis, under the historical cost convention, as modified by the revaluation of freehold properties and investments, and in accordance with International Accounting Standards and with the IFRS Interpretational Committee interpretations.

CIMA is not required to follow the Companies Act 2006. Under the Royal Charter, CIMA follows the relevant matters mentioned in Part 16 of the Act. It has chosen not to present its entity balance sheet.

In June 2016, the memberships of CIMA and the American Institute of Certified Public Accountants (the “AICPA”) voted to evolve its joint venture and integrate strategy, management and operations. To facilitate such, CIMA and AICPA created two new entities, the Association of International Certified Professional Accountants – UK, (the ‘Association UK’) and the Association of International Certified Professional Accountants (the ‘Association US’). The Association UK and US both launched on 1 January 2017, for which its purpose is to align strategy, management and operations, and to deliver on its mission and vision to create the most influential body of professional accountants driving a dynamic accounting profession worldwide. On 1 January 2017, the CIMA employees were transferred to the Association UK and the AICPA employees were transferred to the Association US.

The Association UK is a company limited by guarantee and formed in the UK. CIMA has 51 votes and the Association US has 49 votes. The Association US is a 501 C-6, not for profit incorporated in Washington D.C. The Board of Directors of the Association US includes members of CIMA and AICPA.

The Association US is deemed an associate and is accounted for under the basis set out in note 1.2.

Freehold properties are revalued by a qualified surveyor, on a depreciated replacement cost basis, every three years, or more regularly should management consider that the value has changed significantly. Investments are revalued at the balance sheet date in line with the fair value hierarchy.

Going�concernThe financial statements have been prepared on the going concern basis. CIMA has retained deficits of £20,006,000 after pension provisions of £15,639,000. Council has assessed the viability of CIMA in light of COVID-19 believing that it has adequate financial resources in cash of £15,501,000 at

year end, good income visibility with the long-term nature of the membership and strong plans in working with the Association to successfully manage business risks and impact of COVID-19. Council therefore have concluded that it is reasonable to assume that CIMA has adequate resources to meet its liabilities as they fall due.

1.2 Basis�of�consolidationThe consolidated group financial statements comprise the financial statements of CIMA and the wholly owned subsidiary undertakings, charitable trusts and other funds under the control of CIMA, together with a share of the results, assets and liabilities of jointly controlled entities (associates) using the equity method of accounting, where the investment is carried at cost plus post acquisition changes in the share of net assets of the associate, less any provision for impairment.

Control is achieved where CIMA is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect these returns through its power over the investee. A joint venture or associate is an entity established to engage in economic activity, which CIMA jointly controls with its fellow venturers. Losses in excess of the consolidated interest in associates are not recognised, except where CIMA or its subsidiaries have made a commitment to make good those losses and are included in creditors where the investment is impaired.

The consolidated group financial statements comprise the statements of comprehensive income, balance sheets and cash flow statements of CIMA and its foreign operations as detailed in Note 16.

1.3 The�following�standards�are�effective�and�relevant� in�the�current�year:

New�and�amended�standards�and�interpretations�adopted� by�the�companyThere were a number of Amendments to Standards adopted in the current year, but none of these had a material impact on the group in the current period.

Standards�which�are�in�issue�but�not�yet�effectiveAt the date of authorisation of these accounts, there were a number of Standards and Interpretations that were in issue but not yet effective. The effect of all other new and amended Standards and Interpretations which are in issue but not yet mandatorily effective is not expected to materially impact the group.

Notes to the consolidated financial statementsFor the year ended 31 December 2020


1.4 Income�Streams�and�Recognition:

The main income streams are as follows:Member and student subscriptions are membership fees paid by CIMA members and students holding or seeking the CIMA designation. They are recognised and amortised over the applicable membership period.

Examination income relates to testing the competency of those seeking the CIMA designation and are recognised when the papers are scored and released to candidates.

Exemption fees relate to those seeking the CIMA designation who are seeking exemption from certain exams in route to obtaining their CIMA designation. Exemption fees are recognised when the exemption is paid.

Subscriptions and fees received in advance in current liabilities, represent funds paid to CIMA in the current year, which relate to the annual fees falling due, and are recognised as income, in the year they are earned.

Promote competency globally income is derived from our key strategic initiative to lead the global accounting and finance profession in competency and lifelong learning. The income streams consist of delivering thought leadership, learning products, on-line learning events, competency-enhancing resources on the CGMA store. Revenue recognition for these goods and services can vary and is based upon when the performance obligation has been met.

Investment income consists of interest and dividends. Interest is accrued on a daily basis. Dividends from investments are recognised when CIMA’s right to receive payment is established.

Advertising and other income consist of sponsorships and magazine sales advertising. Revenue recognition occurs when the sponsored event occurs or the month of publication, in the case of advertising revenue. Other Income in 2019 consists of a settlement received from the Financial Reporting Council (FRC).

A number of members and volunteers have contributed significant amounts of time to the activities of CIMA. The combined financial statements do not reflect the value of these contributed services because they do not meet the criteria for recognition.

1.5 Expenditure�recognitionExpenditure related to a specific income stream is recognised in the period incurred.

Expenditure related to a specific period of time or service is recognised in that period. Goods or services delivered, for which the invoice has not been received, are accrued for in the accounting period in which they are delivered.

Expenditure incurred delivering the core products or services of CIMA or its ongoing functional activity for which there is no direct revenue benefit is expensed in the accounting period in which the commitment was made.

Gift aid donations made by CIMA to the General Charitable Trust are recognised when paid.

1.6� Financial�assetsFinancial assets are recognised in the CIMA’s statement of financial position when CIMA becomes party to the contractual provisions of the instrument. Financial assets are classified into specific categories. The classification depends on the nature and purpose of the financial assets and is determined at the time of recognition. Financial assets are initially measured at fair value plus transaction costs, other than those classified as fair value through profit and loss, which are measured at fair value.

1.7 LeasesCIMA assesses whether a contract is, or contains, a lease at inception of a contract. A contract is or contains a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. CIMA assesses whether (1) the contract involves the use of an identified asset (2) CIMA has the right to obtain substantially all of the economic benefits for use of the asset through the period of use (3) CIMA has the right to direct the use of the asset.

Right-of-use�assetsAs a lessee, CIMA recognises a right-of-use asset and a lease liability at the lease commencement date. The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located, less any lease incentives received.

The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term. The estimated useful lives of right-of-use assets is determined based on the expected life of the lease. The right-of-use asset is periodically reduced by impairment loss, if any, and adjusted for certain re-measurements of lease liability.

Lease�liabilityAs a lessee, CIMA initially measures the lease liability at the present value of the lease payments that are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the incremental borrowing rate. Generally, CIMA uses its incremental borrowing rate as the discount rate.

Lease liability included in the measurement of the lease liability comprise the following: (1) fixed payments, including in-substance fixed payments, less any lease incentives (2) variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date (3) amounts expected to be payable under a residual value guarantee (4) the exercise price under a purchase option that the lessee is reasonably certain to exercise, lease payments in an optional renewal period if the lessee is reasonably certain to exercise an extension option, and penalties for early termination of a lease unless the lessee is reasonably certain not to terminate early.


The lease liability is remeasured whenever there is a change in future lease payments arising from a change in an index or rate, if there is a change in the estimate of the amount expected to be payable under a residual value guarantee, or if the lessee changes its assessment of whether it will exercise a purchase, extension or termination option. When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset or is recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero. CIMA did not make such adjustments during the periods presented.

Short-term�leases�and�leases�of�low-value�assets�CIMA applies the recognition exemption and elects not to recognize right-of-use assets and lease liabilities for short-term leases with a lease term of 12 months or less and leases of low-value assets. CIMA recognizes the lease payments associated with these leases as an expense on a straight-line basis over the lease term.

Real�estate�leaseCIMA leases buildings for the office space. The lease of office space typically includes an option to renew the lease for an additional period of the same during or after the end of the contract term. CIMA is reasonably certain to exercise the renewal option for its London office. The lease of office space does not contain an option to purchase the underlying leased assets at the end of the lease.

1.8 TaxationCorporation tax arises on CIMA’s trading profits, chargeable gains and investment income less any charitable donations by way of gift aid. A provision is made for deferred taxation to the extent that material timing differences are expected to reverse in future periods. No provision for deferred taxation is included in respect of surpluses on revaluation of property and investments.

1.9 Investments�Investments are recognised at cost on the trade date and are restated on the reporting date at fair value. Unrealised gains and losses are recognised directly in fair value reserves until the investment is disposed of or is determined to be impaired, at which time the cumulative gain or loss, previously recognised in fair value reserves, is included in the net surplus or deficit for the period. Income or expense arising on the translation of investments denominated in foreign currencies is recognised as part of the deficit or surplus for the year.

1.10 Property,�plant�and�equipmentFreehold land and buildings are carried at fair value, based on valuations conducted every three years, with subsequent additions at cost. They are depreciated at 2% on a straight-line basis.

Leasehold land and buildings are carried at fair value, based on valuations conducted every three years, with subsequent additions at cost. They are depreciated on a straight-line basis

over the remaining lease term. The lease term is the remaining period of the lease plus, when the option to renew the lease rests with the lessee, the second lease period. Leasehold improvements are carried at cost and depreciated on a straight-line basis over the period of occupation.

Other equipment, comprising IT hardware, is carried at cost and depreciated on a straight-line basis at rates varying from 20% to 50%, depending on the useful economic life of the equipment. Small items of furniture and office equipment are expensed in the year of purchase. Cost includes attributable irrecoverable VAT.

1.11 Intangible�assetsIntangible assets comprise computer software and trademarks; these are stated at cost. Cost includes attributable irrecoverable VAT.

Amortisation is charged on a straight-line basis over the estimated useful economic life of the software (between two and five years) and over the duration of the trademark.

1.12 ImpairmentAt each balance sheet date, the carrying amounts of non-current assets with finite lives are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated to determine the extent of the impairment loss.

If the recoverable amount of the asset is estimated to be less than the carrying amount, the carrying amount is reduced to the recoverable amount. Impairment losses are recognised in the consolidated statement of comprehensive income, unless the asset is land or buildings carried at a revalued amount, in which case the impairment loss is treated as a decrease in the fair value reserve.

Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of the recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised in the consolidated statement of comprehensive income, unless the asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as an increase in the fair value reserve.

1.13 Financial�liabilitiesFinancial liabilities are classified as either financial liabilities at fair value through profit or loss or other financial liabilities.

1.14 Trade�and�other�receivablesTrade and other receivables are stated at original invoice value less a provision for doubtful debts. The recoverability of debt is reviewed on an ongoing basis. CIMA reviews indicators of impairment on an ongoing basis and where such indicators exist makes an estimate of the assets recoverable amount.


1.15 Trade�and�other�payables�Trade and other payables are recognised at amortised cost.

1.16 Cash�and�cash�equivalentsCash and cash equivalents comprise cash in hand, balances with banks and financial institutions, credit card receipts cleared and in transit to CIMA, and investments in money market instruments representing short term, highly liquid investments, which are readily convertible to known amounts of cash.

1.17 Retirement�benefitsFor defined benefit plans, the cost of providing benefits is determined using the projected credit method, with valuations for the purposes of IAS 19 being carried out at each balance sheet date. Past service cost is recognised immediately, to the extent that benefits are already vested, and otherwise is amortised on a straight-line basis over the average period until the amended benefits become vested.

The amount recognised in the consolidated balance sheet represents the present value of the defined benefit obligation, reduced by the fair value of plan assets. Any asset resulting from this calculation is limited to the unrecognised actuarial losses and past service cost, plus the present value of available funds and reductions in future contributions to the plan.

For the defined contribution scheme, the cost recognised for the period is the contribution payable in exchange for services rendered by employees during the period.

1.18 Foreign�currencies�Sterling is the presentational currency of CIMA. Transactions in currencies other than sterling are initially recorded at the rates of exchange prevailing on the dates of the transactions. Surpluses and deficits arising on exchange are included in the net surplus or deficit for the period. Monetary assets and liabilities are translated at the rates prevailing on the balance sheet date, including non-UK operations. On consolidation, the income and expense items of the non-UK operations are translated at the average rates for the period. Exchange differences on the translation of the assets and liabilities of the non-UK operations have been taken to the foreign currency translation reserve.

1.19 DerivativesCIMA uses derivative financial instruments (derivatives) to hedge its exposure to foreign exchange risks arising from operational activities.

Derivatives are recognised at fair value. As the financial instruments are designated as fair value through profit and loss, the gain or loss on re-measurement to fair value is recognised immediately in the consolidated statement of comprehensive income.

1.20 ProvisionsProvisions have been set aside for costs to complete open disciplinary cases with members and to remedy dilapidation lease obligations.

1.21 FundsCIMA maintains a level of reserves to protect against a shortfall in income should economic or market forces cause a significant decline in demand for its products and services for one year, or to its ability to earn a return on its invested funds. Most investment projects are funded out of current income, however accumulated reserves may be used to fund significant strategic projects.

Fair value reserves represent the market value of CIMA’s investments and property in excess of the historic cost. The foreign currency translation reserve represents exchange differences arising on the translation of the assets and liabilities of the non-UK operations. Charitable trust reserves represent the total reserves relating to the Benevolent Fund and the Anthony Howitt Lecture Trust.

While the accumulated funds are negative in both 2020 and 2019, primarily driven by the pension valuation assumptions, CIMA’s business model remains strong and relevant to the market, with a membership population underpinned by high retention levels generating sustainable future income. The organisation is committed to standing behind the pension scheme and an agreed plan is in place to support and manage this over the coming years. In addition to this, the combined resources of the Association will provide a stronger platform for the delivery of the management accounting strategy to grow the membership pipeline.

2. Sources of estimation uncertainty and significant judgements

The preparation of the financial statements requires CIMA to make estimates, judgements and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosure of contingent assets and liabilities. CIMA bases its estimates on historical experience and various other assumptions that they believe are reasonable under the circumstances, the results of which form the basis for making judgements about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may

differ from those estimates under different assumptions or conditions.

CIMA believes the primary area of judgement in the application of its accounting policies is its defined benefit pension scheme assumptions which are set out in Note 14.

The other significant judgement is the carrying value of properties and provisions.


3. Fees paid to external auditors

2020 2019

£’000 £’000

Total Fees

Saffery Champness 216 310

Other providers 108 166

324 476

Audit Services

Audit of CIMA Group Entities 159 174

Non-UK 73 93

232 267

Other Services

Corporation tax 23 23

Other – advisory services 35 163

Non UK 34 23

92 209

Total Fees 324 476

Other Entities outside of group – not incorporated into group disclosures

CIMA General Charitable Trust 7 6

Pension scheme Audit 11 11

18 17

Saffery�Champness�provided�audit,�assurance,�tax�and�advisory�services�in�the�UK,�and�to�some�non�UK�offices.� The�fees�include�irrecoverable�VAT.

4. Employees

2020 2019

£’000 £’000

Salaries and wages 16,655 16,892

Pension costs for defined contribution pension schemes 1,657 1,852

Social Security 1,374 1,361

19,686 20,105

The average monthly number of persons (including directors) employed by CIMA during the period was 383 in 2020 and 411 in 2019.


2020 2019

£’000 £’000

Current tax

UK corporation tax 60 40

Overseas corporation tax 31 28

Adjustment in respect of prior periods (3) 10

Total current tax 88 78

Total tax charge per consolidated statement of comprehensive

Income 88 78

5.1 Tax charge for the year

5. Taxation

2020 2019

£’000 £’000

Gain/(deficit) on ordinary activities before tax (3,348) 246

Tax on gain/(deficit) on ordinary activities at the standard UK rate of 19% (2019: 19%) (636) 31

Effects of:

Fixed asset differences (291) 42

Adjustment to tax charge in respect of previous periods (3) 7

Adjustment for non-deductible capital allowances – 513

Net income not taxable 219 (938)

Expenses not deductible 311 519

Deferred tax not recognised 472 (36)

Other differences 16 (60)

88 78

5.2 Factors affecting the tax charge for the year

No tax liabilities arise under the activities of the charitable trusts.

Deferred tax assets have not been recognised in respect of tax losses amounting to £4,094k. Fixed asset timing differences give rise to an unrecognised deferred tax asset of £81k.


6. Property, plant and equipment

Freehold land and building (at valuation)

Leasehold land and building (at valuation)

Leasehold improvements (at cost)

Furniture, fixtures and other equipment (at cost)

Total

£’000 £’000 £’000 £’000 £’000

Net book value at 31 December 2018 1,231 234 2,622 411 4,498

Cost or valuation

At 1 January 2019 1,297 304 4,139 2,828 8,568

Additions – – 297 1,017 1,314

Disposals – – (57) (20) (77)

Foreign exchange – – (86) 62 (24)

At 31 December 2019 1,297 304 4,293 3,887 9,781

Accumulated depreciation

At 1 January 2019 (66) (70) (1,517) (2,417) (4,070)

Charge for the year (30) – (286) (330) (646)

Eliminated on disposals – – 57 24 81

Foreign exchange – – 70 (57) 13

At 31 December 2019 (96) (70) (1,676) (2,780) (4,622)

Net book value at 31 December 2019 1,201 234 2,617 1,107 5,159

Cost or valuation

At 1 January 2020 1,297 304 4,293 3,887 9,781

Additions – – – 455 455

Disposals – – – (2,187) (2,187)

Foreign exchange – – 79 (91) (12)

At 31 December 2020 1,297 304 4,372 2,064 8,037

Accumulated depreciation

At 1 January 2020 (96) (70) (1,676) (2,780) (4,622)

Charge for the year (30) (93) (224) (460) (807)

Eliminated on disposals – – – 2,179 2,179

Foreign exchange – – (74) 85 11

At 31 December 2020 (126) (163) (1,974) (976) (3,239)

Net book value at 31 December 2020 1,171 141 2,398 1,088 4,798


7. Intangible assetsComputer software Trademarks Total

£’000 £’000 £’000

Net book value at 31 December 2018 4,687 824 5,511

Cost

At 1 January 2019 15,682 1,408 17,090

Additions 548 70 618

Disposals (23) – (23)

Foreign exchange (1) – (1)

At 31 December 2019 16,206 1,478 17,684

Accumulated amortisation

At 1 January 2019 (10,995) (584) (11,579)

Charge for the year (2,294) (145) (2,439)

Eliminated on disposals (160) – (160)

Foreign exchange 1 – 1

At 31 December 2019 (13,448) (729) (14,177)


Cost

At 1 January 2020 16,206 1,478 17,684

Additions 628 34 662

Disposals (6,657) – (6,657)

Foreign exchange 1 – 1

At 31 December 2020 10,178 1,512 11,690

Accumulated amortisation

At 1 January 2020 (13,448) (729) (14,177)

Charge for the year (1,861) (148) (2,009)

Eliminated on disposals 6,409 – 6,409

Foreign exchange (1) – (1)

At 31 December 2020 (8,901) (877) (9,778)


Freehold and leasehold land and buildings relates to property in Sri Lanka. Leasehold improvements include the corporate centre offices in the Helicon building, London, and also non-UK offices.

The valuation of the freehold and leasehold land and building in Sri Lanka was prepared by an independent valuation expert on the basis of depreciated replacement cost during January 2019. The valuation segregates the respective values of the freehold and leasehold land and buildings.

On a historical cost basis, the revalued freehold and leasehold land and buildings in Sri Lanka would have been included at a cost of £670k less accumulated depreciation of £326k.

Included above are assets under construction at a cost of £147k (2019: £201k). As these are assets under construction, depreciation has not started yet.


8. Leases

CIMA leases buildings for the office space including the Helicon building in London. CIMA has assumed the Helicon lease will be extended for a second term at the end of the initial term of the lease and is reasonably certain to exercise the renewal option. The lease of office space does not contain an option to purchase the underlying leased assets at the end of the lease and does not contain variable lease payments.

2020 2019

£’000 £’000

Right-of-use-assets

At 1 January 13,759 15,144

Additions 328 –

Depreciation charge for the year (1,446) (1,385)

At 31 December 12,641 13,759

Lease liabilities

Current 1,316 1,211

Non-current 13,344 14,384

At 31 December 14,660 15,595

Amounts recognised in the statement of comprehensive income

Interest on lease liabilities (731) (798)

Expenses relating to short-term leases – (6)

Expenses relating to leases of low-value assets, excluding short-term leases of low-value assets (116) (55)

Amounts recognised in the statement of cash flows

Repayment of leasing liabilities-financing activities 1,231 1,153

Interest payments-operating activities 719 781

Total cash outflow for leases 1,950 1,934

Maturity analysis-contractual undiscounted cash flows

Less than one year 1,976 2,365

One to five years 6,513 8,740

More than five years 10,731 12,057

Total undiscounted lease liabilities at 31 December 19,220 23,162


9. Interest in other investments

Marketable securities

Held by CIMA Held by charitable trusts and other funds

Total

£’000 £’000 £’000

At 31 December 2018 at fair value 2,255 2,447 4,702

At 1 January 2019 at fair value 2,255 2,447 4,702

Acquisition 80 – 80

Unrealised gain on revaluation of listed investments 462 187 649


Historical cost 1,176 2,015 3,191

At 1 January 2020 at fair value 2,797 2,634 5,431

Acquisition 77 – 77

Disposal (80) – (80)

Unrealised gain/(loss) on revaluation of listed investments 526 (15) 511


Historical cost 1,157 2,015 3,172

Marketable securities comprise units in funds managed by Schroder and Co. Limited. These funds are revalued at the balance sheet date to market quoted prices. Investments are classified as non-current unless they are expected to be realised within one year.

2020 2019

£’000 £’000

The unit funds are invested in the following asset classes

Equities 3,723 3,276

Multi-asset funds 2,216 2,155

5,939 5,431

The unit funds are invested in the following currencies

Sterling 2,619 2,634

US Dollar 3,320 2,797

5,939 5,431


10. Current assetsThe Council considers that the carrying amounts of these assets is approximate to their fair values.

Trade and other receivables are recognized at amortized costs.

2020 2019

£’000 £’000

Trade receivables 2,804 2,637

Prepayments 1,489 1,419

Other receivables 323 232

4,616 4,288

2020 2019

£’000 £’000

Cash in hand and at bank 12,632 10,936

Credit card receipts in transit 2,869 3,814

15,501 14,750

10.1 Trade and other receivables comprise:

10.2 Cash and cash equivalents comprise:

The related party payables consist of amounts due to the regional offices that are not eliminated on consolidation and amounts due to the AICPA and Association US.

11. Trade and other payables

2020 2019

£’000 £’000

Trade payables and accruals 3,641 3,890

Corporation tax payable 41 33

Related party payable 2,258 2,261

Other taxes and social security costs 3,989 466

9,929 6,650


The dilapidations provision is non-current and is expected to be utilised when CIMA’s lease at the Helicon ends.

The Other provision relates to disciplinary cases undertaken by CIMA on behalf of its members and is expected to be utilised or reversed within 12 months. The provision is based on known cases at the end of the year and is estimated through experience of similar cases.

This represents subscriptions and fees received in advance of the related service being performed, or in advance of the period to which the subscription relates. They are treated as deferred income and will be released to the statement of comprehensive income in line with when the performance obligation is met (note 1.4) £19.3m was recognised in 2020 that was included in Subscriptions and fees received in advance at the start of the period (2019: £17m).

CIMA sponsors The Chartered Institute of Management Accountants Pension and Assurance Scheme (the ‘Scheme’), a funded defined benefit pension scheme in the UK. The Scheme is administered within a trust which is legally separate from CIMA. Trustees are appointed by both CIMA and the Scheme’s membership and act in the interest of the scheme and all relevant stakeholders, including the members and CIMA. The Trustees are also responsible for the investment of the Scheme’s assets.

This Scheme provides pensions and lump sums to members on retirement and to their dependants on death. Members who leave service before retirement are entitled to a deferred pension. The Scheme closed to new members in 2002, and to accrual of benefits in 2012.

The responsibility for making good any deficit within the Scheme lies with CIMA and this introduces a number of risks for CIMA. The major risks are: interest rate risk, inflation risk, investment risk, and longevity risk. CIMA and the Trustees are aware of these risks and manage them through appropriate investment and funding strategies. The Trustees manage governance and operational risks through a number of internal control policies, including a risk register.

The Scheme is subject to regular actuarial valuations, which are usually carried out every three years. An actuarial valuation was carried out at 31 March 2018. These actuarial valuations are carried out in accordance with the requirements of the Pensions Act 2004 and so include deliberate margins for prudence. This contrasts with these accounting disclosures, which are determined using best estimate assumptions. The next actuarial valuation is due at 31 March 2021.

Following the 2018 valuation, CIMA and the Scheme agreed a plan to reduce the liability to zero by 2027. This is through additional contributions from CIMA and expected investment returns on the Scheme’s assets. In the current year CIMA’s contributions amounted to £2,750k (2019: £1,082k). The Institute is currently expected to contribute £2,700k including payments of all administrative and advisory expenses as well as levies, to the Scheme during year ending 31 December 2021.

12. Provisions

13. Subscriptions and fees received in advance

14. Retirement benefits

Dilapidations Other Total

£’000 £’000 £’000

At 31 December 2018 480 294 774

Utilised – (237) (237)

Released – (57) (57)

Increase costs of ongoing provisions – 42 42

Provided 18 254 272

At 31 December 2019 498 296 794

Utilised – (105) (105)

Released – (191) (191)

Increase costs of ongoing provisions – 94 94

Provided 79 228 307

At 31 December 2020 577 322 899


2020 2019

£’000 £’000

Present value of Scheme liabilities (70,767) (62,769)

Fair value of Scheme assets 55,128 47,181

Net amount recognised at year end (15,639) (15,588)

14.1 Amounts recognised in the consolidated balance sheet

14.2 Amounts recognised in the consolidated statement of comprehensive income

All Scheme assets are valued at a quoted market price.

The current and past service costs, settlements and curtailments, together with the net interest expense for the year are included in the employee benefits expense in the consolidated statement of comprehensive income. Re-measurements of the net defined benefit liability are included in other comprehensive income.

2020 2019

£’000 £’000

Service cost

Past service cost and loss on settlements and curtailments 12 –

Administration expenses 377 341

Net interest expense 295 356

Charge recognised in the consolidated statement of comprehensive income 684 697

Re-measurements of the net liability

Gain on Scheme assets (excluding amount included in Interest expense) (5,818) (4,592)

Loss arising from changes in financial assumptions 9,269 6,605

(Gain)/loss arising from changes in demographic assumptions (1,271) 864

Experience (gain)/loss (63) 255

Loss recorded in other comprehensive income 2,117 3,132

Total defined benefit expense 2,801 3,829

The results of the formal actuarial valuation as at 1 April 2018 have been projected to 31 December 2020 by a qualified independent actuary. The figures in the following disclosures were measured using the Projected Unit Method.

The Scheme’s investment strategy is to invest broadly 80% in return seeking assets and 20 % in matching assets (invested in liability driven investment funds). The Scheme’s investment strategy includes investing in liability driven investment, the value of which will increase with decreases in interest rates, and will move with inflation expectations.

While CIMA and AICPA created the Association UK and US to align strategy, management and operations as explained in Note 1, the Scheme will remain in CIMA and will have first call on membership and student subscription income to ensure it can continue to meet its obligations. This has been fully agreed between the Scheme Trustees and the Council.


14.3 The principal actuarial assumptions used

The choice of assumptions is the responsibility of the Council, and they are agreed with the actuary. The assumptions chosen are the most appropriate estimates from a range of possible actuarial assumptions, which due to the timescale covered, may not necessarily be borne out in practice.

2020 2019

% %

Liability discount rate 1.25 2.05

Inflation assumption RPI 3.00 3.10

Inflation assumption CPI 2.00 pa to 2030 / 3.00 pa from 2030 2.30

Revaluation of deferred pensions:

In service deferreds 3.00 3.10

Deferreds 2.00 pa to 2030 / 3.00 pa from 2030 2.30

Increases for pensions in payment:

Benefits accrued prior to 1 April 1997 3.00 3.00

Benefits accrued prior to 1 April 2004 3.40 3.40

Benefits accrued after 1 April 2004 3.00 3.10

Proportion of employees opting for early retirement

0.00 0.00

Proportion of employees commuting pension for cash

All members commute 20% of their pension at retirement on a fixed

commutation factor of 17

All members commute 20% of their pension at retirement on a

fixed commutation factor of 17

Mortality assumption – pre retirement S2PA series light tables adjusted 95% for males and 94% for

females, CMI 2019 with a long term trend of 1.00% pa

and IAMI of 0.2% pa

S2PA series light tables adjusted 93% for males and 92%

for females, CMI 2018 with a long term trend of 1.00% pa

and IAMI of .5% pa

Mortality assumption – male post retirement S2PA series light tables adjusted 95%, CMI 2019 with a long term trend of 1.00% pa

and IAMI of 0.2% pa

S2PA series light tables adjusted 93%, CMI 2018 with a long term trend of 1.00% pa

and IAMI of 0.5% pa

Mortality assumption – female post retirement S2PA series light tables adjusted 94%, CMI 2019 with a long term trend

of 1.00% pa and IAMI of 0.2% pa

S2PA series light tables adjusted 92%, CMI 2018 with a long term trend

of 1.00% pa and IAMI of 0.5% pa

Future expected lifetime of current pensioner age 65

Male aged 65 at year end 88.20 88.50

Female age 65 at year end 89.30 89.60

Future expected lifetime of future pensioner at age 65

Male aged 45 at year end 89.10 89.50

Female age 45 at year end 90.50 90.80


14.4 Reconciliation of Scheme assets and liabilities

Liabilities Assets Total

£’000 £’000 £’000

At 1 January 2019 (54,545) 41,704 (12,841)

Interest income / (expense) (1,540) 1,184 (356)

Administration expenses – (341) (341)

Cost recognised in the statement of comprehensive income

(1,540) 843 (697)

Actuarial (loss) arising in changes in financial assumptions

(6,605) – (6,605)

Actuarial (loss) arising in changes in demographic assumptions

(864) – (864)

Other experience items (255) – (255)

Return on assets (excluding amount included in net interest expense)

– 4,592 4,592

Re-measurement effects recognised in other comprehensive income

(7,724) 4,592 (3,132)

Contributions from CIMA – 1,082 1,082

Benefits paid 1,040 (1,040) –

Net cash 1,040 42 1,082

At 31 December 2019 (62,769) 41,181 (15,588)

Interest income / (expense) (1,274) 979 (295)

Administration expenses (377) (377)

Past service cost (GMP equalisation) (12) – (12)

Cost recognised in the statement of comprehensive income

(1,286) 602 (684)

Actuarial (loss) arising in changes in financial assumptions

(9,269) – (9,269)

Actuarial gains arising in changes in demographic assumptions

1,271 – 1,271

Other experience items 63 – 63

Return on assets (excluding amount included in net interest expense)

– 5,818 5,818

Re-measurement effects recognised in other comprehensive income

(7,935) 5,818 (2,117)

Contributions from CIMA – 2,750 2,750

Benefits paid 1,223 (1,223) –

Net cash 1,223 1,527 2,750

At 31 December 2020 (70,767) 55,128 (15,639)


14.5 Split of the Scheme’s liabilities by category of membership

14.6 The major categories of Scheme assets are as follows

2020 2019

£’000 £’000

In-service deferred members 19,511 16,797

Deferred pensioners 28,346 24,079

Pensions in payment 22,898 21,893

Historic transfer value top-up 12 –

70,767 62,769

Average duration of the Scheme’s liabilities at the end of the year 20 years 20 years

2020 2019

£’000 £’000

Return seeking

Overseas Equities – 12,362

Diversified growth funds 8,504 7,913

Property 2,916 2,779

Equity Linked LDI 16,983 –

Alternatives 14,818 14,224

Total return seeking 43,221 37,278

Debt instruments

LDI 11,210 9,687

Total debt instruments 11,210 9,687

Other

Cash 697 216

Total other 697 216

Total market value of assets 55,128 47,181

The Scheme has no investments in CIMA or in property occupied by CIMA.


14.7�Sensitivity�of�the�liability�value�to�changes�in�the�principal�assumptions�If the discount rate was 0.1% higher (lower), the Scheme liabilities would decrease by £1,409k (increase by £1,450k), if all the other assumptions remained unchanged.

If the inflation assumption was 0.1% higher (lower), the Scheme liabilities would increase by £991k (decrease by £971k). In this calculation all assumptions related to the inflation assumption have been appropriately adjusted, that deferred pension, and pension in payment increases. The other assumptions remain unchanged.

If life expectancies were to increase (decrease) by one year, the Scheme liabilities would increase by £3,562k (decrease by £3,647k), if all the other assumptions remained unchanged.

If members were assumed not to commute any pension for cash at retirement, the Scheme liabilities would increase by £5,862k, if all the other assumptions remained unchanged.

These sensitivities have been calculated to show the movement in the Scheme in isolation, and assuming no other changes in market conditions at the accounting date. This is unlikely in practice, for example, a change in discount rate is unlikely to occur without any movement in the value of the assets held by the Scheme.

14.8�Other�retirement�obligations�A provision of £67k (2019: £51k) has been made in the CIMA Sri Lanka entity for retirement gratuities in conformity with SLAS 16/Gratuity Act No. 12 of 1983 for all employees who have completed one year of service and is recognised as an expense in the period during which their services are rendered in accordance with SLAS 16.


The total gross contractual undiscounted cash flows of financial liabilities fall due as follows.

31 December 2019On demand or within 1 year 1–2 years 2–5 years More than

5 years Total

£’000 £’000 £’000 £’000 £’000

Trade and other payables (6,650) – – – (6,650)

Provisions (296) – – (498) (794)

(6,946) – – (498) (7,444)

31 December 2020 On demand or within 1 year 1-2 years 2-5 years More than

5 years Total

£’000 £’000 £’000 £’000 £’000

Trade and other payables (9,929) – – – (9,929)

Provisions (322) – – (577) (899)

(10,251) – – (577) (10,828)

CIMA’s principal financial instruments comprise marketable securities and charitable trusts and other funds. The main purpose of these financial instruments is to raise finance for the Group’s operations including the operations of its controlled charities. The Group has various other financial instruments such as trade receivables, trade payables and accruals that arise directly from its operations. Foreign currency exchange contracts are further discussed in section 16.1.2 below. The main financial risks for the Group are credit risk, liquidity risk, currency risk and investment risk.

15.1 Risks

15.1.1 Credit riskThe risk on cash balances, deposits and available for sale investments is managed in a risk averse manner, being held with UK clearing banks with a credit rating of at least A. A maximum of £5m may be invested per bank. The trade credit risk is mainly attributable to subscription and exam fee income. There is no concentration of risk in this area, as income is diversified over a large number of members and students.

15.1.2 Currency riskCIMA operates in a number of countries, has trade commitments in a number of currencies and, therefore, has some exposure to currency movements. Income is largely sterling denominated, while non-sterling expenditure accounts for 4% of total expenditure. CIMA continues to review currency risk on a regular basis and will take action to hedge risk as appropriate. See note 15.4 for a summary of hedges in place at the year end.

15.1.3 Investment riskInvestment income, including gains on disposals, decreased by £38k from £179k to £141k. Budgets are prepared on a prudent basis and income from investments is not relied on for CIMA’s ongoing activities. Investments are reviewed on a regular basis. A 10% increase in fair value at year end would result in a rise of £594k in the value of investments and a corresponding rise in the fair value reserve; a decrease of 10% would result in a fall of £594k in the value of investments, and a corresponding fall in the fair value reserve.

15.1.4 Liquidity riskCIMA’s business model, with subscription fees falling due on 1 January and examination fees being due before exam event commitments are made, results in working capital requirements being fully funded in advance. This results in a high proportion of CIMA’s asset base being cash on deposit. These deposits are actively managed to ensure that working capital requirements are met at all times.

15. Financial instruments


15.2 Summary of financial instruments

31 December 2019 Loans and receivables Loans at amortised cost Available for sale assets Total

£’000 £’000 £’000 £’000

Assets

Non current

Marketable securities – – 2,797 2,797

Charitable trust funds – – 2,634 2,634

Total – – 5,431 5,431

Current

Trade and other receivables 4,288 – – 4,288

Cash and cash equivalents 14,750 – – 14,750

Total 19,038 – – 19,038

Liabilities

Current

Trade and other payables – (6,650) – (6,650)

Provisions – (296) – (296)

Total – (6,946) – (6,946)

Net financial assets/ (liabilities) 19,038 (6,946) 5,431 17,523


31 December 2020 Loans and receivables Loans at amortised cost Available for sale assets Total

£’000 £’000 £’000 £’000

Assets

Non-current

Marketable securities – – 3,320 3,320

Charitable trust funds – – 2,619 2,619

Total – – 5,939 5,939

Current

Trade and other receivables 4,616 – – 4,616

Cash and cash equivalents 15,501 – – 15,501

Total 20,117 – – 20,117

Liabilities

Current

Trade and other payables – (9,929) – (9,929)

Provisions – (322) – (322)

Total – (10,251) – (10,251)

Net financial assets/ (liabilities) 20,117 (10,251) 5,939 15,805

15.3 Fair value hierarchy

Level 1: The fair value of financial instruments traded in active markets is based on the quoted bid price at the reporting date.

Level 2: The fair value of financial instruments not traded in an active market is determined using observable market data for all significant inputs.

Level 3: The fair value of financial instruments not traded in an active market where at least one significant input cannot be determined using observable market data; this includes unlisted equity securities.

Available for sale financial assets are carried at fair value. Marketable securities and charitable trusts are classified as a level 1 fair value measurement for disclosure purposes, as the fair value is determined based on quote prices in active markets for identical assets. The carrying value of all other assets and liabilities approximates fair value.


15.4 DerivativesAt 31 December 2020 CIMA had no significant foreign exchange contracts. CIMA took out foreign exchange contracts in 2019 to mitigate against potential losses on some grant expenditure to be paid out to non-UK offices. CIMA continues to review currency requirements and exchange risk on an ongoing basis.

2020 2019

£’000 £’000

Value of derivatives at deal rate – (6,608)

Value of derivatives at year-end spot rate – 6,603

Loss recognised in the consolidated statement of comprehensive Income – (5)

Name Country of incorporation Principal activity

CIMA ownership/control

American Institute of Certified Public Accountants US Voluntary profession membershiporganisation primarily representingpublic and management accountants in the United States of America

0%

Association of International Certified Professional Accountants

US CIMA and AICPA are founding members and the Association’s mission and vision is to be the most influential body of professional accountants driving a dynamic accounting profession worldwide

50%

Association of International Certified Professional Accountants, UK

UK Cost sharing group providing services for CIMA

51%

CIMA Enterprises Limited UK Business services support 100%

The Chartered Institute of Management Accountants Benevolent Fund

UK To provide assistance to members and ex-members, and their families, in times of hardship

100%

The Anthony Howitt Lecture Trust UK To advance education in accountancy and related subjects

100%

CIMA Australasia Limited Australia Membership services 100%

Chartered Institute of Management Accountants Bangladesh branch

Bangladesh Membership services 100%

CIMA China Co Limited China Membership services 100%

The Chartered Institute of Management Accountants Hong Kong Membership services 100%

Chartered Institute of Management Accountants Republic of Ireland Division

Ireland Membership services 100%

CIMA SE Asia Sdn Bhd Malaysia Membership services 100%

16. Related parties16.1 The group financial statements consolidate the accounts of CIMA, its wholly owned subsidiary undertakings, and the charitable trusts and other funds under the control of CIMA listed below. These financial statements exclude all balances and transactions that are eliminated on consolidation. CIMA maintains branch and other representative offices in a number of countries which are not listed below as they are not material to the group financial statements.


16.2 AssociatesThe Association of International Certified Professional Accountants (the ‘Association US’) is organised as a 501(c)(6) NFP under the US Internal Revenue Code and is domiciled in the US.

The Association US provides support to CIMA and CIMA can exert significant influence over Association US. CIMA does not have rights to share in the profits of the Association US nor does it have ownership of the assets or responsibility for the liabilities of the Association US.

CIMA paid management fees to the Association US for services rendered in the amount of £7,568k (2019: £5,908k).

16.3��Dormant�companiesCIMA holds 100% of the 100 issued £1 ordinary shares of The Corporate Society of Financial Management Limited, 100% of the two issued £1 ordinary shares of The Institute of Cost and Works Accountants Limited, 100% of the one issued £1 ordinary share in CGMA Limited, and 100% of the 100 £1 issued ordinary shares of Global Professional Accountants in Business Limited, Professional Accountants in Business Limited, Management Accountants in Business Limited, Global Management Accountants in Business Limited and CIMA China Limited. All these companies were dormant in the periods covered by these financial statements.

16.4��General�Charitable�TrustThe General Charitable Trust (GCT) is a registered charity formed for the advancement of education in the subjects of accounting, management accounting, electronic data processing, costing, auditing, taxation, applied economics, finance, and other related subjects of an educational nature.

During the year CIMA made gift aid donations of £95k (2019: £95k) to the GCT. CIMA also provided support services with a notional value of £59k (2019: £67k). At the end of the year the net assets of the GCT were £179k (2019: £109k), which included £0k (2019: £0k) payable to CIMA.

16.5�Key�management�personnel�remunerationThe Senior Leadership Team for CIMA and its subsidiaries are partially remunerated from the US Association, and hence any disclosure in respect of remuneration paid by CIMA would be misleading.

Name Country of incorporation Principal activity CIMA ownership/control

The Chartered Institute of Management Accountants

Dubai Membership services 100%

CIMA Singapore Pte Limited Singapore Membership services 100%

The Chartered Institute of Management Accountants NPC

South Africa Membership services 100%

The Chartered Institute of Management Accountants Sri Lanka

Sri Lanka Membership services 100%

17. Subsequent eventsThere are no material subsequent events to report as of 9 April 2021


Meetings attended by members of CIMA’s Council

Name Electoral Constituency Council

Ash P vp 6/6

Baldwin J 5 6/6

Barr P 8 6/6

Beedham R 6 6/6

Bennett R 19 5/6

Bittlestone S co 6/6

Boffey A + 6 1/3

Bragg K 3 6/6

Brown J ~ 5 5/6

Chan F 16 6/6

Connaughton L 9 5/6

Cottam J + 6 0/3

Davies N 2 6/6

Davison N 5 6/6

Donaldson G co 5/6

Don-Perriot Y D + 10 3/3

Essayah K + 12 0/3

Freeman S (nee Aggarwal)

3 5/6

Ghosh S 11 6/6

Goddard A 15 6/6

Graham J 6 6/6

Griffiths D + AICPA 2/3

Hans A 1 6/6

Hansen E + AICPA 2/3

Hueppauff B *** 12 3/3

Jackson N p 6/6

Jessett N 4 6/6

Johnson D 2 6/6

Kakad B 4 5/6

Landy C ** co 6/6

Kanaka M vp co 6/6

Lowney M 3 6/6

Name Electoral Constituency Council

Luk A co 6/6

Lynch D 11 6/6

Macnab A co 4/6

McGunnigle A 3 6/6

Mehta A AICPA 6/6

Mendis C *** 6 3/3

Milne S 7 5/6

Mistry H 4 6/6

Moolman J *** 10 3/3

Muchhala M 1 6/6

Naseer I K co 6/6

Nicholls J *** 2 3/3

Nomura T *** AICPA 3/3

O’ Brien L 1 6/6

Owen J 1 6/6

Pandya R *** co 5/6

Perera S *** 14 6/6

Ratnayake A ipp 6/6

Reeb B *** AICPA 3/3

Richardson E M + 2 3/3

Roosa D AICPA 6/6

Saxton M 18 6/6

Sharp R 11 6/6

Singh V co 6/6

Smith H 7 6/6

Stephen K co 6/6

Swientozielskyj S +

pp 3/3

Watson J 12 5/6

Wieronski W co 6/6

Wilhelmij P 17 6/6

Yan C *** 6 3/3

Zheng J co 6/6


CIMA Electoral Constituency

Central London & North Thames 1

South West England & South Wales

2

East Midlands & East Anglia 3

West Midlands 4

North East England 5

North West England & North Wales

6

Scotland 7

Northern Ireland 8

Republic of Ireland 9

East, West Central & Southern Africa

10

Central Southern England 11

South East England 12

South Asia 14

North Asia 15

South East Asia 16

Europe, North Africa & Middle East

17

The Americas 18

Australasia 19

Key Electoral Constituency

p President

dp Deputy President

vp Vice President

pp Past President

ipp Immediate Past President

co Co-opted

nc Non-CIMA Member

* Non-Council Member

** Appointment effective from 15 January 2020

*** Appointment effective from AGM 2020

**** Appointment effective from 31 July 2019

+ Left Council at AGM 2019

~ Left Council in December 2020

s CIMA Staff Member

Honorary Officers

President Nicholas Jackson

Deputy President Paul Ash

Vice President Melanie Kanaka

Immediate Past President Amal Ratnayake


CIMA’s Council and Committee members

Appointments Committee

Chairman

Vice Chairman

Secretary

Amal Ratnayake ipp

Michael Lowney

Nicholas Jackson p

Paul Ash dp

Melanie Kanaka vp

Francis Chan

James Owen

Yasmine El-Ramly s

Professional Standards Committee

Chairman

Vice Chairman

Secretary

John Graham

Anna Corry *

Joe Anichebe *

Nic Davison

Nigel Iyer *

Nick Jessett

Karen Newbury *

Juliet Oliver nc

Maryvonne Palanduz *

Vinesh Singh

Garry Thickett *

Ian Todd nc

Allison Walker *

Nicole Ziman nc

Peter Steel s

Membership Committee

Chairman

Vice Chairman

Secretary

Bob Beedham

Keren Stephen

Mike Agate *

Sarah Ghosh

Iain Haggis *

David Johnson

Phillie Karkaria *

Michael Lowney

Suresh Perera

Mirella Zhang *

Peter Steel s


Other committees, boards and trusts

Benevolent Fund Committee

Chairman

Vice Chairman

Secretary

Mustafa Muchhala

Anoop Mehta Derek Barnes *Jeff Kaye *Ambrose Kealy *Matt Miller *Hasmukh MistryLouise O’BrienRona Van Hoepen *Magdalenda Wereda-Kolasinka *

Melissa Parker s

CIMA Enterprises Ltd (CEL)Director

Director

Company Secretary

Andrew Harding s

CIMA (Corporate Body)

Baljeet Basra s

CIMA China LtdDirector

Director

Company Secretary

Andrew Harding s


Baljeet Basra s

CGMA (Dormant)Director

Director

Company Secretary

Andrew Harding s


Baljeet Basra s

Corporate Society of Financial Management Ltd (Dormant)Director

Director

Company Secretary

Andrew Harding s


Baljeet Basra s

Institute SecretarySecretary General Andrew Harding s

Institute of Cost and Works Accountants Ltd (Dormant)

Director

Director

Company Secretary

Andrew Harding s


Baljeet Basra s

Professional Accountants in Business Ltd (Dormant)

Director

Director

Company Secretary

Andrew Harding s


Baljeet Basra s

Global Member Engagement Committee

Chairman Vice Chairman

Secretary

Imran Khalil NaseerAmarjeet HansManohari Abeyeskera * Rebecca BennettNigel DaviesSinead Dillon *Patricia Duru *Elizabeth Lilker *David LynchMartin SaxtonWojciech WieronskiJohn Zheng

Paul Turner s

General Charitable Trust

Chairman

Vice Chairman

Secretary

Glynn Lowth * pp Rod Hill * pp Bob BeedhamIvan Court *Francesca Windsor *Baljeet Basra s

Anthony Howitt Lecture Trust

Chairman

Secretary

Nicholas Jackson pPaul Ash dpMelanie Kanaka vpAmal Ratnayake ippBaljeet Basra s

Global Management Accountants in Business Ltd

DirectorDirectorCompany Secretary

Andrew Harding sCIMA (Corporate Body)Baljeet Basra s

Global Professional Accountants in Business Ltd (Dormant)

Director

Director

Company Secretary

Andrew Harding s


Baljeet Basra s

Management Accountants in Business Ltd (Dormant)

Director

Director

Company Secretary

Andrew Harding s


Baljeet Basra s


Independently appointed conduct committees

Investigation Committee

Chairman

Vice Chairman

Secretary

Angela Home nc

Graham Humby nc

Morounke Akingbola *

Catherine Audcent nc

Paul Brittain *

Elizabeth Corcoran *

Alison Fisher nc

Mike Foster nc

Alison Harvey nc

Cheryl Little *

Alison Lyon nc

Damien O’Kane *

Rob Ward nc

Janice Hughes s

Disciplinary Committee

Chairman

Vice Chairman

Vice Chairman

Vice Chairman

Secretary

Rosalind Wright nc

Helen Riley nc

Robin Somerville nc

Judith Way nc

Joseph Campbell *

Michael Campbell nc

Melissa D’Mello nc

Gary Dewey *

Angela Loveless nc

Bridget Makins nc

Michael McCulley nc

Sandra Murray *

Pamela Ormerod nc

Jackie Pearce nc

Jennifer Quirke *

Suzanne Smith *

Emma Sweeney *

Ian Watts *

Janice Hughes s

Appeal Committee

Chairman

Vice Chairman

Secretary

Catrin Davies nc

Karen McArthur nc

Andrew Burman nc

Rose Butterworth *

Sue Davie *

Jonathan Page nc

Janice Hughes s


CIMA representatives on external boards and committees

CCAB Ireland (CCABI)

CIMA member/representative

Sinead Dillon *

Ciaran Phelan *

Tony Manning *

Sean Shine *

American Institute of Certified Public Accountants (AICPA)

Melanie Kanaka vp

Accountancy Europe

General Assembly

Technical Advisor

Corporate Reporting Policy Group

ESG Reporting Taskforce

Professional Ethics and Competencies

Hilary Parker nc

Samantha Louis s

David Hackett s

David Hackett s

University Courts

University of Bath Elaine Richardson *

University of Lancaster Richard Kenworthy *

City University, London Gulzari Babber * pp

Loughborough University Glynn Lowth * pp

University of Surrey Mike Agate *



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