Registered number: 07685830
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
COMPANY INFORMATION
Directors Mrs CJ Green (Chair)
Mr D Ellesmere
Mrs C Cullens
Mr J Giffiths
Mr M Hicks
Mr P Joyner
Mr D Keen
Mrs S Chapman - Allen (resigned 23 September 2021)
Mr S Oliver
Mrs C Peasgood
Mr A Proctor
Mr J Reynolds
Mrs S Ruddock
Mr A Waters
Prof H Langton
Cllr S Dark (appointed 23 September 2021)
Ms J Wheeler
Dr T Whitley (resigned 22 September 2021)
Mrs K Atkinson
Registered numbe
r
07685830
Registered office Mills & Reeve LLP
1 St James Court
Whitefriars
Norwich
Norfolk
NR3 1RU
Independent auditors Price Bailey LLP
Chartered Accountants & Statutory Auditors
A
nglia House, 6 Central Avenue
St Andrews Business Park
Thorpe St Andrew
Norwich
Norfolk
NR7 0HR
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
CONTENTS
Page
Group Strategic Report 1 - 4
Directors' Report 5 - 7
Independent Auditors' Report 8 - 11
Consolidated Statement of Comprehensive Income 12
Consolidated Balance Sheet 13
Company Balance Sheet 14
Consolidated Statement of Cash Flows 15
Consolidated Analysis of Net Debt 16
Notes to the Financial Statements 17 - 37
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2022
Introduction
New Anglia Local Enterprise Partnership Ltd (LEP), is a company bringing together business, local authority and
education leaders, collaborating to grow the area’s economy, create jobs and improve productivity.
Aims and Objectives
Driving business growth and enterprise to support clean, inclusive growth across the region is the core goal of
New Anglia LEP and during 2021-22 we launched a new Economic Strategy for Norfolk and Suffolk.
This document is the blueprint for how local authorities, businesses large and small, business support
organisations, Voluntary Community and Social Enterprise (VCSE) organisations, colleges, universities,
independent training providers and the LEP will work together, aligning relevant actions and investment, to build
a cleaner, stronger and more productive economy from which everyone benefits. The actions set out in it will
help lead us out of these challenging circumstances and deliver on our region’s potential.
One of the ways we deliver and facilitate growth is through our Growth Deal with Government. Under the Growth
Deal the LEP was awarded £290m in funding to support projects and programmes that will boost skills, drive
innovation, provide targeted business support and improve transport and infrastructure. Following this, in
summer 2020, the LEP was awarded £32.1m through the Government’s Getting Building Fund to further support
local growth and excellent progress is already being made on projects that will regenerate areas in need of
investment.
We are also working hard to attract inward investment to the area and promoting its strengths through the
Norfolk & Suffolk Unlimited brand. A series of videos and articles highlighting our key sectors and centres of
excellence, and the investment potential the region offers are being published through a proactive online
marketing campaign.
Core programmes and projects
Our Growing Business Fund Panel held its last meeting in January 2022 after awarding grants totalling more
than £32.5m to 312 projects over its lifetime. Its first ever recipient in March 2013 was Traditional Norfolk Poultry
at Shropham, which was awarded £55,899. Since then, it has awarded £32.5m in grants, generating £250m in
match funding and creating 3,460 jobs.
Launched in response to the Covid pandemic, the Business Resilience and Recovery Scheme also awarded its
last grant in January 2022. It provided grants totalling £5,674,216 to 145 businesses, supporting short-term and
longer-term diversifications for companies recovering from the crisis.
The Small Grant Scheme and Growth Through Innovation Fund continue to support business growth projects
across the region, while New Anglia Growth Hub provides a free and impartial service to businesses, particularly
SMEs.
Our Space to Innovate Enterprise Zone, which covers 10 sites across Norfolk and Suffolk, marked its fifth
anniversary in 2021, and the LEP unveiled a five-year plan for all its Enterprise Zone sites to create 3,300 jobs
and 200 new businesses.
Several of the major projects supported by our Growing Places Fund were officially opened over the past 12
months. These included the new visitor centre at Carlton Marshes nature reserve near Lowestoft, a 17-metre-
high viewing tower at Sutton Hoo in Suffolk, and the £19m archive centre at The Hold on Ipswich’s Waterfront.
Our Growth Deal with Government continued to deliver facilities that will ensure we have the skills we need in
our key sectors. City College Norwich celebrated the
official opening of its Digital Technology Factory, while the
University of Suffolk unveiled its new Digi-Tech Centre at Adastral Park, and Suffolk New College opened its
Tech Campus. A ribbon was also cut at Productivity East, a £7.4m regional hub for engineering, technology and
management on the campus of the University of East Anglia in Norwich. Meanwhile, work continues on the Gull
Wing bridge in Lowestoft and the Great Yarmouth Third River Crossing, both of which will significantly improve
connectivity for these towns and help unlock them for investment.
Page 1
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2022
Regeneration projects which benefited from the Getting Building Fund allocation are underway. A topping out
ceremony was held at the new Marina Centre on Great Yarmouth seafront in October 2021, which is due to open
in summer 2022. An Integrated Care Academy, a unique alliance between the University of Suffolk, NHS
Integrated Care System and Suffolk County Council, is also under construction. The facility will be dedicated to
the promotion of integrated care among the student body, practice partners and the wider community.
Our Enterprise Adviser Network continues to connect businesses with schools and colleges across Norfolk and
Suffolk.
Work to develop Norfolk and Suffolk’s key sectors continues through our industry councils for agri-food,
ICT/digital and all energy and our inward investment team promotes these and other areas of our economy to
businesses in the UK and the rest of the world.
Key Performance Indicators
LEP projects are monitored against a series of key performance indicators (KPIs). These include performance
against spend and the delivery of agreed outputs. Each programme reports against KPIs in a performance report
which can be found on the LEP’s website.
The LEP’s internal KPIs cover finances and performance against the LEP’s delivery plan.
KPIs include financial and output performance against annual targets for our key projects including Growth Deal,
Enterprise Zone and Growth Programme.
Performance and financial overview
Each year the LEP is subject to an Annual Performance Review (APR) by Government which assesses LEP
performance across three themes of Governance, Delivery and Strategic impact. The performance assessment
for the 2021/22 APR confirmed the LEP had met the requirements for governance and strategic impact.
Concerns were expressed around delivery due to extensive planned use of Freedoms and Flexibilities at the
time of the r
eview. Key indicators that were met include LEP compliance against the Local Assurance
Framework, publishing a governance assurance statement on the status of governance and transparency,
developing with partners a new Economic Strategy and successfully bidding into the Community Renewal Fund.
Each member of the LEP team has their own individual objectives which form part of the LEP’s overall delivery
plan. The LEP’s Working Well initiative continues to support the team’s health and wellbeing.
The financial position of the LEP has changed from achieving a £19,457k surplus to incurring a £26,556k loss.
Last year the LEP received additional Government monies which when combined with delays on some large
infrastructure assets meant that funds were committed to projects but were not claimed. It was anticipated that
this year a significant loss would be incurred as projects were able to draw down remaining funds ahead of the
Government deadline of 31 March 2022.
The LEP received £16.05m as part of its final Getting Building Fund allocation from Government for a wide-
ranging package of projects that will support the local economy. The Getting Building Fund concluded on 31
March 2022 so focus during the year has been on ensuring that all funding was defrayed to existing projects and
through LEP sub-programmes by the year end.
The LEP was awarded a total of £290million by Government to deliver the Growth Deal over a six-year period.
The Growth Deal
has also effectively ended and so 2021/22 was spent managing rolled-over expenditure
already allocated to approved projects and through LEP sub-programmes.
Monitoring of Getting Building Fund and Growth Deal projects will continue until all claim and monitoring
information is received and project outputs are achieved, in accordance with the individual Grant Offer Letters. In
some cases outputs will not be achieved until a number of years after the full grant for the project has been
drawn down.
Page 2
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2022
The majority of the LEP's funding is secured from Government, both core funding and project funding. Other
funding is secured from the European Union, from business rates generated on the LEP’s Enterprise Zone sites
and through contributions from local authority partners.
Political and economic climate
The LEP has been proud to play such a significant role in the economic fightback following the pandemic,
providing a lifeline of support to businesses, and we remain at the forefront of the recovery phase.
New Anglia Growth Hub helped businesses access grants totalling almost £4m in 2021. The free and impartial
service delivered as part of the LEP’s business growth programme received more than 3,000 phone calls and
2,650 emails, underlining the significant role played by its busy team in helping mitigate the impact of the virus on
local firms.
The combined impact of Brexit, the pandemic and the Ukrainian conflict continues to affect businesses and our
websites, newsletters and programme of events keep them up to date with the latest Government advice and
information about grants, loans and other support that is available.
The Government has confirmed a continuing role for the functions of Local Enterprise Partnerships following the
conclusion of its review. For New Anglia LEP this future role forms part of the devolution negotiations over county
deals taking place between Norfolk and Suffolk County Councils with Government.
Environmental reporting
New Anglia LEP is not required to complete environmental reporting as its energy consumption is less than
40,000kWh. However the organisation has an active Clean Growth working group, bringing together staff to look
at priority actions around reducing the LEP’s carbon footprint. This has included reducing printing, introducing a
cycle to work scheme and work with our pension provider to ensure our investments are made in sustainable
projects. This fits within the LEP’s commitment to delivering clean growth for the region and the establishment of
its new Clean Growth Task Force.
New Anglia Capital Ltd
New Anglia Capital Ltd (NAC) is a wholly owned subsidiary of New Anglia Local Enterprise Partnership.
New Anglia LEP has established a co-investment fund to be managed by NAC to make risk-capital co-
investments alongside entrepreneurs in high growth-potential companies based in Norfolk and Suffolk.
The principle aims of NAC include:
• Establishing a
network of business entrepreneurs and angel investors to provide a pool of risk-capital and
business finance that can support start-ups, innovative business ideas and high growth companies.
• Identifying and providing a pipeline of investment opportunities for risk-capital investment, co-investing with
angel investors and entrepreneurs that meet the company criteria, including creating new jobs.
• Investment opportunities should also promote the wider objectives of New Anglia LEP e.g. support for sectors
including engineering, life sciences, agri-tech, health, energy, ICT and digital tech.
Risks to New Anglia Capital include identifying and maintaining an effective level of investors in the region and
the risk of failure of individual companies in which NAC has an equity share.
Page 3
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2022
Directors' statement of compliance with duty to promote the success of the Group
Section 172(1) Statement
New Anglia Local Enterprise Partnership works with businesses, local authority partners and education
institutions to drive growth and enterprise in Norfolk and Suffolk. The LEP is transforming the economy by
securing funds from government to help businesses grow, through the delivery of ambitious programmes to
ensure that businesses have the funding, support, skills, and infrastructure needed to flourish.
Members of New Anglia LEP’s Board operate with the aim of ensuring that the organisation maintains its
reputation for high standards of business conduct and good governance. The Board considers and understands
the long-term effect of its decisions on the regional business community, our stakeholders and employees.
The LEP’s aims and objectives are set out in its current Delivery Plan. The Non-Executive Director Agreement
outlines the high standards of ethical and professional conduct expected of Board members in ensuring that the
LEP’s values and obligations to stakeholders – our public sector partners, local businesses, further and higher
education partners and Government - are met. It states that Board members will provide entrepreneurial
leadership within a framework of prudent and effective controls which enable risk to be assessed and managed.
The Standards of Conduct Policy sets out the principles by which Board members and employees are expected
to adhere to the highest standards of governance and propriety. It uses the Nolan Principles as the core of the
code of conduct, following the guidelines established by the Committee on Standards in Public Life, which
provides independent advice to the prime minister on standards of conduct of holders of all public office. We
hold monthly board meetings, regular meetings of our sub boards, committees and sector groups and weekly
updates for our employees.
The LEP’s Local Assurance Framework sets out how its Board is formed and governed, how decisions are made
and how
programmes are funded and managed. The Assurance Framework also provides the Government with
assurance that the LEP is operating correctly.
As well as investing in capital and revenue projects across the region, the LEP supports local procurement
where possible. The LEP has committed to reducing its carbon footprint, by reducing printing, encouraging fewer
car journeys / car sharing and implementing agile working for its staff.
Further information about the LEP’s governance, including details of its Board members, can be found on the
LEP website at www.newanglia.co.uk
This report was approved by the board on 22 September 2022 and signed on its behal
f
.
Mrs CJ Green (Chair)
Director
Page 4
C J Green (Sep 22, 2022, 3:49pm)
Cj Green
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2022
The directors present their report and the financial statements for the year ended 31 March 2022.
Directors' responsibilities statement
The directors are responsible for preparing the Group Strategic Report, the Directors' Report and the
consolidated financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the
directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom
A
ccounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting
Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under compan
y
law the directors must not approve the financial statements unless they are satisfied that they give a true and fair
view of the state of affairs of the Company and the Group and of the profit or loss of the Group for that period.
In preparing these financial statements, the directors are required to:
! select suitable accounting policies for the Group's financial statements and then apply them consistently;
! make
j
udgments and accounting estimates that are reasonable and prudent;
! state whether applicable UK Accounting Standards have been followed, subject to any material departures
disclosed and explained in the financial statements;
! prepare the financial statements on the going concern basis unless it is inappropriate to presume that the
Group will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain
the Company's transactions and disclose with reasonable accuracy at any time the financial position of the
Company and the Group and to enable them to ensure that the financial statements comply with the Companies
A
ct 2006. They are also responsible for safeguarding the assets of the Company and the Group and hence for
taking reasonable steps for the prevention and detection of fraud and other irregularities.
Results and dividends
The deficit for the year, after taxation, amounted to £26,555,859 (2021 - surplus £19,457,421).
Page 5
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2022
Directors
The directors who served during the year were:
Mrs CJ Green (Chair)
Mr D Ellesmere
Mrs C Cullens
Mr J Giffiths
Mr M Hicks
Mr P Joyner
Mr D Keen
Mrs S Chapman - Allen (resigned 23 September 2021)
Mr S Oliver
Mrs C Peasgood
Mr A Proctor
Mr J Reynolds
Mrs S Ruddock
Mr A Waters
Prof H Langton
Cllr S Dark (appointed 23 September 2021)
Ms J Wheeler
Dr T Whitley (resigned 22 September 2021)
Mrs K Atkinson
Future developments
Since being established over ten years ago, LEPs have been responsible for delivering economic growth in the
regions. A review of LEPs was announced in the 2021 budget to make sure LEPs have a clear mandate for
supporting and representing businesses. This review has recently concluded and a plan to integrate LEPs more
closely with democratic institutions has been announced. For New Anglia LEP this future role forms part of the
devolution negotiations over county deals taking place independently between Norfolk and Suffolk County
Councils with Government.
Until devolved institutions exist in an area, LEPs will be supported as they are currently constituted, subject to
future funding decisions. However, uncertainty exists as to the timeline of these county deal negotiations and
whether the Norfolk and Suffolk timelines will align.
Greenhouse gas emissions, energy consumption and energy efficiency action
The Group has not disclosed information in respect of greenhouse gas emissions, energy consumption and
energy efficiency action as its energy consumption in the United Kingdom for the year is 40,000kWh or lower.
Disclosure of information to auditors
Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
! so far as the director is aware, there is no relevant audit information of which the Company and the
Group's auditors are unaware, and
! the director has taken all the steps that ought to have been taken as a director in order to be aware of any
relevant audit information and to establish that the Company and the Group's auditors are aware of that
information.
Page 6
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2022
Post balance sheet events
There have been no significant events affecting the Group since the year end.
Auditors
The auditors, Price Bailey LLP, will be proposed for reappointment in accordance with section 485 of the
Companies Act 2006.
This report was approved by the board on 22 September 2022 and signed on its behalf.
Mrs CJ Green (Chair)
Director
Page 7
C J Green (Sep 22, 2022, 3:49pm)
Cj Green
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NEW ANGLIA LOCAL ENTERPRISE
PARTNERSHIP LIMITED
Opinion
We have audited the financial statements of New Anglia Local Enterprise Partnership Limited (the 'parent
Company') and its subsidiaries (the 'Group') for the year ended 31 March 2022, which comprise the Group
Statement of Comprehensive Income, the Group and Company Balance Sheets, the Group Statement of Cash
Flows and the related notes, including a summary of significant accounting policies. The financial reporting
framework that has been applied in their preparation is applicable law and United Kingdom Accounting
Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK
and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
! give a true and fair view of the state of the Group's and of the parent Company's affairs as at 31 March
2022 and of the Group's loss for the year then ended;
! have been properly prepared in accordance with United Kingdom Generally Accepted Accounting
Practice; and
! have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We 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
A
uditors' responsibilities for the audit
of the financial statements section of our report. We are independent of the Group in accordance with the ethical
requirements that are relevant to our audit of the financial statements in the United Kingdom, including the
Financial Reporting Council's 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.
Material uncertainty related to going concern
The Government is currently carrying out a review of LEPs to make sure that they have a clear mandate for
supporting and representing businesses, with a view to devolving LEP activities into local authority hubs. The
pathway to implement this devolution has not yet been confirmed, however core funding is available to New
Anglia LEP for the year to March 2023. The ongoing review of LEP structure and uncertainty as to the future of
LEP structures and funding have created and continue to create uncertainty for the LEP. As stated in note 2.3,
these events or conditions, along with the other matters as set forth in note 2.3, indicate that a material
uncertainty exists that may cast significant doubt on the Group's and parent Company's ability to continue as a
going concern. Our opinion is not modified in respect of this matter.
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of
accounting in the preparation of the financial statements is appropriate. Our evaluation of the directors'
assessment of the Group's ability to continue to adopt the going concern basis of accounting included a review of
funding secured for the next financial year, alongside a consideration of the LEP's attempt to diversify its future
reveue streams by way of investment income should funding received by the government no longer be
forthcoming.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the
relevant sections of this report.
Page 8
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NEW ANGLIA LOCAL ENTERPRISE
PARTNERSHIP LIMITED (CONTINUED)
Other information
The other information comprises the information included in the
A
nnual Report other than the financial
statements and our
A
uditors' Report thereon. The directors are responsible for the other information contained
within the
A
nnual Report. 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.
Opinion on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
! the information given in the Group Strategic Report and the Directors' Report for the financial year for
which the financial statements are prepared is consistent with the financial statements; and
! the Group Strategic Report and the Directors' Report have been prepared in accordance with applicable
legal requirements.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the Group and the parent Compan
y
and its environment
obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report
or the Directors' Report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006
requires us to report to you if, in our opinion:
! adequate accounting records have not been kept by the parent Company, or returns adequate for our
audit have not been received from branches not visited by us; or
! the parent Company financial statements are not in agreement with the accounting records and returns; or
! certain disclosures of directors' remuneration specified by law are not made; or
! we have not received all the information and explanations we require for our audit.
Responsibilities of directors
As explained more fully in the Directors' Responsibilities Statement set out on page 5, the directors 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 directors determine 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 directors are responsible for assessing the Group's and the parent
Compan
y
'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 directors either intend to liquidate the Group or the
parent Compan
y
or to cease operations, or have no realistic alternative but to do so.
Page 9
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NEW ANGLIA LOCAL ENTERPRISE
PARTNERSHIP LIMITED (CONTINUED)
Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free
from material misstatement, whether due to fraud or error, and to issue an
A
uditors' Report that includes our
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 Group 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 extent to which our procedures are capable of detecting irregularities, including fraud is
detailed below:
- Management override: We reviewed systems and procedures to identify potential areas of management
override risk. In particular, we carried out testing of journal entries and other adjustments for appropriateness,
and evaluating the business rationale of significant transactions to identify large or unusual transactions. We
reviewed key authorisation procedures and decision making processes for any unusual or one-off transactions.
- We also reviewed minutes of Director meetings, agreeing the financial statement disclosures to underlying
supporting documentation, and made enquiries of management including those responsible for the key
regulations. We have reviewed the procedures in place for reporting of issues arising to the Board.
- We reviewed a sample of grant and administrative exp
enditure to ensure costs are correctly allocated within
the Statement of Comprehensive Income and reflects valid expenditure approved by the board.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including
those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk
increases the more that compliance with a law or regulation is removed from the events and transactions
reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance.
The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves
intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial statements is located on the Financial
Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our
A
uditors' Report.
Page 10
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NEW ANGLIA LOCAL ENTERPRISE
PARTNERSHIP LIMITED (CONTINUED)
Use of our report
This report is made solely to the Compan
y
's members, as a body, in accordance with Chapter 3 of Part 16 of the
Companies Act 2006. Our audit work has been undertaken so that we might state to the Compan
y
's members
those matters we are required to state to them in an
A
uditors' 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 Compan
y
and the
Compan
y
's members, as a body, for our audit work, for this report, or for the opinions we have formed.
A
aron Widdows ACA FCCA (Senior Statutory Auditor)
for and on behalf o
f
Price Bailey LLP
Chartered Accountants
Statutory Auditors
A
nglia House, 6 Central Avenue
St Andrews Business Park
Thorpe St Andrew
Norwich
Norfolk
NR7 0HR
22 September 2022
Page 11
Designated
Project
Funding 2022
Operational
Activity
2022
Note
Total
2022
Total
2021
££ £ £
Operational Income - 2,448,781 2,448,781 2,464,465
Grant and project income 20,220,533 - 20,220,533 66,782,519
20,220,533 2,448,781 4 22,669,314 69,246,984
Grants issued (43,225,955) - (43,225,955) (44,796,810)
Impairment of investments (316,650) (316,650) -
Gross (deficit)/surplus (23,005,422) 2,132,131 (20,873,291) 24,450,174
Administrative expenses (3,957,714) (1,979,231) (5,936,944) (5,411,922)
Operating (deficit)/surplus (26,963,136) 152,900 5 (26,810,235) 19,038,252
Interest receivable 290,817 (16,799) 8 274,018 490,084
Net finance costs - (10,000) 9 (10,000) (4,000)
Surplus / (deficit) on ordinary
activities before taxation (26,672,319) 126,101 (26,546,217) 19,524,336
Taxation (9,198) (444) 10 (9,642) (66,915)
Surplus / (deficit) for the
financial year
(26,681,517) 125,657 (26,555,859) 19,457,421
Actuarial (loss) / gain on defined
benefit pension scheme - 248,000 17 248,000 (275,000)
Total Comprehensive Income
/ (loss) for the year (26,681,517) 373,657 (26,307,860) 19,182,421
Restated reserves at the
start of the year 73,145,025 789,972 15, 16 73,934,997 54,752,576
Reserves at the
end of the year 46,463,508 1,163,629 15 47,627,137 73,934,997
All of the activities of the group are classed as continuing.
The notes on pages 17 to 37 form part of these financial statements
(A Company Limited by Guarantee)
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2022
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
Page 12
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
REGISTERED NUMBER: 07685830
CONSOLIDATED BALANCE SHEET
AS AT 31 MARCH 2022
2022 2021
Note £ £
Fixed assets
Tangible assets 11 17,924 28,735
Investments 12 14,535,810 12,528,137
14,553,734 12,556,872
Current assets
Debtors: amounts falling due within one year 13 3,440,186 4,053,067
Cash at bank and in hand 31,074,433 58,864,011
34,514,619 62,917,078
Creditors: amounts falling due within one
year 14 (1,138,216) (1,051,953)
Net current assets
33,376,403 61,865,125
Total assets less current liabilities
47,930,137 74,421,997
Provisions for liabilities
Net assets excluding pension liability
47,930,137 74,421,997
Pension liabilit
y
17 (303,000) (487,000)
Net assets
47,627,137 73,934,997
Capital and reserves
Other reserves 46,463,508 73,145,025
Retained earnings 1,163,629 789,972
47,627,137 73,934,997
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
22 September 2022.
Mrs CJ Green (Chair)
Director
The notes on pages 17 to 37 form part of these financial statements.
Page 13
C J Green (Sep 22, 2022, 3:49pm)
Cj Green
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
REGISTERED NUMBER: 07685830
COMPANY BALANCE SHEET
AS AT 31 MARCH 2022
2022 2021
Note £ £
Fixed assets
Tangible assets 11 17,924 28,735
Investments 12 11,752,172 9,785,506
11,770,096 9,814,241
Current assets
Debtors: amounts falling due within one year 13 6,193,266 6,765,640
Cash at bank and in hand 31,074,433 58,864,011
37,267,699 65,629,651
Creditors: amounts falling due within one
year 14 (1,132,466) (1,046,703)
Net current assets
36,135,233 64,582,948
Total assets less current liabilities
47,905,329 74,397,189
Net assets excluding pension liability
47,905,329 74,397,189
Pension liabilit
y
17 (303,000) (487,000)
Net assets
47,602,329 73,910,189
Capital and reserves
Other reserves 46,146,858 73,145,025
Retained earnings 1,455,471 765,164
47,602,329 73,910,189
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
22 September 2022.
Mrs CJ Green (Chair)
Director
The notes on pages 17 to 37 form part of these financial statements.
Page 14
C J Green (Sep 22, 2022, 3:49pm)
Cj Green
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2022
2022 2021
££
Cash flows from operating activities
(Loss)/profit for the financial year (26,555,363) 19,457,422
Adjustments for:
Depreciation of tangible assets 20,494 25,188
Interest received (274,019) (496,110)
Taxation charge 9,642 66,915
Decrease/(increase) in debtors 612,881 (167,678)
Increase in creditors 144,402 381,118
Increase in net pension assets/liabs 64,000 52,000
Corporation tax (paid) (66,915) (72,732)
Net cash generated from operating activities
(26,044,878) 19,246,123
Cash flows from investing activities
Purchase of tangible fixed assets (9,684) (5,897)
A
ssociates loans repaid 4,051,940 3,617,883
Purchase of unlisted and other investments (6,377,625) (4,111,378)
Impairment of investments 316,650 -
Interest received 273,517 107,000
A
ssociates interest received 502 6,027
Net cash from investing activities
(1,744,700) (386,365)
Net (decrease)/increase in cash and cash equivalents (27,789,578) 18,859,758
Cash and cash equivalents at beginning of year 58,864,011 40,004,253
Cash and cash equivalents at the end of yea
r
31,074,433 58,864,011
Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand 31,074,433 58,864,011
31,074,433 58,864,011
The notes on pages 17 to 37 form part of these financial statements.
Page 15
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 MARCH 2022
A
t 1 April
2021 Cash flows
A
t 31 March
2022
£££
Cash at bank and in hand 58,864,011 (27,789,578) 31,074,433
58,864,011 (27,789,578) 31,074,433
The notes on pages 17 to 37 form part of these financial statements.
Page 16
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
1.
General information
New Anglia Local Enterprise Partnership Limited is a private company limited by guarantee and is
incorporated in England. The address of the registered office is Mills & Reeve LLP, 1 St James Court,
Whitefriars, Norwich, Norfolk NR3 1RU. The address of the trading office is Centrum, Norwich Research
Park, Norwich, Norfolk, NR4 7UG. The nature of the company operations and its principal activities are set
out in the strategic report.
The only subsidiary within the Group is New Anglia Capital Ltd. This is included within the consolidation.
New Anglia Capital Ltd is a private company limited by guarantee and is incorporated in England. The
address of the registered and trading offices is the same as the parent company
2.
Accounting policies
2.1
Basis of preparation of financial statements
The financial statements have been prepared under the historical cost convention unless otherwise
specified within these accounting policies and in accordance with Financial Reporting Standard 102,
the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the
Companies Act 2006.
The financial statements are presented in Sterling, rounded to the nearest £1, which is the functional
currency of the Group.
The preparation of financial statements in compliance with FRS 102 requires the use of certain
critical accounting estimates. It also requires Group management to exercise
j
udgment in applying
the Group's accounting policies (see note 3).
The Compan
y
has taken advantage of the exemption allowed under section 408 of the Companies
A
ct 2006 and has not presented its own Statement of Comprehensive Income in these financial
statements.
Due to the nature of the Company's activities, the directors consider that it would be inappropriate to
present the Statement of Comprehensive Income in either of the standard formats recognised by the
Companies Act 2006. The format adopted has been selected as it presents the categories of income
and expenditure more accurately for readers of the financial statements.
The following principal accounting policies have been applied:
2.2
Basis of consolidation
The consolidated financial statements present the results of the Compan
y
and its own subsidiaries
("the Group") as if they form a single entity. Intercompany transactions and balances between group
companies are therefore eliminated in full.
Page 17
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
2.
Accounting policies (continued)
2.3
Going concern
The directors have prepared the accounts on a going concern basis. The Directors consider the
Company will be able to hold its position as a going concern for the forseeable future as a result of
review of funding available in the next 12 months.
A review of LEPs was announced in the 2021 budget. The focus was on business support,
innovation, skills, net zero, inward investment and trade and the LEP’s wider strategic influence. The
review also looked at LEP structures. The review has now concluded and a plan to integrate LEPs
more closely with democratic institutions has been announced. For New Anglia LEP this future role
forms part of the devolution negotiations over county deals taking place independently between
Norfolk and Suffolk County Councils with Government.
Until devolved institutions exist in an area, LEPs will be supported as they are currently constituted,
subject to future funding decisions. However, uncertainty exists as to the timeline of these county
deal negotiations, and whether the Norfolk and Suffolk timelines will align; consequently there is a
material uncertainty that the Company is a going concern.
2.4
Revenue
Income arising in the year is analysed into either Operational Activity or Designated Project Funding.
Operational Activity includes income received to cover the day to day core funding requirements of
the LEP such as administration costs and staff remuneration. It also includes income to fund certain
projects undertaken directly by the LEP. Designated Project Funding includes income received for
specific projects which are then distributed by the LEP to third parties. They are generally funds
provided by Government or other agencies. Costs directly attributable to designated projects are
charged against this income and shown as an expense. Where the LEP incurs costs which may be
partly attributable to Operational Activity and partly to designated projects then the Board allocate
such expenditure based on a fair and reasonable assessment of the time and cost expended on
each project.
Government grants are accounted for under the performance model as permitted by Financial
Reporting Standard 102. Government grants are recognised to the extent that it is probable that the
economic benefits will flow to the Company and the revenue can be reliably measured. Under the
performance model, income is recognised once performance-related conditions have been met by
New Anglia LEP.
Other funding is recognised to the extent that it is probable that the economic benefits will flow to the
Company and the revenue can be reliably measured.
2.5
Operating leases: the Group as lessee
Rentals paid under operating leases are charged to the Consolidated Statement of Comprehensive
Income on a straight-line basis over the lease term.
2.6
Interest income
Interest income is recognised in the Consolidated Statement of Comprehensive Income using the
effective interest method.
Page 18
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
2.
Accounting policies (continued)
2.7
Pensions
Defined contribution pension plan
The Group operates a defined contribution plan for its employees. A defined contribution plan is a
pension plan under which the Group pays fixed contributions into a separate entity. Once the
contributions have been paid the Group has no further payment obligations.
The contributions are recognised as an expense in the Consolidated Statement of Comprehensive
Income when they fall due. Amounts not paid are shown in accruals as a liability in the
Balance
Sheet. The assets of the plan are held separately from the Group in independently administered
funds.
Defined benefit pension plan
The Group operates a defined benefit plan for certain employees. A defined benefit plan defines the
pension benefit that the employee will receive on retirement, usually dependent upon several factors
including but not limited to age, length of service and remuneration. A defined benefit plan is a
pension plan that is not a defined contribution plan.
The liability recognised in the
Balance Sheet in respect of the defined benefit plan is the present
value of the defined benefit obligation at the end of the balance sheet date less the fair value of plan
assets at the balance sheet date (if any) out of which the obligations are to be settled.
The defined benefit obligation is calculated using the projected unit credit method.
A
nnually the
company engages independent actuaries to calculate the obligation. The present value is determined
by discounting the estimated future payments using market yields on high quality corporate bonds
that are denominated in sterling and that have terms approximating to the estimated period of the
future payments ('discount rate').
The fair value of plan assets is measured in accordance with the FRS 102 fair value hierarchy and in
accordance with the Group's policy for similarly held assets. This includes the use of appropriate
valuation techniques.
Actuarial gains and losses arising from experience adjustments and changes in actuarial
assumptions are charged or credited to other comprehensive income. These amounts together with
the return on plan assets, less amounts included in net interest, are disclosed as 'Remeasurement of
net defined benefit liability'.
The cost of the defined benefit plan, recognised in profit or loss as employee costs, except where
included in the cost of an asset, comprises:
a) the increase in net pension benefit liability arising from employee service during the period; and
b) the cost of plan introductions, benefit changes, curtailments and settlements.
The net interest cost is calculated by applying the discount rate to the net balance of the defined
benefit obligation and the fair value of plan assets. This cost is recognised in profit or loss as a
'finance expense'.
Page 19
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
2.
Accounting policies (continued)
2.8
Taxation
Tax is recognised in profit or loss except that a charge attributable to an item of income and expense
recognised as other comprehensive income or to an item recognised directly in equity is also
recognised in other comprehensive income or directly in equity respectively.
The current Corporation tax charge is calculated on the basis of tax rates and laws that have been
enacted or substantively enacted by the balance sheet date in the countries where the Company and
the Group operate and generate income.
The Company operates as a not-for-profit entity, and receives direct financial support from
constituent local authorities in addition to grants from Government. It does not carry out a trade for
tax purposes. As a result, the net surplus arising from these activities is non-trading and is exempt
from corporation tax. The Company is liable to corporation tax on bank interest and other investment
income.
2.9
Tangible fixed assets
Tangible fixed assets under the cost model are stated at historical cost less accumulated
depreciation and any accumulated impairment losses. Historical cost includes expenditure that is
directly attributable to bringing the asset to the location and condition necessary for it to be capable of
operating in the manner intended by management.
Depreciation is charged so as to allocate the cost of assets less their residual value over their
estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
Fixtures and fittings - 16.67%
Office equipment - 20% - 33%
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted
prospectively if appropriate, or if there is an indication of a significant change since the last reporting
date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount
and are recognised in profit or loss.
2.10
Impairment of fixed assets
Assets that are subject to depreciation or amortisation are assessed at each balance sheet date to
determine whether there is any indication that the assets are impaired. Where there is any indication
that an asset may be impaired, the carrying value of the asset (or cash-generating unit to which the
asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount
by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the
higher of an asset's (or CGU's) fair value less costs to sell and value in use. For the purposes of
assessing impairment, assets are grouped at the lowest levels for which there are separately
identifiable cash flows (CGUs).
Non-financial assets that have been previously impaired are reviewed at each balance sheet date to
assess whether there is any indication that the impairment losses recognised in prior periods may no
longer exist or may have decreased.
Page 20
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
2.
Accounting policies (continued)
2.11
Valuation of investments
There are three types of investments included in the financial statements
Loans made to third parties measured at cost less accumulated impairment (Company only).
Investments in joint capital projects alongside a public sector lead partner, measured at cost less
accumulated impairment (Company only).
Investments in subsidiaries which are measured at cost less accumulated impairment.
Once an impairment loss has been identified for an asset measured at cost less impairment, its
amount is measured as the difference between the asset's carrying amount and the amount for which
the asset could be sold at the reporting date. This amount is then recognised in the Consolidated
Statement of Comprehensive Income.
2.12
Debtors
Short-term debtors are measured at transaction price, less any impairment.
2.13
Cash and cash equivalents
Cash is represented by cash in hand and deposits with financial institutions and Suffolk County
Council which are repayable without penalty on notice of not more than 24 hours. Cash equivalents
are highly liquid investments that mature in no more than three months from the date of acquisition
and that are readily convertible to known amounts of cash with insignificant risk of change in value.
2.14
Creditors
Short-term creditors are measured at the transaction price. Other financial liabilities, including bank
loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at
amortised cost using the effective interest method.
2.15
Provisions for liabilities
Provisions are made where an event has taken place that gives the Group a legal or constructive
obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate
can be made of the amount of the obligation.
Provisions are charged as an expense to Consolidated Statement of Comprehensive Income in the
year that the Group becomes aware of the obligation, and are measured at the best estimate at the
balance sheet date of the expenditure required to settle the obligation, taking into account relevant
risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Balance Sheet.
2.16
Financial instruments
The Group only enters into basic financial instrument transactions that result in the recognition of
financial assets and liabilities like trade and other debtors and creditors, loans from banks and other
third parties, loans to related parties and investments in non-puttable ordinary shares.
Financial assets that are measured at cost and amortised cost are assessed at the end of each
reporting period for objective evidence of impairment. If objective evidence of impairment is found, an
impairment loss is recognised in the Consolidated Statement of Comprehensive Income.
Page 21
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
2.
Accounting policies (continued)
2.16
Financial instruments (continued)
For financial assets measured at amortised cost, the impairment loss is measured as the difference
between an asset's carrying amount and the present value of estimated cash flows discounted at the
asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate
for measuring any impairment loss is the current effective interest rate determined under the
contract.
For financial assets measured at cost less impairment, the impairment loss is measured as the
difference between an asset's carrying amount and best estimate of the recoverable amount, which is
an approximation of the amount that the Group would receive for the asset if it were to be sold at the
balance sheet date.
Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when
there is an enforceable right to set off the recognised amounts and there is an intention to settle on a
net basis or to realise the asset and settle the liability simultaneously.
Page 22
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
3.
Judgments in applying accounting policies and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgments, estimates and
assumptions that affect the amounts reported. These estimates and judgments are continually reviewed
and are based on experience and other factors, including expectations of future events that are believed
to be reasonable under the circumstances.
Significant judgments
The judgments (apart from those involving estimations) that management has made in the process of
applying the entity's accounting policies and that have the most significant effect on the amounts
recognised in the financial statements are as follows:
Impairment of investments
At the end of each reporting period, the Group assess whether there is objective evidence of impairment
of any financial assets that are measured at cost or amortised cost. If there is objective evidence of
impairment, the entity shall recognise an impairment loss in the Consolidated Statement of
Comprehensive Income immediately (note 12).
Key sources of estimation uncertainty
Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely
equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that
have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities
within the next financial year are as follows:
- Defined benefit pension scheme liability (note 17).
Defined benefit pension scheme
The liability recognised in the balance sheet in respect of the group's retirement benefit obligations
represents the liabilties of the group's defined benefit pension scheme after deduction of the fair value of
the related assets. The schemes' liabilties are derived by estimating the ultimate cost of benefits payable
by the scheme and reflecting the discounted value of the proportion accrued by the year end in the
balance sheet. In order to arrive at these estimates, a number of key financial and non-financial
assumptions are made by management, changes to which could have a material impact upon the net
deficit and also the net cost recognised in the profit and loss account. The principle assumptions relate to
the rate of inflation, mortality and the discount rate. The assumed rate of inflation is important because this
affects the rate at which salaries grow and therefore the size of the pension that employees receive upon
retirement. Over the longer term, rates of inflation can vary significantly.
The overall benefits payable by the scheme will also depend upon the length of time that members of the
schemes live for; the longer they remain alive, the higher the cost of the pension benefits to be met by the
scheme. Assumptions are made regarding the expected lifetime of the schemes' members, based upon
recent national experience. However, given the rates of advance in medical science, it is uncertain
whether these assumptions will prove to be accurate in practice.
The rate used to discount the resulting cash flows is equivalent to the market yield at the statement of
financial position date on UK government securities with a similar duration to the schemes liabilities. This
rate is potentially subject to significant variation. The net cost r
ecognised in the profit and loss account is
also affected by the return on the schemes' assets. The impact of the pension estimates on the group’s
accounts can be seen in note 17.
Page 23
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
4.
Turnover
Income arises from:
2022 2021
££
Grants 20,748,741 67,789,567
Enterprize Zone income 1,920,573 1,457,417
22,669,314 69,246,984
The above income is wholly attributable to the principal activity of the group which is undertaken within
the United Kingdom.
5.
Operating (loss)/profit
The operating (loss)/profit is stated after charging:
2022 2021
££
Staff Pension Defined Benefits 54,000 48,000
Depreciation of tangible fixed assets 20,495 25,188
Other operating lease rentals 69,392 60,317
Staff Pension Defined Contribution scheme 122,665
122,606
6. Auditors' remuneration
2022 2021
££
Fees payable to the Group's auditor and its associates for the audit of the
Group's annual financial statements 12,700
11,000
Fees payable to the Group's auditor and its associates in respect of:
Taxation compliance services 1,200 1,050
Preparation of the financial statements 3,500 3,150
4,700 4,200
Page 24
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
7.
Employees
Staff costs were as follows:
Group Group Compan
y
Compan
y
2022 2021 2022 2021
££££
Wages and salaries 2,169,208 2,182,482 2,169,208 2,182,482
Social security costs 233,220 231,579 233,220 231,579
Cost of defined benefit scheme 54,000 48,000 54,000 48,000
Cost of defined contribution scheme 122,665 122,606 122,665 122,606
2,579,093 2,584,667 2,579,093 2,584,667
The average monthl
y
number of employees during the year was as follows:
2022 2021
No. No.
Leadership Team 6 6
Project Delivery Team 44 40
A
dministrative Team 6 6
56 52
8. Interest receivable
2022 2021
££
Bank and other interest receivable 502 6,027
Investment interest receivable 273,517 484,057
274,019 490,084
9. Other finance costs
2022 2021
££
Interest income on pension scheme assets 24,000 21,000
Net interest on net defined benefit liabilit
y
(34,000) (25,000)
(10,000) (4,000)
Page 25
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
10.
Taxation
2022 2021
££
Corporation tax
Current tax on profits for the year 9,642 66,915
9,642 66,915
Total current tax 9,642 66,915
Deferred tax
Total deferred tax
- -
Taxation on profit on ordinary activities 9,642 66,915
Factors affecting tax charge for the yea
r
The tax assessed for the year is lower than (2021 - lower than) the standard rate of corporation tax in the
UK o
f
19% (2021 - 19%). The differences are explained below:
2022 2021
££
(Loss)/profit on ordinary activities before tax (26,546,218)
19,524,337
(Loss)/profit on ordinary activities multiplied by standard rate of corporation
tax in the UK of 19% (2021 - 19%) (5,043,781) 3,709,624
Effects of:
Non-taxable income 5,053,423 (3,642,709)
Total tax charge for the yea
r
9,642 66,915
Factors that may affect future tax charges
Changes to the UK corporation tax rates were substantively enacted as part of Budget 2021 (on 3 March
2021). This included an increase to the main rate to increase the rate from 19% to 25% from 1 April 2023.
The company will be taxed at a rate of 25% unless its profits are sufficiently low enough to qualify for a
lower rate of tax, the lowest rate being 19%.
Page 26
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
11.
Tangible fixed assets
Group and Company
Fixtures and
fittings
Office
equipment Total
£££
Cost or valuation
A
t 1 April 2021 6,312 106,687 112,999
A
dditions - 9,684 9,684
A
t 31 March 2022 6,312 116,371 122,683
Depreciation
A
t 1 April 2021 5,787 78,477 84,264
Charge for the year on owned assets 525 19,970 20,495
A
t 31 March 2022 6,312 98,447 104,759
Net book value
At 31 March 2022 -
17,924 17,924
At 31 March 2021 525 28,210 28,735
All of the Group's tangible fixed assets are held in the Parent Company.
Page 27
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
12.
Fixed asset investments
Group
Loans
Other
investments Total
£££
Cost or valuation
A
t 1 April 2021 8,051,874 5,096,263 13,148,137
A
dditions - 6,377,625 6,377,625
Disposals (4,279,810) (393,492) (4,673,302)
A
t 31 March 2022 3,772,064 11,080,396 14,852,460
Impairment
A
t 1 April 2021 500,000 120,000 620,000
Charge for the period - 316,650 316,650
Impairment on disposals (500,000) (120,000) (620,000)
A
t 31 March 2022 - 316,650 316,650
Net book value
At 31 March 2022 3,772,064
10,763,746 14,535,810
At 31 March 2021 7,551,874 4,976,263 12,528,137
Page 28
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
12.
Fixed asset investments (continued)
Company
Loans
Other
investments Total
£££
Cost or valuation
A
t 1 April 2021 8,051,874 2,233,632 10,285,506
A
dditions - 6,019,968 6,019,968
Disposals (4,279,810) (273,492) (4,553,302)
A
t 31 March 2022 3,772,064 7,980,108 11,752,172
A
t 1 April 2021 500,000 - 500,000
Impairment on disposals (500,000) - (500,000)
A
t 31 March 2022 - - -
Net book value
At 31 March 2022 3,772,064
7,980,108 11,752,172
At 31 March 2021 7,551,874 2,233,632 9,785,506
13. Debtors
Group Group Compan
y
Compan
y
2022 2021 2022 2021
££££
Trade debtors 144,306 790,792 144,306 790,792
A
mounts owed by group undertakings - - 2,783,639 2,742,631
Other debtors 120,100 358,236 89,541 328,178
Prepayments and accrued income 3,175,780 2,904,039 3,175,780 2,904,039
3,440,186 4,053,067 6,193,266 6,765,640
Page 29
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
14.
Creditors: Amounts falling due within one yea
r
Group Group Compan
y
Compan
y
2022 2021 2022 2021
££££
Trade creditors 143,178 41,744 143,178 41,744
Corporation tax 9,642 66,915 9,642 66,915
Other taxation and social securit
y
57,694 64,355 57,694 64,355
Other creditors 20,056 23,060 20,056 23,060
A
ccruals and deferred income 907,646 855,879 901,896 850,629
1,138,216 1,051,953 1,132,466 1,046,703
15. Reserves
Reserves represent amounts recieved and held for specific long term projects as follows:
Restated
balance
brought
forward (note
16)
Surplus /
(deficit) in
year
Balance
carried
forward
£ £ £
GROUP
Retained earnings - NALEP 1,253,029 506,308 1,758,471
Growing Places Capital Infrastructure 26,021,605 (2,112,252) 23,909,353
Growth Deal 22,089,131 (15,099,412) 6,989,719
New Anglia Capital Fund 2,564,492 (99,224) 2,465,268
Growing Business Fund 628,716 (603,526) 25,190
Programmes Administration 3,085,600 274,342 3,359,942
Growing Places Other Capital Allocation 2,073,481 - 2,073,481
Enterprize Zone 2,063,797 1,635,823 3,699,620
Innovative Projects Fund 1,521,467 (907,996) 613,471
Projects Revenue Allocation 235,663 - 235,663
Retained earnings - NAC 24,808 (316,650) (291,842)
Redundancy Reserve 12,309 - 12,309
Local Transport Body Reserves (5,873) - (5,873)
Getting Building Fund 12,116,769 (9,031,404) 3,085,365
Business Resilience & Recovery Scheme 737,869 (737,869) -
Defined Benefit Pension (487,000) 184,000 (303,000)
73,935,863 (26,307,860) 47,627,137
Page 30
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
Reserves (continued)
Restated
balance
brought
forward (note
16)
Surplus /
(deficit) in
year
Balance
carried
forward
£ £ £
COMPANY
Retained earnings 1,253,029 505,442 1,758,471
Growing Places Capital Infrastructure 26,021,605 (2,112,252) 23,909,353
Growth Deal 22,089,131 (15,099,412) 6,989,719
New Anglia Capital Fund 2,564,492 (415,874) 2,148,618
Growing Business Fund 628,716 (603,526) 25,190
Programmes Administration 3,085,600 274,342 3,359,942
Growing Places Other Capital Allocation 2,073,481 - 2,073,481
Enterprize Zone 2,063,797 1,635,823 3,699,620
Innovative Projects Fund 1,521,467 (907,996) 613,471
Projects Revenue Allocation 235,663 - 235,663
Redundancy Reserve 12,309 - 12,309
Local Transport Body Reserves (5,873) - (5,873)
Getting Building Fund 12,116,769 (9,031,404) 3,085,365
Business Resilience & Recovery Scheme 737,869 (737,869) -
Defined Benefit Pension (487,000) 184,000 (303,000)
73,911,055 (26,308,726) 47,602,329
Page 31
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
Reserves
The movement on Retained earnings is an overall surplus, this reflects grant income received in excess of
the grants distributed from grant reserves during the year.
The Growing Places Capital Infrastructure reserve and Growing Places Other Capital Allocation reserve
represent funding from HM Government for the purposes of providing financial support for Infrastructure
projects and other projects demonstrating significant regional or local economic benefit.
Projects Revenue Allocation is funding from the Growing Places fund set aside to fund a range of
economic development projects.
Growth Deal reserve is part of the LEP’s agreed Growth Deal programme from government and is
committed to specific projects.
New Anglia Capital Fund has been established by New Anglia LEP with repaid funding from its Growing
Places Fund. These funds are managed by its subsidiary company, New Anglia Capital and are co-
invested with private investors to support start-ups with innovative ideas in high growth companies.
The Growing Business Fund is a mechanism for providing financial support to businesses in Norfolk and
Suffolk. Spending decisions for the fund rest with a panel independent to the LEP. The reserve funding
has been used during the year.
Programme Administration is part of the funding within Growing Places and Growth Deal to run the
programmes.
The Enterprise Zones consist of 16 identified sites and working with nine local authority partners
encourage businesses and inward investment to locate on the Enterprise Sites, encouraging innovation
and higher skilled jobs, target support to help small businesses to grow.
The Innovative Projects Fund is a revenue based fund and is generated from the LEP’s Enterprise Zones.
The fund will prioritise projects which accelerate the LEP's growth of ambition, themes, sectors and key
growth locations in the Economic Strategy.
The Redundancy Reserve relates to monies received from
sponsoring authorities on the transfer of the
company's employees under Transfer of Undertakings Protection Employment regulations to fund any
potential future redundancy expenditure in respect of those employees.
Local Transport Body Income is funding allocated by HM Government to support the Norfolk and Suffolk
Local Transport Body.
The Getting Building Fund reserve represents funding from HM Government in respect of a portfolio of
projects in key sectors including tourism, food production, health and social care and energy. These funds
have been drawn down in the year.
The Business Resilience and Recovery Scheme has been established by New Anglia LEP to provide
funding to support businesses in the New Anglia region in their longer term recovery from the coronavirus
pandemic.
The Defined Benefit Pension reserve represents the Group's net liability position in relation to its defined
benefit pension scheme as at the year end (see note 17).
Page 32
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
16.
Prior year adjustments
The accounts have been restated to incorporate the following material adjustments:
- £2m from Growing Business Fund to Growing Places Capital Infrastructure as a result of a 2019/20
transfer between funds that was posted the wrong way round
- £750k from Growth Deal to Growing Places Capital Infrastructure to correct a historic error
identified as programmes have come to an end
- £235k from Growth Deal to Programmes Administration to correct a duplicate posting, originally in
March 2019 and then duplicated in 2019/20
The impact of these prior period adjustments on the financial statements has been a reclassification of
reserves between designated reserves within note 15. These changes have no impact on prior year
surplus.
Page 33
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
17.
Pension commitments
The Group operates a Defined Benefit Pension Scheme.
The assets of the scheme are held separately from the Group in an independently administered fund. The
pension cost charge represents contributions payable by the Group to the fund and amounted to £114,210
(2021: £122,606). Contributions totalling £20,056 (2021: £23,037) were payable to the fund at the balance
sheet date.
A full actuarial valuation of the defined benefit scheme was carried out at 31 March 2022 by a qualified
independent actuary. Contributions to the scheme are made by the group based on the advice of the
actuary, with the aim of making good the deficit over the remaining working life of the employees.
Contributions to the scheme are made by the Group based on the advice from the actuary with the aim of
making good the deficit over the remaining life.
Reconciliation of present value of plan liabilities:
2022 2021
££
Reconciliation of present value of plan liabilities
A
t the beginning of the year 487,000 160,000
Current service cost 73,000 46,000
Interest income (24,000) (21,000)
Interest cost 34,000 25,000
A
ctuarial (gains)/losses (248,000) 275,000
Past service cost (19,000) 2,000
At the end of the yea
r
303,000 487,000
2022 2021
££
Present value of plan liabilities (303,000) (487,000)
Net pension scheme liability
(303,000) (487,000)
The amounts recognised in profit or loss are as follows:
2022 2021
££
Current service cost (73,000) (46,000)
Interest on obligation (34,000) (25,000)
Interest income on plan assets 24,000 21,000
Past service cost 19,000 (2,000)
Total
(64,000) (52,000)
Page 34
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
17.
Pension commitments (continued)
Reconciliation of fair value of plan liabilities were as follows:
2022 2021
££
Opening defined benefit obligation 1,602,000 1,046,000
Current service cost 73,000 46,000
Interest cost 34,000 25,000
Contributions by scheme participants 14,000 14,000
A
ctuarial gains and (losses) (166,000) 471,000
Closing defined benefit obligation
1,557,000 1,602,000
Reconciliation of fair value of plan assets were as follows:
2022 2021
££
Opening fair value of scheme assets 1,115,000 886,000
Opening difference on plan assets 19,000 (2,000)
Interest income on plan assets 24,000 21,000
A
ctuarial gains and (losses) 66,000 180,000
Contributions by employer 16,000 16,000
Contributions by scheme participants 14,000 14,000
1,254,000 1,115,000
The cumulative amount of actuarial gains and losses recognised in the Consolidated Statement o
f
Comprehensive Income was £248,000 (2021 - £(275,000)).
Page 35
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
17.
Pension commitments (continued)
Principal actuarial assumptions at the balance sheet date (expressed as weighted averages):
2022 2021
%%
Discount rate
2.75 2.05
Future salary increases
3.9 3.5
Future pension increases
3.2 2.8
Mortality rates
- for a male aged 65 now
21.7 21.9
- at 65 for a male aged 45 now
22.9 23.2
- for a female aged 65 now
24.1 24.3
- at 65 for a female member aged 45 now
26
26.2
Major categories of plan assets as a percentage of total plan assets:
2022 2021
Equit
y
50% 50%
Bonds 30% 35%
Propert
y
19% 12%
Cash 1% 3%
18.
Commitments under operating leases
At 31 March 2022 the Group and the Compan
y
had future minimum lease payments due under non-
cancellable operating leases for each of the following periods:
Group Group Compan
y
Compan
y
2022 2021 2022 2021
££££
Not later than 1 year 23,449 23,425 23,449 23,425
23,449 23,425 23,449 23,425
Page 36
NEW ANGLIA LOCAL ENTERPRISE PARTNERSHIP LIMITED
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
19.
Company status
The company is a private company limited by guarantee and consequently does not have share capital.
Each of the members is liable to contribute an amount not exceeding £1 towards the assets of the
company in the event of liquidation.
20.
Related party transactions
During the financial year the following related party transactions took place:
Grants of £78,826 (2021: £200) were awarded to the University of Suffolk from New Anglia LEP (NALEP).
A director of the University of Suffolk is also a director of the Company.
Contributions of £407,701 (2021: £34,001) were awarded to NALEP from West Suffolk District Council.
Rental payments of £5,213 (2021: £6,373) were paid to West Suffolk Council by NALEP. A director of
West Suffolk Council is also a director of the Company.
Contributions of £214,173 (2021: £280,984) were awarded to NALEP from Norfolk County Council and
Norse Group. Purchases of £89,004 (2021: £143,946) were paid to Norfolk County Council and Norse
Group by NALEP. A director of Norfolk County Council and Norse Group is also a director of the
Company.
Contributions of £263,400 (2021: £180,818) were awarded to NALEP from Suffolk County Council and
Mid Suffolk District Council. Grants of £13,550 (2021: £Nil) were awarded to Suffolk County Council. A
director of Suffolk County Council and Mid Suffolk District Council is also a director of the Company.
Contributions of £7,500 (2021: £7,000) were awarded to NALEP from Norwich City Council. £115 (2021:
£290) was paid to Norfolk Pension Fund. Grants of £24,665 (2021: £Nil) were awarded to National Centre
for Writing by NALEP. A director of Norwich City Council and of the Norfolk Pension Fund, and a Trustee
of the National Centre for Writing, is also a director of the Company.
Contributions of £69,470 (2021: £29,225) were awarded to NALEP from Breckland District Council. A
director of Breckland District Council is also a director of the Company.
Contributions of £23,966 (2021: £670,516) were awarded to NALEP from Ipswich Borough Council. A
director of Ipswich Borough Council is also a director of the Company.
Grants of £29,924 (2021: £3,625) were paid to Norfolk Chamber of Commerce by NALEP. A director of
the Norfolk Chamber of Commerce is also a director of the Company.
Key Management personnel include all directors across the group who together have authority and
responsibility for planning directing and controlling activities of the group. The total compensation paid to
key management personnel was £537,076 (2021: £528,169) payable in respect to 6
(2021: 6) Key
management personnel. Expenses were paid to 2 Directors of £428 (2021: £Nil) and £972 (2021: £Nil)
respectively.
Page 37
