Company registration number 02938084 (England and Wales)
NORTH EAST CHAMBER OF COMMERCE
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
NORTH EAST CHAMBER OF COMMERCE
COMPANY INFORMATION
Directors
EM Gaudern
AS Haigh
L Hunter MBE
Y Gale
R Bearne
SAA Edusei
J Johnston
JPB Marshall (Chairman)
J McCabe
L Moody OBE
A Pogson
JHC Rycroft
T Stonehouse (Chair of the Audit Committee)
D Walton
AM Ali
N McDonough
(Appointed 11 July 2024)
Company number
02938084
Registered office
Aykley Heads Business Centre
Aykley Heads
Durham
United Kingdom
DH1 5TS
Auditor
Azets Audit Services
Bulman House
Regent Centre
Gosforth
Newcastle upon Tyne
NE3 3LS
NORTH EAST CHAMBER OF COMMERCE
CONTENTS
Page
President's statement
1
Chairman's statement
2 - 3
Chief Executive's statement
4
Strategic report
5 - 7
Directors' report
8 - 11
Directors' responsibilities statement
12
Independent auditor's report
13 - 15
Group income statement
16
Group statement of comprehensive income
17
Group statement of financial position
18
Company statement of financial position
19
Group statement of changes in equity
20
Company statement of changes in equity
21
NORTH EAST CHAMBER OF COMMERCE
CONTENTS
Group statement of cash flows
22
Notes to the financial statements
23 - 41
NORTH EAST CHAMBER OF COMMERCE
PRESIDENT'S STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 1 -

In this, my first annual review as your new president, it is a privilege to reflect on such a positive year of activity for the Chamber and one in which North East Chamber of Commerce completed its tenure as UK Chamber of the Year 2023-24.

 

First, I must begin by thanking Andrew Haigh, who held the presidency until July for his exceptional work leading the Chamber through a significant period of internal and external change. Across the two years of his presidency Andrew delivered a new Chamber policy plan for the stronger, fairer North East and a number of high profile Chamber events. Members, staff and stakeholders alike have all benefitted from his commitment to opportunity and inclusion, and putting the regional voice of our members on a national stage. This is a legacy I hope to build on as your new president and I will be aided by my vice president, Natasha McDonough.

 

2024 will be remembered in many respects as a year of elections, as businesses, employers and residents across the region faced local, regional and national ballots all in the space of three months. As ever, the Chamber on behalf of its members and the wider business community, made sure that voice was heard. That included through hustings events for the region’s two mayoral elections, and general election campaigns to publicise the Chamber key asks across people and work; education and participation; enterprise and growth; international trade and green innovation. This resulted in the Chamber delivering a strong programme of engagement in the second half of the year as the team worked with both the region’s combined authorities and directly with central government to ensure members’ views shaped major policies and plans.

 

I was excited to join speakers from companies as diverse as Handelsbanken, the think tank More in Common, and the Bank of England’s monetary policy committee in the course of a busy Chamber events calendar. A personal highlight was our showcase women’s awards, rebranded in 2024 as part of our Inspiring Women in Business Programme. This opportunity to acknowledge, celebrate and promote excellence in business leadership is unparalleled in our region. I have made inclusive business the central theme of my presidency so I was proud that from our AGM onwards the Chamber’s events and advocacy work contained a strong strand of activity devoted to diversity and inclusion. This included Gill Hunter, from our partner member Square One Law co-chairing the British Chamber of Commerce’s workplace equity commission and delivering recommendations with real impact.

 

Finally, we said goodbye to Nagma Ebanks-Beni MBE who stepped down from the Chamber board in November after invaluable service as an international trade expert. I must also offer my ongoing thanks to our board, council, the committee, area and forum chairs, and all the other Chamber members who give up their time voluntarily to help create a fairer North East.

 

We are, as ever, stronger together.

D Walton
President
02 June 2025
NORTH EAST CHAMBER OF COMMERCE
CHAIRMAN'S STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 2 -
Our Chamber exists to support, connect and represent North East businesses of all sizes and sectors. In doing so, we face the same challenges and cost pressures that our members know all too well.

Thanks to the firm foundations on which our Chamber is built, a proactive approach to risk management and a long-term investment for growth plan developed by our executive team and approved by the board, I am delighted to report we remain in a strong position to serve our members and the North East.

As Chair of the board, I witness firsthand the immense amount of work that goes into supporting our members, ensuring the Chamber remains relevant today while preparing for the economy of tomorrow.

On paper, we are fundamentally a small North East business, yet I am continually reminded of the significant impact of our work at regional, national and international levels.

This was particularly evident to me in the summer of 2024 when I attended a reception in Parliament for British Chambers of Commerce (BCC)-accredited Chambers from around the world.  A chance conversation over lunch led to an introduction just 24 hours later between one of our North East universities and a Chamber representative in Asia. That connection continues to deliver benefits for both parties.

2024 was one of those years in the Chamber calendar when we see a transition from one president to the next. Andrew Haigh combined his role as chief executive of Newcastle Building Society with that of Chamber president between 2022 and 2024. He did so with great distinction and I thank him for the significant contribution he made in the role.

Deborah Walton, chief financial officer at Palintest, has already made a remarkable impact in her tenure as president. Many of you will have had the opportunity to meet her at the numerous events she has attended during her first year in this position.

We also welcomed Natasha McDonough, founder and chief executive of MMC Research, as our vice president. Natasha has long been a steadfast supporter of the Chamber and her appointment alongside Deborah's ensures we have two outstanding North East leaders at the top of our presidential ticket.

On behalf of the board, I would also like to pay tribute to David ‘Davie' Laws, who sadly passed away at the end of 2024. Davie, our president from 2013 to 2015, was a revered and very popular figure in the North East business community. As chief executive of Newcastle Airport, he played a pivotal role in securing the Emirates flight, a critical achievement for the region. Davie is missed by all who knew him.

In last year's annual report, I spoke about our new property strategy. The extensively refurbished Stamp Exchange in Newcastle continues to attract interest from businesses and individuals seeking both short-term office solutions and long-term licence-based arrangements. Additionally, we maintain our office at Aykley Heads in County Durham and have re-established a Teesside base to better support our staff in the south of the region.

Under the expert guidance of a subcommittee of board members, we have also implemented a new investment strategy to ensure the Chamber's healthy financial reserves are deployed sustainably.

Our property and investment strategies are now generating additional revenue, enabling us to reinvest in innovative solutions, products and services that bring value to our members.

The board remains acutely aware of its responsibility as stewards of financial resources primarily derived from membership fees. Consequently, all investment decisions are subject to thorough scrutiny and constructive challenge.

We have great confidence in the investment for growth plan presented by our executive team at the end of 2023. While we anticipated that critical investments in our people, premises, digital infrastructure and security would result in a budget deficit for 2024, we are already seeing returns on those investments.
NORTH EAST CHAMBER OF COMMERCE
CHAIRMAN'S STATEMENT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 3 -
Combined with excellent cost control measures, the operating loss for 2024 was significantly better than budgeted, with a positive variance of £35,000 or 15%. I would like to specifically acknowledge the generous contribution of £5,000 from the North East Initiative on Business Ethics in recognition of the Chamber's commitment to continuing its legacy of promoting progressive business practice across the North East.

In alignment with our growth strategy, we forecast another deficit in 2025 but remain on track to return to profitability in the years ahead. The Chamber's robust reserves enable us to take this long-term approach and invest with confidence in the future.

In closing, I want to express my gratitude to the Chamber's leadership team and every member of staff who tirelessly serve our members and the region with energy and dedication. Together, they form a team that is highly respected across the Chamber network and it is my pleasure to see them going about their work on your behalf. I also want to thank John McCabe, chief executive officer and my fellow board members for their continued commitment to our important work on behalf of the North East region.

Above all, I thank our members for their continued participation and unwavering support. The Chamber exists because of its members; they are both our reason for being and the inspiration behind everything we do.
JPB Marshall
Chairman
10 June 2025
NORTH EAST CHAMBER OF COMMERCE
CHIEF EXECUTIVE'S STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 4 -
2024 was the first full year of implementing our strategy for growth finalised in 2023. I therefore want to start by thanking colleagues across the business for a year characterised by creativity and innovation.

Our performance ahead of budget was again underpinned by the staff team working hard to maximise efficiency without undermining the quality of our offer to members and stakeholders. This significantly reduced our reported deficit to £164,000, performing ahead of expectations against our strategy, which aims to return the business to an operating profit in future years.

For the second year running we welcomed more than 300 new businesses into our network and launched an ambitious programme to redefine our membership proposition to make it more inclusive, more flexible and even more relevant to the needs of contemporary businesses and employers. We launched our plans with a clear message – put simply, now more than ever, we are North East business.

From business support services to international trade, we made sure that the views and voices of our members were at the core of this new offer, following one of our largest member surveys in recent years. I'm grateful to everyone who shared their views and shaped this important programme of work in preparation for 2025.

Returning to 2024 our new property strategy continued to pay dividends. The Stamp Exchange premises in central Newcastle developed a strong pipeline of interest in 2024. By December commitments were in place to achieve full occupancy within Q1 2025. We also reinstated our presence in the Tees Valley with desk space in the new Flok co-working space in Middlesbrough, a space we will be using for lots of outward-facing activities into 2025.

Our work with employers and training providers on Local Skills Improvement Plans (LSIPs) for the Tees Valley and North of Tyne continued at pace. The team delivered more than 3,000 direct engagements with businesses and employers, their views and insights directly shaping £5 million of skills funding for the region. We were therefore pleased that the English Devolution White Paper, published at the end of 2024, signalled the government's intent to continue the programme. We look forward to working with the Department for Education in 2025 to understand the implications for our LSIP geographies.

We could not have achieved this without continuing to ensure that as a business we are built on firm foundations. I am therefore grateful to my executive team and board for steering a programme of work to devise a new and updated code of conduct, supported by revisions to our articles of association, unanimously endorsed by our members at our summer AGM. This work puts our values – integrity, inclusion and passion – into practice.

I offer my thanks to John Marshall our chair and congratulate him on a positive start to his second term in office. I also offer my thanks to our outgoing president Andrew Haigh and our new president Deborah Walton. Along with an exceptional non-executive team they help make the Chamber the place for North East businesses of all sizes and sectors.
J McCabe
Chief Executive Officer
10 June 2025
NORTH EAST CHAMBER OF COMMERCE
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 5 -

The directors present the strategic report for the year ended 31 December 2024.

Principal activities

The principal activity of the company is the provision of support services for, and representation of businesses to contribute to the economic and social life of the North East.

 

In 2024, the company had one subsidiary, North East Worldwide Limited. Following the conclusion of its main activities in June 2022 this subsidiary is dormant.

Review of the business

The result for the year is set out on page 16. The group has reported a loss of £164,000 (2023: loss of £118,000) for the financial year, with a positive operating cashflow of £16,000 (2023: negative operating cashflow of £240,000) after a decrease in working capital of £156,000 (2023: increase of £136,000). The overall increase in cash of £13,000 (2023: decrease of £124,000) is stated after investments of £171,000 (2023: £152,000) in tangible, intangible and investment property assets; and returns of deposits of £77,000 (2023: £194,000) to fixed rate deposits.

 

This position presents a positive outturn for the Chamber overall, with results of £126,000 ahead of the forecast budget for 2024. The use of Chamber reserves to support this deficit position has been carefully managed by the executive team with support and oversight from our board. Of note are the important efforts made by every team and individual within the organisation to bring the Chamber to this position.

 

Total membership numbers ended the year at 2,009 (2023: 2,060) with membership subscriptions increasing to £1,996,000 (2023: £1,812,000). We maintained member retention at 82%, a positive achievement given a significant degree of change and uncertainty in the businesses’ economic environment. Most membership segments held steady during the year. Our partner offer continued to perform well, with two new partners joining in 2024 and 84% of partners now on multi-year contracts. In a similar picture to 2023, the overall reduction in membership numbers has been driven by SMEs affected by a challenging business environment.

 

To address these changes in membership numbers and profile, we have restructured the membership team, bringing in two new senior staff to support the first review and refresh of our membership proposition in recent years. This has included commissioning an independent agency to help us develop and define our value proposition as a business and a significant programme of cross-business collaboration to assess our existing membership packages and adapt them to better meet the needs of our members. These changes will be launched in 2025 and support both membership retention and growth by offering greater flexibility for new and existing members.

 

In line with these proposition changes the business continues to be agile and responsive to changing trends through our events programme. Our events programme experienced growth with 58% of members attending events in 2024. Our Business and Inspiring Females Awards, which were rebranded in 2024 as part of our Inspiring Women in Business programme, continued to grow as an integral part of our offer. Over half of our members were actively involved either through awards submission, attendance at the events themselves or by sponsoring a category. Events and awards sales and sponsorship continued as a positive area of commercial income for the Chamber with some notable change across income areas. Events and associate sponsorship rose from £54,175 (2023) to £89,849 (2024) however award sponsorship declined from £93,000 (2023) to £68,750 (2024). On 9 May 2024, we also completed a small name change in line with a refreshed brand strategy: the North East England Chamber of Commerce was streamlined and became the North East Chamber of Commerce.

 

International trade remained a central element of our membership offer in 2024. Our goal continues to be one of expansion, offering our services to a wider audience through engagement and collaboration with like-minded organisations. Some 360 members benefitted from our international membership, and our team delivered 12,000 carnets and documents. Our training offer delivered in partnership with the British Chambers of Commerce also performed well in 2024, delivering 30 courses across several topics. This ensures our members have the knowledge and tools to reach global markets while driving a commercial income stream for the Chamber.

 

With a strong focus on financial sustainability driving our activity throughout 2024, we were pleased to end 2024 reaching near full occupancy of our new flexible workspace offer at the Stamp Exchange building in Newcastle after bringing 5,500 ft of under-used office space back into use. We also returned to offering our staff workspace in the south of the region, taking a small number of desks at the Flok co-working space in Middlesbrough.

NORTH EAST CHAMBER OF COMMERCE
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 6 -
Principal risks and uncertainties

The principal risks and uncertainties are presented in the directors’ report.

Key performance indicators

The company's key financial and other performance indicators during the year were as follows:

 

 

 

Unit

2024

2023

Membership numbers

 

 

2,009

2,060

Revenue

 

£

2,979,000

2,861,000

Cash and current asset investments at year end

 

£

2,608,000

2,672,000

 

The Chamber holds significant investment property assets, which were valued at £2,113,000 on the 31 December 2024 (2023: £2,113,000). Investment property rentals make a significant contribution to support our work, generating rental income of £310,000 during 2024 (2023: £150,000), however, changes in the fair value of these properties can also result in volatility in our profit and loss account. During 2024, such fair value movements decreased our reported profits by £77,000 (2023: decreased by £45,000).

Gender pay reporting

The Equality Act 2010 (Gender Pay Gap Information) Regulations require employers with 250 or more employees to publish information on the differences between the average earnings of men and women.

 

The Chamber is not required to make these disclosures but considers this to be an important issue and therefore makes disclosures voluntarily, in line with our women’s leadership forum and Inspiring Women in Business programme. The tables below present the gap between the hourly pay of male and female employees, and the gender balance of the workforce as of the standing audit date of April 2024.

 

 

 

April 2023

 

April 2024

Change

Mean gap %

16.6

 

24.1

Increase

Median gap %

11.8

 

13.1

Slight increase

Mean gap % (excl. exec)

9.0

 

13.7

Increase

Median gap % (excl. exec)

12.1

 

2.6

Significant decrease

 

At the date of reporting the Chamber of Commerce had 54 employees in total of which 78% were female and 22% were male.

 

At the beginning of 2024, all colleagues received a 6% salary increase as part of our annual pay award process, with some staff also receiving an additional boost from a discretionary fund. Taken together these interventions have had a compound real-terms impact of increasing our mean pay gaps while reducing the median gap when executives are excluded. This trend is also likely to be caused by the fact that, at the time of reporting, the organisation had more men in mid-level salary roles than women, driving the growth of the mean differences specifically, as well as the median gap including executives.

 

The significant decrease in the median pay gap when excluding the executive team suggests that pay distribution has however become more equitable due to the universal 6% pay increase across all employees.

NORTH EAST CHAMBER OF COMMERCE
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 7 -
Gender pay reporting (continued)

Moving forward, the Chamber will continue to implement several initiatives to ensure our organisational culture aligns with our stated values, particularly inclusivity. This will include plans to implement salary banding across the organisation to ensure consistency in pay levels, alongside regular reviews. We will also implement a more regular pay gap forecasting approach to look at changes within financial year. Based on this up to date data the Chamber’s executive team will be responsible for taking appropriate and timely action. The Chamber remains committed to looking for ways to narrow the gaps that exist and will continue to report our progress.

On behalf of the board

R Bearne
Deputy Chief Executive Officer & Company Secretary
11 June 2025
NORTH EAST CHAMBER OF COMMERCE
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 8 -

The directors present their annual report and financial statements for the year ended 31 December 2024.

 

The company is limited by guarantee and controlled by its members. Each member of the company is liable to the extent of £1, in the event of the company being wound up and there being insufficient assets to pay off all the liabilities.

Results and dividends

The results for the year are set out on page 16.

 

As the company is limited by guarantee, no dividends may be declared.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

EM Gaudern
AS Haigh
L Hunter MBE
Y Gale
R Bearne
SAA Edusei
J Johnston
JPB Marshall (Chairman)
J McCabe
L Moody OBE
A Pogson
JHC Rycroft
T Stonehouse (Chair of the Audit Committee)
D Walton
AM Ali
N Ebanks Beni
(Resigned 25 November 2024)
N McDonough
(Appointed 11 July 2024)

Naghmeh Ebanks-Beni MBE, vice-president stepped down from the board with effect from 25 November 2024 and Natasha McDonough was elected as vice president and board member at the AGM held on 11 July 2024.

 

The board of Directors mainly comprises non-executive directors. In exercising their responsibilities, they rely on the competence and probity of the executives and on appropriate professional advice.

 

The board of Directors is responsible for ensuring that management fulfils responsibilities for financial reporting, ultimately responsible for reviewing and approving the financial statements.

Qualifying third party indemnity provisions

The company has made qualifying third party indemnity provisions for the benefit of its directors during the year. These provisions remain in force at the reporting date.

Financial instruments
Objectives and policies

The Chamber's financial instruments comprise cash and various items that arise directly from operations (such as trade debtors, trade creditors etc). The main purpose of these instruments is to fund the Chamber's operations.

NORTH EAST CHAMBER OF COMMERCE
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 9 -
Liquidity risk

The Chamber finances operations through cash reserves which total £1,873,000 at year end. The risk is managed by monitoring cash reserves against forecast future requirements. Transactions and cash balances are in sterling therefore there is no foreign currency risk.

Interest rate risk

The Chamber has no borrowings and therefore does not have a significant exposure to interest rate risk. Its reserves are expected to also benefit from our new investment strategy taking material effective in 2025.

Credit risk

Where appropriate, customers are analysed for credit worthiness before the Chamber’s standard payment terms and conditions are offered and credit limits are set.

Future developments

See disclosure within the fair review of the business within the strategic report along with the reports of the president, chair and chief executive.

 

The Chamber entered 2024 with its first three-year plan in place, built on sound financial forecasts, a positive approach to income diversification and investment commitments to our people and systems to deliver an improved membership experience. Working together the staff team, led by the board and executive team, delivered another significant positive variance against budget expectations in 2024, while retaining members, enhancing our events, awards and sponsorship programme and bringing under-used premises back into viable use. We delivered successfully against our primary business-wide objective to work towards financial sustainability whilst supporting positive membership returns in a challenging external climate.

Auditor

In accordance with the company's articles, a resolution proposing that Azets Audit Services be reappointed as auditor of the group will be put at the Annual General Meeting.

 

Principal risks and uncertainties

General Economic Conditions

General trading conditions remain challenging and the Chamber is not exempt from this. Inflation, skills shortages, a challenging labour market and geopolitical instability continue to impact member recruitment and retention, as well as the Chamber’s day-to-day operations. The Chamber’s membership base includes public sector organisations and charities as well as traditional SMEs and larger businesses. Challenging trading conditions and additional cost pressures anticipated by businesses into 2025, continue to have an impact and are kept under review by the Chamber’s executive team in consultation with the board. The revised membership proposition has been developed to respond to and mitigate, some of these uncertainties.

 

Commercial property risk

The Chamber holds commercial property assets for its own use and as investments, with income supporting the work of the Chamber. Our asset ownership gives rise to several specific risks and uncertainties, in particular, changes in property valuation and the risk of void periods. A full risk management plan has been developed as part of our contract with delivery partner Floe to identify and mitigate any additional risks presented by the project.

 

Political and funding risks

The general election of 2024 has changed the operational context for the Chamber and our members. Significant policy changes were announced from the autumn onwards across a number of areas relevant to the Chamber’s work. These include positive changes such as the announcement in the Devolution White Paper published in December 2024 of the intention to continue the successful Department for Education (DfE) funded Local Skills Improvement Plans (LSIPs). The Chamber delivers two of the region’s three LSIPs and will continue to work closely with DfE on the implications across the region. The White Paper also indicated how the region’s two Mayoral Combined Authorities could be strengthened through new powers and integrated funding arrangements. This could positively support regional economic growth and the work of our members into 2025, helping to mitigate some of the increased employer costs announced in the 2024 autumn Budget, taking effect from April 2025.

 

NORTH EAST CHAMBER OF COMMERCE
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 10 -
Corporate governance

As a member-led organisation, the Chamber’s reputation is founded on trust and credibility. We therefore need to embody good corporate governance in everything that we do. In 2023, the Chamber undertook a programme of work to identify our Chamber's organisational values.

We built on these in 2024 by using our values to inform our three-year plan for growth and detailed budget forecasts, as well as building them into our support and supervision framework for staff, informing a new approach to reward and recognition. We included real living wage projections in our financial forecasts to prepare the organisation to become accredited as a real living wage employer in 2025. At our AGM in July our membership adopted a new code of conduct to support our staff, our board, our membership and stakeholders, by aligning our expected behaviours with those values.

 

The following standing committees have been established to assist the board in the exercise of its corporate governance responsibilities.

 

Remuneration committee

The committee is chaired by JPB Marshall and includes T Stonehouse, and L Moody. The committee is responsible for reviewing and determining executive remuneration, having regard to a general policy framework for executive remuneration established by the board. An analysis of directors' and employees' remuneration appears in notes 6 and 7.

 

Audit and Risk committee

The committee is chaired by T Stonehouse and includes L Hunter, D Walton, AM Ali and R Bearne. The committee's terms of reference include the review of the annual financial statements to be issued to the members, accounting policies of the group, compliance with Financial Reporting Standards, internal controls, risk management strategies and reporting, and the planning, scope and conclusions of the external auditors' programme. The committee adopted new terms of reference in 2024 to update its roles and responsibilities in line with legal changes and industry best practices.

 

Investment committee

The committee is chaired by Y Gale and includes AS Haigh, EM Gaudern and AM Ali. The committee is responsible for reviewing the financial assets of the Chamber and making recommendations to the board on the Chamber’s investment strategy. In 2024, the investment committee began substantive work with Rathbones’ investment managers to advance our new investment strategy in line with our three-year corporate objectives.

 

Nominations committee

The nominations committee is a council committee chaired by L Moody and includes JPB Marshall, D Hankey, N McDonough, J McCabe and R Bearne. The committee is responsible for identifying candidates, reviewing appointments to the board and council and making recommendations to the council.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

NORTH EAST CHAMBER OF COMMERCE
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 11 -
Going concern

Further information on the Chamber's business activities, together with the factors likely to affect its future development, performance and position are set out in the President's statement, Chairman's statement, Chief Executive's statement and the Directors' and Strategic reports.

 

The company meets day-to-day working capital requirements through cash generated from operations. The group had no borrowings at the year end or at any time during the year. North East Worldwide Limited ceased operations in 2022 and was made dormant in 2024, leaving the North East Chamber of Commerce as the only operational entity.

 

The loss before tax for the 2024 financial year was £187,000, with deferred taxation of £23,000, the loss after tax was £164,000 and the cash generated from operations was £16,000. The closing cash balance at the year end was £1,873,000. In addition to the closing cash balance, the group holds further fixed term bank deposits classified as current asset investments totalling £735,000 at the end of 2024.

 

The Chamber has prepared detailed financial forecasts and projections for 2025/26, which will be monitored against KPIs to continue to support our primary objective of financial sustainability. These will be supported by a new approach to our membership offer launching in 2025, additional commercial income projections, enhanced sponsorship and association opportunities all driving sustainable developments in membership numbers.

 

These forecasts also include sensitivities that take account of the risk of severe but plausible downsides, including reductions in membership numbers or overall level of membership income as our new membership proposition is rolled out and fluctuations in commercial international trade services. The Chamber has put in place mitigating actions to address risks which the board, relevant committees and the executive team will regularly review.

 

In the directors’ assessment of possible changes in trading performance, they have considered a fall in demand for services and potential cost savings; reflected in an enhanced risk register as well as a new strategy for membership growth and retention led by the executive director for membership and supported by the wider executive team and board.

 

The underlying trading assumptions used in forecasting, for example in relation to the trajectory of inflation and economic growth, are difficult to predict, so are subject to significant variation. The forecasts, including the downside sensitivities, show the Chamber should be able to continue in operational existence as a going concern.

 

Substantial cash reserves and the ability to manage any longer-term reduction in trading into 2025/26 provide comfort that the Chamber has adequate financial resources to continue in operational existence, for at least twelve months, from the date of signing of the financial statements.

 

Based on the factors set out above, the directors believe that it remains appropriate to prepare the financial statements on a going concern basis.

On behalf of the board
R Bearne
Deputy Chief Executive Officer & Company Secretary
11 June 2025
NORTH EAST CHAMBER OF COMMERCE
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 12 -

The directors are responsible for preparing the Annual Report and the 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company 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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

NORTH EAST CHAMBER OF COMMERCE
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF NORTH EAST CHAMBER OF COMMERCE
- 13 -
Opinion

We have audited the financial statements of North East Chamber of Commerce (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the group income statement, the group statement of comprehensive income, the group statement of financial position, the company statement of financial position, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable 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:

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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’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.

Conclusions relating to going concern

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.

 

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 group's and parent company’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 directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

NORTH EAST CHAMBER OF COMMERCE
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF NORTH EAST CHAMBER OF COMMERCE
- 14 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the 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:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 parent company'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 parent company 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 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 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.

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

NORTH EAST CHAMBER OF COMMERCE
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF NORTH EAST CHAMBER OF COMMERCE
- 15 -

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council’s website, to detect material misstatements in respect of irregularities, including fraud.

 

We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework.  Based on this understanding, we identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion.  This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.

 

We identified the following applicable laws and regulations as those most likely to have a material impact on the financial statements: employment law (including the Working Time Directive); and compliance with UK Companies Act.

 

In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included:

 

 

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 of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Use of our report

This report is made solely to the company’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 company’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 company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Sarah Simpson FCA (Senior Statutory Auditor)
For and on behalf of Azets Audit Services
11 June 2025
Chartered Accountants
Statutory Auditor
Bulman House
Regent Centre
Gosforth
Newcastle upon Tyne
NE3 3LS
NORTH EAST CHAMBER OF COMMERCE
GROUP INCOME STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 16 -
2024
2023
Notes
£000
£000
Turnover
3
2,979
2,861
Cost of sales
(2,046)
(2,183)
Gross profit
933
678
Administrative expenses
(1,696)
(1,401)
Other operating income
485
509
Operating loss
4
(278)
(214)
Interest receivable and similar income
8
91
74
Loss before taxation
(187)
(140)
Tax on loss
9
23
22
Loss for the financial year
19
(164)
(118)
NORTH EAST CHAMBER OF COMMERCE
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024
- 17 -
2024
2023
£000
£000
Loss for the year
(164)
(118)
Other comprehensive income
Revaluation of tangible fixed assets
-
0
38
Tax relating to other comprehensive income
-
0
(9)
Other comprehensive income for the year
-
0
29
Total comprehensive income for the year
(164)
(89)
NORTH EAST CHAMBER OF COMMERCE
GROUP STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2024
31 December 2024
- 18 -
2024
2023
Notes
£000
£000
£000
£000
Fixed assets
Intangible assets
10
32
28
Tangible assets
11
516
494
Investment property
12
2,113
2,113
2,661
2,635
Current assets
Debtors
14
388
444
Investments
15
735
812
Cash at bank and in hand
1,873
1,860
2,996
3,116
Creditors: amounts falling due within one year
16
(1,245)
(1,153)
Net current assets
1,751
1,963
Total assets less current liabilities
4,412
4,598
Provisions for liabilities
Deferred tax liability
17
92
114
(92)
(114)
Net assets
4,320
4,484
Reserves
Revaluation reserve
29
29
Other reserves
39
39
Profit and loss reserves
4,252
4,416
Total equity
4,320
4,484
The financial statements were approved by the board of directors and authorised for issue on 10 June 2025 and are signed on its behalf by:
10 June 2025
J McCabe
Chief Executive Officer
Company registration number 02938084 (England and Wales)
NORTH EAST CHAMBER OF COMMERCE
COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2024
31 December 2024
- 19 -
2024
2023
Notes
£000
£000
£000
£000
Fixed assets
Intangible assets
10
32
28
Tangible assets
11
516
494
Investment property
12
2,113
2,113
2,661
2,635
Current assets
Debtors
14
388
444
Investments
15
735
812
Cash at bank and in hand
1,873
1,860
2,996
3,116
Creditors: amounts falling due within one year
16
(1,245)
(1,895)
Net current assets
1,751
1,221
Total assets less current liabilities
4,412
3,856
Provisions for liabilities
Deferred tax liability
17
92
114
(92)
(114)
Net assets
4,320
3,742
Reserves
Revaluation reserve
29
29
Other reserves
39
39
Profit and loss reserves
4,252
3,674
Total equity
4,320
3,742

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company's profit for the year was £578,000 (2023 - £117,403 loss).

The financial statements were approved by the board of directors and authorised for issue on 10 June 2025 and are signed on its behalf by:
10 June 2025
J McCabe
Chief Exeuctive Officer
Company registration number 02938084 (England and Wales)
NORTH EAST CHAMBER OF COMMERCE
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
- 20 -
Revaluation reserve
Other reserves
Profit and loss reserves
Total
£000
£000
£000
£000
Balance at 1 January 2023
-
0
39
4,534
4,573
Year ended 31 December 2023:
Loss for the year
-
-
(118)
(118)
Other comprehensive income:
Revaluation of tangible fixed assets
38
-
-
38
Tax relating to other comprehensive income
(9)
-
-
0
(9)
Total comprehensive income
29
-
(118)
(89)
Balance at 31 December 2023
29
39
4,416
4,484
Year ended 31 December 2024:
Loss and total comprehensive income
-
-
(164)
(164)
Balance at 31 December 2024
29
39
4,252
4,320
NORTH EAST CHAMBER OF COMMERCE
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
- 21 -
Revaluation reserve
Other reserves
Profit and loss reserves
Total
£000
£000
£000
£000
Balance at 1 January 2023
-
0
39
3,791
3,830
Year ended 31 December 2023:
Loss for the year
-
-
(117)
(117)
Other comprehensive income:
Revaluation of tangible fixed assets
38
-
-
38
Tax relating to other comprehensive income
(9)
-
-
0
(9)
Total comprehensive income
29
-
(117)
(88)
Balance at 31 December 2023
29
39
3,674
3,742
Year ended 31 December 2024:
Profit and total comprehensive income
-
-
578
578
Balance at 31 December 2024
29
39
4,252
4,320
NORTH EAST CHAMBER OF COMMERCE
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 22 -
2024
2023
Notes
£000
£000
£000
£000
Cash flows from operating activities
Cash generated from/(absorbed by) operations
24
23
(239)
Income taxes paid
(7)
(1)
Net cash inflow/(outflow) from operating activities
16
(240)
Investing activities
Purchase of intangible assets
(20)
-
Purchase of tangible fixed assets
(74)
(36)
Purchase of investment property
(77)
(116)
Proceeds from fixed term deposits
77
194
Interest received
91
74
Net cash (used in)/generated from investing activities
(3)
116
Net increase/(decrease) in cash and cash equivalents
13
(124)
Cash and cash equivalents at beginning of year
1,860
1,984
Cash and cash equivalents at end of year
1,873
1,860
NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 23 -
1
Accounting policies
Company information

North East Chamber of Commerce (“the company”) is a company limited by guarantee domiciled and incorporated in England and Wales, 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. The registered office is Aykley Heads Business Centre, Aykley Heads, Durham, DH1 5TS.

 

The group consists of North East Chamber of Commerce and all of its subsidiaries.

 

The principal activity of the group is to provide independent representation of the interests of its members and, together with the subsidiary, contribute to the improvement of the conditions and trading environment in which businesses operate in the North East of England through its representational activities and the provision of business support services. The principal activity of the subsidiary was the provision of a broad range of advice, market intelligence and financial support to companies new to exporting or addressing new export market (funded by the Department for International Trade and European Regional Development Fund). These contracts have now come to an end.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £000.

The financial statements have been prepared under the historical cost convention, except investment properties that are shown at fair value. The principal accounting policies adopted are set out below.

The company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements for parent company information presented within the consolidated financial statements:

 

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 24 -
1.2
Business combinations

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

 

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

1.3
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company North East Chamber of Commerce together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 December 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

Investments in joint ventures and associates are carried in the group statement of financial position at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill.

 

If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.

 

Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 25 -
1.4
Going concern

Further information on the Chamber's business activities, together with the factors likely to affect its future development, performance and position are set out in the President's statement, Chairman's statement, Chief Executive's statement and the Directors' and Strategic reports.

 

The company meets day-to-day working capital requirements through cash generated from operations. The group had no borrowings at the year end or at any time during the year. North East Worldwide Limited ceased operations in 2022 and was made dormant in 2024, leaving the North East Chamber of Commerce as the only operational entity.

 

The loss before tax for the 2024 financial year was £187,000, with deferred taxation of £23,000, the loss after tax was £164,000 and the cash generated from operations was £16,000. The closing cash balance at the year end was £1,873,000. In addition to the closing cash balance, the group holds further fixed term bank deposits classified as current asset investments totalling £735,000 at the end of 2024.

 

The Chamber has prepared detailed financial forecasts and projections for 2025/26, which will be monitored against KPIs to continue to support our primary objective of financial sustainability. These will be supported by a new approach to our membership offer launching in 2025, additional commercial income projections, enhanced sponsorship and association opportunities all driving sustainable developments in membership numbers.

 

These forecasts also include sensitivities that take account of the risk of severe but plausible downsides, including reductions in membership numbers or overall level of membership income as our new membership proposition is rolled out and fluctuations in commercial international trade services. The Chamber has put in place mitigating actions to address risks which the board, relevant committees and the executive team will regularly review.

 

In the directors’ assessment of possible changes in trading performance, they have considered a fall in demand for services and potential cost savings; reflected in an enhanced risk register as well as a new strategy for membership growth and retention led by the executive director for membership and supported by the wider executive team and board.

 

The underlying trading assumptions used in forecasting, for example in relation to the trajectory of inflation and economic growth, are difficult to predict, so are subject to significant variation. The forecasts, including the downside sensitivities, show the Chamber should be able to continue in operational existence as a going concern.

 

Substantial cash reserves and the ability to manage any longer-term reduction in trading into 2025/26 provide comfort that the Chamber has adequate financial resources to continue in operational existence, for at least twelve months, from the date of signing of the financial statements.

 

Based on the factors set out above, the directors believe that it remains appropriate to prepare the financial statements on a going concern basis.

1.5
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

Turnover from membership subscriptions is recognised on a straight line basis over the period of the membership and in line with the services rendered. Turnover from International trade contracts is recognised when it and the associated costs can be measured reliably and when there is certainty to the entitlement of benefits.

1.6
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 26 -

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Software
Straight line over 5 years
1.7
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets other than freehold land less their residual values over their useful lives on the following bases:

Freehold land and buildings
Straight line over 50 years
Leasehold land and buildings
Straight line over the life of the lease to a maximum of 50 years
Fixtures and fittings
Straight line over 3 to 5 years

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the income statement.

1.8
Investment property

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss.

1.9
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 27 -

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

 

Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method. Any difference between the cost of acquisition and the share of the fair value of the net identifiable assets of the associate on acquisition is recognised as goodwill. Any unamortised balance of goodwill is included in the carrying value of the investment in associates.

 

Losses in excess of the carrying amount of an investment in an associate are recorded as a provision only when the company has incurred legal or constructive obligations or has made payments on behalf of the associate.

 

In the parent company financial statements, investments in associates are accounted for at cost less impairment.

Entities in which the group has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

1.10
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets 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 in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its 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 (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.11
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 28 -
1.12
Financial instruments

The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the group's statement of financial position when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally 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.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 29 -
Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

1.13
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 30 -
Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.14
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.15
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.16
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.

1.17
Government grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

 

A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

 

Grants are presented and disclosed in other operating income.

1.18

Other operating income

Other operating income includes rents receivable under operating leases for the period, exclusive of Value Added Tax and gains on investment properties.

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 31 -
2
Judgements and key sources of estimation uncertainty

In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

 

There are considered to be no 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.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Value of investment property

The carrying value of the investment property is subject to review of the market value of the properties by an external valuer. The value is assessed on an annual basis and any changes in the market value of the properties is realised in the income statement.

3
Turnover and other revenue
2024
2023
£000
£000
Turnover analysed by class of business
Membership Subscriptions
1,996
1,812
Business Services
247
316
International trade services
736
733
2,979
2,861
2024
2023
£000
£000
Turnover analysed by geographical market
UK
2,979
2,861
2024
2023
£000
£000
Other revenue
Interest income
91
74
Grants received
252
404
Rent receivable
310
150
Gain/(loss) on investment properties
(77)
(45)
NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 32 -
4
Operating loss
2024
2023
£000
£000
Operating loss for the year is stated after charging/(crediting):
Government grants
(252)
(404)
Depreciation of owned tangible fixed assets
52
41
Amortisation of intangible assets
16
25
Operating lease charges
51
-
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£000
£000
For audit services
Audit of the financial statements of the group and company
16
16
For other services
Taxation compliance services
2
2
6
Employees

The average monthly number of persons (including directors) employed by the group and company during the year was:

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Chamber of commerce and group services
57
55
57
55

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£000
£000
£000
£000
Wages and salaries
2,106
1,973
2,106
1,973
Social security costs
200
181
200
181
Pension costs
109
98
109
98
2,415
2,252
2,415
2,252
NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 33 -
7
Directors' remuneration
2024
2023
£000
£000
Remuneration for qualifying services
380
325
Company pension contributions to defined contribution schemes
21
37
401
362

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 4 (2023 - 4).

Remuneration disclosed above includes the following amounts paid to the highest paid director:
2024
2023
£000
£000
Remuneration for qualifying services
148
140
Company pension contributions to defined contribution schemes
11
10
8
Interest receivable and similar income
2024
2023
£000
£000
Interest income
Interest on bank deposits
91
74
9
Taxation
2024
2023
£000
£000
Current tax
Adjustments in respect of prior periods
(1)
-
0
Deferred tax
Origination and reversal of timing differences
(22)
(22)
Total tax credit
(23)
(22)
NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
9
Taxation
(Continued)
- 34 -

The actual credit for the year can be reconciled to the expected credit for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£000
£000
Loss before taxation
(187)
(140)
Expected tax credit based on the standard rate of corporation tax in the UK of 25.00% (2023: 23.52%)
(47)
(33)
Tax effect of expenses that are not deductible in determining taxable profit
24
11
Taxation credit
(23)
(22)

In addition to the amount charged to the income statement, the following amounts relating to tax have been recognised directly in other comprehensive income:

2024
2023
£000
£000
Deferred tax arising on:
Revaluation of property
-
9
10
Intangible fixed assets
Group
Software
£000
Cost
At 1 January 2024
159
Additions
20
At 31 December 2024
179
Amortisation and impairment
At 1 January 2024
131
Amortisation charged for the year
16
At 31 December 2024
147
Carrying amount
At 31 December 2024
32
At 31 December 2023
28
NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
10
Intangible fixed assets
(Continued)
- 35 -
Company
Software
£000
Cost
At 1 January 2024
159
Additions
20
At 31 December 2024
179
Amortisation and impairment
At 1 January 2024
131
Amortisation charged for the year
16
At 31 December 2024
147
Carrying amount
At 31 December 2024
32
At 31 December 2023
28
11
Tangible fixed assets
Group
Freehold land and buildings
Leasehold land and buildings
Fixtures and fittings
Total
£000
£000
£000
£000
Cost
At 1 January 2024
508
52
308
868
Additions
-
0
-
0
74
74
At 31 December 2024
508
52
382
942
Depreciation and impairment
At 1 January 2024
100
17
257
374
Depreciation charged in the year
10
2
40
52
At 31 December 2024
110
19
297
426
Carrying amount
At 31 December 2024
398
33
85
516
At 31 December 2023
408
35
51
494
NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
11
Tangible fixed assets
(Continued)
- 36 -
Company
Freehold land and buildings
Leasehold land and buildings
Fixtures and fittings
Total
£000
£000
£000
£000
Cost
At 1 January 2024
508
52
308
868
Additions
-
0
-
0
74
74
At 31 December 2024
508
52
382
942
Depreciation and impairment
At 1 January 2024
100
17
257
374
Depreciation charged in the year
10
2
40
52
At 31 December 2024
110
19
297
426
Carrying amount
At 31 December 2024
398
33
85
516
At 31 December 2023
408
35
51
494

Group and company

Leasehold land and buildings are held under a 125 year lease.

12
Investment property
Group
Company
2024
2024
£000
£000
Fair value
At 1 January 2024
2,113
2,113
Additions through external acquisition
77
77
Net gains or losses through fair value adjustments
(77)
(77)
At 31 December 2024
2,113
2,113

The investment property fair value is based on valuations on 18 December 2024 by an external, independent valuer, having an appropriate recognised professional qualification and recent experience in the location and class of property being valued.

 

The valuations, which are supported by market evidence, are prepared by considering the aggregate of the net annual rents receivable from the properties and where relevant, associated costs. A yield which reflects the specific risks inherent in the cash flows is then applied to the net annual rentals to arrive at the property valuation.

 

Any gain or loss arising from a change in fair value is recognised in the Income Statement.

The historical cost net book value of investment properties is £1,403,000.

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 37 -
13
Subsidiaries

Details of the company's subsidiaries at 31 December 2024 are as follows:

Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
North East Worldwide Limited
Aykley Heads Business Centre, Aykley Heads, Durham, United Kingdom, DH1 5TS
Non-trading
Ordinary
100.00
14
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£000
£000
£000
£000
Trade debtors
266
340
266
340
Prepayments and accrued income
122
104
122
104
388
444
388
444
15
Current asset investments
Group
Company
2024
2023
2024
2023
£000
£000
£000
£000
Fixed term deposit
735
812
735
812

Fixed term deposits of £735,000 (2023 - £812,000) comprise cash held on deposit with a maturity date of more than three months but less than twelve months at the year end.

16
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
£000
£000
£000
£000
Trade creditors
84
105
84
105
Amounts owed to group undertakings
-
0
-
0
-
0
751
Corporation tax payable
-
0
8
-
0
-
0
Other taxation and social security
167
114
167
114
Other creditors
13
20
13
20
Accruals and deferred income
981
906
981
905
1,245
1,153
1,245
1,895
NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 38 -
17
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

Liabilities
Liabilities
2024
2023
Group
£000
£000
Fixed asset timing differences
149
146
Short term timing differences
3
(9)
Losses and other deductions
(60)
(23)
92
114
Liabilities
Liabilities
2024
2023
Company
£000
£000
Fixed asset timing differences
149
146
Short term timing differences
3
(9)
Losses and other deductions
(60)
(23)
92
114
Group
Company
2024
2024
Movements in the year:
£000
£000
Liability at 1 January 2024
114
114
Credit to profit or loss
(22)
(22)
Liability at 31 December 2024
92
92
18
Retirement benefit schemes
2024
2023
Defined contribution schemes
£000
£000
Charge to profit or loss in respect of defined contribution schemes
109
98

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

 

Contributions totalling £nil (2023: £17,302) were payable to the scheme at the end of the year and are included within creditors.

 

 

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 39 -
19
Reserves

The company is a company limited by guarantee not having a called up share capital. Each member of the company is liable to the extent of £1 in the event of the company being wound up and therefore being insufficient assets to pay off the liabilities. Accordingly, the company has no shareholders' funds and no reconciliation of movements in shareholders' funds has been presented.

20
Financial commitments, guarantees and contingent liabilities

The company provided a performance guarantee in respect of its subsidiary North East Worldwide Limited for its contract with the Department for International Trade. No amounts have been provided in these financial statements in respect of these guarantees as the likelihood of them being called in is considered to be remote.

 

North East Chamber of Commerce had a 33% interest in Go Global North East Limited, a joint venture with RTC North Limited and the North East of England Process Industry Cluster Limited. The three joint venture partners, of which the Chamber was one, had entered into a joint and several performance guarantee in respect of this entity up to a maximum of £5 million each. The Chamber withdrew from membership of the joint venture during the year.

21
Operating lease commitments
Lessee

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2024
2023
2024
2023
£000
£000
£000
£000
Within one year
51
20
51
20
Between two and five years
16
39
16
39
67
59
67
59
Lessor
Group
Company
2024
2023
2024
2023
£000
£000
£000
£000
Within one year
178
108
178
108
Between two and five years
75
79
75
79
253
187
253
187
22
Related party transactions
Transactions with related parties
NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
22
Related party transactions
(Continued)
- 40 -

During the normal course of trade the company purchases goods and services and receives income from organisations in which directors have an interest. Any material transaction in the context of the financial statements is approved by the board.

 

Board

Member

Organisation

Sales

2024

£000

Purchases 2024

£000

(Owed to)/due from member

2024

£000

(Owed to)/due from member

2023

£000

AS Haigh

Newcastle Building Society

11

-

-

-

EM Gaudern

EMG Solictors

3

-

1

1

J McCabe

Fusion PR (UK) Limited

 

-

-

-

A Pogson

North Music Trust

5

27

-

(1)

S Edusei

St. Oswalds Hospice

3

-

1

1

T Stonehouse

KPMG LLP

4

-

-

-

JPB Marshall

Newcastle Gateshead Initiative

4

4

-

-

JPB Marshall

Karol Marketing

1

-

1

-

JPB Marshall

Newcastle United Foundation

3

-

-

-

JPB Marshall

St Chads College Durham

3

-

-

-

J Johnston

Bernicia

24

-

3

3

D Walton

Palintest

7

-

2

2

L Hunter

Northumbrian Water

15

-

14

11

Y Gale

NEL Fund Managers

1

-

-

-

N Ebanks-Beni

Prima Cheese

27

-

1

1

N McDonough

MMC Research

1

-

1

-

 

The amounts oustanding are unsecured non-interest bearing and will be settled in cash. No expense has been recognised in the year (2023: £Nil) in respect of bad debts from related parties.

23
Controlling party

The company is controlled by its board of directors acting on behalf of its members.

NORTH EAST CHAMBER OF COMMERCE
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 41 -
24
Cash generated from/(absorbed by) group operations
2024
2023
£000
£000
Loss for the year after tax
(164)
(118)
Adjustments for:
Taxation credited
(23)
(22)
Investment income
(91)
(74)
Fair value loss on investment properties
77
45
Amortisation and impairment of intangible assets
16
25
Depreciation and impairment of tangible fixed assets
52
41
Movements in working capital:
Decrease in debtors
56
26
Increase/(decrease) in creditors
100
(162)
Cash generated from/(absorbed by) operations
23
(239)
25
Analysis of changes in net funds - group
1 January 2024
Cash flows
31 December 2024
£000
£000
£000
Cash at bank and in hand
1,860
13
1,873
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