CIMA is bracing itself for a financially tough 2014 that will see an inflation-busting increase in the subscription fee, despite strong performance in the previous 12 months.
The management accounting institute saw its revenues skip up 9%, while its operating surplus more than doubled during 2013, according to its annual report. However, it expects to post a deficit this year as it looks to relocate from its Chapter Street office to another, as yet unknown, London location in the next 12 months.
The move will see income increased through a 5% increase to its membership subscription fee, and through growing member numbers. It will also look to grow commercial income and put in place efficiency savings, “to allow liquidity to recover to an appropriate level in the medium term”, CIMA states in the report.
Income was £54.9m for the year ending 31 December 2013, compared to £50.9m a year earlier. Its expenditure climbed £2.5m with more spent on delivering its exam processes to an increasingly geographical membership, while its reputation and research activities also saw a spend increase. Its operating surplus still climbed, to £2.5m.
CIMA chief executive Charles Tilley saw his remuneration increase to £346,000 in 2013, from £320,000 a year earlier.
The institute saw a £2.7m actuarial loss on its pension scheme for the year, while its overall pension scheme deficit now stands at £10.8m. The main driver in the scheme deficit increase is a higher assumed RPI inflation rate, to 3.5% from 2.9%. CIMA makes £900,000 contributions annually into the scheme, “with the intention of making it good by 2023”.
The institute now has 95,925 members, up from 91,000 a year earlier. However, new member numbers fell to 5,527, from 5,736 in 2012. New student numbers broke CIMA’s 33,000 target, at 33,581.
Partner at Pinsent Masons says Serious Fraud Office has secured 'one of the top ten enforcement actions of all time'
Committee expresses concern about costs to businesses and April 2018 implementation date
Andrew Tyrie airs views on the Finance Bill, 'Making Tax Policy Better' report, and Brexit
The ACCA has announced a regular Global Forum focussing on education