Draft minutes for CIBSE Annual General Meeting 2023

Held on 13 June 2023

The Annual General Meeting (AGM) of CIBSE was held on 13 June 2023 and was conducted as a hybrid model, with participants both in person and online, via Teams. Kevin Mitchell, CIBSE President 2022-23, chaired the meeting.

Chief executive Ruth Carter read the Notice of Order convening the meeting, and then explained that it would not be possible to share the CIBSE Annual Accounts for 2022 at this AGM. As members were aware, the accounts are usually shared for information purposes, as well as being sent out at the same time as the Calling Notice for the AGM.

However, significant staffing and resourcing challenges within the finance team and at our auditors had delayed completion of the audit. Copies of the draft income and expenditure account and balance sheet were available to those attending the meeting and would be presented by the honorary treasurer. As soon as the accounts have been fully audited, and signed off by the CIBSE Board, they will be made available to all members to review, and members will be given in excess of 21 days’ notice to attend (online or in person) a briefing meeting and ask any questions.

The minutes of the 45th AGM of CIBSE, held on 5 May 2022 and published in the August 2022 issue of CIBSE Journal, were then accepted as a correct record of the meeting.

Annual Report
Kevin Mitchell introduced the Annual Report for 2022 by stating that it reflected both the Institution’s performance and the impressive efforts of CIBSE volunteers, members and staff, and illustrated the ongoing work to lead and support members with the transition to net zero and to deliver a safe, healthy and sustainable built environment. The report not only lists award winners and members of the Board and Council, but its images also capture the atmosphere of CIBSE events and the varied and inspiring work of members.

Highlights include: 

  • 2022 marked 125 years of CIBSE, a milestone that was marked by the President’s call to action to inspire the next generation, with five challenges to Celebrate, Inspire, Boost, Share and Engage. The challenges provoked an incredible response, which is reflected in the structure of the report
    The new CIBSE website has had real impact: 3.3 million page views from 150 countries. CIBSE’s online presence has 95,000 followers across social media platforms. CIBSE Journal receives 29,000 monthly views, and the Grow Your Knowledge series has achieved 45,000 registrations.
  • CIBSE Knowledge produced 21 new titles, with notable releases including guidance on heat pump installation for large non-domestic buildings, and a new edition of TM54 evaluating operational energy at design stage. TM65, our embodied carbon methodology, can now be used internationally, with local versions being developed.
  • Further progress included revision of CIBSE’s Climate Action Plan, CIBSE/LETI Net Zero FAQs, and involvement in a cross-industry coalition of professional bodies to develop a UK Net Zero Carbon Buildings Standard.
  • The Building Safety Act received Royal Assent in April 2022 and is the priority for the industry: Dr Hywel Davies has led in communicating the scale of changes that government is looking to drive through this legislation. CIBSE works closely with other sector groups to respond to related government consultations and has developed a one-day training course to introduce the act and the new competence requirements for higher-risk buildings.
  • CIBSE continued to develop initiatives to increase professional competence, including engaging with more than 2,000 members through webinars, workshops and company presentations. CIBSE Societies support alternative routes to professional registration and progress in professional accreditation outside the UK; CIBSE was approved as an assessment body for Engineers Queensland and is applying for Victoria.
  • 2,300 delegates received remote, face-to-face or on-demand training (up from 1,500 in 2021); CIBSE Regions organised 180 events with 14,000 registrants; and our Special Interest Groups now have a combined membership of 50,000.
  • The Building Performance Awards, President’s Awards, SLL Young Lighter of the Year, the Façade Awards, and the Young Engineers Awards showcased talent and expertise within the industry.

In closing, the President encouraged members to read the Annual Report, thanked volunteers, members and staff for their dedication and efforts, and expressed his excitement for the future of the Institution and its members.

The Annual Report reflected the Institution’s performance and the impressive efforts of CIBSE volunteers, members and staff

Kevin Mitchell then invited questions:

  • Chris Jones asked what research CIBSE is relying on to illustrate whether global reserves and production of critical metals and minerals are sufficient to support the electrification of buildings to achieve net zero, pointing out that some research shows concerning shortfalls. Kevin Mitchell agreed with the point made and stated that part of CIBSE’s work with the Engineering Council, Royal Academy of Engineering and Construction Industry Council is starting to
    address this.
  • William Orchard expressed concern that government was giving inadequate attention to the existing building sector generally, and specifically to the cost of external insulation on the many thousands of terraced houses. Kevin Mitchell advised that existing housing stock is a big focus for CIBSE and noted that the Welsh School of
    Architecture won a Building Performance Award for its work in this area. Ted Pilbeam, chair of the Knowledge Management Committee (KMC), confirmed that housing retrofit is a key priority.
  • Mike Smith asked whether the move from Balham would lose the connection that members have with the physical entity that the Balham site represents. In response, Kevin Mitchell pointed out that moving from Balham had been on the agenda since 2017 at least, and that all options have been considered, with the Board concluding that replacing one physical home with another was the best option.

The Annual Report is available at www.cibse.org/annualreport 

Report of the Auditors
Julia Poulter, from Crowe UK LLP, confirmed that she was not able to report a full audit opinion on the Financial Statements for the year ended 31 December 2022 as a result of delays caused by the resourcing challenges at CIBSE. Crowe had been working closely with theCIBSE team, and the audit will be completed to meet statutory deadlines, including Companies House and the Charity Commission.

At this time, Crowe had no points to bring to the attention of the meeting on the income and expenditure account and the balance sheet, which would be presented at the AGM, and had not highlighted any material mis-statements from its audit work completed to date. It did not envisage any issues with completing the audit on the draft financial statements and will be able to present its audit opinion in due course on completion of the audit.

Financial Statements
Vince Arnold, honorary treasurer, thanked Crowe for its work and the help that it had provided, before presenting a statement of the annual accounts as at 13 June. He noted CIBSE’s very strong financial performance in 2022, with highlights including:

  • Group Income rose from £6.891m to £8.471m (23%) with Trading Subsidiaries (Services, Certification, Hong Kong) increasing by £1.276m. Income from members’ subscriptions rose by £190k to £3.782m, largely the result of growth in End Point Assessment activities for apprenticeships. Fees for charitable services (CPD and Events) rose by £160k to £544k. In addition, a £39k bequest to SLL by its Past President Liz Peck was gratefully received.
  • CIBSE Services Ltd grew Training activity, with more courses and delegates, with Online Learning up by £67k, and other Training up by £197k. CIBSE Journal grew revenues by £101k, Publications revenues were up by £251k, with strong Weather Data sales. The Building Performance Awards (up £134k), Build2Perform (up £313k), and other Events, including the Façade Awards and Golden Thread conferences (up £199k), resulted in an overall increase of £646k.
  • CIBSE Certification Ltd grew revenues by £25k in Information Systems, £33k overall.
  • Group Expenditure reflects the increased activity, with Trading
    Subsidiaries up by £809k with improved surplus margin, Membership up by £111k with increased spend on face-to-face activities and travel, while Technical was down by £79k, reflecting resource phasing. Regions, Societies and Special Interest Groups up by £240k with increased activities and resource.
  • Group Income (up £1.58m) and Expenditure (up £1.092m) therefore shows an operational surplus of £767k (£279k in 2021). Weaker investment performance in 2022 resulted in investments and the pension fund showing a loss of £494k in line with economic trends. The final surplus for 2022 was therefore £273k against £442k in 2021, and the fund balance carried forward was £3.289m (£3.016m in 2021).
  • The Balance Sheet shows Property and Equipment up £66k, reflecting investment in the website, investments down £296k reflecting the stock market, and debtors up £274k in line with increased income. Cash at £234k reflects the full repayment of the £500k received from the Government Coronavirus Business Interruption Loan. Overall, Net Assets are up £273k.
  • Governance: part of the remit of the Finance Risk Audit and Governance (FRAG) Committee, was reviewed in 2022, led by Board Member Dave Cooper. The review confirmed that processes are robust and reviews should be ongoing and iterative rather than periodic (5 times a year in the past). Dave Cooper has joined FRAG and Governance is now discussed at every meeting. A review is under way into the processes and management of documentation and version control.

Kevin Mitchell invited questions: 

  • Chris Jones wondered about CIBSE’s investment strategy and appetite for risk. Vince Arnold advised that the Board had moved all its investments into an ethical fund because it was felt to be the right action to take and to be consistent with the aims of the Institution.
  • Mike Smith enquired about research spending, noting that an accumulated surplus was available to increase spending. Kevin Mitchell advised that CIBSE was prudent in how it spent the fund and that much research is multi-year and not shown in current figures. Ted Pilbeam commented that the surplus is being gradually committed: for example, Weather Data research is a major commitment over the coming years and, with volunteers very time-constrained, new and revised guidance often requires external authoring spends.
  • Geoff Prudence requested that more detail on Society and Group expenditure be made available so that the examples of those that are more active or creative can be shared. Kevin Mitchell confirmed that this would be done through the Societies and Groups meeting.

The proposal put forward by Vince Arnold to appoint Crowe UK LLP as auditors for the financial year 2023 was passed unanimously.

Special resolution
The second proposal put forward by Vince Arnold for the annual membership rates for the financial year 2024 was passed unanimously.

Board and Council for 2023-24
Ruth Carter announced the Officers, Board and Council Members for the forthcoming year.

President: Adrian Catchpole
President-elect: Fiona Cousins
Honorary treasurer: Vince Arnold
Immediate past president: Kevin Mitchell
Vice-presidents: Les Copeland, Laura Mansel-Thomas, Dave Cooper
Continuing Board members: Lionel James, Ruth Kelly-Waskett,
David Stevens. Newly elected Board members: Mike Burton, Mark Walker
Newly elected Council members: Peter Anderson, Aleksandra Krstanovic, Emeka Osaji

Any other business
Kevin Mitchell thanked departing Board members Kevin Kelly and PL Yuen for their dedication, commitment and contribution to the development of the Institution and to Building Services Engineering as a profession. He then formally concluded the AGM