Financial procedures

Financial procedures

These regulations provide a framework of rules and procedures to assist the organisation achieve legal compliance and high standards of good governance.

Meeting legal requirements

An accounting system will be maintained by the designated Finance Worker; with overview provided by the Treasurer.

At the direction of the Board, the Treasurer will convene a finance sub-committee to review compliance with procedures and legal requirements, and to monitor and review financial performance.

Accounts will be prepared annually and submitted for scrutiny by an independent examiner or auditor.

Annual Accounts will be circulated to members ahead of the Annual General Meeting, where they will be formally approved.

A reserves policy will determine the restrictions on funds to meet future liabilities and development needs.

The Company Secretary will file an Annual Return and Accounts, made up to the end of March.

Record keeping

The Finance Worker will be responsible for maintaining all financial records.

The Treasurer will carry out record checks on a regular basis.

Purchasing & Budgetary control

Annual budgets are set by by the Treasurer for approval by the Board, and any subsequent transfers (virements) must also be approved by the Board.

Designated budget holders will be responsible for authorising expenditure and managing their budgets.

A budget monitoring report will be presented at each Board meeting.

Purchases that are non routine may be authorised by staff provided that, where practical, it is a team decision; and that the amount does not exceed £200. In an emergency, expenditure between £201-£500 may be authorised by the Treasurer.

Incoming invoices must receive authorisation before processing for payment by the Finance Worker.

Contractual arrangements with suppliers must be authorised by the Board.

Incoming deliveries must be checked against the order/invoice.

Banking arrangements and cheques

The Finance Worker will be responsible for setting up all online banking transactions, with BACS being the preferred method of payment.

All payments will require a second authorisation.

All cheque payments require two signatures.

All invoices will be paid within 30 days or earlier if reasonable terms are requested.

The Finance Worker will bank any incoming cheques immediately.

The Finance Worker will carry out a bank reconciliation exercise at the end of each month.

Protection against fraud and theft

The Board and staff will be made aware of the potential risks from financial crime and abuse of position.

A Whistleblowing policy will provide guidelines on how to report incidents of suspected fraudulent practice.

The designated Office Manager will be responsible for ensuring the secure storage of cheque book, debit card and petty cash float.

Acceptance of any donation, or hospitality, with a value exceeding £100, must be approved by the Board.

Payment of Salaries & Expenses

On verification of hours worked, the Finance Worker will ensure that salary payments are released in time to clear the employees’ bank accounts by no later than the end of each calendar month. This does not apply to December’s salary payments, which are to be cleared in time for the Christmas holiday.

All expenses claims must be made in line with the procedure set out in the Expenses Policy.

Unless impractical, all payment claims are to be settled by BACS payment. No payments are to be made from incoming cash.


The pricing policy for any services offered must be approved by the Board, or Officers where this is not practical.

All services supplied will require an invoice to be raised by either the Finance Worker or Treasurer.

The Finance Worker is responsible for the collection of outstanding debts.

Holding and managing third party funds

In circumstances where member groups are unable to receive funds directly, it will be permissable, subject to Board approval, for Operational Staff to oversee the receipt of funds into the PVCSE bank account for safekeeping and disbursement.

Such funds will be accounted for separately, but will remain subject to PVCSE standard procedures, i.e. all claims must be accompanied by the appropriate invoices or receipts.

Member groups using this facility may be required to sign our terms and conditions declaration.

Asset Management

An Asset Register will be created to log all appropriate equipment expenditure, including: date of purchase, cost, serial number and where the asset is kept.


The Board may from time to time amend this policy.

PVCSE has an aspiration to create free reserves of three months of annual expenditure. Reserves will be built up through: 

  1. Sales and trade in income generating activity (eg management fees on discrete pieces of work; training provision beyond that provided as part of the PCC contract) 

  2. Agreed surplus with those purchasing services (eg surplus added into tenders) 

  3. Agreed savings and underspends – where the funder, grant maker or investor approves the underspend remains with PVCSE and where there is no tie or restriction on that money 

All claims should be made on PVCSE expenses claim forms and must have valid receipts attached 

Travel rates 

Car use includes mileage and wear and tear and will be paid at the following rates 

  • 45 per mile if the journey total is 20 miles or below 

  • 30p per mile if the journey total exceeds 21 miles 

  • Bicycle use is paid at 20p per mile 

Use of taxis 

It is recognised that sometimes staff will use a combination of public transport and taxi. Any single taxi journey above £25 should be authorised by your line manager prior to the journey. 

Travel time 

Travel time is accepted as part of the working day (and therefore paid in wages) for Plymouth and Devon based work. Any longer journeys must be discussed and approved by your line manager, as to whether these are journeys made within work time 


At PVCSE it is very rare that our work extends to lengthy journeys and overnight stays; however in the case of attending conferences and events, the following applies, subject to budgets: 

  • All travel and overnight accommodation expenses are met by PVCSE 

  • Breakfast and lunch can be claimed at £6 per meal and an evening meal at £12 [Note: any meal expenses paid will only be reimbursed where the work is away from the usual base and is 4 hours or longer in duration] 

  • Alcohol bought and consumed at such events will not be paid for by PVCSE 

Other out of pocket expenses 

PVCSE will pay for other items – of stationery, photocopying done off site etc where this is reasonable; however approval must be sought from your line manager for any single items over £20 purchased in this way. 


PVCSE accepts that occasional hospitality will be incurred, for example refreshments at shorter and specific meetings, when hosting a meeting, during induction meetings. PVCSE retains the right to challenge and or not pay these claims if the reason or explanation is not accepted. 

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