REGISTERED COMPANY NUMBER: |
REGISTERED CHARITY NUMBER: |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED |
31 MARCH 2023 |
FOR |
TAI PAWB |
REGISTERED COMPANY NUMBER: |
REGISTERED CHARITY NUMBER: |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED |
31 MARCH 2023 |
FOR |
TAI PAWB |
TAI PAWB |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MARCH 2023 |
Page |
Reference and Administrative Details | 1 |
Report of the Trustees | 2 | to | 8 |
Report of the Independent Auditors | 9 | to | 11 |
Statement of Financial Activities | 12 |
Statement of Financial Position | 13 |
Statement of Cash Flows | 14 |
Notes to the Statement of Cash Flows | 15 |
Notes to the Financial Statements | 16 | to | 28 |
TAI PAWB |
REFERENCE AND ADMINISTRATIVE DETAILS |
FOR THE YEAR ENDED 31 MARCH 2023 |
TRUSTEES |
REGISTERED OFFICE |
REGISTERED COMPANY NUMBER |
REGISTERED CHARITY NUMBER |
INDEPENDENT AUDITORS |
Chartered Accountants |
And Statutory Auditors |
Ground Floor Cardigan House |
Castle Court |
Swansea Enterprise Park |
Swansea |
SA7 9LA |
TAI PAWB (REGISTERED NUMBER: 05282554) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 31 MARCH 2023 |
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2023. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). |
OBJECTIVES AND ACTIVITIES |
Objectives and aims |
Tai Pawb's objectives are contained in its Constitution. Its key objective is |
"..to promote equality and diversity in the provision of housing in Wales, in particular social housing, for the benefit of the public in Wales by the elimination of discrimination on the grounds of race, age, disability, gender, transgender, sexual orientation or religion or belief." |
The organisation's Strategic Plan 2021-2026 contains the following: |
Vision |
- | A Wales where everyone has the right to a good home. |
What we do |
- | We advance equality, diversity social justice in housing in Wales |
Strategic Objectives and Priorities |
Tai Pawb works to 3 strategic objectives and relevant corresponding priorities: |
Shape the change |
- | Campaign for a legal right to housing in Wales |
- | Help build an anti-racist Wales |
- | Champion disabled people's housing rights |
- | Promote LGBTQ+ rights |
- | Champion equal rights for homeless and vulnerably housed people |
- | Advocate an equitable response to the climate emergency |
Make the change |
- | Broaden the reach and impact of our transformational QED Award |
- | Focus on cultural change |
- | Amplify our message |
- | Increase connection with members |
- | Embed lived experience in our work |
Be the change |
- | Lead by example |
- | Become more agile and reflective |
- | Nurture new and existing partnerships |
- | Grow our capacity to deliver |
TAI PAWB (REGISTERED NUMBER: 05282554) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 31 MARCH 2023 |
OBJECTIVES AND ACTIVITIES |
Key Achievements |
Shape the change |
Campaigning for a legal right to housing in Wales |
- | Publication Cost-benefit analysis of the right to housing leading to a Senedd Inquiry into the Right to Adequate Housing |
- | Significant Input into Welsh Government Legislative Options Working Group developing proposals for a Wales Human Rights Bill |
Champion disabled people's housing rights |
- | Partnership work with TPAS Cymru and disabled tenants on feeding into Welsh Government decarbonisation agenda with relation to accessible housing |
- | Presentation to Cross Party Group on Muscular Dystrophy on Right to Housing and Disability |
Help build an anti-racist Wales |
- | Successfully securing funding and recruitment of Anti-racism Manager to help Welsh Government and sector implement Anti-racist Wales Action Plan |
- | Continuation of engagement, support and good practice exchange for organisations who pledged to end racial inequality in housing under our Deeds not Words Pledge |
- | Launch of Deeds not Words Sector Survey with over 800 responses from sector employees |
- | Successful Deeds not Words Day of Action on social media |
- | Deeds not Words panel contributions to sector events providing leadership and challenge on Anti-racism |
Promote LGBTQ+ rights |
- | Successful sector survey on LGBTQ older people inclusion with findings launched and further partnership work with EROSH |
- | Significant awareness raising activity via social media, resource newsletters and bespoke member sessions |
- | Launched research of LGBTQ+ people's homelessness experiences in Gwent which won Wales Online Diversity and Inclusion Award |
Champion equal rights for homeless and vulnerably housed people |
- | First refugees housed in accommodation supported through our Building a Nation of |
- | Significant increase in capacity of partner refugee organisations supported through Tai Pawb coaching |
- | Launched PRS Champions Project as part of Gwent Boost Consortium |
- | Establishment of Race Stakeholder Group under Ending Homelessness National Advisory Board |
- | Advice, feedback and scrutiny through Welsh Government Ending Homelessness National Advisory Board focusing on embedding EDI into ending homelessness plans and frameworks |
- | Significant contribution to the Expert Homelessness Review Legislation Panel |
- | Research report into the Experiences of Homelessness of People with Protected Characteristics feeding into the review of legislation |
Advocate equitable response to climate emergency |
- | Successful survey of good practice in organisations implementing recommendations of Tai Pawb and TPAS Cymru FLOORED report. |
- | Significant contribution to development of research into equitable response to climate emergency in the housing sector in Wales |
- | Contribution to the work of Net Zero working group with Welsh Government, with input from disabled tenants |
Make the change |
Broaden the reach and impact of our transformational QED Award |
- | Development of draft QED Leaders Framework and pilot commenced with Melin Homes |
- | RHA Wales and First Choice achieved QED Award following substantial work on accreditation with Tai Pawb |
- | Continual improvements to QED process following annual reviews and feedback |
TAI PAWB (REGISTERED NUMBER: 05282554) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 31 MARCH 2023 |
OBJECTIVES AND ACTIVITIES |
Focus on cultural change |
- | Development of thematic member resource mailers linked to significant dates in EDI calendar |
- | Focused on organisational culture in our Deeds Not Words survey questions and report, including significant good practice and guidance in the report |
Amplify our message |
- | Increased mailing list subscription by 250 subscribers |
- | Sent out 6 newsletters, 5 thematic briefings and 47 bulk mailers on EDI to the sector |
- | 234 inputs into Welsh Government Policy, 38 into Senedd work |
- | 34 changes adopted in Welsh Government Policy as a result of our work |
Increase connection with members |
- | Answered 207 helpline inquiries, completed 47 training sessions and 17 consultancy pieces, delivered 10 events |
- | Significant training impact with 60% increase in confidence post training |
- | 547 people attended our training, 364 people attended events |
- | Increased membership to 77 members and engaged with 97% of our membership |
Embed lived experience in our work |
- | Engaged 154 people with lived experience of inequality in our work via training, focus groups, sessions and as speakers |
- | Started developing Tai Pawb principles on lived experience |
Be the change |
Lead by example |
- | Conducted ESG review resulting in an action plan |
- | Developed new Welsh Language Scheme |
- | Reviewed wellbeing offer in Tai Pawb and piloted wellbeing days |
- | Carried out Lumina Spark psychometric testing and team sessions to build connections |
- | Completed Breathworks Mindfulness for Stress programme with the team |
Become more agile and reflective |
- | Reviewed wellbeing offer in Tai Pawb and piloted wellbeing days |
- | Carried out Lumina Spark psychometric testing and team sessions to build connections |
- | Completed Breathworks Mindfulness for Stress programme with the team |
Nurture new and existing partnerships |
- | Continued working together with our highly effective Back the Bill coalition alongside CIH Cymru and Shelter Cymru |
- | Developed new partnerships and joint programmes of work with Open University, TPAS Cymru and Victim Support |
Grow our capacity to deliver |
- | Secured funding for Anti-racist Wales Project (WG), PRS Champions Project (National Lottery) and Experts by Experience Homelessness Research (WG), Hate Crime e-learning (RSW) |
- | Welcomed 2 new colleagues to the team to help us further our objectives more effectively and increase capacity |
- | Developed e-learning course for Rent Smart Wales in partnership with Victim Support |
- | Continued work on developing an e-learning offer |
- | Developed new membership benefits and fees structure in readiness for 2023 with all online events free |
STRATEGIC REPORT |
Financial position |
Total income for the year to 31 March 2023 was £555,209 (2022: £439,314). The expenditure for the year totalled £484,703 (2022: £398,629), leaving a net surplus for the year of £70,506 before the movement on the defined benefit pension scheme. Actuarial losses on the defined benefit pension scheme provision of £26,000 (2022: £112,000 gains) has been reported. |
TAI PAWB (REGISTERED NUMBER: 05282554) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 31 MARCH 2023 |
STRATEGIC REPORT |
Financial review |
Principal funding sources |
Tai Pawb continues to supplement core funding with income from membership fees, training, consultancy and Tai Pawb events. |
This year saw significant actions towards greater financial sustainability including securing further funding from Welsh Government (see above) and National Lottery, further development of e-learning offer and review of membership benefits and fees. |
Despite reduction in income from some services following Covid-19 pandemic, Tai Pawb had a fantastic financial result owing to: increasing membership income and securing partnership grant funding and commissions. |
Investment policy |
Investments are ruled by policies contained in Tai Pawb finance handbook and the Memorandum and Articles of Association. |
Reserves policy |
Tai Pawb continues to have a reserves policy and to hold reserves. The organisation's reserves policy aims to mitigate against closure and invests in strategic development costs. The amount of reserves should cover 5 months net operating costs plus closure costs. |
Organisation's balance sheet also reflects its liabilities in terms of participation in Social Housing Pension Scheme. The organisation had a sufficient level of designated reserves in accordance with the policy at the end of March 2023. Trustees are closely monitoring the ongoing effect of Social Housing Pension Scheme liabilities and its impact on reserves. Tai Pawb sets aside a designated reserve to reflect the long term, not immediately payable effects of the Social Housing Pension Scheme liability. On a day to day basis it ensures that contributions required to the fund are included within budgets and factored within medium term plans. Likewise it considers the associated risks as part of its ongoing risk management, and receives periodic review by the Board as a specific topic. |
Reserves policy is shared and reviewed by the trustees each year ahead of year end to ensure sufficient level and appropriate use of reserves. The policy was last reviewed in February 2021 with a new provision that additional funds may also be designated for setting off actuarial gains against possible future losses on the Social Housing Pension Scheme. |
Social Housing Pension Scheme |
Following the actuarial valuation which lead to a significant increase in Tai Pawb's share of liabilities as well as past deficit contributions the board continued to oversee work aimed at offsetting and/or reducing liabilities. |
This can be summarised as follows: |
- | Financial advice from Quantum and support with providing information to former employees eligible for cash benefits |
- | Close monitoring of financial plans and reporting |
- | Review of membership benefits and fees with a view towards more sustainable income source |
- | Development of plans for new income source: e-learning |
Social housing pension scheme continues to be monitored by the board as a standalone risk (see below) with pension update being a standing agenda item in senior management team's board report at each board meeting. |
Plans for Future Periods |
These plans are outlined in our new Strategy 2021-2026 and Business plan. Internally this is supplemented by Work Plan which is developed on an annual basis. |
TAI PAWB (REGISTERED NUMBER: 05282554) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 31 MARCH 2023 |
STRUCTURE, GOVERNANCE AND MANAGEMENT |
Governance Structure |
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. |
The charity's governance structure is supported by its constitution document, the Memorandum and Articles of Association and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. |
The charity has a membership structure consisting of categories of membership, with these being Supporters, Affiliates, Commercial, Full Members. |
The charity's board of trustees can have at least nine and no more than eighteen members, all of whom must be over the age of eighteen. |
Each category of membership has been allocated a specific number of seats on the Board. Where a specific expertise gap is identified, further trustees can be appointed as co-optees, where members have full voting rights. |
The number of places allocated to each category of membership is detailed below: |
Number of Seats |
Category of Membership | Available |
Supporters | 3 |
Affiliate (Third Sector) | 4 |
Full Member (Local Authorities) | 2 |
Full Member (Registered Social Landlords) | 2 |
Affiliate (Other Housing Interests) | 1 |
Co-optees (Recruited for specific skills etc.) | 6 |
TOTAL NUMBER OF SEATS | 18 |
Annual General Meeting |
Tai Pawb held its Annual General Meeting on 28 November 2022. The audited accounts were presented to the Board by the independent auditors at the Board meeting. |
The Chair and CEO went through their respective reports with regards to Tai Pawb's activities in the preceding year. |
Trustee Induction and Training |
The trustees attend a number of Board meetings on a regular basis. Tai Pawb holds events and seminars across Wales and some of Tai Pawb's Board members attend these events to increase their knowledge and experience around equality and diversity issues. All new trustees are inducted and encouraged to attend WCVA trustee and other courses. |
TAI PAWB (REGISTERED NUMBER: 05282554) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 31 MARCH 2023 |
STRUCTURE, GOVERNANCE AND MANAGEMENT |
Risk management |
The board continued to review risk on a quarterly basis with reports on progress and changes to risk register from senior management team who are responsible for the day to day risk management. Risks are split into corporate and practice related risks. |
At the end of the financial year Tai Pawb had 17 risks noted in the register. Residual risk for 5 risks is low, for 12 risks is medium with no risks rated as high |
In March 2023 the board considered and developed a new framework which describes the organisations approach to risk appetite. This will enable the board and stuff to better consider key risks and control measures relating to different areas of operation and governance. |
Tai Pawb's Risk Management Policy and Procedure has also been reviewed this year, improving and clarifying some of the processes used by the organisation |
The board has also introduced a new policy monitoring process, whereby progress on policy reviews is tracked and reported on at each board meeting. |
This year the organisations has also commissioned a new rolling Health and Safety Audit and Support service from Worknest. |
Management |
The Board of Trustees managed members of staff comprising Chief Executive Officer, Head of Business, Head of Policies and Public Affairs, Policy Manager, Membership Manager, Membership Officer, Funding and Partnerships Manager, Housing Development manager, PRS Champions Manager, Communications and Marketing Officer, Finance and Administration Officer. CEO and Senior Management Team work with the oversight from the board of trustees to support them in the fulfilment of their obligations, in determining and reviewing the organisation's strategic direction and providing assurance on Tai Pawb's activities, governance and risk. Regular contact is maintained with the chair who holds 121 meetings with the CEO between board meetings. |
This is also done in consultation with staff, where the CEO has responsibility for overseeing the operational management of aspects of Tai Pawb together with the Senior Management Team comprising of Head of Business and Head of Policy and Public Affairs. |
Throughout 2022-2023 all staff were working via a hybrid model with access to part time office and working from home. |
STATEMENT OF TRUSTEES' RESPONSIBILITIES |
The trustees (who are also the directors of Tai Pawb for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland". |
Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to |
- | select suitable accounting policies and then apply them consistently; |
- | observe the methods and principles in the Charity SORP; |
- | make judgements and estimates that are reasonable and prudent; |
- | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. |
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
TAI PAWB (REGISTERED NUMBER: 05282554) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 31 MARCH 2023 |
STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued |
In so far as the trustees are aware: |
- | there is no relevant audit information of which the charitable company's auditors are unaware; and |
- | the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information. |
AUDITORS |
Bevan Buckland LLP were appointed as the charitable company's auditors. |
Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
TAI PAWB |
Opinion |
We have audited the financial statements of Tai Pawb (the 'charitable company') for the year ended 31 March 2023 which comprise the Statement of Financial Activities, the Statement of Financial Position, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. |
In our opinion the financial statements: |
- | give a true and fair view of the state of the charitable company's affairs as at 31 March 2023 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable 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 trustees' 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 charitable 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 trustees with respect to going concern are described in the relevant sections of this report. |
Other information |
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon. |
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. |
In connection with our audit of the financial statements, 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 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 the audit: |
- | the information given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Report of the Trustees has been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of trustees' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
TAI PAWB |
Responsibilities of trustees |
As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) 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 trustees 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 trustees are responsible for assessing the charitable 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 trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. |
Our 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 a Report of the Independent Auditors 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Extent to which the audit was considered capable of detecting irregularities, including fraud |
We identify and assess the risks of material misstatement of the Financial Statements, whether due to fraud or error, and then, design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. |
We discussed our audit independence complying with the Revised Ethical Standard 2019 with the engagement team members whilst planning the audit and continually monitored our independence throughout the process. |
Identifying and assessing potential risks related to irregularities. |
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following: |
- | enquiring of management, including obtaining and reviewing supporting documentation, concerning the Charity's policies and procedures relating to: |
- | identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance; |
- | detecting and responding to the risks of fraud and whether they have knowledge of any actual. suspected or alleged fraud; |
- | the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations; |
- | discussing among the engagement team how and where fraud might occur in the financial statements and any potential indicators of fraud. |
- | obtaining an understanding of the legal and regulatory frameworks that the Charity operates in, focusing on those laws and regulations that had a direct effect on the financial statements or that had a fundamental effect on the operations of the Charity, The key laws and regulations we considered in this context included the UK Companies Act and relevant tax legislation. |
Audit response to risks identified |
In addition to the above, our procedures to respond to risks identified included the following: |
- | reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with relevant laws and regulations; |
- | enquiring of management concerning actual and potential litigation and claims; performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; |
- | reading minutes of meetings of those charged with governance; |
- | in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; |
- | assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and |
- | evaluating the operational rationale of any significant transactions that are unusual or outside the normal course of operations. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
TAI PAWB |
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors. |
Use of our report |
This report is made solely to the charitable 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 charitable company's members those matters we are required to state to them in an auditors' 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 charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
And Statutory Auditors |
Castle Court |
Swansea Enterprise Park |
Swansea |
SA7 9LA |
TAI PAWB |
STATEMENT OF FINANCIAL ACTIVITIES |
(INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) |
FOR THE YEAR ENDED 31 MARCH 2023 |
2023 | 2022 |
Unrestricted | Restricted | Total | Total |
funds | funds | funds | funds |
Notes | £ | £ | £ | £ |
INCOME AND ENDOWMENTS FROM |
Charitable activities | 5 |
Investment income | 4 |
Other income |
Total |
EXPENDITURE ON |
Charitable activities | 6 |
NET INCOME/(EXPENDITURE) | ( | ) |
Other recognised gains/(losses) |
Actuarial gains/(losses) on defined benefit schemes | ( | ) | ( | ) |
Net movement in funds | ( | ) |
RECONCILIATION OF FUNDS |
Total funds brought forward |
TOTAL FUNDS CARRIED FORWARD | 283,953 |
TAI PAWB (REGISTERED NUMBER: 05282554) |
STATEMENT OF FINANCIAL POSITION |
31 MARCH 2023 |
2023 | 2022 |
Unrestricted | Restricted | Total | Total |
funds | funds | funds | funds |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 12 |
Tangible assets | 13 |
CURRENT ASSETS |
Debtors | 14 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 15 | ( | ) | ( | ) | ( | ) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PENSION LIABILITY | 18 | ( | ) | ( | ) | ( | ) |
NET ASSETS |
FUNDS | 17 |
Unrestricted funds | 249,894 |
Restricted funds | 34,059 |
TOTAL FUNDS | 283,953 |
The financial statements were approved by the Board of Trustees and authorised for issue on |
TAI PAWB |
STATEMENT OF CASH FLOWS |
FOR THE YEAR ENDED 31 MARCH 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 25,859 | 19,652 |
Net cash provided by operating activities | 25,859 | 19,652 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (5,424 | ) | - |
Interest received | 503 | 640 |
Net cash (used in)/provided by investing activities | (4,921 | ) | 640 |
Change in cash and cash equivalents in the reporting period | 20,938 | 20,292 |
Cash and cash equivalents at the beginning of the reporting period | 285,576 | 265,284 |
Cash and cash equivalents at the end of the reporting period | 306,514 | 285,576 |
TAI PAWB |
NOTES TO THE STATEMENT OF CASH FLOWS |
FOR THE YEAR ENDED 31 MARCH 2023 |
1. | RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES |
2023 | 2022 |
£ | £ |
Net income for the reporting period (as per the Statement of Financial Activities) | 70,506 | 40,685 |
Adjustments for: |
Depreciation charges | 2,038 | 2,069 |
Interest received | (503 | ) | (640 | ) |
Increase in debtors | (27,482 | ) | (21,594 | ) |
(Decrease)/increase in creditors | (2,700 | ) | 6,132 |
Difference between pension charge and cash contributions | (16,000 | ) | (7,000 | ) |
Net cash provided by operations | 25,859 | 19,652 |
2. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.4.22 | Cash flow | At 31.3.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 285,576 | 20,938 | 306,514 |
285,576 | 20,938 | 306,514 |
Total | 285,576 | 20,938 | 306,514 |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MARCH 2023 |
1. | STATUTORY INFORMATION |
Tai Pawb is a charitable company, limited by guarantee, registered in England and Wales. The charity's registered number and registered office address can be found on the Reference and Administrative Details page. |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements and going concern |
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. |
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern. |
Income recognition |
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably. |
Income from government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. |
Membership income is recognised when invoices for membership fees are invoiced to the members. For existing members this would be the 1 April, and for new members this would be the date of application. |
Training income is recognised when the Charity has entitlement to it which would generally be when the training course has been performed. |
Donations are recognised when the Charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period. |
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank. |
Expenditure |
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured |
at cost less any accumulated amortisation and any accumulated impairment losses. |
Website costs are being amortised evenly over its estimated useful life of 4 years. Computer software is being amortised evenly over its estimated useful life of 5 years. |
Tangible fixed assets |
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. |
Computer equipment | - |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
|
Corporation taxation |
The charity is exempt from corporation tax on its charitable activities. |
Debtors |
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. |
Cash at bank and in hand |
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. |
Creditors and provisions |
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. |
Fund accounting |
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. |
Designated funds are unrestricted funds earmarked by the trustees.for particular purposes falling in future time periods. |
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. |
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. |
Pension costs and other post-retirement benefits |
The charity has obligations to pay pension benefits to certain employees. The pension accounting disclosure for this scheme has changed from a Present Value Approach to a Defined Benefit Approach in this financial year. This is due to sufficient information now available for an employer in SHPS to account for its obligation on a Defined Benefit basis (i.e. stating assets and obligations). |
For defined benefit schemes the amounts charged to the Statement of Financial Activities are the current service costs and gains and losses on settlements and curtailments. They are included as part of staff costs. Past service costs are recognised immediately in the Statement of Financial Activities if the benefits have vested. If the benefits have not vested immediately, the costs are recognised over the period until vesting occurs. The interest cost and expected return on assets are shown as a net amount of other finance costs or credits adjacent to interest. Actuarial gains and losses are recognised immediately in the Statement of Financial Activities. |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
2. | ACCOUNTING POLICIES - continued |
Pension costs and other post-retirement benefits |
Defined benefit schemes are funded, with the assets of the scheme held separately from those of the charity, in separate trustee administered funds. Pension scheme assets are measured at fair value and liabilities are measured on an actuarial basis using the projected unit method and discounted at a rate equivalent to the current rate of return on a high quality corporate bond of equivalent currency and term to the scheme liabilities. The actuarial valuations are obtained at least triennially and are updated at each balance sheet date. The resulting defined benefit asset or liability, net of the related deferred tax, is presented separately after other net assets on the face of the balance sheet. |
Operating leases |
Rentals paid under operating leases are charged to the SOFA on a straight line basis over the period of the lease. |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
The preparation of the financial statements requires management to make judgments, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgments about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results in the future may differ from these estimates. |
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 and in any future periods affected. |
Pension scheme assets are measured at fair value and liabilities are measured on an actuarial basis using the projected unit method and discounted at a rate equivalent to the current rate of return on a high quality corporate bond of equivalent currency and term to the scheme liabilities. The actuarial valuations are obtained at least triennially and are updated at each balance sheet date. The resulting defined benefit asset or liability, net of the related deferred tax, is presented separately after other net assets on the face of the balance sheet. |
Estimation Uncertainty |
The charity makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. Management consider their to be no estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year. |
4. | INVESTMENT INCOME |
2023 | 2022 |
£ | £ |
Bank account interest |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
5. | INCOME FROM CHARITABLE ACTIVITIES |
2023 | 2022 |
Activity | £ | £ |
Membership fees | Membership Fees | 72,409 | 68,062 |
Membership fees | Charitable Activities | 296 | 1,924 |
Conference and other events | Charitable Activities | 11,225 | 4,810 |
Grants | Charitable Activities | 408,600 | 309,011 |
Consultancy fees | Charitable Activities | 14,000 | 2,750 |
Training | Charitable Activities | 34,705 | 32,119 |
Grants received, included in the above, are as follows: |
2023 | 2022 |
£ | £ |
Welsh Government Grant | 208,075 | 193,340 |
Rayne Foundation | - | 400 |
Oak Foundation | 107,043 | 64,000 |
WCVA | 9,624 | 28,871 |
Comic Relief | 48,495 | 21,600 |
The Wallich | 35,363 | - |
408,600 | 308,211 |
6. | CHARITABLE ACTIVITIES COSTS |
Support |
Direct | costs (see |
Costs | note 7) | Totals |
£ | £ | £ |
Charitable Activities | 424,757 | 59,946 | 484,703 |
7. | SUPPORT COSTS |
Support |
Finance | costs | Totals |
£ | £ | £ |
Charitable Activities | 281 | 59,665 | 59,946 |
8. | NET INCOME/(EXPENDITURE) |
Net income/(expenditure) is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Auditors' remuneration | 5,874 | 5,197 |
Auditors' remuneration for non audit work | 1,429 | 1,228 |
Depreciation - owned assets |
Computer software amortisation |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
9. | TRUSTEES' REMUNERATION AND BENEFITS |
There were no trustees' remuneration or other benefits for the year ended 31 March 2023 nor for the year ended 31 March 2022. |
Trustees' expenses |
One trustee received a reimbursement of travel and subsistence expenses totalling £159 (2022: £Nil) |
10. | STAFF COSTS |
2023 | 2022 |
£ | £ |
Wages and salaries |
Other pension costs |
335,953 | 269,078 |
The average monthly number of employees during the year was as follows: |
2023 | 2022 |
Senior management team | 3 | 3 |
Office staff | 7 | 6 |
During the year salaries of £116,844 (2022: £107,132) were paid to key management. |
11. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES |
Unrestricted | Restricted | Total |
funds | funds | funds |
£ | £ | £ |
INCOME AND ENDOWMENTS FROM |
Charitable activities |
Investment income |
Other income |
Total |
EXPENDITURE ON |
Charitable activities |
NET INCOME |
Transfers between funds | (1,943 | ) | 1,943 | - |
Other recognised gains/(losses) |
Actuarial gains on defined benefit schemes |
Net movement in funds |
RECONCILIATION OF FUNDS |
Total funds brought forward | 131,268 | - |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
11. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued |
Unrestricted | Restricted | Total |
funds | funds | funds |
£ | £ | £ |
TOTAL FUNDS CARRIED FORWARD | 249,894 | 34,059 | 283,953 |
12. | INTANGIBLE FIXED ASSETS |
Website |
development | Computer |
costs | software | Totals |
£ | £ | £ |
COST |
At 1 April 2022 and 31 March 2023 |
AMORTISATION |
At 1 April 2022 |
Charge for year |
At 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
13. | TANGIBLE FIXED ASSETS |
Computer |
equipment |
£ |
COST |
At 1 April 2022 |
Additions |
At 31 March 2023 |
DEPRECIATION |
At 1 April 2022 |
Charge for year |
At 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
14. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Trade debtors |
Other debtors |
Prepayments |
15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Trade creditors |
Social security and other taxes |
Other creditors |
Accruals and deferred income |
16. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2023 | 2022 |
£ | £ |
Within one year |
Between one and five years |
17. | MOVEMENT IN FUNDS |
Net | Transfers |
movement | between | At |
At 1.4.22 | in funds | funds | 31.3.23 |
£ | £ | £ | £ |
Unrestricted funds |
General funds | 6,853 | 54,415 | (37,875 | ) | 23,393 |
Designated Funds | 240,500 | - | 34,489 | 274,989 |
Designated Capital Assets | 2,541 | - | 3,386 | 5,927 |
54,415 |
Restricted funds |
Comic Relief - Housing Justice Wales | 3,245 | 2,177 | - | 5,422 |
Public Health Wales | 1,943 | (1,943 | ) | - | - |
WCVA Third Sector Resilience | 28,871 | (28,871 | ) | - | - |
Help End Homelessness | - | 18,728 | - | 18,728 |
(9,909 | ) |
TOTAL FUNDS | 44,506 | 328,459 |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
17. | MOVEMENT IN FUNDS - continued |
Net movement in funds, included in the above are as follows: |
Incoming | Resources | Gains and | Movement |
resources | expended | losses | in funds |
£ | £ | £ | £ |
Unrestricted funds |
General funds | 461,727 | (381,312 | ) | (26,000 | ) | 54,415 |
Restricted funds |
Comic Relief - Housing Justice Wales | 48,495 | (46,318 | ) | - | 2,177 |
Public Health Wales | - | (1,943 | ) | - | (1,943 | ) |
WCVA Third Sector Resilience | 9,624 | (38,495 | ) | - | (28,871 | ) |
Help End Homelessness | 35,363 | (16,635 | ) | - | 18,728 |
( | ) | (9,909 | ) |
TOTAL FUNDS | ( | ) | ( | ) | 44,506 |
Comparatives for movement in funds |
Net | Transfers |
movement | between | At |
At 1.4.21 | in funds | funds | 31.3.22 |
£ | £ | £ | £ |
Unrestricted funds |
General funds | 8,144 | 122,638 | (123,928 | ) | 6,854 |
Designated Funds | 118,515 | - | 121,985 | 240,500 |
Designated Capital Assets | 4,609 | (2,069 | ) | - | 2,540 |
131,268 | 120,569 | (1,943 | ) | 249,894 |
Restricted funds |
Comic Relief - Housing Justice Wales | - | 3,245 | - | 3,245 |
Public Health Wales | - | - | 1,943 | 1,943 |
WCVA Third Sector Resilience | - | 28,871 | - | 28,871 |
- | 32,116 | 1,943 | 34,059 |
TOTAL FUNDS | 131,268 | 152,685 | - | 283,953 |
Comparative net movement in funds, included in the above are as follows: |
Incoming | Resources | Gains and | Movement |
resources | expended | losses | in funds |
£ | £ | £ | £ |
Unrestricted funds |
General funds | 388,843 | (378,205 | ) | 112,000 | 122,638 |
Designated Capital Assets | - | (2,069 | ) | - | (2,069 | ) |
388,843 | (380,274 | ) | 112,000 | 120,569 |
Restricted funds |
Comic Relief - Housing Justice Wales | 21,600 | (18,355 | ) | - | 3,245 |
WCVA Third Sector Resilience | 28,871 | - | - | 28,871 |
50,471 | (18,355 | ) | - | 32,116 |
TOTAL FUNDS | 439,314 | (398,629 | ) | 112,000 | 152,685 |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
17. | MOVEMENT IN FUNDS - continued |
A current year 12 months and prior year 12 months combined position is as follows: |
Net | Transfers |
movement | between | At |
At 1.4.21 | in funds | funds | 31.3.23 |
£ | £ | £ | £ |
Unrestricted funds |
General funds | 8,144 | 177,053 | (161,803 | ) | 23,394 |
Designated Funds | 118,515 | - | 156,474 | 274,989 |
Designated Capital Assets | 4,609 | (2,069 | ) | 3,386 | 5,926 |
131,268 | 174,984 | (1,943 | ) | 304,309 |
Restricted funds |
Comic Relief - Housing Justice Wales | - | 5,422 | - | 5,422 |
Public Health Wales | - | (1,943 | ) | 1,943 | - |
Help End Homelessness | - | 18,728 | - | 18,728 |
- | 22,207 | 1,943 | 24,150 |
TOTAL FUNDS | 131,268 | 197,191 | - | 328,459 |
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows: |
Incoming | Resources | Gains and | Movement |
resources | expended | losses | in funds |
£ | £ | £ | £ |
Unrestricted funds |
General funds | 850,570 | (759,517 | ) | 86,000 | 177,053 |
Designated Capital Assets | - | (2,069 | ) | - | (2,069 | ) |
850,570 | (761,586 | ) | 86,000 | 174,984 |
Restricted funds |
Comic Relief - Housing Justice Wales | 70,095 | (64,673 | ) | - | 5,422 |
Public Health Wales | - | (1,943 | ) | - | (1,943 | ) |
WCVA Third Sector Resilience | 38,495 | (38,495 | ) | - | - |
Help End Homelessness | 35,363 | (16,635 | ) | - | 18,728 |
143,953 | (121,746 | ) | - | 22,207 |
TOTAL FUNDS | 994,523 | (883,332 | ) | 86,000 | 197,191 |
Designated Funds |
The designated funds are made up as follows: |
2023 | 2022 |
£ | £ |
Net Running Costs | 72,046 | 94,135 |
Closure Costs | 37,363 | 37,365 |
Strategic Development Costs | 20,000 | 13,000 |
Pension Scheme Costs | 145,580 | 96,000 |
274,989 | 240,500 |
The net running costs represent over five months of the charity's expenditure, less membership fees. |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
17. | MOVEMENT IN FUNDS - continued |
Closure costs represent the total expenditure that would be incurred in the event of the charity ceasing to operate. The trustees have no current issues with the going concern of the charity but believe it is prudent to set aside this amount. |
Strategic development costs represents the funds set aside to help meet the charity's medium term strategic plan. |
Pension scheme costs represents funds set aside to help the charity meet the anticipated future losses in the pension scheme. |
18. | EMPLOYEE BENEFIT OBLIGATIONS |
The Pensions Trust - Social Housing Pension Scheme (SHPS) |
SHPS is a multi employer pension schemes which provides benefits to non- associated participating employers. The scheme is classed as a defined benefit scheme in the UK. The scheme is classified as 'last man standing' arrangement. Therefore each employer is liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme. |
FRS 102 requires that an employer participating in a Defined Benefit scheme should recognise: |
- a liability for its obligations under the scheme net of scheme assets and |
- the net change in that liability during the accounting period as the cost of the Defined Benefit scheme during the period |
The amounts recognised in the Statement of Financial Activities are as follows: |
Defined benefit |
pension plans |
2023 | 2022 |
£ | £ |
Current service cost | - | - |
Net interest from net defined benefit asset/liability | 2,000 | 2,000 |
Past service cost | - | - |
Expenses | 1,000 | 4,000 |
3,000 | 6,000 |
Actual return on plan assets | (431,000 | ) | 95,000 |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
18. | EMPLOYEE BENEFIT OBLIGATIONS - continued |
Changes in the present value of the defined benefit obligation are as follows: |
Defined benefit |
pension plans |
2023 | 2022 |
£ | £ |
Opening defined benefit obligation |
Interest cost |
Expenses | 2,000 | 2,000 |
Actuarial (gains)/losses from scheme experience | 8,000 | 42,000 |
Benefits paid | ( | ) | ( | ) |
Remeasurements: |
Actuarial (gains)/losses from changes in demographic assumptions | (1,000 | ) | (8,000 | ) |
Actuarial (gains)/losses from changes in financial assumptions | (232,000 | ) | (60,000 | ) |
Changes in the fair value of scheme assets are as follows: |
Defined benefit |
pension plans |
2023 | 2022 |
£ | £ |
Opening fair value of scheme assets |
Contributions by employer |
Interest income | 14,000 | 9,000 |
Benefits paid | ( | ) | ( | ) |
Return on plan assets (excluding interest income) | (251,000 | ) | 86,000 |
The amounts recognised in other recognised gains and losses are as follows: |
Defined benefit |
pension plans |
2023 | 2022 |
£ | £ |
Actuarial (gains)/losses from changes in demographic assumptions | 1,000 | 8,000 |
Actuarial (gains)/losses from changes in financial assumptions | 232,000 | 60,000 |
Return on plan assets (excluding interest income) | (251,000 | ) | 86,000 |
Actuarial gains/(losses) from scheme experience | (8,000 | ) | (42,000 | ) |
( | ) |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
18. | EMPLOYEE BENEFIT OBLIGATIONS - continued |
The major categories of scheme assets as amounts of total scheme assets are as follows: |
Defined benefit |
pension plans |
2023 | 2022 |
£ | £ |
Global Equity |
Absolute Return | 3,000 | 21,000 |
Credit Relative Value | 11,000 | 17,000 |
Emerging Markets Debt |
Risk Sharing | 21,000 | 17,000 |
Insurance-Linked Securities | 7,000 | 12,000 |
Property |
Infrastructure | 33,000 | 37,000 |
Corporate Bond Fund | - | 34,000 |
Secured Income | 13,000 | 19,000 |
Liability Driven Investment | 134,000 | 143,000 |
Other | 49,000 | 85,000 |
290,000 | 512,000 |
Included in Other are the following types of assets: Distressed Opportunities, Alternative Risk Premia, Private Debt, Opportunistic Illiquid credit, High Yield, Opportunistic Credit, Cash, Liquid Credit, Long Lease Property, Currency Hedging and Net Current Assets. |
None of the fair value of the assets shown include any direct investments in the employer's own financial instruments or any property occupied by, or other assets used by, the employer. |
Principal actuarial assumptions at the Statement of Financial Position date (expressed as weighted averages): |
2023 | 2022 |
Discount rate |
Salary growth |
RPI Inflation | 3.14% | 3.39% |
CPI Inflation | 2.83% | 3.11% |
The morality assumptions adopted at 31 March 2023 imply the following life expectancies: |
Life expectancy at | age 65 (years) |
Male retiring in 2023 | 21.0 |
Female retiring in 2023 | 23.4 |
Male retiring in 2043 | 22.2 |
Female retiring in 2043 | 24.9 |
The charity has been notified by the Trustee of the Scheme that it has performed a review of the changes made to the Scheme's benefits over the years and the result is that there is uncertainty surrounding some of these changes. The Trustee has been advised to seek clarification from the Court on these items. This process is ongoing and the matter is unlikely to be resolved before the end of 2024 at the earliest. It is recognised that this could potentially impact the value of Scheme liabilities, but until Court directions are received, it is not possible to calculate the impact of this issue, particularly on an individual employer basis, with any accuracy at this time. No adjustment has been made in these financial statements in respect of this potential issue. |
TAI PAWB |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
19. | RELATED PARTY DISCLOSURES |
During the year £56,932 was received from 9 organisations where Tai Pawb trustees are either trustees at these other organisations or hold positions of significant influence (2022 £42,656 was received from 12 organisations) . These fees were for membership subscriptions, training, consultancy and fees to attend seminars. All transactions were conducted at an arms length basis. |
20. | SHARE CAPITAL |
The charitable company is limited by guarantee and as such has no share capital. In the event of the charitable company being wound up, the liability of each member is limited to £1. |