The trustees present their annual report and financial statements for the year ended 30 April 2023.
The trustees present their report with the financial statements of the charity for the year ended 30 April 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).
Context
Prisons, devoid of rehabilitation, incubate crime. On 30th April 2023 there were 84,658 in prison in England and Wales. Under the Ministry of Justice’s own definition of safety and decency, the prison estate should not hold more than 76,808 people. Overcrowding militates against effective rehabilitation and is economically detrimental. The annual financial impact of recidivism in England & Wales is estimated to exceed £18 billion. Keeping just one person in prison costs an average of £48,000 per year. The personal and social costs are greater still as reoffending means more victims of crime. Clearly the current system isn’t working: The average prisoner in England & Wales has over 19 prior convictions. Short sentences (1 year or less) see reoffending rates above 63%, creating a revolving door effect. The Northeast has recorded the worst reoffending rates in England & Wales for over a decade. This can only be changed through the rehabilitative approach exemplified by The Oswin Projects crucial work.
The Oswin Project aims to reduce reoffending through a comprehensive programme of mentoring, training and paid work placement. We change perceptions, bringing together prison leavers, employers, and other key stakeholders at our impact events. Through our enterprise we enable prisoners to train and gain qualifications both in prison and on release. They also provide a funding stream which is gradually reducing our dependence on grants form trusts, foundations and individuals.
The Oswin Project capitalises on the rehabilitative potential of employment and training; not just providing work, but also the skills and attitudes to live an independent, crime-free life.
Prisoners/prison leavers join us at various points on their journey. We engage with serving prisoners through our partnership with HMP Northumberland, and prison leavers through continuing support, self-referrals, and referrals (e.g. jobcentre, probation, other charities). Initial meetings assess service user’s needs and help them develop their own goals. We then work together to establish the best way forward. We operate four main initiatives:
Directly Mentoring People with Criminal Records with Supported Access to External Employers and Training: providing CV development, help finding work (including through our network of employers), support accessing relevant training, and advice on disclosing criminal records to employers. Since April 2022 our mentor manager has worked directly with 74 individuals. 43 have been supported into employment or training and an additional 31 have been helped with writing disclosure statements.
Café 16 HMP Northumberland: Café 16 in HMP Northumberland is a café-bakery staffed by a team of prisoners, led by an experienced Café Manager and Assistant Manager. The café/bakery is based inside HMP Northumberland and serves prison staff and the prisons visitors’ centre. Over the last year team in the Prison have mentored, supported and trained over 35 people.
Café 16 in Newcastle Cathedral: Café 16 in Newcastle Cathedral builds a bridge of opportunity between prison and the workplace. Those trained in our prison café can “graduate” to the Cathedral Café on release, here, they can continue their training and receive additional support. We also offer ROTL (release on temporary licence) placements, in which serving prisoners can spend time working in our Cathedral Café to help acclimatise them to life outside prison in preparation for release. Baked goods sold in Café 16 in the Cathedral are produced in our HMP Northumberland site. Since March '22, our Newcastle Cathedral Café has employed 10 people with criminal records and provided short term work placements for a further 5 people and volunteering opportunities for 20. The Cafe is busier than ever, with takings in April up 50% compared with the same month last year.
Inside & Out: employs and trains prison leavers to undertake gardening, forestry, and property maintenance work. The team leader and deputy leader draw on their lived experience of the criminal justice system, which provides them with great insight into how best to engage and support prison leavers. Mirroring the synergy of our Café’s, those who will “graduate” from our Growing Out gardens in HMP Northumberland can continue their training while working as part of the Inside & Out team. This year the team’s focus has been on larger scale landscaping, forestry, building and maintenance work on rural estates in Northumberland. The team have recently completed 2 LANTRA qualifications; a 2-day chainsaw maintenance & cross cutting then a 5 day chainsaw basic tree felling. We have employed 6 people on the team since last year, with a further 5 offered short term work placements.
Whatever pathway is taken, the Oswin Project provides a tailored package of 1:1 support and mentoring. Where needs fall outside our area of expertise, (e.g., housing, mental health) we work with partner organisations to assure the best possible network of support. Our process is long term, typically working with individuals for over 6 months.
The goal is for service users to progress to employment outside of the Oswin Project, having gained the necessary personal skills to remain employed and avoid reoffending. We aim to support a minimum of 50 prisoners/prison leavers each year.
Changing Perceptions
We enhance the impact of our work through events aimed at advocacy and creating opportunities.
The Oswin Project Conference
Our employment conference brought together key stakeholders across criminal justice including employers, prison and probation staff, third sector organisations, and those with lived experience of criminal justice. The event consisted of idea sharing, networking, and reflections of the lived reality of the justice system. Delegates commented the event was “true collaboration and attention to detail at their best”, with another writing:
“As part of the probation service, it has been deeply insightful to see the extent to which education training and employment is an issue nowadays, and how we can all pull together to help fix this”.
Green Open Day
In collaboration with the New Futures Network, the first of our Green Open days advocated for the employment of prison leavers and prisoners (released on temporary licence) to address the shortfall of workers in agriculture. The event led to 165 jobs for prisoners and prison leavers at HMP North Sea Camp. In an article referencing the event, one delegate exemplified the change in perceptions the event sought to generate:
“Going to prison (to attend the event) has profoundly altered how I see the world… I realised the social benefits of creating work for offenders are even greater than the commercial ones” (Matthew Naylor – Farmers Weekly).
In June 2022 a similar event was held at HMP Kirkham, although it is too soon to measure the impact of the event.
Social impact
Our clients are supported by our mentor manger, team leaders and volunteers with relevant experience. Our robust monitoring and evaluation process is continually reviewed and developed. During the year April 2022- April 2023 the Oswin Project supported more than 75 people.
Nick's Story
Before joining the Oswin Project, Nick remembers feeling ‘nervous about the world and ashamed of my past. I could not see a way of progressing to integrate myself back into society’. He met an Oswin volunteer who talked to him about the Oswin Project and encouraged him to organise a meeting with the team. Nick started volunteering in Café 16 in the Cathedral, after a few sessions he wrote to the Mentor Manager. ‘I just wanted to let you know how much I enjoyed the Café on Saturday….I really felt I was making a contribution to something again’.
His confidence growing, Nick was prepared to try something new and started working with the Inside and Out team. Here he had to develop his ‘physical fitness and stamina (that I never had before)’. He recalls how the physical work helped with ‘anxiety and my confidence in what I am doing and what I can achieve’.
Nick has learnt new skills ‘I can now build and maintain walls, carry out forestry work (having achieved the appropriate qualifications for felling trees using a chainsaw), maintain gardens, drive larger vehicles and paint and decorate to a professional standard’. Not only is he an integral member of the team, Nick is also a great mentor and supporter to others. He tells us he has “lost the: it is beyond my capabilities attitude” and “learned that setbacks are temporary and just part of the journey, they are not the end of a journey,’
When asked what he had found most valuable when working with and the Oswin Project, he says:
‘Just being part of a team has had a positive effect of morale due to the camaraderie. However, talking issues through with people who are ready to listen is a big part of Oswin. Sometimes that’s all that’s needed. But, for when that’s not enough, advice about how to proceed/solve the problem (or where to go to get that advice) has been invaluable.’
Public benefit
The trustees are mindful of the legal requirement that all charities must have charitable purposes which are fit for public benefit. We will continue to build our activities ensuring they meet this requirement at the same time as contributing to our financial stability.
Funders 2022-23
Thanks are owed to all our private donors and for the grants received from the following:
Lloyds Bank Foundation for England & Wales, Bromley Trust, Sir James Knott Trust, The Worshipful Company of Drapers, Diana Ashcroft Charitable Trust, Tudor Trust, Vardy Foundation, CLA, WA Handley Trust, Charles Hayward Foundation, Roy & Pixie Baker Trust, Bernicia Group, Barbour Foundation, Garfield Weston Trust, G S May Family Fund, High Sheriff of Northumberland Youth Against Crime Award Scheme, North East ROIF through Probation, Badur Foundation, Christopher Rowbotham Charitable Trust, Kerry Grassroots Fund at the Community Foundation ,Pease Charitable Trust, The Hokey Cokey Fund at the Community Foundation, William Leech Trust, Wyfold Charitable Trust, L G Harris Trust, Newcastle Building Society at the Community Foundation, AB Charitable Trust, Hospital of God and 1777 Debtor's Relief Funds Charity.
Income for the year totalled £666,205 (2022: £372,531) with expenditure of £525,237 (2022: £417,618). At the year end the charity had total reserves of £334,359 (2022: £193,391) of which £170,639 (2022: £128,159) were classed as free reserves (unrestricted reserves not tied up in fixed assets). There were also £80,781 (2022: £Nil) within restricted reserves.
Reserves policy
The Trustees reserves policy is to hold 4 months operation costs in reserve. Free reserves of the charity currently stand at £170,639. The Oswin Project would like to thank those who have so generously given financial support over the year. We achieved sufficient received grant funding to cover the core costs of our management and administration, in addition to the costs associated with the range of activities listed.
Risk management
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The Charity has adopted a risk management strategy. The risk management strategy forms part of the Charity's overall internal control structure and corporate governance arrangements. The strategy provides definitions of relevant terminology and details responsibility and accountability within the Charity. The strategy also describes the management process, including the identification and measurement of risks and the main reporting arrangements. Risk appetite is the term used to determine the amount of risk that is appropriate for the Charity.
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 trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Recruitment and appointment of new trustees
Occasionally it is necessary for the Charity to recruit new Trustees to replace those that have resigned during their term of office, or due to a planned retirements after the completion of the fixed three-year term (this can be extended by a further 3 years with Board approval). Appointments are made to fill identified skill need, with CV scrutiny then following interview procedures conducted by the Chair of Trustees, CEO and one other trustee. The induction and training of Trustees is the responsibility of the Board and is arranged on an individual or collective basis as appropriate.
The induction and training of Trustees is the responsibility of the Board and is arranged on an individual or collective basis as appropriate.
Organisational structure:
The Charity is governed by a Board of Trustees. The Board meets a minimum of four times a year, or as is required, to deal with any specific issues. We have established sub committees covering Finance & Audit, Marketing & Communications, Governance and Social Impact. Trustees hold responsibilities for these different areas and report their findings and recommendations at Board meetings. The induction and training of Trustees is the responsibility of the Board and is arranged on an individual or collective basis as appropriate.
Conclusion
Despite the economic vicissitudes of the past year, characterised by rising inflation rates, demand for the Oswin Project’s services and its enterprises continues to grow. Sadly, so does the necessity for its work. The Oswin Project aims to be ‘best of brand’. To achieve this the charity focused on the quality of its mentoring and training. Through this, successful outcomes are ensured. Impact rather than large numbers of clients who cannot be effectively supported, are key to our ethos and our success.
The trustees, who are also the directors of Oswin Projects for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
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 charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity 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 charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees' report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of Oswin Projects (the charity) for the year ended 30 April 2023.
As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of Institute of Chartered Accountants of England & Wales, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
the financial statements do not accord with those records; or
the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
Project and running costs
All income and expenditure derive from continuing activities.
Project and running costs
Oswin Projects is an incorporated charity (charity number 1158065). The registered office is based at The Estates Office, Bothal Castle, Morpeth, Northumberland, NE61 6SL.
The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006 and "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)". The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
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.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
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 less their residual values over their useful lives on the following bases:
At each reporting end date, the charity reviews the carrying amounts of its tangible 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).
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
Cash and cash equivalents 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.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Grants
Other grants consists of £Nil (2022 : £5,000) from The Barbour Foundation, £Nil (2022 : £5,000) from the Grocers Charity, £Nil (2022 : £10,000) from the Finnis Scott Foundation, £Nil (2022 : £5,000) from the Postcode Trust, £Nil (2022 : £3,000) the Souter Charitable Trust, £Nil (2022 : £1,000) from the RW Mann Trust, £Nil (2022 : £1,200) from the Rothley Trust, £Nil (2022 : £655) from the Finn Family Trust, £Nil(2022 : £500) from the CS Rowbotham Charitable Trust, £Nil (2022 : £500) from the Sir David Kelly Foundation, £5,000 (2022: £Nil) from the WA Handley Trust, £3,000 (2022 : £Nil) from the Roy and Pixie Baker Trust, £3,000 (2022 : £Nil) from the Hospital of God, £1,000 (2022 : £Nil) from the Lord of Lieutenants service, £15,000 (2022 : £Nil) from the AB Charitable trust, £5,000 (2022 : £Nil) from the L G Harris trust, £2,500 (2022 : £Nil) from the Wyfold charity, £2,000 (2022 : £Nil) from the 1772 trust, £5,000 (2022 : £Nil) from the William Leach Charity, £14,000 (2022 : £Nil) from the Badur foundation, £10,000 (2022: £Nil) from the Charles Hayward foundation.
Paint and decorating project
Gardening and maintenance
Cathedral cafe 16 sales
HMPN cafe 16 sales
Other trading activities
Project and running costs
Project and running costs
Repairs and renewals
Insurance
Premises and running costs
Decorating project costs
Bakery project costs
Cathedral project costs
Telephone
Printing and advertising
Legal and professional
Independent examiners fees
General
The average monthly number of employees during the year was:
Key management remuneration consists of the chief executive officer, mentor manager, and project managers. Key management remuneration of £135,713 (2022: £109,308) was paid during the year.
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
Restricted funds
Bakery fund - this fund represents funding received for the development of the new bakery and for the running of the Café 16 project.
Mentor fund - this relates to funding received to pay wages and associated costs towards the mentoring project.
Equipment fund - this represents a one off grant from Beatrix Laing for the purchase of bakery equipment.
Project coordinator fund - this relates to funding received towards wages on introduction of a new coordinator role.
Cathedral fund - this represents funding received for the development of the new Cathedral Café 16.
Vehicle fund - this represents two one off grants for the purchase of a van.
Wellbeing fund - this represents a one off grant received towards the wellbeing of staff and volunteers.
During the year, the charity employed Mrs C Chrisp - wife of trustee Mr A Chrisp. The employment is on a normal commercial basis.
There were no other related party transactions in the year to disclose.
The charity is a private company limited by guarantee. The liability of the members, who are the Trustees, is limited and every member undertakes to contribute to the assets of the company, in the event of the company being wound up while he or she is a member, or within one year after he or she ceases to be a member, for the debts and liabilities of the company contracted before he or she ceased to be a member and of the costs, charges and expenses of winding up, and for the adjustment of the rights of the contributors among themselves, such amount as may be required not exceeding one pound.
The charity had no debt during the year.