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REGISTERED COMPANY NUMBER: SC351218 (Scotland)
REGISTERED CHARITY NUMBER: SC039383
























REPORT OF THE TRUSTEES AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

FOR

CHILDREN IN DISTRESS

CHILDREN IN DISTRESS

CONTENTS OF THE FINANCIAL STATEMENTS
For The Year Ended 31 December 2023










Page

Reference and Administrative Details 1

Report of the Trustees 2 to 7

Report of the Independent Auditors 8 to 10

Statement of Financial Activities 11

Balance Sheet 12

Cash Flow Statement 13

Notes to the Cash Flow Statement 14

Notes to the Financial Statements 15 to 23

CHILDREN IN DISTRESS

REFERENCE AND ADMINISTRATIVE DETAILS
For The Year Ended 31 December 2023



TRUSTEES Mr I A Catley (resigned 26.7.24)
Ms D L Comsa
Mr S D Errington
Reverend J B Hurn
Ms A N Martin
Ms M C Mitu
Mr C J Paris (appointed 26.7.24)


REGISTERED OFFICE Suite 31 Ladywell Business Centre
94 Duke Street
Glasgow
G4 0UW


REGISTERED COMPANY NUMBER SC351218 (Scotland)


REGISTERED CHARITY NUMBER SC039383


AUDITORS Fortus Audit LLP
Chartered Accountants & Statutory Auditors
5&6 Manor Court
Manor Garth
Scarborough
North Yorkshire
YO11 3TU


BANKERS Royal Bank of Scotland
City Branch
10 Gordon Street
Glasgow
G1 3PL


SOLICITORS Brechin Tyndal Oatts
48 St Vincent Street
Glasgow
G25 5HS

CHILDREN IN DISTRESS (REGISTERED NUMBER: SC351218)

REPORT OF THE TRUSTEES
For The Year Ended 31 December 2023



The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report, which incorporates the Directors report and strategic report, with the financial statements of the charity for the year ended 31 December 2023. The trustees have adopted the provision 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 (FRS102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES
Vision, Mission, Aim, Structure and Partners
Our Vision "To cure, sometimes; To help, often; To comfort always".

Purpose: Our work in Romania has grown over the last 34 years. Our initial focus of caring for children with HIV/AIDS has evolved into provision of respite, palliative, and end- of- life care, and we have developed some of the best-trained and most experienced paediatric nurses in Romania.

Until 2022, our flagship centre, St Margaret's Hospice has provided specialist care to infants and children with a range of complex neurological needs, physical disabilities, and those who need a little extra support to overcome discrimination, disadvantage, and an opportunity to change their future.

The good work has evolved and continues in a new family and community style environment. We opened Casa Maria, our new Children's Family House in Romania that provides care for children living with the most severe disabilities. It builds on the legacy of our flagship St Margaret's Hospice and Children's Centre.

Aim: To raise funds in the UK to help the most vulnerable children in Romania and provide specialist hospice care, educational community outreach and respite care for children, their families, and carers in Romania through our sister charity Copii in Dificultate.

Structure, Children in Distress is a UK charity registered with the Scottish Charity Regulator, with a registered office in Glasgow and a commercial trading arm, which operates three charity thrift shops in County Durham, Cleveland and North Yorkshire. A loyal, enterprising and vibrant volunteer and donor network underpins and makes possible the charity's mission of care. We work through and together with our sister and partner organisations in Romania. Our ongoing objective is to empower these organisations to self-sufficiency as soon as is practicable.

Children in Distress in-Country Partners

Romania - Copii in Dificultate.
St Christopher's - Curtea de Arges
Arges Community Projects

Public benefit
Children in Distress serves the children of Romania. The Charity works with volunteers and supporting partner organisations that provide financial and pro bono support, as well as advice and guidance in best practice in hospice care, free at the point of delivery, and child development and educational and welfare opportunities for those who need them.

Children and families are accepted based on need and residential proximity and specific need, not on race, religion or ability to pay.

The expertise provided by professionals and education provided to professionals in education, medicine, the disciplines allied to medicine and social welfare, is subsidised where possible.


CHILDREN IN DISTRESS (REGISTERED NUMBER: SC351218)

REPORT OF THE TRUSTEES
For The Year Ended 31 December 2023


STRATEGIC REPORT
Achievement and performance
Charitable activities
Key Projects

Casa Maria

To provide family environment with specialist care for children with complex needs

" A home for 12 children a safe, home with specialist care opened.
" Continued therapies to help children with mobility, nutritional needs and education.
" A centre of specialist best practice in care for children with complex disabilities.

Community Education

A community-based project providing support for children from disadvantaged communities, extra tuition, extracurricular education and support to remain in school.

" Programme established with local authorities.
" Free of charge space provided by local authorities. Volunteers recruited.
" Programme launched in November to support 80 children in 2023.

Zarnesti Pineview Retreat Lodge

Our vision for the future is to create a respite space that will encourage social integration of children and young people of mixed abilities whilst providing rest for the children with complex disabilities, parents and carers.
" Work continues on the process of obtaining preliminary authorisations for construction.
" Obtained a partial approval for the electrical connection. To obtain the final approval, a coexistence study has been commissioned to an authorised company.


CHILDREN IN DISTRESS (REGISTERED NUMBER: SC351218)

REPORT OF THE TRUSTEES
For The Year Ended 31 December 2023


STRATEGIC REPORT
Achievement and performance
Fundraising activities
Shoebox Campaign

An annual fundraising activity to provide love in a box to over 5000 children at Christmas.
" 2023 saw the delivery of over 4500 boxes to Romania in time for Christmas.
" Over £9k raised in 2023

Legacies, Substantial Personal & Trust Donations

Legacies and in-memoriam giving have both played a significant role in making the work of the Charity possible over the past few years. The trustees therefore acknowledge the generosity of those who consider the Charity's mission of care to the Children in Romania important and worthy of a legacy, sponsorship or Trust donation. Without these donations, much of the capital building and renovation works which have taken place during this financial year would not have been possible.

We remember with gratitude gifts, trust donations, legacy and in-memoriam giving from and on behalf of:

Major Donors
Monica Grey
Julia Maud Bailes
Victor Clarke
Alethea Rivers

Funds raised in 2023

Total £403k

£143k from regular giving and donations

£166k from Legacies

£29k Gift Aid

Financial review
Financial position
Total income received in the year to 31 December 2023 was £555,286 - (2022 - £580,384) whilst expenditure costs were £483,767 - (2022 - £439,293) This resulted in a surplus of £71,519 (2022 - £141,091)

Closing reserves at the balance sheet date were £368,464, consisting of £368,464 unrestricted funds and £NIL restricted funds.

Reserves policy
The Trustees have adopted a reserves policy, which they consider appropriate to ensure the continued ability of the Charity to meet its objectives. The Charity aims to maintain reserves at a level, which will provide a minimum of 6 months free reserves to cope with contingencies.

Funds
A large proportion of our funding received is sent to our partner charity (Copii in Dificultate) in Romania to meet our aims and objectives. Funds from supporters are recorded against specific categories to recognise why funds were given and the purpose for their use such as sponsor a child, gifts from the heart etc.


CHILDREN IN DISTRESS (REGISTERED NUMBER: SC351218)

REPORT OF THE TRUSTEES
For The Year Ended 31 December 2023


STRATEGIC REPORT
Future plans
The current Board was appointed at the 2022 AGM and undertook a full strategic review at that time, focused on investment in structure, people, governance and operations to ensure the wellbeing and sustainability and future direction of the charity. The strategy was built on the evolving environment in Romania and the strategic direction agreed by the Board of Copii in Dificultate in respect of the Romanian foundation.

The UK strategy directly supports and complements that of the Romania foundation. In 2024 Children in Distress UK will focus on growth and development to meet the needs of an ambitious plan set out by the Romanian foundation. The charity celebrates 35 years in 2024 with plans for events in the UK and in Romania to mark this important milestone.

STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
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.

Charity constitution
Charity constitution

The charity is established to promote the care of children and young people in South-Eastern Europe. As a registered charity the Trustees confirm that they pay due regard to the OSCR guidance on public benefit in determining activities.

Recruitment and appointment of new trustees
Trustees are invited to apply giving their background and experience and appointed at the Annual General Meeting or co-opted until the meeting.

Organisational structure
The governing body of the charity is the Board of Trustees, which comprises six members and meet four or five times a year to review strategy and performance together with the Chief Executive or Operations Manager. The Trustees make decisions about policy and delegate executive decisions to the staff of the Charity through the Chief Executive and the staff.

Patron
HRH Princess Maria of Romania

Staff
Tina Connelly, Operations Manager (Senior Manager) - Redundant from 3 November 2023
Julian Dawydiak - Redundant from 3 November 2023
Lesleyann Connelly - Hub Manager (Scotland) from 9 October 2023
Lauren Paterson - Hub Manager (Yorkshire) from 9 October 2023
Contracted Staff
Vicky McColgan, Bookkeeper (to Feb 2023)
Karen Taylor, Bookkeeper (from Feb 2023)
Simon Errington, CEO (from June 2023)

Shop Managers
Tracy Russell, Kirkbymoorside
Tracy England, Guisborough
Melanie Morgan, Shildon


CHILDREN IN DISTRESS (REGISTERED NUMBER: SC351218)

REPORT OF THE TRUSTEES
For The Year Ended 31 December 2023


STRUCTURE, GOVERNANCE AND MANAGEMENT
Charity management
Decision Making

Directors/Trustees

1. The number of Directors/Trustees with which the Company proposes to operate shall be a minimum of 5 and a maximum of 10.
2. Subscribers to the board shall be admitted as members of the Company and all members of the company shall either sign a written consent to become a member or sign the register of members on becoming a member.
3. A member may withdraw at any time from the Company by giving at least seven days' notice to the Company. Membership is not transferable.

Induction and training of new trustees
New Trustees are given a full pack of information on the charity and its Governance Documents.

STATEMENT OF TRUSTEES' RESPONSIBILITIES
The trustees (who are also the directors of Children in Distress 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).

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.

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
The auditors, Fortus Audit LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

CHILDREN IN DISTRESS (REGISTERED NUMBER: SC351218)

REPORT OF THE TRUSTEES
For The Year Ended 31 December 2023



Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 30 August 2024 and signed on the board's behalf by:





Ms A N Martin - Trustee

REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES AND MEMBERS OF
CHILDREN IN DISTRESS


Opinion
We have audited the financial statements of Children in Distress (the 'charitable company') for the year ended 31 December 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement 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).

In our opinion the financial statements:
-give a true and fair view of the state of the charitable company's affairs as at 31 December 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; and
-have been prepared in accordance with the requirements of the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and Regulation 8 of the Charities Accounts (Scotland) Regulations 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.

REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES AND MEMBERS OF
CHILDREN IN DISTRESS


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 and the Charities Accounts (Scotland) Regulations 2006 (as amended) requires us to report to you if, in our opinion:
- adequate and proper 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.

Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities, the trustees 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:

We obtained an understanding of the legal and regulatory frameworks that are applicable to the charitable company and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework (UK GAAP and the Companies Act 2006) and the relevant tax compliance regulations in the UK.

We understood how the charitable company is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures. We corroborated our enquiries through review of board minutes and discussions with those charged with governance.

We assessed the susceptibility of the charitable company's financial statements to material misstatement, including how fraud might occur, by discussion with management from various parts of the business to understand where they consider there was a susceptibility to fraud. We considered the procedures and controls that the charitable company has established to prevent and detect fraud, and how these are monitored by management, and also any enhanced risk factors such as performance targets.

Based on our understanding, we designed our audit procedures to identify any non-compliance with laws and regulations identified in the paragraphs above.

We also performed audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.

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.

REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES AND MEMBERS OF
CHILDREN IN DISTRESS


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, and to the charitable company's trustees, as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company's members and the trustees 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.




Frances Howard (Senior Statutory Auditor)
for and on behalf of Fortus Audit LLP
Chartered Accountants & Statutory Auditors
Eligible to act as an auditor in terms of Section 1212 of the Companies Act 2006
5&6 Manor Court
Manor Garth
Scarborough
North Yorkshire
YO11 3TU

2 September 2024

CHILDREN IN DISTRESS

STATEMENT OF FINANCIAL ACTIVITIES
For The Year Ended 31 December 2023

2023 2022
Unrestricted Total
fund funds
Notes £    £   
INCOME AND ENDOWMENTS FROM
Donations and legacies 3 390,199 398,989

Other trading activities 4 161,063 180,980
Investment income 5 4,024 415
Total 555,286 580,384

EXPENDITURE ON
Raising funds 6 231,349 192,438

Charitable activities 7
Charitable activities 80,418 76,697
Transfers to Romania 172,000 170,158
Total 483,767 439,293

NET INCOME 71,519 141,091


RECONCILIATION OF FUNDS
Total funds brought forward 296,945 155,854

TOTAL FUNDS CARRIED FORWARD 368,464 296,945

CHILDREN IN DISTRESS (REGISTERED NUMBER: SC351218)

BALANCE SHEET
31 December 2023

2023 2022
Unrestricted Total
fund funds
Notes £    £   
FIXED ASSETS
Tangible assets 15 7,910 7,856

CURRENT ASSETS
Debtors 16 13,741 25,454
Cash at bank 375,276 274,851
389,017 300,305

CREDITORS
Amounts falling due within one year 17 (28,463 ) (11,216 )

NET CURRENT ASSETS 360,554 289,089

TOTAL ASSETS LESS CURRENT LIABILITIES 368,464 296,945

NET ASSETS 368,464 296,945
FUNDS 18
Unrestricted funds 368,464 296,945
TOTAL FUNDS 368,464 296,945


The financial statements were approved by the Board of Trustees and authorised for issue on 30 August 2024 and were signed on its behalf by:





Mr S D Errington - Trustee





Ms A N Martin - Trustee

CHILDREN IN DISTRESS

CASH FLOW STATEMENT
For The Year Ended 31 December 2023

2023 2022
Notes £    £   

Cash flows from operating activities
Cash generated from operations 1 99,602 133,451
Net cash provided by operating activities 99,602 133,451

Cash flows from investing activities
Purchase of tangible fixed assets (3,201 ) (690 )
Interest received 4,024 415
Net cash provided by/(used in) investing activities 823 (275 )

Change in cash and cash equivalents in
the reporting period

100,425

133,176
Cash and cash equivalents at the
beginning of the reporting period

274,851

141,675
Cash and cash equivalents at the end of
the reporting period

375,276

274,851

CHILDREN IN DISTRESS

NOTES TO THE CASH FLOW STATEMENT
For The Year Ended 31 December 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)

71,519

141,091
Adjustments for:
Depreciation charges 3,147 7,682
Interest received (4,024 ) (415 )
Decrease/(increase) in debtors 11,713 (11,694 )
Increase/(decrease) in creditors 17,247 (3,213 )
Net cash provided by operations 99,602 133,451


2. ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.23 Cash flow At 31.12.23
£    £    £   
Net cash
Cash at bank 274,851 100,425 375,276
274,851 100,425 375,276
Total 274,851 100,425 375,276

CHILDREN IN DISTRESS

NOTES TO THE FINANCIAL STATEMENTS
For The Year Ended 31 December 2023


1. STATUTORY INFORMATION

Children in Distress is a charitable company, limited by guarantee, registered in Scotland. The charitable company's registered number and registered office can be found on the reference and administrative details page of these financial statements.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with 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 (FRS102). The financial statements have also been prepared in accordance with the charities Accounts (Scotland) Regulations Act 2003 and the Charities and Trustee Investment (Scotland) Act 2005.

The charity is a public benefit entity as defined by FRS102.

The accounts are prepared in sterling, which is the functional currency of the group. Monetary amounts in these financial statements are rounded to the nearest pound.

The accounts have been prepared under the historical cost convention. The principle accounting polices adopted are set out below. These polices have been consistently applied to all periods presented.

Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

For donations and grants to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation or grant and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.

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.

Raising funds expenditure comprises costs incurred by the charity in the delivery of its activities for the benefit of the beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Support and governance costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, which support the Charity's activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities.

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.


CHILDREN IN DISTRESS

NOTES TO THE FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2023


2. ACCOUNTING POLICIES - continued

Grants receivable
Income from government and other grants, whether 'capital' or 'revenue' are recognised when the charity has unconditional entitlement to the funds, it is probable that the income will be received, the amount can be measured reliably. Unconditional entitlement will be achieved once any conditions attached to the grants have been met, or fulfilment of these conditions is wholly within the control of the charity.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.


Fixtures and fittings - 25% on reducing balance
Motor vehicles - 25% on reducing balance
Computer equipment - 33% on cost

Tangible fixed assets are stated at cost or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Impairment of fixed assets.
At each reporting end date, the charity reviews the carrying amounts of the tangible assets to determine whether there are 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).

Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charity for UK corporation tax purposes. It is therefore potentially exempt from taxation in respect of income or capital gains to the extent that such income or gains are applied for charitable purposes.

Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

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 charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Going concern
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.




CHILDREN IN DISTRESS

NOTES TO THE FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2023


2. ACCOUNTING POLICIES - continued

Going concern

Debtors and creditors receivable / payable within one year
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising are recognised in the statement of financial activities.

3. DONATIONS AND LEGACIES
2023 2022
£    £   
Donations 146,663 170,493
Gift aid 29,331 34,336
Legacies 199,205 166,160
Donated services and facilities 15,000 28,000
390,199 398,989

4. OTHER TRADING ACTIVITIES
2023 2022
£    £   
Fundraising events 23,515 49,503
Shop income 137,548 131,477
161,063 180,980

5. INVESTMENT INCOME
2023 2022
£    £   
Deposit account interest 4,024 415

6. RAISING FUNDS

Raising donations and legacies
2023 2022
£    £   
Staff costs 129,756 106,348
Shop rent and rates 25,499 27,689
Shop insurance 2,101 2,226
Shop light and heat 7,285 4,647
Telephone 6,458 5,030
Printing, postage, stationery and appeals 26,494 15,395
Shop repairs and sundries 10,864 2,868
Computer consumables and support 9,643 9,917
Motor expenses 7,077 7,956
Equipment leasing 926 1,352
Hotel and travel expenses 1,481 1,328
Depreciation 3,147 7,682
230,731 192,438


CHILDREN IN DISTRESS

NOTES TO THE FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2023


6. RAISING FUNDS - continued

Other trading activities
2023 2022
£    £   
Purchases 618 -

Aggregate amounts 231,349 192,438

7. CHARITABLE ACTIVITIES COSTS
Grant
funding of
Direct activities Support
Costs (see (see note costs (see
note 8) 9) note 10) Totals
£    £    £    £   
Charitable activities 15,000 - 65,418 80,418
Transfers to Romania - 172,000 - 172,000
15,000 172,000 65,418 252,418

8. DIRECT COSTS OF CHARITABLE ACTIVITIES
2023 2022
£    £   
Transport and warehousing 15,000 28,000

Direct costs in charitable activies related to warehousing provided for the storage of the shoeboxes gathered for the Christmas Shoebox Appeal.

9. GRANTS PAYABLE
2023 2022
£    £   
Transfers to Romania 172,000 170,158

Transfers to Romania were made to partner instituions.

10. SUPPORT COSTS
Governance
Management costs Totals
£    £    £   
Charitable activities 44,618 20,800 65,418

CHILDREN IN DISTRESS

NOTES TO THE FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2023


10. SUPPORT COSTS - continued

Support costs, included in the above, are as follows:
2023 2022
Charitable Total
activities activities
£    £   
Trustees' fees and expenses 24,175 963
Rent and rates 10,130 18,274
Insurance 1,743 1,433
Bank charges 6,401 4,682
Sundries 2,169 2,168
Auditors' remuneration 7,200 6,000
Bookkeeping 7,940 -
Accountancy and legal fees 5,660 15,177
65,418 48,697

11. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

2023 2022
£    £   
Auditors' remuneration 7,200 6,000
Depreciation - owned assets 3,147 7,682

12. TRUSTEES' REMUNERATION AND BENEFITS
2023 2022
£    £   
Trustees' fees 22,750 -

Trustees' expenses
2023 2022
£    £   
Trustees' expenses 1,425 963

Expenses reimbursed for travel costs incurred by Simon Errington.

13. STAFF COSTS
2023 2022
£    £   
Wages and salaries 147,770 103,776
Social security costs 2,603 1,078
Other pension costs 2,133 1,494
152,506 106,348

The average monthly number of employees during the year was as follows:

2023 2022
Charitable activities 7 6

CHILDREN IN DISTRESS

NOTES TO THE FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2023


13. STAFF COSTS - continued


No employees received emoluments in excess of £60,000 in the current year or prior year.

Termination payments were paid during the year totalling £6,762.

14. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
fund
£   
INCOME AND ENDOWMENTS FROM
Donations and legacies 398,989

Other trading activities 180,980
Investment income 415
Total 580,384

EXPENDITURE ON
Raising funds 192,438

Charitable activities
Charitable activities 76,697
Transfers to Romania 170,158
Total 439,293

NET INCOME 141,091


RECONCILIATION OF FUNDS
Total funds brought forward 155,854

TOTAL FUNDS CARRIED FORWARD 296,945


CHILDREN IN DISTRESS

NOTES TO THE FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2023


15. TANGIBLE FIXED ASSETS
Fixtures
and Motor Computer
fittings vehicles equipment Totals
£    £    £    £   
COST
At 1 January 2023 4,000 21,700 55,410 81,110
Additions - - 3,201 3,201
Disposals (4,000 ) - (54,720 ) (58,720 )
At 31 December 2023 - 21,700 3,891 25,591
DEPRECIATION
At 1 January 2023 4,000 14,304 54,950 73,254
Charge for year - 1,849 1,298 3,147
Eliminated on disposal (4,000 ) - (54,720 ) (58,720 )
At 31 December 2023 - 16,153 1,528 17,681
NET BOOK VALUE
At 31 December 2023 - 5,547 2,363 7,910
At 31 December 2022 - 7,396 460 7,856

16. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Other debtors 4,943 15,375
VAT 952 598
Prepayments 7,846 9,481
13,741 25,454

17. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade creditors 7,776 1,463
Social security and other taxes 1,434 1,007
Other creditors 268 379
Accrued expenses 18,985 8,367
28,463 11,216


CHILDREN IN DISTRESS

NOTES TO THE FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2023


18. MOVEMENT IN FUNDS
Net
movement At
At 1.1.23 in funds 31.12.23
£    £    £   
Unrestricted funds
General fund 296,945 71,519 368,464

TOTAL FUNDS 296,945 71,519 368,464

Net movement in funds, included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£    £    £   
Unrestricted funds
General fund 555,286 (483,767 ) 71,519

TOTAL FUNDS 555,286 (483,767 ) 71,519


Comparatives for movement in funds

Net
movement At
At 1.1.22 in funds 31.12.22
£    £    £   
Unrestricted funds
General fund 155,854 141,091 296,945

TOTAL FUNDS 155,854 141,091 296,945

Comparative net movement in funds, included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£    £    £   
Unrestricted funds
General fund 580,384 (439,293 ) 141,091

TOTAL FUNDS 580,384 (439,293 ) 141,091

CHILDREN IN DISTRESS

NOTES TO THE FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2023


18. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined position is as follows:

Net
movement At
At 1.1.22 in funds 31.12.23
£    £    £   
Unrestricted funds
General fund 155,854 212,610 368,464

TOTAL FUNDS 155,854 212,610 368,464

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£    £    £   
Unrestricted funds
General fund 1,135,670 (923,060 ) 212,610

TOTAL FUNDS 1,135,670 (923,060 ) 212,610

19. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 December 2022 and 31 December 2023.