The trustees present their annual report and financial statements for the year ended 31 March 2024.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "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)".
The principle aims and objectives of the charity are
• To promote, for the benefit of the inhabitants of The Wirral and the surrounding area of Merseyside, the
• To promote general charitable purposes for the benefit of the communities of The Wirral and the
• To relieve poverty, advance education and promote general charitable purposes beneficial to the
• To promote the efficiency and effectiveness of charities run by and/or serving the ethnic minority
After making appropriate enquiries, the Board of Trustees has a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, it continues to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Statement of Accounting Policies.
The main risks, to which the charity is exposed, as identified by the Trustees, have been considered and systems have been established to mitigate those risks.
Potential risks identified by the Trustees to the constitution of the Association’s activities are:
1. Loss of funding stream
2. Lack of community involvement and take-up
3. Loss of access to adequate levels and/or experienced staff
The Trustees have sought to minimise these risks in the following ways:
The Trustees and staff are constantly seeking out new avenues of funding. They also ensure rigorous systems are in place for collecting monitoring information.
Maintaining financial control in order to satisfy funding regulations and maintain positive relationships with funding organisations.
Wirral Change ensures community involvement and take-up through regular consultation with users and publicising of activities and services.
The organisation which is a registered charity limited by guarantee was incorporated March 2005. The
The Trustees, who are also directors for the purpose of company law, present their annual report and financial statements for the year ended 31 March 2023. At the AGM the Trustees will approve the retirement of existing Directors and or the recruitment of new Trustees in accordance with the Articles of Association under general meetings page 7 section 2.8 items (3) and (4).
The Trustees who served during the year and up to the date of signature were:
Wirral Change Limited has a Management Board who meets at least 4 times per year and is responsible for the strategic direction and policy of the Charity. There are three staff Management team members who individually line manage the outreach team.
When planning and programming activities for the local residents of Birkenhead and the surrounding areas; the Trustees of Wirral Change are mindful of the Charity Commissions guidelines on Public Benefit.
In accordance with the company's articles, a resolution proposing that Xeinadin Audit Limited be reappointed as auditor of the company will be put at a General Meeting.
The trustees' report was approved by the Board of Trustees.
Opinion
We have audited the financial statements of Wirral Change Limited (the ‘charity’) for the year ended 31 March 2024 which comprise the statement of financial activities, the balance sheet and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
Basis for opinion
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 charity’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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. 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. 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 course of 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 our audit:
the information given in the trustees' report for the financial year for which the financial statements are prepared, which includes the directors' report prepared for the purposes of company law, is consistent with the financial statements; and
the directors' report included within the trustees' report has been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report included within the trustees' report.
We have nothing to report in respect of the following matters in relation to which 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; or
the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the trustees' report and from the requirement to prepare a strategic report.
As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the charity for the purpose 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 charity’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 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 an auditor's report 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.
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including
fraud and non-compliance with laws and regulations, was as follows:
the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
we identified the laws and regulations applicable to the charity through discussions with trustees and other management, and from our knowledge and experience of charity sector;
we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the charity, including the Companies Act 2006, Charities Act 2011, data protection, anti-bribery, employment, and health and safety legislation;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management team and inspecting legal correspondence; and identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the charity's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
making enquiries of management team as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls, we:
performed analytical procedures to identify any unusual or unexpected relationships;
tested journal entries to identify unusual transactions;
assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
agreeing financial statement disclosures to underlying supporting documentation;
enquiring of management as to actual and potential litigation and claims; and
reviewing correspondence with HMRC and relevant regulators.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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 auditor’s 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.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Wirral Change Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is St Laurence's School, 12-14 St Laurence Drive, Birkenhead, Merseyside, CH41 3JD.
The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "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)". The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities not to prepare a statement of cash flows.
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 charity applies FRS 102, Section 10 (Accounting Policies, Estimates, and Errors) and Charity SORP (FRS 102), paragraphs 3.48–3.52, when correcting material errors in prior financial statements. Where a prior period adjustment is necessary, comparative figures are restated, and a corresponding disclosure is provided explaining the nature and financial impact of the adjustment.
During the current financial year, a review identified that a peppercorn rent arrangement had not been accounted for in prior years. To comply with the relevant accounting standards, a prior period adjustment was made to reflect the fair value of the donated rent. This adjustment resulted in the recognition of additional income under "Donated Facilities" and a corresponding increase in rental expenditure.
This policy ensures that the financial statements accurately represent the charity’s resources and obligations, enhancing transparency and compliance with financial reporting standards.
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 or grantors 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.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
The charity recognises the fair value of donated use of facilities and services in accordance with FRS 102 and section 6 of the Charity SORP (FRS 102). Where a charity benefits from the use of premises under a peppercorn rent arrangement, the market value of the rent is recognised as both income and expenditure in the Statement of Financial Activities (SOFA).
The fair value of donated facilities is determined based on market rates for equivalent premises in a similar location. The recognition of this donated benefit ensures that the financial statements provide a true and fair view of the charity’s operations.
Income from charitable activities includes income received under contract or where entitlement to the grant funding is subject to performance conditions. Income is recognised in the Statement of Financial Activities when the related services have been provided,
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
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.
Governance costs represent costs associated with meeting the constitutional and statutory requirements of the charity and include the audit fees and costs linked to the strategic management of the charity.
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:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
All equipment, fixtures and fittings with an original cost of less than £800, are written off in the year which the expenditure was incurred on the basis that due to the company's activities, there is no expectation that the cost will be recovered by way of future revenues.
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).
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.
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The average monthly number of employees during the year was:
Key management personnel are deemed to be members of the senior management team, which consists of the Chief Executive, Deputy Chief Executive, General Manager and Finance Manager. Aggregate remuneration for the year, including employers national insurance and pension contributions, was £174,854.
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
Ask Us Wirral
An information, advice and guidance project on partnership with Age UK and CAB to ensure people from BAMER communities have support and help when they need it.
BAME Community Support
A project to promote the health inequalities faced by BAME Communities in regards to Covid-19, offering outreach support as well as advisory health & wellbeing provision.
BME Health Improvement
Raises awareness, removes barriers and supports Wirral BME Communities to make positive lifestyle changes through events.
BME Health Interventions
Raises awareness, removes barriers and supports Wirral BME Communities to make positive lifestyle changes through one to one intervention.
Bridging the Gap
In collaboration with One Wirral, this initiative delivers activities tailored for adults from ethnic backgrounds with long
term health conditions. The aim is to support their recovery and mental wellbeing stability, implementing action plans for tangible progress.
CAF Resilience
Boistering the leadership and sustainability of the organisation with the support of the funded development team.
Carers Wellbeing
WIRED funds the carers project target BAME and disadvantaged carers and provide a weekly carers group to support carers with their mental and physical wellbeing.
Community Hub Project
A communal space for diverse cultural events to occur promoting social prescription and inclusion.
NHS Wirral CCG CDW Project
A health and emotional wellbeing project, funds running costs & staff.
Digital Inclusion
An extension of services targeting seldom-reached community members through improved access to digital mediums. This initiative encourages online opportunities and skills development.
UKSPF Digital Connectivity for Local Community Facilities
Upgrading outdated computer devices and enhancing connectivity within our community group activities.
Early intervention support of mental health
Providing proactive, tailored support to address mental health challenges early, promoting resilience and well-being before issues escalate.
EU Settlement Scheme funded by the Home Office
Providing support to EU nationals in securing their immigration status to continue living and working in the UK post-Brexit.
EU Settlement Scheme
A project supporting EEA & Swiss communities funded by Home Office via removing doubt from EU citizens resident in the UK through casework support with applications and surrounding issues.
Help Out Wellbeing Supoort
Utilising the Employability Support Fund to remove barriers to employment and support health and wellbeing issues faced by individuals seeking employment.
HAF Holiday Activity
To provide Half Term fun activities for children.
ILM Ways to Work
The Intermediate Labour Market (ILM) scheme is for helping young people get back in to work from disadvantaged groups such as care leavers and those with disabilities.
Multiply Project funded by Workers' Educational Assoc
A numeracy course enhancing employability and daily skills, tailored for Wirral’s seldom-reached ethnic minorities, supporting those outside the labour market and building confidence for UK accreditations.
NHS Community Health Checks
Free assessments designed to identify and prevent health risks.
Sport England Tackling Inequalities
Delivering diverse activities focused on enhancing physical fitness, mental well-being, and social connections through comprehensive sports and wellness programmes.
Involve Northwest Reachout Partnership
An employment project to assist members of the local community gain employment.
Strengthening Communities
A project that supports disadvantaged and marginalised groups, particularly those from the BAMER community.
Welcome to Wirral
A project to support the health and wellbeing needs of refugees, asylum seekers and resettlement families new to Wirral.
Wirral Household Support
Providing support to alleviate financial struggles faced by ethnic minority communities, especially those affected by the increased cost of living and recent poverty concerns. This initiative targets individuals still grappling to recover and reintegrate into normality.
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
During the year ended 31 March 2024, the charity made a donation of £12,032 (2023: £8,988) to its wholly-owned subsidiary, Livingstone Street Community Centre CIC, a Community Interest Company (CIC). The donation was made from the charity's unrestricted funds and was provided to support the subsidiary's activities that align with the charity's charitable purposes and objectives.
The donation was approved by the charity's Board of Trustees, and it has been recorded in the charity's financial statements as part of the expenditure for the year. There is no intention for the donation to result in any financial benefit for individuals connected to the charity, and it is in the best interest of the charity to support the ongoing operations of the subsidiary.
The CIC is a related party of the charity, and as such, the donation is considered a related party transaction. The amount of £12,032 has been disclosed in both the charity’s and the subsidiary’s financial statements in accordance with the requirements of the Charities SORP (Statement of Recommended Practice).
There were no other related party transactions during the year that require further disclosure, except as noted above.
Wirral Change Limited is the sole member of Livingstone Street Community Centre CIC, a community interest company (CIC) incorporated in England and Wales. The CIC’s principal activity is to support community-based initiatives in line with the charitable objectives of Wirral Change Limited.
The results of Livingstone Street Community Centre CIC have not been consolidated into these financial statements, as the directors have determined that the CIC is not material to the overall financial position of the charity.
For the financial year ended 30 April 2024, Livingstone Street Community Centre CIC reported a deficit of £22,333 (2023: surplus £253), with members' funds at the year-end amounting to deficit of £10,288 (2023: surplus £12,249).
The trustees will continue to monitor the financial position of the subsidiary and assess its impact on the charity’s financial statements in future reporting periods.