The trustees present their report and financial statements for the financial year ended 31 July 2024.
The financial statements have been prepared in accordance with the accounting policies set out in the notes to the financial statements and comply 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)” (as amended for accounting periods commencing from 1 January 2016).
The objects of the Charity are:
1. The promotion of good health by the provision of education and training into:
(a) issues of grief and bereavement; and
(b) support in relation to grief and bereavement,
in each case, particularly for children and young people and their families.
2. Relief of people, particularly children and young people and their families, suffering from grief or bereavement, including relief by way of a helpline.
Year review
Over the past year, Grief Encounter has made significant strides in improving the efficiency and impact of its services. The organisation has successfully reduced waiting times for families seeking support, ensuring that those in need receive timely assistance. The implementation of bereavement care standards has further strengthened the triage process, allowing for more effective support allocation. A major milestone has been the complete elimination of backlog cases, ensuring that families requiring intervention are not delayed in receiving help.
In addition, the re-purposing of the Grieftalk Helpline into the successful transition to Grieftalk Bereavement Support Line has expanded access to immediate support, allowing individuals to receive guidance without undue delay. The organisation has also diversified its resources, broadening its funding streams and financial stability. Efforts to diversify the board and teams have resulted in enhanced representation across different backgrounds, skills, and experiences, fostering a more inclusive and dynamic leadership structure. Improved engagement with corporate partners has further strengthened relationships with key supporters, enhancing financial and operational sustainability.
To reinforce its leadership and management, Grief Encounter has established key strategic roles, including the Director of Income Generation and Growth, Head of Clinical, Head of Patronage, and Head of Partnerships. The development of a Fundraising Advisory Board has further strengthened oversight and strategic planning in financial sustainability. Cost-saving measures, including marketing optimisation and office consolidation, have contributed to a reduction in operational costs. The organisation has also implemented a "Shrink to Grow" strategy, which has reduced reliance on external contractors while increasing in-house therapist capacity, leading to a greater number of therapeutic sessions delivered per staff member.
Performance in numbers:
1158 Children, Young People and Families Supported
4007 Sessions
668 Relief kits sent out
Enhancing support for children and grieving families
Grief Encounter has remained committed to supporting children and grieving families. Just under two percent of all enquiries resulted in referrals for assessment and further assistance, while the majority of enquiries were signposted to other appropriate support services. Coordination with multiple helplines across the UK, including hospices and sector partners, has ensured comprehensive coverage and accessibility. Additionally, resource management strategies have been refined in anticipation of rising living costs and inflation, ensuring that services remain sustainable and effective in a changing economic landscape.
Fundraising and events
During the financial year, a significant focus was placed on the patronage campaign and the preparation for the flagship Gala Dinner event. The primary objectives included cost reduction, increasing participant numbers, expanding the supporter base, and maximising impact from the silent auction. While the event itself falls within the following financial year, key achievements in 2023/24 included securing full sponsorship of event costs, curating a high-value and high-quality set of auction prizes, and engaging both long-standing donors and new supporters. Collaboration with an alumni committee, corporate volunteers, and family participants played a crucial role in event planning and execution. Over seventy-five volunteers contributed to the event’s success, and the involvement of the in-house team resulted in lower costs and the highest financial return in the history of Grief Encounter.
For the year ended 31 July 2024, the charity received total income of £1,652,918 (2023: £3,032,983) The total expenditure incurred amounted to £2,586,040 (2023: £2,890,311) resulting in a deficit of expenditure over income for the period of £933,122 (2023 surplus: £142,672).
Reserves policy
The charity has had a commitment to provide services for bereaved families for an average of two years, but experience and good practice shows that support averages one year. To ensure that sufficient funds are available to carry out our charitable activities, the necessary level of reserves for the 2024/25 Financial year is set at £1.4m and this is the same as in the year 2023/24. The trustees intend to review the reserves policy in the current financial year and will report on this review in next year‘s financial statements.
The trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to the major risks. including but not restricted to continual monitoring of fundraising efforts and adjustment, if necessary, to planned service delivery as a result.
The charity is controlled by its governing document, the Articles of Association (July 2021), and constitutes a company limited by guarantee, as defined by the Companies Act 2006.
Grief Encounter has reinforced its governance framework through the appointment of new trustees and governance roles, ensuring stronger board oversight and strategic direction. A governance audit was conducted, leading to a more streamlined and cohesive committee and board structure. Board diversification efforts have resulted in enhanced representation across protected characteristics, including gender, ethnicity, and religion, further strengthening the organisation’s commitment to inclusivity and equity.
The trustees, who are also the directors for the purpose of company law, and who served during the year and/or up to the date of signature of the financial statements were:
Recruitment and workforce
The organisation faced challenges in recruitment and retention, prompting a comprehensive review of salaries and benefits. This review resulted in significant improvements, attracting highly qualified staff, and enhancing workforce stability.
Future plans
Grief Encounter remains committed to expanding its support for children, young people, and families, ensuring the effective deployment of resources to enhance service reach. The development of patronage campaigns and corporate partnerships will remain a priority, fostering long-term engagement and financial sustainability. Diversification of income streams is a key focus, aiming to reduce reliance on one-off events and ensure stable, recurring funding.
Early intervention initiatives will be strengthened to provide grieving children with timely support, fostering healthy emotional development and mitigating against the risk of prolonged grief disorder. Specialist support services will be further developed to provide targeted assistance to the most vulnerable families. Additionally, the organisation plans to maximise volunteer engagement to support service expansion and strengthen collaborative partnerships with sector organisations, to improve capacity and ensure that our beneficiaries receive the right help from the most appropriate provider.
Through our membership of the Child Bereavement Network we will be continuing to work with partners to influence national policy to improve provisions for bereaved children and young people.
A review of capital investment will be undertaken to assess the most effective use of resources in response to demand. Furthermore, leveraging technology to enhance digital support services will be a key priority, ensuring timely and efficient assistance for grieving individuals and families.
Glazers Chartered Accountants were appointed as auditors to the charity for the financial year and a resolution proposing that they be re-appointed was passed by the members on 5 December 2024.
The trustees' report was approved by the board of trustees.
The trustees, who are also the directors of Grief Encounter 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.
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.
Opinion
We have audited the financial statements of Grief Encounter (the ‘charity’) for the year ended 31 July 2024 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the 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, 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
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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity 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.
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.
We obtained an understanding on the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The law and regulations we considered in this context the Companies Act 2006, the Charities Act 2011 together with the Charities SORP (FRS102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statements items.
Based on this understanding we designed our audit procedures to identify any non-compliance with law and regulations, reviewing meeting minutes of those charged with governance, testing manual journals, reviewing the financial statements disclosures and testing to supporting documentation, performing analytical procedures and enquiring of management to provide reasonable assurance that the financial statements were free from fraud and error.
Owing to the inherent limitations of an audit, there is a risk that we will not detect all irregularities including those leading to a material misstatement in the financial statements or non-compliance with the regulations.
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.
Donations and legacies - Including GESW
Other trading activities
Investments
Raising funds
The statement of financial activities includes all gains and losses recognised in the year.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
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.
Grief Encounter is a private company limited by guarantee incorporated in England and Wales. The registered office is Crystal House, Daws Lane, Mill Hill, London, NW7 4ST.
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)” (as amended for accounting periods commencing from 1 January 2016). 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 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.
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably and it is probable that income will be received.
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.
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.
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.
Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management. Governance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory requirements.
Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds.
All expenditure is inclusive of irrecoverable VAT.
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.
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.
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.
Other trading activities
Raising funds
Gala dinner costs
Challenges and runs
Golf day costs
Counselling & support
Grieftalk helpline
Training
Clinical services & support
Premises expenses
Telephone and internet
Sundry expenses
Legal and professional fees
Printing postage and stationery
Bank charges
Support costs GESW
Accountancy and audit fees
Staff costs includes an ex-gratia sum by way of compensation for loss of employment in the sum of £nil (2023: £80,567) for a former employee.
Governance costs includes payments to the auditors of £8,400 for audit fees.
Allocation basis
Support and governance costs are allocated to charitable activities and fundraising based on the number of employees engaged in each activity. This method is considered to provide a reasonable reflection of resource usage and is reviewed periodically to ensure its continued appropriateness.
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The average monthly number of employees during the year was:
Included in cost or valuation of freehold land and buildings is freehold land of £131,667 which is not depreciated.
Deferred income is included in the financial statements as follows:
Deferred income related to amounts received in advance for activities and events to be held next year.
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.
In 2021, the charity created a designated fund for a transformational project to meet the growing demand for our bereavement advice and to manage the transition to a national service.
This has been reviewed by the charity and has been decided it is no longer required for its intended use. Consequently, the Trustees have approved the transfer of the full balance back to unrestricted funds to better support the charity's ongoing activities. The transfer has no impact on the total funds of the charity.
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.
There were no disclosable related party transactions during the year.
The charity had no material debt during the year.