Charity registration number 1093569 (England and Wales)
Company registration number 03339120
KEYFUND FEDERATION LIMITED
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
KEYFUND FEDERATION LIMITED
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees
E Watchorn
J Thomas
E Richards
M Youngs
C Alete
A McNamara
(Appointed 17 October 2024)
Secretary
R Maw
Key management
R Maw
Company Secretary & Chief Executive Officer
Charity number (England and Wales)
1093569
Company number
03339120
Registered office
Maybrook House, Floor 3
27 Grainger Street
Newcastle upon tyne
NE1 5JE
Independent examiner
Robson Laidler Accountants Limited
Fernwood House
Fernwood Road
Jesmond
Newcastle upon Tyne
Tyne and Wear
England
NE2 1TJ
Bankers
Co-operative Bank Plc
PO Box 101
1 Ballon Street
Manchester
M60 4EP
KEYFUND FEDERATION LIMITED
CONTENTS
Page
Welcome from the Chair and Chief Execuitve
1
Trustees report
2 - 9
Independent examiner's report
10
Statement of financial activities
11 - 12
Balance sheet
13
Notes to the financial statements
14 - 23
KEYFUND FEDERATION LIMITED
WELCOME FROM THE CHAIR AND CHIEF EXECUITVE
FOR THE YEAR ENDED 31 MARCH 2025
- 1 -

Welcome to The Key’s Annual Report and Accounts for 2024-25

We are delighted to introduce The Key’s Annual Report and Accounts for 2024–2025, a year that has marked both reflection and bold progression. At the heart of this year’s work is our new three-year strategy: a forward-looking plan that places young people at the centre of everything we do. This strategy arrives at a critical time for our charity, our sector, and the young people we serve.

With over a third of young people in the North East living in poverty, and the gap between those facing challenging circumstances continuing to widen, the need for our KEY+ Challenge has never been more evident. In 2024/25, we worked with both long-standing and new facilitators and partners to reach those who needed KEY+ the most. More young people than ever stepped up to lead their own projects and activities, making a real impact in their communities.

The KEY+ Challenge also played a vital role in helping young people make successful, settled transitions in education. Its versatility supported young people at both the beginning and end of their secondary school journey. We were especially proud to receive an award for our KEY+ Transitions partnership with Children North East, an approach that speaks directly to emerging local and national priorities.

This year also saw us strengthen our position within the regional youth services ecosystem. By working in closer partnership with organisations that share our mission, we successfully secured commissioned contract funding and diversified our income streams. We also continued to receive generous support from long-standing funders including the Ballinger Trust, A D Charitable Trust, National Citizen Service Trust, North East Combined Authority, UK Shared Prosperity Fund – Communities, Paul Hamlyn Foundation, and LGA Foundation. These successes have ensured we enter the new financial year in a strong and sustainable position.

Our annual awards ceremony was again a true highlight - an inspiring celebration of young people’s achievements across the North East. Led by young people, from planning to hosting and presenting, the event was a powerful reminder of what young people can accomplish when given the opportunity and support.

All of this progress has taken place against the backdrop of ongoing challenges facing the youth sector. Yet, it has been a rewarding year for The Key’s team and Board of Trustees. We are proud to have worked alongside so many dedicated partners, volunteers, and funders who share our vision and have helped shape our ambitious and bold new strategy.

As we look ahead, our focus on Reach, Quality, and Impact will guide us. Our strategy is not just a plan - it’s a call to action. Together, we can create lasting change for young people in the North East.

..............................
E Watchorn
Chair
R Maw
CEO
Date: .........................
KEYFUND FEDERATION LIMITED
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT)
FOR THE YEAR ENDED 31 MARCH 2025
- 2 -

The trustees present their annual report and financial statements for the year ended 31 March 2025.

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)".

Objectives and activities

Who we are

The Key empowers young people across the North East of England, particularly those growing up in poverty and those facing challenging personal circumstances.

 

Our Vision

We want a future where all young people believe in themselves, unlock their potential, and lead connected and fulfilling lives.

 

Our Mission

We work in collaboration to provide young people with meaningful and impactful opportunities to develop skills, build confidence, and grow resilience. Through our proven approach, the KEY+ Challenge, young people shape their own futures.

Our values

 

FOCUS: Keeping sight of the goal

We make informed decisions. We set targets and work towards milestones, and we deal with things at the right time. We work in a positive way, and we are true to our roots. We are driven to succeed.

We believe that, as a result, we will achieve our mission.

 

COLLABORATION: Working together to achieve common objectives

We act with integrity and seek to understand others. We share information transparently, communicate well and treat everyone with respect. We value everyone’s contribution, and we trust and can be trusted.

We believe that, as a result, we will achieve more together than by acting alone.

 

GROWTH: Constantly striving to be the best we can be

We are resilient. We encourage constructive feedback, we are actively curious and questioning, and we are adaptable to change. We nurture others.

We believe that, as a result, we will maximise our impact.

 

The golden thread that weaves through our vision, mission and values is that everything we do is for the benefit of young people – especially those living in deprivation and facing challenging personal circumstances.

 

What we do

The KEY+ Challenge is rooted in self-determination theory, which highlights the importance of nurturing three core psychological needs: autonomy, competence, and relatedness. When these needs are met, evidence shows that young people develop a growth mindset, improve their wellbeing, and gain the confidence to pursue opportunities. It empowers them to unlock their potential and build connected and fulfilling futures.

 

Our approach starts with what young people want to do. It recognises their current capabilities and supports them to build upon these as they use their voices and ideas to deliver projects that interest them. This hands-on approach develops essential skills, confidence, purpose, and friendships while allowing young people to gain new experiences.

KEYFUND FEDERATION LIMITED
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 3 -

The KEY+ Challenge provides an opportunity for young people to work together in small teams with the help of a trained Key Facilitator to:

 

 

To take on the challenge young people form a group and progress through a five-step process:

 

  1. Think of a project or activity that they really want to make happen

  2. Plan what is needed for that project, including a budget, and how they are going to make it work

  3. Pitch their project to a panel of friendly volunteers

  4. Do their project if given the go ahead by the panel

  5. Review and reflect on their project, learning, and development

 

Young people complete this process up to three times, each time planning more progressively challenging projects with greater personal development.

 

Delivering their first KEY+ project is a great achievement for young people. They get to grips with the KEY+ five-steps and deliver their first pitch to panel. At Stage two, young people are stretched further and enhance their skills by planning a project with a larger budget. At Stage three, they explore enterprise or social action with their project, providing a way to take action and contribute to their communities.

 

Once young people have completed the KEY+ Challenge we aim to support their continued growth through bespoke opportunities, work experience or volunteering. 

 

Participation in KEY+ provides young people with the opportunity to discover their passions, talents and realise what they are capable of. It’s a way to cement positive connections with peers. In short it promotes friendship and purpose – which we believe are needed more than ever for young people today.

 

As well as the young people who take the KEY+ challenge members of the wider community also benefit as a direct result of the projects that young people plan for the benefit of the wider community.

Achievements and performance

Key Milestones

 

The KEY+ Challenge: In 2024/25, we built on the strong foundations of KEY+ and returned to pre pandemic levels of engagement. This year, over 1,635 young people took part in the KEY+ Challenge, a 64% increase on the previous year. This growth reflects the continued demand for meaningful opportunities and the strength of our delivery partnerships.

 

Expanding funded collaboration: We continued to deliver our three-part funding model which supports young people’s project ideas, partner delivery costs, and support for The Key. In a difficult funding landscape, this approach diversifies The Key’s income while providing much needed support to partners. It remains highly values and ongoing feedback affirms its importance in enabling meaningful youth-led activity.

 

Strengthening our youth voice offer: We launched our Youth Advisory Board opportunity at the back end of the year which means we’ll have an established Youth Advisory Board to guide us through 25-26 and beyond. This is something we have battled with to ensure we harness the power of youth voice in a way that is both meaningful and impactful for young people.

 

Piloting Skills Builder: After identifying Skills Builder as an alternative for measuring impact in 2023/24, we were excited to pilot the framework with 249 young people and 6 delivery partners this year. We’ve since gathered feedback from the pilot, which will guide our next steps in shaping how we measure skills in 2025/26.

KEYFUND FEDERATION LIMITED
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 4 -

Launch of KEY+ Workbooks: In response to valuable feedback from facilitators and young people, we were proud to develop and launch the KEY+ Workbooks. These new resources are designed to support young people as they progress through their KEY+ journey, providing structure, guidance, and space for reflection along the way.

 

Key Learning

 

Sustained Demand for funded KEY+ Delivery: There remains a strong appetite and clear need for funded KEY+ delivery, as shown through our successful NCS partnership. This initiative unlocked 3,700 additional hours of quality youth work, invested £32,280 directly into young people’s hands to tackle the issues that matter to them, and secured £147,500 for partners to deliver face-to-face youth work. In a challenging funding climate, this model has proven both effective and valued by our partners and The Key. We must continue to harness and expand this approach to secure sustained investment in youth-led opportunities.

 

Opportunities to strengthen impact measurement and messaging: While The Key has long prioritised measuring and communicating our impact, this year highlighted further potential. We recognised the need to better demonstrate the longer-term value of KEY+, specifically focussed around helping young people understand and communicate how it supports their growth and future pathways.

 

Elevating the + in KEY+: Following the KEY+ Changemakers initiative, we reviewed and gathered feedback from young people about what they want next from KEY+. Their message was clear that they want follow-on opportunities and value the opportunity to connect with others from across the region. In response, we will pilot a new project in 2025/26 that offers a step-up challenge where young people collaborate to tackle social issues in their communities alongside new young people.

 

Shaping our future: In preparation for launching our new three-year strategy, we carried out in-depth consultation with KEY+ Partners, Facilitators, young people, influencers, youth networks, and funders. The insights gathered were invaluable, highlighting key learning that has directly informed the priorities and direction of our new strategy for 2025–2028.

 

Examples of inspiring activities generated by young people this year included:

 

31 King NUF: A group of NEET young people took on KEY+ to build skills for their future and in doing so, delivered a transformative project to rejuvenate a local community garden. From painting sheds and repairing benches to tackling general maintenance, the group enhanced the space for others while developing essential skills. Through this hands-on experience, they strengthened their problem-solving, budgeting, and communication skills.

 

Care and Cup’s Society took on the KEY+ Challenge to organise a pop-up café at the Little Sisters of the Poor residential home, fostering intergenerational connection and reducing loneliness among elderly residents. The project not only brought joy to the residents but also left a lasting impact on the young people.

 

The Cream Egg Key Voices organised an environmentally themed community event aimed at promoting recycling and sustainability. The event featured refreshments, goody bags, a clothes swap, and a pledge wall, all designed to encourage eco-friendly practices. Along the way, they built skills and confidence and experienced the full impact that KEY+ delivers.

 

Roots were moved by the issue of men’s mental health and wanted to raise awareness of support and suicide prevention. Despite facing challenges like poor weather and lower-than-expected attendance, they successfully got their community together and organised a charity football match. Roots nurtured their problem solving, enterprising and communication skills throughout and were delighted to raise a whopping £600!

 

You Can’t 6 With Us responded to the challenges of remote learning and RAAC related disruptions by organising a whole school celebration on the last day of term. Their event, featuring activities like a roller disco and a big draw, brought together 700 pupils to mark the return to normality.

 

 

 

 

 

 

KEYFUND FEDERATION LIMITED
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 5 -

Our Staff and Volunteers

During 2024/25 our team has grown. Our new CEO, Rebecca Maw, joined the team in May 2024 and we welcomed Nicole Ireland, our Marketing Apprentice in October 2024. The rest of the team remains settled, and we ended the year with a full complement of 8 staff. This more settled year for the organisation has allowed the team to take the time to consider the emerging needs of young people and align our strategy

 

The Key relies on the support of our dedicated network of volunteers to deliver the KEY+ Challenge to young people. We currently have 46 active adult volunteers and 12 young volunteers. This includes 21 volunteers trained during the year. This has increased the number of young people supported in bringing their projects to life. Our volunteer panel members remain essential to running the KEY+ Challenge.

 

We want to take this opportunity to thank all our volunteers for their loyalty and dedication and hope that they continue to support us in 2025-26.

Financial review

The Key’s income streams are divided into:

 

  1. Key Funds – representing funds received for distribution to groups of young people to implement the Key projects they have planned by participating in KEY+. These funds are restricted.

     

  2. Project Funds (Core Income) – representing funds received to support delivery of KEY+ to young people including funds passed directly to partners for the direct delivery of KEY+ Challenge to young people. These funds can be both restricted and unrestricted.

     

  3. Designated Funds - The Trustees may designate funds to support specific areas of our work, invest in the charity’s future, or ensure proper administration in the event of a wind-down. These designations reflect strategic decisions to allocate resources in line with our long-term objectives and operational needs.

Reserves policy

The Directors have reviewed and approved the Reserves Policy, which aims to maintain a financial buffer equivalent to six months of core cost commitments. This includes provision for staff redundancy payments for all employees with over one year of service. The total reserve requirement is currently calculated at £182,084, covering staff costs, redundancy liabilities, premises, overheads, and operating expenses.

At 31 March 2025, unrestricted free reserves totalled £193,508. Of this, £9,276 is budgeted for delivery of KEY+ Challenge in 2025/26, reducing free reserves to £183,798 by 31 March 2026. This provides a buffer of £1,714 ensuring continued support for young people amid a changing funding landscape.

 

In addition to unrestricted reserves, the charity holds designated funds to support specific strategic priorities. These include:

These designations reflect the trustees’ commitment to planned future expenditure and strategic development.

KEYFUND FEDERATION LIMITED
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 6 -
Plans for future periods

What we are planning to do in 2025-28

 

Our strategy is based on three themes:

 

Reach - Supporting young people who need us most

We address the emerging needs of young people in the North East of England, with particular attention to those growing up in poverty and those facing challenging personal circumstances. Collaborating with strategic partners, we create an equitable and supportive environment for all young people in the region, through targeted, aligned efforts and shared resources. Guided by the voices of young people, we collaborate with local, regional, and national networks to strengthen our partnerships and expand opportunities for young people.

 

Quality - Creating the best experience for young people

We provide meaningful and impactful experiences that address young people’s unique needs and aspirations leading to best possible outcomes. Our commitment to quality builds trust and engagement, creating a supportive environment where young people feel valued and empowered. It also drives continuous improvement in our practices, ensuring that we remain responsive to the evolving challenges and opportunities faced by young people.

 

Impact - Delivering the best outcomes for young people

We deliver the best outcomes for young people, developing their skills, confidence, and resilience, empowering them to build connected and fulfilling futures. By prioritising engagement with those who are best served by our interventions, we ensure our efforts are targeted and effective. Sharing the long-term impact and positive outcomes achieved by young people will inspire further support and collaboration, amplifying our influence.

 

To support the achievement of our strategic goals we will employ our Enablers, these enablers are:

 

Young People at the Heart - Placing young people at the heart of our organisation is fundamental to ensuring that our work is relevant, impactful, and effective. By actively involving young people in the design, implementation, and evaluation of our work, we will better understand and address their needs and aspirations.

 

Relationships, Partnerships and People - Building strong, collaborative relationships with young people, youth and community sector organisations, educational institutions, academic partners, stakeholders, and other partners is essential. These partnerships enable us to share knowledge, co-create innovative solutions, and provide high-quality support tailored to the needs of young people.

 

Sustainability and Growth - We will continue to diversify our income streams to drive long-term sustainability. Building on our successful partnership funding approach, we will further strengthen our expertise and capacity to manage large-scale partnership contracts.

 

Learning Organisation - With a culture of continuous improvement, innovation, and knowledge, we remain adaptable and responsive to emerging needs and challenges.

 

Equality, Equity, Diversity and Inclusion - Using different viewpoints and giving everyone a fair chance helps us reach more people and make a bigger difference. We will work with groups, partners, and individuals who have valuable experiences and knowledge. Creating an inclusive environment at all levels, including our staff team and board of trustees, is essential to showing our commitment to equality, equity, diversity, and inclusion.

 

Digital Solutions - By continuing to develop and refine our digital solutions including our online platform, KIT, we will improve the user experience for both young people and facilitators.

Marketing and Communications - through strategic messaging and targeted campaigns, we will attract more diverse partners and reach more young people who need us most.

Systems and Processes - We will enhance our internal and external systems and processes to increase efficiency and ensure good governance.

KEYFUND FEDERATION LIMITED
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 7 -
Structure, governance and management

The charity is a company limited by guarantee and was set up by its Memorandum and Articles of Associations on 25 March 1997.

 

The company’s constitution is dated 25 March 1997 as amended by Special Resolution dated 10 October 2020 and is a registered charity (number 1093569).

 

During 2024/25, the trustees and the executive team have been undertaking a review of governance including the Articles of Association and Memorandum of understanding. With legal support from Muckle, a modernised and reviewed Articles of Association document that will be submitted to the charity commission for their approval in July 2025.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

E Watchorn
Lieutenant General R Brims
(Resigned 17 October 2024)
J Thomas
E Richards
M Youngs
C Alete
A McNamara
(Appointed 17 October 2024)
Recruitment and appointment of directors

Our diverse and talented board of trustees continued to provide invaluable support to both the interim CEO, the incoming permanent CEO and the staff team. Their unique blend of enthusiasm, specialist expertise and local knowledge has added significant value to our work.

 

The trustees, who are also the directors under Company Law, are responsible for the management and administration of the charitable company.

 

The current Directors were recruited and appointed by an open process managed by the Directors using the network of public, private and voluntary sector organisations that are involved or aligned to the work of The Key.

 

The Board met on four occasions during 2024-25. A Finance and Risk Sub-Group also met separately on four occasions. Currently the Board is well balanced and includes expertise from the private, public and third sectors.

 

The Board of Directors were appointed using a skills audit. The areas of expertise covered between them are:

 

The Directors consider that they have complied with their duty to have due regard to public benefit guidance published by the Charity Commission.

KEYFUND FEDERATION LIMITED
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 8 -

Our organisational structure consists of a core team of 7 working under the guidance of our CEO. Further work is provided by a small team of freelance staff as and when it is needed. KEY+ is delivered by trained and supported Key Facilitators who have a trusted relationship with their group of young people and are employed by, or volunteer for, our delivery partners.

 

Each delivery partner pays a small annual organisational membership fee designed to confirm commitment. All Key Facilitators are DBS checked, and all operate under the policies, procedures and insurances of their employing / supporting Member organisation.

 

Our KEY+ Facilitators range from youth work professionals, community volunteers, youth offending team staff, detached youth workers, care workers, uniformed group leaders and learning mentors, to name but a few. Our networks also contain individuals who become Volunteer Panel Members. These individuals volunteer directly for The Key and are trained for the role of hearing from young people about their KEY+ ideas.

 

Related party relationships

The Key works with a diverse range of organisations as members, to support young people across the region. Each either employs or supports a small team of Key Facilitators. These organisations include youth work / detached work projects, schools, alternative education providers, youth justice programmes, democracy projects, church groups, Global Majority groups, sports groups, voluntary groups, guides/scouts, mental health projects, secure units, training organisations, FE colleges, and health groups. Each organisation is supported in their day-to-day activity by The Key.

Grant making trusts and foundations again provided much needed support with funds by investing in building the capacity of the staff team and the longer-term viability of the organisation. Trusts and Foundation also helped provide the project funds needed for young people to implement their ideas. Such investors included Garfield Weston Foundation, Sir James Knott Trust, Wellbank Foundation, Joicey Trust, LGA Foundation, A D Charitable Trust, R W Mann Trust, Ballinger Trust, Paul Hamlyn Foundation, and the Community Foundation among others.

 

In 2023/24, The Key successfully secured a large partnership grant from NCS (National Citizen Service Trust) to lead on their targeted grants programme across the North East. This project was the first funding of its kind for The Key, and it supported the diversification of funds, reduced the reliance on traditional Trusts and Foundations whilst also supported the costs of our partners delivery. The delivery of this contract continued into 2024/25 and sadly ended in March 2025 when NCS began the process of winding up their organisation. These funds along with funding and commissions through UKSPF and North East Combined Authority (previously North of Tyne Combined Authority) have proven the strength of The Key as a leading organisation in this area. Our skills of partnership development and project management have developed through this work.

 

Pay policy of senior staff

The Board of Directors (who are The Key’s trustees, and the Executive Team) comprise the key management personnel of the charity in charge of controlling, running and operating The Key on a day-to-day basis. All directors give their time freely. Details of directors’ expenses and related party transactions are disclosed in the notes to the financial statements.

The pay of the senior staff is reviewed annually and normally increased in accordance with average earnings. In view of the nature of the charity, the directors benchmark against pay levels in other charities of a similar size. The remuneration benchmark is the mid-point of the range paid for similar roles adjusted for a weighting of up to 30% for any additional responsibilities. If recruitment has proven difficult in the recent past, a market addition is also paid with the pay maximum no greater than the highest benchmarked salary for a comparable role.

KEYFUND FEDERATION LIMITED
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 9 -
Other matters

Risk management

The Directors have overall responsibility for establishing and maintaining The Key’s risk management policy and for reviewing its effectiveness. Strategic risk assessment is carried out by the Finance and Risk Sub-Committee of the Board on all activities to ensure all major risks to which the charity is exposed have been considered as well as the overall impact they would have on the organisation. These risks are varied and cover areas including health and safety, safeguarding, event management, fundraising, compliance, and relationship management.

Risk management is carried out by developing approaches to mitigate each risk identified in the assessment, which are monitored at regular intervals. Procedures are then established to manage these risks. A system of internal controls and compliance has been designed to manage key risks and to provide reasonable assurance that planned business objectives and outcomes are achieved. These are recorded by the executive team and are discussed at quarterly Finance and Risk Sub-Committee Meetings. If required, issues are tabled at full Board meetings for further debate or decision.

A key element in the management of financial risk is the distribution of clear and transparent quarterly accounts and cash flow forecasts to the Directors and monthly management accounts to the executive team; this is in addition to the monthly production of a data dashboard to monitor progress against our annual objectives.

 

Public benefit

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

The trustees report was approved by the Board of Trustees.

R Maw
E Watchorn
CEO
Chair
23 September 2025
KEYFUND FEDERATION LIMITED
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF KEYFUND FEDERATION LIMITED
- 10 -

I report to the trustees on my examination of the financial statements of Keyfund Federation Limited (the charity) for the year ended 31 March 2025.

Responsibilities and basis of report

As the trustees of the charity (and also its directors for the purposes of company law), you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006.

Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the Companies Act 2006 and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011. In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the Charities Act 2011.

Independent examiner's statement

Since the charity’s gross income exceeded £250,000, the independent examiner must be a member of a body listed in section 145 of the Charities Act 2011. I confirm that I am qualified to undertake the examination because I am a member of the Association of Chartered Certified Accountants, which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

1

accounting records were not kept in respect of the charity as required by section 386 of the Companies Act 2006.

2

the financial statements do not accord with those records; or

3

the financial statements do not comply with the accounting requirements of section 396 of the Companies Act 2006 other than any requirement that the financial statements give a true and fair view, which is not a matter considered as part of an independent examination; or

4

the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

Nicholas Cunningham FCCA
Robson Laidler Accountants Limited
Fernwood House
Fernwood Road
Jesmond
Newcastle upon Tyne
Tyne and Wear
NE2 1TJ
England
23 September 2025
KEYFUND FEDERATION LIMITED
STATEMENT OF FINANCIAL ACTIVITIES
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2025
- 11 -
Current financial year
Unrestricted
Unrestricted
Restricted
Total
Total
funds
funds
funds
general
Designated fund
2025
2025
2025
2025
2024
Notes
£
£
£
£
£
Income from:
Donations and legacies
2
37,650
5,927
97,060
140,637
6,769
Charitable activities
3
30,000
-
305,871
335,871
551,738
Investments
4
17
-
-
17
1,445
Total income
67,667
5,927
402,931
476,525
559,952
Expenditure on:
Charitable activities
5
105,251
77
566,802
672,130
401,406
Total expenditure
105,251
77
566,802
672,130
401,406
Net income/(expenditure)
(37,584)
5,850
(163,871)
(195,605)
158,546
Transfers between funds
(132)
5,100
(4,968)
-
-
Net movement in funds
(37,716)
10,950
(168,839)
(195,605)
158,546
Reconciliation of funds:
Fund balances at 1 April 2024
231,224
206,634
207,051
644,909
486,363
Fund balances at 31 March 2025
193,508
217,584
38,212
449,304
644,909

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

KEYFUND FEDERATION LIMITED
STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED)
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2025
- 12 -
Prior financial year
Unrestricted
Unrestricted
Restricted
Total
funds
funds
funds
general
Designated fund
2024
2024
2024
2024
Notes
£
£
£
£
Income from:
Donations and legacies
2
6,769
-
-
6,769
Charitable activities
3
115,022
63,250
373,466
551,738
Investments
4
1,445
-
-
1,445
Total income
123,236
63,250
373,466
559,952
Expenditure on:
Charitable activities
5
81,466
20,399
299,541
401,406
Total expenditure
81,466
20,399
299,541
401,406
Net income
41,770
42,851
73,925
158,546
Transfers between funds
-
15,892
(15,892)
-
Net movement in funds
41,770
58,743
58,033
158,546
Reconciliation of funds:
Fund balances at 1 April 2023
189,454
147,891
149,018
486,363
Fund balances at 31 March 2024
231,224
206,634
207,051
644,909
KEYFUND FEDERATION LIMITED
BALANCE SHEET
AS AT
31 MARCH 2025
31 March 2025
- 13 -
2025
2024
Notes
£
£
£
£
Fixed assets
Tangible assets
11
-
187
Current assets
Debtors
12
92,114
65,551
Cash at bank and in hand
495,841
610,900
587,955
676,451
Creditors: amounts falling due within one year
13
(138,651)
(31,729)
Net current assets
449,304
644,722
Total assets less current liabilities
449,304
644,909
The funds of the charity
Restricted income funds
15
38,212
207,051
Unrestricted funds - general
17
193,508
231,224
Unrestricted funds - Designated fund
16
217,584
206,634
449,304
644,909

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2025.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the trustees on 23 September 2025
E Watchorn
Chair
Company registration number 03339120 (England and Wales)
KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
- 14 -
1
Accounting policies
Charity information

Keyfund Federation Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is Maybrook House, Floor 3, 27 Grainger Street, Newcastle upon tyne, NE1 5JE.

1.1
Accounting convention

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 financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2
Going concern

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.

1.3
Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Designated funds comprise unrestricted funds that have been set aside by the Directors for a particular purpose. The aim and use of each designated fund is set out in the notes to the financial statements.

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.

1.4
Income
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.

Income from charitable activities includes income received under contract or where entitlement to grant funding is subject to specific performance conditions and recognised as earned. Grant income included in this category provides funding to support performance activities and is recognised where there is entitlement, certainty of receipt and the amount can be measured with reasonable certainty. Income received to deliver services over a specific period covering more than one financial year is accounted for over the specific period; related expenditure is accounted when incurred.

Investment income relates to interest earned through holding assets on deposit.

KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
1
Accounting policies
(Continued)
- 15 -
1.5
Expenditure

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.

1.6
Intangible fixed assets other than goodwill

Intangible assets represent the operating system used by the company and an online manual for licences.

Amortisation 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:

Operating System
3 years straight line
Online Manual
2 years straight line
1.7
Tangible fixed assets

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:

Office equipment
10% straight line
Computer equipment
33% straight line

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.

1.8
Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible and intangible 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).

1.9
Cash and cash equivalents

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.

1.10
Taxation

The charity is an exempt from taxation under the Charities Act 2011.

1.11
Retirement benefits

The charitable company contributes to a defined contribution pension scheme for employees. the assets of the scheme are held separately from those of the charitable company. The annual contributions payable are charged to the Statement of Financial Activities.

KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 16 -
2
Income from donations and legacies
Unrestricted
Unrestricted
Restricted
Total
Unrestricted
Unrestricted
Restricted
Total
funds
funds
funds
funds
funds
funds
general
Designated fund
general
Designated fund
2025
2025
2025
2025
2024
2024
2024
2024
£
£
£
£
£
£
£
£
Donations and gifts
3,571
-
-
3,571
6,769
-
-
6,769
Grants
34,079
5,927
97,060
137,066
-
-
-
-
37,650
5,927
97,060
140,637
6,769
-
-
6,769
KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
2
Income from donations and legacies
(Continued)
- 17 -

The charity greatly benefits from the involvement and enthusiastic support of its many volunteers, details of which are given in their annual report.

3
Income from charitable activities
Unrestricted
Restricted
Total
Total
funds
funds
2025
2025
2025
2024
£
£
£
£
Income from charitable activities
Membership income
30,000
-
30,000
26,230
Grants receivable
-
305,871
305,871
525,508
30,000
305,871
335,871
551,738
4
Income from investments
Unrestricted
Unrestricted
funds
funds
2025
2024
£
£
Interest receivable
17
1,445
KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 18 -
5
Expenditure on charitable activities
Operation costs
Operation costs
2025
2024
£
£
Direct costs
Staff costs
223,074
152,810
Depreciation and impairment
187
1,748
Direct project costs
350,825
114,082
Staff related costs
5,517
12,512
Travel expense
690
2,592
Property costs
17,863
18,125
Office costs
5,671
7,834
IT costs
29,946
13,731
Advertising and PR
6,672
7,257
Legal and professional
26,075
55,068
Bank charges
72
1,670
666,592
387,429
Share of support and governance costs (see note 6)
Support
-
7,356
Governance
5,538
6,621
672,130
401,406
Analysis by fund
Unrestricted funds - general
105,251
81,466
Unrestricted funds - Designated fund
77
20,399
Restricted funds
566,802
299,541
672,130
401,406
6
Support costs allocated to activities
2025
2024
£
£
Staff costs
-
7,356
Governance costs
5,538
6,621
5,538
13,977
Analysed between:
Operation costs
5,538
13,977
KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
6
Support costs allocated to activities
(Continued)
- 19 -
2025
2024
Governance costs comprise:
£
£
Independent examiners fees
3,480
5,220
Meeting costs
2,058
1,401
5,538
6,621
7
Trustees
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
8
Employees

The average monthly number of employees during the year was:

2025
2024
Number
Number
7
5
Employment costs
2025
2024
£
£
Wages and salaries
197,639
140,920
Social security costs
13,703
8,967
Other pension costs
11,732
10,279
223,074
160,166
There were no employees whose annual remuneration was more than £60,000.
Remuneration of key management personnel

The remuneration of key management personnel was as follows:

2025
2024
£
£
Aggregate compensation
50,867
36,778
9
Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 20 -
10
Intangible fixed assets
Operating System
£
Cost
At 1 April 2024 and 31 March 2025
6,120
Amortisation and impairment
At 1 April 2024 and 31 March 2025
6,120
Carrying amount
At 31 March 2025
-
At 31 March 2024
-
11
Tangible fixed assets
Office equipment
£
Cost
At 1 April 2024
24,621
Disposals
(24,621)
At 31 March 2025
-
Depreciation and impairment
At 1 April 2024
24,434
Depreciation charged in the year
187
Eliminated in respect of disposals
(24,621)
At 31 March 2025
-
Carrying amount
At 31 March 2025
-
At 31 March 2024
187
12
Debtors
2025
2024
Amounts falling due within one year:
£
£
Trade debtors
5,336
3,247
Prepayments and accrued income
86,778
62,304
92,114
65,551
KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 21 -
13
Creditors: amounts falling due within one year
2025
2024
£
£
Other taxation and social security
4,671
638
Trade creditors
57,282
2,764
Other creditors
11,852
14,166
Accruals and deferred income
64,846
14,161
138,651
31,729
14
Retirement benefit schemes
2025
2024
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
11,732
10,279

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 amount recognised as an expense in the period was £11,732 (2024: £10,279)

15
Restricted funds

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.

At 1 April 2024
Incoming resources
Resources expended
Transfers
At 31 March 2025
£
£
£
£
£
Key Funds
86,217
42,988
(107,037)
(9,188)
12,980
Project funds
120,834
359,943
(459,765)
4,220
25,232
207,051
402,931
(566,802)
(4,968)
38,212
Previous year:
At 1 April 2023
Incoming resources
Resources expended
Transfers
At 31 March 2024
£
£
£
£
£
Key funds
100,324
80,154
(73,369)
(20,892)
86,217
Project funds (previously core funds)
48,694
293,312
(226,172)
5,000
120,834
149,018
373,466
(299,541)
(15,892)
207,051
KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 22 -
16
Unrestricted funds - Designated fund

These are unrestricted funds which are material to the charity's activities.

At 1 April 2024
Incoming resources
Resources expended
Transfers
At 31 March 2025
£
£
£
£
£
Project funds
136,060
427
(77)
-
136,410
Key Funds
27,182
-
-
-
27,182
LGA Foundation
-
5,500
-
-
5,500
Business Development
43,392
-
-
(15,892)
27,500
Key Funds Development
-
-
-
20,992
20,992
206,634
5,927
(77)
5,100
217,584
Previous year:
At 1 April 2023
Incoming resources
Resources expended
Transfers
At 31 March 2024
£
£
£
£
£
Project Funds
93,111
63,250
(20,301)
-
136,060
Keyfunds
27,280
-
(98)
-
27,182
KIT IT Implementation
27,500
-
-
(27,500)
-
Business Development
-
-
-
43,392
43,392
147,891
63,250
(20,399)
15,892
206,634
17
Unrestricted funds

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.

At 1 April 2024
Incoming resources
Resources expended
Transfers
At 31 March 2025
£
£
£
£
£
General funds
231,224
67,667
(105,251)
(132)
193,508
Previous year:
At 1 April 2023
Incoming resources
Resources expended
Transfers
At 31 March 2024
£
£
£
£
£
General funds
189,454
123,236
(81,466)
-
231,224
KEYFUND FEDERATION LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
17
Unrestricted funds
(Continued)
- 23 -

Key Funds

Represents funds received for distributions to groups of young people in order to implement the key projects they have planned by participating in The Key+ Challenge.

 

Project funds

Presents funds received to support the delivery of The Key+ Challenge to young people.

 

Business Development

The organisation embarked on a two-year development programme that will explore and support the area that they are looking to grow and expand. (Started at the end of 2024)

18
Analysis of net assets between funds
Unrestricted
Unrestricted
Restricted
Total
funds
funds
funds
general
Designated fund
2025
2025
2025
2025
£
£
£
£
At 31 March 2025:
Current assets/(liabilities)
193,508
217,584
38,212
449,304
193,508
217,584
38,212
449,304
Unrestricted
Unrestricted
Restricted
Total
funds
funds
funds
general
Designated fund
2024
2024
2024
2024
£
£
£
£
At 31 March 2024:
Tangible assets
187
-
-
187
Current assets/(liabilities)
231,037
206,634
207,051
644,722
231,224
206,634
207,051
644,909
19
Related party transactions

There were no disclosable related party transactions during the year (2024 - none).

2025-03-312024-04-01falsefalseCCH SoftwareiXBRL Review & Tag 2025.2033391202024-04-012025-03-3103339120bus:Director12024-04-012025-03-3103339120bus:Director32024-04-012025-03-3103339120bus:Director42024-04-012025-03-3103339120bus:Director52024-04-012025-03-3103339120bus:Director62024-04-012025-03-3103339120bus:Director72024-04-012025-03-3103339120bus:Director22024-04-012025-03-31033391202025-03-31033391202024-03-31033391202023-04-012024-03-3103339120bus:FRS1022024-04-012025-03-3103339120char:IndependentExaminationCharity2024-04-012025-03-3103339120bus:FullAccounts2024-04-012025-03-31xbrli:purexbrli:sharesiso4217:GBP