The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company 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 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019).
Rainbow Services (Harlow), known as Rainbow Services, works to alleviate the effects of disadvantage, poverty, deprivation, and social exclusion through imaginative projects that support, enable, and develop people and organisations, to stimulate beneficial change in the local community.
Rainbow Services aims to provide quality services and target those services into areas where there are no existing provisions, or where those who are disadvantaged are poorly served.
Where appropriate, research will be undertaken to identify unmet needs within the local community and, wherever possible, we will encourage community development through the provision of accessible and affordable services and activities. We employ an asset based community development (ABCD) approach to all our work.
All of our work is underpinned by our values of equality, inclusion, and collaboration, which support our stated objects of combating poverty and disadvantage and improving the quality of life for local groups and individuals.
The Trustees believe that the activities undertaken within the Charity, to fulfil the aims and objectives, are done so to further the public benefit.
The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
A massive thank you to our funders for funding us this year! It has been a busy one, as ever, and we are really proud of what we have achieved - Rainbow Services has an excellent reputation and is known for its delivery and partnership working.
Here are just a few of the highlights:
The Rainbow Centre is a voluntary sector campus and hub, where a range of community-based organisations share office space, facilities and internal support services. Casual desk space, a library resource, meeting rooms, and access to IT facilities are also offered to local groups and organisations.
Rainbow Services offers infrastructure support and development services to other not-for-profit organisations in Harlow. This includes providing information, advice, networking and learning opportunities and taking on a representational and influencing role in working with statutory and government agencies. The representation and liaison role is undertaken with local and county-wide strategic partnerships in situations where voluntary sector input is imperative to the planning, development and delivery process. This year, we have been a part of over 50 different steering groups, boards, and working groups.
During this year, we had 257 local not-for-profit groups affiliated with us, all of which received the following free of charge:
Weekly e-bulletin with news relevant to the voluntary sector (inc. free advertising for the sector),
Quarterly Voluntary Sector Forum, face-to-face networking with guest speakers,
Annual public-facing “Market Event” in Harlow Town Centre,
Unlimited 1:1 consultancy on all not-for-profit matters from setting up, to funding, to effective communications. Many of our affiliates have been helped in this way this year, with over 200 hours of free consultancy being given.
DBS checks
Training
Our infrastructure project this year was funded by Harlow Council and from our own reserves.
The Harlow Community Hub is an excellent example of Rainbow Services using its place in the community to bring together a partnership that has had huge benefits for the community of Harlow. Born out of our response to the Covid 19 pandemic, the Harlow Community Hub this year was funded by Harlow Council, Harlow Health Centres Trust, and the Integrated Care Board.
By bringing together a partnership consisting of Rainbow Services, Harlow Council, Foodbank Harlow, and Citizens Advice Bureau, we have been able to establish a crisis service, consisting of a helpline for four hours each day, and pop-ups at key locations around Harlow. The team carried out an average of 6 outreach sessions per week where we ‘popped-up’ in various venues across the town, such as schools, GP surgeries, play groups, clubs etc, to engage with a diverse group of people.
The in-house partnership means this is more than just a signposting service, and with dedicated staff from each organisation, it means we can respond in a fast, holistic way to support people in crisis, continuing to work with the family or individual for however long it takes to move them out of their crisis situation - this is one man’s story:
Ian required comprehensive support, including food, household essentials, furniture, and emotional reassurance. He was also in need of guidance on how to access available financial and community support while waiting for his UC payments to begin.
The Community Hub team first met Ian, a 28-year-old single man, late on a Friday in February 2025. He had been relocated to unfurnished accommodation in Harlow by Redbridge Council.
Ian had no furniture or basic household essentials and had no money or food. At this time, he was in the process of claiming Universal Credit, and his first benefit payment would be several weeks away, leaving him without any income.
Ian was also struggling with ongoing mental health difficulties, further impacting his ability to cope. Though Ian had emotional support from his older sister, she was a single mother with a young family and was unable to help financially.
During our initial contact at our regular Harlow Foodbank outreach, Ian was issued a foodbank voucher enabling him to get an emergency food parcel. He was also given crockery and cutlery.
We conducted a referral to Citizens Advice for general support and to assist with a successful application to the Essential Living Fund for a bed and sofa.
Ian returned the following Monday, grateful for the support he’d received so far. He told us he was relieved to have found safe accommodation, but he also mentioned that he was feeling quite cold in his new place. To help with this, we gave him a £35 Asda voucher, which he used to buy some bedding and a few essential kitchen items like pots and pans. We supplied him with a variety of winter warmer items, including a hat, gloves, a hot water bottle, and a blanket to make him more comfortable at home. Since Ian was still waiting for his first benefit payment, we helped him register for the Bounty scheme. We completed the forms with him, introduced him to the Community Supermarket, and gave him a £15 Bounty Credit Note so he could access groceries and essentials for a few weeks without needing any money. We also gave him seven hot meal vouchers, so he could have a nutritious home-cooked meal delivered once a day for a week.
Additionally, we signposted Ian to The Chocolate Run – a local soup kitchen for the homeless and vulnerably housed communities in Harlow. Here, he would be able to access a hot meal and refreshments on a Sunday as well as socialise and make some connections with local people in similar circumstances.
Thanks to these interventions, Ian’s immediate needs for food, warmth, and household basics were addressed. His sister called to express her thanks, saying how worried she had been about his well-being and that Ian was feeling reassured that support would continue to be available. He was encouraged to reach out if he needed further help. At the time of reporting, we have not heard from Ian, which we see as a positive sign, it suggests that he is managing well and adapting to his new community.
Ian’s move to a new town with no resources and very little support could have been overwhelming, but connecting with the Community Hub made all the difference. From the moment we met him, we were able to step in and help with the things he simply couldn’t manage on his own at the time.
In the last year, the Harlow Community Hub has helped over 1,400 households in Harlow.
Our cook and eat programme, Kelly & Kate’s Kitchen, has been running successfully for a few years now and continues to thrive. This year, it has continued thanks to funding from Active Essex and Harlow Creates. Participants learn how to cook healthy dishes, learn energy saving and budgeting tips from Citizens Advice Harlow, take away cooking appliances such as a slow cooker, and make new social connections. This year, we were excited to add a new element to some of the sessions with the arrival of our Cook, Eat, Create programme. Attendees at these sessions learnt how to cook simple budget budget-friendly, healthy dishes and were introduced to a creative activity too.
This year, we have run multiple additional special projects, including our first Prom event, which was delivered with support from NEST. Many of the families we work with had told us their young people were missing out on school proms because they simply couldn’t afford outfits to wear to them, so it was lovely to be able to do something to help with that.
We asked for donations of formal wear and accessories, and put on an event where young people could come and choose a special outfit at no cost to wear to their school prom. The project also highlighted the positive environmental impact of reusing pre-loved garments.
Thanks to funding from the Active Essex Winter Experience fund, we were able to put on a bumper Christmas Party for families we have worked with. We were joined by a brilliant entertainer, and our guests enjoyed an amazing festive themed feast.
Each family took away a festive hamper, and all the children met Santa and received a gift. Gifts were generously donated by Synthomer, Colas and via the Essex Police gift appeal. We welcomed 47 families (approximately 150 people).
Over Christmas, we worked with The Hill Group to support their first Kindness Day in Harlow, and at Easter, we partnered with these companies again to provide Easter Eggs to the families we support.
In the winter, we accessed and distributed various winter hardship funds to many groups and individuals. We used these to ensure vulnerable residents had access to food, essentials, and energy during the winter months and into the spring. We built partnerships with VCSE groups, schools, and businesses to enable this.
Our Youth Project works with young people aged 14-18 who have disengaged from education - we take referrals from schools, Essex Youth Services, the Police and Fire Services, parents, and other agencies, as well as working with the Youth Offending Team. The primary aim is to re-engage young people with education and positive role models, and we do this through teaching carpentry at our purpose-built workshop, demonstrating to the young people that there are ways of earning a good living and being part of a community without joining a criminal gang.
They are supported to develop their skills in communication, teamwork, initiative, and woodwork whilst also being encouraged to open up in a friendly, non-threatening environment.
In addition, young people can gain qualifications in carpentry and construction and are supported into other activities such as work experience and apprenticeships.
We work with around 150 young people each year. This is one young person's story, as read by the Jack Petchey Foundation, when presenting them with a Jack Petchey award this year:
“Personal Achievement - The first winner in this category is a young person who has been described by their club leader (Rainbow Services) as someone who, at first, wasn’t so confident at meeting new people and would not speak in large groups. She used to feel uncomfortable in new situations, for example, if she had to move to a new class, she would feel conscious and try to avoid the situation as many times as she could.
Fast forward to now, this young person is brilliant when working as part of a team. In the past, they found it difficult to get their point of view across and to get general agreement from the groups on how a problem should be solved. Now, by attending their club, this young person was given the space and time to socialise and get used to talking in large groups, so in turn their confidence has grown. Always knowing that the team were on hand to help and support, this young person now helps to solve problems and is more at ease in new situations and when meeting new people.
The club they attend is Rainbow Services. During their time at the club, they have developed many practical skills too, making bird boxes and a giant gazebo for Harlow Cricket Club, which is nothing short of amazing! Her experience working at the club has helped her in her own personal journey, at school and in the decisions she now makes. Looking to the future, she is more confident, and her club is extremely proud of her. Well done and huge congratulations to Amber.”
The Youth Project has been packed with many special projects this year, from our first all-female Fire Break course to watching a group of young people push their limits by gorge walking on an Essex Boys & Girls Club residential in Maes y Ladeon in Wales.
It was a great honour to be presented with an award by the High Sheriff Essex, David Hurst, in recognition of great and valuable service to the community.
We would like to particularly mention the Gangs and County Lines Workshop which was made possible through funding from the Safer Harlow Partnership. Rainbow Services collaborated with Essex Youth Service, Essex Police, Harlow Council and St Giles Trust to deliver awareness raising sessions at Harlow Playhouse for young people, professionals, parents and carers on county lines, knife crime and gangs
The event aimed to raise awareness and understanding of youth violence issues and help young people, education providers, parents and carers recognise the signs of exploitation and who they can talk to if they have any concerns.
100% of attendees said they gained a better understanding of county lines and the relationship between county lines and other forms of criminal activity.
The knowledge and expertise of the Youth Project team is also being acknowledged across Essex. We were invited to run a workshop on criminal exploitation, county lines and knife crime at the Youth Voice Day. Attendees took part in activities, had an opportunity to ask questions and hear from a member of their team about their lived experience.
Finally, we were invited by MP Chris Vince to visit Parliament with a group of young people. The group took part in a guided tour and had the opportunity to watch a live debate. A memorable day for everyone!
Our Youth project is funded by the Police Fire and Crime Commission, Police Violence and Vulnerability Unit, Postcode Lottery Trust, and The National Lottery.
Our Community Builder project aims to reduce social isolation and loneliness among those over 55. It is funded by The National Lottery and Mulberry Trust.
We have over 1,400 beneficiaries across Harlow and run over 26 clubs each week. We also run larger events each month, including trips to the coast, Christmas dinner, theatre trips, afternoon tea, and safe and social events. These are events where organisations, such as the police, come in to talk about protecting against scams.
We also have a dedicated Dementia role within the Community Builder team, and we run six dementia-friendly clubs and many more activities, such as walks around the park, as well as training other individuals and organisations in Harlow to become dementia friendly.
The Community Builder team also offers seated exercise classes across all clubs to help build core strength to reduce the risk of falls and unnecessary hospitalisation.
Enid, 84 years old.
When Enid’s husband was diagnosed with Vascular Dementia, it was a very frightening time for him and the rest of the family. She was told to contact us by the Memory Clinic at Latton Bush.
They were not a couple that attended clubs or played Bingo, but they were informed about the different ways we can support them with information, signposting and various clubs and activities that we organise.
After being referred to us by the Memory Clinic, they attended our club at St James’ Church and various activities.
Although her Husband gradually declined, he looked forward to attending the club each week. It helped them both very much with socialising with people who understand what living with Dementia is like and how they can support each other. They felt very welcome.
The club is tailored to meet the needs of those who are living with dementia. It is structured with a welcome and catch up, followed by a song, a quiz, a few games of hoy, some seated exercise and then finished with another song.
Enid and Arthur came along every week, until sadly, Arthur passed away. We kept in touch with Enid for a few weeks, until she decided she was ready to come back to the club and the friends that she had made since joining.
Enid loves coming to the club. She has made many new friends who have supported her through her grief, and then she decided that she wanted to help with the running of the club. She is now a Rainbow volunteer, helping to make tea and coffee and waiting on the other members, before joining in with the activities.
“I wasn’t sure if I would continue to go to the Rainbow clubs or events, but when I felt ready, I was made to feel part of a family, and I really look forward every week to seeing like-minded people. These occasions have helped me through hard times, and we are very grateful that we have Rainbow Services in Harlow. I would also like to thank all of the staff who organise everything for their tireless work, which gives us such enjoyment and support. My Son and I also signed up as volunteers, which we really enjoy.”
The Rainbow Family Contact Centre is a supportive environment where non-resident parents can see their children if the parental relationship has broken down. This is funded by the Essex Community Foundation, The National Lottery, and Harlow Health Centres Trust.
This is Carl’s story:
Carl had not seen his father since 2021 due to alleged mental, emotional and physical abuse against both Carl and his mother.
The Family Contact Centre received a referral for bi-weekly 2-hour supported contact sessions. At our first meeting, Carl’s father shared that he finds it ‘unbearable that he cannot see Carl’ and is very eager for the contact to start.
Through contact sessions, Carl and his father started to slowly build a relationship, playing with Lego, building bricks, arts and craft and outside in the garden area, as well as enjoying snacks together. They used their time to get to know each other again. All with the encouragement and support of our team.
At the point of review, the family told us ‘Contact is going well, and we are having a lot of fun.
Following regular, successful contact at our centre, the court allowed community contact to start. We have supported this, and steps have been taken to ensure parents can communicate via a co-parent app on their phones. We guided the family through this process to ensure a smooth transition for Carl.
A short while later community contact started with the centre only being used as a venue for secure and safe handovers between parents. This has been a positive journey for all involved and soon contact for this family will move fully into the community, with no need for contact centre involvement.
Our Health Matters is an NHS England funded project to tackle health inequalities. Our Project Co-ordinator works two days a week and recruits local health champions with lived experience to be a conduit for information both from the NHS but, more importantly, back into the NHS in order to influence pathways to care which might be leading to inequalities.
This is John’s story:
John was bereaved through suicide just over a year ago and was finding life very difficult due to the deterioration to his mental health. John is a member of a Gypsy, Roma and Traveller community. Members of this community have told us that mental health and suicide are still very much taboo within this community, and far fewer members of the community than average will seek medical support for this. Strongly held beliefs and traditions within the community mean that they can be ostracized for seeking support and phrases such as “man up” or “get on with life" are not uncommon. The community is also very close, and whilst this has its advantages it can also lead to a lack of confidentiality within the community, meaning that there is little chance to talk to others without everyone in the country knowing.
John engaged with us through his mother initially and then directly where we discussed his needs. He had already engaged with the GP and was being supported with medication. We discussed the services Chums (a counseling service for people bereaved by suicide) and decided that was more appropriate than any other form of counseling.
John was initially anxious and asked for a text contact before a phone call, but engaged well and is now undergoing weekly support. They come to our town and have a discreet venue to use. It has not been an easy process for John but he is seeing the benefits already. John is beginning to see the benefits and is now engaging with us regarding other matters that are important to him and that will support him further. He is engaging with other services which will make a considerable difference to his living situation and financial situation. And has recommended others to also engage with us over matters they would not ordinarily do.
We have secured funding from The D'Oyly Carte Charitable Trust to continue offering Singing for Lung Health free of charge for another year. Participants consistently report benefits such as improved breathing, fewer infections, and reduced hospital visits.
We hosted support groups for Diabetes and Menopause, sharing practical advice on nutrition and empowering attendees to engage more effectively with their GPs. Our partnership with Healthwatch Essex enabled four sessions focused on men’s health, encouraging open conversations and social connection.
Mental health and neurodiversity were the most discussed topics this year. We supported individuals through tailored advice and signposting and collaborated on a project exploring the experiences of women with multiple long-term conditions, offering further support where needed.
Through our work with Speak Out Essex, we held workshops that brought together diverse communities to share their experiences with Autism. Insights from these sessions were shared with Essex County Council to inform future support.
We also partnered with the Gypsy Roma Traveller community, attending neurodiversity-focused drop-ins for parents and children, continuing to provide guidance and resources.
In collaboration with the ICB and other organisations, we contributed to developing a mental health and well-being strategy, with a focus on adapting support for those with neurodiverse needs. We explored how loneliness and isolation impact mental health and how these issues interconnect.
Alongside these partnerships, we continue to work directly with individuals, empowering them to make informed health choices through accessible information and ongoing support.
As well as our own work, Rainbow Services is part of a consortium with our neighbouring CVS – Voluntary Action Epping Forest (VAEF). This consortium is called West Essex Community Action Network (WECAN) and delivers high-level statutory ideas at a local level, across West Essex, through partnership working.
WECAN projects are led by either Rainbow Services or VAEF, depending on expertise, geography, and capacity. Our projects during the year include:
Find Your Active: led by Rainbow Services, an Essex wide initiative funded by Active Essex to promote physical activity across West Essex. WECAN employs one member of staff who works in the community on a one-to-one basis supporting people into physical activity. This could be anything from a short walk to a marathon.
Digital Inclusion: Led by VAEF, the aim is to improve life outcomes for those who would benefit from a greater ability to use technology, or who might be in danger of becoming isolated or marginalised by not being able to use it to access services. For example, our team help people to access NHS online services, right from providing reconditioned hardware such as a phone or laptop, to installing the NHS app, and teaching people to use GP online services effectively, reducing the health inequalities caused by digital exclusion.
Bereavement Support: Led by VAEF, providing practical and emotional support for those suffering the effects of bereavement. Services include regular 1:1 support, as well as group sessions both face to face and online. The service can be accessed by adults, young people, and children.
Home From Hospital: Led by Rainbow Services, providing support for residents of West Essex being discharged from Princess Alexandra and Whipps Cross Hospitals. We provide services such as deep cleaning and decluttering homes to ensure they are safe to return to, moving furniture to accommodate medical equipment, hot meal delivery, key safe installations, and anything else that is preventing the safe return home of the patient. We then provide welfare calls to the patient over a six week period to help ensure they can remain independent at home and prevent hospital readmission.
For further information on WECAN and our projects, please visit the WECAN website at westessexcan.org.
During the year the charity received income of £684,247, an increase of £106,915 on the previous year (2024: £577,332). Our income comprises £125,478 for unrestricted charitable purposes an increase of £6,061 on the previous year (2024: £119,417) and £558,769 for restricted charitable purposes, which represents an increase on the previous year of £100,854 (2024: £457,915).
Expenditure for the year totalled £633,859 which was an increase of £159,135 on the previous year (£474,724). The expenditure comprises £106,094 for unrestricted charitable purposes an increase of £33,345 on the previous year (2024: £72,749) and £527,765 for restricted charitable purposes, which represents an increase on the previous year of £125,790 (2024: £401,975).
At the year end the charity recorded a surplus of £48,433 including an unrealised loss on investments of £1,955 compared to a surplus of £118,159 after a unrealised gain on investments of £15,551 in the previous year. The surplus of £48,433 is made up of a surplus on unrestricted funds of £17,429 (2024: £62,219) and a surplus on restricted funds of £31,004 (2024: £55,940).
The reserves carried forward at the year end total £471,963 (2024: £423,530) of which £348,996 is unrestricted and £122,967 is for restricted charitable purposes (see note 17). The Trustees have designated £52,100 of the unrestricted funds (see note 19) for specific purposes leaving available reserves of £296,896 which equates to just under six months’ worth of running costs.
The nature of charity funding is that grants are often received up front for projects that run over multiple accounting periods with the results that surpluses in the year of receipt and deficits in the year of expenditure are not uncommon. This year reflects the situation where we have received some funding upfront that is shown in income and whilst some of this has been expended during the year the balance will be expended next year, giving rise to fund balances carried forward at the year end, in the case of restricted funds these are shown in detail in note 17.
Rainbow Services is a flexible and reflective organisation that can respond quickly to opportunities, change, and emerging issues. As such the Trustees have decided that the organisation will hold reserves appropriate to the level of activities and to reflect the importance that beneficiaries and funders may place on the ongoing viability of the organisation. To underpin this, the reserves policy was developed, giving due consideration to all the risks and opportunities that the charity currently faces or may face in the future. Action relating to the management of the reserve position takes place when appropriate to ensure compliance with the accounting and reporting regulations and to promote best practice.
An important aspect of the Trustees' governance responsibilities focuses on the organisation's risk management framework. This was developed to ensure a consistent approach to all areas of financial, organisational, and operational risk.
An action plan is in place to mitigate all identified risks and this is reviewed quarterly, amended appropriately, and any required actions implemented. The action plan and all associated risk areas are monitored by the internal Audit Committee which reports directly to the Board of Trustees.
The Trustees examine the major risks and opportunities that the charity faces each financial year when preparing, updating and monitoring the strategic plan. The charity has developed systems and processes to review and to control these risks and to mitigate any impact that they may have on the charity in the short, medium or longer term.
Moving forward, our sustainability plan is ever evolving and developing. We have now demonstrated that we can consistently generate our own unrestricted income through selling our community expertise to public and private organisations, in particular our expertise in public consultation and youth engagement.
We have identified new premises, which we hope to move into very soon, so that we can grow the Youth Project further to support growing numbers of referrals and provide suitable office accommodation for all our staff. We need to vacate our current premises, as they are scheduled for regeneration.
We would like to continue this year's work on developing our impact assessments to demonstrate more fully the impact our projects are having in the community. Demonstrating impact is notoriously hard in the voluntary sector, but we are working with academics and new impact tools to help achieve this. We have progressed well with this, and in the coming year hope to finalise these and develop a template for all projects going forward.
We will also be embarking on a larger piece of work with Sport England and have recently found out that the development phase was such a success, we have now secured further funding for three years. We will be employing three new members of staff to carry out this work, and we look forward to seeing the results for our beneficiaries.
Rainbow Services (Harlow) has been an independent charity and company limited by guarantee since 16th August 1999, charity registration no.1077228, company no. 3826440. The charity is governed by its Memorandum and Articles of Association.
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:
Open recruitment takes place as and when there are Trustee vacancies, and all applicants are selected against a Trustee job description and person specification.
Rainbow Services is governed by the Board of Trustees, who delegate operational responsibility to the CEO (Sharon Summerfield). Full Board meetings are held quarterly when financials and strategic direction are discussed and set. There are also sub-committees; Remuneration Committee, Audit Committee, and Communications Committee - which meet separately throughout the year.
All new Trustees are inducted using our Trustee welcome pack and training material.
Our Remuneration Committee meets in January to discuss staff salaries for the coming year. The Committee's recommendations are then taken to the full board in March to be ratified for implementation in April. We look at local market rates and inflation when setting salary uplifts, as well as national comparison reports from organisations such as the National Association for Voluntary and Community Action (NAVCA).
The trustees' report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of Rainbow Services (Harlow) (the charity) for the year ended 31 March 2025.
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.
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 Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
accounting records were not kept in respect of the charity as required by section 386 of the Companies Act 2006.
the financial statements do not accord with those records; or
the financial statements do not comply with the accounting requirements of section 396 of the 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
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.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Rainbow Services (Harlow) is a private company limited by guarantee incorporated in England and Wales. The registered office is The Rainbow Centre, 2 Wych Elm, Harlow, Essex, CM20 1QP.
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” (“FRS 102”) 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)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of certain financial instruments at fair value. 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.
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected.
Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included in the balance sheet as deferred income to be released.
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.
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.
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.
Investments
Other staff costs
Project costs
Premises costs
Insurance costs
Repairs and maintenance costs
Office costs
Computer costs
Volunteer expenses
Travel and subsistence costs
General expenses
Legal and professional costs
Advertising
Bank charges
Governance costs
The average monthly number of employees during the year was:
The remuneration of key management personnel was as follows:
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.
The specific purposes for which the funds are to be applied are as follows:
Harlow Community Hub - the aim of this project is to bring together various other local community based charities in order to further the main aims of the Charity. A variety of different events and initiatives were run to aid the local community including cooking courses and school uniform exchange. Income totalling £130,586 was received in the year from Harlow District Council, Essex County Council, Active Essex, NHS Herts and West Essex Integrated Care Board and People's Postcode Lottery as well as smaller donations.
Youth Project - this project aims to assist young people who have disengaged from education with the aim to re-enrol them back in school or other institutions such as Police and Fire Services. £122,387 was received in the year from a variety of donors - with the main benefactors being Essex Police - Violence & Vulnerability Unit, Essex PCC, People's Postcode Lottery and National Lottery Fund.
Community Builder - the project aims to reduce social isolation and loneliness among the over 65’s. Activities offered include trips to the coast, Christmas dinner, theatre trips, afternoon tea and other social events. We also have a dedicated Dementia role within the Community Builder team, and so we run dementia friendly clubs, and activities such as walks around the park, as well as training other organisations in Harlow to become Dementia Friendly. The Community Builder Team also offers seated exercise classes across all clubs to help build core strength to reduce the risk of falls and unnecessary hospitalisation. £155,424 was granted in the year from various benefactors including but not limited to Big Lottery, Garfield Western, Active Essex and NHS West Essex Clinical Commissioning Group.
Rainbow Family Contact Centre - this year we have opened the Rainbow Family Contact Centre, a supportive environment where non-resident parents can see their children if the parental relationship has broken down. This is funded by Essex Community Foundation and The National Lottery. This project has received funding in the year amounting to £19,315 - £13,242 was received from Essex Community Foundation, £3,992 from Harlow Health Centre Trust, £1,981 from the Big Lottery with the remaining £100 coming from other donations.
Core20Plus5 - Our Health Matters is an NHS England funded project to tackle health inequalities. Our Project Co-ordinator works two days a week and recruits local health champions with lived experience to be a conduit for information both from the NHS, but more importantly back into the NHS in order to influence pathways to care which might be leading to inequalities. Income in the year included West Essex Clinical Commissioning Group £18,062, Active Essex £5,000 and NHS Herts and West Essex Integrated Care Board £5,860.
Thriving Communities - also known as “Let’s Get Connected” - this project was a short-term project where Rainbow Services, for the first time, provided grants for not for profit organisations looking to pump prime local activities which got people back together following the Covid-19 pandemic. This was primarily funded by the Contain Outbreak Management Fund administered by the West Essex Clinical Commissioning Group (Now Herts and West Essex ICS).
Harlow Community Fund - a local business very generously gave us their Christmas bonus to start the Harlow Community Fund. This fund helps people in Harlow to buy essential living items such as beds, cutlery, cookers etc., and works alongside our Harlow Community Hub project.
Place Partnership Expansion (PPE) is a programme launched by Sport England to revitalise local communities through physical activity, movement, and sport. The PPE programme seeks to provide positive experiences for children and young people, increase physical activity, tackle inactivity and provide local solutions to inequalities that prevent residents from being more physically active.
WECAN Digital Inclusion Project aims to increase online connection for vulnerable people and minority groups in Harlow and Uttlesford.
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.
There were no disclosable related party transactions during the year (2024 - none).
During the year the charity had the following related party transactions:
West Essex Community Action Network (WECAN)
WECAN is a consortium of Rainbow Services that runs projects covering West Essex. Rainbow Services were paid £47,289 (2024: £6,850) during the year by WECAN. During the year the charity received a restricted donation of £15,000 for WECAN and subsequently made a payment to them of the same amount.
During the year expenses were recharged to WECAN totalling £11,851.
No amounts were owed between the related parties at the year end.
The charity had no material debt during the year.