In our capacity as Trustees of The Gingerbread, we are honoured to present the Trustees Report and audited financial statements for the fiscal year concluding on 31 March 2025. These financial statements adhere to the Statement of Recommended Practice Accounting and Reporting by Charities (SORP 2019) and fully meet the statutory requirements outlined in the charity's governing document.
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).
Our core objectives and primary activities encompass the following:
1. Accommodation for Vulnerable Families, Young Parents and Single Pregnant Women
We extend short-term, supported accommodation to vulnerable families, young parents, and single pregnant women, with the emphasis on support and providing a safe haven during their time of need.
2. Providing Support in Time of Need
Our foremost goal is to offer intensive, tailored support through individual support plans including advice, activities and assistance within Stoke on Trent, Staffordshire, and the surrounding areas to individuals facing hardship, distress, or challenging circumstances.
Our decision-making process aligns meticulously with guidance provided by the Charity Commission, ensuring the charity's activities remain in harmony with our mission.
We confirm that we have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
Gingerbread Family Support has been a steadfast pillar of support for vulnerable individuals in the Stoke-on-Trent region since its establishment in 1977, accumulating 48 years of dedicated service.
Our beneficiaries receive not only shelter but also personalised guidance tailored to their unique circumstances. This support transforms their outlook on life, enabling them to perceive new opportunities. We facilitate activities and situations that enhance their self-confidence and furnish them with the skills necessary to envisage a brighter future.
Our charitable operations span two dedicated centres in Stoke-on-Trent:
Rothesay Court, Normacot: Homeless Families Unit
Rothesay Court constitutes a sanctuary for homeless families, including single parents, expectant mothers, fathers, and couples. Comprising 22 units of supported accommodation, it offers seven resettlement support areas. This support encompasses vital life skills such as budgeting, building support networks, accessing training, securing stable housing, and transitioning to independent living.
Resettlement support is thoughtfully provided to families as they embark on the journey to establishing a new, secure home. Our dedicated staff collaborates closely with social care services, health professionals, midwives, local housing providers, and mental health services, while also forging partnerships with local charities and organisations. This multi-pronged approach seeks to empower residents to harness their own skills, knowledge, and resourcefulness to live independently. Personalised support plans, grounded in evidence-based tools, are individually crafted for each resident.
Our Activity Club, based at Rothesay Court, operates within a children and young people's activity centre, equipped with a purpose-built outdoor play area. The Activity Team extends its services to Catherine Court as well, ensuring families can access these enriching opportunities. In addition to a regular roster of internal activities, we organise numerous outings to local attractions, events, and leisure facilities, enriching the lives of those we serve.
Catherine Court, Hanley: Teenage Parents Unit
Catherine Court offers accommodation-based support exclusively for expectant teenage mothers, teenage parents seeking to develop the skills necessary for effective parenting, and the pursuit of independent living in their own homes. The facility encompasses seven self-contained flats and four two-bedroom properties, providing 24-hour supported accommodation for pregnant or parenting teenagers aged 16-19, alongside their children. Floating support is available for up to three months following the transition to independent living.
Care Leavers
A change in legislation for care leavers aged between 16 and 18 in late 2023 dictated that we must become OFSTED registered in order to offer accommodation and support to young parents who are care leavers. We are in the process of registering with OFSTED and currently waiting for the registration to be accepted.
At The Gingerbread Centre, we are proud to maintain consistently high occupancy rates across both units throughout the year, attesting to the substantial demand for our services.
Void Management
It is worth noting that the teams at both sites worked incredibly hard to keep voids to an absolute minimum throughout the year and successfully achieved that aim. This was helped in part by the reduced availability of move-on properties which saw families waiting, on average, an extra 2 months to find their next home.
New Services
We were awarded the contract to deliver Tier 2 Family Support across Staffordshire Moorlands and Newcastle-under-Lyme for Staffordshire County Council. The service went live on 01 April 2025 with a formidable team of experienced Family Support Worker who are being transferred over to The Gingerbread Centre under a TUPE process as the service has been operating for a number of years.
We were also awarded the contract to deliver floating housing support to vulnerable families across Stoke-on-Trent as part of Stoke’s Family Matters initiative. This initiative is Stoke’s response to increasing numbers of children in care with several work steams now working together. We are working with the family support workstream in conjunction with four Locally Trusted Family Support organisations and Family Support Coordinator teams.
Prevention, Early Intervention and Longer-term Support
We are also laying the foundations to extend our reach of support and increased access to our family and housing support to more families and young parents in the community with the development of an Outreach service and inviting children and young people to sessions at our Activity Club. Our aim is to develop in-roads towards prevention, early intervention and longer-term support.
The core charitable activities are primarily supported by two commissioned service contracts disclosed as restricted funds. During the financial year, these Supporting People contracts raised income of £216,827 (2024: £209,680) and an additional £27,000 (2024: £32,500) was generated by fundraising. Total costs of Supporting People activities were £261,586 (2024: £235,297) which left a deficit of £17,759 (2024: £6,883 surplus). In this financial year we also showed a deficit in the Activity Club, which is mostly funded by a restricted Children in Need grant. Including the addition of a restricted capital donation of £367,000 the total restricted funds for the year show a surplus of £354,116.
In total we received unrestricted income of £1,075,997 (2024: £914,978) with unrestricted expenditure of £895,127 (2024: £823,971). After investment losses of £nil (2024: £5,116) the unrestricted fund surplus in the year was £180,870 (2024: £85,891).
Reserves are held to ensure that the Charity has the ability to withstand any unforeseen drops in income and to provide capital for future strategic growth.
At the balance sheet date, the Charity had total reserves of £913,850 (2024: £378,864) of which £533,711 (2024: £355,742) are unrestricted reserves. The Management Committee considers the current reserves are an adequate buffer against risks that cannot be negated by other means, whilst underpinning the strategic plan for the future of the Charity.
At the balance sheet date, the Charity held cash at bank and investments totalling £631,177 (2024: £499,726). As with reserves, these liquid funds provide a buffer against unforeseen drops in income or working capital providing security that the Charity will be able to meet its financial obligations as they fall due.
Aim of Reserves Policy
To ensure Trustees comply with current legislation and recommendations from the Charity Commission regarding reserves and their use.
To maintain a sufficient level of reserves to allow the charity to continue to operate for a period of up to 2 months, should a shortfall in income occur.
To maintain a sufficient level of reserves to allow the charity to wind down, should it be necessary.
To take account of potential financial risks to the charity.
To prepare for contingencies that may arise from time to time.
To ensure the level of reserves is reviewed on an annual basis.
To ensure reserves are used to generate income.
To ensure the management of reserves is exercised in the best interest of the charity.
Reserves Policy
It is our policy to assess the level of reserves require by using the Risk Identification approach, which is used by most charities.
When deciding the level of reserves held by the charity, consideration will be given to cash flow, existing funds, future income streams, committed expenditure, changes in legislation, risk identification and the future needs of the charity. This approach ensures that the reserves held are not too high or too low, and that we hold sufficient reserves for any contingencies that may occur.
All financial calculations and risk assessments will be reviewed and updated annually.
An acceptable reserves level will be set based on covering identified risks. The Board may release reserves for new projects and services, to assist the aims of the Charity, as long as the level of reserves remains above the minimum requirement, taking into consideration a deficit budget.
Unrestricted reserves will reduce in the event of an annual deficit.
Restricted funds are excluded from the Reserves Policy and are accounted for separately.
Trustees are empowered to invest unrestricted reserves in accordance with the Investment Policy.
Navigating Risks and Uncertainties
At the heart of The Gingerbread Centre's governance lies a robust risk management process. This process hinges on the meticulous upkeep and scrutiny of a comprehensive risk register. Within this register, we identify and evaluate major risks meticulously. These risks undergo regular review under the careful supervision of our Chief Officer and Management Committee during scheduled meetings. To effectively navigate these risks, we have established a set of systems and procedures.
Primary Risks in Focus
a) Loss of Supporting People contracts
The situation regarding the Supporting People contracts is still very much up in the air as we enter the last year of our current contract. Our reliance on voluntary contributions to bridge the funding gap required to maintain our existing core support service level is as much needed now as ever before. To mitigate the risk of further cuts throughout the contract's remaining term, the unknown situation of any continuation or renewed contract after March 2026, we have devised a multi-pronged approach, which includes:
Sustaining exceptional performance outcomes
Achieving favourable and positive service review reports.
Forging close collaborations with commissioners, positioning us favourably for successful contract retenders
Repositioning ourselves as a Family Support service to compliment the accommodation we offer to homeless families and young parents
Become OFSTED registered
Develop an outreach service
Further invest and develop our fundraising strategy with the aim of increasing our voluntary and unrestricted income as well as our Trusts and Grants programme to develop services and projects through restricted income
b) Ensuring Financial Sustainability
Maintaining financial sustainability presents an ongoing challenge, given the stringent budgets associated with our primary contracts and the limited diversity in our income streams. In response, we are proactively crafting a robust fundraising strategy that now encompasses a dedicated focus on securing Trusts and Grants funding. Simultaneously, we are actively exploring partnerships and collaborative ventures with other service providers and organisations. Additionally, we are proactively pursuing service tenders for complementary offerings. The looming presence of rising living costs, surging energy prices, escalating inflation, and further calls for efficiencies and cost savings from our commissioned services portend an increased reliance on voluntary income in the near future.
c) A Purpose Built Supported Accommodation Property
Our initial tentative steps towards developing a third supported accommodation have gathered pace. In July 2024 we received a donation to buy an acre and a half site in Fegg Hayes, Stoke-on-Trent (North) – a donation beyond our wildest dreams.
We also received a tremendous offer of pro-bono support to develop plans for a 54 bed supported accommodation purpose designed for Gingerbread with the aim of securing full planning permission to build. Those plans were submitted as a part of our application for full planning permission to Stoke Council just before Christmas 2024. We await the outcome of Stoke’s Planning Committee process.
Safeguarding Reputation
Gingerbread enjoys a sterling reputation among local residents and stakeholder partners. To protect this invaluable asset, we are committed to a series of mitigating actions, foremost among them:
Unwavering commitment to delivering exceptional service.
Strict adherence to agreed-upon policies and procedures.
A concerted focus on the recruitment, retention, and professional development of our dedicated staff.
Roadmap for the Future
Our steadfast commitment to providing supported accommodation and related services at Rothesay Court and Catherine Court remains unwavering, contingent upon securing satisfactory funding arrangements.
Our strategic ambition centres on establishing the capacity to deliver our Supported Accommodation model to homeless families by acquiring our own property(ies). Such a "new" building would primarily supplant the accommodation at Rothesay Court and, ideally, replace Catherine Court's facilities. In addition to these benefits, it would usher in economies of scale, particularly in terms of staffing costs during evening, weekend, and night hours, aligning with our objective to eliminate lone working periods.
Our Trustees convene to chart the Charity's strategic course. They concur that diversifying our funding sources forms an integral component of our risk management strategy, ensuring the charity's financial sustainability while expanding our reach to serve more individuals in need.
Gingerbread Family Support is a registered charity and is a company limited by guarantee and is constituted under a Memorandum of Association dated 18th April 2016.
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:
None of the Trustees has any beneficial interest in the company. All of the Trustees are members of the company and guarantee to contribute an amount not exceeding £10 in the event of a winding up.
Recruitment and Appointment of the Management Committee
Under the requirements of the Memorandum and Articles of Association the members of the Management Committee shall retire from office in rotation every three years at the Annual General Meeting, after which they can be re-elected, if willing to stand and if the vacancy remains.
The Management Committee seeks to ensure that the needs of the organisation and its client group are appropriately reflected in the diversity of the Trustee body. To maintain this broad mix of skills, members of the Management Committee are requested to complete a skills audit which is updated each year. If skills are lost or numbers of members decrease due to retirement, then recruitment will take place.
Introduction of new Trustees is done via word of mouth and personal recommendation, or via a specialist recruitment activity.
The Gingerbread Centre has a Management Committee who meet at least four times per year and who are responsible for the strategic direction and policy of the Charity. At present the Management Committee has eleven members from a variety of professional backgrounds relevant to the work of the charity.
In July 2022 we saw the appointment of Trevor Cottam as CEO. A scheme of delegation is in place and day to day responsibility for the provision of services rests with the Chief Officer, along with the Senior Management team. The Chief Officer has responsibility for all aspects of the day to day operations of the Charity to ensure that it delivers the services specified, remains strategically relevant and that key performance indicators are met. The Chief Officer currently also has responsibility for funding and health and safety. The Head of Services is responsible for the day to day operational management of the supported accommodation at both Rothesay Court and Catherine Court. The Finance Manager has responsibility for all day-to-day financial matters of the organisation.
Most Trustees are already familiar with the practical work of the Charity. New Trustees are given relevant information about their roles and responsibilities and about the Charity in accordance with our policy for appointment of Trustees. Trustees are encouraged to visit the Charity, to attend viewings of the premises, and informal meetings are held with the Chief Officer and staff. Training opportunities are circulated to Trustees, and they participate in planning meetings with senior management.
During the Trustee induction new Trustees are provided with a comprehensive handbook covering all relevant policies, procedures, and other relevant information, such as a copy of the Essential Trustee.
Arrangements for setting the pay of the Charity's key personnel is currently the same as for all other employees. As part of the budget setting process for the new budget year, a salary increase option appraisal is taken for the Trustees for discussion and decision, included is a simple benchmark of local salary rates for similar roles and this information feeds into the discussion. The Management Committee then consider staff remuneration and salary increases in relation to their finances.
In accordance with the company's articles, a resolution proposing that be reappointed as auditor of the company will be put at a General Meeting.
The trustees' report was approved by the Board of Trustees.
The trustees who are also directors of The Stoke-on-Trent and District Gingerbread Centre for the purposes of company law, are responsible for preparing the Trustees’ Annual Report (including the Strategic Report) and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP 2019 (FRS 102);
make judgements and estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
there is no relevant audit information of which the charitable company’s auditor is unaware; and
the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Opinion
We have audited the financial statements of Gingerbread Family Support Limited (the ‘charity’) for the year ended 31 March 2025 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
the information given in the financial statements is inconsistent in any material respect with the trustees' report; or
sufficient accounting records have not been kept; or
the financial statements are not in agreement with the accounting records; or
we have not received all the information and explanations we require for our audit.
As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
As part of our planning process:
we enquired of management the systems and controls the charity has in place, the areas of the financial statements that are most susceptible to the risk of irregularities and fraud, whether there was any known, suspected or alleged fraud. the charity did not inform us of any known, suspected or alleged fraud.
We obtained an understanding of the legal and regulatory frameworks applicable to the charity. We determined that the following were most relevant: the Charity SORP. FRS 102, Charities Act 2011. Companies Act 2006.
We considered the incentives and opportunities that exist in the charity, including the extent of management bias, which present a potential for irregularities and fraud to be perpetuated, and tailored our risk assessment accordingly.
Using our knowledge of the charity, together with the discussions held with the charity at the planning stage, we formed a conclusion the risk of misstatement due to irregularities including fraud and tailored our procedures according to this risk assessment.
The key procedures we undertook to detect irregularities including fraud during the course of the audit included:
Identifying and testing journal entries and the overall accounting records, in particular those that were significant and unusual.
Reviewing the financial statement disclosures and determining whether accounting policies have been appropriately applied.
Reviewing and challenging the assumptions and judgements used by management in their significant accounting estimates.
Assessing the extent of compliance, or lack of, with relevant laws and regulations.
Assessing the validity of the classification of income, expenditure, assets and liabilities between unrestricted and restricted funds.
Obtaining third party confirmation of material bank balances.
Documenting and verifying all significant related party balances and transactions.
Reviewing documentation such as charity board minutes for discussions of irregularities including fraud.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. The risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
BK Plus Audit Limited (Formerly Geens Limited) is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under of section 1212 of the Companies Act 2006.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 15 to 28 form part of these financial statements.
The Stoke on Trent and District Gingerbread Centre Limited is a charitable company limited by guarantee incorporated in England and Wales. The registered office is Rothesay Court, Furnace Road, Stoke on Trent, ST3 4LY.
The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, 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)". 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 unless otherwise stated in the relevant accounting policy.
A 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.
Designated funds comprise funds which have been set aside at the discretion of the trustees for specific purposes. The purposes and uses of the designated funds are 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.
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.
Rental income is recognised on an accruals basis.
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.
Donated professional services are recognised in income at their fair value when their economic benefit is probable, it can be measured reliably and the Charity has control over the item. Fair value is determined on the basis of the value of the gift to the charity. For example the amount the charity would be willing to pay in the open market for such facilities and services. A corresponding amount is recognised in expenditure.
No amount is included in the financial statements for volunteer time in line with the SORP (FRS 102).
Income from government grants, are recognised when the Charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.
Liabilities are recognised as resources expended where there is a legal or constructive obligation committing the charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under appropriate headings. Where costs cannot be directly attributed to particular headings (support costs) they have been allocated to activities on a basis consistent with use of the resources.
The cost of Raising Funds include costs of generating voluntary income and fund raising trading plus a share of support costs.
Charitable Activities comprise those activities set out in detail in the report of the trustees
Governance costs are those associated with the governance arrangements of the charity which relate to the general running of the charity. This includes internal and external audit, insurance costs. legal advice for trustees and costs associated with constitutional and statutory requirements such as the cost of trustee meetings and preparing the statutory accounts, plus a share of support costs.
Support costs are those costs incurred in the support of the fund raising, governance and charitable activities which cannot be directly attributed. They have been attributed to activities as described in the notes to the financial statements.
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:
Freehold land is not depreciated.
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
The charitable company only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of any bank loans which are measured at amortised cost using the effective interest method.
The company is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes, Accordingly, the company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
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.
There are no areas of critical estimates or judgements in the financial statements.
Offers supported accommodation for homeless families and expectant teenage mothers.
The activity club encourages interaction through play between children and their parents to build on family relationships.
No trustees received any remuneration in the year. No trustees received reimbursement of expenses in the current year.
The average monthly number of employees during the year was:
During the year, the charity made £nil (2024: £nil) redundancy and termination payments.
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.
This income has been deferred to the following year due to the timing of the company's entitlement to it.
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.
Children in Need
This project provides an activity club to parents and children of vulnerable families facing homelessness. It also supports children and young people to increase their level of social integration, improve their well-being and develop pride.
Big Lottery CCTV
Funding for the provision of CCTV at Catherine Court.
Supporting People - Rothesay Court
Funding for the provision of Accommodation and Support at Rothesay Court.
Supporting People - Catherine Court
Funding for the provision of Accommodation and Support at Catherine Court.
Working with Families
Funding to support family wellbeing through activities, days out and workshops.
Activity club development fund
Funding from Gladmans Properties to develop the activity club out into the community, still on going.
Land reserve
Funding from Gladmans to acquire land at Oxford Road. Planning permission now granted for new build containing 54 units, Capital Appeal being drafted.
GB Business Collective
Funding to set up a Business Collective, unfortunately Fundraising Manager left part way through the project therefore the balance of £6.3k has been carried forward. The new Fundraising Manager will be picking this up in this coming year and spending that balance.
The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:
Emergency Fund
A hardship fund for residents.
Furniture renewals
A fund for the cyclical renewal of furniture in resident accommodation.
Oxford Road
A fund for the security and development of the land/site at Oxford Road.
General funds
These are unrestricted funds that are not designated.
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
Other than remuneration to key management personnel there were no disclosable related party transactions during the year (2024 - none).
The charity had no material debt during the year.