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 The funds of the company'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 aims to 'provide a non-profit making, community transport service for the benefit of the residents of South Derbyshire and surrounding areas in the interests of social welfare and for the preservation of health of those in need, hardship and distress by reason of age, infirmity, mental or physical ability with the object of improving their condition of life'
Services may be used by community groups/individuals meeting our eligibility criteria and who are affiliated with us and have pre-booked in advance. Services assist vulnerable children and adults to maintain independence and provide improved life quality, increase choice and assist with social integration. Occasional non-profit social outings are provided for registered members.
Significant Activities
Two types of service are currently provided for those who are eligible:
Group Transport (community and eligible groups)
Home to School/Training Centre Services for children and adults with special educational needs/disabilities
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the The funds of the company should undertake.
Charitable activities
The provision of specialised transport services.
These represent the main income source of the charity.
Staff retention and recruitment is still posing a problem to the charity, with staff deciding it’s time to retire. The NLW increase is also still causing concerns, as this simply cannot be passed on to the customers at the rate in which it’s increasing.
The decision not to replace the office manager is working well, ECT personnel take control of the office, with a duty officer on site. This is working well as all can either work on site at CTSL or remotely from office or home. This system ensures support is always available.
Fountains School contracts continue to operate with a further two years left on the current tender term. These work seamless with the only problem faced are road closure which have seemed constant over the past few months.
Group Transport services continue to grow, increases have been applied to the hourly rate, this is essential in retaining staff, and covering costs of vehicles etc. ECT do have to step in on occasion due the availability of CTS staff during the days.
We took delivery of a new vehicle in August of this year, we have also updated the fleet leasing from ECT.
This is essential to have the security of reliability especially in the winter months.
A new maintenance contract was signed with Littles (who are now part of the Wellglade/Trent Group following a buy out in October 2024), this will run for 5 years, engineers attend site for the majority of the work.
The total net income from unrestricted activities amounted to £44,745 (2024: £12,295). There was net expenditure on restricted funds of £12,493 (2024: £4,365).
The net effect of the above is a total net surplus of £32,252 (2024: £7,930) which has been added to reserves to give total funds as at 31 March 2025 of £1,122,782 (2024: £1,090,530) of which £1,005,729 (2024: £960,984) is unrestricted and £117,053 (2024 £129,546) is restricted.
The trustees consider that the charity has sufficient reserves and liquid funds to prepare accounts on a going concern basis.
It is the policy of the The funds of the company that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue The funds of the company’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
It is the trustees' policy to accumulate and hold reserves at such levels as required to even out future fluctuations in income and expenditure, whilst enabling the services to be maintained.
Designated reserves are currently invested in a bank current account. These reserves amounted to £107,500 as at 31 March 2025 (2024: £107,500).
The designated funds related to a contingency fund of £50,000 with the remainder for vehicle replacement.
We are required by law to ensure sufficient reserves are held (cash/assets) to be realised if necessary to cover costs involved in the event the Scheme 'winds up'. Out accounts show we can cover all costs involved.
The funds of the company is a company limited by guarantee.
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:
The board of trustees, which can have no less than three members, or one tenth of the membership, whichever is greater (but is not subject to a maximum upper limit), is responsible for the administration of the charity. The board and any subsequent sub committees thereof, meet regularly as required.
The purpose of these meetings is to discuss the development of the charitable company, personnel issues, operational and financial matters. Managers have been appointed by the trustees to manage the day to day operations of the charity.
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
The board of trustees, which can have no less than three members, or one tenth of the membership, whichever is greater but is not subject to a maximum upper limit, is responsible for the administration of the charity. The board and any subsequent sub committees thereof, meet regularly as required.
Two managers employed by Trustees each having delegated authority to facilitate day to day operations.
Co-managers:
Mrs Tina Appleby (Finance)
Ms Jackie Hrynczyszyn (Personnel)
The trustees' report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of Community Transport (Swadlincote) (the company) for the year ended 31 March 2025.
Having satisfied myself that the financial statements of the The funds of the company 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 The funds of the company’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 The funds of the company’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 of 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 The funds of the company 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.
Community Transport (Swadlincote) is a private company limited by guarantee incorporated in England and Wales. The registered office is George Holmes Way, Swadlincote, Derbyshire, DE11 9DF.
The funds of the company have been prepared in accordance with the The funds of the company'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 The funds of the company is a Public Benefit Entity as defined by FRS 102.
The The funds of the company 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 funds of the company. 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 freehold properties and to include investment properties and 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 funds of the company has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Income is recognised when the funds of the company 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 funds of the company 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.
Legacies are recognised on receipt or otherwise if the funds of the company has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
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.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
At each reporting end date, the The funds of the company 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 The funds of the company 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 The funds of the company's balance sheet when the The funds of the company 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 The funds of the company’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 The funds of the company 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 company's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The average monthly number of employees during the year was:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
Included in cost or valuation of land and buildings is freehold land of £80,314 (2024 £80,314) which is not depreciated.
The valuation of the freehold property was made by professional valuers, on an open market basis, as at 17 December 2014. Freehold properties were stated at valuation to 31 March 2016. Under FRS 102 the trustees have elected to apply deemed cost.
On a historical cost basis, the property would have been at an original net book value of £196,786 (2024: £202,212).
The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the funds of the company 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 unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
During the year the company made purchases of goods and services from Little Transport Limited totalling £19,822 (2024: £31,7390).