REGISTERED COMPANY NUMBER: 01480110 (England and Wales)

REGISTERED CHARITY NUMBER: 279699

NORTH KENSINGTON LAW CENTRE

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

Page

Reference and administrative details

1

Report of the trustees

2

to

10

Report of the independent auditors

11

to

13

Statement of financial activities

14

Balance sheet

15

Cash flow statement

16

Notes to the cash flow statement

17

Notes to the financial statements

18

to

26

TRUSTEES

Ms C Alkaff

Ms L Daniels

Ms P Healy

Mr S Caro (resigned 14.11.24)

Ms M L Hartley

Mr Z Khan

Mr A Daddou

Ms L M Acland

Ms N Nail

Mr S L Joseph (appointed 5.2.25)

REGISTERED OFFICE

Unit 24

Whitchurch Road

Kensington

London

W11 4AT

REGISTERED COMPANY NUMBER

01480110 (England and Wales)

REGISTERED CHARITY NUMBER

279699

AUDITORS

Berringers LLP

Chartered Accountants

and Statutory Auditors

Lygon House

50 London Road

Bromley

Kent

BR1 3RA

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2025. The trustees have adopted the provisions of 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).

OBJECTIVES AND ACTIVITIES

Objectives and aims

The Law Centre is a charity whose objectives, as defined by the Articles of Association as amended on 11 July 2016, are:

*

to relieve poor persons resident, or working, in the Benefit Area by providing such persons with legal services which they could not otherwise obtain through lack of means;

*

the advancement of education of persons resident or working in the Benefit Area; and

*

the advancement of any charitable purposes as are beneficial to the community for persons resident or working in the Benefit Area.

The Benefit Area means the area of Greater London or elsewhere in the United Kingdom as the charity shall from time to time consider.

Significant activities

The principal activity of the Law Centre continues to be the provision of legal advice and representation to persons resident or working within Greater London and beyond with priority given to those who live or work or have a connection with the Royal Borough of Kensington and Chelsea.

Our focus is on Housing, Asylum and Immigration (including cases funded by Legal Aid, where eligible and in scope) and Welfare Benefits Employment (for which Legal Aid is not available).

The Law Centre also offers advice and representation to members of the Windrush cohort in their Windrush Documentation and Compensation claims.

The organisation holds the Lexcel Quality Mark in all these areas of practice and is an Accredited Living Wage and London Living Wage employer (member of the Living Wage Foundation) and also hold the Cyber Essentials Quality mark which is, at the tie of this report, being renewed.

Key indicators:

- Poverty Rate: Approximately 33% of residents live in poverty, which is higher than the London average of 26%

- Child Poverty: The child poverty rate is around 29%, which is slightly better than the London average of 35%

- Income Deprivation: The borough has notable income inequality, with some areas experiencing high levels of deprivation.

Poverty in Kensington and Chelsea is influenced by several interconnected factors:

- High Cost of Living: The borough has some of the highest property prices and living costs in the UK making it difficult for low-income residents to afford basic necessities.

- Income Inequality: There is a significant disparity between the wealthy and the poor, with a large gap in income levels

- Housing Issues: Limited availability of affordable housing and high rental prices contribute to financial strain for many residents

- Employment Challenges: While there are job opportunities, many low-income residents face barriers such as lack of skills, qualifications, or access to well-paying jobs

- Education Inequality: Disparities in educational attainment can limit future employment opportunities and perpetuate the cycle of poverty.

Addressing these issues requires a multifaceted approach, including policy changes, community support, and targeted interventions.

These statistics highlight the ongoing challenges in addressing inequality within the borough.

In the Notting Dale ward of Kensington & Chelsea, in which the law centre is located, 26.4% of children were living in poverty in 2021/22.

Notting Dale, located in the Royal Borough of Kensington and Chelsea, is one of the most deprived areas in the UK. Some of the key indicators show the following:

1. Overall Deprivation: Notting Dale ranks among the top 10% of the most deprived areas in the UK

2. Income Deprivation: A significant portion of the population experiences income deprivation, with many households struggling to meet basic needs

3. Employment: The employment rate in Notting Dale is around 62%, which is lower than the borough average of 68% and the national average of 71%

4. Child Poverty: Approximately 34% of children in Notting Dale live in low-income families, which is higher than the borough, London, and national averages

5. Housing: Over half (56%) of households in Notting Dale live in social housing, and one in six households are classified as overcrowded

Deprivation in Kensington and Chelsea is not a new phenomenon, but the Grenfell Tower fire and the Covid-19 pandemic have highlighted and intensified the issue.

Although a new UK Prosperity Index report has not been published since 2021, the K and C Foundation report published in 2023 reports that the wealth and outcomes gap within the borough have measurably widened, while poverty and deprivation, and their impact, have deepened.

In particular, the economic impact of lockdowns and social restrictions continue to be felt and many are still struggling to make ends meet, put food on the table and heat their homes. This situation has not improved from our last report and anecdotal evidence and reports suggest that reliance on food banks has greatly increased, in some cases becoming essential.

In a more general perspective, although the hardships experienced in North Kensington and the rest of the borough were amplified due to local and specific factors, it did not escape the Law Centre's attention that the hardship was felt and continues to be felt across London and the nation.

In addition to these very challenging conditions, the crisis created by the rising costs of living is creating a perfect storm for the marginalised communities that North Kensington Law Centre was established to assist.

In light of the severe hardship that our local residents and Londoners at large have continued to feel, North Kensington Law Centre has sought to redouble its efforts in terms of being a local community as well as a pan-London asset.

We have seen that our specialist legal knowledge is an important tool in the mission to relieve destitution and poverty.

In this rising cost of living crisis, we are particularly proud of the impact that our Welfare Benefit Unit has, in improving the lives of marginalised communities through the maximisation of benefits having raised £912,805.31 in total of which £447,566.71 in this year to date. This is a higher figure globally in comparison to the previous year, the implication being that the gap continues to wide and our interventions as a community asset gain more urgency.

We are grateful to our experienced Senior Welfare Benefits Advisor Adrian Cooper, a veteran of the North Kensington Law Centre, who has now been with us for over 20 years.

However, all involved, employed and volunteer staff are to be commended for the tremendous difference that they make to all those who access our services.

We continue to provide high quality advice through our Employment Unit, improving working and health and safety conditions and ensuring fairness in the labour market as well as empowering workers to understand their conditions better.

Barry Mills, our Senior Employment Advisor has been joined by Employment Solicitor Shirl Wong (who partially moved from the Immigration team, where she retains a modest caseload) and they have been instrumental in the success of the Employment Unit.

- "People are classed as "economically inactive" if they are not in employment but don't meet the criteria for being "unemployed". This means they have not been seeking work within the previous four weeks or were unable to start work within the next two weeks. Common reasons include being retired, looking after the home or family or being temporarily or long-term sick and disabled.

As of the latest data, 35.7% of residents aged 16 to 64 are economically inactive. This is a significantly higher ratio than the London average of 21.4 %."

- "Kensington and Chelsea's employment rate was lower than across London as a whole in the year ending December 2023."

- "Of people aged 16 to 64 years living in Kensington and Chelsea, 60.6% were employed in the year ending December 2023. This is a decrease compared with the year ending December 2022 when the local rate was 69.8%."

- "Across London in the year ending December 2023, 74.6% of people aged 16 to 64 years were employed. This was lower compared with the previous year, when 76.2% of people were employed."

Employment rate 60.6% ages 16 to 64

- Employment in Kensington and Chelsea has decreased compared with the previous year. Kensington and Chelsea's employment rate was lower than across London as a whole in the year ending December 2023."

Unemployment rate 5.9% (ages 16+)

- Unemployment (people looking for work) has risen since a year earlier. The most recent unemployment rate for Kensington and Chelsea was higher than across London as a whole." ONS - https://www.ons.gov.uk/visualisations/labourmarketlocal/E09000020/

The rising cost of living crisis has had many effects, locally and nationally. More specifically:

- 'The cost-of-living crisis continues to put immense pressure on households with the lowest incomes, leaving those in the bottom income decile especially vulnerable. Analysis by Crisis shows that these households are, on average, spending more than their entire income on just housing, food, and energy. This means they are already at high risk of falling into debt, facing eviction, and becoming homeless-before even accounting for other essential living costs. Households in the private rented sector are particularly exposed, as higher housing costs push their combined spending on housing, food, and energy to exceed their incomes by an average of 43%.'

- ' With rents rising at record levels, Crisis' research into the cost-of-living crisis found that by November 2022, over half of low-income renters across Great Britain had seen their rent increase. Nearly one in four households receiving housing benefit (24%) expected to fall behind on their housing payments over the winter. Citizens Advice also reports a sharp rise in rent arrears among housing benefit claimants. As a result, evictions from the private rented sector are increasing and have become a significant driver of homelessness.'

- "The most recent London housing market report... highlights that rental prices have continued to rise across the city, with areas like North Kensington experiencing significant strain. This trend is contributing to increasing vulnerability among low-income renters, with risks of eviction and homelessness remaining high" ( Greater London Authority (May 2024) on housing trends)

Our Housing Unit remains under the leadership of our Senior Supervising Solicitor, Thalatha Wickramasinghe, who plays a vital and dynamic role in addressing the housing crisis driven by the rising cost of living. She works tirelessly to prevent evictions and homelessness for local residents and is a powerful advocate for improved housing conditions.

She has now ben joined by Alero Hart, Trainee Solicitor and Housing Paralegal.

- "The freeze on LHA (Local Housing Allowance) rates makes it increasingly difficult for local authorities and individual families to find accommodation where LHA rates cover the rents charged. This is driving homelessness demands as families can no longer afford to live in properties they may have started to rent some years ago." West London Housing Partnership (WLHP) Sep/Oct 2023

There has never been a more pressing moment in the field of Immigration and Asylum as the present headlines have shown.

Asylum and immigration work has become increasingly challenging under the current political and social climate. Policies have grown more restrictive, procedural hurdles are higher, and decision-making often appears more hostile to applicants. Meanwhile, those seeking safety or a secure future face complex legal processes, long delays, and heightened risks of destitution and detention. This environment places enormous pressure on both clients and the professionals advocating for them, making the work not only technically demanding but emotionally and ethically testing. The need for skilled, compassionate representation has never been greater.

As a Law Centre, we are deeply heartened by the recent outpouring of public support for the vital work carried out by our Immigration and Asylum Unit.

Our dedicated team continues to deliver outstanding representation and advocacy for asylum seekers, migrants and their families, victims of trafficking and modern slavery, those affected by the Windrush scandal, and individuals facing new challenges brought about by Brexit-many of whom were previously 'invisible' in immigration terms.

Our talented unit includes Cassim Yacoobali, Shilpa Caute, Piret Akkerman, Franck Kiangala, Emmy Todd, and Shirl Wong, whose exceptional contributions we particularly acknowledge as she partially transitioned to our Employment team in July 2024. We thank them all for their unwavering commitment and expertise in championing the rights of some of the most vulnerable in our community.

However, all the excellent work carried out by our colleagues would have far less impact-and our ability to assist those most in need would be greatly diminished-without the support of our dedicated and highly effective triaging system.

This was expertly led by our Triage Coordinator and IT and Media Policy Lead, Alero Hart - who has now transitioned to the Housing Unit, alongside her outstanding team of volunteers. We are also immensely grateful for the diligent and conscientious support of our Administrator, Mariam Abul-Essad, whose hard work underpins so much of what we do.

Mariam has now replaced Alero in the Triage Coordinator role and is also completing a solicitor's apprenticeship.

Alero training contract and Mariam's apprenticeship are testimony to the efforts made by NKLC to inspire a new generation of social welfare law practitioners so that the cause started in 1970 may continue.

North Kensington Law Centre has proudly served the community for 55 years, having been founded by Peter Kandler and Tony Gifford KC. Peter remains an inspiring presence, and together with Tony Gifford KC, they continue to be passionate and steadfast supporters not only of our Law Centre, but of the entire Law Centre movement.

Our current management team considers it a point of honour to keep the flame of North Kensington Law Centre burning brightly. In this spirit, our highly valued Finance Manager, Brianna Hendry, meticulously monitors and reviews our financial operations, applying her keen expertise to ensure we continue to make sound financial decisions that build value and resilience for the Law Centre.

Our Director, Franck Kiangala, holds overall responsibility for ensuring that the services we provide-both locally and across London-remain relevant to the challenges of our time. He also steers the financial and managerial strength of North Kensington Law Centre and safeguards the special role we hold within the local community and the wider Law Centres movement.

Importantly, this work looks not only to the present but also projects into the future, ensuring that our organisation continues to evolve and remains equipped to meet the needs of the times ahead.

North Kensington Law Centre is a not-for-profit organisation ultimately overseen by our dedicated and highly committed Trustees. Over the years, they have supported us tirelessly, generously contributing their time, expertise, and experience to ensure the Law Centre thrives. Thanks to their steadfast guidance, the best interests of those we serve remain firmly at the heart of all we do.

As in previous years, North Kensington Law Centre has been very busy and we assisted 1263 people in the period between 1st April 2024 to 31st March 2025, generating 1,352 cases which was a 70% increase in cases compared to the prior year.

This report would not be complete without a strong and sincere ' thank you ' to our Trustees who continue to support us through their commitment and good governance of NKLC.

Matter openings for the 2024 - 2025 financial year

Case Details

Client Details

Case Details

Matter Category

Count Number of Clients

Count Number of Cases

Employment

128

130

Housing

283

291

Immigration - Asylum

670

697

Welfare Benefits

182

234

Report Total

1263

1352

Public benefit

The trustees consider that the objectives and activities stated above of the Law Centre provide public benefit within the meaning and terms of the Charities Act 2022.

Staff and volunteers

Staff

Franck Kiangala - Director & Solicitor (Immigration & Asylum - Supervisor)

Brianna Hendry - Finance Manager

Thalatha Wickramasinghe - Senior Supervising Solicitor (Housing)

Cassim Yacoobali - Senior Supervising Solicitor (Immigration & Asylum)

Shilpa Caute - Solicitor, Senior Caseworker (Immigration & Asylum )

Piret Akkerman - Senior Caseworker ( Immigration & Asylum)

Emmy Todd - Senior Caseworker (Immigration & Asylum)

Emma Livesey - Solicitor - Immigration Project Officer

Barry Mills - Senior Employment Caseworker & Supervisor

Shirl Wong - Solicitor - Employment

Adrian Cooper - Senior Welfare Benefits Caseworker & Supervisor

Alero Hart - Trainee Solicitor & Housing Paralegal

Mariam Abul-Essad - Triage Co-Ordinator & IT

Darcio Camillis - Receptionist, Volunteer Coordinator & Administrative Support

Volunteers

North Kensington Law Centre relies heavily on the volunteers who help to run triage and offer additional support to caseworkers. Our volunteers undertake six-month placements (minimum one day a week) in triage or casework, depending on experience. Some volunteers continue to work at the Law Centre after the six-month placement.

STRATEGIC REPORT

Financial position

Finances for the year to 31 March 2025 remained relatively strong and stable in the short term. Total incoming resources for the year (which represented the total funding we had available for our activities) amounted to £704,917, (2024: £755,511), a decrease mainly due to a decrease in grant funding received. Funds earned from the provision of legal services were £91,217 (2024: £96,790). This includes our income from Legal Aid and our earned income from fees charged to clients.

Grant funding amounted to £608,499 (2024: £659,942) and donations of £577 (2024: £1,683).

Our expenditure for the year increased from the previous year, with the total figure of £605,988 (2024: £584,345).

The result was a net surplus for the year of £98,929 (2024: £171,166) and funds carried forward of £664,266 (2024: £565,337) of which £664,266 are free reserves.

Salary Increases

Modest salary increases to account for the rising cost of living were effected across the law centre where possible in line with funding.

Principal funding sources

The Law Centre is funded from a variety of sources including grants, donations and income derived from our contracts with the Legal Aid Agency in the areas of Housing and Immigration. A list of grantors can be found in the notes to the accounts.

The Royal Borough of Kensington and Chelsea continued to provide us with funding, which in turn allows us to continue our vital work.

Reserves policy

The trustees have considered the charity's requirements for reserves and have established a policy that aims that the unrestricted funds not invested in tangible fixed assets held by the charity should be at least six to nine months' expenditure.

The level of reserves remained relatively unchanged during the 2024 - 2025 financial year, this will continue to be monitored to ensure these are maintained at an appropriate level, and that where possible the reserves will be increased if average annual expenditure increases.

With expected increases in costs given the current economic climate, it is likely that these reserves will need to be regularly reviewed to ensure that the target is being met against current costs. However, care must be taken to maintain reserves in a way that doesn't reduce the activities of the law centre, as much funding is received under restricted grants.

Going concern

We received a wide range of funding throughout the 2024-2025 year. This was greatly appreciated and meant that we were able to continue delivering services and supporting the community throughout the year.

We have a strong plan in place to continue seeking and applying for funding to support our work, and some new grants have already been secured for the new financial year. As a result of these efforts, the Trustees have confidence that the Law Centre has a secure future ahead.

Future plans

The Centre is actively seeking additional funds to secure the future of the Centre to enable it to continue to serve their community for many more years.

The Law Centre aims to focus on maintaining and expanding services, with a particular focus on securing grant funding for the longer term thus improving stability within the organisation and for the people it supports in the years to come. We also aim to ensure more even funding across our departments, as well as seeking funding to support our core costs to a greater degree. The Trustees will continue to monitor the situation to ensure that the community can be best served by the Centre.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

The memorandum and articles of association were last amended on 11 July 2016 , and are under review for potential additional amendments.

Recruitment and appointment of new trustees

Our trustees have a wide range of experience, many of whom bring years of experience of working with Law Centres.

The Law Centre seeks to ensure its trustees possess the requisite balance of developmental, legal and management skills to promote the success of the organisation and the furtherance of its objectives.

A skills audit was conducted with trustees to ensure that there is a balance of knowledge and experience across the trustee board.

We continue to seek suitably qualified trustees to join the Law Centre with a view to bringing new skills to the organisation and promoting trustee diversity.

Organisational structure

The Law Centre is controlled by a voluntary Management Committee comprising its trustees and is led at the executive level by a Director and Senior Solicitor.

Decision making

The Management Committee has formal corporate and legal responsibility for all activities and functions of the organisation and operates as follows:

*

The full Management Committee meets approximately every six weeks during the year.

*

The finance sub-committee meets at least 6 times per year.

The annual general meeting is usually held in the third quarter of each financial year.

The trustees have an overall responsibility for ensuring that the Law Centre has an appropriate system of controls, financial and otherwise. The systems of internal controls are designed to provide reasonable but not absolute assurance against material misstatement of results of operations or financial position and to guard against insolvency. These systems and controls include:

*

A strategic plan and annual budget approved by the trustees:

*

Regular consideration by the trustees of financial information, variance from budgets and non-financial performance indicators;

*

Delegation of authority and segregation of duties;

*

Identification and management of risks.

Key management remuneration

2025

2024

£

£

Key management compensation in year

103,368

97,352

Trustee changes

Simon Carro resigned as a trustee on 14 November 2024.

Sheridan Joseph appointed as a trustee 18th November 2024.

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of North Kensington Law Centre for the purposes of company law) are responsible for preparing the Report of the trustees 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 that law, the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).

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 those 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 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 business.

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to 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 auditors are 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 auditors are aware of that information.

AUDITORS

The auditors, Berringers LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

Report of the trustees, incorporating a Strategic report, approved by order of the board of trustees, as the company directors, on 18 November 2025 and signed on the board's behalf by:

Mr Z Khan - Trustee

Opinion

We have audited the financial statements of North Kensington Law Centre (the 'charitable company') for the year ended 31 March 2025 which comprise the Statement of financial activities, the Balance sheet, the Cash flow statement and 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 (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the charitable company's affairs as at 31 March 2025 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company 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.

Conclusions relating to going concern

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 charitable company'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 trustees are responsible for the other information. The other information comprises the information included in the Annual report, other than the financial statements and our Report of the independent auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Report of the trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Report of the trustees has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the trustees.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of trustees' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

As explained more fully in the Statement of trustees' responsibilities, the trustees (who are also the directors of the charitable company for the purposes 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 charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Our responsibilities for the audit of the financial statements

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 a Report of the independent auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and error, we considered the following:

- the nature of the industry, control environment and business performance;

- results of our enquiries to management about their own assessment of the risks of fraud and error;

- the matters discussed among the audit engagement team regarding how and where fraud may occur in the financial statements and any potential indicators of fraud.

Our procedures to respond to risk include the following:

- reviewing the financial statement disclosures and testing to supporting documentation;

- performing analytical procedures to identify any unusual or unexpected areas that may indicate risks of material misstatement due to fraud or error;

- addressing the risk of fraud and error through management override of controls, testing the appropriateness of journals, assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an 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 charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Paul Allan BSoc Sc FCA (Senior Statutory Auditor)

for and on behalf of Berringers LLP

Chartered Accountants

and Statutory Auditors

Lygon House

50 London Road

Bromley

Kent

BR1 3RA

18 November 2025

2025

2024

Unrestricted

Restricted

Total

Total

funds

funds

funds

funds

Notes

£

£

£

£

INCOME AND ENDOWMENTS FROM

Donations

2

577

-

577

1,683

Charitable activities

5

Provision of legal services

169,599

530,117

699,716

749,732

Other trading activities

3

1,000

-

1,000

450

Investment income

4

3,624

-

3,624

3,646

Total

174,800

530,117

704,917

755,511

EXPENDITURE ON

Charitable activities

6

Provision of legal services

32,977

530,117

563,094

547,272

Support costs

42,894

-

42,894

37,073

Total

75,871

530,117

605,988

584,345

NET INCOME

98,929

-

98,929

171,166

RECONCILIATION OF FUNDS

Total funds brought forward

565,337

-

565,337

394,171

TOTAL FUNDS CARRIED FORWARD

664,266

-

664,266

565,337

2025

2024

Unrestricted

Restricted

Total

Total

funds

funds

funds

funds

Notes

£

£

£

£

FIXED ASSETS

Tangible assets

12

4,347

-

4,347

9,881

CURRENT ASSETS

Work in progress

13

87,110

-

87,110

65,877

Debtors

14

80,027

-

80,027

92,527

Cash at bank and in hand

508,471

31,885

540,356

463,006

675,608

31,885

707,493

621,410

CREDITORS

Amounts falling due within one year

15

(15,689

)

(31,885

)

(47,574

)

(65,954

)

NET CURRENT ASSETS

659,919

-

659,919

555,456

TOTAL ASSETS LESS CURRENT LIABILITIES

664,266

-

664,266

565,337

NET ASSETS

664,266

-

664,266

565,337

FUNDS

16

Unrestricted funds

664,266

565,337

TOTAL FUNDS

664,266

565,337

The financial statements were approved by the Board of Trustees and authorised for issue on 18 November 2025 and were signed on its behalf by:

Mr Z Khan - Trustee

Cash flows from operating activities

Cash generated from operations

1

75,091

160,886

Net cash provided by operating activities

75,091

160,886

Cash flows from investing activities

Purchase of tangible fixed assets

(1,365

)

(9,372

)

Interest received

3,624

3,646

Net cash provided by/(used in) investing activities

2,259

(5,726

)

Change in cash and cash equivalents in the reporting period

77,350

155,160

Cash and cash equivalents at the beginning of the reporting period

463,006

307,846

Cash and cash equivalents at the end of the reporting period

540,356

463,006

1.	RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

2025

2024

£

£

Net income for the reporting period (as per the Statement of financial activities)

98,929

171,166

Adjustments for:

Depreciation charges

2,698

2,993

Loss on disposal of fixed assets

4,201

-

Interest received

(3,624

)

(3,646

)

(Increase)/decrease in work in progress

(21,233

)

7,987

Decrease/(increase) in debtors

12,500

(17,195

)

Decrease in creditors

(18,380

)

(419

)

Net cash provided by operations

75,091

160,886

2.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank and in hand

463,006

77,350

540,356

463,006

77,350

540,356

Total

463,006

77,350

540,356

1.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Critical accounting judgements and key sources of estimation uncertainty

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 revision and future periods where the revision affects both current and future periods.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Such income is only deferred where the donor specifies that the grant or donation can be used in a future accounting period, or the donor has imposed conditions which must be met before the charity has unconditional entitlement.

Investment income is recognised on a receivable basis.

Income from charitable activities includes income received under contract or where entitlement to grant funding is subject to performance conditions is recognised as earned. Grant income included in this category provides funding to support advice/performance activities and is recognised where there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability.

Contract and performance related grant income is deferred when received in advance of the performance of event to which they relate.

Turnover is measured at fair value of the consideration received or receivable and represents amounts receivable for services provided in the normal course of business, net of VAT.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Costs of generating funds are those costs incurred in attracting voluntary income and those incurred in trading activities that raise funds.

Charitable activities include both the direct and support costs relating to these activities. All support costs relate to unrestricted charitable actives.

Where VAT is irrecoverable as a result of partial exemption, this amount is charged to charitable activities.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings

-

20% on cost

Computer equipment

-

33% on cost

Work in progress

Work in progress is valued at net realisable value, after making due allowances for slow recovery and potential irrecoverable fees.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Going concern

At the time of approving the accounts, the trustees have a reasonable expectation that the charity will remain a going concern despite the difficulties faced in the past and the accounts have been prepared on that basis. A feasibility study was carried out previously indicating where costs needed to be reduced and income maximised. Currently, the Centre has stablised the income from Legal cases, additional grants have been secured and costs have risen only slightly. The trustees will continue to monitor the situation.

Donated Assets

Donated assets are estimated at market value based on condition when received.

2.

DONATIONS

2025

2024

£

£

Donations

577

1,683

3.	OTHER TRADING ACTIVITIES

2025

2024

£

£

Other income

1,000

450

4.	INVESTMENT INCOME

2025

2024

£

£

Deposit account interest

3,624

3,646

5.	INCOME FROM CHARITABLE ACTIVITIES

2025

2024

Activity

£

£

Legal services

Provision of legal services

91,217

96,790

Grants

Provision of legal services

608,499

652,942

699,716

749,732

North Kensington Law Centre is in partnership with Ealing Law Centre for the grant received from London Councils. As lead applicant they receive the funds on behalf of Ealing Law Centre and pass them on. The amount received has been accounted for by including the total receipt in income and the amount paid to Ealing Law Centre as an expense.

2025

2024

£

£

Amount received from London Councils

338,282

393,411

Amount paid to Ealing Law Centre

89,363

87,033

Amount relating to North Kensington Law Centre

248,919

306,378

Without this adjustment the grants received figures would be £519,136 for 2025.

Grants received, included in the above, are as follows:

2025

2024

£

£

Royal Borough of Kensington & Chelsea

58,382

58,382

Trust for London

53,958

47,417

Access to Justice Foundation

95,660

113,884

AB Charitable Trust

-

5,000

London Legal Support Trust

10,000

10,000

National Lottery Community Fund

46,217

45,451

London Councils

338,282

372,808

K&C Foundation

1,000

-

GLA Sudanese Project

5,000

-

608,499

652,942