The trustees present their annual report and financial statements for the year ended 31 December 2025.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's 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's objects
1. To relieve the needs of care experienced people primarily, but not exclusively, through advancing their health, relieving unemployment, the provision of financial assistance and by developing their skills and capacity so that they are able to participate more fully in society.
2. The provision of housing, including Social Housing, and assistance to help house care experienced people and associated facilities, amenities and services for them.
For the purpose of this clause “care experienced” means children or adults who have at some stage had foster care or residential care experience.
The Charity’s aims
The Welland Trust continued to deliver on the long-term strategy during the year, focusing on funding and support of projects, services and initiatives delivered by other organisations who seek to benefit adults who have experienced care.
We are particularly keen to support the creation of opportunities which help reduce homelessness, reduce re-offending, and support that will enhance the physical and mental wellbeing of adults who've been in care. The projects we are looking to support will be those who will serve care experienced people of all ages, genders and backgrounds, in particular, we have a passion for projects that support opportunities for training, employment and further education for care leavers who are over 25 where there is no statutory support available.
Public benefit
The trustees have complied with their duty to have due regard to the guidance on public benefit as published by the Charity Commission and consider all the activities undertaken to further the charity's purposes to be of public benefit.
Property
The charity aims to purchase, lease, exchange, hire or otherwise acquire any real or personal property rights or privileges (including shared or contingent interests).
The charity may also construct, alter, improve, convert, maintain, equip, furnish and/or demolish any buildings, structures or property.
The charity may sell, lease, license, exchange, dispose of or otherwise deal with property (subject to the restrictions in the Charities Act 2011).
The charity aims to rent property to care experienced people at below market rents in order to enable them to live inter-dependently.
The charity may provide accommodation for any other charitable organisation on such terms as the Board decides (including rent-free or at nominal or non-commercial rents) subject to the restrictions in the Charities Act 2011.
Grants and Loans
The charity aims to make grants, donations or loans, to give guarantees and to give security for those guarantees (subject to the restrictions in the Charities Act 2011).
Use of staff and volunteers
The charity may employ staff or engage consultants and advisers on such terms as the Board thinks fit.
The charity will recruit and manage voluntary workers, including paying their reasonable expenses; the charity is very grateful to the volunteers who provide support and help to raise awareness and funding for the charity.
Following a year of exceptionally strong investment performance throughout 2024 it was encouraging to see continued growth in 2025, albeit at lower levels than the previous year. In 2025 the investments grew by £246,662 during the year, with a downturn in the first quarter followed by recovery for the remainder of the year. The closing investment balance was £7,146,827.
Grant giving for the year was £584,787, with staff costs and overheads of £336,456 and £126,599 respectively. The net deficit for the year was £697,448.
Reserves and Investment policy
The trustees consider that a prudent level of reserves should be held to support the aims of the charity and enable continued and sustainable grant giving.
It is the trustee’s intention that surplus funds held in excess of those required for medium term financial commitments be invested, and that the return achieved on the investments will be used to fund the charitable giving and overheads. The investment portfolio will be professionally managed and invested in diversified, ethical, and environmentally friendly securities. The risk profile for the investments is currently moderate, this will be reviewed at least annually to ensure an acceptable risk/return balance is maintained.
The Charity maintains a borrowing facility of up to £500,000, this sum can be drawn down as required, with the balance secured against the investments. The borrowing facility adds a degree of flexibility, enabling the Charity to make withdrawals from investments at the most optimal times. The interest rate on the borrowing is lower than the long term average investment returns.
Future Plans
In 2026, the charity will expand its focus on providing safe, affordable shared housing for care leavers through the acquisition of residential properties in areas of identified need. Working in partnership with local authorities and like-minded charitable organisations, the charity will help ensure residents have access to appropriate support services while benefiting from stable and affordable accommodation. These property acquisitions will further the charity's charitable objectives, diversify its asset portfolio, and generate a sustainable and predictable income stream to support its long-term activities and impact.
Governing document - The charity is governed by its Memorandum and Articles of Association dated 4th January 2018, as amended by special resolution registered at Companies House on 12th December 2018 and further amended by special resolution dated 9th December 2020 also lodged with Companies House.
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:
Recruitment and appointment of new trustees
The trustees, who are also directors under company law, are appointed by ordinary resolution or by the existing trustees of the charity.
None of the trustees have 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.
Organisational structure
The trustees are responsible for Governance and ensuring the charitable objectives are being met. The Chair and trustees provide strategic direction and decision making to the executive team, who has delegated authority for delivering the strategic plan and operational leadership, including the day to day running of the charity.
Induction and training of new trustees
New trustees are provided with information in the form of a Trustees' Handbook including details from the Charity Commission explaining their duties and responsibilities as trustees, the terms of their engagement as trustee and details of the charity's key principles and aims for its work. Each trustee is also provided with a copy of the charity's Memorandum and Articles of Association and a recommended resource and reading list to assist their role and development; these are also available from the charity.
The trustees, who are also the directors of The Welland Trust for the purpose of company law, are responsible for preparing the Trustees' 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 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.
The trustees' report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of The Welland Trust (the charity) for the year ended 31 December 2025.
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
accounting records were not kept in respect of the charity as required by section 386 of the Companies Act 2006.
the financial statements do not accord with those records; or
the financial statements do not comply with the accounting requirements of section 396 of the Companies Act 2006 other than any requirement that the financial statements give a true and fair view, which is not a matter considered as part of an independent examination; or
the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The Welland Trust is a private company limited by guarantee incorporated in England and Wales. The registered office is Craftsman House, De Salis Drive, Hampton Lovett, Droitwich, Worcestershire, WR9 0QE, England.
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)” (as amended for accounting (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
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.
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 raising funds comprises of costs incurred during investing activities.
Fund raising costs include the costs of goods sold, café costs and their associate support and governance costs.
Expenditure on charitable activities includes costs of providing grants in line with charitable aims and objectives and their associate support and governance costs.
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.
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.
A subsidiary is an entity controlled by the charity. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
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 financial 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.
The charity is exempt from corporation tax on its charitable activities.
Provisions are recognised when the charity has a legal or constructive present obligation as a result of a past event, it is probable that the charity will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in net income/(expenditure) in the period in which it arises.
The charitable company operates a defined contribution pension scheme. Contributions payable to the chartable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
Rentals payable under operating leases, including any lease incentives received, are charged as an expense on a straight line basis over the term of the relevant lease.
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.
Raising funds
Investment management fees
Training, recruitment and other staff costs
Telephone, postage and stationery
Computer and software
Rent and rates
Motor and travel
Insurance
Sundries
Premises expenses
Bank charges
Memberships and subscriptions
Professional fees
Accountancy fees
Accountancy fees primarily include £4,109 (2024: £3,713) in respect of the Independent Examiners fees and £1,324 (2024: £1,022) in respect of payroll costs.
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.
Listed investments
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 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 charity entered into the following transactions with related parties:
During the period, £147,784 (2024: £12,108) was made available to Welland Residential Holdings Limited, a wholly owned subsidiary, for the purpose of purchasing and maintaining properties to fulfil its principal activities. An amount of £nil (2024: £299) has been repaid during the year, leaving an amount still due from the subsidiary at the year end of £958,760 (2024: £810,976).
During the period, donations of £12,000 (2024: £20,000) were received from Welland Residential Holdings Limited, a wholly owned subsidiary, for the purpose of purchasing and maintaining properties to fulfil its principle activities.
During the period, £3,600 (2024: £nil) was made available to Tyre Hill Estate Limited, a related party. Leaving an amount still due from the related party at the year end of £3,600 (2024: £nil).
During the period salary recharges of £3,600 (2024: £Nil); £19,031 (2024: £Nil); and £58,194.79 (2024: £Nil) were made to Refugee Host Support Limited, Rees Parent and Child Fostering Ltd; and Rees Parenting Support & Assessment Services Limited respectively, related parties by virtue of the controlling interest of J Rees, a Trustee (2024: £Nil).
These financial statements are separate charity financial statements for The Welland Trust.
Details of the charity's subsidiaries at 31 December 2025 are as follows: