The Trustees present their Annual Report and Financial Statements for the year ended 31 March 2026.
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 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 objectives are to promote the care, treatment, education and advancement of people with learning and physical difficulties in Barrow in Furness.
The objectives are carried out by providing long term care in a Nursing and Residential setting. The Charity has 46 long term care beds (23 nursing and 23 residential) within a homely environment in which the Residents can live a full and active life.
The Charity's aim is to provide a safe and caring environment for Residents for as long as it is needed. Each Resident receives individualised care of the highest possible standard based on current knowledge and research, which promotes privacy, dignity and respect.
There has been no change in these during the year.
The Trustees have paid due regard to guidance in section 17(5) of the 2011 Charities Act issued by the Charity Commission in deciding what activities the Charity should undertake.
The description under the headings "Achievements and performance" and "Financial review" meet the Company Law requirements for the Trustees to present a strategic report.
During the year a General Manager was recruited to strengthen and support the Senior Management Team. The Senior Management Team is now Steven Hibbert, Director of Services and Nominated Individual, Helen Waite, Clinical Lead Nurse and Deputy Manager, Alison Holmes, Unit Manager of Residential Village, and Sandi Johnson, General Manager. They are supported by Junior Managers and the team of Staff.
Our latest Inspection and assessment by CQC took place between January 14th-20th and we received our written report on February 24th 2026. We maintained the overall rating of 'Good' which indicates that the Service is performing well and meeting the expectations of CQC. The SMT and all the Staff deserve to be congratulated on this achievement.
We continue to update and modernise and as Residents' needs change we adjust accordingly, keeping the accommodation maintained to a high standard.
During this financial year work began on our Sun Lounge building project. This project will vastly improve and expand the former lounge and conservatory making it a much more useable space for our Residents. Work is progressing well and is due to complete in August 2026. We were fortunate that the Ben Noble Trust kindly agreed to fund this work.
The property at Highlands Avenue continues to provide a regular source of income as both the ground floor 1 bedroom flat and the upper 2 bedroom flat continue to be occupied.
We continue to audit and review on a regular basis. The Staff Training Officer delivers and monitors the ongoing Staff training which is specifically targeted for the individual needs of all our Residents.
During the year the Charity provided long term Residential care for 46 Residents (2025 - 46), 23 within the Nursing Home and 23 within the Village. Occupancy rates were high throughout the year.
The Charity received fees for providing this Residential care of £2,905,946 (2025 - £2,510,365).
The Charity has a significant Investment Portfolio and two rental flats. It received investment income of £60,714 (2025 - £62,560) from interest and dividends on these Investments, and rent from the Rental property.
It also received donations and gifts of £293,786 (2025 - £11,243). Donations of £289,015 (2025 - £4,308) were for specific purposes and are shown as Restricted funds. Restricted donations this year include £279,428 from the Ben Noble Trust for the Sun Lounge building project.
Other income amounted to £4,766 (2025 - £9,519).
This resulted in total income of £3,265,212 (2025 - £2,593,687) for the financial year.
Charitable expenditure in the year totalled 2,837,067 (2025 - £2,689,567),
Of this £2,242,102 (2025 - £2,120,382) was for Staff wage costs to enable the care to be provided. This year this included Agency costs of £181,626 (2025 - £42,447). Depreciation also accounts for a substantial part of these figures being £83,235 (2025 - £69,756).
Expenditure on raising funds was £29,261 (2025 - £24,946).
Total expenditure for the year was £2,866,328 (2025 - £2,714,513).
There were realised gains on Investments of £14,302 (2025 - £53,149) and unrealised gains of £149,452 (2025 - unrealised losses of £47,888).
The property on Highlands Ave comprises two rental flats and is included at fair value as an Investment property on the balance sheet. The fair value adjustment this year was nil (2025 - increase of £20,000).
The net movement in funds was an increase of £562,638 (2024 - decrease of £95,565).
The Charity has Unrestricted reserves at the year end of £
It is the policy of the Charity that Unrestricted funds which have not been designated for a specific use should be maintained at a level of £1.5million. 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 Charity’s current activities while consideration is given to ways in which additional funds may be raised.
The Charity has a significant Investment Portfolio which is managed by David Armstrong of True Potential Wealth Management LLP. The new building extension has been funded from the capital element of the Investments and where necessary further income was drawn to assist with the running costs of Croft Care Trust. There has been an inevitable decrease in the value this year as a result.
The Trustees have assessed the major risks to which the Charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
Plans for future periods
On completion of the Sun Lounge building project we plan to make good the outside space by installing a patio area for all residents to enjoy.
Further repairs and redecoration will be undertaken as necessary to maintain a safe and welcoming home for our Residents.
We continue to strive forward with future planning. We changed our Charity Founding document to allow for older Adults care should this be needed in the future. We will continue to renovate and improve the buildings and facilities, with a view to making them work better for us and our Residents.
The Board was saddened by the sudden death of Mrs Brenda Pearce shortly after our AGM in 2025. She had been closely involved at the Croft since 2009 becoming a Trustee in 2014 and she will be greatly missed.
We have been fortunate to welcome Mrs Carol Shirley and Mr Neil Ward who were appointed as Trustees this year.
The Charity is a Company limited by guarantee and is governed by a Memorandum and Articles of Association.
The Trustees, who are also the Directors for the purpose of Company Law, and who served during the year and up to the date of signature of the financial statements were:
Our Trustees are elected each year at our AGM. They are recruited for the skills they bring with them to help the Croft Care Trust. We are always on the look out to recruit more Trustees and ask that people who have the relevant skills apply via letter enclosing a CV. All new applicants will be checked through the Data Barring Service, Individual Insolvency Register, Register of Disqualified Directors and the Charity Commission. Subject to references and completed checks returning satisfactory results, applicants will be invited to join the Trustees.
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.
New Trustees are given a guided tour during which they are informed of our history, the type of age group of Clients we have and what our aims are for the future of the Croft Care Trust. They are given a booklet, produced by the Charities Commission called 'The Essential Charity Trustee' (CC3) which gives details of responsibilities undertaken and also the Memorandum and Articles of Association.
The Trustees of the Croft Care Trust are responsible for the business side of the Charity. The day to day running of the Charity is left to the Senior Management Team as follows:-
S Hibbert - Director of Services and Nominated Individual
H Waite - Clinical Lead Nurse and Deputy Manager
A Holmes - Unit Manager, Residential Village
S Johnson - General Manager
A review board comprising Mrs Avis Edmondson, Miss Sarah Edmondson and Mrs Colette Hibbert has been established to set the pay and remuneration of the Charity's key Management Personnel.
There are no connected Charities or Branches and no material transactions with Trustees or related parties.
The Charity holds, as Custodian Trustee, a separate Bank account which is not reflected in these accounts as the money belongs to Residents of Croft Care Trust. At the year end the total held was £199 (2025 - £36).
The Trustees' Report, including the Strategic Report, was approved by the Board of Trustees.
The Trustees, who are also the directors of Croft Care 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 are responsible for the maintenance and integrity of the charity and financial information included on the Charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Opinion
We have audited the financial statements of Croft Care Trust (the ‘Charity’) for the year ended 31 March 2026 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including 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 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.
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, except to the extent otherwise explicitly stated in our report, 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.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
the information given in the Trustees' report, which includes the directors’ report and the strategic report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report included within the Trustees' report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Charity and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report included within the Trustees' report.
We have nothing to report in respect of the following matters in relation to which 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.
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.
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.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
we identified the laws and regulations applicable to the charity through discussions with trustees and senior management, and from our commercial knowledge and experience of the charity sector;
we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including legislation such as the Companies Act 2006, taxation legislation, data protection, health and social care regulations, employment and health and safety legislation;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud;
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations;
To address the risk of fraud through management bias and override of controls, we:
performed analytical procedures to identify any unusual or unexpected relationships;
tested journal entries to identify unusual transactions;
assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias;
investigated the rationale behind significant or unusual transactions;
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
agreeing financial statement disclosures to underlying supporting documentation;
reading the minutes of meetings of those charged with governance;
enquiring of management as to actual and potential litigation and claims;
reviewing correspondence with relevant regulators and the company’s legal advisors;
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
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 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 auditor’s 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.
Investments
Raising funds
Croft Care Trust is a private company limited by guarantee incorporated in England and Wales. The registered office is The Croft, Hawcoat Lane, Barrow in Furness, Cumbria, LA14 4HE.
The financial statements have been prepared in accordance with the Charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" 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 is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of 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 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.
Care fee income is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts, As the Charity is not VAT registered all figures shown in the accounts are gross.
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.
Resources expended are accounted for on an accruals basis and are allocated to the relevant cost category.
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.
Assets with a cost of £500 or less are not capitalised.
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss.
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 and intangible 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).
Stocks are stated at the lower of cost and estimated selling price.
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
The Charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the Charity's balance sheet when the Charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
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.
The useful life and depreciation rate of tangible fixed assets is regularly reviewed and amended where necessary.
The company has obtained a market valuation for the investment property from a local valuer who has extensive knowledge of the area.
Income from care fees
Minibus income
Misc income
Raising funds
Provisions
Hygiene and surgical supplies
Rates and water
Fuel and light
Insurance
Telephone
Cleaning and laundry
Waste disposal
Equipment maintenance
Property maintenance
Garden maintenance
Residents' welfare and entertainment
None of the Trustees (or any persons connected with them) received any remuneration during the year.
The analysis of auditor's remuneration is as follows:
The average monthly number of employees during the year was:
The full time equivalent staff number is 66 (2025 - 69).
Contributions totalling £10,744 (2025: £11,072) were made to defined contribution pension schemes on behalf of employees whose emoluments exceed £60,000.
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
Investment property is the property at Highlands Ave which now comprises two rental flats. The ground floor was formerly the charity's sandwich shop with a rental flat upstairs. After closure of the shop this was converted to a second rental flat, completed in May 2023.
The fair value of the investment property has been arrived at on the basis of a valuation provided by Corrie and Co, Estate Agents, who are not connected with the Charity. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
The Charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charity in an independently administered fund.
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
The income funds of the charity include the following allocations which have been set aside out of unrestricted funds by the trustees for specific purposes:
Increase
Decrease
Gains and losses
The charity view the funds held in investments as 'security' funds, these are to ensure that the charity can continue to operate for the forseeable future. This reserve contains a minimum of one year's operating costs.
The net book value of the property and valuation of the investment property are shown separately as 'property' funds, on the basis that these funds are not readily available to the charity.
The general fund is the balance of 'free' reserves.
Amounts contracted for but not provided in the financial statements:
An order was placed with Arjo in March 2026 for nine new hoists at a cost of £12,150. These will be installed and the cost incurred in the year to 31st March 2027.
At year end the Sun Lounge Building Project was ongoing. The total expected cost of the project, agreed with the building company, was £284,291. However there have been some further unforeseen expenses as work has progressed. Costs incurred up to 31st March 2026 of £82,640 are shown in fixed assets as Assets Under Construction. This leaves £201,651, plus additional costs arising, which is expected to be spent on completing the project in the year to 31st March 2027.
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:
The remuneration of key management personnel was as follows:
The Charity had no material debt during the year.