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 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 objects of the charity as set out in its Articles of Association are:
To promote the relief of the physical and mental sickness of persons in need by reason of addiction, bereavement or loss, and to promote social inclusion for the public benefit by preventing people from becoming socially excluded, relieving the needs of those people who are socially excluded, assisting them to integrate into society with the object of improving their conditions of life by the provision of an advocacy service in the counties of the West Midlands, Warwickshire, Worcestershire, Staffordshire and Herefordshire or elsewhere in England and Wales, where need is identified, and additional support with the object of improving their conditions of life.
For the purpose of this clause, ’socially excluded’ means being excluded from society or parts of society as a result of one or more of the following factors: unemployment; financial hardship; youth and old age; ill health, (physical or mental); substance abuse or dependency, including alcohol and drugs; discrimination on the grounds of sex, race, disability, ethnic origin, religion, belief, creed, sexual orientation, gender reassignment, poor education or skills attainment; relationship and family breakdown; poor housing (that is housing that does not meet basic habitable standards); crime (i.e. either as a victim of crime or as an offender rehabilitating into society).
To advance education, in particular training in advocacy skills and disability issues, throughout the UK.
In support of these objects, the charity will provide advocacy to all disabled people although the requirements of funders may restrict either the geographical area or type of disability for projects.
When projects are first established, great care is taken to ensure that they are consistent with the aims and objectives of the charity and the trustees consider the Charity Commission’s general guidance on public benefit. Each advocacy case is also reviewed regularly by management in supervision with the advocate responsible to ensure that these requirements continue to be met.
The advocacy provided is independent and is not subject to the direction or approval of the funder. Funds available and advocates’ time will also restrict the numbers to whom advocacy can be provided. Subject to these limits, the projects are for the benefit of all members of the disabled community irrespective of ethnicity, gender or sexuality and advocacy is provided without charge to the recipient. Referrals are dealt with dependent on need, where a crisis situation or other complex issues may require immediate action.
Each project is reviewed annually to ensure that it continues to reflect the charity objectives and has delivered benefits to the group of people the project was set up to help.
Mission Statement
To provide Disabled People with an independent advocate to ensure individuals are heard and their rights, concerns and needs are acted upon.
The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Charity should undertake.
Advocacy Matters Ltd provides independent advocacy and related support to help people understand their rights, express their views, make informed choices and have their voices heard. During the year, the organisation continued to focus on delivering accessible, person-centred services and maintaining strong governance, financial control and accountability.
Service users have still been in financial hardship due to the cost-of-living crisis and the cost of war in other countries, many needing support to access food bank services and support to pay their utilities.
Birmingham City Council issued a section 114 notice on September 5, 2023. This directly impacted the finances of Advocacy Matters with a cut to the hourly rate paid to us by BCC. It has also adversely affected the citizens we support with the potential for service provision being cut to disabled people. This has also created a larger demand for advocacy support. This has continued to impact our finances into 2026 and has led to reduction in reserves.
Recruitment has not been an issue in the last financial year, and we remain fully staffed to meet the needs of all contracts and projects. Safeguarding issues remain prevalent within all projects. We continue to support advocacy partners in increasing situations of abuse. Whilst these cases have resulted in the greater awareness of such problems and have also resulted in the improvement of safeguarding procedures and in the scrutiny of care providers, progress has been frustratingly slow, and the demand never decreases. Incidents such as these, which can often lead to protracted investigations, emphasise the need for greater diligence and the importance of independent advocacy.
As a result of the independent advocacy provided by Advocacy Matters, care provision and financial arrangements are often challenged, enabling individuals to be heard who might not otherwise have a voice and control.
In January 2026 Advocacy Matters hosted our third social work student placement from Birmingham University. Elise is studying to be a social worker and was in her first year. She is bright and engaging and has added a lively addition to the team until her placement ends in May 2026.
We began the process of renewal of the Quality Performance Mark in October 2025. The assessment is scheduled for June 2026.
The new office continues to be used regularly for training and community groups in 25/26. We host the Sutton Coldfield Neighbourhood Network Scheme (NNS) and groups from Age Concern.
The Pamper Day held during Volunteers’ Week on 11 June 2025 was very well attended and enjoyed by all. This appreciation event recognised the valuable contribution of our volunteers and welcomed both volunteers and members of the wider public.
Attendees were able to experience a range of alternative therapies and wellbeing activities, including hand massage, gong bathing, mindfulness and music. We also held a fashion parade featuring clothing from local charity shops.
In October 2025, Advocacy Matters was nominated for The King’s Award for Voluntary Service by a former volunteer, Daniel Levy. Our assessment will take place in May, and we expect to hear whether we have been successful during the next financial year.
In September 2024, we began undertaking spot purchase work for Birmingham and Solihull ICB. This work provides the 1.2 Representative role for individuals who are deprived of their liberty in their own homes. We have continued to deliver this service during the current financial year and currently have 54 open cases.
The city-wide befriending offer began in October 2024. With the support of our volunteers, we have continued to develop and grow the project, providing befriending support and engaging activities for older adults living in care home settings who do not have family support.
The project is funded for three years by The National Lottery Community Fund, enabling us to build a more sustainable befriending offer across the city.
In January 2026, we employed a new Befriending Worker, Divine, who joined us through Walsall Trail Blazers. This Walsall Council employment project supports young people who are NEET — not in education, employment or training. Divine will be with us for one year, gaining valuable employment experience and developing skills that will support her future job applications.
In February 2026, we launched New Beginnings, a one-year pilot project supporting young people aged 13–18 as they transition from children’s services to adult services. The project aims to help young people understand their options, express their views and shape a positive future.
During the pilot year, we will:
visit schools across Birmingham and Walsall to share referral information;
meet with young people to understand their needs, aspirations and experiences;
create a young people’s group to support co-production; and
work with the group to develop funding bids so the project can continue beyond the pilot year.
Throughout the reporting year, Advocacy Matters Ltd worked to deliver services that meet the needs of beneficiaries, commissioners, partners and the wider community.
Advocacy Matters Projects
My Side: Volunteer Advocacy and Befriending Matters
The following is a brief review for the period of each of the major projects run and supported by Advocacy Matters.
The trustees consider this type of project and particularly the training and employment of volunteers to be a fundamental part of the DNA of Advocacy Matters and have agreed to continue to fund a proportion of the project from Unrestricted Funds.
We continue to provide a range of services within our My Side project including 1:1 independent advocacy, group work, training to volunteers, user involvement, engagement and participation, befriending, admin opportunities, support and supervision, development and promotional work.
During this financial year we have trained and supported new volunteers through face-to-face sessions in the office and through virtual ways via Microsoft Teams. Our Volunteer Co-Ordinator has supported new and longstanding existing volunteers to provide a range of invaluable roles within the organisation. We have had a core team of 60 volunteers covering Trustee roles, Steering Group, Volunteer Advocates, Volunteer Befrienders, Admin support and Fundraising support. Through Volunteer Advocacy we have been able to provide 1:1 crisis advocacy to 58 individuals.
There is still a clear demand for non-statutory advocacy work In Birmingham and Walsall, and we continue to receive referrals for Volunteer Advocacy through our own channels within the organisation such as the website, telephone and email and also undertake a proportion of the non-statutory work on the Birmingham Advocacy project in which we are a partner with POHWER.
Befriending Matters (falling under My Side)
We have been able to grow our pilot befriending project to now cover the whole of the city of Birmingham. We have been providing volunteers to offer befriending support and engaging activities to older adults without family living in care home settings. This project now has one paid Befriending worker. During the year we have provided this support and friendship to 68 individuals.
The Steering Group
The Steering Group is an important part of the My Side project and provides valuable input into the charity’s governance from across Birmingham and Walsall. It gives current and former advocacy partners the opportunity to access peer advocacy, develop self-advocacy skills and help shape the charity’s work.
The group’s purpose is to identify and address common barriers that prevent people from accessing facilities and services in their local communities. Members contribute to key areas of the organisation’s work, including interviewing new staff, advising on accessible information, shaping the design and content of accessible documents, and supporting the development of future funding bids and projects.
The Steering Group is facilitated by Advocacy Matters and currently has 12 members, all of whom have experience of receiving independent advocacy. Their lived experience helps guide and steer the organisation so that our services continue to respond to what is most needed in our communities.
In July 2025, Graham King from Act on Energy attended as a guest speaker to support the group’s understanding of how to reduce energy costs and share this information with others in the community.
In September 2025, Healthwatch Birmingham provided a guest speaker to hear about members’ experiences of NHS services in Birmingham, feeding directly into Healthwatch’s work to monitor local services.
In November 2025, Terry Cheung, a mental health specialist, delivered a Mental Health Awareness session to strengthen the group’s understanding of mental health needs and how to support others.
In December 2025, the Steering Group began working with Jess from The GAP on podcast recordings. The first episode, featuring the CEO, was released in January 2026, with further episodes planned for YouTube and Spotify. The podcasts will explore experiences of growing up with disabilities in Birmingham.
In January 2026, the Steering Group began working with social work students to support their training in user involvement, health and social care.
2. Physical Disability Advocacy
PD Advocacy is funded by Birmingham Solihull Integrated Care Board and continues to be renewed and receive positive praise from commissioning about its impact and scope. We provide 1:1 Independent Advocacy for people living with the effects of Stroke, brain injury, neurological conditions, long term chronic conditions and the wider experiences of living with a physical disability. We have continued to find good engagement from commissioning contacts and meet quarterly. Work is being done to improve the scope of recording for the project to reflect the in-depth work by the Independent Advocate. We have seen a huge rise in the instances of housing issues and homelessness on this project and continue to support to resolve these which can be challenging and time consuming. During the period we have supported 68 people.
3. Walsall Care Act
The nature and scope of this project is the same as that of the Birmingham Care Act Advocacy project, see 4 below, albeit on a smaller scale. The arrangement was direct with Walsall Metropolitan Borough Council up until October 2022. Since October 2022 we have been providing this Care Act Service in a partnership with POhWER. April 2024 until 31st March 2025 support was provided for 351 individuals.
4. Birmingham Advocacy Hub
Birmingham City Council issued a tender encompassing not only statutory advocacy but also a pre-defined amount of non-statutory advocacy and volunteer training. This project was awarded to POhWER, a national advocacy provider. Advocacy Matters entered into a partnership agreement with POhWER to provide Advocacy Services on an agreed basis. This project commenced on 1st April 2019. It was retendered and re-won in April 2022 and will be contracted until April 2027. This Partnership is of critical importance to Advocacy Matters. It incorporated the Care Act, IMCA, and a part of the My Side projects. In addition, another statutory advocacy and some non-statutory advocacy is also included. This should be retendered in October 2026.
A summary of each of the elements of the project is given below.
Care Act Advocacy
Care Act Advocacy is a form of statutory Advocacy governed by the Care Act 2014 whereby local authorities must arrange an independent advocate to facilitate the involvement of a person in their assessment, in the preparation of their care and support plan, in the review of their care plan, and in appropriate safeguarding procedures. This independent advocacy must be implemented to provide assistance if the following two conditions are met:
Where the potential recipient has substantial difficulty in being fully involved in these processes
Where there is no one appropriate available to support and represent the person’s wishes.
The role of the independent advocate is to support and represent the person and to facilitate their involvement in the key processes and interactions with the local authority. Acting as an advocate for a person who has substantial difficulty in engaging with care and support processes is a responsible position.
This work includes:
Assisting a person to understand the assessment, the care and support planning and the review processes. This requires advocates to understand local authority policies and processes, the available assessment tools, the planning options and the options available at the review of a care or support plan. It may involve advocates spending considerable time with the individual, considering their communications needs, their wishes and feelings and their life story, and using all this to assist the person to be involved and where possible to make decisions.
Assisting a person to communicate their views, wishes and feelings to the staff who are carrying out an assessment or developing a care or support plan or reviewing an existing plan.
Assisting a person to understand how their needs can be met by the local authority or otherwise understanding, for example, how a plan can be personalised, how it can be tailored to meet specific needs, how it can be creative and inclusive and how it can be used to promote a person’s rights to liberty and to family life.
Assisting the person to make decisions about their care and support arrangements – assisting them to weigh up various care and support options and to choose the ones that best meet the person’s needs and wishes.
Assisting the person to understand their rights under the Care Act – for an assessment which considers their wishes and feelings, and which considers the views of other people; their right to have their eligible needs met and to have a care or support plan that reflects their needs and their preferences.
Also assisting the person to understand their wider rights, including their rights to liberty and family life. A person’s rights are complemented by the local authority’s duties, for example, to involve the person, to meet needs in a way that is least restrictive of a person’s rights.
Assisting a person to challenge a decision made by the local authority; and where a person cannot challenge the decision even with assistance, then an Independent Mental Capacity Advocacy (IMCA) may be needed.
The Mental Capacity Act came into force in April 2007 introducing statutory independent advocacy and imposing on the NHS and Local Authorities the duty to consult in defined situations concerning vulnerable individuals. IMCA requires the provision of non-instructed advocacy to individuals, aged 16 and over, who have been assessed to lack capacity for specific decisions and who have no family or friends who might otherwise advocate on their behalf. This may include those with learning difficulties, dementia, mental health problems, acquired brain injury and cognitive impairments associated with serious physical illness. IMCA is a very specialist form of advocacy and all advocates involved in this form of advocacy are required to undertake specialist training. IMCA advocates will also be involved in any Safeguarding aspects related to Deprivation of Liberty (DOLS) under the Mental Capacity Act 2009.
Independent Mental Health Advocacy (IMHA) IMHA is covered by Mental Health Act Revision 2007 and relates to inpatients held under a section of the Mental Health Act 1983.
Independent Complaints Advocacy Service (ICAS) National Health Complaints are the statutory responsibility of the National Health Service, but these are commissioned through Public Health England and the local authority.
Community Advocacy Community Advocacy applies to all issues that vulnerable people face which fall outside the above legislation.
Volunteer Advocacy Training
One of the forms of advocacy which Birmingham City Council are keen to support is advocacy by volunteers which they are promoting by supporting the training of potential new advocates.
During the period, the Birmingham Advocacy Hub project dealt with 1,182 referrals. Four volunteer training courses were also delivered, providing training for 60 participants.
5. Spot Purchase 1.2 Rep
A "1.2 representative" refers to a person appointed by the Court of Protection to represent someone who lacks the capacity to consent to restrictions on their freedom, particularly when a Deprivation of Liberty (DOLS) is being authorized in a community or domestic setting. This representative acts as an advocate for the individual, ensuring their views and wishes are considered in the legal process. We have been undertaking this work since September 2024 and have worked with 54 individuals in the financial year. Providing COP 11 Annex C and Cop 24 witness reports.
6. Children’s Age Assessments-
Appropriate Adult support Age assessments for unaccompanied children seeking asylum are complex and are used to establish whether an individual should be supported as a child or as an adult. Children and young people seeking asylum often do not have documentation to prove their age and may not know their exact age or date of birth.
Any child or young person undergoing an age assessment must have the opportunity to have an Appropriate Adult present during interviews. The role of the Appropriate Adult should be clearly explained at the start of the process, and it is recommended that the same person supports the young person throughout the assessment wherever possible.
Advocacy Matters was awarded the contract to provide this service for Birmingham Children’s Trust in January 2023. During this financial period, we received 55 referrals. Some referrals required more than two meetings, which meant they took additional time to complete.
The results for the year are set out in the attached Financial Statements and Notes. The net movement of funds for the period amounted to a deficit of £81,162. The total retained reserves at 31st March 2026 amounted to £643,893.
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 equivalent to between three and six month’s expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
The trustees periodically review the reserves position of the charity to ascertain whether or not the funds that they are holding are adequate for its work. In doing this they take into consideration the financial risks to which the charity is subject, the assets and working capital requirements for continued service delivery and for unforeseen circumstances, particularly relating to uncertainties of future funding.
A further major consideration is the drastic change in the way that many projects are being funded. In many cases remuneration is on a per hour or per referral basis with payment in arrears with no guarantee of the number of referrals which will be required. This places all the risk on to the provider and could have a catastrophic effect on the charity’s funds if things go wrong.
At 31 March 2026 the charity had reserves of £643,983. The trustees have reviewed whether unrestricted funds can be applied for public benefit whilst maintaining an appropriate level of free reserves. The trustees are of the opinion that free reserves (reserves available for working capital, development and provision of the service) should be at least six months costs of running the organisation. The trustees therefore consider that the free reserves are adequate.
The trustees will continue to seek new projects which are suitable and beneficial to the community of people with disabilities, which are consistent with the charity’s aims and objectives and which deliver public benefit to all members of the community.
The reduction in funding from Local Authorities generally and the reluctance of other potential funders to fund non-statutory advocacy means that different approaches to fundraising are required if the charity is to remain sustainable with adequate levels of funding and this is now a priority which is being urgently addressed.
One of the Objects of the charity is to advance education, in particular by providing training in advocacy skills and disability issues. This training is now handled by the Volunteer Advocacy Training section of the Birmingham Advocacy Hub (see 4 above) and will continue to be a priority. A brief outline of the type of facilities which could be provided is available on the charity’s website. This training will normally be provided to other advocacy organisations or health professionals to the ultimate public benefit of the disabled community.
The Charity is a company limited by guarantee . The trustees/directors named on page 1 are also the only members of the company. In the event of the company being wound up, their liability in respect of the guarantee is limited to £1 each.
The charity was incorporated on 12th March 2012 and is governed by its Memorandum and Articles of Association. The company was formed specifically to take over the operations of Advocacy Matters, an unincorporated charity which has since been decommissioned. The company commenced operations on 1st October 2012 at which point any remaining assets or liabilities of the unincorporated charity were transferred to the company.
The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
The charity is governed by an Executive Committee comprising all the Trustees who are also Directors and the only members of the company. During the year under review, the day-to-day management of the charity was undertaken by the Chief Executive Officer with the assistance of three Operations Managers and two Senior Advocates.
Where there is a requirement for a new trustee, candidates will normally be identified from recommendations by existing trustees or Operations Managers, particularly bearing in mind the skills and experience which such candidates would bring in areas which are beneficial to the charity but may not necessarily be represented by the existing trustees. Potential new trustees will usually be interviewed by the Chair and one of the Chief Executive who will explain the concept of advocacy and the aims and objectives of the charity. They are also informed of their legal obligations under charity and company law, the Charity Commission guidance on public benefit and are provided with leaflets from the Charity Commission so that they are aware of their roles and responsibilities before they decide to take on the role. Successful candidates are invited to attend the next trustees’ meeting as observers and are provided with a copy of the Memorandum and Articles of Association.
New trustees are voted in by the Executive Committee and appointments are subject to Enhanced Disclosure and Barring Scheme checks. New trustees are provided with a trustee Induction Pack and offered Trustee training. Advocacy Training is available to ensure the new trustee is fully aware of the meaning of advocacy.
All members of the Executive Committee give their time voluntarily and do not receive any benefits from the charity. Note 7 to the accounts shows any expenses claimed by the Trustees during the period.
The Steering Group, which is incorporated into the My Side project, ensures that the charity remains “user led” and provides an important element of the charity’s structure and governance.
The Trustees continually assess the risks to which the charity and its staff are exposed. This continues to be relevant as there is still the potential of contact with COVID 19 and other serious viruses. Where appropriate, systems, policies and procedures have been implemented to reduce these risks. They cover areas such as health and safety of staff, volunteers and visitors and lone working for staff and volunteers. These policies and procedures are regularly reviewed to ensure they are up to date and cover all areas involving the charity. All staff and volunteer appointments are subject to Enhanced Disclosure and Barring Scheme checks and full training is given to safeguard not only the safety of staff and volunteers but also the users for whom they may be advocating. A written risk assessments are carried out for every disabled person who is to be supported by a member of staff or volunteer and is held on file.
Risk Assessments relating to the office are carried out annually and Health and Safety is included on the Agenda of Staff Meetings.
Financial Risk is a major consideration for a small charity and liquid funds and reserves are regularly reviewed to ensure that there is sufficient working capital for the charity’s needs. This includes the ability to finance the expenditure for those projects where payment for services is made in arrears.
The trustees consider the Chief Executive Officer and the three Operations Managers to be key management personnel but the pay policy for these key personnel is the same as for other staff. The pay of all staff is reviewed annually and will normally be increased in line with, or above, average earnings benchmarked against similar roles at other charities or the public sector, with a view to ensuring that they are paid at least as well as those benchmarks.
The Trustees' report was approved by the Board of Trustees.
The Trustees, who are also the directors of Advocacy Matters Ltd 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.
Insofar as the trustees are aware:
there is no relevant audit information of which the charitable company’s Independent Examiner is unaware; and
the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant information and to establish that the Independent Examiner is aware of that information.
The strategic report under the Companies Act 2006 (Strategic Report and Directors’ Report) Regulations 2013 is not required as the charity qualifies as a small charitable company.
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.
I report to the Trustees on my examination of the financial statements of Advocacy Matters Ltd (the Charity) for the year ended 31 March 2026.
Having satisfied myself that the financial statements of the Charity are not required to be audited under Part 16 of the Companies Act 2006 and are eligible for independent examination, I report in respect of my examination of the Charity’s financial statements carried out under section 145 of the Charities Act 2011. In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the Charities Act 2011.
Since the Charity’s gross income exceeded £250,000, the independent examiner must be a member of a body listed in section 145 of the Charities Act 2011. I confirm that I am qualified to undertake the examination because I am a member of the Association of Chartered Certified Accountants, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
accounting records were not kept in respect of the 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.
Richard Alan Horton
Chartered Certified Accountant
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Advocacy Matters Ltd is a private company limited by guarantee incorporated in England and Wales. The registered office is 198 Boldmere Road, Sutton Coldfield, West Midlands, B73 5UE.
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.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
At each reporting end date, the 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 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.
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 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.
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 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.
There were no disclosable related party transactions during the year (2025 - none).
The Charity had no material debt during the year.