The trustees present their annual report and financial statements for the year ended 31 March 2025.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the 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)".
In 2022 the Board of Trustees reviewed our Mission Statement and Values.
Our vision is: For people with a learning disability to live their best life possible.
Our mission:
We will support people with a learning disability to fulfil their potential and lead healthy, happy, and meaningful lives.
We will involve people we support, their families, staff, and other stakeholders in the support we provide.
We will campaign for change and improvement in the lives of people with a learning disability
We will continually develop the support we provide.
We will continue to be innovative, responsive, and effective to meet changing needs.
We will run a well-managed organisation which provides excellent value for money.
Our values:
We are passionate about empowering and respecting people
We are inclusive
We adapt and respond with new ideas
We are positive in our work and are the best we can be
We are kind in everything we do
We promote positive ways of thinking about learning disability
Our People:
We will only recruit staff who share our values and who can demonstrate their commitment to providing outstanding care and support.
We will provide opportunities for staff members to develop their knowledge through supervision, training, and support.
Mencap In Kirklees
We are: Motivated, Inspired, Kind
Our core values:
Motivated
We are motivated when developing new ideas.
Inspired
We are inspired to enable everyone we support to make creative life choices
We promote positive ways of thinking about learning disability
Kind
We empower, include and respect people
We are person-centered
When preparing the charity's vision and mission statement for the year and planning our activities, the trustees have considered the Charity Commission's general guidance on public benefit.
Activities
Mencap in Kirklees provides support for people aged 18+ with a learning disability. The support we provide ranges from advice and information, befriending and social and leisure activities, and day services as well as 24 hour a day support provided in residential care and supported living. Most of the support we provide is funded by Kirklees Council commissioned contracts, but we also provide support funded by Direct Payments with some support grant funded or paid for by those using the service.
Ensuring our work delivers our aims
We plan our work over a three-year period with our business plan updated annually to review what has been achieved and plan work over the next three years. Achievements are measured against the benefits they have brought to the people who use our services and these are established through annual quality and satisfaction surveys. We have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when carrying out our review and in planning future activities.
At Mencap in Kirklees we have several people who volunteer to work in services such as Arena, Friendcap, Super Tuesday and More2Do. We need to recruit more volunteers for the benefits they bring to people we support and have had some success this year. We have a Coordinator who manages the volunteering process, and this is having a positive impact. Continuing to grow our highly valued volunteers will remain one of our objectives in the next financial year.
This financial year, we have again focused on maintaining financial sustainability in a very challenging environment. We have closely monitored budgets and delivered savings as needed with particular focus on minimising expenditure on agency care workers. The hard work has paid off as we have generated a satisfactory surplus for the year.
We were pleased to retain our CQC s inspection rating of “Good” in all our services.
We still have several voids in our services, with 5 vacancies waiting for allocation in our supported living. We are working hard to seek new people to move into those places with council colleagues who hold nomination rights.
We were pleased to secure just under £15k to enable us to refurbish both the upstairs and downstairs toilets and kitchens in Waverley Hall - the one building we own. This will hopefully make the space more functional and accessible to a wider audience, maintaining and increasing our membership levels.
We have moved to new premises for our Day Centre, Branches and that is owned by a community organisation whose needs and values align with our own.
We have also been successful in our £4K bid with Q Futures to enable us to deliver IT training for 30 people, supported and delivered in partnership with Cloverleaf. We are concerned that the digital world is not accessible to some people and discriminates against people who struggle to use and understand the online benefits and risks.
We were delighted to see a 65% reduction in our electricity costs at Waverly Hall following on from the installation of solar panels and batteries.
Services:
Supported Living Service
At the close of this financial year, the service was supporting 24 people with a learning disability to live in their own homes. The portfolio will hopefully increase to support 29 people this financial year when the voids are filled. The Croft has been developed, adding a 1-bedroomed en-suite extension to support a tenant with a deteriorating condition, moving the Ellis Cottage next door. Ellis cottage is actively looking for 2 people to share but the matches to the property have been difficult due to the compact size of the quaint cottage. We have one person waiting for a match, with 3 people deciding it's not for them. The growth to 7 places is pleasing, and we hope it will be suitable for a couple or siblings.
We still have one place following the sad death of a person we supported, and 1 further vacancy at Cartwright Gardens and No 5 Pennine Crescent. We are pleased to be the provider of choice for emergency placements and are currently working on a match for No. 5, which is complex. We will need to skill up our teams to respond to the emerging needs.
We support people at 9 addresses in a mixture of single tenancies and shared houses. Their support is commissioned by Kirklees Council through a framework contract whereby individual packages of support are offered to specialist learning disability providers. Supported Living is now the majority service type for us. In the last year, we reviewed the services and their finances to maximise the opportunities the new, larger service brings. We reviewed and extended the management structure, planning to increase to 2 registered managers to reflect the growth in the service and give flexibility to allow us to bid for future opportunities. We were delighted when our hard work to source a 4-bedroom bungalow with Care Housing Association, as a replacement for an unsuitable property, was finally completed and is now home to 4 people who are really enjoying their home. We are breaking new ground for one gentleman who has been able to return from the hospital to receive palliative care, rather than have to move into a residential facility. We currently have 5 voids to fill.
1 Victoria Road Residential Home
The home has 6 bedrooms and a new housemate has moved in. 6 People are supported at our CQC-registered residential home in Lockwood, Huddersfield. Five people have their own bedrooms and 2 shared bathrooms, a lounge, and dining, kitchen area, and the sixth is a self-contained flat where one person lives semi-independently. All the placements are funded through the local authority, and we have no vacancies at present. The people we support enjoy various activities such as keep fit, social clubs and our More2Do service. The 6 people who live here are ageing, and we are exploring options for increasing access to the upper floor. We are in the process of buying the building to offset the high rent increases we have experienced in the last 3 years. We plan to explore if a lift may be possible or if building on the downstairs bedrooms might be feasible, and make the living space more accessible. We will use grants to make this possible and may need to match fund some parts of the grant. We are likely to have void in the coming or next financial year due to the deteriorating health of one person after the diagnosis for dementia. We have had 4 referrals for the void before the recent match to a gentleman, but unfortunately, they all had mobility needs and the property's access needs work to meet the future needs of people. We aim to make this a flagship service in our locality as the building is developed by maximising the use of AI, and we aspire to understand how AI can enhance people’s health outcomes.
We are delighted that the manager and her team have been awarded the Care Homes Charter accreditation after submitting an in-depth portfolio. The learning sessions and award are given by Kirkwood Hospice and Locala. The work toward the award has highlighted the excellent support that is available to people at the end of life and has created opportunities for improvements.
100 Pennine Crescent Residential Home
Eight people are supported at our CQC registered residential home in Salendine Nook, Huddersfield. The property comprises a 2-storey house, with six bedrooms (four upstairs and two downstairs) in the main house with a two bedroomed level access bungalow attached. All eight places are occupied and are funded by
Kirklees Council with some additional NHS CHC funding for one person. There is no agreement yet from Kirklees Council (formerly Kirklees Neighbourhood Housing) to modernise the building, but it would benefit from improvements and additional space. There is a lovely atmosphere at the property but there is a lack of communal space that could be improved with the necessary funding and support from the landlord.
Arena Day Service
This service operates three days a week (Wed,Thu,Fri) from Jo Cox House in Batley and everyone who attends pays through a direct payment. It is aimed at younger people with a learning disability who can travel to and from the service independently. The service has capacity for 14 places per day. The team have been working in partnership with local community groups to widen the activities available at no additional cost to us or members.
Branches Day Service
Branches is based in Outlookers Batley, North Kirklees. The team provide support five days a week for people aged over forty years who have a learning disability. The new building offers more flexible space and a wonderful garden to develop, with secure parking in a quieter area. The service is provided through a block contract with Kirklees Council that requires us to offer up to 18 places per day, and we have a small number of people who pay by direct payments and self-fund. This contract was delayed for tendering in 2025, and we do not yet know if the same model will be recommissioned, as the council commissioning team have been reviewing day service provision across the region and has not given us any details on their direction of travel, but we anticipate the new tender will be released in early 2026. Branches members enjoy a range of activities from bowling, cycling, exercise, arts and crafts, sports centre activities, gardening, visits to the cinema and walking, and the service is always open to other ideas and suggestions. Colleagues work in partnership with other organisations, including Umbrella Yoga and HTFC.
Waverley Hall Day Service
Waverley Hall is based in Huddersfield and supports adults with a learning disability. The service is provided through a block contract with Kirklees Council that offers 40 places per day, and we have a small number of people who pay by direct payments and self-fund. This contract is due for tendering in early 2026 and we do not yet know if the same model will be recommissioned, as the council commissioning team have been reviewing day service provision across the region and not given us any details on their direction of travel. The team at Waverley Hall support people aged 18 and above. The building offers a level access environment with enough space for all the members to enjoy fulfilling and meaningful activities both in the centre or out and about in our local community. This year, we have been working on a new management structure and developing the team.
More2Do
The service is led by its members who pay a small charge to attend planning meetings and who decide where to go, what they would like to do both locally and, on their day trips and weekends, away. The activities are all chosen by the people who attend. We were thrilled to receive funding from the National Lottery and are delighted that the National Lottery have agreed to fund the project for a further 3 years to delight of the members. Another exciting project for the group is part of our governance structure by taking a lead in setting up a peer-led members council group to enable people we support to have a more direct say in our strategic direction. Its title is “Valuing Voices” and the peer board has started to meet.
Social & Leisure groups
The Huddersfield based social groups are keep fit on a Tuesday and a leisure club on a Wednesday both held at Waverley Hall. Currently, there is no demand to open on the other evenings. Anecdotally, we are told people we support are struggling financially to attend more social events. We will continue to check out the demand for these services and respond accordingly. We are exploring the need for a late-night Friday social event for younger people with a learning disability as a 16-week project. We are delighted the Safer Kirklees awarded us nearly £9k to conduct this vital work. It will be a research project to explore the demand and attract a younger audience to our services.
Super Tuesday and Friendcap are social and educational groups held on a Tuesday into the evening, respectively, at our Jo Cox House venue in Batley. The services are partially subsidised by Mencap in Kirklees, but the members contribute towards costs. We were fortunate to receive further grant funding from Kirklees Council Community Plus to support the costs of running Super Tuesday as we recognise how important they are to those who attend. Many of the people who attend live alone, and we are often the only professionals they see. We are often the first people who can support with community-based safeguarding issues e.g. cuckooing etc. so are determined to retain these clubs, if possible, financially. We will need to seek further grant funding in the coming financial year. Seeking grant funding can be challenging as many funds have a ceiling on turnover thresholds for who they fund which is a challenge for us.
General review
Once again, this has been a challenging year on a financial basis, our primary funder Kirklees Council has faced financial challenges, and these have inevitably had an impact on us. The uplifts received from the Council have been lower than anticipated and have put significant pressure on the social care sector as a whole. The management and staff have done their utmost to keep our services positive and provide great support, but the national social care recruitment crisis and poor wages have harmed staff morale. Colleagues have not felt valued on a national level since the pandemic. We thank them all for their continued hard work and support, which has been and continues to be invaluable. Our team remain our greatest asset.
This year we had some changes in our senior management team when the CEO post holder left our organization after 4 years of service. We would like to thank Catherine Wood for her hard work and dedication to Mencap in Kirkleees during this time and wish her well for the future. A new CEO (Dawn Wood) and Head of Support Services (Tracy Sims) were appointed internally in Dec 2024. The new appointments bring a wealth of experience with them and the senior management team is working hard to strengthen and develop the organisation.
We have continued our digital journey by improving our recording systems and embedding digital social care records. We have also made efficiencies and decreased our environmental impact by digitalising our front-line payroll systems and by moving away from paper-based systems where we can.
We continued to operate our fully online mandatory training system to enable staff to undertake their mandatory training more flexibly. The online training is working effectively. Online training requires staff to be away from providing support for significantly less time than with face-to-face training. Our Clinical and Learning Manager has proved that the mentorship programme for all new staff has significantly enabled us to retain staff, nip problems or issues in the bud quickly and helped us to develop their skills in an individualised way. We are very fortunate that she is a registered nurse. Whilst not employed as a nurse she does use her clinical skills to signpost colleagues to sources of support for people we work with who have health concerns. We are working hard to reduce health inequalities with the people we support.
We continue to work with a consultant to support us with grant applications and so far, she has largely recouped her costs, which is a great success. During 2025/2026 we spent 2 separate days with our Board reviewing our SWOT analysis of all our services, reviewing our organisational context document, and determining our strategic direction. We completed and signed off the business plan for 2023 – 2026 and began the process of reviewing our charitable and voting structure to ensure it meets our needs moving forward. We will hold our strategy day with our trustees and senior management team in November 2025 to explore and agree a direction of travel for 2026 – 2029.
CQC’s new single assessment framework is now in place in our region. As a result, their visits to us have decreased since this new system was introduced. Neither of our 2 remaining care homes was inspected on site during this financial year. All 3 CQC registered teams will have returned the Annual Provider Information Returns, and we will work hard on these to ensure they reflect the work we do to provide good support.
In February 2025 we were reassessed by ISOQAR and retained the ISO 9001 quality award for ‘the management and co-ordination of services, advice & support to people with a learning disability and their carers’. We also successfully retained our CHAS-accredited status during the year.
Total incoming resources for the year amounted to £3,598,877 (2024: £3,519,851) an increase of £79,026. The increase in income was held back by lower than anticipated inflationary uplifts from the local authority and by ongoing voids across some of our services.
The total resources expended for the year increased from £3,353,819 at 31 March 2024 to £3,405,933 at 31 March 2025, an increase of £52,115.
The charity made an operating surplus of £192,944 to the year ending 31 March 2025 (2024: £166,032).
Our focus continues to be delivering support to the highest quality standard we can, using the resources available as efficiently as possible.
Fixed Assets
The fixed assets of the company represent the property at Waverley Hall, fixtures, office equipment, specialist equipment for use in our residential homes and motor vehicles.
Designated Fund
The designated fund has been shown separately in the accounts for clarity, and is made up of two separate funds.
The balance on the designated fund for future expenditure at 31st March 2025 is £164,554 (2024: £164,554).
The balance on the designated revaluation reserve at 31 March 2025 is £227,378 (2024: £222,378).
The trustees have reviewed the reserves policy and in doing so taken guidance from ‘Beyond Reserves’ (ACEVO, 2012). The review identified all funding sources at risk and other events which would have a negative impact on the financial viability of the organisation over the next 3 years. The trustees still feel that this review is relevant if not more so in the current financially challenging environment of 2025. Based on this risk analysis the trustees concluded that to ensure continuity of services a sum equivalent to three months of operating costs (£851,483) would be appropriate.
The total reserves at 31 March 2025 were £1,840,666 (2024: £1,642,722) of which £285,423 (2024: £256,052) are represented by fixed assets leaving £1,555,243 in a readily realisable form.
However, £93,849 is for use on restricted projects and £164,554 designated as explained above leaving unrestricted free reserves of £1,296,840.
Ethical Fundraising Policy
Policy statement
Mencap in Kirklees (MIK) is proud to support people with learning disabilities and their families. To help ensure we have the availability of ongoing funds to use for enriching lives and to pay for the work we do, MIK aims to maintain a broad base of different funding sources. The purpose of this policy is to ensure clarity and openness to all stakeholders. All staff involved in fundraising have a responsibility to be aware and have a thorough understanding of the ethical issues referred to in this policy.
Policy aims
The following policy will outline how Mencap in Kirklees (MIK) will operate and abide by the Charity Commission (CC) guidelines, best practice and legal frameworks and follow best practice from the Institute of Fundraising (I of F).
Detail
MIK actively seeks opportunities to work with external organisations and individuals to achieve shared objectives.
MIK will maintain their independence and will not allow external partnerships to bring the name of MIK into disrepute.
Guidance on accepting donations
MIK accepts financial support from, and partnership working with, companies and individuals on the following conditions:
Donations and support are believed to result in positive outcomes for those MIK support.
There will be no adverse publicity from receiving a donation, support or gift-in-kind.
The individual or company supporting MIK will not attempt to influence policy or decisions
No endorsements of products or services will be given to supporters by MIK.
We concur with the Fundraising Regulator's Promise to be open, honest, fair and legal. MIK complies will all relevant legislation including money laundering rules, the Bribery Act and Charity Commission guidance, including terrorism and political activity. MIK therefore would not accept any of the following where the donation:
Was known to be associated with criminal sources
Would help further a donor’s personal objectives
Would lead to a possible decline in support for MIK
Would otherwise significantly damage MIK’s reputation
Communicating with donors and keeping records
MIK will ensure that clear, honest information is given to supporters on the work MIK undertake, to openly report on how funds are spent and manage donors’ information responsibly.
We will comply with the Charity Commission and UK law in every respect, including those regarding openness and honesty with our supporters and members of the public.
Only MIK will have direct access to the fundraising database and list of donors (individuals and companies) and this data will be held in accordance to GDPR legislation (May 2018). The database will not be shared with third party organisations and information governance will be in place for staff with restricted access to the database.
All communication with donors (both offline and online) will receive opt-in choice to receive further information and updates from the charity. We will respect the privacy and contact preferences of all donors. We will respond promptly to requests to cease contacts or complaints and act as best we can to address them.
Refusals
We abide by the law which requires us, in deciding whether to accept or refuse a donation, to consider which action is in the charity's best overall interest.
We will not, however, accept donations made by donors whose activities appear to be in direct conflict with the best interests of those we support. The responsibility of the judgement on whether MIK should refuse a donation lays with the Senior Management Team and ultimately the Board of Trustees.
Use of donations
If supporters wish to donate to a specific area of MIK’s work (such as More2Do or Arena) they may make a restricted donation by providing written instructions to this effect with their donation. MIK will where possible respect a donor’s wishes.
Handling of cash donations and gifts in kind
A receipt will be used to capture the data and donation detail. Receipts are held in the accounts department. Each external site also has a receipt book. The guidelines are listed on the receipt books.
Gift-aid declaration
Gift-aid declaration forms will be sent to all individual donors upon receipt of a donation or gift-in-kind. The Fundraising Manager will manage this information in accordance with GDPR and Charity Commission rules, with the Director of Business and Finance having overall responsibility for the administration of funds and the gift-aid returns.
We are successfully working towards the objectives for our business plan for the period 2023 – 2026. We will hold our strategy day with our trustees and senior management team in November 2025 to explore and agree a direction of travel for 2026 – 2029. The emphasis will be upon sustainability, improvements to our buildings and infrastructure and developing existing services.
We will further consolidate our work with I.T. systems to reduce our reliance on expensive paper-based systems. We will complete implementation of Digital Social Care Records (DSCR) in our CQC registered services. Our move to outsource HR administration has proved to be generally effective and we will look to seek more opportunities to reduce central costs by outsourcing where appropriate.
We will continue to raise our profile with continued investment in social media usage to drive new business by raising our profile effectively. Our CEO will also continue to focus on networking in Kirklees to share our positive impact and develop our status in Kirklees as a provider of choice.
We will be focused on our support for people growing older with a learning disability. We support an ageing population in many of our residential and supported living settings. We need to ensure we develop flexible accommodation and support that can change with a person as their needs increase over time.
The company was incorporated on 4 October 1989 under the Companies Act 1985. Being a company limited by guarantee it is governed by its Memorandum and Articles of Association. The company is also a registered charity and is therefore subject to the regulations of the Charity Commission. In the event of the company being wound up members are required to contribute an amount not exceeding £1. On 25 September 2008, a Special Resolution was passed by the Trustees agreeing to change the company name from Huddersfield Mencap to Mencap in Kirklees. This was effective as at 30 September 2008.
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:
All trustees including the chair, vice chair, treasurer and secretary are elected annually by the members of the charitable company attending the Annual General Meeting in accordance with the Articles of Association.
All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 10 to the accounts.
The board of trustees, which can have up to 12 members, administers the charity. The board meets approximately 10 times a year. A Chief Executive and Director of Business and Finance are appointed by the trustees to manage day to day operations of the charity. To facilitate effective operations, the Chief Executive
and the Director of Business and Finance have delegated authority, within terms of delegation approved by the trustees, for operational matters including finance, employment and service related activity.
The charity considers its key management personnel comprise the senior management team (SMT). The remuneration of the SMT is appraised and set each year by the board of Trustees.
The risk register is reviewed each month at the board meeting and is comprehensive.
Trustees will undergo an orientation meeting to brief them on their legal obligations under charity and company law, the content of the Memorandum and Articles of Association, the committee and decision-making processes, the business plan and recent financial performance of the charity. During the induction meeting they will meet key employees and other trustees. Trustees are encouraged to attend appropriate external training events where these will facilitate the undertaking of their role.
The charity is affiliated to Royal Mencap and we share common values however we do not receive any funding from the national body.
In accordance with the company's articles, a resolution proposing that BK Plus Audit Limited be reappointed as auditor of the company will be put at a General Meeting.
The trustees' report was approved by the Board of Trustees.
The trustees, who are also the directors of Mencap In Kirklees 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.
Opinion
We have audited the financial statements of Mencap In Kirklees (the ‘charity’) for the year ended 31 March 2025 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 charity 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 for the financial year for which the financial statements are prepared, which includes the directors' report prepared for the purposes of company law, is consistent with the financial statements; and
the directors' report included within the trustees' report has 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 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; or
the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the trustees' report and from the requirement to prepare a strategic report.
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.
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.
Other matters
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 company through discussions with directors and other management, and from our commercial knowledge and experience of the industry 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 the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, environmental 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
Ensured 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 a 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; and
Understanding the design of the company’s remuneration policies.
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 set out in note 2 were indicative of potential bias; and
Investigated the rationale behind significant or unusual transactions.
In response to the risks 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; and
Reviewing correspondence with HMRC, 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 the 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.
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.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Mencap In Kirklees is a private company limited by guarantee incorporated in England and Wales. The registered office is Independence House, Holly Bank Road, Lindley, Huddersfield, West Yorkshire, HD3 3LX, England.
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.
Agency staff costs
Premises costs
Cleaning, maintenance and repairs costs
Catering costs
Office costs
Staff and volunteer costs
Motor and travel costs
Activity costs
Training costs
Fees and subscriptions
Legal and professional fees
Bad debts
Sundry costs
Agency staff costs
Premises costs
Cleaning, maintenance and repairs costs
Catering costs
Office costs
Staff and volunteer costs
Motor and travel costs
Activity costs
Training costs
Fees and subscriptions
Legal and professional fees
Bad debts
Sundry costs
The charity pays for trustee's liability cover, totalling cover of £1,000,000, as part of the general insurance policy, the cost of the trustee cover is not separately identifiable from the total cost incurred in the year (2024: £420).
The average monthly number of employees during the year was:
The breakdown of average number of employees only includes contracted staff, during the year the charity employed 24 bank staff (2024: 25) not listed below.
The remuneration of key management personnel was as follows:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
Land and buildings with a carrying amount of £240,000 were revalued on 16 May 2025 by Bramleys LLP, independent valuer's not connected with the trustees, on the basis of market value. The valuation conforms to International Valuation Standards and was based on recent market transactions on arm's length terms for similar properties.
The value has been used as at 31 March 2025, on the basis that no material movement in the valuation has been noted between the year end and the valuation date.
At 31 March 2025, had the revalued assets been carried at historic cost less accumulated depreciation and accumulated impairment losses, their carrying amount would have been approximately £12,622 (2024 - £12,622).
Deferred income is included in the financial statements as follows:
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.
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:
Two of the Trustees have children that use services provided by Mencap in Kirklees. The total income received from both parties was £89,595 (2024: £73,767) and at the yearend £6,305 (2024: £14,118) was receivable. The fees charged and payment terms are identical to other service users. No other related party transactions occurred during the financial year.
The charity had no material debt during the year.