Company Numbor 02029641 Regi$tared Charity 1002141 Integrate (Preston and Chorley) Limited Report and Financial Statements For The Year Ended 31 March 2023
Integrate (Preston and Chorleyl Limited Contents Page Dire¢tors' Report Independent Auditor's Report 10 Statement of Financial Activities 13 Balan¢e Sheet 14 Slalemenl of Cash Flows 15 Notes lo the Financial Slalemgnls 16
Integrate (Preston and Chorley) Limited Legal and Admlnlstrative Information Directors M J Robinson (resigned 28 February 20231 J T Dunn (resigned 13 May 20221 T McLean (resigned 6 May 20231 D Naden Iresigned S September 2022} L Arkwright M Bleasdale N Homan JKay T Keely P McKeown Chief Executive: S Pemberton Prolect dirgctor, ISS: P Green Project director, Corporate Services and Company Secr&tary'. A Guthrie Project director, New Focus: A Watson Registered Officg: 112-116 Tulkelh Brow Preston Lancashire PR2 2SJ Charity Number: 1002141 Company Number: 02029641 Constitution: The Charity is rogistered as a company and is limited by guarantee. The charity is govemed by Memorandum and Articles of Association. Auditors: MHA Moore and Smalley Richard House 9 Winckley Square Preston PR1 3HP
Integrate (Preston and Chorley) Limited Directors. Report Yèar ended 31 March 2023 The Tru51ees. who are also Dire¢tor5 of the charity for the purposes ol the Companies Act, present their annual report and financial slalemenls of the charity for the year ended 31 March 2023 which are a150 prepared lo meet the requirements for a directors. report and accounts for Companies Act purposes. The financial slalemenls comply with the Charities Act 2011. the Companies Act 2006, the Memorandum and Articles ol Association, and Accounting and Reporting by Charities.. Statement of Recommended Practice applicable lo charities preparing their accounts in accordan¢e with the Financial Reporting Standard applicable in the UK and Republic of Ireland published in October 2019. StnJ¢ture, Governance and Management of the Oryanlsation- Constitution and Governing document.. Integrate is a chariiable Company whose Board of Directors are also charitable Trustees and are appointed to reflect the range of skills, interests and experience needed for effective governance. given the nature of the charitable a¢livilie5. Trustees are appointed by the Board. The memorandum of association governs the activities of the ¢harily and there are regular Board meetings lo govern the business of the charity and monitor ils operations, with operational senior managers reporting lo project Sub Boards lo the agreed organisalional plan. This year has seen the reliremenl and resignation of the Chair of Trustees David Naden and the appointment of John Kay. as the new Chair. We have also seen the sad passing of John Dunn the Vi¢e-Chair. and Tom M¢Lean, our president who has been a Trustee since our inception. The Vice Chair position has been taken up by Lynda Arkwright and we have seen the retirement of Maureen Robinson a long-lerm Trustee. We Currently have a number of potential Trustees meeting with us with a view lo joining the Trustee Board. RecruitmenUS&lection of Trustee Dlre¢tors: Directors (Trusteesl are sought whose skills build on the skills base of the current Board which includes sector specific skills. expertise and experience, as well as in finance, law, business. marketing, human resources, and management, and includes some stake-holder representation from a parent carer and an expert by experien¢e. Va¢an¢ies in the Board are advertised and recruited using lo¢al networks and the National Pre55. The current makeup of the Board was reviewed in March 2020. and it was agreed that there is a need 10 seek new members lo allow for succession planning, this was put on hold due lo the pandemic bul is al the forefront of the strategic plan for the coming year, with new Trustees in Ihe process of joining. The pro¢ess of application for new members includes seeking references and allendan¢e 81 an agreed number of Board Meetings, firstly as an observer, to ensure both the present Board of Trustees and the applicant feel the appointment would be beneficial and appropriate. The applicant receives all relevant information regarding the organisalion slruclure, Board stru¢lure, expectations of both the Sub Boards and the Board Committees. This is further supported with verbal information from either the Chief Executive or the Company Secretary. Once the suitability of the prospective Candidate has been agreed by the current Board Members the new Trustee will then be confirmed formally in their role al the next AGM. Induction and training: The training of new Board Directors would include the provision of an initial induction pack containing key informa110n about the organisation including the Plan, organisational slruclure5, the last AGM report and Accounts. any other recent proje¢t reports which may be of assistance, material on the organisalion's con51ilulion and memorandum of association, the rolè of the Board, and the up-lo-dale national guidance on Trustee standards and governance requirements. The Trustee job description is included in the pack and in any information lo potential Trustees. There would also be a 1..1 introductory session with the Chief Executive on the organisalion including meeting key people and a similar 1..1 session with the Chair. Any new Chair has a period of induction which includes some induction from the retiring Chair or a designated experienced Board Director and on-going supportladvice from them as required. Pagel 1
Integrate (Preston and Chorleyl Limited Directors, Report Year ended 31 March 2023 Induction and training Icontinuedl: We ¢ontinue lo offer of ad-hoc training session5 to Trustees which previously included invites and allendance lo conferences on the Care Act 2015, Deprivation of Liberty, Safeguards, Safeguarding, training in financial areas and other events ielevant lo the sector. this has been reduced in this year. but as we see an emergenGe from the pandemic and a return lo face to face meetings these opportunities will increase. Operational Managers continue lo offer regular briefings regarding current employment changes, Charrty Commission information and other updates relevant lo each project area. Training continues lo be done jointly with senioT operational management as appropiiale. Key management personnel remuneration The remuneration oflhe Chief Executive and Project Directors is set and reviewed by the remuneration committee with approval from the full Board of Trustees. Benchmarking of local similar charities lakes place to ensure parity with other local Social Care and Charity Sector key personnel muneration. Structure and wlder nfytwork: Trustees are responsible for the long-term strategic direction of the charity, selling the aims and monitoring progress towards these, agreeing the annual plans and budgots within the overall strategy and key policies. The day-lo-day management of the charity is delegated lo the Chief Executive and the Project Directors, who are professional managers with experience and expertise in areas relevant lo the projects. The Board continues lo set financial parameters on level of spend aulhorised. The Board meets regularly wi(h the Chief Executive and Company Secretary as well as Project Directors who all allend quarterly Board meetings which have again been mainly held remotely with a move to face lo face In the latter months of the year. The work of the Board continues lo be supported by 3 Sub Boards who look at the detail of the 3 majoi project areas. The Sub Boards are supported by the 3 operational Project Directors. The Board concenlrales on the organisation's governance responsibilities and safeguarding the eharily, looking towards ils longer-lerm development, its strategic plan and overall financial stability. There may a150 be occasions where il is benefi¢ial to run short-term 'task and finish. groups with re5evanl operational management in relation lo development and review issues across the whole organisation. One such group was formed last year to look al the possibility of new offices and lo review the organisation's building assets. Sub Boards work lo the Project operational plans and report to the Board on progress and exceplionslmatter5 which might affect the overall charity's risk or viability. The Project Directors manage the overall project activity to their agreed annual plans and ensure effective management of the activities lo agreed standards, providing the specialist professional management and expertise. There may also be times when the Sub Boards ¢o-OPt members lo follow up or advise on specific proje¢ls, for example Psychology or Housing Leads when applicable. Rglationship with any related parties.. Integrate has continued with ils membership of the Lancashire Learning Disabilities Consortium ILLDCI. which is an Industrial and Provident Society with charitable exemption and has a membership of Learning Disability Charities and As50ciale Members from Lan¢ashire who share a commitment lo promoting the wetrare of adults with Learning Disabilities. InlegTale, along with the LLDC, continue to represent issues for the Learning Disability sector across the county. Inlegrale's C.E.O. currently holds the position of Chair for the LLDC. Integrate also hosts the employment of the LLDC Business Manager post, the cost of which is fully covered by the Consortium. The relationship between Integrate and Linkability, a charity based in Chorley which works with adults and children with severe Learning Disabilities, continues lo be positive and is used as an opportunity lo share knowledge and support in sector related issues. Page12
Integrate {Preston and Chorley) Limited Director5, Report Year ended 31 March 2023 Relationship with any related parties Icontinuedl.. Integrate'5 Social Enterprise Projects continue their association5 with The Social Enterprise LancashiTe Network, an organisalion created lo support social business across Lancashire,. The Woodhouse is a member of the National Comrnunily Wood Re¢ycling Proje¢l. The Charity Shops promote their links with the sector through their Membership of the Chamber of Commerce. Opportunities lor meetings have increased over this year, bul are much reduced from before Covid, mainly due to the sector being less financially vibrant. The sponsorship of Community Living, a magazine about Learning Disabilities has continued in this fi'nancial year. The CEO is a member of the Editorial Board and a trustee on the Board of C.L. IniliatNies Limited, the charitable enlily which govern the produ¢tion and financial administration of Ihe magazine. Integrate continues lo work in partnership with several Housing Associations. such as Places for People, Manchester Housing, Care Housing Association and Preston Community Gateway who all support the work of the Charity. Integrate acts as Managing Agents for some of these Housing Associations forwhich a lee is received. We continue lo work with an increased number of private landlords due lo the Current social housing market. Links with the local universities and colleges have increased over this year and once again we have had students on placement in our services. This year Integrate have bocome members of the National Care Forum, which is membership organisalion for nol-for-profil organisalions in the ¢are and support se¢lor. Reviewing major risk5'. Integrate review any major risks annually, this is carried out by the Directors and Trustees and is managed by a combination of employing suitably qualified and experienced staff al each level and by providing regular and relevant training alongside the development and implementation of policies and procedures. Risk assessments and slTalegies are in place and reviewed regularly lo manage risks. Key areas are monitored which include financial planning and management of the main organisalional risks. Theie are Safeguarding and hislleblowing policies in place and these help lo identify risk al an early stage lo allow appropriate interventions lo take place. One of the Trustees has designated responsibility for Vvhislleblowing. The continued engagement of a Health and Safety ¢onsullanl has helped the organisalion lo assess ils Health and Safety risks by acting as our Competent Advisor. The ongoing monrtoring of Health and Safety is reviewed monthly by the Staff He811h and Safety and Staff Reps groups. The majority ol Inlegrale'5 business continues to be with Lancashire County Council and is funded al the benchmark rate. Having a major part of the business funded by one authority doe5 place a certain amount of risk to the organisation. Moving onlo the APL Framework may cause concerns around the fee rate for some people ¢lassed as '¢ommissioned off framework, whi¢h would be al a lower rale than the benchmark rate. these are not high ntjmbers of people. This year has seen an increased number of people with support being funcled by the NHS through Clinical Commissioning Groups and via the Transforming Care Agenda al our Service development rate. The organisalion also takes out ¢omprehensive insurance to cover property and on-going operational risks and lo indemnify the organi5alion's professional managers and Directors. This would also provide for the costs of defending any action related to HR issues which might be taken against them al any lime and any potential conceins are Tnanaged in full consullalion and supported by Peninsula, together with an HR professional manager who offers training and guidance. Page13
Integrate (Preston and Chorley) Limited Directors, Report Year ended 31 March 2023 Reviewlng major risks Icontinuedl: Inlegrale's business ¢onlinuily plan also covers areas such as the Covid pandemic, swine flu, winter flu, adverse weather conditions and other situations which may prevent staff from attending work including cyber risks. As staffing the service is the key risk in deliveTing support lo vulnerable people. the plans allow for cover in Gase of untoward contingencies. Inlegrale's Internal Agency continue5 to be steady and provides the organisalion with members of agency workers lo cover for holidays, sickness and training of permanent staff. However due lo the lack of ¢apa¢ity in the Social Care Sector, we have seen a rise in the use of external agency usage and therefore associated costs. Where il is necessary lo use external a9encies both parties would work together lo ensure staff used are regulars and known to the individuals they support. One major risk is the Tulketh Brow office which suffered from a flood and severe water ingress. which has meant some rooms are unable to be used. New office premises are being sought, bul there is a lack of suitable premises available on the Tnarkel. The reduction in facilities is being managed by hybrid working and some members of office staff working out of other offices until a suitable replacement is secured. Objectives and Activities The Charity's key objectives and activities are.. To develop, maintain and deliver local service5 in Preston and the surrounding area for adults and young people of 14 years and over with Learning Disabilities. and other adults in need whose disabilities benefit from more intensive support. This includes providing Supported Housing and Domiciliary Support to various indThiiduals in their home, to individuals in the family home. support towards ernploymenl and trainin9 a¢tivilies, volunteering. and support to allend local Colleges or other vocational aclivilies. Achievements and Performance There has been little change in the numbers of individuals receDiing support from Integrate over the current year and the organisation has continued to provide support service5 in the local community lo around 180 adults with learning disabilities, poor mental health, physical disabilitie5 or hearing loss through continued contracts mainly with Lan¢ashire County Council, bul with around 35 individuals funded by Manchester City Council, other local authorities and Clinical Commissioning Groups. These seivices are responsible for the generation of the majority of Inlegrale's income. Whilst the numbers of individuals who receive support has remained slalic, sadly we have seen a few people who we suppo7rted who passed away over this period. The specialist service still has referrals in the pipeline but moving forwarcs with them has been hampered following the pandemi¢, which means numbers are slightly lower than predicted. Integrate's original services continued to consolidate bul have taken on a number of small&r services this year. The application forthe organisalion to be on the Approved Provider List for Lancashire County Council was approved last year, which means we can access services from Lancashire's new framework, and we are moving fonard wrth this. Following the reslriclions progress wtih Face-to Face meetings with the People we Support has been slow and we are only just reluming lo regular meetings with tho Ordinary Lives group and Quality Checkers. We held a very successful Garden Party in the summer and a Christmas Fair, both very well allended by the People we Support. staff. volunteers and members of the general public. These functions are a positive way to be involved in the local community. Page14
Integrate (Preston and Chorley) Limited Directors. Report Year endèd 31 March 2023 Achievements and Performance Icontlnuedl: In November we held a 'gel together after covid, event which was very well allended and the people who attend our Social Enterprise Projects and volunteers were presented with Certificates and a small token of thanks for their input lo the organisalion over the year. This was an opportLJnily lo celebrate achievements for the organisalion after Covid. We have seen a continued increase in the number of people returning to the Social Enterprise projects and are back to previous levels of allendance. This year has also seen a rise in the number of volunteers across all the Enterprise Projects. The Woodhouse and the relationships with the large construction companies have seen a return lo business as usual over the last year. Integrate continue to work in partnership with several Social Housing providers with whom we have had long standing relationships. These include Places for People, Community Gateway and Your Housing. We a150 use private landlords lo source appropriate properties and help the people we support lo manage Ihe1r tenancies. This last year saw a similar number of rental voids. which have been unavoidable due lo the reduced number of new services over the year and some people who use our servi¢es choosing to move house. Integrate have continued lo support Community Living magazine, which promotes equal citizenship foi people with a Learning Disability. The magazine has a new editor who is raising the profile of the magazine and highlighting concerns and issues for people with Learning Disabilities across a wider foolprinl. The average number of staff employed by Integrate in this year is 294 including internal agency staff. Integrate continue to support staff through basic and mandatory training and, there is a well- developed training pathway lo ensure training of 51aff meet the needs of the people receiving support. In all, a lolal number of training places allended were 729 face lo face and 2,991 eLearning courses were completed. Integrate continues to support the training of lead trainers in physical intervention training and Posrtive Behavioural Support, in line with The Re51rainl Reduction Network Training. This has contributed lo a reduction in the number of people we support with physical intervention protocols in their support plan. There are now 3 qualified trainers within the organisalion. Integrate continues lo offer Management training and other suitable courses lo Senior staff lo equip them for the Senior Role. This includes some who are supported lo become Trainers. helping lo deliver and support the progression of staff teams through the Care Certificate. This ensures ¢onsislency and quality in relation to training qualifi¢ations and enhances the training offered and the skills of the organi5alion and has led lo an increased number of qualified staff within the organisalion. The two Senior support workers who were working towards their Social Work degree have now qualified. One of the Service Managers on the Specialist Services has now taken up a place on the Social Work degree course. This will continue to provide us wilh suitably qualified managers. We continue with appropnale office provision and adrninistralive support lo the wider geographical areas and have provided for beller IT 5UPPOrt and teams, online, meetings to keep them in touch with the main offices. We continue lo offer Specialist Deaf Services which offer opportunities lo people from the Deaf community lo live a varied lifestyle in their own homes rather than in more inslilulional sellings. We have also seen an incTease in our service provision to the Deaf Community wrth learning Disabilities over this period, The People we Support have held several fund-raising events over the year, raising money for Macmillan, Akheimer's and other charities. 1115 very positive for people with Disabilities lo raise money for other charitS and people in need, as often they are seen as taking from the community and not being able lo give back to their community. Page15
Integrate (Preston and Chorley) Limited Directors, Report Year ended 31 March 2023 Achievements and Performance Icontinuedl: We now have a Social Inclusion Officer in p05t. This is to support the people who use our services lo be involved in and enable participation lo both local and national forums representing issues for people with a Learning Disability. As at the yearend we have recruited a Social Media resource to support recruilmenl and retention. The above activities are in line with Inlegrale's Strategic Plan and demonstrate how il meets ils aims and objectives. Integrate continues to meet public benefit requirements, as sel down by the Charity Commission, in relation lo its charitable work and objects, by ils involvement and influence in the local community, promoting inclusion and awareness about disadvantaged groups. alongside its main activities of direct support to these individuals. The impact of Covid-19 Going foard, there will still be a requirement lo provido support services to various groups of vulnerable and disabled people, therefore il would be expected that Integrate will continue to provide these services as commissioned. Eady in the year, we received a reimbursement in respect of overspending on an earlier Covid- 19 grant, but there will be no further funding. As there were no conditions attached lo the reimbursement and the expenditure was in an earlier period. this has been accounted for as unrestricted income in the current year. There is no longei a slatulory requirement foi Social Care staff lo lesl regularly bul we would expect if people were displaying symptoms lo be mindful if they were supporting vulnerable Individuals. Disabled employees The charity gives full consideration to applications for employment from disabled persons where a disabled person Can adequately fulfil the requirements. Where existing employees become disabled, it is the charity's policy wherever practicable lo provide Continuing employment under normal terms and conditions and lo provide training and career development. Rose Trustam Legacy Inlegrale's founding Chief Executive Officer sadly passed away during the pandemi¢. She very kindly left Integrate a legacy from her estate and some of these funds have been designated by Integrate to be used towards good practice awards in hei name and lo help with further involvement of the people we support in the organisalion, in line wbth the values of the Charity. Financial review Designated Reserves: The charity has designated reserves held in relation lo the commitment il has lo the people il supports, its housing management responsibilities and ils staff. It also musl maintain a level of cash flow lo cover ils monthly requirements and lo lake account of changes in the contracting environment. Further, Integrate also maintains reserves in order to support project development and to support applications lo extern81 funding sources. Currently designated reserves are as follows and have increased by £44,300 from previous years.. Voids." Voids lend lo be long term and filling them generates additional costs due to the length of lime that needs to be taken before a lenanl Can move in. Shared properties with voids can be difficult lo fill due lo compatibility issues with co-lenanls. Office funds.. is used to 5UPPOrt major workslrepairslrelocalions on main offices. Housing provisions.. ensures reserves lo cover unexpected housing services responsibilities lo support housing service needs. Page16
Integrate (Preston and Chorley) Limited Directors, Report Year ended 31 March 2023 Financial review Icontinuedl Designated Reserves Icontlnuedl: Development provision.. The charity is looking lo continue to consolidate its position over the next year. Further funding from external sources would be required for large development projects. Conlinuily.. the continuity fund has been maintained and viewed together with the general reserve the longer term target is lo cover 2 months expenditure and the gap has continued to narrow this year. Clients, Continuity.. this fund is used lo support specific needs of clients relating to Integrate's duly of care e.g. funeral costs, contribution to equipment required and welfare where no other sources are available. Training fund.. funds continue lo be used to support the further development of specialist training. Employment contingency.. supports the impact of any additional costs due lo restructuring or $ervi¢e changes in order lo assist continuity and Iran5ilion and any other unforeseen employment cost5. Training Equipment Reserve". lo support client and staff training equipment including that lo support the needs of disabled people. Rose Truslarn legacy.. the Trustees have designated funds received from a legacy from Inlegrale's founding Chief Executive Officer lo be used towards good practice awards in her name and to help with further involvement of the people we support in the organisalion. in line with the values of the Charity. General Reservè.. As a business there is a need for a general reserve lo support cash flow and payroll, where contracts are mainly paid 4 weeks in arrears. The general reserve and conlinkjity reserve musl be considered together to cover the charity's monthly ongoing operating costs. The general reserve ha5 increased by the net movenient in unrestricted funds this year. This year the remeasuremenl of the pension fLind liability as detailed in Note 16, has led to a gain of £495 being recognised within the general reserve. The nel movement before this remeasuremenl was £50,267. Restricted reserve$: A number of Covid-19 related grants were received in the previous year, all of which have been Irealed as reslri¢ted. These grants were fully spent during the previous financial year. Reserves and Tangible Fixed Assets Total reserves as al 31 Mar¢h 2023 were £777,668 all of which are unrestricted funds. After the deduction from lolal funds of designated funds (excluding the continuity contingency fundl and fixed assets the total reserves are £193.305. Page17
Integrate (Preston and Chorley) Limited Directors, Report Year ended 31 Mar¢h 2023 Principal funding sources: The concern remains over the financial relian¢e on a major single funder Lancashire County Council due lo the commitment lo providing local services. Some inroads have been made with other Councils, the NHS and some Clinical Commissioning Groups with the specialist service provided by New Focus. Housing services also contribute signrfi¢anlly to the Charity and ils ¢ommilmenl lo support services in the community. Training related income: Integrate receives training income for social work and nursing placements and has also received income from Skills for Care towards mandatory training requirements. Future plans.. During the Next Year.. To recruit to our current Board of Trustees lo help with succession planning. Continued delivery of high-quality support, ulilising Person-centered approaches to enable services lo meet individual need. To meet the development target of the specialist services in line with the strategic plan. Continued opportunitie5 in the Social Enterprise Projects bringing together new ideas on the Horticulture Project, Charity Shops, the Woodhouse and Packing Project by seeking out new nitialives for work streams. Further development of the Cars Project. To develop our specialist Deaf Service to ènable an increased number of individuals to live in and access the community. To continue to develop, review and implement systems with continued involvement and iepresentation from staff al all levels. To further increase opportunities for involvement of the people we support across the organisalion with further training for Quality Checkers, increased involvement in the recruilmenl process al all levels and the exploration of opportunities for paid woik within the organisalion. These opportunities should also include parti¢ipation and membership within the organisalion including representation to Sub Boards and Board in a variety of ways. To work with LCC moving services onlo the APL framework. To review our Social Media presence with the aim of raising awareness of Inlegrale. with a particular locus on recruilmenl. To in¢rease re¢ruilmenl and reduce the use of External Agency. To review our Head Offi'ce situation and source other appropriate offi'ce space within the Cor¢1 locality. To plan for a Celebration re¢ognising 40 years of Integrate providing support lo adults with Learning Disabilities in the community, as per our Mission Statement. Fundraising-. We have considered the requirements of the Charities (Protection and Social Inveslmentl Act 2016 regarding disclosures con¢erning fundraising and fundraising standards and confirm that these do not apply lo the charity. Auditors- A resolution proposing that MHA Moore and Smalley be reappointed as auditor of the company will be pul to the Annual General Meetin9. Page18
Integrate (Preston and Chorleyl Limited Directors. Report Yearended 31 March 2023 Statement of Trustees, Responsibilities: The Trustee5 Iwho are also the Director5 of the charitable company for the purposes of company lawl are responsible for preparing the Trustees, Report and the financial slalements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally A¢¢epted A¢¢ounting Pr8¢1i¢el. Company law require5 the Tru51ees lo prepare financial statements for each financial year. Under company law the trustees musl not approve the financial statements unless they are satisfied that they give a true and lair view of the stale of affairs of the Charitab company and of the incoming resources and application of resources, including the Income and expenditure, of the charitable company for Ihal period. In preparing these financial slalements, the trustees are required lo.. select suitable accounting policies and apply them consislenlly., observé the methods and principles of the Charities SORP 2019 IFRS 1021", make judgements and estimates that are reasonable and prudent., slate whether applicable UK Accounting Standards have been followed.. and prepare the financial slalemenls on the going concern basis unless it is inappropriate lo presume that the charitable ¢ompany will continue in operation. The Trustees are responsible for keeping adeqijale accounting records that disclose with reasonable accuracy al any time the financial position of the charitable company and enable them to ensure that the financial statements ¢omply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for detection of fraud and olhei irregularities. In so far as the Trustees are aware.. there is no relevant audit information of which the charitable company's auditor is unaware", and the Trustees have taken all steps that they ought lo have taken lo make themselves aware of any relevant audit information and lo establish that the auditor is aware of that information. This report has been prepared in a¢¢ordan¢e with the provisions applicable to companies enlrtled to the small Gompanies, exemption. By order of the Board JKay Oireclor Dale.. Page19
Integrate (Preston and Chorley) Limited Independent Audltor'$ Report to the Members Year ended 31 March 2023 Opinion We have audited the financial statements of Integrate (Preston and Chorleyl Limited Ithe 'charilable company'l for the year ended 31 March 2023 which comprise the statement of financial activities lin¢orporaling an income and expenditure accoLJnll. the balance sheet, the slalemenl of cash flows, and notes to the financial slalements, 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 A¢cepted A¢¢ounling Praclicel. In our opinion the financial slalements.. give a true and fair view of the state of the charitable company's affairs as at 31 March 2023, and of its incoming resources and application of Tesources, including ils income and expendilule, for the year then ended., have been properly prepared in accordance wf(h United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted oui audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the aUdt of the financial statements so¢tion of our report. We are independent of the charitable company in a¢¢ordan¢e with the ethical requirements that are relevant to our audit of the financial slalements 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 audrt evidence we have obtained is sufficient and appropriate lo provide a basis for our opinion. Conclusions relating to going Concern In auditing the financial slalements, we have concluded that the Iruslees, use of the going concern basis of a¢¢ounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identrfied any malorial un¢ertainlies relating lo events or conditions that, individually or collectively, may cast significant doubl on the Charitable company's ability lo continue as a going Concern for a period of al least twelve months from when the financial statements are aulhorised for issue. Our responsibili(ies and the responsibilities of the Iruslees with respect to going Concem are described in the relevant sections of this report. Other information The other Information comprises the information included in the directors, report, other than the financial statements and our auditor's report Ihereon. The trustee5 are responsible for the other information. Our opinion on the financial slalemenls does not cover the other information and, except lo the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion Ihereon. Our responsibility 15 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 lo be materially misslaled. If we identify such material inconsistencies or apparent material misslalemenls, we are required to determine whether this gives rise to a material misstatement in the financial slalemenls themselves. If, based on the work we have performed, we conclude that there is a material mi5slalement of this other information, we are required lo report that fact. We have nothing lo report in this regard. Pagel 10
Integrate (Preston and Chorley) Limited Independent Auditor's Report to the Members Year ended 31 March 2023 Oplnlons on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information givèn in the truslees, report, which includes the directors, report for the purpose5 of company law, for the financial year for which the financial slalemenls are prepared is con5151enl with the financial sialements,. and the directors. report included within the trustees, report has been prepared in accordance with applicable legal requirements. Matters on which we ar? required to report by èxceptlon In the light of the knowledge and understanding of the charitable company and it5 environment obtained in the ¢ourse of the audit, we have not identified rnaterial misslalemenls in the directors, report included within the trustees, report. We have nothing lo report in respect of the following matters in relation to which the Companies Act 2006 requires us lo report to YOLJ if, in our opinion.. adequate accounting records have not been kept. or relums adequate for our audit have not been received from branches not visited by us., or the fin8n¢ial slalemenls are not in agreement with the accounting recoTds 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 enlilled to prepare the financial statements in accordance with the small companies, regime and lake advantage of the small companies, exemption in Pfeparing the dire¢lors' report and from the requirement to prepare a strategic report. Responsiblllties of trustees As explained more fully In the Iruslees, responsibilities slalement on page 9, the Iruslees Iwho are also the directors of the charitable company for the purposes of company lawl are responsible for the preparation of the financial slalemenls and for being $8tisfied that they give a true and fair view, and for such internal ¢ontrol as the Iruslees determine is necessary lo enable the preparation of fi'nancial slalements that are free from material misstatement, whether due lo fraud or errol. In preparing the financial slalementS, the Iruslees are responsible for assessing the charitable company's ability lo continue as a going concern, disclosing, as applicable, mallers related lo going concern and using the going concern basis of accounting unless the Iruslees either intend to liquidate the charitable company or lo cease operations, or have no realistic allernalive bul to do so. Auditor'$ responslbllltles for the audlt of the flnancial statements Our objective5 are lo obtain reasonable assurance about whether the financial statemen15 as a whole are free from material misstalemenl, whether due lo fraud or error, and lo issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance. bLJI is not a guarantee that an audit conducted in accordance with ISAS IUKI will aayS dele¢t a material misstatement when it exists. Misstatements can arise from fraud or error and are ¢on$idered material if. individually or in the aggregate, they ¢ould reasonably be expe¢ted to influence the economic decisions of users taken on the basis of these financial statements. Pagel 11
Integrate (Preston and Chorley) Limited Indèpendent Auditor's Report to the Members Year ended 31 March 2023 Auditor's responsibilities for the audit of the flnanclal statements l¢ontinu8dl liregularilies, including fraud, are instances of non-compliance with LAWS and regulations. We design procedures in line with our responsibilities, outlined above, lo delecl material misstalemenls in respect of irregularities, including fraud. The specific procedLJres for this engagement and the extent lo which these are capable of detecting irregulaiilies, includin9 fiaud is detailed below.. Enquiries with management, about any known or suspected instances of non-compliance wf(h laws and regulations and fraud., Challenging assumptions and judgements made by management, in particular in relation to future performance., Auditing the risk of management override of controls, includin9 through testing journal entries and other adjuslmenls for appropriateness.. Reviewing correspondence with the Care Qualty Commission and the Charities Commission,. and Reviewing board minutes. Reviewing the systems for recortling revenue and to ensure income has been recognised in the correct period We idenlrfied the following areas as those most likely lo have a material impad on the fnanCIal slalemenls.. employment law and compliance wh the Charities Act. Because of the inherent limitslions of an audrt. there is a risk that we will not delecl all irregularities, including those leading to a material misslalemenl in the financial statements or non-compliance with regulation, This risk increases the more that ¢omplian¢e with a law or regulation is removed from the events and Iransa¢lions reflected in the financial slalemen15, a5 we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities OCCUfring due to fraud rather than error, as fraud involves intentional concealment. forgery, collusion, omission or misrepresentation. A further description of our responsibilities is available on the Financial Reporting Council's websrte al.. https'.Ilwww.frc.or9.uklOur-WorklAudiVAudil-and-assurancelSlandards-and-guidancelStandards-and-guidance- f0r-aud1torAudl1OrS-responSibil1IieS-fOr-audl1IDeScrlptlon-Of4udl1orS-resp0n$ibIllties-for-audit.0spx. This desciiplion forms part of our auditor's report. Use ofour report This report is made solely lo 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 slate lo the ¢harilable company's members those matters we are required lo slate lo them in an auditor's report and for no other purpose. To the fullest exlenl permitted by law, we do not accept or assume responsibility lo 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. Christine Wilson (Senior Slalulory Auditor} For and on behalf of MHA Moore and Smalley Chartered Accounlanls and Slalulory Auditor Preston 1111212023 Page | 12
Integrate (Preston and Chorleyl Limited Statement of Financial A¢tlvities Ilncorporating an income and expenditure accounti For the yoar endèd 31 Mar¢h 2023 Unrestrictad Fund$ 2023 Restri¢tèd Funds 2023 Total Funds 2023 Total Funds 2022 Notes Income from.. Charitsble activities Investments 9,318,508 2,380 9,318.508 2.380 8,675,208 424 Total income 9,320,888 9,320,888 8,675,632 Expenditure on: Charitable a¢tivilies 9,270,621 9,270.621 8,654,428 Total eXndIture 9,270,621 9.270,621 8,654,428 Net in¢omg 50,267 50,267 21,204 Transfers beeen funds Othèr r•cogni$ed galns: Remeasuremenls to pension liability 16 495 495 69,086 Net movemènt In fund$ 50,762 50,762 90,290 Total funds brought fonNard 726,906 726,906 636,616 Total funds carried forward 777,668 777,668 726,906 All of the above results are derived from activities which are continuing. All gains and losses in the periods are included above. Pagel 13
Integrate (Preston and Chorleyl Limited Balance Sheet As at 31 March 2023 Notes 2023 2022 Fixod Assets Intangible assets Tangible assets 10 11 30,432 406, 131 45,964 398,407 Current Assets Debtors Cash al bank and in hand 12 763,622 867,677 564,462 1,082,617 1,631,299 1.647,079 Creditors- Amounts falling due within one year {1,282,2461 11,264, 105} Net current assets 349,053 382,974 Total assets less currgnt liabilities 785,616 827,345 Creditors- Amounts falling due after more than one year 14 17,9481 1100,4391 Net assets 777,668 726,906 Represented by: Reslri¢led funds Unresliicted funds 15 777,668 726,906 Total funds 777.668 726.906 The financial statements have been prepared in accordance with the provisions applicable lo companies entitled lo the small companies, regime The financial slalemen15 were approved by the board of directors and aulhorised for issue on 4th December 2023 Signed on ehalf of the Board JKay Director Comp umber.. Q 29641 Page | 14
Integrate (Preston and Chorleyl Limited Statement of Cash Flows For the year ended 31 March 2023 2023 Total 2022 Total Cash (used inl I generated by operating activitie5 lal 1177,2581 239,471 Cash flows from investing activitles Investment income Interest paid Purchase of tangible fixed assets 2,380 13,8631 133,5961 424 12,8711 114,4951 Cash used in invesllng actlvitles {35,0791 118,9421 Cash flows from finan¢lng actlvltles Repayment of borrowings 12,8031 14,1431 Cash used in by financing a¢tlvttles 12,8031 14,1431 Increase in cash and cash equivalents in the year 1214,9401 218,386 Cash and cash equivalents at the beginning of the year 1,082,617 864,231 Cash and cash equivalènts at the end of the year 867,677 1,082.617 lal Reconciliation of net movement in funds to net cash flow from operating aGtlvities Net in¢ome for the year Investment income received Intere51 paics Amortisalion Depreciation Ilncreaselldecrease in debtors (Decreasellincrease in ¢rèditors Employers pension deficit conlTibulions Inole 161 50,267 12,3801 4,411 15,532 25,872 1199,1601 161.2011 110,5991 21,204 14241 3.623 15,532 37,505 186.432 8.606 133,0071 Cash (used Inl I generated by operating activities 1177,2581 239.471 Pagel 15
Integrate {Preston and Chorley> Limited Notes to the Financial Statements Year onded 31 March 2023 Accounting policies General information and basis of preparation Integrate (Preston and Chorleyl Limited is a company limited by guarantee, in¢orporated in England and Wales. In the event of the charity being wound up, the liability in respect of the guarantee is limited lo £1 per member of the charity (the members of the Company are the Directors as listed on the legal and administrative information pagel. The address of the registered Offi is included on the legal and administrative information page of these financial statements. The nature of the charity's operations and principal activities are included within the Directors, Report. The charity con5tilules a public benefit entity as defined by FRS 102. The financial 51atemenls have been prepared in accordance with Accounting and Reporting by Charities.. Slalement of Recommended Practice applicable lo charities preparing Iheii accounts in a¢¢ordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019. the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS 1021, the Charities Act 2011, the Companies Act 2006 and UK Generally Ac¢epted A¢¢ounling Practice. The financial slalemenls are prepared on a going concern basis under the historical Cost convention. The financial 51alements are presented in sterling which is the functional currency of the Charity and rounded lo the nearest £. The significant accounting policies applied in the preparation of these financial statements are sel out below. These policies have been ¢onsislontly applied lo all years presented unless otherwise slated. b Going ¢oncorn The global Covid-19 pandemic has had and will continue lo have a significant impact on a number of organisalions. The trustees are responding lo the ongoing challenges being fa¢ed as a result ol this pandemic and together with management have put in place risk management processes to minimise the impact of the virus Dn employees and service users. The management team continually review operational and staffing Impacts arising from the pandemic. In light of the measures implemented and following a review of the financial fore¢asts, together with funds held, the Iruslees have concluded that il remains appropriate lo prepare these financial statements on the going ¢oncern basis as the budoeled income and expandilure is suffi¢ienl with the level of reserves for the charity lo be able lo continue as a going concern. Fund accounting General funds are unresliicled funds which are available for use at the discretion of the Iruslees in furtherance of the general objectives of the charity and which have not been designated for other purposes. Designated funds ¢omprise unreslricled funds that have been sel aside by the Iruslees for particular purposes. The aim and use of each designated fund is described by ils tille within the dire¢tDrs' report. Restricted funds are funds which are lo be used in accordance with specific reslriclions imposed by the donors. The aim and use of each resliicted fund is described by its tille within the directors, report. Page | 16
Integrate (Preston and Chorley) Limited Notes to the Financial Statements Yearended 31 March 2023 d Income Income is re¢ognised when the charity has enlillemenl lo the funds, any performance conditions attached lo the itemlsl of income have been mel, rt Is probable that the income will be received and the amoLJnt can be measured reliably. The following specific policies are applied to P8rti¢ular categories of income.. Voluntary income is re¢ewed by way of donations and is included in full in the SOFA when receivable. Investment income is included when re1Vable. Incoming resources from charitable trading activities are accounted for when earned. The charrty receives government grants in respect of Coronavirus Job Retention Scheme and Infection Control Fund. Income from government and other grants are recognised al fair value when the charity has enlillemenl after any performance conditions have been mel. il is probable that the income will be received and the amount can be measured reliably. If enlillemenl is not mel then these amounts are deferred. In¢ome re¢eived in advance of an event or provision of specified service is deferred until the criteria for income recognrtion are met. e Expenditure Expenditure 15 recognised once there is a legal or conslru¢live obligation lo make a payment lo a third party, il is probable that selllemenl will be required and the amount of the obligation can be measured reliably. All expenditure is a¢¢ounled for on an accruals ba515 and ha5 been classified under heading5 that aggregate all costs related to the category. Detailed analyses of the expenditure, including irrecoverable VAT where applicable, are provided In the notes lo the accounts. Expenditure on ¢harilable a¢livilies comprises those costs incurred by the charty in the delivery of it5 activities and services for ils beneficiaries. It includes both the direct costs and support costs relating to Ihese aGtivilies and services. Governance costs include those costs associated with meeting the ¢onstilulional and statutory requirernenls of the charity and include audit fees and costs linked with the strategic management of the charity. Support ¢osls relate lo Costs incurred in ¢arrying out the central functions. These costs have been allocated lo the charitable activity- enabling young people and adults with a learning disabilrty. f Tangible fixed assèts and depreclatlon Tangible fixed assets ale slated 81 cost less depreciation. Depreciation is provided al rates calculated to write off the cost of fixed as5et5, less their estimated residual value, over their expected useful live5 on the following bases.. Freehold buildings Fixtures, fi'ttings and equipment Employment Unil equipment 1 O/o-20Q/o Straight line 12.50h_33.30/0 slraighl line 12.SOk_250/è slraighl line g Intangiblè fixed as$gts Intangible fixed assets 8re slated al Cost less 8mortlS8tion. Amortisation is provided at rates c81¢ulated lo write off the cost ol fixed assets, less their estifflaled residual value. over their expected useful lives on the following bases". Sofiware 14.2°/. 20 % slraighl line lover 5-7 years) Pagel 17
Integrate {Preston and Chorleyl Limited Note5 to the Financial Statements Yèar ended 31 March 2023 h Debtors Trade and other debtors are recognised at the selllemenl amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Creditors Creditors are recognised where the charty has a present obligation resulting from a past event that will probably result in the transfer of funds lo a third party and the amount due lo settle the obligation can be measured or eslimaled reliably. Creditors are nomally recognised al their settlement amount after allowing lor any trade discounts due. Financial instruments The charity only has financial assets and financial liabilities of a kind that qualify as basic financial inslrumenls. Basic financial instruments are initially re¢ognised al transaction value and subsequently measured at their settlement value. k Pgnsions The company contributes lo a rnulliemployer scheme. As the proportion of the fund allribulable to Integrate (Preston and Chorleyl Limited cannot be calculated this s¢h&me has been treated as if (( wa5 a defined contribution scheme. As the scheme is in deficrt and the company has agreed to a deficit funding arrangement, the company iecognises a liability for this obligation which is equal to the discounted present value of the future deficit payments. Operating leasos Rentals applicable lo operating leases are charged to the SOFA on a straight line basis over the lemi of the lease. Taxation The company is a registered charity and is not liable to laxalion on i(5 charrtable aclivilies. n Judgèments and key sources of estimation uncertainty The Direclois do not believe that there are any estimates and assumptions which have a significant risk of causing a material adjuslmenl lo the carrying amount of assets and liabilities. Income from charitabl* activitiès Unrestricted 2023 Restrlcted 2023 Total 2023 Total 2022 Slalulory FLJnds Housing Funds Social Enterprises Training (including secondmenti Covid-19 grants Project Funded Income Self Funding Other 7,879,248 796, 173 420,651 9,602 66,7fJ5 9,360 17,509 119,260 7,879,248 796.173 420,651 9,602 66,705 9.360 17,509 119,260 7,202,089 831,229 404,719 10.456 134,600 92.115 9.318,508 9,318,508 8,675,208 2022 Other includes £50,000 of one-off income in respect of an incentive lo change bankers during 2022. In 2022 all income was unrestricted, with the exception of £134,600 of Covid-19 grants. Page | 18
Integrate (Preston and Chorley) Limited Notes lo the Flnan¢ial Statements Year ended 31 March 2023 Incomè frorn investments This comprises building society interest. All investment income was unreslricled in the current and previous year. Support ¢05ts 2023 2022 Wages, salaries and other staff related costs Premises related costs Communications costs Legal and professional services Sundry expenses Amortisation Depreciation Bank charges and interest 344, 188 66,354 28,182 75,432 3,120 15,532 19,844 6.467 333,585 51,192 32,631 105,804 1.152 15,532 31,815 5,831 558,919 577.542 Expgndlture on ¢harltable a¢tlvities 2023 2022 Wages. salaries and other staff related costs Premises related cos15 Communications costs Legal and professional services Other Social Enterprise cos15 Sundry expenses Depreciation Bank charges and interest Support Costs Isee note 41 Governance costs Isee note 61 7,481,522 840.015 102,003 168,501 25,548 69,487 6,228 5,053 558.919 13.345 6,916,979 841.816 95.214 115,643 28,194 56.714 5.690 5,196 577.542 11,440 9,270,621 8.654.428 Included within the above lolal is £nil12022.. £134,600) of reslricled expenditure related lo one chanlable aclivily.. Enabling Young People and Adults with a Learning Disability and Others In Need. Page | 19
Integrate {Preston and Chorley> Limited Notes to the Financial Statements Y&ar ended 31 March 2023 Governance costs These costs are as follows.. 2023 2022 Exlefnal audit External audit- irrecoverable VAT Trustees, expenses 11,100 2,22Q 25 9,450 1,890 100 13,345 11.440 Net Incomellexpendlturel for the year This is stated after charging.. 2023 2022 Amortisalion Depreciation Auditors, remuneration Rentals under operating leases 15.532 25,872 11.100 843,825 15,532 37,505 9,450 845,674 Staff costs 2023 2022 Wag&s and salaries Social security c05t5 Pension costs (defined ¢onlribulion} 6,175,701 499,150 136,071 5,949,601 453,401 129,691 6,810,922 6,532,693 The average monthly number of salaried employees during the year was.. 2023 2022 Full and part time 294 298 Full lime equivalents 255 252 One {2022.' one) employee received total employee benefits lexcluding employer pension costs of more than £60.000 during the current year, earning beiween £60,001 and £7Q,DOO. The directors Ilrusleesl did not receive any remuneration during the year. Travel expenses amounting lo £25 12022. £1001 were reimbursed lo one12Q22.' onel director Ilrusteel during the year. The key management personnel of the charity comprise the Directors, the Chief Executive, and the three Project Directors as listed on the leg81 and adminislralive information page. The lolal employee benefits of the key management personnel of the charity, including National Insurance and pension contributions, were £254, 17612022.. £243.7181. Page | 20
Integrate (Preston and Chorley) Limited Notes to the Financial Statoments Year ended 31 March 2023 Related party transactions S Pemberton and D Naden are trustees of C.L. Inilialives Limited. During the year subscription and seminar fees of £4.00012022'. £4.0001 were paid lo this enlily. 10 Intangible fixed assets Software Total Cost At 1 April 2022 90,251 90,251 At 31 Mar¢h 2023 90,251 90.251 Amortisation Al 1 April 2022 Charge for year 44,287 15,532 44,287 15,532 Al 31 March 2023 59.819 59.819 Net book value Al 31 March 2023 30,432 30,432 At 31 March 2022 45,964 45,964 Page | 21
Integrate (Preston and Chorley) Limited Notes to the Financial Statements Year ended 31 March 2023 11 Tangible flxed assets Freehold Fixtures land and and fittings buildings Social Enterprise equipment Total Cost Al 1 April 2022 Additions 528,554 112,479 11,101 44,800 22,495 685,833 33,596 Al 31 March 2023 528,554 123,580 67,295 719,429 Dgprgciation Al 1 April 2022 Charge for year 154,907 6,208 100,017 13,437 32,502 6,227 287,426 25,872 Al 31 March 2023 161,115 113,454 38,729 313,298 Net book value Al 31 March 2023 367,439 10,126 28,566 406,131 Al 31 Mar¢h 2022 373,647 12,462 12,298 398,407 12 Debtors 2023 2022 Trade debtors Prepayments and accrued income 535,966 227.656 495.692 68.770 763.622 564.462 13 Creditors.. amount falling due within one year 2023 2022 Bank loans (note 141 Trade ¢r&dilors Other lax and social security Ac¢ruals and deferred income Pension deficit payments Inote 161 83,356 69,111 100,846 1,018,334 10,599 4,014 54,460 108,257 1.086,775 10,599 1,282,246 1,264,105 Page | 22
Integrate {Preston and Chorley) Limited Notes to the Financlal Statements Year ended 31 March 2023 14 Creditors: amounts falling due after more than one year 2023 2022 Bank loans Pension defi¢rt payments Inote 1 Sl 81,945 18,494 7,948 7,948 100,439 Bank loans fall dL¢e for payment as follows.. Amounts wholly repayable by instalments 2023 2022 Bank loans Within one year Between two and five years 83,356 4,014 81.945 83,356 85.959 Interest is payable at base rale plus 3.10/0. The bank loan is secured by a fixed charge on the freehold land and buildings it relate5 10. Page | 23
Integrate (Preston and Chorley) Limited Notes to the Financial Statements Year ended 31 March 2023 15 Funds Other gains. losses and transfers At 1 April 2022 At 31 March 2023 Income Expenditure General 323,406 9,278,119 {9,161,3101 1110,3471 329,868 Designated funds Voids resetve Office fund Housing provisions Development provision Continuity ¢onlingency Clients, contingency Training fund Employment contingency Rose Truslam legacy Training equipment reserve 25,000 12.500 10,000 25,000 300,000 10,000 5,000 13,000 42,769 158.7141 111,9441 12,4161 17,2111 15,945 11,944 2,416 7.211 25,000 12.500 10,000 25,000 300,000 10.000 5,000 13,000 44,300 3,000 17881 12.7001 125,5381 788 2,700 25,538 44,300 3,000 General and deslgnatgd 726,906 9,320.888 19,270,621} 495 777,668 Restri¢t8d funds Total funds 726,906 9,320,888 19,270,621> 495 777,668 The reslricled funds received during the previous year were all in relation to the Covid-19 pandemic. The purpose of these funds was lo facililale measures lo reduce and control infections. The CJRS grant was received from HMRC to relain jobs during the pandemic. All other grants were received from local authorities. Page | 24
Integrate (Preston and Chorley> Limited Notes to the Financial Statements Year ended 31 March 2023 15 Funds- Previous Year Other gains, losses and transfers At 1 April 2021 At 31 March 2022 Income Expenditure General 233,616 8,497,211 18,433,9221 26,501 323,406 Designated funds Voids reserve Office fund Housing provisions Development provision Continuity contingency Clients. contingency Training fund Employment contingency Training equipment reserve 25.000 12,500 10,000 25,000 300,000 10,000 5,000 12,500 3,000 43,821 153,7001 (4,6771 (8,1011 {6,5011 9,879 4,677 8,101 6.501 25,000 12,500 10,000 25,000 300,000 10,000 5.000 13,000 3,000 (3,0011 113,8781 112,4321 3,001 13,878 12,932 General and designated 636,616 8,541,032 18,536,212} 85,470 726,906 R•stri¢ted funds Covid-19 infection control funds Covid-19 workforce ¢apacily Coronavirus job retention scheme ICJRSI Covid-19 rapid le51ing Covid-19 vaccines funding Covid-19 income support grant 54,372 154,372) 6.295 16,2951 18,759 118,759) 36.072 2,718 16.384 136,0721 12,7181 116,3841 134,6QO 1118,2161 116,3841 Total funds 638,616 8,675,632 18,654,428) 69.086 726,906 Page | 25
Integrate {Preston and Chorley) Limited Notes to the Financial Ststements Year gnded 31 March 2023 16 Pension costs Integrate IPre5ton and Chorleyl Limrted participates in The Pensions Trust's Growth Plan (the scheme). This is a mulli-employer scheme which provides benefits to some 638 non-associaled participating employers. The scheme is a defined benefit scheme In the UK.11 is not possible for the company to obtain sufficient information to enable il lo a¢¢oLJnl for the scheme as a defined benelil scheme. Therefore it accounts for the scheme as a defined contribution scheme. The scheme is subject lo the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This. together with documents Issued by the Pensions Regulator and Technical Actuarial Slsndards issued by the Financial Reporting Council, sel out the framework for funding defined benefit occupational pension schemes in the UK. The scheme is classified as a'lasl-man standing arrangement,. Therefore the company is potentially liable for other participating employers. obligations if those employers are unable lo meet their share of the scheme deficit following wilhdiawal from the s¢heme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme. A full actuarial valuation for the scheme was carried out a130 September 2020. This valuation showed assets of £800.3m, liabilities of £831.9m and a deficit of £31.6m. To eliminate this funding shortfall, the Trustee has asked the participating employers lo pay additional contributions lo the scheme as follows.. From 1 April 2022 10 31 January 2025.. £3,312,000 per annum Ipayable monthlyl Unless a concession has b&n agreed with the Trustee the term to 31 January 2025 applies. Note that the scheme's previous valuation was carried out with an effective dato of 30 September 2017. This valuation showed assets of £794.9m, liabilities of £926.9m and a deficit of £131.5m. To eliminate this funding shortfall, the Tru51ee has asked the participating employers to pay additional contributions lo the scheme as follows.. From 1 April 2019 to 31 January 2025.. £11,243,000 per annum Ipayable monthly and increasing by 3DA each on 1 sl April) The recovery plan contributions are allocated lo each parti¢ipaling employer in line with their estimated share of the Series 1 and Series 2 scheme liabilities. As the scheme is in deficit and the company has agreed to a deficit funding arrangement, the company recognises a liability for this obligation. The amount re¢ognised of £18,547 12022.. £29,093} is the nel present valua of the deficit reduction contributions payable under the agreement that relates lo the deficit. The present value is calculated using the discount rale detailed in these disclosures. The unwinding of the discount rale 15 recognised as a finance cost. A reconciliation of the lolal liability included within creditors is shown below. A lolal of £10,59912022'. £10,599) is shown as due in less than 1 year, with the balance shown as due in greater than 1 year. Page | 26
Integrate {Preston and Chorley) Limited Notes to the Financial Statements Year ended 31 March 2023 16 Pension costs Icontinuedl 2023 2022 Al 1 April Unwinding of the discount factor linleresl expense) Deficit contribution paid Remeasuremenls - Impact of any change in assumptions 129,0931 15481 10,599 495 (130,4341 17521 33.007 69,086 Al 31 March 118,5471 129,0931 The ¢hargesllcredilsl recognised in the slalemenl of financial activities are shown below.. 2023 2022 Interest expense Remeasuremenls to pension liability 548 495 752 169,0861 The assumptions used are shown below.. 2023 2022 Rale of discount 5.52 2.35 The discount rates shown above are the equivalent single discotjnl rates whi¢h, when used to dis¢ount the future recovery plan contributions due. would give the same results as tjsing a full AA corporate bond yield curve lo discount the same recovery plan contribution$. Al the year-end £29.54412022'. £27.0471 was owed to the scheme in respect of contributions. 17 Analysis of net assets between funds Restricted Unrestricted Total 2023 Total 2022 Intangible fixed as5els Tangible fixed assets Nel current assets Creditors due after more than 1 year 30,432 406,131 349.053 17,9481 30,432 406,131 349.053 17,9481 45,964 398,407 382,974 1100.4391 777,668 777,668 726,906 Page | 27
Integrate (Preston and Chorley) Limited Notes to the Financial Statements Year endod 31 March 2023 18 Financial commitments Operating lease comm(tmenls Al the year end, the total of the company's future minimum lease payments under non-cancellable operating leases was.. Land & Buildings Other 2023 2022 2023 2022 Amounts due wrthin one year Amounts due between one and five years 464,740 4,876 389,411 100,290 4,876 888 6,458 5,081 469.616 489,701 5,744 11,539 19 Analysis of changes in net debt 2022 Cash flow$ Other changes £ 81,945 181,9451 2023 Bank loans due in more than one year Bank loans due in less than one year 181,945} 14,0141 2,603 183.3561 Total liabilities 185,9591 2,803 183,3561 Cash and ¢ash equivalents 1,082,617 1214,9401 867,677 Total net funds 996,658 1212,3371 784,321 Page | 28