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2023-03-31-accounts

Registered number: 01984355 Charity number: 1010796

ELLINGHAM EMPLOYMENT SERVICES

(A Company Limited by Guarantee)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

CONTENTS
Page
Reference and Administrative Details of the Company, its Trustees and Advisers 1
Trustees' Report 2 - 14
Independent Auditors' Report on the Financial Statements 15 - 18
Statement of Financial Activities 19
Balance Sheet 20 - 21
Notes to the Financial Statements 22 - 37

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2023

Trustees C Bailey (Chair)
P J Le Rasle
L Kowalczyk
I A A Strydom
L Bailey (Treasurer)
Company registered
number
01984355
Charity registered
number
1010796
Registered office
5 -11 Ellingham Road
Leytonstone
London
E15 2AU

Page 1

ELLINGHAM EMPLOYMENT SERVICES

(A Company Limited by Guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2023

Since the company qualifies as small under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required.

Following the turmoil of the past couple of years caused by Covid-19 and its impact on services, 2022-23 was a year of consolidation, reflection and redesign. The impact of the loss of DWP work preparation contract has not realised the negative impact on finances as anticipated. In fact due to close financial management, staff restructuring and increases in service delivery of existing contracts annual reserves soared to their highest level in nearly a decade.

.

Because of this, the whole Board of Trustees must extend its overwhelming gratitude to:

• All its staff team for the handling of these events, during which they all showed their commitment to the wellbeing & protection of Ellingham’s clients, and their flexible approach to finding ways to support clients, and each other, to ensure that clients are placed as a priority and receive a high-quality service. The flexible approach adopted by all staff ensures this.

• The Senior Management Team under the leadership of Helen Gore, for their management & leadership of Ellingham’s staff teams during these times ensuring clients’ well-being is maintained.

• The Finance & Development team for the strict financial controls and successful external funding applications received that enabled Ellingham to sustain its financial viability during this year.

• Senior Managers who were able to implement new & increased contracts for service delivery.

• The entire dedicated staff team for their prompt reactive responsiveness when needed for the benefit of our clients.

Board Changes:

Trustees are pleased to announce that the Board remained unchanged throughout the year. They continue to hold their meetings in a combination of face to face and internet meetings.

Page 2

ELLINGHAM EMPLOYMENT SERVICES

(A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Objectives and activities

a. Policies and objectives

The main objectives and activities for the year had been to focus upon the excellent work carried on from previous successful years, but these had to be extensively modified due to Covid-19 restrictions:

• Providing work experience commensurate to the abilities of the clients and the programme they are on, and finding and maintaining supported employment placements in the Greater London area for those clients referred on job outcome related programmes

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.

Page 3

(A Company Limited by Guarantee)

ELLINGHAM EMPLOYMENT SERVICES

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Objectives and activities (continued)

b. Strategies for achieving objectives

Partnership Working

The Trustees are proud of the current work that is being undertaken in the field of working partnerships. The Board also recognise that this strategy is key to its future development and in particular essential to long term funding as the major Funders are now requiring a partnership procedure to ensure successful bids for finance and grants.

Representatives from Ellingham continue to be members of the following groups, although meetings held electronically:

• Member of Work Redbridge, a partnership led by Redbridge Regeneration team, which has developed a Strategy and an Action Plan which aims to address unemployment and low skill levels, to support business growth, and to help businesses recruit people with the right skills to meet their needs;

• Senior Manager of I Can Ventures Rosemary Clark’s term as Chair of the Newham Learning Disability and Autism Provider Forum has now ended, although she remains a member of the group.

• However, Rosemary is working with the Waltham Forest College social care workforce development forum, with the aim of extending opportunities for local young people to work in social care and giving employers a voice in developing the training on offer to students. Ellingham already host work placements for these students.

• Close working with Hackney Learning Trust in the delivery of Ellingham’s Supported Internship-style programme. As a result of this, Miles Leonard, Senior Manager of Supported Internships, has been elected chair of Hackney Supported Internship Employment Forum. He has also joined the Hackney Young Person’s network which looks at opportunities for young people in the borough.

• Miles Leonard also led training on neurodiversity to London Early Years Foundation.

Such partnerships enrich the work of the Organisation and open potential opportunities for broadening its scope for development, as well as establishing closer working and meaningful links within the Community.

It is a strategic part of the Ellingham infrastructure that Partnerships will continue.

Page 4

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Objectives and activities (continued)

c. Activities undertaken to achieve objectives

Ellingham’s unique selling point is that we recognise that there is no single route to assisting people with learning disabilities and/or associated physical and/or sensory disabilities attain & maintain their potential goals. Therefore, Ellingham has developed a range of activities according to client’s requirements and needs:

• I Can Ventures (ICV) – services for people with more complex barriers and higher support needs. Activities include a full range of day opportunities, non-accredited training activities, supported employment activities, advocacy and peer support services. All activities have a meaningful purpose as a way of maintaining skills learned and developing new ones.

• Supported Internships (Forward Work Directions - FWD) – based on our experience of working with several local colleges in recent years, Ellingham developed its own in-house programme. Whilst the mainstream Supported Internship programme is one type of study programme specifically aimed at young people aged 16 to 24 who have a statement of special educational needs, a Learning Difficulty Assessment, or an EHC plan, who want to move into employment and need extra support to do so, Ellingham staff have created a tailored programme for those clients who required additional support to those who can access the mainstream programme, thereby filling a gap in client need.

• DWP Access to Work – is a tailored practical support programme to people who have a disability, health or mental health condition to enable them to start work, stay in work or to move in self-employment.

d. Main activities undertaken to further the Company's purposes for the public benefit

The main areas of Charitable activities are the provision of vocational training (accredited & non accredited), vocational guidance and supported employment to people who have learning disabilities and/or associated physical, sensory and mental health needs. We have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing our aims and objectives and in planning our future projects. Our main activities, who we try to help, and who used and benefited from our services are described below.

Ellingham has made significant developments in its in-house training strategies, which is assisting many people with severe disabilities to understand the complexities of the world of work, prior to placing them into valued and meaningful work experience. These programmes have been designed by the specialist staff teams to enhance their skills, provide confidence and equip the clients with a positive outlook and motivation, which will enable them to compete in an ever demanding and sometimes hostile world of work.

Page 5

ELLINGHAM EMPLOYMENT SERVICES

(A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Achievements and performance

a. Key performance indicators

• As part of the Finance & Development Team’s increased vigilance of finances & to ensure financial sustainability, reviews were undertaken as to whether long-term suppliers were offering value for money. As a result, changes have been made to Ellingham’s insurers and website supporters, with significant financial savings already made, with other long-term service providers currently under review.

• As a result of suggestions made during the Investors in People review in 2021, SMT undertook a whole staff consultation about values of Ellingham Employment Services. The resulting values were unanimously agreed as “Empowering”, “Invested” and “Inclusive”. These values are implemented into and across all services due to the positive inclusive role made by staff in this consultation.

• With the ending of Covid restrictions, whilst staff continue to ensure a healthy working environment, referrals to programmes have rapidly increased to pre-Covid levels.

• Despite LBWF’s intention that by 2021 it would revert to Commissioned Services when each client’s personal budget review took place, so far this has not happened, and clients continue to attend funded through individual budgets showing clients’ choice. However, whilst an uplift in unit cost was agreed with effect from 1st April 2022, this was having to be implemented on a case by case basis throughout the year. LB Newham also required Ellingham to undertake a potential uplift exercise, but this still has not been implemented.

• The new Supported Internship Programme negotiated with Hackney has gone from strength to strength with increased numbers of clients, although several had higher support needs. In previous years, young people undertaking this programme would have been supported in their work placements/employment outcomes via Access to Work, with support staff being recruited specific to the support needs of the individual young person. Unfortunately, post-Covid significant delays in assessment within this DWP department meant that rather than the young person losing their placement, Ellingham has secured support from external support agencies. Whilst this ensures that the placement can go ahead in line with the employer’s timeline, the individually tailored support is not at the same level of quality.

• Despite all the continuous efforts of the Access to Work Coordinator to ensure full payments of claims from DWP, there remain on-going shortfalls in payments during 2022/23. This, together with the fact that many of the customers with disabilities supported through this programme did not return to work post-Covid, together with the major delays in assessment of new applications/renewal of existing support packages, has meant that this department’s income is significantly lower than in previous years. This department will be a focus for development over the coming year.

• As reported in 2018, Working Links, the Prime Contractor for Work Choice went into Administration in February 2019 with debts of £29,782 owing to Ellingham. Despite on-going representations to the Administrators, it was only in July 2022 that a cheque for £1,191.14 was received representing a first dividend of 4p in the £ to nonpreferential unsecured creditors. Correspondence states the provision has been made for future costs of the liquidation, which is they exceed the actual costs incurred, then there is scope for a further small dividend to be paid to creditors.

• Reserve levels are at their highest for about 10 years. Whilst this is in part due to tight financial management during Covid period, Ellingham’s staffing levels were reduced significantly at this time with the decreasing client attendance. A review of staffing structure & roles was undertaken so that with the return to pre-covid levels of attendance increased staffing levels is enabling them to work more effectively to deliver our quality service.

Page 6

(A Company Limited by Guarantee)

ELLINGHAM EMPLOYMENT SERVICES

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Achievements and performance (continued)

b. Review of activities

Ellingham is in the fortunate position in that despite being a charity it does not rely on fundraising for income, instead it is funded through contracts.

Trustees continue to recognise that Ellingham’s greatest asset is its staff. Staffing levels were reduced during Covid period due to diminished service delivery, and Trustees ensured the continuation of support given to the whole staff team during that difficult time. The Board also recognised the additional stress put on staff through the national financial crisis, with record fuel prices affecting families. As a result, the Board instructed that all staff receive a one-off fuel grant during the winter months for 22/23, followed a few months later with an overall 8% salary increase to bring rates of pay in line with higher market trends.

Ellingham’s programmes during 22/23 included:

I Can Ventures – amongst those clients returning to day services in ICV, there was a continuing high level of well-being additional needs. The changes to the programme schedule within our charitable aims has helped clients cope with their well-being challenges and those challenges of adapting to a different lifestyle after a long time being housebound. All clients took part in a range of celebrations throughout the year to help with this transition, including the Platinum Jubilee and Barbecues, Spring Fayre & Strawberry Fayre.

Client numbers have returned to pre-Covid levels of attendance with a substantial waiting list. There has been an increase in the number of clients attending with higher support needs, but in these cases additional personalised support is agreed prior to commencement. Staffing roles were therefore changed to reflect this change in client programmes, once again reflecting the dedication to our clients’ welfare & needs, with the popular reintroduction of supported employment activities of woodwork and gardening. ICV has also expanded its Arts & Crafts activities by purchasing sessions through LBWF Adult Learning Services tutors. Articles made by clients were then sold at the fayres. The areas of referrals have increased to other boroughs including, as a result of the Supported Internship programme, ICV becoming included on the list of day opportunities providers for LB Hackney.

Supported Internships – 22/23 saw the end of the Covid-extended 21/22 programme and the start of the new increased 2022/23 programme. In addition to clients attending the programme from Hackney, the programme was finally able to recruit attendees from LBWF and LB Redbridge, with enquiries coming from other local boroughs. As stated above, problems with Access to Work hampered the specialist support previously provided, but the use of specialist support agencies overcame this somewhat. Uniquely in the education field, recruitment to this programme is on a rolling basis to meet the needs of the clients, rather than on an annual basis.

Access to Work – again, as stated above, many customers supported through this programme did not return to work post-Covid, resulting in the loss of 50% of the support staff team. Numbers are slowly increasing, but due to the pre-mentioned delays of several months within the DWP AtW department’s assessment process, despite Ellingham’s department receiving many potential customer referrals, the delays are not resulting in these being converted into actual support.

Trustees would like to thank the CEO, SMT & the entire staff team for this excellent result, which is an indication of staff’s impression of Ellingham as an employer and the support given by them to teams and individuals.

Page 7

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Achievements and performance (continued)

c. Factors relevant to achieve objectives

• Recruitment of new staff remains a constant problem.

• In spite of the on-going concerns from the Board regarding long term financial security, Ellingham continues to be an effective service deliverer in the supported employment and vocational training field. The difficulty of this insecurity has meant planning and development of the Organisation has been down to minimal longevity to programmes and staff remaining on annual contracts, this is despite the Organisation having a wide range of contracts with a diverse group of Statutory funding bodies. There has been a lack of new opportunities for people with disabilities through major funding streams, as DWP.

The lack of longer term funding and financial resources has always been a particular weakness in the Trustees’ view of strategic planning and development of its services, its nature of being one of the more respected and experienced employment services in the Greater London region has encouraged funders to invest in its work, however, such conditions will need to be marketed in a totally different way if this level of funding is to be sustained.

d. Investment policy and performance

The Board continue to strongly refuse any sums for deposit that have risk potential, as in stocks and shares and other volatile/risk-based funds and will continue to desist from speculating in such practices.

Financial review

a. Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

Page 8

ELLINGHAM EMPLOYMENT SERVICES

(A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

b. Reserves policy

It is agreed that Ellingham Employment Services will ring fence and hold reserves that will enable more accurate and prudent control of its resources. These reserves will be to cover the contingencies of:

In addition, the Directors may decide from time to time to divert reserves to cover capital expenditure to facilitate the start of a new project, or to build up additional funds to cover a long-term capital project, such as refurbishment of buildings, such levels to be decided by the Board of Directors under the guidance of the Treasurer.

The Board will reserve amounts as it sees necessary in line with the Charity Commission’s recommendations of 3 months to 2 years operating costs as good financial practice. The amounts will vary, as dictated by external influences that decide the levels of income through funders and grant making authorities which are outside the control of the Board of Directors, although every effort must be made to ensure that levels do not fall below 3 months operating costs at any time. For the year 2022/23, it is anticipated that this sum will be in the region of £426,000. Based on the level of reserves, we are initiating a rolling programme of updating facilities & equipment at Ellingham’s sites to maximise environmental & economic sustainability, whilst ensuring premises provide clients with a welcoming facility appropriate to their needs. The level of debtors had decreased from the previous year, thanks to best efforts to attain timely payment.

Reserves will be invested to earn the best interest, yet with reasonable access to funds, the interest being added to increase the capital thereby adding to reserves. Levels of reserves will be reported to the Board of Directors quarterly as part of the financial report.

These actions will empower the Board of Directors to exercise its authority to ensure the continuation of the financial security of the organisation, through its Instruments of the Memorandum and Articles of Association.

c. Principal funding

Due to the extensive range of services that Ellingham offers to enhance the skills of the clients it serves, Ellingham has a wide range of funding streams to finances these services.

For financial prudence, all areas are self-financing, with management/governance costs proportioned to each department to finance such areas.

Structure, governance and management

All Trustees now have designated roles and will be working with Senior staff in these roles for the future development of services & structure of Ellingham Employment Services. Trustee meetings continued via Zoom in addition to returning to face to face during 2022/23 working closely with Chief Executive and members of the Senior Management Team who have day-to-day management of the organisation.

Page 9

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

a. Constitution

The company is registered as a charitable company limited by guarantee and was set up by a Trust deed.

The company is constituted under a Trust deed and is a registered charity number 1010796.

The principal object of the charitable company is to relieve the need of people with learning and/or physical disabilities but not exclusively by the provision of accredited and/or vocational training, sheltered and supported work placements in the Greater London area.

In the event of the Company being wound up Members are required to contribute an amount not exceeding £1.

b. Methods of appointment or election of Trustees

The management of the company is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed.

The management of the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Articles of Association.

Under the terms of the Memorandum and Articles of Association the Trustees are elected to serve on an annual basis after which they must be re-elected at the next Annual General Meeting.

Due to the work undertaken at Ellingham, its function is to support people who have a range of learning and associated physical and sensory disabilities into employment. The Trustees are recruited on their empathy and direct understanding of people with learning disabilities, and on the Board, are representatives from parents/carers to fulfil this role, in addition to those with professional experience in this field.

c. Organisational structure and decision-making policies

All Trustees carried out their duties well, working the senior staff to implement statutory requirements to ensure a quality service to our clients.

The structure of the day-to-day responsibility for the provision of the charity's services resting with all members of the Senior Management Team, who also have responsibility for ensuring the respective areas of their departments operate in accordance with Team goals/targets is working exceedingly well. This, together with individual supervision and annual staff appraisal of the staff team and also ensuring that the team continue to develop their skills and working practices in line with up-to-date training and knowledge, whilst working jointly and collaboratively on common issues and developments.

The Board of Trustees are extremely pleased that Helen Gore continues as Chief Executive with full responsibility for the management of Ellingham and oversight & management of the Senior Management Team. She leads by example in her dedication and commitment to Ellingham and its clients.

The Chief Executive remains an intermediary between the Trustees and the Senior staff in the organisation. Members of the Senior teams attend Trustees' meetings submitting written reports to discuss specific aspects of work or projects where Trustees may need further information.

Page 10

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

(continued)

d. Policies adopted for the induction and training of Trustees

Most, if not all, of the Trustees are already familiar with the practical aspects of the working structures employed at Ellingham, either from their experiences within their own profession, or experience/expertise with other groups, with training in specific areas of Trustee responsibility being on offer throughout the year.

All new recruits to the Board attend a full induction training programme to introduce them to their roles & by meeting with the senior staff team to gain a better understanding of the work of Ellingham. As part of the Induction package the new recruit will also be given the latest edition of Ellingham’s Code Of Practice Of Trusteeship, which identifies Trustees' roles and responsibilities in running a charitable company. They are also provided, within this pack, with the latest documents from the Charity Commission in the appropriate areas of trusteeship. This Code is revised to reflect changes in governance when indicated from central government or the Charity Commission.

Trustees are encouraged, where practicable to attend seminars organised by the Charity Commission et al. to keep abreast of the latest changes in Government legislation. All Trustees are enrolled onto NVCO Trustee Training Programmes to assist with their professional development in their roles.

e. Pay policy for senior staff

Currently Ellingham’s Board of Trustees have responsibility of ratifying all salary increases across the whole organisation, ensuring that Ellingham continues to be a Living Wage organisation. Trustees working with the CEO around budgets, were able to award a pay increase to all staff in 2022/23 of 8%, ensuring that the requirements of London Living Wage are met. However the Board have as a priority for 2023/24 a review of the senior staff teams’ roles, job descriptions, salary structure and incentives to ensure long-term continuity of a quality management team within the organisation.

Page 11

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

(continued)

f. Risk management

The Trustees have assessed the major risks to which the company is exposed, in particular those related to the operations and finances of the company and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks.

Where appropriate, systems or procedures have been identified to mitigate the risks the charity faces. Funding being the most adherent risk to the Organisation has meant that a broader diversification of funding providers and matrixes allow for this risk to be minimised to an extent. As the organisation works with vulnerable people, all staff & Trustees undergo regular enhanced DBS checks.

Internal control risks are minimised by the implementation of procedures for authorisation of all transactions and projects.

Procedures are in place to ensure compliance with Health and Safety of the charity's staff, clients and visitors to the charity's facilities. MoorePay continues as our external health and safety consultants, undertaking an annual review. SMT & Trustees are currently working through the Action Points of this review. All Ellingham’s premises also undergo annual fire/intruder alarm checks, Legionella check and electrical PAC testing to ensure the safety of clients and staff. These are all currently under review to ensure best competitive support to Ellingham’s needs.

Staff are updated with risk assessment awareness through regular training sessions either in house or externally run courses with external consultants.

Ellingham continues its membership of Peninsula Business Services to assist with Personnel and Employment Law Issues, by providing a 24-hour advice line in addition to providing training and sending regular updates and newsletters with regular reviews of all HR policies and procedures of the organisation. All staffing issues are administered in consultation with Peninsula. The Employee Assistance Programme remains available to all staff, offering confidential life management and personal support services to all employees and their families, thereby increasing the well-being aspect of staff.

Page 12

ELLINGHAM EMPLOYMENT SERVICES

(A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Plans for future periods

Page 13

EWNGHAM EMPLOYMENT SERVICES {A Company Limited by Guarantoel TRUSTEES, REPORT (CoP￿INUED) FOR THE YEAR ENDED 31 MARCH 2023 statement of Trustees. responslbllltles The Trustees {who are also the directors of the Compary for the purposes of company lawl are responsible for preparing the Trustees, Report and the financial statements in accordan￿ wrth appli¢able law and United KIn￿j0M Accounting Standards (United Kingdom Ge￿lY Actepted A￿X)UntIng Prxb"cel. Company law requires the Trustees to prepare financial strdtements for each financial year. Under company law, the Trnslees must not approve the finanual stslements unless they 8re satisfied that they give a true and fair view of the stale of affairs of the Company and of its incoming resources and application of resources, including ils income and expenditure, for that perbod. In preparing these finan(¥al statements, the Ttustees are required to.. select suitable accounting p￿ltieS and then appty them consistenty. observe the methods and principles of Ihe Charities SORP IFRS 1021., make judgments and accounting estimates thal are reasonable and prudent", state whether applicable UK Accounting Standards IFRS 102) have been folkxved, suty.ect to any material departures disclosed and explained in the finaftual statements", prepare the financial statements on the going COn￿M basis unless r( is inappr(priate lo presume that the Company will continue in business. The Trustees are responsible for keeping adequate accountrng records that are sufficient to show and explain the Company's transactions and disclose wtth reasonabte accuracy at any INne the financial p05rtion of the Company and enable them to ensure that the fiTranaal statements cornply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hen￿ for taking reasonable steps for the prevenb.on and deleclion of fraud and other irregulanbes. Dl8¢108ure of inforniation to auditor5 Each of the persons who are Trustees at the time when this Trustees, Report is approved has confimed that.. so far as that Trustee is awaie. there is no relevant audr( infomiatK)n of which the charitys auditors are unaware, and that Trustee has taken all the steps that ought to have been taken as a Tnjstee in order lo be aware of any relevant audit infomiab.on and to establish that the charitable ￿mpa￿lS auditors are aware of that infomialion. Auditors The auditors, Haslers. have indiG41ed their willingness to (Dntinue in offi￿. The designa￿1 Trustees will propose a mb'on reappointing the auditors at a ￿￿eting of the Trustees. Approved by order of the members of the bo?￿ of Trustees on 13 September 2023 and signed on their behalf iley Ichair of Trustees) Page 14

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ELLINGHAM EMPLOYMENT SERVICES

Opinion

We have audited the financial statements of Ellingham Employment Services (the 'charitable company') for the year ended 31 March 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, including a summary of 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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.

Conclusions relating to going concern

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 charitable company'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.

Page 15

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ELLINGHAM EMPLOYMENT SERVICES (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Trustees' Responsibilities Statement, the Trustees (who are also the directors of the charitable company for the purposes 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 charitable company'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.

Page 16

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ELLINGHAM EMPLOYMENT SERVICES (CONTINUED)

Auditors' responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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 Auditors' 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Procedures performed to address these were as follows:

• Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud. This included corroboration by review of Board Minutes and review of correspondence with relevant bodies,

• Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process,

• Undertaking testing designed to test the controls in place within the procurement system including access and controls in relation to banking.

• Identifying and testing journal entries, in particular any unusual journal entries posted around the year-end and journal entries posted by infrequent system users.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.

Page 17

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ELLINGHAM EMPLOYMENT SERVICES (CONTINUED)

Use of our report

This report is made solely to the charitable company's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's trustees those matters we are required to state to them in an Auditors' 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 its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Haslers

Chartered Accountants Statutory Auditor Old Station Road Loughton Essex IG10 4PL 13 September 2023

Haslers are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 18

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2023

Note
Income from:
Donations and legacies
2
Charitable activities
3
Other trading activities
Investments
4
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Restricted
funds
2023
£
-
-
-
-
-
-
-
-
-
2,532
-
2,532		 Unrestricted
funds
2023
£
6,314
1,069,540
31,913
721
1,108,488
10,272
1,044,172
1,054,444
54,044
353,788
54,044
407,832		 Total
funds
2023
£
6,314
1,069,540
31,913
721
1,108,488
10,272
1,044,172
1,054,444
54,044
356,320
54,044
410,364		 Total
funds
2022
£
60,561
931,728
24,060
-
1,016,349
4,996
919,944
924,940
91,409
264,911
91,409
356,320

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 22 to 37 form part of these financial statements.

Page 19

(A Company Limited by Guarantee) REGISTERED NUMBER: 01984355

ELLINGHAM EMPLOYMENT SERVICES

BALANCE SHEET AS AT 31 MARCH 2023

Note
Fixed assets
Tangible assets
9
Current assets
Debtors
10
Cash at bank and in hand
Creditors: amounts falling due within one
year
11
Net current assets
Total assets less current liabilities
Net assets excluding pension asset
Total net assets
Charity funds
Restricted funds
12
Unrestricted funds
12
Total funds		 131,702
429,908
561,610
(160,728)		 2023
£
9,482
9,482
400,882
410,364
410,364
410,364
2,532
407,832
410,364		 209,341
282,678
492,019
(141,922)		 2022
£
6,223
6,223
350,097
356,320
356,320
356,320
2,532
353,788
356,320

Page 20

ELUNGHAM EMPLOYMEKf SERVICES IA Company Limited by Guarantee) REGISTERED NUMBER: 01984355 BALANCE SHEET (CONTINUED) AS AT 31 MARCH 2023 The entity was entstled to exemption from audit under section 477 of the Companies Act 2006. The members have not required the entity to obtain an audrt for the year in question in 8(£ordance with section 476 of the Companvès Act 20(￿. However, an audit is required in aceordancÈ with seetffi 144 of the Charities Act 2011. The Trustees aL*nowledge their reswns1bil￿S for complw'ng the requirements of the Act with respect to 8ccounling records and preparat¥)n of financial statements. The financial stalements have been prepared in a￿OrdanCe with the provisions applicable to entities subject to the small companies regime. The financial statements were approved and autho11s￿ for issue by the Trustees on 13 Septefflber 2023 and signed on their beha￿ by. Chair of Trustees) The notes on pages 22 10 37 foTh part of these financial slatemenls. Page 21

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1. Accounting policies

1.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Ellingham Employment Services meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

1.2 Income

All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the Company has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the Company, can be reliably measured.

Grants are included in the Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

1.3 Expenditure

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 allocated on the portion of the asset’s use.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Company's objectives, as well as any associated support costs.

Not all VAT is recoverable and where this is the case, the VAT which is irrecoverable is recorded within expenditure.

Page 22

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1. Accounting policies (continued)

1.4 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Company; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

1.5 Tangible fixed assets and depreciation

Tangible fixed assets costing £250 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined to be the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following bases:

Short-term leasehold property - fully depreciated
Motor vehicles - 25%
Fixtures and fittings - 20%

1.6 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

1.7 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Page 23

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1. Accounting policies (continued)

1.8 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of Financial Activities as a finance cost.

1.9 Financial instruments

The Company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

1.10 Pensions

The Company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Company to the fund in respect of the year.

1.11 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Company and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Page 24

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

2. Income from donations and legacies

Unrestricted
funds
2023
£
Donations
6,314
Unrestricted
funds
2022
£
Donations
179
Legacies
25,000
Government grants receivable
35,382
60,561		 Total
funds
2023
£
6,314
Total
funds
2022
£
179
25,000
35,382
60,561

3. Income from charitable activities

Unrestricted
funds
2023
£
Personalised budget client
560,615
London boroughs
107,592
Support work
188,918
Supported internships
212,415
1,069,540		 Total
funds
2023
£
560,615
107,592
188,918
212,415
1,069,540

Page 25

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

3. Income from charitable activities (continued)

Personalised budget client
London boroughs
Support work
Supported internships		 Unrestricted
funds
2022
£
452,873
86,650
182,554
209,651
931,728		 Total
funds
2022
£
452,873
86,650
182,554
209,651
931,728

4. Investment income

Unrestricted Total Total
funds funds funds
2023 2023 2022
£ £ £
Interest receivable 721 721 -

5. Analysis of expenditure by activities

Direct costs
Direct costs		 Activities
undertaken
directly
2023
£
767,957
Activities
undertaken
directly
2022
£
684,055		 Support
costs
2023
£
276,215
Support
costs
2022
£
235,888		 Total
funds
2023
£
1,044,172
Total
funds
2022
£
919,943

Page 26

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

5. Analysis of expenditure by activities (continued)

Analysis of direct costs

Staff costs
Agency staff costs
Motor expenses
Travel and subsistence
Recruitment
Qualification costs
Staff training
Rent
Rates
Light and heat
Cleaning
Repairs and maintenance
Printing, postage and stationery
Entertainment
Telephone and internet
Sundry expenses
Equipment and materials		 Activities
2023
£
648,664
62,938
86
537
359
842
102
28,214
948
8,607
2,953
4,102
2,040
187
1,021
1,675
4,682
767,957		 Total
funds
2023
£
648,664
62,938
86
537
359
842
102
28,214
948
8,607
2,953
4,102
2,040
187
1,021
1,675
4,682
767,957

Page 27

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

5. Analysis of expenditure by activities (continued)

Analysis of direct costs (continued)

Staff costs
Agency staff costs
Motor expenses
Travel and subsistence
Recruitment
Qualification costs
Staff training
Rent
Rates
Light and heat
Cleaning
Repairs and maintenance
Printing, postage and stationery
Entertainment
Telephone and internet
Sundry expenses
Equipment and materials		 Activities
2022
£
606,898
33,874
225
686
7,802
394
575
17,688
601
3,690
2,013
2,064
2,325
95
1,241
2,428
1,457
684,056		 Total
funds
2022
£
606,898
33,874
225
686
7,802
394
575
17,688
601
3,690
2,013
2,064
2,325
95
1,241
2,428
1,457
684,056

Page 28

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

5. Analysis of expenditure by activities (continued)

Analysis of support costs

Staff costs
Depreciation
Motor expenses
Travel and subsistence
Staff training
Rent and rates
Light and heat
Cleaning
Repairs and maintenance
Insurance
Printing, postage and stationery
Telephone and internet
Sundry expenses
Equipment and materials
Auditors' remuneration
Legal and professional
Bank charges
Hospitality
Subscriptions
Profit/(loss) on disposal
Storage costs
Bad debts
Irrecoverable VAT		 Activities
2023
£
140,425
1,410
154
297
680
7,313
1,749
1,463
1,024
16,299
766
22,588
3,154
1,433
9,950
9,342
259
255
4,422
(177)
1,201
9,096
43,112
276,215		 Total
funds
2023
£
140,425
1,410
154
297
680
7,313
1,749
1,463
1,024
16,299
766
22,588
3,154
1,433
9,950
9,342
259
255
4,422
(177)
1,201
9,096
43,112
276,215

Page 29

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

5. Analysis of expenditure by activities (continued)

Analysis of support costs (continued)

Staff costs
Depreciation
Motor expenses
Travel and subsistence
Staff training
Rent and rates
Light and heat
Cleaning
Repairs and maintenance
Insurance
Printing, postage and stationery
Telephone and internet
Sundry expenses
Equipment and materials
Auditors' remuneration
Legal and professional
Bank charges
Hospitality
Subscriptions
Storage costs
Bad debts
Irrecoverable VAT
6.
Auditors' remuneration
Fees payable to the Company's auditor for the audit of the Company's
annual accounts		 Activities
2022
£
124,867
1,658
228
198
100
10,040
1,353
706
5,000
15,882
718
20,180
1,635
165
8,300
14,974
(93)
363
3,180
1,044
8,506
16,884
235,888
2023
£
9,950		 Total
funds
2022
£
124,867
1,658
228
198
100
10,040
1,353
706
5,000
15,882
718
20,180
1,635
165
8,300
14,974
(93)
363
3,180
1,044
8,506
16,884
235,888
2022
£
8,300

Page 30

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

7. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes		 2023
£
719,217
54,149
15,723
789,089		 2022
£
669,219
47,389
15,157
731,765

The total amount of redundancy payments during the year was £7,830 (2022: 12,372) which includes pay in lieu.

The average number of persons employed by the Company during the year was as follows:

Directors
Management
Admin
Tutors
ICV Support Staff
ATW Support Worker
Job Coach
Cleaner
Co-ordinators		 2023
No.
5
4
2
-
20
10
2
1
2
46		 2022
No.
5
4
2
4
8
10
3
-
-
36

No employee received remuneration amounting to more than £60,000 in either year.

Total remuneration including employee benefits paid to key management personnel during the year was £167,518 (2022: £168,431)

8. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2022 - £NIL) .

During the year ended 31 March 2023, no Trustee expenses have been incurred (2022 - £NIL) .

Page 31

ELLINGHAM EMPLOYMENT SERVICES

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

9. Tangible fixed assets

Cost or valuation
At 1 April 2022
Additions
Disposals
At 31 March 2023
Depreciation
At 1 April 2022
Charge for the year
On disposals
At 31 March 2023
Net book value
At 31 March 2023
At 31 March 2022
Debtors
Due within one year
Trade debtors
Other debtors
Prepayments and accrued income		 Short-term
leasehold
property
£
145,317
-
-
145,317
145,317
-
-
145,317
-
-		 Motor
vehicles
£
8,916
-
(8,916)
-
8,884
-
(8,884)
-
-
32		 Fixtures and
fittings
£
19,467
4,701
-
24,168
13,276
1,410
-
14,686
9,482
6,191
2023
£
56,270
950
74,482
131,702		 Total
£
173,700
4,701
(8,916)
169,485
167,477
1,410
(8,884)
160,003
9,482
6,223
2022
£
133,893
15,984
59,464
209,341

10. Debtors

Page 32

(A Company Limited by Guarantee)

ELLINGHAM EMPLOYMENT SERVICES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

11. Creditors: Amounts falling due within one year

Trade creditors
Other taxation and social security
Pension fund loan payable
Accruals and deferred income		 2023
£
10,021
17,284
159
133,264
160,728		 2022
£
2,698
14,162
2,248
122,814
141,922

12. Statement of funds

Statement of funds - current year

Unrestricted funds
General Funds - all funds
Restricted funds
David Solomon Grant
LBWF Infection Control
Total of funds		 Balance at 1
April 2022
£
353,788
67
2,465
2,532
356,320		 Income
£
1,108,488
-
-
-
1,108,488		 Expenditure
£
(1,054,444)
-
-
-
(1,054,444)		 Balance at
31 March
2023
£
407,832
67
2,465
2,532
410,364

Page 33

(A Company Limited by Guarantee)

ELLINGHAM EMPLOYMENT SERVICES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

12. Statement of funds (continued)

Statement of funds - prior year

Unrestricted funds
General Funds - all funds
Restricted funds
David Solomon Grant
LBWF Infection Control
Total of funds		 Balance at
1 April 2021
£
260,828
67
4,015
4,082
264,910		 Income
£
1,016,349
-
-
-
1,016,349		 Expenditure
£
(923,389)
-
(1,550)
(1,550)
(924,939)		 Balance at
31 March
2022
£
353,788
67
2,465
2,532
356,320

13. Summary of funds

Summary of funds - current year

General funds
Restricted funds		 Balance at 1
April 2022
£
353,788
2,532
356,320		 Income
£
1,108,488
-
1,108,488		 Expenditure
£
(1,054,444)
-
(1,054,444)		 Balance at
31 March
2023
£
407,832
2,532
410,364

Page 34

ELLINGHAM EMPLOYMENT SERVICES

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

13. Summary of funds (continued)

Summary of funds - prior year

General funds
Restricted funds		 Balance at
1 April 2021
£
260,828
4,082
264,910		 Income
£
1,016,349
-
1,016,349		 Expenditure
£
(923,389)
(1,550)
(924,939)		 Balance at
31 March
2022
£
353,788
2,532
356,320

Restricted Funds

The David Soloman Grant was a donation received to be used for the I Can Ventures project.

LBWF Infection Control Grant: This is in respect to funds received from Waltham Forest to support staff costs of receiving regular Covid 19 testing and travel to and from work to maintain infection control.

Unrestricted Funds

General funds represent the "free reserves" of the charity for its unrestricted use in connection with its overall charitable objectives.

14. Analysis of net assets between funds

Analysis of net assets between funds - current year

Tangible fixed assets
Current assets
Creditors due within one year
Total		 Restricted
funds
2023
Unrestricted
funds
2023
£
£
-
9,482
2,532
559,078
-
(160,728)
2,532
407,832		 Total
funds
2023
£
9,482
561,610
(160,728)
410,364

Page 35

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

14. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior year

Tangible fixed assets
Current assets
Creditors due within one year
Total		 Restricted
funds
2022
£
-
2,532
-
2,532		 Unrestricted
funds
2022
£
6,223
489,487
(141,922)
353,788		 Total
funds
2022
£
6,223
492,019
(141,922)
356,320

15. Contingent liabilities

In 1998 the charity received a restricted grant of £150,000 from National Lottery Charities Board in order to build and set up a training centre. The conditions of the grants stipulated that such assets shall not be disposed of without prior written consent of the National Lottery Charities Board and, that they shall not be used for any other financial purpose. This restriction applies for 80 years from the date of acquisition, and expires in the year 2078. If the charity does not comply with these conditions, the grant received will have to be repaid.

We are aware that there is a potential clawback of funding in relation to the work choice income stream. However, at this stage this amount has not been quantified or accepted by the Charity.

Page 36

ELLINGHAM EMPLOYMENT SERVICES (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

16. Pension commitments

The charity operates a defined contribution scheme whose assets are held independently and administered separately from those of the charity. During the year, the cost was £15,723 (2022: £15,157). Contributions totalling £159 (2022: £2,248) were payable to the fund at the balance sheet date and are included in creditors. The charity has a commitment in respect of the capital repayment of pension contributions being paid by the London Borough of Waltham Forest of £24,450 (2022: £24,450) due as at year-end.

17. Operating lease commitments

At 31 March 2023 the Company had commitments to make future minimum lease payments under noncancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years
Later than 5 years		 2023
£
35,268
141,072
261,571
437,911		 2022
£
31,000
124,000
294,500
449,500

18. Related party transactions

During the year the Amplified IT, a company in which a trustee is the director, provided the Charity with IT services. The total amount of services provided for the current year was £14,294 (2022: £15,166). There is no balance outstanding at the year end to Amplified IT.

Page 37