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2023-03-31-accounts

CHANGING FACES

A Registered Charity A Company Limited by Guarantee

TRUSTEES’ REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED

31st MARCH 2023

Haysmacintyre LLP Chartered Accountants Registered Auditors London

Registered Charity number: 1011222 Company Registration Number: 02710440 Charity registered in Scotland: SC039725

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CHAIR’S INTRODUCTION

2022/23 was a year of considerable achievement for Changing Faces in relation to our charitable activities and the work we have done in support of people with visible differences. We celebrated our 30th year as a charity during 2022 and marked the legacy of our founder James Partridge and the achievements of the last 30 years in an event at the British Film Institute in November 2022. It was wonderful to see so many friends and partners there, including members of James’ family and representatives of Face Equality International, the Centre for Appearance Research and the VTCT Foundation.

2022/23 was the first year of our new strategy aiming to deliver against our two new goals, that everyone across the UK with a visible difference or disfigurement will have access to the support they need, and that we will significantly increase everyone’s understanding and acceptance of visible difference and disfigurement and reduce prejudice and discrimination. These goals now guide everything we do as a charity.

In support of the first goal, we continued to deliver strong levels of activity in our wellbeing and counselling services, in both 1:1 and group activity aimed at improving the wellbeing and mental health of people living with visible differences and facing the challenges that society creates. Over 92,000 people used our self-help resources, a huge jump on last year’s figure of 64,575. And I am particularly proud that we recovered from the closure of our skin camouflage service during the Covid lockdowns, removing our backlog and with waiting times down to three months or less by October. Further to that, we have started a process of developing new forms of support which will enable us to increase reach and impact and move towards the goal of everyone being able to access the support they need.

We also invested time and effort during the year in engaging with health professionals in a much more structured way, building a network and mailing list which was at over 200 by the end of the year and part way through 2023/24 is already well over 300. This will help grow health professionals’ awareness of the psychological impact of living with a visible difference, as well as increasing awareness of how Changing Faces can help.

In support of the second goal of increasing understanding and acceptance, we delivered an impactful campaign in Face Equality Week 2022 entitled Stop The Stare, focusing on the damage that frequent and intrusive staring does to the mental wellbeing of people with visible differences. Our campaign film had over 72,000 views and significant media coverage including on the BBC, Channel 4 and Sky News. We also responded quickly and effectively to an incident where the BBC 2 quiz show, Only Connect, described scars as “marks of shame”. We made an official complaint and issued a press release to emphasise how damaging this was and achieved both an apology and meetings with the BBC and independent production companies to raise awareness and discuss how to avoid such a situation happening again.

Although we had a successful year in terms of our activity and impact, sadly we were not so successful in generating the income we need to sustain this level of activity. We had ambitious goals for income generation in 2022/23 but as we reached the autumn, it became clear that we would be likely to fall short of our target due to the difficulty and competitiveness of the fundraising and general economic climate. During the last part of 2022/23 and early 2023/24 we therefore put in place measures to reduce costs across the organisation, which included reducing our core staff headcount. The savings have focused particularly on overhead costs but have also resulted in a reduction in service delivery capacity in both wellbeing and skin camouflage. Our aim while making the savings has been to preserve our underlying skills and capacity so that we can grow again as

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the situation improves. Furthermore, we have been developing our fundraising capability and improving our processes to support this to happen.

Whilst these reductions in staff numbers have been extremely regrettable and disappointing, our earlier investments in our technology platform and in systems and processes have meant that we can support people more efficiently. We believe that the continued evolution of our service delivery capability will focus on the greatest impact while keeping costs as low as possible.

I would like to thank my fellow Trustees for their dedication during the last year, particularly in supporting the Board and the staff of Changing Faces through the difficult second part of the year. And I would like to thank the Leadership Team and staff team at the charity for their hard work and motivation through very challenging times. I know that their passion for our cause is enormous, and they are working to try to make the biggest impact possible for everyone we are here to support. I have been impressed by their commitment to achieving the maximum possible with the resources we have and supporting each other to continue our important work.

David Clayton

Chair of the Board of Trustees

Date: 31[st] October 2023

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CONTENTS
Chair’s Introduction ........................................................................................................................... 2
Objectives and Activities ................................................................................................................... 5
Why our work is needed ................................................................................................................... 5
How does Changing Faces help? ..................................................................................................... 6
ACHIEVEMENTS AGAINST OUR STRATEGIC GOALS .................................................................. 6
Goal 1: By 2027, everyone across the UK with a visible difference or disfigurement will have access
to the support they need ................................................................................................................ 7
1.
Continue existing support services, aiming to support as many people as possible at current
resource levels .......................................................................................................................... 7
2.
Expansion of Services into Wales and Northern Ireland ................................................... 12
3.
Conduct initial research to support the development of new tools and to address inequalities
12
4.
Engage health professionals ............................................................................................. 13
Goal 2: By 2027 we will significantly increase everyone’s understanding and acceptance of visible
difference and disfigurement, and reduce prejudice and discrimination ....................................... 14
1.
Continue work to build a stronger voice for people with visible differences ....................... 14
2.
Campaigns and influencing to address strategic themes .................................................. 15
Strategic enablers to support achievement of both goals ............................................................ 16
1.
Growing our income .......................................................................................................... 16
2.
Raising awareness ........................................................................................................... 18
3.
Organisational health ........................................................................................................ 18
Looking ahead – plans for 2023/24 ................................................................................................. 21
Fundraising Statement .................................................................................................................... 22
Financial Review ............................................................................................................................. 23
Reserves ..................................................................................................................................... 25
Investments ................................................................................................................................. 26
Governance .................................................................................................................................... 29
Statement of Trustees’ Responsibilities .......................................................................................... 31
Independent auditor’s report to the members of Changing Faces ................................................... 32
Statement of Financial Activities for the year ended 31 March 2023 ............................................... 35
Balance Sheet at 31 March 2023 .................................................................................................... 36
Statement of Cash Flows for the year ended 31 March 2023 .......................................................... 37
Notes to the financial statements .................................................................................................... 38
ADMINISTRATIVE DETAILS .......................................................................................................... 54

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OBJECTIVES AND ACTIVITIES

Changing Faces is the UK’s leading charity for people in the UK with a scar, mark or condition that makes them look different.

We provide life-changing mental health, wellbeing and skin camouflage services. We work to transform understanding and acceptance of visible difference, and campaign to reduce prejudice and discrimination.

We won’t stop until everyone with a visible difference or disfigurement is supported and respected.

WHY OUR WORK IS NEEDED

“I’m a burns survivor, and my scars are nothing to be ashamed of.” Tulsi, Changing Faces ambassador.

Looking different in a world where there is such pressure to look a certain way presents huge challenges. People with visible differences are vulnerable to isolation, loneliness, social anxiety, and low self-esteem. They often face staring, harassment, bullying and hate crime. They can experience lowered expectations in school, problems getting work and stereotyping in the media.

A particular incident during the year illustrates the challenge. In November 2022, on a popular, prime-time TV quiz show broadcast on the BBC, scars were referred to as ‘marks of shame’. This clearly demonstrated a lack of awareness and understanding of the impact that negative language and representations of visible differences can have.

Positively, since this incident, both the production company and the BBC apologised and have engaged with Changing Faces to learn and improve their understanding about visible differences. However, our annual tracker survey conducted by Savanta looking at the lives and experiences of over 1,000 people with a visible difference, revealed worrying trends:

Kaylin, one of our campaigners who spoke out after she experienced verbal abuse and threatening behaviour on her way home from a night out, shared :

“Those of us who have a visible difference work hard to build confidence and self-esteem that armours ourselves against stares and comments when we leave our front door. Verbal abuse and hate-related incidents can undo this work and leave a person feeling insecure secure and anxious. What’s more damaging is it can lead a person to withdraw from the world and become isolated.”

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“Since this most recent incident I experienced, I have struggled to leave the house, it’s taken a lot of strength to open the door. I certainly haven’t been out after dark. I’ve not had the energy to deal with hostility from people I don’t know. I want to stay in my own bubble with my own people that I feel safe and secure with. It really does have an impact on your mental health and wellbeing.”

HOW DOES CHANGING FACES HELP?

“If anyone is struggling with their skin, scars or the way they look, these are your people! Anyone scared to approach Changing Faces, or anyone who thinks that their difference isn’t worthy or “big enough” to get help, please don’t be scared to seek support. If your visible difference is having that much of an effect on your life, they will be there to help you, no matter how big or small it is. Since my appointment, I’ve felt like my life has begun again. I’ve found a new meaning and new confidence. I now look at my scars in a different way, too. They’ve made me who I am and I’m a better and stronger person because of it.” Joe, service user

Changing Faces provides life-changing mental health, wellbeing and skin camouflage services. We work to transform understanding and acceptance of visible difference, and campaign to reduce prejudice and discrimination.

As part of our new strategy we have two strategic goals which drive all of our work:

1. By 2027, everyone across the UK with a visible difference or disfigurement will have access to the support they need.

2. By 2027, we will significantly increase everyone’s understanding and acceptance of visible difference and disfigurement, and reduce prejudice and discrimination.

These are five-year goals, and 2022/23 was the first year of delivery against them. Our specific achievements are set out below and we are proud of what we have achieved and the difference we have made for so many people living with visible differences.

ACHIEVEMENTS AGAINST OUR STRATEGIC GOALS

Summary of our year in numbers

Goal 1: Increasing reach and accessibility of support

Goal 1: Increasing reach and accessibility of support Goal 1: Increasing reach and accessibility of support Goal 1: Increasing reach and accessibility of support
Our 2022/23
target		 Our 2022/23
result
Services have supported clients to manage their
appearance-related concerns more easily		 80% 89%
Increase in self-referrals to Changing Faces
services		 3,342 3,618
Increase in referrals from health professionals 476 543
Total unique clients across skin camouflage and
wellbeing services (figures for individual services are
in the sections below)		 3,116 2,823

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Users who have accessed online self-help (either
self-help information or peer support through the
forum)		 68,499 92,511
Size of healthprofessional mailinglist 200 236
Goal 2: Increasing understanding and acceptance of visible difference
Our 2022/23
target		 Our 2022/23
result
Number of real stories on the website including case
studies from service users and generated as part of
media campaigns		 45 49
Number of users viewing our real stories on the
website		 38,580 52,790
National and regional media pieces including the
voice of someone with a visible difference		 212 300
Total size of audience exposed to mediapieces 77 million 240.7 million
Number of downloads of education resources 1,395 2,763

Goal 1: By 2027, everyone across the UK with a visible difference or disfigurement will have access to the support they need

1. Continue existing support services, aiming to support as many people as possible at current resource levels

Wellbeing

All of our 1-1 and group services continued to be delivered online or by phone during 2022/2023. This year also saw the review and development of our clinical model underpinning our wellbeing service delivery. During Quarter 4, a staff restructure due to financial challenges meant the service reduced from a team of 9 to 6 people, with increased cross-working across the different interventions.

Support & Information Line (SIL)

The SIL team delivered 1,069 support and/or information activities in 2022/23, to 781 unique clients. This was against a target of 864 unique clients (90%).

In 2022/23 we launched a new streamlined approach to managing referrals to the Support & Information Line, to track volume of referrals more effectively, and to improve initial response rates.

“I shared my anxiety and depression about my vitiligo and Caroline was a sympathetic and friendly listener. Caroline pointed to the resources they offered at Changing Faces and together we filtered which ones may be the right ones for me…. The talk helped me and it was comforting to have someone on the other end of the line who understood and who were dedicated to my skin situation. It also gave me hope that the Changing Faces offered the services they do and they shown me that I was not alone in my emotional struggles - they could help.” SIL user

“I was spoken to by a most understanding empathetic lady. The conversation was so helpful, nonjudgemental, with a sympathetic ear demonstrated. I was able to chat freely without shame, so many people believe skin cancer is not something to be concerned about, the psychological impact

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is in fact immense. This lady fully understood my feelings. I didn’t feel guilty or vain by expressing my mental anguish.” SIL user

Online Community Forum

The online community forum received a total of 7,503 visitors, against an annual target of 10,255 visitors (74% of target). We saw a trend of lower traffic and engagement in the post-lockdown time period, which our host platform HealthUnlocked confirmed was a trend across the majority of the forums they host. We continued to see new members joining each month, and we have three community ambassadors who work to welcome new members, create discussions, and flag any posts which need moderating.

Peer Group Chat

In 2022/23 we ran our 8-week peer support programme Peer Group Chat five times, including a pilot group which was aimed specifically at parents of children & young people with a visible difference.

A major accomplishment in 2022/23 was the digitisation of the Peer Group Chat service. This has enabled tracking of the client journey throughout their engagement with the programme, automating email communications, and recording evaluation and feedback in a clearer manner. The outcome is more efficient processes for staff, and an improved experience for the group members.

“Since completing my group sessions I have become stronger and more determined to take my life as it is and move on. Before, I was concentrating on my reconstructive surgery, which will happen later this year. I know I will still not be the person I was, but it’s time to love the person I am now. I’m on a different path towards a different journey, now – just with more direction than before.” Peer Group Chat attendee

“It feels like a safe space, and I have trust in the group and the safety of that space and feel able to share openly and I like the group of people. We fit well together and connect well together.” Peer Group Chat attendee

“It’s the one time of the week that I can talk to people that can understand how I feel.” Peer Group Chat attendee

One-to-one Counselling and coaching support for adults, children and young people

Wellbeing Practitioners delivered 1,426 support sessions in 2022/23. We found that video was a more popular method with clients, with 23% choosing telephone sessions and 77% choosing video sessions.

The 1:1 service offers up to 12 sessions of counselling or coaching support. An analysis of a sample of 80 clients supported during this period found that the average client take-up was 10 sessions.

“Dola really listened to me and gave me very practical advice and strategies to help me to come to terms with my facial difference, as well as helping me to feel less self-conscious about interacting with other people, and generally being out in the world. This has been a hugely valuable service for me.”

Adult 1-1 Service User

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“I thought Lisa was a great counsellor and thoroughly enjoyed the time I had with her!” Young person having 1-1 session

“I found the counselling sessions really helpful and over time, they really helped me. Thank you so much.”

Adult 1-1 Service User

“It was amazing and truly grateful! I had the perfect expert guide me through my problems! I’m more confident and happier now, less conscious and more empowered! Thank you so so much!” Adult Service User

Online workshops for children, young people and families (CYPF)

The Wellbeing Team delivered five online workshop sessions in 2022/23, consisting of two workshops for young people, two for parents and one interactive family event. The workshops reached 92 attendees, including children & young people with a visible difference, parents, siblings and other family members.

“It's good to know there is support for when I start secondary school” CYP workshop attendee

“Guest speakers were brilliant, talking first hand from the child and parent perspective” Parent workshop attendee

“Your enthusiasm and positivity was infectious. [We] both found the event really helpful.” Family Day attendee

Self-help advice and guidance

This year saw 85,000 users accessing our online advice and guidance, exceeding the KPI target by almost 50%. The most popular pages were the ‘Effects Of Physical Appearance On Self-Esteem’, ‘How To React When Someone Stares At You’, ‘What To Do When Someone Comments On Your Appearance’ and ‘What Is Rosacea?’.

In response to positive feedback, we developed further online resources about specific conditions or types of visible difference to provide both information and advice, as well as signpost people to the support available to them. We published pages on hair loss, eczema, scoliosis, moles, Bell’s Palsy, and psoriasis, bringing the total of condition-specific pages to 18. The advice and guidance section was the most visited section of the website in 2022/23. The condition-specific pages were particularly popular, accounting for 30% of the unique page views of all advice content, and nearly 10% of unique page views for the whole website.

Drawing on research into the needs of children and young people with a visible difference, we also recorded new video resources on the Explain, Reassure, Distract (ERD) tool, which were published in early 2023/24 along with new graphics. Both the videos and graphics will help to make our advice content for young people more interactive and engaging.

Clinical Model

We continued with our commitment to improve the client journey from referral, through triage, assessment and formulation. We also developed guidance documents which described the remit

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and clinical threshold of the Wellbeing Service, support and information for referrers, and information on the aims and ethos of the Wellbeing Service interventions.

Over the period 2022/23 work was carried out to widen the knowledge base for the development of the Wellbeing Clinical Model. This included surveying 640 people with a visible difference and 47 mental health professionals. This research generated recommendations on key life stages where support could be impactful, the need for clearer communication about the types of people who could be eligible for emotional wellbeing support from Changing Faces, and thoughts about the method and timing of delivering emotional support – particularly “keeping in touch” or follow-up sessions.

Updated practice guidelines were developed for the Wellbeing Service, particularly on areas to combat accessibility barriers such as providing text-based counselling sessions and working with interpreters. The clinical governance framework was updated to clarify our standard for safe, ethical practice in relation to clinical supervision, along with an updated staff competency framework.

The impact of our wellbeing support

We introduced the Short Warwick Edinburgh Mental Wellbeing Scale (SWEMWBS) into our 1-1 counselling support service in late 2021/22 and in 2022/23 expanded this to clients attending our Peer Group Chat programme. We will be able to report on the impact data captured through SWEMWBS surveys, which demonstrate the shift in people’s wellbeing before and after they used our services, once we have a statistically significant number of respondents – improving response rates for SWEMWBS within the wellbeing service is a priority for 2023/24.

We also introduced a new Goal Based Outcome measure for children, young people and adults using the 1:1 service, which enabled them to record their hopes in their own words, and to measure their own progress. Of the 52 clients who used the Goal Based Outcome measure, 47 (90%) reported meaningful improvement against their own stated goals.

Complaints

There were no formal complaints reported in 2022/23.

Skin camouflage

“Amazing Service for People with skin conditions. [The practitioner] was very friendly, warm and compromised during the session. I can not believe how natural and bright look my skin after applying the coverage. I am extremely happy with the results. Thanks a lot!” Adult female client

“I felt valued as a patient and the service gave me a lot of self-confidence in my managing my skin. I met [the practitioner] and she was extremely knowledgeable, compassionate and reassuring during my consultation. Thank you very much” Adult male client

Due to restrictions imposed during the Covid-19 pandemic, the Skin Camouflage Service was closed from March 2020 to June 2021 and a large backlog of clients had built up. The team of coordinators and practitioners worked incredibly hard over many months to see as many clients as possible, and by October 2022, we were proud to confirm that our waiting lists were back down to the pre-pandemic three-month target wait.

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In the financial year 2022/23 the Skin Camouflage Service supported a total of 1804 people in faceto-face appointments (88% of target) and 184 clients in online sessions (109% of target). There were a number of reasons for the face-to-face numbers falling below target. Earlier in the year, the impact of Covid was pronounced causing both client and practitioner cancellations due to illness. A year of transport strikes also impacted on people’s ability to both attend and deliver appointments face-to-face. We reduced our team of co-ordinators from three to two in early 2023 due to financial pressures.

The skin camouflage service delivered great outcomes for clients with 88% of people stating we supported them to manage their appearance-related concerns more easily and 89% of people showing an improvement in their wellbeing (via the short Warwick Edinburgh Mental Wellbeing Scale).

“[The practitioner] run the consultation and looked after my 11 year old daughter in London. She was very welcoming and make us feel comfortable very quickly. My daughter is a very sensitive and shy girl but she opened up and felt relax to share her feelings with [the practitioner]. She took her time to find the best matching colour for my daughter’s face. [The practitioner] was making sure the whole way through the consultation that my daughter and I understood everything. A massive thank you to [the practitioner] and the Changing Faces team!” Parent of a young person

We were extremely pleased that our NHS funding arrangement for England, in the form of an NCA (non-contract activity) arrangement with North-East London Integrated Care Board has been reissued for a further five years. We were also able to agree an uplift from £96 to £103 per client seen, which is great news for future sustainability of the service although it still only covers part of the cost of delivery.

In Quarter 2, a Scotland wide survey was distributed through the Scottish Dermatological Society (SDS) to gather data on both skin camouflage and emotional support services utilised by dermatology teams, to support the case for increasing NHS funding and referrals across Scotland. We then met with the Deputy Chief Medical Officer of NHS Scotland in March 2023 to discuss our ‘One approach for Scotland’ paper, in the hope of gaining a similar funding arrangement for our skin camouflage service in Scotland to that in England. In addition to our existing Service Level Agreement with Ayrshire and Arran Health Board, we secured new SLA’s with Fife Health Board and Lanarkshire Health Board, both starting in January 2023.

Other funds for the service came in the form of generous grants from William Grant, Barbet Charitable Trust and Scot Alliance.

“Very friendly, they listen to you if you have queries or questions to anything. … [The practitioner] showed me how to apply the makeup very well. Amazing organisation. Thank you” Young person from Scotland

In order to reinforce the evidence base for Skin Camouflage, clinical psychologist Kerry Montgomery produced an evaluation report covering the last four years of service provision, evidencing the impact of the service and providing excellent data to share with partners, stakeholders and funders.

“Just like to say the service you provide is truly amazing...Thank you from the bottom of my ❤️ heart”

Adult male client

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2. Expansion of Services into Wales and Northern Ireland

Changing Faces Wellbeing services are already available to people with visible differences across Wales and Northern Ireland, but our Skin Camouflage service is not provided because there is currently no part-funding arrangement in place with the NHS.

In 2022/23 we started to address this inequity of provision by establishing both the need and the potential NHS support for a service through surveys with dermatologists and their teams. In Wales 94% of respondents believed that skin camouflage was a vital service, but only 56% of patients had access to a service and NHS provision was very limited. In Northern Ireland 100% of respondents believed it was a vital service but even fewer (26%) of patients had access.

In September we achieved agreement in principle from the Welsh Government to part-fund a skin camouflage service in Wales. The aim is to create an equitable service across Wales so this will not sit with individual Health Boards but be funded by WHSSC (Welsh Health Specialised Services Committee). Since then we have been in discussions about the details and going through a tendering process, and we hope to be able to start service delivery in 2024/25.

3. Conduct initial research to support the development of new tools and to address inequalities

This year we started to explore new or adapted forms of support for people with a visible difference, to help us achieve our goal of everyone across the UK with a visible difference or disfigurement having access to the support they need.

The first phase of the work involved user research, ideation, concept development and testing, and with funding from the National Lottery we appointed Humanly, an experienced user research and service design agency, to partner with us.

A multidisciplinary team from across the charity worked with Humanly to develop a research plan and recruit research participants. 16 depth interviews were conducted in total, primarily with adults with a visible difference but also with professionals (GPs, dermatologists and burns specialists). We ensured a mix of genders, ethnicities, ages, geography, condition types, as well as both congenital and acquired visible differences. We also weighted the research participants to those who knew nothing or little about Changing Faces.

Through analysis of the research Humanly created journey maps and key insights, which were used at two ideation workshops in Edinburgh and London, where 25 participants (a mix of people with lived and professional experience), explored key opportunities for each of the personas developed from the research findings. The ideas from the workshops were analysed to identify patterns and themes, which were then evaluated and prioritised in relation to the goals of our five-year strategy as well as their desirability, viability, and feasibility.

At the end of this phase of the work, we have five concepts to move forward with. Once funding is secured, these concepts will be developed into low-cost test versions, to help eliminate some and evolve others, before narrowing it down further to identify a single support prototype to take through service design and into a pilot.

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4. Engage health professionals

The strategy for engaging healthcare professional (HCPs) began in earnest in April 2022 with the aim of:

Due to the size and complexity of the healthcare system two key areas were targeted – GP practices and dermatology. We had already established good relationships with a small number of individual GPs, dermatologists and dermatology nurses. However, we developed a plan to engage at a higher level with professional bodies and other organisations that would give us greater access to HCPs and a voice backed by the organisation itself.

We created an email campaign with Wilmington Healthcare to email GPs and dermatologists to encourage them to sign up to our HCP mailing list and receive newsletters from us. The campaign achieved 47 sign ups from dermatologists but only 17 from GPs, despite the GP cohort being significantly larger. We knew that GPs were a difficult group to access, however the result was disappointing. We have shifted strategy and intend to focus on the GP training and the Primary Care Dermatology Society (PCDS) for our route into GP practices. We’re currently working with the PCDS on a resource for GPs with Professor Andrew Thompson.

Throughout 2022/23 we grew our HCP mailing list from zero in July 2022 when we launched the network, to 236 by March 2023. We sent out two newsletters in November 2022 and March 2023 with links to patient information leaflets, how to refer and general information about Changing Faces. Plans were put in place for a series of articles to appear in the British Journal of Dermatology throughout the year on the patient perspective. However, due to financial constraints, this activity was paused.

We attended three key conferences throughout the year with a stand, patient information leaflets and opportunity to sign up to our newsletter.

Outside of conferences we gave two presentations where the emphasis was to educate HCPs about the psychological impact of looking different, and what they as professionals can do to support their patients.

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We also gave a number of online talks to groups and teams within the NHS including:

Royal London Dental Hospital, Vascular Anomalies Special Interest Group, Cleft CEN, Clinical Delivery Group – South Yorkshire Cancer, Sheffield University Hospital Burns Department.

Going forward, the contacts, talks and presentation for 2022/23 have given impetus to the current year with an increased number of requests for talks, including the Royal Society of Medicine and British Association of Dermatologists.

Goal 2: By 2027 we will significantly increase everyone’s understanding and acceptance of visible difference and disfigurement, and reduce prejudice and discrimination

1. Continue work to build a stronger voice for people with visible differences

Through our campaigns and communications work, we amplify the voices, experiences and opinions of people with a visible difference, challenging outdated positions and calling for change. We have a passionate group of campaigners and ambassadors, and we support them through media training and individual support to share their stories and take up opportunities to increase the understanding of those around them, whether in their local communities, through regional and national media opportunities or by sharing their thoughts on social media.

In the autumn of 2022/23 we retired our second cohort of campaigners and recruited our fourth cohort. Our retiring cohort shared with us feedback on what they had enjoyed and what they think will make the programme better for future campaigners.

“Being part of the campaigners programme has truly been life changing for me. I’ve been able to share my story across multiple different platforms, and in an industry which has so many stereotypes of how a person should look. When I joined Changing Faces campaigners programme my goal was to help just one other young person with a visible difference not go through the torment I had to endure at school. And I feel like I have achieved my goal. Being part of Changing Faces campaigners programme was a chance to spread positivity to a community of people who feel like an outcast. It has truly been something special to be a part of.” Amba

“[Taking part in the programme] It has meant everything to me quite literally, I have healed from things I didn’t know were hurting. I have grown in confidence and finally feel like I’ve made a bit of a difference.”

Emma

We’ve taken their feedback and used this to update our training schedule for our new campaigners.

The new cohort is already active and engaged, having now attended an in-person training session as well as several online sessions, ranging from a filming masterclass to media training and an opinion piece writing workshop. This cohort of campaigners includes people from across the UK, including Wales and Northern Ireland, where we have previously struggled to recruit campaigners.

In 2022/23 we shared 49 new real stories on our website which between them had 52,970 unique page views.

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2. Campaigns and influencing to address strategic themes

Face Equality Week

During Face Equality Week 2022, we launched the first phase of the Stop The Stare campaign. Our campaign was planned to ensure our assets would work well across social media platforms with a PR strategy aiming for both national and regional coverage allowing us to involve all those campaigners who wanted to undertake a media opportunity.

Our Stop The Stare campaign film has had over 72,000 views, and we saw significant media coverage, surpassing our goal for national coverage. Our campaigners and ambassadors had national TV appearances and radio interviews, including BBC Radio 1, BBC Online, Sky News and Channel 4’s ‘Steph’s Packed Lunch’ to online broadcast and online news pieces as well as regional newspapers, such as the Yorkshire Post. We achieved more than 110 pieces of media coverage talking about our campaign and why it matters.

Campaigner, Atholl, was the main protagonist in our campaign film, he explained:

“For me, stares are just as bad as abusive comments. When you’re on the receiving end of a stare, it can make you feel incredibly anxious. Is this going to escalate to verbal or physical abuse because of the way I look? I’m left wondering what the person is thinking when they’re looking at me. That stare, that you might not ever think of again, could be played over and over in my mind - hours, days, even months later.”

“I was taught as a child that staring is rude. There’s a difference between someone noticing you and a stare. So, I don’t think it’s ‘woke’ or being ‘a snowflake’ for people with visible differences and disfigurements to be reminding people that they really shouldn’t stare. If we all embraced and celebrated difference a bit more, I think that would help prevent negative behaviours like staring.”

Challenging Only Connect

In early December several of our supporters contacted us after seeing popular BBC 2 quiz show, Only Connect, describe scars as “marks of shame”. Following the emails from our supporters, we acted quickly, as we couldn’t let this appalling use of language that perpetuates the trope that scars and marks are ‘bad’ or ‘shameful’ go unchecked.

We wrote an official complaint to the BBC and produced a press release including a series of asks:

We tested these asks with our campaigners and ambassadors and asked them to support us on social media by sharing images of themselves and the hashtag #NoShame. Once we shared our press release and social media posts, we contacted the Appearance Collective and Face Equality International members to alert them to our actions and ask for their support. Many of them thanked us for taking swift action and joined us in calling out the language used on “Only Connect” - helping us build a movement of people challenging what had happened.

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We proactively contacted the host of the show, Victoria Coren Mitchell, to ensure she was aware of what we had done and explained that our actions were not aimed at her, rather at the production company, RDF, and the BBC. She quickly contacted us, posted a statement online and raised the issue with the production company. We also directly contacted the Creative Content Lead for Disability at the BBC. Our quick and action-driven response yielded great results. We secured several pieces of media coverage of our response to the incident in national press and a thought piece from media spokesperson Hannah, secured an apology from the BBC and the production company, and had meetings with both the production company and the BBC.

Working with campaigners and ambassadors we have developed a plan of action for change for the BBC, which we presented to more than 20 Commissioners, educating and raising awareness of visible difference and disfigurement with a key group of influential media contacts.

We have called for the experiences of those with visible differences and the impact of tropes and stereotypes to be built into Diversity and Inclusion training within the BBC. We are also investigating ways of reaching more production companies through industry events using the contacts developed through this campaigning activity.

Pledge To Be Seen

Pledge to be Seen is an opportunity for companies and public bodies to make a commitment to representation and inclusion for people with visible differences. A number of large public bodies and institutions committed to the Pledge during 2022/23. In Scotland, the Scottish Ambulance Service (SAS) and the Scottish Fire Service both signed the Pledge. SAS introduced us to AACE (The Association of Ambulance Chief Executives) with a view to all Ambulance Services and Trusts from across the UK becoming Pledge To Be Seen organisations.

They were followed by NHS Greater Glasgow and Clyde Health Board, the UK’s largest NHS health provider, who also took the Pledge, committing to represent more people with a visible difference in their publications and campaigns.

In Wales, Transport for Wales publicly signed up to Pledge To Be Seen during Face Equality Week, and shared their first marketing campaign that featured a model with a visible difference. The Welsh Government also continued to engage with Changing Faces a year on from committing to the Pledge, launching a staff-led lived experience group for people with visible differences.

Strategic enablers to support achievement of both goals

1. Growing our income

The last financial year of 2022/23 presented significant challenges in the area of fundraising. We had set a goal of raising £1,905k for the year with our efforts directed towards adopting a more targeted approach, identifying new fundraising opportunities, and growing our supporter pool, while also harnessing the potential within our existing network of committed supporters. Unfortunately, we have faced an extremely difficult economic and fundraising climate, similar to many other charities, and our total income for the year finished at £1,239k, significantly down on our original budget. The implications of this are covered further in the financial sections below.

Our goal for the year had been to grow our income to support our mission, progressing in three key areas of development:

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CHANGING FACES

Investment in individual giving programme: Recognising the potential of individual donors to help give us a more diverse and sustainable income portfolio, we made a significant investment in our individual giving programme. Through targeted digital ‘handraiser’ campaigns, we were able to engage with a wide audience and attract over seven and a half thousand new email subscribers. This expansion of our supporter base has not only increased our fundraising opportunity, but also has created a strong network of supporters who are passionate about Changing Faces. By highlighting the impact of our services and sharing inspiring stories and journeys of the individuals we support, we were able to capture the attention and empathy of many new supporters.

The focus for 2023/24 will be embarking on a dedicated journey to nurture them, understand their motivations and continue to share the impact of why their support and donations will make a difference. We will implement a comprehensive donor stewardship programme, primarily by email, that involves personalised communication, gratitude initiatives and regular updates on the impact of their contributions. This approach will not only expand our network of donors for the future but create a community of individuals who feel connected to our cause and are actively involved in supporting it.

Increasing philanthropic donations through major donor fundraising: Understanding the motivations and aspirations of major donors has been a priority for us. We recognise the immense value that major donors bring, not only in terms of financial contributions but also as advocates and influencers within their own networks. We made a tailored ask to a small group of major donors in the later part of 2022/23 which resulted in generous donations totalling around £140k across 2022/23 and 2023/24.

Building upon this foundation, we will actively seek opportunities to widen our network of connections moving forward into 2023/24. This includes engaging our major donors in events and networking opportunities, where they can interact with other individuals and organisations. Through our focus on understanding existing major donors, expanding our network, and planning for future events, we are building a robust community of major donors who are deeply invested in our cause.

Continued development of trusts and foundations: Our relationships with trusts and foundations have been vital in securing funding for our services and all we do to support people with visible differences. To further strengthen these key partnerships, we focused on higher value, multi-year opportunities. By identifying trust and foundations that align with our vision, we have been able to cultivate meaningful collaborations that go beyond monetary contributions. These partnerships have provided access to expertise, resources, and networks, amplifying the impact of our work. During 2022/23 we were successful in achieving £770k of grant funding from trusts and foundations.

Our focus for 2023/24 will be building strong relationships with trusts and foundations in order to unlock multi-year funding opportunities. Multi-year funding from trusts and foundation is particularly vital for our growth and sustainability. It allows us to plan for the future with a longer-term perspective, focusing on impactful projects that require sustained investment over time. This stability in funding provides the flexibility to innovate and adapt our strategies as we respond to the evolving needs and challenges for people with visible differences.

Although we did not achieve our fundraising target for 2022/23, we have focused on improving our ability to deliver future income with a particular emphasis on the above three funding streams. Focusing on these will increase our financial sustainability but also diversify our income streams, reducing reliance on any single source of funding.

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2. Raising awareness

A key part of delivering our strategy during 2022/23 was to provide clarity about who we are and what we do as a charity. We conducted a brand audit in the early part of the year to gain a comprehensive understanding of how the organisation was perceived and to identify areas for improvement. The audit involved a thorough examination of our brand, messaging and visual identity. It aimed to uncover any existing barriers that prevented our main audience (people with visible differences) from engaging with Changing Faces, which included the perception that our name alone was not enough to explain what we do. A key recommendation from the audit was that we develop a strapline to add to our name and logo to clarify our purpose.

Working with the agency we created and tested a long list of strapline options with audiences who have a visible difference (both those already engaged with us and those who are not), as well as a small number of new potential donors. These results helped us create a shortlist of three strapline options that were then tested with staff and trustees. The results confirmed the new strapline as ‘Changing Faces – Providing support and promoting respect for everyone with a visible difference’ , chosen as the most effective and representative of Changing Faces’ mission.

Alongside the brand development, we have carried out a number of paid and organic marketing activities to raise awareness of and engagement with Changing Faces. This includes maximising our Google Ad Grant, a programme from Google which gives non-profits $10,000 per month of free search advertising. Across the whole year we had over 510k impressions in search results, driving nearly 30k users to the website, more than 6k conversions (including downloads and service referral form completions), and almost £900 in donations.

In addition to paid search activity our email subscriber list increased from 4,244 to 11,759 largely following the investment in individual giving activity outlined above.

3. Organisational health

Our team and our values

During 2022/23 we worked with our team to develop a new set of values for Changing Faces. We wanted values which would reflect the ambitions and ways of working that we will need to deliver our new strategic goals, but was also informed by the learning and experiences of going through the Covid pandemic and moving to remote and then hybrid ways of working.

Our new values are that we will be Courageous, Open, Supportive and Inclusive . We are now working with the teams to embed the values within our organisation and across our work.

Our team spirit and morale has been tested by the financial challenges we have experienced as an organisation this year. We had to go through a period of organisational change in the latter part of 2022/23 which resulted in some highly valued colleagues leaving. While sadly necessary to maintain our viability as an organisation, we made every effort to implement the changes needed in line with our values and support each other through the process. We are enormously proud that the commitment of the staff team to our clients and beneficiaries, and to each other, meant that our vital work continued smoothly through this period. We would like to thank all staff, those still in the organisation and those who have now left, for their dedication and hard work.

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CRM (Customer Relationship Management) and website

Like most charities, we use a CRM system to manage our data and help make the experience of our supporters and clients as smooth as possible. Building on investment in previous years, we have continued to use data and research to optimise our digital platforms, improving user experience and driving organisational efficiency.

For the website, alongside the development of new condition-specific advice pages and conducting user research to inform new resources for children and young people, other changes have included:

For our Customer Relationship Management (CRM) software, the key changes include:

Tracking achievement of strategic goals, in-year KPIs and evaluation of our impact on beneficiaries

Improving how we monitor and report on our impact and activity has continued to be a priority in 2022/23.

Early in the year we completed the pilot of our new adult impact framework, the Short WarwickEdinburgh Mental Wellbeing Scale (SWEMWBS), across two services – 1-1 counselling and skin camouflage. The pilot tested the delivery method and timing of the impact surveys sent to clients. It also started to generate data which shows a clear improvement in levels of wellbeing before and after a service intervention. During the rest of the year, we took forward the pilot recommendations, including changes to the timing of surveys within the adult 1-1 counselling service, and rolling out SWEMWBS to the Peer Group Chat Service. Increasing response rates is the next priority, particularly within the wellbeing service, where although the scores are positive, they are not statistically significant yet.

Building on the work to implement an adult wellbeing framework, we carried our desk research and user interviews to support the identification of a parallel approach to measuring the impact of our services on the wellbeing of children and young people with a visible difference. This work will

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continue into 2023/24 when we’ll implement a low fidelity pilot to test the hypothesis from the user research that the Outcome Rating Scale (ORS) and Child Outcome Rating Scale (CORS) frameworks will be the most effective framework for those aged under 16.

We also made changes to the specific impact measures used within individual services. For example, we scoped and implemented a move to use the Goal-Based Outcomes within the 1-1 counselling service, replacing the previous Client Outcomes Evaluation (COE) measurement.

Safeguarding

Safeguarding is paramount at Changing Faces, and we have robust policies and procedures which are regularly updated. We have a skilled and experienced internal Safeguarding Team who are available to assess risk and escalate cases as necessary. They meet regularly to review all the safeguarding cases that have been raised and to learn via reflective practice.

All members of the Changing Faces team receive training in accordance with their role in the charity, dictated by their level of contact with vulnerable adults or children and young people.

In 2022/23, there were three incidents requiring external escalation to local safeguarding teams or emergency services, and 21 lower risk safeguarding concerns raised and resolved across the year.

We carried out a thorough internal review of our safeguarding policies and procedures, tested the understanding and practices amongst teams, including an in-depth review of two safeguarding cases.

Premises and ways of working

Having worked fully remotely from March 2020, we took a short-term lease from March to December 2022 for an office base in Camden. We wanted to test new hybrid ways of working and to enable the team to come together in person more frequently.

We found that some teams gained more benefit from working together in person than others. We developed some criteria for a new permanent base which would work mainly as a service hub, with some office working space available around that as needed. Unfortunately, our financial situation means we are not yet able to implement this. From December 2022 we have again been working fully remotely but have been taking advantage of free space from valued partners to enable regular get-togethers as needed by teams.

Equality, diversity and inclusion

As a charity whose mission and vision are to build a fairer and more equal society for everyone, we are absolutely committed to being a fair, open and inclusive organisation delivering services that consider the needs of all members of our community. Our clients and community are welcomed irrespective of faith, race, culture, nationality or sexual orientation. We monitor protected characteristics such as gender, race, disability and age.

People with visible differences can face deep discrimination and challenges because of both their appearance and other protected characteristics such as race, disability and class. Our services and campaigns look to recognise the intersectional challenges and impacts of living with other protected characteristics and visible difference on mental health, wellbeing and discrimination.

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Equality, diversity and inclusion were central to the development of our strategy, and inclusion is one of our organisation’s values. We continue to work hard to embed this across everything we do, whether that is recruitment of staff or campaigners or working to ensure our services are as accessible as possible.

LOOKING AHEAD – PLANS FOR 2023/24

2023/24 is the second year of our five-year strategy. As for many charities, we are seeking to deliver our work against the backdrop of a very challenging economic situation which means our resources are more limited than we expected them to be when we set our strategic goals.

As set out at the start of this report, the need for what we do is clear and pressing, and backed by very strong evidence. Our strategy review showed that:

We will therefore continue to pursue our two strategic goals:

We recognise that due to the economic climate it may take longer to achieve them than we hoped. We are having to reduce the number of skin camouflage and counselling appointments that we are able to offer by around a third. We are seeking funding to be able to return to previous levels and develop new forms of support to broaden our reach, continuing the work started this year. We ran two powerful campaigns early in 2023/24 (on hate crime and on reducing stigma, the latter as part of Face Equality Week 2023) and are now developing a business plan with the generous support of the VTCT Foundation for campaigning activity over 2023-2026 to deliver the second strategic goal, for which we will also be seeking funding. We are continuing to grow our health professional network and will start the development of education resources for health professionals later in 2023/24.

Throughout this challenging time, our focus remains clearly on the difference we are making for individuals living with visible differences now, and the difference we will make for everyone in the longer term by changing attitudes and increasing the understanding and acceptance of visible difference. Our strategic review showed that we can only achieve our goals by working in partnership with others, and we are enormously grateful to everyone working with us to make the difference that is so badly needed.

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FUNDRAISING STATEMENT

Changing Faces remains dedicated to the pursuit of its charitable objectives, aiming to benefit of all people living with visible difference. Our fundraising efforts enable us to provide essential services and advocate for face equality across the UK.

We continue to adhere to the guidance provided by the Fundraising Regulator, and we actively support the Code of Fundraising Practice. We promise to be open, honest, clear, respectful, fair, reasonable, and accountable - these are the cornerstones of our approach.

All Changing Faces staff and volunteers, including the Board of Trustees, are committed to being well informed and proficient in fundraising best practices. We prioritise providing our supporters with accurate and comprehensive information about our work, the responsible management of donations and income, and the secure handling of donor information.

The individuals that we contact via mail are supporters who have given their consent to be contacted by us. We do not engage in purchasing data lists for fundraising purposes and we do not share supporter details with any external parties. We also refrain from soliciting or accepting donations from companies or individuals engaged in activities that could harm the reputation or mission of our charity. The charity received no complaints regarding its fundraising activities in the last twelve months.

Our policies and procedures are compliant with best practice as set out by the Institute of Fundraising, with the best interests of our donors and vulnerable individuals. We never pressure anyone to make a donation and take particular care to avoid soliciting donations from vulnerable individuals.

We take complaints very seriously and conduct thorough investigations taking appropriate disciplinary measures when necessary. If a complaint is deemed serious enough it may result in the removal of a fundraiser from a campaign and/ or the termination of a campaign.

We extend our warmest gratitude to everyone who has supported Changing Faces this year. We are immensely thankful to individuals who have dedicated their time and effort to activities such as running, cycling, baking and more all in support of our work. We are also hugely appreciative of those who have supported us through nominations, campaign sharing and voting.

We would like to express our sincere appreciation to NHS England and a number of Health Boards in Scotland for their continued support throughout the year. Corporate supporters, trusts and foundations have continued to support our work generously. In particular we would like to highlight the support of:

Avon, City Bridge Trust, Corra Foundation, Garfield Weston Foundation, Global's Make Some Noise, the Highway One Trust, Hospital Saturday Fund, FDM Partners, John Ellerman Foundation, The National Lottery Community Fund, Masonic Charitable Foundation, Persula Foundation, the William Grant Foundation, and The VTCT Foundation.

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FINANCIAL REVIEW

2022/23 was a difficult year for many charities with the cost-of-living crisis and inflation at an unprecedented high, driving increased demand and competition for funding. We had ambitious goals for income generation in 2022/23 but unfortunately the charity was not shielded from the external environment and our reforecasts during the year showed that we would fall short of our original income generation targets. This meant we needed to carry out a review of our cost base with some short-term and longer-term reductions put in place in the latter part of the year. Our plans for 2023/24 focus significantly on income diversification and sustainability, with our budget and business plan building our free reserve position to support the essential work of our strategy going forward.

The budget set for 2022/23 included planned investment into our services and income generating activities with an overall deficit of £475k built into the annual plan funded from a designated fund set out specifically for the purposes of this planned investment. The eventual deficit of £945k incurred in 2022/23 was primarily funded (£894k) out of this designated fund with the balance funded by our free reserves. The aim of our stated reserves policy is six months of operating expenditure, but as a result of the higher deficit we ended 2022/23 with free reserves of 3-4 months. Our budget and business plans for 2023/24 are therefore focused on income diversification and sustainability, as well as lower operating costs. We have carried out extensive stress testing and are confident in the resilience of our plan to build our free reserve position back towards six months so we can continue to support the essential work of our strategy going forward.

Compared to prior year overall income was aligned at £1,239k versus £1,238k in 2021/22 and a budget of £1,905k. The key reasons for the variance against budget were:

  1. A difficult economic environment, with the cost-of-living crisis and increased competition for funds resulting in lower gifts and donations in 2022/23.

  2. This was offset to an extent by an increase in our success with trust and grants year on year, however unfortunately growth in this area was also limited due to the external environment.

Expenditure at £2,184k, reflected the planned and continued additional investment in service delivery staff, digital capability, and income generation. We also had a short-term office lease from March-December 2022 in Mandela Street London NW1.

2022/23 summary

Income remained static in 2022/23:

Income
Gross income
Legacies
Income from trusts and grants
Other donations
Income from fundraising activity
Charitable activities
Investment income
Gross income from operating
activities		 2023
2022
£’000
£’000
132
129
770
734
140
208
38
23
159
144
-
-
1,239
1,238

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REPORT OF THE TRUSTEES for the year ended 31st March 2023

Gross income from operations in 2022/23 was largely aligned with 2021/22 although we saw some movements across our key categories of income.

There are two key movements to highlight:

Income from charitable activities comprises principally of skin camouflage services provided by Changing Faces to clients in England and Scotland. These services are largely paid for by NHS bodies under a mix of service level agreements (“SLAs”), contracts, and as non-contracted activity (NCA). The increase seen in 2022/23 was primarily due to an increase in volume, we are paid per appointment and so this increase directly impacted our income position.

Expenditure
Services and Innovation
Championing the Voice
Scotland Office
Costs of income generation
Total		 2023
2022
£’000
£’000
1,158
1,040
325
379
207
151
494
357
2,184
1,927

Services and Innovation comprises the charity’s work directly with people living with visible difference and includes one to one psychosocial and skin camouflage services, as well as digital services, digital resources, education, and training. Championing the voice comprises communications and campaigns.

Total costs in 2022/23 were £257k (13%) higher than in 2021/22. This was in line with our planned investment to support our 5-year strategy through growth in our income generation and services. Further investment was planned for the year however we were required to slow this down in order to match our level of income receipts.

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Result

Changing Faces reported a deficit of £945k at the operating level in 2022/23 compared to an operating deficit of £689k in 2021/22.

Income
Costs
Total reported (deficit) / surplus		 2023
2022
£’000
£’000
1,239
1,238
2,184
1,927
(945)
(689)

Reserves

All charities are required to ensure that the amount they hold in reserves is appropriate for the charity’s size and the nature of its activities. Changing Faces’ policy is to hold free reserves calculated at six months of relevant unrestricted operational expenditure.

Reserves

Reserves
Restricted reserves
Designated reserves
Free reserves
Unrestricted reserves		 2023
2022
£’000
£’000
246
277
-
894
283
303
283 1,197
529
1,474

Restricted reserves

At 31 March 2023, restricted reserves totalled £246k (2022: £277k). Restricted reserves are those funds which represent donations and grants received which are to be spent on a specific activity. These funds are ring-fenced, and costs are allocated against the funds by reference to the funders’ expressed purposes.

Unrestricted reserves

Designated reserves

At 31 March 2023, designated reserves totalled nil (2022: £894k). These designated reserves were allocated by the trustees for investment in infrastructure (e.g. office property) and operational growth (rebuilding services after the pandemic). A transfer from these reserves into our free reserves (£743k) was required to support our ongoing services following a difficult year for income generation, at the end of 2022/23 these designated reserves were fully spent.

Unrestricted reserves: free reserves

At 31 March 2023, free reserves totalled £283k (2022: £303k).

The Trustees have calculated the level of free reserves which are needed to allow the charity to meet its commitments to its clients, staff and other stakeholders, to manage the implications of a period of a shortfall in income or unexpectedly high costs.

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In estimating the level of free reserves, the Trustees have had regard to Charity Commission Guidance on the level of appropriate reserves to ensure sustainability of service delivery. The Trustees have determined that Changing Faces should target six months cover of recurrent operating costs, with consideration given to the treatment of those costs covered by restricted funds and the cost of closure.

Recurrent operating costs are calculated by adjusting the actual level of costs incurred to remove the elements covered by restricted funding, the exceptional costs relating to the restructuring and additional costs which are considered to imply no long-term financial commitment, for example consultancy costs. Reserves levels rise and fall depending on circumstances, and the six-month unrestricted running costs, following the review of our expenditure and restructure, currently amounts to £340k. For reporting this has been rounded up to £400k for additional caution in the Board’s monitoring of the financial position. Following a transfer of £743k from designated reserves our free reserves at the year-end were £283k. This amounts to between 4 and 5 months of free reserves. Our policy outlines that when free reserves are below six months, Changing Faces will ensure that it can confidently forecast that reserves will come back to the 6 months level. Therefore, Changing Faces has carried out extensive forecasting and stress testing, in order to set the Budget for 2023/24, which has the key aim of building our reserves back to the 6-month level. This has been presented and approved by the Board.

The Trustees will continue to carefully monitor the charity’s results in light of the budget and the reserves position and will take any action needed if they identify any significant risk to the charity’s financial position or its ability to support its core activities.

Investments

The priority in Changing Faces investment policy is to preserve capital, and a low-risk investment policy has been adopted. After assessing the risks of different investment groups, Changing Faces has limited its investments to fixed term deposits of between three and six months, and notice deposits of a similar term, placed with financial institutions with a high credit rating. During 2022/23 due to the low interest rates and as Changing Faces had planned spend from designated reserves there were no deposits placed.

Principal risks and uncertainties

The Board of Trustees has overall responsibility for risk management at Changing Faces. It is responsible for establishing the charity’s risk appetite, ensuring that major risks are identified and approving appropriate procedures to detect, prevent and manage major risks. Changing Faces’ risk management programmes are designed to mitigate risks appropriately, rather than to eliminate all risk.

The Audit and Risk Committee has the power to investigate and manage risk on behalf of the Board, and reports to the Board on strategic risks and risk management. The Finance Committee reviews management accounts and financial performance and provides assurance to the Board.

The principal tools used by Changing Faces to mitigate risks are:

1. Risk register . The Leadership Team manages a risk register which is regularly reviewed by the Audit and Risk Committee. Risks are assessed as to the likelihood of their occurring and the impact if they were to occur, giving a “raw” risk rating. Mitigations and future actions are defined, and the risk rating is then recalculated, to ensure that it remains within the Board of Trustees’ stated risk appetite.

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2. Performance indicators . We monitor performance through the use of key performance indicators and strategic milestones, which are reported to the Board quarterly, with differences to expectations thoroughly analysed.

3. Planning and budgeting . We produce budgets annually, monitor variances monthly, and reforecast expected results quarterly. The Finance Committee reviews monthly management accounts and reserves levels, and reports to the Board of Trustees.

The major risks identified by Changing Faces are:

Risk Management
Pandemic impact on the charity:
New forms of COVID emerge
requiring the reintroduction of
restrictions. This could reduce the
charity’s ability to offer face to face
services for an extended period,
reduce demand due to infection
concerns.		 •Ongoing options evaluations for all face-to-face services
•Delay of decision around longer-term property investment
•Maintain our capability for working from home and avoid
overdependence on a physical office
•Continued investment in digital capability and capacity
•Maintain flexibility on skin camouflage, including ability to offer
online appointments.
Inflation, economic uncertainty,
and external shocks
Cost base increases due to
inflationary pressures, market
uncertainty, and cost of living crisis.
Reduced ability to deliver strategy
as income going on higher cost
base rather than extra activity.
Potential impact on our ability to be
inclusive due to ability to cover
costs such as travel.		 •Careful management of costs, including tendering for major
contracts and negotiation on fees
•Approval process
•Regular review of management accounts to identify unexpected
cost increases
•Inflation costs built into funding bids and annual budgets
•Quarterly reforecasting to capture any identified cost increases
and expected economic changes.
Finance:The charity is reliant on
voluntary income to support its
activities. There is a risk that our
income plans do not deliver as
expected. Increased competition
and cost of living pressures could
mean that we fail to reach our
targets, leading to the loss of
liquidity and inability to meet our
commitments and free reserves
falling to unacceptable levels.
Inability to recruit to key fundraising
posts or loss of key staff. Poor
financial controls could lead to error
or fraud.		 •Diversification of income streams, especially individual giving and
major donors
•Investment in strong and effective fundraising team
•Relationship management with donors and funders
•Robust process for setting budgets, aligned to the strategic plan
•Scrutiny of and challenge to budgets by Trustees
•Monthly monitoring of budgets and budget variances
•Quarterly reforecast of expectations and monthly reforecast of
income pipelines
•Robust reserves policy
•Risk averse investment policy
•Scrutiny of results and projections by the Finance Committee
•Oversight by the Audit and Risk Committee of the processes
Governance:Lack of strategic
clarity and failure to ensure impact
could harm the charity’s ability to
achieve its charitable objectives.
Loss of staff who are critical to
delivering the strategy and general
low morale across the organisation
could result in low motivation and		 •Reporting on KPIs and key milestones
•Reporting on budget
•Investment in data and impact management tools and knowhow
•Implementation of strategic plan
•Involvement of people with lived experience of visible difference
•Emphasis on training and development for staff
•Building strong and effective culture and values
•Quarterlystaff surveys

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Risk Management
productivity, and strategic
opportunities may be missed.		 •Exit interviews and feedback
•Emphasis on flexible ways of working
Compliance:Failure to comply
with legal and regulatory
requirements could result in fines
and reputational damage. Cyber
security incidents resulting in a loss
of data.		 •Key legal and regulatory requirements identified
•Serious incident reporting policy in place
•Safeguarding action plan, policies, and training
•Mandatory data protection training framework
•GDPR compliant data mapping tool (Information Asset Register)
employed and reviewed annually as a minimum
•DBS check framework in place
•Access to specialist Legal and HR services to support decision-
making
•Cyber Essentials Plus certification obtained annually to check
vulnerabilityof our internal systems
Operational:Service provision and
development may not be aligned to
beneficiaries’ needs and desires.
Our existing and new services may
be inaccessible to some
beneficiaries due to digital
exclusion (for example).		 •Robust clinical governance and extensive safeguarding processes
underpin services
•Multi-year investment in digital capability to build a digital culture
and develop digital products
•Service development based upon user research and consciously
takes account of access issues
Active consideration given to how support needs can be met even
if we are not always the rightpeople to meet them.
Environmental and External:
Communications and brand
positioning may fail to maintain a
strong reputation and the
confidence of stakeholders and
funders.		 •Building a clear brand
•Consistent and skilled communications team
•Meticulous reporting to funders
•Due diligence when considering new projects
•Development of key messages
•Reputation management

28

CHANGING FACES

REPORT OF THE TRUSTEES for the year ended 31st March 2023

GOVERNANCE

Legal structure

Changing Faces is a company registered in England and Wales, limited by guarantee, with registered number 02710440. It is a registered charity in England and Wales (Charity number 1011222), and in Scotland (Charity number SC039725).

Public benefit

The Trustees believe the charity has fully met the requirement to provide benefit to the public and have paid due regard to Charity Commission guidance on this matter. Changing Faces’ services are widely publicised and available to everyone in the UK who would benefit, free of any cost.

Board of Trustees

The Board of Trustees is responsible for managing the activity of the charity. It was composed of 12 Trustees at 31 March 2023, with a wide range of skills and experience including professional and clinical expertise.

The Board meets four times per year to regularly review and direct Changing Faces’ strategy, budget, and performance. Certain matters are reserved for Board approval, including changes to strategy and budget. The Board also meets for an annual away day to review and discuss strategic proposals in more depth.

Appointments to the Board of Trustees are managed by Trustees. Trustees are recruited through a process of advertisement, application, and interview. Selection is based on set criteria to ensure a broad range of skills and experience. New Trustees are provided with a formal induction programme incorporating the opportunity to meet key staff, and an induction pack of documentation including the charity’s constitution, recent Annual Reports and Accounts, recent Board minutes and the current Strategic Plan. Opportunities for training are offered to Trustees, and budget is provided for this purpose.

The Board maintains control over all strategic and policy decisions, including the approval of budgets, risk management and governance arrangements. It delegates some of its responsibilities to three Board committees, which make recommendations to the Board within their terms of reference:

From February 2023 to April 2023 the Board also tasked a short-term Strategic Options SubCommittee with reviewing options for the future direction of Changing Faces given our projected income shortfall.

Day to day management is delegated to the Chief Executive and the Leadership Team.

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CHANGING FACES

REPORT OF THE TRUSTEES for the year ended 31st March 2023

Management remuneration

Changing Faces seeks to set its salary levels for all paid staff, including management, by reference to market rates, within the context of voluntary sector organisations of a similar size. A benchmarking project was completed in June 2018; all staff roles were re-evaluated at the same time and transferred to the new pay and staffing structure. The pay policy describes how salaries are set and defines the salary structure for all staff within the organisation. During the year ended 31 March 2023, key management were defined as the CEO, the Director of Fundraising and Communications, the Director of Transformation and the Director of Finance and Resources.

30

CHANGING FACES

REPORT OF THE TRUSTEES for the year ended 31st March 2023

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The Trustees (who are also the directors of Changing Faces for the purposes of company law) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements the Trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time of the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

So far as each of the Trustees is aware at the time the report is approved:

As Directors we also confirm that we have made all necessary enquiries and taken such steps that we ought to, to ensure that we become aware of any relevant audit information and that we confirm that the charitable company’s auditors have been made aware of such information.

By Order of the Board

David Clayton Chair of Trustees

Date: 31[st] October 2023

31

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF CHANGING FACES

Opinion

We have audited the financial statements of Changing Faces for the year-ended 31 March 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, 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 Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

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 compan y 's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Report of the Trustees and the Chair’s Introduction. 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.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude

32

CHANGING FACES

REPORT OF THE TRUSTEES for the year ended 31st March 2023

that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees (which incorporates the directors’ report).

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charity Accounts (Scotland) Regulations (as amended) require us to report to you if, in our opinion:

Responsibilities of trustees for the financial statements

As explained more fully in the trustees’ responsibilities statement set out on page 31 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.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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:

33

CHANGING FACES

REPORT OF THE TRUSTEES for the year ended 31st March 2023

Based on our understanding of the charitable company and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to the requirement relevant to registered charities, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as include the Companies Act 2006 and the Charities Act 2011, and we considered other factors such as income tax, payroll tax and sales tax.

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to manual journals. Audit procedures performed by the engagement team included:

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 auditor’s report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Lee Stokes (Senior Statutory Auditor) For and on behalf of Haysmacintyre LLP, Statutory Auditors

10 Queen Street Place London EC4R 1AG

Date: 5 December 2023

34

CHANGING FACES

REPORT OF THE TRUSTEES for the year ended 31st March 2023

CHANGING FACES Company limited by guarantee Registered Company No: 02710440

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023 (Incorporating an Income and Expenditure account and Statement of Total Recognised Gains and Losses)

Note
Income from
Donations and legacies
Charitable activities
Investments
Total
3
Expenditure on
Raising funds
Charitable activities
Total
4
Net (expenditure) / income
Transfers between funds
10
Net movement in funds
10
Reconciliation of funds
10
Total funds brought forward
Total funds carried forward		 Unrestricted
Funds
Restricted
Funds
Total
Funds
2023
Total
Funds
2022
£
£
£
£
473,292
606,279
1,079,571
1,093,278
159,416
-
159,416
144,370
-
-
-
364
632,708
606,279
1,238,987
1,238,012
493,017
1,040
494,057
356,723
1,054,178
635,768
1,689,946
1,569,818
1,547,195
636,808
2,184,003
1,926,541
(914,487)
(30,529)
(945,016)
(688,529)
-
-
-
-
(914,487)
(30,529)
(945,016)
(688,529)
1,197,448
276,588
1,474,036
2,162,565
282,961
246,059
529,020
1,474,036

All of the charity’s activities are continuing. There were no gains or losses other than those shown above. The accompanying notes form part of these financial statements.

35

CHANGING FACES

REPORT OF THE TRUSTEES for the year ended 31st March 2023

CHANGING FACES Company limited by guarantee Registered Company No: 02710440

BALANCE SHEET AT 31 MARCH 2023

Note
Fixed assets
Tangible assets
7
Total fixed assets
Current assets
Debtors and prepayments
8
Cash at bank and in hand
Total current assets
Liabilities
Creditors: amounts falling
due within one year
9
Net current assets
Total net assets
Restricted income funds
Unrestricted funds:
Designated funds
Free reserves
Total funds
10		 2023
2022
£
£
12,528
13,899
277,258
154,075
403,471 1,430,131
680,729 1,584,206
(164,237)
(124,069)
516,492 1,460,137
529,020 1,474,036
246,059
276,588
-
894,483
282,961
302,965
282,961 1,197,448

529,020 1,474,036

The accompanying notes form part of these financial statements.

The financial statements were approved by the Board of Trustees and authorised for issue on and signed on their behalf by:

David Clayton Chair of Trustees

Date: 31[st] October 2023

36

CHANGING FACES

REPORT OF THE TRUSTEES for the year ended 31st March 2023

CHANGING FACES
Company limited by guarantee Registered Company No: 02710440
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2023
2023 2022
£ £
Cash Flows from operating activities:
Net cash provided by/ (used in) operating activities (see below) (1,019,426) (665,716)
Cash flows from investing activities:
Bank interest received - 364
Payments to acquire tangible fixed assets (7,234) (5,968)
Net cash provided by/ (used in) investing activities (7,234) (5,604)
Change in cash and cash equivalents in the reporting period (1,026,660) (671,320)
Cash and cash equivalents at the beginning of the reporting period
1,430,131 2,101,451
Cash and cash equivalents at the end of the reporting period 403,471 1,430,131
Reconciliation of net income/(expenditure) to net cash flow from 2023 2022
operating activities £ £
Net income / (expenditure) for the year (945,016) (688,529)
Adjustments for:
Depreciation charges 7,693 6,899
Loss on disposal of fixed assets 912 -
Bank interest received - (364)
Decrease/(Increase) in debtors and prepayments (123,183) 129,707
(Decrease)/increase in creditors 40,168 (113,429)
Net cash used in operating activities (1,019,426) (665,716)
Analysis of cash and cash equivalents 2023 2022
£ £
Cash at bank and in hand 403,471 1,430,131

37

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

NOTES TO THE FINANCIAL STATEMENTS

1. ACCOUNTING POLICIES

Basis of Preparation

The financial statements have been prepared in accordance with the Statement of Recommended Practice for Charities (SORP 2015) (Second Edition effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Changing Faces 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 notes.

Going Concern

No material uncertainties that may cast significant doubt about the ability of the charity to continue as a going concern have been identified by the Trustees and therefore these accounts have been prepared on a going concern basis.

Cashflow forecasts have been prepared, reflecting several different scenarios for 2023/24 and 2024/25 using a risk averse basis. Trustees have examined these cashflow forecasts and are confident that Changing Faces has the financial resources to continue operating for the foreseeable future.

Income

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

Legacy income is recognised when it is probable it will be received. Pecuniary legacies are recognised when probate is granted. Residuary legacies are recognised when either probate has been granted, or the estate has been finalised or notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate.

Grants

Grants are accounted for as income when they are receivable. Where the grant making body specifies that amounts given should be utilised in a future accounting period, the income is deferred to that period. If certain conditions have to be fulfilled before the charity becomes entitled to the use of the grant, then the income is deferred until such conditions have been met.

Donated Assets

Donated assets are capitalised at a value equivalent to market value as at the date of donation.

Expenditure

Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category.

Raising funds are those costs incurred to raise donations and legacies and costs of trading activities. Charitable activities relates to costs incurred in delivering the charity’s activities and services to its beneficiaries. Governance costs are those associated with incurred in meeting the

38

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

constitutional and statutory requirements and is now apportioned on the same basis as support costs.

Cost Apportionment

A proportion of staff and indirect costs are attributed to activities on the following bases: Staff - actual costs or level of activity engaged by staff Indirect costs - level of activity engaged by staff

Leases

Rentals under operating leases are charged to the income and expenditure account as incurred.

Depreciation of Tangible Fixed Assets

Depreciation is provided on all tangible fixed assets so as to write them off over their anticipated useful lives at the following annual rates on a straight-line basis:

Office equipment -25%
Office furniture -20%
Computer equipment -25%

Additions to fixed assets costing less than £500, and those acquired from restricted income funds are written off in the year.

Pensions

The company operates a defined contribution pension scheme on behalf of its staff. Contributions are charged to the statement of financial activities as they become payable in accordance with the rules of the scheme.

Employee benefits

Short term benefits: Short term benefits including holiday pay are recognised as an expense in the period in which the service is received.

Employee termination benefits: Termination benefits are accounted for on an accrual basis and in line with FRS 102.

Accounting estimates and judgements

In preparing the financial statements, the Trustees are required to make estimates and judgements. The matters below are considered to be the most important in understanding the judgements made and the uncertainties that could impact the amounts reported in the financial statements.

Legacy income

Legacy income requires judgement about the probability of receipt which affects the timing of income recognition. Legacy income is recognised when the Charity has established entitlement to a legacy, when the receipt of the legacy is probable and when the amount due can be estimated with sufficient accuracy.

Cost allocation

Support costs are allocated to charitable activities. Judgement is required in determining and applying the basis appropriate for each support activity.

39

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

Bad debt provision

The valuation of debtors is based on judgements about the probability of receipt of the amounts invoiced.

Valuation of assets and liabilities

Stocks

Stocks are valued at the lower of cost and net realisable value.

Debtors

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

Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Fund Accounting

Restricted Funds: The purpose and use of restricted funds are imposed by the donor or by the specific terms of the charity appeal.

Designated Funds: these funds have been allocated by the Trustees for anticipated use on specific projects.

Unrestricted Funds: These are funds available for use at the discretion of the Trustees in furtherance of the objectives of the charity.

Taxation

No provision has been made for taxation as the company's charitable status renders it exempt from UK direct taxation.

2. STATUS

The company is limited by guarantee and has no share capital. The liability of members in the event of a winding up is limited to £1. The members are the Trustees of the charity.

40

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

3: INCOME ANALYSIS

Legacies
Income from trusts and grants
Other donations
Income from fundraising activity
Charitable activities
Investment income
Total		 2023
2023
2023
2022
Unrestricted
Restricted
Total
£
£
£
£
132,196
-
132,196
129,397
163,978
606,279
770,257
733,720
139,555
-
139,555
207,619
37,563
-
37,563
22,542
159,416
-
159,416
144,370
-
-
-
364
632,708
606,279 1,238,987
1,238,012

Income from charitable activities comprises principally of skin camouflage services provided by Changing Faces to clients in England and Scotland. These services are part funded by NHS bodies under a mix of service level agreements (“SLAs”), contracts, and as non-contracted activity (NCA).

41

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

4A: ANALYSIS OF TOTAL EXPENDITURE

CHARITABLE ACTIVITIES
Services and Innovation
Wellbeing
Skin camouflage services
Education
Championing the Voice
Communications
Scotland
Cost of raising funds
Fundraising costs
Total		 2023
2023
2023
2022
Unrestricted
Restricted
Total
Total
£
£
£
£
250,995
419,348
670,343
588,075
293,811
90,856
384,667
354,008
100,334
2,802
103,136
98,208
645,140
513,006
1,158,146
1,040,291
294,463
30,724
325,187 378,879
114,575
92,038
206,613
150,648
1,054,178
635,768
1,689,946
1,569,818
493,017
1,040
494,057
356,723
1,547,195
636,808
2,184,003
1,926,541

42

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

4B DIRECT AND SUPPORT COSTS

Charitable activities
Changing lives
Wellbeing
Skin camouflage services
Education
Changing Minds
Communications
Scotland office
Cost of raising funds
Fundraising costs		 2023
2023
2023
2022
Direct
costs
Support
costs
Total
Total
£
£
£
£
558,609
111,734
670,343
588,075
325,845 58,822
384,667
354,008
86,893 16,243
103,136
98,208
971,347 186,799
1,158,146
1,040,291
275,414 49,773
325,187
378,879
171,119 35,494
206,613
150,648
1,417,880 272,066
1,689,946
1,569,818
422,625 71,432
494,057
356,723
1,840,505 343,498
2,184,003 1,926,541

43

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

4C
SUPPORT		 COSTS
2023 2023 2023 2023 2023 2022
Staff and
Premises Office volunteer
costs costs costs Depreciation Total Total
£ £ £ £
Charitable
activities
Changing lives
Wellbeing 20,520 59,271 29,441
2,502		 111,734 70,215
Skin camouflage
services 10,802 31,204 15,499
1,317		 58,822 18,555
Education 2,983 8,616 4,280
364		 16,243 9,914
Changing
Minds
Communications 9,141 26,402 13,115
1,115		 49,773 24,485
Scotland office 6,518 18,829 9,352
795		 35,494 7,094
Cost of raising
funds
Fundraising costs 13,118 37,892 18,822
1,600		 71,432 27,197
63,082 182,214 90,509
7,693		 343,498 213,400
5
The result for the year is stated
after charging:
Auditor’s remuneration
-
Audit
-
Non audit
Depreciation of fixed assets
Operating Leases		 NET MOVEMENT IN FUNDS
2023
2022
£
£
17,250
11,750
4,570
9,500
7,693
6,899
-
236

44

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

6. EMPLOYEES

Total remuneration

Total remuneration
Wages and salaries
Social security costs
Pension costs
Redundancy costs		 2023
2022
£
£
1,212,731
1,069,411
130,240
110,656
68,580
68,870
19,284
-
1,430,835
1,248,937

Average number of employees

The average number of people (full time equivalent) employed by the company during the year was as follows:

Wellbeing
Skin camouflage
Education
Communications
Scotland Office
Administration
Fundraising		 2023
2022
FTE
FTE
8
7
5
5
1
1
3
2
2
2
7
6
4
4
30
27

The average number of staff employed during the year was as follows:

2023 2022
Number Number
58 48

Remuneration of higher paid staff

The number of employees whose emoluments exceeded £60,000 per annum was:

2023 2022
£60,000 - £70,000 1 1
£70,000 - £80,000 - 1
£80,000 - £90,000 1 -
£90,000- £100,000 - -
£100,000-£110,000 - -

45

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

Remuneration of key management personnel

Total remuneration of key management personnel for the year, including employer pension contributions and employer National Insurance contributions was £300,281 (2022: £247,526). Key management personnel are the charity’s leadership team, comprising the CEO, the Director of Fundraising and Communications, the Director of Transformation and the Director of Finance and Resources.

Key management employer pension contributions amounted to £15,500 (2022: £12,565)

Board of Trustees members’ expenses

None of the Trustees received any remuneration in the year (2022:nil). Trustees received reimbursement of expenses during the year of £1,858 (2022: £nil). The charity maintains liability insurance covering members of the Board of Trustees in their capacity as directors.

7. TANGIBLE ASSETS

COST
At 1stApril 2022
Additions
Disposals
At 31stMarch 2023
DEPRECIATION
At 1st April 2022
Charge for the year
Disposals
At 31stMarch 2023
NET BOOK VALUE
At 31stMarch 2023
At 31stMarch 2022		 Computer
Equipment
Total
£
£
30,548
30,548
7,234
7,234
(1,578) (1,578)
36,204
36,204
16,649
16,649
7,693
7,693
(666)
(666)
23,676
23,676
12,528
12,528
13,899
13,899

46

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

8: DEBTORS

8: DEBTORS
2023 2022
£ £
Trade debtors 100,052 55,696
Prepayments and accrued income 176,988 76,826
Other debtors 218 21,553
277,258 154,075
9: CREDITORS: Amounts due within one year
2023 2022
£ £
Trade creditors 28,840 55,661
Accruals and deferred income 83,593 28,882
Employer pension contributions 9,627 9,456
Other taxes and social security 33,333 30,070
Other creditors 8,844 -
164,237 124,069
10: FUNDS
Balance at 1stApril 2022
Net income/(expenditure)
Balance at 31stMarch 2023
Analysis of net assets between
funds
Tangible fixed assets
Net current assets		 Unrestricted funds
Restricted funds
Total
£
£
£
1,197,448
276,588
1,474,036
(914,487)
(30,529)
(945,016)
282,961
246,059
529,020
12,528
-
12,528
270,433
246,059
516,492
282,961
246,059
529,020

47

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

The restricted funds of the charity comprise:

Scotland Youth Engagement
Support for Communications and Campaigning
Support for adults with a visible difference
Support for children and young people with a
visible difference
Support for adults, children, and young people
with a visible difference, Scotland
Counselling support, new ways of working
Rebuilding skin camouflage service, London
Rebuilding skin camouflage service, Scotland
Skin camouflage service
Skin camouflage service, Scotland
Support for Education and resources
Furniture, fixtures and fittings for our premises
Wellbeing and counselling service
Support for Wellbeing services and
communications and campaigning
Wellbeing support for children and young
people		 At 1
April
2022
Income Expenditure
At 31
March
2023
£
£
£
£
5,000
9,816
(14,816)
-
-
60,000
(30,000)
30,000
28,408
5,000
(31,325)
2,083
50,000
4,000
(51,333)
2,667
-
2,000
(1,000)
1,000
102,536
-
(102,536)
-
10,189
47,672
(50,574)
7,287
51,578
39,672
(61,496)
29,754
-
59,800
(26,775)
33,025
-
16,043
(14,210)
1,833
-
10,262
(2,565)
7,697
-
5,000
(5,000)
-
12,651
154,850
(87,126)
80,375
-
166,519
(130,540)
35,979
16,226
25,645
(27,512)
14,359
276,588 606,279
(636,808)
246,059

Restricted funds

Scotland Youth Engagement is a multi-year project to support children and young people campaigning for face equality in Scotland.

Support for Communications and Campaigning is a grant funding the production of our latest Campaigning business plan.

Support for adults with a visible difference is a grant funding our psychosocial support practitioners.

Support for children and young people with a visible difference are grants supporting our Wellbeing and Skin Camouflage Services.

Support for adults, children and young people with a visible difference, Scotland, are grants provided to support our services in Scotland.

48

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

Counselling support, new ways of working is a grant to develop and embed new approaches to supporting people with visible differences.

Rebuilding skin camouflage service is a grant funding the work to set up skin camouflage clinics, both face to face and digital, after the pandemic in London.

Rebuilding skin camouflage service, Scotland is a grant funding the work to set up skin camouflage clinics, both face to face and digital, after the pandemic in Scotland.

Skin Camouflage service are grants supporting the work of our Skin Camouflage Service.

Skin Camouflage service are grants supporting the work of our Skin Camouflage Service in Scotland.

Support for Education and resources is a grant supporting our Head of Education.

Furniture, fixtures, and fittings for our premises is a grant towards the fittings of our premises.

Support for Wellbeing services and communications and campaigning is a multi-year grant to support provision of wellbeing services including online peer support, and to develop online spaces to connect in the media, plus campaigning and media opportunities.

Wellbeing and counselling service are grants funding 121 support and workshops for adults and children and young people with a visible difference.

Wellbeing and support for children and young people is a grant funding psychological and emotional support to children and young people with a visible difference.

The unrestricted funds of the charity comprise:

Designated funds
Free reserves		 At 1 April
2022
Income
Expenditure
Transfers
At 31 March
2023
£
£
£
£
£
894,483
-
(151,575)
(742,908)
-
302,965
632,708
(1,395,620)
742,908
282,961
1,197,448
632,708
(1,547,195)
-
282,961

Unrestricted reserves: designated reserves

The Trustees approved investment from the designated fund towards investments in the necessary infrastructure to support Changing Faces’ operations. The designated funds were fully utilised within the year.

11: PENSIONS

The company operates a defined contribution scheme in respect of salaried employees.

49

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

Contributions are charged in the accounts as incurred and there were no outstanding or proposed contributions as at the balance sheet date. Pension costs charged in the year were £119,265 (2022: £117,390).

12: RELATED PARTY TRANSACTIONS

No payments were made to related parties in the current or preceding year.

2022 COMPARATIVES

13: INCOME ANALYSIS 2022

Legacies
Income from trusts and grants
Other donations
Income from fundraising activity
Charitable activities
Investment income
Total		 2022
2022
2022
Unrestricted
Restricted
Total
£
£
£
129,397
-
129,397
263,080
470,640
733,720
207,619
-
207,619
22,542
-
22,542
144,370
-
144,370
364
-
364
767,372
470,640
1,238,012

14: INCOME FROM CHARITABLE ACTIVITIES 2022

2022 2022 2022
Unrestricted Restricted Total
£ £ £
Skin camouflage services 144,370 - 144,370
Total 144,370 - 144,370

50

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

2022 COMPARATIVES (Continued)

15: ANALYSIS OF TOTAL EXPENDITURE 2022
Charitable activities
Services and Innovation
Wellbeing
Skin camouflage services
Education
Championing the Voice
Communications
Scotland Office
Cost of raising funds
Fundraising costs
Total		 2022
2022
2022
Unrestricted
Restricted
Total
£
£
£
256,273
331,802
588,075
314,765
39,243
354,008
80,410
17,798
98,208
651,448
388,843
1,040,291
378,879
-
378,879
378,879
-
378,879
23,160
127,488
150,648
1,053,487
516,331
1,569,818
356,723
-
356,723
1,410,210
516,331
1,926,541

51

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

16: DIRECT AND SUPPORT COSTS 2022

Charitable activities
Changing lives
Wellbeing
Skin camouflage services
Education
Changing Minds
Communications
Scotland office
Cost of raising funds
Fundraising costs
Total		 2022
2022
2022
Direct costs
Support costs
Total
£
£
£
517,860
70,215
588,075
321,694
32,314
354,008
88,294
9,914
98,208
927,848
112,443
1,040,291
336,771
42,108
378,789
336,771
42,108
378,879
133,275
17,373
150,648
1,397,894
171,924
1,569,818
315,247
41,476
356,723
1,713,141
213,400
1,926,541

52

CHANGING FACES

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31st March 2023

17: SUPPORT COST ALLOCATION 2022

2022 2022 2022 2022 2022
Premises Office Staff and
costs costs volunteer costs Depreciation Total
£ £ £ £ £
Charitable activities
Changing
lives
Wellbeing 3,320 41,852 22,773
2,270		 70,215
Skin camouflage 1,528 19,261 10,480
1,045		 32,314
services
Education 469 5,909 3,216
320		 9,914
Changing
Minds
Communications 1,991 25,099 13,657
1,361		 42,108
Scotland Office 822 10,354 5,635
562		 17,373
Cost of raising funds
Fundraising costs 1,962 24,721 13,452
1,341		 41,476
Total 10,092 127,196 69,213
6,899		 213,400

Support costs are allocated on a per capita basis, relating to the average WTE staff employed in each activity, taking into account the contribution of self-employed contractors.

18: FUNDS 2022

Balance at 1st April 2021
Net income/(expenditure)
Balance at 31st March 2022
Analysis of net assets between
Tangible fixed assets
Net current assets		 Unrestricted
funds
Restricted
funds
Total
£
£
£
1,840,286
322,279
2,162,565
(642,838)
(45,691)
(688,529)
1,197,448
276,588
1,474,036
funds
13,899
13,899
1,183,549
276,588
1,460,137
1,197,448
276,588
1,474,036

53

ADMINISTRATIVE DETAILS

Address

Registered Office: Changing Faces, The Circle, 33 Rockingham Lane, Sheffield, S1 4FW Postal address: Changing Faces, The Circle, 33 Rockingham Lane, Sheffield, S1 4FW Website: www.changingfaces.org.uk

Trustees

The following Trustees served between 1st April 2022 and 31 March 2023

David Clayton (Chairman) ** *** Elissa Holme * ** (Hon Treasurer) Susan Harrison * *** (Chair of the Audit and Risk Committee, Deputy Chair) Bridget Gardiner ** *** (Company Secretary) John Ashcroft Tiwonge Chipeta Monica Gizzi * Helen Gravestock Emma Howard Victoria Hunt Farhana Kapasi *** (resigned February 2023) Nicholas Lee Andrew Thompson

Members of Board Committees:

Patrons

Sir Christopher Benson Rory Bremner Michelle Dockery Lord Fellowes of West Stafford Jan Ravens Fiona Squire Benjamin Zephaniah

Solicitors

Stone King LLP, Boundary House, 91 Charterhouse Street, London EC1M 6HR

Auditor

Haysmacintyre LLP, 10 Queen Street Place, London EC4R 1AG

Bankers

Lloyds Bank plc, Law Courts, PO Box 1000, BX1 1LT

54