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2025-03-31-accounts

Registered Number: 02563094 Charity Number: 288125

POSITIVE STEPS OLDHAM TRUSTEES’ REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

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POSITIVE STEPS

TABLE OF CONTENTS

TABLE OF CONTENTS
Page
Charity Information 1
Structure, Governance and Management 3
Objectives and Activities 4
Achievements and Performance 7
Financial Review 10
Plans for the Future 11
Principal Risks and Uncertainties 13
Statement to the Auditors 14
Independent Auditors Report 15
Statement of Financial Activities 19
Balance Sheet 20
Cashflow Statement 21
Notes to Financial Statements 22

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CHARITY INFORMATION

The trustees/directors of Positive Steps Oldham (referred to as Positive Steps [PS] (the trading name), for the remainder of this report) present their fourteenth Annual Report together with the financial statements. Included in this report is the directors report for the purposes of company law. The directors or members of the board of the charitable company (the charity) are its trustees for the purpose of charity law. This report collectively refers to them as the ‘trustees’.

Charity number:

1017247

Company number:

2563094

Chief Executive:

Paul Axon

Registered Office:

Medtia Place, 80 Union Street, Oldham, Lancashire, OL1 1DJ

Auditors:

Third Sector Accountancy Limited, Holyoake House, Hanover Street,

Manchester, Greater Manchester, M60 0AS

Bankers:

Barclays Bank plc. 51 Mosley Street, Lancashire. M2 2HQ

Solicitors:

After Athena, Greenbank Court, Challenge Way, Greenbank Business Park, Blackburn, BB1 5QB

Key Management Personnel:

Paul Axon Chief Executive Donna Marshall Director of Education & Guidance Services Robert Edden Director of Corporate Services & Company Secretary, Company Secretary (resigned 31 May 2025)

Richard O’Connell Director of Finance and Operations (27 May 2025)

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----- Start of picture text -----
Trustees Representing Comment
Mrs Joanne Marie Forsdike Independent
(Chair as of 1 [st] April 2023)
Ms Hannah Jane Roberts Independent
Mr Vinesh Mistry Independent
Ms Mezreet Rasul Independent
Mrs Nicola Jane Robinson Independent
Resigned 1 [st] April 2025
Cllr Diane Tracey Williamson Oldham Council Appointed 20 [th] August 2024
Zack Maher Independent Appointed 18 March 2025
MAHMOOD, Aisha Independent Appointed 18 March 2025
Hayley Harewood Independent
Holly Louise Harrison Oldham Council
Umar Nasheen Oldham Council
Dr Shaid Mushtaq Oldham Council Resigned 20 [th ] August 2024
Iffat Parveen Independent Appointed 18 March 2025
Patrice Ann Byrne Oldham Council Resigned 22 [nd] May 2024
Cllr Mohammed Islam Oldham Council Resigned 20 May 2025
----- End of picture text -----

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STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Document

Positive Steps Oldham is a company limited by guarantee governed by its Memorandum and Articles of Association. It was redrafted and adopted by a special resolution on 27th September 2016, having previously been amended between August 2005 and November 2006. It is registered as a charity with the Charity Commission. Members are drawn from Oldham's public sector, private business sector, education and training sector, and voluntary sector communities, each agreeing to contribute £1 in the event of the charity winding up.

Appointment of trustees

The Memorandum and Articles of Association state that the Board of Trustees should consist of a minimum of eight members: four elected members of Oldham Council, the remaining from statutory partners (e.g., education, health, crime and disorder), and/or “community” representatives from private business, training, the voluntary sector, and/or independent individuals with an interest in furthering the objects of the Charity.

Trustees induction and training

A formal induction process for trustees is in place and informal seminars, held as part of Board meetings covering key activities, delivered by service managers supplement this. Guidance Notes are issued to all trustees, informing them of their rights and responsibilities.

Organisation

The board delegates the company's day-to-day operations to the Chief Executive, who is assisted by Directors and several senior managers responsible for operational delivery. It should be noted that these post-holders are not Board members.

Related parties

Close working relationships exist between the Charity and local authorities and a range of other local public, private, and third-sector organisations, which have proved invaluable to the charity in establishing improved links within the community and identifying relevant policy developments and prospective funding.

Subsidiaries

During the 2024 - 25 financial year, Positive Steps had a subsidiary company:

PSO Trading Limited was incorporated on 2nd June 2005 and commenced trading on 31 October 2005. As of 1st April 2023, PSO Trading Limited ceased trading and became dormant.

Remuneration of key management personnel

Our pay policy aims to offer fair pay to attract and keep appropriately qualified staff to lead, manage, support and deliver the charity’s aims. Trustees are ultimately responsible for setting remuneration levels for the key management personnel. Pay for other staff is determined by a Job Evaluation Scheme with a cost-of-living award agreed by the Trustees annually. Positive Steps is an accredited Real Living Wage body, and this will override the Job Evaluation grades, where applicable.

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OBJECTIVES AND ACTIVITIES

As an independent sector organisation, Positive Steps is unique in England, providing a range of integrated and targeted support services for young people. The trustees are mindful of the Charity Commission's Guidance on public benefit. Its charitable objects are:

During the year, the most significant contract continues to be with Oldham MBC, who contract with us to deliver a range of integrated and targeted services for young people, adults and families, mainly in the Borough of Oldham. We have continued to deliver Career Guidance services in Rochdale. The Tameside service was brought in house by Tameside MBC in December 2025, with the staff delivering this service transferring to Tameside MBC. We continue to deliver careers guidance within Tameside Schools. Our work has been supported by a range of other local, regional and national funding, resulting in the following delivery model:

Education and Guidance

Oldham, Rochdale and Tameside local authorities commission information, advice and guidance (IAG) with young people who are at risk of becoming Not in Education, Employment or Training (NEET) and those in target groups, such as those in the care of the local authority, those involved with the criminal justice system, those with special educational needs or disabilities and those who are young carers. Allied to that, we have contracts with over 50 schools and colleges to provide IAG for non-targeted students.

‘Empower Oldham’ and ‘Engaging Rochdale’ projects are funded by the UK Shared Prosperity Fund (UKSPF) to connect with young people currently NEET. The tailored provision includes mentoring, well-being support, and practical solutions to build confidence, resilience, and motivation. Support is focussed on removing barriers, learning new skills, and moving into employment or training.

Our Positive Futures programme collaborates with secondary schools, identifying young people becoming detached from mainstream education. It provides a blended offer to reintegrate them fully into school life over a period of 14 weeks. We can also support students seeking work

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experience placements, ensuring that employers are resourced and insured to handle a placement safely.

Family, Community and Justice Services

Early Intervention and Prevention (EIP)

The largest element of this Directorate is EIP, an Oldham-wide strategy to support individuals and families of all ages in staying in control of their lives by effectively managing issues that may be affecting them and preventing escalation to crisis services.

The Positive Steps service consists of staff and many more volunteers who support families in their homes and within District Hubs. Assessment and support can be offered for issues such as emotional wellbeing, financial difficulties, housing, relationship difficulties and behaviour management. The service works in partnership with Oldham Council and other voluntary sector partners to deliver a holistic offer.

Youth Justice and Prevention

This work focuses on clients with the most complex needs, including young people who are missing from home and at risk of child sexual exploitation and young people at risk of or involved in offending behaviour. The services are delivered in partnership with other statutory and voluntary sector organisations in Oldham. Positive Steps is actively involved in both strategic work and in the operational delivery of services for these clients. The services are provided in a holistic way with support offered to whole families in order to assess and support around systemic issues that may be influencing problematic behaviours. Positive Steps is unique as a third sector organisation delivering the statutory Youth Justice Service in Oldham.

Family and community programmes

The directorate delivers several other services:

Corporate Services

The Directorate has a key role within the business, providing corporate support and developing trading opportunities.

Organisational Support

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This service includes appropriately skilled and experienced staff who provide advice and support on business intelligence, ICT, information governance, finance, human resources, and quality.

Service Delivery Support

This service provides day-to-day support for operational service delivery. This includes Administrative Support, Communications & Marketing, Facilities, and “Front of house”.

In addition, a volunteer support service is delivered. Volunteers are integral to Positive Steps as a whole, and we have successfully developed roles for volunteers and recruited and trained volunteers to work in all areas of the business. We strive to offer high-quality and meaningful volunteering opportunities, an excellent training package, and various opportunities, including paid work.

We support schools through traded services, organising work experience placements, sector visits, mock interviews and employer encounters.

We operate an in-house bicycle project, Positive Cycles. Based on donated bicycles, the project involves young people and adults developing bicycle maintenance and renovation skills. The renovated bicycles are then gifted to clients or sold at our low-cost retail outlet. A sub-contract arrangement with a local SEND support organisation enables us to complement our bicycle recycling project with a service that offers affordable disability bike hire to those with physical or learning needs and their families and carers.

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ACHIEVEMENTS AND PERFORMANCE

Our people are essential to all we achieve, and we have been recognised by Investors In People.

Positive Steps has a long history of hitting and exceeding targets; the past year has been no exception. From April 2024 to March 2025, we delivered a comprehensive, integrated range of services that helped young people, adults, and families reach their full potential. Our approach has been understanding and breaking down individuals' barriers to reaching their goals.

Youth Justice Service

Youth Justice Service
The rate of re-offending: To Jun 22 To Jun 21
(A lag on reporting as time Oldham 20.00% 25.9%
needs to lapse) Greater Manchester 31.30% 33.4%
The North West 35.60% 26.4%
England 33.20% 33.8%
Comparators 30.10% 31.6%
Custody rate (Per 1,000) for age 10 - 17 0.03 0.15
23/24 22/23
Early Intervention and prevention
Families referred to the service 930 867
Individuals referred to the service 3440 3007
Under 18's referred to the service 1253 1825
Adult only referrals 184 203
Careers Guidance and Support
Participation rates achieved
Oldham 96.3% 95.6%
Rochdale 96.1% 95.6%
Tameside 95.5% 95.1%
Young Carers
Registered with the service 711 665
Progressed into learning after Year
11 86.2% 78.7%
Missing From Home
Reported cases 1444 1607
Interviewed with 72 hours 82.13% 86.25%
Volunteering
hours of support to the people accessing our service areas 4326 4491

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FINANCIAL REVIEW

The Positive Steps Oldham Charity accounts for 2024 - 25 show overall income increasing from £6,345,451 in 2023-24 to £6,697,652, a 5.5% increase this year.

The accounts show an operating deficit of £102,384, compared to a surplus of £108,590 in 2023/24.

On reviewing the Balance Sheet, the net assets, excluding pension liability, have decreased from £2,698,430 to £2,596,046.

Investment Powers and Policy

Under the Memorandum and Articles of Association, the Company has the power to invest in any way the trustees wish.

The trustees, considering the liquidity requirements of operating the company's business and the Reserves Policy, have, where possible, kept available cash funds in an interest-bearing deposit account and seek to achieve a rate of interest that matches or exceeds inflation measured by the retail price index.

Reserves Policy

In March 2025, the trustees approved the following Reserves Policy:

Purpose

The purpose of the Reserves Policy for Positive Steps is to ensure the stability of the organisation's vision, programs, employment, and ongoing operations and to provide a source of internal funds for organizational priorities such as building repair and improvement, program opportunity, and capacity building.

Definition

Reserves should be regarded as realisable “cash assets”, namely funds in the bank and the difference between money owed to creditors and money owed by debtors.

Fixed assets would not be included.

Use of Reserves

A Building and Capital Asset Reserve intended to provide a ready source of funds for the repair or acquisition of buildings, leaseholds, furniture, fixtures, and equipment necessary to effectively operate the organisation and programs.

A System and Technology Reserve is intended as a source of internal funds for organisational capacity building, such as staff development, research and development, or investment in infrastructure to build long-term capacity.

An Operating Reserve is intended to provide an internal source of funds for situations such as a sudden increase in expenses, one-time unbudgeted expenses, unanticipated loss in funding, or uninsured losses. It is not intended to replace a permanent loss of funds or eliminate an ongoing budget gap.

Set Aside Funds

The set-aside values for these reserves as of 31[st] March 2025:

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Building and Capital Asset Reserve £250,000 System and Technology Reserve £100,000 Operating Reserve £1,100,000 £1,450,000

PLANS FOR FUTURE PERIOD

Strategic Plan

In June 2025, Positive Steps launched its new strategic plan for 2025–2028, developed through extensive consultation with stakeholders including service users, staff, and Trustees. The plan repositions our focus on organisational growth and long-term sustainability, in response to the evolving challenges across local, regional, and national contexts. These include rising levels of deprivation, increased demand for services, constrained public sector funding, and the broader impact of the cost-of-living crisis.

The strategy is structured around four key pillars: Impact, Place, People, and Future. As part of this renewed future focus, we have introduced a new strategic role—Director of Impact and Growth—to lead cross-organisational efforts in strengthening our foundations and expanding our reach and effectiveness.

A further priority is the enhancement of our internal systems to meet the demands of rapid technological change, particularly in the areas of artificial intelligence and automation. To support this, we are working with two digital specialists from Greater Manchester to ensure our services are future-proofed while remaining aligned with our core values. This will include upskilling our people across Positive Steps to ensure they are prepared and capable of navigating the change.

We remain committed to delivering our services alongside those we serve and in the places that work for them. That means building on a more participatory approach to our work through increasing their influence on our decision making and delivery.

We know that the plan is no achievement. We are now focussed on the implementation of our ambitions to make our vision of ‘empowering people and communities to reach their full potential’ a reality.

Contracting/Funding activity

Positive Steps continues to work with Oldham, Rochdale and Tameside local authorities, with contract periods of various lengths and extensions. There are no guarantees that PS will automatically be awarded new contracts as they crystallise; however, we continue developing the services and enhancing each authority's proposition.

Young People’s Support and Guidance Services:

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Local Authority Contract end date Expectation
Rochdale 31stMarch 2026 Successful
Oldham 31stMarch 2028 (plus 4 years
possible extension)		 Successful

The Connect to Your Future project, funded by European Social Funding, continued until September 2023. It has then received continued funding through the UK Shared Prosperity Fund and is received at a minimum until March 2025.

We will be looking to expand our range of commissioned services into existing and new areas during 2025/26. The initial development is alternative provision education through two projects: creating a second site in Rochdale, which opened in January 2025, and partnering with Kingsland High School for a two-year project.

Furthermore, we will continue to bid for specific funding opportunities from the Home Office, Children in Need, Community Safety and other funders.

Our trading arm, Positive Steps Trading, has ceased and remained dormant since 1st April 2023.

Further Ways of Working

We have continued our hybrid working model. All staff are enabled to work remotely and have been equipped with laptops, mobile phones, and peripherals.

Our “state of the art” Oldham HQ offices have attracted a range of partners to co-locate with us and we continually develop the integrated offer.

Environmental Responsibility

Positive Steps takes its environmental responsibility seriously. It offers schemes for recycling waste, unwanted furniture, and redundant ICT equipment, as well as actions to reduce energy usage and ethical procurement. Our staff are offered schemes to improve their carbon footprint, including Cycle to Work and access to electrical car charging at Medtia Place.

In April 2020 we adopted our Environmental Policy that contains 12 objectives that focus our commitment to environmental sustainability.

PRINCIPAL RISKS AND UNCERTAINTIES

The Trustees and Senior Managers remained mindful of the significant risks, both internal and external, facing the organisation and where appropriate, systems or procedures have been established to mitigate those risks.

External risks to funding have led to developing a strategy to continue diversifying activities and seek to diversify business within the subregion.

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Internally, implementing procedures for authorising all financial transactions minimised internal control risks. The ISO 9001 and ISO 27001 further enhanced the security of our data and the quality of all our internal procedures. External legal advice supports contract negotiation with funding bodies. Detailed procedures and protocols supported grievance and disciplinary processes again underpinned by specialist external legal advice.

In particular, robust HR systems and processes have minimised employee relations risk and helped to create a more flexible and generic employee base, which has minimised economic dismissals by enabling movement into other posts created due to new project demands.

The Company continued to operate a ‘safe recruitment’ policy in line with Local Safeguarding Children Board standards. All posts undertaking regulated activity for the organisation were subject to an Enhanced DBS disclosure at the point of recruitment and reviewed every three years.

Other procedures ensured compliance with health and safety regulations for staff, volunteers, clients, and visitors, and full insurance coverage was maintained for public and employer liability.

The company recognises Unison as its trade union. Any proposed changes to terms and conditions of employment, including job evaluation or other workplace issues, were subject to full consultation.

All finance, human resources, IT, and professional practice procedures were constantly reviewed in light of changes in legal requirements and improvements in professional standards.

TRUSTEES RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS

The charity’s trustees are responsible for preparing the annual report and financial statements in accordance with applicable law and 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 charity’s and group’s incoming resources and applications of resources during the year and of its state of affairs at the end of the year. 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 the financial position of the charitable company and enables them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charity and group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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STATEMENT AS TO DISCLOSURE TO OUR AUDITORS

The trustees of the company who held office at the date of approval of this annual report confirm that:

The trustees confirm that the financial statements comply with current statutory requirements, the company’s memorandum and articles of association requirements and the Charities SORP requirements (FRS 102).

AUDITORS

The auditors, Third Sector Accountancy Ltd, will be proposed for re-appointment in accordance with Section 487 (2) of the Companies Act 2006.

This report, which incorporates the Directors report was approved by the board on 04 / 12 / 2025 and signed on its behalf by :

Joanne Forsdike

Trustee/Director

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Independent auditor’s report to the members of Positive Steps Oldham

Opinion

We have audited the financial statements of Positive Steps Oldham (the ‘parent charitable company’) and its subsidiary (‘the group’) for the year ended 31 March 2025 which comprise the Consolidated Statement of Financial Activities, the Balance Sheets, the Consolidated 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:

• give a true and fair view of the state of the group’s and parent charitable company’s affairs as at 31 March 2025 and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;

• have been prepared in accordance with the requirements of the Companies Act 2006.

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 group and parent charitable company 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 directors’ 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 group’s or parent charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Other information

The other information comprises the information included in the trustees’ report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information.

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.

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Independent auditor’s report to the members of Positive Steps Oldham

Other information (Continued)

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 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:

• the information given in the trustees’ report, which includes the directors’ report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the directors’ report included within the trustees’ report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 require ~~s~~ us to report to you if, in our opinion:

• adequate and proper accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

• the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit; or

• the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the trustees’ report and from the requirement to prepare a strategic report.

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 18, the trustees (who are also 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 group’s and parent 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 group or the charitable company or to cease operations, or have no realistic alternative but to do so.

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Independent auditor’s report to the members of Positive Steps Oldham

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.

Capability of the audit in detecting irregularities, including fraud

Based on our understanding of the group and environment in which it operates, we identified the principal risks of non-compliance with laws and regulations related to pension legislation, tax legislation, employment legislation, health and safety legislation, and other legislation specific to the industry in which the group operates, 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 the Companies Act 2006, the reporting requirements under the Charities SORP and FRS102, and the Charities Act 2011.

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:

Our audit procedures were designed to respond to those identified risks, including non-compliance with laws and regulations (irregularities) and fraud that are material to the financial statements. Our audit procedures included but were not limited to:

Compliance with laws and regulations:

Material Fraud in the financial statements:

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Independent auditor’s report to the members of Positive Steps Oldham

Capability of the audit in detecting irregularities, including fraud (Continued)

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

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 the audit report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and, the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

D Worrello

Patrick Morrello ACA (Senior Statutory Auditor) For and on behalf of Third Sector Accountancy Limited, Statutory Auditor Holyoake House Hanover Street Manchester M60 0AS

Date 04 / 12 / 2025

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Positive Steps Oldham

Consolidated Statement of Financial Activities (including Income and Expenditure account) for the year ended 31 March 2025

Unrestricted
funds
Note
£
Income from:
Donations and legacies
3
137,600
Charitable activities
4
5,750,470
5
64,291
Investments
6
240,552
Total income
6,192,913
Expenditure on:
Raising funds
7
-
Charitable activities
8
6,239,869
Total expenditure
6,239,869
10
(46,956)
(368)
26
(65,000)
(112,324)
Reconciliation of funds
Total funds brought forward
2,696,447
Total funds carried forward
2,584,123
Net income/(expenditure)
Net movement in funds
Other trading activities
Remeasurement gain/(loss) on defined benefit
pension plan
Transfer between funds		 Restricted
funds
£
-
504,739
-
-
504,739
-
495,167
495,167
9,572
368
-
9,940
1,983
11,923		 Total funds
2025
£
137,600
6,255,209
64,291
240,552
6,697,652
-
6,735,036
6,735,036
(37,384)
-
(65,000)
(102,384)
2,698,430
2,596,046		 Unrestricted
funds
£
176,975
5,561,543
74,819
155,451
5,968,788
-
5,893,508
5,893,508
75,280
44,000
119,280
2,577,167
2,696,447		 Restricted
funds
£
-
376,663
-
-
376,663
-
387,353
387,353
(10,690)
-
(10,690)
12,673
1,983		 Total funds
2024
£
176,975
5,938,206
74,819
155,451
6,345,451
-
6,280,861
6,280,861
64,590
44,000
108,590
2,589,840
2,698,430

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

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Positive Steps Oldham Company number 2563094

Balance Sheets Balance Sheets
as at 31 March 2025 as at 31 March 2025
The Group The Charity
Note 2025 2024 2025 2024
£ £ £ £
Fixed assets
Tangible assets 15 440,043 598,025 440,043 598,025
Investments 17 - - 1 1
Total fixed assets 440,043 598,025 440,044 598,026
Current assets
Debtors 19 658,734 1,295,815 658,734 1,295,815
Cash at bank and in hand 2,450,264 1,790,014 2,450,263 1,790,013
Total current assets 3,108,998 3,085,829 3,108,997 3,085,828
Liabilities
Creditors: amounts falling
due in less than one year 20 (952,995) (985,424) (952,995) (985,424)
Net current assets 2,156,003 2,100,405 2,156,002 2,100,404
Total assets less current liabilities 2,596,046 2,698,430 2,596,046 2,698,430
Net assets excluding pension
liability 2,596,046 2,698,430 2,596,046 2,698,430
Defined benefit pension scheme
asset/ (liability) 26 - - - -
Net assets/ (liabilities) 2,596,046 2,698,430 2,596,046 2,698,430
Funds of the charity:
Restricted income funds 21 11,923 1,983 11,923 1,983
Unrestricted income funds:
General 22 2,414,123 2,526,447 2,414,123 2,526,447
Pension reserve 22 - - - -
Designated fund 22 170,000 170,000 170,000 170,000
Total charity funds/ (deficit) 2,596,046 2,698,430 2,596,046 2,698,430

These accounts are prepared in accordance with the special provisions of part 15 of the Companies Act 2006 relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company.

The notes on pages 22 to 46 form part of these accounts. Approved by the trustees on and signed on their behalf by: 04 / 12 / 2025

Joanne Forsdike (Trustee/Director)

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Positive Steps Oldham

Consolidated Statement of Cash Flows for the year ending 31 March 2025

Note
2025
£
441,836
Cash flows from investing activities:
Dividends, interest, and rents from investments
240,552
Purchase of tangible fixed assets
(22,138)
Cash provided by/(used in) investing activities
218,414
660,250
Cash and cash equivalents at the beginning of the year
1,790,014
Total cash equivalents at the end of the year
2,450,264
Increase/(decrease) in cash and cash
equivalents in the year
Cash provided by/(used in) operating
activities
25		 2024
£
143,386
155,451
(35,595)
119,856
263,242
1,526,772
1,790,014

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025

The principal accounting policies adopted, judgments and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

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

Positive Steps Oldham meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.

These financial statements consolidate the results of the charitable company and its wholly-owned subsidiary PSO Trading Limited on a line by line basis. A separate Statement of Financial Activities and Income and Expenditure account are not presented for the charity itself following exemptions afforded by section 408 of the Companies Act 2006. PSO Trading Limited is dormant as of 01 April 2023

c Preparation of the accounts on a going concern basis

The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern.

d Key judgments and estimates

Defined benefit pension scheme

The present value of Positive Steps Oldham' defined benefit pension scheme liabilities is calculated every three years by an appointed actuary. For the purpose of reporting the actuarial present value of promised retirement benefits, this liability value is updated annually in intervening years by the Actuary. The methodology used is in line with accepted guidelines and in accordance with FRS102. Assumptions underpinning the valuations are agreed with the Actuary. See note 27 for summary of assumptions used and sensitivity analysis performed.

It is difficult to assess the accuracy of the rolled-forward obligations shown in the accounts without conducting a full valuation using updated individual membership data. Such a valuation is generally not practical in the time available to meet the Employer's reporting requirements. The estimated rolledforward obligations as at the accounting date will therefore not reflect differences in demographic experience from that assumed (e.g. member longevity), the impact of differences between aggregate changes in salaries or changes for specific individuals (e.g. individual members transfers in/out of an Employer).

In addition, whilst the obligations calculated under FRS102 include an allowance for some premature retirements on grounds of ill-health, there is no allowance for early retirements on grounds of redundancy or efficiency.

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

1 Accounting policies (continued)

Defined benefit pension scheme (continued)

The net present value of future service costs are less than the net present value of future contributions per the Asset Ceiling calculation. As such, the trustees have deemed it not appropriate to recognise any form of asset in respect of the defined benefit pension plan and an adjustment has been posted. See Note 27 for further details.

There are risks and uncertainties associated with whatever assumptions are adopted. FRS102 requires the assumptions to be determined on a best estimate basis. However the assumptions are in effect projections of future investment returns and demographic experience many years into the future and there is inevitably a great deal of uncertainty in what constitutes best estimate for such projections.

It should also be noted that the actuary’s estimation will likely be less accurate in the second and third years following the last triennial valuation, as greater estimation uncertainty is involved. See note 27 for full disclosure of the pension scheme estimates, including uncertainties. There are no other key judgments or estimates relevant to the financial statements.

e Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

Income received in advance of a provision of a specified service is deferred until the criteria for income recognition are met.

f Donated services and facilities

Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer is not recognised; refer to the trustees’ annual report for more information about their contribution.

On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

g Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank.

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

Unrestricted funds are available to spend on activities that further any of the purposes of charity.

Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose.

Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity’s work or for specific projects being undertaken by the charity.

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the charity's programmes and activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities. The bases on which support costs have been allocated are set out in note 9.

k Operating leases

Operating leases are leases in which the title to the assets, and the risks and rewards of ownership, remain with the lessor. Rental charges are charged on a straight line basis over the term of the lease.

l Tangible fixed assets

Individual fixed assets are capitalised at cost and are depreciated over their estimated useful economic lives on a straight line basis as follows:

Leasehold improvements The remaining term of the lease
Office fixtures and equipment 3 to 10 years
Mechanical systems 8 to 15 years

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

m 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.

n Cash at bank and in hand

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

o 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.

p Financial instruments

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

q Pensions

Defined contribution scheme

Employees of the charity are entitled to join a defined contribution ‘money purchase’ scheme. The charity’s contribution is restricted to the contributions disclosed in note 11. There were no outstanding contributions at the year end. The costs of the defined contribution scheme are included within support and governance costs and allocated to the funds of the charity using the methodology set out in note 9.

Defined benefit scheme

Qualifying employees of Positive Steps participate in the Greater Manchester Pension Fund (‘the Fund’) administered by Tameside Metropolitan Borough Council, under the regulations governing the Local Government Pension Scheme (LGPS). The scheme is a defined benefit scheme. Full disclosure of the accounting policies used is given in note 27.

2 Legal status of the charity

The charity is a company limited by guarantee registered in England and Wales and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The registered office address is disclosed on page 1.

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

3 Income from donations and legacies

Unrestricted
£
Refurbishment contribution from landlord
130,360
Donations
7,240
In kind donation: Property Lease
-
137,600
4
Income from charitable activities
Unrestricted
£
Young Peoples Services
4,249,749
Families Health and Wellbeing
1,500,721
5,750,470
5
Income from other trading activities
Unrestricted
£
Projects
-
64,291
64,291
Other income (Placements and sundry
sales)		 Restricted
£
-
-
-
-
Restricted
£
242,986
261,753
504,739
Restricted
£
-
-		 Total 2025
£
130,360
7,240
-
137,600
Total 2025
£
4,492,735
1,762,474
6,255,209
Total 2025
£
-
64,291
64,291		 Unrestricted
£
144,828
10,397
21,750
176,975
Unrestricted
£
4,116,778
1,444,765
5,561,543
Unrestricted
£
54,348
20,471
74,819		 Restricted
£
-
-
-
-
Restricted
£
235,759
140,904
376,663
Restricted
£
-
-
-		 Total 2024
£
144,828
10,397
21,750
176,975
Total 2024
£
4,352,537
1,585,669
5,938,206
Total 2024
£
54,348
20,471
74,819

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

6 Investment income

Income from bank deposits
Rent receivable
Room hire		 Unrestricted
£
72,848
120,681
47,023
240,552		 Restricted
£
-
-
-
-		 Total 2025
£
72,848
120,681
47,023
240,552		 Unrestricted
£
37,442
107,916
10,093
155,451		 Restricted
£
-
-
-
-		 Total 2024
£
37,442
107,916
10,093
155,451

Cost of raising funds relate to the cost of the trading subsidiary which was dormant in the current and prior year. Amount was £Nil (2024: £Nil)

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

8 Analysis of expenditure on charitable activities

Staff costs
Training and employee costs
Project costs
Travel, subsistence and transport
Rent and property costs
Stationery and administration
Computer maintenance and software
Depreciation
Professional services
Pension scheme adjustments:
Governance costs (see note 9)
Support costs (see note 9)
Current service costs less employer
contribution
Net interest on the defined benefit
pension liability		 Young
Peoples
Services
£
2,965,715
111,300
224,124
23,648
40,585
72,280
10,007
107,251
8,141
(65,000)
1,336,622
13,766
4,848,439		 Family,
Health, and
wellbeing
£
1,131,343
58,971
120,216
12,101
46
5
-
40,913
7,864
509,887
5,251
1,886,597		 Total 2025
£
4,097,058
170,271
344,340
35,749
40,631
72,285
10,007
148,164
16,005
(65,000)
-
1,846,509
19,017
6,735,036		 Young
Peoples
Services
£
2,797,822
66,849
62,977
20,376
8,717
1,036
11,796
113,143
1,059
25,517
593
1,545,175
11,207
4,666,267		 Family,
Health, and
wellbeing
£
914,033
8,305
118,739
7,885
378
3,604
-
36,963
7,695
8,337
194
504,800
3,661
1,614,594		 Total 2024
£
3,711,855
75,154
181,716
28,261
9,095
4,640
11,796
150,106
8,754
33,854
787
2,049,975
14,868
6,280,861

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

9 Analysis of governance and support costs

Staff costs
Pension scheme adjustments
Training and employee costs
Travel, Subsistence and Transport Costs
Project costs
Telephone and data communication
Computer maintenance and software
Stationery and administration
Rent and property costs
Depreciation
Professional services
Loss on Disposal
Irrecoverable VAT
Audit and accountancy
Allocated as follows:
Young Peoples Services
Family, Health, and Wellbeing		 Support
£
883,644
-
54,897
9,173
15,468
37,447
258,270
19,247
443,388
31,956
61,661
-
31,358
-
1,846,509
1,336,622
509,887
1,846,509		 Governance
£
-
-
-
-
-
-
-
-
-
-
-
-
-
19,017
19,017
13,766
5,251
19,017		 Total 2025
£
883,644
-
54,897
9,173
15,468
37,447
258,270
19,247
443,388
31,956
61,661
-
31,358
19,017
1,865,526
1,350,388
515,138
1,865,526		 Support
£
1,002,885
9,359
51,344
8,598
47,508
39,438
275,257
28,748
464,923
40,556
56,294
4,133
20,932
-
2,049,975
1,545,175
504,800
2,049,975		 Governance
£
-
-
-
-
-
-
-
-
-
-
-
-
14,868
14,868
11,207
3,661
14,868		 Total 2024
£
1,002,885
9,359
51,344
8,598
47,508
39,438
275,257
28,748
464,923
40,556
56,294
4,133
20,932
14,868
2,064,843
1,556,382
508,461
2,064,843

Support costs have been apportioned using numbers of people per area of activity, or on a basis which is considered consistent with the use of the resources.

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Notes to the accounts for the year ended 31 March 2025 (continued)

Positive Steps Oldham

10 Net income/(expenditure) for the year 2025 2024
£ £
This is stated after charging/(crediting):
Depreciation 180,120 190,663
Loss on disposal of fixed assets - 4,133
Defined benefit pension costs:
Current year service costs 274,000 336,000
Past service cost - 74,000
Operating lease rentals: Land and buildings 147,802 120,000
Auditor's remuneration - audit fees 11,460 10,920
Auditor's remuneration - accountancy fees 3,200 3,015
11 Staff costs
Staff costs during the year were as follows:
Wages and salaries 2025
4,226,768		 2024
3,913,475
Social security costs 384,059 365,046
Pension costs 391,139 425,205
Movement in holiday pay accrual (21,264) 17,807
4,980,702 4,721,533
The average number of employees and secondees during the year was as follows:
Charitable activities 149 144
Raising funds - -
149 144
The number of employees whose emoluments (gross salary plus employer pension contribution
over £60,000 in the year were as follows:
£60,001 - £70,000 2 1
£70,001 - £80,000 - 1
£80,001 - £90,000 - -
£90,001 - £100,000 - -
£100,001 - £110,000 1 1

The number of employees whose emoluments (gross salary plus employer pension contribution) amounted to over £60,000 in the year were as follows:

The key management personnel of the charity comprise the trustees and the Senior Management Team. The total employee benefits of the key management personnel of the charity were £265,107 (2024: £329,254).

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Positive Steps Oldham Notes to the accounts for the year ended 31 March 2025 (continued)

Neither the trustees nor any persons connected with them received any remuneration or reimbursed expenses during the year (2024: Nil).

In line with the definition of a related party per FRS102, any entity that is a post-employment benefit plan for the benefit of employees of the reporting entity is a related party and hence is to be disclosed. Under this basis, Greater Manchester Pension Fund are a related party. For more details of associated transactions please see note 27.

Six trustees (two of whom resigned on the 20th August 2024) are also Oldham Metropolitan Borough Councillors. During the year, the charity was paid £3,938,962 (2024: £3,533,895) by the council for services. The charity also paid £20,962 (2024: £22,269) for charges made by the council.

The charity is the sole member of its subsidiary company PSO Trading Limited. The charity is a director of PSO Trading Limited, as are two members of the charity's senior management team.

Apart from the above, no trustee or other person related to the charity had any personal interest in any contract or transaction entered into by the charity, including guarantees, during the year (2024: nil).

The government grants recognised in the accounts were as follows:

Children in Need
Early Intervention Services
Turnaround
Young Carers- HAF
Household Support Grant		 2025
£
19,445
45,000
146,986
18,223
18,500
248,154		 2024
£
43,479
45,000
150,759
11,834
21,455
272,527

There were no unfulfilled conditions and contingencies attaching to the grants.

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Notes to the accounts for the year ended 31 March 2025 (continued)

Positive Steps Oldham

14 Corporation tax

The charity is exempt from tax on income and gains falling within Chapter 3 of Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen in the charity.

15 Fixed assets: tangible assets

The group
Cost
Additions
Depreciation
Charge for the year
Net book value
At 31 March 2024
At 1 April 2024
At 31 March 2025
At 1 April 2024
At 31 March 2025
At 31 March 2025		 £
830,797
4,742
835,539
396,552
84,557
481,109
354,430
434,245
Leasehold
improvements		 £
565,617
17,396
583,013
401,837
95,563
497,400
85,613
163,780
Office
equipment &
furniture		 £
1,396,414
22,138
1,418,552
798,389
180,120
978,509
440,043
598,025
Total

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Notes to the accounts for the year ended 31 March 2025 (continued)

Positive Steps Oldham

16 Fixed assets: tangible assets (continued)

The charity
Cost
Additions
Depreciation
Charge for the year
Net book value
Investments
At 31 March 2024
At 31 March 2025
At 1 April 2024
At 1 April 2024
At 31 March 2025
At 31 March 2025
Investment in group undertakings		 £
£
830,797
565,617
4,742
17,396
835,539
583,013
396,552
401,837
84,557
95,563
481,109
497,400
354,430
85,613
434,245
163,780
2,025
2,024
£
£
-
-
Leasehold
improvements
Office
equipment &
furniture
The group		 £
1,396,414
22,138
1,418,552
798,389
180,120
978,509
440,043
598,025
2,025
2,024
£
£
1
1
Total
The charity

The charity owns one share in PSO Trading Limited which represents 100% of the issued share capital of that company.

18 Subsidiary undertaking

The Charitable company owns the whole of the issued ordinary share capital of PSO Trading Limited, a company registered in England. The subsidiary was used for non-primary purpose trading activities but is dormant as of 01/04/2023

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Notes to the accounts for the year ended 31 March 2025 (continued)

19 Debtors

2025
2024
£
£
Trade debtors
505,177
1,124,273
Prepayments
147,790
73,121
Accrued income
5,767
31,255
Other debtors
-
67,166
658,734
1,295,815
Creditors: amounts falling due within one year
2025
2024
£
£
Trade creditors
220,207
230,588
Accruals
123,322
98,054
Deferred income
288,223
370,242
Taxation and social security costs
321,243
286,540
952,995
985,424
The group
The group		 2025
2024
£
£
505,177
1,124,273
147,790
73,121
5,767
31,255
-
67,166
658,734
1,295,815
2025
2024
£
£
220,207
230,588
123,322
98,054
288,223
370,242
321,243
286,540
952,995
985,424
The charity
The charity

20 Creditors: amounts falling due within one year

Deferred income is service contract income where amounts have been received or billed in advance of the performance of the services.

32

Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

21 Analysis of movements in restricted funds

Current reporting period

Balance at 1
April 2024
Income
Expenditure
£
£
£
1,983
19,445
(20,505)
-
146,986
(146,986)
-
45,000
(45,000)
-
18,500
(18,500)
-
216,585
(205,953)
-
18,223
(18,223)
-
40,000
(40,000)
Total
1,983
504,739
(495,167)
Previous reporting period
Balance at 1
April 2023
Income
Expenditure
£
£
£
11,071
43,479
(52,567)
1,602
150,758
(152,360)
-
45,000
(45,000)
-
21,455
(21,455)
-
64,137
(64,137)
-
11,834
(11,834)
-
40,000
(40,000)
Total
12,673
376,663
(387,353)
Description, nature and purposes of the fund
EIP Household support
Turnaround
Children in Need 21-24
Young Carers - HAF
Community Safety
Early Intervention
Services Grant
EIP Household support
grant
Young Carers - HAF
Name
Welfare Hub
Children in Need 21-24
Early Intervention
Turnaround
Community Safety
Funding
Welfare Hub		 Transfers
£
-
-
-
-
368
-
-
368
Transfers
£
-
-
-
-
-
-
-
-		 Balance at 31
March 2025
£
923
-
-
-
11,000
-
-
11,923
Balance at 1
April 2024
£
1,983
-
-
-
-
-
-
1,983

Children in Need 21-24 Health and wellbeing project for young carers Turnaround Turnaround Programme (voluntary youth early intervention Early Intervention Early Intervention and Prevention grant programme EIP Household support Oldham Cost-of-Living Household Support Fund Welfare Hub Greater Manchester personal wellbeing pilot service Community Safety Fund Oldham community Youth Justice mental health support Young Carers - HAF Oldham programme of holiday activities and food programme

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Positive Steps Oldham Notes to the accounts for the year ended 31 March 2025 (continued)

Current period
Prior period
Total general funds
Total designated funds
Total unrestricted funds
Total general funds
Pension reserve
Project Shortfall
General fund
Pension reserve
General fund
Project Shortfall
Total designated funds
Total unrestricted funds		 Balance at 1
April 2024
£
2,526,447
-
2,526,447
170,000
170,000
2,696,447
Balance at 1
April 2023
£
2,577,167
-
2,577,167
-
-
2,577,167		 Income
£
6,192,913
-
6,192,913
-
-
6,192,913
Income
£
5,968,788
-
5,968,788
-
-
5,968,788		 Expenditure
£
(6,304,869)
-
(6,304,869)
-
-
(6,304,869)
Expenditure
£
(5,849,508)
-
(5,849,508)
-
-
(5,849,508)		 Transfers
£
(368)
-
(368)
-
-
(368)
Transfers
£
(170,000)
-
(170,000)
170,000
170,000
-		 As at 31
March 2025
£
2,414,123
-
2,414,123
170,000
170,000
2,584,123
As at 31
March 2024
£
2,526,447
-
2,526,447
170,000
170,000
2,696,447

Name of Description, nature and purposes of the fund General fund The free reserves after allowing for all designated funds Pension reserve Reserves allocated to the defined benefit pension fund asset/liability Project Shortfall Designated fund to cover expected shortfall on specific projects

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

Current reporting period

Tangible fixed assets
Net current assets/(liabilities)
Total
Previous reporting period
Tangible fixed assets
Net current assets/(liabilities)
Total		 General
fund
£
440,043
1,974,081
2,414,124
General
fund
£
598,025
1,928,422
2,526,447		 Designated
funds
£
-
170,000
170,000
Designated
funds
£
-
170,000
170,000		 Restricted
funds
£
-
11,923
11,923
Restricted
funds
£
-
1,983
1,983		 Total
£
440,043
2,156,003
2,596,046
Total
£
598,025
2,100,405
2,698,430

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

The group's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:

Land and buildings:
Less than one year
One to five years
Over five years		 2025
2024
£
£
230,978
120,000
693,613
480,000
-
67,068
924,591
667,068
The group		 2025
2024
£
£
230,978
120,000
693,613
480,000
-
67,068
924,591
667,068
The charity

The figures for future minimum lease payments are stated net of the refurbishment contribution agreed with the landlord. In the accounts, the refurbishment contribution is included income. The annual rent before refurbishment contribution is £243,103 (2024: £264,700).

Net income/(expenditure) for the year
Adjustments for:
Depreciation charge and disposals
Dividends, interest and rents from investments
Decrease/(increase) in debtors
Increase/(decrease) in creditors
Pension scheme adjustments
Net cash provided by/(used in) operating activities		 2025
£
(37,384)
180,120
(240,552)
637,081
(32,429)
(65,000)
441,836		 2024
£
64,590
194,796
(155,451)
(187,631)
183,082
44,000
143,386

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Positive Steps Oldham Notes to the accounts for the year ended 31 March 2025 (continued)

26 Retirement benefit scheme

Defined benefit scheme

Qualifying employees of Positive Steps participate in the Greater Manchester Pension Fund (‘the Fund’) administered by Tameside Metropolitan Borough Council, under the regulations governing the Local Government Pension Scheme (LGPS). The scheme is a defined benefit scheme. The fund was valued using the projected unit method. The purpose of the valuation was to determine the financial position of the fund and to recommend the contribution rate to be paid by TfGM and the other participating employers.

The market value of the Fund's assets at 31 March 2022 amounted to £29.324 million. The funding level of the Fund as measured using the actuarial method of valuation was 104% as at 31 March 2022.

Basis for estimating assets and liabilities

Liabilities have been assessed on an actuarial basis using the projected unit credit method, an estimate of the pensions that will be payable in future years dependent on assumptions about mortality rates, salary levels, rates of inflation and discount rates. The Local Government Pension Scheme liability has been estimated by Hymans Robertson LLP, an independent firm of actuaries. Positive Steps Oldham's share of pension fund assets is rolled forward, by the actuary, from the latest formal valuation date (31 March 2022). The roll forward amount is then adjusted for investment returns, the effective contributions paid into and estimated benefits paid from the fund by Positive Steps and its employees. As such this estimate may differ significantly from the actual assets held by the Pension Fund at 31 March 2025. The significant assumptions used by the actuary have been as below.

Key assumptions
2025 2024
%pa %pa
Discount rate 5.80 4.85
Expected rate of increase of pensions in payment 2.75 2.75
Expected rate of salary increases 3.55 3.55
Mortality assumptions
2025 2024
years years
Assumed life expectations on retirement at aged 65:
Retiring today:
- Males 20.3 20.4
- Females 23.3 23.3
Retiring in 20 years
- Males 21.3 21.4
- Females 24.8 24.8

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Positive Steps Oldham Notes to the accounts for the year ended 31 March 2025 (continued)

27 Retirement benefit scheme (continued)

Commutation

An allowance is included for future retirements to elect to take 55% of the maximum additional tax-free cash up to HMRC limits for pre-April 2008 service and 50% of the maximum tax-free cash for post-April 2008 service.

Sensitivity analysis

The estimation of the defined benefit obligations is sensitive to the actuarial assumptions set out in the table above. The sensitivity analyses below have been determined based on reasonably possible changes of the assumptions occurring at the end of the reporting period and assumes for each change that the assumption analysed changes while all the other assumptions remain constant. The assumptions in longevity, for example, assume that life expectancy increases or decreases for men and women. In practice, this is unlikely to occur, and changes in some of the assumptions may be interrelated. The estimations in the sensitivity analysis have followed the accounting policies for the scheme, i.e. on an actuarial basis using the projected unit credit method. The methods and types of assumptions used in preparing the sensitivity analysis below did not change from those used in the previous period.

2024/2025 2024/2025 2023/2024 2023/2024
Approximate % Approximate % increase to Approximate
increase to monetary Defined monetary
Defined Benefit amount Benefit amount
Changes in assumptions Obligation (£'000) Obligation (£'000)
0.1% decrease in Real Discount Rate 2% 470 2% 584
1 year increase in member life 4% 955 4% 1,119
expectancy
0% 18 0% 21
0.1% increase in Salary Increase Rate
0.1% Increase in the Pension Increase
Rate (CPI) 2% 465 2% 574

The principal demographic assumption is the longevity assumption (i.e. member life expectancy). For sensitivity purposes, we estimate that a one year increase in life expectancy would approximately increase the Employer’s Defined Benefit Obligation by around 3-5% (2024: 3-5%). In practice the actual cost of a one year increase in life expectancy will depend on the structure of the revised assumption (i.e. if improvements to survival rates predominantly apply at younger or older ages).

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Positive Steps Oldham Notes to the accounts for the year ended 31 March 2025 (continued)

27 Retirement benefit scheme (continued)

Impact on the accounts

Current service cost
Net interest on defined benefit liability
Past service cost
Other recognised (gains) or losses:
Actuarial return on scheme assets
Effect of the asset ceiling
Less: calculated interest element
Actuarial changes relating to obligations
Restriction on recognition of scheme asset
Total cost/(income)
The amounts charged or (credited) in the Statement of
Financial Activities are as follows:		 2025
£
274,000
-
-
274,000
316,000
(12,683,000)
-
(12,367,000)
(5,168,000)
17,600,000
(17,535,000)		 2024
£
336,000
-
74,000
410,000
(1,016,000)
(10,014,000)
-
(11,030,000)
(1,100,000)
12,096,000
(12,130,000)

The amounts included in the balance sheet arising from the company's obligations in respect of defined benefit plans are as follows:

Present value of funded retirement benefit obligations
Fair value of plan assets
Surplus/ (deficit) in scheme
Restriction on recognition of scheme asset
Net asset/ (liability) recognised on the balance sheet		 (23,872,000)
41,472,000
17,600,000
(17,600,000)
-		 (27,963,000)
40,059,000
12,096,000
(12,096,000)
-

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

Impact on the accounts (continued)

The present value of the defined benefit obligation as at 31st March 2025 is less than the fair value of plan assets at that date. As such the plan is in a surplus position of £17,600,000 as at 31st March 2025. Per FRS102 section 28.22 an entity shall recognise a plan surplus as a defined benefit plan asset only to the extent that it is able to recover the surplus either through reduced contributions in the future or through refunds from the plan.

An entity should recognise a net pension asset in such cases because the entity controls a resource, and that control is a result of past events. This is in the form of contributions paid by the entity and service rendered by the employee. Future economic benefits are available to the entity in the form of a reduction in future contributions or a cash refund, either directly to the entity or indirectly to another plan in deficit. The asset ceiling is the present value of those future benefits.

Accounting standards dictate that when an entity has a surplus in a defined benefit plan, it should measure the net defined benefit of the asset at the lower of:

The entity has instructed Hymans Robertson LLP, an independent firm of actuaries to calculate an asset ceiling calculation based on the net present value of future service costs less net present value of future contributions over the future working lifetime as at 31 March 2025.

The below assumptions were used by the actuary as part of the calculation:

i.Present value calculated over the expected life of the employer (i.e. in line with now established LGPS audit and practitioner views, an indefinite period for an LGPS employer open to new entrants). Calculated to be 46 years

ii. discount rate of 5.8% p.a. and salary increase of 3.55% p.a. from the Employer's 31 March 2025 accounting report.

iii. the present value of the liability expected to arise from next years' service by scheme members less the present value of future employee contributions is equal to the projected current service cost as calculated by the actuary in the valuation of the scheme.

iii. the employer contributions for the 2025/2026 financial year to be paid by the entity will be £194k.

The results of the instructed calculations are: £ Annuity (in perpetuity) x 2025/26 future service costs: 46 * 8,924,000 £298k Annuity (in perpetuity) x future service element employer (14,076,000) contribution: 46 * £306k Net present value of any economic benefits available in the form of refunds or reductions in future contributions to the (5,152,000) plan.

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Positive Steps Oldham Notes to the accounts for the year ended 31 March 2025 (continued)

27 Retirement benefit scheme (continued)

Impact on the accounts (continued)

Per the above calculation, the net present value of future service costs are less than the net present value of future contributions and as such it does not appear that a recoverable asset exists either through a reduction in the entity's future contributions or through being able to obtain refunds from the plan.

Therefore the entity have not deemed it appropriate to recognise any form of asset in respect of the defined benefit pension plan and an adjustment has been posted through other recognised gains/losses within the statement of financial activities.

The increase in pension liabilities is included in the SOFA as follows:

Other recognised gains/ (losses)
Current service cost
Net interest on defined benefit liability
Past service cost
(Increase)/decrease in liability		 (65,000)
(274,000)
(1,349,000)
-
(1,688,000)		 44,000
(336,000)
(1,321,000)
(74,000)
(1,687,000)

Movements in the present value of defined benefit obligations

Liabilities brought forward
Current service cost
Past service cost
Benefits paid
Contributions from scheme members
Remeasurements:
Changes in financial assumptions
Changes in demographic assumptions
Other experience
Interest cost on defined benefit obligations
Liabilities carried forward		 27,963,000
274,000
-
(644,000)
98,000
(4,864,000)
(48,000)
(256,000)
1,349,000
23,872,000		 27,914,000
336,000
74,000
(678,000)
106,000
(1,836,000)
(180,000)
906,000
1,321,000
27,963,000

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Positive Steps Oldham Notes to the accounts for the year ended 31 March 2025 (continued)

27 Retirement benefit scheme (continued)

Impact on the accounts (continued)

The defined benefit obligations arising from the plan are funded as follows:

Wholly unfunded obligations
Wholly funded obligations
Movement in the fair value of plan assets
Opening fair value of the scheme assets
Interest income on plan assets
Contributions by employer
Contributions by members
Benefits paid
Other experience
Return on assets excluding amounts included in net
interest		 -
23,872,000
23,872,000
40,059,000
1,937,000
338,000
98,000
(644,000)
-
(316,000)
41,472,000		 -
27,963,000
27,963,000
37,474,000
1,775,000
366,000
106,000
(678,000)
-
1,016,000
40,059,000

The major categories of plan assets as a percentage of total plan assets are as follows:

Equities
Bonds
Property
Cash
nalysis of the scheme assets at the reporting date was a
Equities
Bonds
Property
Cash		 %
63
18
9
10
s follows:
£
26,127,360
7,464,960
3,732,480
4,147,200
41,472,000		 %
68
15
9
8
£
25,026,510
5,602,950
2,988,240
3,735,300
37,353,000

The analysis of the scheme assets at the reporting date was as follows:

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

27 Retirement benefit scheme (continued)

Review of the 2025 results

Assets

In the year ending 31 March 2025, investment returns have typically been higher than assumed (compared to last year's accounting discount rate assumption). As such, this has resulted in an increase in the fair value of the scheme assets.

Obligations

The remeasurements in the obligations roll forward are split into three separate parts to differentiate between 'changes in financial assumptions', 'changes in demographic assumptions' and 'other experience'.

Changes in financial assumptions

As at 31st March 2025, the net discount rate (discount rate net of CPI inflation has increased compared to 31st March 2024.

The principal demographic assumption is the longevity assumption (i.e. member life expectancy). A 1 year increase in member life expectancy is calculated to leading to an approximate 4% increase in the Defined Benefit Obligation.

Changes in other experience

There is a gain (reduction in obligations) from applying the actual Pensions Increase Order for April 2024 of 1.7%, noting this is lower than the expected CPI assumption.

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Positive Steps Oldham

Notes to the accounts for the year ended 31 March 2025 (continued)

27 Retirement benefit scheme (continued)

The objectives of the scheme are to keep employers’ contributions at as constant a rate as possible. TfGM has agreed a strategy with the scheme’s actuary to achieve a funding level of 100%. Funding levels are monitored on an annual basis. 'Positive Steps anticipates paying £338,000 in expected employer's contributions to the scheme in 2025/26.

Key differences between funding and accounting valuations

The purpose of the formal funding valuation, which is carried out every three years, is to assess the ongoing financial position of the fund and to determine the cash contribution rates at which the employing bodies participating in the fund should contribute in the future. The aim of the funding valuation is to ensure that the existing assets alongside future expected investment returns and contributions will be sufficient to meet future benefit payments from the fund.

In terms of the above cash contributions that need to be paid into the fund, an employer's accounting valuation position has no effect. Under FRS102, the purpose is to facilitate consistent comparison of pension positions between employers.

Importantly, as the method and assumptions underlying the funding and accounting calculations are different, the accounting calculations can produce significantly different results from the formal funding valuation calculations.

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