**St Michael’s Fellowship**
## **Report and Financial Statements**
Year ended 31 March 2021
Company Registration Number 02914273 (England and Wales) Charity Number: 1035820
## **Contents**
## **Reports**
|**Reports**||
|---|---|
|Reference and administrative information|1|
|Trustees’ report|3|
|Independent auditor’sreport|17|
|**Financial statements**||
|Statement of financial activities|22|
|Balance sheet|23|
|Statement of cash flows|24|
|Principal accounting policies|25|
|Notes to the financial statements|29|
St Michael’s Fellowship
## **Reference and administrative details of the company and its advisors**
**Trustees** Stephen Hair (Chair to March 2021, resigned 8 July 2021) Loucia Kyprianou (Chair from April 2021) Philippa Owen (Vice Chair) William Anderson (Hon Treasurer) Richard Barron Annie Brough Alison Dixon (resigned 13 May 2021) Corina Forman (resigned 8 July 2021) Mary Gibson Juline Sinclair Oretha Wofford Valerie Wass OBE **Chief Executive** Sue Pettigrew OBE **Registered office** 136 Streatham High Road London SW16 1BW **Registered number** 02914273 (England and Wales) **Charity number** 1035820 **Auditor** Buzzacott LLP 130 Wood Street London EC2V 6DL
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## **Reference and administrative details of the company and its advisors**
**Bankers** National Westminster Bank Plc 145 Clapham High Street Clapham London S4 7TH COIF Charity Funds 80 Cheapside London EC2V 6DZ Virgin Money Plc Jubilee House, Gosforth Newcastle on Tyne NE3 4PL **Solicitors** The Charity Team at Russell-Cooke 2 Putney Hill London SW15 6AB
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**Trustees ’ report** 31 March 2021
The trustees, who are the directors for the purposes of company law, present their statutory report together with the audited financial statements for the year ended 31 March 2021.
The financial statements have been prepared in accordance with the accounting policies set out on pages 25 to 28. They comply with the charitable company’s Memorandum and Articles of Association, applicable laws and the requirements of 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).
## **OBJECTIVES AND ACTIVITIES**
## **Purposes and aims**
The objects of the charity are: “the relief of poverty, sickness and emotional and physical hardship by the provision of accommodation, assistance and support, counselling, training and rehabilitation for children and their parents, whether in accommodation provided by the charity or in the wider community, who are in need of such relief so that they may become responsibl e and independent parents and members of society”.
The principal activity of the charity is offering support to vulnerable families including very young parents both by the provision of residential family centres and in the community.
St Michael's provides accommodation, help and training in residential centres in the boroughs of Lambeth and Wandsworth for families where children are at risk or where there is other emotional, mental or physical hardship. Such support includes an assessment of parenting skills. Each of these projects is in a converted Victorian family house, noninstitutional in feel and each is staffed by a professional team.
Through partnerships with Sure Start Children's Centres, the National Children’s Bureau via LEAP (Lambeth Early Action Partnership), Department for Health (England), and further charitable funding, St Michael's offers outreach work providing some of the same services to families who are living in their own homes, but who, for whatever reason, are in difficulty.
The prime aim of the charity is to give a child the best possible start in life in the circumstances. Allied to this is the aim to help and encourage the members of a family to become fully integrated into the mainstream of society. This is achieved either through the rehabilitation of the family in a residential centre, or through preventive work in the community.
We have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning future activities and are satisfied that we meet the guidance.
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**Trustees ’ report** 31 March 2021
## **OBJECTIVES AND ACTIVITIES** (continued)
## **Strategic plan and objectives**
The Trustees reviewed and updated the strategic plan from March 2020 for the next three years. The strategic priorities are continued focus on:
- Maintaining the quality of our residential assessments; and
- Widening and embedding our outreach and community services.
The strategic priorities are underpinned by the following core drivers:
- Financial stability;
- Skilled and motivated staff; and
- Digitalisation.
In 2020-2021 our key objectives were:
1. Responding to the Covid-19 pandemic;
2. Embedding trauma-informed practice and learning difficulties approach into our residential assessments;
3. To reduce our reliance on statutory funding;
4. To maintain our outreach service with a focus on domestic abuse and working with young fathers;
5. To continue the development of Securing Change, a service for parents who leave assessments with or without their child;
6. To focus on staff recruitment, retention and leadership development;
7. To increase investment in and use of digital technology.
Our key objectives for 2021-2022 are:
1. Recovery following the Covid-19 pandemic; embedding new ways of working, and returning to a financially stable operating position;
2. A continued focus on staff including: recruitment and retention measures; leadership development; and reviewing, updating and implementing an effective EDI strategy; and
3. Further implementation of digital technology.
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**Trustees ’ report** 31 March 2021
## **ACHIEVEMENTS AND PERFORMANCE**
Above all else we wish to record our gratitude to our staff for their commitment during this unprecedented year.
Our executive team agreed, that given the charity’s mission , it was essential to continue to provide our services and support to our beneficiaries during the pandemic, at a time when their need was likely to be even more acute. We could not have achieved this without the dedication and commitment of all of our staff, who have shown such extraordinary resilience and flexibility. We are proud of all that has been achieved during one of the most challenging times in the 118 year history of the charity.
## 1. Responding to Covid-19 pandemic;
As expected, the pandemic has had a significant impact on our ability to deliver services, both residentially and in the community. Our highest priority throughout the year has been the continued safeguarding and health & safety of both families and staff, whilst continuing to provide our essential services.
In our residential units we continued to work with the existing families during the initial lockdown. Following government guidance and on completion of risk assessments, we introduced strict cleaning and social distancing measures, reviewed staff rotas and stopped all visitors. We did not introduce any new families during the initial lockdown period.
As lockdown measures were eased during 2020, we introduced testing and quarantine procedures to bring in new families, and continued to operate strict cleaning and social distancing measures in line with the government legislation throughout the rest of the year. This necessitated restricting the number of families within each centre in order to keep both families and staff safe.
Restrictions impacting the Local Authority social work and family court processes resulted in fewer referrals during 2020, and the majority of families that have been referred have been those with the most urgent and complex needs. We anticipate that there is a backlog of built up need and demand for our services following the pandemic.
For our community work, we introduced phone, WhatsApp and Zoom for one-to-one work and group sessions. We tailored our work to be responsive to the individual needs of our clients, and recognised that domestic violence and safeguarding were more likely to be prevalent issues.
We had to suspend the use of our family contact centre, and introduced Zoom in its place. This was typically shorter sessions and worked well for older children, but proved less satisfactory for very young children. During the year, we have partially re-opened the contact centre in line with government legislation, and have been able to offer some face-to-face contact, within a safe environment, with a socially-distanced supervisor.
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**Trustees ’ report** 31 March 2021
The majority of our back-office staff have worked remotely throughout the year, and we have invested in our IT infrastructure to enable effective working. Our senior management team have continued to meet regularly via Zoom, and have benefitted from additional regular support from trustees.
Fundraising activity has been focused on securing emergency grants and reaching out to both trusts and individual supporters, to mitigate against the drop in income and additional costs incurred during this period.
## 2. Embedding trauma-informed practice and learning difficulties approach into our residential assessments
Work has continued within the residential centres to further develop practice and learning as part of our ongoing practice development, but this has not been prioritised due to the needs of dealing with the practical impacts of the pandemic.
Staff have continued to access virtual training and share best practice across the centres. Our communications officer has produced a series of podcasts looking at the needs of families with learning difficulties, using our experiences and that of academics to both inform staff and engage interested followers. Our work has confirmed that traumainformed practice and supporting families with learning difficulties should continue to be priority areas for further development, and this work will continue throughout the coming year.
3. To reduce our reliance on statutory funding;
The challenges of the pandemic, and its immediate impact on our income from services, has lead us to pursue all available sources of support funding. We were successful in securing two tranches of emergency Covid support alongside grants from a number of trusts and foundations.
We have also continued to expand our individual donor base through the use of social media channels and specific campaigns which has led to increased financial support during the pandemic.
## 4. To maintain our outreach service with a focus on domestic abuse and working with young fathers;
Our community work has been delivered virtually throughout the pandemic using phone, WhatsApp and Zoom sessions for both one-to-one work and group sessions.
A number of former clients returned to access support during lockdown and previous group attendees utilised one-to-one support. We have also offered a range of practical support to families including food, reconditioned laptops, mobile data and children’s Christmas gifts. Lidl customers generously donated food to us each week such that our meeting room was repurposed as a food bank. The Salvation Army and local parents collected and wrapped wonderful gifts for the children with whom we work, whilst a firm of solicitors created hampers of festive treats for families.
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**Trustees ’ report** 31 March 2021
We tailored our work to be responsive to the individual needs of our clients, and recognised that domestic violence and safeguarding were more likely to be prevalent issues. Our bespoke domestic violence intervention was reshaped during lockdown into a Relationships Group.
Our work with fathers has been expanded during the year, as we have been successful in securing new funding for 2 new fathers’ workers posts from Comic Relief and Department of Health and Social Care. Appointments have been made to the new roles from early 2021 for these 3-year projects.
5. To continue the development of Securing Change, a service for parents who leave assessments with or without their child;
Our work was expanded last year to include all parents leaving residential assessments both with or without their child. This change has made the implementation easier as it no longer requires waiting for the outcome of court proceedings and is less contentious and disruptive for the families, as it does not focus on the painful prospect of child removal. It also provides much needed support for parents moving back into the community with their child who may have limited support networks. A number of families have had previous children removed from their care but following assessment are returning to the community with their child. We recognise their fragility and the need for additional support to build their confidence.
Work with parents has continued throughout the pandemic, and our project worker has continued to both visit clients and provide virtual support where appropriate. Support has been tailored to individual needs and is wide-ranging, from therapeutic support and advocacy through to practical support to families including food, mobile data and children’s Christmas gifts
Our project social worker reports that parents were particularly pleased to receive the ongoing support from St Michael’s during the pandemic when they were often not able to access other professional support, and were feeling isolated and struggling with their mental health during lockdown.
As the initial project funding is drawing to a close, we are looking at how we can secure income and market the service to Local Authorities to continue this crucial area of work. We welcome the involvement of Middlesex University CATS department who will evaluate the work.
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**Trustees ’ report** 31 March 2021
## 6. To focus on staff recruitment, retention and leadership development;
Throughout the pandemic we have prioritised staff welfare and morale.
Staff have continued to travel into work in our residential centres, and their safety in the workplace and whilst travelling has been our prime concern. We have adapted ways of working in the centres to enable social distancing for both staff and resident families. We also introduced strict cleaning protocols and provided appropriate PPE. We adapted staff shift patterns to minimise travel and limit the number of people on site. Throughout this time, we continued to provide staff support and supervision via a blend of face-toface and virtual sessions. We recognised the particular stresses caused by the pandemic and ensured the services of WeCare were available to staff for counselling and medical support.
The majority of community and head office staff have been home-based, and have also continued to receive support and supervision virtually.
Our senior management team has continued to meet regularly via Zoom. A high level of contingency planning was undertaken at the outset of the lockdown which has enabled services to act responsively to the changing environment.
We have been fortunate to have a very low staff turnover during the year, and have successfully recruited to 2 new posts.
Unfortunately, our difficult financial situation meant that we were not able to make our annual pay review during the year. We were also unable to hold our planned team activities. We hope to rectify both of these areas in 2021.
Work has begun on leadership development and progression, with a formal coaching and leadership programme for managers due to start in 2021-2022.
The murder of George Floyd, the subsequent amplification of the Black Lives Matter movement and the growing awareness of the differential impact on BAME communities of Covid-19 have all combined to prompt us to review our EDI (Equality, Diversity and Inclusion) policies and practice. We want every member of our organisation to feel safe and valued for their uniqueness in the workplace. Having conducted a survey amongst staff we have begun work with staff and trustees with the support of an external consultant.
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**Trustees ’ report** 31 March 2021
## 7. To increase investment in and use of digital technology.
Our digital journey has been greatly accelerated by necessity with the onset of the pandemic, and the need for the majority of staff to work from home.
Thanks to the support of emergency Covid funding, we have invested in new laptops for our community based staff, together with enhanced mobile data to enable their virtual work to continue with clients. We also increased the supply of laptops in the residential centres and improved Wi-Fi connectivity, recognising the importance for families to be able to connect with their wider networks for support when visitors were not allowed.
We have made extensive use of Zoom for client contact and work with other professional bodies, as well as for the majority of internal meetings and regular supervision.
In April 2021 we completed the first phase of moving part of our IT systems to the cloud.
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**Trustees ’ report** 31 March 2021
## **FINANCIAL REVIEW**
## **Results for the year**
The overall deficit for the year was £228,917 (overall surplus for 2019/20: £16,617) following a significant reduction in income generated through charitable activities during the pandemic. This deficit is covered by brought forward reserves, which continue to be strong at 31 March 2021.
The substantial decrease in residential assessment income reflects the restrictions and challenges imposed by the pandemic this year. We continued to operate out of 3 residential centres during the year, and the 4[th] centre that had previously been mothballed was repurposed as a quarantine centre.
Income for our outreach work with young parents was unchanged this year. Our community work has been supported by additional funded projects plus the supervised contact service. The Securing Change project has continued this year; working with parents after they leave assessments, and f urther funding has been received for new fathers’ work.
Income from donations has shown a significant increase since last year as we have continued to seek other sources of funding, especially emergency funding to support our ongoing services. Donations include grants from a number of trusts and foundations plus our individual donor base.
We made a 6% increase in fees charged to Local Authorities to cover the additional costs and new ways of working as a result of the pandemic. We have also continued with tight financial controls over all areas of expenditure.
Due to financial constraints, we did not make a salary increase during the year.
## **Principal risks and uncertainties**
The principal risks faced by St Michael’s and the measures put in place to manage these risks are:
1. The Covid-19 pandemic has had a major impact on the ways we work and the services we offer. This is expected to continue for much of 2021-2022. Specific risk and the mitigation steps are:
- Loss of income due to reduced number of families in residential centres: This is mitigated by changes in staff rotas and a reduction in the use of sessional staff whilst maintaining appropriate staff levels for safeguarding and assessments.
- Additional costs for health and safety and personal protection for both families and staff: We have made a small increase to fees for new admissions to cover the additional costs incurred.
- Impact on staff morale and well-being: All staff continue to receive regular supervision and support from their line manager. We have also introduced a new support package “W eC are” and a facility for regular virtual catch ups. We are encouraging staff to take a break using annual leave.
- Changes in policies and compliance: We are closely monitoring advice given by Government and Ofsted and adapting our ways of working accordingly. We are seeking to utilise support schemes and training wherever possible.
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**Trustees ’ report** 31 March 2021
2. St Michael’s continues to be largely reliant on income from Local Authorities which continue to face funding constraints. Notwithstanding this, we have seen a steady level of interest in our Residential Asses sments, as a result of the charity’s continued focus on providing a high quality and effective service, and an acknowledgement of the continuing levels of need. Whilst it is not possible to mitigate this risk entirely, St Michael’s provides services to a greater number of Local Authorities and continues to develop additional services to meet the varied demands of supporting families. In addition, fundraising activities have been expanded to reduce the dependency on single sources of income.
3. The work of St Michael’s is focussed on ensuring the safeguarding of children in their parents’ care and the safeguarding of the parents, many of whom are ‘adults at risk’. St Michael’s mitigates this risk through its operational procedures including careful planning, setting clear expectations of families and staff, close monitoring within the centres, pre-empting risks, training and supervision of staff and monthly inspections. Our residential centres are also inspected by Ofsted.
4. Staff recruitment and retention is a risk because without full teams we are unable to meet our occupancy targets. St Michael’s seeks to mitigate this risk through investment in staff capacity. Specific measures include annual salary benchmarking, investment in training and supervision, and career development and succession planning.
St Michael’s maintains a detailed risk register and reviews the top risks at every board meeting. Measures have been put in place, to the extent possible, to manage these risks in order to reduce both their like lihood and impact, whether to St Michael’s service users or its reputation and financial position. Significant risks are brought to the attention of the Board as they arise.
## **Investment policy**
The trustees’ investment policy is to ensure that all reserves are held in a form in which their capital value is secure and remain readily available. For this reason, all reserves over and above the day-to-day working capital are held primarily in instant access deposit in the Charities Official Investment Fund, and a smaller amount continues to be invested in an instant access Virgin Charity Account.
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**Trustees ’ report** 31 March 2021
## **Reserves policy**
St Michael’s reserves stand at £911,283 at 31 March 2021 (2020: £1,140,200) and are in two forms: restricted and unrestricted.
## _Restricted reserves_
Restricted funds will be expended in due course in accordance with their restricted purposes. Restricted funds are £253,937 (2020: £135,594).
## _Unrestricted reserves_
Unrestricted funds are retained to meet a number of needs:
The first need is to cover the working capital requirements of the charity. The trustees aim to maintain sufficient reserves to support the day to day expenditures and cash-flow demands, plus sufficient buffer to cover the ongoing operating expenses of the services at times when demand may slacken.
To meet this need, the trustees aim to maintain a General Fund at a minimum level equivalent to one third of the current year’s operating expenses for core services (not met from restricted funds).
The General Fund stands at £614,066 at March 2021 and is equivalent to 4.4 months – operating costs (2020 £259,642 plus £672,174 Operational Contingency fund, equivalent to 5.5 months) as described in previous paragraph.
The second need is to fund initiatives to develop the work of St Michael’s or specific initiatives which cannot be funded by existing revenue streams, via a designated Development Fund. During 2020/21 designated expenditure from the Development Fund – totalled £29,510 (2020 £73,606) comprising £22,082 staff investment, £390 for subsidised contact work, £70 for security equipment in Jigsaw, and £6,968 depreciation charges in respect of assets purchased through this Fund.
– The Development Fund stands at £43,280 at March 2021 (2020 £72,790) comprising:
- £338 for ongoing support of Vardens Road
- £1,930 to purchase security equipment for Jigsaw
- £991 to support supervised contact work
- £5,225 for expenditure on IT equipment, being charged over 3 years
- £34,796 for staff development and investment
The reserves policy is reviewed annually by the trustees.
The trustees consider that the current level of reserves will provide sufficient cover to allow the business to continue to operate during the coronavirus pandemic, including sufficient cover for any changes in the operation of the services during this period, as set out in the earlier sections of this report.
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**Trustees ’ report** 31 March 2021
## **GOING CONCERN**
As set out in the Going Concern section of the Principal Accounting Policies on page 25 of the Financial Statements, the trustees have considered the impact of the pandemic on the charity and have concluded that although there have been and may continue to be some negative consequences, it is appropriate for the charity to continue to prepare its financial statements on the going concern basis.
## **FUTURE PLANS**
The future plans are defined by the strategic plan and key objectives for the year. The immediate priority is continuing to respond to the Covid-19 pandemic and establish new ways of working, with the aim of continuing to provide an effective service for our beneficiaries whilst managing the financial impact on the organisation.
In June 2021, we made the difficult decision to close one of our residential centres that had previously been mothballed (during renovation work and then the pandemic). We recognised that this would be a very difficult time to re-open the centre. A provision has been made for the closure costs. This decision will enable us to focus on rebuilding our core services in the remaining 3 houses, together with our ongoing community work as we move through the pandemic.
## **FUNDRAISING**
St Michael’s Fellowship is committed to its charitable aims, and fundr aises in order to improve the lives and futures of families and to secure the best possible future for their children.
At St Michael’s, our fundraising promise to the general public and all our supporters is that our fundraising, in all its forms, is legal, open, honest and respectful. We will be honest about how donations are used to fulfil our mission, open about the methods we use to raise funds and who we work with, respectful to the wishes, preferences, personal information and circumstances of the people we interact with and we will take all steps necessary to comply with the law and fundraising practice standards.
We have a robust complaints policy and have not received any complaints in relation to our fundraising activities. We do not use third party fundraisers, commercial participators or their representatives to raise funds for us.
Our fundraising is compliant with the Fundraising Regulator as well as Charity Commission guidance. Our approach has been informed by the Institute of Fundraising’s guidance on treating donors fairly and General Data Protection Regulation (GDPR).
We have been assessed as complying with the IASME Governance Standard v4 published April 2016, which includes an assessment of Cyber Essentials and GDPR Requirements.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
The organisation is a charitable company limited by guarantee, incorporated on 23 March 1994 and registered as a charity on 31 March 1994. The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association.
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**Trustees ’ report** 31 March 2021
All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in Note 7 to the accounts.
St Michael's board of trustees is also the board of directors under company law. The board meets formally six times a year. An additional six meetings have been held this year in response to the pandemic. The board of trustees delegates to the Chief Executive the responsibility for managing all the day-to-day affairs of the organisation that fall within the scope of an annually agreed budget and operating plan. The Honorary Treasurer maintains contact with the Chief Executive and the Accountant to review the development and improvement of financial systems and procedures. He does this under authority delegated by the full board of trustees and in accordance with the board's financial procedures manual. To support the work of the Board there are four sub-committees chaired by trustees and reporting to the Board:
- The Honorary Treasurer chairs the Finance Committee and oversees budgetary control with the Chief Executive. This committee considers financial matters, proposals and issues of risk before presentation to the Board.
- The Fundraising Committee advises on fundraising strategy and meets as necessary regularly to review strategy and to support the organisation of events.
- A Trustee is assigned to each of the residential family assessment centres and the outreach services and these trustees meet as a Services sub-committee twice a year with the Deputy Director to discuss housing issues, monthly inspections and practice matters.
- A new EDI Committee was formed in 2020 to oversee our review of EDI policies and practice.
The organisation's occupancy of the houses in which it provides its residential services is governed by management agreements with London and Quadrant Housing Trust and Optivo.
The board of trustees has worked to apply the recommended practice of the Charity Governance Code. It has produced and adopted a Governance Manual to provide guidance to trustees and staff involved in the governance and management of the organisation. In July 2021 minor changes were made to the Governance Manual in respect of the Integrity principle and similar work will follow in respect of the EDI principle.
The trustees believe that the diversity of the service users and staff should be reflected in the makeup of the Board. It recognises that diversity in all its forms leads to a more effective Board. The Board regularly reviews skills, experience and diversity of its members to inform trustee recruitment, and shall consider plans to recruit to vacant positions to enhance this diversity.
The Board annually reviews and assesses its own performance and the performance of its sub-committees. The appraisal of the Chair is carried out by the Deputy Chair having gathered the views of other trustees.
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**Trustees ’ report** 31 March 2021
The Board ensures conflicts of interest and duties are properly addressed and has drawn up a conflicts of interest policy and maintains a register of interests. At the start of each Board meeting all trustees are asked to confirm that they have no conflicts of interest in respect of St Michael’s business.
Under company law we are required to identify the people with significant control (PSC) over the company and confirm their information, maintain a record and provide this information to Companies House annually. We, as a Board, have considered this requirement and do not believe that any Board member or member of staff has significant control over the organisation. Our PSC register reflects this position.
Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The total number of such guarantees at 31 March – 2021 was 12 (2020 12). The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.
## **Appointment of trustees**
The trustees give their time voluntarily. Trustees have been recruited by advertisement in the main and occasionally by word of mouth, as and when new appointments need to be made in accordance with a matrix of skills and experience that the board has agreed to be required. New trustees are inducted by way of personal briefings as required, an induction pack and the support of a more experienced trustee. All trustees are required to complete ‘an introduction to safeguarding’ and are given further opportunities for trustee training by attending relevant conferences and seminars. Trustees are appointed to the board by the existing trustees. The trustees are the members of the charitable company.
## **Remuneration policy for key management personnel**
To deliver our charitable aims, St Michael’s employs sufficient staff with the necessary skills and qualifications. We are committed to ensuring that we pay our staff a fair and appropriate salary that is within our means. This is so we can attract and retain people with the right skills and therefore have the greatest impact in delivering our objectives. We recognise that our rates of pay are generally less than in the private or public sector but we believe that the training and development we offer compensates along with a shared commitment to our charitable purpose. We utilise the National Joint Council pay scales for all staff and any overall change to the rates of pay or to the salaries of senior staff is made by the Board. The pension provisions for all staff regardless of seniority are the same. The remuneration – ratio (highest paid versus the median salary) is 2.13:1 (2020 2.16:1). We do not pay less than the London Living wage.
## **Trustees' responsibilities statement**
The trustees (who are also directors of St Michael’s Fellowship 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 charity and of the income and expenditure of the charity for that period.
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**Trustees ’ report** 31 March 2021
In preparing these financial statements, the trustees are required to:
- Select suitable accounting policies and then apply them consistently;
- Observe the methods and principles in 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);
- Make judgements and estimates that are reasonable and prudent;
- State whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Each of the trustees confirms that:
- So far as the trustee is aware, there is no relevant audit in formation of which the charity’s
- auditor is unaware; and
- The trustee has taken all the steps that he/she ought to have taken as a trustee in order to make himself/herself aware of any relevant audit information and to establish that the charity’s auditor i s aware of that information.
This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006.
The trustees are responsible for the maintenance and integrity of the charity and financial information i ncluded on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
The trustees’ report has been approved by the trustees on 9 September 2021 and signed on their behalf by:
Loucia Kyprianou Chair
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**Independent auditor’s report** Year to 31 March 2021
## **Independent auditor’s report to the members of St Michael’s Fellowship**
## **Opinion**
We have audited the financial statements of St Michael’s Fellowship (the ‘charitable company’) for the year ended 31 March 2021 which comprise the statement of financial activities, the balance sheet, the statement of cash flows, the principal accounting policies, and the notes to the financial statements. 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 charitable company’s affairs as at 31 March 2021 and of its income and expenditure for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
## **Basis for opinion**
We conducted 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 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 t rustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report and Financial Statements other than the financial statements and our auditor’s report thereon. 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** Year to 31 March 2021
## **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 is the directors’ rep ort for the purposes of company law, including the strategic report, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the trustees’ report, which is the directors’ report for the purpos es of company law, including the strategic 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 charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report, including the strategic report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees’ remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of trustees**
As explained more fully in the trust ees’ responsibilities statement, the trustees 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, di sclosing, 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.
St Michael’s Fellowship **18**
## **Independent auditor’s report** Year to 31 March 2021
## **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 re port 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:
_How the audit was considered capable of detecting irregularities including fraud_
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
- the Senior Statutory Auditor ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
- we identified the laws and regulations applicable to the charitable company through discussions with management, and from our knowledge and experience of the sector;
- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the charitable company, including the Charities Act 2011, Companies Act 2006, data protection legislation, antibribery, safeguarding, employment, health and safety legislation;
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
St Michael’s Fellowship **19**
## **Independent auditor’s report** Year to 31 March 2021
## **Auditor’s responsibilities for the audit of the financial statements** (continued)
We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls, we:
- performed analytical procedures to identify any unusual or unexpected relationships;
- tested journal entries to identify unusual transactions;
- assessed whether judgements and assumptions made in determining the accounting estimates set out in the accounting policies were indicative of potential bias; and
- used data analytics to identify any significant or unusual transactions and identify the rationale for them.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
- agreeing financial statement disclosures to underlying supporting documentation;
- reading the minutes of trustee meetings;
- enquiring of management as to actual and potential litigation and claims; and
- reviewing any available correspondence with HMRC and the company’s legal advisors (although none was noted as being received by the charitable company).
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
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.
St Michael’s Fellowship **20**
## **Independent auditor’s report** Year to 31 March 2021
## **Use of our report**
This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.
## 28.9.2021
Hugh Swainson (Senior Statutory Auditor) For and on behalf of Buzzacott LLP, Statutory Auditor 130 Wood Street London EC2V 6DL
St Michael’s Fellowship **21**
## **Statement of financial activities** Year to 31 March 2021
## (including income and expenditure account)
|Notes|**Restricted**
**fund**
**£**|**Unrestricted**
**funds**
**£**|**Total**
**funds**
**2021**
**£**|Restricted
fund
£
8,198
—
4,805
368,886
2,160
384,049
3,400
8,208
406,266
2,014
419,888
(35,839)
22,957
(12,882)
148,476
135,594|Unrestricted
funds
£|Total
funds
2020
£|
|---|---|---|---|---|---|---|
|**Income from:**
Donations
1
Interest receivable
Charitable activities:
. Residential and community
assessment
2a
. Community projects
2b
. Residents grants fund
13
**Total income**
**Expenditure on:**
Raising funds
Charitable activities
. Residential and community
assessment
. Community projects
. Residents grants fund
13
**Total expenditure**
3
**Net income (expenditure)**
5
Transfers between funds
13
**Net movement in funds**
**Reconciliation of funds**
Fund balances brought forward
at 1 April 2020
**Fund balances carried forward**
**at 31 March 2021**
13|
**18,980**
**—**
**2,000**
**506,883**
**4,000**|**248,818**
**1,032**
**1,253,193**
**21,456**
**—**|**267,798**
**1,032**
**1,255,193**
**528,339**
**4,000**||117,762
3,093
1,909,110
43,096
—|125,960
3,093
1,913,915
411,982
2,160|
||**531,863**|**1,524,499**|**2,056,362**||2,073,061|2,457,110|
||**7,000**
**14,164**
**388,680**
**4,135**|**109,474**
**1,703,462**
**58,364**
**—**|**116,474**
**1,717,626**
**447,044**
**4,135**||86,915
1,872,131
61,559
—|90,315
1,880,339
467,825
2,014|
||
**413,979**|**1,871,300**|**2,285,279**||2,020,605|2,440,493|
||
**117,884**
**459**|**(346,801)**
**(459)**|**(228,917)**
—||52,456
(22,957)|16,617
—|
||**118,343**
135,594|**(347,260)**
1,004,606|**(228,917)**
**1,140,200**||29,499
975,107|16,617
1,123,583|
||
**253,937**|**657,346**|**911,283**||1,004,606|1,140,200|
All of the above results are derived from material continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 13 to the financial statements.
St Michael’s Fellowship **22**
## **Balance sheet** 31 March 2021
|Notes|
**2021**
**£**|**2021**
**£**|2020
£|2020
£|
|---|---|---|---|---|
|**Fixed assets**
Tangible assets
9
**Current assets**
Debtors
10
Cash at bank and in hand
**Creditors**: amounts falling due
within one year
11
**Net current assets**
**Total net assets**
12
**Funds**
Restricted funds
Unrestricted funds
. Designated funds
. General funds
**Total funds**
13|
**185,859**
**925,805**|**22,225**|308,529
976,344|18,393|
|||**889,058**||1,121,807|
||**1,111,664**
**222,606**||1,284,873
163,066||
||
||||
|||**911,283**||1,140,200|
|||**253,937**
**43,280**
**614,066**||135,594
744,964
259,642|
|||**911,283**||1,140,200|
Approved by the trustees of St Michael’s Fellowship, Company Registration Number 02914273 (England and Wales), 9 September 2021, and signed on their behalf by:
**----- Start of picture text -----**
Loucia Kyprianou
Chair
**----- End of picture text -----**
St Michael’s Fellowship **23**
**Statement of cash flows** 31 March 2021
|Notes|
**2021**
**£**|2020
£|
|---|---|---|
|**Cash flows from operating activities:**
**Net (expenditure)/income for the year (as per the financial**
**statements)**
Depreciation charges
Interest receivable
Decrease in debtors
Increase in creditors
**Net cash (used in) provided by operating activities**
**Cash flows from investing activities:**
Interest received
Purchase of fixed assets
**Net cash used in investing activities**
**Change in cash and cash equivalents in the year**
**Cash and cash equivalents at the beginning of the year**
**A**
**Cash and cash equivalents at the end of theyear**
**A**|**(228,917)**
**8,542**
**(1,032)**
**122,670**
**59,540**|16,617
9,714
(3,093)
3,734
46,486|
||**(39,197)**|73,458|
||**1,032**
**(12,374)**|3,093
(19,509)|
||**(11,342)**|(16,416)|
||**(50,539)**
**976,344**|57,042
919,302|
||**925,805**|976,344|
**A Analysis of cash and cash equivalents**
||**2021**
**£**|2020
£|
|---|---|---|
|Cash at bank and in hand
Notice deposits (less than three months)
**Total cash and cash equivalents**|**501,758**
**424,047**|553,136
423,208|
||**925,805**|976,344|
St Michael’s Fellowship **24**
**Principal accounting policies** 31 March 2021
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are laid out below.
## **Basis of preparation**
These financial statements have been prepared for the year to 31 March 2021 with comparative information presented in respect of the year to 31 March 2020.
The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these financial statements.
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (Charities SORP FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Companies Act 2006 and the Charities Act 2011.
The financial statements are presented in sterling and are rounded to the nearest pound.
## **Public benefit entity**
The charitable company meets the definition of a public benefit entity under FRS 102.
## **Critical accounting estimates and areas of judgement**
Preparation of the financial statements requires the trustees to make significant judgements and estimates.
The items in the financial statements where these judgements and estimates have been made include the estimation of the useful economic life of tangible fixed assets and the basis on which the support costs are allocated across the various categories of charitable expenditure.
In addition, the full impact of the current global coronavirus pandemic is still unknown. It is therefore not currently possible to evaluate all the potential implications for the charity’s activities.
## **Going concern**
The trustees have considered the impact of the coronavirus pandemic on the charity taking into account: operational actions taken, strength of liquidity and reserves, current levels of activity and operating forecasts.
The trustees have concluded that although there have been and may continue to be some negative consequences and continuing uncertainty, it is appropriate for the charity to continue to prepare its accounts on the going concern basis.
The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.
St Michael’s Fellowship **25**
**Principal accounting policies** 31 March 2021
## **Income**
Income is recognised in the period in which the charity has entitlement to the income, the amount of income can be measured reliably and it is probable that the income will be received. Income is deferred only when the charity has to fulfil conditions before becoming entitled to it or where the donor or funder has specified that the income is to be expended in a future accounting period.
Donations are received by way of donations and gifts and is usually included in full in the statement of financial activities when received. Donations received in respect of the London Marathon event are deferred until the Marathon has taken place.
Revenue grants are credited to the statement of financial activities when received or receivable whichever is earlier. Grants received that relate to a specific time period are deferred if it is outside the accounting period.
Coronavirus Job Retention Scheme grants are credited to the statement of financial activities when the charity has entitlement to the income and when the amount receivable has been quantified.
Fee and contract income is credited to the statement of financial activities in the period in which it is receivable and where any performance conditions attached to the income have been met. Any fee income received in advance of the financial period to which it relates is deferred and recognised in line with the period over which the related activity will be undertaken.
## **Donations of gifts, services and facilities**
Donated professional services and donated facilities are recognised as income when the charity has received the service, any conditions associated with the donation have been met, and the economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), volunteer time is not recognised. Trustees give their time voluntarily.
On receipt, donated gifts, 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.
## **Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably; this is normally upon notification of the interest paid or payable by the bank.
## **Expenditure and irrecoverable VAT**
Expenditure is recognised in the period in which they are incurred. Expenditure includes attributable VAT which cannot be recovered.
Expenditure on raising funds relate to the costs incurred by the charitable company in raising funds for the charitable work, as well as the cost of any activities with a fundraising purpose. Specifically, this includes the Bonds payable for the runners in the London Marathon.
St Michael’s Fellowship **26**
**Principal accounting policies** 31 March 2021
## **Expenditure and irrecoverable VAT** (continued)
Where information about the aims, objectives and projects of the charity is provided to potential beneficiaries, the costs associated with this publicity are allocated to charitable expenditure.
Where such information about the aims, objectives and projects of the charity is also provided to potential donors, activity costs are apportioned between fundraising and charitable activities on the basis of the area of literature occupied by each activity.
Expenditure is allocated to a particular activity where the cost relates directly to that activity.
Support costs for the overall direction and administration of each activity, comprising the salary and overhead cost of the central function, are apportioned on the following basis:
- Support costs are allocated and reported to community projects on the basis of the funding agreement but internally are budgeted and attributed on a full cost recovery basis.
- Remaining support costs are apportioned to the residential assessment centres based on the number of rooms available for residents in each house, which is an estimate of the amount attributable to each activity.
Note 4 shows how support costs have been re-allocated to the residential assessment centres and community projects.
Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities. Governance costs have been apportioned across residential assessment centres and community projects based on the income ratios of each activity.
## **Tangible fixed assets**
Items of equipment are capitalised where the purchase price exceeds £2,000. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.
Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:
|House fixtures and fittings|10 years|(10%)|
|---|---|---|
|House equipment|4 years|(25%)|
|Head office leasehold|10 years|(10%)|
|Head office equipment–telephone system|10 years|(10%)|
|Head office equipment–equipment|4 years|(25%)|
St Michael’s Fellowship **27**
**Principal accounting policies** 31 March 2021
## **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 with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **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.
## **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.
## **Fund accounting**
Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund.
Unrestricted funds are maintenance fees, grants, charges, donations and other incoming resources receivable or generated for the objects of the charity.
Designated funds are unrestricted funds earmarked by the trustees for particular purposes.
The charity transfers funds from unrestricted funds to restricted funds where there has been higher expenditure in running a project than the funds provided. Transfers of funds also are made from general funds to designated funds in order to reach the specified target balances of the designated funds. No transfers are made out of restricted funds without written authority from the original funder.
## **Operating leases**
Rentals payable under operating leases, where substantially all the risks and rewards of ownership remain with the lessor, are charged to the statement of financial activities in the year in which they fall due.
## **Pensions**
The charitable company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charitable company in an independently administered fund. The pension cost charge represents contributions payable under the scheme by the charitable company to the fund. The charitable company has no liability under the scheme other than for the payment of those contributions.
St Michael’s Fellowship **28**
**Notes to the financial statements** Year to 31 March 2021
## **1 Income from donations**
|**Income from donations**||||
|---|---|---|---|
||**Restricted**
**funds**
**£**|**Unrestricted**
**funds**
**£**|
**2021**
**Total**
**funds**
**£**|
|London Marathon
Uxbridge Foundation
Dyers Company
Small Trust Appeal
Rathbone Redfern
University of Sussex Graduate Internship
City of London–Emergency Grants
Invesco Cares Foundation
London & Quadrant Housing Trust
Fishmongers
Julia and Hans Rausing Trust
Jet Charitable Trust
KPMG Foundation
Tudor Trust - Wellbeing
Sir Jules Thorn Trust
Gift in kind
Other–CJRS furlough grants
Other donations|**—**
**—**
**—**
**—**
**—**
**7,000**
**—**
**—**
**9,980**
**—**
**—**
**—**
**—**
**2,000**
**—**
**—**
**—**
**—**|**5,753**
**1,000**
**1,000**
**1,550**
**1,000**
**—**
**80,927**
**3,000**
**—**
**4,000**
**50,157**
**1,000**
**9,500**
**—**
**1,250**
**58,232**
**8,223**
**22,226**|**5,753**
**1,000**
**1,000**
**1,550**
**1,000**
**7,000**
**80,927**
**3,000**
**9,980**
**4,000**
**50,157**
**1,000**
**9,500**
**2,000**
**1,250**
**58,232**
**8,223**
**22,226**|
||**18,980**|**248,818**|**267,798**|
||_Restricted_
_funds_
_£_|_Unrestricted_
_funds_
_£_|_2020_
_Total_
_funds_
_£_|
|---|---|---|---|
|_London Marathon_
_Ride London_
_Channel Swim_
_Uxbridge Foundation_
_Dyers Company_
_Small Trust Appeal_
_Elizabeth & Prince Zaiger Trust_
_University of Sussex Graduate Internship_
_Gibbs Charitable Trust_
_Sir Walter St John’s Educational Charity_
_Jet Charitable Trust_
_29th May Trust_
_Sir Jules Thorn Trust_
_S G Rabagliati Charity_
_Baring Foundation_
_Tessa Baring– in memoriam donation_
_Gift in kind_
_Other donations_|_—_
_—_
_—_
_—_
_—_
_—_
_—_
_3,400_
_500_
_1,298_
_—_
_—_
_—_
_3,000_
_—_
_—_
_—_
_—_|_20,172_
_6,914_
_4,794_
_1,000_
_1,000_
_15,193_
_5,000_
_—_
_—_
_—_
_500_
_5,000_
_750_
_—_
_10,000_
_8,500_
_22,534_
_16,405_|_20,172_
_6,914_
_4,794_
_1,000_
_1,000_
_15,193_
_5,000_
_3,400_
_500_
_1,298_
_500_
_5,000_
_750_
_3,000_
_10,000_
_8,500_
_22,534_
_16,405_|
||_8,198_|_117,762_|_125,960_|
St Michael’s Fellowship **29**
## **Notes to the financial statements** Year to 31 March 2021
## **2 Income from charitable activities**
## _**a. Residential and community assessment**_
|**_Residential and community assessment_**||||
|---|---|---|---|
||**Restricted**
**funds**
**£**|**Unrestricted**
**funds**
**£**|
**2021**
**Total**
**funds**
**£**|
|General fees
Parental support
Supporting people
Charges
ASYE Department for Education
Other–CJRS furlough grants|**—**
**—**
**—**
**—**
**2,000**
**—**|**1,215,358**
**8,050**
**12,832**
**5,016**
**—**
**11,937**|**1,215,358**
**8,050**
**12,832**
**5,016**
**2,000**
**11,937**|
||**2,000**|**1,253,193**|**1,255,193**|
||_Restricted_
_funds_
_£_|_Unrestricted_
_funds_
_£_|_2020_
_Total_
_funds_
_£_|
|_General fees_
_Parental support_
_Supporting people_
_Charges_
_ASYE Department for Education_|_—_
_2,805_
_—_
_—_
_2,000_|_1,855,100_
_35,566_
_12,718_
_5,726_
_—_|_1,855,100_
_38,371_
_12,718_
_5,726_
_2,000_|
||_4,805_|_1,909,110_|_1,913,915_|
## _**b. Community projects**_
|**_Community projects_**||||
|---|---|---|---|
||**Restricted**
**funds**
**£**|**Unrestricted**
**funds**
**£**|
**2021**
**Total**
**funds**
**£**|
|Lambeth Outreach Young Parents
National Children’s Bureau
City Bridge Trust
Segelman Trust
St James’ Place Foundation
Caring Dads Programmes
National Lottery Community Fund
KPMG Foundation
Tudor Trust
Comic Relief
Dep’t of Health and Social Care
Other–CJRS furlough grants
Other|**150,000**
**1,000**
**46,675**
**30,000**
**64,588**
**—**
**75,614**
**15,500**
**10,000**
**28,783**
**82,053**
**---**
**2,670**|**—**
**—**
**—**
**—**
**—**
**12,529**
**—**
**—**
**—**
**—**
**—**
**8,927**
**---**|**150,000**
**1,000**
**46,675**
**30,000**
**64,588**
**12,529**
**75,614**
**15,500**
**10,000**
**28,783**
**82,053**
**8,927**
**2,670**|
||**506,883**|**21,456**|**528,339**|
St Michael’s Fellowship **30**
## **Notes to the financial statements** Year to 31 March 2021
## **2 Income from charitable activities** (continued)
- _**b. Community projects** (continued)_
|**_Community projects_**_(continued)_||||
|---|---|---|---|
||_Restricted_
_funds_
_£_|_Unrestricted_
_funds_
_£_|_2020_
_Total_
_funds_
_£_|
|_Lambeth Outreach Young Parents_
_Lambeth CLIPS_
_National Children’s Bureau_
_City Bridge Trust_
_Segelman Trust_
_St James’ Place Foundation_
_Caring Dads Programmes_
_Big Lottery Fund_
_Tudor Trust_
_Pilgrim Trust_
_Other_|_150,000_
_4,537_
_24,055_
_34,500_
_30,000_
_63,322_
_500_
_36,972_
_10,000_
_15,000_
_—_|_—_
_—_
_—_
_—_
_—_
_—_
_42,833_
_—_
_—_
_—_
_263_|_150,000_
_4,537_
_24,055_
_34,500_
_30,000_
_63,322_
_43,333_
_36,972_
_10,000_
_15,000_
_263_|
||_368,886_|_43,096_|_411,982_|
## **3 Total expenditure**
||**Costs of**
**raising**
**funds**
**£**|**Residential**
**and**
**community**
**assessment**
**£**|**Community**
**projects**
**£**|**Residents**
**grants fund**
**£**|**Governance**
**costs**
**£**|**Support**
**costs**
**£**|**2021**
**Total**
**£**|
|---|---|---|---|---|---|---|---|
|Staff costs (note 6)
Premises costs
Maintenance
Insurance
Professional fees
Housing association
charges
Communications and
stationery
Publicity
Residents’ welfare
Depreciation
Audit and
accountancy
Travel
Sundry expenses
**Total expenditure**
Reallocation of
support costs (note 4)
Reallocation of
governance costs
**Total expenditure**|**26,922**
**_—_**
**290**
**_—_**
**_—_**
**_—_**
**2,825**
**4,965**
**_—_**
**_—_**
**_—_**
**_—_**
**54,662**|**1,188,116**
**58,047**
**27,149**
**_—_**
**9,403**
**88,846**
**45,568**
**_—_**
**3,585**
**3,833**
**_—_**
**2,230**
**_—_**|
**377,528**
**_—_**
**380**
**_—_**
**_—_**
**_—_**
**4,580**
**_—_**
**10,966**
**_—_**
**_—_**
**5,653**
**_—_**|**_—_**
**_—_**
**_—_**
**_—_**
**_—_**
**_—_**
**_—_**
**4,135**
**_—_**
**_—_**
**_—_**
**_—_**
**_—_**|**15**
**_—_**
**_—_**
**_—_**
**660**
**_—_**
**65**
**_—_**
**_—_**
**_—_**
**11,100**
**_—_**
**_—_**|**242,802**
**52,319**
**5,535**
**16,465**
**3,187**
**_—_**
**2,512**
**25,545**
**620**
**644**
**_—_**
**4,127**
**_—_**|**1,835,383**
**110,366**
**33,354**
**16,465**
**13,250**
**88,846**
**55,550**
**34,645**
**15,171**
**4,477**
**11,100**
**12,010**
**54,662**|
||**89,664**|**1,426,777**|
**399,107**|**4,135**|**11,840**|**353,756**|**2,285,279**|
||**23,607**
**3,203**|**267,716**
**23,133**|
**38,684**
**9,253**|**_—_**
**_—_**|**23,749**
**(35,589)**|**(353,756)**
**_—_**|**_—_**
**_—_**|
||**116,474**|**1,717,626**|
**447,044**|**4,135**|**_—_**|**_—_**|**2,285,279**|
St Michael’s Fellowship **31**
**Notes to the financial statements** Year to 31 March 2021
## **3 Total expenditure** (continued)
||_Costs of_
_raising funds_
_£_|_Residential_
_and_
_community_
_assessment_
_£_|_Community_
_projects_
_£_|_Residents_
_grants fund_
_£_|_Governance_
_costs_
_£_|_Support_
_costs_
_£_|_2020_
_Total_
_£_|
|---|---|---|---|---|---|---|---|
|_Staff costs (note 6)_
_Premises costs_
_Maintenance_
_Insurance_
_Professional fees_
_Housing association_
_charges_
_Communications and_
_stationery_
_Publicity_
_Residents’ welfare_
_Depreciation_
_Audit and_
_accountancy_
_Travel_
_Sundry expenses_
_Total expenditure_
_Reallocation of_
_support costs (note 4)_
_Reallocation of_
_governance costs_|_22,119_
_—_
_—_
_—_
_900_
_—_
_3,977_
_13,364_
_—_
_—_
_—_
_—_
_22,534_|_1,378,241_
_22,930_
_31,111_
_—_
_9,538_
_91,928_
_45,723_
_—_
_2,861_
_3,833_
_—_
_3,372_
_3,366_|
_382,818_
_—_
_422_
_—_
_1,000_
_—_
_2,598_
_244_
_26,991_
_—_
_—_
_2,161_
_595_|_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_2,014_
_—_
_—_
_—_
_—_|_15_
_—_
_—_
_—_
_13_
_—_
_21_
_—_
_—_
_—_
_11,760_
_89_
_—_|_250,330_
_51,979_
_2,115_
_15,625_
_1,000_
_—_
_26,019_
_—_
_173_
_5,881_
_—_
_140_
_693_|_2,033,523_
_74,909_
_33,648_
_15,625_
_12,451_
_91,928_
_78,338_
_13,608_
_32,039_
_9,714_
_11,760_
_5,762_
_27,188_|
||_62,894_|_1,592,903_|
_416,829_|_2,014_|_11,898_|_353,955_|_2,440,493_|
||_24,859_
_2,562_|_262,169_
_25,267_|
_46,461_
_4,535_|_—_
_—_|_20,466_
_(32,364)_|_(353,955)_
_—_|_—_
_—_|
|_Total expenditure_|_90,315_|_1,880,339_|
_467,825_|_2,014_|_—_|_—_|_2,440,493_|
## **4 Support costs**
|**Support costs**||||||
|---|---|---|---|---|---|
||**Costs of**
**raising**
**funds**
**£**|
**Residential**
**and**
**community**
**assessment**
**£**|
**Community**
**projects**
**£**|
**Governance**
**£**|**2021**
**Total**
**£**|
|Head office staff
Premises costs
Maintenance
Insurance
Professional fees
Communications and
stationery
Publicity
Residents’ welfare
Depreciation
Travel|**11,908**
**6,457**
**101**
**2,032**
**_—_**
**2,512**
**15**
**_—_**
**582**
**_—_**|**207,681**
**24,214**
**5,095**
**7,620**
**3,187**
**_—_**
**17,107**
**571**
**62**
**2,179**|**1,242**
**20,666**
**324**
**6,504**
**_—_**
**_—_**
**8,041**
**47**
**_—_**
**1,860**|**21,971**
**982**
**15**
**309**
**_—_**
**_—_**
**382**
**2**
**_—_**
**88**|**242,802**
**52,319**
**5,535**
**16,465**
**3,187**
**2,512**
**25,545**
**620**
**644**
**4,127**|
||**23,607**|**267,716**|**38,684**|**23,749**|**353,756**|
St Michael’s Fellowship **32**
## **Notes to the financial statements** Year to 31 March 2021
## **4 Support costs** (continued)
||_Costs of_
_raising funds_
_£_|
_Residential_
_and_
_community_
_assessment_
_£_|
_Community_
_projects_
_£_|
_Governance_
_£_|_2020_
_Total_
_£_|
|---|---|---|---|---|---|
|_Head office staff_
_Premises costs_
_Maintenance_
_Insurance_
_Professional fees_
_Communications and_
_stationery_
_Residents’ welfare_
_Depreciation_
_Travel_
_Sundry expenses_|_12,471_
_6,415_
_253_
_1,928_
_—_
_2,978_
_—_
_756_
_—_
_58_|_216,559_
_21,864_
_927_
_6,573_
_1,000_
_12,037_
_173_
_2,474_
_140_
_422_|_2,401_
_22,871_
_902_
_6,875_
_—_
_10,619_
_—_
_2,587_
_—_
_206_|_18,899_
_829_
_33_
_249_
_—_
_385_
_—_
_64_
_—_
_7_|_250,330_
_51,979_
_2,115_
_15,625_
_1,000_
_26,019_
_173_
_5,881_
_140_
_693_|
||_24,859_|_262,169_|_46,461_|_20,466_|_353,955_|
## **5 Net (expenditure) income for the year**
|**Net (expenditure) income for the year**|||
|---|---|---|
||**2021**
**£**|2020
£|
|Depreciation
Auditor’s remuneration
. Audit
Operating lease rentals
. Equipment
. Property|**8,542**
**9,750**
**35,366**
**136,539**|9,714
9,800
27,330
124,418|
## **6 Analysis of staff costs, cost of key management personnel, and trustee remuneration and expenses**
Staff costs were as follows:
||**2021**
**£**|2020
£|
|---|---|---|
|Salaries and wages
Social security costs
Employer's contribution to defined contribution pension schemes
Sessional staff
Agency staff
Other staff costs|**1,257,281**
**151,127**
**89,292**
**292,342**
**20,601**
**24,740**|1,308,589
164,490
76,071
435,365
15,066
33,942|
||**1,835,383**|2,033,523|
1 employee earned between £70,000-£80,000 (2020: 1 employee between £60,000£70,000)
The total employee benefits including employer’s pension contributions and national insurance of the key management personnel were £184,628 (2020: £182,886).
St Michael’s Fellowship **33**
**Notes to the financial statements** Year to 31 March 2021
## **6 Analysis of staff costs, cost of key management personnel, and trustee remuneration and expenses** (continued)
The charity trustees were not paid nor received any other benefits from employment with the charity in the year (2020: £nil). No charity trustee received payment for professional or other services supplied to the charity (2020: £nil).
No trustees' expenses (2020: none) were incurred by members relating to attendance at meetings of the trustees.
The average number of employees, including sessional staff, employed during the year was as follows:
||Headcount (number of staff
employed)|Headcount (number of staff
employed)|
Full-time equivalent|
Full-time equivalent|
|---|---|---|---|---|
||**2021**|2020|**2021**|2020|
||**No.**|No.|**No.**|No.|
|Social and care workers
Management|**56.60**
**9.80**|83.38
7.70|**35.85**
**6.48**|42.62
5.99|
||**66.40**|91.08|**42.33**|48.61|
## **7 Related party transactions**
There are no related party transactions to disclose for 2021 (2020: none).
Aggregate donations from related parties were £563 from donations and £nil for marathon/ride donations (2020: £315 donations and £800 marathon donations), all of which arise in the normal course of business.
## **8 Taxation**
The charitable company is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
## **9 Tangible fixed assets**
|**Tangible fixed assets**||||||
|---|---|---|---|---|---|
||Leasehold
improvements
£|Head office
equipment
£|House
fixtures and
fittings
£|House
equipment
£|**Total**
**£**|
|**Cost**
At the start of the year
Additions during the year
At the end of the year
**Depreciation**
At the start of the year
Charge for the year
At the end of the year
**Net book value**
At the end of the year
At the start of theyear|94,687
_—_|50,249
12,374|23,226
_—_|38,282
_—_|**206,444**
**12,374**|
||94,687|62,623|23,226|38,282|**218,818**|
||94,687
_—_|45,403
4,709|16,337
788|31,624
3,045|**188,051**
**8,542**|
||94,687|50,112|17,125|34,669|**196,593**|
||**_—_**|**12,511**|**6,101**|**3,613**|**22,225**|
||—|4,846|6,889|6,658|18,393|
All of the above assets are used for charitable purposes.
St Michael’s Fellowship **34**
## **Notes to the financial statements** Year to 31 March 2021
## **10 Debtors**
|**Debtors**|||
|---|---|---|
||**2021**
**£**|2020
£|
|Trade debtors receivable
Other debtors
Prepayments|**152,927**
**30**
**32,902**|270,491
1,812
36,226|
||**185,859**|308,529|
## **11 Creditors: amounts falling due within one year**
|**Creditors: amounts falling due within one year**|||
|---|---|---|
||**2021**
**£**|2020
£|
|Trade creditors
Taxation and social security
Deferred income
Accruals
Other creditors|**22,606**
**44,018**
**—**
**95,236**
**60,746**|24,260
46,116
3,245
43,342
46,103|
||**222,606**|163,066|
Deferred income related to the 2020 marathon and the full amount brought forward was released into income in 2021. There is no such equivalent in 2021.
## **12 Analysis of net assets between funds**
||**General**
**unrestricted**
**£**|**Designated**
**funds**
**£**|**Restricted**
**funds**
**£**|**2021**
**Total**
**funds**
**£**|
|---|---|---|---|---|
|Tangible fixed assets
Net current assets
Net assets at 31 March 2021|**21,040**
**593,026**|**—**
**43,280**|**1,185**
**252,752**|**22,225**
**889,058**|
||**614,066**|**43,280**|**253,937**|**911,283**|
||_General_
_unrestricted_
_£_|_Designated_
_funds_
_£_|_Restricted_
_funds_
_£_|_2020_
_Total_
_funds_
_£_|
|_Tangible fixed assets_
_Net current assets_
_Net assets at 31 March 2020_|_16,742_
_242,900_|_—_
_744,964_|_1,651_
_133,943_|_18,393_
_1,121,807_|
||_259,642_|_744,964_|_135,594_|_1,140,200_|
Restricted Funds: Fixed assets with a net book value of £1,185 have been purchased with restricted funds (2020: £1,651). This comprises the balance of the Capital Appeal for replacement carpet at one of the residential units which is being depreciated over 10 years.
St Michael’s Fellowship **35**
## **Notes to the financial statements** Year to 31 March 2021
## **13 Movement in funds**
|**Movement in funds**||||||
|---|---|---|---|---|---|
||**At 1 April**
**2020**
**£**|**Income and**
**gains**
**£**|**Expenditure**
**and losses**
**£**|
**Transfers**
**£**|**At 31 March**
**2021**
**£**|
|**Restricted funds:**
Lambeth Outreach Young
Parents
Lambeth Public Health
DWP Caring Dads
City of London, City Bridge
Trust
National Children’s Bureau
CWDC
ASYE Dept. for Education
Foyle Foundation
Residents grants fund
Elizabeth & Prince Zaiger Trust
–Capital
Summer Trips Appeal
University of Sussex Grad.
Internship
Capital Appeal
The Fence Club–5-a-day
Tudor Trust–Wellbeing
London & Quadrant Housing
Trust
National Lottery Community
Fund
Securing Change Appeal
Elizabeth & Prince Zaiger Trust
Philip King Charitable Trust
Segelman Trust
St James’ Place Foundation
KPMG Foundation
Tudor Trust–Securing Change
Pilgrim Trust
Comic Relief
Dep’t of Health & Social Care
CAFCASS
**Total restricted funds**|—
14,317
1,500
—
—
14,554
298
9,051
2,747
1,273
853
—
118
47
—
—
2,704
633
3,521
14,233
—
47,492
341
10,364
11,548
—
—
—|**150,000**
—
—
**46,675**
**1,000**
—**-**
**2,000**
—**-**
**4,000**
—
—
**7,000**
—
—
**2,000**
**9,980**
**75,614**
—
—
—
**30,000**
**64,588**
**15,500**
**10,000**
—
**28,783**
**82,053**
**2,670**|**(150,459)**
**(1,256)**
**—- **
**(46,675)**
**(525)**
**(2,163)**
**(1,815)**
**(19)**
**(4,135)**
**(206)**
**—- **
**(7,000)**
**—- **
**(47)**
**—- **
**(9,980)**
**(50,207)**
**(209)**
**(1,164)**
**(4,701)**
**(30,000)**
**(63,639)**
**(10,292)**
**(6,640)**
**(3,814)**
**(10,809)**
**(5,554)**
**(2,670)**|**459**
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—|—
**13,061**
**1,500**
—
**475**
**12,391**
**483**
**9,032**
**2,612**
**1,067**
**853**
—
**118**
—
**2,000**
—
**28,111**
**424**
**2,357**
**9,532**
—**-**
**48,441**
**5,549**
**13,724**
**7,734**
**17,974**
**76,499**
—|
||135,594|**531,863**|**(413,979)**|**459**|**253,937**|
|**Unrestricted funds:**
Designated funds:
. Operational contingency fund
. Development fund
Total designated funds
General funds
**Total unrestricted funds**
**Total funds including pension**
**fund**|672,174
72,790|—
—|—
**(29,510)**|**(672,174)**
—|—
**43,280**|
||744,964
259,642|—
**1,524,499**|**(29,510)**
**(1,841,790)**|**(672,174)**
**671,715**|**43,280**
**614,066**|
||1,004,606|**1,524,499**|**(1,871,300)**|**(459)**|**657,346**|
||
1,140,200|**2,056,362**|**(2,285,279)**|—|**911,283**|
A transfer has been made from the General fund to the Restricted Lambeth outreach fund, to cover the expenditure incurred in excess of the funding received, during the year.
A transfer has been made from the Operational Contingency Fund to the General Reserve to repurpose funds no longer required to be separately designated, in accordance with the Reserves Policy.
The narrative to explain the purpose of each fund is given at the foot of the note below.
St Michael’s Fellowship **36**
## **Notes to the financial statements** Year to 31 March 2021
## **13 Movement in funds** (continued)
||_At 1 April_
_2019_
_£_|_Income and_
_gains_
_£_|_Expenditure_
_and losses_
_£_|
_Transfers_
_£_|_At 31 March_
_2020_
_£_|
|---|---|---|---|---|---|
|_Restricted funds:_
_Lambeth Outreach Young_
_Parents_
_Lambeth CLIPS_
_Lambeth Public Health_
_DWP Caring Dads_
_Caring Dads - other_
_City of London, City Bridge_
_Trust_
_National Children’s Bureau_
_CWDC_
_ASYE Dept. for Education_
_Trusthouse Charitable F’n –_
_Jigsaw_
_Foyle Foundation_
_Residents grants fund_
_Buttle UK– Chances for_
_Children_
_Elizabeth & Prince Zaiger Trust_
_– Capital_
_Santander Foundation_
_Summer Trips Appeal_
_University of Sussex Grad._
_Internship_
_Capital Appeal_
_The Fence Club– 5-a-day_
_Sir Walter St John’s_
_Educational Charity_
_Gibbs Charitable Trust_
_Big Lottery Fund_
_Securing Change Appeal_
_Elizabeth & Prince Zaiger Trust_
_Philip King Charitable Trust_
_Esmee Fairbairn Foundation_
_Segelman Trust_
_S G Rabagliati Charity_
_St James’ Place Foundation_
_KPMG Foundation_
_Tudor Trust_
_Pilgrim Trust_
_CAFCASS_
_Total restricted funds_|_—_
_—_
_15,414_
_1,500_
_—_
_—_
_1,217_
_19,586_
_157_
_1,112_
_9,057_
_2,601_
_1,514_
_1,273_
_592_
_1,048_
_—_
_324_
_170_
_—_
_—_
_10,553_
_633_
_4,171_
_19,105_
_22_
_—_
_—_
_46,560_
_341_
_6,210_
_5,316_
_—_|_150,000_
_4,537_
_—_
_—_
_500_
_34,500_
_24,055_
_—_
_2,000_
_—_
_—_
_2,160_
_—_
_—_
_—_
_—_
_3,400_
_—_
_—_
_1,298_
_500_
_36,972_
_—_
_—_
_—_
_—_
_30,000_
_3,000_
_63,322_
_—_
_10,000_
_15,000_
_2,805_|_(172,957)_
_(4,537)_
_(1,097)_
_—_
_(500)_
_(34,500)_
_(25,272)_
_(5,032)_
_(1,859)_
_(1,112)_
_(6)_
_(2,014)_
_(1,514)_
_—_
_(592)_
_(195)_
_(3,400)_
_(206)_
_(123)_
_(1,298)_
_(500)_
_(44,821)_
_—_
_(650)_
_(4,872)_
_(22)_
_(30,000)_
_(3,000)_
_(62,390)_
_—_
_(5,846)_
_(8,768)_
_(2,805)_|
_22,957_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_
_—_|_—_
_—_
_14,317_
_1,500_
_—_
_—_
_—_
_14,554_
_298_
_—_
_9,051_
_2,747_
_—_
_1,273_
_—_
_853_
_—_
_118_
_47_
_—_
_—_
_2,704_
_633_
_3,521_
_14,233_
_—_
_—_
_—_
_47,492_
_341_
_10,364_
_11,548_
_—_|
||_148,476_|_384,049_|_(419,888)_|_22,957_|_135,594_|
|_Unrestricted funds:_
_Designated funds:_
_. Operational contingency fund_
_. Development fund_
_Total designated funds_
_General funds_
_Total unrestricted funds_
_Total funds including pension_
_fund_|_674,526_
_146,396_|_—_
_—_|_(2,352)_
_(73,606)_|_—_
_—_|_672,174_
_72,790_|
||_820,922_
_154,185_|_—_
_2,073,061_|_(75,958)_
_(1,944,647)_|_—_
_(22,957)_|_744,964_
_259,642_|
||_975,107_|_2,073,061_|_(2,020,605)_|_(22,957)_|_1,004,606_|
||_1,123,583_|_2,457,110_|_(2,440,493)_|_—_|_1,140,200_|
St Michael’s Fellowship **37**
## **Notes to the financial statements** Year to 31 March 2021
## **13 Movement in funds** (continued)
## **Purposes of restricted funds**
## _Lambeth Outreach Young Parents_
The fund supports delivery of services in the community to young mothers and fathers, up to age of 24 years.
## _Lambeth Public Health_
To enable St Michael's to support the prevention of unintentional injuries in children aged 0 - 5 by funding the supply of home safety equipment and education.
## _DWP Caring Dads Programme_
This fund supports the continued delivery of Caring Dads to young fathers and the development of a film encouraging co-parenting.
## _City of London, City Bridge Trust_
This fund is to support the delivery of services in the community to young mothers and fathers.
## _National Children's Bureau (LEAP)_
This fund is to support parents' groups in the LEAP areas, through the REAL programme (Raising Early Achievement in Literacy).
## _The Children’s Workforce Development Council (CWDC)_
Funds to enable St Michael’s to support the development of newly qualified social workers within the organisation.
## _Assessed and Supported Year in Employment (ASYE) Dept. for Education_
To support newly qualified social workers in their first year of employment.
## _Foyle Foundation_
A grant to support and teach literacy and numeracy across all our services.
## _Residents grants fund_
This fund includes amounts received from various organisations including Housing the Homeless, for specific equipment and other purchases for some of the families as they move to new accommodation. The carried forward funds will be spent in the following year. These funds continue to be segregated in a separate bank account.
## _Elizabeth & Prince Zaiger Trust - Capital_
To support the Capital Appeal to replace furniture, carpets, equipment and toys in St Michael’s.
## _Summer trips Appeal_
To fund summer activities for the families with whom we work.
St Michael’s Fellowship **38**
**Notes to the financial statements** Year to 31 March 2021
## **13 Movement in funds** (continued)
## **Purposes of restricted funds** (continued)
## _University of Sussex Graduate Internship_
Scheme to pay for the employment of a University of Sussex graduate and an undergraduate, to support the fundraising function for 10 weeks.
## _Capital Appeal_
To support the replacement of furniture, carpets, equipment in the Residential Schemes and at Head Office.
## _The Fence Club - 5-a-day_
Funding to purchase the tools and materials to support this programme of parent-child engagement.
## _Tudor Trust – Wellbeing_
To support the wellb eing of St Michael’s staff.
## _London & Quadrant Housing Trust_
This fund is to support the changes in operations and increase in digitisation during the Covid-19 pandemic.
## _National Lottery Community Fund_
This funding supports the Securing Change project, to develop an intensive service of support for parents who leave St Michael's with or without their child.
## _Securing Change Appeal_
To contribute to the costs of providing an intensive service of one to one and group support for parents who leave St Michael's with or without their child.
## _Elizabeth & Prince Zaiger Trust_
To support the Securing Change project (as above).
## _Philip King Charitable Trust_
This funding also supports the Securing Change project (as above).
## _Segelman Trust_
This fund is to support the delivery of community and outreach services for expectant and young parents.
## _St James Place Foundation_
Funding for the post of Outreach Manager, with responsibility for leading a team of skilled practitioners across all areas of Outreach work with young parents.
## _KPMG Foundation_
Funding to support the evaluation of the Securing Change project (as above).
## _Tudor Trust_
To support the Securing Change project (as above).
St Michael’s Fellowship **39**
**Notes to the financial statements** Year to 31 March 2021
## **13 Movement in funds** (continued)
## **Purposes of restricted funds** (continued)
## _Pilgrim Trust_
To support the Securing Change project (as above).
## _Comic Relief_
Funding for a Young Fathers’ practitioner, working with young fathers across Lambeth.
## _Department of Health & Social Care_
Funding for work with young fathers in the community, including partnership with other Lambeth agencies, through the Starting Well project.
## _CAFCASS_
Funding to assist with the provision of supported contact services to children and families.
## **Purposes of designated funds**
## _Operational contingency fund_
This fund was previously designated to reflect the risk to which St Michael’s is exposed through spot-purchased services. The reserves policy was reviewed in 2021, with the trustees’ assessment th at this designated fund is no longer required. Funds have been transferred to the General Fund. The reserves policy is set out in the trustees’ report accompanying these accounts.
## _Development fund_
The development fund was set up to hold monies designated for expenditure on existing and new work subject to the case-by-case approval of the trustees , as set out in the trustees’ report.
## **14 Operating lease commitments**
The charity's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:
||Equipment|Equipment|Property|Property|
|---|---|---|---|---|
||**2021**|2020|**2021**
**£**|2020
£|
||**£**|£|||
|Less than one year
One to five years|**15,761**
**23,641**|27,330
29,345|**93,744**
**146,250**|55,517
—|
||**39,402**|56,675|**239,994**|55,517|
## **15 Contingent assets or liabilities**
At the balance sheet date, the charity has no contingent assets or liabilities (2020: £nil).
## **16 Legal status of the charity**
The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1.
St Michael’s Fellowship **40**