Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee Financial Statements
31 March 2024
COMPANY REGISTRATION NUMBER: 02560195
CHARITY REGISTRATION NUMBER: 1040654
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Financial Statements
Year ended 31 March 2024
| Page | |
|---|---|
| Trustees' annual report (incorporating the director's report) | 1 |
| Independent auditor's report to the members | 10 |
| Statement of financial activities (including income and expenditure account) | 14 |
| Statement of financial position | 15 |
| Statement of cash flows | 16 |
| Notes to the financial statements | 17 |
| The following pages do not form part of the financial statements | |
| Detailed statement of financial activities | 31 |
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report)
Year ended 31 March 2024
The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 March 2024.
Reference and administrative details
Registered charity name Mid Warwickshire Society for Mentally Handicapped Children and Adults Charity registration number 1040654 Company registration number 02560195 Principal office and registered 12 Athena Court office Athena Drive Tachbrook Park Warwick CV34 6RT England The trustees A. Newbold A. Rhead A. Tankard G. Williams K. Ralph M. Porter S. Hodges M. Powell-Brett S. A. Cunningham (Resigned 23 November 2023) Company secretary A. Tankard Auditor Edwards Pearson & White (Audit) Limited Chartered certified accountants & statutory auditor 8 Jury Street Warwick CV34 4EW
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Structure, governance and management
Governing document
The charitable company is a registered charity (with registration number: 1040654) and a private company limited by guarantee, having no share capital (with company number: 02560195). The charitable company was established under a Memorandum and Articles which established the objects and powers of the charitable company and is governed under its Articles of Association agreed at the EGM in March 2013. In the event of the charitable company being wound up, members are required to contribute an amount not exceeding £1.
The charitable company is affiliated to the Royal Mencap Society and pays an annual affiliation fee.
Structure and management
The charity has an executive committee of up to 12 members who meet regularly and are responsible for the strategic direction and policy of the charity. At present the Committee has 8 members from a variety of professional backgrounds relevant to the work of the charity.
A scheme of delegation is in place and day to day responsibility for the provision of the services rest with the Chief Executive along with the Senior Management Team.
The Chief Executive is responsible for ensuring that the charity delivers the services specified and that key performance indicators are met.
The Manager for our Learning Disabilities Services and the Activity Services Manager have responsibility for the day-to-day operational management of the charity, individual supervision of the staff and also ensuring that the team continue to develop their skills and working practices in line with good practice.
Recruitment and appointment of executive committee
The Directors of the company are also charity Trustees for the purposes of charity law and under the company's Articles are known as members of the Executive Committee. Under the requirements of the Memorandum and Articles of Association the members of the Executive Committee are elected to serve annually and must be re-elected at each Annual General Meeting.
The Executive Committee seeks to ensure that the needs of this group are appropriately reflected through the diversity of the trustee body. Business and care skills are well represented on the executive committee.
Some of the current members of the executive committee are related to individuals being supported by it and have long term connections with, and understanding of the charity.
Trustee induction and training
A copy of the Charity Commission's guide "The Essential Trustee" is distributed to all new trustees along with the Memorandum and Articles and the latest financial statements.
New Trustees are invited with opportunities to meet with the CEO and existing trustees to formalise their transition onto the Board.
Staff training
Way Ahead are extremely proud of the dedication of the employees and their commitment to their continuous professional development (CPD).
All new staff commence a full induction into the service which includes the completion of the Care Certificate.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
This involves a full training schedule including titles such as Risk Assessment, Manual Handling, Person Centred Approach, Safeguarding, Equality and Diversity, First Aid and Medication to name some.
Existing staff complete the Care Certificate and regular CPD in line with Health and Social Care expectations and the changing needs of the individuals supported.
Public benefit
The Trustees confirm that they have complied with the Charities Act 2011 to have due regards to the Charity Commission's general guidance on public benefit.
The charity meets these criteria as it provides additional support to individuals supplementing that commissioned by the statutory authorities. The charity also subsidises rents for its properties if individuals experience hardship.
Risk statement
The Trustees have a risk management strategy which reviews thee major risks and implements strategies to minimise risks. A risk register is maintained and reviewed at regular intervals.
Particular attention has been focused on the financial risks with all the changes made by Warwickshire County Council, and its impact on the charity. Health and Safety have also been regularly reviewed. Emphasis has been placed on the systems and procedures to mitigate risks.
The quality audit systems have been focused on with the internal 'Traffic Light' systems being upgraded for Quality audit processes.
A 'Good' report (dated 14th January 2020) was received via the latest CQC inspection and this report can be found on the CQC website: www.cqc.org.uk. Monthly e-mails are received as updates from CQC referencing offsite reviews made against the organisation as part of continued assurances whilst CQCs usual inspection regime remains suspended following COVID.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Objectives and activities
Objectives
Way Ahead Support Services has been providing support in the Warwickshire area for over 50 years.
Way Ahead provides a supportive, enabling services to vulnerable individuals including people with learning disabilities, people with mental ill health and individuals on the Autistic Spectrum.
The person-centred support provided is delivered in an enabling way, encouraging the individual to take control of their lives and to be as independent as possible.
Our aims and objectives are to fully support the person in developing and learning skills to the fullest extent of their abilities and to use these skills with confidence.
Activities and services
Way Ahead provide supported living for people living within 3 converted properties managed by the organisation.
This support is looked at holistically with the person at the centre of everything and is delivered 365 days a year.
Further support is provided to people living within their local communities and within their own homes, owned, rented or living with their families, we call this our Outreach Services. This support is provided with the same ethos, objectives and values.
Way Ahead also provide day opportunities. We call this our Activity Service. We provide our Activity Services both within our main Activity building and on a one-to-one basis. The activities we provide are centred around the wants and needs of the individuals participating. The activities are meaningful, empowering people to maintain and improve upon skills, try something new, work together and establish links with others in the local community, tackling the potential of social isolation and striving to support people in achieving the positive outcomes they are looking for.
Strategic report
The following sections for achievements and performance and financial review form the strategic report of the charity.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Achievements and performance
The year began with the move of head office to our new location at Athena Court. Everyone settled in well to their new surroundings and the reduction in size had a positive effect on keep running costs down. This has helped to reduce the forecast deficit in the annual budget set at the beginning of the financial year.
In 2023 we signed a new contract with the local authority which has secured service provision for a further 5 years. The contract will now enable the board to plan more effectively to ensure long-term stability for all services. With this is mind we have extended the lease on 38 Oakwood Grove with the local authority for a further 21 years as it was due for renewal this year.
Through the year the trustees are updated with the program of maintenance work required at the properties. This year, structural repairs to the rear of Heath Terrace where completed and EPC assessments were carried out at each property. A program of dilapidation works has also been identified at 38 Oakwood Grove which will form part of a 12-month program of ongoing maintenance.
Unfortunately, one of the SMT left the service in September and to date has not been replaced. The trustees would like to extend their gratitude to the remaining SMT for covering this role in the interim.
Way Ahead has made great improvements to moving towards a more digital approach to sharing information this year in an effect to be less paper-based and more secure. Even the Trustees have moved across to using Teams to share sensitive documents and to communicate with the SMT. We would like to thank Emile for the hard work she has put into moving everyone across.
Every year the board look at ways to make sure we are using all of our resources effectively and efficiently. This year we have been looking at potential ways to make use of the empty space upstairs at Netherfield. Various ideas have been explored such as self-contained flats and respite accommodation however the board were mindful that any changes made should not impact on our wonderful Activity Services provided at Netherfield. With this in mind we have been focusing on potentially opening up one side to provide an IT area for staff and individuals, with the other half as individual office spaces. This would allow the Team at Athena Court to move into Netherfield and so reduce overheads further. The plans are in their early stages at the moment, but we will continue to develop the idea over the next 12 months.
We appointed new auditors this year and welcome the support that Edwards, Pearson and White have given to Lorraine and Louise as they navigate the annual audit and for presenting the draft accounts to the Board at out last meeting. We are excited by their fresh approach but would like to thank Tony Curristan and his team at Michael Harwood & Co for the years of support they have previously given Way Ahead in compiling our annual financial statements.
Our Activity Services continued to provide a wonderful variety of activities for individuals this year. The team organised themed days such as Sport's Day, Beach Day, Festival Day and Pirate's Day as well as celebrating special days such as Easter and of course, Birthday's. The spring saw the beginning of work on the garden and planting of sunflowers as part of the Lillington and Cubbington project to grow 10,000 sunflowers in the community. The results were outstanding and adding a real lift particularly to the front entrance area creating a beautiful welcome to the centre. The board are always pleased to see what everyone has been up to and would like to thank Stephanie and her team for circulating the monthly newsletter.
The Board of Trustees would like to extend their gratitude to the Local Authority for their continuing support throughout the past year. The granting of the new 5-year contract to Way Ahead enables management to plan the continuation of services to those in our community who need them with a degree of certainty.
The Board would also like to extend their thanks to the following:
Claverdon Fields Charitable Trust Provincial Grand Lodge Warwickshire Lillington Church PCC Church St Pauls Church Warwick
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
For their kind donations in support of our services.
Recruitment continues to be an issue at Way Ahead as it is within the Social Care sector as a whole. Rates of pay for staff were increased this year to fall in line with the increase in the National Minimum Wage however rates of pay remain woefully uncompetitive to other sectors. We were fortunate to receive an uplift from the local authority which helped to absorb NMW increases and changes to sleep-in rates. At the time of writing this report however the new government has delivered it's Autumn budget. New changes to Employers NI for business was the big headline which will have a big impact on wages expenditure. Further work will need to be carried out to assess exactly how much additional cost this will be when the changes take place in April 2025. Alongside a further increase to the NMW in April 2025, this will need to be considered very carefully when drafting our 25/26 organisation budget.
The Trustees have continued to work closely with the Senior Management team by holding hybrid bi-monthly meetings throughout the year. If we are unable to attend in person we attend virtually. The board analyse quarterly reports demonstrating the cash-flow position in addition to the quarterly variance to the annual budget at the meetings. Trustees are also provided with an overview of how up to date individuals files are and any safeguarding issues there may have been. The board have also been re-assessing the way we monitor risk. We are currently working on a new method of risk assessment by taking each resource separately and seeing what the risks to the service may be and ways to mitigate them. We hope to complete this work over the next year.
Recently, our long serving Chair of 8 years decided to step down, but we are very grateful to Karen for agreeing to stay on as a member of the board. We would like to thank Karen for guiding us through some very difficult times as Chair. We congratulate Michael Powell-Brett who has agreed to step into Karen's shoes and lead the board going forward. The board is always keen to broaden its expertise however and is actively looking for new trustees to refresh the current board.
The final thank you from the Trustees must go to our CEO. Through another extremely difficult year personally, Louise, supported by the Senior Management Team, has maintained her usual diligence and professionalism in providing the Board with detailed reports of everything important to the running of Way Ahead. We greatly appreciate everything you give to the service and would like to congratulate you for completing 30 years at Way Ahead - a huge achievement!
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Financial review
The financial outturn reflected a surplus of £73,753 for the year compared with a deficit of £50,297 on charitable activities in the previous period. The surplus includes a depreciation figure of £14,301 (2023: £32,732) split evenly between the properties and the fixtures and fittings therein. The surplus in the year is attributable to the increase in the rental and social services income in the period with costs largely remaining steady in comparison with the previous period with the exception of the following items: Wages and salaries - increased by £73,353 year on year representing an increased rate of pay for existing staff and an increased average full-time equivalent number of staff employed in the year (41 this year compared to 39 last year).
Light and heat (utilities) - increased by £19,203 (57%) year on year due to external factors outside of the Charity's control. An increase in light and heat bills has been felt across every industry and was anticipated.
Repairs and maintenance - decreased of £25,034 when comparing the current and previous period due to one-off (exceptional) costs incurred in the previous year due to relocation and renovation of the head office.
The charity has continued to present a very healthy balance sheet position with significant bank and cash reserves to support the ongoing activities. The results in their totality are considered to be extremely positive, in what continues to be a challenging sector to operate in.
Reserves policy
The charity has set an ideal level of unrestricted readily available funds equating to 6 months or 182 days' worth of overhead expenditure; these reserves being available to augment the resources provided by Social Services.
At the year end, the level of readily available funds represented 255 days' worth of annual overhead expenditure (2023: 241 days). This very positive level of reserves reflects the careful monitoring of income and costs by management and the Trustees.
As at 31 March 2024, the charity held reserves of £1,328,208 which can be analysed further as follows:
Endowment funds £280,000 Restricted funds £6,004 Unrestricted funds Revaluation reserve £25,000 Other unrestricted reserves £1,017,204
Within unrestricted funds is an amount of £12,864 which has been designated major maintenance costs which may arise in respect of the charity's properties.
The existence of different reserves, and their purposes are explained within accounting policies, in the notes to the financial statements.
The assets representing each of these reserves is detailed out in note 25 to the financial statements.
Going concern
The trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Plans for future periods
The board will continue to strive to develop more effective and robust governance. We recognise that the board is in need of new views and opinions and so will actively seek new trustees to add to our board. We will continue to work on developing our risk management strategy which in turn will aid our business planning practice.
Plans for making the most of the unused space at Netherfield will continue in an effort to maximise the resource but also to provide enhanced services for individuals.
We will need to be mindful of the additional financial burden that the Autumn budget changes will create for 2025/2026 when assessing any plans we may make as we will need to protect our levels of reserves to remain compliant with our reserves policy.
We will continue to support the hard working staff and SMT in all that they do to make our service the best that it can be.
Trustees' responsibilities statement
The trustees, who are also directors 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 charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period.
In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the applicable Charities SORP;
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make judgments and accounting estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and 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.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Auditor
Each of the persons who is a trustee at the date of approval of this report confirms that:
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so far as they are aware, there is no relevant audit information of which the charity's auditor is unaware; and
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they have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information.
The trustees' annual report and the strategic report were approved on 19 December 2024 and signed on behalf of the board of trustees by:
A. Tankard Trustee
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Independent Auditor's Report to the Members of Mid Warwickshire Society for Mentally Handicapped Children and Adults
Year ended 31 March 2024
Qualified opinion
We have audited the financial statements of Mid Warwickshire Society for Mentally Handicapped Children and Adults (the 'charity') for the year ended 31 March 2024 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, except for the effects of the matter described in the basis for qualified opinion section of our report, the financial statements:
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give a true and fair view of the state of the charity's affairs as at 31 March 2024 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;
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have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for qualified opinion
The charity's Freehold Land and Buildings are carried in the statement of financial position at a revalued cost of £625,197. This does not include a freehold property to which the charity have absolute title comprising of 9 leased flats. At the time of the audit the historical cost of the freehold property or its method of acquisition could not be reliably ascertained. Accordingly Freehold Property is materially understated in the financial statements together with its corresponding credit entry.
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity'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 matters
The financial statements of the prior period were audited by a predecessor auditor who expressed an unmodified opinion. The report was issued on 19 December 2024.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Independent Auditor's Report to the Members of Mid Warwickshire Society for Mentally Handicapped Children and Adults (continued)
Year ended 31 March 2024
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the trustees' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
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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 charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' 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:
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adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
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the financial statements are not in agreement with the accounting records and returns; or
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certain disclosures of trustees' remuneration specified by law are not made; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the trustees' responsibilities statement, the trustees (who are also the directors 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 charity'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 charity or to cease operations, or have no realistic alternative but to do so.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Independent Auditor's Report to the Members of Mid Warwickshire Society for Mentally Handicapped Children and Adults (continued)
Year ended 31 March 2024
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:
Our assessment focused on key laws and regulations the company has to comply with and areas of the financial statements we assessed as being more susceptible to misstatement. These key laws and regulations included but were not limited to compliance with the Companies Act 2006, United Kingdom Generally Accepted Accounting Practice and relevant tax legislation.
We are not responsible for preventing irregularities. Our approach to detect irregularity included, but was not limited to, the following:
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An understanding of the legal and regulatory framework applicable to the company and how the company is complying with that framework, including a review of legal and professional nominal codes.
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Obtaining an understanding of the company's policies and procedures and how the company has complied with these, through discussions and sample testing.
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An understanding of the company's risk assessment process, including the risk of fraud.
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Performing audit work over the risk of management override of controls, including testing of journal entries for appropriateness.
Whilst considering how our audit work addressed the detection of irregularities, we also consider the likelihood of detection based on our approach. Irregularities from fraud are inherently more difficult to detect than those arising from error.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. 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. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Independent Auditor's Report to the Members of Mid Warwickshire Society for Mentally Handicapped Children and Adults (continued)
Year ended 31 March 2024
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the group's internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.
Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the group's or the parent company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the group or the parent company to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
A further description of our responsibilities is available on the Financial Reporting Council's website at: https:/ /www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
This report is made solely to the charity'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 charity'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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.
David Pearson (Senior Statutory Auditor)
For and on behalf of Edwards Pearson & White (Audit) Limited Chartered certified accountants & statutory auditor 8 Jury Street Warwick CV34 4EW
19 December 2024
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Statement of Financial Activities (including income and expenditure account)
Year ended 31 March 2024
| 2024 | 2024 | 2023 | ||||
|---|---|---|---|---|---|---|
| Unrestricted | Restricted | Endowment | ||||
| funds | funds | funds | Total funds | Total funds | ||
| Note | £ | £ | £ | £ | £ | |
| Income and endowments | ||||||
| Donations and legacies | 6 | 6,592 | – | – | 6,592 | 4,722 |
| Charitable activities | 7 | 182,545 | 1,307,658 | – | 1,490,203 | 1,333,252 |
| Investment income | 8 | 7,367 | – | – | 7,367 | 2,199 |
| Other income | 9 | 4,636 | – | – | 4,636 | 8,618 |
| ----------------------------- | ------------------------------------- | ------------ | ------------------------------------- | ------------------------------------- | ||
| Total income | 201,140 | 1,307,658 | – | 1,508,798 | 1,348,791 | |
| ============================= | ===================================== | ============ | ===================================== | ===================================== | ||
| Expenditure | ||||||
| Expenditure on raising funds: | ||||||
| Costs of raising | ||||||
| donations and | ||||||
| legacies | 10 | 149 | – | – | 149 | 142 |
| Expenditure on | ||||||
| charitable activities | 11,12 | 114,853 | 1,320,044 | – | 1,434,896 | 1,398,946 |
| ----------------------------- | ------------------------------------- | ------------ | ------------------------------------- | ------------------------------------- | ||
| Total expenditure | 115,002 | 1,320,044 | – | 1,435,045 | 1,399,088 | |
| ============================= | ===================================== | ============ | ===================================== | ===================================== | ||
| ----------------------------- | ------------------------------------- | ------------ | ------------------------------------- | ------------------------------------- | ||
| Net income/(expenditure) | 86,138 | (12,386) | – | 73,753 | (50,297) | |
| ============================= | ===================================== | ============ | ===================================== | ===================================== | ||
| Transfers between funds | (7,459) | 7,459 | – | – | – | |
| ----------------------------- | ------------------------------------- | ------------ | ------------------------------------- | ------------------------------------- | ||
| Net movement in funds | 78,679 | (4,927) | – | 73,753 | (50,297) | |
| Reconciliation of funds | ||||||
| Total funds brought forward | 963,525 | 10,931 | 280,000 | 1,254,456 | 1,304,753 | |
| ------------------------------------- | ------------------------------------- | ----------------------------- | ------------------------------------- | ------------------------------------- | ||
| Total funds carried forward | 1,042,204 | 6,004 | 280,000 | 1,328,208 | 1,254,456 | |
| ===================================== | ===================================== | ============================= | ===================================== | ===================================== |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 17 to 29 form part of these financial statements.
- 14 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Statement of Financial Position
31 March 2024
| 2024 | 2023 | |||
|---|---|---|---|---|
| Note | £ | £ | £ | |
| Fixed assets | ||||
| Tangible fixed assets | 19 | 539,771 | 554,072 | |
| Current assets | ||||
| Debtors | 20 | 115,108 | 93,145 | |
| Cash at bank and in hand | 708,985 | 639,048 | ||
| ----------------------------- | ----------------------------- | |||
| 824,093 | 732,193 | |||
| Prepayments and accrued income | 9,876 | 1,799 | ||
| Creditors:amounts falling due within one year | 21 | 29,110 | 22,878 | |
| ----------------------------- | ----------------------------- | |||
| Net current assets | 804,859 | 711,114 | ||
| ------------------------------------- | ------------------------------------- | |||
| Total assets less current liabilities | 1,344,630 | 1,265,186 | ||
| Accruals and deferred income | 16,421 | 10,730 | ||
| ------------------------------------- | ------------------------------------- | |||
| Net assets | 1,328,209 | 1,254,456 | ||
| ===================================== | ===================================== | |||
| Funds of the charity | ||||
| Endowment funds | 280,000 | 280,000 | ||
| Restricted funds | 6,004 | 10,931 | ||
| Unrestricted funds: | ||||
| Revaluation reserve | 25,000 | 25,000 | ||
| Other unrestricted income funds | 1,017,204 | 938,525 | ||
| ------------------------------------- | ----------------------------- | |||
| Total unrestricted funds | 1,042,204 | 963,525 | ||
| ------------------------------------- | ------------------------------------- | |||
| Total charity funds | 24 | 1,328,208 | 1,254,456 | |
| ===================================== | ===================================== |
These financial statements were approved by the board of trustees and authorised for issue on 19 December 2024, and are signed on behalf of the board by:
A. Tankard Trustee
M. Powell-Brett Trustee
The notes on pages 17 to 29 form part of these financial statements.
- 15 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Statement of Cash Flows
Year ended 31 March 2024
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Cash flows from operating activities | ||
| Net income/(expenditure) | 73,753 | (50,297) |
| Adjustments for: | ||
| Depreciation of tangible fixed assets | 14,301 | 32,732 |
| Other interest receivable and similar income | 175,178 | 162,630 |
| Accrued expenses | 5,691 | – |
| Changes in: | ||
| Trade and other debtors | (30,040) | (15,868) |
| Trade and other creditors | 6,232 | 11,242 |
| ----------------------------- | ----------------------------- | |
| Cash generated from operations | 245,115 | 140,439 |
| Interest received | (175,178) | (162,630) |
| ----------------------------- | ----------------------------- | |
| Net cash from/(used in) operating activities | 69,937 | (22,191) |
| ============================= | ============================= | |
| Cash flows from investing activities | ||
| Purchase of tangible assets | – | (12,353) |
| ----------------------------- | ----------------------------- | |
| Net cash used in investing activities | – | (12,353) |
| ============================= | ============================= | |
| Cash flows from financing activities | ||
| Net increase/(decrease) in cash and cash equivalents | 69,937 | (34,544) |
| Cash and cash equivalents at beginning of year | 639,048 | 673,592 |
| ----------------------------- | ----------------------------- | |
| Cash and cash equivalents at end of year | 708,985 | 639,048 |
| ============================= | ============================= |
The notes on pages 17 to 29 form part of these financial statements.
- 16 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements
Year ended 31 March 2024
1. General information
The charity is a public benefit entity and a private company limited by guarantee, incorporated and registered in England and Wales (with company number: 02560195) and a registered charity in England and Wales (with charity number: 1040654). The address of the registered office is 12 Athena Court, Athena Drive, Tachbrook Park, Warwick, CV34 6RT, England.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity and rounded to the nearest £.
Going concern
There are no material uncertainties about the charity's ability to continue.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
No significant judgements have had to be made by the directors in preparing these financial statements.
- 17 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
3. Accounting policies (continued)
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.
Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment. The funds represent monies set aside to meet major maintenance costs which may arise in respect of the charity's properties.
Restricted funds are subject to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds. The purposes and use of the restricted funds are as follows:
-
Social services fund - represents the receipt and application of monies from Warwickshire County Council Social Services in respect of specific clients.
-
Promotion of Way Ahead support services - grants received specifically towards promoting and marketing the services of Way Ahead including funding the Newsletter, Zoom service and safety online.
-
Purchase of computer tablets and data sims - represents funds received for the purchase of digital equipment to loan out within the community.
-
Provision of virtual sessions - represents the provision of Zoom sessions to reach individuals with learning disabilities who are unable to attend the Netherfield Centre.
The endowment fund represents a freehold property that was acquired following the merger in February 2014 with another charity, Netherfield Management Committee. The property was subject to a restrictive covenant to ensure that it could only be used for charitable purposes.
Incoming resources
All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:
-
income from donations, gifts, subscriptions and legacies are recognised when received.
-
donations and grants received for specific purposes are recognised in the year of receipt. Any unspent amounts are included within restricted funds until they are fully committed.
-
income received in advance is recognised in the accounting period to which it relates.
- 18 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
3. Accounting policies (continued)
Resources expended
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:
-
expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.
-
expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
-
other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.
All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.
Expenditure categories
Expenditure is allocated to one of three categories which reflect the activities of the company:
-
Fund-raising - the generation of income for the charity and include staff costs and fees paid to external fundraising advisors.
-
Maintenance of rental properties - the upkeep and associated costs of the various properties.
-
Support services - the provision of supported living services for persons with learning disabilities living both within the three converted properties managed by Way Ahead, and for persons living within their own homes. The charity also provides day opportunities for individuals with learning disabilities within the main activity services building owned by the charity known as the Netherfield Centre.
Operating leases
Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.
Tangible assets
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Expenditure not exceeding £100 is not capitalised.
An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.
- 19 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
3. Accounting policies (continued)
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Property - over 50 years Improvements to short leasehold - over 21 years property Furniture and equipment - Comp. Equipment (30% RB), F&F (15% RB), Office Partitions (33% SL) Property refurbishment - over 10 years
Due to the specialist nature of the freehold property valued at £280,000 (referred to in note 18) no depreciation has been provided in respect of this asset.
Impairment of fixed assets
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.
For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.
Government grants
Government grants are recognised at the fair value of the asset received or receivable. Grants are not recognised until there is reasonable assurance that the charity will comply with the conditions attaching to them and the grants will be received.
Where the grant does not impose specified future performance-related conditions on the recipient, it is recognised in income when the grant proceeds are received or receivable. Where the grant does impose specified future performance-related conditions on the recipient, it is recognised in income only when the performance-related conditions have been met. Where grants received are prior to satisfying the revenue recognition criteria, they are recognised as a liability.
- 20 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
3. Accounting policies (continued)
Financial instruments
The charity only has basic financial instruments:
Financial Assets
Financial assets comprise items such as cash at bank and in hand and trade and other debtors. These are initially recorded at cost on the date they originate, the charity considers evidence of impairment for all individual elements comprising financial assets and any subsequent impairment is recognised in income and expenditure.
Financial Liabilities
Financial liabilities comprise items such as PAYE, bank and other loans, accruals, trade and other creditors. These are initially recorded at cost on the date they originate, net of transaction costs where applicable, the charity considers evidence of impairment for all individual elements comprising financial liabilities and any subsequent impairment is recognised in income and expenditure.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.
When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.
4. Limited by guarantee
The company is incorporated under the Companies Act as a company limited by guarantee and not having a share capital. The liability of the members is limited to a sum not exceeding £1.
5. Intangible income from donated facilities
The charitable company has the use of a property rent free.
6. Donations and legacies
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2024 | Funds | 2023 | |
| £ | £ | £ | £ | |
| Donations | ||||
| Donations and gifts | 3,242 | 3,242 | 2,622 | 2,622 |
| Grants | ||||
| Local government grant income | 3,350 | 3,350 | 2,100 | 2,100 |
| --------------------- | --------------------- | --------------------- | --------------------- | |
| 6,592 | 6,592 | 4,722 | 4,722 | |
| ===================== | ===================== | ===================== | ===================== |
- 21 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
6. Donations and legacies (continued)
We are very grateful to the following organisations and individuals who supported our activities in the year with their generous grants and donations:
-
The Grand Provincial Lodge of Warwickshire
-
The Claverdon Fields Charitable Trust
-
Lillington Church
-
St Pauls Church
7. Charitable activities
| Unrestricted | Restricted | Total Funds | |||
|---|---|---|---|---|---|
| Funds | Funds | 2024 | |||
| £ | £ | £ | |||
| Social services | – | 1,307,658 | 1,307,658 | ||
| Provision of supported accommodation | 182,545 | – | 182,545 | ||
| ----------------------------- | ------------------------------------- | ------------------------------------- | |||
| 182,545 | 1,307,658 | 1,490,203 | |||
| ============================= | ===================================== | ===================================== | |||
| Unrestricted | Restricted | Total Funds | |||
| Funds | Funds | 2023 | |||
| £ | £ | £ | |||
| Social services | – | 1,168,423 | 1,168,423 | ||
| Provision of supported accommodation | 164,829 | – | 164,829 | ||
| ----------------------------- | ------------------------------------- | ------------------------------------- | |||
| 164,829 | 1,168,423 | 1,333,252 | |||
| ============================= | ===================================== | ===================================== | |||
| 8. | Investment income | ||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | ||
| Funds | 2024 | Funds | 2023 | ||
| £ | £ | £ | £ | ||
| Bank interest receivable | 7,367 | 7,367 | 2,199 | 2,199 | |
| ===================== | ===================== | ===================== | ===================== | ||
| 9. | Other income | ||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | ||
| Funds | 2024 | Funds | 2023 | ||
| £ | £ | £ | £ | ||
| Other income | 4,636 | 4,636 | 8,618 | 8,618 | |
| ===================== | ===================== | ===================== | ===================== | ||
| 10. | Costs of raising donations and legacies | ||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | ||
| Funds | 2024 | Funds | 2023 | ||
| £ | £ | £ | £ | ||
| Staff costs, training and external advisors | 149 | 149 | 142 | 142 | |
| ============ | ============ | ============ | ============ |
- 22 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
11. Expenditure on charitable activities by fund type
| Unrestricted | Restricted | Total Funds | ||
|---|---|---|---|---|
| Funds | Funds | 2024 | ||
| £ | £ | £ | ||
| Support services | 32,308 | 1,299,489 | 1,331,795 | |
| Provision of supported accommodation | 75,134 | – | 75,134 | |
| Support costs | 7,411 | 20,555 | 27,967 | |
| ----------------------------- | ------------------------------------- | ------------------------------------- | ||
| 114,853 | 1,320,044 | 1,434,896 | ||
| ============================= | ===================================== | ===================================== | ||
| Unrestricted | Restricted | Total Funds | ||
| Funds | Funds | 2023 | ||
| £ | £ | £ | ||
| Support services | 31,654 | 1,254,198 | 1,285,852 | |
| Provision of supported accommodation | 66,202 | – | 66,202 | |
| Support costs | 28,924 | 17,968 | 46,892 | |
| ----------------------------- | ------------------------------------- | ------------------------------------- | ||
| 126,780 | 1,272,166 | 1,398,946 | ||
| ============================= | ===================================== | ===================================== | ||
| Expenditure on charitable activities by | activity type | |||
| Activities | ||||
| undertaken | Total funds | Total fund | ||
| directly | Support costs | 2024 | 2023 | |
| £ | £ | £ | £ | |
| Support services | 1,331,795 | 6,890 | 1,338,685 | 1,289,660 |
| Provision of supported accommodation | 75,134 | 7,411 | 82,545 | 95,126 |
| Governance costs | – | 13,666 | 13,666 | 14,160 |
| ------------------------------------- | ------------------------- | ------------------------------------- | ------------------------------------- | |
| 1,406,929 | 27,967 | 1,434,896 | 1,398,946 | |
| ===================================== | ========================= | ===================================== | ===================================== |
12. Expenditure on charitable activities by activity type
- 23 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
| 13. | Analysis of support costs | |||||||
|---|---|---|---|---|---|---|---|---|
| Auditors | Indemnity | Registration | Accountancy | Sundry | ||||
| remuneration | insurance | to the CQC | fees | expenses | Total 2024 | Total 2023 | ||
| £ | £ | £ | £ | £ | £ | £ | ||
| Governance costs | 8,760 | 1,633 | 1,098 | 2,160 | 13 | 13,664 | 14,160 | |
| ===================== | ===================== | ===================== | ===================== | ============ | ========================= | ========================= |
- 24 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
14. Net income/(expenditure)
Net income/(expenditure) is stated after charging/(crediting):
| Net income/(expenditure) is stated after charging/(crediting): | |||
|---|---|---|---|
| 2024 | 2023 | ||
| £ | £ | ||
| Depreciation of tangible fixed assets | 14,301 | 32,732 | |
| ========================= | ========================= | ||
| 15. | Auditors remuneration | ||
| 2024 | 2023 | ||
| £ | £ | ||
| Fees payable for the audit of the financial statements | 8,760 | 11,100 | |
| ===================== | ========================= | ||
| Fees payable to the charity's auditor and its associates for other services: | |||
| Other non-audit services | 2,160 | – | |
| ===================== | ========================= |
16. Staff costs
The total staff costs and employee benefits for the reporting period are analysed as follows:
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Wages and salaries | 1,074,563 | 1,006,481 |
| Social security | 87,125 | 83,684 |
| Staff pensions | 37,421 | 43,051 |
| Agency costs | 7,736 | 275 |
| ------------------------------------- | ------------------------------------- | |
| 1,206,845 | 1,133,491 | |
| ===================================== | ===================================== |
The average head count of employees during the year was 53 (2023: 51).
The average number of full-time equivalent employees during the year was 41 (2023: 39).
No employee received remuneration of more than £60,000 during the year (2023: Nil).
Remuneration paid in aggregate to the key management personnel amount to £138,422 (2023: £138,514).
17. Trustee remuneration and expenses
No trustee's received any remuneration or expenses during the reporting period (2023: £nil).
18. Transfers between funds
Represents that amount required from unrestricted funds to cover the deficit arising in the year on restricted activities.
- 25 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
19. Tangible fixed assets
| Improvement | Improvement | ||||
|---|---|---|---|---|---|
| Freehold land | s to short | Furniture and | s to freehold | ||
| and building | leasehold | equipment | property | Total | |
| £ | £ | £ | £ | £ | |
| Cost | |||||
| At 1 April 2023 and | |||||
| 31 March 2024 | 625,197 | 393,025 | 160,366 | 29,166 | 1,207,754 |
| ============================= | ============================= | ============================= | ========================= | ===================================== | |
| Depreciation | |||||
| At 1 April 2023 | 121,349 | 393,025 | 133,475 | 5,833 | 653,682 |
| Charge for the year | 6,828 | – | 6,890 | 583 | 14,301 |
| ----------------------------- | ----------------------------- | ----------------------------- | ------------------------- | ------------------------------------- | |
| At 31 March 2024 | 128,177 | 393,025 | 140,365 | 6,416 | 667,983 |
| ============================= | ============================= | ============================= | ========================= | ===================================== | |
| Carrying amount | |||||
| At 31 March 2024 | 497,020 | – | 20,001 | 22,750 | 539,771 |
| ============================= | ============================= | ============================= | ========================= | ===================================== | |
| At 31 March 2023 | 503,848 | – | 26,891 | 23,333 | 554,072 |
| ============================= | ============================= | ============================= | ========================= | ===================================== |
All of the charitable company's assets are held primarily for social benefit for the supply of services.
Freehold property (cost) includes £345,197 relating to a property situated in Warwick. The historical cost of this property is £60,628. A revaluation taken out by the trustees (directors) in October 2002 at £160,000 was incorporated into the accounts prior to improvements carried out in 2009 and 2010 costing £185,197.
The other freehold property is located in Leamington and was acquired following the merger on 1 February 2014 with another local charity, The Netherfield Management Committee. This property is included above at its valuation of £280,000 on 4 July 2011 by Hawkesford Chartered Surveyors on an open market basis whilst also taking into account the continued existence of a covenant restricting the use of the building.
20. Debtors
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Trade debtors | 115,108 | 93,145 |
| Prepayments and accrued income | 9,876 | 1,799 |
| ----------------------------- | ------------------------- | |
| 124,984 | 94,944 | |
| ============================= | ========================= | |
| Creditors: amounts falling due within one year | ||
| 2024 | 2023 | |
| £ | £ | |
| Trade creditors | 6,015 | 18,309 |
| Social security and other taxes | 19,291 | – |
| Other creditors | 3,804 | 4,569 |
| ------------------------- | ------------------------- | |
| 29,110 ========================= |
22,878 ========================= |
21. Creditors: amounts falling due within one year
- 26 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
22. Pensions and other post retirement benefits
The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £37,421 (2023: £24,948).
Contributions totalling £3,709 (2023: £4,569) were payable at the year end and are included in other creditors.
23. Government grants
The amounts recognised in the financial statements for government grants are as follows:
2024 2023 £ £ Recognised in income from donations and legacies: Government grants income 3,350 2,100 ===================== =====================
24. Analysis of charitable funds
Unrestricted funds
| Unrestricted funds | |||||
|---|---|---|---|---|---|
| At | |||||
| 31 March 202 | |||||
| At 1 April 2023 | Income | Expenditure | Transfers | 4 | |
| £ | £ | £ | £ | £ | |
| Unrestricted funds | 925,661 | 201,140 | (115,002) | (7,459) | 1,004,340 |
| Designated funds | 12,864 | – | – | – | 12,864 |
| Revaluation reserve | 25,000 | – | – | – | 25,000 |
| ----------------------------- | ----------------------------- | ----------------------------- | --------------------- | ------------------------------------- | |
| 963,525 | 201,140 | (115,002) | (7,459) | 1,042,204 |
|
| ============================= | ============================= | ============================= | ===================== | ===================================== | |
| At | |||||
| At 1 April 2022 | Income | Expenditure | Transfers | 31 March 2023 | |
| £ | £ | £ | £ | £ | |
| Unrestricted funds | 966,393 | 180,368 | (126,922) | (94,178) | 925,661 |
| Designated funds | 12,864 | – | – | – | 12,864 |
| Revaluation reserve | 25,000 | – | – | – | 25,000 |
| ------------------------------------- | ----------------------------- | ----------------------------- | ------------------------- | ----------------------------- | |
| 1,004,257 | 180,368 | (126,922) | (94,178) | 963,525 |
|
| ===================================== | ============================= | ============================= | ========================= | ============================= | |
| Restricted funds | |||||
| At | |||||
| 31 March 202 | |||||
| At 1 April 2023 | Income | Expenditure | Transfers | 4 | |
| £ | £ | £ | £ | £ | |
| Restricted funds | 10,931 | 1,307,658 | (1,320,044) | 7,459 | 6,004 |
| ========================= | ===================================== | ===================================== | ===================== | ===================== | |
| At | |||||
| At 1 April 2022 | Income | Expenditure | Transfers | 31 March 2023 | |
| £ | £ | £ | £ | £ | |
| Restricted funds | 20,496 | 1,168,423 | (1,272,166) | 94,178 | 10,931 |
| ========================= | ===================================== | ===================================== | ========================= | ========================= |
- 27 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
24. Analysis of charitable funds (continued)
Endowment funds
| At | |||||
|---|---|---|---|---|---|
| 31 March 202 | |||||
| At 1 April 2023 | Income | Expenditure | Transfers | 4 |
|
| £ | £ | £ | £ | £ | |
| Property endowment | 280,000 | – | – | – | 280,000 |
| ============================= | ============ | ============ | ============ | ============================= | |
| At | |||||
| At 1 April 2022 | Income | Expenditure | Transfers | 31 March 2023 |
|
| £ | £ | £ | £ | £ | |
| Property endowment | 280,000 | – | – | – | 280,000 |
| ============================= | ============ | ============ | ============ | ============================= | |
| Analysis of net assets between funds | |||||
| Unrestricted | Restricted | Endowment | Total Funds |
||
| Funds | Funds | Funds | 2024 |
||
| £ | £ | £ | £ | ||
| Tangible fixed assets | 259,771 | – | 280,000 | 539,771 |
|
| Current assets | 827,964 | 6,005 | – | 833,969 |
|
| Creditors less than 1 year | (45,531) | – | – | (45,531) |
|
| ------------------------------------- | --------------------- | ----------------------------- | ------------------------------------- | ||
| Net assets | 1,042,204 | 6,005 | 280,000 | 1,328,209 |
|
| ===================================== | ===================== | ============================= | ===================================== | ||
| Unrestricted | Restricted | Endowment | Total Funds |
||
| Funds | Funds | Funds | 2023 |
||
| £ | £ | £ | £ | ||
| Tangible fixed assets | 274,072 | – | 280,000 | 554,072 |
|
| Current assets | 723,761 | 10,231 | – | 733,992 |
|
| Creditors less than 1 year | (33,608) | – | – | (33,608) |
|
| ----------------------------- | ------------------------- | ----------------------------- | ------------------------------------- | ||
| Net assets | 964,225 | 10,231 | 280,000 | 1,254,456 |
|
| ============================= | ========================= | ============================= | ===================================== | ||
| Analysis of changes in net debt | |||||
| At | |||||
| At 1 Apr 2023 | Cash flows | 31 Mar 2024 | |||
| £ | £ | £ | |||
| Cash at bank and in hand | 639,048 | 69,937 | 708,985 |
||
| ============================= | ========================= | ============================= |
25. Analysis of net assets between funds
26. Analysis of changes in net debt
27. Operating lease commitments
The total future minimum lease payments under non-cancellable operating leases are as follows:
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Not later than 1 year | 27,836 | 27,836 |
| Later than 1 year and not later than 5 years | 30,334 | 58,170 |
| ------------------------- | ------------------------- | |
| 58,170 | 86,006 | |
| ========================= | ========================= |
- 28 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
28. Limitation of auditors liability
The charitable company, on 10 June 2024 entered into a limitation of auditors liability with the auditor limiting the auditor's liability to a maximum of £1,500,000 (including interest).
29. Related parties
There were no related party transactions in either the current or previous period and no one person controls the charitable company.
- 29 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Management Information
Year ended 31 March 2024
The following pages do not form part of the financial statements.
- 30 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Detailed Statement of Financial Activities
Year ended 31 March 2024
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Income and endowments | ||
| Donations and legacies | ||
| Donations and gifts | 3,242 | 2,622 |
| Local government grant income | 3,350 | 2,100 |
| --------------------- | --------------------- | |
| 6,592 | 4,722 | |
| --------------------- | --------------------- | |
| Charitable activities | ||
| Social services | 1,307,658 | 1,168,423 |
| Provision of supported accommodation | 182,545 | 164,829 |
| ------------------------------------- | ------------------------------------- | |
| 1,490,203 | 1,333,252 | |
| ------------------------------------- | ------------------------------------- | |
| Investment income | ||
| Bank interest receivable | 7,367 | 2,199 |
| --------------------- | --------------------- | |
| Other income | ||
| Other income | 4,636 | 8,618 |
| --------------------- | --------------------- | |
| ------------------------------------- | ------------------------------------- | |
| Total income | 1,508,798 | 1,348,791 |
| ===================================== | ===================================== |
- 31 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Detailed Statement of Financial Activities (continued)
Year ended 31 March 2024
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Expenditure | ||
| Costs of raising donations and legacies | ||
| Staff costs, training and external advisors | 149 | 142 |
| ------------------------------------- | ------------------------------------- | |
| Expenditure on charitable activities | ||
| Wages and salaries | 1,206,844 | 1,133,491 |
| Rent | 25,314 | 24,707 |
| Light and heat | 53,090 | 33,887 |
| Repairs and maintenance | 32,317 | 57,351 |
| Insurance | 16,891 | 15,326 |
| Luncheon club costs | 840 | 4,269 |
| Equipment hire | 4,588 | 7,003 |
| Bad debts | – | 269 |
| Other motor/travel costs | 9,054 | 9,832 |
| Legal and professional fees | 23,325 | 25,229 |
| Telephone | 11,609 | 12,609 |
| Office expenses | 15,473 | 18,312 |
| Depreciation | 14,301 | 32,732 |
| Materials and other costs relating to day activities | 573 | 1,028 |
| Sundry expenses | 9,044 | 10,762 |
| Recruitment and advertising | 2,366 | 6,642 |
| Staff training | 9,267 | 5,497 |
| ------------------------------------- | ------------------------------------- | |
| 1,434,896 | 1,398,946 | |
| ------------------------------------- | ------------------------------------- | |
| ------------------------------------- | ------------------------------------- | |
| Total expenditure | 1,435,045 | 1,399,088 |
| ===================================== | ===================================== | |
| ------------------------------------- | ------------------------------------- | |
| Net income/(expenditure) | 73,753 | (50,297) |
| ===================================== | ===================================== |
- 32 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Financial Statements
31 March 2024
COMPANY REGISTRATION NUMBER: 02560195 CHARITY REGISTRATION NUMBER: 1040654
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Financial Statements
Year ended 31 March 2024
| Page | |
|---|---|
| Trustees' annual report (incorporating the director's report) | 1 |
| Independent auditor's report to the members | 10 |
| Statement of financial activities (including income and expenditure account) | 14 |
| Statement of financial position | 15 |
| Statement of cash flows | 16 |
| Notes to the financial statements | 17 |
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report)
Year ended 31 March 2024
The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 March 2024.
Reference and administrative details
Registered charity name Mid Warwickshire Society for Mentally Handicapped Children and Adults Charity registration number 1040654 Company registration number 02560195 Principal office and registered 12 Athena Court office Athena Drive Tachbrook Park Warwick CV34 6RT England The trustees A. Newbold A. Rhead A. Tankard G. Williams K. Ralph M. Porter S. Hodges M. Powell-Brett S. A. Cunningham (Resigned 23 November 2023) Company secretary A. Tankard Auditor Edwards Pearson & White (Audit) Limited Chartered certified accountants & statutory auditor 8 Jury Street Warwick CV34 4EW
- 1 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Structure, governance and management
Governing document
The charitable company is a registered charity (with registration number: 1040654) and a private company limited by guarantee, having no share capital (with company number: 02560195). The charitable company was established under a Memorandum and Articles which established the objects and powers of the charitable company and is governed under its Articles of Association agreed at the EGM in March 2013. In the event of the charitable company being wound up, members are required to contribute an amount not exceeding £1.
The charitable company is affiliated to the Royal Mencap Society and pays an annual affiliation fee.
Structure and management
The charity has an executive committee of up to 12 members who meet regularly and are responsible for the strategic direction and policy of the charity. At present the Committee has 8 members from a variety of professional backgrounds relevant to the work of the charity.
A scheme of delegation is in place and day to day responsibility for the provision of the services rest with the Chief Executive along with the Senior Management Team.
The Chief Executive is responsible for ensuring that the charity delivers the services specified and that key performance indicators are met.
The Manager for our Learning Disabilities Services and the Activity Services Manager have responsibility for the day-to-day operational management of the charity, individual supervision of the staff and also ensuring that the team continue to develop their skills and working practices in line with good practice.
Recruitment and appointment of executive committee
The Directors of the company are also charity Trustees for the purposes of charity law and under the company's Articles are known as members of the Executive Committee. Under the requirements of the Memorandum and Articles of Association the members of the Executive Committee are elected to serve annually and must be re-elected at each Annual General Meeting.
The Executive Committee seeks to ensure that the needs of this group are appropriately reflected through the diversity of the trustee body. Business and care skills are well represented on the executive committee.
Some of the current members of the executive committee are related to individuals being supported by it and have long term connections with, and understanding of the charity.
Trustee induction and training
A copy of the Charity Commission's guide "The Essential Trustee" is distributed to all new trustees along with the Memorandum and Articles and the latest financial statements.
New Trustees are invited with opportunities to meet with the CEO and existing trustees to formalise their transition onto the Board.
Staff training
Way Ahead are extremely proud of the dedication of the employees and their commitment to their continuous professional development (CPD).
All new staff commence a full induction into the service which includes the completion of the Care Certificate.
- 2 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
This involves a full training schedule including titles such as Risk Assessment, Manual Handling, Person Centred Approach, Safeguarding, Equality and Diversity, First Aid and Medication to name some.
Existing staff complete the Care Certificate and regular CPD in line with Health and Social Care expectations and the changing needs of the individuals supported.
Public benefit
The Trustees confirm that they have complied with the Charities Act 2011 to have due regards to the Charity Commission's general guidance on public benefit.
The charity meets these criteria as it provides additional support to individuals supplementing that commissioned by the statutory authorities. The charity also subsidises rents for its properties if individuals experience hardship.
Risk statement
The Trustees have a risk management strategy which reviews thee major risks and implements strategies to minimise risks. A risk register is maintained and reviewed at regular intervals.
Particular attention has been focused on the financial risks with all the changes made by Warwickshire County Council, and its impact on the charity. Health and Safety have also been regularly reviewed. Emphasis has been placed on the systems and procedures to mitigate risks.
The quality audit systems have been focused on with the internal 'Traffic Light' systems being upgraded for Quality audit processes.
A 'Good' report (dated 14th January 2020) was received via the latest CQC inspection and this report can be found on the CQC website: www.cqc.org.uk. Monthly e-mails are received as updates from CQC referencing offsite reviews made against the organisation as part of continued assurances whilst CQCs usual inspection regime remains suspended following COVID.
- 3 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Objectives and activities
Objectives
Way Ahead Support Services has been providing support in the Warwickshire area for over 50 years.
Way Ahead provides a supportive, enabling services to vulnerable individuals including people with learning disabilities, people with mental ill health and individuals on the Autistic Spectrum.
The person-centred support provided is delivered in an enabling way, encouraging the individual to take control of their lives and to be as independent as possible.
Our aims and objectives are to fully support the person in developing and learning skills to the fullest extent of their abilities and to use these skills with confidence.
Activities and services
Way Ahead provide supported living for people living within 3 converted properties managed by the organisation.
This support is looked at holistically with the person at the centre of everything and is delivered 365 days a year.
Further support is provided to people living within their local communities and within their own homes, owned, rented or living with their families, we call this our Outreach Services. This support is provided with the same ethos, objectives and values.
Way Ahead also provide day opportunities. We call this our Activity Service. We provide our Activity Services both within our main Activity building and on a one-to-one basis. The activities we provide are centred around the wants and needs of the individuals participating. The activities are meaningful, empowering people to maintain and improve upon skills, try something new, work together and establish links with others in the local community, tackling the potential of social isolation and striving to support people in achieving the positive outcomes they are looking for.
Strategic report
The following sections for achievements and performance and financial review form the strategic report of the charity.
- 4 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Achievements and performance
The year began with the move of head office to our new location at Athena Court. Everyone settled in well to their new surroundings and the reduction in size had a positive effect on keep running costs down. This has helped to reduce the forecast deficit in the annual budget set at the beginning of the financial year.
In 2023 we signed a new contract with the local authority which has secured service provision for a further 5 years. The contract will now enable the board to plan more effectively to ensure long-term stability for all services. With this is mind we have extended the lease on 38 Oakwood Grove with the local authority for a further 21 years as it was due for renewal this year.
Through the year the trustees are updated with the program of maintenance work required at the properties. This year, structural repairs to the rear of Heath Terrace where completed and EPC assessments were carried out at each property. A program of dilapidation works has also been identified at 38 Oakwood Grove which will form part of a 12-month program of ongoing maintenance.
Unfortunately, one of the SMT left the service in September and to date has not been replaced. The trustees would like to extend their gratitude to the remaining SMT for covering this role in the interim.
Way Ahead has made great improvements to moving towards a more digital approach to sharing information this year in an effect to be less paper-based and more secure. Even the Trustees have moved across to using Teams to share sensitive documents and to communicate with the SMT. We would like to thank Emile for the hard work she has put into moving everyone across.
Every year the board look at ways to make sure we are using all of our resources effectively and efficiently. This year we have been looking at potential ways to make use of the empty space upstairs at Netherfield. Various ideas have been explored such as self-contained flats and respite accommodation however the board were mindful that any changes made should not impact on our wonderful Activity Services provided at Netherfield. With this in mind we have been focusing on potentially opening up one side to provide an IT area for staff and individuals, with the other half as individual office spaces. This would allow the Team at Athena Court to move into Netherfield and so reduce overheads further. The plans are in their early stages at the moment, but we will continue to develop the idea over the next 12 months.
We appointed new auditors this year and welcome the support that Edwards, Pearson and White have given to Lorraine and Louise as they navigate the annual audit and for presenting the draft accounts to the Board at out last meeting. We are excited by their fresh approach but would like to thank Tony Curristan and his team at Michael Harwood & Co for the years of support they have previously given Way Ahead in compiling our annual financial statements.
Our Activity Services continued to provide a wonderful variety of activities for individuals this year. The team organised themed days such as Sport's Day, Beach Day, Festival Day and Pirate's Day as well as celebrating special days such as Easter and of course, Birthday's. The spring saw the beginning of work on the garden and planting of sunflowers as part of the Lillington and Cubbington project to grow 10,000 sunflowers in the community. The results were outstanding and adding a real lift particularly to the front entrance area creating a beautiful welcome to the centre. The board are always pleased to see what everyone has been up to and would like to thank Stephanie and her team for circulating the monthly newsletter.
The Board of Trustees would like to extend their gratitude to the Local Authority for their continuing support throughout the past year. The granting of the new 5-year contract to Way Ahead enables management to plan the continuation of services to those in our community who need them with a degree of certainty.
The Board would also like to extend their thanks to the following:
Claverdon Fields Charitable Trust Provincial Grand Lodge Warwickshire Lillington Church PCC Church St Pauls Church Warwick
- 5 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
For their kind donations in support of our services.
Recruitment continues to be an issue at Way Ahead as it is within the Social Care sector as a whole. Rates of pay for staff were increased this year to fall in line with the increase in the National Minimum Wage however rates of pay remain woefully uncompetitive to other sectors. We were fortunate to receive an uplift from the local authority which helped to absorb NMW increases and changes to sleep-in rates. At the time of writing this report however the new government has delivered it's Autumn budget. New changes to Employers NI for business was the big headline which will have a big impact on wages expenditure. Further work will need to be carried out to assess exactly how much additional cost this will be when the changes take place in April 2025. Alongside a further increase to the NMW in April 2025, this will need to be considered very carefully when drafting our 25/26 organisation budget.
The Trustees have continued to work closely with the Senior Management team by holding hybrid bi-monthly meetings throughout the year. If we are unable to attend in person we attend virtually. The board analyse quarterly reports demonstrating the cash-flow position in addition to the quarterly variance to the annual budget at the meetings. Trustees are also provided with an overview of how up to date individuals files are and any safeguarding issues there may have been. The board have also been re-assessing the way we monitor risk. We are currently working on a new method of risk assessment by taking each resource separately and seeing what the risks to the service may be and ways to mitigate them. We hope to complete this work over the next year.
Recently, our long serving Chair of 8 years decided to step down, but we are very grateful to Karen for agreeing to stay on as a member of the board. We would like to thank Karen for guiding us through some very difficult times as Chair. We congratulate Michael Powell-Brett who has agreed to step into Karen's shoes and lead the board going forward. The board is always keen to broaden its expertise however and is actively looking for new trustees to refresh the current board.
The final thank you from the Trustees must go to our CEO. Through another extremely difficult year personally, Louise, supported by the Senior Management Team, has maintained her usual diligence and professionalism in providing the Board with detailed reports of everything important to the running of Way Ahead. We greatly appreciate everything you give to the service and would like to congratulate you for completing 30 years at Way Ahead - a huge achievement!
- 6 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Financial review
The financial outturn reflected a surplus of £73,753 for the year compared with a deficit of £50,297 on charitable activities in the previous period. The surplus includes a depreciation figure of £14,301 (2023: £32,732) split evenly between the properties and the fixtures and fittings therein. The surplus in the year is attributable to the increase in the rental and social services income in the period with costs largely remaining steady in comparison with the previous period with the exception of the following items: Wages and salaries - increased by £73,353 year on year representing an increased rate of pay for existing staff and an increased average full-time equivalent number of staff employed in the year (41 this year compared to 39 last year).
Light and heat (utilities) - increased by £19,203 (57%) year on year due to external factors outside of the Charity's control. An increase in light and heat bills has been felt across every industry and was anticipated.
Repairs and maintenance - decreased of £25,034 when comparing the current and previous period due to one-off (exceptional) costs incurred in the previous year due to relocation and renovation of the head office.
The charity has continued to present a very healthy balance sheet position with significant bank and cash reserves to support the ongoing activities. The results in their totality are considered to be extremely positive, in what continues to be a challenging sector to operate in.
Reserves policy
The charity has set an ideal level of unrestricted readily available funds equating to 6 months or 182 days' worth of overhead expenditure; these reserves being available to augment the resources provided by Social Services.
At the year end, the level of readily available funds represented 255 days' worth of annual overhead expenditure (2023: 241 days). This very positive level of reserves reflects the careful monitoring of income and costs by management and the Trustees.
As at 31 March 2024, the charity held reserves of £1,328,208 which can be analysed further as follows:
Endowment funds £280,000 Restricted funds £6,004 Unrestricted funds Revaluation reserve £25,000 Other unrestricted reserves £1,017,204
Within unrestricted funds is an amount of £12,864 which has been designated major maintenance costs which may arise in respect of the charity's properties.
The existence of different reserves, and their purposes are explained within accounting policies, in the notes to the financial statements.
The assets representing each of these reserves is detailed out in note 25 to the financial statements.
Going concern
The trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.
- 7 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Plans for future periods
The board will continue to strive to develop more effective and robust governance. We recognise that the board is in need of new views and opinions and so will actively seek new trustees to add to our board. We will continue to work on developing our risk management strategy which in turn will aid our business planning practice.
Plans for making the most of the unused space at Netherfield will continue in an effort to maximise the resource but also to provide enhanced services for individuals.
We will need to be mindful of the additional financial burden that the Autumn budget changes will create for 2025/2026 when assessing any plans we may make as we will need to protect our levels of reserves to remain compliant with our reserves policy.
We will continue to support the hard working staff and SMT in all that they do to make our service the best that it can be.
Trustees' responsibilities statement
The trustees, who are also directors 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 charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period.
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 the applicable Charities SORP;
-
make judgments and accounting estimates that are reasonable and prudent;
-
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and 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.
- 8 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2024
Auditor
Each of the persons who is a trustee at the date of approval of this report confirms that:
-
so far as they are aware, there is no relevant audit information of which the charity's auditor is unaware; and
-
they have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information.
The trustees' annual report and the strategic report were approved on 19 December 2024 and signed on behalf of the board of trustees by:
A. Tankard Trustee
- 9 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Independent Auditor's Report to the Members of Mid Warwickshire Society for Mentally Handicapped Children and Adults
Year ended 31 March 2024
Qualified opinion
We have audited the financial statements of Mid Warwickshire Society for Mentally Handicapped Children and Adults (the 'charity') for the year ended 31 March 2024 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, except for the effects of the matter described in the basis for qualified opinion section of our report, the financial statements:
-
give a true and fair view of the state of the charity's affairs as at 31 March 2024 and of its 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 qualified opinion
The charity's Freehold Land and Buildings are carried in the statement of financial position at a revalued cost of £625,197. This does not include a freehold property to which the charity have absolute title comprising of 9 leased flats. At the time of the audit the historical cost of the freehold property or its method of acquisition could not be reliably ascertained. Accordingly Freehold Property is materially understated in the financial statements together with its corresponding credit entry.
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity'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 matters
The financial statements of the prior period were audited by a predecessor auditor who expressed an unmodified opinion. The report was issued on 19 December 2024.
- 10 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Independent Auditor's Report to the Members of Mid Warwickshire Society for Mentally Handicapped Children and Adults (continued)
Year ended 31 March 2024
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 for the financial year for which the financial statements are prepared is consistent with the financial statements; and
-
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 charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' 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 trustees' responsibilities statement, the trustees (who are also the directors 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 charity'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 charity or to cease operations, or have no realistic alternative but to do so.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Independent Auditor's Report to the Members of Mid Warwickshire Society for Mentally Handicapped Children and Adults (continued)
Year ended 31 March 2024
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:
Our assessment focused on key laws and regulations the company has to comply with and areas of the financial statements we assessed as being more susceptible to misstatement. These key laws and regulations included but were not limited to compliance with the Companies Act 2006, United Kingdom Generally Accepted Accounting Practice and relevant tax legislation.
We are not responsible for preventing irregularities. Our approach to detect irregularity included, but was not limited to, the following:
-
An understanding of the legal and regulatory framework applicable to the company and how the company is complying with that framework, including a review of legal and professional nominal codes.
-
Obtaining an understanding of the company's policies and procedures and how the company has complied with these, through discussions and sample testing.
-
An understanding of the company's risk assessment process, including the risk of fraud.
-
Performing audit work over the risk of management override of controls, including testing of journal entries for appropriateness.
Whilst considering how our audit work addressed the detection of irregularities, we also consider the likelihood of detection based on our approach. Irregularities from fraud are inherently more difficult to detect than those arising from error.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. 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. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Independent Auditor's Report to the Members of Mid Warwickshire Society for Mentally Handicapped Children and Adults (continued)
Year ended 31 March 2024
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the group's internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.
Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the group's or the parent company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the group or the parent company to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
A further description of our responsibilities is available on the Financial Reporting Council's website at: https:/ /www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
This report is made solely to the charity'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 charity'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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.
David Pearson (Senior Statutory Auditor)
For and on behalf of Edwards Pearson & White (Audit) Limited Chartered certified accountants & statutory auditor 8 Jury Street Warwick CV34 4EW
19 December 2024
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Statement of Financial Activities (including income and expenditure account)
Year ended 31 March 2024
| 2024 | 2024 | 2023 | ||||
|---|---|---|---|---|---|---|
| Unrestricted | Restricted | Endowment | ||||
| funds | funds | funds | Total funds | Total funds | ||
| Note | £ | £ | £ | £ | £ | |
| Income and endowments | ||||||
| Donations and legacies | 6 | 6,592 | – | – | 6,592 | 4,722 |
| Charitable activities | 7 | 182,545 | 1,307,658 | – | 1,490,203 | 1,333,252 |
| Investment income | 8 | 7,367 | – | – | 7,367 | 2,199 |
| Other income | 9 | 4,636 | – | – | 4,636 | 8,618 |
| ----------------------------- | ------------------------------------- | ------------ | ------------------------------------- | ------------------------------------- | ||
| Total income | 201,140 | 1,307,658 | – | 1,508,798 | 1,348,791 | |
| ============================= | ===================================== | ============ | ===================================== | ===================================== | ||
| Expenditure | ||||||
| Expenditure on raising funds: | ||||||
| Costs of raising | ||||||
| donations and | ||||||
| legacies | 10 | 149 | – | – | 149 | 142 |
| Expenditure on | ||||||
| charitable activities | 11,12 | 114,853 | 1,320,044 | – | 1,434,896 | 1,398,946 |
| ----------------------------- | ------------------------------------- | ------------ | ------------------------------------- | ------------------------------------- | ||
| Total expenditure | 115,002 | 1,320,044 | – | 1,435,045 | 1,399,088 | |
| ============================= | ===================================== | ============ | ===================================== | ===================================== | ||
| ----------------------------- | ------------------------------------- | ------------ | ------------------------------------- | ------------------------------------- | ||
| Net income/(expenditure) | 86,138 | (12,386) | – | 73,753 | (50,297) | |
| ============================= | ===================================== | ============ | ===================================== | ===================================== | ||
| Transfers between funds | (7,459) | 7,459 | – | – | – | |
| ----------------------------- | ------------------------------------- | ------------ | ------------------------------------- | ------------------------------------- | ||
| Net movement in funds | 78,679 | (4,927) | – | 73,753 | (50,297) | |
| Reconciliation of funds | ||||||
| Total funds brought forward | 963,525 | 10,931 | 280,000 | 1,254,456 | 1,304,753 | |
| ------------------------------------- | ------------------------------------- | ----------------------------- | ------------------------------------- | ------------------------------------- | ||
| Total funds carried forward | 1,042,204 | 6,004 | 280,000 | 1,328,208 | 1,254,456 | |
| ===================================== | ===================================== | ============================= | ===================================== | ===================================== |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 17 to 29 form part of these financial statements.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Statement of Financial Position
31 March 2024
| 2024 | 2023 | |||
|---|---|---|---|---|
| Note | £ | £ | £ | |
| Fixed assets | ||||
| Tangible fixed assets | 19 | 539,771 | 554,072 | |
| Current assets | ||||
| Debtors | 20 | 115,108 | 93,145 | |
| Cash at bank and in hand | 708,985 | 639,048 | ||
| ----------------------------- | ----------------------------- | |||
| 824,093 | 732,193 | |||
| Prepayments and accrued income | 9,876 | 1,799 | ||
| Creditors:amounts falling due within one year | 21 | 29,110 | 22,878 | |
| ----------------------------- | ----------------------------- | |||
| Net current assets | 804,859 | 711,114 | ||
| ------------------------------------- | ------------------------------------- | |||
| Total assets less current liabilities | 1,344,630 | 1,265,186 | ||
| Accruals and deferred income | 16,421 | 10,730 | ||
| ------------------------------------- | ------------------------------------- | |||
| Net assets | 1,328,209 | 1,254,456 | ||
| ===================================== | ===================================== | |||
| Funds of the charity | ||||
| Endowment funds | 280,000 | 280,000 | ||
| Restricted funds | 6,004 | 10,931 | ||
| Unrestricted funds: | ||||
| Revaluation reserve | 25,000 | 25,000 | ||
| Other unrestricted income funds | 1,017,204 | 938,525 | ||
| ------------------------------------- | ----------------------------- | |||
| Total unrestricted funds | 1,042,204 | 963,525 | ||
| ------------------------------------- | ------------------------------------- | |||
| Total charity funds | 24 | 1,328,208 | 1,254,456 | |
| ===================================== | ===================================== |
These financial statements were approved by the board of trustees and authorised for issue on 19 December 2024, and are signed on behalf of the board by:
A. Tankard Trustee
M. Powell-Brett Trustee
The notes on pages 17 to 29 form part of these financial statements.
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Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Statement of Cash Flows
Year ended 31 March 2024
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Cash flows from operating activities | ||
| Net income/(expenditure) | 73,753 | (50,297) |
| Adjustments for: | ||
| Depreciation of tangible fixed assets | 14,301 | 32,732 |
| Other interest receivable and similar income | 175,178 | 162,630 |
| Accrued expenses | 5,691 | – |
| Changes in: | ||
| Trade and other debtors | (30,040) | (15,868) |
| Trade and other creditors | 6,232 | 11,242 |
| ----------------------------- | ----------------------------- | |
| Cash generated from operations | 245,115 | 140,439 |
| Interest received | (175,178) | (162,630) |
| ----------------------------- | ----------------------------- | |
| Net cash from/(used in) operating activities | 69,937 | (22,191) |
| ============================= | ============================= | |
| Cash flows from investing activities | ||
| Purchase of tangible assets | – | (12,353) |
| ----------------------------- | ----------------------------- | |
| Net cash used in investing activities | – | (12,353) |
| ============================= | ============================= | |
| Cash flows from financing activities | ||
| Net increase/(decrease) in cash and cash equivalents | 69,937 | (34,544) |
| Cash and cash equivalents at beginning of year | 639,048 | 673,592 |
| ----------------------------- | ----------------------------- | |
| Cash and cash equivalents at end of year | 708,985 | 639,048 |
| ============================= | ============================= |
The notes on pages 17 to 29 form part of these financial statements.
- 16 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements
Year ended 31 March 2024
1. General information
The charity is a public benefit entity and a private company limited by guarantee, incorporated and registered in England and Wales (with company number: 02560195) and a registered charity in England and Wales (with charity number: 1040654). The address of the registered office is 12 Athena Court, Athena Drive, Tachbrook Park, Warwick, CV34 6RT, England.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity and rounded to the nearest £.
Going concern
There are no material uncertainties about the charity's ability to continue.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
No significant judgements have had to be made by the directors in preparing these financial statements.
- 17 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
3. Accounting policies (continued)
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.
Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment. The funds represent monies set aside to meet major maintenance costs which may arise in respect of the charity's properties.
Restricted funds are subject to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds. The purposes and use of the restricted funds are as follows:
-
Social services fund - represents the receipt and application of monies from Warwickshire County Council Social Services in respect of specific clients.
-
Promotion of Way Ahead support services - grants received specifically towards promoting and marketing the services of Way Ahead including funding the Newsletter, Zoom service and safety online.
-
Purchase of computer tablets and data sims - represents funds received for the purchase of digital equipment to loan out within the community.
-
Provision of virtual sessions - represents the provision of Zoom sessions to reach individuals with learning disabilities who are unable to attend the Netherfield Centre.
The endowment fund represents a freehold property that was acquired following the merger in February 2014 with another charity, Netherfield Management Committee. The property was subject to a restrictive covenant to ensure that it could only be used for charitable purposes.
Incoming resources
All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:
-
income from donations, gifts, subscriptions and legacies are recognised when received.
-
donations and grants received for specific purposes are recognised in the year of receipt. Any unspent amounts are included within restricted funds until they are fully committed.
-
income received in advance is recognised in the accounting period to which it relates.
- 18 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
3. Accounting policies (continued)
Resources expended
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:
-
expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.
-
expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
-
other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.
All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.
Expenditure categories
Expenditure is allocated to one of three categories which reflect the activities of the company:
-
Fund-raising - the generation of income for the charity and include staff costs and fees paid to external fundraising advisors.
-
Maintenance of rental properties - the upkeep and associated costs of the various properties.
-
Support services - the provision of supported living services for persons with learning disabilities living both within the three converted properties managed by Way Ahead, and for persons living within their own homes. The charity also provides day opportunities for individuals with learning disabilities within the main activity services building owned by the charity known as the Netherfield Centre.
Operating leases
Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.
Tangible assets
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Expenditure not exceeding £100 is not capitalised.
An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.
- 19 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
3. Accounting policies (continued)
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Property - over 50 years Improvements to short leasehold - over 21 years property Furniture and equipment - Comp. Equipment (30% RB), F&F (15% RB), Office Partitions (33% SL) Property refurbishment - over 10 years
Due to the specialist nature of the freehold property valued at £280,000 (referred to in note 18) no depreciation has been provided in respect of this asset.
Impairment of fixed assets
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.
For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.
Government grants
Government grants are recognised at the fair value of the asset received or receivable. Grants are not recognised until there is reasonable assurance that the charity will comply with the conditions attaching to them and the grants will be received.
Where the grant does not impose specified future performance-related conditions on the recipient, it is recognised in income when the grant proceeds are received or receivable. Where the grant does impose specified future performance-related conditions on the recipient, it is recognised in income only when the performance-related conditions have been met. Where grants received are prior to satisfying the revenue recognition criteria, they are recognised as a liability.
- 20 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
3. Accounting policies (continued)
Financial instruments
The charity only has basic financial instruments:
Financial Assets
Financial assets comprise items such as cash at bank and in hand and trade and other debtors. These are initially recorded at cost on the date they originate, the charity considers evidence of impairment for all individual elements comprising financial assets and any subsequent impairment is recognised in income and expenditure.
Financial Liabilities
Financial liabilities comprise items such as PAYE, bank and other loans, accruals, trade and other creditors. These are initially recorded at cost on the date they originate, net of transaction costs where applicable, the charity considers evidence of impairment for all individual elements comprising financial liabilities and any subsequent impairment is recognised in income and expenditure.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.
When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.
4.
Limited by guarantee
The company is incorporated under the Companies Act as a company limited by guarantee and not having a share capital. The liability of the members is limited to a sum not exceeding £1.
5. Intangible income from donated facilities
The charitable company has the use of a property rent free.
6. Donations and legacies
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2024 | Funds | 2023 | |
| £ | £ | £ | £ | |
| Donations | ||||
| Donations and gifts | 3,242 | 3,242 | 2,622 | 2,622 |
| Grants | ||||
| Local government grant income | 3,350 | 3,350 | 2,100 | 2,100 |
| --------------------- | --------------------- | --------------------- | --------------------- | |
| 6,592 | 6,592 | 4,722 | 4,722 | |
| ===================== | ===================== | ===================== | ===================== |
- 21 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
6. Donations and legacies (continued)
We are very grateful to the following organisations and individuals who supported our activities in the year with their generous grants and donations:
-
The Grand Provincial Lodge of Warwickshire
-
The Claverdon Fields Charitable Trust
-
Lillington Church
-
St Pauls Church
7. Charitable activities
| Unrestricted | Restricted | Total Funds | |||
|---|---|---|---|---|---|
| Funds | Funds | 2024 | |||
| £ | £ | £ | |||
| Social services | – | 1,307,658 | 1,307,658 | ||
| Provision of supported accommodation | 182,545 | – | 182,545 | ||
| ----------------------------- | ------------------------------------- | ------------------------------------- | |||
| 182,545 | 1,307,658 | 1,490,203 | |||
| ============================= | ===================================== | ===================================== | |||
| Unrestricted | Restricted | Total Funds | |||
| Funds | Funds | 2023 | |||
| £ | £ | £ | |||
| Social services | – | 1,168,423 | 1,168,423 | ||
| Provision of supported accommodation | 164,829 | – | 164,829 | ||
| ----------------------------- | ------------------------------------- | ------------------------------------- | |||
| 164,829 | 1,168,423 | 1,333,252 | |||
| ============================= | ===================================== | ===================================== | |||
| 8. | Investment income | ||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | ||
| Funds | 2024 | Funds | 2023 | ||
| £ | £ | £ | £ | ||
| Bank interest receivable | 7,367 | 7,367 | 2,199 | 2,199 | |
| ===================== | ===================== | ===================== | ===================== | ||
| 9. | Other income | ||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | ||
| Funds | 2024 | Funds | 2023 | ||
| £ | £ | £ | £ | ||
| Other income | 4,636 | 4,636 | 8,618 | 8,618 | |
| ===================== | ===================== | ===================== | ===================== | ||
| 10. | Costs of raising donations and legacies | ||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | ||
| Funds | 2024 | Funds | 2023 | ||
| £ | £ | £ | £ | ||
| Staff costs, training and external advisors | 149 | 149 | 142 | 142 | |
| ============ | ============ | ============ | ============ |
- 22 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
11. Expenditure on charitable activities by fund type
| Unrestricted | Restricted | Total Funds | ||
|---|---|---|---|---|
| Funds | Funds | 2024 | ||
| £ | £ | £ | ||
| Support services | 32,308 | 1,299,489 | 1,331,795 | |
| Provision of supported accommodation | 75,134 | – | 75,134 | |
| Support costs | 7,411 | 20,555 | 27,967 | |
| ----------------------------- | ------------------------------------- | ------------------------------------- | ||
| 114,853 | 1,320,044 | 1,434,896 | ||
| ============================= | ===================================== | ===================================== | ||
| Unrestricted | Restricted | Total Funds | ||
| Funds | Funds | 2023 | ||
| £ | £ | £ | ||
| Support services | 31,654 | 1,254,198 | 1,285,852 | |
| Provision of supported accommodation | 66,202 | – | 66,202 | |
| Support costs | 28,924 | 17,968 | 46,892 | |
| ----------------------------- | ------------------------------------- | ------------------------------------- | ||
| 126,780 | 1,272,166 | 1,398,946 | ||
| ============================= | ===================================== | ===================================== | ||
| Expenditure on charitable activities by | activity type | |||
| Activities | ||||
| undertaken | Total funds | Total fund | ||
| directly | Support costs | 2024 | 2023 | |
| £ | £ | £ | £ | |
| Support services | 1,331,795 | 6,890 | 1,338,685 | 1,289,660 |
| Provision of supported accommodation | 75,134 | 7,411 | 82,545 | 95,126 |
| Governance costs | – | 13,666 | 13,666 | 14,160 |
| ------------------------------------- | ------------------------- | ------------------------------------- | ------------------------------------- | |
| 1,406,929 | 27,967 | 1,434,896 | 1,398,946 | |
| ===================================== | ========================= | ===================================== | ===================================== |
12. Expenditure on charitable activities by activity type
- 23 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
13. Analysis of support costs
| Auditors | Indemnity | Registration | Accountancy | Sundry | |||
|---|---|---|---|---|---|---|---|
| remuneration | insurance | to the CQC | fees | expenses | Total 2024 | Total 2023 | |
| £ | £ | £ | £ | £ | £ | £ | |
| Governance costs | 8,760 | 1,633 | 1,098 | 2,160 | 13 | 13,664 | 14,160 |
| ===================== | ===================== | ===================== | ===================== | ============ | ========================= | ========================= |
- 24 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
14. Net income/(expenditure)
Net income/(expenditure) is stated after charging/(crediting):
| Net income/(expenditure) is stated after charging/(crediting): | |||
|---|---|---|---|
| 2024 | 2023 | ||
| £ | £ | ||
| Depreciation of tangible fixed assets | 14,301 | 32,732 | |
| ========================= | ========================= | ||
| 15. | Auditors remuneration | ||
| 2024 | 2023 | ||
| £ | £ | ||
| Fees payable for the audit of the financial statements | 8,760 | 11,100 | |
| ===================== | ========================= | ||
| Fees payable to the charity's auditor and its associates for other services: | |||
| Other non-audit services | 2,160 | – | |
| ===================== | ========================= |
16. Staff costs
The total staff costs and employee benefits for the reporting period are analysed as follows:
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Wages and salaries | 1,074,563 | 1,006,481 |
| Social security | 87,125 | 83,684 |
| Staff pensions | 37,421 | 43,051 |
| Agency costs | 7,736 | 275 |
| ------------------------------------- | ------------------------------------- | |
| 1,206,845 | 1,133,491 | |
| ===================================== | ===================================== |
The average head count of employees during the year was 53 (2023: 51).
The average number of full-time equivalent employees during the year was 41 (2023: 39).
No employee received remuneration of more than £60,000 during the year (2023: Nil).
Remuneration paid in aggregate to the key management personnel amount to £138,422 (2023: £138,514).
17. Trustee remuneration and expenses
No trustee's received any remuneration or expenses during the reporting period (2023: £nil).
18. Transfers between funds
Represents that amount required from unrestricted funds to cover the deficit arising in the year on restricted activities.
- 25 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
19. Tangible fixed assets
| Improvement | Improvement | ||||
|---|---|---|---|---|---|
| Freehold land | s to short | Furniture and | s to freehold | ||
| and building | leasehold | equipment | property | Total | |
| £ | £ | £ | £ | £ | |
| Cost | |||||
| At 1 April 2023 and | |||||
| 31 March 2024 | 625,197 | 393,025 | 160,366 | 29,166 | 1,207,754 |
| ============================= | ============================= | ============================= | ========================= | ===================================== | |
| Depreciation | |||||
| At 1 April 2023 | 121,349 | 393,025 | 133,475 | 5,833 | 653,682 |
| Charge for the year | 6,828 | – | 6,890 | 583 | 14,301 |
| ----------------------------- | ----------------------------- | ----------------------------- | ------------------------- | ------------------------------------- | |
| At 31 March 2024 | 128,177 | 393,025 | 140,365 | 6,416 | 667,983 |
| ============================= | ============================= | ============================= | ========================= | ===================================== | |
| Carrying amount | |||||
| At 31 March 2024 | 497,020 | – | 20,001 | 22,750 | 539,771 |
| ============================= | ============================= | ============================= | ========================= | ===================================== | |
| At 31 March 2023 | 503,848 | – | 26,891 | 23,333 | 554,072 |
| ============================= | ============================= | ============================= | ========================= | ===================================== |
All of the charitable company's assets are held primarily for social benefit for the supply of services.
Freehold property (cost) includes £345,197 relating to a property situated in Warwick. The historical cost of this property is £60,628. A revaluation taken out by the trustees (directors) in October 2002 at £160,000 was incorporated into the accounts prior to improvements carried out in 2009 and 2010 costing £185,197.
The other freehold property is located in Leamington and was acquired following the merger on 1 February 2014 with another local charity, The Netherfield Management Committee. This property is included above at its valuation of £280,000 on 4 July 2011 by Hawkesford Chartered Surveyors on an open market basis whilst also taking into account the continued existence of a covenant restricting the use of the building.
20. Debtors
| 2024 | 2023 | ||
|---|---|---|---|
| £ | £ | ||
| Trade debtors | 115,108 | 93,145 | |
| Prepayments and accrued income | 9,876 | 1,799 | |
| ----------------------------- | ------------------------- | ||
| 124,984 | 94,944 | ||
| ============================= | ========================= | ||
| 21. | Creditors: amounts falling due within one year | ||
| 2024 | 2023 | ||
| £ | £ | ||
| Trade creditors | 6,015 | 18,309 | |
| Social security and other taxes | 19,291 | – | |
| Other creditors | 3,804 | 4,569 | |
| ------------------------- | ------------------------- | ||
| 29,110 | 22,878 | ||
| ========================= | ========================= |
- 26 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
22. Pensions and other post retirement benefits
The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £37,421 (2023: £24,948).
Contributions totalling £3,709 (2023: £4,569) were payable at the year end and are included in other creditors.
23. Government grants
The amounts recognised in the financial statements for government grants are as follows:
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Recognised in income from donations and legacies: | ||
| Government grants income | 3,350 | 2,100 |
| ===================== | ===================== |
24. Analysis of charitable funds
Unrestricted funds
| Unrestricted funds | |||||
|---|---|---|---|---|---|
| At | |||||
| 31 March 202 | |||||
| At 1 April 2023 | Income | Expenditure | Transfers | 4 | |
| £ | £ | £ | £ | £ | |
| Unrestricted funds | 925,661 | 201,140 | (115,002) | (7,459) | 1,004,340 |
| Designated funds | 12,864 | – | – | – | 12,864 |
| Revaluation reserve | 25,000 | – | – | – | 25,000 |
| ----------------------------- | ----------------------------- | ----------------------------- | --------------------- | ------------------------------------- | |
| 963,525 | 201,140 | (115,002) | (7,459) | 1,042,204 |
|
| ============================= | ============================= | ============================= | ===================== | ===================================== | |
| At | |||||
| At 1 April 2022 | Income | Expenditure | Transfers | 31 March 2023 | |
| £ | £ | £ | £ | £ | |
| Unrestricted funds | 966,393 | 180,368 | (126,922) | (94,178) | 925,661 |
| Designated funds | 12,864 | – | – | – | 12,864 |
| Revaluation reserve | 25,000 | – | – | – | 25,000 |
| ------------------------------------- | ----------------------------- | ----------------------------- | ------------------------- | ----------------------------- | |
| 1,004,257 | 180,368 | (126,922) | (94,178) | 963,525 |
|
| ===================================== | ============================= | ============================= | ========================= | ============================= | |
| Restricted funds | |||||
| At | |||||
| 31 March 202 | |||||
| At 1 April 2023 | Income | Expenditure | Transfers | 4 | |
| £ | £ | £ | £ | £ | |
| Restricted funds | 10,931 | 1,307,658 | (1,320,044) | 7,459 | 6,004 |
| ========================= | ===================================== | ===================================== | ===================== | ===================== | |
| At | |||||
| At 1 April 2022 | Income | Expenditure | Transfers | 31 March 2023 | |
| £ | £ | £ | £ | £ | |
| Restricted funds | 20,496 | 1,168,423 | (1,272,166) | 94,178 | 10,931 |
| ========================= | ===================================== | ===================================== | ========================= | ========================= |
- 27 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
24. Analysis of charitable funds (continued)
Endowment funds
| At | |||||||
|---|---|---|---|---|---|---|---|
| 31 March 202 | |||||||
| At 1 April 2023 | Income | Expenditure | Transfers | 4 | |||
| £ | £ | £ | £ | £ | |||
| Property endowment | 280,000 | – | – | – | 280,000 | ||
| ============================= | ============ | ============ | ============ | ============================= | |||
| At | |||||||
| At 1 April 2022 | Income | Expenditure | Transfers | 31 March 2023 |
|||
| £ | £ | £ | £ | £ | |||
| Property endowment | 280,000 | – | – | – | 280,000 | ||
| ============================= | ============ | ============ | ============ | ============================= | |||
| 25. | Analysis of net assets between funds | ||||||
| Unrestricted | Restricted | Endowment | Total Funds |
||||
| Funds | Funds | Funds | 2024 | ||||
| £ | £ | £ | £ | ||||
| Tangible fixed assets | 259,771 | – | 280,000 | 539,771 | |||
| Current assets | 827,964 | 6,005 | – | 833,969 | |||
| Creditors less than 1 year | (45,531) | – | – | (45,531) | |||
| ------------------------------------- | --------------------- | ----------------------------- | ------------------------------------- | ||||
| Net assets | 1,042,204 | 6,005 | 280,000 | 1,328,209 | |||
| ===================================== | ===================== | ============================= | ===================================== | ||||
| Unrestricted | Restricted | Endowment | Total Funds |
||||
| Funds | Funds | Funds | 2023 | ||||
| £ | £ | £ | £ | ||||
| Tangible fixed assets | 274,072 | – | 280,000 | 554,072 | |||
| Current assets | 723,761 | 10,231 | – | 733,992 | |||
| Creditors less than 1 year | (33,608) | – | – | (33,608) | |||
| ----------------------------- | ------------------------- | ----------------------------- | ------------------------------------- | ||||
| Net assets | 964,225 | 10,231 | 280,000 | 1,254,456 | |||
| ============================= | ========================= | ============================= | ===================================== | ||||
| 26. | Analysis of changes in net debt | ||||||
| At | |||||||
| At 1 Apr 2023 | Cash flows | 31 | Mar 2024 | ||||
| £ | £ | £ | |||||
| Cash at bank and in hand | 639,048 | 69,937 | 708,985 | ||||
| ============================= | ========================= | ============================= | |||||
| 27. | Operating lease commitments | ||||||
| The total future minimum lease payments under non-cancellable operating leases are as follows: | |||||||
| 2024 | 2023 | ||||||
| £ | £ | ||||||
| Not later than 1 year | 27,836 | 27,836 | |||||
| Later than 1 year and not | later than 5 years | 30,334 | 58,170 | ||||
| ------------------------- | ------------------------- | ||||||
| 58,170 | 86,006 | ||||||
| ========================= | ========================= |
- 28 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Mid Warwickshire Society for Mentally Handicapped Children and Adults
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2024
28. Limitation of auditors liability
The charitable company, on 10 June 2024 entered into a limitation of auditors liability with the auditor limiting the auditor's liability to a maximum of £1,500,000 (including interest).
29. Related parties
There were no related party transactions in either the current or previous period and no one person controls the charitable company.
- 29 -
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
WRITTEN REPRESENTATION TO THE AUDITOR’S OF
Mid Warwickshire Society for Mentally Handicapped Children and Adults 31[st] March 2024
This representation letter is provided in connection with your audit of the financial statements of Mid Warwickshire Society for Mentally Handicapped Children and Adults for the year ended 31[st] March 2024 for the purpose of expressing an opinion as to whether the financial statements give a true and fair view in accordance with the Companies Acts.
We confirm that, to the best of our knowledge and belief, having made such inquiries as we considered necessary for the purpose of appropriately informing ourselves:
Financial Statements
-
We have fulfilled our responsibilities, as set out in the terms of the audit engagement dated 10th June 2024, for the preparation of the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice; in particular the financial statements give a true and fair view in accordance therewith.
-
Significant assumptions used by us in making accounting estimates are reasonable. (ISA 540)
-
Related party relationships and transactions have been appropriately accounted for and disclosed in accordance with the requirements of International Auditing Standards (UK and Ireland). (ISA 550)
-
There were no events subsequent to the date of the financial statements and for which International Auditing Standards (UK and Ireland) require adjustment or disclosure. (ISA 560)
-
The effects of uncorrected misstatements are as follows, and result in a material and uncorrected error (ISA 450):
-
Understated depreciation £2,409.20
-
The charity's Freehold Land and Buildings are carried in the statement of financial
-
position at a revalued cost of £625,197. This does not include a freehold property to which the charity have absolute title comprising of 9 leased flats. At the time of the audit the historical cost of the freehold property or its method of acquisition could not be reliably ascertained. Accordingly Freehold Property is materially understated in the financial statements together with its corresponding credit entry.
Information Provided
-
We have provided you with:
-
Access to all information of which we are aware is relevant to the preparation of the financial
-
statements such as records, documentation and other matters;
-
Additional information that you have requested from us for the purpose of the audit; and
-
Unrestricted access to persons within the entity from whom you determined it necessary to
-
obtain audit evidence.
-
All transactions have been recorded in the accounting records and are reflected in the financial
-
statements.
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
-
We have disclosed to you the results of our assessment of the risk that the financial statements may be materially misstated as a result of fraud. (ISA 240)
-
We have disclosed to you all information in relation to fraud or suspected fraud that we are aware of and that affects the entity and involves:
-
Management
-
Employees who have significant roles in internal control; or
-
Others where the fraud could have a material effect on the financial statements, (ISA 240)
-
We have disclosed to you all information in relation to allegations of fraud, or suspected fraud, affecting the entity’s financial statements communicated by employees, former employees, analysis, regulators or others. (ISA 240)
-
We have disclosed to you all known instances of non-compliance or suspected noncompliance with laws and regulations whose effects should be considered when preparing financial statements. (ISA 250)
-
We have disclosed to you the identity of the entity’s related parties and all the related party relationships and transactions of which we are aware. (ISA 550)
Post Balance Sheet Events
There have been no events since the balance sheet date, which would materially affect the assets or liabilities of the charity at the balance sheet date or its ability to continue in the foreseeable future.
Contingent Liabilities
At the balance sheet date or in the period to date thereafter there were no contingent or other liabilities arising from litigation or other claims.
Capital Commitments
At the balance sheet date there were no capital commitments.
Register of Directors and Trustees
The Trustees who served the charity through the year are listed on Page 1 of the accounts.
Related Party
The trustees consider that there is no controlling party.
There were no related party transactions in either the current of previous period and no one person control the charitable company.
Going Concern
In our opinion, the charity is a going concern and will be for the next 12 months.
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
Other matter arising during the course of the audit
We acknowledge that we have been made aware of the following deficiencies:
-
The charity is given rent free use of 38 Oakwood Grove. The SORP requires donated facilities to be included in the Statement of Financial Activities where the charity would have otherwise had to purchase the facility. The value placed on this donation should be the fair value of the rental payable for such a property. There is no recognition of this income or expenditure in the 31st March 2024 financial statements, and the fair value should be assessed in future years.
-
After initial recognition, once a property held for social benefit has been revalued, a revaluation policy must be adopted. Once the revaluation policy has been selected, it should be applied to all items of property in the same class of asset. An item of property whose fair value can be measured reliably shall be carried at a revalued amount, being its fair value at the date of revaluation less any subsequent accumulated depreciation and impairment losses. Revaluations shall be made with sufficient regularity to ensure that the carrying amount does not differ materially from the fair value at the reporting date, which is generally between 3-5 years.
-
32 Heath Terrace has not been capitalised as at 31st March 2024. Tangible fixed assets should initially be included at their cost of acquisition including costs that are directly attributable to bringing the assets into working condition for their intended use. Similarly, where such assets are capitalised some time after being acquired, they should be included at original cost or at the value at which the gift was included in the SoFA, less an amount for depreciation. However, if neither of these amounts is ascertainable, a reasonable estimate of the asset’s cost or current value to the charity should be used. Such a valuation will be regarded as the asset’s initial carrying amount and will not be regarded as a revaluation.
Laws and Regulations
We confirm that we have no knowledge of any non-compliance with laws and regulations applicable to the charity.
Plans for the Future
There are no planned or expected fundamental changes to the charity or its scale of operation.
Non Audit Services
Docusign Envelope ID: D4C90627-3CD7-4194-928F-C639ACB9502B
We acknowledge that Edwards Pearson & White LLP have provided the following non audit services during the year:
Preparation of Statutory Accounts
Directors’ Statement on Audit Enquiries
As far as the Directors (Trustees) are aware, there is no relevant audit information of which the Company’s auditors are unaware, and the Directors (Trustees) have taken all of the steps that they ought to have taken as directors (trustees) in order to make themselves aware of any relevant audit information and to establish that the Company's auditors are aware of that information.
By signing this document we confirm that it has been explained to us that reliance has been placed on the representations contained herein and that we have sufficient knowledge in order to be able to make these representations. Signed on behalf of the board of Trustees:
Michael Powell Brett Chair of Trustees 19 December 2024