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2020-12-31-accounts

Registered number: 02987866 Charity number: 1042475

Council for Voluntary Service (Medway)

Operating as:

Medway Voluntary Action

(A company limited by guarantee)

Unaudited

Trustees' report and financial statements

for the year ended 31 December 2020

Medway Voluntary Action

(A company limited by guarantee)

Contents

Page
Reference and administrative details of the company, its Trustees and advisers 1
Trustees' report 2 - 10
Independent examiner's report 11
Statement of financial activities 12
Balance sheet 13
Notes to the financial statements 14 - 26

Medway Voluntary Action

(A company limited by guarantee)

Reference and administrative details of the company, its Trustees and advisers for the year ended 31 December 2020

Trustees

P C Stokes, Chairman

T A Clarke, Vice Chair

G Viggers L S F Riley

I Walters (resigned 26 November 2020)

D Green L McVeigh

S Milford-Kemp, (co-opted 1 January 2020) Voted as full Trustee 26 November 2020

Company registered number

02987866

Charity registered number

1042475

Registered office

5A New Road Avenue Chatham ME4 6BB

Chief executive officer

J Howard

Accountants

Kreston Reeves LLP Chartered Accountants Montague Place Quayside Chatham Maritime Chatham Kent ME4 4QU

Bankers

Co-operative Bank plc 6 Olympic Court Montford Street Salford M5 2QP

Page 1

Medway Voluntary Action (A company limited by guarantee)

Trustees' report for the year ended 31 December 2020

The Trustees present their annual report together with the financial statements of the charity for the year 1 January 2020 to 31 December 2020. The Annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

Since the charity qualifies as small under section 382 of the Companies Act 2006, the Strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.

As a result of a re brand in August 2014, the company is now operating as Medway Voluntary Action (MVA), the name contained within the rest of this report.

Objectives and Activities

Policies and objectives

The principal objects of the company are to promote any charitable object or purpose for the benefit of the community, primarily but not exclusively, within the Medway area and in particular, but not exclusively, the following:

  1. The provision, or assistance in the provisioning of, the development of facilities in the interest of social welfare, including social activities, with the object of improving the conditions of life for the local community.

  2. To provide for the protection of health, and the relief of poverty, distress and sickness.

  3. The advancement of education and learning.

Strategies for achieving objectives

Medway Voluntary Action is a local development support organisation that leads, facilitates and supports a thriving Voluntary and Community Sector (VCS) in Medway.

Our mission is to:

Be a catalyst for social change to support and empower Medway communities to come together to help improve their lives and solve problems that are important within their communities.

Our strategic aims are:

Activities for achieving objectives

Established in 1989 and now embedded within Medway's communities for over 30 years, Medway Voluntary Action (MVA) has a strong history of supporting and representing Voluntary, Community and Social Enterprise (VCS or VCSE) organisations in Medway.

MVA continues to work towards a Medway where communities are active, empowered and connected. We support local not-for-profit organisations, groups and community members to develop skills, build resources and amplify their voice.

Page 2

Medway Voluntary Action (A company limited by guarantee)

Trustees' report (continued) for the year ended 31 December 2020

Activities for achieving objectives (continued)

As a summary of our activity during 2020, MVA spent the most of the year in the grip of a global pandemic, COVID-19, causing unprecedented disruption to the communities of Medway; the pandemic also presented a serious threat to the sustainability and organisational growth of the VCS.

As a result, MVA allocated significant resource to COVID-19 response, working with the VCS and Medway Council to ensure organisations working on the ‘front line’ with those affected by COVID-19 were both supported by MVA, and connected to other ‘like’ organisations. We also acted as a conduit for information exchange, managing information about COVID-19 and the organisations working directly to support this response. This meant that organisations were fully informed of strategic direction of travel both locally and nationally and of funding and other support availability, such as the support of Voluntary and Community Services Emergencies Partnership. In addition, we undertook surveys on a regular basis to ascertain the pandemic-related damage to the sector and made this information available to funders and other sources of support – many of these organisations in the VCS were sustained through the pandemic as a result. MVA also supported the transfer of many organisations’ services to on-line provision though training packages and sourcing other ‘expert’ help. Finally, MVA proactively recruited volunteers with additional campaigns to support the COVID-19 response and have since conducted another campaign to recruit for vaccine volunteers. In total we recruited 279 volunteers for both campaigns.

The following is a more detailed account of the work streams undertaken by MVA.

Infrastructure

As part of our relationship with Medway Council, we are commissioned to provide a service to organisations and individuals, targeting three (3) objectives:

  1. Community Capacity Building

  2. Engagement & Representation, Promotion and Networking

  3. Developing Volunteering

We also work with four partners, Healthwatch Medway, Carers First, Kent Association for the Blind and Citizens Advice Medway also commissioned by Medway Council, as part of the ‘Better Together Consortium’.

2020 has seen MVA engage and support 99 new organisations. MVA has interacted with 790 VCS organisation and groups on average, providing follow ups and further advice and guidance to 24% of these groups leading to the provision of 10,710 ‘community support’ functions, in support of Governance (8512), Partnership Working (1989) and Income Generation (209).

MVA surveyed the sector to enable ‘real time’ data to be shared and understood with local stakeholders in the wake of the crisis. The survey data formed the basis of MVA’s priority support for the sector during the COVID19 crisis, resulting in MVA providing urgent support to 34 organisations & groups and supporting them to raise £1,266,158. This was achieved at a time when our ‘external surveys’ identified a £1,500,000 loss to the VCS across Medway, between March and September 2020.

Reflecting on the unprecedented year during 2020, MVA continued to engage and represent organisations and groups across Medway, ensuring that our ‘communication’ was maximised, to reach the wide and diverse range across our communities. Our aim here was to promote services, ensure that MVA was listening, identifying issues, and share best practice, to promote the ‘value’ of the VCS and how it can best support our communities. To support this effort, MVA produce a yearly communication plan (Better Together Consortium driven), which is regularly reviewed.

Page 3

Medway Voluntary Action

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 December 2020

Infrastructure (continued)

MVA’s communication channels and networking support were rapidly deployed and adapted to meet the new needs of communities during this time. MVA introduced weekly VCS zoom sessions for the sector, providing peer-support, information sharing and facilitating collaborative working to help the sector navigate the initial impact of the crisis. Working with the statutory sector responsible for COVID-19 response, MVA played a major role in the co-ordinated emergency response in Medway, significantly improving the support delivered to help the most vulnerable residents in the area. The joint efforts of the Medway community and emerging volunteering activity were recognised by one Leader of Medway Council:

“A critical part of the successful work being achieved in our communities by our Public Health team has been working with many local voluntary organisations and in this National Volunteers Week I’d like to pay a special tribute to the many people in Medway who have come forward during this pandemic to help others in their community. Whether it was a bit of shopping for a neighbour or friend or working for one of our many wonderful local charities, so many people have gone the extra mile demonstrating the caring spirit of Medway people. On behalf of Medway Council I’d like to say a special thank you to all this week and in particular to our partners at Medway Voluntary Action who celebrate their 30th anniversary this year. If you think you’d like to volunteer, please do take a look at their website (www.mva.org.uk/) or get in touch with them.”

Cllr. Alan Jarrett - Leader of the Council (June 2020)

MVA also provided an interactive website which continues to be updated, in support of other VCS and health and social care partners. In total, MVA facilitated 2196 engagements via various ‘media’ platforms and sign- posted 52 VCS organisations and groups to other ‘partners’.

Near the beginning of the first Lockdown, we also formed the Community and Faith Forum to bring together people across Medway and across faiths, nationalities and locations to contribute to the needs of the population, and to link with Medway Council’s Public Health, Medway Hospital and Kent Police. This Forum, comprising of around 30 different organisations, has been responsible for helping a significant part of Medway’s populations over the past year, and has been cited nationally as an example of excellent practice.

Medway Volunteer Network

Since its launch in 2017, Medway Volunteer Network continues to grow from strength to strength, despite the challenges that COVID-19 presented. We continued to increase our membership and we now have in excess of 500 members within the Network.

Medway’s Volunteers really ‘stepped up’ as a result of the COVID-19 Pandemic. MVN supported the sector and its volunteers in this response. A snapshot of some of this during the first few weeks is as follows:

Despite the pandemic we supported 12 volunteering events. The sector shift to virtual events enabled us to maintain a significant presence and talk about volunteering, during a time when it really has never been so important, supporting over 70 VCS organisations with volunteering enquiries and placing over 200 volunteer adverts submitted by the sector on our Volunteering Opportunities website page.

We also supported National Volunteers’ Week in June, hosting a Volunteers Week Gallery for the sector on our website to recognise and share the huge range of volunteer activities in Medway. As part of the Volunteers’ Week celebrations, we hosted 2 Creative Virtual Coffee Mornings, for all volunteers in Medway.

Page 4

Medway Voluntary Action

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 December 2020

North Kent Training Service (NKTS)

As part of the Better Together Consortium, MVA are also commissioned to deliver training opportunities to the sector. 2020 was an unprecedented year for the training industry, with national COVID-19 social distancing requirements inhibiting the delivery of face to face training almost entirely throughout the year. MVA’s training service, NKTS, subsequently adapted in the wake of the COVID-19 crisis in order to continue meeting the needs of the voluntary and community sector. In 2020 we:

Funding and Marketing Club

We have continued to run the Funding and Marketing Club as a free service this year to counteract the impact of COVID-19 on many charities finances. Members of the club identified the topics that they would like to cover; these included an introduction to fundraising, a presentation from Kent Community Foundation on their funding streams, Fundraising at Christmas time, Trust Fundraising and Support for new organisations.

Over the year MVA have provided one to one support for charities, mostly around fundraising. This year there were a number of new groups that emerged to help the local community during the COVID-19 lockdown. Some of these groups had intensive support to enable them to fundraise. For some this included helping them to register as a charity.

Befriending

Now at the end of its second year, with an extension agreed for a further 12 months the Befriending programme supports lonely and isolated people across Medway in a variety of ways including telephone befriending, connecting into local Voluntary and Community Sector organisations and 1:1 Befriending. The service is based on partnership working, delivered in a person centred way for both those we support and our volunteers and encourages progression of all those involved in the service. This service is very much in demand and in just 23 months we have received over 600 referrals into the service and recruited over 200 volunteers, more than 70 of whom are actively making befriending calls to up to 3 people a week. Volunteers and our members reviewed are showing a marked improvement in health and wellbeing, physical activity and community connectedness, with 39% reducing their need for medical services as a result. For some the impact on their lives has been life changing. 51% of referrals have felt happier, 41% were more physically active, 44% were less anxious; overall 88% of referrals have improved in at least one measure of health and wellbeing.

The pandemic necessitated a major shift in the way the service was delivered; all face to face and coffee sessions in our Hub had to stop, and we transferred the entire service into telephone befriending alongside coffee and chat Zoom sessions twice a week. We trialled creative Zoom sessions, started a walking group with its own WhatsApp chat, and held “Park and Chat” and then “Cafe and Chat” sessions as COVID restrictions allowed. These sessions were held across Medway to allow people without access to transport to attend, often meeting in small parks near people’s houses.

MVA also set up a digital inclusion pilot - Bridging the Divide. The project involves lending tablets to socially isolated adults in Medway while helping them with a Digital Champion to engage in the digital arena - and hopefully join in some of our zoom chat sessions amongst other things. We currently have funded 75 tablets across Medway and Swale. Tablets come already set up, with a working sim card providing 10GB of data every month for participants on the scheme if they do not have wifi so that they are not restricted in how they can use the tablets.

Page 5

Medway Voluntary Action

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 December 2020

Involving Medway

Involving Medway is a Medway Clinical Commissioning Group contract that MVA have been involved with since its inception and in 2019 MVA took on a much larger role in this initiative, delivering the Community Health Researcher and VCS Focus Group programmes. Again, 2020 presented this programme with unprecedented challenges. Despite this, we were able to deliver against agreed objectives for this funding – even helping to deliver research around COVID-19 and Medway’s BAME communities. This research was subsequently used to develop new resources and support to help reduce the disproportionate impact on these communities. Such successes were strong testimony to our joint efforts to adapt and respond to the challenges presented to us by COVID-19.

Financial Capabilities

This 12 month project running from September 2020 to August 2021 and funded by Kent Community Foundation, follows the legacy left by the Royal Bank of Scotland funded project in 2019, providing money management skills and support for Medway residents experiencing financial difficulties and/or distress. The first half of the project was run in partnership with an experienced organisation in this work, Domeg, who then provided volunteer training over a 4 week period starting in the last week of February, with a further 6 volunteer support sessions spread evenly over the second half of the year, March- August 2021. Volunteer Financial Capabilities Mentor recruitment started in January 2021 and engaged 8 volunteers.

Liaison and the ongoing development of links with local agencies including Medway Early Help Services, Medway Foodbank, Strengthening Minds Food Share, AMAT and Arches Local, has led to referrals from their client bases, Mentor recruitment, access to space in their hubs, (COVID-19 restrictions allowing), and the potential for partnership working to take this project beyond its current end date.

NHS Volunteer Responder evaluation

In December we were chosen by NHSE/I to undertake a ‘deep dive’ evaluation of this scheme. The evaluation has taken place over a three month period – from December to March. This evaluation has refined our skills in data analysis and research and built links with the NHSE/I Futures platform/staff and peers enabling potential collaborations as a result of this networking in the post COVID-19 world going forward.

Voluntary and Community Sector Emergencies Partnership

Shortly after the onset of COVID-19, MVA were asked to join this national partnership to assist with their COVID19 response initiative. The Partnership itself is composed of a number of major charities such as British Red Cross, NAVCA, St John’s Ambulance, Victim Support, Muslim Aid, Volunteering Matters and the Salvation Army but also the Department for Digital, Culture Media and Sport, CMS, the Local Government Association, and the Cabinet Office. Our role was to liaise with other ‘like’ organisations to share information on unmet need and either to secure resource to meet this need or to refer it to the Multiagency Cell of the partnership. This enabled the CEO at MVA to work closely with others both locally and nationally to share information and resource. Some of these collaborations are now established for further partnership work.

Main activities undertaken to further the Charity’s purposes for the public benefit

MVA is located in a central and accessible position within Medway and acts as focal point for local charities and community groups. In shaping our objectives for the year and planning our activities, the trustees have considered the Charity Commission’s guidance on public benefit, including the guidance ‘public benefit: running a charity (PB2)’.

Page 6

Medway Voluntary Action

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 December 2020

Achievements and performance

Since the inception of its previous Infrastructure contract with Medway Council, MVA has supported its core operation, primarily from past reserves, while seeking to establish further projects funded from related restricted funds.

To further develop the ability of MVA to provide enhanced services to the sector, the Board made the decision to sell the building to release capital and staff capacity to underpin this development to support sustainability and services to the Medway communities.

Review of activities

We continue to follow our strategic plan which places emphasis on developing resilient communities in addition to continuing to support the VCS. We will also direct our resources to extend our role as being a central hub of information, support and guidance, and maximise opportunities for income generation to support the sustainability of the VCS. During the COVID pandemic MVA has been a focal point for information, guidance and support for the Medway VCS.

MVA are pleased that the Better Together Infrastructure contract has been adapted so rapidly and effectively in order to support the local response to the unprecedented challenges presented in 2020. Our KPI data and strong testimonials from the VCS, statutory partners and residents alike are a reflection of the strength of this commissioned contract.

Like everyone in the VCS and beyond, MVA has had to adapt and develop its operational and service delivery; and we are proud that this process has been relatively seamless with regards to supporting Medway’s VCS and local communities.

As a result, the VCS in Medway is outstanding in comparison to VCS activity in other local authorities, in its willingness to work collaboratively, to share resources and expertise to respond to COVID-19, and to come together to form a collective body, to give voice to their issues and views. MVA’s key role in terms of facilitating this activity has been evidenced by a number of comments/feedback received, both by our members and key representatives of the statutory sector.

MVA recognised that we had already put increased demand on the VCS to provide vital information through two unprecedented COVID-19 surveys (at a time where many of them were dealing with their internal pressures and challenges). MVA therefore moderated their standard KPI survey collection methods to minimise the demand of organisations and groups, capitalising instead on existing ‘touch points’ with the sector to gather this particular KPI data. Through these methods, MVA were able to report that for the local VCS:

MVA also hold a comprehensive digital database of local organisations, providers, social enterprises and community groups. An additional role for this collection of data is to ‘map’ services, in relation to location, in an attempt to identify provision ‘gaps’. Critical work to update the data in wake of crisis (i.e. number of organisations who stopped services and our ongoing work to find what their alternatives are now) is underway.

MVA’s ability to rapidly respond to the COVID-19 crisis in support of the VCS enabled more effective networking, the provision of support (information sharing and facilitating collaborative working) and the availability of local and national information on issues critical to the VCS.

These functions helped large parts of the VCS navigate the initial impact of the COVID-19 crisis. We were also proactive in providing multi-media platforms with 2000+ engagements with these platforms.

Page 7

Medway Voluntary Action

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 December 2020

Review of activities (continued)

Finally, MVA have continued to network, support and represent the VCS through liaising with others to advocate for the sector (Medway Council, KCF, NCVO, NAVCA) and attending and holding a variety of ‘meetings’ (116) through 2020, as we worked to gather intelligence locally and nationally to inform our support of the sector, and learn and develop a broader and more ‘collaborative’ way of representing the VCS across Medway.

“On behalf of the VCS Leaders Network and Medway’s voluntary sector, I would like to record my sincere thanks for the invaluable support MVA not only afford to the VCS Network but also the voluntary sector across Medway. I would like to congratulate Jane and her wonderful team and thank them for all the support and guidance they have delivered throughout this difficult period of pandemic in support of the many charities in Medway. We are all stronger because of you. Thank you!”

Martyn Reeves - VCS Leaders Network Chair (December 2020)

Reserves policy and going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the Financial Statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies. The Trustees have established a policy whereby the unrestricted funds not committed or invested in tangible fixed assets held by the charity should be 6 months of the annual resources expendable, which equates to £161,998 expenditure. At present the General Fund amounts to £80,999 but the trustees have already agreed to support the additional expenditure of developing new services up to £90,000 p.a. from the Service Development Fund. The Board of Trustees continually reviews the financial risks and makes plans to maximise opportunities for the charity's sustainability.

Principal funding

The principal funding of the charity is derived from the infrastructure contract with Medway Council established in 2013. The original term of the contract was for 3 years expected to expire in March 2016 but was extended twice, first to April 2018 and then again to the 31st December 2018. As a result of a tendering process, MVA were successful in being awarded a further contract to deliver Infrastructure services from the 1st January 2019 for three years. MVA has also been successful in the renewal of the one year Befriending pilot into a further year, the continuation of the Involving Medway contract and receiving funding for a small number of projects that relate to the core work of MVA.

Structure, governance and management Constitution

Council for Voluntary Service (Medway) is a company limited by guarantee governed by its Memorandum and Articles of Association dated 20 September 1994 and is a registered charity number 1042475.

Method of appointment or election of trustees

The power of appointment of Trustees is vested in the existing trustees, subject to ratification at the Annual General Meeting. Trustees are recruited from a wide range of backgrounds to ensure an appropriate mix of skills and experience in line with the values of the organisation.

Policies adopted for the induction and training of Trustees

New Trustees are provided with an induction pack and all Trustees are encouraged to attend appropriate training courses.

Page 8

Medway Voluntary Action (A company limited by guarantee)

Trustees' report (continued) for the year ended 31 December 2020

Pay policies for senior staff

The Board of Trustees aim to pay senior staff a fair salary that is competitive within the charity sector and proportionate to the complexity of each role. The Trustees are responsible in line with our charitable objectives based on the following principle:

Organisation structure and decision making

The role of the Board of Trustees is to set the Charity’s strategic direction, monitor the delivery of its objectives, uphold its values and governance, and guide, advise and support the CEO, who is responsible for day to day management decisions and leads the team towards achieving the charity’s vision and purpose.

Related party relationships

None of our Trustees receive remuneration or other benefit from their work with the charity. Any connection between a Trustee or senior manager of the charity with any business or activities of the charity must be disclosed to the full Board of Trustees in the same way as any other contractual relationship with a related party. In the current year, no such related party transactions were reported.

Risk management

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

This work has identified that the reliance on the single contract with Medway Council and therefore the charity’s longer term financial sustainability is the major financial risk for the Charity. This is reflected in the Reserves Policy, referred to above, and a key element in the management of financial risk is a regular review of available liquid funds to settle debts as they fall due, regular liaison with the bank, and active management of trade debtors and creditors balances to ensure sufficient working capital by the Trust. MVA is pro-actively seeking other contracts to mitigate this risk.

Plans for future periods

Future developments

In 2021 and beyond, we aim to continue supporting the voluntary and community sector through what appears to be a period of continued disruptions due to the pandemic. This will be a crucial time for the sector due to the impact of the pandemic. We will do this through:

Page 9

Medway Voluntary Action

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 December 2020

Trustees' responsibilities statement

The Trustees (who are also directors of Council for Voluntary Service (Medway) for the purposes of company law) are responsible for preparing the Trustees' report and the Financial Statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare Financial Statements for each financial year. Under company law the Trustees must not approve the Financial Statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the Income and Expenditure, of the Charitable company for that period. In preparing these financial statements, the Trustees are required to:

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

Approved by order of the members of the board of Trustees on 19 August 2021 and signed on their behalf by:

P C Stokes

Page 10

Medway Voluntary Action

(A company limited by guarantee)

Independent examiner's report

for the year ended 31 December 2020

Independent examiner's report to the Trustees of Medway Voluntary Action ('the company')

I report to the charity Trustees on my examination of the accounts of the company for the year ended 31 December 2020.

Responsibilities and basis of report

As the Trustees of the company (and its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the company's accounts carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

  1. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

This report is made solely to the company's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the company's Trustees those matters I am required to state to them in an Independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the company and the company's Trustees as a body, for my work or for this report.

Signed: Dated: 20 August 2021

Susan Robinson

BA FCA FCIE DChA MCMI

Kreston Reeves Chatham Maritime

Page 11

Medway Voluntary Action

(A company limited by guarantee)

Statement of financial activities (incorporating income and expenditure account) for the year ended 31 December 2020

Note
Income from:
Donations and legacies
3
Other trading activities
4
Investments
5
Other income
6
Total income
Expenditure on:
Charitable activities
7
Total expenditure
Net income/(expenditure)
Transfers between funds
15
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Restricted
funds
2020
£
196,714
-
-
-
196,714
173,557
173,557
23,157
2,063
25,220
36,069
25,220
61,289		 Unrestricted
funds
2020
£
103,181
3,641
2,262
13,143
122,227
161,998
161,998
(39,771)
(2,063)
(41,834)
590,131
(41,834)
548,297		 Total
funds
2020
£
299,895
3,641
2,262
13,143
318,941
335,555
335,555
(16,614)
-
(16,614)
626,200
(16,614)
609,586		 Total
funds
2019
£
220,508
13,289
2,929
6,236
242,962
301,143
301,143
(58,181)
-
(58,181)
684,381
(58,181)
626,200

The Statement of financial activities includes all gains and losses recognised in the year.

The notes on pages 14 to 26 form part of these financial statements.

Page 12

Medway Voluntary Action

(A company limited by guarantee) Registered number: 02987866

Balance sheet as at 31 December 2020

Note
Fixed assets
Tangible assets
12
Current assets
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due within one
year
14
Net current assets
Total assets less current liabilities
Total net assets
Charity funds
Restricted funds
15
Unrestricted funds
15
Total funds		 3,018
631,097
634,115
(35,177)		 2020
£
10,648
10,648
598,938
609,586
609,586
61,289
548,297
609,586		 27,752
607,109
634,861
(21,136)		 2019
£
12,475
12,475
613,725
626,200
626,200
36,069
590,131
626,200

The company was entitled to exemption from audit under section 477 of the Companies Act 2006.

The members have not required the company to obtain an audit for the year in question in accordance with section 476 of Companies Act 2006.

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements were approved and authorised for issue by the Trustees on 19 August 2021 and signed on their behalf by:

T A Clarke

The notes on pages 14 to 26 form part of these financial statements.

Page 13

Medway Voluntary Action

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

1. General information

Medway Voluntary Action is a charity and company limited by guarantee incorporated in England. The charity's registered office is 5A New Road Avenue, Chatham, ME4 6BB.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

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

2.2 Going concern

The Trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements and have concluded that the Charity has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties about the Charity's ability to continue as a going concern, thus they continue to adopt the going concern basis of accounting in preparing the financial statements.

Whilst the impact of the COVID-19 pandemic has been assessed by the Trustees, so far as is reasonably possible, due to its unprecedented impact on the worldwide economy it is difficult to evaluate with any certainty the potential outcomes on the Charity's future activities. However, taking into consideration the Charity's level of reserves, the Trustees believe that the Charity will be able to continue in operational existence for the foreseeable future.

Page 14

Medway Voluntary Action

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

2. Accounting policies (continued)

2.3 Income

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

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

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

2.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

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

All expenditure is inclusive of irrecoverable VAT.

2.5 Interest receivable

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

2.6 Tangible fixed assets and depreciation

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

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives.

Depreciation is provided on the following basis:

Page 15

Medway Voluntary Action

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

2. Accounting policies (continued)

2.7 Debtors

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

2.8 Cash at bank and in hand

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

2.9 Liabilities and provisions

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

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

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

2.10 Financial instruments

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

2.11 Pensions

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

2.12 Fund accounting

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

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

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

Investment income, gains and losses are allocated to the appropriate fund.

Page 16

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

3. Income from donations and legacies

Donations
Government grants
Total 2019		 Restricted
funds
2020
£
-
196,714
196,714
116,937		 Unrestricted
funds
2020
£
-
103,181
103,181
103,571		 Total
funds
2020
£
-
299,895
299,895
220,508		 Total
funds
2019
£
40
220,468
220,508

4. Income from other trading activities

Income from fundraising events

Training income
Photocopying charges
Total 2019		 Unrestricted
funds
2020
£
2,447
1,194
3,641
13,289		 Total
funds
2020
£
2,447
1,194
3,641
13,289		 Total
funds
2019
£
11,241
2,048
13,289

5. Investment income

Deposit account interest
Total 2019		 Unrestricted
funds
2020
£
2,262
2,929		 Total
funds
2020
£
2,262
2,929		 Total
funds
2019
£
2,929

Page 17

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

6. Other incoming resources

Sales and service income
Management fees
Total 2019		 Unrestricted
funds
2020
£
7,454
5,689
13,143
6,236		 Total
funds
2020
£
7,454
5,689
13,143
6,236		 Total
funds
2019
£
2,974
3,262
6,236

7. Analysis of expenditure on charitable activities Summary by fund type

Direct costs (note 8)
Total 2019		 Restricted
funds
2020
£
173,557
87,750		 Unrestricted
funds
2020
£
161,998
213,393		 Total
funds
2020
£
335,555
301,143		 Total
funds
2019
£
301,143

Page 18

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

8. Charitable activity costs

9. Restricted
funds		 Unrestricted
funds		 Total
funds		 Total
funds
2020 2020 2020 2019
£ £ £ £
Equipment hire - 1,125 1,125 2,113
Insurance 14 3,720 3,734 4,104
Legal & professional - 3,614 3,614 6,109
Postage, printing and stationery 1,712 1,393 3,105 3,628
Premises expenses - 138 138 3,860
Energy and water rates - 2,955 2,955 2,037
Equipment costs 10,355 11,057 21,412 13,251
Rent - 20,150 20,150 12,317
Telephone 2,308 4,332 6,640 4,329
Sessional work and training 200 2,313 2,513 4,918
Travel expenses 268 299 567 1,847
Staff and other expenses 9,149 5,608 14,757 32,561
Sundry expenses 19,444 2,444 21,888 31,416
Advertising and promotions - 375 375 79
Project expenses 19,437 3,856 23,293 19,870
Management fees 5,154 - 5,154 19,870
Independent examination fee - 1,100 1,100 1,200
Wages and salaries 99,019 82,019 181,038 139,564
National insurance 4,277 6,066 10,343 8,969
Pension cost 2,220 3,465 5,685 3,440
Depreciation - 5,969 5,969 5,531
Total 2020 173,557 161,998 335,555 301,143
Total 2019 87,750 213,393 301,143
Independent examiner's remuneration
Fees payable to the company's independent examiner for the i
examination of the company's annual accounts		 ndependent 2020
£
1,100		 2019
£
1,200

Page 19

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

10. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes		 2020
£
181,038
10,343
5,685
197,066		 2019
£
139,564
8,969
3,440
151,973

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

Project staff
Administration staff		 2020
No.
3
7
10		 2019
No.
1
6
7

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

The total employment benefits including employer pension contributions and employer national insurance contributions of the key management personnel were £47,511 (2019: £43,205).

11. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2019 - £NIL).

During the year ended 31 December 2020, expenses totalling £NIL were reimbursed or paid directly to Trustees (2019 - £Nil).

Page 20

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

12. Tangible fixed assets

Cost or valuation
At 1 January 2020
Additions
Disposals
At 31 December 2020
Depreciation
At 1 January 2020
Charge for the year
On disposals
At 31 December 2020
Net book value
At 31 December 2020
At 31 December 2019		 Office
equipment
£
31,110
4,138
(2,723)
32,525
18,635
5,969
(2,727)
21,877
10,648
12,475

Page 21

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

13. Debtors

Due within one year
Trade debtors
Other debtors
Prepayments and accrued income		 2020
£
275
-
2,743
3,018		 2019
£
1,616
1,457
24,679
27,752

14. Creditors: Amounts falling due within one year

Trade creditors
Other taxation and social security
Pension fund loan payable
Other creditors
Accruals and deferred income		 2020
£
5,460
9,813
427
10,823
8,654
35,177		 2019
£
8,614
-
-
3,746
8,776
21,136

Page 22

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

15. Statement of funds

Statement of funds - current year

Unrestricted funds
Designated funds
Fixed Asset Fund
Service Development Fund
General funds
General Fund
Total Unrestricted funds
Restricted funds
Postcode Community Trust
MHS Homes Group
Barrow Cadbury Trust
RBS Skills & Opportunties
Befriending
Involving Medway Project
Bridging the Divide
VCSE Liaison
KCF Resilience - Financial
capability project
COVID Response
Total of funds		 Balance at 1
January
2020
£
12,475
498,669
511,144
78,987
590,131
116
5,680
(62)
8,205
14,312
7,818
-
-
-
-
36,069
626,200		 Income
£
-
-
-
122,227
122,227
-
-
6,000
-
112,605
44,217
9,689
4,750
10,000
9,453
196,714
318,941		 Expenditure
£
(5,969)
(64,876)
(70,845)
(91,153)
(161,998)
(116)
(3,057)
(3,105)
(8,205)
(89,995)
(47,041)
(2,840)
(3,167)
(4,515)
(11,516)
(173,557)
(335,555)		 Transfers
in/out
£
4,142
(2,063)
2,079
(4,142)
(2,063)
-
-
-
-
-
-
-
-
-
2,063
2,063
-		 Balance at
31
December
2020
£
10,648
431,730
442,378
105,919
548,297
-
2,623
2,833
-
36,922
4,994
6,849
1,583
5,485
-
61,289
609,586

Page 23

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

15. Statement of funds (continued)

Statement of funds - prior year

Unrestricted funds
Designated funds
Fixed Asset Fund
Service Development Fund
General funds
General Fund
Total Unrestricted funds
Restricted funds
Postcode Community Trust
MHS Homes Group
Barrow Cadbury Trust
RBS Skills & Opportunties
Befriending
Involving Medway Project
Total of funds		 Balance at
1 January
2019
£
3,474
547,993
551,467
126,032
677,499
116
3,909
2,857
-
-
-
6,882
684,381		 Income
£
-
-
-
126,025
126,025
-
8,000
10,000
30,930
49,813
18,194
116,937
242,962		 Expenditure
£
(5,531)
(49,324)
(54,855)
(158,538)
(213,393)
-
(6,229)
(12,919)
(22,725)
(35,501)
(10,376)
(87,750)
(301,143)		 Transfers
in/out
£
14,532
-
14,532
(14,532)
-
-
-
-
-
-
-
-
-		 Balance at
31
December
2019
£
12,475
498,669
511,144
78,987
590,131
116
5,680
(62)
8,205
14,312
7,818
36,069
626,200

Page 24

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

16. Summary of funds

Summary of funds - current year

Designated funds
General funds
Restricted funds		 Balance at 1
January
2020
£
511,144
78,987
36,069
626,200
Balance at
1 January
2019
£
551,467
126,032
6,882
684,381		 Income
£
-
122,227
196,714
318,941
Income
£
-
126,025
116,937
242,962		 Expenditure
£
(70,845)
(91,153)
(173,557)
(335,555)
Expenditure
£
(54,855)
(158,538)
(87,750)
(301,143)		 Transfers
in/out
£
2,079
(4,142)
2,063
-
Transfers
in/out
£
14,532
(14,532)
-
-		 Balance at
31
December
2020
£
442,378
105,919
61,289
609,586
Balance at
31
December
2019
£
511,144
78,987
36,069
Summary of funds - prior year
Designated funds
General funds
Restricted funds
626,200

17. Analysis of net assets between funds Analysis of net assets between funds - current period

Tangible fixed assets
Current assets
Creditors due within one year
Total		 Restricted
funds
2020
£
-
61,289
-
61,289		 Unrestricted
funds
2020
£
10,648
572,826
(35,177)
548,297		 Total
funds
2020
£
10,648
634,115
(35,177)
609,586

Page 25

Medway Voluntary Action (A company limited by guarantee)

Notes to the financial statements for the year ended 31 December 2020

17. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior period

Tangible fixed assets
Current assets
Creditors due within one year
Total		 Restricted
funds
2019
£
-
36,069
-
36,069		 Unrestricted
funds
2019
£
12,475
598,792
(21,136)
590,131		 Total
funds
2019
£
12,475
634,861
(21,136)
626,200

18. Pension commitments

The group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and amounted to £5,685 (2019 - £3,440).

19. Operating lease commitments

At 31 December 2020 the company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years		 2020
£
6,904
-
6,904		 2019
£
11,428
6,904
18,332

20. Related party transactions

There were no related party transactions during the year (2019 - £Nil).

Page 26