Guildcare. ANNUAL REPORT &ACCOUNTS 2021-2022
Guild Care Trustee Report Icompany Limited by Guarantee) Year End 31 March 2022 GuildCare4p Guild Care Annual Report and Accounts 2021122 Contents Introduction - 3 Who's Who- 4 Structure. Govgrnance, and Management- 6 Principle Risks and Uncertainties - 7 Messages from the Chalr and CEO- 9 & 10 Financial Review of the Year- 11 Summary- 11 Raising Funds- 12 Donations & LegaciBs- 12 Charity shops- 12 Charitable Actlvities - 12 Resldential Services- 12 Home Care- 12 Community Services- 12 Value for Money- 12 Bank Funding- 13 Reserves Policy- 13 Statement of Disclosure of Information to Auditors- 14 Statement of Trustees, Responsibilities - 15 Independent Auditor's Report to the Members of Guild Care- 16 Consolidated Statement of Financial Activltles- 20 Consolidated Statement of Comprehensive Income- 21 Consolidated Statement of Changes in Reserves- 22 Balance Sheet- 23 Statement of Cash Flows - 24 Notes to the Accounts- 25 P8ge 2 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r Introduction The Directors, who are the Trustees of Guild Care presenr iheir annual report and the accounts for rhe year ended 31 March 2022 The Trustees confirm that the annual report and financial statements of the company comply with current statutory requirements, the requirements of the company's governing document and the provisions of The Housing SORP 2018 Statement of Recommended Practice forsocial Landlords and The Accounting Direction for Private Registered Providers of Social Housing 2022. Reference and administrative information are set out on page five and forms part of this report. Page 3 of 41
Guild Care Trustee Fleport (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r Who's Who Patro Tim Loughton MP Derek Ridlev T ustees Peter Kinsey (Chair) Appointed to the Board of Trustees in March 2022. Perer worked in health and social care for 36 years prior to his retirement. His career included roles as a Director in the NHS, a local authority commissioner and, for the last 15 years, CEO of a national care provider supporting people with learning disabilities. Peter now works as a consultant advising organisations in health and social care and a coach for senior managers in addition to supporting several local charities. Peter has an MBA, an MA in the Management of Community Care and is an NLP Master Practitioner. Peter was appointed Chair in September 2022. Guy Clinch IDeputy Chairl Appointed to the Board of Trustees in September 2016. Guy is a charrered accounrant. He served as Chair of rhe Board of Trustees for St Barnabas Hospices for 10 years. Guy was appointed Deputy Chair in March 2020. Mark Davis Appointed to the Board of Trustees in May 2016. Following a career of over 30 years in ihe financial services secror, Mark has now taken early retirement. His background includes significant experience in customer services roles. business change and business re- engineering, and IT consultancy ata senior management level. Originally from Newcastle upon Tyne, Mark has been a resident of Worrhing for the past 35 years. Bimal Desai Appointed to the Board of Trusrees in December 2020. Bimal is a soliciror and was a partner in a global law firm for over 22 years. based first in London and then in Dubai and Singapore. He has a keen interest in social care development and pol icy and enjoys tennis and sailing. Eileen Houghton Appointed to the Board of Trustees in November 2017. Eileen was a Chartered Accountant and a partner at Carpenter Box, accountanrs specialising in the charity and not for profit sector. She has held several voluntary positions, inc1udin9 a brief time working with a charity in Ghana. She also comes from a nursing family, with both parents being trained nurses. in fact, her mother was matron at Guild Care homes in the 1980'5190's. Rita Protopapa Appointed to the Board of Trustees in June 2018. Rita is qualified in Business Administration and developed a career within the private and public secrors. Rita loves outdoor life, reading, and travelling and has an interest in disabilities and long-term conditions. Page 4 of 41
Guild Care Trustee Report Icompany Limited by Guarantee) Year end 31 March 2022 GuildCareK• Paul Baker May 2019 to October 2021 Paul was elected to Worthing Borough Council as a Councillor for Broadwater Ward in 2016 and became Mayor of Worthing in 2018, where one of his Mayoral charities was Guild Care Haviland House, raising £5,000 durin9 the year. Due to other commitments Paul resigned from the Board in October 2021. Bev Hone September 2021 to April 22 Bevjoined the Board of Trustees in September 2021 after a long career working across health, housing and social care in the starutory and non-profit sectors. Due io other commitments Bev resigned from the Board in April 2022. Cynthia Lyons May 2018 to June 2022 Cynthia joined the Board of Trustees in May 2018. Having retired after 32 years in health services, Cynrhia has spent her career working as a consultant in public health and was Director of Public Health for East Sussex. She was also a Board Member of the East Sussex Clinical Commissioning Groups and a statutory Chief Officer of East Sussex Counry Council. Cynthia resigned from the Board in June 2022. Antonia Hopkins October 2015 to September 2022 Appointed to the Board of Trustees in October 2015. Having retired after 42 years in the health service. Antonia trained as a nurse and went on to develop a career in Health Visiting NHS management and commissioning. She was the former strategic lead for Health Visiting for the South East of England. Antonia was appointed as Interim Chair in December 2019 and then appointed Chair in March 2020. Antonia resigned from the Board in Seprember 2022. The Directors, who are the Trustees of Guild Care, present their Annual Reporr and Accounts for the year ended 31st March 2022. The Trustees confirm that the Annual Report and Financial Statements of rhe company comply with current statutory requirements, the requirements of the company's governing document, and the provisions of The Housing SORP 2018 Statement of Recommended Practice for Social Landlords and The Accounting Direcrion for Private Registered Provider5 of Social Housing 2022. Page 5 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare4* Structure, Governance, and Management Guild Care is a charitable company limited by guarantee and regulared by the Social Housing Regulator. The company was established under a Memorandum of Association which set out the objects and powers of the charitable company and it is governed under its Articles of Association. Guild Care has considered Ehe National Housing Federation Code of Governance 2020 and has complied with the code during the year. The Board of Trustees sets the strategic direction of the charity and is responsible for its governance. Day to day operational responsibility is delegated to rhe Chief Executive. The charity has in place a governance manual that sets our the parameters for the delegation of responsibility and this is reviewed on an annual ba515. Trustees hold regular Board meetings and receive copies of monthly management accounts, quarterly KPIS. and reports on performance and sector developments. Annually two meetings are set aside specifically for srrategic planning and development purposes. Within the year the Board operates regular finance sub-committee meerings which support rhe Trustees, decision-making. Trustees continue to be recruited through an open process. New Trustees undergo a full induction programme and all Trustees are regularly provided with opportunities to visit services where they can talk to staff members and users of our services. Guild Care annually reviews the skills mix of Ehe Board and operates a succession planning process. All Trustees give their time voluntarily and receive no benef its f rom the charity. Any expenses reclaimed from the charity are ser out in note 9 of the accounts. Guild Care operates a fully inclusive recruitment policy with appointment5 based solely on aptitude and ability. We are also fully committed to the continuing employment and development of any person who becomes disabled whilst within our employment. Charity number: 1044658 Company number: 03021390 Housing and Community Number: LH4106 Principal address and registered office: Methold House. North Street, Worrhing, West Sussex, BNII IDU Auditor, Crowe UK.. Crowe U.K. LLP, 55 Ludgate Hill, London EC4M 7JW Solicitors, Griffith Smith LLP.. 47 Old Steyne, Brighton, East Sussex, BNI INW Senior Leadership Team Alex Brooks-Johnson - Chief Executive Warren Fabes - Deputy Chief Executive (from December 20211 and Chief Financial Officer Page 6 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare Ir Kevin Burke - Director of Care Homes Claire Howell - Director of Community Services Leanne Jones - Director of HR (from February 20221 Leszek Poplawski Director of Safety & Compliance (from August 2021} Adam Alder - Direcror of Retail Annie Lewis - Director of Care Homes (Left November 2021) Amanda Tucker- Direcror of Fundraising, Marketing & Engagement (Left June 20221 Tracey Wadey - Director of Nursing, Clinical Governance & Quality (Left August 20211 Principal Risks and Uncertainties Guild Care has in place a risk register and risk management process which enables Trustee5 to monitor key risk5 of the organisation on a regular basis. Trustees annually review the risk register before signing off the Statutory Accounts for the year. The key risks identif led are.. Occupancy and resident mix in our care homes do not align to the budget, leading to Guild Care not being able to generate enoLJgh income to sustain the work of the chariry. A serious safeguarding incident or multiple incidents that lead to an overarching adult safeguarding review affecting the whole organisation, which if deemed appropriate could result in suspension or closure of services. National staffing shortages affect our ability to sustain our care services. Guild Care fails to implement adequate health and safety conrrols or keep its premises safe, which could resulr in a risk to health, serious injury or dearh of a service user, staff member, or the public. Internal risks are minimised through the implementation of appropriare leve15 of control and authorisation for all transactions and projects. Procedures are also in place to promote the health and safety of staff, volunteers, residents, tenants, customers, and visitors to all Guild Care sites. Our quality assurance framework has been developed in line with our main regularor's requirements (Care Quality Commission) to ensure the consistent quality and delivery of all operational aspecrs of the chariry. All systems are periodically reviewed to ensure they continue to meet rhe needs of the charity. During this f inancial year, two of our regulated services were inspected by the CQC. Linfield House, which had a rating previously of 'Requires Improvement,, returned an outcome of 'Good' following a focussed inspecrion in June 2021 reflecting the successful delivery of a service improvement plan during this year. Haviland House, which has been undergoing an extensive service improvement programme received a 'Requires Improvemenr, grade from CQC, which was in line with our own internal and ongoing assessment process. The CQC report did not idenrify any new issues to us which were already in our service improvement plan. Like all other social care organisations, Guild Care has been facing staff recruitment challenges in this financial year across all our services. Thi5 is a national issue and we took several actions to minimise the impacr such as a retention bor>us scheme, welcome paymenrs for new staff Page 7 0141
Guild Care Trustee Report Icompany Limited by Guarantee) Year end 31 March 2022 Guildcare and bonus payments for staff working additional shifts. We have taken these actions, alongside a comprehensive wellbeing support programme for the team, and an additional focus ar Senior Leadership level on both the management of our resources and the analysis of key performance indicators, at weekly review meetings. Covid 19 remains a predominant feature of our organisational risks and we continue to adopt a robust approach to infection control procedures, but thankf ully, throughout this year we have seen a reduction in cases and services less restricted in their ability to operate and more inreraction wirh relatives and carers. Page 8 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r Message from the Chair Guild Care has been at the forefront of supporting the community of Worthing since 1933. During that time we have faced many challenges, but the pasi year has probably been one of the most challenging yet. Covid continues to have an impact on what we do. While we, thankfully, have not seen anything like the signif icani impact of the previous year, we are still mindf ul of operating in a Covid safe manner while dealing with the effects of the past two years. Many of the people we have supported through ourwork to reduce social isolation in Worthing have been cur off f rom their f riends and family, f rom their clubs and activities and from each orher for so long that we are only just starting to undersrand the impact of this. Never has there been a more important rime for Guild Care, as the leading social care provider in Worthing, to support people as we all look to life post-pandemic. l am excited about ournew 5-year strategy. Although the completion of this strategy has been inevitably delayed by the impacts of Covid on our team, we are in the process of building something which will see Guild Care move back towards being an organisation for the community, focused on real social impact in two disrincr areas - aiming ro reduce social isolation, and social stigma. Spear-heading this strategy will be Creating Connections, a community-based programme of acrivities for Older People in Worthing, which will be joined up with our other services for Older People. people with Learning Disabilities and People Living with Dementia. As my term as Chair comes to an end, I wanted ro share with you some reflections from my time at Guild Care. I have not only been a Trustee for seven years, including two years as Deputy Chair and three years as Chair, but also a user of Guild Care's services in the past year, as my mother-in-law spent her last year at Caer Gwent, where she was beautifully cared for. I am so proud of the organisation, in its ability to provide the most meaningful, loving care to the community of Worthing. Despite everything that Covid ha5 thrown at us all. Guild Care has always been there, providing services of the highest quality throughout. We used technology where we could, we kept people as safe as we possibly could and maintained our support, where many other organisations had closed their doors. This speaks volumes about the values of the organisation. Guild Care ha5 changed significantly during my time as Chair and l am proud to say that there have been many improvemenrs and much modernisation, in the past year especially. I would like to extend my deep gratitude to the Board of Trustees for their unwavering support and commitment in what ha5 been an extraordinary period for the organisation, where their expert15e has helped steer us. One of my key objectives when I started as Chair was to develop a cohesive, unired and effective Board of Trusrees. The skills and experience of the current Board have enabled us to support the Senior Leadership Team to make the changes required. I would also like to thank the management team for their skill and dedication. which has been tested to the limit during this year, and of course to everyone who has supported Guild Care, from our wonderful volunteers to our important donors. Pag8 9 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r Message from the CEO The past year has been a Eesting one to say the least, but l am exceptionally proud to report thar we have made some significant progress on many different fronts as the leading local social care charity. While we have been impacted by the national staffing shortages and ongoing operational challenges caused by the pandemic, we have made real progress in the past year in several key areas. We have redefined the organisational culture and working towards embedding values- based leadership behaviours and performance managemenr. This programme of work is helping us to drive change as we create a culture of learning and continuous improvement. We have created our strategy map for the next five years, based on the vision that all people in need of care live fulfilling, safe and secure lives, and the mission that we wil I achieve this by ensuring our support and services are accessible, eff ective and lovingly delivered. This will deliver in two areas of social impact,. reduced social isolation and reduced social stigma. We have launched our new social isolation service, Creating Connections, designed with the community and with rhe aim of reducing social isolation in Older People in Worthing. This programme will spearhead our work in the community over the next five years. We have created a new strategy to transform our work with adults and children with Learning Disabi1 ities, including developing our work with people with complex needs, building on our respire offer and supporting people to access more joined up services and support. Our regulated care services have all benefited from an investment in our audit, compliance, and service improvement funcrions. This work has been supported and underpinned by our cultural transformation project to create a culture of performance and learning and conrinuous improvement. Our retail team continue to go from strength to strength, and through hard work, dedicarion and expertise have built a f unction which is contributing significantly to rhe charitable work of Guild Care. would like to take the opportunity to thank our staff team for the incredible effort and commirment they have displayed thi5 year. Whatever is happening in the world, and no matter what challenges they face, they always have the besr interests of our service users and customers at heart - something which is reflected across not only our services, but rhe wider organisation too. I would also like to thank our volunteers, wirhout whom we wouldn't be able to provide the life-changing services we have to so many people. Your time, expertise and commitmenr is hugely appreciated. And finally, to our supporters. We are working to understand our social impact more in the next year, by creating an evaluation framework to determine the outcomes of what it is we do as a chariry to reduce social isolation and social stigma with your support. l am really excited about being able to share thi5 Wlth you, as and when we start to see the results. but I have no doubt that what we do, we simply couldn't do it without you. P8ge 10 0141
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare4 Financial Review of This Year Summary Total income for the year was £15,819,539 {2021: £16,210,035) which produced a surplus of £125,90712021'. deficit of £1,055,624). The income in 2022 has benefited from £517,53912021'. £1,489,206) of grants received in response to the Covid-19 pandemic which includes the Retail and Hospitality Grant Scheme, Adult Social Care Infection Control and Testing Fund and the Coronavirus Job Aetention Scheme. The 2022 year has seen a reduction of only £390,496 in our total income from 2021 of £16,210,035 to the 2022 income of £15,819,539, despite the grants received in response to the Covid-19 pandemic falling £971,667 from 2021 of £1,489.206 to the 2022 grants of £517,539. The charts below show a summary of our income and expenditure in 2022.. £15.8m Income £15.7m Expenditure io% 11° 11Vo 67° Residential Comrmunity services Hoffle care •Chaiily Shops Donations and legacies Other £10.6m £1.8m £1.1m £1.6m £0.6m £0.1tn Rssidenlial Cotmmunity services Home care Charity shops Donations and legacies Restructuring £11.1rn £1.7rn £1.2m £1.3m £0.3rn £0.1rn Staff costs decreased to £10,884,89212021'. £12,402,944) and overall support Costs relating to charitable activitie5 decreased to £1,827,98012021'. £1,846,885). The decreased costs in part due to lower one-off restructuring Costs of £66,139 12021.. £389,264) related to redundancy and payments in lieu of notice. The 2022 year has seen a significant increase of £1,283,252 in our net income from the 2021 deficit of £1,066,159 to the 2022 surplus of £217.093. Overall funds were £8,559,06412021: £8,341.9711 at year end. Bank loans as at 31st March 2022 decreased 10 £8,756,545 (2021- £9,148,371). Cash balances as at 31st March 2022 increased to £3,207,060 (2021- £2,975,815). Pag8 11 of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare Raising Funds Donarions & Legacies Total donations & legacy income was £639,79012021'. £197,978} which included legacies of £465,16712021: £35,427) giving a surplus of £351,67112021= £41,474 deficitl when taking into account the cosr of raising f unds. Total donations and legacies included £78.2171202 1.. £96,644) of restricted income. Charity Shops Total chariry shop income of £1,630,12412021: £1,133,461) were generated across 10 shops which produced a surplus of £295,15412021: £106,074 surplus) after overheads. The sale of new bought in good5 is recorded in Guild Care's subsidiary, Guild Care (Trading) Limited, which recorded turnover of £13,374 (2021: £20,989) for the year and generated a surplus of £74 {2021: £4,420). It should be noted that the purpose of our charity shops is io provide more than a financial rerurn as they are an essential shop window promoting Guild Care within the local community. Charitable Activities Residential Services Residential services income was £10,640,846 12021- £11,883,847) giving a deficit of £406,896 12021.. £498,671 deficit). This income and surplu5 have been reduced by £1,853,59312021.. £2,147,152) to fund residents at below full market rate fees including rhe provs1on of state funded beds within our homes. Continued investment in our homes is essential to ensure we generate a surplus allowing us to maintain financial siability and continue achieving our charitable objectives. Home Care Home Care income was £1,076,09312021: £1,186,668) giving a deficit of £158,863 (2021.. £188,422). Community Services Income from Community Services for the year was of £1,804,042 {2021'. £1,688,057) giving a surplus of £82,33612021: £163,89 1 def icitl after support costs Value for Money The Board of Guild Care has put in place arrangements to ensure rhat the f inancial and social performance of our assets and resources are closely monitored and benchmarked and inform our decision making and strategy. Our strategic approach ro value for money runs throughout the organisation. The 8oard approve business plans, budgets and KPIS. This supports the delivery of value for money and enables the Senior Leadership Team to monitor and report on progress throughout the year. This approach will ensure that as rhe organisation grows, we will continue to provide value for money throughout our operations. Page 12of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>e Housing Metrics 2022 2021 Metric l - Re-investment Metric 2 - New supply delivered % Metric 3 - Gearing % Metric 4 - EBITDA MRI Interèst Cover % 9% 417% 36% Metric 5 - Social housing cost per unit 6,545 7,151 Metric 6 - Operating Margin % Metric 7- Vfm Cost Chain 12%) 12%) 3% Bank Funding Clydesdale Bank provides Guild Care with long-term loans totalling £8,756,545 12021- £9,148,371) at year end. Guild Care has rhree existing long-term loan facilities each of which requires re-financing every five years. During the year these loans were reduced by £391,826 in-line with a9reed repayment rerms. On the 261h March 2021, £1,000,000 of funds were drawdown under the Coronavirus Business Inter ruption Loan IC81 Ll. The CBIL is a two-year loan faciliry where the £ 1.000,000 balance is repayable on 26rh March 2023. The CBIL loan did not incur arrangement fees, will not incur interest charges during the f irst year and can be ser(led early without incurring penalty fees. The CBIL scheme has been used to provide Guild Care with increased liquidity whilsr trading performance recovers back to pre-Covid-19 pandemic levels. Reserves Policy Guild Care's reserves policy is ro hold free reserves in rhe range between the budgeted running cost of the charity's highest surplus generating service for a period of three months and one month of the total budgeted running costs for rhe entire charity. Free reserves are unrestricted funds arising from short-term debtors and creditors, highly liquid investments and readily available cash balances. As at 31st March 2022, Guild Care has £8,559,06412021'. £8,341,971) funds of which.. £8.6m Funds held at 31st March 2022 R8s8rv8s policy Surplus. £1.219k114 101 Re8Èrve5 policy funds requir8d lo proiride a fflargin of s2lÈiy for unforeseen future events £1,467k117'1.1 Endowfflent in accordance wilh the terms ol the merger tt) WLDS £2.168k125°kl Propertie5 used lo provide services Inel of assoaaled finance and endovmenii £3.705k144°/01 1,000 2,000 3,000 4,000 Page13of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r The Trustees ordinarily target that the charity's reserves policy surplus should not exceed 20V. of the safe level of funds. At 31st March 2022 the chariry's reserves policy surplus was £1,219,49212021- £1,235,240) representing 83/.12021'. 96%) of the safe level of funds. The Trustee5 have increased the level of free reserves to support the recovery in trading performance back to pre-Covid-19 pandemic levels by: Reduction in the capital investment in the property estate. The purchase of tangible f ixed assets was £228,042 {2021: £105,205). Drawdown of £1,000,000 under the CBIL scheme. A(3 Isr March 2022 rhe charity's reserves policy surplus excluding the short-term CBIL would have been £219,492 12021.. £235,240) representing £15°k {2021- 18%) of the safe level of funds. Principal risks include those around the group's access ro finance, occupancy and staff ing levels within homes. The group has in place debt facilities which provide adequate resources to finance committed reinvestment and development programmes, along with the group's day to day operations. The group a150 has a long-term business plan and a detailed rol ling financial forecast which shows that Guild Care is able to service these debt facilities whilst continuing to comply with lenders, covenanrs for the foreseeable future (being 12 months from the date of signing the financial statements). This year Trustees have considered rhe impact on the contribution generated from the homes whilst performance returns to normal operating levels following the Covid-19 pandemic during the foreseeable f uture of the nexr twelve months from the date of signing the f inancial statements. The assets of the group have a market value significantly greater than the book value and with a loan io value ratio being only 25Yo on 31sr March 2022. Based upon the strong financial performance of Guild Care before the Covid-19 crisis and the availability of 5ecuriry, the Trustees believe that the group would be able ro take mitigating actions, borrow f urther funds and/or dispose of assets in the unlikely event that rhese were needed in the short-term. Having considered the impacts of the Covid-19 pandemic experienced to date on Guild Care's reserves, availability of finance, risk5 facing the sector and plans including budgets and forecasts, the trustees are sarisfied with the level of reserves and have concluded that Guild Care is a going concern over the foreseeable future. On the basis that Trusrees do not believe there is a material uncerrainty over f he going concern of Guild Care. the f inancial statements have been prepared on the going concern basis. Statement of disclosure of information to auditors So far as each of the Trustees are aware, rhere is no relevant audit information las def ined by Secrion 418 of the Companies Act 20061 of which the company's auditors are unaware, and each Trusree has taken all the steps that they ought to have taken as a Trustee in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. Page 14 0141
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r Statement of Trustees. responsibilities The Trustees, who are also the Directors of Guild Care for the purpose of company law, are responsible for preparing the Trustees, Report (including the Strategic Report) and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare accounts for the group each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year. In preparing these accounts, the Trustee5 are required to.. select suitable accounting policies and then apply them consistently. observe rhe methods and principles of the housing SORP. make judgments and estimates thar are reasonable and prudent. stare whether applicable UK AccoLJnring Standards have been followed, subject to any material departures disclosed and explained in the f inancial statements,. and prepare the accounts on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation. The Trustees are responsible for keeping adequate accounting records thar disclose with reasonable accuracy at any time the f inancial position of the charitable company and enable them to ensure that the accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of rhe charitable company and hence for taking reasonable steps for the prevention and derection of f raud and other irregularities. Approval of the Trustees, port and the Strategic Report by the Board on 28 October 2022. Peter Kinsey (Chairl Trustee Page 15of41
give a true and fair view of the state on the Group’s and the charitable company’s affairs as at 31 March 2022 and the Group's income and expenditure, for the year then ended;
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r in rhe audit or otherwise appears to be marerially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclLtde that there is a material misstatement of rhis other information, we are required to report that fact. We have nothing io report in this regard. Opinions on other matter5 prescribed by the Companies Act 2006 In our opinion based on the work undertaken in rhe course of our audit-. the information given in the trustees, report, which includes the directors, report and the strategic report prepared for the purposes of company law, for the f inancial year for which the f inancial statements are prepared is consistent with the financial statements. and the strategic report and the directors, report included within the trustees, report have been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In light of the knowledge and understanding of the Group and their environment obtained in the course of the audit, we have not identif led material misstatements in the strategic report or the directors, report included within the trustees, report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 or the HoLJsing and Regeneration Act 2008 requires us to report to you if, in our opinion: adequate and proper accounting records have nor been kept., or the financial statements are not in agreement with the accounting records and return5', or certain disclosures of trustees, remuneration specif led by law are not made- or we have noi received all the information and explanations we require for our audit. Responsibilities of trustees As explained more fully in the trustees, responsibilities statement set out on page 14, the trustees (who are also the directors of Guild Care for rhe purpose5 of company lawl are responsible for the preparation of the financial statements and for being satisfied rhat 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 f ree from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing rhe Group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basi5 of accounting unless the trustees either intend to liquidate the Group or the charitable company or to cease operations, or have no realistic alternative but to do so. 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 thar an audit conducted in accordance with ISAS IUKI will always detect a material misstatemenr when it exists. Misstatements can arise f rom fraud or error and are considered material if, individually or in the aggregate. rhey could reasonably be expected to influence the economic decisions of users raken on the basis of these financial statements. Page17of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare4v Details of the extent to which the audit was considered capable of detecting irregularitie5, including fraud and non-compliance with laws and regulations are set out below. A f urther description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at.. www.f rc.org.uklauditorsresponsibilities. This description forms part of our auditor's report. Extenr to which the audit was considered capable of detecting irregularities, including f raud Irregularities, including f raud, are instances of non-compl lance with laws and regularions. We identif led and assessed the risks of material misstatemenr of the f inancial statements from irregularities, whether due to fraud or error. and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audir evidence sufficient and appropriate to provide a basis for our opinion. We obtained an understanding of the legal and regulatory frameworks within which the Group operates, focusing on rhose laws and regulations that have a direct effect on the determination of material amounts and disclosures in the f inancial statements. The laws and regulations we considered in this contexr were rhe Companies Acr 2006, the Chariries Act 2011, the Housing and Regeneration Act 2008 and other laws and regulation applicable to a registered social housing provider in England. We assessed the required compliance with these laws and regulations a5 part of our audit procedures on the related financial statement items. In addition, we considered provisions of other law5 and regulations that do not have a direct effect on the financial statements bur compliance with which might be fundamental to the Group's ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the Group for fraud. The laws and regulations we considered in this context for the UK operations were requirements imposed by the Regulator of Social Housing and the Care Quality Commission ICQCI, healrh and safety legislation, taxation legislation and employment legislation. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations ro enquiry of the Trustees and other management and inspection of regulatory and legal correspondence, if any. We identified the greatest risk of material impact on the financial statements from irregularities, including f raud, to be wirhin the timing of recognition of income and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management and the Finance Committee about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimate5 for biases, reviewing regulatory correspondence, designing audit procedures over the timing of income and reading minutes of meetings of those charged with governance. Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in rhe financial statements, even though we have properly planned and performed our audii in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations lirregularities) is from the events and transactions reflected in the financial starements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentarions, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. Page 18of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare4v Use of our report This report is made solely to Guild Care's members, as a body. in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our aLJdit work has been undertaken so that we might state to Guild Care'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 permirted by law, we do not accept or assume responsibility to anyone other than Guild Care and Guild Care's members as a body, for our audit work, for this report, or for the opinions we have formed. Julia Poulter Senior Statutory Auditor For and on behalf of Crowe U.K. LLP Statutory Auditor 55 Ludgate Hill London EC4M 7JW Date.. 3rd Novemb8r 2022 Page 19 0141
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare Consolidated Statement of Financial Activities Total 2022 Total 2021 Nol8s Unrestricted Restricted Endowment Income from-. Raising funds Donations and legacies Chariry shops income Total Raising funds Charitable activitie5 Investment income Other income Surplusll105sI on sale of tangible fixed assets 561,573 1,630,124 2.191,697 12,785,823 2,788 25,856 78.217 639,790 1 630 124 2.269,914 13,520,981 197,978 1,133,461 1,33 1,439 14,758,572 3,621 115,145 78,217 735,148 2,788 25,856 1,258 Total income 15.006.174 813,365 15.819.539 16,210.035 Expènditure on.. Raising fund5 Donations and legacies Charity 5hop5 income Total Raising funds Charitable activities Restructuring costs 288,119 1.334,970 1,623,089 13,191,039 66,139 288.119 1,334,970 1,623,089 14,¢XJ4.404 66,139 239,452 1,027,387 1,266,839 15,609,556 389,264 813,365 Totsl expenditure 14.880,267 15,693.632 17,265,659 Net incomellexpenditurel 125,907 125.907 11,055,624) Other gain51 Ilossesl Actuarial gains I Ilossesl on pension scheme 91,186 91,186 110,5351 Transfers between funds 309,663 1309,6631 Net movement tn fund5 526.756 1309,6631 217,093 11,066.1591 Fund balances brought forward 8,341.971 9,408,130 5,864,672 2,477.299 Fund balances carried forward 6.391.428 2.167,636 8.559,064 8.341,971 The Statement of Financial Activities has been prepared using the format from the Charities SORP. The Statement of Financial Activitie5 has been presented in addirion to the Statement of Comprehensive Income required by the Housing SORP. Total comprehensive income for the company only was £217.01912021.' rotal comprehensive expendirure £1,070,579). Page 20 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare Consolidated Statement of Comprehensive Income 2022 2021 Turnover 15,816,751 16.205,156 Operating cost5 115,318,072) 116.S56,4351 Operating surplus I Ideficitl 498.679 1351,2791 Restructuring cosr5 166.1391 1389,2641 Gain on disposal of fixed assets 1,258 Interest receivable and similar income 2,788 3,621 Interest and financing Costs 1309,4211 1319,9601 Surplus I Ideficitl for year 125.907 11,055,6241 Actuarial gain I Ilossl in respect of pension scheme 91,186 110,5351 Total comprehensive income I lexpenditurel 217.093 11,066,159) Page 21 of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r Consolidated Statement of Changes in Reserves Unrestricted ReseNe £'ooo Restricted Resetwe £'ooo Endowment Total £'ooo £'ooo Balance as at l April 2020 6,621.168 2.786,962 9,408,130 Total comprehensive income for the year Transfer of restricted expenditure from unrestricted reserve5 11,066,159) 11,066.1591 309,663 1309.6631 Balance at 3111 March 2021 5.864.672 2.477,299 8.341,971 Total comprehensive income for the year 217,093 217,093 Transfer Df restricted expenditure from unrestricted reserve 309,663 1309.6631 Balance at 31" March 2022 6,391,428 2,167.636 8,559.064 Pag8 22 of 41
Guild Care Trustee Report (Company Limited by Guaranteel Year end 31 March 2022 GuildCare4• Balance Sheet Group 2022 Charity 2022 Group 2021 Charity 2021 Note Fixed assets Tangible assets 12 14.945.718 14,945,718 15,485,722 15,485.722 Investments 13 loo loo 14,945,718 14,945,818 15,485,722 15,485,822 Current assets Stocks 2.151 2,529 Debtors 14 867,462 896,596 972,733 1.002,319 Cash and cash equivalents 3,207,060 3,189,748 2,975,815 2,958,503 4,076.673 4,086,344 3,951,077 3,960,822 Creditor5'. amounts falling due within one vear Net current assetsllliabilitiesl Total a55et5 less 15 12,793.3931 12,793,393) 11.817,9301 11,817,9301 1,283,280 1,292,951 2.133,147 2,142,892 16,228.997 16.238.769 17,618,869 17,628,714 Creditors.. amount5 falling due after more than onè year Provision 16 17,630.3SOI 17,630.3501 19,101,968) 19,101.9681 17 139,5841 139,5841 1174,9301 1174,9301 Net assets 8,559.064 8.568,835 8,341,971 8,351,816 Reserves Endowed reserve 18 2.167.636 2,167,636 2,477,299 2,477,299 Unrestricted reservè 18 6,391,428 6.401,199 5,864,672 5,874,517 8.559.064 8,568.835 8,341,971 8,351,816 The accounts wer 2022. oved and aurhorised for issue by the Board on 28 October Peter Kinsey (Chairl Trustee Page 23 of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare Statement of Cash Flows 2022 2021 Cash flows from operating activitie5: Net income I lexpenditurel for the year Adjustments for.. Interest received 217,093 11.066,1591 12,7881 768,046 13,6211 880,053 11,2581 10,423 180.8871 223,053 132.3381 Depreciation (Gain) on disposal of fixe(J as5et5 Decrease I lincreasel in Stock Decrease / lincrea*l in debtors Increase I Idecreasel in creditors (Decrease) in pension provision 378 105.271 1104,3291 1135,3461 Net cash provided by I (used inl operating activities 848.325 170,7341 Cash flows from investing attivitie5= Interest received Purchase of tangible fixed assets Proceeds from sales of tangible fixed a55ets 2,788 1228,0421 3,621 1105,2051 2,750 Net cash used in investing activities 1225,2541 198,8341 Cash flows from financing activities.. Cash inflows from new borrowings Repayment of borrowings 1,000,000 1359,9201 1391,8261 Net cash used in financing aciivities 1391.8261 640,080 Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the be9inning of the reptsrtin9 period 231,245 2,975.815 470,512 2,505.303 Cash and cash equivalents at the end of the reportSng period 3.207.060 2,975.815 Page 24 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare lp Notes to the Accounts Statutory information Guild Care is a charitable company, limited by guarantee, regisrered in England and Wales and is a registered provider. The charitable company's registered number and registered office address can be found in rhe Trustees, Report (incorporating the Strategic Report). Accounting policies 2.1 Basis of preparation The f inancial statements have been prepared in accordance with applicable accounting standards, The Accounting Direction for Private Registered Providers of Social Housing from April 2022, the Statement of Recommended Practice for Re9lStered Social Landlords (Housing SORP 2018 Update), the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Companies Act 2006. Guild Care meets rhe definition of a public benefit entity under FRS102. Assets and liabilities are iniria1 ly recognised at historic cost or transacrion value unless otherwise stated in the relevant accounting policy notelsl. These financial statements consolidate the results of the charity and its wholly owned subsidiary. Guild Care (Tradingl Ltd. on a line-by-line basis. All intragroup transactions, balances, income and expenses are eliminated in full on consolidation. A separate Statement of Comprehensive Income or Cash Flows for the company itself is not presented because the charity has raken advantage of the exemptions afforded by the Companies Act 2006 and the Housing SORP. 2.2 Going concern The group's business activities, its current f inancial position and factors likely to affect its f uture development are set out within the Strategic Report. Principal risks include the impact on the contribution generated from the homes whilst performance rerurns to normal operaring levels following the Covid-19 pandemic, group's access to finance, occupancy and staff ing levels within homes. The group has in place debt faciliiies which provide adequate resources to finance committed reinvestment and development programmes, along with the group's day to day operation5. The group also has a long- term business plan and a detailed rolling financial forecast which shows that Guild Care is able to service these debt facilities whilst continuing to comply with lenders, covenants for the foreseeable future Ibeing 12 months from the date of signing the financial statements). On this ba51S, the Board has concluded that the group has adequate resources to continue in operational existence for the foreseeable f uture, being a period of at least twelve months after the date on which the report and financial statements are signed. For this reason, it continues to adopt the going concern basis in the financial starements. Page 25 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare4v 2.3 Income Income from residential, home care and communiry services are accounted for on an accrual's basis. Income received for the provision of services is recognised in the year in which the service is provided, and so Guild Care earns entitlement. Government grants relating to revenue are recognised in income and expenditure over the same period as the expenditure to which they relate once reasonable assurance has been gained that the entity will comply with the conditions and that the funds will be received. Grants received from non-government sources are recognised using rhe performance model. A grant which does not impose specified future performance conditions is recognised as revenue when the grant proceeds are received or receivable. A grant that imposes specif led future performance-related conditions on the association is recognised only when these conditions are met. A grant received before the revenue recognition criteria are sat15fied is recognised as a liability. Capital grants are released ro the Statement of Comprehensive Income over the useful economic life of the asset Ihey were used to purchase (excluding landl. For legacies, entitlement is recognised from the earlier of the date of receipt or when suff icient notif ication is received by the charity to enable it to quantify its entitlement with reasonable probabil ity. Income is not recognised for legacies which remain subject to a life interesr. Donations are recognised on receipt. Charity shop income represents net invoiced sales of goods and is recognised in the year in which the sale occurred. Rental income is recognised in the year in which accommodation is provided. 2.4 Financial instruments Guild Care has only f inancial assets and liabilities of a kind thar qualify as basic f inancial instruments. Basic f inancial instruments are initially reported at transaction value and subsequently measured ai their settlement value. 2.5 Expenditure Expenditure is included in the Statement of Comprehensive Income on an accruals basis inclusive of irrecoverable VAT. All costs are a51ocated between expenditure categories and departments on a basi5 designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, whilst all others are apportioned on an appropriare basis. Support costs include apporrioned staff and care costs incurred to support income generation and governance, together with the cost of general management including supervision, f inance, training, human resources and IT. Support costs are allocated ro charitable activities on a percentage basis. The percentage5 applied are based on management's informed view of time spent on each activity. Governance costs comprise those costs associated with meeting the constitutional and statutory requirements of the charity and include audit fees and costs linked to the strategic management of rhe charity. Page 26 0141
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r 2.6 Tangible fixed assets and depreciation Tangible fixed assets are stated at cost. Guild Care owns three f reehold nursing homes, a f reehold social housing property. two day-service centres, a Supported living house and five self-contained f lats. Freehold land is not depreciated. Building Structure Building Roof Building Internals Building Services Building External Areas Leasehold property Fixtures, fittings & equipment Motor vehicles I-2. straight line per annum 2% straight line per annum 3% straight line per annum 3°k straight line per annum 3% straight line per annum Over the remaining term of lease 20°A straight line per annum 25% on a reducing balance basis120% straight line per annum Assets costing less than £1,000 are written off to the Statement of Comprehensive Income. Assers under construction are not depreciated until the asset is brought into use. Gains or losses arising on the disposal of other tangible fixed assets are determined as the difference between the disposal proceeds and the carrying amount of the assets and are recognised as part of the surplusldeficit for the year. 2.7 Leasing and hire purchase commitments Rentals payable under operating leases are charged against income on a straight- line basis over the period of the lease. 2.8 Investments Listed fixed asset investments are stated at market value, unlisted investments are stated ar cost. Real ised and unrealised gain5 and losses on investments are dealt with in the Statement of Comprehensive Income. 2.9 Stock Stock is valued at the lower of cost and net reali5able value. after making due allowance for ob501ete and slow-moving items. 2.10 Cash at bank and in hand Cash at bank and in hand includes cash and short term highly liquid investments. The Trustees seek to use short and medium-term deposits where possible to maximise the return on monies held at the bank and to manage cash flow. 2. 1 I Creditors and provisions Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds ro a third Page 27 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r party and the amount due to sertle the obligation can be measured or estimated reliably. Short term trade creditors are measured at the transaction price. The amount recognised as a provision is the besr estimate of the consideration required to settle the present obligarion at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortlsed cost Using the effective interest method. 2.12 Pensions The group participates in two pension schemes, the People's Pension Scheme and rhe Pension's Trust Growth Plan. Guild Care automatically enrols employees into rhe People's Pension Scheme which is regulated by the Pensions Regulator. The Scheme is a def ined contribution scheme and contributions are recognised in expendirure as they fall due. Guild Care is a member of the Pensions Trust's Growth Plan. The Growth Plan is a money purchase pension scheme which also has some historical guarantees. This is a multi-employer pension scheme for which it is not Possible to identify separately the assets and liabilities of participating employer5 and, as such, Guild Care's regular payments in respect of this plan are charged in the Statement of Comprehensive Income on a def ined contribution basis. A liability is recognised for rhe present value of agreed additional contributions payable to fund a deficit in this plan related to past service. 2.13 Funds Endowment funds represent expendable endowment arising from the donation of assets and liabilities from WLDS to Guild Care. The expendable endowment can be used at the discref ion of Guild Care's Trustees subject to rhe terms and conditions surrounding the donation. Restricted funds represent those raised or received for specif led purposes, as detailed further in the notes to rhe accounts. Designated funds comprise funds which have been set aside at the discretion of the Trustees for specif ic purposes. The purposes and uses of the designated funds are set out in the nores to the accounts. Unrestricted general funds are funds which can be used in accordance with the charirable objects at the discretion of the Trustees. 2. 14 Significant accounting estimates and judgements The Trustees do not consider there to be any significant managementjudgements made in applying the accounting pol icies of the Group that have a significant effect on the f inancial statements. The m05t significant estimates and judgements relate to the useful economic life of Guild Care's three nursing homes and a social housing property. There is also a degree of estimation used in the rate used to discount Guild Care's pension liability under the Pensions Trust Growth Plan. The accounting policies for the pension liability and usef ul life of tangible f ixed assets are set out above. Page 28 0141
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare Donations & legacies Unrestricted Funds Restricted Funds Totsl 2022 Total 202 1 Donation5 172,247 389,326 561,573 2,376 75,841 78,217 174,623 465.167 639.790 162,551 35,427 197.978 Legacies receivable Charity shop trading 2022 2021 Charity shops income Charity shop expenditure Charity shop surplus 1,630.124 1,133,461 11,334.9701 11,027.3871 295,154 106,074 Included in the above is £13,37412021'. £20,989) income and £13,20612021- £16,421) expenditure in relarion to the subsidiary Guild Care ITradingl Limited. Income from charitsble activities Unrestricted Funds Restricted Funds Total 2022 Toral 2021 Residential home 10,354,560 980,172 1,451,101 286,286 95,921 352,941 10.640,846 1,076.093 1.804.042 11.883,847 1.186,668 1.688,057 Home care Community services 12,785,833 735,148 13,520,981 14,758.572 Residential home income above is derived from Guild Care's three nursing homes. Included in notes 4 and 5 above is £517,53912021-. £1,489,206) of grants received in response to the Covid- 19 pandemic which include5 the Retail and Hospitality Grant Scheme, Adult Social Care Infection Control and Testing Fund and the Coronavirus Job Retention Scheme. Included within Community services is income from Guild Care's social housing property Dolphin Court. 2022 2021 Turnover Operating Operating costs Surplus Operating Operating costs surplus Turnover Social housing lettings 306,313 1238,8581 67.45S 313,798 1258,0511 55,747 Page 29 of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare An analysis of income and expenditure is shown in Note 21. All income other than from Dolphin Court (see Note 2 11 is considered to arise from activities other than social housing. Total expenditure Staff costs Other Costs Interest Charge5 Deprec- iarion Total 2022 Total 2021 Raising funds Donations and legacies Charity shops Total cost of raising funds 195,553 768.672 964,225 84,911 519,246 604,157 924 1,154 2,078 6,73 1 45,898 52,629 288,119 1,334,970 1,623.089 239,452 1,027,387 1,266.839 Charitable activities Residential services Activitie5 undertaken directly Support cost5 Total 525,588 9.745.210 11.071,504 6,969,695 1,963,595 286,332 707.114 537,321 7,676,809 2,500,916 15,469 301,801 42.628 1,302,532 1,311,014 568,216 11,IN7.742 12,382.518 Home care Activitie5 undertaken directly Support costs Total 105,321 1,036,808 1, 168,251 931,487 99,742 1,031,229 82.402 187,723 3.002 3,002 13.002 13,002 198,148 1.234,956 206,839 1,375.090 Community Services Activitie5 undertaken directly Support costs Total 1,031,537 275,905 86.964 1.394.406 1,522,916 114,953 162,571 438,476 2.540 2,540 47,236 134,200 327,300 329.032 1.146,490 1,721.706 1,851,948 Total charitable activities 9,854,528 3,127,115 307,343 715,418 14.004.404 15,609,556 Restructuring c05t 66,139 66,139 389,264 Total Expendlture 10,884,892 3,731,272 309.421 768,047 15,693,632 17,265,659 Support costs are allocated in proporrion to direct costs. Page 30 of 41
Guild Care Trustee Report {Company Limited by Guarantee) Year end 31 March 2022 GuildCare4v Analysis of governance and support Costs Total 2022 Total 2021 Management Administration 250.931 220,363 279,227 406,608 238.232 219,855 33.969 178,795 1,827,980 231,809 209,194 290.344 449,124 207,513 230,651 33,636 194,614 1.846,885 Information Technology Human Resources Public Relations Finance Volunteers Governance costs Total comprehensive income I lexpenditurel is stated after charging l (crediting) 2022 2021 Operating lease payments Depreciation of care homes and social housing property Depreciation of other tangible fixed assets Interest charges Fees payable ro auditors (excluding VATI Audit of the financial statements Other services 309,262 547,184 220,862 309.421 298,558 664.148 2 15,905 319,960 22,050 21,000 Trustee5 During the year Trustees were reimbursed travel expenses £Nil12021'. £Nill 10 Employees Total 2022 Total 2021 Employment costs Wages and larIeS Agency costs Social secLJriry cost5 Other pension costs Restructuring costs 8,935.723 1,001.324 703,143 178,563 66,139 10,884,892 9.938,852 1.098.010 764.683 212,135 389,264 12.402,944 Page 31 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r The number of employees whose annual emoluments were £60,000 or more were.. 2022 2021 Number Number £60,001 - £70,000 £70,001 - £80,000 £80,001 - £90,000 £90,001 - £100,000 £ioo,ooi - £iio.000 The key management personnel of the charity comprise the Trustees, rhe Chief Executive Officer, Deputy Chief Executive Off icer and Chief Financial Officer. The total employee remuneration of the key management personnel of the Chariry was £220,17012021: £357,672). The highest paid execurive was paid £113,361. The Chief Executive Officer does not have enhanced or special pension terms. During the year Guild Care charged redundancy costs of £50,062 {2021.'£ 187,5641 and payments in lieu of notice of £16,077 12021-£ 201,7001 to 12 12021.591 people totalling to £66,13912021: £389,264) restructuring cost5. Redundancy and payment in lieu of notice of £Nil (2021: £ 64,728) were unpaid at 315t March 2022. The average number of employees during the year was 495 {2021'. 5621 which equates to 327 FTE12021'. 385 FTEI. 11 Taxation The charitable company is registered as a Charity and all of its income falls within the exemptions under Part 11 of the Corporation Tax Act 2010. Page 32 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare 12 Tangible fixed assets (Group & Charity) Freehold land & buildings Long leasehold property Short leasehold property Fixtures, fittings & equipment Motor vehicles Total Cost At l April 2021 Additions Disposals At 31ST March 2022 16,858.887 16,852,109 6,778 1,252,422 8,413 390,772 4,060,491 462,356 23,018,150 212.851 228,042 138,1471 1185,2391 4.235,195 462.356 23,060.953 1147.0921 243,680 1,260.835 Depreciation Ar l April 2021 On disposals Charge for the year At 314t March 2022 3.324,754 3 11,388 232.250 1147,0921 48,736 133.894 3,321,612 342.424 138,1471 321,399 34,923 3,604,864 377,347 7,532,428 1185,2391 768,046 8,115,235 338,452 3,663,206 24,536 335,924 Net book value At 315t March 2022 13,195.681 924,911 109,786 630.331 85,009 14,945.718 At 31" March 2021 13,527,355 941.034 158,522 739,879 119,932 15,485,722 The freehold land & buildings above relate to Guild Care's three nursing homes and one social housing property held for letting, Dolphin Court. 13 Fixed asset investments Charity Guild Care (Trading) Limited Total Markèt value at 31SI March 2022 loo loo Historical cost At 31%1 March 2022 loo 100 Subsidiaries At 3151 March 2022, Guild Care had the following subsidiary: Company Country of Registration or Incorporation Class Shares Held % Guild Care (Trading) Limited England & Wales Ordinary loo Page 33 of41
Guild Care Trustee Report {Company Limited by Guarantee) Year end 31 March 2022 Guildcare The turnover of the company for the period was £13,374 (2021.. £20,989) was attributable to the sale of bought in goods. It had expenditure of £13,206 12021- £16,421). It contributed £74 surplus12021- £4,420 surplusl to the group and had net liabilities of £9,671 12021: £9,745). Any profirs of Guild Care (Trading} Limited are donated to Guild Care under gift aid. The registered office of Guild Care (Trading) Limited is the same as Guild Care. 14 Debtors Charity Group 2022 2022 2021 2021 Tr3de debtors- fees due Amounts due from subsidiary Other debtors 433,284 29.134 71.925 555,722 29,586 19,113 433.284 555.722 71,925 19,113 Prepayments & accrued income 362.253 397,898 362,253 397,898 896,596 1,002,319 867.462 972,733 Amounts due from subsidiaries represents £29.134 due from Guild Care (Trading) Limited. 15 Creditors: amounts falling due within one year Charity 2022 Group 2022 2021 2021 Bank loan (note 161 Trade creditors 1,404,965 411.040 197.865 391,243 466,133 168.966 1,404.965 411,040 197,865 391,243 466,133 168,966 Taxation and socia1 security Other creditor5 612 3,112 612 3,112 Accruals & deferred income 778.911 788,476 778.911 788,476 2.793,393 1,817,930 2,793.393 1,817,930 16 Creditors: amounts falling due after more than one year Charity Group 2022 2021 2022 2021 Bank loans 7,351,580 8,757,128 7,351.580 8.757.128 Deferred capital grant 278.770 344,840 278,770 344,840 7,630.350 9,101,968 7,630,350 9,101,968 Page 34 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare 2022 2021 Loan maturity analy515 Debt due in one year or les5 1,404,965 391,243 In more than one year but not more than two years 3,246.768 1.404,965 In more than two years but not more than five years 4,104.812 7.352,163 8,756.545 9.148,371 The loans are secured by a fixed charge over the properties and by a fixed and floating charge over all the assets of Guild Care excluding the freehold property known as Dolphin Court and former WLDS properties. Interest on loans is charged at between O°k and 4.1%. The loans are repayable between March 2023 and November 2024. 2022 2021 Deferred Capital Grant At start of thè year Received during the year Released during the year 410,912 476,984 166.0721 344,840 166,0721 410,912 Amounts ro be released in one year Amount5 to be released in more than one year 66.072 278.770 344.842 66,072 344,840 410,912 17 Pension and other post-retirement benefit commitments Def ined contribution Fol lowing legislative changes affecting workplace pensions that required all employers to meet the legal requirement for automatic enrolment, Guild Care introduced a compliant scheme from November 2013. Eligible employees not already in the existing scheme were automatically enrolled into the People's Pension. The People's Pension scheme, which is regulated by the Pensions Regulator, is managed by B&CE. B&CE is not for profit organisation which has been providing financial benef its for over 70 years and currently provides pension schemes to over 7,300 corporate clients. Employee5 in the People's Pension scheme pay 5% on their salary above the minimum threshold. with Guild Care also contriburing 3Y.. Employees automatically enrolled into the scheme have the right to opt out of the scheme if they so wish, the majority of employees enrolled in the scheme have not opted to leave. Guild Care paid contributions SY. for all employees who are members of Guild Care's Pension's trL¢St Growrh plan. Members paid contributions at the rate of 5°k during the accounting period. Any contribution above 5 /0 was an addirional voluntary contribution. In accordance with the Recovery Plan set by The Pensions Trust, employers are required to make addirional contributions over the ten years commencing in April 2013. Page 35 0141
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare4v 2022 2021 Contribution5 payable by the companylgroup for the year 178.563 212,135 At the balance sheet date contributions of £24,37112021.' £5.3221 were outstanding. The Pensions Trust Growth Plan The company participates in rhe scheme, a multi-employer scheme which provides benefits to some 638 non-associaied participaring employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obrain sufficient information io enable it to account for the scheme as a defined benefit scheme. Therefore, it accounts for the scheme as a defined contribution scheme. The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, togerher with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council. set out the framework for funding defined benefit occupational pension schemes in the UK. The scheme is classified as a 'last-man standing arrangement,. Therefore, the company is potentially liable for other participating employers. obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basi5 on withdrawal from the scheme. A f ull actuarial valuation for the scheme was carried out ar 30 September 2020. This valuation showed assets of £800.3m, liabilities of £831.9m and a deficit of £31.6m. To eliminare this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme. The recovery plan contribution5 are allocated to each participating employer in line with their estimated share of the scheme liabilities. Guild Care's share of these deficit contributions from 2022 to 2025 are £14.422 per annum (payable monthly}. Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net presenr value of the def icit reduction conrributions payable under the agreement that relates to the deficit. Page 36 of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GUildCare. Present value and reconciliation of opening and closing provisions Period Ending 3 151 March 22 Period Ending 31$1 March 2 1 Provision at start of period Unwinding of the discount factor linterest expense) Deficit contribution paid Remeasurements - impact of any change in assumptions Remeasurernent5 - amendments to the contribution schedule Provision at end of period 174.930 207.268 4,658 142.9781 5,982 1,009 144,2671 19101 191.1781 39,584 174,930 Income and expenditure impact Period Ending 31ST March 22 Period Ending 3151 March 21 Interest expense Remeasurements - impact of any change in assumptions Remea5urements - amendments to the contribution schedule 1,009 19101 191.1781 4,658 5,982 Assumptions 315¢ March 22 3 1st March 21 3151 March 20 % per annum 2.35 % per annum 0.66 % per annum 2.53 Rate of discount The discount rates shown above are the equivalenr single discount rares which, when used to discount the future recovery plan conrributions due, would give the same resulrs as using a full AA corporate bond yield curve to discount the same recovery plan contributions. In 2021 Guild Care contributed £44,267 (2021.. £42,978) in additional contributions towards the scheme. Guild Care's estimated pension contributions for the year ended 315t March 2023 are estimated to be £14,422. Page 37 of41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>p 18 Movement in funds The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on rrust for specific purposes- Transfers 193ins and losses Balance at 3151 March 2022 Balance at l April 2021 Income Expenditure Endowment fund WLDS Fund 2,477,299 1309,6631 2,167,636 Restricted funds Residential home Home care Outreach Healthy Living Dementia Children's Service Learning Disabilitie5 Other 286.286 95,921 54,2 16 115,299 105,974 47,761 29,691 78,2 17 1286.2861 195.9211 154,2161 1115,2991 1105,9741 147,7611 129,6911 178,2171 1813,3651 Total restrieted 813,365 Unrestricted funds General funds 5,864,672 15,006,174 114,880.2671 15,006,174 114,880,267) 400,849 6,391.428 Total unrestricted 5,864.672 400,849 6,391,428 Total funds 8,341,971 15,819,539 115.693,6321 91,186 8,559,064 Transfers between funds The WLDS Fund was established following Worthing Littlehampton & District Scope IWLDSI joining the Guild Care Group. The expendable endowment can be used at the discretion of Guild Care's Trustees subject to the terms and conditions surrounding the donation. Pag8 38 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare4* Transfers Igains and losses Balance at 31" March 2021 Balance at l April 2020 Income Expenditure Endowment fund WLOS Fund 2,786,962 1309,6631 2.477,299 Ae5tricted funds Residential home 443,377 1443,3771 Home care 79,922 179,9221 Outreach 128,561 46,125 1128,5611 146,1251 Healthy Living Dementia 121,129 1121.1291 Children's Service 53,177 153,1771 Learning Di5abili¢ies Other 16,053 116,0531 1106,6861 106,686 Total restricted 995,030 1995,0301 Unrestricted fund5 Designated funds General funds 419,339 6.201,829 1419.3391 718,467 15,215,005 116,270,629) 5,864,672 Total unrestricted 6,62 1, 168 15,215,005 116,270,629) 299,128 S,864,672 Total funds 9,408,130 16,210.035 117,265,659) 110,5351 8,341,971 Transfers between funds The WLDS Fund was established following Worthing Littlehampion & District Scope IWLDSI joining the Guild Care Group. The expendable endowment can be used at the discretion of Guild Care's Trustees subject to the terms and conditions surrounding the donarion. Designated funds of £419,339 at 31st March 2021 that had been set aside to purchase rhe Methold House freehold and buildings were undesignated during the year, to increase the level of free reserves to support the recovery in trading performance back to pre-Covid-19 pandemic levels. Page 39 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 GuildCare>r 19 Analysis of net assets between funds Fund balances at 31st March 2022 were represented by: unrestricted funds £ Restrirted funds £ Endowment Toial Tangible fixed assets Net current assets 12,778,082 2,167,636 14.945,718 1,270,280 13,000 113,0001 1,283,280 17,669,934) 8,559.064 Long-term creditors and provisions 17,656,934) 6,391.428 2,167,636 Fund balances at 3151 March 2021 were represented by.. Unrestricted funds £ Re51ricted funds £ Endowment Totsl Tangible fixed a55ets Net current asset5 13.008,423 2,477,299 15,485.722 2,133,147 19,276,898) 8.341.971 2,118,882 19,262,633) 5,864,672 14.265 Lon9-term creditors and provisions 114,2651 2,477,299 20 Commitments under operating leases Charity and group At 31" March 2022 the charity had total minimum lease commitments under no- cancellable operating leases as follows.. Land and building5 2022 Other 2022 2021 2021 Within one year 156.451 171,134 56,952 33.739 Between one and five years In over five years 236.303 109,553 131,915 10,247 368,284 377.943 761,038 658,630 188,867 43.986 Page 40 of 41
Guild Care Trustee Report (Company Limited by Guarantee) Year end 31 March 2022 Guildcare 21 Dolphin Court Flatlets- Social Housing Income and Expenditure Guild Care operates 3 1 flats on a supported living basis which Guild Care consider to be social housing for the purposes of the Housing SORP. 2022 2021 Rent receivable 172,677 115,624 18.012 306,313 138.687 157,099 18,012 313,798 Service5 charge income Amtsrtisation of grant Net rents receivable Expenditure on lettings Services and management Maintenance and repairs Depreciation Total expenditure on lettings 188,830 20,624 29.404 238,858 199,731 29,112 29,208 258,051 Operating surplus on lettings 67.455 55,747 Void losses 2,510 2,800 Social Housing Assets The historic cost of Dolphin Court at 31st March 2022 was £1.528,619 12021: £1,528,619), the net book value of Dolphin Court at 31st March 2022 was £285,258 12021: £308,382). The total of social housing rent arrears is £2,598 12021.. £5,727>. Included within deferred income is £2,035 12021.. £2,642) of rent in advance for social housing properties. P89È 41 of41