Registered nufflber: 02908711 ChaTity number: 1046933 LINCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT LIMITED IA Company Limited by Guarantee) TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 "AA)WV61N• 2211V2021 COMPANIES H(YJSE A23 #108 LINCOLIISHIRE EMPLOYMEMT ACCOMAIODATION PROJECT LIMITED IA Company Lifflited by Guarantee CONTENTS Page R*f•r•nc• and Adminlstrati¥• D•tails of thè Company. fits Tw$te¢s •nd Advisors Tru5teo$' Report Independent Auditors. Report on th• FI￿￿141 Ststements Consolldated Stattment of Flnanclal A¢tiviti¢s 12-16 17 Consolidated B•l•nc? Sheet Company 8al•n¢• Sheet Consolidated Statement of Cash Flo 19-20 21 Notes to the Financial Statsments 22-43 LINCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT LIMrrED IA Cornpany Lirnited by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPA14Y. ITS TRUSTEES ANO ADVISERS FOR THE YEAR ENDED 31 MARCH 2021 Trust¢¢s R Millett {re5￿fted 28 April 2021) G Bratby A Allen R Hall R Hubbard J Wilkinson (appointed 30 March 20211 S Jones H Spencer S Czabaniuk {appointed 30 March 2021) S Bain {appointed 30 March 20211 I tlickinson (resvJned 18 May 2020) Compary r•gl$t•r¢d number 02908711 Charity r•gistew•d number 1046933 Registered office 22 Market Place Gainsborwgh LinC￿nshIre DN21 28Z Company secreLIry L Whitelarn hief executive officer H W4ton Ind•pendent audito Streets Audit LLP Chartered accountanls and ststutsy audit T￿r House Lucy Tow Street Lincdn LN1 1XW Page 1 LINCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT UMITED IA Cn and seeing fvrther groth in our reputation ammgst the various ￿ganiSatIOnS that *ith aThJ lor. Grnh¥Th Bralby Page 2 LINCOLNSHIRE EMPLOYMENT ACCOMIAODATION PROJECT LIMITED (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021 0*'octivos and activiti•s a. Poli¢i•s and obi•ctiv•s The administrative inforniation of the CharitatAe CoM￿Y 1$ set Out on Page 1 of the accounts. The Charity's objects and its principal a￿'￿tieS has altered during thi5 year to irwrptyale the older benefi¢iary group as a result of the consolidation V•ith HATS. The objects now read.. A) To promote $o¢ial inclusion for Ihe publi¢ benefit by pre¥enb"ng young people and ¢Ahers from tecoming socrally exduded in temis of accommodatson and support ser¥tce$ Bl To prowde a range of accomm¢xlatK>n and sorial housing to meet the needs of vulnerable or homeless people Cl To undertake other acb"wb"es and seThices wthtn the Regulators regulatory frame•¥ork to support the work of the organi$ation and prwde $enrice$ for its ¢lients The Obieeb"ves have been approved by the chty Commission. the Regulatty for Social Housing and Companies House. Mission statement To provide housing and support services lo wlnerable people at risk. b. Objectives We aim to.. Prowde affordable social housing for vulnerable people Offer quality support services focusing on developing and encouraging independent living skills Encourage Indeper￿enCe in vulneratrje people by promob.ng high quality sustained opportunibe5 Into education, training and employment Provide a Tange of acccynmodab.on and support Ser¥i￿S to meet the requirernents of all vulnerable people To support vulnerable people to move on to independent. kmg-term aCcommodat￿n lrnprove the health and wellbeing of vulnerabk people Safeguard vulnerable people at risk of hami Maintsin 5Ultable accofflmodatson at the highest level possible Increase the pro￿$1￿ of supported accommodab.on and. thu$. expand Ihe I￿rk ofthe Charity Hames5, through partnerships. the skills arKI resc*Jrces of ￿vate. statutthy and vduntary organisab'ons ftjr the tsenefil of vulnerable people. Secure financial resources to support ddi¥ery of these objeclTrves Page 3 LINCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT LIMITED IA Company Limitèd by Guarantte) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 Obje¢liv•$ and a¢tivities (continued) c. Public Benefit Through our aclions ¥￿ will aim to.. Reduce Street homelessne$s amon9$t vulnerable people Reduce insts'tutionalisats'on for our most Vulnerable peop Improve community cohesion and redu¢e barriLY5 betr￿ bvlnerable people and local ￿sIdents Ihus promoting social inclusic Reduce tenancy breakd1)b￿S and t￿th"On$ in twn reduces legal costs to social h¢￿SIng promders Offer excellent training opportunities lo all employees imwowng the kxal skills base ReduGe ants-50cial behaviour *ithin the l(vl comrnunity DelNer a quality service vknilst ewdencing good Value for money Improve the local housTng stock through physical improvement and better management Provide a valu&for-money 5erwce to the Local Authonty as a preferred promder of housing and support $eNGe5 for wulnerabk people vtho are Trdents"ffied as homete55 or al n5k of homelessne$$ Reduce crime and improve community safety Providry 3 variety of ¥olLmteerin9 Opportun￿"e$ and trainitvJ lo improve ernployability skills Valuè for Monty Trustees V4ith a *ealth of experience vdunteer b.me to ensure that LEAP has str￿g governance and leadership Twstee expenses were not clw.med by any Twstee during this financAal year Bad debts for the year slood at 0.26% (target set at 2%) evidencing Ihe aGlive collection of al monies due. 97% of young people left LEAP moved on ￿ a plamed VAY 62% of all the young people housed engaged into some fixm of Education. Training or Employment Page 4 LINCOLNSHIRE EIAPLOYMENT ACCOMMODATION PROJECT UMITED IA Company Limited by Guarantee) TRUSTEES. REPORT {CONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 Objeclives and activities Icontinued) Achievements and perforniance . Property Portfolio Lincoln Properties No.8edspaces Description Dispersed Houses Barlow House Homer House Adarn Heath House TOTAL 17 5 HMO house5 th"spersed across the crty All sell-Gontained units 2411 hostel type facility (closed March 2021) 6 x one-bed Ilats, 3 x kn￿1-bed flats (opened Dec 20201 Rental income for the bedspaces is negottated annualty through Housing 8enefrts. 18 12 52 Gainsborough Prop¢rti¢s Mo.B¢dspa¢M t)escription Dispersed Houses- (Owned by LEAP) Dispersed Houses {Leasedl TOTAL 3 HMO houses nexl door to each other in Gainsborough 13 houses 31 40 Rentsl income for the bedspaces is negotiated annually b. Contracts Lincolnshire Support Partnershtp LEAP held a Sub-contra￿ to delNer Ihis swice thrwgh the LSP expired. The main Lincolnshi￿ County Council (LCCI Contract is held by Nacro who act as the lead for the coUn￿de cwtract. The contract was CountY￿1de, and LEAP delivered 19 01 the bedspaces Vlilhin the C5ty of Lincoln. The 5-year contract was due to expire June 2020, hov4Ever, due lo Coyid-19 the contract has been extended for a further 6 months. The new contract *dS tendered in November 2019 and in January 2020 it VAS anr*ounced that Nacro had been awarded the full contracL The loss ol the contract has been ¢onsiderable, representsng approximately a third of LEAP'S income. Many of the support team, who h￿rked the contract transferred to Nacro at the end of the contract reducing the size of the LEAP team as wel as a number of Tedundancies. Page 5 LINCOLNSHIRE EMPLOYMENT ACCOMf41OOATION PROJECT LIMITED IA Company Limited by Guarantèe) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021 Achi•¥•ments and wrfomian¢e Icontlnwdl c. Trainingi Activiti•s and Volunts¥rs Progr•mm¢ Six yearfs fundirvj through Uoyds Foundation came to an end in Jan 2021 and LEAP is unable to apply for further funt1ing due to the Size of our tsJmo¥er exceefling their criteria. The funding gained over the ye3r5 Was more than the funding for the activibes programme. it was also financial support to set up the Outcome Star as a support tool. a$ vRtI as fvnding our application to Trusted Charth'es for accredrtatson for the quality $tandard5 kitemark. Oue to the pandemic. it has been difficuR to delNer Ihe training programme5 and activities. Some of the actiwties have been delNered virtually and others ¢ontinued to gain qualifications until the fundino ended. Cookery SesS￿nS were also deliVe￿d Mrtually unb"I the end of the Children's Contract t•h)ereby the staffing Te50urces were no longer there to deliver the activitses. Volunteers ceased lo undertake work during the pandemt. but rt is hoped that once restn"cb"ons are lifted. and risks redLKe those opportuntti'es to delrver a variety of acty¥ity"es through volunteers vlill increase. The programmes are funded through a variety of Sources induding income generated from the photovoltaic cells located on the iaof top tsl Homer House, small grants and fundraising events. d. Marketing and Fundrnising Despite the pandemic, marketing has continueil and the rwmber of follo￿r$ through social media ¢ontinue$ to organically grow vknilst lundraising has had to change accordingly. Much of the fundraising has been in the form of Item5 donated, in partjcular, fwd and tol￿trieS *then both were in short $uppty. The public were quick to react to request. Monetary donations have trickled in throughout the year although fundraisiThJ events V￿re very limited. •. R•view of P•rforniance Detailed pertormance and monitoring information 15 ¢olle¢ted on a weekty. monlhly. quarterfy and annual basis facilitating robust review against dear organisational and personal taryets. Trustees rewew Ihis data on quarterty basi5 and have been pleased and encouraged by the conb.nued exemplary performance throughout the year. Below are some of the headlines.. Perforniance indicator Rents Receivable Rooms available for let Room5 Ulili5ed Bad debt Write offs as a %rent debt % of planned Move-￿ frorn 5ewvice 9￿/ Taryel 85% 99% 85% 2020121 87% 97% 2019rko 89% 99% 89% 0.76% 0.22% 98% HATS: H¢)using and Tenancy Support Set up in 2015 as a ￿01￿ owned subsi(lary of LEAP. HATS has been a suc¢e$s beyond expectslions. Both the gro￿ and success of the charity neces&tated the need to address govemance which has led to a onsolidalion of the tswj charrties in this financial year. ￿ke WP. HATS spe¢ialises in homele$5ness service for vulnerable people bjt unlike LEAP. HATS does not have an age restn"clion. As above. the Objects have been d)anged and approved by the Charity Commission and registered 7Mth Companies House. Page 6 LINCOLhlSHIRE EIAPLOYMENT ACCOMMODATION PROJECT LIMITED IA Company Limited by Guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 Achievefflents and perfonnance {continuedl f. Slrdtsgic R•¥iew LEAP continues review its 51rategic plan regulwty Imth the need to operate a dynamic and changing environment. Wilh the pandemic and the loss of the Chiklren's Service contract the chantses re511ience has been tested over this Ye￿ and rt is ple￿n9 to evidence Ihe ie5ilience of the tharity thTough these accounts. Other In¢om• Homer House offers a combinab.on of purFKtse buif( accommodation. recreational areas and office space located in one half of the building. The Temainder of the building is leased to the NHS offering a secure tenant lo the Charity until 2025. This arrangernent offers a number of advantages in respect of the provision of seamless and complementary ser¥ices as *tU as provKling an addit￿￿1 source of fmancial security to the Charity. Homer House is a150 home to motMle Masts located on the roof. The leases promde additional income to the chaity. Renevdable energy Irom the solar panels l¢xated on Homer House roof continue to generate an income to 5UPPOrt LEAP'S activrties as well as produung electntsty and hot water provides addtts'onal cost savings to the charrty. Grant funding In this year in￿ded £360,000 fr(Mn Homes England tu•rards new buikj accommodation al Gaunt Street and £150,000 from the Resilience and Recovery Fund 10 5UPPOrt the purchase and ￿n0¥ab"oft of a number of houses In Gainsborough. This funding Is ¢apital funding towards the buildlpurchase of properts'es. Although this funding sho%Mng as a suwus in the accounts. rt 15 important to note that thi5 IS not a trading surplus. Sign•ficant Achi•¥•m•nts in 2020121 c￿$￿idatIon of the Charities and merge the iv&D Boards of Trustee& Thi5 included a committee Structure lo comph.menl the FLIA Board. The opening LEAP'S first new buihl on Gaunt Street named Adam Heath House in Decemkr 2020. The 9 flats lone and bedl have been conts"nvovsly occup'ed since opening ewdencing the demand for this kind of accommodation. A form￿ opening of the building has been delayed because of the pandern￿ tsjl it is hoped that this will take place in the Aulumn. The opening of h￿faMity houses". in Lin¢oln and one in Gainsbxough. A second famity home 15 scheduled for September 2021 in Gainsborough. Funding gained through the Re$ilien¢e Recovery Fund to purchase rundown htsJye$ in the Styjth Wesl Ward of Gainsbofough and refurbish to a good specffieation. Again, this is part loan aftd part grant fvnding. To dale. three houses have been purchased through this fUnd￿n9. The launch of a new website vthich has 9￿ater ver5ab"lty. It has been V•*ll publicised and M$il$ to the srte have inc￿ased. The end to tyjr ¢ontra¢t Chiklren's SeThfj¢e finally took place on 31st December. It marks signrficant milestone in LEAP'S history as the chartty ha5 held a contract *ith the county Gouncil since 2002. Page 7 UNCOLNSHIRE EMPLOYMEMT ACCOMIIIODATION PROJECT LIMITED IA Company Lirnited by Guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR EIIDED 31 MARCH 2021 Achlevèménts and porform¥nco (cont￿lled) PollcylProctduve Review Operational Policies and Procedures ¢ont"nue lo su¢ce$5fuNy and are regularty updated and reviewed in line with new legislaiKJn ant1 the needs of the organisation. Natwest Bank PLC Mentor Services also assist matters of EmploJThent Law and Health & Safety PrAicies and Procedures. Thi5 proces5 is on-going and improving performance. The Board has responsibility overseeing the policy rewew programme. Flnancial review a. Going ct)nc•rn After making approk¥Bte enqviries. the Trustee5 have a reasonable expectskn.on that the company has adequate resources to ¢onb"nue in operational existence for the foreseeable future. For this reason. they continue to adopt the going concem ba515 n preparing the financial statements. Further details regarding the adoption of the going concem basis can be found in the accounting pOl￿¢e$. During the year and subsequent to the year-end. the UK ha5 experienced a pandemi¢ of the corona￿rus. The potenb.al affects on the charity and ils future prosF*cts cannot be quantified bLrt. at thts w'nt. there is nothKvJ to indKale a major concem. b. R•ser¥es pollcy FolloNving the annual review ol the Reserves Poh'cy. Trustees detemiined that a free reserves equivalent lo SO% of the ¢urrenl year's operat1￿31 expenditure should be established. The ￿se￿5 a￿ to be held to facilitate continuation of the Charty should a major source of income unexpectedly cease. ¢. R¢sults for the year The Board of Trustees have great pleasure in commending this report of LEAP'S activities and highlights for the ye8r ending 31st March 2021. LEAP ¢onb"nues to grow and develop as a Charty al the heart of the community it sefves striving to prowde the highest qualty seNces and support to the most vulnerable young people vlho de5erye the opportunty to take up thwr nghlfvl place in &Kiety. Structure. go¥•mane• and management •. Govorning Document The Charity is controlled by rts goveming document. a deed of trust. and conslitutes a limited company. limited by guarantee. as defined by the Cornpanies Act 2006. Its govemin9 document is the Memorandum and AAides of Association. A review of the Objects within the Memorandurn and Artides ol Asscciats"on was undertaken in 2019 and approved by the Charity Commission earfy 2020. Ateration to the A￿'deS is s￿nificant in ternis of the future development of L&4P vthich will allow the ¢hanty lo with a much wder age range than h35 pre￿OUSlY been posgble. LEAP is also inffluenced by Govemment p)li¢ies tO%Ydrds soryal hwsing and ￿gUlated by the Regulator of Social Hi¥Jsing (Registration Number 4795). The Board of Trustees has agreed its strategic objeth'ves a wew to maintaining the financial health, on- going ￿le¥ance and wability of its a￿l￿￿"e$ as v￿1 as ensuring the chanty$ ¢ommunty impact and regularly Tevisils these at the start of any major projects and conlinuously Ihrough its Risk Assessmenl PToceduT2S. Page 8 LINCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT LIMITED IA Company Limited by Guarnnteel TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021 Stru¢ture. govem•nce anql managemenl {¢ontinued) b. Rocruitment •nd appointment of new truslees With the cons0ltht￿ft of HATS into LEAP. three Trustees of HATS tran$th'oned onto the LEAP Board. Julia WiN(inson. Sara Jones and Sonia Czabaniuk brThJ additional skils, kntrAedge and eXper￿nCe to the Board. At the same time, LEAP wtnessed resignatiws primarity due to the Pandemic. Ckn sinCe￿IY thanks go to lan Dickenson and Phil Sidebottom for their conth"bulKJns to the Charity. c. Organlsatlonal stwetuwt The responsibilities of the Board of Trustees In￿de deteMiinat￿ft of the strategic direction of the Charty.. greemenl of the poI￿Y and operational framevknrks: and stewardship on all matter$ ¢oft¢eming corporate govemance, finance. risk management and operats'on$. The Tnjstees hdd quarterty Board meeb.ngs throughoyt the finan¢ial yw to guide and monitor the ChariV$ affairs. The work of the Board Is supported by a number of cornrnittees.. Finance an¢J Audbt Committee Fundraising and markeb.ng Committee Property Development and Maintenance Committee HATS Area Committee They all meel qUarte￿Y as a minimum to support the role of ihe main Board. The Senior management team meets monthty to closety revbew and manage the day-l￿aY actiwties. Graham 8ratby has undertaken the role of Chair of the Board of Trustees for the past eight years. Graham is a ¢onsistent member of the Board hawng been involved with the charity since ils inception. Graham's leadership. wealth of skills and experience provides a strong foundab.on for the Board and for LEAP. The Chief ExecutNe. Heidi Walton leads the Charity and ¢onb"Mes to manage the day-tcthy affair5 tsf the organisab'on. She *￿rkS ￿1th the Board supporting the develop*nent of the strategic framework and a¢ts as the Responsible Officer in ￿speCt ￿ the implementatson of strategy and the operats.onal management of LEAP. She also implements decisions of the Board and contrbules and adMses on development proposals. Heidi also develops operaty.onal policies and procedure5 and subj'ect to Board appioval. is responsible for the Implementation. reporting and review. Due lo the 1055 ol a 5b3ntfirant contrxt with knnc¢knhYe C(Mth Councl. rt was necessary to undertake significant restructure of the team. sever￿ slaff members %*re transferred to Ihe new provider although a ¢ouple of redundancses were also necessary. The restnjctU￿ of the team coinuded wth the consolidation of HATS inlo LEAP providing an opportunty lo ￿ate a fit-for-PU¥Fose team 5tnJcture that allows for consislency in service delivery across ser¥ice in both Lincoln and Gainsttyyough. Staff *ve ¢￿su1ted throughout the process. The fvndamental shift wa5 the Internal appointment of a Housing Manager lo oversee the area teams lollowe by a Senior Housing Officer ISHOI managing and ¢oordinabng the day-to-day affairs Mthin their le•m. The SHO is supported by Housing Officers Ntho manage caseloads and the running of the houses.. caretaker vtho maintsins the slandard5 of the properb.es and a Business Suppwt AdmiThslrator. Page 9 LINCOLNSHIRE EMPLOYMENT ACCOhlMODATION PROJECT UMITED {A Company Limlttd by Guarantee) TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 AIARCH 2021 Stru¢tynE, gov•manc• and man•gwnent (Continued) d. Oryanisational Structurn l¢¢)ntinu•d) The Adfflinistratic￿ and Cofflpliance Manager. ￿'M Bescoby rnon11￿$ the compliance of standards, poh'cies and proGedures to ensure the maintenance of high Standard a¢ros$ the $eN¢e$ LEAP employs a Finance Manager to manage and faulitate the smooth running of all fInar￿￿1 and accounl#)g functions_ The wew5 of Client5 are critical to the continuous development of the Charity. Due to the pandemic, it has not been possible to collate feedba¢k or to Meet wilh the Pattiupation Group. Wrlh relaxab.on of the rules around social distancing, It is hoped that LEAP will be able to resurne the collation of feedback and consultation through several mechanisms once again. e. Risk Manag•fflent LEAP'5 Risk Reglster is reviewed regulady and rebrysed at least anntsalty- Responsibilrty for the Reglster rests with the Board. Control measures and action plans have been developed for each of the idenknfied risks and these are monitored on a quartedy basis by the Boards. There is one .￿gnIfiCant. risk * present, 1 risks wa5 scored as 'COntingen￿ vAth a further 24 scored as 'LoYl risk in September 2020. ststern8nt of Tru$ts•$' r•sponsibilttie The Trustees Ivtho are also ihe th￿¢t￿S of the company for the purposes of company law) are responsible for preparing the Trustees. ReprAt and the financial Statements in accordance with applitable law and United Kingdom Accourth'ng Standards {Unrted lfj"ngdom Generalty Accepted Accounting Practice). Cofflpany law requires Ihe Trustees to prepare finanoal statements for each financial year. Under company law, the Trustees mLtst not approve the financial statements unless they are satssfied that they give a true and fair view of the stste of affair5 01 the Group and the company and ot their in¢oming resources and applitabon of resources, including their income and expendrture, for that period. In preparing these finanryal Staternents. the Trustee5 a￿ required to". sdect suitat4e accountin9 policies and then appty them consistenUy.' ¢A)serve the methods and prinuF4es of the Chanties SORP {FRS 1021." make iudgmen15 and acc¢yJnting estimates that are reasonable and prudent., stale vthether ap￿ICable UK Accountsng Standards IFRS 102) have been follo*ed. subject to any material departures disdosed and explaine*J in the financial statements; epare the financial statements on the gory conwn basis unless rt is inak)propriale lo presume that the Group ￿11 continue in business. The Trustees are responsiile for keeping adequate X¢0￿b"n9 records Ihat affj Suffic￿￿1 10 Show and explain the Group and the company's transathons and disclose vith ￿asOna￿e accuracy at any time the financial P051tion of the Group and the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also reswjnsible for safeguarding the assets of the Group and the company and hence for tsking reasonable steps for the prevention and detecl]on of fraLKI and other iT￿gularitIes. Page 10 LINCOLNSHIRE EMPLOYMEPIT ACCOMMODATION PROJECT LIMITED IAC¢xnpany knmiied by Guarant*el TRUSTEES. REPORT (CONllNUEOI FOR THE YEAR ENDED 31 MAft¢H 2021 0i8cIogur• ol Infommtion to auditors Each ofthe perS￿S are Trusle•s at the time when Ihi5 Tru5t•es' Report is apwoved has conffiimed that.. so far as that Trustee is avjare. is rn raknnl ￿ wi(cmi8tkn of the tharitabie 8roiy's auditors a￿ unaware. anrj that Trustee has takerl all the steps I?￿1 cwht to have been taken as a Trustee ￿ LY(Spr lo be awa￿ of any relevant audit infonnalion aTrJ tg eslablBh Ihal ts ¢haritat48 gr￿Jp'S a￿￿11￿8 are aw8 of that ififom)aknon. Audllorg The auditors, Streets Aursit LLP, have Indicat￿ Iheir W￿n￿ne$S 10 continu? in offre. The designat8d Trustees wrfl propose a molron YeapF4inling ￿￿lloWS at è meetiTrJ ol Ihe Trustees. Apwoved by order.oLthe.membor5. oflhe bo¥d of Trustees on 28 Juty2021 ￿rted ￿ the￿ beh811ty. G Bratby P8ge11 UNCOLNSHIRE EMPLOYMENT ACCOMMOOATION PROJECT LIMITED IA Company Limited by Guarant•t) INDEPENDENT AUDITORS. REPORT TO THE MEM8ERS OF UNCOLNSHIRE EMPLOYMENT ACCOAIMODATION PROJECT LIMITED Opinion We have audited the financial statements of Lincoknshire Empkjyment Accommodab"on Project Limited (the 'parent chaiitable compan￿} and rt5 subsidiaries Ithe'group'l for the year ended 31 March 2021 ￿1¢h compriye the Con$olidated Statement of Financial Acbwb"es. the consol￿ated Balance Sheet, the Company Balance Sheet, the Consolidated Statement of Cash Flov￿ and the related note5, including a summary of significant accounb.ng policies. The financial ￿Porting frame￿rk that has been applied in their preparation is applicable law and Unrted Kingdom Accounting Standards. induding Financial Reporting Standard 102 The Financial Reporting Standard applicable in Ihe UK and Republic of Ireland. {Unrted ￿'ngdoM Generally Accepted Acctyjnting Pracb"cel. In our opinion the financial statements.. give a true and fair view of the state of the Group's arHI of the parent charitable company's affairs a5 at 31 March 2021 and of the Group's incoming ￿$oUrceS and application of resour¢e$, in¢luding its income and expenditu￿ for the year then ended". have been property Pfepared in accordance Unrted ￿"ngdoM Generally Accepted Accounting Practlce," and have been prepared in accordance vAlh the requiremenls of the Companies Act 2006 and the Charities Ad2011. Basis for opinion We conduded our audit in accordance 7Mth Intem*"onal Stsndartjs on Auditing {UKI IISAS IUK)) and applicable law. Our responsib"lits"es under those standards are further descritjed in the AudttiTS' responsibililies for the audit of the financial ststemenls se¢b"on of our ￿pOrl We are independent of the Group in accordance vhth the ethical requirements that are relevant to our audit of the financial stalements in the United Kingdorn, including the Financial Reportsng Coun¢il's Ethical Standard. and have fulfilled our other ethical responsibilrties in accordance with these requirements. We beh'e¥e that the audit ewider￿e have oblained is 5Lrfficient and appropriate to prowde a basis for our opinion_ Concluslong relating to going concem In auditing the finan¢Jal statements, ￿ have condude(I that Ihe Trustee5' use of the going wncem ba515 of accounkn.ng in the preparabon ol ihe finanoal statemenls is appropriate. 8ased on the work V•E have performed, ￿ have nol identified any material uncertainties relating to events or ¢ondits"ons that, indithdually or collethvely. may casi signifunt doubt on the Group's or the parent charitable companvs ability to continue as a going concern for a pen￿1 ol at least ts¥elve months from when the financial staternents are authorised for issue. Our responsibilits'es and the responsibil￿e$ of the Trustees Tespect to wng concem are described in Ihe relevant 5e¢bon5 of this report. Page 12 UNCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT UMITEO IA Company Limited by Guardnteèl INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF UNCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT LIMITED ICONTINUEDI Other infonnation The other infomiation comprises the infomiation induded in the Annual RepNt other than the financial statemen15 and our Audrtor5' Report thereon. The TN$tee$ are responsible fly the other information contsined within the Annual Report. Our opinion on the finanual statements does not cover the other informats'on and, eycepl lo the extent othe￿Ise explicrtly stated in our ￿Port, ¥￿ do not expre55 any form of assurance ¢on¢lusion Ihereon. Our responsi￿"lIty is lo read the other infomialion arml, in doing so, ¢on$ider vthether the other infomiation is materially Inconsistent wth the finanual statements or our knO￿edge obtained in the course of the audit, or otherwise appears to be materially mi$slaled. If identrfy $urh material inconsi51encie5 or apparent material rnisstatements. ￿ are requir¢d to detemiine whether this gives rise to a material mi55talemenl in Ihe financial statements themselves. If. based on Ihe we hove performed, we conclude that there is a material rni551atemenl of thi5 Other infomiation, we are required to report th3t faGt. We have nothing to report in this wafd. Opinion on other matters prescribed by th• Companies Act 2006 In our opinion. based on the work undertaken in the Gourse of the audiL" the information given in the Trustee5' Repyt for the fmancial year for t*thi¢h financial stslemenl$ are prepared is consistent vth the financial statements. the Trustees, Report has been prepared bn accordance with aFflicable legal requirements. Matters on Wthich w• ar• r•quirnd to r•port by •xception In the light of our knovAedge and understanding of the charitsble company and its enwronmerrt obtained in the course of the audrt, we have not idenb.fied matenal misstatements in the Tntstees, Report. We have nothing to report in resped ol the foltryAing matters in rdation to lhthich Companies Act 2006 requires us lo report to you if, in OUT opinion.. the parent chantable company has not kept adequate and sulfitxnt 8¢￿untIng records, or retums adequate for our audit have not been received from branches not wsited by us.. or the parent tharitat4e company financial statements ¥e not in agreement the acccwnting records and returns., OT certain disclosures of Trustees, remunerats"￿ specrfied by law are nol made., or we have not Tec&ved all the lnfonnatr.on and explanabtsns require for our audit", or the Trustees Y￿re not entided to prepare the financial statements in accordan￿ the Small mpanies regirne and take advantage of the small ¢ompanies' exempb"Ms in preparing the TNstees' Report and from the requirement to prepare a Strategic Report. Page 13 UNCOLNSHIRE EMPLOYMENT ACCOMMODATIOM PROJECT LIMITED {A Company Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF LINCOLNSHIRE EMPLOYMENT ACCOWIMODATION PROJECT UMITED (CONTINUED) RÈspon$ibilities of tNst¢¢s As explained more fulfy in the Truslees, Reswnsibilities Statement, the Trustees I￿0 are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial staternents and lor being satisfied that they give a tnje and fair view. and for such intemal control as the Trustees determine is necessary to enable Ihe preparab.on of finanual Statements that are free from material rnisslatement, vknether due to fraud or error. In preparing Ihe financial ststements, the Trustees are ￿5p¢*n$1b1e tr as5esstng the Group's and the pareni charitable companrfs ability to continue as a going concem, disclostng, as applicable. matters related to going oncern and using the going concem basis of accounb.ng unle55 the Tru5tee5 either Intend to INuidale the Group or the parent charitable company of to cease operations, or have realisty"c allernative but to do so. Page 14 UNCOL14SHIRE EMPLOYMEPIT ACCOMMODATION PROJECT UMITED IA Cofflpany Limited by Guardntee) INDEPENDENT AUDITORS. REPORT TO THE MEIIBERS OF LINCOLNSHIRE EMPLOYMENT ACCOMhlODATION PROJECT LIIIIITED (CONTINUEOI Auditors. responsibilities for the audit of th• financial statements Our objectives are to obtain reasonable assurance about ¥knether the financial statemen15 a5 a v•hole are free from material m155ts1emenl. vknether due to fraud or error. and to issue an Auditors. Report that in¢lude$ our opinion. Reasonable assurance is a high level of a$surance, bLrt is not a guarantee that an audit conducted in accordance ￿1th ISAS (UK) apways detect a material mi55tatemenl vknen it exist5. Misstatements can arise from fraud or error anty are ¢on$idered material rf. indiyidualfy or in the aggregate, they could reasonably be expected to influence ihe economic decisions of users taken on the basis of these ffianual statements. Irregularities. inchAing fraud. are instances ol nOr￿COMpl￿9nce law5 and regulations. We design pro¢edures in line with our re5ponsibilitses, ¢XJtlined above. to dete¢t material mi$stslements in ￿Spect of irregularits'es. induding fraud. The extent to V*thich our procedures are capable of detecting irregularities. including fraud Is delailed belov. the engagement partner ensured that the engagement team collectNely had the appropriate competence. capabilth'es and skills to identfy or recognise non-complkqnce wth applicable laws and regulations.. we idenbfied the la￿ and ￿9￿latIOnS applicable to the company through discussions *Mth directors and other management, and from our commeraal knth•Aedge and experience of the chanty and sector in which it operates". we focused on specthc laws and regulab.ons ￿thICh considered may have a direct material effect on the financial statelrents or the operations of the ¢ornpany, including the Companies Act 2006, SORP 2015 IFRS 102) taxab.on legislation. dats protecbon. anti-bribery, employment, enviionmental and health and safety legislation., we a55e$sed the extent of compliance wrth the la4%s and regu13ttons idenb"fie11 above through making enquiries of management and inspecting legal correspondence.. and Klentified laws and regulations were communicated wthin the audrt team regulaty and the team mained alert lo in5tsnces of non-comF4iance throughoul the audit We assessed the Susceplibilty of the coMpan￿S financral statement5 to material misstatement. including obtaining an understanding of how fraud might occur. by. making enquirie5 of management as lo *there they ¢￿s￿leTetar was £517,T34 (2020- £105,829). Th8 Trustees ackThj￿edge their r8spLwknI ilili8s ILY ccfflptyiroJ wilh the r8quirem8nls of ihe Act vitth re8P8Ct to accounbNJ f8¢ords preparakn of fmncial ststements. Th8 finan￿81 stal8menl$ habE bBen wepar8d in acc4)rdarte *ilh Ihe aFpkabl8 to entitles Subject to the small c{xnpa￿ The financial statements wer¢ arfJro¥ed and •￿Se￿ issue ty Ihe Twstees on 28 July 2021 and s4ned on their behalf by.. J Wilkinson The n(tss on pag8$ 22 to 43 frym part frnncI￿ $talemgnls. Page 20 LINCOLNSHIRE EMPLOYPJIEwf ACCOMMOOATION PROJECT LIMITED IA Company Limited by Guarantee) CONSOLIOATED STATEMENT OF CASH FLOWS FOR THE YEAR ENOED 31 MARCH 2021 2021 2020 Cash flows from opevating activities Net cash used in operab.ng ath"tEs 338.192 292,330 Cash flows from invesling activitie5 Diwdend5. interests and ￿nts from investments Purchase of tangible fixed assets 134,099 1669.7761 137,424 f465.661J Net cash used in investing activities 1535.6771 1328,2371 Cash flows from financing acti¥lties Cash inflows frMI new borro*ing Repayments of borrovaryng 994A09 193.0151 56,995 f85.8901 Net cash provided byllused in) financing aclivities 901.394 {28.8951 Change in cash and cash equivalenls in the year 703.909 IH.8021 Cash and cash equivalents at the beginning of the year 413.395 478, 197 Cash and cash equivalents at the end of the year 1,117.304 413,395 The notes on pages 22 to 43 fomi part of these finantyal slatements Page 21 LINCOLNSHIRE EIAPLOYMENT ACCOMMODATION PROJECT UMITED (A Company Limit•d by Guaranleel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 General information A5 sei out in the Trustee's Report. LincrJlnth"Te Employment Accomodabon Project Limrted is an incorporated regi$tered Charity in England & Wales. The prinGyal office of the charity is 22 Market Place, Gainsborough, Lincolnshire. DN21 2BZ. The prinripal objecttve of the charity 15 set out in the Twstee's report A¢counling policies 2.1 Ba545 of preparation of financial statements The financial 5ts1ement$ have been prepared in accordance ￿1th the Charitie5 SORP IFRS 102) - Accounbng and Repo￿n9 by Charities.. Statement of Recommended Practice apPI￿able to charrties preparing their acwunts in a¢¢ordan¢e Y+rth the Financial Repthng Standard applicable in the UK and RepU￿1C of Ireland IFRS 1021 leffectNe 1 January 20151, the Financial Reportin9 Standard applicable in the UK and Republic of Ireland IFRS 102) and the Companies Act 2006. Disclosures related to the housing operations have been"inuJrred were applicable. as required by Social Housing Prothders. Lincolnshire Employment Accommodation Proied Limited meets the definth'on of a public benefft entity under FRS 102. Assets and liatx"lib"es are initialty recs>Jnised al historical c051 or Iransaclion value unless othev•Ase stated in the relevant accounting policy. The ConSol￿ated Statement of Finanual Aclmb'es (SOFA) and consol￿ated Balance Sheet ¢onsc4idate the finanual ststements of Ihe company and rts subsidiary undertaking. The results of the subsidsary are consolidated on a line by line basis. The company has taken advantage of Ihe exemption all0￿d undef section 408 of the Companies Act 2006 and has not presented rts Statement of Finan￿al Activrties in these financial statements. 2.2 Going con￿rn ThroL**out the year. the UK has expenenced a pandemic of the ¢oronavirus. The potential effects to the chanty and its ftrture prospects cannot be fulty quantified but the trustees remain ommitted to the proteth"M of the tharity. This 15 being regulody reviewed by the trustees. In addition the trustees are mindful of the significant ongoing SUPPOrt being offered by the Govemment. Accordingly the financAal statements have been prepared on a going Goncem basis. Page 22 LINCOLNSHIRE EPJJPLOYMENT ACCOMMODATION PROJECT UMITED (A Company Limited by Guarant••l NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Accounting policies (continued) 2.3 Income All income is ￿cogniSed once the company has enlyllement to the income. rt is probable that the income wll be received and Ihe amount of in¢omt rettivable can be measured reliabty. Grants are induded in the Consolidatefj Stalernent of Financial A¢iivrti"e5 on 8 rewvable basis. The balance of income received for spe¢ffi¢ 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 15 deferred and induded in credit(n as deferred income. Where entrtlement occurs before income is ￿e1Ve￿. the income is accrued. Govemment grants are recognised using the perfomance model. and V*here the grant impose$ specific future performance related condib"on5 revenue is only recognised when they are met. Income tax recoveralAe n ￿lation to ￿VestMent Income is recognised at the t￿e the investrnent income is receivable. 2A Expenditure Expendibjre is recognised once there is a legal OT conslrucb.ve obligobon to transfer econc¥nic benefit lo a third paty, it is probable that a transfer of economic benefits wll be required in settlement and the amount of the obligation can be measured rdiably. Expenditure is cL4ssified by acliwty. The cos15 of each a¢bvity are made up of the total of d1￿ct costs and shared cost5, including support costs involved in undertaking each actiwty. Direct Costs attributable to a single aclivty are allocated directty to that acts"Tr￿ty. Shared ￿sts vthirh cmtribule to MO￿ than one activity and support vthi¢h are not attributable to a single actNity are apportioned between those activitses on a basis consistent ￿1th the use of resource5. Central 5tsff costs are allocated on the ba515 of time spent, and deprerrdtion charges alloG*ed on the portion of the a$set'$ use. Expenditure on charitable acts"wb"e5 15 incurred on dirth undertak￿9 the acb"wlie5 which fvrther the Group's objectives, as *tll as any aSsoC￿d supp)rt costs. AJI expenditu￿ is in¢lusive of irre¢overable VAT. 2.5 Tangible fixed assets and depreci•tion Tangible fixed assels costmg £1.000 or more are caF¥tslised and recognised when flrture econom benefft5 we probable and the cost or value of the asset can be measured reliably. Tangible fixed assets are wiiknalty recognised at cost. After recognition. under the ￿$t model, tangible fixed assets are measured al c05t ks5 accumLJlaled deweciab.on any accumulated Impairment losses. eosts incurred to bring a tangl￿t fixed asset into rts intended working condition should be induded in Ihe measurement of cosL Page 23 LINCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT LIMITED IA Campany Llmited by Gu•rnnte•l IIOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Accounting polici•s {eontinued) 2.5 T•figible r￿ed assets •n41 depre¢iotiM l¢ontinued) Depreciation is charged 50 a5 to altocale the cost of taryible fixed a55et5 le55 their residual value over their estimated useful lives. - Depreaatsm is wowded on the followng bases: Freehold property Fixlures and fitbngs Computer equipment 2% stravJht line 25% straight line 33.33% straight I￿e 2.6 Debtors Trade and olher debtors are recognised at Ihe setuement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 2.7 Cash at bank and In hand Cash at bank and in hand indudes cash and short-terni highty Imjuid investments a short maturty of Ihree months or less the dale ol xquIs￿.￿n or opening of the depo%t or similar account 2.8 Liabilities and provisions "abilities are recognised vthen there ￿ an obl￿a￿.￿n at the Balart¢e Sheet date as a result of a past event, it is probable that a transfer of economic benefft will be required in settlement, and the amount of the setdernent ¢an be ests"maled reliably. Liabilrties are recognised at Ihe amount that the Grynpany anticipales rt V￿11 pay to setue the debt or the amount it ha5 receNed as advanced payments for the goods or services rt must provide. ProvIsic￿ are measLwed at the best eslimale of the amounts required to Sett￿ the obligat¢on. Where the elle¢l of the b.me value of money is material. the provision is based on the present Value of those amounls, discounted at the pr￿taX discount rate that refiects the risks specific to the liability. The unwnding of the discount is recognised in the Consoh"dated Statement of Financial A¢tiwb"es as rinance cost. 2.9 Financial instruments The Group only has financial assets and finanoal liabilibes of a kind thal qualify as basic financial instruments. Basi¢ financral instruments are inikn.alty recognised at transaction value and subsequentty measured at their 5etUement value with the exception of bank loans vthich are $ubsequentty meastjred al amortk*ed cost using the effeth.ve interest method. 2.10 P•n$ians The Group ￿TateS a defined contnbub.on pension stheme and the pension charge represents the amounts payable by the Group to the lund in respect of the year. Page 24 LINCOLNSHIRE EMPLOYMEIIT ACCOMMODATION PROJECT U¥ITED IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 A¢¢ountln9 pollclès Ic¢)ntlnu¢d) 2.11 Fund a¢¢ounting General funds are unrestn.cted fiJrTrd$ are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group an¢J wthi¢h have not been de$ignaled for other purpose5. Restricted funds are funds *thich are lo be used in accordance speafic ￿StrICtl0nS imposed by donors or have been raised by the Group for particular purposes. The cos15 of ra15ing and adrninistering such funds are charged against thè spectfic fund. The aim and use of each restricted fvnd 15 set out bn the notes to the financial statements. Investment income. gains and losses a￿ allocated to the appropriate fund. Crltlcal aecoub)tlng •stlmat•s and arnas of judgment Estimates and judgments are eontinualty evaluated and are base(l on historical experience and other factrffs. induding exFeCtations of fvtU￿ events that are believed to be reasonable under the cir¢umstsn¢ts. Crrtical accountsng e5ts"rnate5 and assumpt￿n$.. The company makes estimates arKI assurnptions conceming the futu￿. The re5ulbng accounting e$bmates and assumptTrons ￿￿11. by defin￿.￿. Se￿Orn equal the related actual ￿$vIts. The e5timate5 and assumptions that have a ￿gn￿1C3nI risk of causing a material adjustrnent to the carrying amounts of a55et5 and liabilits.es ￿rythIn the next finwKial year are discussed belvw. crth.cal areas ol judgment.. Tangible fixed assets are recognised at cosl or valuatton, less aC￿mUlated depreciation and any impaimienls_ Deprerialion takes F4aGe over the e5b"mated useftjl lrfe. down to the assessed residual value. The carrwng amount of the Chari￿s fixed assets is tested a$ $wn as ¢hanged conditions show that a need for impairment ha5 wisen. Page 25 LINCOLNSHIRE EIAPLOYMEP4T ACCOMMODATION PROJECT UMITED (A Company Limited by Gu•r3f5teel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Ineomè Irom donations and lagaclts Unrnstrtcted funds 2021 R•strlcted fund5 2021 Total funds 2021 Total 2020 Donab"ons Grants Government grants 9.556 9.S56 539,909 30.669 9.730 20,476 539,909 30,669 T¢tsl 2021 40,225 539.909 580,134 30,206 Total 2020 9.730 20.476 30.206 Income from charit•ble acti¥ities Unr•strirt funds 2021 Tolal funds 2020 funds 2021 Income fr¢yn tharrta￿e activrties- HousiTha Support 1,0￿.838 1,006.834 1,042.866 Investrnent incomè Unwestricted funds 2021 Total funds 2021 Total runds 2020 Rents recewed from NHS Telephone mast Income Deposit account interest 112,847 21.111 141 112,847 111,796 24, 736 892 Totsl 2021 134.099 134.099 13T,424 Page 26 LINCOLNSHIRE EMPLOYMENT ACCOIAIAODATION PROJECT LIMITED IA C<¥npany Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AIARCH 2021 Analysls of •x￿nd•tUTe on chaiitabl¢ a¢tiviti•s Summary by fund typ• Unrnstricted R•strict•d funds funds 2021 2021 T?tal funds 2021 Tolal funds 2020 Housing Support General Needs 816.526 178.460 14.131 21.109 4,650 837,635 183,110 14.131 771,t47 237,259 44.858 Corporate Ovetheads Total 2021 1.009.117 25,759 1,034,876 1,053,264 Total 2020 1.032.788 20.476 1,053,264 Analysis of expendlturn by acllvlti•s Activilie5 undertak•n directy 2021 Support costs 2021 Total funds 2021 Total funds 2020 Housing Supwt General Needs Corporate Overheads 637,463 115.475 8,791 21x1.172 67.635 5.340 837,635 183.110 14.131 771, 147 237,259 44,858 Total 2021 761.729 273,147 1,034,876 1.053,264 Total 2020 814,843 238,421 1,053,264 Page 27 UNCOLNSHIRE EMPLoYiaENT ACCC)MMODATION PROJECT UMITED IA Company Lirnited by Guardnteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 IAARCH 2021 An¥lysis of expenditur• by activities (continued) Analysis of direct costs Housin9 Support 2021 General Corporats Needs Overheads 2021 21121 Total funds 2021 Total lunds 2020 Staff costs DepreGialion Rent, rales and *Bter Insurance 266.842 52.840 111.383 10.549 47.292 2.272 89,438 19.815 4.473 1.081 4.006 228 95.147 236 361.989 53,076 113.201 11.445 49.782 2.272 101.317 22.$34 4.66S 1.001 4.006 326 433.414 44,879 97,430 10,929 41.027 2.911 81,001 28.017 4,064 3.580 8,492 1.818 896 2.490 Light and heat Telephone Property Repair5 Household and Cleaning TV Licences 11.879 2.719 192 cl￿nt Bfoadband 8ad debt write off Professional fees Mortgage Interest 98 27.244 8.791 36.035 59,099 Total 2021 637.463 115.475 8.791 761.729 814.843 Total 2020 606.111 168.314 40,418 814.843 Page 28 UMCOLNSHIRE EMPLOYIAENT ACCOMMODATION PROJECT LIMITED IA Company Limiled by Guardntee) NOTES TO THE FINAIICIAL STATEMENTS FOR THE YEAR ENDED 31 IAARCH 2021 Analysis of expenditurn ty activili•s Icontinued) Analysis of support costs Housing Support 2021 G¢neral Corporate Needs Overheads 2021 2021 Total fvnds 2021 Total funds 2020 Staff costs Depreciation Telephone Household and c￿anIng Client Broadband Sundry e¥pen5e$ Employee costs Computer costs Bank charges Auditors. remuneratson 123.712 52.966 176.678 152.874 1,379 11.881 548 2.770 10.116 731 731 3.343 3.343 6.693 4.SS7 26.211 958 7,800 32.362 2.087 1,743 9.604 2,661 78,830 1,073 6.600 22.997 4,749 3,482 647 3.218 20,772 790 1.339 5.439 2.460 28.823 1.589 1,342 5,340 Professional fees Travel costs DMations made 3.539 498 269 Total 2021 200.172 67,635 5,340 273,147 238,421 Total 2020 165.036 68,945 4,440 238,421 Atsditorn. remuneration 2021 2020 Fees PaYa￿e to the company$ auditor f￿ Ihe audit of Ihe ¢cthpanls annual accounts 7.950 7,950 Page 29 UNCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT UPAITED {A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEPIIENTS FOR THE YEAR ENDED 31 MARCH 2021 Staff costs Group 2021 Group 20 Cornpany 2021 Company 2020 Wages and $alarie$ Social security costs ContrilXJli￿ to defined contr*>ution pension schemes 498.998 27.17S 544.689 28.962 45S.831 27.175 468.691 26,926 12.494 12.637 11.260 11.107 538.667 586,288 494.266 506, 724 During the year a job ev￿￿atiOn plan was finalised as a res￿￿ the chanty made redundancies. The total amount of the severance payTrentS ￿a$ £13.939. The average number of PeT￿nS wnployed by the wmpany during the yearwas a5 fojlows." Group 2021 No. Group 2020 ND. Total Staff 18 26 No employee re¢ei¥e(I remuneration amounb.ng to mofe than £60.000 in erther year. Remunerab"on and benefi15 received by 3 members of key management persffinel (inlGLKling employerfs NICI totaled £123.51012020.' £129.5961 11. Twst¢¢s' rnmun¢rntiibn and expenses During the year. no Trustees o¢ei¥ed any remuneralion or other benefrts (2020- £NIL). During the year ended 31 Mar¢h 2021, no Trustee expenses have been incurred (2020- £NIL). Page 30 UNCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT LIMITED IA Company Limit•d by Guarant••l NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 12. Tangible fixed assets Group Freehold Fixturns and property rfftings Cofflputer equipment Totsl Cost or valuation At 1 April 2020 Additions Disposals Impainnent of assets 2.666.897 669.776 {73.5251 (4S3.7741 102.409 61,172 2,830,478 669.776 (162,492) (453,774) 138,1)041 150,9631 At 31 March 2021 2A09.374 64,405 10,209 2,883,988 Depreciation Al 1 April 2020 Charge for the year On disposals On revalued assets 199.190 S2.237 {73.525) (171.236) 100,645 786 61,080 92 360.915 S3.115 (162.492) (171.236) 138,1)04) 150,9631 At 31 March 2021 6.666 63.427 10,209 80.302 Net book value At 31 March 2021 2.802.708 978 2,803,686 At 31 March 2020 2.467, 707 1. 764 92 2,469,563 Page 31 LINCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT LIMITED {A Colnpany Limited by Guarnnteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 12. Tangibk fixed ass•ts Icontinu•dl Company Frnèhold F6xturÈs and property ffttings Computer •quipm¢nt Total Cost or valuatii¥n At 1 April 2020 AddIts￿S Disposa15 Impairment of asset$ 2.666.897 669.776 {73,5251 (453.7741 92.138 60.709 2.819,744 669,776 1151.7581 14S3.774) 127.7331 Iso,sooi At 31 March 2021 2.809.374 64.405 10,209 2.803.988 Depreciation At 1 April 2020 Charge Ihe year On disp95als On revalued wJset5 199.190 52.237 173.525) 1171,236) 90.374 786 {27.733) fj0.617 92 350.181 53,115 {151.758) (171.236) 150,500) At 31 March 2021 6,666 63.427 10.209 8LI.302 Net book ¥•1 At 31 March 2021 2.8Q2.708 978 2.803.686 Al 31 March 2020 2.467.707 1. T64 92 2,469,563 Page 32 UNCOLNSHIRE EMPLOYMENT ACCOIAMODATION PROJECT UPIITED (A Company Limited by Guarant••l NOTES TO THE FINANCIAL STATEIAENTS FOR THE YEAR ENDED 31 MARCH 2021 12. Tangible flxed assets l¢ontinwd) The MaI￿lty ￿ land and tY￿.1dlngs were ￿Value*j at 31 March 2021 by Banks Long & Cts on an open market existing use basis. Lambert Smrth & Hampson and SavilL8 performed a seperate valuatson for property at Homer House as at 31 March 2021. This has resulted in some downward valuations. Included wthin prm add￿￿S are costs inrAwred to fully ocognise assets in the course of censtruction namely the development of Adam Heath House at the fomer Garage Site. Gaunt street, Lincoln which totals £503,983. Adam Heath House total costs of £882,006 have been fvlly caprtalised. Oepreciation of £6,666 has been charged on the property since being fvlty ¢aprtali$ed. The Group has adopted a poly of revaluab.on fvr ￿911)le fixed a55ets. Had these assets been rnea5ured al hi$ttyÉ¢ ¢ost. the urrying value$ have been as follo￿.. Group 2021 Group 2020 Cost Accumul¥ted Dep￿lat￿n 3.431.318 1474,951) 2.840,424 (406.324J 2,956,367 2,434. 100 Page 33 LINCOLNSHIRE EMPLOYMENT ACCOMPIJODATION PROJECT UMITED {A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 13. Investment woperty ¢knup Long terni leasehold investment propèrty val￿tIon At 1 April 2020 941,380 At 31 M¥¢h 2021 941.380 Company Long term leasèhold investment propèrty Valuation At l April 2020 941.380 At 31 March 2021 941,380 The 2020 valuatsons wtre made by Ihe directors. on an open market value for exisbng use basis. The majority of land and buildings vRre revalueil at 31 March 2021 by Banks Lcw)g & Co on an open market existing use basis. Lambert Smth & Hampson and Savills performed a seperate valuation for property at Homer House as at 31 March 2021. This has resulted in some downvRrd valuations. 14. Oebtors Gr04 2021 Gn)up 2020 Company 2021 Company 2020 Due within one year Trade debtors Amounts owed ty group un¢Jertaking$ Prepayments and ac¢Ned income 58.752 105.837 58.752 90.379 3.200 7,417 10.082 10.082 68.834 115.420 68,834 100,996 Page 34 UNCOLNSHIRE EMPLOYMENT ACCOMIAODATION PROJECT LIMITED IA Company Limiled by Guar4nteel NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31 MARCH 2021 15. Creditors: Amounts falling du• withln one year Group 2021 Group 2020 Company 2021 Company 2020 Bank loans Trade creditors Other tsxabon and $o¢i* se¢urty Other creditors Ac¢wal$ and fjeferred in¢cMxe •7,374 18.146 87,374 34.854 1.412 7, 752 395,555 87,374 18,146 87,374 28. 181 7,219 100,603 7.219 100.603 7,752 390,263 213.342 526,947 213,342 513, 570 Group 2021 Group 2020 Company 2021 Company 2020 Oelerred income al 1 April 2020 Resources deferred during the year Amounts rdeased from p￿viouS penods 68.460 37.793 (68.4601 56.226 68,460 f56.226) 68.460 37.793 168.460) 56,226 68,460 (56.226) 37.793 68.460 37.793 68.460 Page 35 UNCOLNSHIRE EMPLOYMENT ACCOMMOOATION PROJECT LIMITED IA Company Limit•d by Guarantee) MOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 IIARCH 2021 16. Creditors: Am¢Junts falling due after more than one ￿ar Group 2021 Group 2020 Company 2021 Company 2020 Bank loans 2.505,502 1.604, 189 1505.582 1.6(￿. 189 The aggregate amount of Irabilities payable or repayable TAhclly or in part more than five years after the repO￿ng dafr is.. Group 2021 Group 2020 Company 2021 Company 2020 Payable or repayable by instalments 1.104.683 1. 197.698 1.104.683 1. 197,698 1,104,683 1, 197,698 1.104.683 1. 197,698 The initsal bank loan is payable by quartth inst4ments at a rate of 3 monlh5 L180R. The bank loan is secured ￿ Ihe ch￿ty$ freehdd and investrnent property. Specifically." -36 Newar* Road and its asso¢Fated assets -32 Manby Street, Lincdn and its associated assets -Homer House. Mon50n Street. Lin¢oln and its asSO￿ated assets -5 Craven Street. Lincoln and its associaled assets -11 Francis Street. Lincoln and its 35socialed assets 40 Grafton St￿et, Lincoln and its associated assets 42 Horton Slreel. Lin¢oln and tts associated assets. A loan vrds drawn during Marth 2020 is payable by quarterty instalments at 1.77% over base rate. The bank loan is secured on the Develorffienl at the former Garage Site. Gaunt Street, Lincoln. A subsequent loan of £500,000 *AS dra￿￿ dO￿Tr i*JriTrJ March 2021. vthich is payable by monthly in$tallments over the next 5 years. Ihe first in5talknent due M A￿.12022. Page 36 UNCOLNSHIRE EIAPLOYMENT ACCOIIIMODATION PROJECT UMITED {A Company Limitsd by Guarnntsel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 17. Statsmenl of funds Stltemonl of fund$- ¢urr•nt 8alan¢e at 31 Maw¢h 2021 Balance at 1 April 2020 Transfers inlout Gainsl (Losses) Income Expenditure Unrestricted lund$ Free Reserves HATS Free reserves 917.036 931.259 1778.145) B22.514 1,899,664 113.S76 242.903 1177.157) 117¥,6221 Property Re¥erve Loan 2.467.707 11.691.563) 152,2371 669.n5 1901,393) (282.5371 2.802.708 12,592,956) Fixed Asset Reserve 1.866 1878) 988 1,808.622 1.181.162 11.009,11n 412.274 {282,5371 2.110.404 Restricted funds Uoyds foundation Homes England SIB Loan Screwfix Found*ion WLDC Arhvork 21.109 360.OOD 1S0.000 121,11191 1360.000) 152.124) 97.876 4.800 4.000 14.650) (1501 4.000 539.909 125.759) 1412,2741 101.876 Total of funds 1.808.622 1,721.071 11,034,876) (282,5371 2.212.280 Page 37 LINCOLNSHIRE EMPLOYIIIENT ACCOMMODATION PROJECT LIMITEO (A C*)mpany Limited by Guarnntee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 17. Ststem•nt of funds {continued Free Reserves.. The 9eneral funds represent the free lunds of the Charity vthich a￿ nol designated for parts"cular purposes. HATS f￿ reserves ￿Te tr￿Sferred to LEAP on the transfer of operations. Property Reserve". Thts reserve $eperates the value of the properkn"e5 held by LEAP from Ihe other funds of the organ1satK￿. Transfers represent restricted funds used to purchase properhes. Loan Resefve.. This reserve 5eperates the value of the loan held by LEAP from the other funds of the organisation. Other Fixe*J Asset Re5er¥e". This feser¥e seperates the vakje of the fixed assets, other than propetty, vknich canl be cl￿dered to be part of the free reseryes of the charty. Property Development Fund The Tru5tee5 have desunated the sum of £150,000 to be set aside for the future purchase and refvrtjishment ol properties kn use by the Charity in the furtheran¢e of its objectsves. The Fund wa3 ublised for the purchase of the Gaunt sireet property (Adam Heath House). Lloyds Foundabon". The grant received frtyn Lloyds Foundats"on lund$ the salary of the Training and ActNits'es Coordinator, induding recruitment costs. equipment and pr￿0b'Onal costs. Homes Eng4and'. This fijnd represen15 amounts receNed from Homes England to be spent on the completion of constru¢t"ron of Adam Heath House. The full amount of £360.000 has been spent on the constnJcb"on of Adam Heath House and has been transferred to the Propety Reserve. The grant must be recyded by the charity under certain condib'ons. rf a property is sold. or if another relevant event tskes place. In these cases. the grant can be used for projects approved by Homes England. However, fund5 may have to be repaid rf certain conditK>ns we not met SIB Grant.. Restricted funding ￿Ceived in respecl of the purchase and maintenance of housing Wthin imwverished areas of Gansborough. £52.134 of this fvnd ha5 been spent on the acqui5its.on of 140 Trinty Street and has been transferred to the Property Reserve. Screwfix Foundation.. The grant rer2ieved from Screwffix foundation was strictly to fund the installation of LED lighting around Hcther House. WLDC Arttvoik." This fvnd rep￿SentS amounts received Stop Loan Shark to be spent on the paints.ng of 10 telecom boxes a5 part of the Mia ￿(￿r0e.. Communrty Art Proiecl in Gainsborough. Page 38 LINCOLNSHIRE EMPLOYMENT ACCOMIAODATION PROJECT UMITED IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 17. Statement of funds (continued) Stat•m•nt of funds - prior year Balance at 31 March 2020 Balance al 1 Apnl 2019 Translers In/￿1 Incwe Expendrfu Unr•$tri¢t•d funds D￿ignated funds Property Developmert Fund 150.OCLI (1￿,000) Genoral funds Free Reserves 7, 110.883 62.173 2.04&284 (I. T20,458) 855.970 334,050 f705,262J f282,647J (43,237J (344,555) 917,036 113,576 465,660 2.467, 707 28,895 f1,691.563J 1,866 HATS Free reserves Propety Reseple Loan Fixed Asset Reserve (1.642) I.￿7.390 1, 190,020 (1,032.788) I￿,000 1.808,622 Total Unrestrictsd fvnds 1.651.390 (1,032.788) 1.808,622 R•strictèd funds Lloyds foundab.on Tesco Grant 20,475 1. 788 (20.475) (1. 788J 22.263 (22.263) Tot¥1 of funds 1.651.390 22.263 (1.055.051) 1.808,622 Page 39 UNCOLNSHIRE EMPLOYIAENT ACCOMMODATION PROJECT UMITED IA C¢4npany Limit•d by Guarnnteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 11. Summary of fund$ Summary of l￿d$ - cuftont year Bal¥n¢e at 31 Mar¢h 2021 Balanct at 1 April 2020 Transfers inlout Gainsl {LLwsI Incom• Expendi¢ure General funds Restricted funds 1,80J.622 1.111.162 (1.009.117) 412.274 {282,537J 2,110.404 539.909 {25.759) {412.274) 101.876 1.808.622 1.721.071 11,034.8761 1282,53n 2.212,280 Summary of fvnds- pri¢x year 8818nGe at 31 March 2020 Balance al 1 Awl. 2019 Transfers Income Expendfture Designated funds General funds Restricted fvnds 150.L 1.501,390 (150.OOOJ 15Q.000 1. 190.020 (1.032.788) 22.263 (22.263) 1,808,622 1.651,390 1,212.283 (1,055,051J 1.8Q8,622 Analysis of net assets between funds Analysis of net assets between funds- curvent year Unrestricted Restricted fund$ funds 2021 2021 Total fvnds 2021 Tangible fixed asset$ Investment property Current assets Creditors due wthin one year Creditors due in more ttian one year 2.803.686 941,380 1.084,262 (213.342) (2.505.582) 2.803,686 941.380 1.186.138 1213.342) (2.505.582) 101,876 Total 2.110,404 101,876 2,212,2llO Page 40 UNCOLNSHIRE EMPLOYMENT ACCOMMODATION PROJECT LIIAITED IA Cofftp•ny Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 IIARCH 2021 19. Anatysis of net awts b•tw•en funds (cortinu¢d) Analysis of net assets betw¢¢n fund$- prior year UnrestffiGted funds 2020 Tolal fun(ts 2020 Tangible fixed assets Investrnent property Curreftt assets CreditOTS due ￿thIn Me year Creditors due in more than one year 2,469.563 2,469.563 941,380 941.380 528,815 528,815 (526.947) (526.947J (1.604, 189J {1,604. 189J Total 1.808.622 1.808,622 R•concillation of net fflovement in funds to n•t cash ftowfrom opernting activities Group 2021 Group 2020 Net income for the year {as per Statement of Financial Activiti'es) 686,195 157,232 Adjustments for: Depreciation charges Dividends, interests and rents from inveslments Decreasel(increa5el in debtors Increaselldecreasel ￿ ￿ditOrS 53.115 (134.099) 46.586 1313.605) 46,259 {137,424J 158,506J 284, 769 Not cash provlded by opordting activiti•s 338.192 292,330 21. Anatysis of cash and cash equivalents Group 2021 Group 2020 Cash in hand 1,117,304 413,395 Totsl ¢ash ¢￿h equlvalents 1.117.304 413,395 Page 41 LINCOLNSHIRE EMPLOYMEIIT ACCOMMODATION PROJECT LIMITED (A Company Limit•d by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 21. Analysis of changes in net debt At 1 April 2020 Cash flo At 31 March 2021 Cash at bank and in harKI Debt wlhin 1 year Debt due after 1 year 413.J95 1•7.3741 (1.604.189) 703,909 1.117.304 187.3741 1901.393) {2.5O5.$821 {1,278.1681 (197,4841 11,475,652) 23. Pgn$ion commitmènts The Charty tyerates a defined contn"bui￿ft pension scheme. The assets of the scheme are held separatety from those of the group in an independenty administered lurbd. The pension cost charge represents ¢ontributions payable by the group to the fund and amLwnted to £12.49412020 - £12,637). Operating lease comrnilments At 31 March 2021 the Group and the company had commitments to make fvture mirNmum lease payments under nonacancellable operatin9 leases as follows.. Grow) 2021 Gmup Company 2020 2021 Company 2020 Not later than 1 year Later than 1 year and not later than 5 years 1.836 1.836 5,508 25. Related party transactions Lisa Whrtelam. the comparw secretary for LEAP and HATS, is a director solicitor at Burton & Dyson Solicitors. During the year the companie5 engaged Burton & Dyson for legal services for total cost of £3.21612020.' £3.0131. These tr￿sact￿S t￿e conducted on an arms length basis. There have been no other related paty transacti￿$ as requred to be dis¢losed under SORP 2015 during the year ent1ed 31 Marth 2021. Poge 42 LIKCOLNSHIRE EPAPLOYMENT ACCOMIIJODATION PROJECT UMITED (A Company Limited by Gu•ranteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 PAARCH 2021 Principal subsidiaries Name.. Company number". Charity Registration number: Ba515 of control." Principal Actiwty.. Housing and Tenancy Support Limrted 1169714 09644783 Operates through an independant Board of Trustees Reduung homdessness through affordable housing and support to vulnefable people. The chanty transferred operations to the parent charity on the 1 November 2021 and wll be dissolved in Jue ¢ourse. 100% Equity Shareholthng.. The financial result of the subsKliary for the year V*Ve" Gross Incorne.. £242.903 Expenditu￿. £177.857 (exduding expenditu￿ of £178.622 being the transfer of resources to the parent charty) Net Assel5". In addrtion. Lincolnshire Ern￿OYment has a further sub5Kliary. being "First Leap Lirnile￿, which has company number 05442273. Lincolnshire Employment Accomodation F¥oject Limited owns the only share in First Leap Limited. First Leap Limited has ahrnys been dormant since incorporation in 2005 and the net assets of the company amwnt to £1. Page 43