ReEiStered number: 02976727 Charity number: 1048236 AVALON GROUP (SOCIAL CARE) {A company limited by guarantee) TRUSTEES, REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 *AEHJKOA3* 1611W2025 COMPANIES HCXJSE #242 AVALON GROUP ISOCIAL CARE) IA company limited by guarantee) CONTENTS Page Reference and adrnlnlstratbvè details of the charity. Its Trustees and •dvlsers Trustees. report 2-13 Independent audltor's report on the financial statements 14-17 Statement of finanaal artivities Balance sheet 19 Statement of cash fiows Notes to the financial statements 21-39 AVALON GROUP (SOCIAL CARE) (A company limited by8uaranteel REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY. ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2Q25 Trustees Stephen Fox. Chair of the Board (resigned 15 August 2024}2,4.6.7 Keith Nurcombe. Chair of the Board lappointed 15 August 20241 Joseph Bradley1.4.8 Naomi Carey lappointed 28 November 202415 Susan Carr (resigned 22 April 202415 James Dunmore (appointed 28 Novernber 2024, resigned 10 June 2025) Susan Howard Iresi8ned l May 20241 Jonathan May (appointed 5 June 20251 Kirsty Needham6 Stephen Perry (appointed 15 Au8ust 202417 Michael Purvi513 Karen Tyrell Iresi8ned 27 February 2025114.8 Chair of Audit and Risk Committee 2 Member of Audit and Risk Committee 3 Chair of Business Development Committee Member of Business Development Committee Chair of People Committee 6 Member of People Committee 7 Chair of Remuneration Committee Member of Remuneratiorn Committee Company registered number 02976727 Charity registered number 1048236 Registered office 6 Grove Park Court Harrogate HG140P Independent audltor BHP LLP Chartered Accountants Rievaulx House I St Mary's Court. York Y024 IAH Sollcitofs Hempsons The Exchange Station Parade Harrogate HGI IDY Senior management team Emma Williams. Chief Executive Officer and Company Secretary Lisette Robinson. Director of Finance and Corporate Service5 Bev Wilson. Director of Operations (until 4 October 20241 Tom Pick. Directors of Operations (appointed 13 Febrijary 2n2.51 Kelly Winham. Service Development Director (appointed 7 May 20241 Pa8e I Trustees. Report for the Year ended 31 March 2025 l am pleased to present our Annual Report and Accounts for the year ended 31 March 2025 which provide a full summary of the charitrfs key achievements during 2024125 and some of the challenges we faced as an organisation during thi5 period. Transformational change continues at Avalon as we navigate the challenge5 Wlthin the sector and work towards operating sustainably in the medium to longer term. To support the successful implementation of the five year plan. created ènd launched during 2023124. which safeguards the future growth and sustainability of the charity, we welcomed four ne*4 trustees to the board during the financial year and the monihs followin8. Their appointment further stren8thens the financial. commercial and human resources strate8iC leadership of the organisation. The challenging econornic outlook and continued pressure on local Councils continues to direct A¥alon resource5 towards developing and sustaining care solutions that meet the greatest unmet need. This year. designated funds have been invested in 5trengthenin8 the operating infrastructure at Avalon. including resource to 8row and develop services and Icr projects to underpin digital transformation work over the medium terrn. As we reflect on the achievements of the past year, we extend a very sincere thank you to everyone at Avalon who h85 made these accomplishments possible. With a special appreciation expressed to our talented and committed colleagues who make a difference to so many lives every day. For more information on all topics please visit wr website. where you will find More stories. details of the support we can provide. and also how to contact your local A¥ah)n office. Chair of Trustees Page 2 Trustees. Report for the Year ended 31 March 2025 The Trustees present their annual rerort together with the audited financial statements of the Avalon Group (Social Carel (the company) for the yearended 31 March 2025. Reference and administrative information set out on pa8e I forms part of this report. The Trustees have adopted the provisions of the Statement of Recommended Practice ISORPI -Accounting and Reporting by Chaflties" in preparin8 the annual rewrt and financial statements of the charity. The financial statements have been prepared in accordance with the accounting policies set out in notes to the a¢counts and comply with the charit￿5 80vernin8 document, the thartlies Act 2011 and Accounting and Reporting by Charities- Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published in October 2019. This report also meets the requirements of the Strategic Report for Companies Act 2006 purposes. Strate icRe ort Avalon's Ob. rtives and ActiVTties Purpose$ and aims Avalon Group's vision 15 that the people we support will achieve their best life experience. We provide high quality social care services and solutions in the North of England, providing Community Support, Supported Living and Shared Lives services to disabled people of a working ale. older adults and young people in transition. Our mission is to promote inclusive. personali5ed support in our local communitie5. helping individuals and families improve their lives. This means tackling loneline55. promoting c￿lce. control and independent livin8. and empowerin8 people to live the lives they want to live. In order to make thi5 vision a reality. we a￿ committed to the following value5 which influence our strategic priorities and guide our day to day work: We are kind and respertful to everyone We are honest and trustworthy We are always learning and developing We are inclusive.. everyone has a voice We work in partnership with ourcommunities The charity reviews Its aims, objectives and activities each year to ensure it remains focused on its stated purposes. This rewrt looks at what the charity has achieved and the outcornes of it5 work within the previous twelve months. The Trustees report on the success of each key activity and the benefits they have brought to those groups of people the charitv was set up to support. The Trustees confirm that they have referred to the guidance contained in the Charity Comrni5sion's general guidance on public benefit when reviewin8 the charity'5 aims and objectives and when planning It5 future activities. Page 3 Trustees. Report for the Year ended 31 March 2025 8. Achievernents and erfornkance During the year ended 31 March 2025, the Avalon Group supported more than 320 people with learnin8 disabilities. autism. people living with dementia and/or mental health challenges. commissioned by 12 Local Authorities and NHS bodies across Yorkshire and the North East of England. services included Supported LTrving. Community Support and Shared Lives long term and short term breaks and Day Services. We supported people with a wide spectrum of needs. including mild to moderate learning disabilities, autism. mental health challen8es and people with profound and multiple learnTrng disabilities, sensory and physical disabilities and complex health needs. Key successes in the year include- Good CQC ratings- all localtty offices have continued to be rated "Good-. Investors in People- During the year we were awarded Investors in People accreditation for the first time in 10 years, refletting our on8oin8 commitment to create a workplace where everyone thrives and feels valued. Satlsfaction survey5- provides vital insight into our performance from the perspective of our key stakeholders. Examples of feedback are.. 99% of the people we support were satisfied with our overall support 99% ofthe people we support would recommend Avalon as a support provider 100% of the people we support fdt they hove choice in their everyday life 94% of the people we support feel like they are part of the community where they live 87% of our staff and 91% of Shared Lives carers feel motivated to give their best 73% of our staff 85% of Shared Lives carers a8ree that Avalon supports thern to be their best Service Development- durin8 the year we were also successful in joinin8 key framework5 in Redcar and Cleveland and East Riding enabling us to expand and grow our Supported knving services in these new areas. Set out below is a summary of the speofic attivities from the year 2024125 along with the objectives we Set for that year. the first year of our five year plan. Our plan was split into fwe pathways, which allow us to achieve our vision. The table below sets out the key plans associated with each pathway and performance during the year. Aim Outstondinq ¢￿prodUced support- we will respond to increasingly varied and complex needs. co- producin8 SUPPOrt that achieves the best possible outcome. Artivitie5 planned Community mapping and training in community networking within localities to share systemically existing best practice across local teams. Roadmap to outstanding created for each locality. 8oard composition= skills and succession review. Locality offices have local communitv networking information available to all staff and people supported. Locality Manager5 are actrve members of local Skills for Care Reeistered Manager networks and actively share local and re8ional knowledge across Avalon to generate new ideas and reinforce existing best practice. Internal quality inspections now take place bi-annually at each locality generatin8 an action plan that is monitored monthly. 8oard skills audit undertaken and four new trustees were recruited and onboarded in the year with strategic financial management. HR and commercial experience of the sertor. Page 4 Trustees. Report for the Year ended 31 March 2025 A qreat plo¢e to work- we will recognise and continuously develop our people as valued leaders of quality services. Relaunch the Employee Forum in format that improves engagement across all l(Kalities and roles. Begin work towards Investors in People accreditation as independent measure of employee enEa8ement, wellbeing and culture. Review of clinical governance infrastructure to erbsure fit for purpose as the organisation develops. The Employee Forum was relaunched in February 2025, chaired by the CEO with representatives from each locality and range of different job roles. The annual plan of agenda items focuses on well-being and support. leadership, workplace improvement and feedback and recognition and celebrations. Awarded Investors in People accreditation in December 2024 along with detailed attion plan for continual improvement being incorporated into the longer term People Plan. Initial independent review of clinical governance structure completed identifying area5 of best practice and development areas to focus on as the charity grows. A new MSP (Jungle IT) was on-boarded in May 2024 enablin8 projects to streamline the virtual desktop, Intune and improve Teams end-user experience during the year. Implementation of digital care records is ongoing across all services. ICB funding of £57,941 was secured to fund the initial resource required to fund the new care system for one year. Charms has been selected as the Shared Live5 digital system which will be implernented across all Shared Lives services dufin8 2025126. Digital Board management has been postponed pending the completion of other digital projects. This is scheduled for 2025126. Technologyfvr oll- we will invest in digital solutions for the benefit of everyone. Implementation of digital care records for all Community Support and Supporte The company was incorporated on 7 October 1994 with the name Adult Placement Services Ltd. tradin8 under the name TheAvalon Group. On 12 November 2020a 5pec*l resolution waspassedto change the legal entity name Avalon Group (Social Carel. The company was registered as a charity on 26 July 1995. In the event of the Company being wound up, each member is required to contribute an amount not exceeding £10. The company was established under a MerrK)randum of Association dated September 2002 which e5tabli5hed the objert5 and power5 of the charitable company and is 8overned under its Articles of A550Ciation. > On 12 Novefflber 2020 updated Articles of Association were adopted by Special Resolution. Responsibility of the Board and Committees The Trustees (who are also directors of Avalon for the purp)ses of company law) are responsibk for preparing the Tru5tees' Annual Report and the Financial Statements in accordance with applicable law and United Kin8dom Accounting Standards Iunited Kingdom Generally Accepted Accounting Practicel- Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources. including the income and expenditure. of the charitable cornpany for that period. In preparing these financial statements. the Trustees are fequired to- Select suitable accountin8 policies and then apply them consistently. Observe the methods and principles in the Charities SORP- Make judgements and estimates that are reasonable and prudent- Stète whether applicable UK Accounting Standèrd5 have been followed, subject to any material departures disc105ed and explained in the financial statements- and Prepare the financial statements on the going concern basis unless it IS inappropriate to presume that the charitable company will continue on that basis. The Trustees are responsible for keeping proper accounting records that disclose with rea50nableaccuracy at any time the financial posltion of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. Page 10 Trustees. Report for the Year ended 31 March 2025 They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularitie5. The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the chartty's website. Legislation in the United Kingdom 8overning the preparation and dissemination of finarKial Statements may differ from legislation in other jurisdictions. Key Management Pay and Remuneratlon Pay for senior managefs is determined by reference to market salary rates. taking into account individual'5 experience and Skills. Pay scale5 are set for all posts within Avalon. including those of senior managers. The Rernuneration Committee a8rees the pay for all Directors and also any major changes to pay scales for other staff. Employee Engagement During November 2024, all employees were invited to complete the Investors In People staff survey and a sample of staff covering all roles and localities was selected independently by Investors In People to individual focus sessions. Thi5 feeAudit and Risk Committee- provide5 o¥ersight. review and advisory role to the Board on all financial affairs of Avalon. > 8usineM Oevelopment ond Fundroising Committee- provides oversight. review and an advisory role to the Board on the Business Development Strate8y and it5 irnplementation. > Remuneration Comm•ttee- provides oversight. review and an advisory role to the 8oard on the remuneration of the CEO and staff within Avalon. > People & Operation5 Committee- provides oversight. review and an advisory role to the Board on the People Strategy and Operations and their progress against plan. Recrultment and Appointment to the Board Under the requirements of the Memorandum and Articles of Association. the Trustee5 are elected to serve for 3 years and retire by rotation. Retirin8 Trustees. if willin8 to continue to serve. may be re-elected by mernbers. resolution. Since April 2024 we welcomed 4 new Tnjstees whose experience and expertise. along with their passion for adult social care. added additional strength to our Board. Trustee Training and Induction The Board of Trustees regularly reviews the skills and expertise of the 8roup. Thi5 is led by the Chair in consultation with the Chief ExecutTve Officer. The recruitment process for Trustees airn5 to fill the identified voids and the key ski115 necessary to support the organisètion's strate8ic needs. Page 12 Trustees, Report for the Year ended 31 March 2025 The number of Trustees is subject to a minimum of 3 members with no maximum. Each prospective trustee is interviewed initially by the Chief Executive Officer. a Customer and the Chair of the Board. If successful. they undergo a full induction programme including meeting with Avalon staff. as well as being provided with ongoing training and an informatton pack. Voluntary sUPPOrt The Trustees involvement with Avalon is in a purely voluntary capacity- The Trustees provide a range of skills, including but not limited to. legal Matters. new and existin8 business growth strategies. good governance and risk strategies. No trustee ha5 received any rernuneration or any other benefits in the current or previous year for these acttvitie5. Ouring the yearto 31 March 2025 we paid Trustees expenses of £nil (2024.. £nill, which wa5 to cover travel and milea8e char8es. Auditor The auditor. BHP. Chartered Accountants. have indicated their willin8ness to continue in office. The Designated Trustees will propose a motion rtrappointing the auditors at a fneeting of the Trustees in 4 December 2025. This report including the strate8ic report was approved by the Trustees on 4 Decernber 2025 and signed on their behalf by.. LLctth N)UYcon& ¥itk A .. HP7PF urcom OON8. Chair of the Board of Trustees Page 13 AVALON GROUP ISOCIAL CARE) (A company limited by 8uarantee) INDEPENDENT AUDITOR'S REPORTTO THE MEMBERS OF AVALON GROUP (SOCIAL CARE) We have audited the financial statements of Avalon Group (Social Carel (the 'charitable companrfl for the year ended 31 March 2025. whtch comprise the statement of financial activities. the balance sheet. the statement of cash flows and notes to the financial statements, including significant accounting policies. The finèncial reporting framework that ha5 been applied in their preparation 15 applicable law and United Kin8dom Accounting Standards. including Financial Rep)rting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements: 8ive a true and fair view of the state of the charitable compan￿$ affairs as at 31 March 2025. and of its incoming resources and application of resources, includin8 tts income and expenditure. for the year then ended; have been properly prepared in accordance with United Kin8dom Generally Accepted Accounting Practice.. and have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing IUK) {ISAs IUKII and applicable law. Our responsibilitie5 under those standards are further described in the auditor responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK. including the FRCs Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Condusions relating to going concern In auditing the financial statements, we have concluded that the trustee5' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed. we have not identified any material uncertainties relating to events Of conditions that. individually Of collectively. may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial 5tatement5 are authorised for issue. Our responsibilities and the resp)nsibilities of the trustees With respett to going concern are described in the relevant section5 of this report. Other infornlatlon The other information compri5e5 the information included in the tnJstees' report. other than the financial statements and our auditorfs report thereon. The trustees are responsible for the other information. Our opinion on the financial Statements does not cover the other infOrMat￿n and. except to the extent otherwise explicitly stated in our report, we do not express any form of assurance cortclusion thereon. Our responsibility is to read the other information and. in doin8 SO. consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course ol the audit or otherwise 3ppear5 to be materially mi55tated. If we i(Jentify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements them5elve5. rf. based on the work we have performed. we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this re8ard. Page 14 AVALON GROUP (SOCIAL CARE) {Acompany limited byguarantee) INDEPENDENT AUDITOR'5 REPORTTO THE MEMBERS OF AVALON GROUP (SOCIAL CARE) (CONTINUED) Opinions on other matters prescribed by the Companies 2￿6 In our opinion. based on the work undertaken in the course of the audit: the information given in the tru5tee5' report, which includes the strategic report and the directors, report prepared for the purposes of company law. for the financial year for which the financial 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 a￿ fequlred to report by exception In the li£ht of the knowledge and understandin8 of the charitable company and its environment obtained in the course of the audit. we have not identified material misstatements in the strategic report and the direttors. report included within the trustees. report. We have nothing to report in respect of the followin8 Matters in relation to which the Companies Act 2006 requires us to report to you if. in our opinion= adequate accounting records have not been kept. or returns adequate for our audit have not been received from branches not V15ited by u5,. or the financial statements are not in agreement with the accounting records and returns- or certain disclosures of trustees, rernuneration specified by law are not made.. or we have not received all the information and explanation5 we require for our audit. Responsibilitie5 of trustees As exploined more fully in the trustees. responsibilities statement, the trustees {who are also the directors of the charitable company for the purposes of company lawl are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. and for such internal control as the trustees determine is necessary to enable the preparation of financial 5taternent5 that are free from material misstatement. whether due to fraud or error. In preparing the financial statements. the trustees are reswnsible for assessing the charitable company's ability to continue as a going concern, disclosin& as applicable. matter5 related to going concern and using the EoinE concern ba515 of accounting unless the trustees either intend to liquidate the charitable company or to cease operations. or have no realistic alternative but to do so. Auditor responsibilities for the audit of the finaTrcial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstotement. whether due to fraud or error. and to Issue an auditorfs report that includes our opinion. Reasonable a55urance is a hi8h level of assurance, but is not a guarantee that an audit conducted in accordance with ISA5 IUKI will always detect a materi31 misstatement when it exists. Misstatements can arise from fraud or error and are considered material rf, individually or in the aggregate, they could reèsonably be expected to influence the economic decision5 of users taken on the basis of these financial statements. Pa8e 15 AVALON GROUP (SOCIAL CARE) IA company limited by gyarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEM8ERS OF AVALON GROUP {SOCIAL CARE) ICONTINUEDI Irregularities, including fraud, are instance5 of non-cornpliance with law5 and regulations. We design procedures in line with our responsibilities. outlined above, to detect material misstatements in respect of irregularities. including fraud. The extent to which our procedures.are capable of detectin8 i￿gularItIes, including fraud is detailed below.. the en8a8ement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compltance with applicable laws and regulations: we identified the law5 and regulations applicable to the charitable company through di5CU55ion5 Wlth management and trustees. and from our knowledge and experience of this sector.. we focused on specific laws and regulations which we considered may have a dirett material effect on the financial Statement5 or the operations of the charitable company. including the Companies Art 2006. Charities Act 2011. CQC re8ulations. safeguardin8, health and safety. data protection and employment law- we assessed the extent of compliance with the laws and regulations identified above through rnaking enquiries of management and dirertors.. identified laws and regulations were communicated within the audit team regularly and the team remained alert to instance5 of nonvÈmefit in fvnds 1273,449) 110,1631 {283,612) 44,118 Reconciliation of funds: Total funds brov8ht forward Net movement in funds 1.947.344 {273,449) 47.OZ3 110,163) 1,994,367 1283.612 1.950,249 44,118 Total funds carried foN•ard 16 1,673.895 36,860 1.710.755 1.994.367 The Statement of financial activities complies with the requirement5 for an income and expenditure account under Companies Act 2006 and include5 all gains and 105ses recognised in the year. All income and expenditure derive from continuin8 acti¥itie5. Page 18 AVALON GROUP (SOCIAL CARE) (Acompany Ilmlted byguaranteel REGISTERED NUMBER: 02976727 BALANCE SHEET AS A T31 MARCH 2025 2025 2024 Note Flxed assets Intangible assets Tangible 3ssetS 12 S35 13 583,297 595,832 583.297 596.367 Current assets Debtors 14 1.880.690 2.098,042 Cash at bank and in hand 20 1.383.474 1,299,817 3.264,164 3,397,859 Current liabilities Creditors.. amounts falling due within one year 15 (2.136.706) 11.999,8591 Net current a55ets 1.127A58 1.398.000 Total net assets 1,710.755 1,994,367 Charityfunds Restritted funds 16 36.860 1,673,895 47,023 1,947,344 Unrestricted funds 16 Total fvnds 1.710.755 1,994,367 The Trustees acknowled8e their responsibilities for comptying with the requirements of the Act with respert to accounting records and preparation of financial statements. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by: Signer ID.. HP7PFDOON8... Keith Nurcombe (Chair o* Trustees) Date: 4 December 2025 The notes on pages 21 to 39 form part of these financial statements. Page 19 AVALON GROUP (SOCIAL CARE) IA cornpany limited by zuarantee) STATEMENTOF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 2025 2024 Cash Ilows from operatinz activltles Net cash provided byllused in) operating activities 19 63.091 1138,9001 Cash flows from Investing activities Bank interest 33.032 {12.466) 40.652 12,6491 Purchase of tangible fixed assets Net cash provided by investlng artivities 20.566 38,CK13 Change in cash and cash equivalents In the year 83,657 1100.8971 Cash and cash equivalents at the beginning of the year 1.299.817 1.400,714 Cash and cash eqyivalents at the end of the year 20 1,383,474 1,299.817 Page 20 AVALON GROUP (SOCIAL CARE) {A company Ilmited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 General Information The A¥alon Group is a company limited by guarantee. The members of the company are the Trustees named on page l. In the event of the charity being wound up. the liability in respect of the euarantee is limited to £1 per member of the charity. Accounting pollcles 2.1 80sls of preporotlon offinoncialstotements The financial statements have been prepared in accordance with the Charities SORP {FRS 1021- Accountin8 and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021 (issued in October 20191. the Financial Rep)rting Standard applicable in the UK and Republic of Ireland IFRS 102) and the Companies Act 2006. Avalon Group (Social Corel meets the definition of a public benefit entity under FRS 102. A55ets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy. The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £. Z2 Going concern The Trustees have considered their forecasts of income and expenditure for the period to 31 March 2027 and subjected these forecasts to sensitivity analysis which Shows that they have sufficient reserve5 to be able to continue for the foreseeable future. The Trustees therefore continue to adopt the going concern basis of preparation for these financial statements. 2.3 Income All income is recognised once the charity ha5 entitlement to the income. it is probable that the income will be received and the amount of income receivable can be measured reliably. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant 15 recognised at the time of the donation. Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable. Other income is recognised in the period in which it is receivable and to the extent the goods have been provided Of on completion of the Se￿iCe. Pa8e21 AVALON GROUP ISOCIAL CARE) IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting polioes Icontinued) 2.4 Expenditu Expenditure is recognised once there is a le8al or construttive obligation to transfer economic beneftt to a third party. it 15 probable that a transfer of economic benefits will be required in settlement and the arnount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of dire(t costs and shared costs, including support costs involved in undertaking each activity. Oirect cost5 attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one artivity and support COSt5 which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent. and depreciation char8es allocated on the portion of the asset's use. Govemance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory reouirements. Expenditure on charitable attivitie5 is incurred on directly undertaking the activities which further the charity's objectives. as well as any associated support costs. All expenditure is inclusNe of irrecoverable VAT. 2.5 Interest receivable Interest on fund5 held on deposit is included when receivable and the amount can be measured reliably by the charity. this is normally upon notification of the interest paid or payable by the institution with whom the fund5 are deposited. 2.6 Intangible 0$5ets and omothsotion Intangible assets are capitalised and recognised when future econornic benefits are probable and the cost or value of the asset can be measured reliably. Intangible assets are Initial￿ recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. Amortisation is provided on intangible assets at rates calculated to write off the cost of each asset on straight-line basis over its expected useful life. Amortisation is proNryded on the following basis: Software licen5es 33 % on cost Pa8e 22 AVALON GROUP ISOCIAL CARE) {A company limited by guaranteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies {continued) 2.7 Tangiblellxed osset5 anddeprea"otion Tangible fixed assets are CaPNtalised when the cost is £l.(X)O or more and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably. Tangible fixed assets are initially recognised at Cost. After recognition. under the cost model, tangible fixed a55ets are measured at cost less accumulated depreciation and any accumulated impairment1055es. All costs incurred to bring a tangible fixed asset into its intended working_condition should be included in the measurement of cost. Depreciation is charged so as to allocate ihe cost of tangible fixed assets less their residual value over their estimated useful lives. Depreciation is provided on the following bases= Freehold property Leasehold improvernents Motor vehicles Fixture5 and fittin8S Office equipment 2% straight line over lease term 20% straight line 20% reducing balance 25% straight line "Freehold land is not depreciated. 2.8 Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayment5 are valued at the amount prepaid net of any trade discounts due. 2.9 Cosh ot bank ondln hond Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 2.10 liobilities ond pmvisions Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilitie5 are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where thef effect of the time value of money is Material. the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost. Page 23 t*KUrn￿ ID.. rtl•*kldE7667f•56db31bl¢7¢*f68246￿¢l0le1Oo9O•1I111rt￿1 AVALON GROUP (SOCIAL CARE) IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 3025 Accounting policies Icontlnued} 2.11 Financial instruments The charity only has financial assets and financial liabilities of a kind that qualify as basic financlal instruments. Basic financial instruments are initially recognised at transartion value and subsequentlv rneasured at their settlement value with the exception of bank loan5 which are subsequently measured at amortised cost Using the effertive interest method. 2.12 Operating leose5 Rentals paid under operating leases are charged to the Statement of financial activities on a straight line basis over the lease term. Benefits received and recebvable as an incentive to sign an operating lease are recognised on è straight line basis over the lease term. unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset. 2.13 Pensions The charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the charity to the fund in ￿SpeCt of the year. 2.14 Employee benefits The cost of short-term employee benefits are recognised as a liatmlity and an expense. The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received. 2.15 Fundoccounting General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objertives of the charity and which have not been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of eath designated fund is set out in the notes to the financial statements. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donor5 or which have been raised by the charity for particular purposes. The ¢ost5 of raisin8 and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. Investment income, gains and10sses are allocated to the appropriate fund. Page24 AVALON GROUP (SOCIAL CARE) IA company limited by guarantee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Crftlcal accounting estimates and areas of jud8ment Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Critical accountin8 estimates and assumptions- The charity makes estimates and assumptions concerning the future. The resultin8 accounting estimates and assumptions will, by definition. seldom equal the related actual results. There are no estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year. Debtor related provisions= Mana8ement judzement Is required in considering the recoverability of debtors. Provision5 have been made relating to specific debtor balances where these balances are 518nificantly aged. These are based on management judgement from historic experience and ongoing discussions with comrnissioners. Income from donatlons and le8acies Ufftrestrlcted funds 2025 Restrirted fvnds 20Z5 Total funds 2025 Total funds 2024 Donations 1.463 1,463 62.402 23.079 34.181 Grant income 41.830 20.572 43,293 20,572 63,865 57.260 Total 2024 23.079 34,181 57,260 Page 25 AVALON GROUP (SOCIAL CARE) (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Income from charitable artivities Unrestricted funds 2025 Total fund5 2025 Total fund5 2024 Supported Living Shared Lives 8.805.401 2.016.398 7ZI,515 17.262 8,805,401 2.016,398 721,515 17,262 7,965.017 4,153.368 120,172 19,800 Short Breaks Other income 11,560,576 11,560,576 12,258,357 Total 2024 12.258,357 12,258.3S7 Investment infome Unrestricted funds 2025 Total funds 2025 Total funds 2024 Bank interest 40.652 Total 2024 40,652 40,652 Page 26 AVALON GROUP ISOCIAL CARE) (A company limlted by iuarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Other income Unrestiirted fvnd5 2025 Total funds 2025 Total funds 2024 Profit on disposal of fixed assets s,000 Total 2024 5,0(X) 5,000 Charitable artivities Totsl fvnds 2025 Total funds 2024 Supported li¥es 2025 Shared Iltrts Short breaks Go¥ern•n 2025 2025 2025 Staff and providers Housing Prernises 7,572,540 56.216 2,000,995 664,239 10,237,774 10.788,114 56.216 70,851 196,222 165,656 284,759 44,573 298.795 Office and consumable5 76.619 361,378 273.646 Compliance Other Costs 16.722 4,499 3,090 198,902 21.221 23.191 9,385 11,485 739,231 14,575 Group allocated (support) Governance costs 938,133 938.133 20.401 20.401 17.609 8,846,609 2,328.678 752.805 20,401 11,948,493 12.317,151 Total 2024 7.688.218 4.557.528 53.796 17.609 12.317.151 Expenditure on charitable activities includes restricted expenditure of £30,735 12024.. £2.5901 and designated expenditure of £156.82712024= £nil). Pa8e 27 AVALON GROUP (SOCIAL CARE) IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Group allocated costs breakdown 2025 2024 Staff and provider costs Premises 748,376 56,010 31.367 760,366 77.980 49.349 Office and consumables Other 102.380 50,438 938,133 938,133 Auditor's remuneration 2025 2024 Fees payable to the charity's auditor for the audit of the charty's annual accounts 15.730 14.980 Fees payable to the tharity's auditor in respect of: All non-audit services not included above IA30 1,390 io. Staff costs 2025 2024 Wages and salaries Social security Costs Other pension costs 7,778.755 653.719 7,013.857 560.367 204A79 158.178 8.636.953 7.732,402 During the year total redundancy costs amounted to £nil12024.' E9.665). Pa8e 28 AVALON GROUP ISOCIAL CARE) (A company Ilmited by guarantee) NOTES TO THE FINANCIAL STATEMENT5 FOR THE YEAR ENDED 31 MARCH 2025 io. Staff costs (contlnuedl The average number of persons employed by the charity during the year was as follows- 2025 No. 2024 No. Support workers Charitable activities 278 265 45 Management and administation of the charity 24 26 342 336 The average headcount expressed as full-time equivalents was.. 2025 No. 2024 No. Support workers Charitable activities 151 29 31 Management and administration of the charity 30 225 212 The number of employees whose employee benefrts (excluding employer pension costs) exceeded £60,000 was: 2025 No. 2024 No. In the band £60,001- E70.(KK) In the band £90.001- £100.000 The value of pension contributions to staff within the above bands is £9.51112024: £13,095). The total amount of employee benefits (including employer pension contributions and national insurance) received by key management personnel is £338.121 12024= £274,060). Key managernent personnel comprise the senior Management team as detailed on page l. ii. Trustees, remuneration and expense5 During the year. no Trustee5 received any remuneration or other benefit$12024- £NILI. Durin8 the year ended 31 March 2025. no Trustee expenses have been incurred {2024- £NILI. Page29 AVALON GROUP150CIAL CARÉ) IA company limited by8uarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Intan8ible assets Software Ilcense$ C05t At l April 2024 49.100 At 31 March 2025 49.100 Arnortlsotlon At l April 2024 Charge for the year 48,565 535 At 31 March 2025 49,100 Alet book value At 31 March 2025 At 31 March 2024 535 Page 30 AVALON GROUP (SOCIAL CARE) (A cornpany limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 13. Tangible fixed assets Short-term Freehold leasehold property improvements Motor Flxtures and ¥ehldes fittings equipment Total Cost or voluotion At l April 2024 Additions 683A80 20,647 5,373 11,005 75,954 3,967 182341 3,126 973,827 12,466 At 31 March 2025 f&83￿80 26.020 11,005 79.921 185.467 986,293 Depreciation At l April 2024 Charge for the year 124.749 11.567 5,041 11,005 $6.663 3.655 174.011 5,632 377.995 25.001 10.673 At 31 March 2025 135.422 16.608 11,005 60,318 179.643 402,996 hlet I￿k volue At 31 March 2025 548.458 9.412 19.603 5.824 583.297 At 31 March 2024 559.131 9.080 19,291 8,330 595,832 Freehold land with a historic cost of £150.0￿l2024.. £150.000} is not depreciated. Page 31 AVALON GROUP (SOCIAL CARE) IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 14. Debtors 2015 2024 Due within one ￿Or Trade debtors 1.317,484 88,802 474N04 1,643,982 88,265 365.795 Other debtors Prepayments and accrued income 1.880.690 2.098.042 15. Credltofs: Amounts falllfft8 due within one year 2025 2024 Trade creditors 90,153 185,113 688,863 1.172.577 174.IS9 160,942 553.6S4 1,111.104 Other taxation and social security Other creditor5 Accruals and deferred income 2,136,706 1.999.859 Barclays Bank has a fixed. floating char8e and negative pledge in place over all the property and undertakings of thecompany. No amovnts are due to Barclays at year end. 2025 2024 Deferred income at l April 2024 Income deferred during the year Amounts released from previou5 periods 294,978 327,305 1294,9781 391.914 294.978 1391.914) 327,305 294.978 Deferred income relates to amounts received in advance of care service5 provided. Page 32 AVALON GROUP (SOCIAL CARE) IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 16. Statement of fvnds Statement of funds- current year Balance at I April 2014 Balance at 31 March 1025 Kome Expenditure Unrestrlctedfvnds Designotedfvnds Funds to strengthen the long term future of Avalon 203,398 32,907 1156.827) 46.571 Funding for beneficial significant IT projects 32,907 236,305 1156.827) 79.478 Genen71fvnds General funds 1.711.039 11,644309 {11.760.931) 1.594,417 Total Unrestn'