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2025-03-31-accounts

REGISTERED COMPANY NUMBER: 03164820 (England and Wales)

REGISTERED CHARITY NUMBER: 1053448

Report of the Trustees and Financial Statements for the Year Ended 31 March 2025

for Martha Trust Hereford Limited

Thorne Widgery Accountancy Ltd Chartered Accountants Statutory Auditors 2 Wyevale Business Park Kings Acre Hereford Herefordshire HR4 7BS

Martha Trust Hereford Limited

Contents of the Financial Statements for the Year Ended 31 March 2025

Page
Report of the Trustees 1 to 7
Report of the Independent Auditors 8 to 11
Statement of Financial Activities 12
Balance Sheet 13
Cash Flow Statement 14
Notes to the Cash Flow Statement 15
Notes to the Financial Statements 16 to 24
DetailedStatementofFinancialActivities 25 to 26

Martha Trust Hereford Limited

Report of the Trustees for the Year Ended 31 March 2025

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2025. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Objectives and aims

The Charity was established in 1996 to provide care for children and adults with complex and profound mental and physical disabilities. In 1997 Martha House, a custom-designed home, was opened providing nursing and one to-one care to residents. In 2012, the increased demand for the services offered at Martha House led to the decision to build a second home, Sophie House, in close proximity to the original home. The Charity aims to provide the highest possible quality of care enabling the residents to develop to their own full potential. The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Significant activities

Martha House

The latest CQC inspection was 4 May 2023 all lines of inspection were rated as good. The home has fourteen lifelong residents. The staff ensure that the residents have a busy but enjoyable time. The registered manager is responsible for the home residents and staff. The therapy team works very closely with the care team. Each resident has an_ individual activity programme specifically developed for their needs.

Sophie House

The latest CQC inspection was December 2018 with a paper review carried out on 6 July 2023 all lines of inspection were rated good. The home has fourteen lifelong residents. The activities available are similar to those provided at Martha House. Each home has a team of nurses and carers. The therapy team works across both sites.

Public benefit

Martha Trust Hereford Limited offers lifelong care which is funded by the fees paid by the Commissioning authority, a Council or Integrated Care Board or jointly funded package of care.

STRATEGIC REPORT

Achievements and performance The financial year ending 31 March 2025 proved to be a very busy time for the Charity. At March 2025 Martha House had 14 residents with no empty beds. Sophie House had 13 lifelong residents (due to death of 1 resident in Dec 24). Recruitment for nursing and care staff continues to be challenging due to the nationwide shortage. The Charity continues to offer a bursary scheme for staff expressing an interest in undertaking a nursing degree. In addition to the financial benefits of the project, the individual works for the Charity during their university course and gains experience in care to expand on their skills. The scheme guarantees the individual a position once they have obtained their degree. The Nursing Associate Training Programme has now completed for the Trust and has proved to be very successful and beneficial. By March 2025 all 7 Nursing Associate Trainees had completed their training and were employed but the Trust. Of these, 2 individuals were enrolled on Registered Nurse Training top up and a further 4 intend to begin this degree route in 2025/26. The Charity offers trainee Nurse Associates from other localities the opportunity to undertake their learning disability placements in one of our homes which could lead to the recruitment of qualified Nurse Associates in the future. The success of the charity in achieving its goals is largely measured and monitored against the many and varied requirements set out by the Care Quality Commission. The Trustees seek to ensure the charity provides high quality care within the learning disability care and services sector with the continual aim of achieving an ‘outstanding’ award for the work undertaken.

Page 1

Martha Trust Hereford Limited

Report of the Trustees for the Year Ended 31 March 2025

STRATEGIC REPORT - Financial review

Principal funding sources

Residents’ fees are the principal funding source and are fully expended in meeting the objectives. An intensive analysis of the residents’ current care needs and thus the staffing requirements to meet those needs, continues to be carried out to ensure that the fee levels are commensurate with the care plans.

Reserves policy

The results for the year show net outgoing resources of £70,186 (2024: £255,460). Net assets amounted to £8,820,972 (2024: £8,891,158).

Unrestricted funds are generated where there is no stipulation from the donor as to how the income may be spent.

The Trustees have identified the need to maintain some reserves for set purposes and have designated reserves as follows:

In 2022 the Trustees had set aside an operational reserve of £220,000. This was to cover any unplanned structural repairs or replacement of equipment or loss of income. In addition in 2022 £100,000 had been set aside as a Sophie House fund for upcoming maintenance and works planned.

In 2023 a further £1,000,000 has been designated within the year also for future repairs and upgrades at both Sophie and Martha House. None of these funds have been spent in the year.

A Fixed Asset reserve comprises of the funds invested in fixed assets to allow the Charity to carry out its work. At 31 March 2025 the level of this reserve was £3,225,719 (2024: £3,327,027) (the book value of fixed assets that are not funded from restricted funds). At 31 March 2025 the restricted funds amounted to £1,287,961 (2024: £1,287,961).

As at 31 March 2025 undesignated free reserves amounted to £2,950,731 (2024: £2,956,170).

The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

Principal risks and uncertainties

The care provided by Martha Trust Hereford Limited is funded by the fees paid by the Local Authority or Integrated Care Boards. The economic downturn has led to the failure of the public sector to provide increases in fees for the majority of vulnerable people living in care facilities. The Trustees are fully aware of this potential risk and it is being managed by the Trust Director and the Trustees.

These factors mean that the reserves held by the Charity need to reflect these potential risks. The Charity provides lifelong care to our residents and the Trustees need to ensure the Charity is financially stable to meet their future needs.

The Trust Director and management team continue to work together with the Care Quality Commission to ensure the service provided is safe, caring, responsive, effective and well led.

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Martha Trust Hereford Limited

Report of the Trustees for the Year Ended 31 March 2025

STRATEGIC REPORT

Plans for Future periods

The Trust will continue to provide a loving, safe and secure home environment for our; residents. To help us maintain— our high quality of care we will encourage staff to develop their own individual potential.

The annual survey to the parents and staff will be undertaken;

The policies and procedures will be reviewed as required;

The required audits will be completed as directed by the Commissioning Authorities, CQC and Internal reviews.

The Trustees have set aside funds for planned expenditure during the next financial year on the following items:

“Refurbishment of the therapy kitchen at Martha House & Sophie House

"Refurbishment of all bathrooms, toilets and sluice room at Sophie House

" Refurbishment of all sink areas in residents’ bedrooms at Sophie House “Refurbishment of 1 bathroom at Martha House "Extension to Martha House to provide more useable resident space, more storage and more office space "Canopy / outside room to be installed at Sophie House

Staffing

It has been established by the Government and the Care Quality Commission that there is a nationwide shortage of nurses and care staff. Martha Trust will continue to advertise all vacant posts as required however this is a nationwide concern with the population living longer and care homes being financially pressured by the lack of funding within the adult social care environment.

Quality

A Health & Safety / Facilites lead continues to review all the policies and procedures required by the homes. A_ timetable is produced detailing all the regular audit reports, which are undertaken both internally and also by external agencies. Purchasing authorities complete contract monitoring visits annually. A questionnaire will be issued to the parents, staff and purchasing authorities as a quality monitoring tool.

Structure, governance and management

The charity is a company limited by guarantee and as such is governed by its Memorandum and Articles of Association in accordance with the Companies Act 2006. It was incorporated on 21 February 1996.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were: REL Smith Esq Miss S F Smith Mrs S J Sharp-Smith A C Stewart Esq S W Somers Esq Ms L M Sharp-Smith

Recruitment and appointment of new Trustees

Potential Trustees are carefully selected from local people who have the required background and experience and who are likely to have a long-standing interest in the work of the Charity. They are approached personally by existing Trustees. None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.

Organisational structure

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Martha Trust Hereford Limited Report of the Trustees for the Year Ended 31 March 2025

STRATEGIC REPORT The Trustees consider six Trustees to be appropriate, in number, skill mix and in their contribution; to the running; of the Charity and the homes. There are no plans to appoint further Trustees at present. As it becomes necessary, the Trustees will determine potential candidates who, if willing to stand, will be considered by interview with the full Board. All Trustees submit DBS (Disclosure and Barring Service) disclosure applications. Induction and training of new Trustees An appropriate candidate is given an induction programme that includes an in-depth tour of both homes and discussions with the existing Trustees and senior management team. The successful appointee is given a portfolio of financial, governance and Charity Commission documents and is guided through the Board and management meetings providing an insight into the work of the Charity and the roles of individual managers. They are introduced informally to all staff, residents and families. Management and staffing The Charity is managed by the Trust Director Dr Lisa Purslow. Chris Turney the Registered Manager of Sophie House and Martha House is responsible for the clinical operation of the two homes. Each home has a Care Manager and Deputy Home Manager. Sufficient staff are employed to generally facilitate one to one care. Each resident has a primary nurse, senior carer and key carers who provide continuity of care. The day is divided into three shifts with at least one registered nurse on duty for each shift at each home. The waking night shift is staffed by a nurse with two carers and there is an on-call rota for nurses and managers in case of emergency. Extra staff will work at night when a resident is ill and requires one to one care throughout the night shift either in the home or the hospital. Other employed staff include; cooks, housekeepers, maintenance, gardening and administration.

The primary nurses and senior care staff on both sites plan, monitor and evaluate the activities which take place throughout the day. A team of professional therapists and the care staff provide a wide range of activities ensuring a balanced daily activity programme for each resident. This is complemented by social activities and outings.

Key management remuneration

The salaries for all senior managers are agreed by the Trustees and reviewed annually. Costed proposals are forwarded to the Trustees and these consider the economic climate, including risks associated with the lack of funding in adult social care and the effect this has on the income for the charity, local trends and length of time in service. The registered manager, care managers and their deputies have detailed roles and responsibilities against which their performance can be measured. Related parties The Charity works closely with the Care Quality Commission (CQC), County Councils, Integrated Care Boards (ICB's) and all local and national agencies.

Martha Trust is one of very few providers of highly specialise care for individuals with profound and multiple learning and physical disabilities, particularly in relation to its ability to encompass children with adults in such a homely setting. Unlike most homes, the Trust has no age limit or geographical boundary and can therefore accept referrals from across the United Kingdom.

The Charity owns all the issued share capital of Martha Hereford (Developments) Limited, a Company incorporated in the United Kingdom. The Company was incorporated on 24 August 2009 to design and construct the second home on behalf of the Charity. The Company ceased trading on 31 March 2016. The company was dissolved on 9 January 2024.

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Martha Trust Hereford Limited

for the Year Ended 31 March 2025

Report of the Trustees

STRUCTURE, GOVERNANCE AND MANAGEMENT

The charity is a company limited by guarantee and as such is governed by its Memorandum and Articles of Association in accordance with the Companies Act 2006. It was incorporated on 21 February 1996.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

RE L Smith Esq

Miss S F Smith

Mrs S J Sharp-Smith

A C Stewart Esq

S W Somers Esq

Ms L Sharp-Smith

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number 03164820 (England and Wales)

Registered Charity number

1053448

Registered office Hampton Green Old Eign Hill Hereford HR1 1UB

Trustees Miss S F Smith REL Smith S W Somers AC Stewart Ms S J Sharp-Smith . Ms L Sharp-Smith

Company Secretary

Miss S F Smith

Auditors

Thorne Widgery Accountancy Ltd Chartered Accountants Statutory Auditors 2 Wyevale Business Park Kings Acre Hereford Herefordshire HR4 7BS

Page 5

Martha Trust Hereford Limited

Report of the Trustees for the Year Ended 31 March 2025

REFERENCE AND ADMINISTRATIVE DETAILS Solicitors Willans LLP 28 Imperial Square Cheltenham Gloucestershire GL50 1RH

Harrison Clark Rickerbys Ellenborough House Wellington Street Cheltenham Gloucestershire GL20 1TD Bankers Lloyds Bank Plc 38 Blue Boar Row Salisbury Wiltshire SP1 1DB

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of Martha Trust Hereford Limited for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year. Under that law, the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

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Martha Trust Hereford Limited

Report of the Trustees for the Year Ended 31 March 2025

AUDITORS

The auditors, Thorne Widgery Accountancy Ltd, will be proposed for re-appointment at the forthcoming Annual General Meeting.

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on ved BZ. setteeesesesseeesseeeess and Signed on the board's behalf by:

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Ms L Sharp-Smith - Trustee
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Page 7

Report of the Independent Auditors to the Members of Martha Trust Hereford Limited

Opinion

We have audited the financial statements of Martha Trust Hereford Limited (the ‘charitable company’) for the year ended 31 March 2025 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors’ 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 FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we 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 regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

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Report of the Independent Auditors to the Members of Martha Trust Hereford Limited

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.

Responsibilities of trustees

As explained more fully in the Statement of Trustees’ Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Page 9

Report of the Independent Auditors to the Members of Martha Trust Hereford Limited

Our responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Fraud and breaches of laws and regulations - ability to detect

Identifying and responding to risks of material misstatement due to fraud

To identify risks of material misstatement due to fraud ("fraud risks") we assessed events or conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud. Our risk assessment procedures included: o Enquiring of trustees, management and inspection of policy documentation as to the Charity's high-level policies and procedures to prevent and detect fraud as well as whether they have knowledge of any actual, suspected or alleged fraud. o Reading meeting minutes. o Considering performance targets for management.

We communicated identified fraud risks throughout the audit team and remained alert to any indications of fraud throughout the audit.

As required by auditing standards, and taking into account our overall knowledge of the control environment, we perform procedures to address the risk of management override of controls, in particular the risk that management may be in a position to make inappropriate accounting entries. On this audit we do not believe there is a fraud risk related to revenue recognition because the revenue is non-judgemental and straightforward, with limited opportunity for manipulation.

We did not identify any additional fraud risks. We performed procedures including identifying journal entries to test based on risk criteria and comparing the identified entries to supporting documentation. These included those posted by finance management/ those posted and approved by the same user/ those posted to unusual accounts.

Identifying and responding to risks of material misstatement due to non-compliance with laws and regulations

We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, and through discussion with management (as required by auditing standards) and discussed with management the policies and procedures regarding compliance with laws and regulations.

We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit.

The potential effect of these laws and regulations on the financial statements varies considerably.

Firstly, the Charity is subject to laws and regulations that directly affect the financial statements including financial reporting legislation, taxation legislation, the Charities Act legislation and guidance issued by CQC and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

Secondly, the Charity is subject to many other laws and regulations where the consequences of noncompliance could have a material effect on amounts or disclosures in the financial statements, for instance through the imposition of fines or litigation or the loss of the Charity's license to operate. We identified the following areas as those most likely to have such an effect: health and safety, anti-bribery, employment law, data protection, anti-money laundering and specific areas of other legislation recognising the nature of the Charity's activities.

Page 10

Report of the Independent Auditors to the Members of Martha Trust Hereford Limited

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of management, inspection of regulatory and legal correspondence, if any. Therefore, if a breach of operational regulations is not disclosed to us or evident from relevant correspondence, an audit will not detect that breach.

Context of the ability of the audit to detect fraud or breaches of law or regulation

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it.

In addition, as with any audit, there remained a higher risk of non-detection of fraud, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non-compliance or fraud and cannot be expected to detect non-compliance with all laws and regulations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www. frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors. Use of our report This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors’ report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Keane’ . Lisa Weaver FCCA (Senior Statutory Auditor) for and on behalf of Thorne Widgery Accountancy Ltd Chartered Accountants

Statutory Auditors

2 Wyevale Business Park Kings Acre Hereford Herefordshire HR4 7BS

Date: do) 1 1,

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Martha Trust Hereford Limited

Statement of Financial Activities for the Year Ended 31 March 2025

31.3.25 31.3.24
Unrestricted Restricted Total Total
funds fund funds funds
Notes £ £ £ £
INCOME AND ENDOWMENTS FROM
Donations and legacies 2 49,577 - 49,577 70,860
Charitable activities 4
Lifelong care for people with profound intellectual
and physical disabilities 5,064,166 - 5,064,166 4,746,164
Investment income 3 125,177 - 125,177 104,448
Total 5,238,920 - 5,238,920 4,921,472
EXPENDITURE ON
Charitable activities 5
Lifelong care for people with profound intellectual
and physical disabilities 5,309,106 - 5,309,106 5,176,932
NET INCOME/(EXPENDITURE) (70,186) - (70,186) (255,460)
RECONCILIATION OF FUNDS
Total funds brought forward 7,603,197 1,287,961 8,891,158 9,146,618
TOTALFUNDSCARRIEDFORWARD 7,533,011 1,287,961 8,820,972 8,891,158

The notes form part of these financial statements

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Martha Trust Hereford Limited

Balance Sheet 34 March 2025

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|||||||| |---|---|---|---|---|---|---| |31.3.25|31.3,24| |Unrestricted|Restricted|Total|Total| |funds|fund|funds|funds| |FIXED|ASSETS|Notes|£|£|£,|£| |Tangible|assets|12|3,934,479|579,201|4,513,680|4,614,988| |CURRENT|ASSETS| |Debtors|13|423,713|-|423,713|308,830| |Cash|at bank and|in hand|3,373,938|708,760|4,082,698|4,157,883| |3,797,651|708,760|4,506,411|4,466,713| |CREDITORS| |Amounts falling|due within one year|14|(199,119)|-|(199,119)|(190,543)| |NET CURRENT ASSETS|3,598,532|708,760|4,307,292|4,276,170| |TOTAL ASSETS LESS CURRENT|LIABILITIES|7,533,011|1,287,961|8,820,972|8,891,158| |NET ASSETS|7,533,011|1,287,961|8,820,972|8,891,158| |FUNDS|15| |Unrestricted|funds:| |General fund|2,950,731|2,956,170| |Designated|4,582,280|4,647,027| |7,533,011|7,603,197| |Restricted funds|1,287,961|1,287,961| |TOTAL FUNDS|8,820,972|8,891,158|

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The financial statements were approved by the Board of Trustees and authorised for issue on we NPANAAZS. occas and were signed on its behalf by: LL

The notes form part of these financial statements

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Martha Trust Hereford Limited

Cash Flow Statement for the Year Ended 31 March 2025

31.3.25 31.3.24
Notes £ £
Cash flows from operating activities
Cash generated from operations 1 (75,602) (241,249)
Net cash used in operating activities (75,602) (241,249)
Cash flows from investing activities
Purchase of tangible fixed assets (135,624) (192,396)
Sale of tangible fixed assets 10,864 -
Sale of fixed asset investments - 1
Interest received 125,177 104,448
Net cash provided by/(used in) investing activities 417 (87,947)
Change in cash and cash equivalents in the
reporting period (75,185) (329,196)
Cash and cash equivalents at the beginning
ofthe reporting period 4,157,883 4,487,079
Cash and cash equivalents at the end ofthe
reportingperiod 4,082,698 4,157,883

The notes form part of these financial statements

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Martha Trust Hereford Limited

Notes to the Cash Flow Statement

for the Year Ended 31 March 2025

1. RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM OPERATING RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM OPERATING ACTIVITIES
31.3.25 31.3.24
£ £
Net expenditure for the reporting period (as per the Statement of
Financial Activities) (70,186) (255,460)
Adjustments for:
Depreciation charges 236,183 218,766
Profit on disposal of fixed assets (10,115) -
Interest received (125,177) (104,448)
Increase in debtors (114,883) (125,772)
Increase in creditors 8,576 25,665
Net cash used in operations (75,602) (241,249)
2. ANALYSIS OF CHANGES IN NET FUNDS
At 1.4.24 Cash flow At 31.3.25
£ £ £
Net cash
Cash at bank and in hand 4,157,883 (75,185) 4,082,698
4,157,883 (75,185) 4,082,698
Total 4,157,883 (75,185) 4,082,698

The notes form part of these financial statements

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Martha Trust Hereford Limited

Notes to the Financial Statements for the Year Ended 31 March 2025

  1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) ‘Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)’, Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

Income from grants and government grants is recognised when there is evidence of entitlement to the grant, receipt is probable and its amount can be measured reliably.

Interest is included when received by the charity.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold land and buildings 2%, 15% and 20% straight line

Property improvements 2%, 5%, 15% and 20% straight line Plant and equipment 15% straight line Fixtures and fittings 15% and 33% straight line Motor vehicles 25% straight line and 25% reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

Capitalisation policy of fixed assets is set at £1,000.

Taxation

The charity is exempt from corporation tax on its charitable activities.

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continued...

Martha Trust Hereford Limited

Notes to the Financial Statements - continued for the Year Ended 31 March 2025

1. ACCOUNTING POLICIES - continued

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Designated funds are funds set aside by the trustees out of unrestricted general funds for specific future purposes or projects

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company’s pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Going Concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

DONATIONS AND LEGACIES

DONATIONS AND LEGACIES
31.3.25 31.3.24
£ £
Donations & Grants 49,577 70,860
Grants receivable for core activities
2025 2024
Nurse training grant 27,290 55,300
Apprenticeship Funding - 8,300
27,290 63,600
Donations received in the yearamounted to £22,284 (2024: £7,260)
INVESTMENT INCOME
31.3.25 31.3.24
£ £
Depositaccountinterest 125,177 104,448

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Martha Trust Hereford Limited

Notes to the Financial Statements - continued for the Year Ended 31 March 2025

4. INCOME FROM CHARITABLE ACTIVITIES

31.3.25 31.3.24
Activity £ £
Lifelong care for people with profound
Invoiced Patient Care intellectual and physical disabilities 5,064,166 4,746,164
5. CHARITABLE ACTIVITIES COSTS
Direct Support
Costs (see costs (see
note 6) note 7) Totals
£ £ £
Lifelong care for people with profound
intellectual and physical disabilities 4,563,129 745,977 5,309,106
6. DIRECT COSTS OF CHARITABLE ACTIVITIES
31.3.25 31.3.24
£ £
Staff costs 4,359,471 4,281,237
Rates, water & waste disposal 43,880 40,860
Light and heat 124,391 107,478
Insurance 35,387 55,807
4,563,129 4,485,382
7. SUPPORT COSTS
Governance
Other costs Totals
£ £ £
Lifelong care for people with profound
intellectual and physical disabilities 717,822 28,155 745,977
8. NET INCOME/(EXPENDITURE)
Net income/(expenditure) is stated after charging/(crediting):
31.3.25 31.3.24
£ £
Audit Fees 6,825 6,500
Depreciation - owned assets 236,183 218,767
Surplusondisposaloffixedassets (10,115) -

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Martha Trust Hereford Limited

Notes to the Financial Statements - continued for the Year Ended 31 March 2025

9. TRUSTEES’ REMUNERATION AND BENEFITS

There were no trustees’ remuneration or other benefits for the year ended 31 March 2025 nor for the year ended 31 March 2024.

Trustees’ expenses

There were no trustees’ expenses paid for the year ended 31 March 2025 nor for the year ended 31 March 2024.

10. STAFF COSTS

31.3.25 31.3.24
£ £
Wages and salaries 3,953,459 3,882,665
Social security costs 340,187 331,516
Other pension costs 70,601 71,832
4,364,247 4,286,013

Key Management Remuneration paid for the year ended 31/03/2025 was: £221,687 (31/03/2024: £412,272).

This consists of the Trust Director, Registered Manager, Manager of Sophie House and Manager of Martha House and HR manager. The prior year also included Deputy Trust Director and Director of Care.

Full time equivalent employees - analysed by function

2025 2024
Patient Care 108 110
Management &Admin
Total
12
120
14
124
The average monthly number of employees during the yearwas as follows:
31.3.25 31.3.24
Full Time (more than 30 hours per week) 82 80
Part Time (30 hours or less per week) 52 33
134 113

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

31.3.25 31.3.24
£60,001 - £70,000 1 2
£80,001 - £90,000 . 1
1 3

The current year and prior year both include the director of care. But the prior year also includes the manager of sophie house and a night nurse.

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Martha Trust Hereford Limited

Notes to the Financial Statements - continued

for the Year Ended 31 March 2025

11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted Restricted Total
funds fund funds
£ £ £
INCOME AND ENDOWMENTS FROM
Donations and legacies 15,560 55,300 70,860
Charitable activities
Lifelong care for people with profound
intellectual and physical disabilities 4,746,164 - 4,746,164
Investment income 104,448 - 104,448
Total 4,866,172 55,300 4,921,472
EXPENDITURE ON
Charitable activities
Lifelong care for people with profound
intellectual and physical disabilities 5,121,632 55,300 5,176,932
NET INCOME/(EXPENDITURE) (255,460) - (255,460)
RECONCILIATION OF FUNDS
Total funds brought forward 7,858,657 1,287,961 9,146,618
TOTAL FUNDS CARRIED FORWARD 7,603,197 1,287,961 8,891,158
12. TANGIBLE FIXEDASSETS
Freehold Improvements
Land & to Plant and
Buildings property machinery
£ £ £
COST
At 1 April 2024
Additions
Disposals
5,602,278
-
(828)
532,760
40,776
-
85,589
-
(2,118)
At 31 March 2025 5,601,450 573,536 83,471
DEPRECIATION
At 1 April 2024 1,684,864 154,766 77,284
Charge foryear 112,118 19,914 760
Eliminated on disposal (264) - (2,117)
At 31 March 2025 1,796,718 174,680 75,927
NET BOOK VALUE
At 31 March 2025 3,804,732 398,856 7,544
At31March2024 3,917,414 377,994 8,305

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Martha Trust Hereford Limited

Notes to the Financial Statements - continued for the Year Ended 31 March 2025

12. TANGIBLE FIXED ASSETS - continued
Fixtures
and Motor
fittings vehicles Totals
£ £ £
COST
At 1 April 2024 797,921 200,930 7,219,478
Additions 94,848 - 135,624
Disposals (22,351) (36,467) (61,764)
At 31 March 2025 870,418 164,463 7,293,338
DEPRECIATION
At 1 April 2024 572,538 115,038 2,604,490
Charge for year 80,525 22,866 236,183
Eliminated on disposal (22,315) (36,319) (61,015)
At 31 March 2025 630,748 101,585 2,779,658
NET BOOK VALUE
At 31 March 2025 239,670 62,878 4,513,680
At 31 March 2024 225,383 85,892 4,614,988
Included within Freehold Land & Buildings is Land at cost of £199,151.
13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.3.25 31.3.24
£ £
Trade debtors 369,530 260,546
Prepayments and accrued income 54,183 48,284
423,713 308,830
14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.3.25 31.3.24
£ £
Trade creditors 74,341 72,862
Social securityand other taxes 77,991 81,567
Other creditors 14,311 13,824
Accrued expenses
Deferred government grants
18,529
13,947
15,098
7,192
199,119 190,543

Deferred Income arising from patient care invoices raised in advance for 2025 was £1 3,947 (2024: £7,192)

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continued...

Martha Trust Hereford Limited

Notes to the Financial Statements - continued for the Year Ended 31 March 2025

15. MOVEMENT IN FUNDS

MOVEMENT IN FUNDS
Net
movement At
At 1.4.24 in funds 31.3.25
£ £ £
Unrestricted funds
General fund 2,956,170 (5,439) 2,950,731
Designated 4,647,027 (64,747) 4,582,280
7,603,197 (70,186) 7,533,011
Restricted funds
Restricted 1,287,961 - 1,287,961
TOTAL FUNDS 8,891,158 (70,186) 8,820,972
Net movement in funds, included in the above are as follows:
Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 5,238,919 (5,244,358) (5,439)
Designated 1 (64,748) (64,747)
5,238,920 (5,309,106) (70,186)
TOTAL FUNDS 5,238,920 (5,309,106) (70,186)
Comparatives for movement in funds
Net
movement At
At 1.4.23 in funds 31.3.24
£ £ £
Unrestricted funds
General fund 3,211,630 (255,460) 2,956,170
Designated 4,647,027 - 4,647,027
7,858,657 (255,460) 7,603,197
Restricted funds
Restricted 1,287,961 - 1,287,961
TOTALFUNDS 9,146,618 (255,460) 8,891,158

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Martha Trust Hereford Limited

Notes to the Financial Statements - continued for the Year Ended 31 March 2025

15. MOVEMENT IN FUNDS - continued

Comparative net movement in funds, included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 4,866,172 (5,121,632) (255,460)
Restricted funds
Restricted 55,300 (55,300) .
TOTAL FUNDS 4,921,472 (5,176,932) (255,460)
A current year 12 months and prioryear 12 months combined position is as follows:
Net
movement At
At 1.4.23 in funds 31.3.25
£ £ £
Unrestricted funds
General fund 3,211,630 (260,899) 2,950,731
Designated 4,647,027 (64,747) 4,582,280
7,858,657 (325,646) 7,533,011
Restricted funds
Restricted 1,287,961 - 1,287,961
TOTAL FUNDS 9,146,618 (325,646) 8,820,972
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are
follows:
Incoming Resources Movement
resources expended in funds:
£ £ £
Unrestricted funds
General fund 10,105,091 (10,365,990) (260,899)
Designated 1 (64,748) (64,747)
10,105,092 (10,430,738) (325,646)
Restricted funds
Restricted 55,300 (55,300) -
TOTALFUNDS 10,160,392 (10,486,038) (325,646)

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Designated Funds

Within designated funds there is £220,000 set aside as an operational fund. This is to cover any unplanned structural repairs or replacement of equipment.

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continued...

Martha Trust Hereford Limited

Notes to the Financial Statements - continued for the Year Ended 31 March 2025

  1. RELATED PARTY DISCLOSURES

15. MOVEMENT IN FUNDS- continued

£1,100,000 is set aside for future repairs and upgrades at both Martha House and Sophie House. An additional £1,000,000 has been designated in the prior financial year. In 2022 there was £100,000 set aside as a Sophie House fund which was for upcoming maintenance and works planned at Sophie House.

Property improvement costs totalling £64,747.50 (£32,944.30 for Martha House and £31,803.20 for Sophie House) have been funded from designated reserves for future repairs and upgrades in 2024/25.

The remaining amount is within the fixed asset reserve which is the funds invested in fixed assets to allow the charity to carry out its work.

Restricted Funds

Restricted funds all relate to fixed assets for Sophie House where funding had been allocated solely for this purpose. The total fund balance at the year end is £1,287,961 which agrees to the net book value of restricted fixed assets.

  1. CAPITAL COMMITMENTS

31.3.25 31.3.24 £ £ Contracted but not provided for in the financial statements - 21,010

Capital expenditure for committed PO's at the year end.

There were no related party transactions for the year ended 31 March 2025 or 31 March 2024.

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Martha Trust Hereford Limited

Detailed Statement of Financial Activities for the Year Ended 31 March 2025

for the Year Ended 31 March 2025
31.3.25 31.3.24
£ £
INCOME AND ENDOWMENTS
Donations and legacies
Donations & Grants 49,577 70,860
Investment income
Deposit account interest 125,177 104,448
Charitable activities
Invoiced Patient Care 5,064,166 4,746,164
Total incoming resources 5,238,920 4,921,472
EXPENDITURE
Charitable activities
Wages 3,948,683 3,877,889
Social security 340,187 331,516
Pensions 70,601 71,832
Rates, water &waste disposal 43,880 40,860
Light and heat 124,391 107,478
Insurance 35,387 55,807
4,563,129 4,485,382
Support costs
Other
Medical & Hygiene 110,632 104,081
Telephone & IT Costs 24,775 26,736
Postage and stationery 11,795 10,980
Sundry Expenses 10,421 6,576
Cleaning & Laundry 17,454 14,166
Catering 61,865 56,709
Protective Clothing 6,183 4,184
Holidays & Activities 7,557 6,786
Recruitment Costs 6,792 35,677
CQC & CRB 4,609 12,047
Travelling 3,095 3,061
Motor Expenses 15,058 15,086
Property Expenses 106,985 70,353
Equipment Repairs & Small Tool 89,672 66,559
Licences & Subscriptions 1,851 1,779
Staff Training 12,460 10,974
Bank Charges 550 637
Disposal of Martha Development - 1
Carriedforward 491,754 446,392

This page does not form part of the statutory financial statements

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Martha Trust Hereford Limited

Detailed Statement of Financial Activities
for the Year Ended 31 March 2025
31.3.25 31.3.24
£ £
Other
Brought forward 491,754 446,392
Freehold property 236,183 218,766
Loss on sale of tangible fixed assets (10,115) -
717,822 665,158
Governance costs
Wages 4,776 4,776
Auditors’ remuneration 6,825 6,500
Accountancy fees 3,435 3,352
Legal fees 11,219 9,785
Office Costs 1,900 1,979
28,155 26,392
Total resources expended 5,309,106 5,176,932
Netexpenditure (70,186) (255,460)

This page does not form part of the statutory financial statements

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