Registered number: 03167701 Charity number: 1053948 THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES, REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
THE CHANGE PORTFOLIO (A company limited by guarantee) CONTENTS Page Reference and administrative detsils of the Charitable Company. its Trustees and advisers Trustees. report Independent auditors. report on the financial ststements Statement of financial activltles 2-11 12-15 16 Balance sheet 17 Statement of cash flows 18 Notes to the financial statements 19-32
THE CHANGE PORTFOLIO (A company limited by guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITABLE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2024 Trustees Mr l J Parkins, Treasurer Ms A C Reeve, Chair Ms E Storey, Vice Chair Ms R G Hobbs Ms J Tomsett Ms C Morris Ms J M Brown (appointed 30 April 2024} Ms Anouk De Jonge Heath {appointed 30 April 2024) Company registered number 03167701 Charity registered number 1053948 Registered office The Change Project CIO Chelmsford Voluntary Service, Burgess Well House, Coval Lane Chelmsford Essex CM11FW Chief executive officer Lora Draper Independent auditors Griffin Chapman Chartered Accountants 4 & 5, The Cedars, Apex 12 Old Ipswich Road Colchester Essex C07 7QR Page 1
THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2024 The Trustees present their annual report together with the audited financial statements of the Charitable Company for the year 1 April 2023 to 31 March 2024. The Annual report serves the purposes of both a Trustees, report and a directors, report under company law. The Trustees confirm that the Annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable companYs goveming document and the provisions of the Stalement of Recommended Practice ISORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS102) (effective 1 January 2019). Objectives and activities a. Policies and objectives The Change Portfolio's vision is to create lives free from domestic abuse. The charity's mission is to address the behaviour of people who use abuse in any relationship and educate and support them to achiave a life free of abuse through positive change. The purpose of th8 charity is protect victims by educating perpetrators (people who use abuse) to bring about behaviour change and to help people understand what domestic abuse is so that we reduce domestic abuse and the effect it has in the community. In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit= running a charity {P82)'. b. Our strategic objectives Increasing the safety of victims of all ages. Motivate abuserslperpetrators to recognise and change their behaviours. Reduce the impact of domestic violence on future generations. Educate professionals and the public about domestic violence. 2 million people in the UK suffer from domestic abuse every year. 1 in 3 women and 1 in 5 men. In Essex alone, police revealed that a total of 24,456 domestic crimes happened across the county between 2022-2023. It is estimated that 130,000 children live in domestic homes and 62 % of those children are al risk of being directly harmed. These figures do not represent those cases that have not been reported to the police or are not involved with statutory services. Perpetrators can have multiple partners within their lifetime. The reasons for abusive behaviour are extensive. Some may have come from abusive homes themselves and are repeating learnt behaviour. Trauma can play a part in a person's thought process and actions. for olhers a sense of entitlemenl developed through home influences or social conditioning can obfuscate their belief systems. Our aim is to break the cycle of abuse and to engage perpetrators and to provide services that educate and challenge their behaviour to result in long term sustained non abusive behaviour. We understand Ihe harm caused by domestic abuse lo viclims and children. Our aim is to provide support to the partners and children of the perpetrators. Additionally we provide counselling to couples, families and young people slruggling with relationships or emotional wellbeing. Our services are designed to engage perpetrators and work with them to understand their behaviour and to gain skills in order to manage and amend their responses long term. Success is monilored through risk assessments and victim voice. The SafeLives Severity of Abuse model is used to collect victim feedback. The Severity of Abuse (SOA) Outcome Measures are informed by the lived Page 2
THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES. REPORT {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Objectives and activities (continued) experience of victims to measure the impact of perpetrator interventions. The Integrated Support Service works with victims to provide input and feedback to perpetrator practitioners. The direct work with perpetrators is evidenced and measured using a Treatment Viability Assessment which records the changes in beliefs and communication observed by the facilitators and practitioners. c. Main activlties undertaken to further the Charitable Company's purposes for the public benefit The Change Hub continued in Essex and Norfolk funded by the Essex and Norfolk OPFCC. The Norfolk project focuses, on high risk referrals via the Domestic Abuse Partnership Approach team. The Essex team work with more varied cohort of perpetrators. Self- referrals looking to amend their behaviour. Referrals from statutory services and voluntary services and higher risk service users identified via MARAC. The service offers a range of interventions that are matched to the individual's circumstances and level of risk (ascertained by a face-to- face meeting with the client). The interventions are delivered in a one-to-one setting in local community venues. All victimlsurvivors of our services are referred into the Integrated Support Service to ensure that victimslpartners are supported throughout our perpetrator interventions. As an extension of the Change Hub the Essex OFPCC utilised Home Office Funding to pilot the Specialist Intervention Service, that focuses on staking behaviours. Our 27 week Domestic Abuse Perpetrator Programme and associated Integrated Support Service has continued in Colchester fijnded by the Colchester Borough Council Shared Prosperity Fund. The following services are carried out with a view to fijlfilling our strategic objectives and addressing abusive behaviour directly alongside services to support the victims and families of perpetrators: Integrated Support Service for victims - The Integrated Support Service provides support to the partners and ex partners of those accessing all of the charities perpetrator seNices. Domestic Violence Perpetrator Programme (DVPP) The provision of the Respect Accredited DVPP 27 week programme group work and 18 week one to one programme for perpetrators. The Change Hub - The Change Hub offers a range of one to one interventions that are matched to the individual perpetrator's circumstances and level of risk. Specialist Intervention Service - The Specialist Intervention Service focuses on addressing stalking behaviours. Change Plus - Change Plus is a 12 hour domestic abuse awareness course. It is an earfy intervention project that helps to enable perpetrators of abuse to recognise their behaviour is abusive. Centre Counselling We provide counselling to promote well being by enabling people to have healthy relationships in families, beleen couples, and therapy for individuals. We address sexual problems through counselling and psychosexual therapy covering all aspects of intimate relationships. Community Counselling We deliver counselling to families. children and young people in schools, who are struggling with a range of difficulties that are impacting iheir emotional wellbeing. Publlc beneflt Charity Trustees are aware of the Charity Commission Public Benefit Guidance September 2013. This is included as part of their induction and AGM. Page 3
THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES. REPORT {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Strategic report Achievements and performance a. Main achievements of the Charitable Company We are the only accredited British Association of Counselling and Psychotherapy and Respect Accredited organisation in the UK. The qualifications and experience that is required of our staff, denotes that we have a small volunteer base. There are currently two trainee counsellors who offer voluntary hours. This has enabled us to be able to offer our counselling service to the victimlsurvivors of our services.Clients are consulted in advance and advised that the counsellors are still in training. Once they have completed their training, the counsellors will continue to work with us. Page 4
THE CHANGE PORTFOLIO {A company limited by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Strategic report (continued) Achievements and perfomiance (conttnued) b. Review of activities Our core services focus on protecting victims and children through providing perpetrator work. The Domestic Violence Perpetrator Programme continues to achieve evidenced outcomes. Additionally The Change Hub in Essex and Norfolk, provided further successful outcomes. Norfolk was a new contract and Essex was commissioned for a further year. Our longer tenn objective is to expand The Change Hub to become the point of contact for all of our services. Specifically to expand the victim and children services to include therapy alongside the existing support. There are a number of significant events that have affected financial performance and the financial position during the period, including: The year 2023124 proved to be another exciting year of change and innovation. The commissioning of projects over short periods of time continues to remain a challenge for the voluntary sector and our charity. Funds for 6- 12 months are welcomed opportunilies to trial pilots but do not help to sustain our core work. In April 2023 the DVPO and Thurrock Outreach projects came to an end. The DVPO project, enabled the referral of clients issued with a Domestic Violence Protection Order (DVPO) to receive an intervention. Under the DVPO scheme, police and magistrates have the power to ban a domestic Violen perpetrator from returning to their home or having contact with the victim for up to 28 days in the immediate aftermath of a domestic violence incident. The commissioning for Thurrock was to provide an Outreach worker for early intervention work. The impact on clients following these projects ending, was alleviated by our successful bid to the OPFCC to expand the Change Hub to cover pan-Essex. This made it possible to integrate the work that had been taking place into the expanded service. In August, following a successful applicats'on to the Essex OFPCC las part of the fomial Home Office grant), we were awarded a new contract, to provide the first inteentIOn in Essex to address stslking behaviours. The Specialist Intervention Pilot aims to work directly and intensively with Stalking Protection Order (SPO) nominals to change their behaviour and reduce risk for victims and survivors of stalking. Following the MOJ decision to cease the delivery of DAPPS nationwde from 1st April 2022, regretfully there has been no further progression from the MOJ with regards to a decision on the provision of behaviour change work within the family court setting. We are unable to take cases direct from the courts or from private referrals if they are in the court system as this is a direct breach of our accreditation standards. We are pleased to confirm that we have managed lo maintain the Domestic Abuse Prevention Programme Servi via local funding and spot purchasing via children's social care and individuals. Our therapeutic services remain key and we have extended our remit to include Cognitive Behavioural Therapy. The Change Project's definitive achievement this year was the expansion of the Change Hub to cover the whole of Essex. We were able to expand our team to be able to efficiently cover the county and expand our offer of help. This enabled us to reach more rural and harder to reach communities. The addition of the Specialist Intervention Service is enabling us to become a leader in new practice, as we are the first in the region and one of only a few in the UK, carrying out this work. The Caring Dads program was specifically designed from the premise that violence against women and violence against children are intricately intertwined, and that these issues both can and should be addressed together. The parenting programme is designed to enable men to improve their fathering skills and take responsibility for their children's welfare and safety- It is primarily to develop the fathe¢s relationship with the Page 5
THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Strategic report (continued) Achievements and performance {continued> child and mother to reduce the impact on both. It is also to encourage child centred behaviour, reduce conflict in family life and enable men to become better fathers. The pilot completed in March provided an altemative for families and was enhanced by being led by experienced perpetrator facilitators. The pilot has been evaluated by the University of Essex. Feedback from the Fathers has been positive, with accounts that they have put what they have learned in to practice with their children, and the mothers of their children. Two professionals working with the families reported: "It seems that the programme was very well structured and that Dad gained a lot of insight into how his parenting may have impacted his son. The workbook was useful for him to refer back to and the feedback he received was invaluable. "This programme has certainly made a difference in the case l am holding." This year Respect updaled their accreditation standards and we were required to partake in full accreditation. We were delighted to receive our new accreditation certificate in March 2024. We ended the year on high. having been nominated for the High Sheriffs Award and were awarded the prestigious Essex Police Cup. The Integrated Support SeNice worked with 189 victims over the year. Impacting 1.363 children. Over the course of the year, the new Change Hub service in Norfolk processed 259 referrals. The Essex Change Hub processed 406 referrals. We were able to make safe contact with approximately 300/0 of those referred. The Severity of Abuse Measures use the lived experience of (exlpartnerslvictims to measure the impact of perpetrator interventions. Victim outcomes reported as follows: Type °/0 Physical 960/0 reduction Sexual . 1 OOO/o Harassment 49 lo reduction Jealousy- 730/0 reduction Please note that 96/0 reduction does not mean that 40/0 are still experiencing physical abuse. It may mean 40/0 did not initially report physical abuse, and therefore could not report a reduction. The Joined up work beeen the Integrated Support Service and Change Hub Domestic Violence Awareness Practitioners continues to prove to be successful and essents'al in nsk assessment and safeguarding. Our aim is that the Change Hub will become a basis for funding applications going forward. with a goal to build the therapeutic services that will be available to perpetrators and victims. The DAPP Group attendance was lower than existing years due to the changes to the family court provision. Clients maintained their engagement and SOA outcomes remained high. Type °/0 Physical - 970/tk reduction Sexual 680/0 reduction Harassment - 85°/o reduction Jealousy - 940/0 reduction Please note that 97/0 reduction does not mean that 3°/0 are still experiencing physical abuse. It may mean 3 % did not initially report physical abuse, and therefore could not port a reduction. Page 6
THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES. REPORT {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Strategic report (continued) Achievements and performance (continued) Counselling services: The Gilberd School Roding Valley High School Moulsham Junior School We are currently delivering individual counselling, couples counselling, youth counselling, family counselling and psychosexual therapy. From March 2023 to March 2024 we saw a total of 38 clients (with a couple or family being counted as 1 client) through our centres and online. We delivered 1.049 hours of counselling within schools supporting families and young people. Through the help of our volunteer counsellors we are able to provido a counselling service to the victims of the families refeed. Financial review . Going concern After making appropriate enquiries, the Trustees have a reasonable expectation that the Charitable Company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concem basis can be found in the accounting policies. b. Reserves policy Reserves are defined as resources not immediately required to finance operations and which can be freely deployed by the trustees to fund future expenditure if required. The charity defines its reserves as the total of its Unrestricted Funds i.e. those assets which are not reserved for fijture specific expendilure or restricted as to their future use. Our policy was to maintain a range between a minimum of £100,000 and a maximum sufficient to continue operating for 12 months (£750,000). Page 7
THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 c. Principal Tisks and uncertainties The Trustees have a duty lo identify and review the risks to which the charitable company is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The key risks and the mitigating steps taken from the risk register are provided to the External Auditors for review in connection with their audit of the consolidated financial statements. Risk: Funding 1000/0 contract dependent. Mitlgation: Diversity and growing revenue streams. Risk.. Short contracts for 1-2 years. Mitigation: Continue to build relationships with OPFCC'S. Continue to support'Respect in Call for Action to government to provide longer funding. Risk.. National providers pitching in our spacelcompetitors. Mitigatlon: Differentiate through our brand. Risk.. Worsening economic climate. Mitigatlon: Sustain reserves by following the reserves policy in place. Risk: Losing key staff. Mitigation: Invest in team building and training for stsff. Rlsk.. A further pandemic. Mitigation- Frontline staff trained to work online, should circumstances dictate that it is required. d. Principal fundlng DAPP (Colchester SPF) £58,000 Change Hub (Essex OPPC) £369,543 Stalking (Essex OPCCIHO) £140,572 Perp Prog - DAPPA (Norfolk OPCC) - £169,675 e. Review of flnancial position at the end of the reporting period We are pleased to report a small decrease in Total Funds, down £6.952 to £549,516 for the year ended 31st March 2024. This deficit was considerably smaller than originally forecast al the beginning of the financial year when we expected to incur a £100,000 downtum. Total income was stable at £823,094 la decrease of 0.8°/0 whilst costs increased much less than forecast from £781,515 to £830.046 (+6.2 % )- The increase in overall costs was primarily due to a modest rise in staff costs from £667,325 to £712.538, although not as significanl as originally forecast, hence the variance to the budgeted deficit. Unrestricted Reserves have decreased slightly to £542,516, but are equal to 8 months annual expenditure, wholly consistenl with the minimum and maximum requirements stipulated in our Reserves Policy. For Ihe financial year 202412025 Ihe Charity has forecast to use £132,000 of reserves to create, develop and pilot new services. We expect this deficit to be mitigated by the employment of a fund-raising manager although only the salary costs have been covered in our initial income projections. Page 8
THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Structure, governance and management a. Constitution The Charity is a registered charity (charity number 1053948) and is governed by the Articles of Association dated 02 April 2021. The Charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006 (company number 03167701 England and Wales). The Charity consequently does not have share capital. Each of the members is liable to contribute an amount not exceeding £1 towards the assets of the company in the event of liquidation. b. Methods of appointment or election of Trustees The management of the Charitable Company is the responsibility of the Trustees who are elected and co-opled under the terms of the Trust deed. c. Organlsatlonal structure and decision-making policies The Board of Trustees is the Chariws Management Committee (MC), and is responsible overall for strategy, policies, financial accountability and the legal compliance of the organisation. The Board can have up lo 11 members. The MC meet at least quarterly and has the power to create sub-committees to meel more regularly when the need arises. The Chief Executive is appointed by the Trustees to manage the day to day operations of the Charity. To facilitate operations, the Chief Executive has delegated authority within the terms of delegation approved by the Trustees, for operational matters including finance, employment and delivery of services. d. Pollcles adopted for the induction and training of Trustees As a company lirnited by guarantee, trustees are appointed in accordance with the Articles of Association by unanimous agreement of the Board of Trustees. Officers of the Board are appointed at the AGM and the length of tenure is two years after which they must be re-elected at the next AGM. The trustees also have the power to co-opt further mernbers to fill vacancies during the year. where necessary. Financial risk management The Trustees have assessed the major risks to which the Charitable Company is exposed, in particular those related to the operations and finances of the Charitable Company, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks. Page 9
THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Plans for future periods Looking ahead to the coming financial year, the board remains committed to strategically utilising our reserves lo invest in the development of new services. Our Caring Dads program has been gaining traction, generating increased interest and engagement. Additionally, we are designing innovative projects aimed at raising youth awareness of domestic abuse and unhealthy relationships. specifically targeting audiences outside the tradilional curriculum, including universities and football clubs. In line with our growth strategy, we will also be expanding our training provision for professionals. Furthermore we will continue to actively pursue domestic abuse related tenders from local govemment to further our impact in the community. We have identified gaps in need and we are developing our services to meet the requirements of our communities To expand the provision of Change Hub to cover further locations To expand our provision of counselling and trauma therapies to all Servi users statement of Trustees. responsibilities The Trustees (who are also the directors of the Charitable Company for the purposes of company law) are responsible for preparing the Trustees, report including the Strategic report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Charitable Company and of its incoming resources and application of resources, including its income and expenditure. for that period. In preparing these financial statements, the Trustees are required to: select suitable accounting policies and then apply them consistently., observe the methods and principles of the Charities SORP IFRS 102); make judgments and accounting estimates that are reasonable and pnjdent: state whether applicable UK Accounting Standards (FRS 102} have been followed, subject to any material departures disclosed and explained in the financial statements. prepare the financial statements on the going concem basis unless it is inappropriate to presume that the Charitable Company will continue in business. The Trustees are responsible for keeping adequate accounting records thal are sufficient to show and explain the Charitable Companys transactions and disclose with reasonable accuracy at any time the financial position of the Charitable Company and enable them to ensure that Ihe 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 irregularilies. Dls¢losure of information to audltors Each of the persons who are Trustees at the time when this Trustees. report is approved has confirmed that.. so far as that Trustee is aware, there is no relevant audit infomation of which Ihe charitls auditors are unaware, and that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charity's auditors are aware of that information. Page 10
THE CHANGE PORTFOLIO (A company limited by guarantee) TRUSTEES. REPORT {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Auditors The auditors, Griffin Chapman, have indicated their willingness to continue in office. The designated Trustees will propose a motion reappointing the auditors at a meeting of the Trustees. Approved by 29 Ocknkn 201 order members the board of and signed on their behalf by: Trustees on Page11
THE CHANGE PORTFOLIO (A company limited by guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE CHANGE PORTFOLIO Opinion We have audited the financial statements of The Change Portfolio (the 'charitable companl) for the year endad 31 March 2024 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes. 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, including Financial Reporting 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: give a true and fair view of the state of the charitable companrfs affairs as at 31 March 2024 and of its incoming resources and application of resources. including its income and expenditure for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance with the requirements of the Companies Act 2006. Basis for oplnlon We conducted our audit in accordance with Intemational 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 siatements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have oblained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going concern In auditing the financial stalements, 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 Ihat, individually or collectively, may cast significant doubt on the charitable companys ability to continue as a going concem 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. Page 12
THE CHANGE PORTFOLIO (A company limited by guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE CHANGE PORTFOLIO (CONTINUED> Other information The other information comprises the information included in the Annual report other than the financial statements and our Auditors. report thereon. The Trustees are responsible for the other information contained within the Annual report. 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 fomi of assurance conclusion thereon. Our responsibility is to read the other infonnation and. in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identrfy such material inconsistencies or apparent material misstatements, we are required to detemine 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. Oplnion on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit: the information given in the Trustees, report including the Strategic report for the financial year for which the financial statements are prepared is consistent with the financial statements. the Trustees, report and the Strategic report have been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of our 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 Trustees. report including the Strategic report. We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion: adequate accounting records have nol been kept. or returns adequate for our audit have not been received from branches not visited by us; or the financial statements are not in agreement Wtth the accounting records and retums,. or certain disclosures of Trustees, remuneration specified by law are not made., or we have not received all the information and explanations we require for our audit; or the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies. exemptions in preparing the Trustees, report. Page 13
THE CHANGE PORTFOLIO (A company limited by guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE CHANGE PORTFOLIO (CONTINUED) Responsibilities of trustees As explained more fully in the Trustees. responsibilities statement, 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 companvs ability to continue as a going concern. disclosing, as applicable, matters related to going concem 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 altemative but to do so. Auditors. responsibilities for the audlt 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 emr, and to issue an Auditors, report that includes our opinion. Reasonable assurance is a high level of assurance, bul is not a guarantee that an audit conductod in accordance with ISAS (UK) will always detect a material misstatement when tt exists. Misstatements can arise from fraud or eor 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. Irregularities, including fraud. are instances of non-compliance with laws 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 detecting irregularities. including fraud is detailed below.. The extent to which the audit was considered capable of detecting irregularities including fraud Our approach to detecting the risks of material misstatement of irregularities. including fraud and non- compliance with laws and regulations. were.. Identifying and assessing the risk of material misstatement by: the engagement partner ensured the engagement team had the necessary skills and knowledge to identify non-compliance with applicable laws and regulations., identifying the laws and regulations applicable to the charity from discussions with management., identifying the laws and regulations that are applicable to the charity and focused on those laws and regulations that had a direct effect on the financial statements, which include= Companies Act 2006, Charities Act 2011 and UK financial reporting standards as issued by the Financial Reporting Council,. assessing the level of compliance by the company of the laws and regulations stated above through making enquiries with management and reviewing any legal correspondence- assessing the management's own identification processes and assessment of risks, including whether they have knowledge of any actual, suspected or alleged fraud- and consider the internal controls in place to mitigate the risks of fraud and non-compliance with laws and regulations. Work completed to address risk of fraud through management bias and override of controls evaluated the appropriateness of accounting polices selected and reviewed all accounting estimates to identify any potential management bias., tested joumal entries to identify unusual transactions.. and Page 14
THE CHANGE PORTFOLIO (A company limited by guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE CHANGE PORTFOLIO (CONTINUED) investigated the rationale behind any significant or unusual journal entries. Work completed to address risk of non-compliance with laws and regulations obtsined an understanding of the legal and regulalory framework in which the charity would need to comply. reviewed minutes of meetings held by those charged with governance to identify any non-compliance- enquired with management of any actual or potential litigation and claims- and reviewed legal and professional costs in the year, and any correspondence with 18gal advisors, to identify any issues with non-compliance. Our audit procedures were designed to respond to risks of material misststement in the financial statements. A further description of our responsibilities for the audit of the financial stalements is located on the Financial Reporting Council's website at: www.frc.or .uk]auditorsres nsibilities. This description forms part of our Auditors, report. Use of our report This report is made solely to the charitable CoMpanS members. as a body, in accordan 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 Ihem in an Auditors, report and for no other purpose. To the fullest extent permitted by law. we do not acpt or assume responsibility to anyone other than the charitable company and its members, as a body. for our audit work. for this report, or for the opinions we have formed. Daniel Aldworth (Senior statutory auditor) for and on behalf of Griffin Chapman Chartered Accountants Statutory Auditors 4 & 5, The Cedars, Apex 12 Old Ipswich Road Colchester Essex C07 7QR Date: 7 NovvknT 202Lfr Page 15
THE CHANGE PORTFOLIO (A company limited by guarantee) STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2024 Restricted Unrestricted fvnds funds 2024 2024 Total funds 2024 Total funds 2023 Note Income from: Donations and legacies Charitable activities.. Family counselling Youth counselling DV prevention Training and education Investment income 7,000 2.792 9,792 13,774 7.825 31,204 190.167 2.075 13.192 724 7,825 31,204 758.282 2,075 13,192 724 518,294 34,580 257,859 568,115 5,045 Other income Total income 575,115 247,979 823,094 829, 552 Expendlture on: Raising funds Charitsble activities 450 568.115 261,931 830,046 781,065 Total expenditure 568,115 261,931 830,046 781,515 Net movement in funds 7,000 {13.952) (6,952) 48,037 Reconciliation of funds: Total funds brought forward Net movement in funds 556,468 {13,952) 556,468 {6.952) 508,431 48,037 7.000 Total funds carried forward 7,000 542,516 549,516 556,468 The Statement of financial activities includes all gains and losses recognised in the year. The notes on pages 19 to 32 form part of these financial statements. Page 16
THE CHANGE PORTFOLIO (A company Ilmited by guarantee) REGISTERED NUMBER: 03167701 BALANCE SHEET AS AT 31 MARCH 2024 2024 2023 Note Fixed assets Tangible assets 15,585 12,036 15,585 12,036 Current assets Debtors 12 90,328 484,724 123,896 489,051 Cash at bank and in hand 575,052 612,947 Creditors- amounts falling due within one year 13 (41.121} (68,515) Net current assets 533,931 544,432 Total assets less current liabilities 549,516 556,468 Net assets excluding penslon assel 549,516 556,468 Total net assets 549,516 556,468 Charlty funds Restricted funds 14 7,000 542,516 Unrestricted funds 14 556,468 Total funds 549,516 556, 468 The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by: on 29 2ol+ The notes on pages 19 to 32 fom part of these financial statements. Page 17
THE CHANGE PORTFOLIO (A company limited by guarantee) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024 2024 2023 Cash flows from operating activities Net cash used in operating activities {4.924) (94.396) Cash flows from investing activities Purchase of tangible fixed assets Interest received (12,415) 13,192 (12,109) 5,045 Net cash provided byl(used in) investing activities 777 (7,064) Cash flows from financing activities Interest paid {180) (231) Net cash used in financing actlvities {180) (2311 Change In cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year (4,327) (101,691 489,051 590, 742 Cash and cash equlvalents at the end of the year 484,724 489,051 The notes on pages 19 to 32 fomi part of these financial statements Page 18
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 General information The charity is a private company limited by guarantee and registered in England & Wales. The members of the company are the Trustees named on page 1. Accounting policies 2.1 Basis of preparatlon of financlal statements The financial statements have been prepared in accordance with the Charities SORP IFRS 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 20191, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The Change Portfolio meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otheiSe stated in the relevant accounting policy. 2.2 Going concern The trustees consider thal there are no material uncertainties about the charitable companys ability to continue as a going concern. 2.3 Income Income from grants and donations are accounted for when the trustees are certain it will be received. Income from counselling ServIS is accounted for on an accruals basis. All income is treated as unrestricted unless a specific purpose for that income is directed by the donor. 2.4 Expendilure Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity- Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistenl with the use of resources determined in proportion to Ihe value of income. Central staff costs are allocated on the basis of time spent. and depreciation charges allocated on the portion of the asset's use. Expenditure on raising funds includes all expenditure incurred by the Charitable Company to raise funds for its charitable purposes and includes costs of all fundraising activities events and non- charitable trading. Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charitable Companws objectives. as well as any associated support costs. All expenditure is inclusive of irrecoverable VAT. Page 19
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies (continued) 2.5 Government grants Government grants relating to tangible fixed assets are treated as deferred income and released lo the Statement of financial activities over the expected useful lives of the assets concerned. Other grants are credited to the Statement of financial activities as the related expenditure is incurred. 2.6 Tangible fixed assets and depreciation Tangible fixed assets are initially recognised at cost. After recognition. under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its inlended working condition should be included in the measurement of cost. Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method. Depreciation is provided on the following basis: Plant and machinery 330/0 Straight line 2.7 Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 2.8 Cash at bank and in hand Cash at bank and in hand indudes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 2.9 Liablllties and provisions Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a Iransfer of economic benefit will be required in settlement. and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the CharFtable Company anticipates tt will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material. the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost. 2.10 Financlal instruments The Charitable Company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method. Page 20
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies (continued) 2.11 Pensions The Charitsble Company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charitable Company to the fund in respect of the year. 2.12 Fund accounting General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charitable Company and which have nol been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charitable Company for particular purposes. The costs of raising and administering such funds are charged against Ihe specific fund. The aim and use of each restricted fund is set out in the notes to the financial stalements. Investment income, gains and losses are allocated to the appropriate fund. Income from donations and legacles Restricted Unrestricted funds funds 2024 2024 Total funds 2024 Total funds 2023 Donations 2,792 2,792 7,000 8,090 5,000 684 Grants Government grants 7,000 7,000 2,792 9,792 13,774 Total 2023 1, 000 12,774 13,774 Page 21
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Income from charitable activities Restricted Unrestricted funds funds 2024 2024 Total funds 2024 Total funds 2023 Income from charitable activities - Family Counselling Income from charitable activities - Youth Counselling Income from charitable activities - DV Prevention Income from charitable activities - Training and DV Prevention 7,825 7,825 518,294 31,204 31,204 34,580 568,115 190,167 758,282 257,859 2,075 2,075 568,115 231,271 799,386 810,733 Total 2023 180, 000 630, 733 810,733 Page 22
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Investment income Unrestricted funds 2024 Total funds 2024 Total fvnds 2023 Interest receivable 13,192 13,192 5,045 Total 2023 5,045 5,045 Analysis of expenditure on charitable activities Summary by fund type Restricted Unrestricted funds funds 2024 2024 Total 2024 Total 2023 Charitable activities 568,115 261,931 830,046 781,065 Total 2023 181,(M? 600,065 781,065 Analysis of expenditure by activitles Activities undertaken directly 2024 Support costs 2024 Total funds 2024 Total funds 2023 Charitable activities 736,105 93,941 830,046 781,065 Total 2023 704,553 76,512 781,065 Analysis of direct costs Page 23
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Analysis of expenditure by activities (continued) Analysis of direct costs (continued) Total funds 2024 Total ftinds 2023 Staff costs Training Subcontracted supervision Accreditation and membership Recruitment Rent and rates Premises expenses 682,725 10,077 21,234 2,074 6,445 13,525 25 641,921 5,422 13,616 7.299 12.309 23,902 84 736,105 704,553 Wages and training costs are shown net of access to work grants lotalling £10,296. Page 24
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Analysis of expenditure by activities (continued) Analysis of support costs Total funds 2024 Total funds 2023 Staff costs 29,813 197 25,404 211 Travel and expenses Insurance Telephone Printing and stationery Sundry expenses Legal and professional fees Computer and software costs Depreciation Bank interest and charges Governance costs 7.536 6,594 2,100 1,626 15,313 2,735 8,866 180 8,063 11,707 2,261 2,518 26 3,582 4,287 231 18,222 18,981 93,941 76,512 Auditors, remuneration 2024 2023 Fees payable to the Charitable Companys auditor for the audit of the Charitable Companrfs annual accounts 5,700 4, 750 Staff Costs 2024 2023 Wages and salaries Social security costs Operating costs of defined benefit pension schemes 646,446 52,146 13,946 607,002 48,470 11,853 712,538 667,325 Page 25
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Staff costs (continued) The average number of persons employed by the Charitable Company during the year was as follows.. 2024 No. 2023 No. Employees 34 39 No employee received remuneration amounting to more than £60.000 in either year. The total amount of employee benefits (including employer pension contributions) received by key management personnel for their services to the charity was £180,288 (2023 - £164,036} 10. Trustees. remuneration and expenses During the year, no Trustees received any remuneration or other benefits (2023 - £NIL). During the year ended 31 March 2024, no Trustee expenses have been incurred (2023 - £NIL). 11. Tangible fixed assets Plant and machinery Cosl or valuation At 1 April 2023 Additions Disposals 22,478 12,415 (1,926) At 31 March 2024 32,967 Depreciation At 1 April 2023 Charge for the year On disposals 10,442 8,180 {1,240) At 31 March 2024 17,382 Page 26
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 11. Tangible fixed assets (continued) Plant and machinery Net book value At 31 March 2024 15,585 At 31 March 2023 12,036 12. Debtors 2024 2023 Due wlthln one year Trade debtors 39,857 50,471 43,427 80,469 Prepaymenls and accrued income 90,328 123,896 13. Creditors: Amounts falling due within one year 2024 2023 Trade creditors Other taxation and social security Other creditors Accruals and deferred income 12,237 16,173 3,401 9,310 7.570 28, 103 2,871 29,971 41,121 68,515 Page 27
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 14. Statement of funds Statement of funds - current year Balance at 31 March 2024 Balance at 1 April 2023 Transfers inlout Income Expenditure Unrestricted funds Designated fvnds Contingency funds Extended DAPP provision 48.500 15,500 9.500 (15.500) 58,000 64.000 (6.000) 58,000 General funds General Funds - all funds 492,468 247,979 {261,931} 6,000 484,516 Total Unrestricted funds 556,468 247.979 (261,931} 542,516 Restricted funds Police, Fire and Crime Commissioner for Essex - The Change Hub Police, Fire and Crime Commissioner for Essex- Specialist Intervention Service Colchester City Council - Domestic Abuse Perpetrator Programme Essex Community Foundation 369,543 (369,$43) 140,572 (140,572) 58,000 7.000 (58,000) 7,000 575,115 (568,115) 7,000 Total of funds 556,468 823.094 (830.046) 549,516 During the current and previous year amounts were transferred from general funds to designated funds. These designated funds will be reviewed at the end of the subsequent year. Page 28
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 14. Statement of funds (continued) Statement of funds - prior year Balance af 31 March 2023 Balance at 1 Apnl 2022 Transfers in/oul Income Expenditure Unrestrlcted funds Deslgnated funds Contingency ftjnds Extended DAPP provision 48,500 15,500 48, 500 15.500 64,000 64,000 General funds General Funds- all funds 508,431 648,552 (600,515) (64.000) 492,468 Total Unrestricted funds 508,431 648,552 (600.515) 556.468 Restricted funds Restricted Funds- all funds 1,000 (1.000) Police, Fire and Crime Commissioner for Essex- The Change Hub 180.000 (180,000) 181.000 (181.000) Total of funds 508,431 829, 552 (781.515) 556.468 Page 29
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 15. Summary of funds Summary of funds - current year Balance at 31 March 2024 Balance at 1 April 2023 Transfers inlout Income Expenditure Designated funds General funds Restricted funds 64.000 492.468 (6,000) 6,000 58,000 484,516 7,000 247,979 575.115 (261,931) {568.115) 556.468 823,094 (830,046) 549,516 Summary of funds - prior year Balance al 31 March 2023 Balance at 1 Apnl 2022 Transfers in/out Income Expenditure Designated funds General funds 64. 000 (64,000) 64,000 492,468 508,431 648, 552 181,000 (600,515) (181,000) Restricted funds 508,431 829,552 (781,515) 556,468 16. Analysis of net assets between funds Analysis of net assets between funds - current period Restricted Unrestricted funds funds 2024 2024 Total funds 2024 Tangible fixed assets Current assets Creditors due within one year 15,585 568,052 141,121) 15,585 575,052 (41,1211 7,000 Total 7,000 542,516 549,516 Page 30
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 16. Analysis of net assets between funds (continued) Analysis of net assets between funds - prior period Unrestrictgd funds 2023 Total funds 2023 Tangible fixed assets Current assets Creditors due within one year 12,036 612,947 (68,515) 12,036 612,947 (68,515) Total 556.468 556,468 17. Reconciliation of net movement In funds to nel cash flow from operating activities 2024 2023 Net incomelexpenditure for the period (as per Statement of Financial Activities) (6.952) 48,037 Adjustments for: Depreciation charges Loss on the sale of fixed assets {Increaselldecrease in debtors {Decrease)lincrease in creditors Interest received Interest paid 8,180 686 4,287 33,568 {27,394) {13,192) 180 (91,938) (49, 968) (5.045) 231 Net cash used In operatlng actlvities (4,924) (94.396) 18. Analysis of cash and cash equivalents 2024 2023 Cash at bank 484,724 489, 057 Total cash and cash equivalents 484,724 489,051 Page 31
THE CHANGE PORTFOLIO (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 19. Analysis of changes in net debt At 1 April 2023 Cash flows At 31 March 2024 Cash at bank and in hand 489,051 (4,327) 484,724 489,051 (4.327) 484,724 20. Pension commitments The charity operates a defined contribution scheme pension which is made available to all employees. The charity contributions are treated as an expense and were £13,94612023 £11.853) and at the year end £3,260 (2023 - £2,520) was outstanding. 21. Members, liability Each member of the charitsble company undertakes to contribute to the assets of the company in the event of it being wound up while helshe is a member, or within one year after helshe ceases to be a member, such amount as may be required, not exceeding £1 for the debts and liabilities contracted before helshe ceases to be a member. 22. Related party transactions The Charitable Company has not entered into any related party transaction during the year, nor are there any outstanding balances owing between related parties and the Charitable Company at 31 March 2024. Page 32