OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2023-03-31-accounts

INDEX
Page
INFORMATION
STRATEGIC REPORT 3 —24
BOARD REPORT 25 —26
INDEPENDENT
AUDITOR'S		 REPORT 27 —30
STATEMENT OF COMPREHENSIVE INCOME 31
STATEMENT OF FINANCIAL POSITION 32
STATEMENT OF CHANGES IN RESERVES 33
STATEMENT OF CASH FLOWS 34
NOTES TO THE FINANCIAL STATEMENTS 35 —54

Re-configuration
and negotiation
of the contracts for property
maintena
New corporate fundraising
partners,
some of whose donations
replace
A Voids Reduction Project.
An Energy Efficiency Campaign.		 Re-configuration
and negotiation
of the contracts for property
maintena
New corporate fundraising
partners,
some of whose donations
replace
A Voids Reduction Project.
An Energy Efficiency Campaign.		 Re-configuration
and negotiation
of the contracts for property
maintena
New corporate fundraising
partners,
some of whose donations
replace
A Voids Reduction Project.
An Energy Efficiency Campaign.		 Re-configuration
and negotiation
of the contracts for property
maintena
New corporate fundraising
partners,
some of whose donations
replace
A Voids Reduction Project.
An Energy Efficiency Campaign.		 Re-configuration
and negotiation
of the contracts for property
maintena
New corporate fundraising
partners,
some of whose donations
replace
A Voids Reduction Project.
An Energy Efficiency Campaign.		 Re-configuration
and negotiation
of the contracts for property
maintena
New corporate fundraising
partners,
some of whose donations
replace
A Voids Reduction Project.
An Energy Efficiency Campaign.		 Re-configuration
and negotiation
of the contracts for property
maintena
New corporate fundraising
partners,
some of whose donations
replace
A Voids Reduction Project.
An Energy Efficiency Campaign.		 nce.
cash spend.
Continued
Investment
in IT infrastructure
and systems to support
Agile		 Working.
Completion
ofthe Transformation
work in accommodation-based
service delivery.
'Added value' offers when re-negotiating
contract and grant funding
with commissioners.
In addition, significant capital
grants		 were secured
to support
the development		 projects to
upgrade existing
housing
units and acquire/build		 new ones.
The RSH VFM metrics for 2022/23 have been calculated
in		 accordance with the VFM standard
(technical note) and are presented
below with previous year		 comparators:
VfM Description Framework Framework Framework Social Hsg
Measure 2023/*24 2022'23 2021/'22 Median
(Budget) 2021/'22
Reinvestment by Cost 6.66% 645'/ 11.82% 6.5%
New supply delivered
by Units		 239% 442% 5 970/ 1.40%
Gearing 801% 613% 3.66% 44 1'/
EBITDA-MR I Interest Cover 17240% 269.44% 558.13% 146.00%
Headline Social Housing Cost per Unit 230.8k 628.6k 624.8k F4.2k
a) Operating Margin on Social Housing 3.49% 2.68% 4 15'/ 2330%
b) Operating Margin Overall 270% 1 74O/ 257% 2050%
Return on Capital Employed 1.71% 1.17% 1 63% 320%

t forecast s.
Framework VfM Measure Budget 2022P23 2021/'22
2023/'24 (2) (2) (2)
Cost per Service User by Pillar:
Housing 12,719 12,183 11,393
Health 1,438 1,549 1,367
Employment 938 1335 894
Support 1,498 1,591 1,781
Cost per Hour ofService by Pillar:
Housing 36.98 28.72 23.34
Health 38.91 26.84 29.63
Employment 22.46 25.65 26.45
Support 21.59 18.79 17.77
Central Cost asa%ofthe Total 18.91% 17.42% 15.98%

BOARD MEM BERSHIP BERSHIP BERSHIP
The members below, who are considered
directors		 for Company Law purposes, have served in
office from 1st April 2022 to the date of this report except where otherwise indicated.
Ruth Hawkins Interim Chair - substantive role Chair of ARM Committee
Patrick Mitchell Vice Chair
Louise Harris Interim Chair of Audit and Risk Management Committee
Catherine
Arkley		 Chair of Governance, Remuneration &Appraisal Committee
Jane Geraghty Resigned 15.06.2022
Debbie Maitland Resigned 15.09.2022
Paddy Tipping Appointed
12.05.2022
Holly Dagnall Appointed
12.05.2022
Vinay Shankar Nigel Turner
Tim Gallimore

Note 2022/23 2021I22
f000 f.000
Turnover 55,804 50,504
Operating
expenditure		 ~54,832) 49,208
Operating
surplus		 972 1,296
Surplus on disposal ofproperty
Finance income 50
Interest snd financing costs (460) (196)
Surplus for the year 562 1,101
Actuarial
gain in respect ofpension schemes		 16 1,973 430
Total comprehensive income for the year 2,535 1,531

STATEMENT OFFINANCIAL P
AS AT31stMARCH 2023		 OSITION
Note 2022/23 2021/22
f000 f000
FIXEDASSETS
Tangible assets:
Property,
Plant and Equipment		 92,589 87,537
Depreciation (15,256) (13,589)
77,333 73&948
CURRENT ASSETS
Debtors 12 2,380 3,427
Cash and Investments 13 8,652 9,189
11,032 12,616
CREDITORS: AMOUNTS FALLING
DUE WITHIN ONE YEAR 14 (5,636) (6,970)
NET CURRENT ASSETS 5,396 5,646
TOTAL ASSETSLESS
CURRENT LIABILITIES 82,729 79,594
CREDITORS: AMOUNTS FALLING
DUE AFTERMORE THAN ONE YEAR
Deferred government
grants		 15b 40,076 39,193
Long Term Loans 15a 12,861 11,324
Defined benefit pension liability 16 1,820
52,937 52,337
NET ASSETS 29,792 277257
CAPITAL AND RESERVES
Called up Share Capital 17
Designated
Reserves		 23 29,792 27,257
29,792 27,257

Note
f000
At 1stApril 2022 27,257
Surplus for year 562
Actuarial gain in respect ofpension schemes 16 1,973
Revenue Reserves as at31stMarch 2023 29,792
g000
At 1stApril 2021 25,726
Surplus for year 1,101
Actuarial gain in respect ofpension schemes 16 430
Revenue Reserves as at31stMarch 2022 27,257

Note 2022/23 2021/22
8000 f000
Cash generated
from operating
activities
Surplus for the year 562 1,101
Adjustment
for non cash items
Depreciation ofproperty,
plant		 and equipment 1,667 1,550
(increase)/Decrease
in Debtors		 1,047 (435)
Increase/(Decrease)
in Creditors		 (1,302) 164
Pension costs less contribution payable 223 214
(Profit) on disposal ofproperty, plant and equipment 0
Government
grants utilised
in the year		 15b (602) (555)
Adjustment
between creditors due less than 1yr and greater than		 1yr (24)
interest received (50) (1)
Interest payable 460 196
Amounts
charged to financing costs		 16 (70) (50)
Cash generated
by operating		 activities 1,935 2,160
Cash flows from investing
activities
Purchase ofproperty,
plant and		 equipment (5,052) (9,213)
Proceeds fmm the sale ofproperty,
plant and equipment
Grants received 1,504 4,760
Interest received 50 6
Net cash flows from investing activities (3,498) (4,447)
Cash flows from financing
activities
Interest Paid (466) (258)
New Loans 1,990 2,300
Loan repayments (498) (474)
Net cash flows from tinancing activities 1,026 1,568
Net(decrease)/increase
in cash and cash equivalents		 (537) (719)
Note 2022/23 2021/22
8000 8000
Cash and cash equivalents
at beginning ofyear		 13 9,189 9,908
Net (decrease)/increase
in cash		 and cash equivalents (537) (719)
Cash and cash equivalents
at end ofyear		 13 8,652 9,189

expected useful eco nomic lives at the follo wing
ann
Land nil
Buildings- Superstructure 1.25%
Buildings-Roof 2%
Buildings-Heating
Systems		 25%
Buildings - Electrical systems 3%
Buildings
Furniture
I~t		 - Fixtures &Fitting:
and Equipment		 33%

TURNOVER , OPE RATING COSTS AND OP ERATING SURPLUS
2022/23 2021/22
TURNOVER 8000 8000
Rent and service charges receivable 18,703 18,007
Community
care contracts		 1,435 1,340
20,138 19,347
Statutory revenue income (Note 4) 14,050 10,754
Housing
Related Support		 contracts 12,423 11,700
Amortised
government		 grant 602 555
Specific charitable
income		 (Note 4) 3,525 4,436
50,738 46,792
Non specific charitable giving (Note 4) 1,067 762
Other 3,999 2,950
TOTAL TURNOVER 55,804 50,504
OPERATING COSTS
Services 36,917 34,056
Management 11,027 9,247
Maintenance 4,203 3,439
Development 269 237
Fund raising 300 253
Bad debts 449 426
Depreciation 1,667 1,550
TOTAL OPERATING COSTS 54,832 49,208
OPERATING SURPLUS FORTHE YEAR 972 1896
Analysis ofVoids 8000 8000
Voids fiom lettable properties 2,793 2,207
Total Voids 2,793 2+07

3a
PARTICULARS OF TURNOVER,		 OPERATING EXPENDITURE AND OPERATING EXPENDITURE AND OPERATING EXPENDITURE AND
OPERATING SURPLUS
2022/23 2022/23 2022/23
Operating Operating
Turnover Expenditure Surplus/(Deficit)
8000 f000 %000
Social Housing Lettings (Note 3b) 27,645 26,933 712
Other Social Housing
Activities
Charges for support services 11,927 11,897 30
Total Social Housing 39,572 38,830 742
Activities other than Social Housing 16,232 165002 230
Total Non- Social Housing 16,232 16,002 230
Total 55,804 54,832 972
3a
PARTICULARS OFTURNOVER, OPERATING EXPENDITURE AND
OPERATING SURPLUS
OPERATIN G SURPLUS
2021/22 2021/22 2021/22
Operating Operating
Turnover Expenditure Surplus/(Deficit)
8000 5000 f000
Social Housing Lettings (Note 3b) 24,065 235067 998
Other Social Housing Activities
Charges for support setvices 11,226 11,151 75
Total Social Housing 35,291 34,218 Ii073
Activities other than Social Housing 15,213 14,990 223
Total Non- Social Housing 15,213 14,990 223
Total 50,504 49,208 1,296

Social Housing Social Housing
2022/23 2021/22
Income 8000 8000
HB eligible rent &service charges 19,350 18,552
HB ineligible rent dr service charges 788 795
Amortised
government		 grants 602 555
Other grants 6,905 4,163
Turnover
from Social		 Housing Lettings 27,645 24,065
Operating
Expenditure
Management 7,193 5,516
Service Charge Costs 10,760 9,785
Routine Maintenance 4,157 3,326
Planned Maintenance 1,134 1,014
Bad Debts 449 426
Depreciation ofhousing properties 1,239 1,090
Depreciation ofother tangible fixed assets 338 364
Other costs 1,663 1,546
Operating
Expenditure		 on Social Housing Lettings 26,933 23,067
Operating
Surplus		 712 998
Void Losses 2,793 2,207

4
GRANTS AND DONAT		 IONS R ECEIVABLE
2022/23 2021/22
OOOO 5000
STATUTORY SOURCES
Leicester, Leicestershire &Rutland Councils (Edwin) 532 718
DLUC - City ofLincoln Council 653 627
DLUC- Nottingham
City		 3,048 800
DLUC Sheffield 33 30
Nottingham
City CDP (MVH
)		 28 28
Nottingham
City Council (Rough		 Sleepers) 295 350
Nottingham
City CDP (Clean Slate)		 1,000 1,196
Nottingham
City CDP (Nottingham		 Recovery Network) 5,390 4,675
Nottingham
City CDP (Edwin)		 411 235
Nottingham
City CCG Mental Health &Wellbeing		 236 181
Nottingham
City CDP (HALT)		 94 95
Nottingham
City Council (Edwin)		 284
Sheffield City Council (Street outreach/SMHIS) 215 191
DLUC - Ashfield DC (SOT County) 416 636
Homes England (RSAP) 430 204
Other Statutory Grants 1,269 504
Total 14,050 10,754
SPECIFIC CHARITABLE SOURCES
BBC-CIN (Employment
&Skills)		 9
BigLottery Fund (Opp Nottm) 429 1373
BigLottery (Opportunity
&Change)		 1,498 1,476
SSBC(Family Mentor &Aspley Mentor) 1,362 1,292
BigLottery (Homeless to Home) 73 229
BBOLinc - UC Move 34 31
Other Specific Grants 129 26
Total 37525 4,436
OTHER GRANTS AND DONATIONS
Grants and Donations 1,067 762
Total 1,067 762
Grand
'		 18,642 15,952
M ttlt~dd'tdld t lltdttddll d f) lf
determined
by the funders.

FRAMEWORK HOUSING ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS
FORTHE YEAR ENDED 31stMARCH 2023
5
FINANCE INCOME
2022/23 2021/22
5000 5000
Bank interest receivable 50
50
6
INTEREST AND FINANCING COSTS
2022/23 2021/22
5000 %000
Bank loans and overdrafts 466 258
Costs associated with financing
Net interest on defined benefit liability (Note 16) 45 42
511 300
Borrowing costs capitalised (51) (104)
460 196
7
SURPLUS FORTHE YEAR
2022/23 2021/22
5000 5000
Surplus for the year is stated after charging:
Depreciation
on housing properties		 1,329 1,185
Depreciation
on other fixed assets		 338 364
External Auditor's
Remuneration
(excluding VAT)
-Audit-related
assurance services		 29 25
Operating
lease charges on land and buildings		 1,929 1,855
Operating
lease charges on other assets		 182
8
TAXATION

2022/23 2021/22
F000 8000
Staffcosts including directors:
Wages and salaries 26,682 24,420
Redundancy
costs		 8 22
Social security costs 2,080 1,809
Other pension costs 1,007 956
Total 29,777 27,207
The full Time Equivalent number ofstaff who received emoluments, including pension
contribution,
in excess of260,000		 are shown below.
2022/23 2021/22
No. No.
Salary Band f000
60,000 - 69,999
70,000 - 79,999
80,000 - 89,999
90,000 - 99,999
Average number offull time equivalent persons (FTE)employed: 2022/23 2021/22
No. No.
Supported
Housing		 588 570
Tenancy Sustainment 183 178
Fundraising
and Communications		 12 9
Management
and Administration		 (Central Office) 103 93
Care Home 91 94
Non Housing
related		 service staff 344 293
Average number ofFTEemployees during the year 1,321 1,237

10
DIRECTORS' REMUNERATION
AND T
Key management
personnel
remuneration		 RANSACTIONS
2022/23 2021/22
f000 %000
Directors who are executive staff members
Wages and salaries 464 463
Loss ofOffice payment
Social security costs 55 53
Other pension costs 23 26

s
2022/23 2021/22
8000 8000
98 89

Properties
in		 Properties
in		 Properties
in		 Plant and
Management Development Equipment Total
8000 8000 $000 8000
COST
At 1stApril 2022 79,145 6,015 2 377 87,537
Additions
during the year		 503 4,279 79 4,861
Capitalised
Repairs		 191 191
Transferred
on completion		 8,489 (8,489)
Disposals during tbe year
Total at31stMarch 2023 88,328 1,805 2,456 92,589
DEPRECIATION
At 1stApril 2022 11,701 1,888 13,589
Charge for the year 1,329 338 1,667
Disposals
during the year
Total at31stMarch 2023 13,030 2,226 15,256
NET BOOKVALUE
At 1stApril 2022 67,444 6,015 489 73,94&
At31stMarch 2023 75,298 1,805 230 77.333
Included
in properties
in		 management is Anvil House (formerly "Scotter House" )which is
subject to a60year lease atanet book value of 81,630k.
Expenditure
on own properties		 2022/23 2021/22
f000 8000
Capitalised
development		 costs 4,782 8,421
Repairs and Maintenance charged to operating
expenditure		 1,198 902
Total expenditure
on own properties		 5,980 9,323

12
DEBTORS
2022/23 2021/22
5000 %000
AMOUNTS PALLING DUE WITHIN ONE YEAR
Rent, service, support
and community
Less: Provision for bad debts		 care charges (Note below *) 1,201
(331)		 1,326
~3433
Net rent, service and support charges 870 983
Prepayments
and accrued income		 808 763
Grants and loans receivable 693 1,680
Other taxation and social security 9 I
Debtors at 31stMarch 2)380 3,427
*No disclosure
has been made		 ofthe amount ofthe net present value adjustment
where a
repayment
schedule
is in place as the		 amount is considered to be minimaL
13
CASH AND INVESTMENTS
2022/23 2021/22
5000 0000
Cash 120 86
Cash aud cash equivalents 8,532 9,103
Cash and Investments
at31stMarch		 8,652 9,189
14
CREDITORS
2022/23 2021/22
AMOUNTS FALLING DUE WITHIN ONE YEAR %000 0000
Accruals and deferred income 2,922 3,290
Trade creditors 1,496 2,319
Other creditors 91 75
Other taxation and social security 146
Government
grants (Note 15b)		 608 589
Principal Loan repayments
(Note 15a)		 519 551
Creditors at 31stMarch 5,636 6,970

AMOUNTS FALLIN
THAN ONE YEAR		 G DUK AFTER MORE
2022/23 2021/22
8000 5000
Long Term Loans 12,861 11,324
Deferred Government Grants 40,076 39,193
52,937 50,517

2022/23 2021/22
F000 5000
Loans repayable
by instalments
Within one year or less 519 551
More than one year but not more than two years 583 612
More than two years but not more than five years 1,951 1,918
More than five years 10,327 8,794
13,380 11,875

2022/23 2021/22
8000 5000
Deferred capital grant as at 1stApril 39,782 35,577
Grants received in the year 1,504 4,760
Grant repayments
during the year		 0 0
Amortised
to Statement ofComprehensive		 Income (602) (555)
Deferred capital grant as at 31March 40,684 39,782
Amount
to be released within one year		 608 589
Amount to be released after one year 40,076 39,193

At31st At 31st
March March
2023 2022
'/o '/o
Rate ofincrease in salaries 3 90a 4 15'/o
Rate ofincrease for pension in paymentfinflation 2 90o/o 3.15'/o
Discount rate for scheme liabilities 4.80o/a 2.60'/a
Inflation assumption
(CPI)		 2 90a/o 3 15o/o

At 31st At 31st At 31st
March March
2023 2022
Retiring today Years Years
Males 20.7 22.0
Females 23.5 24.5
Retirtng in 20years
Males 22.0 23.4
Females 25.0 26.0
The estimated
asset allocation		 for the Association as at 31March 2023 is a follows:
At 31st At 31st
March March
2023 2022
Equities 58% 62%
Gilts 2% 4
Other Bonds 6% 7%
Property
Cash
Infrastructure		 12%
5%		 11%
Inflation-linked pooled fund 5%
8%
Private Equities 4% 0
Total 100% 100%
Analysis ofthe amount charged to operating costs in the
Statement ofComprehensive Income.
At 31st At 31st
March March
2023 2022
f000 g000
Employer service cost (net of employee contributions) (107) (121)
Total operating charge (107) (121)
Analysis ofpension finance income/(costs)
Expected return on pension scheme assets (70) (50)
Interest on pension liabilities 115 92
Amounts charged/(credited) to financing costs 45 42
Amount ofgains and losses recognised in the Statement of
Comprehensive Income
Actuarial gains/(losses) on pension scheme assets. 2,052 301
Actuarial gains on scheme liabilities (79) 129
Actuarial (loss)/gain recognised 1,973 430

FRAMEWORK HOUSlNG ASSOCIATION
NOTES TO THE FINANCIAL STA.TEMENTS
FORTHE YEAR ENDED 31stMARCH 2023
16
PENSION OBLIGATIONS (continued)		 FRAMEWORK HOUSlNG ASSOCIATION
NOTES TO THE FINANCIAL STA.TEMENTS
FORTHE YEAR ENDED 31stMARCH 2023
16
PENSION OBLIGATIONS (continued)		 FRAMEWORK HOUSlNG ASSOCIATION
NOTES TO THE FINANCIAL STA.TEMENTS
FORTHE YEAR ENDED 31stMARCH 2023
16
PENSION OBLIGATIONS (continued)		 FRAMEWORK HOUSlNG ASSOCIATION
NOTES TO THE FINANCIAL STA.TEMENTS
FORTHE YEAR ENDED 31stMARCH 2023
16
PENSION OBLIGATIONS (continued)		 FRAMEWORK HOUSlNG ASSOCIATION
NOTES TO THE FINANCIAL STA.TEMENTS
FORTHE YEAR ENDED 31stMARCH 2023
16
PENSION OBLIGATIONS (continued)		 FRAMEWORK HOUSlNG ASSOCIATION
NOTES TO THE FINANCIAL STA.TEMENTS
FORTHE YEAR ENDED 31stMARCH 2023
16
PENSION OBLIGATIONS (continued)
The amount
included
in the Statement ofFinancial Position arising from the Association's
obligations
in respect ofits defined benefit retirement		 benefit scheme is as follows:
At 31st At 31st
March March
2023 2022
Movement
in surplus/(deficit)
during		 year f000 f000
(Deficit) in scheme at I April (1,820) (2,086)
Movement
in year
Employer service cost (169) (182)
Employer
contributions		 62 61
Return on assets (220) 64
Remeasurements 2,147 323
Surplus/(Deficit)
in scheme at 31March		 0 ((,820l
Asset and Liability Reconciliation
At 31st At 31st
March March
2023 2022
8000 g000
Opening
defined benefit obligation		 4,452 4,477
Service Cost 169 182
Interest Cost 115 92
Change in financial
assumptions		 (1,988) (309)
Change in demographic
assumptions		 (262)
Experience (gain)/loss
on defined benefit obligation		 138 8
Estimated benefits paid net oftransfers in (45) (22)
Past service costs, including
curtailments
Contributions
by Scheme participants		 and other employers 25 24
Closing defined benefit obligation 2,604 4,452
Assets at start ofperiod 2,632 2,391
Interest on assets 70 50
Return on assets less interest (79) 129
Other actuarial (losses) (50)
Administration
Expenses		 (I) (1)
Contributions
by employer
including		 unfunded 62 61
Contributions
by Scheme participants		 and other employers 25 24
Estimated benefits paid net oftransfers in (45) (22)
Settlement
prices received/(paid)
Assets at end ofperiod 2,614 2,632
Actual return on plan scheme assets (59] 179

19 CAPITAL COMMITMENTS CAPITAL COMMITMENTS 2022/23 2021/22
KOOO KOOO
Capital expenditure
contracted for		 at 31stMarch
but not provided for in the financial statements 1,876 2,400
Less funding
allocations		 (728) (1,258)
Internal funding
commitment		 1)148 1,142
Total future minimum
lea
as follows:		 se pa yments
under n		 on-cancellabl e
operating		 leases are
2022/23 2021/22
Land and Z022/23 Land and 2021/22
Buildings Other Buildings Other
KOOO KOOO KOOO KOOO
Operating
leases which expire:
Within one year 1,929 321 1,855 182
Within two to five years 1,023 55 1,845 55
After five years 46 55 884 55
2,998 431 4,584 292
21
HOUSING STOCK
NUMBER OFUNITS IN MANAGEMENT 2022/23 2021/22
Social Housing No. No.
Social rent supported
housing		 1,037 1,020
Affordable
rent supported		 housing 123 123
Care Homes 63 63
Social housmg units managed but not owned 86 91
TOTAL 1,309 1)297

RECONCILIATION
OFMOVEMENT OF		 RECONCILIATION
OFMOVEMENT OF		 UNITS IN MANAGEMENT UNITS IN MANAGEMENT UNITS IN MANAGEMENT
2022/23 2021/22
No. No.
Opening Units in Management 1,297 1,224
Newly built rental accommodation 37 ll
Units purchased
by the RP for rent		 17 61
All other gains I'rom outside existing social housing stock 39 27
Loss ofsocial housing due to end oflease (52) (31)
All other losses to existing housing stock (24)
Gain ofmanaged
units		 1 5
Loss ofmanaged
units		 (6)
Closing Units in Management 1,309 1,297
22 LEGISLATIVE PROVISIONS
The Association is incorporated
under the Companies		 Act 2006 and is aRegistered Social
Landlord.
23 DESIGNATED RESERVES 2022/23 2021/22
Reserves (Liquid
—Minimum
Cash)		 4,500 4,500
Reserves (Liquid - Allocated to Development Programme) 896 1,146
Reserves (Non - Liquid - Property ) 24,396 21,611
29,792 27,257