**Charity Registration No. 1063038**
**Company Registration No. 02861966 (England and Wales)**
## **OPTIONS FOR SUPPORTED LIVING**
# **ANNUAL REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **OPTIONS FOR SUPPORTED LIVING**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
## **Trustees**
Ivor Langley Louise Barry Julia Erskine Kevin Peacock
## **Secretary**
Angeline Chikuruwo
|**Chief Executive and management**|**team**|
|---|---|
|Chief executive|Richard Williams|
|Finance manager|Angeline Chikuruwo|
|Development manager|Sharon Smith|
|Development manager|Marie Binns|
|Development manager|Jill Bainbridge|
|Development manager|Jennifer Clarke|
|Office manager|Angela Marincowitz|
|Innovations and HR manager|Lisa Goulding|
|Quality manager|Steph Hannan|
|**Charity number**|1063038|
|**Company number**|02861966|
|**Registered office / Head office**|St. Nicholas House|
||Old Churchyard|
||Chapel Street|
||Liverpool|
||L2 8TX|
|**Auditor**|BWM|
||Castle Chambers|
||43 Castle Street|
||Liverpool|
||L2 9SH|
|**Bankers**|Lloyds Bank plc|
||Merchants Court|
||2 - 12 Lord Street|
||Liverpool|
||L2 1TS|
||HSBC plc|
||99-101 Lord Street|
||Liverpool|
||L2 6PG|
||Barclays Bank plc|
||Lord Street|
||Liverpool|
||L2 1TD|
## **OPTIONS FOR SUPPORTED LIVING**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 6|
|Statement of trustees' responsibilities|7|
|Independent auditor's report|8 - 10|
|Statement of financial activities|11 - 12|
|Balance sheet|13|
|Statement of cash flows|14|
|Notes to the financial statements|15 - 28|
## **OPTIONS FOR SUPPORTED LIVING**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
The trustees present their report and financial statements for the year ended 31 March 2021.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".
## **Objectives and activities**
Options is an organisation whose purpose (our mission) is to enable, empower and support people with learning disabilities to live their lives to the full. Providing support means that we focus on listening to people who we support — listening to their hopes, their wishes and aspirations, and then building support around them to help them achieve those aspirations. Some of the support is to people living in their family homes, and some to people who live in houses or flats they own or rent. Our vision is:
a better world
where people with disabilities contribute
as unique and valued members of
dynamic and inclusive communities.
Our philosophy of support - that we listen to people and support them to achieve what they want - is called person centredness, and lies at the heart of what has been central government policy - Valuing People and Valuing People Now. Our philosophy remains unchanged. The vision drives us to be more outward looking and to work to influence society at large and the communities in which we live and work to embrace the potential of people with disabilities.
The principal activity of Options during the year was supporting adults (and a small number of children) with learning disabilities to lead lifestyles that reflect their value as people and their uniqueness as individuals. This was provided in Liverpool, Sefton and Wirral.
## **Public Benefit — activities and achievements this year**
"The objects of the Company are to relieve adults and children who have disabilities and in particular by the provision of support which we will encourage and assist adults and children to lead lifestyles of their own choice." (from the Memorandum of Association). This has been delivered by the provision of support to people with disabilities living in their own homes or family homes in the community.
People we support continue to make many smaller and larger steps towards their aspirations, and towards greater independence. Some people now live more independently with less support. Several of our funding authorities have stated that they do not want to commission sleep-ins in the long term, and the number of sleep-ins we provide has fallen. If this becomes the norm that will represent significant change for the people we support and for our staff and the configuration of the support we provide. Generally, people we support are learning to do more for themselves. The level of inclusion and community engagement for people we support has fallen over the last year due to the Corona Virus. We have lost one person we support to the virus and no staff. In the circumstances this is a low number, but is still one too many and we mourn that loss. Several staff have suffered significantly with the virus and we are glad that all are recovering or have recovered. The consequences of the strains of the last year will be felt for many long after jabs and return to relative normality. We are continuing to look at ways to support everyone’s mental health. We have a full-time Health lead to champion better health for the people we support, and counteract some of the systems failures recognised in the LeDeR reports into the premature death of people with learning disabilities. This has proven challenging work – particularly in relation to access to Health Action Plans completed by GPs in response to people’s annual health checks.
- 1 -
## **OPTIONS FOR SUPPORTED LIVING**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
The Health Lead has also championed the best possible support for people when they have been in hospital during this last difficult year. We also have a full-time technology lead – helping us to automate as many of our administrative processes as possible, and helping people we support to access personalised (assistive) technology. Two new IT systems to manage many of our records and processes have gone live in the last few months.
Options approach to meeting our aims, is to provide individually focused support to each person who approaches us for support or who is referred to us by our purchasers. Our approach is to:
1. meet the person, and those people important to them, to get to know them;
2. build a Support Plan/Person Centred Plan to record what the person wants in their life, and plan how that would be delivered;
3. produce a Team Action Plan, and Guidelines for Support to deliver the Support Plan and Person Centred Plan;
4. recruit a dedicated team to deliver the plan;
5. monitor the progress towards completion of the plan through the Quality Assurance Audit system, supervisions and team meetings.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
## **Achievements and performance**
In the year to 31 March 2021, we supported 115 people in more intensive supported living services (60 hours per week or more) and 63 people in less intensive supported living or Outreach (less than 60 hours). Outreach tends to be more focused on supporting people to access their local communities - work, education, hobbies and interests. The numbers of people supported is broadly comparable with last year. We continue to gently grow but without aggressively seeking expansion. We wish to do what we do well and to maintain our Outstanding rating with the Care Quality Commission.
Since 2014 there have been fewer individual tenders for the support of people with complex support needs but more frequent requests for those who live at home, and for support of children who live at home. We increasingly are asked for solutions which include housing options – often suggesting a flat within a block of flats. where other people also receive support, and hence where staff costs can be shared. We are working to ensure we can respond to such tenders. One such scheme was completed in 2019/20, another in 2020/21 and a further scheme is currently under development.
Contracting arrangements have required of Options comprehensive systems and processes and further work has been focused on automating these systems and processes. The Quality Manager has a key role ensuring we have good statistics on how things are going, with strategies for improvement where we need to. These are developed by the Leadership Team and Leaders Group. Celebration and recognition, where staff are doing really well, is a key aspect of what we do. We continue to satisfy Care Quality Commission requirements, and to maintain our ‘Outstanding’ rating that is only achieved by roughly 5% of all registered providers of domiciliary care.
We regularly refresh our website, and we have a comprehensive marketing/ communication strategy. During the year, our Communications lead has ensured we influence more widely and highlight to others our learning and what we believe contributes to great support. That has included championing the Real Living Wage which we continue to pay to all staff. Most importantly we are working hard to listen to people we support and their families.
- 2 -
## **OPTIONS FOR SUPPORTED LIVING**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
The organisation's finances remain stable allowing us to make a surplus but that has largely been because of vision related developments which were not able to proceed, and so we will be carrying that activity and the associated costs into the new financial year. The Real Living Wage is only funded by one of our three local authorities and we continue to urge our other funders to pay what is needed to recruit and retain fabulous staff. That has been a challenge and we have increased our resourcing of the HR department so that we now have staff vacancies at very low levels. The debacle over whether the National Living Wage should be applied to sleep-ins has now been settled following a ruling by the Supreme Court. Therefore, we have been able to remove our contingent liability. We wait to see how our funders respond to the now firm legal position in relation to sleep-ins.
Since March 2020 we have been working through the challenges of Covid 19. That has been a significant challenge and we would like again to express our thanks to the fabulous staff of Options who have worked tirelessly through this period to maintain support. We have recognised their contributions with an additional £500 to say thank you to each full-time staff member with us through the year, and also a range of other tokens of our appreciation. A special thank you to Peter and Elaine Kinsella, who through their restaurant, Lunya, twice provided staff with a free meal. Local authorities made some additional funding available, in each case tied to certain conditions. We have had a good supply of PPE after the first couple of months and now have the vast majority of staff both testing and vaccinated (first jab at this point), and most of the people we support also vaccinated. We would also want to thank families who have had to endure prolonged periods without their visits to their loved ones.
## **Financial review**
The results for the year and the charity's financial position at the end of the year are shown within these financial statements.
## _**Income**_
Total Income increased by 15.6% compared to last year from £7,333k to £8,474k. COVID-19 funding, furlough income and the annual increase in support contracts rates contributed to the increase. Wirral Council revised their rates in May to fund the Real living Wage for support staff. The Local Authorities we work with have been very supportive to enable us to deliver safe support, including COVID grants and paying us for contracted hours in April and May when we faced disruptions in the delivery of support.
## _**Expenditure**_
In line with the increase in income for COVID funding, exceptional expenditure also increased as a result of the pandemic, including costs for PPE and furlough, sickness, staff cover and isolation costs for staff. Total expenditure increased by 14. 5 % from £7,237k to £8,2 83 k.
During the year, we focused on ensuring the people we support, and our staff were safe. The challenges brought by COVID are not over yet, but we are as prepared as we can be for the future and hope to continue fulfilling our mission through wise application of our reserves and with the support of Local Authority Commissioners and other stakeholders.
## **Reserves policy**
The Charity's reserve policy identifies specific and generic risks, assessed annually, and an appropriate level of reserves are set aside to cover these. Reserves are reviewed annually to ensure continued financial security and to provide for contingencies.
Free reserves are defined as unrestricted funds that can be spent on any of the Charity’s aims. Designated Fund reserves are defined as unrestricted funds which have been set aside by trustees for an important future purpose or to provide against risks in the future, which can include cover for catastrophic circumstances. Restricted Fund reserves are funds given to a charity for a particular purpose and can only be spent on that purpose.
- 3 -
## **OPTIONS FOR SUPPORTED LIVING**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
At 31 March 2021 our total reserves were £4,2 16 , 752 (2020: 4,025,895) which includes restricted funds of £28,991 (2020: £39,989), general funds of £9 16 , 854 (2020: £786,925) and designated funds of £3,270,907 (2020: £3,198,981).
Details of designated funds and of restricted funds may be found on note 16 and 17 of the accounts.
## **Investment Policy**
Aside from retaining a prudent amount in reserves each year, the remaining funds are allocated for expenditure. Any funds not immediately required are invested in interest bearing deposit accounts. The trustees have agreed an approach to increase the minimal returns from holding cash deposited on a shortterm basis.
## **Risk Management**
The trustees confirm that the major risks to which the charity is exposed have been reviewed and systems have been established to mitigate those risks. The major risks to the Charity currently are:
1. Wholesale re-provisioning/re-tendering of supported living by any of our major purchasers.
2. A move by purchasers (statutory) away from individualised support.
3. A major incident damaging our reputation.
4. The loss of key personnel within the organisation.
5. Budget cuts within local authorities squeezing our flexibility to work to our unique model, and support becomes unachievable within the principles we work to.
6. An inability to attract and retain staff of the quality we need to work as we do.
7. Regulations and bureaucracy thwarting person centred support
8. The impact of the Corona Virus epidemic on local authority funding
## **Future Developments**
We aim for continued gentle expansion within the areas in which we currently work in 2021/22. We believe this will partly come in gentle overall growth though that may occur in occasional jumps in growth as new projects come online. Our major focus will be on delivering improved quality alongside the gentle expansion and expanding our focus to people with disabilities who we do not directly support, and the communities in which they live. We also foresee continued reductions in the support hours we provide to each person as our local authorities respond to the financial pressures of several years of austerity, and also sadly through the consequences of the ageing of the people we support. We will need to win new contracts to maintain our current hours of support.
## **Structure, governance and management**
The charity is constituted as a company limited by guarantee, and is therefore governed by its Memorandum and Articles of Association.
The company has no share capital. Every member of the company undertakes to contribute to the assets of the charity, in the event of being wound up while he or she is a member or within a year of ceasing to be a member for debts and liabilities of the charity contracted before he or she ceases to be a member, such amounts may be required, not exceeding £ 1.
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:
- 4 -
## **OPTIONS FOR SUPPORTED LIVING**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
Ivor Langley Brian Simpson Louise Barry Julia Erskine Kevin Peacock
(Resigned 23 November 2020)
## **Appointment and Induction of Trustees**
Trustees are normally appointed at General Meetings. There is now an agreed time limit of four years for trustee length of service, after which a trustee could then be re-appointed for a further four years. No absolute limit is set as we see the benefits of a mix of long-serving and of newer trustees.
All appointed trustees go through an induction process with existing trustees, the Chief Executive and the Secretary of the charity. They are given various documents, detailing their responsibilities and also ensuring they are aware of the context in which Options works, its Vision, Mission, Aims, Beliefs, Working Values, and the Development Plan and Budget.
## **Organisation**
The trustees employ a number of staff to run the day-to-day operations of Options. The Leadership Team consists of four Development Managers, an Innovations and HR Manager, a Finance Manager, a Quality Manager, an Office Manager, and Chief Executive. All these positions are held by the same people as last year, although the existing Quality Manager is on maternity leave and we have appointed on a temporary basis someone to that position. In addition, we have appointed a Community Engagement and Development Manager to lead our outward facing community work.
Major decisions affecting the charity must be approved by the trustees, and strategically this is through the Development Plan, which identifies the major priorities for the organisation, and the Budget, which reflects the Development Plan. The limitations and the resourcing pressures created by the Corona Virus pandemic during the year has resulted in much of the Development Plan being suspended until October 2021 when we hope to be able to push ahead with more externally focused work. In order for a decision to be passed by the trustees there must be a quorum of at least three trustees present at a meeting. The trustees meet together five or six times a year, and two members sit on the Finance Sub-Committee which also meets five or six times each year. The Trustees have been using the updated Charity Governance Code to benchmark the effectiveness of their work.
Organisational development is planned, actioned and monitored through the bi-annual Development Plan.
## **Pay Policy of senior staff**
The trustees together with the Chief Executive and the Leadership team are the key management personnel in charge of directing and controlling, running and operating the charity. All trustees give off their time freely and no trustee received remuneration in the year.
The pay of senior staff is reviewed annually by the trustees as part of a finance subcommittee, and any increases must then be approved by the full Trustee Board. Remuneration is based on roles and responsibilities undertaken. The annual review accounts for inflation and is benchmarked against information gathered for similar roles in the Social Care Charity sector.
The remuneration of the Chief Executive consists of salary, pension and performance related pay or bonus. The performance of the Chief Executive officer is assessed annually by the Trustees to determine the bonus element, which is capped according to the organisations’ financial policies.
When setting the remuneration of the Chief Executive Officer, the trustees recognise that the salary needs to attract an individual of high calibre, who can lead the organisation through the complexity of the social care sector, and whose role will involve making important decisions for staff, volunteers and people supported by the charity.
- 5 -
## **OPTIONS FOR SUPPORTED LIVING**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **Auditor**
BWM Chartered Accountants Ltd were appointed as auditor to the company and a resolution proposing that they be re-appointed will be put at a General Meeting.
## **Disclosure of information to auditor**
Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.
The trustees' r eport was approved by the Board of Trustees.
## **Ivor Langley**
Trustee Dated: 27 September 2021
- 6 -
## **OPTIONS FOR SUPPORTED LIVING**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
## _**FOR THE YEAR ENDED 31 MARCH 2021**_
The trustees, who are also the directors of Options for Supported Living for the purpose of company law, are responsible for preparing the Trustees' 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 which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
- 7 -
## **OPTIONS FOR SUPPORTED LIVING**
## **INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF OPTIONS FOR SUPPORTED LIVING**
## **Opinion**
We have audited the financial statements of Options for Supported Living (the ‘charity’) for the year ended 31 March 2021 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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 company's affairs as at 31 March 2021 and of its incoming resources and application of resources, 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 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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity 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 charity’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 other information comprises the information included in the annual report other than the financial statements and our auditor's 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 form of assurance conclusion thereon. 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 course of 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 our audit:
- the information given in the trustees' r eport, which includes the d irectors ' r eport prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the d irectors ' r eport included within the trustees' r eport has been prepared in accordance with applicable legal requirements.
- 8 -
## **OPTIONS FOR SUPPORTED LIVING**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF OPTIONS FOR SUPPORTED LIVING**
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the d irectors ' r eport included within the trustees' r eport.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; 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' r eport and from the requirement to prepare a s trategic r eport.
## **Responsibilities of trustees**
As explained more fully in the s tatement of trustees' r esponsibilities, the trustees, who are also the directors of the charity for the purpose 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 charity’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.
## **Auditor's 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 an auditor's report 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.
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 .
## **Extent to which the audit was considered capable of detecting irreguarities, including fraud**
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
- we identified the laws and regulations applicable to the company through discussions with directors and other management;
- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment and health and safety legislation;
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
- 9 -
## **OPTIONS FOR SUPPORTED LIVING**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF OPTIONS FOR SUPPORTED LIVING**
We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls, we:
- performed analytical procedures to identify any unusual or unexpected relationships;
- tested journal entries to identify unusual transactions;
- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
- investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
- agreeing financial statement disclosures to underlying supporting documentation;
- reading the minutes of meetings of those charged with governance; and
- enquiring of management as to actual and potential litigation and claims.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: http s :// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
## **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.
**Peter Taaffe FCA CTA DChA (Senior Statutory Auditor) for and on behalf of BWM** 19 October 2021
**Chartered Accountants Statutory Auditor**
Castle Chambers 43 Castle Street Liverpool L2 9SH
- 10 -
## **OPTIONS FOR SUPPORTED LIVING**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **Current financial year**
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2021**
**2021**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**3**
-
143,500
Charitable activities
**4**
8,315,983
-
Investments
**5**
1,967
-
Material other income
12,158
-
**Total income**
8,330,108
143,500
**Expenditure on:**
Charitable activities
**6**
8,126,565
156,186
**Net income/(expenditure) before transfers**
203,543
(12,686)
Gross transfers between funds
(1,688)
1,688
**Net movement in funds**
201,855
(10,998)
Fund balances at 1 April 2020
3,985,906
39,989
**Fund balances at 31 March 2021**
4,187,761
28,991|**Total**
**2021**
**£**
143,500
8,315,983
1,967
12,158
8,473,608
8,282,751
190,857
-
190,857
4,025,895
4,216,752|Total
2020
**£**
-
7,298,577
15,666
19,224
7,333,467
7,237,138
96,329
-
96,329
3,929,566
4,025,895|
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
- 11 -
## **OPTIONS FOR SUPPORTED LIVING**
## **STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **Prior financial year**
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2020**
**2020**
**Notes**
**£**
**£**
**Income from:**
Charitable activities
**4**
7,239,571
59,006
Investments
**5**
15,666
-
Material other income
19,224
-
**Total income**
7,274,461
59,006
**Expenditure on:**
Charitable activities
**6**
7,211,434
25,704
**Net movement in funds**
63,027
33,302
Fund balances at 1 April 2019
3,922,879
6,687
**Fund balances at 31 March 2020**
3,985,906
39,989|**Total**
**2020**
**£**
7,298,577
15,666
19,224
7,333,467
7,237,138
96,329
3,929,566
4,025,895|
|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
- 12 -
## **OPTIONS FOR SUPPORTED LIVING**
## **BALANCE SHEET**
## _**AS AT 31 MARCH 2021**_
|**Notes**
**Current assets**
Debtors
**13**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**14**
Net current assets
**Income funds**
Restricted funds
**16**
Unrestricted funds
Designated funds
**17**
General unrestricted funds|**2021**
**£**
**£**
351,191
4,651,972
5,003,163
(786,411)
4,216,752
28,991
3,270,907
916,854
4,187,761
4,216,752|**2020**
**£**
**£**
471,095
4,087,378
4,558,473
(532,578)
4,025,895
39,989
3,198,981
786,925
3,985,906
4,025,895|
|---|---|---|
The financial statements were approved by the Trustees on 27 September 2021
Ivor Langley **Trustee**
## **Company Registration No. 02861966**
- 13 -
## **OPTIONS FOR SUPPORTED LIVING**
## **STATEMENT OF CASH FLOWS** _**FOR THE YEAR ENDED 31 MARCH 2021**_
|**Notes**
**Cash flows from operating activities**
Cash generated from operations
**21**
**Investing activities**
Investment income received
**Net cash generated from investing**
**activities**
**Net cash used in financing activities**
**Net increase in cash and cash equivalents**
Cash and cash equivalents at beginning of year
**Cash and cash equivalents at end of year**|**2021**
**£**
**£**
562,627
1,967
1,967
-
564,594
4,087,378
4,651,972|**2020**
**£**
**£**
311,862
15,666
15,666
-
327,528
3,759,850
4,087,378|
|---|---|---|
- 14 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **1 Accounting policies**
## **Charity information**
Options for Supported Living is a private company limited by guarantee incorporated in England and Wales. The registered office is St. Nicholas House, Old Churchyard, Chapel Street, Liverpool, L2 8TX.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling , which is the functional currency of the charity. Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
## **1.2 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.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Designated funds comprise funds which have been set aside at the discretion of the trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.
Transfers of funds from general unrestricted funds to designated funds are approved by the trustees.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
## **1.4 Income**
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Revenue in respect of service contracts is credited to income in the period in which entitlement becomes due .
Income from government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received, and the amount can be measured reliably and is not deferred.
Investment income is included when receivable.
- 15 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **1 Accounting policies**
**(continued)**
## **1.5 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure on charitable activities includes those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
## **1.6 Intangible fixed assets other than goodwill**
Expenditure relating to the development of a management information system has been capitalised and is being amortised over its useful life of 3 years.
## **1.7 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:
Leasehold improvements straight line over life of lease Plant and equipment straight line over 3 to 5 years Fixtures and fittings straight line over 10 years
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 net income/(expenditure) for the year.
## **1.8 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts.
## **1.9 Financial instruments**
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
- 16 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **1 Accounting policies**
## **(continued)**
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
## **1.10 Taxation**
The charity is exempt from tax on its income and gains falling within part 11 of the Corporation Tax Act 2010 or Section 256 of of the Taxation of Chargeable Gains Act 1992 to the extent that they are applied to its charitable activities.
## **1.11 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
## **1.12 Retirement benefits**
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
## **2 Critical accounting estimates and judgements**
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
## _**Holiday Pay Accrual**_
Staff have different annual leave entitlement years, depending on the month they started working for Options. The Accrued Holiday Pay calculation is based on entitled annual leave allowance less annual leave taken between April & March, multiplied by the average rate of earnings for each staff. This can result in the accrual slightly higher or lower than the exact accrual.
- 17 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **3 Donations and legacies**
||**Restricted**|Total|
|---|---|---|
||**funds**||
||**2021**|2020|
||**£**|£|
|Grants receivable|143,500|-|
Other grant income includes £142,500 (2020: £nil) to provide Corona virus support.
## **4 Charitable activities**
||**Charitable**|
**Charitable**|
|---|---|---|
||**Income**|
**Income**|
||**2021**|
**2020**|
||**£**|
**£**|
|Services provided under contract|8,315,983|
7,238,720|
|Performance related grants|-|
59,857|
||8,315,983|
7,298,577|
|Analysis by fund|||
|Unrestricted funds|8,315,983|
7,239,571|
|Restricted funds|-|
59,006|
|**Investments**|||
||**Unrestricted**|Unrestricted|
||**funds**|funds|
||**2021**|2020|
||**£**|£|
|Interest receivable|1,967|15,666|
## **5 Investments**
- 18 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **6 Charitable activities**
|Staff costs
Staff expenses
Travel, housing and sundry for People We Support
Other project activity costs
Premises costs
General administrative expenses
Legal and professional costs
**Analysis by fund**
Unrestricted funds
Restricted funds
**Auditor's remuneration**
The analysis of auditor's remuneration is as follows:
**Fees payable to the charity's auditor and associates:**
Audit of the charity's annual accounts
**Non-audit services**
Taxation compliance services
All other non-audit services
**Total non-audit fees**||**Support**
**services**
**2021**
**£**
7,794,800
14,233
2,183
61,824
106,778
231,713
71,220
8,282,751
8,282,751
8,126,565
156,186
8,282,751
**2021**
**£**
5,300
250
1,200
1,450|**Support**
**services**
**2020**
**£**
6,829,117
44,071
2,744
30,900
99,722
186,503
44,081
7,237,138
7,237,138
7,211,434
25,704
7,237,138
**2020**
**£**
4,700
-
1,000
1,000|
|---|---|---|---|
|||||
|||||
## **7 Auditor's remuneration**
## **8 Trustees**
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
- 19 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **9 Employees**
The average monthly number of employees during the year was:
|Chief Executive
Support Workers
Management and Administration
Total
**Employment costs**
Wages and salaries
Social security costs
Other pension costs
Training and development
Other staff costs
Agency staff
The number of employees whose annual remuneration was £60,000 or
more were:
£80,001 to £90,000|**2021**
**Number**
1
313
30
344
**2021**
**£**
6,942,518
551,814
220,236
30,162
22,660
27,410
7,794,800
**2021**
**Number**
1|**2020**
**Number**
1
288
27
316
**2020**
**£**
5,917,636
444,243
145,051
160,751
30,318
131,118
6,829,117
**2020**
**Number**
1|
|---|---|---|
Contributions totalling £ 29,917 (2020: £8,140) were made to defined contribution pension schemes on behalf of employees whose emoluments exceed £60,000.
## **10 Retirement benefit schemes**
## **Defined contribution schemes**
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
The charge to profit or loss in respect of defined contribution schemes was £220,236 (2020: £145,051).
At the year end there was an amount payable to the defined contribution schemes of £37,792 (2020: £25,633).
- 20 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **11 Intangible fixed assets**
|**Cost**
At 1 April 2020 and 31 March 2021
**Amortisation and impairment**
At 1 April 2020 and 31 March 2021
**Carrying amount**
At 31 March 2021
At 31 March 2020
**12**
**Tangible fixed assets**
**Leasehold**
**improvements**
**Plant and**
**equipment**
**Fixtures and**
**fittings**
**£**
**£**
**£**
**Cost**
At 1 April 2020
22,006
102,711
13,580
At 31 March 2021
22,006
102,711
13,580
**Depreciation and impairment**
At 1 April 2020
22,006
102,711
13,580
At 31 March 2021
22,006
102,711
13,580
**Carrying amount**
At 31 March 2021
-
-
-
At 31 March 2020
-
-
-
**13**
**Debtors**
**2021**
**Amounts falling due within one year:**
**£**
Trade debtors
299,747
Other debtors
8,902
Prepayments and accrued income
42,542
351,191|**Software**
**£**
120,212
120,212
-
-
**Total**
**£**
138,297
138,297
138,297
138,297
-
-
**2020**
**£**
415,657
7,767
47,671
471,095|
|---|---|
- 21 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **14 Creditors: amounts falling due within one year**
|**Notes**
Other taxation and social security
Deferred income
**15**
Trade creditors
Other creditors
Accruals
**15**
**Deferred income**
Other deferred income
Movement on deferred income
Total deferred income at 1 April 2020
Amounts received in year
Amounts credited to statement of financial activities
Other deferred income|**2021**
**£**
133,889
115,236
3,568
46,547
487,171
786,411
**2021**
**£**
115,236
**2021**
**£**
97,307
115,236
(97,307)
115,236|**2020**
**£**
108,833
97,307
24,933
35,542
265,963
532,578
**2020**
**£**
97,307
**2020**
**£**
36,646
97,307
(36,646)
97,307|
|---|---|---|
Deferred income comprises fees invoiced in advance of the provision of support services which relate to future accounting periods.
- 22 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **16 Restricted funds**
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
|**Movement in funds**
**Balance at**
**1 April 2019**
**Incoming**
**resources**
**Resources**
**expended**
**Balance at**
**1 April 2020**
**£**
**£**
**£**
**£**
The Baily Thomas Charitable Fund
-
20,000
(10,559)
9,441
NHS England
-
15,820
(146)
15,674
Sport England
-
6,790
(2,481)
4,309
Big Lottery Community Fund
-
9,396
(3,831)
5,565
E F Rathbone Charitable Trust
-
1,000
-
1,000
Peter Harrison Foundation
-
4,000
-
4,000
David Solomans Charitable trust
-
-
-
-
Covid Related funding
-
-
-
-
Others
-
2,000
(2,000)
-
The Will Charitable Trust
293
-
(293)
-
LCVS: Community Impact
1,104
-
(1,104)
-
Heritage Lottery Fund
5,290
-
(5,290)
-
6,687
59,006
(25,704)
39,989|**Movement in funds**
**Incoming**
**resources**
**Resources**
**expended**
**£**
**£**
-
(5,520)
-
(4,792)
-
(1,576)
-
(1,798)
-
-
-
-
1,000
-
142,500
(142,500)
-
-
-
-
-
-
-
-
143,500
(156,186)|**Transfers**
**Balance at**
**31 March 2021**
**£**
**£**
-
3,921
-
10,882
-
2,733
-
3,767
-
1,000
-
4,000
-
1,000
-
-
1,688
1,688
-
-
-
-
-
-
1,688
28,991|
|---|---|---|
The **Bailey Thomas Charitable Fund** provided funding towards the Life Skills Project, which provides practical educational workshops to increase the independence of people with learning disabilities.
**NHS England** provided funding for the 'Five Steps to Health' transforming care partnership project.
The **Sport England** grant provides taster sessions in various sports for 10 people with learning disabilities, autism and acquired brain injuries. These sessions give opportunities for people we support to try adapted sports and ultimately become more physically active
- 23 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **16 Restricted funds**
**(continued)**
- The **Big Lottery Community Fund** provided funding for Friendly Fridays social meet ups activities for the people we support.
The **E F Rathbone Charitable Trust** provided funding for cooking sessions for the people we support.
The **Peter Harrison Foundation** awared a grant towards the cost of a one year programme of adaptive sports activity in Merseyside.
The **David Soloman's Charitable Trust** is awarded for “Life Skills – Cooking & Independence Workshops”, promoting greater independence and teaching valuable life skills to people we support. The workshops enable people we support to gain techniques and support to cook for themselves and others and to make improvements to their general health and well-being.
**Covid related funding** was provided for the following:
## _Infection Control Tranche 1 COVID Grants_
To fund additional costs incurred as a result of the COVID-19 pandemic, including:
- To ‘top-up’ Statutory Sick Pay and/or normal contractual sick pay so that care workers receive full pay when self-isolating in line with government guidance and/or during any period of sickness absence directly due to infection with Covid-19.
- Unavoidable increased use of agency cover and/or overtime payments to staff incurred to maintain essential services.
- Additional PPE for staff procured to supply staff with PPE in line with prevailing government guidance on its use.
- To top up payments received under the government’s furlough scheme for care workers furloughed because they are personally in the clinically extremely vulnerable group identified by the government as required to shield and who cannot be redeployed to work from home.
- Other use at the provider’s discretion, to support its response to the pandemic to ensure that essential services are maintained, and people are supported.
## _Infection Control Tranche 2 COVID Grants_
The purpose of the Fund was to ensure that staff who were isolating in line with government guidance received their normal wages and did not lose income while doing so. Funding was also for steps to limit the number of different people from Homecare Agency visiting a particular individual or steps to enable staff to perform the duties of other team members/partner agencies when visiting to avoid multiple visits to a particular individual. Ensuring that members of staff work in only one care setting except in exceptional circumstances. This included staff who work on part-time basis for multiple employers or in other care settings, particularly Care Homes. This included agency staff (the principle being that fewer locations that members of staff work in, the better).Costs to limit the use of public transport.
- 24 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **16 Restricted funds**
**(continued)**
## _Workforce Capacity Fund_
The purpose of this funding was to enable providers to meet workforce challenges, and to enable the delivery of measures to supplement and strengthen adult social care staff capacity to ensure that safe and continuous care was achieved, including the following outcomes:
- maintaining care provision and continuity of care for recipients where pressing workforce shortages may put this at risk.
- supporting providers to restrict staff movement between care homes and other care settings in all but exceptional circumstances, which is critical for managing the risk of outbreaks and infection.
- supporting safe and timely hospital discharges to a range of care environments including domiciliary care, to prevent or address delays as a result of workforce shortages.
- enable care providers to care for new service users where the need arose.
## _Rapid Testing Fund_
The main purpose of this funding was to support the setup, training, and implementation of additional rapid testing of staff, and to support testing for visiting professionals. All funding was to be used to support increased LFD testing in care settings.
## _Staff Covid Vaccine Fund_
Paying staff time for attending vaccine appointments.
- 25 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **17 Designated funds**
The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:
|New Office Base
Unique Fund
Tenant Property
Investment
Inclusion Projects
Contingency for Lost
Income|**Balance at**
**1 April 2019**
**£**
750,000
36,000
1,200,000
9,150
1,212,374
3,207,524|**Resources**
**expended**
**£**
-
(6,727)
-
(1,816)
-
(8,543)|**Balance at**
**1 April 2020**
**£**
750,000
29,273
1,200,000
7,334
1,212,374
3,198,981|**Resources**
**expended**
**£**
-
(710)
-
(4,990)
-
(5,700)|**Transfers**
**31**
**£**
-
-
-
-
77,626
77,626|**Balance at**
**March 2021**
**£**
750,000
28,563
1,200,000
2,344
1,290,000
3,270,907|
|---|---|---|---|---|---|---|
The **new office base** fund is for the planned move from leased offices to a multi-functional, owned building / accommodation to provide a wider range of office, training, drop-in and community activities.
The **unique fund** is to enable the provision of enhanced support. We believe everyone we support is unique but that the funding available from local authorities does not always fully allow that expression of uniqueness. Therefore we have created a fund to facilitate people we support (on a short term basis) to fully express their individuality. This includes financial support for people we support - for example extra support staff hours not included in their normal everyday support package when they go on holiday.
The **tenant property investment fund** is for an investment by the charity in property as Local Authorities are now seeking property solutions for the people we support as well as direct support. Options would not become a landlord but would potentially resource housing associations to meet specific needs.
The **inclusion projects fund** is for community projects which encourage people we support to socialise and participate in social events
The **contingency for lost income fund** is calculated at 30% of contracted income. There is a risk of losing income on a temporary or permanent basis because we work in an unstable market and there is also the risk of poor cash flow for day-to-day activities. Income might be lost through re-tendering, changes in contractual hours, unforeseen disruptions - for example COVID restrictions on outreach support and yearly rate increases not matching up with the cost of providing good support. This provides a buffer against such possibilities.
- 26 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
## **18 Analysis of net assets between funds**
|**Unrestricted**
**funds**
**Designated**
**funds**
**Restricted**
**funds**
**2021**
**2021**
**2021**
**£**
**£**
**£**
**Fund balances at 31 March 2021 are**
**represented by:**
Current assets/(liabilities)
916,854
3,270,907
28,991
Unrestricted
funds
Designated
funds
Restricted
funds
2020
2020
2020
£
£
£
**Fund balances at 1 April 2020 are**
**represented by:**
Current assets/(liabilities)
786,925
3,198,981
39,989|**Total**
**2021**
**£**
4,216,752
Total
2020
£
4,025,895|
|---|---|
## **19 Operating lease commitments Lessor**
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
|Within one year
Between two and five years
**Related party transactions**
**Remuneration of key management personnel**
The remuneration of key management personnel is as follows.
Aggregate compensation|**2021**
**£**
38,258
-
38,258
**2021**
**£**
422,477|**2020**
**£**
57,389
38,258
95,647
**2020**
**£**
384,989|
|---|---|---|
## **20 Related party transactions**
The key management personnel of the charity comprise the trustees, Chief Executive Officer, Finance Manager, HR Manager, Development Managers, Innovations Manager, Office Manager, and Quality Manager.
No remuneration was paid to any trustee during the year (2020: None).
- 27 -
## **OPTIONS FOR SUPPORTED LIVING**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2021**_
|**21**
**Cash generated from operations**
Surplus for the year
Adjustments for:
Investment income recognised in statement of financial activities
Movements in working capital:
Decrease in debtors
Increase/(decrease) in creditors
Increase in deferred income
**Cash generated from operations**|**2021**
**£**
190,857
(1,967)
119,904
235,904
17,929
562,627|**2020**
**£**
96,329
(15,666)
170,955
(37,063)
97,307
311,862|
|---|---|---|
- 28 -