OpenCharities

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2024-03-31-accounts

Charity registration number 1063038

Company registration number 02861966 (England and Wales)

OPTIONS FOR SUPPORTED LIVING

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

OPTIONS FOR SUPPORTED LIVING

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees

Ivor Langley L Barry Barry Julia Erskine Lianne McGinnes Irene Byrne-Watt

(Appointed 28 November 2023) (Appointed 23 November 2023)

Chief Executive and management team

Chief Executive Deputy Chief Executive Finance change manager Finance manager Development manager Development manager Development manager Development manager Head of Operations Quality & operational support manager Training & organisational Culture Manager HR manager Community engagement & development manager

Kevin Peacock Lisa Goulding Jonathan Hardy Emily Kennedy Sharon Smith Marie Binns Nicola Anderson Jennifer Clarke Marie Binns Jill Bainbridge Angela Marincowitz Layla Alderton Christine Bithell

(Resigned 1 March 2024) (Appointed 25 September 2024) (Resigned 8 May 2023)

(Resigned 13 May 2024)

(Appointed 13 May 2024)

(appointed 1 March 2024)

Charity number 1063038 Company number 02861966 Registered office / Head office St. Nicholas House Old Churchyard Chapel Street Liverpool L2 8TX Auditor Mitchell Charlesworth (Audit) Limited Suite 5.1 Tempest 12 Tithebarn Street Liverpool L2 2DT Bankers Lloyds Bank plc Merchants Court 2 - 12 Lord Street Liverpool L2 1TS HSBC plc 99-101 Lord Street Liverpool L2 6PG

OPTIONS FOR SUPPORTED LIVING

LEGAL AND ADMINISTRATIVE INFORMATION

Barclays Bank plc Lord Street Liverpool L2 1TD

OPTIONS FOR SUPPORTED LIVING

CONTENTS

Page
Trustees' report 1 - 5
Statement of trustees' responsibilities 6
Independent auditor's report 7 - 9
Statement of financial activities 10 - 11
Balance sheet 12
Statement of cash flows 13
Notes to the financial statements 14 - 27

OPTIONS FOR SUPPORTED LIVING

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2024

The trustees present their report and financial statements for the year ended 31 March 2024.

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.

Our philosophy of support - that we listen to people and support them to achieve what they want - is called person centredness. Person-centredness runs through everything that Options does. Fundamentally we believe that every person is unique and valuable. With the right support around us we can all live happy and fulfilled lives and contribute to the communities we live in. This is true for people both with and without a learning disability.

Person-centredness starts with listening to the people we support, understanding their hopes, wishes and aspirations, and then building support packages 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.

" 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. This support was provided in Liverpool, Sefton and Wirral.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Public Benefit — activities and achievements

2023/24 marks a significant birthday for Options. For the past 30 years we have dedicated ourselves to making a difference to the lives of the people we support; using person-centred practices to ensure that people with learning disabilities, autism and acquired brain injuries live their life to the full. This mission feels as fresh and relevant as it did 30 years ago, in a context of continued suppression of public sector budgets affecting people’s ability to choose the type of life that they wish to live.

We have taken the chance through the year to look back historically and celebrate the lives of some of the people we have supported, the work of our staff, and in thanking some of our long-standing partners. Our fabulous 30[th] birthday party in October 2023 saw us launch our Options Beer brewed by some of the people we support and sold by our brewing partner around Liverpool to raise awareness of everything that Options stands for.

We have also taken time to celebrate in the here and now. Throughout the year we have supported 179 people, providing over 9000 hours of support per week. We welcomed new people to Options, especially the new support for ten people who live at Mobberley Court; and we celebrated the lives of those who passed through the year. We have many stories and highlights – first holidays or mountain climbs, re-uniting with loved ones after a long separation, new relationships and engagements, and any number of personal ‘firsts’. We also have the continued everyday activities that show that an ordinary life is possible with the right support – something that we are keen to emphasize in a system that is increasingly driven by risk aversion and efficiency.

This year has not been without its challenges. Short staffing has been a problem for all social care providers this year, and we have not been immune to it. In this report we pay testament again to the skill and commitment of all our staff who go the extra mile to ensure people live great lives despite these challenges.

We have maintained our CQC outstanding rating throughout the year, and a recent local authority inspection of our support highlighted how different support at Options is from other parts of the social care system. This is both encouraging and worrying; encouraging that we have maintained our quality despite the difficult environment we are operating in, and worrying because we still aspire to a world where all people can live a great life regardless of their circumstances.

OPTIONS FOR SUPPORTED LIVING

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

We have also made significant changes throughout the year to provide the basis for the next chapter of Options’ story. We have restructured our leadership team, invested heavily in our culture, training and development (especially in our leaders), continued to evolve our new IT systems and continued to work strategically with our partners to build Options values into the wider health and social care sector. We look forward to seeing the outcomes of this work in 2024 and beyond.

I would like to extend my thanks to all staff and volunteers associated with Options for their hard work and dedication throughout this financial year – we are able to provide outstanding support because of the outstanding people we have in the organization, and your work is greatly appreciated.

Financial review & future plans

The past twelve months have seen a continuation of constraint throughout the adult health and social care system.

The uncertainty and pressures within local authorities and the NHS continue to underpin the biggest risk to Options’ mission and vision.

Financially, Options has managed well. Prudent management means we have a healthy reserve position. At the end of the year, we have £4,498,051 in reserves, of which £2,244,937 is free reserves and £2,250,000 is designated for future strategic projects; and to cover 3 months of operating costs.

We continue to be able to stay ahead of the market in terms of staff pay in our efforts in recruitment and continue to provide quality support. We moved to £11.10 per hour, an 11% increase in line with the cost-of-living increase and increased our sleep-in payments by £10 per night. This has been our priority for 2023/24. This, plus our investments in staff cultural activities, recruitment and retention incentives and training have ensured we have been able to recruit and retain sufficient and achieve the great outcomes we do.

The use of agency staffing has remained high this year. This is an extra expense for Options that is brought on by a competitive job market. For the people who we support, agency personnel are less stable and more expensive than employed staff. Although we wanted to cut our agency expenditure in 2023–2024, we allocated an extra £250,000 for the following year. This, however, was insufficient and agency costs still accounted for 7.6% of our staffing costs.

Overall, our income was £10,641,580 and our expenditure £10,367,250. This represented a 2.58% margin. We calculate the true cost of great support is £25 per hour. Our average commissioned rates fall well short at £19.26. We have implemented cost controls to return to a surplus after 2 years of losses. This has provided us an opportunity to replenish our reserve to provide security for forth coming years.

Rates for next year have grown, with increases of between 6% and 9% per local authority, but these increases are less than the increase in the real living wage that we are currently committed to paying. Our budget for 2024/25 shows a breakeven position as a result, this is due to continuing cost control measures and increase the diversification of our income.

We have embedded a new quality control system within the business and building on this success have sought to introduce a new HR system. This investment in technology will create capacity and allow front line staff to focus on providing the best care that they can, as well as supporting future efficiency measures. The year has also seen a restructure in the leadership with a new Finance Change Manager appointed and a new role of Head of Operations replacing the Deputy CEO role to really focus the charities operational delivery and development.

OPTIONS FOR SUPPORTED LIVING

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

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.

Options policy is to hold reserves equal to 3 months of operating expenditure which equates to £2,000,000.

Details of designated funds and of restricted funds may be found on note 18 and 19 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 short-term 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

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:

Ivor Langley L Barry Barry Julia Erskine Lianne McGinnes (Appointed 28 November 2023) Irene Byrne-Watt (Appointed 23 November 2023)

OPTIONS FOR SUPPORTED LIVING

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

Appointment and Induction of Trustees

Trustees are normally appointed at General Meetings but can be agreed by quorate at any full Trustee Board meeting. There is 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 the organisation benefits from a mix of long-serving and of newer trustees.

Trustees hear directly from the people Options’ supports through Voices R Us – groups established to report into the Trustees about performance, satisfaction in the activities of the organisation, and the wider context of the organisations work.

All appointed trustees go through an induction process with existing trustees and the Chief Executive / Deputy Chief Executive of the charity; induction covers the context in which Options works, its Vision, Mission, Aims, Beliefs, Working Values, and the Development Plan and Budget.

Organisation

The trustees employ an executive team to run the day-to-day operations of Options. This is led by a Leadership Team consisting of four Development Managers, Community Engagement and Development Manager, Finance Change Manager, Quality & Operational Support Manager, Training and Events Manager, HR Manager, a Head of Operations and a Chief Executive. The Chief Executive was appointed on 1[st] May 2022.

Major decisions affecting the charity must be approved by the trustees. The Trustee holds the strategy for the organisation through its Development Plan, which identifies the major priorities for the organisation, and is the basis of an annual budget. 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 one or two members sit on a Finance Sub-Committee and a Quality, Safety and Risk Sub-Commitee which also meet in advance of each Trustee Board meeting.

The trustees, together with the Leadership team are the key management personnel in charge of directing and controlling, running and operating the charity.

Pay policy

All trustees give of their time freely and no trustee received remuneration in the year.

The pay of senior staff is reviewed annually by the trustees with any increases 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, and there was no additional compensation as a result in 2023/24.

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.

Auditor

In accordance with the company's articles, a resolution proposing that Mitchell Charlesworth (Audit) Limited be reappointed as auditor of the company will be put at a General Meeting.

OPTIONS FOR SUPPORTED LIVING

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

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' report was approved by the Board of Trustees.

Ivor Langley Trustee

25 October 2024

OPTIONS FOR SUPPORTED LIVING

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 MARCH 2024

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:

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.

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 2024 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The 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:

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:

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 directors' report included within the trustees' report.

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:

Responsibilities of trustees

As explained more fully in the statement of trustees' responsibilities, 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.

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:

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:

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

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: https:// 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.

Louise Casey ACA (Senior Statutory Auditor) for and on behalf of Mitchell Charlesworth (Audit) Limited 13 November 2024

Chartered Accountants Statutory Auditor

Suite 5.1 Tempest 12 Tithebarn Street Liverpool L2 2DT

OPTIONS FOR SUPPORTED LIVING

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2024

Current financial year

Unrestricted
funds
2024
Notes
£
Income from:
Donations and legacies
3
9,637
Charitable activities
4
10,527,856
Investments
5
90,199
Other income
13,644
Total income
10,641,336
Expenditure on:
Charitable activities
6
10,367,130
Net movement in funds
274,206
Fund balances at 1 April 2023
4,220,731
Fund balances at 31 March 2024
4,494,937		 Restricted
funds
2024
£
244
-
-
-
244
120
124
2,990
3,114		 Total
2024
£
9,881
10,527,856
90,199
13,644
10,641,580
10,367,250
274,330
4,223,721
4,498,051		 Total
2023
£
5,100
9,047,587
17,497
4,777
9,074,961
9,358,605
(283,644)
4,507,365
4,223,721

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.

OPTIONS FOR SUPPORTED LIVING

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2024

Prior financial year

Unrestricted
Restricted
funds
funds
2023
2023
Notes
£
£
Income from:
Donations and legacies
3
100
5,000
Charitable activities
4
9,047,587
-
Investments
5
17,497
-
Other income
4,777
-
Total income
9,069,961
5,000
Expenditure on:
Charitable activities
6
9,342,567
16,038
Net movement in funds
(272,606)
(11,038)
Fund balances at 1 April 2022
4,493,337
14,028
Fund balances at 31 March 2023
4,220,731
2,990		 Total
2023
£
5,100
9,047,587
17,497
4,777
9,074,961
9,358,605
(283,644)
4,507,365
4,223,721

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.

OPTIONS FOR SUPPORTED LIVING

BALANCE SHEET

AS AT 31 MARCH 2024

Notes
Fixed assets
Tangible assets
13
Current assets
Debtors
15
Cash at bank and in hand
Creditors: amounts falling due within
one year
16
Net current assets
Income funds
Restricted funds
18
Unrestricted funds
Designated funds
19
General unrestricted funds		 2024
£
£
-
559,354
4,471,168
5,030,522
(532,471)
4,498,051
3,114
2,250,000
2,244,937
4,494,937
4,498,051		 2023
£
£
-
505,115
4,328,068
4,833,183
(609,462)
4,223,721
2,990
3,265,592
955,139
4,220,731
4,223,721		 2023
£
£
-
505,115
4,328,068
4,833,183
(609,462)
4,223,721
2,990
3,265,592
955,139
4,220,731
4,223,721
2,990
4,220,731
4,223,721

The financial statements were approved by the Trustees on 28 October 2024

Ivor Langley Trustee

Company registration number 02861966

OPTIONS FOR SUPPORTED LIVING

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024

Notes
Cash flows from operating activities
Cash generated from/(absorbed by)
operations
23
Investing activities
Investment income received
Net cash generated from investing
activities
Net increase/(decrease) in cash and cash
equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year		 2024
£
£
52,901
90,199
90,199
143,100
4,328,068
4,471,168		 2023
£
£
(380,210)
17,497
17,497
(362,713)
4,690,781
4,328,068

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

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 amounts 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.

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

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.

All assets costing more than £1,000 are capitalised at cost.

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 the statement of financial activities.

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.

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

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 payments 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.

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

3 Donations and legacies

Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds
2024 2024 2024 2023 2023 2023
£ £ £ £ £ £
Donations and gifts 9,637 244 9,881 100 5,000 5,100
4 Charitable activities
Support services Unrestricted
Unrestricted
funds funds
2024 2023
£ £
Services provided under contract 10,527,856 9,047,587
5 Investments
**Unrestricted ** Unrestricted
funds funds
2024 2023
£ £
Interest receivable 90,199 17,497

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

6 Charitable activities

Direct staff costs
Staff expenses
Share of support costs (see note 7)
Share of governance costs (see note 7)
Analysis by fund
Unrestricted funds
Restricted funds		 Support
services
2024
£
8,649,250
570
8,649,820
1,604,937
112,493
10,367,250
10,367,130
120
10,367,250		 Support
services
2023
£
7,891,908
11,038
7,902,946
1,397,454
58,205
9,358,605
9,342,567
16,038
9,358,605

7 Support costs

Staff costs
Staff expenses
Travel & housing
Other project activity
costs
Premises costs
General administrative
expenses
Audit fees
Accountancy
Legal and professional
Bank charges
Trustees meeting costs
Analysed between
Charitable activities		 Support
costs
Governance
costs
£
£
1,115,472
-
25,939
-
3,008
-
67,388
-
106,975
-
286,155
-
-
6,300
-
6,958
-
93,180
-
5,010
-
1,045
1,604,937
112,493
1,604,937
112,493		 2024
£
1,115,472
25,939
3,008
67,388
106,975
286,155
6,300
6,958
93,180
5,010
1,045
1,717,430
1,717,430		 Support
costs
Governance
costs
£
£
955,046
-
31,349
-
1,777
-
116,589
-
95,025
-
197,668
-
-
6,000
-
3,448
-
42,128
-
4,830
-
1,799
1,397,454
58,205
1,397,454
58,205		 2023
£
955,046
31,349
1,777
116,589
95,025
197,668
6,000
3,448
42,128
4,830
1,799
1,455,659
1,455,659

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

8 Auditor's remuneration

Fees payable to the charity's auditor and associates:
Audit of the charity's annual accounts
Non-audit services
All other non-audit services		 2024
£
6,300
6,958		 2023
£
6,000
3,448

9 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year (2023: none). None of the trustees received any reimbursed expenses during the year (2023: none).

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

10 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		 2024
Number
1
320
33
354
2024
£
7,925,044
673,407
212,506
142,489
175,588
635,688
9,764,722		 2023
Number
1
319
27
347
2023
£
7,825,860
568,762
165,118
154,751
70,428
62,035
8,846,954
The number of employees whose annual remuneration was £60,000 or more
were:
2024 2023
Number Number
£70,001 to £80,000 1 1

Contributions totalling £7,312 (2023: £4,781) were made to defined contribution pension schemes on behalf of employees whose emoluments exceed £60,000.

11 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 £212,506 (2023: £165,118).

At the year end there was an amount payable to the defined contribution schemes of £37,256 (2023: £38,631).

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

12 Intangible fixed assets

Cost
At 1 April 2023 and 31 March 2024
Amortisation and impairment
At 1 April 2023 and 31 March 2024
Carrying amount
At 31 March 2024
At 31 March 2023		 Software
£
120,212
120,212
-
-
13
Tangible fixed assets
Leasehold
improvements
£
Cost
At 1 April 2023
22,006
At 31 March 2024
22,006
Depreciation and impairment
At 1 April 2023
22,006
At 31 March 2024
22,006
Carrying amount
At 31 March 2024
-
At 31 March 2023
-
14
Financial instruments
Carrying amount of financial assets
Debt instruments measured at amortised cost
Carrying amount of financial liabilities
Measured at amortised cost		 Plant and
equipment
Fixtures and
fittings
£
£
102,711
13,580
102,711
13,580
102,711
13,580
102,711
13,580
-
-
-
-
2024
£
4,992,841
368,168		 Total
£
138,297
138,297
138,297
138,297
-
-
2023
£
4,792,713
407,086

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

15
Debtors
Amounts falling due within one year:
Trade debtors
Other debtors
Prepayments and accrued income		 2024
£
486,957
34,716
37,681
559,354		 2023
£
462,049
2,596
40,470
505,115

16 Creditors: amounts falling due within one year

Notes
Other taxation and social security
Deferred income
17
Trade creditors
Other creditors
Accruals
Deferred income
Other deferred income
Movement on deferred income
Total deferred income at 1 April 2023
Amounts received in year
Amounts credited to statement of financial activities
Other deferred income		 2024
£
133,125
31,178
21,559
47,746
298,863
532,471
2024
£
31,178
2024
£
48,598
31,178
(48,598)
31,178		 2023
£
153,778
48,598
26,953
157,840
222,293
609,462
2023
£
48,598
2023
£
36,646
48,598
(36,646)
48,598

17 Deferred income

Deferred income comprises fees invoiced in advance of the provision of support services which relate to future accounting periods.

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

18 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 Movement in funds
Balance at Income Expenditure Balance at Income Expenditure Balance at
1 April 2022 1 April 2023 31 March 2024
£ £ £ £ £ £ £
Will Charitable Trust 409 - (409) - - - -
NHS health grant 3 10,107 - (10,107) - - - -
Wirral DSCR Grant - 5,000 (5,000) - - - -
Other restricted funds 3,512 - (522) 2,990 244 (120) 3,114
14,028 5,000 (16,037) 2,990 244 (120) 3,114

Will Charitable Trust funded Options for six cooking workshop sessions with Baytree Cooking Academy for ten people we support and their support workers.

NHS 2 funding supported Options to plan to get together events each month for people we support, health workshops at Holmwood Farm and Options 7 Simple Recipes easy-read cookbook.

NHS 3 funding supported options to continue monthly meet-ups for people we support and easy read guide for when people experience death and walking groups.

Other restricted funds relate to small club balances held on behalf of people supported by the charity.

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

19 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:

Balance at
1 April 2022
£
New Office Base
750,000
Unique Fund
28,389
Tenant Property Investment
1,200,000
Contingency for Lost Income
1,290,000
Vision
-
3,268,389		 Movement in funds
Income
Expenditure
Transfers
Balance at
1 April 2023
£
£
£
£
-
-
-
750,000
-
(2,797)
-
25,592
-
-
-
1,200,000
-
-
-
1,290,000
-
-
-
-
-
(2,797)
-
3,265,592		 Movement in funds
Income
Expenditure
Transfers
31
£
£
£
-
-
-
-
-
(25,592)
-
-
-
-
-
(1,290,000)
-
-
300,000
-
-
(1,015,592)		 Balance at
March 2024
£
750,000
-
1,200,000
-
300,000
2,250,000

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024

19 Designated funds

(continued)

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 was setup to provide opportunities for people we support where it was felt they would otherwise be unable to take part due to financial barriers. Since its inception a number of people we support have benefitted from this, however as we now have the Community Team including a variety of inclusion based activities we believe that this is no longer needed, and if financial support was needed, Options is in a position to help on an exceptional basis from its day-to-day income or from any future fundraising.

The tenant property investment fund for a project based in Liverpool, which is likely to commence March/April 2025. At present they are reviewing tenders and therefore no action is needed at the moment.

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 i s 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 due to changes in packages, local government funding risks and yearly rate increases not matching up with the cost of providing good support. This provides a buffer against such possibilities.

Th Vision fund is set up to enable Options to deliver its vision for the future over the next 3 to 5 years, and specifically to support the internal developments and changes needed to meet our development plan.

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

20 Analysis of net assets between funds

Unrestricted
funds
Designated
funds
Restricted
funds
2024
2024
2024
£
£
£
Fund balances at 31 March 2024 are
represented by:
Current assets/(liabilities)
2,244,937
2,250,000
3,114
Unrestricted
funds
Designated
funds
Restricted
funds
2023
2023
2023
£
£
£
Fund balances at 1 April 2023 are represented
by:
Current assets/(liabilities)
955,139
3,265,592
2,990		 Total
2024
£
4,498,051
Total
2023
£
4,223,721

21 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
22
Related party transactions
Remuneration of key management personnel
The remuneration of key management personnel is as follows.
Aggregate compensation		 2024
£
52,520
132,503
185,023
2024
£
469,917		 2023
£
38,720
35,493
74,213
2023
£
426,466

The key management personnel of the charity comprise the trustees and the Leadership Team, as listed on the legal and administrative information page.

There were no other related party transactions in the year (2023: none).

OPTIONS FOR SUPPORTED LIVING

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2024

23
Cash generated from operations
Surplus/(deficit) for the year
Adjustments for:
Investment income recognised in statement of financial activities
Movements in working capital:
(Increase) in debtors
(Decrease) in creditors
(Decrease) in deferred income
Cash generated from/(absorbed by) operations		 2024
2023
£
£
274,330
(283,644)
(90,199)
(17,497)
(54,239)
(43,446)
(59,571)
(15,990)
(17,420)
(19,633)
52,901
(380,210)

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