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2021-03-31-accounts

REGISTERED COMPANY NUMBER: 03374820 (England and Wales) REGISTERED CHARITY NUMBER: 1064309 (England and Wales)

MID AND NORTH ESSEX MIND (A COMPANY LIMITED BY GUARANTEE)

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Sayer Vincent LLP Invicta House 108-114 Golden Lane London EC1Y 0TL

MID AND NORTH ESSEX MIND

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Page
Report of the Trustees 1 to 12
Report of the Independent Auditors 13 to 15
Statement of Financial Activities 16
Balance Sheet 17
Cash Flow Statement 18
Notes to the Cash Flow Statement 19
Notes to the Financial Statements 20 to 34
Detailed Statement of Financial Activities 35 to 36

MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

The trustees present their report and the audited financial statements for the year ended 31 March 2021.

Reference and administrative information set out on page 10 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association, the requirements of a directors' report as required under company law, and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

OBJECTIVES AND ACTIVITIES

Purposes and aims

"To support and empower people experiencing emotional and/or mental health problems to recover, building on their personal hopes and aspirations. We strive to provide a comprehensive community mental health service which meets individual's needs and promotes mental health awareness in our local community."

Our aims are:

The trustees review the aims, objectives and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remained focused on its stated purposes.

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.

ACTIVITIES

The charity provides a wide range support service to people living in Mid and North Essex. The focus of these services is low level intervention, although we do also deliver clinical services in conjunction with other providers. All of these services were free to access during this financial year aside from the fee paying counselling service.

The charity holds various contracts from funders across the localities including North East Essex Clinical Commissioning Group, Essex County Council, Mid and South Essex Clinical Commissioning Group and also holds various grants from grant giving bodies.

The services are normally delivered between Monday - Friday each working week. However, during the year we introduced Crisis Cafés which operate out of hours providing support to those in crisis and reducing the pressures on A&E departments. This approach has helped in providing a more robust framework of care and supports the statutory providers in the work they do.

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

Much work has gone into developing the organisations three-year business plan, which is now moving ahead. The development of the plan included staff feedback, service user comments and the wider community along with other providers. This has led to the charity reviewing many areas of its work, gaps in care/support and how it will manage demand following COVID-19.

ACHIEVEMENTS AND PERFORMANCE

The charity's main activities and who it tries to help are described below. All its charitable activities focus on supporting the community in relation to mental health and wellbeing and are undertaken to further Mid and North East Essex Mind's charitable purposes for the public benefit.

During the period 2020/21 Mid and North East Essex Mind achieved:

As well as achieving the above during 2020/21, Mid and North East Essex Mind also continue to be a Mindful Employer and are registered with the Fundraising Regulator.

The charity continues to expand its reach across the localities that it is here to serve and further support those that need mental health and wellbeing services. This has mainly been due to securing new contracts such as the Crisis Cafés in North Essex, Sanctuary in Mid Essex along with the expanding Children and Young Peoples services known as MHST, that work within schools and colleges across North Essex.

During the first part of the financial period, we did see a decrease in referrals due to COVID-19 and in some cases, services were only launched in April, which resulted in a slow uptake and limited referrals.

IAPT Counselling

Referrals Received April '20 - March '21 2019/20 2018/19
256 360 442

The counselling service that operates within North Essex saw a reduction in referrals received compared to the previous year. However, it adapted quickly during the previous year due to the restrictions and can now offer in-house online therapy, remote working and telephone support. This was enabled by the support of the Essex Community Foundation.

STaR (Mid Essex)

Referrals Received April '20 - March '21 2019/20 2018/19
344 316 454
STaR (North Essex)
Referrals Received April '20 - March '21 2019/20 2018/19
445 558 909

Both of the above services continued to operate well during the period, although we saw a decrease in referrals throughout the first half of the year in some areas. These services are delivered in partnership with Hertfordshire Partnership Foundation Trust (HPFT) and form part of the overall IAPT service contracts in both Mid and North Essex.

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

Futures in Mind

Referrals Received April '20 - March '21 2019/20 2018/19
271 336 324

The Futures in Mind service is a collaboration between us, Phoenix Futures and Mind in West Essex. The service is designed to support those across Essex suffering with either mental health or substance misuse issues. The service continued to operate during the pandemic, although all support was offered remotely, and groups ceased. This impacted on referral rates for new service users.

ASD Connect

Referrals Received April '20 - March '21

55

North Essex Crisis Cafés (Clacton & Colchester)

Referrals Received April '20 - March '21 797

Mid Essex Sanctuary

Referrals Received April '20 - March '21 669

Both the Crisis Cafés and Sanctuary based in Mid Essex saw a slow start as both services were launched in April during the initial lockdown. However, these started to increase later in the year and the service has continued to expand. It's thought that during the next period we will increase the offer to cover day hours as well as evenings in order to provide a more robust offer for those that need the support.

MHST - Tendring

Referrals Received April '20 - March '21 291

The Mental Health Schools Team (MHST) in the Tendring area launched in January. This service didn't accept referrals in the first instance as this is linked with NHSE and HEE, with trainee staff not working with clients. This service was also impacted on by the pandemic as schools were shut and referrals were not identified.

GP Suicide Awareness Training

With the support of a local family who had experienced suicide within their own family network, we were able to develop the GP Suicide Awareness Training. Working with the local CCG's enabled us to more easily access those GP's within the locality offering free bespoke awareness training. The focus in on work colleague's wellbeing and is open to all staff working within GP practices.

Total People Supported 2020/21 - 3,128

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

FINANCIAL REVIEW

The financial year 2020/21 was a very difficult year due to the problems caused by the COVID Pandemic. This resulted in many changes to the way we work. Staff having to work from home for long periods, with relatively little use being made of our premises. It was also very difficult to recruit to our many vacant posts. Fortunately, our staff took on the additional work enabling us to continue to fulfil the many contracts we had now taken on. We thank them for their hard work and dedication.

We incurred increased costs as additional equipment was required for staff to work from home. However, we also made significant savings in staff costs due to the difficulty in recruiting.

Fundraising income was also badly affected by COVID with donations reducing by almost half. We feel confident that as life returns to normality income will once again increase.

During the year we were able to recruit an HR Manager which enabled us to try different recruitment methods and has resulted in many of the vacant posts now being filled. Overall income increased by £273,001 to £2,005,361 due to the new contracts we had entered into. Expenditure increased by £405,866 to £1,680,520 mainly due to increased staff costs to service the new contracts, this would have been significantly higher had we been able to fill all the vacant posts earlier in the year. We had anticipated a reduction in our assets during this financial year but due to the significant reduction in costs due to COVID this was not the case. However now that most vacancies have been filled we would expect to see our assets reduce by the end of the current financial year.

Our assets increased by £324,841 to £2,252,019 leaving us in a very healthy financial position. The value of our property accounted for £623,523 of this sum.

We continue to have a provision of £41,071 for dilapidations following our decision to vacate the property we were renting in Clacton at the end of March 2019. We still await agreement on a final figure from the Landlord.

We closely monitor our finances; to ensure we can continue to provide services that will benefit the local community for many years to come.

RESERVES POLICY

As we continue to see substantial variations to income streams each year, the trustees believe it prudent to ensure that we are always in a position to pay our staff and creditors. Our cash reserves are constantly reviewed to ensure that we can cover six months of expenditure and have sufficient flexibility to further our aims and meet the ever changing need and circumstances of our work.

INVESTMENT POLICY

The Trustees have discussed potential investments at length during the year and decided to adopt a cautious approach as we do not wish to risk our assets. We agreed to look for interest income and to diversify our deposits so that we could take advantage of FSCS protection which is £85,000 per bank.

Having looked at various options we opened an account with Flagstone, a cash platform, offering rates from numerous banks. Initially we deposited £275,000 and have recently agreed to add a further £190,000. We have split the funds between various banks with a maximum deposit of £85,000 to ensure we make the most of the FSCS guarantee. We agreed to keep the funds on fairly short term deposits currently with a maximum of 18 months fixed. These deposits are regularly reviewed to ensure we always have access to sufficient funds to meet our everyday needs.

We continue to look at potential investment opportunities in case we decide to change our policy and seek increased returns.

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

PRINCIPAL RISKS AND UNCERTAINTIES

The trustees maintain a risk register, which is reviewed by the senior management team and the trustees to ensure that the charity understands the potential risks. This is achieved by:

The significant areas that pose major risk are as follows:

In order to minimise the above risks, actions have been taken that would reduce the scoring and significant impact. An example of this is the system we've used for storing client data along with the cyber essentials advance certification we have secured. Voluntary income reduction is due to COVID-19 and a review will take place at the end of Q2 2021/22.

RESERVES POLICY AND GOING CONCERN

The charity needs financial resources to achieve its purposes and must plan for the longer term to ensure continuity. During the year the trustees undertook a review of the level of reserves required having regard to the following:

In line with current thinking, this is based on an assessment of the volatility and certainty of each of the organisation's main income streams; a potential need for unplanned or unexpected expenditure; and the requirement to maintain sufficient working capital to ensure the continuing smooth running of the charity. This assessment produced figures of £612,000 for income volatility, contingency and uncertainty, £150,000 for unplanned or unexpected expenditure, giving £752,000 in total.

The trustees have considered the financial position of the charity, its investment portfolio, its reserves, as well as its cash flow and liquid resources and they believe the charity is able to manage its business risks successfully. There are no material uncertainties that may cast doubt on the charity's ability to continue as a going concern. The trustees have a reasonable expectation that is has adequate resources to continue in operational existence for the near future. Therefore, they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

FUNDRAISING

Fundraising has been significantly reduced compared to the previous year due to COVID-19, both community and corporate fundraising suffered due to cancelled events and government restrictions including lockdowns.

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

The fundraising team were subject to Furlough leave, with this being the best way to limit costs whilst the department was unable to function at full potential. There was an increase in Grant and Trust funding with funds, some of which being secured for a major IT overhaul, enabling us to be able to provide up to date IT infrastructure. This allows us to offer a variety of counselling options. such as face to face, video link and telephone services, all within Coronavirus guidelines moving forward. Digital fundraising activities however did increase, and it is apparent that this source of fundraising needs to be marketed and explored more in the future.

FUNDRAISING STANDARDS

Mid and North East Essex Mind are registered with the Fundraising Regulator and works within its code of fundraising practice and data protection laws. All this information can be located on our website, with the aim of reassuring those wishing to donate or fundraise on our behalf.

COMPLAINTS

During the period we received no complaints relating to our fundraising practice. This is the same as the previous two-year period. We view complaints and supported feedback as important information that helps shape the fundraising plans on an annual basis.

PLANS FOR THE FUTURE

Our ambition for Mid & North East Essex Mind over the next 3-year period. Now more than ever, we need to transform how we help and support those within the localities we are here to serve. The recent events surrounding COVID-19 have not only had a significant impact on services of the NHS and voluntary sector, but also on the people within our communities. Isolation and loneliness have always played a substantial part in how people manage their own wellbeing and this is now more important than ever.

As things continue to change we as a charity need to be thinking about how we adapt to the new normal, and what will be required moving forward. For the past several years, there has been a big push to move more into a digital world, something the voluntary sector is not good at, and generally further behind than most.

There is also an increasing demand for services within our field of expertise for people of all ages. It is our responsibility to ensure that we can meet those demands; this can only be achieved if we work closely with our communities and those that access our services.

Funding has been reduced, and as the economy is currently struggling, the feeling is this will affect the voluntary sector more than most. Therefore, it is important that this is taken into account and ways of becoming self-sustaining should be identified.

National Vision (Mind Network)

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

Local Vision (MNE Essex Mind)

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

STRUCTURE, GOVERNANCE AND MANAGEMENT

The organisation is a charitable company limited by guarantee, incorporated on 16 May 1997 and registered as a charity on 10 September 1997.

The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association.

All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 9 to the accounts.

APPOINTMENT OF TRUSTEES

Those wishing to become a trustee of Mid and North East Essex Mind meet in the first instance with the Chair of the Board and the Chief Executive. Should there still be a position on the board and they continue to be interested they are invited to attend three meetings, which once attended, have to make a decision on becoming a member.

The board then elects or co-elects until the annual general meeting. One third of all trustees of the charity are then subject to re-confirmation by members of the company each year during the annual general meeting.

TRUSTEE INDUCTION TRAINING

All new trustees meet with the Chair of the Board and the Chief Executive once officially appointed. In addition they are offered time with each of the senior managers in order to gain a better understanding of the operational side of the organisation.

Each new trustee is required to complete the skills matrix and attend mandatory training provided by the NCVO and through in-house systems.

RELATED PARTIES AND RELATIONSHIPS WITH OTHER ORGANISATIONS

Partnership working is an essential element of all the work that Mid & North East Essex Mind provides across the locality. It not only allows for a better way of delivering, but also provides the user with an improved experienced.

It is essential to know and understand whom we are working with when considering any form of partnership. After identifying a potential partner to work with on the delivery of a project/service, an assessment of the partner organisation is completed. This is to ensure that both parties are a good match and share the same overall vision.

All employees have the potential to identify opportunities and partnerships and should be encouraged to do so. Through strong leadership and strengthened communications, we will be able to proactively identify the correct opportunities prior to the procurement process-taking place.

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

REMUNERATION POLICY FOR KEY MANAGEMENT PERSONNEL

All job roles within the charity are job matched and then graded using the most appropriate tools. This ensures that a true and fair pay is provided in order to attract the best candidates for the role. Where there maybe some discrepancy additional local benchmarking will take place.

The senior management team roles go through the same process and are then provided to the finance committee who will make recommendations to the board of trustees.

POLICY FOR EMPLOYMENT OF DISABLED PERSONS

Mid and North East Essex Mind is committed to providing high quality mental health care within a safe environment by appropriately qualified and competent staff. We aim to ensure that all staff act in a fair and consistent manner.

All employees will be encouraged to develop their skills and fulfil their potential and to take advantage of training, development and progression opportunities in Mid & North East Essex Mind. Selection for employment, promotion, training, or any other benefit will be on the basis of aptitude and ability.

Mid & North East Essex Mind is committed to a policy of treating all its employees and job applicants equally and to recruit the best person for each vacancy.

No employee or potential employee shall receive less favourable treatment or consideration during recruitment and selection on the ground of race, colour, religion or belief, nationality, ethnic origin, sexual orientation, gender, age, disability, marital status or part-time status or will be disadvantaged by any conditions of employment that cannot be justified as necessary on operational grounds.

ENERGY AND CARBON REPORTING

We will continue to strive for low energy costs and will seek alternative ways of powering the buildings that we occupy. This will involve a review of heating systems to ensure that boilers are energy efficient, glassing is of the correct standard and air conditioning units are properly maintained. We will also review the benefits of introducing solar panels to our main site on Mersea Road so that we can become a greener organisation.

Currently we only recycle approximately 35% of our waste across all sites. We will implement systems to monitor this more carefully and aim to have increased our recycling to 55% within 2 years.

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

03374820 (England and Wales)

Registered Charity number

1064309

Registered office

The Constantine Centre 272a Mersea Road Colchester Essex C02 8QZ

Trustees

Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows:

M Edwards Chair P Cheng Vice Chair P Pushman Treasurer S Barlow L Brewster J Wood I Beaumont (appointed 20 October 2020)

Key management personnel

James McQuiggan Kerrie Barker Duncan McCubbine Stephanie Mills

Chief Executive Officer Service Operations Manager Business Operations Manager Marketing and Fundraising Manager

Senior Statutory Auditor

Joanna Pittman

Auditors

Sayer Vincent LLP Invicta House 108-114 Golden Lane London EC1Y 0TL

Bankers

Barclays Bank plc 9 High Street Colchester Essex CO1 1DA

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

REFERENCE AND ADMINISTRATIVE DETAILS

Solicitors

Fisher Jones Greenwood Newcomen Way Colchester Business Park Essex CO4 9YA

STATEMENT OF TRUSTEES' RESPONSIBILITIES

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

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to

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

In so far as the trustees are aware:

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The total number of such guarantees at 31 March 2021 was 7. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

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MID AND NORTH ESSEX MIND

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

AUDITORS

Sayer Vincent LLP was appointed as the charitable company's auditor during the year and has expressed its willingness to continue in that capacity.

The trustees' annual report has been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 24[th] August 2021 and signed on the board's behalf by:

.................................................................... P Pushman - Trustee

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF MID AND NORTH ESSEX MIND

Independent auditor's report to the members of Mid and North Essex Mind.

Opinion

We have audited the financial statements of Mid and North Essex Mind (the 'charitable company') for the year ended 31 March 2021 which comprise the statement of financial activities, balance sheet, 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 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:

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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on Mid and North Essex Mind '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 trustees' 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.

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF MID AND NORTH ESSEX MIND

Opinions on other matters prescribed by the Compaines Act 2006

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

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' annual 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 set out in the trustees' annual report, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

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 are set out below.

Capability of the audit in detecting irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF MID AND NORTH ESSEX MIND

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council's website at: 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 auditor's 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.

Joanna Pittman (Senior Statutory Auditor) for and on behalf of Sayer Vincent LLP Invicta House 108-114 Golden Lane London EC1Y 0TL

Date: 8 September 2021

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MID AND NORTH ESSEX MIND

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2021

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
3
Other charitable activities
4
Investment income
5
Total
EXPENDITURE ON
Charitable activities
6
Charitable activities
NET INCOME
Transfers between funds
19
Net movement in funds
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds

£
88,316
1,683,131
1,590
1,773,037
1,450,379
322,658
29,355
352,013
1,328,808
1,680,821		 Restricted
funds
£
99,482
132,842
-
232,324
230,141
2,183
(29,355)
(27,172)
598,370
571,198		 2021
Total
funds
£
187,798
1,815,973
1,590
2,005,361
1,680,520
324,841
-
324,841
1,927,178
2,252,019		 2020
Total
funds
£
685,469
1,043,553
3,338
1,732,360
1,274,654
457,706
-
457,706
1,469,472
1,927,178

The notes form part of these financial statements

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MID AND NORTH ESSEX MIND REGISTERED COMPANY NUMBER: 03374820 (England and Wales) BALANCE SHEET 31 MARCH 2021

Notes
FIXED ASSETS
Tangible assets
12
CURRENT ASSETS
Debtors
13
Cash at bank and in hand
CREDITORS
Amounts falling due within one year
14
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
CREDITORS
Amounts falling due after more than one year
15
PROVISIONS FOR LIABILITIES
17
NET ASSETS
FUNDS
19
Unrestricted funds:
General fund
Designated fund - Contingency fund
Designated fund - Other
Designated fund - Fixed assets
Restricted funds
TOTAL FUNDS		 2021
£
685,295
111,188
1,894,497
2,005,685
(324,435)
1,681,250
2,366,545
(67,189)
(47,337)
2,252,019
271,138
612,000
150,000
647,685
1,680,823
571,196
2,252,019		 2020
£
661,129
405,692
1,163,646
1,569,338
(158,712)
1,410,626
2,071,755
(94,437)
(50,140)
1,927,178
566,808
612,000
150,000
-
1,328,808
598,370
1,927,178

The financial statements were approved by the Board of Trustees and authorised for issue on 24[th] August 2021 and were signed on its behalf by:

............................................. P Pushman - Trustee

The notes form part of these financial statements

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MID AND NORTH ESSEX MIND

CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2021

Notes
Cash flows from operating activities
Cash generated from operations
1
Net cash provided by operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
Interest received
Interest paid
Net cash used in investing activities
Cash flows from financing activities
Loan repayments in year
Net cash used in financing activities
Change in cash and cash equivalents in the
reporting period
Cash and cash equivalents at the beginning
of the reporting period
Cash and cash equivalents at the end of
the reporting period		 2021
£
813,442
813,442
(52,360)
1,590
(6,074)
(56,844)
(25,747)
(25,747)
730,851
1,163,646
1,894,497		 2020
£
257,045
257,045
(26,740)
3,338
(7,472)
(30,874)
(24,349)
(24,349)
201,822
961,824
1,163,646

The notes form part of these financial statements

-18-

MID AND NORTH ESSEX MIND

NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2021

1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

Net income for the reporting period (as per the Statement of Financial
Activities)
Adjustments for:
Depreciation charges
Interest received
Interest paid
Movement on provisions
Decrease/(increase) in debtors
Increase in creditors
Net cash provided by operations
2.
ANALYSIS OF CHANGES IN NET FUNDS
At 1.4.20
£
Net cash
Cash at bank and in hand
1,163,646
1,163,646
Debt
Debts falling due within 1 year
(25,661)
Debts falling due after 1 year
(94,437)
(120,098)
Total
1,043,548		 2021
£
324,841
28,194
(1,590)
6,074
(2,802)
294,502
164,223
813,442
Cash flow
£
730,851
730,851
(1,501)
27,248
25,747
756,598		 2020
£
457,706
19,202
(3,338)
7,472
(2,519)
(264,096)
42,618
257,045
At 31.3.21
£
1,894,497
1,894,497
(27,162)
(67,189)
(94,351)
1,800,146

The notes form part of these financial statements

-19-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1. GENERAL INFORMATION

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is The Constantine Centre, 272a Mersea Road, Colchester, Essex, CO2 8QZ, England.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements

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

The presentational and functional currency of these financial statements is sterling. Values are rounded to the nearest pound.

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

All costs are allocated to expenditure categories reflecting the use of resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

-20-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

2. ACCOUNTING POLICIES - continued

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold land and buildings - 0% - 2% on cost Equipment - 33% on cost

If an item is deemed to have an estimated useful life of greater than one year it is capitalised and subject to depreciation. Fixed assets are reviewed on a annual basis for impairment.

The land held within Freehold Land and Buildings is not subject to depreciation.

Taxation

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

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future projects or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

Defined contribution plans

The company operates a defined contribution scheme for the benefit of its employees. Contributions payable are recognised in the profit and loss account when due.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Going concern

The trustees have considered the financial position of the charity, its investment portfolio, its reserves, as well as its cash flow and liquid resource and they believe the charity is able to manage its business risk successfully. There are no material uncertainties that may cast doubt on the charity's ability to continue as a going concern. The trustees have a reasonable expectation that is has adequate resources to continue in operational existence for the near future. Therefore, they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

Financial instruments

Basic financial instruments are recognised at amortised cost.

-21-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

3. DONATIONS AND LEGACIES

DONATIONS AND LEGACIES
Donations
Grants		 2021
£
63,587
124,211
187,798		 2020
£
126,563
558,906
685,469

During the current financial year £63,587 (2020: £126,563) of donations were received with £500 (2020: £17,175) representing restricted funds and £63,087 (2020: £109,388) representing unrestricted funds.

Grants received for the year totalled £124,211 (2020: £558,906) with £98,980 (2020: £558,906) representing restricted funds and £25,231(2020: £Nil) representing unrestricted funds.

4. OTHER CHARITABLE ACTIVITIES

OTHER CHARITABLE ACTIVITIES
Other income from charitable activities
Government grant income		 2021
£
1,805,210
10,763
1,815,973		 2020
£
1,043,553
-
1,043,553

Other income from charitable activities is derived from the provision of services by the charity. The nature of these services is as described in the Report of the Trustees.

Of the £1,815,973 (2020: £1,043,553) received in the year, £132,842 (2020: £6,819) represented restricted funds and £1,672,368 (2020: £1,036,734) represented unrestricted funds.

During the year, the charity received furlough claims from the government totalling £10,763 (2020: £Nil) under the Coronavirus Job Retention Scheme.

The sums assisted the charity in paying for staff members who were out on temporary leave (furlough) due to the coronavirus (COVID-19) global pandemic.

5. INVESTMENT INCOME

INVESTMENT INCOME
2021 2020
£ £
Bank interest receivable 1,590 3,338

-22-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

6. CHARITABLE ACTIVITIES COSTS

Staff costs
Premises (including depreciation)
General office
Finance costs
Auditors remuneration (Governance costs)
Accountancy fees (Governance costs)
Counsellors' fees
Other costs		 Direct
Costs
£
992,242
38,233
2,881
-
-
-
41,397
100,885
1,175,638		 Support
Costs (see
note 7)
£
249,867
47,511
30,905
6,074
11,280
6,660
-
152,585
504,882		 TOTAL
£
1,242,109
85,744
33,786
6,074
11,280
6,660
41,397
253,470
1,680,520

7. SUPPORT COSTS

Staff costs
Premises (including depreciation)
General office
Finance costs
Auditors remuneration (Governance costs)
Accountancy fees (Governance costs)
Other costs		 2021
£
249,867
47,511
30,905
6,074
11,280
6,660
152,585
504,882		 2020
£
268,308
33,756
25,898
7,472
4,800
2,340
141,476
495,189

8. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

2021 2020
£ £
Auditors' remuneration 11,280 4,800
Depreciation - owned assets 28,194 19,203
Operating lease costs 15,100 15,100

-23-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

9. TRUSTEES' REMUNERATION AND BENEFITS

No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.

Trustees' expenses

During the year trustees' expenses were paid of £Nil (2020: £74) and no donations were received from the trustee's (2020: £Nil).

10. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs		 2021
£
1,135,156
83,576
23,377
1,242,109		 2020
£
835,452
56,668
17,742
909,862

Included within wages and salaries is a settlement payment for £6,000. There was nothing outstanding with regards to this payment as at the year end.

The average monthly number of employees during the year was as follows:

2021 2020
Number of staff 65 49

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

2021 2020
£60,001 - £70,000 1 1

Key Management Personnel

Key management personnel include all persons that have authority and responsibility for planning, directing and controlling the activities of the charity. The total remuneration paid to key management personnel for services provided to the charity was £182,191 (2020: £192,120).

-24-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

11.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
INCOME AND ENDOWMENTS FROM
Donations and legacies
Other charitable activities
Investment income
Total
EXPENDITURE ON
Charitable activities
Charitable activities
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
12.
TANGIBLE FIXED ASSETS
COST
At 1 April 2020
Additions
At 31 March 2021
DEPRECIATION
At 1 April 2020
Charge for year
At 31 March 2021
NET BOOK VALUE
At 31 March 2021
At 31 March 2020		 Unrestricted
funds
£
109,387
1,036,734
3,338
1,149,459
1,195,275
(45,816)
1,374,623
1,328,807
Freehold
land and
buildings
£
717,515
-
717,515
79,641
14,351
93,992
623,523
637,874		 Restricted
funds
£
576,082
6,819
-
582,901
79,379
503,522
94,849
598,371
Equipment
£
58,758
52,360
111,118
35,503
13,843
49,346
61,772
23,255		 Total
funds
£
685,469
1,043,553
3,338
1,732,360
1,274,654
457,706
1,469,472
1,927,178
Totals
£
776,273
52,360
828,633
115,144
28,194
143,338
685,295
661,129

-25-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

12. TANGIBLE FIXED ASSETS - continued

The value of land included within Freehold Land and Buildings is estimated to be £320,000 (2020: £320,000). This is not depreciated.

13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Prepayments and accrued income		 2021
£
33,664
77,524
111,188		 2020
£
115,086
290,606
405,692

14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Bank loans (see note 16)
Trade creditors
Other taxes and social security
Other creditors
Accruals and deferred income
Dilapidations provision
Deferred income		 2021
£
27,162
20,080
25,113
11,951
199,058
41,071
324,435
2021
£
180,888
180,888		 2020
£
25,661
28,627
14,075
3,373
45,905
41,071
158,712
2020
£
20,456
20,456

Income from contracts for the supply of services is recognised with the delivery of the service. Where the completion of the delivery of the service occurs past year end this element of the income is treated as deferred income at the year end.

-26-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

15. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2021 2020
£ £
Bank loans (see note 16) 67,189 94,437

16. LOANS

The bank loan comprises of a commercial mortgage from the bank. The interest rate on the mortgage is a fixed rate of 5.68% per annum. The loan is secured against the Mersea Road property.

Included within creditors: amounts falling due after more than one year is an amount of £Nil (2020: £8,124) in respect of bank loans payable or repayable by instalments which fall due for payment after more than five years from the reporting date.

17. PROVISIONS FOR LIABILITIES

At 1 April 2020
Reversal in year
At 31 March 2021		 Pensions and
similar
obligations
£
50,140
(2,803)
47,337

For further detailed information regarding the 'TPT Retirement Solutions - The Growth Plan' scheme please refer to note 22 within these financial statements.

-27-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

18. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Fixed assets
Current assets
Current liabilities
Long term liabilities
Provisions for liabilities		 Unrestricted
funds
£
647,685
1,464,488
(316,824)
(67,189)
(47,337)
1,680,823		 Restricted
funds
£
37,610
541,197
(7,611)
-
-
571,196		 2021 Total
funds
£
685,295
2,005,685
(324,435)
(67,189)
(47,337)
2,252,019

Comparatives for analysis of net assets between funds

Fixed assets
Current assets
Current liabilities
Long term liabilities
Provisions for liabilities		 Unrestricted
funds
£
661,129
959,250
(146,994)
(94,437)
(50,140)
1,328,808		 Restricted
funds
£
-
610,088
(11,718)
-
-
598,370		 2020 Total
funds
£
661,129
1,569,338
(158,712)
(94,437)
(50,140)
1,927,178

-28-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

19. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Designated fund - Contingency fund
Designated fund - Other
Designated fund - Fixed assets
Restricted funds
Chat With Charlie
NHS ASD Project
Nature In Mind
Essex Wide Crisis Cafe
Suicide Awareness Training
Education Mental Health Practitioner
COVID-19 Costs
ECF - IT Upgrade
STaRs North Essex (Summer Project)
TOTAL FUNDS
Net movement in funds, included in the above a
Unrestricted funds
General fund
Restricted funds
Chat With Charlie
NHS ASD Project
Essex Wide Crisis Cafe
Suicide Awareness Training
Education Mental Health Practitioner
COVID-19 Costs
ECF - IT Upgrade
STaRs North Essex (Summer Project)
TOTAL FUNDS		 At 1.4.20
£
566,808
612,000
150,000
-
1,328,808
21,579
203,616
6,035
357,264
21,594
(11,718)
-
-
-
598,370
1,927,178
re as follows:		 Net
movement
in funds
£
322,660
-
-
-
322,660
7,776
50,356
-
(127,641)
7,415
4,107
18,558
37,610
4,000
2,181
324,841
Incoming
resources
£
1,773,037
12,062
100,500
(79,999)
10,000
120,781
24,479
40,501
4,000
232,324
2,005,361		 Transfers
between
funds
£
(618,330)
-
-
647,685
29,355
(29,355)
-
-
-
-
-
-
-
-
(29,355)
-
Resources
expended
£
(1,450,377)
(4,286)
(50,144)
(47,642)
(2,585)
(116,674)
(5,921)
(2,891)
-
(230,143)
(1,680,520)		 At
31.3.21
£
271,138
612,000
150,000
647,685
1,680,823
-
253,972
6,035
229,623
29,009
(7,611)
18,558
37,610
4,000
571,196
2,252,019
Movement
in funds
£
322,660
7,776
50,356
(127,641)
7,415
4,107
18,558
37,610
4,000
2,181
324,841

-29-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

19. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
Designated fund - Contingency fund
Designated fund - Other
Restricted funds
Chat With Charlie
NHS ASD Project
Nature In Mind
Essex Wide Crisis Cafe
Suicide Awareness Training
Education Mental Health Practitioner
TOTAL FUNDS		 At 1.4.19
£
712,623
612,000
50,000
1,374,623
(4,691)
99,540
-
-
-
-
94,849
1,469,472		 Net
movement
in funds
£
(45,815)
-
-
(45,815)
26,270
104,076
6,035
357,264
21,594
(11,718)
503,521
457,706		 Transfers
between
funds
£
(100,000)
-
100,000
-
-
-
-
-
-
-
-
-		 At
31.3.20
£
566,808
612,000
150,000
1,328,808
21,579
203,616
6,035
357,264
21,594
(11,718)
598,370
1,927,178

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

Unrestricted funds
General fund
Restricted funds
Chat With Charlie
NHS ASD Project
Nature In Mind
Essex Wide Crisis Cafe
Suicide Awareness Training
Education Mental Health Practitioner
TOTAL FUNDS		 Incoming
resources
£
1,149,459
49,872
133,000
6,035
365,000
22,175
6,819
582,901
1,732,360		 Resources
expended
£
(1,195,274)
(23,602)
(28,924)
-
(7,736)
(581)
(18,537)
(79,380)
(1,274,654)		 Movement
in funds
£
(45,815)
26,270
104,076
6,035
357,264
21,594
(11,718)
503,521
457,706

The trustees have allocated reserves to the above designated funds for the following purpose:

Capital fund

This fund is to ensure that the charity has sufficient reserves to cover up to six months running costs.

-30-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

19. MOVEMENT IN FUNDS - continued

Other

This fund includes sufficient reserves to cover maintenance and improvement costs to the property and IT systems, as well as costs to be incurred in the tendering of future projects.

Restricted fund - Charles Watkins Donations

This fund includes donations received relating to the Charlie Watkins Foundation. The funds are being used to set up a service providing students with a one-to-one or group chat session with a trained volunteer. A transfer of £29,355 has been made to adjust for costs unincurred for the project in 2018/19 that were allocated to unrestricted due to slow payments of the funds.

Restricted fund - NHS ASD Project

This fund relates to grant income to be used solely for the purpose of delivering early intervention and support to Young people aged 16-19 in North East Essex who are not in education, employment or training.

Restricted fund - Nature in Mind

This fund is used to provide weekly allotment sessions at the Mersea Road allotment.

Restricted fund - Out of Hours Crisis Cafe

This fund is used to run an out of hours service providing a safe alternative to A&E to support people and their carers who are experiencing a mental health crisis or emotional distress.

Restricted fund - Suicide Awareness

This fund is currently holding donations for a GP Suicide awareness training project.

Restricted fund - Educational Mental Health Practitioner

This fund is currently assisting in the education and training of mental health practitioners.

Additional grant funding was received after the year end, returning the balance of this fund to a surplus.

20. OTHER FINANCIAL COMMITMENTS

The total future minimum lease payments under non-cancellable operating leases are as follows:

Not later than 1 year
Between 1 - 5 years		 2021
£
15,100
52,850
67,950		 2020
£
15,100
67,950
83,050

-31-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

21. RELATED PARTY DISCLOSURES

During the year an affiliation fee of £1,375 (2020:£1,375) was paid to Mind. There were no amounts remaining payable at the year end.

22. TPT RETIREMENT SOLUTIONS - THE GROWTH PLAN

The company participates in the scheme, a multi-employer scheme which provides benefits to some 950 non-associated participating employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.

The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.

The scheme is classified as a 'last-man standing arrangement'. Therefore the company is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.

A full actuarial valuation for the scheme was carried out at 30 September 2017. This valuation showed assets of £794.9m, liabilities of £926.4m and a deficit of £131.5m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:

Deficit contributions

From 1 April 2019 to 31 January 2025: £11,243,000 per annum (payable monthly and increasing by 3% each on 1[st] April)

Unless a concession has been agreed with the Trustee the term to 31 January 2025 applies.

Note that the scheme's previous valuation was carried out with an effective date of 30 September 2014. This valuation showed assets of £793.4m, liabilities of £969.9m and a deficit of £176.5m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:

Deficit contributions

From 1 April 2016 to 30 September 2025: £12,945,440 per annum (payable monthly and increasing by 3% each on 1[st] April) From 1 April 2016 to 30 September 2028: £54,560 per annum (payable monthly and increasing by 3% each on 1[st] April)

The recovery plan contributions are allocated to each participating employer in line with their estimated share of the Series 1 and Series 2 scheme liabilities.

Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.

-32-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

22. TPT RETIREMENT SOLUTIONS - THE GROWTH PLAN - continued

PRESENT VALUES OF PROVISION
31 March 2021 31 March 2020 31 March 2019
£ £ £
Present value of provisions 11,637 13,789
16,727

RECONCILIATION OF OPENING AND CLOSING PROVISIONS

RECONCILIATION OF OPENING AND CLOSING PROVISIONS
Period Ending Period Ending
31 March 2021 31 March 2020
£ £
Provision at start ofperiod 13,789 16,727
Unwindingof the discount factor(interest expense) 309 212
Deficit contributionpaid (2,859) (2,776)
Remeasurements - impact of anychange in assumptions 398 (374)
Remeasurements - amendments to contribution schedule - -
Provision at end ofperiod 11,637 13,789

INCOME AND EXPENDITURE IMPACT

INCOME AND EXPENDITURE IMPACT
Period Ending Period Ending
31 March 2021 31 March 2020
£ £
Interest expense 309 212
Remeasurements - impact of anychange in assumptions 398 (374)
Remeasurements - amendments to contribution schedule - -
Contributionspaid in respect of future service* * *
Costs recognised in income and expenditure account * *

*includes defined contribution schemes and future service contributions (i.e. excluding any deficit reduction payments) to defined benefit schemes which are treated as defined contribution schemes.

-33-

MID AND NORTH ESSEX MIND

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021

22. TPT RETIREMENT SOLUTIONS - THE GROWTH PLAN - continued

ASSUMPTIONS
31 March 2021 31 March 2020 31 March 2019
% per annum % per annum % per annum
Rate of discount 0.66 2.53
1.39

The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.

The following schedule details the deficit contributions agreed between the company and the scheme at each year end period:

DEFICIT CONTRIBUTIONS SCHEDULE

Year ending 31 March 2021 31 March 2020 31 March 2019
£ £ £
Year 1 2,945 2,859 2,776
Year 2 3,033 2,945 2,859
Year 3 3,124 3,033 2,945
Year 4 2,682 3,124 3,033
Year 5 - 2,682 3,124
Year 6 - - 2,682
Year 7 - - -

The company must recognise a liability measured as the present value of the contributions payable that arise from the deficit recovery agreement and the resulting expense in the income and expenditure account i.e. the unwinding of the discount rate as a finance cost in the period in which it arises.

It is these contributions that have been used to derive the company's balance sheet liability.

-34-

MID AND NORTH ESSEX MIND

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2021

INCOME AND ENDOWMENTS
Donations and legacies
Donations
Grants
Other charitable activities
Other income from charitable activities
Government grant income
Investment income
Bank interest receivable
Total incoming resources
EXPENDITURE
Charitable activities
Wages
National insurance
Pensions
Rent, rates and insurance
Light and heat
Postage, stationery and telephone
Repairs and maintenance
Software and licences
Travel and subsistence
Training
Legal and professional
Printing and publications
Member activities and other costs
Bank charges
Sundry expenses and consumables
Advertising and recruitment
Counsellors' fees
Volunteer expenses
Depreciation of tangible fixed assets		 2021
£
63,587
124,211
187,798
1,805,210
10,763
1,815,973
1,590
2,005,361
909,154
64,135
18,953
33,571
590
2,881
716
30,045
9,353
8,107
28,022
748
-
-
2,107
18,388
41,397
3,399
4,072
1,175,638		 2020
£
126,563
558,906
685,469
1,043,553
-
1,043,553
3,338
1,732,360
593,533
37,138
10,883
15,882
-
1,148
17
7,383
25,462
499
27,670
1,852
156
9
114
12,672
47,532
3,802
4,852
790,604

This page does not form part of the statutory financial statements

-35-

MID AND NORTH ESSEX MIND

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2021

Support costs
Staff costs
Wages
National insurance
Pensions
Finance
Mortgage interest
Other
Postage, stationery and telephone
Repairs and maintenance
Equipment
Travel and subsistence
Training
Legal and professional fees
Bank charges
Sundry expenses and consumables
Advertising and recruitment
Other hire
Rent, rates and insurance
Light and heat
Software and licences
Depreciation of tangible fixed assets
Governance costs
Auditors' remuneration
Audit and accountancy fees
Total resources expended
Net income		 2021
£
226,002
19,441
4,424
249,867
6,074
30,905
11,054
573
1,481
3,922
74,301
828
1,667
17,358
2,077
17,739
5,650
39,324
24,122
231,001
11,280
6,660
17,940
1,680,520
324,841		 2020
£
241,919
19,530
6,859
268,308
7,472
25,898
10,138
2,887
6,591
3,542
78,035
584
5,594
2,432
5,636
14,193
5,213
26,037
14,350
201,130
4,800
2,340
7,140
1,274,654
457,706

This page does not form part of the statutory financial statements

-36-