Company registration number.. 03442518 Charity registration number= 1064628 CREATIVE LIVING CENTRE ANNUAL REPORT AND FINANCIAL STATEMENTS 31 MARCH 2022 Horsfield & Smith Independent Examiner Tower House 269 Walmersley Road Bury Lancashire BL9 6NX CREATIVE LIVING CENTRE CONTENTS Reference and Administrative Details Chief Officer and Chair of Trustees Combined Report 2to3 Trustees, Report 4t07 Statement of Trustees, Responsibilities Independent Examiner's Report 9tolO Statement of Financial Activities iito12 Balance Sheet 13 Notes to the Financial Statements 14to32 CREATIVE LIVING CENTRE REFERENCE AND ADMINISTRATIVE DEfAILS Trustees Andrew Leeson Joanne James Rachel Frances Hopkins Nigel Hoolachan Claire Duffy Joanne Victoria Tasker Nichola Jane Cooke Sarah Janine Brooks Senior Management Team Heather Heathfield, Chief Officer Registered Office IA Rectory Lane Prestwich Manchester M25 IBP The charity is incorporated in England. Company Registration Number 03442518 Charity Registration Number 1064628 Bankers Unity Trust Bank PIC 9 Brindley Place Birmingham BI 2HB Virgin Money Jubilee House Gosforth Newcastle upon Tyne NE34PL Independent Examiner Horsfield & Smith Independent Examiner Tower House 269 Walmersley Road Bury Lancashire BL9 6NX CREATIVE LIVING CENTRE CHIEF OFFICER AND CHAIR OF TRUSTEES COMBINED REPORT In 2021122 we created several new staff roles reflecting the first phase of our strategy 2022 - 2025. A Pathway Coordinator joined us in April and has enabled us to reduce the waiting time for a new Member appointment from several weeks to just a few days, thereby enabling people to quickly access the support they need. This role works with Members throuEhout their journey with us, helping them select the right support package to meet their needs and when they are ready, plan their move back into the community. Other staff roles we have recruited include a Volunteer Coordinator and a funding opportunity for a café post was sought. In 2021122 as the pandemic ended and we moved back to normal levels of service delivery, the number of people we supported increased from 341 in 2020121 to 508. 293 people joined CLC as Members in 2021122. Of these, 251 were new Members and 42 previous Members re-joining us. We provided 1,832 New Member appointments and 1-2-1 Support Sessions and 1270 talking or holistic therapy sessions. We also delivered 637 group therapy sessions, three courses, eight workshops and 354 recreational/wellbeing sessions. Anxiety was the most prevalent presenting issue for new Members120Yol with depression115Yol and low mood19Yol also significant. Our outreach work has enabled 112 people who cannot attend our Centre to access our support. During 2021122 we have been able to secure funding for a new Volunteer Coordinator role, which is being recruited for an April 2022 start date. We know our services provide good outcomes for our Members in terms of improved mental health with 73Yo agreeing their confidence was increased, 68Yo feeling more connected to others, 68% reporting improved skills and 61% feeling better able to manage their mental health. Furthermore, our support avoided the use of statutory services with Members reportin8 It had avoided a hospital admission117%1, avoided calling an ambulance114Yol, led to less GP visits118Yol, avoided an A&E visit115Yol or a call to the police122Yol. Whilst this data demonstrates the value of our services, the testimonials and Stories of our Members Iwhich can be seen on our website) give greater insight into the many ways we help change lives for the better. As a charity we recognise the importance of maintaining accurate and timely records and to ensure they are kept and maintained in a secure environment. During 2021122 we asked an IT company to undertake a review of our systems and to recommend improvements where needed. As a result of this review and concluding on what we believed to be a poor current IT service, a decision was made to exit the incumbent IT service provider and, following a tender process, a new provider was appointed. As part of on boarding the new provider, the opportunity was taken to implement a number of improvements which, collectively, have significantly strengthened the security stance of the charity and improved the technology platform. In addition, the new provider is expected to provide a better service to colleagues than was hitherto the case. In order to strengthen our HR function a third party provider of HR related services was appointed in October 2021 meaning that expert advice can be sought for employment related matters as needed. CREATIVE LIVING CENTRE CHIEF OFFICER AND CHAIR OF TRUSTEES COMBINED REPORT Liz Thompson, Chief Officer, very sadly passed away in August 2021 following a short illness. She was instrumental in developing the CLC in the 14 years she was part of the charity. Heather Heathfield was appointed as Chief Officer on an interim basis in September 2021. During 2021122 the Chair and Treasurer of the Trustees resigned. As an interim measure, lo James became acting Chair and Andrew Leeson replaced Brian Muir as Treasurer in December 2021. Andrew is a qualified accountant and has considerable experience of work in the public sector, including Greater Manchester. Since the financial year end one of the Trustees resigned in April 2022, however we have subsequently strengthened the Trustee Board during 2022 by recruiting three new Trustees, all with relevant skills and experience including workin in charitable and public sector organisations. In 2022, we celebrate our 25th anniversary. In September, we will hold an event involving Members, Staff, Trustees and volunteers to come together to reflect on our work and impact and share precious memories. It is amazing to think we have been supporting people in Prestwich, Bury and more widely across Salford and Manchester to have good mental health and emotional wellbeing for 25 years. During that time we have changed the life of countless people and become a recognised and vital part of the local community. Joanne James Interim Chair of Trustees CREATIVE LIVING CENTRE TRUSTEES, REPORT The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 March 2022. The Trustees confirm that the annual report and financial statements of the company comply with current statutory requirements, the requirements of the company's governing document and the provisions of the Statement of Recommended Practice ISORPI 'Accounting and Reporting bv Charities 2015 IFRS1021. Objectives and activities The company's objectives, as stated in the Articles and Memorandum of Association, are: il to promote the preservation of mental health and to assist in relieving persons suffering from emotional or mental distress requiring advice or treatment- and ill to promote the education of the public in mental health issues. The Creative Living Centre is a community resource which offers a range of courses, activities, social sessions, counselling and therapies,. with the aim of helping people better understand and manage their mental health. In 2019 we reviewed our vision, for 'a society where responsive, person-centred mental health services are available to all,, and this of course forms the guiding principle underlying the work at the Centre, with people's feedback being key to how the service develops. Based on analysis of attendance data, and feedback from our members, we introduced additional l.'I session5 following our new member appointments, so people are offered more support in the initial stages of accessing the Centre and choosing from the wide range of activities on offer. Each person then moves at their own pace and for as long as needed. We continue to collect regular data and case studie5 to help us understand the difference the Centre is making, what changes we may need to make, and to celebrate the incredibly courageous stories of those who attend our Centre. Public benefrt The Trustees have had due regard to the Charity Commission's guidance on public benefit when planning and delivering services at the Creative Living Centre. As can be seen from the Trustee's report, activities and developments at the Centre are guided by the wishes and needs of the service users Imembers), working in collaboration with partners to ensure our service networks effectively with the statutory and voluntary sector. Financial review Reserves pollcy Trustees aBreed the reserves Policy which includes a specific Dilapidations Reserve. funded with £5,000 per year, along with a General Reserve of £35,0(X) to cover redundancy costs lapprox £25,0001 and Centre wind-down costs of £10,000. Trustees have also agreed to allocate otherwise unrestricted funds to specific expenditure and projects, which as at 31 March 2022 totaled £28,000. CREATIVE LIVING CENTRE TRUSTEES, REPORT Investment power5 Under the Memorandum and Articles of Association, the charity has the power to make any investment which the Trustees see fit. Trustees and offlcers The trustees, who are also directors of the charitable company, and officers who served the charity durin8 the year and since the year end were as follows.. Trustees.. Lindsay Stewart, Chairperson IresiEned 4 January 20221 joanne James, Interim Chair from 4 January 2022 Brian Muir, Treasurer (resigned 7 December 20211 Andrew Leeson, Treasurer (appointed 7 December 20211 Rachel Frances Hopkins Stephen Michael Parkin (resigned 22 April 20221 Nigel Hoolachan Claire Duffy joanne Victoria Tasker lappointed IS November 20221 Nichola Jane Cooke (appointed 15 November 20221 Sarah Janine Brooks (appointed 6 December 20221 Liz Thompson (deceased August 20211 Heather Heathfield (appointed August 20211 Senior ManaEement Team- The trustees acknowledge their responsibility to consider material risks and their impact on the charity's operations. The major risks to which the charity is exposed will be identified and effectiveness of controls to mitigate the risk will be monitored by the Trustees. Structure, governance and management Constitution policies On 30 September 1997 the Creative Living Centre became reElStered with the Charity Commission under registered charity number 1064628. On 25 September 1997 the Creative Livin8 Centre became registered at Companies House as a Company Limited by Guarantee, registered number 3442518. The company was set up by a Memorandum of Association dated 25 September 1997. The Articles and Memorandum of Association of the Creative Living Centre can be located at Companies House and in the Charity's office (copies being available on requestl. Orgoni50tionolstructure The charity is governed by the trvstees who meet monthly as a board. The Centre has a Chief Officer, responsible for strategy, funding, partnerships and overall service delivery, under the guidance of the Trustees (see the Chief Officer's Report). CREATIVE LIVING CENTRE TRUSTEES, REPORT Limited by guarantee The company is a company limited by guarantee. The members of the company are the Trustees named on page l. In the event of the company being wound up, the liability in respect of the guarantee is limited to £10 per member of the company. Method ofuppolntment or electlon of Trustees The management of the company is the responsibility of the Trustees who are elected and co-opted under the terms of the Articles of Association. The Chairperson of the Board of Directors is elected by the Board. The Treasurer is also elected by the Board. The Board of Trustees may at any time elect additional Trustees by calling a General Meeting. Recruitment. indurtion and training of trustees Recruitment of Trustees The Board is mindful of the overall mix of skills and experience in recruiting new trustees. Interest is normally generated through advertisements andlor contacts and candidates are interviewed by at least two existing trustees following formal application. If successful at interview, appointment is confirmed subject to satisfactory references and statutory checks. Trustees organise annual training/development events where the trustees meet up and look at future strategy, allocate responsibilities and get updates from external trainers in best practice in charity governance. CREATIVE LIVING CENTRE TRUSTEES, REPORT Directors and their Interests The directors are the Trustees for charitable purposes. The Directors had no beneficial interest in the Creative Living Centre. Risk monagement The Trustees have assessed the major risks to which the company is exposed, in particular those related to the operations and finances of the company, and are satisfied that systems are in place to mitlEate our exposure to the major risks. Since our last annu31 report, our Risk RÈElSter has been reviewed and signed off, and a Business Continuity plan put in place. The major areas of risk are identified as.. Sudden and unexpected loss of income andjor failure to secure adequate external funding with consequences for cash flow and particularly payroll and premises costs. General financial risks such as sudden and SlEnificant expenditure leg building repairs), operational risks leg1055 of key staff, IT systemsl requirement to comply with changing legislation et¢. Risk of injury to staff, members or volunteers or other third parties resulting in legal action against the Centre resulting in the need to employ legal defense. The financial consequences of the above are covered by either our Reserves policy or by Insurance. The risks faclng the Charity wlll continue to change and existing and proposed activlty wlll be reglslarly reviewed by Key Management and Trustees. The annual rèport wa5 approved by the trustees of the charity on behalf by: and slgned on Its Joanne Jame5 Trusteè CREATIVE LIVING CENTRE STATEMENT OF TRUSTEES, RESPONSIBILITIES The trustees {who are also the directors of Creative Llving Centre for the purpose5 of company lawl are responsible for preparing the trustees, report and the financial statements in accordance with the United Kingdom AccountinE Standards (United Kingdom Genèrally Accepted Accounting Practicel and applicable law and regulations. Company law require5 the trusteès to prepare financial statement% for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a truè and fair view Df the state of affairs of the charitable company 2t)d of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to.. select suitable accounting policies and apply them consistentty,. observe the methods anLf principles in the Charities SORP,. make ludgements and estimates that are reasonable and prudent. state whether applicable UK Accoynting Standards have been followed, subjert to any material departures disclosed and explained in the financial statements,. and prepare the flnancial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue In business. The trustees are responslble for keepSng adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accLJracy at any time the financial positlon of the charitable company 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 charitab12 company and hence for taking reasonable steps for the prevention and detection of fraud and other irreEularities. Approved by the trustees of the charity on and signed on its behalf by.. Joanne james Trustee CREATIVE LIVING CENTRE INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF CREATIVE LIVING CENTRE I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 March 2022 which are set out on pages 11 to 32. Responsibilities and basis of report A5 the charittys trustees of the Company land also its directors for the purposes of company lawl you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 20061'the 2006 Act'l. Having satisfied myself that the accounts of Creative Living Centre are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charitvs accounts as carried out under section 145 of the Charities Act 2011 I'the 2011 Act'l. In carrying out my examination I have followed the Directions given by the Charity Commission under section 14515llbl of the 2011 Act. CREATIVE LIVING CENTRE INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF CREATIVE LIVING CENTRE Independent examlnerfs statement Since the Company's gro55 income exceeded £250,1X)O your examlner must be a member of a body listed in section 145 of the 2011 Act. I confirm that l am qualified to undertake the examination because l am a member of ICAEW, which is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe.. l. accounting records were not kept in respect of Creative Living Centre as required by section 386 of the 2006 Act,. or 2. the accounts do not accord with those records: or 3. the account5 do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the account5 give a 'true and fair view, which is not a matter considered as part of an independent examination,. or 4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities lapplicable to charities preparing their account5 in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 10211. I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the account o be reached. Jonathan Staples 8Sc FCA DChA Independent Examiner ICAEW Tower House 269 Walmersley Road Bury Lancashire BL9 6NX 26January 2023 io CREATIVE LIVING CENTRE STATEMENT OF FINANCIAL AcfiviTIES YEAR ENDED 31 MARCH 2022 (INCLUDING INCOME AND EXPENDITURE ACCOUNT AND STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES) Unrestricted funds Restricted funds Total 2022 Note Income and Endowments from: Donations and legacies Charitable activities 23,190 199,949 23,190 365,624 165,675 Total income 223,139 165,675 388,814 Expenditure on: Charitable activities 1262,0281 167,6041 1329,6321 Total expenditure 1262,0281 167,6041 1329,6321 Net lexpenditurel/income Transfers between funds 138,8891 12,157 98,071 112,1571 59,182 Net movement in funds 126,7321 85,914 59,182 Reconciliation of funds Total funds brought forward 159,003 35,615 194,618 Total funds carried forward 19 132,271 121,529 253,800 li CREATIVE LIVING CENTRE STATEMENT OF FINANCIAL AcfiviTIES YEAR ENDED 31 MARCH 2022 (INCLUDING INCOME AND EXPENDITURE ACCOUNT AND STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES) Comparative Statement of Financial Activities to 31st March 2021 Unrestricted funds Restricted funds Total 2021 Note Income and Endowments from: Donations and legacies Charitable activities 24,337 149,480 1,995 24,337 312,481 1,995 163,001 Other income Total income 175,812 163,001 338,813 Expenditure on: Charitable activities 1128,4361 1182,9121 1311,3481 Total expenditure 1128,4361 1182,9121 1311,3481 Net income/lexpenditurel 47,376 119,9111 27,465 Net movement in funds 47,376 119,9111 27,465 Reconciliation of funds Total funds brought forward 111,627 55,526 167,153 Total funds carried forward 19 159.003 35,615 194,618 All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2021 is shown in note 19. 12 ## **CREATIVE LIVING CENTRE** ## **BALANCE SHEET AS AT 31 MARCH 2022 (REGISTRATION NUMBER: 03442518)** |**Note**
**Fixed assets**
Tangible assets
14
**Current assets**
Debtors
15
Cash at bank and in hand
16
**Creditors: Amounts falling due within one year**
17
**Net current assets**
**Net assets**
**Funds of the charity:**
**Restricted income funds**
Restricted funds
**Unrestricted income funds**
Unrestricted funds
**Total funds**
19|**2022**
**£**
94
4,788
260,262
265,050
(11,344)
253,706
253,800
121,529
132,271
253,800|**2021**
**£**
373
2,110
200,667| |---|---|---| |||202,777
(8,532)| |||194,245| |||194,618| |||35,615
159,003| |||194,618| 13 U¢EATIVE LIVING CENTrE 8ALANCE SHEEr S AT 31 MARCH 2022 {RE615TrATION NUM8ER.. Q3442S18) Fty thi Ihwrflal yw ondk4 31 20?2 tlr tharty *rtilI￿ to Irom •Jtht ur so¢th￿ 477 ofthe Companle5 Att2￿TeL￿*￿l tosTr¥ll cornpanle DlrtttN5' fesponsltiilitles". . The m•nbvr5 havo nul YEq*JiTEd thE thwity to I4J￿ of its ar(ounts th• in twtknn In attord•nce wlth se¢tton 476,. and d syl oftthew be￿ trr. Tnixe¢ nne J•mes 14 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **1 General information** Creative Living Centre is a registered charity operating from Prestwich. The charity is a company limited by guarantee and is incorporated in England and Wales. The address of its registered office is 1A Rectory Lane, Prestwich, Manchester, M25 1BP. These financial statements were authorised for issue by the trustees on 25 January 2023. ## **2 Accounting policies** ## **Summary of significant accounting policies and key accounting estimates** The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated. ## **Statement of compliance** Creative Living Centre meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes. ## **Basis of preparation** The financial statements have been prepared in accordance with 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 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. Bury Clinical Commissioning Group (CCG) and the Big Lottery continue to be our main funders. In December 2021, the CCG committed to commissioning our service for a further three years until 31st March 2025. In July 2022, the CCG became part of the new Greater Manchester Integrated Care System (ICS) which now holds the CCG's commissioning responsibilities and contractual agreements. Our Big Lottery funding continues to the end of March 2024. We also secured funding for a Pathway Coordinator for one year from the Greater Manchester Alternative to Crisis Fund and for a Volunteer Coordinator for one year from the Postcode Lottery. Other funds were awarded from Garfield Weston, Transport for Greater Manchester, Park Life and Bury Climate Action. 15 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **Going concern** The Centre continues to receive committed support from its volunteers and Trustees, and staff and Trustees continue to monitor the Centre's financial position to ensure the charity provides a quality service, within budget. Forecasts have been prepared which indicate the Centre would be able to continue during the current financial year (ie to 31 March 2023), although funding for two posts will cease unless we can secure follow-up funding. The Trustees believe it is appropriate to prepare the accounts on a going concern basis. The accounts do not include any adjustments that may be necessary if future funding cannot be secured. ## **Company status** The company is a company limited by guarantee. The members of the company are the Trustees named on page 1. In the event of the company being wound up, the liability in respect of the guarantee is limited to £10 per member of the company. ## **Fund accounting** General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the company and which have not been designated for other purposes. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors which have been raised by the company for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. ## **Income and endowments** All incoming resources are included in the Statement of Financial Activities when the company is legally entitled to the income and the amount can be quantified with reasonable accuracy. Donated services or facilities, which comprise donated services, are included in income at a valuation which is an estimate of the financial cost borne by the donor where such a cost is quantifiable and measurable. No income is recognised where there is no financial cost borne by a third party. All income is recognised in the Statement of Financial Activities when the conditions for receipt have been met and there is reasonable assurance of receipt. ## _**Grants receivable**_ Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released. ## **Expenditure** All expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources. 16 **CREATIVE LIVING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **Governance costs** Governance costs are those incurred in the governance of the Charity's assets and are associated with constitutional and statutory requirements. ## **Support costs** Support costs are those costs incurred directly in support of expenditure on the objects of the charitable company. ## **Government grants** Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income. ## **Recognition of liabilities** Liabilities are recognised once there is a legal or constructive obligation that commits the company to the obligation. ## **Tangible fixed assets and depreciation** The Trustees carry out impairment reviews in accordance with section 27 of FRS 102. Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following basis: **Asset class Depreciation method and rate** Leasehold property improvements Over the remaining term of lease Computer equipment 33.3% reducing balance Kitchen equipment 25% straight line The Trustees only capitalise items greater than £500. ## **Debtors** Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment. 17 **CREATIVE LIVING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **Financial instruments** The company only enters into basic financial instruments transactions that result in the recognition of financial assets and libilities like trade and other accounts receivable and payable, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payable or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration, expected transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an out-right short-term loan not at market rate, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost. Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Financial Activity. For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined unde the contract. For financial asstes measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate, which is an approximation of the amount that the company would receive for the asset if it were to be sold at the balance sheet date. Financial assets and liabilities are offset and the net amount reported in the Balance sheet when there is an 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, ## **Creditors** Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method. 18 **CREATIVE LIVING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **Judgement in applying accounting policies and key sources of estimation uncertainty** The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying acounts of assets and liabilities within the next financial year are addressed below. ## (i) Useful economic lives of tangible assets The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. See note 13 for the carrying amount of the property pland and equipment, and the accounting policy for tangible fixed assets and depreciation for the useful economic lives for each class of asset. ## (ii) Impairment of debtors The company makes an estimate of the recoverabe value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience. See note 14 for the net carrying amount of the debtors. ## **3 Income from donations and legacies** |**3 Income from donations and legacies**||| |---|---|---| |Donations
**Total for 2022**
**Total for 2021**|**Unrestricted**
**funds**
**General**
**£**
23,190
23,190
24,337|**Total**
**funds**
**£**
23,190| |||23,190| |||24,337| 19 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **4 Income from charitable activities** |**Note**
External funding
5
Charitable income - Centre
generated income
6
**Total for 2022**
**Total for 2021**
**5 External funding**
**Unrestricted**
**General**
**£**
Bury CCG
137,188
Parklife Community Fund
-
Bury Voluntary Co
-
The Edward Gostling
Foundation
3,772
Bury MBC
500
NatWest Group
2,800
Henry Smith Charity
-
Lloyds Foundation
-
Co-op Local Community Fund
1,351
Lottery RC funds
-
Souter Trust
-
Archer Trust
2,000
Sir Jules Thornton Trust
-
Forever Manchester Grant
-
AJ Bell Trust
-
Neighbourly Community Fund
micro-grant
-
Salter Family Charitable Trust
-
Lloyds Bank React Covid Fund
-
National Lottery Coronavirus
Community Fund
-
Forever Manchester
Community Support Fund
-|**Unrestricted**
**funds**
**General**
**£**
181,396
18,553
199,949
149,480
**Restricted**
**£**
-
-
-
5,000
7,736
-
14,500
-
-
-
-
-
-
-
-
-
-
-
-
-|**Restricted**
**funds**
**£**
165,675
-
165,675
163,001
**Total**
**2022**
**£**
137,188
-
-
8,772
8,236
2,800
14,500
-
1,351
-
-
2,000
-
-
-
-
-
-
-
-|**Total**
**funds**
**£**
347,071
18,553| |---|---|---|---| ||||365,624| ||||312,481| ||||**Total**
**2021**
**£**
138,548
216
2,132
-
-
3,000
-
24,833
393
56,443
1,000
-
1,250
1,000
4,800
400
250
5,591
52,315
11,943| 20 **CREATIVE LIVING CENTRE** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** |**Unrestricted**
**General**
**£**
Peter Kershaw Trust
-
Marsh Christian Trust
350
GMCVO
6,912
Media Trust
2,000
The National Lottery
-
The Liz Thompson Fund
-
Independent Mental Health
Network
-
Community Climate Action
Fund
-
Barchester Charitable
Foundation
-
Postcode Neighbourhood
Fund
24,523
Screwfix Foundation
-
181,396
**6 Charitable income - Centre generated income**
Member contributions
Therapy
Room hire
Other income
Interest on cash deposits|**Restricted**
**£**
-
-
-
-
129,850
1,000
250
1,956
500
-
4,883
165,675
**Unrestricted**
**General**
**£**
6,024
5,365
4,594
2,276
294
18,553|**Total**
**2022**
**£**
-
350
6,912
2,000
129,850
1,000
250
1,956
500
24,523
4,883
347,071
**Total**
**2022**
**£**
6,024
5,365
4,594
2,276
294
18,553|**Total**
**2021**
**£**
1,500
300
-
-
-
-
-
-
-
-
-| |---|---|---|---| ||||305,914| ||||**Total**
**2021**
**£**
1,751
1,958
2,116
399
343| ||||6,567| 21 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **7 Expenditure on charitable activities** |**Note**
**Centre Activity for Members**
Activity undertaken directly
8
Support costs
9
**Total for 2022**
**Total for 2021**|**Unrestricted**
**funds**
**General**
**£**
188,941
73,087
262,028
128,436|**Restricted**
**funds**
**£**
65,479
2,125
67,604
182,912|**Total**
**funds**
**£**
254,420
75,212| |---|---|---|---| ||||329,632| ||||311,348| ## **8 Activity undertaken directly** |Wages and salaries
Social security costs
Pension costs
General office expenses
Rental of accommodation
Sessional payments
Sundry expenses
Consultancy fees
Volunteer expenses
Advertising and social media
Equipment|**Centre**
**activities**
**for members**
**£**
144,731
9,315
6,025
8,654
54,008
23,334
3,430
-
2,219
400
2,304
254,420|**Total**
**2022**
**£**
144,731
9,315
6,025
8,654
54,008
23,334
3,430
-
2,219
400
2,304
254,420|**Total**
**2021**
**£**
112,672
5,110
3,241
10,076
52,462
9,464
68
1,400
293
129
2,894| |---|---|---|---| ||||197,809| 22 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **9 Support costs** |**Support costs**|||| |---|---|---|---| |Depeciation
Staff salaries
Sundry expenses
Governance costs|**Centre**
**activities**
**for members**
**£**
279
62,695
7,921
4,317
75,212|**Total**
**2022**
**£**
279
62,695
7,921
4,317
75,212|**Total**
**2021**
**£**
7,358
98,398
3,551
4,232| ||||113,539| Indirect costs had risen in previous years, largely as a result of appointing a part time fundraiser - a position which was kept under regular review. Our fundraiser worked very hard during Covid, and was successful in many Covid related bids. The jobholder resigned in February 2021, and in view of the uncertainty of major funding streams, trustees decided not to replace. This situation remains under review. ## **10 Net incoming/outgoing resources** Net incoming resources for the year include: |Operating leases - other assets
Independent Examiner fees
Depreciation of fixed assets|**2022**
**£**
31,275
2,670
279|**2021**
**£**
21,400
2,550
7,358| |---|---|---| ## **11 Trustees remuneration and expenses** No trustees, nor any persons connected with them, have received any remuneration from the charity during the year. No trustees have received any reimbursed expenses or any other benefits from the charity during the year. 23 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **12 Staff costs** The aggregate payroll costs were as follows: |**12 Staff costs**
The aggregate payroll costs were as follows:||| |---|---|---| |**Staff costs during the year were:**
Wages and salaries
Social security costs
Pension costs|**2022**
**£**
207,426
9,315
6,025
222,766|**2021**
**£**
204,658
8,851
5,912| |||219,421| The charity benefited in the year from the time donated by up to 30 (2021: 36) volunteers, including trustees, who provide services which would otherwise need to be provided by paid employees. The monthly average number of persons employed by the charity during the year was as follows: ||**2022**||**2021**|| |---|---|---|---|---| ||**No**||**No**|| |Centre staff||12||14| No employee received emoluments of more than £60,000 during the year. The chief executive officer, as the highest paid member of staff, received benefits totalling £22,148 (2021 - £21,054). ## **13 Taxation** The charity is a registered charity and is therefore exempt from taxation. 24 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **14 Tangible fixed assets** |**Leasehold**
**property**
**improvements**
**£**
**Cost**
At 1 April 2021
136,164
At 31 March 2022
136,164
**Depreciation**
At 1 April 2021
136,164
Charge for the year
-
At 31 March 2022
136,164
**Net book value**
At 31 March 2022
-
At 31 March 2021
-
**15 Debtors**
Trade debtors
Other debtors
**16 Cash and cash equivalents**
Cash on hand
Cash at bank
**17 Creditors: amounts falling due within one year**
Accruals and deferred income|**Kitchen**
**equipment**
**£**
3,436||**Computer**
**equipment**
**£**
12,938||**Total**
**£**
152,538
152,538
152,165
279
152,444
94
373
**2021**
**£**
1,260
850| |---|---|---|---|---|---| ||3,436||12,938||| ||3,361
75||12,640
204||| ||3,436||12,844||| ||-||94||| ||75||298||| ||||**2022**
**£**
3,846
942
4,788
**2022**
**£**
367
259,895
260,262
**2022**
**£**
11,344||| ||||||2,110| ||||||**2021**
**£**
1,131
199,536| ||||||200,667| ||||||**2021**
**£**
8,532| 25 **CREATIVE LIVING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **18 Obligations under leases and hire purchase contracts** ## **Operating lease commitments** Total future minimum lease payments under non-cancellable operating leases are as follows: |**Land and buildings**
Within one year
Between one and five years|**2022**
**£**
31,275
33,881
65,156|**2021**
**£**
30,877
65,156| |---|---|---| |||96,033| The Charity has entered into a new ten year operating lease for the rental of their premises from 29th April 2021. The lease is cancellable after three years on 29 April 2024 and each third anniversary of this date. ## **19 Funds** |**Unrestricted**
General
**_Designated_**
Property fund
General fund
Allocated funds
**Total unrestricted**
Henry Smith Charity
Lloyds Foundation
Co-op Local Community
Fund
National Lottery
AJ Bell Trust Wage War
on Covid
Lloyds Bank React Covid
NatWest Group DIYSOS
Covid|**Balance at**
**1 April**
**2021**
**£**
77,843
25,000
35,000
21,160
159,003
-
15,966
37
-
4,254
3,731
3,000|**Incoming**
**resources**
**£**
223,139
-
-
-
223,139
14,500
-
-
129,850
-
-
-|**Resources**
**expended**
**£**
(262,028)
-
-
-
(262,028)
(6,483)
(11,662)
(37)
(28,214)
(1,060)
(4,137)
-|**Transfers**
**£**
217
5,000
-
6,940
12,157
-
(4,304)
-
-
-
406
(3,000)|**Balance at**
**31 March**
**2022**
**£**
39,171
30,000
35,000
28,100| |---|---|---|---|---|---| ||||||132,271| ||||||8,017
-
-
101,636
3,194
-
-| 26 ## **CREATIVE LIVING CENTRE** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** |Parklife Community Fund
2019
Ambition for Ageing
Mind
National Lottery
Coronavirus Community
Forever Manchester
Community Support
Screwfix Foundation
Peter Kershaw Trust
Bury CCG Coping &
Thriving Comms
Bury Council Town of
Culture
Bury MBC Move It
The Edward Gostling
Foundation
The Liz Thompson Fund
Independent Mental
Health Network
Community Climate
Action Fund
Barchester Charitable
Foundation
**Restricted**
**Total funds**|**Balance at**
**1 April**
**2021**
**£**
48
4,903
148
942
1,230
(684)
1,360
680
-
-
-
-
-
-
-
35,615
194,618|**Incoming**
**resources**
**£**
-
-
-
-
-
4,883
-
-
250
7,486
5,000
1,000
250
1,956
500
165,675
388,814|**Resources**
**expended**
**£**
-
(3,613)
-
-
(1,230)
-
-
(680)
-
(4,504)
(5,078)
(250)
(250)
(246)
(160)
(67,604)
(329,632)|**Transfers**
**£**
(48)
-
(148)
(942)
-
(4,199)
-
-
-
-
78
-
-
-
-
(12,157)
-|**Balance at**
**31 March**
**2022**
**£**
-
1,290
-
-
-
-
1,360
-
250
2,982
-
750
-
1,710
340| |---|---|---|---|---|---| ||||||121,529| ||||||253,800| 27 ## **CREATIVE LIVING CENTRE** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **Prior year fund analysis** |**Unrestricted**
General
**_Designated_**
Property fund
General fund
Allocated funds
**Total unrestricted**
Lloyds Foundation
Co-op Local Community
Fund
National Lottery
Living With & Beyond
Cancer
Albert Hunt
AJ Bell Trust Wage War
on Covid
Lloyds Bank React Covid
NatWest Group DIYSOS
Covid
Parklife Community Fund
2019
Ambition for Ageing -
Games Social
Ambition for Ageing
Ambition for Ageing - Fit
and Fun
Ambition for Ageing -
Crafterama
Mind
National Lottery
Coronavirus Community
Forever Manchester
Community Support
Screwfix Foundation
Peter Kershaw Trust|**Balance at**
**1 April**
**2020**
**£**
91,627
20,000
-
-
111,627
28,036
118
18,814
906
1,000
-
-
-
1,248
1,097
1,800
1,079
1,280
148
-
-
-
-|**Incoming**
**resources**
**£**
175,812
-
-
-
175,812
24,833
-
56,443
-
-
4,800
5,591
3,000
216
-
-
-
-
-
52,315
11,943
-
1,500|**Resources**
**expended**
**£**
(128,436)
-
-
-
(128,436)
(36,903)
(81)
(75,257)
(906)
(1,000)
(546)
(1,860)
-
(1,416)
-
(68)
-
(285)
-
(51,373)
(10,713)
(684)
(140)|**Transfers**
**£**
(61,160)
5,000
35,000
21,160
-
-
-
-
-
-
-
-
-
-
(1,097)
3,171
(1,079)
(995)
-
-
-
-
-|**Balance at**
**31 March**
**2021**
**£**
77,843
25,000
35,000
21,160| |---|---|---|---|---|---| ||||||159,003| ||||||15,966
37
-
-
-
4,254
3,731
3,000
48
-
4,903
-
-
148
942
1,230
(684)
1,360| 28 ## **CREATIVE LIVING CENTRE** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** |Bury Community Covid 19
Emergency
Bury CCG Coping &
Thriving Comms
**Restricted**
**Total funds**|**Balance at**
**1 April**
**2020**
**£**
-
-
55,526
167,153|**Incoming**
**resources**
**£**
1,000
1,360
163,001
338,813|**Resources**
**expended**
**£**
(1,000)
(680)
(182,912)
(311,348)|**Transfers**
**£**
-
-
-
-|**Balance at**
**31 March**
**2021**
**£**
-
680| |---|---|---|---|---|---| ||||||35,615| ||||||194,618| The Screwfix Foundation fund showed a deficit figure at the year end of £684. This was as a result of funds being delayed in transit. The expected funds of £4883 were received in June 2021. 29 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** The specific purposes for which the funds are to be applied are as follows: Henry Smith Charity - post covid recovery funding to cover existing staff salaries and additional capacity. Lloyds Foundation - used towards paying the Creating Better Chances Project. National Lottery - community fund for Takepart and Outreach Coordinators and staff time. AJ Bell Trust Wage War on Covid - towards staff hours for new activities. Lloyds Bank React Covid - towards staff hours, equipment and materials for activities. NatWest DIYSOS Covid - capital grant to help towards building repairs. Parklife Community Fund - towards the cost of automated entrance doors. Mind - to provide a weekly cafe peer-facilitated meet-up for people experiencing social isolation. Forever Manchester Community Support Covid - towards staff costs for activities, cleaning and administration. Screwfix foundation - to help towards building repairs. Bury Council Town of Culture - towards arts and crafts sessions as part of outreach. Bury MBC Move it - funding for exercise classes for members. The Edward Gostling Foundation - post covid funding for Senior Support Coordinator time to address the need for additional councelling and enable users to access support in a timely manner. The Liz Thompson Fund - funding for staff development. Community Climate Action - funding to regenerate the garden and allotment, growing and cooking plant based food for our cafe. Barchester Charitable Foundation - towards craft sessions for members. 30 **CREATIVE LIVING CENTRE** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** Forever Manchester Community Support Covid - towards staff costs for activities, cleaning and administration. Peter Kershaw Trust Covid Grant - towards therapist costs. Bury Community Covid19 Emergency - towards staff hours. The designated property fund was created to cover repairs/maintenance on the Rectory Lane property and create a dilapidations fund at the end of the lease. The designated general fund was created to cover winding down costs of the building, including redundancies, should the charity have to close. 31 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **20 Analysis of net assets between funds** |Tangible fixed assets
Current assets
Current liabilities
Total net assets
Tangible fixed assets
Current assets
Current liabilities
Total net assets
**21 Analysis of net funds**
Cash at bank and in hand
Net debt
Cash at bank and in hand
Net debt||**Unrestricted**
**funds**
**General**
**£**
94
143,521
(11,344)
132,271
**Unrestricted**
**funds**
**General**
**£**
336
167,199
(8,532)
159,003
**At 1 April**
**2021**
**£**
200,667
200,667
**At 1 April**
**2020**
**£**
123,736
123,736|**Restricted**
**funds**
**£**
-
121,529
-
121,529
**Restricted**
**funds**
**£**
37
35,578
-
35,615
**Financing**
**cash flows**
**£**
59,595
59,595
**Financing**
**cash flows**
**£**
76,931
76,931|**Total funds at**
**31 March**
**2022**
**£**
94
265,050
(11,344)| |---|---|---|---|---| |||||253,800| |||||**Total funds at**
**31 March**
**2021**
**£**
373
202,777
(8,532)| |||||194,618| |||||**At 31 March**
**2022**
**£**
260,262
260,262
**At 31 March**
**2021**
**£**
200,667
200,667| 32 **CREATIVE LIVING CENTRE** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022** ## **22 Financial instruments** ## **Categorisation of financial instruments** |**Categorisation of financial instruments**||| |---|---|---| ||**2022**|**2021**| ||**£**|**£**| |Financial assets that are debt instruments measured at amortised||| |cost|264,108|201,927| |Financial liabilities measured at amortised cost|11,344|8,532| Financial assets consist of cash and trade debtors. Financial liabilities consist of trade creditors and accruals. ## **23 Indemnity insurance** The Charity has purchased insurance on behalf of the Trustees to protect them from any loss arising from neglect or default, the premium for which is £1,647 (2021: £1,682). ## **24 Transactions with directors** Some trustees are also volunteers and receive reimbursement of expenses in their capacity as volunteers. ## **25 Related party transactions** There were no related party transactions in the year that require disclosure in the financial statements. 33