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|---|---|---|---|---|---|---|---|---|
|Trustees'|annual
report (incorporating|||the|director's|report and CE(rs report)|||
|Independent
auditor's||report to|the members|||||10|
|Statement|of finanmal|activities|(including||income and expenditure||account)|12|
|Statement|of hnancial|position||||||13|
|Statement|ofcash flows||||||||
|Notes to the financial||statements||||||15|
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|The trustees,|The trustees,|The trustees,|who are|who are||also the directors|also the directors|for the purposes
ofcompany|for the purposes
ofcompany|for the purposes
ofcompany|for the purposes
ofcompany|law,|present|present|present|their report and the financial statements|their report and the financial statements|ofthe|
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|charity for||the year||ended 31 March 2021.|||||||||||||||
|Reference||and administrative|||||details||||||||||||
|Registered|||charity|name||||Progress to Change|||||||||||
|Charity|registration||||number|||1065423|||||||||||
|Company||registration||||number||3286672|||||||||||
|Principal|office and||||registered|||63 Clarendon
Road|||||||||||
|office||||||||Leeds|||||||||||
|||||||||LS2 9NZ|||||||||||
|The trustees||||||||Mrs J Dilks (Chairman)|||||||||||
|||||||||Mrs D Favre|||||||||||
|||||||||Mr N Wainman|||||||||||
|||||||||Rev M A Whalmough||||||||(Resigned|15September 2020)||
|||||||||Mrs L E Hague
Prof0 Matthias||||||||(Resigned
(Appointed|30April 2020)
15September 2020)||
|||||||||Mrs C Cochrane|||||||||||
|||||||||Prof A W M Hay|||||||||||
|||||||||Dr EWincup|||||||||||
|||||||||Mrs S Mondon|||||||||||
|||||||||Mr R Brook||||||||(Appointed|30April 2020)||
|Key management||||personnel||||Chief Executive - Mrs||L|Cantley||||||||
|||||||||Finance Manager-|Mm||R|Kyle|||||||
|||||||||Ripon House Hostel|Manager-||||Mrs||E|Falk|||
|||||||||Cardigan
House Hostel|||Manager|||-|Mrs|C Maguire|||
|Trustees|Secretary|||||||Mrs TGradys|||||||||||
|Auditor||||||||Gibson Booth|||||||||||
|||||||||Chartered
Accountants|||&Statutory||||Auditors||||
|||||||||New Court|||||||||||
|||||||||Abbey Road North|||||||||||
|||||||||Shepley|||||||||||
|||||||||Huddersfield|||||||||||
|||||||||HD8 8BJ|||||||||||
|Bankers||||||||National
Westminster||Bank pic|||||||||
|||||||||Leeds City Office Branch|||||||||||
|||||||||8 Park Row|||||||||||
|||||||||Leeds|||||||||||
|||||||||LS1 5HD|||||||||||
|Solicitors||||||||Wrigleys
Solicitors LLP|||||||||||
|||||||||19Cookridge Street|||||||||||
|||||||||Leeds|||||||||||
|||||||||LS2 3AG|||||||||||
|Investment||managers||||||COLA|||||||||||
|||||||||Senator House|||||||||||
|||||||||85 Queen Victoria Street|||||||||||
|||||||||Lodnon|||||||||||
|||||||||EC4V4ET|||||||||||
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|Why reserves are needed||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
|As part of its Risk Assessment,
the|Board has established|that|the Charity needs|to maintain||short-term||and long-term||reserves||
|to reduce the impact of risks from both internal
and external||fedora.||||||||||
|~
As owner ofthe two properties|Cardigan
House and Ripon||House, the Board needs to hold sufficient|||||reserves to cover major||||
|building
works which are not funded
by the MoJ.||||||||||||
|~
The two Approved
Premises|need to hold
short-term|reserves
to meet costs of unplanned
events
and|||||||planned|internal||
|maintenance
ofthe buildings||||||||||||
|~
The Board also has overall
responsibility
for the staff||employed
and, should||income be||disrupted|the Charity
need to||||hold|
|sufficient reserves
to meet ongoing costs and commitments|||until further
funding||is secured.|||||||
|~
Reserves are also required
to|meet the WYPF defined|benefit liabilities
given|||that only|80% funding||has|been secured||for|
|the current
financial year 2020/2021 and for 2021/2022.||||||||||||
|Level ofReserves||||||||||||
|Given the stated background
as to why reserves are needed,
reserves off2337696(2020:f1811,021)are at an appropriate|||the trustees
are of
level to enable the|the view that the level of unrestricted
income
charity to meet its objectives and continue as||||||||
|a Going Concern.||||||||||||
|Investment
ofreserves||||||||||||
|The reserves ofthe Charity are held|in the freehold
property,|investments
managed|||by COLA,|and short-term
bank accounts.||||||
|With regard
to risk, as the balance|of the Central
Reserves|Fund increases,
investment
advice
will be|||||sought||by the Trustees|||
|when necessary.||||||||||||
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||||2021||2020|
|---|---|---|---|---|---|
||||Unrestricted|||
|||Note|funds
f|Total funds
f|Total funds
f|
|Income and endowments||||||
|Donations
and legacies||5|50|50|300|
|Charitable
activities||6|2,078,864|2,078,864|1,904,509|
|Investment
income||7|8,357|8,357|8,113|
|Total income|||2,087,271|2,087,271|1,912,922|
|Expenditure||||||
|Expenditure
on charitable|actwities|8,9|(1,746,437)|(1,746,437)|(1,942,042)|
|Total expenditure|||(1,746,437)|(1,746,437)|(1,942,042)|
|Net gains on inves!ments|||325,841|325,841|10,209|
|Net income/(expenditure)|||666,675|666.675|(18,911)|
|Other recognised
gains and losses||||||
|Gains from revaluation
of fixed assets|||||700,000|
|Actuarial
(losses)/gains
on|defined benefit pension schemes||(154,000)|(154,000)|115,000|
|Net movement
in funds|||512,675|512,675|796,089|
|Reconciliation
offunds||||||
|Total funds brought
forward|||2,311,134|2,311,134|1,515,045|
|Total funds carried forward|||2,823,809|2,823,809|2,311,134|
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||||||2021|2020|
|---|---|---|---|---|---|---|
|||||Note|8||
|Fixed assets|||||||
|Tangible fixed assets||||15|1,997,397|2,003,782|
|Investments||||16|1,740,112|1,371,556|
||||||3,737,509|3,375,338|
|Current assets|||||||
|Debtors||||17|167,283|543,746|
|Cash at bank and in hand|||||333,364|295,073|
||||||500,647|838,819|
|Creditors: amounts|faglng due wltMn one year|||18|(84,347)|(587,023)|
|Net current
Uabgltles|||||418,300|251,796|
|Total assets less current liabilities|||||4,153,809|3,627,134|
|Net assets excfudlng||defined benefit pension|plan liabglty||4,153,809|3,627,134|
|Defined benefit pension||plan liabfiity||20|(1,330,000)|(1,316,000)|
|Net assets including|defined benefit pension||plan Uabgity||2,823,809|2,311,134|
|Funds ofthe charity|||||||
|Unrestricted
funds:|||||||
|Revaluation
reserve|||||1,816,113|1,816,113|
|Defined benefg pension reserve
Other unrestricted
income funds|||||(1,330,000)
2,337,696|(1,318,000)
1,811,021|
|Total unrestricted
funds|||||2,823,809|2,311,134|
|Total charity funds||||21|2,823,809|2,311,134|
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||||2021|2020|
|---|---|---|---|---|
|Cash fiows from operating
activities|||||
|Net income/(expenditure)|||666,675|(18,911)|
|Adjustments
for.|||||
|Depreciation
oftangible
fixed assets
Net gains on investments
Dividends,
interest and rents from Investments
Interest payable and similar charges
Delinsd benefit pension
plan employer
contributions
Accrued (Income)/expenses
Service cost ofdefined
benefit pension scheme|||40,851
(325,841)
(8,357)
27,000
(35,000)
(15,336)
(132,000)|40,167
(10,209)
(8,113)
31,000
253,000
29,701
(187,000)|
|Chengesln:|||||
|Trade and other debtom
Trade end other creditors|||376,463
(487,340)|(471,010)
415,954|
|Cash generated
from operations|||107,115|74,579|
|Nst cash from operating
activities|||107,115|74,579|
|Cash flows from Investing activities|||||
|Dividends,
interest and rents from Investments
Purchase oftangible assets
Purchases
ofother Investments
Proceeds from sale ofother investments|||8,357
(34,466)
(42,715)|8,113
(97,244)
(41,000)
29,000|
|Net cash used In investing
activities|||(68,824)|(101,131)|
|Nst Increase/(decrease)
In cash and cash
Cash and cash equivalents
at beginning||equivalents
ofyear|38291
295,073|(26,552)
321,625|
|Cash and cash equivalents
at snd of|year||333,364|295,073|
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|ife ofthat|
asset as follows:|||
|---|---|---|---|
|Fixtures|and fittings|25% straight|line|
|Computer|equipment|25% straight|line|
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|6,|Donations|and legacies|and legacies|||||||
|---|---|---|---|---|---|---|---|---|---|
|||||||Unrestricted|Total Funds|Unrestrided|Total Funds|
|||||||Funds
f|2021
f|Funds
f|2020
f|
||Donations|||||50|50|300|300|
|6.|Charitable|activities||||||||
|||||||Unrestncted|Total Funds|Unrestncted|Total Funds|
|||||||Funds|2021|Funds|2020|
|||||||5|6|6|6|
||Ministry of|Justice grants||||2,012,539|2,012,539|1,834,998|1,834,998|
||Income from||residents|||35,490|35,490|62,025|62,025|
||Government||grant income|||23,254|23,254|||
||Other income|||||7,581|7,581|7,486|7,486|
|||||||2,078,864|2,078,864|1,904,509|1,904,509|
|7.|Investment|Income||||||||
|||||||Unrestricted|Total Funds|Unrestricted|Total Funds|
|||||||Funds
6|2021
f|Funds
f|2020
f|
||Investment|income||||8,357|8,357|8,113|8,113|
|8.|Expenditure||on charitable|activities|by fund type|||||
|||||||Unrestricted|Total Funds|Unrestricted|Total Funds|
|||||||Funds
6|2021
f|Funds
f|2020
f|
||Staff costs|||||1,352,805|1,352,805|1,410,478|1,410,478|
||Premises costs|||||163,052|I63,052|222,211|222,211|
||Suppkes
and||services costs|||69,654|69,654|111,588|111,588|
||Establishment||costs|||123,312|123,312|156,108|156,108|
||Finance costs|||||27,000|27,000|31,000|31,000|
||Support costs|||||10,614|10,614|10,657|10,657|
|||||||1,746,437|1,746,437|1,942,042|1,942,042|
|Expenditure|on charitable
activities
by|activity type||||
|---|---|---|---|---|---|
|||Activities||||
|||undertaken||||
|||directly
6|Support costs
6|Total funds 2021|Total fund 2020
f|
|Staff costs||1,352,805||1,352,805|1,410,478|
|Premises costs||163,052||163,052|222,211|
|Supplies and|services costs|69,654||69,654|111,588|
|Establishment|costs|123,312||123,312|156,108|
|Finance coals||27,000||27,000|31,000|
|Governance|costs||10,614|10,614|10,657|
|||1,735,823|10,614|1,746,437|1,942,042|
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|||||||||||||Governance|Governance|||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
||||||||||||||costs|Total 2021|Total 2020|
||||||||||||||F|f|f|
||Staff costs|||||||||||10,614||10,614|10,409|
|11.|Net gains on investments|||||||||||||||
|||||||||||Unrestricted||Total|Funds|Unrestricted|Total Funds|
||||||||||||Funds
f||2021
F|Funds
f|2020
f|
||Net gains on|investments||||||||325,841||325,841||10,209|10,209|
|12.|Net income/(expenditure)|||||||||||||||
||Net income/(expenditure)||||is stated|affer|charging/(crediting).|||||||||
|||||||||||||||2021
f|2020
f|
||Depreciation|oftangible||fixed assets||||||||||40,851|40,167|
||Fees payable|for the audit|||ofthe finanaal
statements|||||||||4,030|3,910|
|13.|Staff costs|||||||||||||||
||The total staff|costs and|employee|||benefits for||the|reporting||period are analysed||as follows.|||
|||||||||||||||2021|2020|
|||||||||||||||f||
||Wages and salaries|||||||||||||1,131,294|1,122,881|
||Social security costs|||||||||||||83,448|89,675|
||Employer
contributions||to||defined|contribution||pension||plans||||16,677|21,331|
||Employer
contributions||to||defined|benefit pension|||plans|||||132,000|187,000|
|||||||||||||||1,363,419|1,420,887|
||The average|head count||of employees|||during|the|year was||89 (2020: 87). The average|||number
of full-time|equivalent|
||employees
during
the year||||is analysed as follows:|||||||||||
|||||||||||||||2021|2020|
|||||||||||||||No.|No.|
||Cardigan
House approved||||premises|||||||||18|18|
||Ripen House|approved|premises|||||||||||16|16|
||Secretary|||||||||||||1|1|
|||||||||||||||35|35|
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|16.|Tangible
fixed assets|||||
|---|---|---|---|---|---|
|||Land and|Fixtures and|Computer||
|||buildings
f|fittings
f|equipment
f|Total
f|
||Cost or valuation|||||
||At 1 April 2020|1,900,000|375,351|9,864|2,285,215|
||Additions||34,466||34,466|
||At 31 March 2021|1,900,000|409,817|9,864|2,319,681|
||Depreciation|||||
||At 1 April 2020||273,665|7,768|281,433|
||Charge for the year||39,836|1,015|40,851|
||At 31 March 2021||313,501|8,783|322,284|
||Carrying
amount|||||
||At 31 March 2021|1,900,000|96,316|1,081|1,997,397|
||At 31 March 2020|1,900,000|101,686|2,096|2,003,782|
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||Listed|
|---|---|
||mvestmentsf|
|Cost or valuation||
|At 1 Apnl 2020|1,371,556|
|Additions|42,715|
|Other movements|325,841|
|At 31 March 2021|1,740,112|
|Impairment||
|At 1 April 2020 and 31 March 2021||
|Carrying
amount||
|At 31 March 2021|1,740,112|
|At 31 March 2020|1,371,556|
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|||||||2021|2020|
|---|---|---|---|---|---|---|---|
|||||||f|f|
||Trade debtors|||||137,778|481,867|
||Prepayments|and accrued income||||14,291|61,879|
||Other debtors|||||15,214||
|||||||167,283|543,746|
|18.|Creditors: amounts|||falling due within one year||||
|||||||2021
6|2020
f|
||Trade creditors|||||6,825|47,738|
||Accruals
and deferred|||income||44,087|533,138|
||Other creditors|||||33,435|6,147|
|||||||84,347|587,023|
|19.|Deferred income|||||||
|||||||2021|2020|
|||||||f|f|
||At 1 April 2020|||||473,715||
||Amount
released||to income|||(473,715)||
||Amount
deferred||in year||||473,715|
||At 31 March 2021||||||473,715|
|20.|Pensions
and|other post retirement|||benefits|||
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|Principal|Actuarial|Actuarial|Assumptions|Assumptions|Assumptions|||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|||||||||||2021|||2020|2019||
|Discount|rate||||||||||2 1%||2 3%|24%||
|RPI inflation||||||||||||||3.3%||
|DPI inflation|||||||||||2 7%||1 9%|2|2%|
|Rate of|increase to||pensions||in payment||||||2 7%||1 g%|2|2%|
|Rate of|increase to||deferred||pensions||||||2 7%||1 9%|2|2%|
|Rate ofgeneral||increase||in|salaries|||||3.95%|||3.15%|3.45%||
|The mortality
assumptions||||are based on||the recent adual||mortalily|experience ofmembers||||within the Fund|and allow|for|
|expected|future|mortality||improvements.||The assumed|life|expectations||on retirement||age 65 are:||||
|||||||||||2021|||2020|2019||
|Retiring|today:|||||||||||||||
|Males|||||||||||22||22||22|
|Females|||||||||||25||25||25|
|Retiring|m twenty years.|||||||||||||||
|Males|||||||||||23||23||23|
|Females|||||||||||26||26||27|
|The approximate||spfit of||assets for the Fund as a whole (based on|||||data|supplied|by the Fund Administering|||Authority)|is|
|shown
in|the table below.|||||||||||||||
||||||||||2021|2020|2019|
|---|---|---|---|---|---|---|---|---|---|---|---|
|Equities|||||||||79.7%|77.5%|74.0%|
|Property|||||||||38%|4.5'/o|4.7'/r|
|Government
bonds|||||||||83%|96%|112%|
|Corporate
bonds|||||||||4 6%||4 0%|
|Cash|||||||||2 0%|1.9%|2 3%|
|Other|||||||||1 6%|1 4'/|3 8o/,|
|Total||||||||||100|100|
|The actual return
on the|||scheme assets was||f814,000 (2020:(F367,000))|||||||
|Sensitivity
analysis|on|defined||benefit obligations||are:||||||
||||||||||2021
f|2020
f|2019
f|
|Discount rate+ 01%
Discount rate -0.1%|||||||||5,492,000
5,704,000|4,538,000
4,712,000|4,943,000
5,115,000|
|Mortality
assumption
Mortality
assumption|+ 1 year
-1 year|||increase
decrease|||||5,610,000
5,584,000|4,474,000
4,775,000|4,870,000
5,187,000|
|Salary rate +0.1%|||||||||5,802,000|4,634,000|5,043,000|
|Salary rate - 0.1%|||||||||5,394,000|4,615,000|5,013,000|
|The statement
offinandal|||position net defmed||benefit||liability|is determined|as follows:|||
|||||||||||2021|2020|
|Present value ofdefined
Fair value of plan assets|||benefit obligations|||||||(5,595,000)
4,265,000|(4,624,000)
3,308,000|
|||||||||||(1,330,000)|(1,316,000)|
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|20.|Pensions
and other post retirement
benefits|Pensions
and other post retirement
benefits|Pensions
and other post retirement
benefits|Pensions
and other post retirement
benefits|(continued)||||
|---|---|---|---|---|---|---|---|---|
||Changes
in the present value|ofthe|defined|benefit obligations||are as follows:|||
|||||||||2021|
|||||||||f|
||At 1 April 2020
Current
service cost
Interest expense
Benefits paid
Contributions
by plan participants
Remeasurements:|||||||4,624,000
132,000
105,000
(180,000)
24,000|
||Actuarial
gains and losses|||||||890,000|
||At 31 March 2021|||||||5,595,000|
||Changes
in the fair value of plan assets are|||as follows.|||||
|||||||||2021|
||At 1 April 2020
Interest Income
Benefits paid
Contributions
by employer
Contributions
by plan participants
Remeasurements:|||||||3,308,000
78,000
(180,000)
299,000
24,000|
||Actuarial
gains and losses|||||||736,000|
||At 31 March 2021|||||||4,265,000|
||The total costs for the year in relation||to defined||benefit plans are as follows||||
||||||||2021
f|2020
f|
||Recognised
in income or expenditure:||||||||
||Current
service cost
Past service credit
Net interest expense||||||132,000
27,000|139,000
48,000
31,000|
||||||||159,000|218,000|
||Recognised
in other recognised|gains|and losses||||||
||Remeasurement
ofthe liability:||||||||
||Actuanal
gains and losses||||||154,000|(115,000)|
##
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|Unrestricted|funds|||||||||
|---|---|---|---|---|---|---|---|---|---|
|||||||||Gains and||
|||At|1 Apr 2020
f||income
f|Expenditure
f|Transfers
f|losses At 31 Mar 2021
f
f||
|Unrestricted|Funds|||956,921|2,087,271|(1,886,437)|229,600|325,841|1,713,196|
|Revaluation|reserve|||1,816,113|||||1,816,113|
|Pension|||(1,316,000)|||140,000||(154,000)|(1,330,000)|
|Designated|funds|||||||||
|Cessation
fund||||80,000|||||80,000|
|Redundancy|fund|||118,000|||||118,000|
|Building
fund||||200,000|||||200,000|
|Pension
fund||||456,100|||(229,600)||226,500|
||||2,311,134||2,087,271|(1,746,437)||171,841|2,823,809|
|||||||||Gains and||
|||At|1|Apr 2019
f|Income
f|Expendilure
f|Transfers
f|losses At 31 Mar 2020
f
f||
|Unrestncted|Funds||1,732,932||1,912,922|(1,845,042)|(854,100)|10,209|956,921|
|Revaluation|reserve||1,116,113|||||700,000|1,816,113|
|Pension|||(1,334,000)|||(97,000)||115,000|(1,316,000)|
|Designated|funds|||||||||
|Cessation
fund|||||||80,000||80,000|
|Redundancy|fund||||||118,000||118,000|
|Building
fund|||||||200,000||200,000|
|Pension
fund|||||||456,100||456,100|
||||1,515,045||1,912,922|(1,942,042)||825,209|2,311,134|
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|22.|Analysis
of ne|t ass|e|ts|between
funds||||||
|---|---|---|---|---|---|---|---|---|---|---|
||||||||||Unrestricted|Total Funds|
||||||||||Funds|2021|
|||||||||||f|
||Tangible
fixed|assets|||||||1,997,397|1,997,397|
||Investments||||||||1,740,112|1,740,112|
||Current assets||||||||500,647|382,967|
||Creditors less|than|1|year|||||(84,347)|(84,347)|
||Defined benefit pension||||||||(1,330,000)|(1,330,000)|
||Net assets||||||||2,823,809|2,706,129|
||||||||||Unrestricted|Total Funds|
||||||||||Funds|2020|
||||||||||f|f|
||Tangible
fixed|assets|||||||2,003,782|2,003,782|
||Investments||||||||1,371,556|1,371,556|
||Current assets||||||||838,819|838,819|
||Creditors less than||1|year|||||(587,023)|(587,023)|
||Defined benefit|pension|||||||(1,316,000)|(1,316,000)|
||Net assets||||||||2,311,134|2,311,134|
|23.|Analysis ofchanges|||in|net debt||||||
||||||||At 1|Apr 2020
f|Cash flows
f|At 31 Mar 2021
f|
||Cash at bank and
in||hand|||||295,073|38,291|333,364|
|24.|Operating
lease commitments||||||||||
||The total future|minimum|||lease payments|under non-cancellable|operating|leases are as follows.|||
||||||||||2021|2020|
||||||||||f|f|
||Not later than
1 year||||||||5,573|5,573|
||Later than
1 year and|||not|later than 5 years||||13,932|19,505|
||||||||||19,505|25,078|
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