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2023-03-31-accounts

ACTION FOR KIDS

CHARITABLE TRUST

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE FINANCIAL YEAR ENDED 31[st] MARCH 2023

CHARITY REGISTRATION NUMBER: 1068841 COMPANY REGISTRATION NUMBER: 3487626 (ENGLAND & WALES)

ACTION FOR KIDS CHARITABLE TRUST

Contents

Page
Chairman and Chief Executive Statement 2
Legal & Administrative Information 5
Trustees' Report 6
Statement of Trustees’ Responsibilities 7
Independent Auditor’s Report 23
Statement of Financial Activities 27
Balance Sheet 28
Statement of Cashflows 29
Notes to the Financial Statements 30

ACTION FOR KIDS CHARITABLE TRUST

CHAIRMAN AND CHIEF EXECUTIVE STATEMENT FOR THE YEAR ENDED 31 MARCH 2023 (continued)

Chair’s Introduction

Having been a Trustee and Treasurer for over 9 years I am very pleased to have taken over as the Chair at AFK.

Our Board renewal programme over the year was highly successful and we now have a new Board balanced by gender, ethnicity, and neurodiversity. I have taken on the Chair role to provide continuity from the old Board to the new one.

From my perspective it is invigorating to see the organisation move into the areas of Self Employment and EDI Consultancy, as well as maintaining our traditional areas of employment and mobility. At AFK we have always had the reputation of never giving up with our beneficiaries and it is highly gratifying to see the numbers-and type-of beneficiaries increasing.

Our guiding force is always the needs of our beneficiaries and I am particularly pleased to report that we are involving beneficiaries more and more in our decision-making processes.

I am also thrilled that AFK’s hugely popular Beach Volleyball Event returned to Canary Wharf in September 2023.

Chief Executive’s Report

We are proud to report a year of steady achievements. Our talented staff team have delivered an impressive increase in all areas of our work (with the exception of our holiday programme which has been closed).

Our employment work remains focussed around the following themes:

This encompasses our work with and in schools where we establish the vision of all the work possibilities from self employment to employment right the way across from micro and macro enterprises through hospitality and retail to a more conventional job in an office. Our objective is to showcase all the work possibilities and inspire our students to create and chase their own visions.

To prepare our students for work we provide work and training experience, interview skills and travel training.

This year we expanded our employment service by adding ‘virtual coaching’, meaning we can offer coaching to anyone who might be more geographically distant from our offices.

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CHAIRMAN AND CHIEF EXECUTIVE STATEMENT FOR THE YEAR ENDED 31 MARCH 2023 (continued)

We made good progress on the launch of our ‘Self Employment’ service which began in September 2023. Help with becoming employed or self employed provides the perfect complement to our mobility work as we help those with mobility issues become economically independent as well as mobile. Self employment offers many advantages to those with disabilities whether it is operating a micro enterprise from the supportive environment of a person’s home or a larger enterprise that avoids the need for standard office life and travel.

We are also developing our Equality, Diversity and Inclusion (EDI) training into a formal consultancy offer and anticipate this being launched in January 2024. At the same time we have asked our Culture and Comms staff committee to review our internal EDI practice to ensure we are state of the art.

One of our long term goals is to offer a five day a week Life and Work programme and in order to achieve this we need to expand the number of training places we can offer. To this end we began feasibility work to look at the viability of setting up a social enterprise offering training across retail, hospitality and marketing disciplines. Work on this will continue into the next financial year.

During the year we renewed our Board with all bar our Chair retiring from the previous Board. We achieved our objective of a balanced Board across gender and ethnicity as well as a neurodiverse membership.

A continuing objective is to involve our students in our management and decision-making. To kickstart discussions we ran a joint Trustees /Senior Management Team and Students Thinking Day. This resulted in recommendations for Board, SMT and other forms of student involvement and will be rolled out across the next financial year.

Our mobility work revolves around the provision of grants for the purchase of mobility equipment not available on the National Health Service and we are committed to increasing our spend in this area over the next few years. Partly for this reason, we took the decision to invest in donor recruitment which had been paused over recent years. Payback and a part of the expenditure will fall into the next financial year with a surplus projected after around 18 months.

Near the end of the year we relocated our Head Office to Kentish Town. This was partly a strategic move, to give us better access to other North London Boroughs as well as a necessary one having completed our rent free tenancy of our old headquarters. Our new office is more accessible and better suited to our current needs for the medium term. 50% of our referrals still come from Haringey and we have made a commitment to placing our Social Enterprise Centre there assuming the project goes ahead.

The Trustees planned to end the year with a deficit, having accounted for office move costs and our investment in fundraising. The organisation will complete an updated three year plan and strategy early in the next financial year, which will target break even in Year 1 with small surpluses thereafter.

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CHAIRMAN AND CHIEF EXECUTIVE STATEMENT FOR THE YEAR ENDED 31 MARCH 2023 (continued)

The Trustees and Chief Executive wish to convey their heartfelt gratitude to our funders, partners, staff and volunteers who deliver or fund our vital work with enthusiasm and passion to enable those with disabilities to achieve better lives and fulfil their potential.

Gurmeet Dhillon Chair

David Coe Chief Executive

23 January 2024

23 January 2024

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ACTION FOR KIDS CHARITABLE TRUST

TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT) FOR THE YEAR ENDED 31[ST] MARCH 2023

LEGAL AND ADMINISTRATIVE INFORMATION

Charity name: Action For Kids Charitable Trust
Charity registered number: 1068841
Company number: 3487626
Principal & registered office: Martin House
12 Regis Road
Kentish Town
London NW5 3EW
Trustees: Gurmeet Dhillon Chair
(as at the date of this report) Athanasios Karampelas Treasurer
Stacey Body (appointed 4thOctober 2022)
Miriam Deakin (appointed 4thOctober 2022)
Timothy Meredith (appointed 4thOctober 2022)
Thembani Mkwananzi (appointed 4thOctober 2022)
Chief Executive: David Coe
Professional advisors
Auditors: MHA LLP
6thFloor
2 London Wall Place
London EC2Y 5AU
Bankers: HSBC Bank plc
22 Victoria Street
London SW1H 0NJ
Solicitors: Muscatt Walker Hayim
Speen House
Porter Street
London W1U 6WH

The Trustees of Action For Kids Charitable Trust (“the Charity”) present their Trustees’ Annual Report and financial statements for the year ended 31[st] March 2023.

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ACTION FOR KIDS CHARITABLE TRUST

TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT) FOR THE YEAR ENDED 31[ST] MARCH 2023

The financial statements have been prepared in accordance with the accounting policies set out in Note 1 to the financial statements and comply with the Charity’s governing document, the Companies Act 2006 and the “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[st] January 2019).

OBJECTS OF THE CHARITY

The Objects of the Charity, as set out in the Charity’s Memorandum of Association, are:

  1. The relief of children and young people who are suffering from sickness or physical or mental disability by assisting them to lead full and independent lives and by any other means whatsoever.

  2. The provision of support and assistance to the carers of children or young people suffering from physical or mental disability.

  3. Such other charitable purposes as the Trustees may from time to time think fit.

There have been no changes in Objects since the last Trustees' Report.

In furtherance of the Objects, the Charity undertakes the following activities:

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

VISION & MISSION

As an integral part of delivering the Objects of the Charity, the Trustees and Management are committed to the following Vision and Mission for the Charity:

VISION: We want a world where everyone living with a disability gets to lead the life they choose.

MISSION: To give as many disabled young people as possible the opportunity to work or volunteer in their community.

Helping students to develop their mobility, personal and independent living skills is an essential part of helping them to succeed. The Charity focuses on a young person’s potential to benefit from our support, not the apparent barriers they face.

To achieve the Mission the Charity:

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ACTION FOR KIDS CHARITABLE TRUST

TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT) FOR THE YEAR ENDED 31[ST] MARCH 2023

PUBLIC BENEFIT

The Trustees have reviewed the activities of the Charity and consider that, in line with the Charity’s Objects, the Charity provides public benefit in a variety of ways, including:

All the Charity’s services are open to all members of the public, irrespective of race, gender, religion or sexual orientation. Most of the Charity’s services are provided without charge to the individual beneficiary.

GOVERNANCE

Governing document

The Charity was originally registered under a Deed of Trust in 1992, in response to the problems facing disabled children, young people and their families and in recognition of the disparity between the numbers of such children and the availability of appropriate support.

With effect from 1[st] April 1998, Action For Kids Charitable Trust was registered as a charity and a company limited by guarantee. It is governed by its Memorandum and Articles of Association (amended on 12[th] November 2012). Each of the members has a liability to contribute £1 in the event of a winding up of the company.

Trustees

The Board of Trustees (“the Board”) sets the strategic direction of the Charity and is also responsible for ensuring compliance with the Charity’s Objects and charity and company law

The Trustees, who are also directors for the purpose of company law, who served during the year and up to the date of signature of the financial statements were:

Gurmeet Dhillon Chair

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Athanasios Karampelas Treasurer (appointed 4thOctober 2022)
Ben Cavanagh Vice Chair (resigned 4thOctober 2022)
Caroline Hattersley (resigned 4thOctober 2022)
Peter Mitchell (resigned 4thOctober 2022)
David Byrne (resigned 1stApril 2023)
Stacey Body (appointed 4thOctober 2022)
Miriam Deakin (appointed 4thOctober 2022)
Devanshini Khatau (appointed 4thOctober 2022, resigned 15thNovember 2023)
Martin Kirke (appointed 4thOctober 2022, resigned 25th October 2023)
Timothy Meredith (appointed 4thOctober 2022)
Thembani Mkwananzi (appointed 4thOctober 2022)
Neil Anthony Murrin (appointed 9thFebruary 2023, resigned 1st June 2023)
Tina Brivati (resigned 17thFebruary 2023)

New Trustees are appointed by the members of the Charity on the recommendation of the Board.

For all new Trustees, there is an induction process and all Trustees have a role description and are subject to a Code of Conduct. In addition to regular Board meetings, there is an annual Board Away Day when Trustees receive appropriate briefings and training in their roles as trustees of the Charity. Additionally, Board members can avail themselves of external training courses relevant to their roles as required.

The Charity has a Conflict of Interest policy that all Trustees and staff must comply with. None of the Trustees has any beneficial interest in the Charity. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.

Risk Management

A comprehensive process is in place to identify any major risks to the Charity’s users, staff, operations, reputation, income and assets. The Trustees assess these risks regularly and are satisfied that systems are in place to mitigate them.

The Charity is an accredited Investor in People and this continues to help ensure that policies, procedures and controls are regularly reviewed, updated and, where necessary, improved. This assists the Trustees and Senior Management Team in minimising risk exposure.

On-going review of the Charity’s strategy, plans and operations ensures that risk management is an integral part of the operation of the Charity.

MANAGEMENT

The Chief Executive is appointed by the Trustees to manage the day-to-day operations of the Charity and is accountable to the Board for the performance of the Charity. In turn, the Chief Executive appoints the other members of the Senior Management Team (SMT) and together they manage the Charity’s activities.

Senior Management Team

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The members of the Senior Management Team during the period and at the date the accounts are signed are:

are:
David Coe Chief Executive
Rachel Akehurst Executive Director, Services
Katie Cavanagh Fundraising Director
Laura Callanan Finance & Corporate Services Director (resigned 13thJanuary 2023)
Angela Shaw Finance & Corporate Services Director (appointed 9thJanuary 2023
resigned 16thJune 2023)
Bernard McGrath Interim Head of Finance & Corporate Services Contracted from 13thJune
2023-*to 8thDecember 2023
Ryan Tring Head of Finance & Corporate Services (appointed 10thOctober 2023)
Kate Jackson Interim Services Director (appointed 1stJune 2023)

Staff recruitment and management

The Charity’s policy is to consult and discuss with employees, at meetings and informally, matters likely to affect employees’ interests. Information on matters of concern to employees is given through information bulletins, reports and meetings which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the Charity’s performance.

Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the Charity continues and that the appropriate training is arranged. It is the policy of the Charity that training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

All new members of staff are provided with a comprehensive induction programme. All roles have a detailed job description and annual staff appraisals are carried out in addition to more informal supervision meetings. Training requirements are primarily identified by reference to personal work-related objectives and other targets highlighted in the appraisals which are directly linked to objectives for the Charity.

The pay of senior staff and of key management personnel is reviewed annually by the Board of Trustees. Pay is compared with similar positions in comparable organisations where applicable.

OPERATING NAME AND BRAND

In addition to its legal name, “Action For Kids Charitable Trust”, the Charity operates under the name “AFK” (previously my-AFK).

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SERVICES

This year we worked with a total of 290 children and young people with disabilities over all our programmes (compared with 221 the previous year). This reflects an increased focus on engaging with our partner schools to provide tangible work placement and work aspiration opportunities in addition to offering virtual job coaching which has seen a new intake of people accessing employment support online. We found paid work for 21 people, travel trained 11 young people and provided mobility equipment for 116 children and young people.

Numbers of Young People attending across services:

Programme: Target
for
2024		 Age Range 2023 2022 2021
Young people on
the Life and work
Programme		 90 19-25 93 68 62
Work Placements
overall		 35 16-25 38 26 2
Paid work 20 19-25 21 20 5
Young People still
in
education
accessing
employability
programme		 60 14-19 70 38 40
Young people to
develop
the
ability to manage
their own travel
arrangements		 30 14-25 11 4 3
Employer training 30 n/a 31 33 43
Mobility
equipment
ordered		 70 0-25 116 111 52
Overall
number
of
unique
beneficiaries		 335 290 221 157

Employment

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We are delighted with our progress towards our three-year delivery plan as we embraced a new way of working for the children and young people we support. We launched a virtual coaching service for those young people who continue to feel the effects (both physically and mentally) of the pandemic and/or require a different approach to securing paid work.

We continued to offer a more traditional face to face approach for those ready to enter or re-enter the workforce and are pleased that referrals to our employability services resumed to pre-pandemic figures. We were successful in securing paid work for twenty-one people this year, gaining employment with many high street retail and hospitality industries such as TK Maxx, Waitrose, Oliver Bonas, Superdrug, Zara, JD Wetherspoons and Nandos to name a few.

For those young people looking at alternative employment solutions we were able to provide financial assistance and practical support to enable one young person to fulfil her ambition of selling her art at Portobello market and another to set up his own dog walking business – an in-demand service made more possible with the increase of dog owners during Covid.

Preparation for Employment in schools and colleges

Our work with education providers also resumed this year as we continued to deliver support for 57 children via our world of work programmes to experience work taster sessions with local employers and businesses. We are grateful for the openness and willingness of Alexandra

Palace, Morrisons, Railway Fields and Taylor Woodrow who put on practical work sessions to help prepare young people for work beyond education.

This year also saw an increased focus on supporting young people with disabilities in their last year of sixth form college. This approach enabled AFK to maximise young people’s employment prospects before leaving full time education by providing a job coach to work with 13 students from two of our partner colleges to gain summer jobs, volunteer roles and work placements leading to increased confidence and skills as they enter the job market.

Demand for work placement opportunities is high and we are grateful for the support of Kerb Food who have provided us with work placements in their kitchen and warehouse. We are also grateful to the Cats Protection League and 2econd Chance.

Corporate Support

The practical support and expertise offered to our young people from our corporate partners is priceless and enables us to better equip and prepare young people for their future employment journeys. Employability

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Days, practice interviews, CV clinics and career coaching are just some of the ways corporate staff volunteer their time. Our evidence indicates that the young people who take part in these activities go on to gain paid work far more quickly than those who do not access this offer of support.

Mental health and wellbeing sessions

We know that mental health for young people with disabilities was exacerbated by the Covid pandemic and continues to be an obstacle in placing people into employment. AFK partnered with MIND this year to provide an holistic employment offer that supports people with their anxiety or depression and is offered to both those in work to maintain their positions or those seeking employment for the first time since leaving education.

Young Leadership and Independence

We commenced the first year of our City Bridge funded Leadership and Advocacy programme to identify barriers to inclusion and enable young people to gain skills in communication, team working and problem solving. Overall, we worked with 87 young people to challenge inequality in their lives and in the workplace and advocated for some young people who have been discriminated against in work.

Enabling young people to advocate for themselves and co-design their support continues to be a focus here at AFK as we know these are valuable skills needed to address inequality and foster independence. Our independent travel training service assessed eleven young people as being ready to travel independent of support whilst still at school or entering the workforce, therefore, delivering tangible benefits and life skills long into adulthood.

Mobility Services

During the year 1 April 2022 to 31 March 2023 the mobility services team ordered equipment for 116 disabled children and young people, compared with 111 the previous year. Although the cost of specialist equipment has gone up, the demand for lower cost items has increased, for example buggies used by children with autism, a few of whom find walking long distances challenging.

Between 1 April 2022 and 31 March 2023, we ordered 40 specialist trikes and 5 powerchairs - including all terrain models - to enable children and young people to get out and about and ordered a few specialist car seats and walkers.

The total value of equipment ordered between 1 April 2022 and 31 March 2023 was £321,099 compared with £379,320 in the previous year. The total cost of equipment to AFK in 2022-2023 was £209,541 and in 2021-2022 £144,739. The gap between the cost of equipment to AFK and

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the total cost of that same equipment, is bridged via family contributions and other funding the applicants bring with them when they apply to us. The mobility team has raised efforts of the mobility team - in terms of individual fundraising and advocacy (see more details below) work, as well as families sourcing their own contributions to costs. The mobility team has raised (through

their individual fundraising efforts) £78,843 (2022 £100,721) and saved £6,434 (2022 £17,701) through their advocacy work.

Maintaining Powerchairs

It is important for many disabled young people, to have a reliable powerchair that they can drive with confidence and in safety. We appreciate the costs of keeping a powerchair on the road.

AFK is the only UK charity we know that routinely covers the cost of maintenance on powerchairs they provide funding for. We fund annual services as well as the replacement of batteries, tyres, joysticks, motors, cushions, and footplates. This list is not exhaustive.

The spend on powerchair maintenance in 2022-2023 was £34,624 compared with £36,466 in the previous year.

Individual Fundraising and Advocacy

The rising cost of mobility items has meant it has been crucial for us to bridge the gap between the total cost of the equipment and the proportion AFK can spend on it.

We have found families have less money to contribute to items and also they and AFK have found it more challenging to raise the balance. A number of charities that we worked with in the past – including Joseph Patrick Foundation and Carter Trust, are no longer working with third party referees or are closed to new applications. In many cases, charities that might have pledged £3000 to £4000per application several years ago, are now promising much lower amounts. In short, we are working harder and submitting more applications for each family we are working with. Suppliers are also feeling the pinch and unfortunately one of our main trike manufacturers folded last year. It is therefore not so easy to source new supplier discounts. Nevertheless, in 2022-2023 we raised (through individual fundraising) and saved (through our advocacy work) a total of £85,277, exceeding our target of £80k. To achieve this, we submitted 64 funding applications and negotiated several new supplier discounts. We further reduced costs by suggesting alternative suppliers to families. We worked with 30 families in terms of this individual fundraising and advocacy work in 2022/23.

Joint Funding Organisations Restricted to Mobility

Our fundraising team has worked with Souter, Anton Jurgen, Hargreaves, Green Hall, Hazel and Leslie Peskin, Hugh Fraser, Yvonne Flux, James Wise, Paul Bassham, 29 May 1961 Charitable Trust,

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Charles S French, February Foundation, Hobson, Christadelphian Samaritan, Gordon Fraser, Stanley Smith, John Henderson McGregor, James T Howat and Stella Symons.

In addition, our mobility team has individually fundraised from and developed positive relationships with a number of charities that we share the cost of equipment with. These include Elifar, Wheels for Martin's Friends, Independence at Home, Florence Nightingale Aid in Sickness Trust, Hospital Saturday Fund, Barchester Healthcare, Boparan, The Victoria Foundation, Promise Dreams and Children Today.

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Examples of our work

Employability

Kush is 18 years old and has autism, specifically social communication disorder. Until the age of 5, Kush’s diagnosis limited him from communicating with those around him.

When Kush came to AFK and joined the Life and Work programme, he was very shy and only spoke one-word utterances.

‘I don’t really talk to other people all the time and keep to myself. I feel more comfortable communicating with others who I am familiar with, and people who engage with me but I still sometimes struggle getting words out.’ Kush explains.

‘I struggled with the basic job searching methods such as creating a CV or looking for work as I didn’t know where to start or get any help from others.’

Before helping Kush write his CV, AFK conducted multiple vocational profile sessions with him to help identify his

interests, motivations, strengths and needs.

This helped to outline what types of jobs would be a good fit for Kush. Our partners at Bikes For Good Causes in Wood Green welcomed Kush for work experience where he learnt day to day workings of the bike shop and café in a customer facing role, working the till and helping front of house.

When most people think of accessibility, their first thoughts are about physical accessibility: ramps and lifts. True accessibility in the workplace goes far beyond that and is often much easier to put in place.

Making reasonable adjustments can mean removing barriers that people with a learning disability face or providing something extra for someone with a learning disability to access the world of work.

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Through the support of a tailored one to one training programme, and after an assessment of Kushs’ specific needs, the employment broker at AFK secured an opportunity for Kush to attend a work-based interview at Waitrose.

Work-based interviews are an often easy to implement adjustment like this and are a clear indicator that employers welcome accessible and inclusive work environments. Kush could be assessed against the kind of tasks he would be doing day-to-day in his prospective role.

This allowed Kush to ask the manager a number of very useful and relevant questions without being prompted, as opposed to a more traditional interview which usually involves the requirement to answer complex questions.

‘Over time he opened up, and his confidence grew to the point where he was speaking in complete sentences with great eye

contact.’ Kate, his Job Coach, explains.

‘My work trial was great, I felt really welcomed’ he explained.

AFK also supported Kush with travel arrangements. This gave Kush the opportunity to travel with confidence and take pressure away from his journey to the interview, which he said gave him a great sense of achievement. He went on to replicate the demonstrated tasks successfully as required, leading to an official offer for his desired role as a Shop Assistant.

‘Kush’s skills and confidence have considerably improved over the past few months of supporting him which has been a pleasure to witness. From learning how to follow bus and train routes whilst carrying out his work placement at the BFGC café, Kush is also now able to take the overground to and from work independently which is a huge achievement’ explains his Job Coach, Kate.

‘Thank you, Kate and the team, for everything that you did in order to support me. We have come so far together, and our hard work and support has paid off! I think it was very beneficial and a great experience that I would recommend others to do. I’m looking forward to more new experiences, developing, and progressing to become more senior in my job.’

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Mobility

Three-year old Lucy loves joining in with family activities. She has cerebral palsy. AFK funded a specialist trike for her. We received feedback from her Mum, thanking us for her new trike.

She said: “ Even after just a few days it has made such a huge difference for us, we’ve been able to do a few summer evening trips to the park with Lucy’s big sister, Millie on her bike and Lucy now being able to take part on her trike. As you can clearly see it, she loves it. We can’t begin to thank you enough.”

Lucy’s big sister Millie also wanted to thank us, and sent this message:

“ Lucy’s new bike is really important to me because it means we can go out on our bikes together. it’s very fun to go down to the park and we can play on the swings together. Thank you .”

FUNDRAISING

As ever, the Trustees are enormously grateful to the incredible people who have supported AFK over the last year, without whom we simply wouldn’t be able to achieve what we do for the children and young people with disabilities and autism we support.

At AFK we have a balanced fundraising portfolio with donations from many generous individual supporters, families, community groups, corporate partners and trusts and foundations.

We are particularly pleased to have increased our fundraising income in the last year, against a backdrop of external crises and uncertain times. Our supporters have continued to donate their time and money to ensure that children and young people with a disabilities or autism are supported to achieve their ambitions. Their ongoing commitment to our work is awe-inspiring – thank you.

This year saw our 30[th] Anniversary and the fundraising team started to put our future planning into action; investing in modernising our fundraising programme, rolling out a new fundraising database, Donorfy, and developing a fundraising strategy to ensure we have sustainable income upon which to build success for the children and young people we work with.

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Through our fundraising, we aim to improve the financial resilience and sustainability of AFK so that we can continue to support those who need us the most for the next 30 years.

We would like to thank our dedicated Board of volunteer Trustees, as well as our amazing staff team, who have again pulled out all the stops to ensure we are making the biggest difference possible to change young people’s lives. The Trustees appreciate the generosity of the many individuals who give their time, money, and expertise to contribute to raising the funds that mean AFK’s vital work continues.

We are extremely grateful to all our donors and funders for supporting us as we continue to grow our support for children and young people with a disability or autism. Our supporters include:

Trusts & Foundations

Corporate Partners

AFK is registered with the Fundraising Regulator, and all fundraising activities are aligned with the Code of Fundraising Practice to ensure that they are legal, open, honest and respectful.

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AFK has several policies and procedures that underpin its fundraising activities including the AFK Supporter Promise, Complaints Policy, Privacy Policy and Whistleblowing Policy.

We use an external supplier to process our raffle entries and we completed a thorough vetting and compliance process to ensure activities align with the relevant laws and regulations.

Contracts and data sharing agreements were signed in line with current data protection legislation, and strict account management and monitoring processes are in place. We ensure there is no unreasonable intrusion to vulnerable people, by limiting the number of times we contact our supporters in the year (currently three appeals and three raffles) and allowing supporters to opt out of forms of communication from us. We are registered with the Fundraising Preference Service. We didn’t receive any complaints about our fundraising during the year.

Summary

Community & Events

Our Community & Events programme is being rebuilt, following the impact of Covid lockdowns and an office move into a new London borough. We have maintained the support of some extremely generous supporters from our old home as well as finding opportunities in our new local community. The London Marathon returned to the streets after Covid and we had 7 runners who raised over £12,000.

Corporate Partnerships

We continued our long-term partnerships with a variety of companies who have gave their time to support our young people with employability skills as well as raising money for us. AFK Beach Volleyball made a tentative return as we hosted 8 teams at SideOut’s Leytonstone courts in the glorious sunshine.

Trusts & Foundations

Trust & Foundation support was back to pre-pandemic levels, as the team secured new multi-year funding and submitted several successful applications. Working closely with the Services Delivery Team we were able to secure funding for both our mobility programme, and for our Life & Work services. A new mailing was sent to Trusts and we were able to secure gifts from a number of Trusts who hadn’t given to us for a while.

Direct Appeals and Regular Gifts

We received hundreds of generous donations from our direct mail Appeals that were sent to our supporters at Autumn, Christmas and Spring. At Christmas our supporters sent messages of support for our trainees that we displayed on our office Christmas tree. We were supported by thousands of regular gifts from supporters, either by direct debit or standing order, trialled more

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direct asks in our e-news and will be looking to invest in recruiting online responsive donors to replenish our database in the future.

Raffle

The raffle ran every month up to October, before moving to three times a year, at Christmas, Spring and in Autumn. This income stream is incredibly successful, with hundreds of supporters buying and selling tickets and giving extra donations to support AFK’s work.

Legacies

We received legacies totalling over £210,000 this year; thank you to the wonderful generosity of supporters who left AFK a gift in their Will. The pipeline for legacies should continue to grow, alongside the rest of the charity sector, over coming years.

Marketing & Communications

We delivered a brand refresh, changing the name of the charity from ‘my-AFK’ to ‘AFK – Working with Disability, Creating Opportunities’, and updated all online and offline collateral.

A short film celebrating our 30[th] Anniversary was co-produced with one of our trainees and Films for All, an inclusive production company. It featured on our website and was shared with existing and potential new supporters. Social media content continued to be produced and we sent a regular e-news to our supporters.

We developed a series of processes to ensure that the children and young people that AFK supports can share their stories with our supporters.

ENVIRONMENTAL, SOCIAL AND GOVERNANCE ISSUES

In the past year, we have begun the journey to examine Environmental, Social and Governance issues and develop plans to cover these areas. We recognise that the people we support and the people who support us want to see AFK driving positive, sustainable and ethical change for our employees and volunteers, the communities we work with, our suppliers and wider society and environment in general.

We have begun by empowering our Culture and Communications Committee, a staff group representing staff from different Departments and levels of AFK, to look at our Equality, Diversity and Inclusion (EDI) practices and come up with some recommendations for the Senior Management Team (SMT). The SMT will look at the wider environment of beneficiaries and suppliers and develop appropriate policies. As a disability organisation we want to ensure we are at the forefront of EDI practice.

We are currently reviewing our Governance structure and continue to form Committees and Task Force Groups to work on particular areas of work.

20

ACTION FOR KIDS CHARITABLE TRUST

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

We will also be developing a formal environmental policy over the next year to underpin the various measures already implemented to include reducing waste, recycling, working with environmentally conscious suppliers and manufacturers and minimising travel and energy usage.

REVIEW OF FINANCIAL POSITION

Income for the year was £1,611,553 which included Donations and legacies of £1,576,969. This compares with Income for 2022 of £1,429,886 (which excludes £757,717 net gain on the disposal of our previously owned premises) of which £1,410,008 was in respect of Donations and legacies which is an increase of £166,961 compared to the previous year.

Expenditure was £1,832,880 an increase of £149,430 on the previous year. The cost of raising funds increased by £353,704 with charitable activities lower by £204,274.

The overall result is a deficit of £221,327 and with opening reserves of £1,231,021, reserves at the year end were £1,009,694 of which £735,880 were unrestricted and £273,814 restricted.

POLICIES & OTHER DISCLOSURES

Grant-making policy

In providing mobility aids which are appropriate for disabled children and young persons, the Charity assesses each applicant in accordance with the following criteria:

Reserves policy

It is the policy of the Charity to aim for reserves (unrestricted funds) that have not been designated for new projects to be at a level equivalent to six months’ expenditure on revenue items and charitable assets combined, which are considered at risk of loss of funding. This has been met. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charity’s current activities while consideration is given to ways in which additional funds may be raised.

The level of reserves available to the Charity as at 31[st] March 2023 is £712,025.

Specific investment powers

The Charity has the power to make any investment the Trustees see fit. Asset cover by fund

Note 20 to the Accounts analyses the assets attributable to the various funds. These assets are sufficient to meet the Charity's obligations on a fund by fund basis.

Payment of trade creditors

The Charity's current policy concerning the payment of trade creditors is to:

21

ACTION FOR KIDS CHARITABLE TRUST

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

Disclosure of information to auditors

Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditors are aware of such information.

The Trustees, who are also the directors of Action For Kids Charitable Trust for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these financial statements, the trustees are required to:

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

Signature and declaration

I declare, in my capacity as Trustee of the Charity, that the Trustees have approved the report above and authorised me to sign it on their behalf.

..............................

Athanasios Karampelas, Treasurer

23/01/2024

22

ACTION FOR KIDS CHARITABLE TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF ACTION FOR KIDS CHARITABLE TRUST (continued)

Opinion

We have audited the financial statements of Action For Kids Charitable Trust (the ‘charitable company’) for the year ended 31 March 2023 which comprise the Statement of Financial Activities (including income and expenditure account), the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the audit of the financial statements section of our report.

We are independent of the 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 the charitable company'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.

23

ACTION FOR KIDS CHARITABLE TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF ACTION FOR KIDS CHARITABLE TRUST (continued)

Other information

The Trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of our 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 Directors’ 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:

24

ACTION FOR KIDS CHARITABLE TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF ACTION FOR KIDS CHARITABLE TRUST (continued)

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement, 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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below:

25

ACTION FOR KIDS CHARITABLE TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF ACTION FOR KIDS CHARITABLE TRUST (continued)

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 for the audit of the financial statements is located on the Financial Reporting Council’s website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-andguidance/Standards-and-guidance-for-auditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-foraudit.aspx. This description forms part of our auditor’s report.

Use of this 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.

Stuart McKay BSc FCA DChA (Senior Statutory Auditor) For and behalf of

MHA

Statutory Auditor London, United Kingdom

Date: 31/01/2024

MHA is the trading name of MacIntyre Hudson LLP, a limited liability partnership in England and Wales (registered number OC312313).

26

ACTION FOR KIDS CHARITABLE TRUST

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31[ST] MARCH 2023

Notes
Income from:
Donations and legacies
3
Investments
4
Other income
5
Total income
Expenditure on:
Raising funds
6
Charitable activities
7
Total expenditure
Net income/(expenditure) for the
year/
Net movement in funds
Fund balances at 1 April 2022
Fund balances at 31 March 2023		 Unrestricted
funds
£
1,040,943
5,023
29,561
1,075,527
608,215
672,636
1,280,851
(205,324)
941,204
735,880		 Restricted
funds
£
536,026
-
-
536,026
-
552,029
552,029
(16,003)
289,817
273,814		 Total 2023
£
1,576,969
5,023
29,561
1,611,553
608,215
1,224,665
1,832,880
(221,327)
1,231,021
1,009,694		 Total 2022
£
1,410,008
2,912
776,683
2,189,603
254,511
1,428,939
1,683,450
506,153
724,868
1,231,021

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure is derived from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

27

ACTION FOR KIDS CHARITABLE TRUST

BALANCE SHEET AS AT 31[ST] MARCH 2023

Notes
Fixed assets
Tangible assets
11
Investments
12
Current assets
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due
within one year
14
Net current assets/(liabilities)
Total assets less current liabilities
Creditors: amounts falling due
after more than one year
16
Net assets
Income funds
Restricted funds
17
Unrestricted funds
18
Total funds		 2023
£
£
116,994
3
116,997
139,747
1,065,292
1,205,039
(290,601)
914,438
1,031,435
(21,741)
1,009,694
273,814
735,880
1,009,694		 2023
£
£
116,994
3
116,997
139,747
1,065,292
1,205,039
(290,601)
914,438
1,031,435
(21,741)
1,009,694
273,814
735,880
1,009,694		 2022
£
£
29,776
3
29,779
35,447
1,266,052
1,301,499
(68,163)
1,233,336
1,263,115
(32,094)
1,231,021
289,817
941,204
1,231,021		 2022
£
£
29,776
3
29,779
35,447
1,266,052
1,301,499
(68,163)
1,233,336
1,263,115
(32,094)
1,231,021
289,817
941,204
1,231,021
116,997
914,438		 29,779
1,233,336
1,205,039
(290,601)		 1,301,499
(68,163)
1,031,435
(21,741)		 1,263,115
(32,094)
1,009,694 1,231,021
273,814
735,880		 289,817
941,204
1,009,694 1,231,021

The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements were approved by the Trustees on 23rd January 2024

..............................

Athanasios Karampelas, Treasurer

Company registration number: 3487626 Charity number: 1068841

The notes on pages 30 to 46 form an integral part of these financial statements

28

ACTION FOR KIDS CHARITABLE TRUST

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31[ST] MARCH 2023

Notes
Cash flows from operating
activities
Cash generated from
operations
24
Investing activities
Purchase of tangible fixed assets
Proceeds on disposal of tangible fixed
assets
Interest and rental income
received
Net cash generated from investing
activities
Financing activities
Repayment of bank loans
Net cash generated from/(used in)
financing activities
Net increase in cash and cash
equivalents
Cash and cash equivalents at beginning
of year
Cash and cash equivalents at end of
year		 2023
£
£
(84,139)
(111,937)
-
5,023
(106,914)
(9,707)
(9,707)
(200,760)
1,266,052
1,065,292		 2022
£
£
(162,029)
(9,285)
1,601,400
2,912
1,595,027
(453,392)
(453,392)
979,606
286,446
1,266,052		 2022
£
£
(162,029)
(9,285)
1,601,400
2,912
1,595,027
(453,392)
(453,392)
979,606
286,446
1,266,052
979,606
286,446
1,266,052

29

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] MARCH 2023

1. Accounting policies

Charity information

Action For Kids Charitable Trust is a private company limited by guarantee incorporated in England and Wales. The registered office is Martin House, 12 Regis Road, London, NW5 3EW.

1.1 Accounting convention

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 Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)- (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The charity 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 note(s).

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have assessed the use of going concern and have considered possible events or conditions that might cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees have made this assessment for a period of at least one year from the date of the approval of these financial statements. The Trustees have concluded there is a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. Thus, the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements. The Trustees have an agreed three year rolling financial plan covering the period up to Mar 2026.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

30

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

Cash donations are recognised on receipt. Other donations are recognised once the Charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the Charity has been notified of an impending distribution, the amount can be reliably measured and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

1.5 Expenditure

All expenditure is accounted for on an accrual basis and has been classified under headings that aggregate costs related to the category. Expenditure is recognised when there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. The Charity is not registered for VAT and accordingly expenditure is shown gross of irrecoverable VAT.

Costs of generating funds include salary, direct expenditures and overhead costs of staff to promote fundraising including events.

Governance costs are those incurred in connection with the administration of the Charity and compliance with constitutional and statutory requirements.

Resources expended allocated to a particular activity are the costs related to that activity and apportionments based on the percentage of total wages and salaries and floor area.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold land and buildings 2% on straight line Charitable assets 25% on reducing balance Fixtures, Fittings & Equipment 15% on reducing balance Tenants Improvements Over the period of the lease

Assets under £500 are not capitalised

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset,and is recognised in net income/(expenditure) for the year.

.

31

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

1.7 Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

A subsidiary is an entity controlled by the Charity. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities

1.8 Impairment of fixed assets

At each reporting end date, the Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.9 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.10 Financial instruments

The Charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Charity's balance sheet when the Charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the

32

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled.

1.11 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

The Charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charity in an independently administered fund.

1.12 Leases

Rentals payable under operating leases, including any lease incentives received, are charged as an expense on a straight-line basis over the term of the relevant lease.

1.13 Group accounts

Consolidation of group accounts is not required as the subsidiary is and is not considered as material in the context of the group.

2. Critical accounting estimates and judgements

In the application of the Charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where

33

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

In the opinion of the trustees, there were no specific judgements and assumptions that were critical in the preparation of these financial statements.

3. Donations and legacies

onations and legacies
Donations and gifts
For the year ended 31stMarch
2022		 Unrestricted
funds
Restricted
funds
Total 2023
Total 2022
£
£
£
£
1,040,943
536,026
1,576,969
1,410,008
886,727
523,281
1,410,008

4. Investments

Interest receivable Unrestricted2
023
Unrestricted2
022
£
£
5,023
2,912
5,023
2,912

5. Other income

her income
Net gain on disposal of tangible fixed assets
Insurance proceeds
Other income		 Unrestricted2
023
£
-
-
29,561
29,561		 Unrestricted2
022
£
759,717
16,966
-
776,683

34

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

6. Raising funds

Raising funds
Fundraising and publicity
Staff costs
Depreciation and impairment
Support costs
Direct costs		 2023
£
286,743
-
131,943
189,529
608,215		 2022
£
183,013
80
71,418
-
254,511

7. Expenditure on charitable activities

Staff costs
Direct costs
Depreciation
Share of
support cost		 Mobility
Project
£
38,937
244,681
-
117,650
401,268		 Life &
Work
£
389,237
29,638
-
241,948
660,823		 Communications
£
50,253
54,313
-
22,452
127,018		 Governance
£
-
18,034
-
17,524
35,558		 Total
2023
£
478,427
346,666
-
399,574
1,224,667		 Total
2022
£
844,973
-
5,711
503,725
1,354,409

35

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

Support Costs

Office Admin
Bank charges
Depreciation
Staff Cost
Legal
Consultancy
Training
Travel
Premises
HR
IT
Interest
Payable
Insurance		 Mobility
£
10,741
858
5,253
72,449
1,341
708
189
26
13,185
3,290
7,424
157
2,029
117,650		 Life &
Work
£
29,943
429
7,966
141,514
4,217
2,226
593
83
18,019
10,346
23,345
494
2,773
241,948		 Communications
£
3,000
429
1,460
9,688
373
197
52
7
3,662
914
2,062
44
564
22,452		 Governance
£
358
-
175
16,446
45
24
6
1
39
110
247
5
68
17,524		 Fundraising
£
16,586
6,863
8,114
56,596
2,071
1,093
292
41
20,363
5,082
11,466
243
3,133
131,943		 Total
2023
£
60,628
8,579
22,968
296,693
8,047
4,248
1,132
158
55,268
19,742
44,544
943
8,567
531,517		 2022
£
41,483
6,413
6,552
235,457
10,200
27,835
22,198
38,265
94,929
7,137
13,256
503,725
Analysis by
fund
Unrestricted
funds
Restricted
funds		 Mobility
Project
£
169,991
231,277
401,268		 Life &
Work
£
340,070
320,752
660,822		 Communications
35,558
-
35,558		 Governance
127,017
-
127,017		 Total
2023
£
672,636
552,029
1,224,665		 Total
2022
£
741,913
687,026
1,428,939

Grants to individuals in respect of the purchase of mobility equipment included within the Mobility Project above: £209,540 (2022: £142,293).

36

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

For the year
ended 31st
March 2022
Unrestricted
funds
Restricted
funds		 Mobility
Project
£
263,761
181,205
444,966		 Life &
Work
£
478,152
505,821
983,973		 Communications
-
-
-		 Governance
-
-
-		 Total
2022
£
741,913
687,026
1,428,939

Governance costs

ce costs
Staff costs
Depreciation
Other costs
Support costs		 2023
£
-
-
18,034
17,524
35,558		 2022
£
41,703
563
32,264
-
74,530

Governance costs includes payments to the auditors of £17,820 (2022: £9,600) for audit fees, and other regulatory fees.

Communications

Staff costs
Depreciation
Direct costs
Support costs		 2023
£
50,253
-
54,312
22,452
127,017		 2022
£
-
-
-
-
-

37

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

8. Trustees and key management personnel remuneration and expenses

None of the trustees (nor any persons connected with them) received any remuneration or benefits from the Charity during the year. No expenses were reimbursed during the year (2022: Nil).

Key management personnel consist of trustees, the chief executive and other members of the senior management team.

The total amount of employee benefits including employer’s pension contributions received by key management personnel were £303,399 (2022: £223,365).

9.

Staff costs and employee benefits

The average monthly number of employees during the year was 28 (2022: 30) with a full time equivalent (FTE) of 23 (2022: 21)

10. Staff costs and employee benefits (continued)

The total staff costs and employees’ benefits was as follows:

Wages and salaries
Social security
Defined contribution pension costs
Other employee benefits
Redundancy costs
Temporary staff		 2023
£
855,616
83,851
28,500
8,960
33,212
51,726
1,061,865		 2022
£
944,511
88,745
34,174
2,259
-
-
1,069,689

The number of employees who received total employee benefits (excluding employer pension costs) of more than £60,000 is as follows:

£60,001 - £70,000
£70,001 - £80,000
£80,001 - £90,000		 2023
£
-
-
1
1		 2022
£
1
1
-
2

38

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

Redundancy pay comprised £27,125 statutory redundancy pay and £6,076 ex-gratia redundancy pay. This latter amount was paid as a recognition of the long service of the individual being made redundant.

11. Tangible fixed assets

ngible fixed assets
Cost
At 1stApril 2022
Additions
At 31st March 2023
Depreciation
At 1stApril 2022
Charge for the year
At 31st March 2023
Net book value at 31st
March 2023
At 31stMarch 2022		 Tenants
Improvements
£
-
101,565
101,565
-
20,313
20,313
81,252
-		 Charitable
assets
£
52,500
-
52,500
45,492
1,752
47,244
5,256
7,008		 Fixtures, fittings
& equipment
£
30,709
10,372
41,081
7,941
2,655
10,596
30,485
22,768		 Total
2023
£
83,209
111,937
195,146
53,433
24,720
78,153
116,994
29,776

The net book value of charitable assets consists of the specially adapted assets in the delivery of services at £5,256

39

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

12. Fixed asset investments

xed asset investments
Cost or valuation
At 31st March 2022 and 31st March 2023
Carrying amount
At 31st March 2022 and 31st March 2023		 Other
investment
£
3
3

Other investments comprise:

Note
Investment in subsidiaries
23
13.
Debtors
Amounts falling due within one year:
Other debtors
Prepayments and accrued income
Trade debtors		 2023
£
3
2023
£
28,632
103,864
7,251
139,747		 2022
£
3
2022
£
27,135
8,312
-
35,447

40

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

14. Creditors: amounts falling due within one year

editors: amounts falling due within one year
Note
Bank loan
16
Taxes and other social security costs
Trade creditors
Other creditors
Accruals
Deferred income		 2023
£
10,648
23,110
69,613
16,583
33,750
136,897
290,601		 2022
£
10,000
23,242
24,921
-
10,000
-
68,163

Deferred income comprises funding received in advance of the year end for use in the subsequent financial year

15. Loans and overdrafts

ans and overdrafts
2023 2022
£ £
Bank loans 32,389 42,094
Payable within one year 10,648 10,000
Payable after one year 21,741 32,094

No security is held for this loan which incurs a fixed interest rate of 2.5% payable on the outstanding principal amount of the loan and is applicable until the final repayment date

16. Creditors: amounts falling due after more than one year

Note 2023 2022
£ £
Bank loan 16 21,741 32,094

41

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

17. Restricted funds

The income funds of the Charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes in relation to the Mobility Project and Life & Work. Further details about the work in relation to these two charitable activities can be found in the Trustees' Report.

Mobility Project
Life & Work		 Balance at 1st
April 2022
Income
Expenditure
Transfers Balance
at 31st
March 2023
£
£
£
£ £
121,548
182,746
231,277
- 73,017
168,269
353,280
320,752
- 200,797
289,817
536,026
552,029
- 273,814

18. Unrestricted funds

The income of the Charity includes the following designated funds that have been set aside out of unrestricted funds by the trustees for specific purposes together with general unrestricted:

Unrestricted –
General
Office investment
Investment in
operations
Total unrestricted
funds		 Balance at
1st April
2022
Income
Expenditure
Transfers
Balance at 31st
March 2023
£
£
£
£
£
591,204
1,075,527
1,260,538
-
406,193
100,000
-
20,313
-
79,687
250,000
-
-
-
250,000
941,204
1,075,527
1,280,851
-
735,880

The unrestricted funds are funds that the charity has received that were not for specific purposes and as such held as unrestricted funds. Some of these funds have been designated for the office fitout (Office Investment) and some for investment in new operational ventures and work (Investment in Operations).

42

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

19. Analysis of net assets between funds

Unrestricted
funds
£
Fund balances at 31stMarch 2023 are
represented by:
Tangible fixed assets
111,738
Investments
3
Current assets
645,880
Long term liabilities
(21,741)
735,880
Comparative analysis of net assets between funds
Unrestricted
funds
£
Fund balances at 31stMarch 2022 are
represented by:
Tangible fixed assets
22,768
Investments
3
Current assets/(liabilities)
950,527
Long term liabilities
(32,094)
941,204		 Unrestricted
funds
£
Fund balances at 31stMarch 2023 are
represented by:
Tangible fixed assets
111,738
Investments
3
Current assets
645,880
Long term liabilities
(21,741)
735,880
Comparative analysis of net assets between funds
Unrestricted
funds
£
Fund balances at 31stMarch 2022 are
represented by:
Tangible fixed assets
22,768
Investments
3
Current assets/(liabilities)
950,527
Long term liabilities
(32,094)
941,204		 Restricted
funds
£
5,256
-
268,558
-
273,814
Restricted
funds
£
7,008
-
282,809
-		 Total
£
116,994
3
914,438
(21,741)
1,009,694
Total
£
29,776
3
1,233,336
(32,094)
941,204 289,817 1,231,021

20. Financial commitments, guarantees and contingent liabilities

At 31 March 2023 the charity had annual commitments for office rent under non-cancellable operation leases as follows:

2023 2022 £ £

43

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

O THE FINANCIAL STATEMENTS (continued)
YEAR ENDED 31ST MARCH 2023
Expiry date:
In less than one year 46,200 -
Later than one year and not later than five
years 15,400 -

21. Capital commitments

There were no capital commitments either authorised by the board or contracted for at the balance sheet date.

22. Transactions with related parties

There are no related party transactions during the year (2022: Nil).

23. Subsidiaries

These financial statements are separate charity financial statements for Action For Kids Charitable Trust.

Details of the Charity’s subsidiaries at 31[st] March 2023 are as follows:

Name of undertaking Registered Nature of Class of % held
office business shareholding Direct
Indirect
Action For Kids Limited UK Dormant Ordinary 100

The aggregate capital and reserves and the result for the year of subsidiaries excluded from consolidation was as follows:

Name of undertaking Profit/Loss Capital &
reserves
£ £
Action For Kids Limited - 3

The fixed asset investments are stated at cost.

44

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

24.
Cash generated from operations
(Deficit)/surplus for the year
Adjustments for:
Investment income recognised as profit or loss
Gain on disposal of tangible fixed asset
Loss on disposal of tangible fixed asset
Depreciation and impairment of tangible fixed assets
Movements in working capital:
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Cash generated from operations		 2023
£
(221,327)
(5,023)
-
-
24,720
(104,300)
221,791
(84,139)		 2022
£
506,153
(2,912)
(759,717)
37,008
6,354
53,099
(2,014)
(162,029)

25. Analysis of change in net (debt)/funds

Cash at bank and in hand
Loans falling due within one year
Loans falling due after more than one year but
less than five		 At 1stApril
2022
Cash flows
At 31stMarch
2023
£
£
£
1,266,052
(197,920)
1,068,132
(10,000)
(648)
(10,648)
(32,094)
10,353
(21,741)
1,223,958
(188,215)
1,035,743

45

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

26. Taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects

Comparative Statement of Financial Activities including income and expenditure account for the year ended 31[st] March 2022

Notes
Income from:
Donations and legacies
3
Investments
5
Other income
6
Total income
Expenditure on:
Raising funds
7
Charitable activities
8
Total expenditure
Net movement in funds
Fund balances at 1 April 2021
Fund balances at 31 March 2022		 Unrestricted
funds
£
886,727
2,912
776,683
1,666,322
254,511
741,913
996,424
669,898
271,306
941,204		 Restricted
funds
£
523,281
-
-
523,281
-
687,026
687,026
(163,745)
453,562
289,817		 Total 2022
£
1,410,008
2,912
776,683
2,189,603
254,511
1,428,939
1,683,450
506,153
724,868
1,231,021

46

ACTION FOR KIDS CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31[ST] MARCH 2023

47