**Registered number: 05538700 Charity number: 1072199**
## **CARE FOR CHILDREN (UK)**
**(A Company Limited by Guarantee)**
**TRUSTEES' REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **CONTENTS**
||Page|
|---|---|
|**Reference and Administrative Details of the Charity, its Trustees and Advisers**|1|
|**Trustees' Report**|2 - 12|
|**Independent Auditors' Report on the Financial Statements**|13 - 16|
|**Consolidated Statement of Financial Activities**|17|
|**Consolidated Balance Sheet**|18 - 19|
|**Charity Balance Sheet**|20 - 21|
|**Consolidated Statement of Cash Flows**|22|
|**Notes to the Financial Statements**|23 - 39|
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2023**
|**Trustees**|Mr Jonathan Scott|
|---|---|
||Dr Robert Glover OBE|
||Canon Sue Johns|
||Mr Mark Stolkin|
||Mr Michael Bonehill OBE (resigned 8 August 2023)|
||Mr David Devenish|
||Mr Edward Amies|
||Mr Nick Chance CVO|
||Mr Lorne Armstrong|
||Liu Liu (appointed 18 January 2023)|
|**Company registered**
**number**
05538700
**Charity registered**
**number**
1072199
**Registered office**
3 The Close
Norwich
Norfolk
NR1 4DH
**Company secretary**
Mr Andrew George
**Executive Director**
Dr Robert Glover OBE
**Independent auditors**
MA Partners Audit LLP
Chartered Accountants and Statutory Auditors
7 The Close
Norwich
Norfolk
NR1 4DJ
**Bankers**
HSBC
London Street
Norwich
Norfolk
Bank of China
Beijing San Yuan Qiao
Sub-Branch No. A1
Shuguang Xili
Chaoyang District
Beijing, China||
Page 1
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2023**
The Trustees present their annual report together with the audited financial statements of the charity for the year 1 January 2023 to 31 December 2023. The Annual Report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual Report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).
Since the group and the charity qualify as small under section 383 of the Companies Act 2006, the Group Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.
## **Members' liability**
The Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up.
## **Executive Summary**
The incoming resources for the year were £1,545,321 (2022: £1,526,106) expenditure for the year was £1,557,665 (2022: £1,506,880) making a defit (2022: surplus) for the year of £12,334 (2022: £19,228).
## **Structure, governance and management**
## **a. Constitution**
Care for Children was incorporated on the 13th of March 1998. The charity was first registered by the Companies House in the UK, and as a Guernsey charity with the Charity Commission Reg No 1072199 on the 29th of October 1998. The company issues two shares following contributions from John Langlois and Robert Glover and issued its Memorandum and Articles of Association on the 13th of March 1998.
The company is registered charitable company limited by guarantee and was set up by a Memorandum of Association on the 17th of August 2005. The charitable company was established with the intent to pass operations of the Guernsey registered company, Care for Children, to the UK Company, which was undertaken on the 23rd of May 2006, and also to act as 'parent' to the other group entities.
## **b. Methods of appointment or election of Trustees**
The management of the Group and the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed.
## **c. Organisational structure and decision-making policies**
The Trustees delegate the running of the charity to the Executive Director and the Executive Director reports back to the Trustees by sending regular reports by e-mail and attending the majority of the Trustees' meetings with reports on the running of the charity and developments in the projects.
Details of the charity's subsidiaries are given in note 25. Care for Children USA is a separate entity registered with a 501 c3 in US law.
Page 2
## **CARE FOR CHILDREN (UK) (A Company Limited by Guarantee)**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Structure, governance and management (continued)**
## **d. Policies adopted for the induction and training of Trustees**
The current Trustees are responsible for the induction of any new Trustees, which involves awareness of a Trustee's responsibilities, the governing document, administrative procedures and the history of the charity. New Trustees receive a welcome pack which includes copies of the previous year's annual report and accounts; a brief history of the charity; a copy of the governing document and a copy of the Charity Commission guidance The Essential Trustee: What you need to know and Public Benefit: running a charity (PB2).
## **e. Risk management**
The Board constantly bears in mind its vulnerability in the event of adverse circumstances, such as the loss of key staff (primarily the Executive Director), the failure to raise sufficient funds to fund its projects and the possibility of the political climate for its projects changing. It has from time to time conducted reviews to assess major risks and put in place procedures to mitigate adverse circumstances.
Significant risks to funding have led to the development of a strategic plan to diversify funding sources, primarily in the United States, United Kingdom and Asia.
## **Plans for future periods**
- We have several exciting projects on the horizon, each offering a unique opportunity to expand our impact and further our mission:
- Armenia Project
- ‘My Family’ digital training resource
- Strategic Plan 2023 - 26
Care for Children always aims to encourage and support governments with a roadmap to social welfare reform developing Family Care as an alternative to institutional care.
## **ENGAGE – INFLUENCE – IMPLEMENT – EXIT**
The documentary is becoming a game changer for countries, it shows the clear outcomes of family life. These are the **engagers** in our strategy.
We have regional conferences to influence countries to move from institutions to families in Armenia (Middle East). These will be like lighthouse events reaching into countries including Iran, Iraq, Syria, Lebanon, Indonesia and Malaysia. These conferences are the **influencers** in our strategy.
Once engaged and influenced; the ‘My Family’ digital and online training resource becomes the tool with which we can **implement** our strategy.
Once the project work has been successfully implemented, Care for Children continues to work closely with the project country to **exit** well, freeing resources and time for new project opportunities.
Page 3
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Plans for future periods (continued)**
## **Operational Strategy**
## 1. Strategic
Care for Children enters strategic partnerships with national government authorities. This takes place in the form of a cooperation agreement with the relevant Ministry that oversees child welfare development.
## 2. Developmental
The cooperation agreement authorises Care for Children's project team to work directly with local government authorities to develop family based care in the local community, usually operating out of the government run institution.
## 3. Sustainable
Care for Children's project team develops a training programme tailored specifically for the cultural and political context of the country, retaining institutional staff to place and monitor children in foster families, and in accordance to the United Nations guidelines for the alternative care for children.
## **Project stages**
There are four primary stages to Care for Children's project work:
- Project Stage 1 Pilot Project (3 years)
- Project Stage 2 National Roll out (3+ years)
- Project Stage 3 Preparation for the Independence (3 years)
- Project Stage 4 Exit (1 3 years)
_A foster family in Thailand_
Page 4
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Plans for future periods (continued)**
## **Children of Shanghai**
We expect many more direct and indirect fundraising opportunities with this heart-warming film.
## **Project Data Tool (PDT)**
The Project Data Tool is an online facility to gather, manage and use information directly from the project sites iinto a central resource. The key importance of the PDT is that it allows us to track the expectation of the donor to the grassroot project outcomes, and then report back to all stakeholders.
## **Reorganisation Asia Regional Team (ART)**
Following the successful exit from China, we have relocated some Chinese staff to use their experience and expertise from the China project by being part of the Asia Regional Team, a peripatetic team that now supports and trains countries in South East Asia. This reorganisation has helped focus the main expertise in the region and keeps the focus of both training and methodology to place children in the countries we are working. The ART is supporting the development and delivery of ‘My Family’, Care for Children’s online and digital training resource.
Page 5
## **CARE FOR CHILDREN (UK) (A Company Limited by Guarantee)**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Plans for future periods (continued)**
## **My Family**
We are collaborating with a team of technology experts to develop an online training package that represents a major step forward in our strategy for family placement training. 'My Family' is designed to make Care for Children more adaptable, agile, and accessible, catering to diverse cultures and languages while streamlining our training processes globally. It empowers us to maintain the highest international standards in child welfare reform while offering cost-effective and efficient strategies for our teams worldwide. This initiative is a crucial part of our new strategic plan, which focuses on establishing regional hubs in strategic locations around the world. This will allow us to deliver our training more easily into different countries by overcoming geographical barriers, making it simpler and quicker for practitioners and families to understand the responsibilities, challenges, and rewards involved in offering a home to orphans and vulnerable children.
Our Asia Regional Team has been leveraging their extensive experience, particularly from the success of the China project, to develop training materials for 'My Family'. Their expertise is invaluable in tailoring culturally specific training materials, which is key to ensuring the highest standard of training is delivered.
Looking ahead, we are preparing to trial 'My Family' in Thailand. We will use this trial to enhance our ongoing training programs and assess the efficacy of the platform as a training tool. If successful, we aim to deliver the final product to the Singapore government to support their commitment to placing two-thirds of all children in care into loving, local families. We’re excited to see the potential of 'My Family' realized as we continue to support governments around the world in their transition towards family care.
Page 6
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Objectives and activities**
## **a. Policies and objectives**
## **Mission & Vision**
## **Mission**
• To serve governments of nations to pioneer a positive alternative to institutional care by placing children into local, loving families in the community (fostering and adoption).
## **Vision**
- A world of children in families.
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance _Public benefit: running a charity (PB2)_ .
## **Achievements and performance**
## **a. Review of activities**
## Asia Training Team (ART)
In 2023, the Asia Regional Team (ART) remained steadfast in their commitment to advancing our mission in alignment with our new strategic directives. With a dedicated focus on enhancing training and project management across Southeast Asia, the ART played a pivotal role in driving impactful change. Made up of highly experienced social workers and child welfare professionals, our team has over 25 years of experience that is invaluable in guiding our new strategy to expand globally.
With the Cambodia team at full stretch, the task of developing the National Curriculum for Foster Carers was taken on by the ART. This document will serve as a manual and handbook for social workers for training family carers in the community. The document is expected to be completed by June 2024.
Throughout the year, the ART developed comprehensive training materials tailored to the specific needs of our active project sites. These materials were crafted in collaboration with local stakeholders, addressing crucial topics such as managing challenging behaviours in children and nurturing positive parent-child relationships. Notably, their efforts culminated in the ongoing development of the foundation level training materials for our new digital tool ‘My Family’, designed to empower childcare practitioners and caregivers, and strengthen family dynamics within our communities. The team also finished the publication of insightful research papers delving into key areas such as family support strategies and the principles of attachment theory.
In line with our strategic vision, the ART’s proactive involvement in project development yielded significant results, including a productive research visit to Vietnam and ongoing review of the partnership agreement with the government. Internationally, their presence resonated at the South Caucasus and Middle East Family Placement Conference in Armenia, where they leveraged their 25+ years of combined experience to impart invaluable insights on supporting families, assessing prospective foster families, and navigating the complexities of child welfare systems. Their participation not only showcased their expertise but also reaffirmed our commitment to fostering cross cultural collaboration and knowledge exchange.
Page 7
**CARE FOR CHILDREN (UK) (A Company Limited by Guarantee)**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Achievements and performance (continued)**
## Thailand
When you understand that something is beneficial and will positively impact the lives of children and families, it makes you eager to share it. That is how Care for Children’s Thailand team felt in 2023 and the reason why much of their work throughout the year focussed on raising greater awareness about family care. At the beginning of the year, under the banner of “A Shared Destination: A Caring Family for Every Child”, our government partners and like-minded NGOs came together to shed light on the strengths, opportunities, and challenges of providing family-based care for orphans and vulnerable children. Following on from this, Care for Children and the Department of Children and Youth (DCY) jointly launched a national campaign to raise awareness of family placement to recruit more foster families. The campaign marked the 10-year milestone collaboration between DCY and Care for Children in Thailand, and by engaging with both traditional media and social media influencers, we are excited to report that we reached over 1 million people with the message of family care. It was a wonderful opportunity to highlight how children have been thriving in family care and to reach out to the broader Thai community inspiring them to open their homes to change the lives of more vulnerable children. We are delighted that there is now a push from the government that every province in Thailand should work towards recruiting and registering family carers.
## Vietnam
2023 saw a number of breakthroughs with the Vietnam project, as we continued to advocate for children being able to grow up in secure and loving families.
Over the course of 2023, the Vietnam Project organized three introductory workshops to family care across three provinces including Phu Yen, Thua Thien Hue and Binh Duong for 45 participants, including governmental leaders and child protection officers. The workshop introduced the core elements of Care for Children’s family care model and how it supports the government in its transition from institutional care to family care. Care for Children’s Vietnam team and Asia Regional Team also visited a number of Social Protection Centres, or orphanages, to assess potential new project sites. After extensive consultation with multiple stakeholders, Huê in central Vietnam was selected as a new project site.
Throughout the year, the Vietnam project team conducted training need assessments through focus group discussions and in-depth interviews with Huê local authorities, Huê Social Protection Centre and relevant stakeholders. Based on the data, the team is designing a tailored training programme that suits the needs of every government agency involved in the family care process.
In another milestone for the Vietnam project, the Vietnamese government approved a significant new policy that saw family care become the government’s preferred method of child care, stating that all children must be in family care by 2030. This new policy reflects significant changes to the child welfare system and a commitment from the Vietnamese government to allocate resources that prioritize family care over other alternatives.
Moving towards this vision of all children in Vietnam in families, Care for Children has been working with the Department of Children Affairs to develop an action plan for the next four years.
Page 8
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Achievements and performance (continued)**
## Cambodia
Significant progress has been made in supporting the Cambodian government’s shift from institutional care to family-based care for orphans and vulnerable children in 2023; focusing initially on supporting two Residential Care Institutions (RCIs) to develop family placement programmes. Needs assessments were conducted with the two RCIs - in Phnom Penh and Siem Reap - leading to the development of a comprehensive training schedule that commenced in late February. This training encompassed the entire process of assessing families, safely matching and placing, monitoring, and supporting a child in a family. We received positive feedback from trainees for its depth, as well as its interactive and practical nature.
Ongoing discussions throughout the year with the Ministry of Social Affairs, Veterans and Youth Rehabilitation (MoSVY), Care for Children’s governmental partner, led to their agreement to propose a change in government policy allowing RCI staff to become family placement support workers. This is a key development in the project, ensuring that the same staff members can assess and prepare children for placement within the RCI and also support them once placed in families. Additionally, the government has agreed to support family placement allowances during this pilot phase, a major development in the transformation of Cambodia’s family care system.
Active casework began in July, focusing on preparing children for placement into families, with technical support sessions enabling staff to put into practice the knowledge they gained from workshops. The highlight of this year was the placement of the first child from a government RCI into a family in Siem Reap, marking a significant milestone. Placing the first child can often be the most challenging step. We hope that this will be a tipping point in the development of Cambodia’s child welfare system, with momentum continuing to see many more children placed into families.
Page 9
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
**TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Achievements and performance (continued)**
## Armenia
Following the Memorandum of Understanding that was signed in July 2023, Care for Children took significant strides towards establishing a hub in Armenia that will be able to serve the Middle East and South Caucasus regions. These efforts culminated in the South Caucasus and Middle East Family Placement Conference, co organized and co-hosted by the Republic of Armenia Ministry of Labour and Social Affairs and Care for Children.
Mr Narek Mkrtchyan, the Armenian Minister of Labour and Social Affairs, graciously hosted and opened the conference. We were honoured to have Lord Laming join us online to deliver a welcome speech, with Mr Edward Timpson CBE KC MP providing additional insights with his keynote speech. Their contributions significantly enhanced our reach and diplomatic efforts, underscoring the importance of international collaboration in advancing family care initiatives.
It brought together over 200 participants including international and local experts, government officials, childcare practitioners, NGOs and government representatives including Lebanon, UAE, Syria, Iran, India, Vietnam, and Cambodia.
This first-of-its-kind conference was a platform for sharing knowledge and international best practices, and highlighted the global importance of family placement and family care. Delegates expressed hope and enthusiasm for the continued development of Armenia’s family care program, with this sentiment echoed by many of the visiting international delegations. We hope this extraordinary gathering will cement existing relationships while opening doors to many exciting new opportunities across the region.
## **b. Fundraising activities and income generation**
In September 2023, in partnership with HSBC, screenings in Hong Kong were hosted, allowing us to renew our presence in the region as well as strengthen existing partnerships. Screenings in Singapore, hosted by St. John St. Margerite Church and Dulwich College, resulted in the offer of free office space and potential funding, and facilitated important connections with government officials. We also held our inaugural Singapore board meeting as we seek to establish a permanent fundraising office.
Children of Shanghai has become an extremely effective tool to introduce Care for Children’s vision, track record, and methodology in great detail and depth. Both the organisers and the audiences have found the screening of the film to be one of the most engaging and compelling ways to raise awareness of the charity’s work.
At the end of 2023, we held a very successful Christmas gala dinner at Holyrood Palace.
Page 10
## **CARE FOR CHILDREN (UK) (A Company Limited by Guarantee)**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Achievements and performance (continued)**
## **Financial review**
## **a. Going concern**
The trustees have considered the financial position of the charity and group at 31 December 2023. As at the date of this report, the charity has continued to meet its liabilities. The trustees are confident that the charity can continue its successful track record of securing the funds needed to support its valuable work. This will be achieved by the senior managers and fundraising team applying for grants and donations. The charity’s annual budgets and fundraising log demonstrate how the income will be raised to meet all the charitable expenditure and support costs. These financial statements have been prepared on the going concern basis.
## **b. Reserves policy**
The policy of the board is to seek to build up a reserve of unrestricted funds equivalent to two months normal operating expenses, or £250,000 whichever is the greater, as a buffer against the inevitable cyclical nature of donations raised by fundraising activities. In order to build this unrestricted reserve, the Company sets aside funds in a separate bank deposit account. At this level the board is confident that it could continue the core activities of the charity during a cyclical reduction of funding, when it would be able to achieve a reduction of its programme of activities consistent with a lower funding level. The financial position has improved in 2023.
## **c. Material investments policy**
The charity has the power to deposit or invest in any manner (but to invest only after obtaining such advice from a financial expert as the directors consider necessary and having regard to the suitability of investments and the need for diversification).
Page 11
CARE FOR CHILDREN (UK)
{A Company Llmited by Guarantee)
TRUSTEES. REPORT ICONTINUEDI
FOR THE YEAR ENDED 31 DECEMBER 2023
Statement of Trustees, responsibllltles
The Trustees Iwho are also the directors of the charity for the purposes of company lawl are responsible for
prepanng the Trustees, Report and the financial stalements in accordan with applicable law and Uniled
Kingdom Accounting Standards {United Kingdom Generally Accepted Accounting Practice).
Company law requires the Trustees to prepare financial st81ements for each financial . Under company law, the
Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of
the stale of affairs of the Group and the charity and of their incoming resources and application of resovrces,
including their income and expenditure, for that period. In preparing these financial stalemenls, the Trustees are
required to..
select suitable accounting polici8s and then apply them consistently.,
observe the methods and principles of the Charities SORP IFRS 1021.,
make judgments and accounting estimates Ihal are reasonable and prudent.,
slate whether applicable UK Accounting Standards {FRS 102) have been followed, subject lo any rnalerial
departures disclosed and explained in the financial stalemenls.,
prepare the financial statements on the going concern basis unless il is inappropriate to presume that the
Group will continue in business.
The Trustees are responslble for keeping adequate accounting records that ar8 sufficient lo show and explain
the Group and the charity's transactions and disclose with reasonable accuracy at any time the linancial position
of the Group and 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 Group and the charity and hence for
taking reasonable steps for the prevenlion and detection of fraud and othar irregularities.
Dlsclosure of Informatlon to audltors
Each of the persons who ar& Trustees at the lime when this Trustees, Report is approved has confirmed that..
so far as that Trustee is aware, there is no relevant audit information of which the charitable group's
auditors are unaware. and
that Trustee has taken all the steps that oughl lo have been taken a5 a Trustee in order lo be aware of
any relevant audit information and lo establish that the charitable group's auditors are aware of that
information.
Audltors
The auditors, MA Partners Audit LLP, have indicated their willingness lo continue in office. The designated
Trustees will propose a motion reappointing the auditors al a meeting of the Trustees.
Approved by order of the members of the board of Trustees and signed on their behalf by..
Dr Robert Glover OBE
Date.. 18 September 2024
Page 12
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CARE FOR CHILDREN (UK)**
## **Opinion**
We have audited the financial statements of Care for Children (UK) (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, the Charity Balance Sheet, the Consolidated Statement of Cash Flows and the related notes, including a summary of 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:
- give a true and fair view of the state of the Group's and of the parent charitable company's affairs as at 31 December 2023 and of the Group's incoming resources and application of resources, including its income and expenditure for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 Group's or the parent 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.
Page 13
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CARE FOR CHILDREN (UK) (CONTINUED)**
## **Other information**
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Trustees are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
- the information given in the Trustees' Report is inconsistent in any material respect with the financial statements; or
- the parent charitable company has not kept sufficient accounting records; or
- the parent charitable company financial statements are not in agreement with the accounting records and returns; or
- we have not received all the information and explanations we require for our audit.
## **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 Group's and the parent 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 Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.
Page 14
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CARE FOR CHILDREN (UK) (CONTINUED)**
## **Auditors' responsibilities for the audit of the financial statements**
We have been appointed as auditor under section 151 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
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 Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
## **Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud**
The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the parent charitable company and group.
Our approach was as follows:
- We obtained an understanding of the legal and regulatory requirements applicable to the parent charitable company and group and considered that the most significant are the Companies Act 2006, the Charities Act 2011, the Charity SORP, and UK financial reporting standards as issued by the Financial Reporting Council.
- We obtained an understanding of how the parent charitable company and group complies with these requirements by discussions with management and those charged with governance.
- We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance.
- We inquired of management and those charged with governance as to any known instances of noncompliance or suspected non-compliance with laws and regulations.
- Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required.
Page 15
CARE FOR CHILDREN IUKI
IA Company Llmlted by Guarantee)
INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF CARE FOR CHILDREN (UK) ICONTINUEDI
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 misslatemenl 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
relecl8d in the financial statements, as we will be less likely lo become aware of inslances of non-compliance.
The risk is also greater regarding irregularilies occurring due lo fraud rather than error, as fraud involves
intentional Goncealment. forgery, collusion. omission or misrepresentation.
A further description of our responsibilities for the audil of Ihe finanttial statements is located on the Financial
Reporting Council's website al..
.frc.or
.uklauditorsres
onsibilities. This description forms part of our
Auditors, Report.
Use of our report
This repori is made solely lo Ihe charitable company's Iruslees, as a body, in accordance wilh Part 4 of tho
Charities {Accounts and Reports) RegLJlations 2008. Our audit work has been undertaken so that we might slat8
lo the charilable company's trustees those matters we are required to Slate to them in an Auditors, Report and
for no other purpose. To the fullest extent permilted by law, we do not accept or assume responsibility to anyone
other than the charilable company and its members, as a body, for our audit work, for this report, or for the
opinions we have formed.
MA Partner5 Audlt LLP
Chartered Accounlanls and Statutory Auditors
7 The Close
Norwich
Norfolk
NR14DJ
Date.. 24 September 2024
MA Partners Audit LLP are eligible to act as auditors in temis of seGlion 1212 of the Companies Act 2006.
Page 16
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2023**
|**Note**
**Income from:**
Donations and legacies
4
Investments
5
**Total income**
**Expenditure on:**
Raising funds
6
Charitable activities
7
**Total expenditure**
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
16
Net movement in funds
**Total funds carried forward**
16|**Unrestricted**
**funds**
**2023**
**£**
**642,719**
**1,201**
**643,920**
**186,298**
**553,229**
**739,527**
**(95,607)**
**187,765**
**(95,607)**
**92,158**|**Restricted**
**funds**
**2023**
**£**
**901,401**
**-**
**901,401**
**-**
**818,138**
**818,138**
**83,263**
**277,210**
**83,263**
**360,473**|**Total**
**funds**
**2023**
**£**
**1,544,120**
**1,201**
**1,545,321**
**186,298**
**1,371,367**
**1,557,665**
**(12,344)**
**464,975**
**(12,344)**
**452,631**|_Total_
_funds_
_2022_
_£_
_1,525,972_
_136_|
|---|---|---|---|---|
|||||_1,526,108_|
|||||_248,327_
_1,258,553_|
|||||_1,506,880_|
|||||_19,228_|
|||||_445,747_
_19,228_|
|||||_464,975_|
The Consolidated Statement of Financial Activities includes all gains and losses recognised in the year.
The notes on pages 23 to 39 form part of these financial statements.
Page 17
## **CARE FOR CHILDREN (UK) (A Company Limited by Guarantee) REGISTERED NUMBER: 05538700**
## **CONSOLIDATED BALANCE SHEET AS AT 31 DECEMBER 2023**
|**Note**
**Fixed assets**
Intangible assets
12
**Current assets**
Debtors
14
Cash at bank and in hand
20
Creditors: amounts falling due within one
year
15
**Net current assets**
**Total assets less current liabilities**
**Total net assets**
**Charity funds**
Restricted funds
16
Unrestricted funds
16
**Total funds**|**139,023**
**341,804**
**480,827**
**(63,361)**|**2023**
**£**
**35,165**
**35,165**
**417,466**
**452,631**
**452,631**
**360,473**
**92,158**
**452,631**|_135,596_
_308,034_
_443,630_
_(80,109)_|_2022_
_£_
_101,454_|
|---|---|---|---|---|
|||||_101,454_
_363,521_|
|||||_464,975_|
||||||
|||||_464,975_|
|||||_277,210_
_187,765_|
||||||
|||||_464,975_|
Page 18
CARE FOR CHILDREN {UKI
(A Company Limited by Guaranteol
REGISTERED NUMBER: 05538700
CONSOLIDATED BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2023
The charity was entitled to exemplion from audit under section 477 of the Companies Act 2006.
The members have not required th8 entity lo obtain an audit for the year in question in accordall with section
476 of the Companies Act 2006.
How8v6r, an audll is requlred In accordance with section 151 of the Charities Act 2011.
The Trustees acknowledge their respor7sibililies for cornplying with the requirements of the Act with respect to
accounting records and preparation of financial slalernenls.
The financial slalements have been prep8red in accordance with the provisions applicable to enlilies subject to
the Small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by..
Dr Robert Glover OBE
Date.. 18 September 2024
The notes on pages 23 10 39 form part of these financial statements.
Page 19
## **CARE FOR CHILDREN (UK) (A Company Limited by Guarantee) REGISTERED NUMBER: 05538700**
## **CHARITY BALANCE SHEET AS AT 31 DECEMBER 2023**
|**Note**
**Fixed assets**
Intangible assets
12
**Current assets**
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within one
year
15
**Net current assets**
**Total assets less current liabilities**
**Total net assets**
**Charity funds**
Restricted funds
16
Unrestricted funds
16
**Total funds**|**139,023**
**273,430**
**412,453**
**(62,642)**|**2023**
**£**
**35,165**
**35,165**
**349,811**
**384,976**
**384,976**
**360,473**
**24,503**
**384,976**|_135,596_
_276,752_
_412,348_
_(78,659)_|_2022_
_£_
_101,454_|
|---|---|---|---|---|
|||||_101,454_
_333,689_|
|||||_435,143_|
||||||
|||||_435,143_|
|||||_277,211_
_157,932_|
||||||
|||||_435,143_|
Page 20
CARE FOR CHILDREN (UK)
{A Company Llmlted by Guarantee)
REGISTERED NUMBER: 05538700
CHARITY BALANCE SHEET {CONTINUEDI
AS AT 31 DECEMBER 2023
The charity was entitled lo exemption from audit under section 477 of the Companies Act 2006.
The members have not required the entity to obtain an audit for the year in question in accordance with section
476 of the Companies Act 2006.
However, an audlt Is required in accordance wlth section 151 of the Charltles Act 2011.
The Trustees acknow18dge their responsibilities for complying with the requirements of the Act with respect lo
accounting records and preparation of financial statements.
The financial statement5 have been prepared in accordance with the provision5 applicable to entities subject to
the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by..
Dr Robert Glover OBE
Date.. 18 September 2024
The notes on pages 23 to 39 form part of these financial slaternenls.
Page 21
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023**
|**Note**
**Cash flows from operating activities**
Net cash used in operating activities
19
**Cash flows from investing activities**
Dividends, interests and rents from investments
**Net cash provided by investing activities**
**Change in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**
20
The notes on pages 23 to 39 form part of these financial statements|**2023**
**£**
**32,569**
**1,201**
**1,201**
**33,770**
**308,034**
**341,804**|_2022_
_£_
_64,392_|
|---|---|---|
|||_136_|
|||**136**|
|||**64,528**
_243,506_|
||||
|||_308,034_|
||||
Page 22
## **CARE FOR CHILDREN (UK) (A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **1. General information**
The charity is a private company limited by guarantee and incorporated in England and Wales. The members of the charity are the Trustees named on page 1. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.
## **2. Accounting policies**
## **2.1 Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Care for Children (UK) 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.
The Consolidated Statement of Financial Activities (SOFA) and Consolidated Balance Sheet consolidate the financial statements of the Group and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.
The Group has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Financial Activities in these financial statements.
## **2.2 Going concern**
The Trustees are confident that the charity can continue its successful track record of securing the funds needed to support its valuable work. This will be achieved by the senior managers and fundraising team applying for grants and donations. The charity’s annual budgets and fundraising log demonstrate how the income will be raised to meet all the charitable expenditure and support costs. The Trustees therefore consider it appropriate to prepare these financial statements on the going concern basis.
## **2.3 Income**
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Grants are included in the Consolidated Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.
Page 23
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **2. Accounting policies (continued)**
## **2.4 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.
Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
## **2.5 Government grants**
Government grants are credited to the Consolidated Statement of Financial Activities.
## **2.6 Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
## **2.7 Foreign currencies**
The charity’s functional and presentational currency is GBP.
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the reporting date.
Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.
Exchange gains and losses are recognised in the Consolidated Statement of Financial Activities.
## **2.8 Taxation**
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Page 24
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **2. Accounting policies (continued)**
## **2.9 Intangible assets and amortisation**
Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.
Amortisation is provided on intangible assets at rates calculated to write off the cost of each asset on a straight-line basis over its expected useful life.
Amortisation is provided on the following basis:
Documentary and website
-
20 % straight line
## **2.10 Debtors**
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **2.11 Cash at bank and in hand**
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **2.12 Liabilities and provisions**
Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
## **2.13 Financial instruments**
The Group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
## **2.14 Operating leases**
Rentals paid under operating leases are charged to the Consolidated Statement of Financial Activities on a straight line basis over the lease term.
## **2.15 Pensions**
The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.
Page 25
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **2. Accounting policies (continued)**
## **2.16 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
## **3. Critical accounting estimates and areas of judgment**
The preparation of financial statements requires the use of accounting estimates which, by definition, will seldom equal the actual results. Management also needs to exercise judgement in applying the group’s accounting policies.
Estimates and judgements are continually evaluated. They are based on historical experience and other factors, including expectations of future events that may have a financial impact on the entity and that are believed to be reasonable under the circumstances.
Critical accounting estimates and assumptions:
- estimated useful life of intangible assets - see note 2.9.
Page 26
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **4. Income from donations and legacies**
|**Unrestricted**
**funds**
**2023**
**Restricted**
**funds**
**2023**
**£**
**£**
Donations
642,719
-
Grants
-
901,401
**Total 2023**
642,719
901,401
_Total 2022_
_729,748_
_796,224_
**5.**
**Investment income**
**Unrestricted**
**funds**
**2023**
**£**
Bank interest
1,201
**6.**
**Expenditure on raising funds**
**Costs of raising voluntary income**
**Unrestricted**
**funds**
**2023**
**£**
Costs of raising voluntary income
92,749
Costs of raising voluntary income - wages and salaries
93,549
186,298|**Total**
**funds**
**2023**
**£**
**642,719**
**901,401**
**1,544,120**
_1,525,972_
**Total**
**funds**
**2023**
**£**
**1,201**
**Total**
**funds**
**2023**
**£**
**92,749**
**93,549**
**186,298**|_Total_
_funds_
_2022_
_£_
_729,748_
_796,224_|
|---|---|---|
|||_1,525,972_|
|||_Total_
_funds_
_2022_
_£_
_136_|
|||_Total_
_funds_
_2022_
_£_
_189,110_
_59,217_|
|||_248,327_|
Page 27
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **7. Analysis of expenditure on charitable activities Summary by fund type**
|**Unrestricted**
**funds**
**2023**
**£**
Direct costs
553,229
_Total 2022_
_521,586_
**8.**
**Analysis of expenditure by activities**
**Activities**
**undertaken**
**directly**
**2023**
**£**
Direct costs
1,049,342
_Total 2022_
_975,054_
**Analysis of direct costs**
Staff costs
Project expenses
Travel
Office rent|**Restricted**
**funds**
**2023**
**£**
818,138
_736,967_
**Support**
**costs**
**2023**
**£**
322,025
_283,499_|**Total**
**2023**
**£**
**1,371,367**
_1,258,553_
**Total**
**funds**
**2023**
**£**
**1,371,367**
_1,258,553_
**Total**
**funds**
**2023**
**£**
**580,699**
**258,526**
**118,244**
**91,873**
**1,049,342**|_Total_
_2022_
_£_
_1,258,553_|
|---|---|---|---|
||||_Total_
_funds_
_2022_
_£_
_1,258,553_|
||||_Total_
_funds_
_2022_
_£_
_682,011_
_156,139_
_74,401_
_62,503_|
||||_975,054_|
Page 28
**CARE FOR CHILDREN (UK) (A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **8. Analysis of expenditure by activities (continued)**
## **Analysis of support costs**
|Staff costs
Amortisation
Office rent
Premises
Office expenses and stationery
Bank charges and interest
Foreign exchange
Miscellaneous
Governance costs
**9.**
**Auditors' remuneration**
Fees payable to the charity's auditor for the audit of the charity's annual
accounts
Fees payable to the charity's auditor in respect of:
All non-audit services not included above
**10.**
**Staff costs**
**Group**
_Group_
**2023**
_2022_
**£**
_£_
Wages and salaries
**673,592**
_628,356_
Social security costs
**72,737**
_187,359_
Operating costs of defined benefit pension
schemes
**27,368**
_28,049_
**773,697**
_843,764_|**Total**
**funds**
**2023**
**£**
**99,449**
**66,289**
**21,822**
**20,085**
**45,449**
**3,252**
**10,373**
**5,406**
**49,900**
**322,025**
**2023**
**£**
**8,400**
**1,919**
**Trust**
**2023**
**£**
**633,380**
**72,737**
**27,368**
**733,485**|_Total_
_funds_
_2022_
_£_
_102,536_
_65,541_
_21,182_
_15,263_
_39,933_
_2,584_
_(8,989)_
_5,993_
_39,456_
_283,499_
_2022_
_£_
_8,000_
_1,984_
_Trust_
_2022_
_£_
_584,820_
_187,359_
_28,049_
_800,228_|
|---|---|---|
Page 29
## **CARE FOR CHILDREN (UK) (A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **10. Staff costs (continued)**
The average number of persons employed by the charity during the year was as follows:
|Management staff
Project staff|**Group**
**2023**
**No.**
**10**
**19**
**29**|_Group_
_2022_
_No._
_11_
_23_|
|---|---|---|
||||
|||_34_|
The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:
|||**Group**|_Group_|
|---|---|---|---|
|||**2023**|_2022_|
|||**No.**|_No._|
|In the band £80,001|- £90,000|**-**|_1_|
|In the band £90,001|- £100,000|**1**|_-_|
The total remuneration for key management personnel for the year totalled £234,278 ( _2022: £255,091_ ).
## **11. Trustees' remuneration and expenses**
During the year, one Trustee has been paid remuneration for employment as Executive Director of the charity as follows:
|||**2023**|_2022_|
|---|---|---|---|
|||**£**|_£_|
|Dr Robert Glover OBE|Remuneration|**82,579**|_78,027_|
||Pension contributions paid|**8,258**|_7,803_|
During the year ended 31 December 2023, no Trustee expenses have been incurred _(2022 - £NIL)_ .
Page 30
## **CARE FOR CHILDREN (UK) (A Company Limited by Guarantee)**
|**NOTES TO THE FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 DECEMBER 2023**||
|---|---|
|**12.**
**Intangible assets**
**Group and Trust**
**Cost**
At 1 January 2023
At 31 December 2023
**Amortisation**
At 1 January 2023
Charge for the year
At 31 December 2023
**Net book value**
At 31 December 2023
_At 31 December 2022_|**Documentary**
**and website**
**£**
**327,705**
**327,705**
**226,251**
**66,289**
**292,540**
**35,165**
_101,454_|
Page 31
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **13. Tangible fixed assets**
## **Group and Trust**
|**Cost or valuation**
At 1 January 2023
At 31 December 2023
**Depreciation**
At 1 January 2023
At 31 December 2023
**Net book value**
At 31 December 2023
_At 31 December 2022_
**Debtors**
**Due within one year**
Other debtors
Prepayments and accrued income|**Group**
**2023**
**£**
**21,901**
**117,122**||**Motor**
**vehicles**
**£**
**13,883**
**13,883**
**13,883**
**13,883**
**-**
_-_
_Group_
_2022_
_£_
_81,688_
_53,908_
_135,596_||**Office**
**equipment**
**£**
**17,090**
**17,090**
**17,090**
**17,090**
**-**
_-_
**Trust**
**2023**
**£**
**21,901**
**117,122**
**139,023**|**Total**
**£**
**30,973**|
|---|---|---|---|---|---|---|
|||||||**30,973**|
|||||||**30,973**|
|||||||**30,973**|
|||||||**-**|
|||||||_-_|
|||||||_Trust_
_2022_
_£_
_81,688_
_53,908_
_135,596_|
||||||||
||**139,023**||||||
## **14. Debtors**
Page 32
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **15. Creditors: Amounts falling due within one year**
|Other taxation and social security
Other creditors
Accruals and deferred income|**Group**
**2023**
**£**
**12,284**
**19,069**
**32,008**
**63,361**|_Group_
_2022_
_£_
_10,812_
_29,902_
_39,395_
_80,109_|**Trust**
**2023**
**£**
**12,284**
**18,350**
**32,008**
**62,642**|_Trust_
_2022_
_£_
_10,812_
_28,452_
_39,395_|
|---|---|---|---|---|
|||||_78,659_|
Page 33
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **16. Statement of funds**
## **Statement of funds - current year**
|**Unrestricted funds**
General funds
**Restricted funds**
Developing Thailand family-placement
programmes
Cambodia fund
Vietnam fund
Armenia fund
PPE
Digitalisation
**Total of funds**|**Balance at 1**
**January**
**2023**
**£**
**187,765**
**-**
**112,867**
**-**
**-**
**4,100**
**160,243**
**277,210**
**464,975**|**Income**
**£**
**643,920**
**74,518**
**451,150**
**114,959**
**187,274**
**-**
**73,500**
**901,401**
**1,545,321**|**Expenditure**
**£**
**(739,527)**
**(74,518)**
**(351,908)**
**(99,188)**
**(123,851)**
**(4,100)**
**(164,573)**
**(818,138)**
**(1,557,665)**|**Balance at**
**31**
**December**
**2023**
**£**
**92,158**|
|---|---|---|---|---|
|||||**-**
**212,109**
**15,771**
**63,423**
**-**
**69,170**|
|||||**360,473**|
|||||**452,631**|
The Developing Thailand family-placement programmes is for the development of foster care in Thailand.
The Cambodia fund is for international meetings and visits to further promote fostering in Cambodia. The Light Foundation Fund represents funding receivable from the Light Foundation to support the launch and development of Care for Children’s pilot project in Cambodia. Under the grant agreement, Care for Children will receive a maximum of $300,000 per year for 3 years.
The Vietnam fund is for is for the development of foster care in Vietnam.
The Armenia fund is for is for carry out baseline research on fostering services in Armenia. To provide technical and professional support to MLSA. To help inform the development of the RA Government’s Codes of Practice and National Minimum Standards in family placement care, and any supportive policy and legislative developments and to manage a Regional Family Placement Conference.
The PPE fund was to cover the cost of hygiene products to protect from the spread of COVID 19.
Digitalisation Fund is for the development of a website providing a wealth of online resources in family placement to ensure our training is as accessible as possible.
Page 34
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **16. Statement of funds (continued)**
**Statement of funds - prior year**
|**Unrestricted funds**
**Restricted funds**
Developing China family-placement
programmes
Developing Thailand family-placement
programmes
Cambodia fund
Vietnam fund
PPE
Digitalisation
**Total of funds**|_Balance at_
_1 January_
_2022_
_£_
_227,794_
_-_
_-_
_144,300_
_-_
_5,142_
_68,511_
_217,953_
_445,747_|_Income_
_£_
_729,884_
_35,000_
_21,769_
_450,131_
_54,254_
_11,363_
_223,707_
_796,224_
_1,526,108_|_Expenditure_
_£_
_(769,913)_
_(35,000)_
_(21,769)_
_(481,564)_
_(54,254)_
_(12,405)_
_(131,975)_
_(736,967)_
_(1,506,880)_|_Balance at_
_31_
_December_
_2022_
_£_
_187,765_|
|---|---|---|---|---|
|||||_-_
_-_
_112,867_
_-_
_4,100_
_160,243_|
|||||_277,210_|
|||||_464,975_|
Page 35
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **17. Summary of funds**
## **Summary of funds - current year**
|General funds
Restricted funds
**Summary of funds - prior year**
General funds
Restricted funds|**Balance at 1**
**January**
**2023**
**£**
**187,765**
**277,210**
**464,975**
_Balance at_
_1 January_
_2022_
_£_
_227,794_
_217,953_
_445,747_|**Income**
**£**
**643,920**
**901,401**
**1,545,321**
_Income_
_£_
_729,884_
_796,224_
_1,526,108_|**Expenditure**
**£**
**(739,527)**
**(818,138)**
**(1,557,665)**
_Expenditure_
_£_
_(769,913)_
_(736,967)_
_(1,506,880)_|**Balance at**
**31**
**December**
**2023**
**£**
**92,158**
**360,473**|
|---|---|---|---|---|
|||||**452,631**|
|||||_Balance at_
_31_
_December_
_2022_
_£_
_187,765_
_277,210_|
|||||_464,975_|
## **18. Analysis of net assets between funds Analysis of net assets between funds - current year**
|**Unrestricted**
**funds**
**2023**
**£**
Intangible fixed assets
35,165
Current assets
120,354
Creditors due within one year
(63,361)
**Total**
92,158|**Restricted**
**funds**
**2023**
**£**
-
360,473
-
360,473|**Total**
**funds**
**2023**
**£**
**35,165**
**480,827**
**(63,361)**|
|---|---|---|
|||**452,631**|
Page 36
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **18. Analysis of net assets between funds (continued)**
## **Analysis of net assets between funds - prior year**
|Intangible fixed assets
Current assets
Creditors due within one year
**Total**|_Unrestricted_
_funds_
_2022_
_£_
_101,454_
_166,420_
_(80,109)_
_187,765_|_Restricted_
_funds_
_2022_
_£_
_-_
_277,210_
_-_
_277,210_|_Total_
_funds_
_2022_
_£_
_101,454_
_443,630_
_(80,109)_|
|---|---|---|---|
||||_464,975_|
## **19. Reconciliation of net movement in funds to net cash flow from operating activities**
|Net income/expenditure for the year (as per Statement of Financial
Activities)
**Adjustments for:**
Amortisation charges
Dividends, interests and rents from investments
Increase in debtors
(Decrease) / Increase in creditors
**Net cash provided by operating activities**|**Group**
**2023**
**£**
**(12,344)**
**66,289**
**(1,201)**
**(3,427)**
**(16,748)**
**32,569**|_Group_
_2022_
_£_
_19,228_|
|---|---|---|
|||_65,541_
_(136)_
_(54,378)_
_34,137_|
||||
|||_64,392_|
## **20.**
## **Analysis of cash and cash equivalents**
|Cash in hand
**Total cash and cash equivalents**|**Group**
**2023**
**£**
**341,804**
**341,804**|_Group_
_2022_
_£_
_308,034_|
|---|---|---|
||||
|||_308,034_|
Page 37
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **21. Analysis of changes in net debt**
|Cash at bank and in hand|**At 1**
**January**
**2023**
**£**
**308,034**
**308,034**|**Cash flows**
**£**
**33,770**
**33,770**|**At 31**
**December**
**2023**
**£**
**341,804**|
|---|---|---|---|
||||**341,804**|
## **22. Pension commitments**
The group operates defined contribution pension schemes. The assets of the schemes are held separately from those of the group in independently administered funds. The pension cost charge represents contributions payable by the group to the funds and amounted to £27,368. Contributions of £3,473 were payable to the funds at the balance sheet date and are included in creditors.
## **23. Operating lease commitments**
At 31 December 2023 the Group and the charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows:
||||**Group**|_Group_|
|---|---|---|---|---|
||||**2023**|_2022_|
||||**£**|_£_|
|Not later than|1|year|**4,261**|_8,991_|
## **24. Related party transactions**
During the year remuneration including pension of £56,311 ( _2022: £47,475_ ) was paid to Thomas Abbott, an employee of the charity. Thomas Abbott is a close family member of Trustee and Executive Director, Robert Glover.
During the year, remuneration of £21,350 ( _2022: £20,000_ ) was paid to Elizabeth Glover, an employee of the charity. Elizabeth Glover is a close family member of Trustee and Executive Director, Robert Glover.
During the year, the charity was invoiced £15,895 ( _2022: £27,615_ ) by Johnny Hall for services provided. Johnny Hall is a close family member of Trustee and Executive Director, Robert Glover.
During the year, £335,786 ( _2022: £302,916_ ) was received from donations, fundraising and grants, from Trustees and board members.
Page 38
## **CARE FOR CHILDREN (UK)**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **25. Principal subsidiaries**
Details of the material subsidiary of the group are as follows:
## **Care for Children (US)**
Subsidiary name Care for Children (US) Basis of control Control over subsidiary at board level
Total assets as at 31 December 2023 £45,207 Total liabilities as at 31 December 2023 £(719) Total equity as at 31 December 2023 £44,488
Turnover for the year ended 31 December 2023 £881,469 Expenditure for the year ended 31 December 2023 £(860,988) Profit for the year ended 31 December 2023 £20,481
in addition, the following companies are non-material subsidiaries of the group (the results of which are also included in the consolidated accounts):
Care for Children (H K) Limited Care For Children Singapore Ltd Grace Training (HK) Limited My Family (Beijing) Company Limited
Page 39