REGISTERED COMPANY NUMBER: 035933941England and Wales) REGISTERED CHARITY NUMBER: 1074539 REPORT OF THE TRUSTEES AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 FOR VALLEY HOUSE Luckmans Duckett Parker Limited 1110 Elliott Court Coventry Business Park Herald Avenue Coventry Wesl Midlands CV5 6UB VALLEY HOUSE CONTENTS OF THE FINANCIAL STATEMENTS for the year ended 31 March 2024 Page Report of the Trustees 1 to 14 Report of the Independent Auditors 15 to 18 statement of Flnancial Activities 19 Balance Sheet 20 Cash Flow Statemènt 21 Not8s to the Cash Flow Statement 22 Notes to th8 Flnanelal Statements 23 to 37 Detalled Slatement of Financial Activities 38 to 39 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 Nlarch 2024 The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the yearended 31 March 2024. The Irustees have adopted the provisions of Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charilies preparing their accounts in accordance with the FinancAal Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). The Trustees present their report and the audited financial statements of the charity for the year ended 31 March 2024. The trustees have adopted the provisions of the Statement of Recommended Practice (SORPI Accounting and Reporting by Charities" (FRS 102) in preparing the annual report and financial statements of the charity. The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with Ihe charity's governing document. the Charities Act 2011 and 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 second edition published October 2019 Page 1 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 OBJECTIVES AND ACTIVITIES Objectives and aSms The principle purposes and aims of Ihe organisation are= To offer support andlor accommodation appropriate to the needs of individuals within the city of Coventry and Ihe surrounding area who are homeless, wilh the aim of enabling them to move into and suslain their own accommodation,. to support and molivate people to re-engage with educational opportunities. that will allow them to develop their potential and have more life choices and the advancements of education, training or retraining, including among unemployed people. and providing unemployed people with work experience. To provide quality services for the advancements of the lives of children in partnership with parents, to enable children and young people to develop their physical and menlal capacities so that they may achieve their potential as individuals and members of society and their conditions of life may improve. - To promote, safeguard and protect the good health. both mental and physical, of adults, children and young people. The issues we seek to tackle are wide ranging and we evolve to meet those needs as those individuals and families approaching us for support continue to grow in complexity of need. Whilst we continue to adhere to our purpose and aims the types of interventions and service delivery models we use continue to evolve The broad-brush changes we seek to make through our work are encapsulated by our Mission Statement To work alongside people to take control of their lives and create their own futures" This can range from a survivor of domestic abuse taking conlrol of their finances for Ihe first time through to someone feeling able to atlend an appointment by themselves. We seek to bring public benefit mosl usually but not exclusively to the more vulnerable, disadvantaged, and disengaged members of the community by enabling them through appropriate holistic professional support to develop their potenlial and take control of the quality and independence of their lives. The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities Valley House should undertake. We deliver a wide range of services specifically designed to support us in achieving our aims and objectives: Valley House is the domestic abuse safe and supported accommodation provider for Coventry City Councll. We provide 54 units of accommodation. Our accommodation is made up of single flats, single family homes, shared houses and accommodation units where staff are on site. In addilional we were commissioned to ylol a Complex Needs Domestic Abuse Service, providing 7 units of self-conlained accommodalion for suniivors wilh mental heallh, drugs andlor alcohol issues. The emotional and practical support we offer across both these services indudes 24 hour staff availability, structured support and safety plans. 1 to 1 work and group work. We have a dedicaled maintenance team for our supported accommodation services. Our community wellbeing offer in 2023-2024 comprised of.. REACH service." This is a partnership service delivered in conjunction with Rethink, Coventry and Warwickshire Partnership Trust Lived Experience Workforce Lead, Cullural Inclusion Network Services, Artyfolks and Coventry Citizens Advice. The service provides support for people aged 18 years and over who have common or severe mental illness. It provides 1 to 1 support to people signposted from the Partnership Trustwho may benefit from support in the Community from the VCFSE (Voluntary Community Faith and Social Enterprises). This role of Peer Support Worker has been developed specifically for people who have lived experience of mental distress and are able to use their peer experience to offer empathy and understanding to others. inspiring hope and recovery with others. Page 2 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 Our Counselling servi￿ This has 2 strands. 1Ole provide counselling for any individual that is accessing any of our Valley House seNices. This is for up to 6 months, with the counselling being undertaken by our volunteer counsellors. Additionally, we provide counselling for Kairos service users, a local organisation that provides support to women who have experienced or are at risk of sexual exploitation. Talking Therapies Community Engagement Service" This is a partnership service delivered in conjunction with Rethink Community REACH Service, Coventry and Warwickshire Partnership Trust Talking Therapies Service, Covenlry Cilizens Advice, Inini and Warwickshire Pride. This service provides support for people aged 18 years and over who are experiencing mild to moderate depression and anxiety including stress and adjustment to life events. It provides individual support to people who may benefit from support in the community to support referrals, access and engagement with the Talking Therapies Service. Our Nursery provides a qualily service, focused on enabling children to develop their personal capabilities and achieve their potential, despite the barriers they may face. We have both Government funded and fee- paying children attending the nursery. We have volunteers within our counselling service, domestic abuse service, and within our business supporl team. Additionally, all our Board of trustees are volunteers. During 2023-2024 they contributed a total of 908 volunteering hours Our current success measurements are funder driven and include both quantitative and qualitative data capture. The tool used for individual qualitative data capture, specifically mapping a service user'sjourney and outcomes achieved is the nationally recognised Outcomes Star. For our groupwork programmes we have developed internal qualitative daia capture tools that we use including pre and post service user questionnaires, mapped to defined service user outcomes. Quantitative success is measured though achieving the outputs as specified and agreed with the funder prior to commencement of delivery. Public benefit Much of the above shows the public benefit within individual services. Looking across Valley House services more generally, one can see a range of public benefits achieved for vulnerable and disadvantaged citizens as well as the wider community including.. Promoting Health & Wellbeing, including emotional and psychological wellbeing Enabling marginalised individuals and family's access to training, education and work readiness Directly tackling violencelabuse effects on victims and children, promoting their confidence and independence and holding perpetrators to account Promoting individual'slfamilies, aspirations, self-confidence. and engagement Supporting parenting skills, child development and take up of children and family services Championing the confidence, aspirations and constructive engagement of young people. Page 3 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 STRATEGIC REPORT Achievement and performance Charitable activities Our 3 year Strategic Plan set out our 5 areas of strategic focus which set our direction of travel for 2022-2025. Our annual Operational Plan, Environmental Sustainability Action Plan and Fundraising Aclion Plan turn our Strategic Plan into tangible actions and during 2023-2024 we worked hard to meet these targets. We undersland the importance of being digitally connected and the negative impact of digilal exclusion for our service users. Though our partnership with Jangala (a UK based charity commilled to tackling digital exclusion by providing easy lo use internet access systems) and Coventry City Council we piloted a digital inclusion project during the year, providing free wifi in 32 of our supported accommodation properties. Coventry City Council donated 30 repurposed laptops to support this pilot. This meant the children in our properlies were able to compete homework and study from home, supporting them to achieve at school. They also had access to streaming seNices, trying to make the property more like a home, after having to leave their own home. Learning from this pilot is being used to further develop this initialive. Our annual seNice user survey in 2022 hwJhlighted the need for more groupwork provision, to support skills development emotional, menlal and physical health workshops and increased peer support opportunities. In order lo meet this need we reconfigured our staffing and employed a se￿iCe User Wellbeing Coordinalor who increased our groupwork offer. This was a combination of delivery by Valley House staff and partner agencies. Partner agencies include Fab Lab, Recovery and Wellbeing Academy. Mind. Groundworks, Adult Education, and AT7. The survey also highlighted the need fora more comprehensive offerfor our older children wilhin the dornestic abuse service, to include group work opportunities. This has been rolled out over the last year and we are evaluating what is working and whal we could do differently based on their feedback. Whilst money is not the driving motivation for people to work in organisations like Valley House, as an employer we recognise the impact the cost of 5iving crisis has on our staff. We worked hard this year to be able lo give staff a one off payment and a salary increase. This runs alongside our commitment to support their health and wellbeing which this year saw us introduce free counselling to staff and employing a Staff Health and Wellbeing Manager. This post has responsibility for embedding our Thrive at Work Silver accreditation. This is a Workpla￿ commitment with criteria and guidelines on crealing a workplace that promotes employee health and wellbeing, focusing on key organisational enablers of health such as allendance management, policies and procedures in addition to health areas such as mental, musculoskeletsS and physical health and promoting healthy lifestyles. This role has been positively received by staff and she is currently working on our Gold Level Thrive at Work application, crealing additional resources and interventions to meet this standard. This year we continued our commilment to staff and volunteer continued professional development, ring fencing £14,000. A total of 51 applications were successful with training ranging from family law to suicide awareness and prevention. Our annual staff survey results continue to corsfirm how much staff appreciate and benefit from this fund. We launched our Valley House intranet this year to support better internal communication, information sharing and collaboration across the organisation. It is early days at the moment to assess whether we have achieved this. We will be asking staff for feedback as we look to further develop it. Our continued commitment to offer hybrid working and flexible working to staff in appropriate roles led us to re-con*iguring our office space to match a hot desking mcmsel. This in tum created storage space allowing us to store additional clothes, toys and food for service users who arrive with nothing. In order to support us in striving to be more environmentally sustainable this year we undertook an internal audit of our current practice in relation to recycling, printing. energy efficiency, our green spaces and the circular economy approach. This audit allowed to identify gaps in our approach to environmental sustainability with service users which we addressed through awareness group raising sessions and incorporating it in 1 to 1 casework as well as focusing us on reducing the need for hard copies of pape￿Ork and training materials. It also allowed us to set ambitious targets for 2024-2025 in term in terms of energy efficiency within our office spaces and properties, waste management and further embedding the circular economy approach. Page 4 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 In terms of service sustainability and organisational growth we have seen the confirmation that our main Domestic Abuse Service contract with Covenlry City Council has been extended from its potential end date of June 2024 to June 2026. This allows us to continue to develop the Servi￿ in line with the changing demand we have seen over the lasl year, specifically in relation to InC￿ased demand from survivors with immigration needs. Our partnership with Kairos, a IcKal organisation working with women experiencing or at risk of sexual exploitation was due to end in January 2024. The feedback from the Kairos setvice users Ihatwere supported by this partnersh ip was very positive and on this basis this partnership has been extended for another year. We have secured 2 new funding streams through Ihe Mental Health Alliance, both 12 month pilot projects and both partnerships with other organisations across Coventry and Warwickshire. The REACH Service is a partnership service delivered in conjunction with Rethink, Coventry and WatWiGkshire Partnership Trust Lived Experience Workforce Lead, Cultural Inclusion Network Services. Artyfolks and Coventry Citizens Advice. The service provides support for people aged 18 years and over who have common or severe mental illness. It provides 1 to 1 support to people signposted from the Partnership Trust who may benefit from support in the Community from the VCFSE (Voluntary Community Faith and Social Enterprises). This role of Peer Support Worker has been developed specifically for people who have lived experience of mental distress and are able to use Iheir peer experience to offer empalhy and understanding to others, inspiring hope and recovery. The second funding stream is Talking Therapies Community Engagement Service. This is a partnership service delivered in conjunction with Rethink Community REACH Service, Coventry and Warwickshire Partnership Trust Talking Therapies Service. Coventry Citizens Advice, Inini and WaNickshire Pride. This service provides support for people aged 18 years and overwho are experiencing mild to moderate depression and anxiety including stress and adjustment to life events. It provides individual support to people who may benefit from support in the community to support referrals, access and engagemenlwilh the Talking Therapies Service. Our apprenticeship opportunilies conlinue lo work well wilh our second Domestic Abuse Support Worker apprentice successfully completing her apprenticeship and moving into a permanent Support Worker role. Our Business Support apprentice completed his apprenticeship with us and has moved inio a full time role with another organisation. We continue to offer 2 Business Support apprenticeships a year and both posts are currently full. In partnership with Coventry City Council we secured funding to pilot a domestic abuse complex needs seNice for survivors who are in need of safe and supported accommodation and have higher level mental health, drugs andlor alcohol issues. This was in response to us Identifying and evidencing Ihe need for an enhanced level of support for this group. The service launched in November 2022 for a 2 year period and is being exiernally evaluated lo support learning and further refine the model. We received the interim report in January 2024 whioh highlighted areas of success aswell as areas of challenge. We have taken this learning and refined the service delivery model. We expect the final evaluation mid 2024 and will work with our commissioners to explore what this means for the service going forward. One year one from embedding hybrid working across the organi5alion, a survey of staff who took up this offer was undertaken. We asked them about the impact on their wellbeing and work life balance, productivity and improved employerlemployee trust. All answers were positive and were reflected in their line manager feedback. We will continue to promote this alongside our flexible working policy and undertake the same survey next year. This year has seen us recruit new trustee5 to replace trustees stepping down after completing Iheir time with us and increase knowledge at Board level where we had identified gaps. Our Board includes individuals with knowledge in HR, property management, data analysis, safeguarding, supported accommodation and finance. During 2023-2024 Valley House supported a total of 441 people across all our services, with some individuals accessing more than one service. Service Adults Children Page 5 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 Ikqarch 2024 Domestic Abuse Family Support Complex Needs Service User Wellbeing REACH Talking Therapies Nursery Counselling (Kairos) Counselling (Valley House) 125 131 16 33 12 131 144 13 30 Supporting those more vulnerable members of our community to optimise their potential and take control of their lives is achieved through providing the following seNices and activities.. Supported Accommodation Within our domestic abuse supported accommodation service we supported 125 adults and 131 children. During the year of those that moved into Iheir own accommodation. 89 % were effeclively managing their own tenancy and 920/0 reported that the relationship between themselves and their children had improved. 131 children were supported through 1 to 1 and groupwork by our specialist Family Support Workers. Of all the children who were with us during Ihe year 830/0 were regularly atlending school. A number of children living with us struggled to secure school places or had to wait long periods of time lo secure a school place which impacted on our attendance figures. Domestic Abuse Complex Needs Service The service launched in November 2022. As a pilot, the service is being externally evaluated by EAP Research Consultancy - well known and respecled in the field of domestic abuse evaluations. Their interim evaluation report highlighted the following strengths enhanced multi-agency collaboration, effective information sharing, safe and inclusive environment, engaging service user activities. Service User Wellbelng Responding to service user feedback, we re-configured staffing within the service to create a Service User Health and Wellbeing Coordinator who came into post in September 2022. During 2023-2024 she has worked with 33 service users 1 to 1 in relation to their health and wellbeing. Additionally, we delivered 294 group work sessions utilising Valley House staff and partner agencies. Community Wellbeing The REACH Service went live in October 2023. Since then, our Peer Support Worker has supported 12 service users. The Talking Therapies Commuiiity Lead Service went live in February with our staff member starting in April 2024. Counselling Our Counselling Service supported 13 Kairos Service users and 30 Valley House service users. We provide up to 6 months of 110 1 counselling (face to face or virtual). It is a safe space for an individual to explore the issue that are impacting on them whÉch can include depression, anxiety, anger. self-esteem, bereavement, relationships. Throughout the year we collect feedback from our *rvice users on their experienLe of being supported by Valley House. 98,/0 of respondents confirmed that they were happy with the support they had received. Page 6 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 I￿larch 2024 Nursery Valley House has a self-funded nursery offering ￿11 day care to both funded and fee-paying families. It offers a creative and fun experience lo children and seeks to optimise their readiness for school. During 2023124 144 children accessed our nursery and holiday Club provision. We have a wide range of families from different cultural and ethnic backgrounds and good working relationships with statutory setvices. However, our families can have multiple disadvantages. During the last year we have supported 15 children who are classified as having additional needs, ulilising our purpose-built sensory space to help support them in their learning and development. Trainlng and Education Valley House offers student placements to Social Work and Counselling course sludents in partnership with local universities and childcare placement opportunities in partnership with local colleges. We offered 3 social work placements, 6 counselling placements and 14 nursery student placements. Fundralslng activities The charity did not carry out any significant external fundraising in the year. The charity is registered with the fundraising regulator. There were no complaints in the year. Page 7 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 STRATEGIC REPORT Achievement and performance Challenges The main challenge faced during this year has been recruitment, specifically in terms of front line Support Worker roles. Whilst we have low turnover of staff we have struggled to recruit into vacant roles when they arise. We have seen this trend reflected across the sector with partner organisations being in a similar position. This includes organisations that are offering higher salaries. Anecdotally. we sense that there has been a shift since the pandemic with people choosing job roles that are less emotionally challenging and potent1211y offer a perceived better work life balance. We have enhanced our benefits package with a strong focus on health and wellbeing to try and stand out from other organisations that are trying to recruit from the same small pool of people. We will be monitoring whether this has had any impact over the next year. It is essential that we provide a high standard of accommodation and furnishings for our service users and good quality equipment and resources for our staff and volunteers to carry out their roles effectively. Continuing rising prices over the year which were not matched by any rise in income from our main contracts presented challenges. We worked hard to balance meeting these needs against funds available, by focusing on repair, recycle and renew where possible. A number of local authorities across the country declared themselves bankrupt over the last year. Although Coventry is not currently in this situation, they are looking at areas to cut costs. One potential option is commissioning only servI￿S that they have a statutory duly to fund. Whilst this protects our main Domesti Abuse Service LFntil 2026, it does mean the potential to continue growing this provision for specialist strands needing additional staffing will be hampered. Opportunities 2023-2024 presenled a range of opportunities for us. both internally and externally. Joining the Coventry and WaNickshire Mental Health Alliance opened the doors to greater partnership working and access to funding. It has raised our profile within Coventry and Warwickshire Partnership Trust and allowed us to explore alternative service user support models, specifically paid peer support work. We began our first corporale donor relationship with Keltek, a local business that wanted to support a charity that closely aligned with their values. I￿lIst financially supporting us, they are also keen to introduce us to other businesses that we could develop mutually beneficial relationships with. Due to the large number of service users being referred to us with immigration needs, we have reconfigured the service lo try and accommodate this. We a￿ keen to try and meet this need and further develop this specialist strand. In order to ensure we are in step with good practice around supporting individuals that have experienced trauma Valley House signed up to the Trauma Informed Practitioner training provided by Coventry and Warwickshire Trauma Vanguard Project. This was an 8 day programme aimed at supporting organisations to critically assess their approach to working with trauma. As a result ofthis, we have embarked on a thorough review of our approach. policies, procedures, paperwork and physical environments. Changes are being made and this will be embedded over the next year. Page 8 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 STRATEGIC REPORT Flnanclal revlew Flnanclal posltlon We continue to seek to maximise spend on our charitable aims while remaining financially 5UStainable. We have set our reserves at a prudent level, relative to our turnover, to allow us sufficienl time to respond if there were to be a significant drop in funding. Thus, in establishing contingency reserves of £457,642 against a turnover of approximately £1.77m, we are seeking to provide ourselves with Ihe ability to cover our liabilities for approximately a quarter of a year. This will allow us to address any exlreme financial siiuation that might arise and is in line with our Reserves Policy. We have committed resources via our Development Fund to allow Valley House to respond to ideas from both staff and service users on how we could improve what we do. Whilst we would always seek to source external funding for such ideas, there isn't always a 'good frt. externally. Having our own internally designated fund allows for additional flexibility and innovation. The financial statements for the year ended 31 March 2024 show net incoming resources of £65,50812023'. £21,538) . Vvhile our major source of funding conlinues to be from Ihe Local Authority. Valley House recognises that this provision is rapidly changing and still seeks both to diversify funding and identify sources of income- generating work. Principal funding sources These are service wntracts £736,730 (2023: £738,485) and tenant welfare services income £624,031 (2023: £511,019) Investment policy and objectlves Under the Articles of Association, the charity has the power to invest in any way the trustees consider fit. The Board of Trustees has considered the most appropriate policy for investing funds and currently any cash surplus to day to day requirements is invested in medium to long term funds. Page 9 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 STRATEGIC REPORT Financial review Reserves policy The Board of Trustees is responsible for establishing that the level of resenies (that is those funds that are freely available) is sufficienl to be able to continue the current activilies of the charity in the event of a significant drop in funding, albeil for a limited time, to enable us to replace the funding or reduce services in a way not detrimental to our service users. Thi5 figure is reviewed annually and at 31 March 2024 the ideal minimum level considered necessary was £400.000 to £500,000. The free reserves, identified as the General Fund at 31 March 2024, were £202,207 {2023: £202,041) In order to enable our future strategic and developmenl plans to move forward, the Trustees have designaled Contingency and Capital Funds from free reseTves. This allows us to make necessary infrastructure improvements as well as pilot developmental opportunities and invest in Capital projecls. The Capital Fund has been increased 10 £540,000 at 31 March 2024. ulilising surpluses of £55.000 from the General Fund. The Funds resources will be used to: Finance Capital and infrastructure projects to ensure we have sufficient capacity going forward Establish additional aspects of service delivery to ensure the appropriate levels ofsupport to our core areas of business activity Establish pilot projects to develop new ways of delivering our services and innovative ideas for earning money The Contingency Fund has been set at £457.643 {2023.' £457,643) at 31 March 2024 for the purpose of allowing us to address any extreme financial situation Ihat might arise (see note 22). The Contingency Fund is held with CCLA Investment Management Limited in a COIF Charities Ethical Investment Fund. The value of the fund has increased significantly from the initial investment of £300,000 in 2014. Any increase in value is reinvested in more units with the aim of providing long-lerm protection from inflation with a good level of distributions and a wide range of ethical restrictions. Previously, restricted funds where capital grants have been spent on the assels for which the donations were intended and there are no longer trusl law restrictions in place have been reclassified as Endowment Funds. 1. Amount of reserves £1,714,277 {2023:£1,648,769) 2. Amount of any restricted funds £88,04412023.'£92.397) 3. Amount of reserves fund that can only be realised by disposing of tsngible fixed assets £377.398 {2023'.£387,398) 4. Amount of reserves after making allowance for 2) and 3) above £1,248,835 (2023'.£1,168,974). Future plan8 This next year will see us working hard to meet the commitments we have made as part of the third year of our Strategic Plan. We will be looking to further develop our service delivery model for working with domestic abuse survivors with immigration needs as well as learning and implementing recommendations from Ihe external evaluation of our Domestic Abuse Complex Needs Service. We keen to grow the partnerships that have been created this year through the Mental Health Alliance, learning and sharing good practice as well as exploring further funding opportunities. We will developing our new Strategic Plan and associated plans, consulting with staff and volunteers, service users, the Board and external stakeholders so it is ready to go live in April 2025. We will continue building on our commitment to staff health and wellbeing by working towards Gold Level Thrive at Work accreditation. We will continue to evolve our approach to working in a trauma informed way wilh all changes rolled out and embedded in the next year. We will be working hard on meeting the ambitious targets we have set ourselves lerm in terms of energy efficiency within our office spaces and properties, waste management and further embedding the circular econony approach. Page 10 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document The charily is Conlrolled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. The organisation is a charitable company limited by guarantee, incorporated on 6th July 1998 and registered as a charity on 5th March 1999. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up members are required to contribute an amount not exceeding £1.00. Recrultment and appointment of new trustees The directors ofthe company are also charity trustees for the purposes of charily law and under the company's Articles are known as members of the Trustee Board Under the requirements of the Articles of Association the members of the Trustee Board are elected to serve for a period of three years after which they must be re- elecled at the next Annual General Meeting. Organisational structure There are currently 6 Trustee Board Members (see page 12 for details> The Board meets 6 limes a year. with 2 of these being specifically focused on business and operational planning. The Audit and Risk Committee meets 4 times a year and consists of the Treasurer, Trustees, the Chief Executive, the Director of Finance and Resources and the Director of Operations. Sub-groups are established for individual projects as necessary. Additionally. the Treasurer, the Director of Finance and Resources and the Chief Executive meel in advance of the Audit and Risk Committee. Day-to-day operations are overseen by the Chief Executive. The organisation management structure is as follows.. Senior Management Team consisting of the Chief Executive; the Director of Operations, the Director of Finance and Resources and the Business Support Manager. During 2023124 Valley House provided the following seNices: Domeslic Abuse Safe and Supported Accommodation Complex Needs Domestic Abuse Safe and Supported Accommodation REACH SeNice Talking Therapies Community Lead SeNice Counselling Nursery In recognition of the importance of safeguarding the Board has agreed to fund a Children's Safeguarding Lead who reports directly to the Chief Executive. In relation to the vulnerability of the children we work with the Children's Safeguarding Lead has cross organisation responsibility for providing expert advice and support lo staff and volunteers in relation to all levels of safeguarding,. internal safeguarding training for stsff, volunteers and Board members and also acting as the link wilh Family Hubs. Business Development and associated activities were the direct responsibility of the Chief Executive, supported by the Senior Management Team Marketing & Communications were undertaken on a day-to-day basis by the Communicalions Officer. Training is a shared responsibility of the Managemenl Team and overseen by the Director of Operations. The Board of Trustees delegates day to day management to ihe Chief Execulive and the Senior Management Team. The trustees take advice from the Chief Executive and the SenÈor Management Team, the organisation's appointed auditors and any other relevant professionals. Page11 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 STRUCTURE, GOVERNANCE AND MANAGEMENT Declslon maklng The Board of Trustees delegates day to day operational decision making to the Chief Executive and the Senior Management Team, who are listed on the legal and administrative information page. The Board retains decision making powers in relation to strategic matters and for setting the pay and remuneration ofthe charity's key management personnel. The Board delegates the benchmarking exercise needed to set these pay levels to the Chief Executive, or where it is in relation to Ihe Chief Executive, an exlernal independeni person. Benchmarking information is collated from similar roles in similar charities in a similar geographic21 area. Inductlon and tralning of new trustees All Irustee vacancies are widely advertised through existing local partnerships and the Reach Volunteering trustee recruitment site. All interested individuals meet wilh the Chair of the Board and one other Trustee andlor member of the Senior Management Team as relevant to their potenlial trustee role. Trustee induction includes meeting with the Chair of the Board who explains the role and responsibilities of being a trustee at Valley House. They also meet with the Chief Executive and any other member of the Senior Management Team that may be relevant to their trustee role. All trustees are encouraged to attend training specific to the trustee role. Appointment to the Board consists of attendance at a Board meeting and a vote by trustees. Additional training opportunities are available al the Board away day held each year. The Board identifies their training needs and an internal or extemal trainer will be sOUr￿d to meet this need. Risk management The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate contro15 are in place to provk4e reasonable assurance against fraud and error. The Trustees have a risk management strategy which comprises.. A risk register which identifies the risks the charity may face. Regular reviews of the risk register. The establishmenl of systems and procedures to mitigate those risks identified in the plan. The implementation of procedures designed to minimise any potential impact on the charity should those risks materialise. This work ensures continuously improving contingency planning. Financial risk is mitigated by establishing a reserves policy, which is reviewed annually by trustees. together with the diversification of the funding base. Rising inflalion has increased costs across the organisation and spend on renewals, replacements and general office costs are being closely monitored with Cheaper alternatives being purchased where possible. REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number 03593394 (ENgland and Wales) Registered Charity number 1074539 Registered office 55-57 Bell Green Road Covenlry West Midlands CV6 7GQ Page 12 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 Trustees Ms L Burman (resigned 15.11.23) Ms E A Maffey {appointed 23.8.23) J C W Martin (resigned 20.9.23) R Smith B P Vvhitlington Ms W Williams (appointed 25.9.23) (resigned 7.2.24) D K Ball (appointed 20.3.24) Mrs J L Hill (appointed 20.3.24} M S Pearce (appointed 7.2.24) Company Secretary Ms L J Winterburn Auditors Luckmans Ducketl Parker Limited 1110 Elliotl Court Coventry Business Park Herald Avenue Coventry West Midlands CV5 6U8 STATEMENT OF TRUSTEES, RESPONSIBILITIES The trustees (who are also the directors of Valley House for the purposes ofcompany law) are responsible for preparing the Report ofthe Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Slandards (United Kingdom Generally Accepted Accounting Practice). Company law requires the trustees to prepare financial siatements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure. of the charitable company for that period. In preparing those financial statements, the trustees are required to select suitable accounting policies and then apply them consistently., observe the methods and principles in the Charity SORP., make judgements and estimates that are reasonable and prudent; prepare the financial stalements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding Ihe assets of the charitable company and hence for taking reasonable steps for the prevention and delection of fraud and other irregularities. In so far as the trustees are aware.. there is no relevant audit information of which the charitable company's audilors are unaware., and the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information. AUDITORS The auditors, Luckmans Duckett Parker Limited, will be proF)osed for re-appointment at the forthcoming Annual General Meeting. Page 13 VALLEY HOUSE REPORT OF THE TRUSTEES for the year ended 31 March 2024 This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. Report of Ihe trustees, incorporating a strategic report. approved by order of the board of Irustees, as the company directors. on . and signed on the board's behalf by.. B P Whittington - Trustee Page 14 REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF VALLEY HOUSE Opinion We have audited the financial ststements of Valley House (the 'charitable company,) for the year ended 31 March 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, 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 (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements.. give a true and fair view of the state of the charitable company's affairs as at 31 March 2024 and of its 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 Companies Act 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those stsndards are further described in the Auditors, 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 suffi'cienl and appropriate to provide a basis for our opinion. Concluslons relatlng 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 fi'nancial 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 signifi'cant 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. Other Informatlon The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statemenls and our Report of the Independent Auditors thereon. Our opinion on the financial statements does not cover the other information and, excepl to the extent olherwise explicitly slated in our report, we do not express any fonn 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 Othe￿iSe 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 slalements 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. Opinlons on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Report of the Trustees for the financial year for which the fi'nancial statements are prepared is consistent with the financial statements. and the Report of the Trustees has been prepared in accordance with applicable legal requirements. Page 15 REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF VALLEY HOUSE Matters on whlch we are required to report by exception In the light of the knowledge and understanding of the charitable company and its environment oblained in the course of the audit, we have not idenlified material misstatements in the Report of the Trustees. We have nothing to report in respect of the following malters where the Companies Act 2006 requires us to report to you if, in our opinion.. adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us,. or Ihe financial statements are not in agreement with the accounting records and returns. or certain disclosures of trustees, remuneration specified by law are not made", or we have not received all Ihe information and explanations we require for our audit., or the trustees were not entitled to take advanlage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Truslees. Responsibilities of trustees As explained more fully in the Statement of Trustees, Responsibilities, the trustees (who are also the directors ofthe 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 concem and using the going concern basis of accounting unless Ihe trustees either intend to IiquKlate the charitable company or to cease operations, or have no realistic alternalive but to do so. Page 16 REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF VALLEY HOUSE Our 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 a Report of the Independent Auditors 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. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.. Enquiring of management and employees, including obtaining and reviewing supporting documentation, concerning the charity's policies and procedures relating to-_ Identifying, evaluating, and complying with laws and regulations and whether they were aware of any instances of non-compliance. Detecting and responding to the risks of fraud and whether they were aware of any actual, suspected, or alleged fraud and. The internal controls established to miligate risk relating to fraud or non-compliance with laws and regulations. We identified areas of law and regulation that could reasonably be expected to have a material effect on the financial statements from our general charitable sector experience, discussions with management (as required by auditing standards) and we discussed with managemenl the policies and procedures regarding compliance with laws and regulations. All identified laws and regulations were communicated throughout the audit team, and they remained alert to any indicalions of non-compliance throughout Ihe audit. The most significant considerations for the charitable company were as follows'.- The Charity is subject to laws and regulations that affect the financial statements which include financial reporting legislation (namely The Companies Act 2006), taxation legislation and the Charities Act. We assessed the extent of compliance with these laws and regulations as part of our audit procedures concerning items recorded in the financial statements. The charity is also subject to other operational laws and regulations where the consequences of non- compliance could have material effect on the amounts or disclosures in the financial statements Ihrough imposing fines or withdrawal of funding contracls. Areas where this would have an effect include health and safety, Bribery Act 2010, employment law, data protections and child protection legislation (DBS checks for staff and volunteers). Auditing standards limit Ihe audit procedures to identifying non-compliance of these laws and regulations to enquiry of managemenl and inspection of regulatory and legal correspondence, if there is any. Therefore, if a breach of operational regulations is not disclosed to us or evident from relevant correspondence, and audit will not detect the breach. To identify risk of material misstatemenl due to fraud. we carried out discussions amongst the audit team to assess areas where and how fraud mighl occur in the financial statements and any polenlial indicators. The following areas were identified Management override of controls through the posting of inappropriate accounting entries orjournals Fraud risk relating the revenue recognition, although the recognition of revenue is straightforward as it relates in the main lo grant sourced income, with limited opportunity for manipulation. We did not identify any additional fraud risks. We tested the appropriateness of accounting journals and other adjustments made in the accounts preparation based on a risk criteria. Page 17 REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF VALLEY HOUSE Owing to the inherent limitation of the audit . there is an unavoidable risk that we may not have detecled some material misstatements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulation is from the events and transaction reflected in Ihe financial statement. the less likely in the inherently limited procedure required by auditing standards would idenlify il. In addition, as with any audit, the￿ ￿mained a higher risk of non-detection of fraud, as these may involve collusion. forgery, inlentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non 'Accounting and Reporting by Charilies.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019),. Financial Reporting Slandard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland. and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. with the exception of investments which are included at market value_ Critical accounting Judgements and key sources of estimation uncertainty In the application of the charitable company'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 SoUr￿s. 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 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. Crltlcal Judgements Support cost allocation Support costs are allocated between the expenditure categories of the Statement of Financial Activitles on a basis designed to refleclthe use ofthe resources. Costs relating to a particular aclivity are allocated directly. Ineomlng resources All income is recognised in Ihe Slatement of Financial Activities once the Charity has entitlement to the funds, any performance conditions attached to the item of income have been met or are fully within the control of the charity, it Is probable that the income will be received and the amount can be measured reliably. Inv8stm8nt Income Investment income is included in the Financial Statements when receivable. Activltles for generating funds Student placements and olher income is included in the Financial Stalements when receivable. Tenant welfare services Tenant welfare services is account for on an accruals basis for all tenants in residence during the financial year. Grants Revenue grants are included on a receivable basis. Capital grants in respect of building costs are to be written off over the estimated useful life of Ihe building from the date of occupancy. Nursery income Nursery fees are included on a receivable basis. Expenditure Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the arnount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocaled to activities on a basis consistent with the use of resources. Page 23 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - conlinued for the year ended 31 March 2024 ACCOUNTING POLICIES - contSnued Expenditure Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. Allocation of support costs Supporl costs are those functions that assist the work of the charity but do nol directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the charitable company's activities. Refer to note 10 for the analysis of support and governance costs. Support costs are generally allocated based on revenue. The charitable company initially identifies the costs of its support functions. It then identifies those costs which relate to the governance function. Governance costs and other support costs are apportioned separately. Costs of generating funds Comprise Ihe costs associated with attracting voluntary income. Charitable expenditure Comprise those costs inGurred by the charity in the delivery of its activities and services for its beneficiaries. It included Costs that can be allccated directly to such activities and those costs of an indirect nature to support them. Governance Includes those costs associaled with meeting the constitutional and statutory requirements of the charitable company and include audit fees. Tangible fixed assets Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment 5osses. All additions greater than £1,000 are capitalised and brought into account in accordance with normal accounting practice. Depreciation is provided based on Ihe value of the fixed assets less its residual value (its scrap or realisable value at the end of ils e￿noMiC life) at rates calculaled to write-off the cost of fixed assets over the expected useful lives on the following basis-. New furniture & equipment Buildings Community Garden SASC properties 4 years (straight line} 50 years (straight line) from date of use or 10 years (UEL} 3 years (straighl line) from date of first use 10 years (straight line) from date of first use Included in land and buildings and SASC properties is land at a cost of £748,000 that is not being depreciated. The gain or loss arising on the disposal of an asset is determined as the difference betsveen the sale proceeds and the carrying value of the asset, and is recognised in net incomellexpendilure) for the year. Taxation The charity is exempt from corporation tax on its charitable activities. Fund accounting Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Page 24 ontinued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - contlnued for the year ended 31 March 2024 ACCOUNTING POLICIES - continued Fund accounting Restricled funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Endowment funds are restricted funds which either cannot be spent (permanent endowment) or where there is no actual requirement to spend orapply the capital unless. or until, the trustees decide to spend it (expendable endowment). Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. Pension costs and other post-retlrement beneflts The charitable company operates a defined contributions personal pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The fund is managed by Scottish Widows Limited. Contributions payable for the year are charged to the Statement of Financial Activities as and when incurred. 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 are shown in current liabilities. Flnanclal instruments The charitable company has elecled to apply the provisions of Section 11 'Basic Financial Instruments, and Section 12 '0lher Financial Instruments Issues. of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charitable company's balance sheet when the charitable company 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. Creditors and provisions are recognised where Ihe charity has a present obligation resulting from a past event that will probably result in the transfer of funds lo a third party and Ihe amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. Basic financial assets Basic financial assets, which include debtors and cash and bank balances, are initially measured al transaction price includiiig ti ansactioii cosls 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. Baslc financial liabilities Basic financial liabililies, including creditors are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured al the presenl value of the future payments discoLinted at a market rale 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 credilors 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. Page 25 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2024 ACCOUNTING POLICIES - continued Cash and cash equivalents Derecognition of financial liabllitles Financial liabilities are derecognised when the charitable companies contractual obligations expire or are discharged or cancelled. Employee benefits The cosl 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 charitable company is demonstrably committed to terminate the employment of an employee or to provide termination benefits. DONATIONS AND LEGACIES 2024 2023 Donations 14,877 9,617 INVESTMENT INCOME 2024 2023 Deposit account interesi 13,828 2,463 INCOME FROM CHARITABLE ACTIVITIES 2024 2023 Acts'vity Supported Housing Nursery Fees Supported accommodation Sludents Counselling Counselling Tenant welfare services Nursery Fees Service Contracts Other income Grants Service Contracts 624,031 382,209 736,730 7.000 (13,439) 8,570 511,019 329,487 738,485 2,800 52,466 1,745.101 1634,257 Grants received, included in the above, are as follows.. 2024 2023 Pre-lherapy counselling 13,439) 52,466 Page 26 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEIVIENTS - continued for the year ended 31 March 2024 RAISING FUNDS Other trading activities 2024 2023 Fundrasing and publicity 6.531 9,525 CHARITABLE ACTIVITIES COSTS Support costs (see note 7) Direct Costs Totals Supported Housing Nursery Fees Supported accommodation Sludents Counselling Training Children's centre 605,083 256,079 665,582 3,000 66,969 7,536 51,365 31,543 57,992 428 1,729 656,448 287,622 723,574 3,428 68,698 7,536 1,608,602 143,057 1,751659 SUPPORT COSTS Governance costs Management Totals other resources expended Supported Housing Nursery Fees Supported accommodation Stiidents Counselling 32,481 32,481 51,365 31,543 57,992 428 1,729 51,365 31,543 57,992 428 1,729 143,057 32,481 175,538 Governance costs includes payments to the auditors of £6,972 (2023 - £6,525) for audit fees. NET INCOMEIIEXPENDITURE) Net incomel(expenditure) is stated after chargingl(crediting)- 2024 2023 Auditors, remuneration Auditors, remuneration for non audit work Depreciation - owned assets 6,972 6,525 1,491 27,683 29,283 Page 27 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - contlnued for the year ended 31 March 2024 TRUSTEES. REMUNERATION AND BENEFITS There were no trustees, remuneration or other benefits for the year ended 31 March 2024 nor for the year ended 31 March 2023. Trustees, expenses There were no trustees, expenses paid for the year ended 31 March 2024 nor for Ihe year ended 31 March 2023. 10. STAFF COSTS 2024 2023 Wages and salaries Social security costs Other pension costs 982,867 81,533 31,720 960,207 83,556 1,096,120 1,075,065 The average monthly number of employees during the year was as follows.. 2024 39 2023 43 Service providersladmin Maintenance 44 48 The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was: 2024 2023 £70,001- £80,000 The aggregate redundancy costs during the year amounted to £nil {2023'. £9,055) Key management have been identified as the Chief Executive, Director of Operations and Director of Finance & Resources. Aggregale compensation was £181,807 (2023.. £183,499). 11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unrestricted Designated Reslricted fund funds funds Endowment funds Total funds INCOME AND ENDOWMENTS FROM Donations and legacies 9.617 9,617 Charitable actSvltlès Supported Housing Nursery Fees Supported accommodation Students Counselling 511.019 ??9,4Q7 738,485 2,800 511,019 738,485 2,800 52.466 52,466 Investment income 2,463 2,463 Total 1,593,871 52,466 1,646,337 Page 28 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2024 11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued Unrestricted Designated Restricted Endowment fund funds funds funds Total funds EXPENDITURE ON Raising funds 8.371 1,154 9,525 Charitable activities Supported Housing Nursery Fees Supported accommodation Students Floating Support Counselling Children's centre 497,144 232,080 690,951 3,323 18,076 29,743 1,154 10,290 508,588 232,080 690,951 3,323 18,076 113,680 4,353 26.134 57.803 4,353 other 32,507 32,507 Total 1.512,195 28.442 10,290 1,613,083 Net gainsl(losses) on investments 11716) 11,716) NET INCOMEI(EXPENDITURE 81.676 (40,158) (9,690) (10,290) 21,538 Transfers between funds 79,779) 5.337 Net movement in funds 1,897 34,284 (4,353) (10,290) 21,538 RECONCILIATION OF FUNDS Total funds brought forward 200,145 932,358 96,750 397,978 1,627,231 TOTAL FUNDS CARRIED FORWARD 966.642 92,397 387 688 1,648 769 Page 29 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEIVIENTS - continued for the year ended 31 March 2024 12. TANGIBLE FIXED ASSETS Fixtures and fittings Freehold buildings SASC properties Community garden Totals COST At 1 April 2023 Additions 1,239,569 5,613 2,605,894 12,989 44,151 25,158 3,914,772 18,602 At 31 March 2024 1.245,182 2.618.883 44,151 25,158 3 933 374 DEPRECIATION At 1 April 2023 Charge for year 738,262 18,308 9,123 7,241 44,151 17,696 809,232 29,283 At 31 March 2024 756.570 16.364 21,430 838,515 NET BOOK VALUE At 31 March 2024 488,612 2,602,519 3 094,859 At 31 March 2023 501307 2 596 771 3,105 540 Included in cost or valuation of land and buildings is freehold land of £748,650 which is not depreciated. At the end of the 10 year term the properties will revert to SASC as repayment of the outstanding loan facility This provides an effective residual value at the end of the 10 year period equivalent to cost and consequently the depreciation charge amounts to £nil. Valley House also has the option to reacquire the properties at their fair value at any point after the loan facility been disGharged. 13. FIXED ASSET INVESTMENTS Unlisted investments MARKET VALUE Reclassificationltransfer 710 015 NET BOOK VALUE At 31 March 2024 710,015 At 31 March 2023 There were no investment assets outside the UK. Page 30 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - contlnued for the year ended 31 March 2024 14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2024 2023 Trade debtors Other debtors Prepayments 1,252 15,587 9,866 23.993 78.100 8.001 26,705 110,094 15. CURRENT ASSET INVESTMENTS 2024 2023 Unlisted investments 627,642 16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2024 2023 Social security and other taxes other creditors Accruals and deferred income 38,562 31,777 152,627 36,524 5,225 122,244 222 966 163,993 Deferred incorne 2024 2023 Deferred income at 1st April 2023 Released from previous years Income deferred in the year 62,979 (49,077) 68,403 54,288 (248,357) 257,048 Deferred income at 31 st March 2024 82,305 17. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR 2024 2023 Other loans (see note 18) 2,546,629 2 546 62g SASC slarled providing funds in 2020 of up to £2.55m for the purchase of up to 22 properties. These funds will be available for 10 years and the properties have a restrictive covenant prevenling sale other than to SASC. The properties will revert to SASC after 10 years if the funds remain unpaid at that time, with no further liabilities accruing. To date. the Charity has utilised £2,546,629 of Ihese funds and purchased 22 properties. The balance of £3.371 has been repaid to SASC. This loan is secured on a first legal charge over the land and buildings and a fixed charge over a new established Rent Account held by the Borrower. A debt servicing charge for the loan facility has been agreed which is linked to the collectiot) of I'ents from the underlying tenants of the properties, after taking into account management and service income retained by Valley House. The debt servicing charge for the period amounted to £169,593.21 (2023 £108,558). The figure for 2022123 includes prior year reductions of charges of £33.695.56 agreed with SASC. Page 31 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - conlinuod for the year ended 31 March 2024 18. LOANS An analysis of the maturity of loans is given betow.. 2024 2023 Amounts falling due in more than five years: Repayable otherwise than by instalments". Other loans more 5yrs non-inst 2,546,629 2,546,629 19. LEASING AGREEMENTS Minimum lease payments under non-cancellable operating leases fall due as follows.. 2024 2023 Within one year Be￿een one and five years 9,096 25,014 19,656 36,750 34,110 56,406 Page 32 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2024 20. MOVEMENT IN FUNDS Net movement in funds Transfers be￿een funds At 31.3.24 At 1.4.23 Unrestricted funds General fund 202.041 57,516 {57,352) 202,205 Designated funds Training Fund Capital projects Contingency Funds Redundancy Fund Fundraising strategy and action plan Complex Needs Service Manager Staff Health and Wellbeing Manager Intranet Shed Shop 14,000 485,000 457,643 (7,536) 9,536 55,000 (82,373) 3,000 (10,000) 32,837 21,613 8,300 16,000 540,000 457,643 3,000 82,373 10,000 {18,851) (16,613) (3,300) 13,986 5,000 5,000 6,000 966,643 36,073 43,913 1,046,629 Restricted fund8 CDA Accelerate Coventry Children's Centres (13,439) 13,439 92.397 92,397 (17,792) 13,439 88,044 Endowment funds LSC regeneration budget Coventry children's centres - Canopy Coventry Children's centres - Conservatory Big loltery fund - Young Peoples's fund General charities - Servers General charities- Capital Fund Counselling suite National Lotteries Charity Board 25 Bell Green Road Counselling Suite 25 Bell Green Road Improvements to garden, car park Navigation Centre extension 5.254 1.064 {475) (93) 4,779 971 10,045 3,273 2,114 20,000 18,163 94,525 117,301 17,904 29,550 68,495 (282) 9,763 3,273 2,114 20,000 17,324 92,366 113,999 17,904 28,063 66,843 (839) (2,159) (3,302) (1,487) 387.688 10,289 377 399 TOTAL FUNDS 1,648,769 65,508 1714,277 Page 33 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - continued for the yeaF ended 31 March 2024 20. MOVEMENT IN FUNDS - continued Net movement in funds, included in the above are as follows: Incoming sources Resources expended Gains and Movement losses in funds Unrestricted funds General fund 1,787,245 (1,729,729) 57,516 Deslgnated funds Training Fund Contingency Funds Complex Needs Service Manager Staff Health and Wellbeing Manager Intranet (7.536) (7.536) 82,373 (18.851) (16,613) 82,373 (18,851) (16,613) (46,300) 82,373 36,073 Restricted funds CDA Accelerate Coventry Children's Centres {13,439) (13,439) (13,439) (4.353) (17,792) Endowment funds LSC regeneration budget Coventry children's Centres - Canopy Coventry Children's ￿ntre$ - Conservatory Counselling suite National Lotteries Charity Board 25 Bell Green Road Improvements lo garden, car park Navigation Centre extension (475) (931 (475) (93) {282) (839) (2,159) (3,302) (1,487) {282) {839) (2,159) (3,302) (1,487) 1,652) 10,289) 10,289 TOTAL FUNDS 1,773,806 1790,671) 82,373 65,508 Page 34 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 Ivlarch 2024 20. MOVEMENT IN FUNDS - continued Comparatlves for movement in funds Net movement in funds Transfers be￿een funds At 31.3.23 At 1.4.22 Unrestricted funds General fund 200,145 81,676 (79,779) 202,042 Deslgnated funds Training Fund Pilot projects Capilal projecls Contingency Funds Redundancy Fund Consultancy Fundraising strategy and action plan 7,000 6,000 450,000 469,358 (11,174) (5,905) 18,174 5,905 35,000 14,000 6,000 485,000 457,642 (11.716) (g,055) (2,308) 9,055 (3,692) 10,000 (6,000) 10,000 932,358 {40,158) 74,442 966,642 Restricted funds CDA Accelerate Coventry Children's Centres (5,337) 5,337 92,397 96,750 (9,690) 5,337 92,397 Endowment funds LSC regeneration budget Coventry children's centres - Canopy Coventry Children's centres - Conservatory Big lottery fund Young Peoples's fund General charities - Servers General charities - Capital Fund Counselling suite National Lolteries Charity Board 25 Bell Green Road Counselling Suite 25 Bell Green Road Improvements to garden, car park Navigation Centre extension 5,729 1,157 {475) (94) 5,254 1,063 10,328 3,273 2,114 20,000 19,003 96,684 120,603 17,904 31,036 (282) 10,046 3,273 2.114 20,000 18,164 94,525 117,301 17,904 29,550 68,494 (839) {2,159) (3,302) (1,486) 397.978 10 290) 387,688 TOTAL FUNDS 1.627.231 1,648 769 Page 35 continued. VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2024 20. MOVEMENT IN FUNDS - continued Comparative net movement in funds, included in the atx)ve are as follows.. Incoming resources Resources expended Gains and losses Movement in funds Unrestricted funds General fund 1,593,871 (1.512.195) 81.676 Designated funds Training Fund Pilot projects Contingency Funds Redundancy Fund Consultancy (11.174) (5,905) {11,174) (5,905) (11,716) (9,055) 2,308) {11.716) (9,055) (28,442) (11,716) (40.158) Restricted funds CDA Accelerate Coventry Children's Centres 52,466 (57,8031 15,337) 4,353) 52,466 (62.156) (9,690) Endowment funds LSC regeneration budgel Coventry children's Centres - Canopy Covenlry Children's ￿nI￿s- Conservatory Counselling suite National Lolleries Charity Board 25 Bell Green Road Improvements to garden, car park Navigation Centre extension (475) (94) (475) (94) (282) (839) {2,159) {3,302) (1,486) (282) (839) (2,159) (3,302) (1,486} 10,290) 10,290) TOTAL FUNDS 11.716) Endowment Funds are made up of reclassified restricted expenditure where capital grants have been spent on the assets for which the donations were intended or reclassified designated funds for capital projects. Amortisations is shown at the same rate as the assel is depreciated. The income funds of the charily include restricled unexpended balances of donalions and grants held on trust for specific purposes. Granls for capital purchases have been spent on the assets for which the donations are intended. Amortisation is shown at the same rale as the assets is depreciated. Where there are no longer trust law restrictions in place the funds are reclassified as endowment funds. Coventry City Council provided funds in 2006 for an expansion of the Nursery and improvements to the Children's Centre with Ihe reslriction that the property is used as a Nursery for 25 years. A restriction is also placed on the registered title of the property that no disposition. sale or lease may take place unless accompanied by a certificate of the Council of the City of Coventry stating there is no payment due under the grant agreement. Designated funds are monies set aside by the Tru5tee5 to be spent on the projects specified and have no trust law restrictions. Page 36 continued... VALLEY HOUSE NOTES TO THE FINANCIAL STATEMENTS - contlnued for the year ended 31 March 2024 20. MOVEMENT IN FUNDS - continued The Development fund is designated for revenue projects and the Capital projecls funds is for capital projects. Capital expenditure incurred is re-designated to a named fund and amortisation is stated at the time at the same rate as the asset depreciated. Contingency funds are monies related to investments which have been designaled to Cover large unforeseen expenditure. 21. EMPLOYEE BENEFIT OBLIGATIONS 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. The charge to profit or loss in respect of defined contribution schemes was £31,720 12023- £31.302), 22. RELATED PARTY DISCLOSURES There were no related party transactions for the year ended 31 March 2024. Page 37 VALLEY HOUSE DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 March 2024 2024 2023 INCOME AND ENDOWMENTS Donations and legacies Donations 14,877 9,617 Investment income Deposit account interest 13.828 2,463 Charitable activities Grants Tenant welfare services Nursery Fees Service Contracts Other income (13,439) 624,031 382,209 745,300 7,000 52,466 511,01g 329,487 738,485 2,800 1745,101 1,634,257 Total incoming resourcos 1,773,806 1,646,337 EXPENDITURE Other trading actlvltlas Fundrasing and publicity 6,531 9,525 Charitable actlvltles Wages Social security Pensions Sundries Freehold property Short leasehold Fixtures and fittings Loan 833,679 81,533 31,720 467,744 13,358 7,241 3,734 169,593 817.595 83.556 31,302 365,715 17,533 3,621 2,908 1,608,602 1.322.230 Support costs Management Wages Sundries Freehold property Short leasehold Fixtures and fittings 123,326 14,782 4,949 118,121 1,429 2,192 143,057 121,742 other Finance costs 108,558 Governance costs Wages Carried fotward 25,862 25,862 24,491 24,491 Thi5 page does not form part of tlie statutory fiiiaii cial statei)ients Page 38 VALLEY HOUSE DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 March 2024 2024 2023 Governance costs Brought foTward Auditors, remuneration Audilors, remuneration for non audit work Sundries 25,862 6,972 24,491 6,525 1,491 32,481 51,028 Total resources expended 1.790 671 1613,083 Net (expenditure)lincome 16,865> 33,254 This page does not form part of the statutory financial -tatements Page 39