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← Shap Ltd

2025-03-31-accounts

REGISTERED COMPANY NUMBER: 01946544 (England and Wales) REGISTERED CHARITY NUMBER: 1075118

REPORT OF THE TRUSTEES AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

FOR

SHAP LIMITED

C A Hunter Limited Statutory Auditors Britannia Chambers 26 George Street St Helens Merseyside WA10 1BZ

SHAP LIMITED

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

Page
Report of the Trustees 1 to 7
Report of the Independent Auditors 8 to 11
Statement of Financial Activities 12
Balance Sheet 13
Cash Flow Statement 14
Notes to the Cash Flow Statement 15
Notes to the Financial Statements 16 to 23
Detailed Statement of Financial Activities 24 to 25

SHAP LIMITED

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

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 year ended 31 March 2025. The trustees have adopted the provisions of 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).

Page 1

SHAP LIMITED

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

OBJECTIVES AND ACTIVITIES

Aims and objectives for the public benefit

SHAP's principle activities continue to be the provision of accommodation with support and community well-being services. The focus of its work is young single homeless people, looked after children and care leavers. However the charity also provides services for people of all ages or for those with specific needs such as those related to alcohol, drug mis-use or offending behaviour.

The charity's values as defined by staff and service users are:

Approachable: being open, friendly and welcoming

Trustworthy, honest and dependable: being respectful and honest, doing the right thing, focussing on service users and being committed to the organisation and to colleagues

Safe: making people feel safe and at home, giving them a sense of belonging, making SHAP a place where they feel able to return

Creative: delivering a diverse range of services, being dynamic and flexible in approach and responsive to people's needs

Positive: looking for solutions, not problems, being helpful and confident, empowering people to take up opportunities

Supportive: listening, understanding, supporting people to achieve their goals, supporting each other

Determined: being persistent, going the extra mile, challenging poor attitudes and practices

Respectful: being generous in spirit, making people feel they matter, not judging and not discriminating

Achievements and Performance

SHAP's services continue to be extremely busy. The past two years have seen an extraordinary increase in homelessness - particularly rough sleeping. SHAP is continuing to work with Local Authorities and other partners to identify ways to address this homelessness crisis. In 2023 - 2024 SHAP provided services for over 1800 people. SHAP's Board and Chief Executive continue to make sure that the charity's activities are in line with the charity's core objectives and values.

Quality Assurance

During the year 2023-2024 SHAP took the decision not to renew our certification with ISO9001 2015. This was because of the charity's application to become a registered provider of services under the Supported Accommodation Regulations of 2023. These regulations govern the position of supported accommodation for young people who are 16 or 17. SHAP has chosen to use these regulations and accompanying standards as the core of its quality assurance framework in the future. Many of the tools that were developed to support the ISO9001 2015 Quality Assurance Framework will continue to be used and an internal audit programme will be published at the beginning of each year. Quality assurance is once again within the job role of the senior manager and performance will be reported to the Board on a quarterly basis.

Succession Planning

SHAP's Board and Chief Executive continued with their focus on succession planning during this year. The Board's succession strategy agreed in 2023 is underway and will gather momentum during 2024-2025. This strategy is commercially sensitive and therefore remains confidential to the Charity's Board.

Financial Review

Page 2

SHAP LIMITED

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

In 2023-2024 the charity was able to produce a slight surplus. An increasingly challenging financial environment has meant tight financial controls have had to remain in place. Full cost recovery has not been possible for many services over recent years, as contract fees have failed to keep place with rising inflation. The charity has just managed to retain financial stability through challenges such as exponential increases in energy costs and inflationary pressures on salaries, food, building materials and transport costs. Further challenges now lie ahead as increases to the national minimum wage and the national living wage - in addition to an increase of 1.2% in Employers National Insurance Contributions - will create further upward pressure on salary costs. SHAP, along with many other charities, has called for charities to be exempt from this NI increase.

The plan to transfer the charity's nursery setting out of the Charity and into another mechanism has been delayed due to lease and contractual issues and will now take place in 2025.

SHAP continues to look for opportunities to work collaboratively with other agencies and organisations and is always open to discussions around mutually beneficial strategic partnerships.

It is for these reasons that SHAP's Trustees believe that the charity remains a going concern for a period of at least the next 12 months.

Page 3

SHAP LIMITED

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

STRATEGIC REPORT

Financial Risk

SHAP continues to review the viability of all its services in the context of national, regional and local politics and decision making. This has been and remains extremely challenging. The financial crisis of recent years, combined with a sector wide workforce shortage, have produced an exceptionally difficult set of financial circumstances. For the third year in succession SHAP has made a substantial pay award to its staff. A fixed sum for all staff has been agreed as the most equable way of delivering this and will continue to be the formula on which collective bargaining around pay is based.

Achieving full cost recovery for many of the charity's service contracts is now virtually impossible. Contract budgets were generally set to increase at around 2-2.2% each year but in reality costs have risen by an average of 8% over the past two years.

SHAP continues to look for ways to generate additional income which can support core funds whilst ensuring that services are as cost effective and efficient as they can be. SHAP's services for young people present outstanding value for money and our strategic plan includes an objective around developing a wider offer for the young people - including providing care as well as support. This requires specialist knowledge and experience and we are developing a senior management post to lead the management and development of care and support services for young people.

SHAP maintains a risk register which identifies all the key risks that the charity is facing at any given time. The risk register identifies a number of financial risks that the charity faces and grades them in terms of likelihood. SHAP's leadership team then set out how these risks will be managed or mitigated. The risk register is reviewed regularly by the Chief Executive, the Finance Officer and Senior Managers and is discussed by the Board twice a year.

Detailed quarterly management accounts are provided to the Board to enable them to review the significant risk of our failing to deliver against our cost controls. Increasing pressure costs, particularly around energy and building materials, have led to this risk being increased. Although less than in previous years risks associated with Covid are still present and we also face continuing uncertainty as a result of high inflation, political instability and escalating workforce challenges.

Transactions and financial position

The current financial climate is reflected in SHAP's financial position as it manages to sustain increasing services with decreasing resources. The pattern of funds is changing between restricted and unrestricted income as some of our funders are increasingly aware of the need for us to be more flexible with our resources.

The statement of financial activities shows a surplus of £10,402 (2023 surplus of £78,697). Total reserves carried forward as at 31 March 2024 stand at £713,993 (2023: £703,591) with unrestricted funds of £713,993 (2023: £693,538) and restricted funds of £nil (2023: £10,053).

The charity continues to hold restricted and unrestricted funds and to maintain reserves in line with its Reserves Policy. The aim of the policy is to maintain a reserve of unrestricted funds at a level that will enable the charity to operate for an optimum period of 6 months and a minimum period of 3 months. The Board of Trustees regularly review the amount of reserves that are required to ensure that this financial stability is maintained and that the charity is able to continue to fulfil its obligations. This policy has been reviewed in light of the increased use of core funds during financial years 2017-18 and 2018-19. This resulted in a diminished reserve but one which still meets our minimum requirement of 3 months' running costs. The Trustees are satisfied that our provision and our process for monitoring are prudent and appropriate. They will continue to review this situation every 6 months.

Page 4

SHAP LIMITED

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

STRATEGIC REPORT Future plans

Future plans - Our strategy for the future

The Trustees and executive management of the organisation will continue to refresh our strategic business development plans. We want to ensure that the organisation is able to meet the challenges of the far-reaching changes which will be affecting the public and third sectors over the coming months and years.

We remain committed to the following objectives:

  1. Contributing to the creation of sustainable communities in the area where we work and to the prevention of homelessness.

  2. Communicating brilliantly.

  3. Promoting diversity, anti-racism and social justice.

  4. Achieving a structure that ensures maximum stability for our existing services and provides best opportunities for growth; a clear, strong, effective and flexible management structure.

  5. Having skilled and motivated staff empowering service users who have access to a wide range of opportunities.

  6. Enabling people's views about their own situations to be heard.

  7. Enabling children and young people to make a positive impact on the world around them.

In pursuit of these objectives the Board has agreed an important strategic development: SHAP's primary offer has always been providing young people with good standard accommodation and structured support around life skills and independent living. Over recent years we have seen a marked increase in young people who also have significant care needs. These needs must be met in order for them to confidently move towards independence. SHAP will therefore look to realign some of its service offers and develop new ones which will enable us to develop models of care and support. Initially this will be through the development of models of semi-independent living for children and young people who are looked after by local authorities or preparing to leave their care. We are confident that our values and core expertise provide a good foundation for such a service development and will ensure that suitably experienced and qualified managers are brought into the organisation to ensure their effective delivery.

We believe that the pandemic has shown the importance of public/private collaboration at a national and local level and as an organisation we are keen to work in the space. Many local authorities will be making service changes because of financial pressures but this will create a need for innovation. Health and social care services will be commissioned and delivered differently over the next few years and a focus on population health measures delivered at a local level will again provide opportunities for imaginative collaborative responses from public and third sector organisations. SHAP intends to become a leading provider/enabler of these community well-being services.

Page 5

SHAP LIMITED

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

SHAP Limited is a charitable company, limited by guarantee, incorporated in September 1985 and registered as a charity. The company was established under its Memorandum and Articles of Association that set out the objects and powers of the charitable company. In the event of the company being wound up, members are required to contribute an amount not exceeding £1.

Trustees

The directors of the charitable company are also Trustees for the purpose of charity law. Trustees are known as members of the management Board of Trustees and are elected to serve for a period of three years, after which they may be re-elected at the next annual general meeting.

The Charity successfully recruited a chair designate in 2022 - Diane Williams became Chair during the period covered by these accounts. The Trustees recorded their grateful thanks to Mary Milton who had undertaken the role of Chair of Trustees for a number of years.

Induction and training of new trustees

New trustees are invited to attend meetings with the chief executive and the senior management team to familiarise themselves with the charitable company's activities and the context within which it operates. Areas covered would include the obligations and responsibilities of becoming a trustee, a review of the governing document and the current financial position.

Organisational structure

The Board of Trustees, of which there is no maximum number but a minimum number of two, meets quarterly to administer activities and set the policy and strategic direction of the charity. The Board elects the Chair every three years who is responsible for organising Board meetings and meeting regularly with the Chief Executive. A published scheme of delegation sets out the responsibilities which the Board keeps to itself and those which it delegates to the Chief Executive and managers. The day to day responsibility of the provision of services and overall management of the charity rests with the Chief Executive who also acts as the Company Secretary.

Related parties

SHAP delivers three services in partnership with other agencies - a homeless families centre and a harm reduction residential service in Liverpool in partnership with The Whitechapel Centre and a floating support service in Halton in partnership with Plus Dane Housing.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

01946544 (England and Wales)

Registered Charity number

1075118

Registered office

Bearly House 67 Liverpool Road St Helens Merseyside WA10 1PQ

Trustees

M Milton P J Barron D Williams (resigned 26.3.25) M P Kelly (appointed 26.3.25)

Page 6

SHAP LIMITED

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 MARCH 2025

REFERENCE AND ADMINISTRATIVE DETAILS Company Secretary

M C Weights

Auditors

C A Hunter Limited Statutory Auditors Britannia Chambers 26 George Street St Helens Merseyside WA10 1BZ

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of SHAP Limited for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the 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

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 the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

AUDITORS

The auditors, C A Hunter Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on ............................................. and signed on the board's behalf by:

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

M C Weights - Secretary

Page 7

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SHAP LIMITED

Opinion

We have audited the financial statements of SHAP Limited (the 'charitable company') for the year ended 31 March 2025 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:

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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether 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.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

Page 8

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF

SHAP LIMITED

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Page 9

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SHAP LIMITED

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:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

We assessed the susceptibility of the charitable company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

Page 10

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SHAP LIMITED

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Keith Rotheram (Senior Statutory Auditor) for and on behalf of C A Hunter Limited Statutory Auditors Britannia Chambers 26 George Street St Helens Merseyside WA10 1BZ Date: .............................................

Page 11

SHAP LIMITED

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2025

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
2
Charitable activities
4
Accommodation & support services
Community development
Children's nursery
Investment income
3
Total
EXPENDITURE ON
Charitable activities
5
Accommodation & support services
Community development
Children's nursery
Total
NET INCOME
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
1,762
3,818,997
42,078
552,311
8,440
4,423,588
3,775,183
62,625
550,676
4,388,484
35,104
713,993
749,097		 Restricted
funds
£
-
-
-
-
-
-
-
-
-
-
-
-
-		 31.3.25
Total
funds
£
1,762
3,818,997
42,078
552,311
8,440
4,423,588
3,775,183
62,625
550,676
4,388,484
35,104
713,993
749,097		 31.3.24
Total
funds
£
5,209
3,816,115
56,712
528,343
5,801
4,412,180
3,790,163
57,370
554,245
4,401,778
10,402
703,591
713,993

The notes form part of these financial statements

Page 12

SHAP LIMITED

BALANCE SHEET 31 MARCH 2025

Notes
FIXED ASSETS
Tangible assets
12
CURRENT ASSETS
Debtors
13
Cash at bank and in hand
CREDITORS
Amounts falling due within one year
14
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
CREDITORS
Amounts falling due after more than one year
15
NET ASSETS
FUNDS
18
Unrestricted funds:
General fund
Designated unrestricted funds
TOTAL FUNDS		 Unrestricted
funds
£
1,225,293
531,354
299,958
831,312
(654,018)
177,294
1,402,587
(653,490)
749,097		 Restricted
funds
£
-
-
-
-
-
-
-
-
-		 31.3.25
Total
funds
£
1,225,293
531,354
299,958
831,312
(654,018)
177,294
1,402,587
(653,490)
749,097
433,103
315,994
749,097
749,097		 31.3.24
Total
funds
£
1,246,987
411,066
251,723
662,789
(502,987)
159,802
1,406,789
(692,796)
713,993
423,901
290,092
713,993
713,993

The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:

............................................. P J Barron - Trustee

............................................. M P Kelly - Trustee

The notes form part of these financial statements

Page 13

SHAP LIMITED

CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2025

Notes
Cash flows from operating activities
Cash generated from operations
1
Interest paid
Net cash provided by operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
Interest received
Net cash provided by investing activities
Cash flows from financing activities
Loan repayments in year
Net cash used in financing activities
Change in cash and cash equivalents in the
reporting period
Cash and cash equivalents at the beginning of
the reporting period
Cash and cash equivalents at the end of the
reporting period		 31.3.25
£
118,812
(41,739)
77,073
-
8,440
8,440
(37,278)
(37,278)
48,235
251,723
299,958		 31.3.24
£
60,870
(43,961)
16,909
(3,118)
5,801
2,683
(35,055)
(35,055)
(15,463)
267,186
251,723

The notes form part of these financial statements

Page 14

SHAP LIMITED

NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2025

1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

31.3.25 31.3.24
£ £
Net income for the reporting period (as per the Statement of Financial
Activities) 35,104 10,402
Adjustments for:
Depreciation charges 21,695 15,925
Interest received (8,440) (5,801)
Interest paid 41,739 43,961
Increase in debtors (120,288) (31,641)
Increase in creditors 149,002 28,024
Net cash provided by operations 118,812 60,870

2. ANALYSIS OF CHANGES IN NET DEBT

At 1.4.24 Cash flow At 31.3.25
£ £ £
Net cash
Cash at bank and in hand 251,723 48,235 299,958
251,723 48,235 299,958
Debt
Debts falling due within 1 year (37,277) (2,029) (39,306)
Debts falling due after 1 year (692,796) 39,306 (653,490)
(730,073) 37,277 (692,796)
Total (478,350) 85,512 (392,838)

The notes form part of these financial statements

Page 15

SHAP LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, 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)', Financial Reporting Standard 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.

As outlined in the Trustees' Report, the board continues to monitor the financial performance of the charity and undertake appropriate steps to maintain its ongoing financial stability.The Trustees are satisfied that the charity has sufficient reserves to enable it to continue to implement the steps outlined, and improve its financial performance.

Having considered these factors outlined above the trustees consider it appropriate to prepare the financial statements on the going concern basis.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

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 amount 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 allocated to activities on a basis consistent with the use of resources.

Allocation and apportionment of costs

Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property - 2% on cost Long leasehold - 2% on cost Plant and machinery - 20% - 33% on cost Fixtures and fittings - 20% - 33% on cost Motor vehicles - 25% on reducing balance

Taxation

The charity is exempt from corporation tax on its charitable activities. Irrecoverable VAT is charged against the category of resources expended for which it was incurred.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted 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.

Designated funds are unrestricted funds earmarked by management for particular purposes.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

Page 16

continued...

SHAP LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2025

2. DONATIONS AND LEGACIES

Donations
3.
INVESTMENT INCOME
Bank deposit interest
4.
INCOME FROM CHARITABLE ACTIVITIES
Activity
Rental income
Accommodation & support services
Grants & contracts
Accommodation & support services
Other fees earned
Accommodation & support services
Grants & contracts
Community development
Nursery income
Children's nursery
Grants received, included in the above, are as follows:
Supporting People - St Helens
Supporting People - Knowsley
Supporting people - Halton
Supporting People - Liverpool
Community Development
Temporary Accomodation Management
Parental Assessment Unit		 31.3.25
£
1,762
31.3.25
£
8,440
31.3.25
£
1,598,997
2,207,104
12,896
42,078
552,311
4,413,386
31.3.25
£
693,537
134,900
241,724
812,401
42,078
37,086
287,456
2,249,182		 31.3.24
£
5,209
31.3.24
£
5,801
31.3.24
£
1,482,060
2,300,339
33,716
56,712
528,343
4,401,170
31.3.24
£
736,865
145,600
432,983
795,073
56,712
123,787
66,031
2,357,051

5. CHARITABLE ACTIVITIES COSTS

CHARITABLE ACTIVITIES COSTS
Support
Direct costs (see
Costs note 6) Totals
£ £ £
Accommodation & support services 3,239,621 535,562 3,775,183
Community development 62,625 - 62,625
Children's nursery 550,676 - 550,676
3,852,922 535,562 4,388,484
SUPPORT COSTS
Governance
Management Finance costs Totals
£ £ £ £
Accommodation & support services 440,082 41,739 53,741 535,562

6. SUPPORT COSTS

continued...

Page 17

SHAP LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2025

7. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

31.3.25 31.3.24
£ £
Auditors' remuneration 15,000 15,000
Depreciation - owned assets 21,694 15,925
Other operating leases 591,990 604,058

8. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 March 2025 nor for the year ended 31 March 2024.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 March 2025 nor for the year ended 31 March 2024.

9. STAFF COSTS

31.3.25 31.3.24
£ £
Wages and salaries 2,479,510 2,548,174
Social security costs 157,788 154,083
Pension costs 43,999 48,348
2,681,297 2,750,605

Included within wages this year are invoiced costs totalling £317,938 (2024 £270,464) paid to The Whitechapel Centre for staffing costs they have incurred in relation to the Belvidere Family Hostel and £192,510 (2024 £179,505) of agency staff.

Number of employees with emoluments exceeding £60,000:

Number of employees with emoluments exceeding £60,000:
31.3.25 31.3.24
Number Number
£60,001 - £70,000 1 -
£70,001 - £80,000 - 1

The average number of full-time equivalent employees during the year was as follows:

31.3.25 31.3.24
£ £
Central services 6 7
Housing and residential services 85 90
91 97

continued...

Page 18

SHAP LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2025

10. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

INCOME AND ENDOWMENTS FROM
Donations and legacies
Charitable activities
Accommodation & support services
Community development
Children's nursery
Investment income
Total
EXPENDITURE ON
Charitable activities
Accommodation & support services
Community development
Children's nursery
Total
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
INTANGIBLE FIXED ASSETS
COST
At 1 April 2024 and 31 March 2025
AMORTISATION
At 1 April 2024 and 31 March 2025
NET BOOK VALUE
At 31 March 2025
At 31 March 2024		 Unrestricted
funds
£
5,209
3,816,115
56,712
528,343
5,801
4,412,180
3,780,110
57,370
554,245
4,391,725
20,455
693,538
713,993		 Restricted
funds
£
-
-
-
-
-
-
10,053
-
-
10,053
(10,053)
10,053
-		 Total
funds
£
5,209
3,816,115
56,712
528,343
5,801
4,412,180
3,790,163
57,370
554,245
4,401,778
10,402
703,591
713,993
Goodwill
£
4,000
4,000
-
-

11. INTANGIBLE FIXED ASSETS

continued...

Page 19

SHAP LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2025

12. TANGIBLE FIXED ASSETS

COST
At 1 April 2024 and 31 March 2025
DEPRECIATION
At 1 April 2024
Charge for year
At 31 March 2025
NET BOOK VALUE
At 31 March 2025
At 31 March 2024
COST
At 1 April 2024 and 31 March 2025
DEPRECIATION
At 1 April 2024
Charge for year
At 31 March 2025
NET BOOK VALUE
At 31 March 2025
At 31 March 2024		 Freehold
property
£
1,138,309
28,083
15,967
44,050
1,094,259
1,110,226
Fixtures
and
fittings
£
73,875
73,875
-
73,875
-
-		 Long
leasehold
£
137,122
10,966
2,741
13,707
123,415
126,156
Motor
vehicles
£
40,635
40,635
-
40,635
-
-		 Plant and
machinery
£
147,823
137,218
2,986
140,204
7,619
10,605
Totals
£
1,537,764
290,777
21,694
312,471
1,225,293
1,246,987

Included in cost or valuation of land and buildings is freehold land of £340,000 (2024 - £340,000) which is not depreciated.

13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade debtors
Other debtors
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Bank loans and overdrafts (see note 16)
Trade creditors
Social security and other taxes
Accruals and deferred income		 31.3.25
£
490,169
41,185
531,354
31.3.25
£
39,306
177,640
38,630
398,442
654,018		 31.3.24
£
386,870
24,196
411,066
31.3.24
£
37,277
115,938
38,229
311,543
502,987

14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

continued...

Page 20

SHAP LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2025

15. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Bank loans (see note 16)
16.
LOANS
An analysis of the maturity of loans is given below:
Amounts falling due within one year on demand:
Bank loans
Amounts falling between one and two years:
Bank loans - 1-2 years
Amounts falling due between two and five years:
Bank loans - 2-5 years
Amounts falling due in more than five years:
Repayable by instalments:
Bank loans more 5 yr by instal
17.
SECURED DEBTS
The following secured debts are included within creditors:
Bank loans		 31.3.25
£
653,490
31.3.25
£
39,306
37,277
111,831
504,382
31.3.25
£
692,796		 31.3.24
£
692,796
31.3.24
£
37,277
37,277
111,831
543,688
31.3.24
£
730,073

The bank loan is secured by a debenture creating a fixed & floating charge over the assets of the company and a legal first charge over Octavia Court, Byron Close, Huyton, Liverpool.

18. MOVEMENT IN FUNDS

Net
movement At
At 1.4.24 in funds 31.3.25
£ £ £
Unrestricted funds
General fund 397,999 35,104 433,103
Designated unrestricted funds 315,994 - 315,994
713,993 35,104 749,097
TOTAL FUNDS 713,993 35,104 749,097
Net movement in funds, included in the above are as follows:
Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 4,423,588 (4,388,484 ) 35,104
TOTAL FUNDS 4,423,588 (4,388,484 ) 35,104

continued...

Page 21

SHAP LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2025

18. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
Designated unrestricted funds
Restricted funds
Asylum seeker/refugee support fund
TOTAL FUNDS		 At 1.4.23
£
377,544
315,994
693,538
10,053
703,591		 Net
movement
in funds
£
20,455
-
20,455
(10,053)
10,402		 Transfers
between
funds
£
25,902
(25,902)
-
-
-		 At
31.3.24
£
423,901
290,092
713,993
-
713,993

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Restricted funds
Asylum seeker/refugee support fund
TOTAL FUNDS		 Incoming
resources
£
4,412,180
-
4,412,180		 Resources
expended
£
(4,391,725 )
(10,053)
(4,401,778 )		 Movement
in funds
£
20,455
(10,053)
10,402

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds
General fund
Designated unrestricted funds
Restricted funds
Asylum seeker/refugee support fund
TOTAL FUNDS		 At 1.4.23
£
377,544
315,994
693,538
10,053
703,591		 Net
movement
in funds
£
55,559
-
55,559
(10,053)
45,506		 Transfers
between
funds
£
25,902
(25,902)
-
-
-		 At
31.3.25
£
459,005
290,092
749,097
-
749,097

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 8,835,768 (8,780,209 ) 55,559
Restricted funds
Asylum seeker/refugee support fund - (10,053) (10,053)
TOTAL FUNDS 8,835,768 (8,790,262 ) 45,506

continued...

Page 22

SHAP LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2025

19. RELATED PARTY DISCLOSURES

There were no related party transactions during the year, or the prior 2024 year.

20. ANALYSIS OF FUNDS

Designated unrestricted funds

Designated unrestricted funds
At 1.4.24 Funds
transfer		 At 31.3.25
£ £ £
Closure/redundancy costs 275,000 - 275,000
Children foundation 15,092 1,635 16,727
290,092 1,635 291,727

Closure/redundancy costs - Costs designated for the recognised risk of losing a significant number of service contracts and the subsequent loss of jobs that this would entail.

Children foundation - Costs designated for the future transfer of the children's nursery into a new charitable organisation.

21. DEFERRED INCOME

Deferred income comprises grant income received in advance from block contracts relating to services to be provided during the year ending 31 March 2025.

provided during the year ending 31 March 2025.
£
Balance as at 1 April 2024 24,531
Amount released to incoming resources (24,531 )
Amount deferred in year -
Balance as at 31 March 2025 -

Page 23

SHAP LIMITED

DETAILED STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2025

INCOME AND ENDOWMENTS
Donations and legacies
Donations
Investment income
Bank deposit interest
Charitable activities
Rental income
Grants & contracts
Other fees earned
Nursery income
Total incoming resources
EXPENDITURE
Charitable activities
Wages
Rent
Rates and water
Light and heat
Telephone
Postage and stationery
Sundries
Internal decoration
Furniture written off in 1 yr
Property maintenance
Cleaning, laundry & refuse
Travel expenses
Food & catering
Resident activities
Consultancy
Computer costs
White goods
Security
Tools & equip
Bad debts
Support costs
Management
Wages
Rent
Insurance
Telephone
Postage and stationery
Advertising
Sundries
Cleaning, laundry & refuse
Transport & motor expenses
Computer costs
Publications & affiliations
Training
Carried forward		 31.3.25
£
1,762
8,440
1,598,997
2,249,182
12,896
552,311
4,413,386
4,423,588
2,473,631
546,340
43,261
88,668
6,982
8,428
4,980
103
68,101
124,875
54,375
9,027
39,246
40,339
90,465
35,823
-
160,632
15,317
42,329
3,852,922
207,666
45,650
40,184
48,817
14,929
-
5,651
1,936
16,675
34,140
1,028
898
417,574		 31.3.24
£
5,209
5,801
1,482,060
2,357,051
33,716
528,343
4,401,170
4,412,180
2,497,453
567,821
33,336
121,918
5,799
8,946
28,541
22
71,786
95,852
50,406
13,335
44,530
30,993
16,077
43,755
238
155,383
14,105
43,491
3,843,787
253,152
36,237
38,362
35,026
8,193
173
15,800
3,024
21,589
30,572
5,821
5,880
453,829

This page does not form part of the statutory financial statements

Page 24

SHAP LIMITED

Management
Brought forward
Security
Freehold property
Long leasehold
Plant and machinery
Finance
Bank interest
Governance costs
Auditors' remuneration
Legal & professional fees
Bank charges
Total resources expended
Net income		 DETAILED STATEMENT OF FINANCIAL ACTIVITIES
FOR THE YEAR ENDED 31 MARCH 2025		 31.3.25
£
417,574
813
15,968
2,741
2,986
440,082
41,739
15,000
35,037
3,704
53,741
4,388,484
35,104		 31.3.24
£
453,829
1,191
10,883
2,741
2,301
470,945
43,961
15,000
19,763
8,322
43,085
4,401,778
10,402

This page does not form part of the statutory financial statements

Page 25