2021-03-31-accounts

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About Change Grow Live

We help people to change the direction of their lives, grow as individuals, and live life to its full potential.

Find out more

W: changegrowlive.org

E: queries@cgl.org.uk
@changegrowlive
@changegrowlive

Believe in eo le p p

Change Grow Live Registered Office: 3rd Floor, Tower Point, 44 North Road, Brighton BN1 1YR. Registered Charity Number 1079327 (England and Wales) and SC039861 (Scotland). Company Registration Number 3861209 (England and Wales).

ANNUAL REPORT 2020-2021

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Our mission is to help people change the direction of their lives, grow as individuals, and live life to its full potential.

A message from our CEO A message from our Chair of Trustees	06 07
Trustees’ annual report: Believe in people	10
Doing things better Working together Telling our story Welcoming new services	14 40 54 70
Financial review Independent Auditor’s report	71 89
Consolidated statement of fnancial activities Consolidated statement of cash fows	95 97
Accounting policies	99
Notes to the accounts	105

ANNUAL REPORT 2020-2021

A message from our CEO, Mark Moody

I’m optimistic that compassion and a desire to help others have a more prominent place in people’s minds than they have done for a very long time.

It has certainly been a tough year for everyone in the world, but despite everything that’s happened I am optimistic for the future. I believe we’ve learned amazing things about the spirit of people to do the right thing. The world seems to have become a more compassionate place, and a big part of our job is to make sure that change is permanent.

We had already made it clear that we are a charity that believes in people, but over the last year we placed more trust in people’s hands than ever before. That trust has been rewarded magnificently. It has proved beyond all doubt that people don’t want or need to be told what to do – they need someone who will listen, and give them the support and guidance that is right for them. We should always be working to meet people’s needs, not expecting them to meet ours.

The people who use our services have gone above and beyond to not only keep themselves safe, but keep those around them safe. I spoke to several people who told me they wanted to, or already had, completely changed the way they did things to protect other people. This was not because they were just worried about themselves. This was about their mums, their dads, their partners, everyone around them.

Many of the people we support have been let down, given up or underestimated by society, but the last year has shown how remarkably selfless and caring people truly are.

Our staff and volunteers have been extraordinary. From all over the country we’ve heard stories of services carrying on doing incredible work under enormous pressure, and even finding new ways to reach out and help people. I feel an enormous sense of pride and pleasure at working with such amazing people across Change Grow Live. There have been dark moments, without a doubt, but being surrounded by those people meant the dark moments have never lasted long. To everyone who works and volunteers with us, thank you.

As an organisation, we have learned new ways of working that we will carry on into the future. In an ideal world it wouldn’t have taken a global pandemic for us to learn them, but there have been many positive things we’ve been able to take from the experience. We will continue to grow and develop and play an important role as communities recover from the effects of the last year. We are a large charity, but charities don’t grow to our size for the sake of it. We do it because it helps us to do more good for more people.

That is why I am optimistic for the future. I’m optimistic that compassion and a desire to help others have a more prominent place in people’s minds than they have done for a very long time. Politics and world events change, but people are people – and our job is to be here for them.

ANNUAL REPORT 2020-2021

A message from our Chair of Trustees, Mike Pringle

and the sort of care we can deliver. I am really impressed with how we delivered care and provided support throughout, but also with the way we’re building for the future in a way that will improve care in the coming years. Our commitment is to keep developing so in the future we have an even higher quality of experience for the people who use our services.

Over the last year, Change Grow Live has lived up to its name. We’re not shy of changing and evolving. We have been growing, not just for the sake of growth but because we’re efficient and effective. And I believe we’re helping an ever-greater number of people to live fuller, healthier lives.

The last year has been defined by the coronavirus pandemic. It was an enormous test of us as an organisation, and I believe we passed that test with flying colours.

That commitment to carry on developing can also be seen through our new partnership with Bounce Back. They are a charity offering training, support and employment opportunities to people leaving prison. By learning from them and their experience, we can extend our skillset and range of services to make sure the people we support have the best possible experiences and opportunities in life.

It’s been a challenging year, but we have risen to that challenge. It could have exposed weaknesses within our organisation and created problems that made it much harder for us to support the people who use our services. Instead, we responded incredibly quickly and effectively. We protected the people we are here to support and continued to deliver a high standard of service.

And lastly, I’m delighted to welcome Sue Killen, who will be my successor as Chair of the Board of Trustees from January 2022. Sue has a long track record in the civil service and charity sector, including influencing and shaping lasting change. She brings a wide range of skills that will help the organisation develop even further, and I know that she will be a huge asset to Change Grow Live.

I think that our response shows not just our prior thinking and forward planning, but the qualities of everyone who works here. Wherever I go, I am amazed by the dedication, hard work and skills of our people, from the highest management level through to the people who deliver our services.

The pandemic has offered an insight into not only the way we work and deliver care, but into the sort of organisation we are

The last year has been defined by the coronavirus pandemic. It was an enormous test of us as an organisation, and I believe we passed that test with flying colours.

ANNUAL REPORT 2020-2021

We only exist to support the people who use our services, and the last year has given us the opportunity to share trust with them like never before.

Trustees’ annual report: Believe in people

do it. When we tell the stories of our staff, volunteers, and the people who use our services, we encourage more people to seek us out and access support to change their lives.

At Change Grow Live, above all else we believe in people. It’s the one thing that acts as a foundation for all our work.

We exist to help people achieve their goals, to be the best that they can be and to help change society for the better. This is true whether we are talking about the people who use our services, our staff or our volunteers.

Our strategy and values have guided us through the pandemic

Our values and strategy formed the basis for all our thinking and decision-making throughout the coronavirus pandemic.

We are guided by our values

Our values work together as principles that guide the way we act and the choices we make; be open, be compassionate, be bold.

Across every level of the organisation, we saw people responding to unprecedented challenges in innovative new ways. We have listened to their ideas and learned from their successes to create new, better ways of working that we will carry into the future.

Our values shape our strategy

Our mission is to help people change the direction of their lives, grow as individuals, and live life to its full potential. To help us do this, we have a strategy that focuses on three areas:

We have worked together by sharing our learning and expertise more than ever before. We have opened up new conversations across the organisation, but we have also formed partnerships with other charities and organisations that will benefit the people we support for years to come.

Doing things better. We listen to our staff and volunteers, and the people we are here to support. We learn from what they tell us and use what we learn to genuinely make a difference.

Throughout the pandemic, we never stopped telling our story. We want to make sure people know we are here to help anyone change the direction of their life, grow as an individual, and live life to its full potential.

Working together. We look outwards to learn from others and share what we know. Working collaboratively across the organisation and with our partners is the best way to offer people support that improves every area of their life.

Above all else we are an organisation that believes in people. We only exist to support the people who use our services, and the last year has given us the opportunity to share trust with them like never before.

Telling our story. We make sure that people understand what we do, but also why we

ANNUAL REPORT 2020-2021

Be open, be compassionate, be bold.

Lasandra

Lasandra supported people throughout lockdown as a Recovery Coordinator. As a Diversity Champion she is also helping to make Change Grow Live a fairer and more inclusive organisation.

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Doing things better

Introducing our National Lived Experience Group

The people we’re here to support are at the heart of everything we do, so it’s important they play an active role in shaping how we do things.

We have a lot to learn from the diversity and experience of the people who use our services. To make sure their voices are being heard, in 2021 we relaunched the National Service User Committee under its new name, the National Lived Experience Group. This group helps people from across the organisation to tell their story, so that it is heard in all areas of our charity.

How the National Lived Experience Group works

Our National Lived Experience Group members are based across the UK, and they represent the diverse thoughts and opinions of the people we are here to support. The group is made up of lived experience volunteers who champion the views and opinions of people who use our services.

The group run a weekly consultation, which is open to staff at all levels. People are welcome to attend and discuss ideas, what they are working on, and any support they need to make a difference.

Members of the National Lived Experience Group are now at the heart of our decision making — from interview panels for senior positions to working groups.

“Becoming a national rep was a huge opportunity to be able to influence anything from local services right up to an organisational level. It keeps me in recovery and on the straight and narrow. It’s an incentive to stay well.”

Tony is a member of the group from the North West of England

“The group gives me a focus. For me personally, it’s really helped my confidence grow and build-up. I am happy to wake up in the morning, I don’t feel I am in recovery. I feel like I am enjoying myself and thriving again.”

Lynne is a member of the group from the North East of England

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“Not only does volunteering help me to maintain my own recovery, it also gives me the opportunity to help others and get to know many of the wonderful staff at Change Grow Live.” Neil is a member of the group from the South East of England

The National Lived Experience Group — a crucial resource throughout the pandemic

Although the group was officially launched under its new name in March 2021, the National Lived Experience Group has played a major role over the last year.

During the pandemic we have needed to understand the basic needs of our community and how to get helpful advice to them during these challenging times.

The group have focused their efforts on supporting some amazing harm reduction work going on across the organisation. This includes supplying naloxone kits and training, the flu vaccination campaign, needle and syringe provision, and supporting the delivery of our national research project - the Pulse Survey.

The group has done a lot of work around digital safety and helping to reduce people’s fears of engaging on a digital platform and they co-wrote advice to help keep people safe while engaging in group calls online.

“Having the perspective of this group in the work that we do will help enormously. And this engagement starts with a commitment from the Executive Leadership Team to promote and bring this voice to the fore, making sure there is a consistent and valued link between our team and the National Lived Experience Group. We want to be challenged at every turn, so that we have the best chance of making the experience of people who use our services as good as it can be.

“We wish the National Lived Experience Group all the very best for their launch in 2021, and for our shared collaboration over the coming years.” Dr Prun Bijral is our Chief Medical Director

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Using data to make a difference

We are always looking for ways to better understand the people we’re here to support. Using data to create a broader picture of each person’s unique situation ensures that we can offer the support that is right for them.

Over the last 12 months we have been gathering data and listening to the people who use our services more than ever before.

We transformed how we use data. Engaging, easy to understand dashboards helped our services prioritise the people most in need of support, and helped inform leaders where to focus their attention.

The Pulse Survey — a new way of listening to the people we support

In June 2020, we launched the Pulse Survey – the biggest survey of its kind that we have undertaken – to pilot a new way of gathering data and feedback from people using our services and transforming it into positive impact. We heard from people across the country, in their own words, about their experience of the care they receive and ways we can better support them.

The survey streamlined the way we were listening to the people who use our services during the pandemic. We shifted from looking at feedback from lots of different sources to continuous feedback in one rolling survey.

The survey asked three simple questions:

What changes do you like?
What changes don’t you like?
What could we do differently?

Open questions in the Pulse Survey allowed people to give feedback in their own words and leaving the survey open means we can track ongoing changes.

Thanks to people across the organisation, including service user reps, peer mentors and volunteers – many of whom have had to take on new roles to support on this project – we have managed to gather over 4,000 responses to date.

By working in partnership with the University of Manchester we were able to understand how people’s thoughts and feelings changed over time and made sure that data was part of our decision making.

Helping services make better decisions through data

By helping our people to better understand the data they have access to, we can ensure that we they are making the best possible choices for the people they support. Clear and understandable data ensures our services can tailor their approach to meet each person’s unique needs and circumstances.

We were able to understand how people’s thoughts and feelings changed over time and made sure that data was part of our decision making.

ANNUAL REPORT 2020-2021

Staff worked around the clock to prepare the information by the start of each day so that the people who use our services were kept safe during a period of uncertainty.

At the beginning of the first lockdown, we made the decision to move everyone on medication assisted treatment onto a twoweek supply. This was a significant change, so it was important that services were able to understand the impact of this move and adjust their support. At the request of clinicians, the Data and Analytics team were able to quickly gather data and design new dashboards to show the progress of a service user’s journey with Medication Assisted Treatment. Services were able to target support and treatment in a way that was specific to each person.

clock to prepare the information by the start of each day so that the people who use our services were kept safe during a period of uncertainty. We learned so much; naloxone distribution tripled in many services. Safe storage boxes were provided at record levels. And then some astonishing insight – the rate of ‘on top’ use, which means using illicit drugs on top of a prescription, had decreased to levels never seen before.

The Data and Analytics team also carried out intensive training on how to effectively use the data visualisation tool Tableau. The training received extremely positive feedback and has since been delivered to over 400 people across the organisation.

To make sure services were getting the best possible data, we moved from monthly reporting to daily. Staff worked around the

Thanks to many people across Our tableau training received the organisation, we have extremely positive feedback and managed to gather over 4,000 has been delivered to over 400 responses to our pulse survey. people across the organisation. 4,000 400

ANNUAL REPORT 2020-2021

A new approach to blood borne viruses

During the first lockdown, we paused our testing for blood borne viruses, along with most other providers. We used this opportunity to slow down, review our strategy, and create a better testing and treatment experience for the people who use our services.

When we relaunched, it was with a new blood borne virus pathway. This means the entire journey from testing for blood borne viruses, right through to referral, and then successful treatment.

Self-testing and the blood borne virus toolkit

In August 2020, we launched a self-testing option for hepatitis C. This allows people to test themselves in their own home or at any location they are comfortable with. It also allowed people to safely test themselves while following public health guidelines such as social distancing.

The self-test option allows more people than ever before to engage in testing, including people who may have felt uncomfortable about visiting services in person in the past.

By the end of March 2021, 1,576 people had used this option to complete a hepatitis C test in their own home.

We created a blood borne virus toolkit (changegrowlive.org/bbv) to make sure testing remains a high priority. The toolkit is a series of tools and resources that have helped us relaunch testing in a coronavirus world.

Lindsay

Lindsay started out with Change Grow Live in Edinburgh, but moved to London and joined our Camden service. She’s about to start a new role as an In-Reach worker for people in prison.

The toolkit is available to everyone, including our external partners. Feedback has been extremely positive, and the toolkit influenced an Edinburgh based self-testing pilot run by Scottish health boards. Public Health Wales used the toolkit as a basis for their own set of blood borne virus resources.

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New and innovative approaches to testing, treatment and support

In Cambridgeshire, our service put blood borne viruses at the heart of their work

Despite the challenges of the pandemic, our service in Cambridgeshire continued to make sure that blood borne virus testing and treatment were on the agenda. In fact, 77 people began hepatitis C treatment in 2020, an enormous increase from just 19 people in 2019.

They also ran their own hepatitis C awareness week, complete with awareness raising activities and mobile testing.

“A lot of it is down to the dedication of the team. We’re always trying to put it on the agenda and spread the message that there is a treatment, and it can turn people’s lives around. It’s so important that people know they can access treatment, and it could save their life.” Paul Pescud is services manager in Cambridgeshire

Our St Helens service achieved their goal to micro-eliminate hepatitis C

At the end of 2020, the St Helens service — helped by our partnership with The Salvation Army — were delighted to celebrate the micro-elimination of hepatitis C in their service.

When we say an area has micro-eliminated hepatitis C, that means it has reached these targets:

100% 90% 75%

of those people of people have then diagnosed been tested. with hepatitis C have started treatment.

of people using the service have been offered a hepatitis C test.

Jamie

Jamie is an HIV Prevention and Support Coordinator for the Fast-Track Cities team. He joined Change Grow Live in October 2020 and has been supporting people diagnosed or living with HIV.

ANNUAL REPORT 2020-2021

“We are delighted to have achieved micro-elimination, especially given the high rate of the disease prevalence 3 years ago. This is not the end of the story, it is just a milestone on our journey to eliminating hep C and finding the missing millions!” Rachel Fance is Services Manager at our St Helens service

In London, the HIV Fast Track team are part of a major initiative to tackle HIV in the city

In 2020 Change Grow Live was awarded funding as a part of Fast Track Cities – a global initiative to end new HIV infections in cities around the world by 2030.

Our HIV Fast Track team works across six London services supporting individuals who are using drugs or alcohol and are also diagnosed with HIV. Currently the project is for a threeyear period, but the team has plans to expand to other London boroughs, and is already training services to be more confident and informed when dealing with HIV, so that people get the very best support.

Richard

Richard is the Project Manager for the HIV Fast Track team. The team helps to reduce the stigma of HIV diagnosis and makes sure staff are educated and informed about HIV.

200 500

staff have had training on HIV and treatment

staff and 60 external professionals have had training on chemsex awareness and treatment

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Your door was never closed... you fought for me when no one else cared. I feel happy and after a long time I feel good about my future.

Supporting children and young people

Young people also helped us to create a survey for their peers, with questions about their experience of the pandemic and substance use. This helped us to build a picture of how they were being affected by the pandemic, and what sort of support they wanted.

Throughout the pandemic, we’ve been listening to young people openly and without judgement. They told us that the last year has been an especially challenging time. It has made existing stresses and anxieties worse and created new ones, including feelings of isolation and uncertainty about their future.

The voices and direct input of young people were also an important part of the success of our Help Your Mate harm reduction campaign.

At the peak of the first lockdown in April 2020, referrals into our children and young people’s services had fallen by almost 50%. Most referrals into these services come from professionals and other organisations, but many of these had changed their focus in response to the pandemic.

Working with professionals to better support young people

We stepped up our delivery of online training for professionals, so that they had the right skills and understanding to support young people.

To address this, we focused on making sure young people’s voices were heard and that our own services remained visible and responsive. As we’ve done this, we’ve seen the number of referrals into our children and young people’s services begin to rise again significantly. In the first three months of the first national lockdown, the number of contacts by our children and young people’s services rose by 44%, 36% and 25% respectively.

Between April 2020 and March 2021, our service The Base – Kirklees delivered training to 1,229 different professionals, and received extremely encouraging feedback from the trainees involved.

“The training you all delivered today was brilliant. You offered a much-needed service when we needed it most. I really enjoyed it and it was one of the best online sessions I have attended!” (feedback from a professional who received our online training)

Listening and responding to young people

We created a version of the Pulse Survey specifically aimed at younger people who use our services. Some of the feedback we received was surprising. For example, young people told us they were struggling with the switch to digital interactions, and preferred the trust built by face-to-face support.

By sharing our learning with others, we have helped create support networks that will put children and young people first for years to come.

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Karrol

Karrol is a Peer Mentor for the Women’s Team at our Birmingham service. Throughout the pandemic she supported people with wellbeing phone calls, and encouraged positive change as part of the Black Workers Action Group.

Equality, diversity and inclusion

Through our year of listening, we have opened up conversations across Change Grow Live in an entirely new way. These conversations haven’t always been easy, but people have been willing to share their voices, and listen to the voices of others, like never before.

Well-established groups like our LGBTQ+ forum and Inclusion Champion forum continued to promote important discussions and look towards practical solutions and best practices. New avenues also began to emerge.

The coronavirus pandemic threatened to increase existing inequalities, and create entirely new ones. The murder of George Floyd and the global Black Lives Matter protests that followed were a clear example of the way in which racism defines and destroys the lives of people the world over.

Against this backdrop, we knew that it was important for us to do more, and that the first step was listening to the people who make up our organisation. We encouraged people to share their stories and experiences, and asked them to help us find the answers.

“It has been 1 year since George Floyd died and I am still fighting to be seen as an equal within this world. But I believe as an organisation we have made a start and will continue to ensure black people and other marginalised groups voices are heard, and representation within our organisation is seen. We will ensure that are service users are also supported to understand their values and that they belong. We need to stand together as a community because this is not just a black issue. It is a human rights issue, and it needs to change.”

Lasandra Snape is a Diversity Champion and Recovery Coordinator

Embracing diversity across our organisation

One of the most notable new voices to emerge was the Embrace forum. Embrace came about after discussions with managers across Change Grow Live. The forum was developed

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by one of our directors, and now includes staff from across the organisation. It is a regular quarterly opportunity for staff, peer mentors, service user representatives and volunteers to meet and help ensure the working practices of services are fair and inclusive for everyone.

New groups, forums and roles within individual services have also played a big role. An example of this can be seen at ResoLUTiOns in Luton, where a new, bi-weekly staff EDI forum has opened up discussions on a wide range of topics – from the Windrush generation to issues around gender identity.

Here is just some of the feedback they’ve received after their sessions:

“ I was impressed by the topics of discussion that have been scheduled for the months to come. I acknowledge that they can be hard-hitting topics to discuss and it is easier for an organization to shy away from them, rather than addressing it. So I personally feel excited to see how these sessions will be delivered, the opinions that will be expressed and how we can all learn from each other.”

“It was nice that everyone felt comfortable about sharing their lack of knowledge and there was no judgements made when staff were explaining where some of our ignorance’s come from.”

Similar work has been under way by the team at our service in Camden. There, staff contributed to a discussion board created to show the wide range of opinions and experiences within the service.

Welcoming our new Director of Equality, Diversity and Inclusion

In 2021, we welcomed a new Director of Equality, Diversity and Inclusion, Simone James. Simone already has lots of experience with Change Grow Live as a service manager in Waltham Forest. She will now play an important role making sure that equality, diversity and inclusion are at the heart of everything we do as an organisation. This is a commitment we have always had, but the events of the last year have placed it at the very forefront of our decision making.

Ritchie

Ritchie is a volunteer with our Camden service. During the pandemic he helped deliver food parcels to people shielding and self-isolating, and ran online recovery groups every week.

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Adapting to working digitally during lockdown

Before the coronavirus pandemic, we had always delivered most of our support face-to-face. When the first lockdown was announced, we had days to work out how we should adapt to this new world.

Between April 2020 and April 2021, the new channel for existing service users was used by even more people than the long-running channel for general alcohol advice and support. Webchat was another important lifeline for the people we support at a time when their in-person access to our services was limited.

When it came to embracing digital interventions and remote working during the pandemic, we were in a fortunate position. We had already laid the foundations by investing heavily in this area and providing our staff with laptops and Microsoft Teams licences.

Across the country, services have thrown themselves into organising online groups, from peer support recovery groups to activities and classes.

While digital interventions and our online offer will never be a complete substitute for in-person support, they can form a part of the way we work with each person’s unique journey. Staff see it as opportunity to reach people who have struggled to engage in the past, and most services plan to run a mix of online and face-to-face activities in the future.

Although there have been challenges to overcome in terms of technology and safeguarding, the response to these groups has been largely positive.

In Blackburn with Darwen, people accessing the service have been able to choose from a range of online groups that includes fitness classes, yoga, and mindfulness sessions. At our service in Norfolk, over 66 different online support and activity groups have been available.

New ways for people to engage online

In the past, our webchat service had been aimed primarily at people who were not already accessing our services, and may be interacting with Change Grow Live for the very first time.

“There’s been a lot of good things to come from groups being online. My meetings are later in the evening so people who work don’t miss out. People who are also on the shy side or have anxiety have had the chance to attend groups without their camera on at first, and then been able to participate when they feel more comfortable.”

Due to the pandemic, we acknowledged that we should open up new channels of communication for people already accessing support, to take pressure off staff in services. To do this, we set up a new channel of the webchat service for people who were already using our services to get advice online.

Lauren Hawker is a volunteer at our service in Coventry. She has been running online recovery groups since the first lockdown began.

Across the country, services have thrown themselves into organising online groups, from peer support recovery groups to activities and classes.

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“It’s been challenging, but it’s also inspired us to completely rethink how we engage with the people we’re here to support.”

Danielle Hickey is Service Manager at Inspire Blackburn with Darwen. Here, she describes her service’s experience of switching to remote working.

I’m really proud of how well everyone at our service adapted to working remotely. Obviously it took some getting used to for a lot of people, but we also found that people were engaging online who’d always struggled before. People have had access to 24/7 support through their own peers, which has been incredible.

All one-to-one sessions were changed for a while to phone or online sessions, wherever people wanted to and had the facility to do that. By switching them to online, we were able to triple the amount of sessions we were holding, and the number of missed appointments dropped significantly.

We really embraced the innovation and flexibility of remote working, but we also had to overcome some challenges. When someone isn’t in the room with you, or sometimes you can’t see them at all, it can be tricky. We might not be able to ask our usual questions in case someone else is listening, for example. We needed a whole new approach to overcome these challenges.

For staff, remote working has sometimes been a big adjustment. We’re a very vibrant service who like to have a laugh and spend time together, and suddenly we couldn’t do that.

We had to make sure that everyone was being supported and listened to, and think of creative ways to make sure we could all still connect and check in regularly.

As an organisation I think we’ve really risen to the challenge. The main thing we’ve taken away from the last year is that everyone likes to engage in a different way. Now we use a blended approach of digital and face-to-face, so everyone can access support in a way that works for them.

Keeping people safe and connected

Through the Pulse Survey, we heard that staff and volunteers were finding it extremely difficult to contact some of the most vulnerable people they support, including people who were sleeping rough.

To make sure we could stay in touch with everyone we needed to, we provided pay-asyou-go mobile phones with pre-paid credit to those most in need.

In the past, some services have successfully provided mobile phones on a limited basis, but this was the first time the approach was used across the organisation. We formed a partnership with Daisy Telecoms to create an easier, more efficient system for ordering phones to services.

Over 6,700 of these phones are currently in use.

These phones have also proved useful in helping the police trace failed 999 calls. In cases where a 999 call has been attempted from one of our mobile phones but dropped before it can be answered, police are able to contact us via Daisy Telecoms to request more information and make sure the person who owns the phone is safe and well.

The feedback from the people who use our services has been extremely positive.

“I really liked having my session over the phone because I was a lot less anxious to talk to my worker than I would be if we met face to face. Talking on the phone felt more comfortable to me.”

Bridging the digital divide

The switch to remote, online methods of support also made it necessary to address the digital divide. It was important we made sure no one was left behind, no matter what their level of knowledge or access to technology.

Feedback from people who were being supported by our services told us that some of them were struggling with IT literacy and issues around accessing online platforms.

We launched an initiative to gift broadbandenabled tablets to people who were struggling to access services online. The tablets came with guidance on how to access platforms such as Zoom, online security and tips for getting the most from the tablet.

“Change Grow Live have provided continuous support during this challenging period and I have my first online Zoom group next week. Online support packs have been received and I’m thankful for ongoing support.”

Continuing to invest in technology and digital interventions will play an important role as communities will recover from the pandemic. We will create an approach where everyone can access support in a way they are comfortable with, and where no one is left behind.

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Working together

Supporting homeless communities

Throughout the pandemic, we have worked together with other providers and organisations to make sure that homeless communities have access to vital support networks. By sharing learning and expertise with our partners, we have helped protect homeless communities who were in a vulnerable, highrisk situation.

Paul

Paul supported homeless communities as Leeds Street Outreach Team Leader during the first lockdown. Since then he’s taken on the role of Service Manager.

Across the country, people sleeping rough were provided emergency accommodation in places like hotels and hostels. They were offered rapid access to drug and alcohol treatment and healthcare. People who had previously struggled to accept support began to engage with our services.

Collaborating with The Salvation Army

At the start of lockdown the Director of Homelessness at The Salvation Army wrote to Change Grow Live to let us know their concerns about people on medically assisted treatment who were living in hostels. We immediately got in touch to discuss how we could support this especially vulnerable group.

Within two weeks we had signed off on joint working guidance on supporting people on prescriptions in hostels. We made this guidance available for all providers to access, to make sure that anyone who needed support was able to get it. Working in partnership meant we could really look at how we could support The Salvation Army team to embed clinical services within a Life House. In Salisbury House, our staff trained staff to be able to complete drug testing on site, manage rapid prescribing, run an out-of-hours needle exchange and conduct on site assessments.

This led to a second piece of work, focusing on people in hostels who were reliant on alcohol. Over the next two months, we implemented a person-focused harm reduction approach within hostels run by The Salvation Army.

By working together with The Salvation Army, we have kept the people using both services at the heart of our work. We’ve formed new working relationships with every level of The Salvation Army, which in turn helps us to keep people safer and make our communities more resilient.

ANNUAL REPORT 2020-2021

ANNUAL REPORT 2020-2021

Throughout the pandemic, staff and volunteers have done incredible work to make sure homeless communities stayed safe and received vital support. Here are just a few of their stories:

In Manchester, Change Grow Live was part of an award-winning effort to support homeless people.

Organisations from across the city came together to provide people sleeping rough with temporary accommodation in hotels. Teams from our Manchester service went into the hotels, usually on a biweekly basis, to make sure people were getting the support they needed. They handed out mobile phones with pre-paid credit so people could safely stay in touch without breaking coronavirus guidelines, and began prescribing medication to anyone who needed it.

In recognition of their work, all of the organisations involved received an award from the High Sheriff of Manchester.

“It’s been great to see all the Greater Manchester organisations pull together like this. We’re all singing from the same hymn sheet now, because we all know the people who we’re helping are the priority.” Jackie McVan is Head of Services at Adult and Young People’s Drug and Alcohol Service – Manchester

In London, the Camden Routes off the Streets team went above and beyond to protect people from extreme weather.

On an especially cold night when temperatures dropped below freezing, the Greater London Authority (GLA) activated the protocol that opens emergency accommodation for people sleeping rough. Over the course of that night, Jerome Bourdin from the Camden Routes off the Streets team assessed 42 people sleeping rough in the borough. He liaised with translators, the GLA, and St. Mungo’s to find suitable accommodation, and organised the logistics to help people travel to a safe place away from freezing conditions.

“It was challenging, but mainly rewarding to know that this group of people who’d been sleeping rough had a place to stay on one of the coldest nights of the year, and had support and guaranteed roofs over their heads for the next few days at least. That was really nice to see, and heart-warming to be part of.”

Kieron

Kieron is part of the Leeds Street Outreach team. During the first lockdown he moved into temporary accommodation so he could carry on supporting people while also keeping his family safe.

ANNUAL REPORT 2020-2021

ANNUAL REPORT 2020-2021

In Leeds, the Street Outreach Team have been forming lots of useful partnerships.

The Leeds Street Outreach Team connected Bevan Healthcare CIC with people sleeping rough to ensure they could access the coronavirus vaccine. With the support of this partnership, Bevan were able to deliver the vaccine to 500 vulnerably housed or homeless people across Leeds

The team also set up the West Yorkshire Riding Rough Sleeping and Modern Slavery Partnership with organisations across the region. This collaboration helps them to overcome the barriers that often prevent victims of modern slavery and exploitation from finding the right support.

The service have even partnered with Malcolm Michaels Butchers in Kirkgate Market to collect warm clothes for people who are sleeping rough. The ‘Get Your Kit Off’ campaign was supported by lots of local faces, including members of the Leeds Rhinos rugby team.

It was challenging, but rewarding to know that this group of people who’d been sleeping rough had a place to stay on one of the coldest nights of the year.

Jerome is part of the Camden Routes off the Streets Team and the service’s LGBTQ+ lead

Ryan

Ryan is a Team Leader with the Street Outreach team. Ryan lived away from his family for the first few months of the pandemic to make sure the most vulnerable people continued to be supported.

ANNUAL REPORT 2020-2021

Community pharmacies; a vital lifeline for the people we support

We wanted community pharmacies to know that we value them as partners, and made sure that they continued to receive the support they needed.

At the height of the first lockdown, we worked closely with community pharmacies to ensure that people were able to access the support they needed.

Pharmacies were the only area of primary care that remained open throughout the entire pandemic. They were a vital lifeline for many people, including people we support by prescribing medication.

We wanted community pharmacies to know that we value them as partners, and made sure that they continued to receive the support they needed to carry out their work.

Pharmacies were unable to provide supervised consumption due to social distancing guidelines, but we continued to provide payments for these services throughout this period.

By working together, we were able to continue other major areas of our work, including needle exchange programmes, providing medicine safety storage boxes, and distributing naloxone kits.

“The commitment of community pharmacies to working with us has been huge. This is a proper partnership that goes both ways. We have both made adjustments and compromises to make sure that we’re working towards a single shared goal of what’s best for the people who use our services.”

Mohammed Fessal is our Chief Pharmacist

ANNUAL REPORT 2020-2021

At the height of the first lockdown, we worked closely with community pharmacies to ensure that people were able to access the support they needed.

Social value; building stronger communities through our actions

The pandemic has exposed just how deep health and social inequality runs in our society. Those inequalities have developed over decades, and it will not be easy to address them. Many of the people who use our services have been especially impacted by the pandemic and will continue to be affected for years to come.

This recognises our commitment to embedding social value across the organisation.

The award came alongside several social value initiatives, including our partnership with Sustainable Advantage and the clothing company Fat Face. Working with both organisations, we secured 800 items of clothing and distributed them via our regional services to people who needed them, including people sleeping rough over the winter. This partnership working was commended at the National Recycling Awards in the Social Value category.

We are committed to addressing these inequalities and increasing our social value as communities recover from coronavirus. Social value is the wider social good we can contribute to when we consider the impact of our actions as an organisation.

We also have a partnership with the printservices company Apogee and their Print Releaf initiative. As part of Print Releaf, the paper we use for printing and photocopying is offset by trees planted in the Amazon rainforest, which helps us to reduce our environmental impact. Through Print Releaf, we planted 891 new trees between April 2020 and April 2021, bringing our total number of trees planted up to 1,736.

We can increase our social value by:

Improving employment opportunities and skills
Supporting local business and economies
Creating healthier communities
Promoting environmental sustainability

These initiatives recognise that every action and decision we take as a charity has an impact on the communities around us. By putting social value as a thread running through everything we do, we can change the way society accounts for value, reduce inequalities, and help to create more sustainable and resilient communities.

Last year we were the first health and social care provider in the UK to be awarded a Level 1 Certificate in Social Value by the organisation Social Value International.

Pharmacies were the only area of primary care that remained open throughout the entire pandemic. They were a vital lifeline for many people, including people we support by prescribing medication.

We wanted community pharmacies to know that we value them as partners, and made sure that they continued to receive the support they needed to carry out their work. Pharmacies were unable to provide supervised consumption due to social distancing guidelines, but we continued to provide payments for these services throughout this period.

When we made the switch to 14-day prescriptions, pharmacies also changed their own approach. They quickly rose to the challenge of changing their ordering, delivery and storage procedures, even though this put them at greater risk and meant they would potentially lose income. Every action By working together, we were able to continue other major areas of our work, including needle exchange programmes, providing medicine safety storage boxes, and distributing naloxone kits. and decision “The commitment of community pharmacies to working with us has been huge. This is a proper partnership that goes both we take as a ways. We have both made adjustments and compromises to make sure that we’re working towards a single shared goal of what’s best for the people who use our services.” charity has an Mohammed Fessal is Chief Pharmacist at Change Grow Live impact on the communities around us.

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ANNUAL REPORT 2020-2021

Working with Bounce Back to give people a fair chance

Our new relationship enables us to share resources and expertise to do even more for the people who use our services.

This year we were excited to begin working with Bounce Back, a charity that believes in giving a fair chance to people in and leaving prison. Bounce Back shares our commitment to helping people live life to its full potential.

Founded in 2011, Bounce Back deliver training and qualifications in construction industry skills in prisons and in the community. Since they started, they have worked with over 3,000 people to support them through their journey from prison and help them prepare for their release.

Our new relationship enables us to share resources and expertise to do even more for the people who use our services and support them into a new stage of their lives.

Working together we will support Bounce Back to engage and train more people into employment. We will learn from their experience and expertise to grow the employment, training and learning offer across all Change Grow Live services.

Bounce Back works with people leaving prison to prepare them for employment on release. They provide training and support and offer employment opportunities in a variety of painting and decorating jobs in and around London.

Together we look forward to giving the people who use our services the best possible experiences and opportunities in life.

Since their beginnings, Bounce Back have worked with over 3,000 people to support them through their journey from prison and help them prepare for their release.

3,000

ANNUAL REPORT 2020-2021

Telling our story

A story from a young person supported by one of our services

Our Hidden Harm services support children and young people who have been affected by someone else’s drug or alcohol use. They empower children and young people to cope with difficult family situations and feel stronger in themselves.

My parents got a divorce and Mum’s drinking escalated. The first incident I remember was when I found her unresponsive on the stairs. In the years that followed it got worse and whenever I said anything my family told me I was being controlling.

Mum would tell me that I was lucky, she put a roof over our heads, how could she be abusive and an alcoholic if she was going to work and taking us to the doctors.

I was belittled, locked out the house late at night, laughed at when I cried, and then the next day I would be expected to act as if all was fine. I went to school for help, but they saw a functioning middle-class woman. I stopped trusting those who were supposed to help me after that.

I was in and out of mental health services throughout my adolescence. Social services got involved but closed the case quickly and we were back in the same position. My mental health worker also disappeared without warning.

Thankfully, my Change Grow Live worker had started regularly meeting with me by then, and the support they have provided has been invaluable. Just having someone who believes you and listens to you is vital. I’ve learned that it’s never your fault, no matter what the other person is telling you or how you’re made to feel.

After being failed by so many adults, I’m beginning to trust those people who are supposed to be helping me again. Lockdown would have been a lot harder without my Change Grow Live worker.

Just having someone who believes you and listens to you is vital.

Now I’ve got an offer from the university of my choice. I get to leave and go to university, and I get to choose who I spend my days with. That was something I had been aiming towards for a long time, and it still seems a little surreal.

ANNUAL REPORT 2020-2021

ANNUAL REPORT 2020-2021

Celebrating our amazing volunteers

Despite facing many challenges themselves, our amazing volunteers have continued to support and help others. In fact, over 70% of our volunteers were still active throughout the pandemic. Many of our services have said that the dedication and enthusiasm of their volunteers were essential in making sure people continued to get the support they need.

“The last year has encouraged us to look at what the volunteer experience is at Change Grow Live. We’ve learned to have a more personalised conversation with each person that focuses on where they are on their journey and what they can give. We’ve found that people have new and inventive ways to help and support others, and entrusted them to put these ideas into practice.”

Chris Benfield , Head of Volunteering & Accredited Learning

We believe in supporting our volunteers to develop new skills, and during the last year:

Khayra

700 300

127

new volunteers joined Change Grow Live

people took accredited volunteers regulated learning joined us as courses to gain new paid members qualifications of staff

Khayra volunteered as a mentor to people in custody and in the community throughout the pandemic. She has just begun a new paid role with Change Grow Live supporting young people as an Intervention Worker.

ANNUAL REPORT 2020-2021

ANNUAL REPORT 2020-2021

Across Change Grow Live, volunteers have continued to give their time, but they’ve also been coming up with new ways to help and support others. Here are just a few of the ways our volunteers have gone above and beyond to make a difference:

In Brighton, Jon Wilde has been offering phone befriending for anyone who has needed a chat in difficult times. He also runs mindfulness sessions. Jon has now joined Change Grow Live in a paid role supporting others as a Recovery Champion.

In the Midlands, Leanne Sheppard has been finding creative ways to give back as a community mentor. Leanne has collaborated with other charities throughout the pandemic, to make sure women leaving prison have much-needed clothing and toiletries.

In East Lancashire, Jackie Scott has been leading the way on delivering volunteer and peer led training to people using the service. This is the first time this has been done at Change Grow Live, and the feedback has been very positive. Since then, Jackie has begun a new paid role as a Recovery Coordinator.

In Hull, Alan Yates has been praised by his service for his contribution as an Independent Visitor. Alan meets with children and young people in care and offers them a chance to take part in activities in a friendly, nonjudgemental atmosphere.

Bianca

Bianca began volunteering with our Birmingham service in March 2021. She has already had the chance to learn a great deal while supporting people both remotely and face-to-face.

ANNUAL REPORT 2020-2021

ANNUAL REPORT 2020-2021

Richard’s story

There are lots of stories like mine, and they all deserve to be shared. I’m 51 now and I had been using substances since I was a teenager. Around two years ago I was on a prescription to try and give up substances, but I’d hit a wall. I felt like I had no future and was struggling with moving ahead.

Last year my Recovery Coordinator, Fiona Bamford, recommended that I become a service user representative.

I didn’t think volunteering would be my way forward, but it turns out it was the best choice I ever made in my life. I’ve never been happier, I feel good, and that’s enough. In December I had my first ever Christmas with no substances in my body, and I never thought I could live like that.

The backbone of all of that has been the work I do at the Mansfield Change Grow Live office. I help with the needle exchange, I give harm reduction advice, I run four peer support groups a week – two of them over Zoom. I wasn’t too keen on Zoom at first, but the amount of people we can reach who wouldn’t usually be able to get to groups is amazing. But we still have face to face too. On Wednesdays we meet up for a walk outside at the park or the local nature reserve. Now I love what I do, I love who I do it with.

I’ve never been happier; I feel good, and that’s enough.

I got involved with the National Lived Experience Group as well. I felt totally out of my depth at first, but they’re really supportive and loving. Through National Lived Experience Group I’ve taken part in the Lunch with Russ and Mark broadcasts, I’ve spoken to staff about my experience with Change Grow Live, all sorts.

I would have loved to stay in the group, but I can’t because I’ve just got the role of a receptionist here at the Mansfield service. It’s only the second job I’ve ever applied for in my life. I’m still stunned that I got it! I couldn’t have done it without the people around me, everyone from the people here at the service to everyone at National Lived Experience Group.

What people have done is show me I can be a decent human being. The things that are most important to me are my own change, my self-growth and development. If I’ve got that, I can go and do and be anything I want.

ANNUAL REPORT 2020-2021

ANNUAL REPORT 2020-2021

Non-judgemental drug advice for young people

During the first national lockdown, we began to see a rise in unauthorised large gatherings of young people where substance use was common.

We want to be open and compassionate in our conversations with young people, so we asked them about these issues in a non-judgemental way. We learned that young people intended to carry on attending these events, but that they also wanted advice and guidance that helped them to stay safe.

Our young people’s service in Derbyshire had already begun to discuss how we could educate young people around harm reduction at these types of events, but they quickly realised a national approach was needed.

We put together a panel who reviewed what we’d learned and decided our priorities should be education and harm reduction. Without the proper safety infrastructure you would find at an organised festival or live event – on-site access to drug testing, first aid and emergency service, for example – young people would be more reliant than ever on their peers to keep each other safe.

The Help Your Mate campaign came together to address these concerns and help young people support each other.

Launching the campaign

To make sure our campaign spoke to its target audience, we gathered together a group of young people aged between 16 and 25 years old from across the country to find out what advice and guidance they were looking for, and how they would prefer to engage with it.

I couldn’t believe it when I saw the campaign come up on my Instagram. It’s the first time I have seen drug related content that I actually wanted to engage with.

With their help, we came up with six key areas of advice:

The advice we got in school about drugs wasn’t realistic. The campaign videos and social media posts told us what we needed to know.

• Before you go out

• Cocaine

• NOS (Nitrous Oxide)

• Ketamine

• MDMA • Comedowns

We put together advice and guidance obout all of these areas, but we also knew we needed to reach a young audience who may never seek out or engage directly with any of our services.

To help us do this, we created brand new video content and arranged to have staff members trained by an influencer to promote content on Tik Tok effectively.

We released video content and social media posts on each of the 6 key messages on a week-by-week basis. The performance of our posts would be measured and compared against alternative versions of the same post, and our approach would be adjusted to increase our reach. We also shared the campaign pack with partners from across the sector, so they could support and promote the campaign alongside us.

Digital analytics of our content showed that more young males engaged than young females. Posts that had imagery of the substance itself, as opposed to a photo of young people, performed better too.

During the six week campaign we had nearly 20,000 hits on the Help Your Mate advice web page, and social posts on our national channels alone reached nearly 150,000 people.

The number of people we reached with our social posts came to almost

The number The number of of hits on our people we reached advice page with our social posts came close to came to almost 20,000 150,000

ANNUAL REPORT 2020-2021

ANNUAL REPORT 2020-2021

How Smoke Free Hull made their mark during the pandemic

Our SmokeFree Hull service was getting itself up and running when the pandemic began. Services Manager Tracy Mikkelsen Edwards explains how this new service explored new ways of making themselves known and speaking directly to people who want support to stop smoking.

Our service only went live in October 2019, so we were still in the early stages of rolling everything out when the pandemic hit. We had to completely overhaul our model and be very dynamic and innovative in terms of what we were delivering.

Like other services, our biggest challenge was adapting to working remotely. As a fairly young service, we had to get used to using new technologies like Zoom and building relationships as a team when we couldn’t be in the same building. But we also had to work out how we would bring new people into the service.

Before coronavirus, most of our referrals came from healthcare professionals. Almost all of these stopped as those professionals turned their focus to the pandemic. We knew we had to start encouraging people to get in touch with us and refer themselves, but for that we needed to make ourselves known.

We had to get creative and explore avenues that were completely new to us. Our website and social media were still quite new, so we got behind Quit for Covid, a campaign by Public Health England and Action on Smoking and Health. We engaged with their content and shared it as widely as we could, to raise awareness of the campaign while also raising our own profile.

We made sure that people across the city were made aware that we are here to help them stop smoking. We communicated with other health and social care organisations and shared our resources with them. We did radio interviews with Radio Humberside, spoke to journalists and were featured in local newspapers. We built up a catalogue of inspiring stories from people we had already helped to stop smoking, so that anyone can see someone who has quit and think, if they can stop smoking, I can stop.

These were ways of working we would never normally have tried, especially if our referrals were still coming from other healthcare professionals. We had to adapt to the unknown. Now, most of our referrals into the service are people who have referred themselves. I’m very pleased to say that we hit the targets we set for ourselves early on, and we’re going to carry on with this approach in the future.

We’re going to continue to build and speak directly to people who want support to stop smoking. We’ll let them know we are here, and anyone who needs a hand can reach out to us. It comes down to being bold, to have the courage to try something new.

ANNUAL REPORT 2020-2021

ANNUAL REPORT 2020-2021

18 of our existing substance misuse services have secured funding from the Ministry of Housing, Communities & Local Government and Public Health England to better support people who are rough sleeping:

Barnet Substance Misuse Service

Drug and Alcohol Service, Birmingham Brighton and Hove Recovery Service

Drug and Alcohol Service, Cambridgeshire

Drug and Alcohol Services, Camden Ealing RISE

New Direction Drug and Alcohol Recovery Service, Lewisham ResoLUTiONs

Adult and Young People’s Drug and Alcohol Service, Manchester Rise Newham

Substance to Solution, Northampton

Aspire Recovery Service, Peterborough

Preston, Inspire North and Central Lancashire

Drug and Alcohol Service, Reading Drug and Alcohol Support Service, Southampton

STARS Southend Treatment and Recovery Service

Drug and Alcohol Service, Southwark

Welcoming new services

We are delighted to have welcomed several new services and projects to Change Grow Live. Here are some of the new services we began to deliver during the year.

We also retendered several existing services during the year, and we are delighted they will be helping us to offer support and guidance.

The Alcohol Service, Hammersmith and Fulham, Kensington and Chelsea, Westminster

Aspire Havering This new substance misuse service offers support, guidance and treatment for anyone experiencing issues with drugs or alcohol in Havering.

This London based service will continue to do vital work to support people affected by alcohol across multiple boroughs.

Brighton and Hove Street Outreach Service This service is supporting homeless people by helping them move away from the streets and find lasting solutions around accommodation and various other challenges.

The Base, Kirklees

In Kirklees, The Base will continue to provide friendly, non-judgemental support to people aged 21 and under around drugs, ‘legal highs’ and alcohol.

Be Smoke Free, Manchester Working closely with partner agencies, Be Smoke Free offer advice and guidance on changing habits and behaviours, as well as nicotine replacement therapy to support people as they stop smoking.

Children’s Rights Service, Derby

This service will carry on its work matching up young people with Independent Advocates and Independent Visitors to ensure their voices are heard and respected.

Domestic Abuse Service, East Sussex Domestic abuse can affect everyone differently, which is why this service provides wide-ranging support to anyone aged 16+ affected by domestic abuse and violence.

Waltham Forest Assertive Street Outreach This new, proactive team within our Waltham Forest substance misuse service works with people sleeping rough to help them access support around housing and their mental and physical health.

South Yorkshire Appropriate Adult

We will continue to train and support volunteer Appropriate Adults so they can ensure young people and vulnerable adults are being treated fairly and with respect during police interviews.

Sussex Domestic Abuse Complex Needs Navigator

We have received funding for one of our staff to work with perpetrators of domestic abuse who have substance misuse needs. The Complex Needs Navigator will bring services from across Sussex together to help people make positive change.

ANNUAL REPORT 2020-2021

Financial review

Change Grow Live reports consolidated income of £220.1 million for 2020-2021 (20192020: £219.1 million), an increase of 0.5%.

Consolidated Net Assets and Consolidated Total Funds amount to £37.8 million (March 2020: £33.5 million), including cash balances, which increased to £51.3 million (2019-2020: £50.1 million). Maintaining a healthy balance sheet continues to form a primary objective of the financial management of the Charity.

On 29th July 2020, Change Grow Live became the holding company of Bounce Back Foundation Limited. The results of this company, and its subsidiary Bounce Back Project Limited, are included in the consolidated results.

Principal funding sources of the group are explained in Note 1 to the financial statements.

Consolidated total resources expended, including direct costs and support costs, reduced by 0.6% to £213.8 million (2019-2020: £215.2 million), representing 97.1% of contract income (2019-2020: 98.2%). There have been both significant cost increases and significant cost reductions as a result of the pandemic, with the net impact being marginal.

We have continued to adapt our working practices in line with the changing conditions created by the pandemic, with the safety of our employees and clients at the centre of these changes. We have continued to support our clients and provided additional support and help where needed.

Our commissioners and customers have continued to support us throughout this period, and we have been able to manage our additional costs and the uncertainty presented by the pandemic.

The consolidated operating surplus (‘Net incoming resources before other recognised gains/losses’) on the Statement of Financial Activities is £6.3 million (2019- 2020: £4.0 million) representing a 2.9% return on income (2019-2020: 1.8%).

The Trustees have reviewed the financial position and risk management policies together with factors likely to affect future development, including the challenging prevailing market conditions. The financial impact of coronavirus was at the centre of these discussions. The Trustees are of the opinion that this is an appropriate level of surplus and reserves generation and the group has adequate resources to continue in operation for the foreseeable future.

Reserves policy

The group has accumulated total reserves of £37.8 million (March 2020: £33.5 million) of which £36.0 million (March 2020: £32.1 million) are Unrestricted as a result of generating annual surpluses on its activities, with £1.8 million (March 2020: £1.4 million) being Restricted funds. Within the Unrestricted funds £7.7 million (March 2020: £7.9 million) is designated to represent the net book value of fixed assets, with the balance being Free Reserves £28.3 million which includes a pension deficit of £3.9

million (March 2020: £2.8 million). There are no other designations, restrictions, commitments or fixed asset programmes affecting the reserves.

Reserves are also underpinned by liquid cash balances, which provide essential working capital funding for day-to-day operating costs, supporting the delivery of the Charity’s objectives in an efficient and cost-effective way.

Consolidated Free reserves stand at £28.3 million (March 2020: £24.2 million) and are defined as total unrestricted reserves (£32.1 million) less unrestricted fixed assets (£7.6 million) and their related loans (£0.1 million). This level of Free reserves represents 6.9 weeks (2019-2020: 5.7 weeks) of total resources expended.

Whilst the level of Free Reserves is an indicator in the sector, in addition the level of Unrestricted Reserves requirement is reviewed periodically by the Audit and Finance Committee. They assess the level of Unrestricted Reserves required in the event of an orderly wind down, such that liabilities arising in this scenario can be settled and Trustee obligations satisfied. This analysis, and the various detailed assumptions underpinning it, derive a cost of exit of some £15 million (March 2020: £15 million) which is defined as the Minimum Reserves Requirement. This compares to Free Reserves of £28.3 million at March 2021. The total reserves, which are also reflected within the overall cash balances, provide working capital funding in an efficient, costeffective way to meet the Charity’s ongoing liabilities, as well as providing protection against unforeseen expenditure and

capacity for costs incurred in furthering the objectives of the Charity.

In considering the level of reserves, the Audit and Finance Committee ensures that the level is appropriate for the continued ability of the Charity to meet its objectives in the current uncertain funding environment. This includes reviewing key factors alongside the budgeting and forecasting process including income and its volatility; expenditure and its flexibility; accessibility of reserves; and sensitivities and risk around the planning assumptions made. This is an organic process and recognises that both strategic and financial planning informs the review of the level of reserves and will change as the environment in which Change Grow Live operates.

The Trustees are therefore of the opinion that the level of reserves is acceptable and will also provide sufficient financial mitigation should Change Grow Live encounter adverse conditions in its market. On this basis, the Trustees also consider that Change Grow Live has adequate resources to continue the business for the foreseeable future.

Cash reserves

Change Grow Live maintains liquid cash balances in order to ensure that on-going cash flow requirements are met. Surplus funds, over and above that requirement, are invested in term deposits with A rated banks, with maturity periods considered acceptable in relation to the potential need for accessible funds. Change Grow Live’s credit policy requires that the Charity should meet minimum credit rating requirements

ANNUAL REPORT 2020-2021

to ensure that, as far as possible, the organisation is covering its risk of any capital loss. Income from investments in the year represents interest earned on these cash deposits and reflects the continued low interest rates during the year. The investment returns that are available are exceeded by inflation. The Trustees remain satisfied this is a prudent policy that serves the cash flow requirements of the organisation but have asked senior management to continually assess alternative utilisation of cash reserves.

Going concern

The Board of Trustees has reviewed Change Grow Live’s activities, financial position and risk management policies together with factors likely to affect future development, including the impact of economic uncertainty on contract income and service delivery. The financial impact of coronavirus was central to these assessments. Our trustees have concluded that, following the reconfiguration of service delivery, incorporating social distancing and other safeguarding measures alongside the ongoing monitoring of financial performance and risk management, it is reasonable to expect Change Grow Live to have adequate resources to continue in operation for the foreseeable future. Accordingly, the going concern basis of accounting continues to be adopted in preparing the financial statements.

Pensions

We participate in a number of pension schemes, partly driven by the schemes associated with the contracts that we operate. Where these schemes are structured as funded defined benefit schemes, regular actuarial valuations are undertaken, and appropriate financial recognition is made.

Currently, LGPS and SHPS scheme valuations show deficits of £3.8 million (2020: £2.8 million). These deficits are expected to be funded either by increased regular employer contributions, or by “payment plans”, which require additional employer contributions over a period of time.

Provisions for these liabilities are made in the accounts of Change Grow Live, which reduce the reserves that are available for investment. The financial position of our pension schemes is taken into account in our planning and in contracting decisions made.

ANNUAL REPORT 2020-2021

Our aspirations for 2021-22

Financial measures

Clinical

For the Clinical Team, the review reflects the ambitions of the Dame Carol Black report and was also carried out in anticipation of Integrated Care Systems.

Change Grow Live has set a budget for 2021-2022 that includes currently held service contracts and a small number of potential contracts. Given the ongoing pandemic there is uncertainty around any potential changes in the scale of the health and social care sector. Our structure continues to be flexible enough to react to any future changes.

Phase 2 of Medication Assisted Treatment (MAT) will combine medication with psychological and social support. It will include clear governance, policy and delivery of our psychosocial interventions and will use a trauma-informed approach that considers equity, diversity and inclusion.

Service and organisational development

We will continue to develop safe and effective services, folding in the positive aspects of our experiences during the pandemic. We have been able to make improvements to our culture during the pandemic, and we will continue to support our staff and volunteers in their development during the 2021-22 year. As part of this development, we are investing in our Senior Leadership Team.

Our hepatitis C strategy will be focused on providing support to hard to reach communities.

Finally, the Clinical Team will prioritise on a new partnership with community pharmacies. The redesigned partnership will focus on quality and deliver a wider range of services more accessible to everyone who uses our services.

Research

Quality and governance

We have now created a separate and distinct research function within our structures and aim to spend greater time on understanding the impact of the pandemic, including working with our external research partners and collaborating with other organisations within our sector.

During 2020-21 we undertook a review of our governance, with the support of the Good Governance Institute. While this review gave rise to some very positive feedback, we believe that there is always room for improvement. We will continue to develop and enhance our governance and the quality of our service delivery.

People

During the Covid19 pandemic we have implemented more flexible and agile

working practices than ever seemed possible, including remote working for many in the organisation and increased digital interventions for the people who use our services. We are continuing to explore the best practices we learned from the pandemic, and how we can maintain and enhance them for the benefit of all our people.

In the first quarter of 2021, we completed the first pilot of our Developing Together programme. Developing Together creates the conditions and culture for our people to be the best they can be. The aim of the programme is to bring colleagues closer together and explore what trust, connection, collaboration and belonging mean. Following a full evaluation of the pilot, the programme will be rolled out further. We are also developing a programme for our leaders to equip them as fully as we can to keep steering Change Grow Live in the right direction in the interests of our beneficiaries. As part of this work we will also define and design our end-to-end people processes as they relate to: Succession Planning, Talent Management, and Career Pathways.

Digital innovation

The pandemic accelerated a number of digital projects as we created stronger digital enablement to facilitate remote ways of working. Our digital transformation will continue and we have ambitious plans to further enhance our digital landscape.

Equality, diversity and inclusion

The beginning of 2021 saw the appointment of Simone James, our new Director of

Inclusion. We will weave Equality, Diversity and Inclusion (EDI) as a golden thread through all that we do with Change Grow Live, being an organisation that goes beyond compliance to become an example of what great EDI should look like.

The number of forums and Inclusion Leads within services has increased in the last year. More conversations are taking place across the organisation within service meetings and in separate EDI focused forums.

Over the coming year we will be creating an organisational vision with our EDI networks, which will set the conditions for collaboration and go on to inform our further ambitions.

Our ambitions are to help shape our culture with our values and drive diversity and inclusion in the workplace. We want our people to contribute to and support change whist feeling valued and supported. We want Change Grow Live to be an organisation that is not just diverse but referred to as an example of what great EDI should look like.

Service user involvement

Over the last 16 months it has been more important than ever that the people who access our services were able to play an equal and active role in what we do.

Service user involvement continues to enable and empower those affected most by the work we do. Our ambition is to amplify what we have learnt and work together with all individuals accessing our services so that their voices are at the heart of everything we do.

ANNUAL REPORT 2020-2021

Principal risks and uncertainties

The pandemic has changed our ways of working. Some of these changes will remain in place for many years to come — not because of the length of the pandemic, but because these changes have proven beneficial to the people that use our services.

There is uncertainty around the changes that may arise from the Dame Carol Black review of drugs. We welcome the review and are confident in our ability to respond to any changes.

The upcoming introduction of Integrated Care Systems will change the environment and system we operate within. We are working with a variety of organisations to plan for these changes and are confident that we can respond in ways that will best serve the communities in which we operate.

Our risk management systems have been reviewed and refined, partly to reflect the learnings from the pandemic, but also to be suitable for the future. Our approach to risk has been refreshed and we believe we are able to better assess risks and incidents as a result of the improvements made.

The Board and its committees review the current risk register regularly and ensure all emerging or unforeseen risks are immediately addressed. The Quality and Performance committee conducts an indepth review of risk registers at its meetings and reports by exception to the full Board. In addition, the Board conducts a bi-annual review of strategic risks affecting the organisation.

Risk Mitigation and management Safeguarding embedded in all governance structures and Failure to plans across Change Grow Live with industry leading safeguard children policies, Change Grow Live safeguarding case and ‘at risk’ adults management module and appropriate induction and training of staff. Failure to A comprehensive workforce learning and development appropriately strategy for staff and volunteers in all areas of activity. train and equip Significant investment in staff tools and resources our workforce including IT and digital. Dedicated mortality reduction programme. Oversight of clinical practice and clinical governance policy from the Failure to prevent Quality and Performance Committee and Medicines ‘amenable’ deaths Management Group. Quarterly analysis of prescribing errors with action plans. Detailed and ongoing operational and financial Organisational monitoring of financial position and project performance. financial Audit and Finance committee scrutiny, including analysis performance of the contractual implications of bid opportunities and retention of appropriate levels of reserves. Internal contractual, governance and performance Organisational management systems, including operational performance contractual dashboards, quality improvement performance tool and service improvement plans. Failure to secure new business and New business strategy and work plan. diversify into new markets Failure to comply Clear governance and supervisory structure in all with regulatory operational and specialist areas with full training frameworks for staff. Safe and effective quality assurance framework and crisis Failure to protect communications plan. Oversight from Brand and Business our reputation Development Committee. External scrutiny of practice, security systems and Failure to processes via British Standards Institution and ISO. safeguard Compliance with NHS Data security protection toolkit, our data

Internal contractual, governance and performance management systems, including operational performance dashboards, quality improvement tool and service improvement plans.

Safe and effective quality assurance framework and crisis communications plan. Oversight from Brand and Business Development Committee.

External scrutiny of practice, security systems and processes via British Standards Institution and ISO. Compliance with NHS Data security protection toolkit, internal audit, control and business continuity processes.

ANNUAL REPORT 2020-2021

77 ANNUAL REPORT 2020-2021

Structure, governance and accountability

become victims of domestic abuse; or

Constitution

have been, or are, or are likely to become homeless; or suffer mental ill health; or

Change Grow Live is a company limited by guarantee and governed by a Memorandum and Articles of Association that determine its legal framework. Change Grow Live has a Code of Governance that identifies the values and expectations that control the conduct of its affairs.

have suffered a legal restriction on their liberty in any penal or correctional establishment;
to promote for the public benefit the prevention of criminal acts and of drug abuse and substance misuse and of homelessness;

The financial statements consolidate the results of the Charity and its subsidiary companies including Change Grow Live Services Ltd, The Secret Space, Bounce Back Foundation and Bounce Back Project Ltd, all wholly owned subsidiaries of Change Grow Live (note 18).

to promote for the public benefit the protection of people and property from criminal acts and the effects of drug abuse and substance misuse;

Charity’s objects

to relieve poverty in particular, but not exclusively, through the provision of housing;

The Charity’s Objects are detailed in the Memorandum of Association and are:

to relieve sickness and to advance the education and training in particular of all persons (and members of their families) who:
to advance the education of the public by promoting study and research into homelessness and all aspects of and methods of crime prevention and delinquency and the prevention of drug abuse and substance misuse and to disseminate the useful results of such research;

— have committed, or are likely to commit, a criminal act or acts; or

have been, or are, or are in danger of becoming substance misusers; or
the promotion of charitable purposes within the member countries of the European Union, for the advancement of education, the protection of health, the relief of poverty, sickness and distress and to reduce substance related harm to the individual and the wider community;
have been, or are, or are in danger of becoming addicted to or dependent upon drugs of any description including without limitation on the generality of the foregoing illegal drugs, alcohol, solvents or other addictive substances; or — have been, or are, or are likely to
to undertake such other activities as are charitable.

Charity governance code

The trustees have embraced the Charity Governance Code, which sets out the principles and recommended practice for good governance within the sector. To support our continuous improvement, we commissioned an independent review from the Good Governance Institute. The Board of Trustees is satisfied that Change Grow Live applies the principles of the code within its current Governance arrangements which are regularly reviewed and updated.

Board of trustees (Directors)

Duties and Responsibilities

The trustees (directors) of the Charity, must act in accordance with a set of general duties. These duties are detailed in section 172 of the UK Companies Act 2006 which is summarised below.

A director of a company must act in the way they consider, in good faith, would be most likely to promote the success of the company for the benefits of its members as a whole, and in doing so have regard (amongst other matters) to:

a. the likely consequences of any decision in the long term
b. the interests of the company’s employees
c. the need to foster the company’s business relationships with suppliers,

customers and others

d. the impact of the company’s operations on the community and the environment
e. desirability of the company maintaining a high reputation for high standards of business conduct

On joining the board of trustees, a new trustee will be briefed on their duties and will be offered formal training from an external advisor. It is important to recognise that in a large charity such as ours, the trustees partly fulfil their duties through a governance framework that delegates dayto-day decision-making to the Executive Leadership team of the charity. Details of this can be found in our Governance Framework on pages 83 to 86.

The trustees consider that they have fulfilled their obligations under section 172. The following summarises how this has been achieved.

Risk Management

We operate in an uncertain and challenging service delivery environment with stringent requirements. It is therefore vital that we effectively identify, evaluate, manage and mitigate the risks we face and we continue to develop our approach to risk management.

For details of our principal risks and uncertainties, and how we manage our risk environment please see pages 77 to 78.

ANNUAL REPORT 2020-2021

Statement of engagement with our employees

People are at the heart of what we do in terms of our employees and our service users. We believe in people and our culture and values are fundamental to the successful delivery of our services. With this in mind the development and investment in our people is integral to our charity.

A sub-committee of the board, the HR Committee, oversees the management and development of our people, including external assessment through Investors In People.

For further details on people please see pages 75 to 76.

Statement of Change Grow Live’s Business Relationships with Suppliers and Other Stakeholders

We recognise the importance of engaging with our commissioners, professional bodies and other organisations both within our sector and outside of it. We work closely with Public Health England and the NHS on a range of issues and activities. We are active members of Collective Voice, the national alliance of drug and alcohol treatment and recovery charities. These relationships have been particularly important during the coronavirus pandemic.

We value all of our suppliers and have multiyear contracts with our key suppliers, adopting a partnership approach where possible. We use framework agreements to enable a wider supply chain and we work with a range of Social Enterprise suppliers. Our close working relationships with suppliers has served us particularly

well during the pandemic, specifically in the sourcing of personal protective equipment used by our frontline staff.

Community and environment

Our Believe in people approach addresses all the factors that impact on individual health and wellbeing and contribute to strong and cohesive communities. We aim to leverage our expertise and enable employees to support the communities around us. This is measured through our Social Value Impact and underpins our service delivery.

In addition, we actively monitor our energy usage and our carbon outputs and seek to use utilise goods and services that reduce carbon outputs.

During the Coronavirus pandemic we focused on ensuring essential services were able to continue and scaled back our nonessential services. Some buildings were temporarily closed or run with skeleton staff. The majority of staff worked remotely in accordance with government guidelines. The impact on energy used during the reporting period is reflected in the consumption data provided. We are committed to sustainability and have a dedicated team who ensure that this weaves through everything we do now and in the future.

	2021	2020
UK Energyuse(kWh)	12,669,403	15,756,688
Associated greenhouse
gas emissions (Tonnes
CO2 equiv(TC02e))	2,637	3,451
Intensity ratio emisions
per FTE(TCO2e/FTE)	0.65	0.92

Associated greenhouse gas emissions have been calculated using the greenhouse gas emissions protocol method.

Maintaining a Reputation for High Standards of Service Delivery

As an organisation, we operate within an ethical framework which forms the basis of our decision making. This is formally governed throughout our Governance Framework. Further details on this can be found on pages 83 to 86.

Operating within a regulated sector, we work closely with our regulators to ensure that our service delivery is of the highest possible standard.

ANNUAL REPORT 2020-2021

Governance framework

Operation of the Board

Trustees are recruited to the Board via a recruitment partner. This partner is usually chosen as part of a competitive tender process to ensure fairness. Recruitment partners use a full and detailed brief to identify potential candidates with the required skills and experience to fulfil our organisational strategy. The full recruitment and selection process includes interviews and project visits.

The skillset of the Board is reviewed on an ongoing basis by the Chair and Vice-Chair and forms part of the standard discussions at the HR Committee. We seek to recruit Board members who share our values and reflect gender and ethnic diversity.

All trustees receive a full induction and participate in on-going training events. Trustees regularly visit projects to review service delivery and the implementation of strategy and policy.

The Board meets at least four times a year and also holds two strategy development days. Trustees do not receive any remuneration but may be reimbursed for general expenses.

Day-to-day management is delegated to an Executive Management team led by the Chief Executive. Responsibility for review of the periodic management accounts and the annual financial statements is delegated to the Audit and Finance Committee.

Other specific responsibilities are delegated to four sub-committees. These committees meet regularly to provide in-depth analysis, scrutiny and oversight into the full range of the charity’s activities. The subcommittees provide detailed reports and recommendations to the full Board which help fulfil the risk management requirements and due diligence processes of the Board.

Board Sub-Committees

Audit and Finance Committee

The committee advises the Board on matters relating to: financial risk management and internal control; internal and external financial audit; financial management; large capital expenditure, investments, mergers & acquisitions; and IT quality in regard to financial reporting, operations and cyber risk.

Quality and Performance Committee

The committee advises the Board on Change Grow Live’s processes for ensuring the safety, effectiveness and quality of all clinical and social care service delivery and promoting continuous improvement through a learning culture. This includes overseeing evidence-based practice and protecting children, young people and adults from abuse and harm.

The committee monitors legal and regulatory compliance. They analyse incidents, lessons learnt and subsequent remedial and preventative actions, including the reduction of preventable deaths. The

committee also oversees organisational risk identification and management. They oversee and sign off research undertaken by Change Grow Live and escalated by the Research Oversight Group.

Brand and Business Development Committee

The Brand and Business Development Committee is charged with ensuring that strategic brand, marketing and business development issues are appropriately identified and managed.

Human Resources Committee

The Human Resources Committee advises the Board on: the annual compensation and pay strategy of the Chief Executive, executive members and staff; the recruitment, induction, and tenure of trustees; strategic and operational HR matters; workforce development; service user involvement; and health and safety.

Remuneration

Remuneration is set within the overall context of the purposes, aims and values of the charity and with recognition of the impact pay levels have on the wider pay policy of Change Grow Live.

Setting remuneration levels is ultimately the responsibility of trustees. This function is delegated to the Human Resources Committee, which reviews the recommendations of the Chief Executive in relation to rewards for senior staff and directly sets Chief Executive pay.

Retention, recognition of performance and motivation are among the key

considerations and principles used in setting remuneration levels, as are:

the types of skills, experience and competencies needed to undertake the role;
the scope, size, complexity, demands and levels of responsibility of the role;
changes in the nature, size, complexity, demands and levels of responsibility;
individual performance in the role against business plan targets and personal objectives along with Change Grow Live’s overall performance;
market scanning of other organisations’ pay and remuneration policies and levels.
Change Grow Live’s ability to pay;
the impact of any pay award on the wider organisation and the reputation of the charity.

Senior staff salary and performance reviews are undertaken in March of each year to coincide with the end of the financial year. Other staff pay is reviewed in October of each year. The process of setting executive salaries involves the Chief Executive reviewing individual performance with each member of staff and reporting to the Remuneration and Nominations Committee.

Our commitment is to narrow and ultimately eradicate any gender pay disparity within the organisation. We do not pay contractual bonuses to any staff and are pleased that significant progress has been made over the last three years to reduce pay discrepancies at both median and mean rates.

ANNUAL REPORT 2020-2021

Public benefit

The Charities Act 2011 requires all charities to explicitly consider how their charitable aims are carried out for the public benefit. The Board of Trustees must:

ensure they carry out the aims of Change Grow Live for the public benefit;
have regard to the Charity Commission’s guidance on public benefit; and
report on Change Grow Live’s public benefit in the Trustees’ Annual Report.

The Board of Trustees has considered these requirements alongside Change Grow Live’s aims and activities, all of which are detailed in this report. The Board is satisfied that Change Grow Live has charitable aims that are carried out for the public benefit, in particular:

the benefits to individuals, families and communities (and hence the public) are clear and in line with Change Grow Live’s aims;
the beneficiaries are entirely appropriate to the aims;
there is no unreasonable restriction to accessing Change Grow Live’s services, either by poverty, any requirement to pay fees, any geographic restriction or the provision of services only for certain sections of the public; and
there is no private benefit.

In arriving at this conclusion, the Board of Trustees also had regard to the Charity Commission’s guidance on public benefit.

Fundraising

The charity had no fundraising activities requiring disclosure under S162A of the Charities Act 2011.

Modern Slavery Act 2015

Change Grow Live is committed to meeting the requirements of the Modern Slavery Act. Our Equality, Diversity and Inclusion policy sets out our processes for ensuring that modern slavery in any form does not go undetected in our recruitment process or our business and supply chain. Our commitment to equality and human rights extends beyond compliance with legislation. We also invest in ethical practice at every level of our activity.

Other Change Grow Live policies and procedures that relate to the protection of victims of slavery and human trafficking are the Safeguarding Adults Policy, the Safeguarding Adults Toolkit, and the Child Sexual Exploitation Guidelines.

Statement of trustees’ responsibilities

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

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

and application of resources, including the income and expenditure, of the charitable group for that period. In preparing these financial statements, the trustees are required to:

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP;
make judgements and estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

and

prepare the financial statements on the going concern basis, unless it is inappropriate to presume that the group will continue in business.

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the group and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. They are also responsible for safeguarding the assets of the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

there is no relevant audit information of

which the charitable group’s auditor is 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 auditor is aware of that information.

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

This report, including the strategic report on pages 10 to 76, was approved by

Mike Pringle, Chair

21 September 2021

ANNUAL REPORT 2020-2021

Management and governance

Trustees

Chairman

Mike Pringle CBE (to be succeeded by Sue Killen January 2022)

Vice Chairman

Andreas Raffel

Sheena Asthana

Rachel Atkinson

Nick Burstin

Jean Daintith

Craig Denholm John Harris (resigned September 2021) Rahul Jaitly Stu McMinnies Caroline Shuldham

Board Sub-Committees

Audit and Finance Committee

Stu McMinnies (Chair) Mike Pringle Andreas Raffel

Jean Daintith

Anna Puchas (Co-opted advisor) (replaced Phil Abram)

Quality and Performance Committee

(formerly Integrated Governance Committee)

Jean Daintith (Chair)

Mike Pringle Stu McMinnies John Harris Caroline Shuldham

Human Resources Committee

(formerly Remuneration and Nominations Committee)

Andreas Raffel (Chair) Mike Pringle (departing January 2022) John Harris Rahul Jaitly Paul Barry (Co-opted advisor)

Executive Management Team

Mark Moody

Chief Executive and Company Secretary

Dr Prun Bijral Executive Medical Director and Responsible Officer

Kevin Crowley Executive Director (resigned 31 December 2020)

Mike Pattinson Executive Director (resigned 31 July 2020)

Andrew Mondon Chief Finance Officer

Nic Adamson Executive Director

Bernie Casey Executive Director

Vicki Markiewicz Executive Director

Sue Shaw Executive Director

Auditors

Crowe U.K. LLP 55 Ludgate Hill, London, EC4M 7JW

Bankers

Barclays Bank plc 2nd Floor, 90-92 High Street Crawley, West Sussex, RH10 1BP

Legal Advisors

DMH Stallard Gainsborough House Pegler Way Crawley West Sussex RH11 7FZ

Charity Number

England and Wales 1079327 Scotland SC039861

Company Number

England and Wales 03861209

Registered and Principal Office

3rd Floor, Tower Point 44 North Road Brighton BN1 1YR

Brand and Business Development Committee

Nick Burstin (Chair) Mike Pringle Sheena Asthana Rachel Atkinson Craig Denholm Rahul Jaitly Mark Essex (Co-opted Advisor)

ANNUAL REPORT 2020-2021

Independent Auditor’s report

to the members and trustees of Change Grow Live

Basis for opinion

Opinion

We have audited the financial statements of Change Grow Live (‘the charitable company’) and its subsidiaries (‘the group’) for the year ended 31 March 2021 which comprise The Consolidated Statement of Financial Activities, Group and Charity Balance Sheets, Consolidated statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

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

In our opinion the financial statements:

Conclusions relating to going concern

give a true and fair view of the state of the group’s and the charitable company’s affairs as at 31 March 2021 and of the group’s income and expenditure, for the year then ended;

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.

have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;

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 or the group’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.

have been prepared in accordance with the requirements of the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and Regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006 (amended).

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 contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

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 our audit

the information given in the trustees’ report, which includes the directors’ report and the strategic report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors’ report included within the trustees’ report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In light of the knowledge and understanding of the group and charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors’ report included within the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion:

adequate and proper accounting records
have not been kept; or
the financial statements are not in agreement with the accounting records and returns; or

ANNUAL REPORT 2020-2021

certain disclosures of trustees’ remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

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

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

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under the Companies Act 2006 and report in accordance with the Acts and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and noncompliance with laws and regulations are set out below.

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 auditor’s report.

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and

performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.

We obtained an understanding of the legal and regulatory frameworks within which the charitable company and group operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006, the Charities Act 2011, The Charities and Trustee Investment (Scotland) Act 2005, together with the Charities SORP (FRS 102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charitable company’s and the group’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charitable company and the group for fraud. The laws and regulations we considered in this context for the UK operations were CQC Regulations for service providers and managers, taxation legislation, employment legislation and General Data Protection Regulation (GDPR).

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other management

and inspection of regulatory and legal correspondence, if any.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the timing and recognition of contract income, recording the impact of CQC regulatory reviews and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management and the Audit & Risk Committee about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission, and reading minutes of meetings of those charged with governance.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, 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 regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect noncompliance with all laws and regulations.

ANNUAL REPORT 2020-2021

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, and to the charitable company’s trustees, as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body and the charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Naziar Hashemi | Senior Statutory Auditor For and on behalf of Crowe U.K. LLP , Statutory Auditor, London Date: 4th November 2021

ANNUAL REPORT 2020-2021

Consolidated statement of financial activities

(incorporating the income and expenditure account) for the year ended 31 March 2021

----- Start of picture text -----
Unrestricted Restricted Group Total Unrestricted Restricted Group Prior Year
Funds Funds Funds 2021 Funds Funds Funds 2020
Notes £’000 £’000 £’000 £’000 £’000 £’000
Income and endowments
from:
Donations and legacies 1 248 282 530 45 - 45
Investments 1 204 - 204 269 - 269
Charitable activities:
Health and social care
217,563 643 218,206 216,742 2,064 218,806
services
- - - -
Training and employability 1,186 1,186
Other income - - - - - -
Total 219,201 925 220,126 217,056 2,064 219,120
Expenditure on:
Charitable activities:
Health and social care
3 211,429 253 211,682 213,888 1,275 215,163
services
Training and employability 3 1,967 189 2,156 - - -
Total 3 213,396 442 213,838 213,888 1,275 215,163
Net income/(expenditure) 2 5,805 483 6,288 3,168 789 3,957
Transfers between funds 11/12 - - - - -
Net incoming resources
before other recognised 5,805 483 6,288 3,168 789 3,957
gains/(losses)
Other recognised gains/
(losses)
Actuarial (losses) on Social 16 (682) - (682) 819 - 819
Housing pension schemes
Actuarial (losses) on
defined benefit pension 16 (752) - (752) 247 - 247
schemes
Cancellation of preference 17 214 - 214 - - -
shares
(Losses) on revaluation of - - - -
(726) (726)
freehold properties
Net movements in funds 3,859 483 4,342 4,234 789 5,023
Reconciliation of funds
Total funds brought forward 32,102 1,352 33,454 27,868 563 28,431
Total funds carried forward 35,961 1,835 37,796 32,102 1,352 33,454
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The Charity reports total income and endowments of £218,398K (2020: £219,120K) and net income of £6,195K (2020: £3,957K). The Group has no recognised gains or losses for the year other than as detailed above.

The net movements in the Group’s funds for the year arise from the Group’s continuing operations. The Accounting Policies on pages 99 to 103 and the Notes on pages 105 to 130 form part of these accounts.

Balance sheet as at 31 March 2021

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Group Charity
2021 2020 2021 2020
Notes £’000 £’000 £’000 £’000
Fixed assets
Intangible assets - - 50
Tangible assets 5 8,330 8,558 8,330 8,588
8,330 8,558 8,380 8,588
Current assets
Debtors 6 37,377 25,160 45,134 32,383
Cash at bank and
51,314 50,060 39,610 36,889
in hand
88,691 75,220 84,744 69,272
Creditors:
amounts falling
(48,854) (41,578) (45,422) (36,022)
due within one
year 7
Net current assets 39,837 33,642 39,332 33,250
Creditors:
amounts falling
8 (84) (84) (84) (84)
due after more
than one year
Provisions for
liabilities and 9 (6,419) (5,826) (6,419) (5,826)
charges
Provisions for
defined pension 9 (3,868) (2,836) (3,868) (2,836)
obligations
Net assets 37,796 33,454 37,311 33,062
Funds
Unrestricted 11 35,961 32,102 35,568 31,710
Restricted 12 1,835 1,352 1,743 1,352
37,796 33,454 37,311 33,062
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A separate Statement of Financial Activities is not presented for the Charity itself as it has taken advantage of the exemptions afforded by section 408 of the Companies Act 2006. Approved by the Board of Directors and Trustees on 21 September 2021 and signed on its behalf by:

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Stuart McMinnies | Trustee Professor Mike Pringle CBE | Chair
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The Accounting Policies on pages 99-103 and the Notes on pages 105-130 form part of these accounts. Company Registration Number: 03861209 (England and Wales)

ANNUAL REPORT 2020-2021

Consolidated statement of cash flow

as at 31 March 2021

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Group 2021 Group 2020
Notes £’000 £’000
Cash flows from operating activities :
Net cash provided by operating activities 15 1,051 6,378
Cash flows from investing activities:
Dividends, interest and rents from investments 203 270
- -
Finance charges on defined benefit pension scheme deficit payment plan
Proceeds from the sale of property 5 - -
Purchase of tangible fixed assets 5 - -
Net cash used by investing activities 203 270
Net cash used by financing activities
Change in cash and cash equivalents in the year 1,254 6,648
Cash and cash equivalents at the beginning of the year 50,060 43,412
Cash and cash equivalents at the end of the year 51,314 50,060
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Reconciliation of net cash flow to movement Group 2021 Group 2020
in net debt £’000 £’000
Increase in cash in the year 1,254 6,648
Decrease in net debt - -
Cash and cash equivalents at the beginning of the year 50,060 43,412
Cash and cash equivalents at the end of the year 51,314 50,060
At 1st April 2020 Cash Flow At 31st March 2021
Analysis of changes in net debt £’000 £’000 £’000
Cash at bank and in hand 50,060 1,254 51,314
Bank and other loans (84) - (84)
Total 49,976 1,254 51,230
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The accounting policies on pages 99-103 and the notes on pages 105-130 form part of these accounts.

ANNUAL REPORT 2020-2021

Accounting policies

the exemptions afforded by section 408 of the Companies Act 2006. Change Grow Live Services Ltd, Bounce Back Foundation, Bounce Back Project Ltd and The Secret Space Ltd are included within the group financial statements on a line-by-line basis with intercompany transactions eliminated on consolidation.

General information

Change Grow Live is a private company limited by guarantee and incorporated in England. The registered office address is 3rd Floor, Tower Point, 44 North Road, Brighton BN1 1YR. The company registration number is 03861209 (England and Wales).

The principal policies of the Group are as follows:

Basis of preparation

The financial statements of the Charity, which is a public benefit entity under FRS 102, have been prepared under the historical cost convention, as modified by the revaluation of certain fixed assets, in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Companies Act 2006.

a. Going concern

Basis of consolidation

These financial statements consolidate the results of the Charity and its subsidiary companies Change Grow Live Services Ltd, Bounce Back Foundation, Bounce Back Project Ltd and The Secret Space Ltd, all wholly owned subsidiaries of Change Grow Live (note 17). A separate Statement of Financial Activities is not presented for the Charity itself as it has taken advantage of

b. Income

Incoming resources from charitable activities includes contract and grant income, rents receivable and other sundry receipts.

Contract income is recognised in line with the delivery of the service and is accrued or deferred where required when cash is received in advance or arrears of service provision.

Where income is related to performance and specific deliverables, income is recognised as the Charity earns the right to consideration by its performance, including contracts which contain payment by results requirements.

Grant, donation, legacy and other income is recognised when the charity becomes entitled to the funds, receipt is probable and amounts can be measured reliably.

Where conditions exist which restrict the use

of income to a particular purpose, income is recorded in an appropriate restricted fund.

c. Project accounting/allocation

Income and direct costs relating to charitable activities are allocated to the charitable activity category of ‘Health and social care services’ and ‘Training and education’.

Support costs are apportioned to charitable activities based on the direct costs of those activities.

d. Classification of expenditure

Direct costs represent all costs which relate directly to charitable activities and governance costs. Support costs are those incurred to support charitable activities and governance.

Expenditure has been classified in accordance with the Charities SORP (FRS 102).

e. Project start-up costs

Project start-up costs are treated as revenue expenditure in the period that a contract commences and matched with associated contract start-up income. In all other cases, project start-up costs are treated as revenue expenditure when incurred.

f. Intangible fixed assets

Intangible assets are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

IT software costs:

20%/33.3% per annum on a straight-line basis, on original cost.

g. Tangible fixed assets

Freehold property

In accordance with FRS 102 freehold land is not being depreciated. Depreciation is charged on freehold buildings over a period of 50 years on a straight line basis. The trustees consider the market value of the properties on an annual basis, together with reviewing them for impairment in accordance with FRS 102. Freehold land and buildings are initially recognised at cost but are subject to periodic revaluation by the trustees.

Capitalisation of other assets

Leasehold improvements, computers and other equipment purchased for specific projects are treated as revenue expenditure at the date the cost is incurred as the

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economic benefit derived from their use is tied into the delivery of the service and not the direct benefit of the Charity.

Other assets including IT hardware, furniture and equipment are depreciated on a straight line basis at rates of 15%-33%

Leasehold property

Leasehold improvements - over the lease term, on original cost.

h. Investments

The charity’s investment in its subsidiary company is valued at cost.

i. Dilapidation provision

Provision is made for the legal obligation in property leases to reinstate the premises to the condition they were at the date the lease was signed and an estimate is made of the cost of that reinstatement.

j. Financial Instruments Basic financial assets

Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost.

Basic financial liabilities

Basic financial liabilities, including trade and other payables, bank loans, loans from fellow group companies that are classified as debt, are initially recognised at transaction price. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade payables are obligations to pay for goods or services that have been acquired

in the ordinary course of business from suppliers. Accounts 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 payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

k. Funds

Restricted funds

Restricted funds are those whose application is limited to those causes specified by the donor. Any deficit incurred on any individual restricted fund is written off to the ‘Unrestricted fund’ in the financial year in which the deficit occurs.

Unrestricted funds

For control and audit purposes funds received for each project are accounted for individually with the relevant incoming resources and expenditure allocated accordingly. Expenditure for projects includes both direct costs attributable to the project and appropriate recharges for support costs.

l. Leasing commitments

Rentals payable under operating leases are charged against income on a straight line basis over the lease term.

Lease incentives are spread over the lease term.

m. Pension scheme arrangements

The Charity operates both defined benefit and defined contribution pension schemes for its employees. All defined benefit schemes are closed to new entrants.

The assets of any defined benefit and defined contribution pension schemes are held separately from those of the Charity.

Financial Activities for the period in which they are payable.

An additional cessation liability is measured and recognised at the balance sheet date. A cessation liability is due when the last active member of the defined benefit scheme leaves for any given participation. Any shortfall between the asset and liability at that date will be due to the defined benefit scheme organisation. The cessation liability is measured using the projected unit method and discounted at a rate equivalent to the current rate of return on gilts less the actuarial scheme valuation. The cessation liability is presented within accruals.

Defined benefit schemes current service costs alongside the expected return on the scheme assets less the scheme interest costs are charged to the Statement of Financial Activities. The scheme actuarial gains and losses are recognised immediately as other recognised gains and losses.

Defined benefit scheme assets are measured at fair value at the balance sheet date. Scheme liabilities are measured on an actuarial basis at the balance sheet date using the projected unit method and discounted at a rate equivalent to the current rate of return on a high quality corporate bond of equivalent term to the scheme liabilities.

n. Judgements and key sources of estimation uncertainty

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

The resulting defined benefit asset or liability

is presented separately after other net assets on the face of the Balance Sheet.

Where the charity participates in a multiemployer defined benefit scheme it is not historical experience and other factors that are considered to be relevant. always possible to identify on a reasonable and consistent basis the Charity’s share of Actual results may differ from these underlying assets and liabilities as the assets estimates. The estimates and underlying are co-mingled for investment purposes assumptions are reviewed on an ongoing and the benefits are paid out of the Plan’s basis. Revisions to accounting estimates total assets. Accordingly, due to the nature are recognised in the period in which the of such schemes, the accounting charge estimate is revised where the revision for the period under FRS 102 represents affects only that period, or in the period of the employer contribution payable. The the revision and future periods where the liability to make payments to fund any revision affects both current and future deficit relating to past service in such plans periods. In particular, judgements are made is recognised where the Charity has entered in the following areas: into an agreement to make those payments. Pension costs for defined contribution - Depreciation and amortisation rates are schemes are charged to the Statement of

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over the estimated useful economic life of the assets;

Dilapidation provisions are an estimate of the cost to reinstate premises in line with lease obligations;
Freehold properties are held at valuation and continue to be maintained to a high standard. Trustees are satisfied that there are no indications of impairment and the current valuations remains appropriate. Whilst the impact of the ongoing pandemic has created an increased level of uncertainty around the UK property market, Trustees are satisfied that the valuation of property remains materially correct.
Pension assumptions for defined benefit pension schemes include, amongst others, estimates for longevity, discount rates and inflation.

o. Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks and other short-term liquid investments with maturities of three months or less.

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Notes to the consolidated financial statements

(For the year ended 31 March 2021)

3. Expenditure on Charitable activities

1. Incoming resources

Donations and legacies Donations	Group 2021 £’000 Group 2020 £’000

	530 45
Investment income Interest on UK cash deposits
	Group 2021 £’000 Group 2020 £’000

	204 269

Incoming resources from charitable activities

Incoming resources from charitable activities includes contract income from statutory sources and other sundry receipts. Grant income recorded during the year is disclosed within Note 12, ‘Restricted funds’.

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Direct Support Group 2021 Direct Support Group 2020
costs costs Total costs costs Total
£’000 £’000 £’000 £’000 £’000 £’000
Charitable activities:
Health and social care services 193,438 18,244 211,682 194,056 19,174 213,230
Training and emplyability 1,820 335 2,155 - - -
Total 195,258 18,579 213,837 194,056 19,174 213,230
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Total Support costs include Governance costs of £110K (2020: £126K).

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HR and Business Finance and Central Administration Group 2021
Training Support and IT Legal Services and Communications Total
£’000 £’000 £’000 £’000 £’000
Support costs allocated to
Charitable activities:
Health and social care services 2,332 8,210 2,384 5,318 18,244
Training and employability 6 14 67 248 335
Total 2,338 8,224 2,451 5,566 18,579
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2. Net income

Net incoming resources is stated after charging: Auditor's remuneration: -Audit services -Non-audit services Operating lease rentals: -Plant and machinery -Land and buildings Depreciation and amortisation	Group 2021 £’000 Group 2020 £’000


	78 62
	4 8

	1,030 739
	5,795 5,566
	172 161

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HR and Business Finance and Central Administration Group 2020
Training Support and IT Legal Services and Communications Total
£’000 £’000 £’000 £’000 £’000
Support costs allocated to
Charitable activities:
Health and social care services 2,152 8,292 2,748 5,982 19,174
Training and employability - - - - -
Total 2,152 8,292 2,748 5,982 19,174
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Support costs have been allocated to Charitable activities based on the direct costs of those activities.

Audit services fees, inclusive of VAT, are paid to Crowe U.K. LLP. Non-audit services of £4K includes £3K for professional fees and £1K for VAT advice (2020: Non-audit services of £8K includes £7K for assurance work and £1K for VAT advice).

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Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

4. Staff costs trustee remuneration and expenses, and the cost of key management personnel

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Group 2021 Group 2020
£’000 £’000
Wages and salary costs 112,341 105,081
Social security costs 10,905 10,629
Redundancy costs 523 785
Training costs 592 807
Recruitment and general payroll costs 824 964
Pension costs for defined contribution
3,316 3,016
pension schemes
Pension costs for defined benefit pension 1,330 612
schemes
Agency and third party organisations 18,958 18,364
Total 148,789 140,258
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Redundancy costs above relate to the costs of restructuring services at or around the commencement of services, or in response to changes in the funding and financial position on contracts. Total redundancy and termination costs paid in 2021 were £560K (2020: £1,254K). £80K remained unpaid at 31 March 2021 (2020: £11K).

Trustee remuneration and expenses are disclosed in Note 20.

The number of higher paid employees who received total remuneration in the following bands were as follows:

£60,000 to £69,999 £70,000 to £79,999 £80,000 to £89,999 £90,000 to £99,999 £100,000 to £109,999 £110,000 to £119,999 £120,000 to £129,999 £130,000 to £139,999 £140,000 to £149,999 £150,000 to £159,999 £170,000 to £179,999 £190,000 to £199,999 £200,000 to £209,999 £210,000 to £219,999	Group 2021 Number Group 2020 Number
	30 22
	15 11
	16 20
	15 13
	8 4
	2 4
	8 4
	7 3
	2 7
	1 1
	3 -
	- 1
	1 -
	- 1

Contributions of £3,299,081 (2020: £3,013,643) were paid into a defined contribution scheme. The other employees were members of the SHPS, NHS, LGPS or Civil Service defined benefit schemes (see note 19) into which contributions of £2,040,158 (2020: £2,102,905) were paid during the year. Employers’ pension contributions outstanding at the year end amounted to £1,084,153 (2020: £416,925).

The key management personnel of the Group comprises 7 (2020: 9) employees: the Chief Executive, six Executive Directors, the Chief Finance Officer and the Executive Medical Director. The total employee remuneration, benefits and contractual payments, inclusive of pension contributions and social security costs paid by the Charity, of the key management personnel were £1,597,725 (2020: £1,665,668).

The following table shows the base salaries and employer pension contributions of a number of the Executive Leadership Team:

Chief Executive Ofcer Chief Financial Ofcer Medical Director	Base salary Employer pension contributions
	2021 £’000 2020 £’000 2021 £’000 2020 £’000
	177 174 23 19
	134 132 6 4
	201 198 7 4

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Group 2021 Group 2020
Number Number
Employee numbers:
Average number of employees 4,057 3,741
Average number of full time equivalents 3,595 3,427
Average number of full time equivalents
split between:
Direct project staff 3,289 3,137
Operational support staff 45 43
Central support staff 261 247
Total 3,595 3,427
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During the year we have employed a number of new medical staff, both as a result of new services commencing following successful contract awards and as also as a result of individuals moving from contracted status to employed status.

During 2019-20 we removed the performance related bonus schemes historically operated, which is reflected in the table above.

83 (2020: 74) of the higher paid employees were accruing pension benefits under a defined contribution scheme and 14 (2020: 17) under defined benefit schemes.

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Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

5. Tangible fixed assets — Group and Charity

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Freehold property Total
£’000 £’000
Cost/valuation
At 1st April 2020 9,056 9,056
Additions - -
- -
Disposals
Revaluation (726) (726)
At 31st March 2021 8,330 8,330
Depreciation
At 1st April 2020 (498) (498)
Charge for the year (155) (155)
- -
Disposals
Revaluation 653 653
At 31st March 2021 - -
Net Book Value
At 31st March 2021 8,330 8,330
At 31st March 2020 8,558 8,558
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The total cost and valuation of freehold property at 31 March 2021 was £9.0 million and consists of nine properties. All nine properties have been formally valued to current market value by several professional surveyors with effective dates ranging from 5 March 2021 to 19 March 2021. All valuations were carried out in accordance with the Global Standards of the Royal Institute of Chartered Surveyors. In accordance with FRS 102, this resulted in an impairment of £0.7 million on the carrying value at the year end. The carrying amount that would have been recognised had the assets been carried under the historical cost model is £8.4 million. Depreciation is charged on freehold buildings on a straight-line basis over a period of 50 years.

The original cost of the freehold properties was £4.9 million.

6. Debtors

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Group Charity
2021 2020 2021 2020
£’000 £’000 £’000 £’000
Income receivable 33,543 21,485 9,771 8,855
Other debtors 1,483 683 1,062 325
Intercompany - - 31,963 20,221
Prepayments 2,351 2,992 2,338 2,982
Total 33,377 25,160 45,134 32,283
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7. Creditors

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Group Charity
2021 2020 2021 2020
£’000 £’000 £’000 £’000
Trade creditors 6,551 5,842 5,992 4,577
Deferred income 8,838 4,059 5,194 2,990
Social security and other
9,545 6,263 10,750 3,581
taxes
Accruals 21,292 20,916 21,269 20,893
Other creditors 2,628 4,498 2,237 3,981
Total 48,854 41,578 45,442 36,022
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Movements in deferred income

Group Charity	At 1 April 2020 £’000 Released £’000 Deferred £’000 At 31 March 2021 £’000
	4,059 (1,279) 6,058 8,838
	2,990 (210) 2,414 5,194

Contract income and grants are accounted for on an accruals basis in the period in which the performance criteria are met. Income is deferred due to the timing of receipts for contract income and grants.

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

Bank and other loans	Group	Charity
	2021 £’000 2020 £’000	2021 £’000 2020 £’000
	84 84	84 84

The loan from Brighton and Hove City Council is only repayable if the property is sold and is non-interest bearing. It is secured on the freehold property in St Andrew’s Road, Portslade, East Sussex.

Change Grow Live has provided Barclays Bank with a Debenture, dated 4 September 2013, in support of its Bond, Guarantee and Indemnity (BGI) facilities and a charge over its freehold property at 140 - 142 King’s Cross Road, London. In respect of the Debenture, a formula has been agreed whereby ‘Good UK Debtors under 90 days’ have to provide a minimum of two times cover against BGI exposure at any time. As at 31 March 2021, Change Grow Live had £1.9 million of BGI exposure (2020: £1.9 million) which was more than covered by ‘Good UK Debtors under 90 days’ which amounted to £28.6 million (2020: £30.6 million).

Included within ‘Income receivable’ is an amount of £0.09 million (2020: £0.1 million) relating to amounts invoiced in respect of the 2021-2022 financial year. An equivalent amount is included within ‘Deferred income’ in note 7.

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Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

9. Provisions for liabilities and charges — Group and Charity

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Pension Dilapidation
provisions provision Total
£’000 £’000 £’000
At 1st April 2020 2,836 5,826 8,662
Amounts provided in the year 1,032 734 1,766
Utilised during the year - (141) (141)
At 31st March 2021 3,868 6,419 10,287
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The pension provision includes Local Government Pension Scheme of £2.9 million (2020: £1.5 million) and Social Housing Pension Scheme of £1.1 million (2020: £0.4 million). A provision for NHS pension schemes of £0.2 million (2020: £1.0 million) has been made and is disclosed in other creditors.

10. Limited liability

The liability of each member of the charity is limited to £1.

11. Unrestricted funds — Group

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Total funds Other Total funds
brought forward Net incoming Gross transfers recognised carried forward
at 1st April 2020 resources between funds (losses) at 31st March 2021
£’000 £’000 £’000 £’000 £’000
Unrestricted funds 27,017 5,403 (497) 214 32,137
Pension reserve (2,836) 402 - (1,434) (3,868)
Free reserves 24,181 5,805 (497) (1,220) 28,269
Revaluation reserve 3,346 - 653 (726) 3,273
Fixed assets net of - -
4,575 (156) 4,419
related loans
Total unrestricted funds 32,102 5,805 - (1,946) 35,961
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Unrestricted funds — Group (cont.)

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Total funds Other Total funds
brought forward Net incoming Gross transfers recognised carried forward
at 1st April 2019 resources between funds (losses) at 31st March 2020
£’000 £’000 £’000 £’000 £’000
Unrestricted funds 19,488 3,561 3,968 - 27,017
Pension reserve (3,670) 1,701 - (867) (2,836)
Free reserves 15,818 5,262 3,968 (867) 24,181
Revaluation reserve 3,415 (69) - - 3,346
Fixed assets net of -
8,635 (92) (3,968) 4,575
related loans
Total unrestricted funds 27,868 5,101 - (867) 32,102
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Unrestricted funds — Charity (cont.)

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Total funds Other Total funds
brought forward Net incoming Gross transfers recognised carried forward
at 1st April 2019 resources between funds (losses) at 31st March 2020
£’000 £’000 £’000 £’000 £’000
Unrestricted funds 19,082 3,576 3,968 - 26,626
Pension reserve (3,670) 1,701 - (867) (2,836)
Free reserves 15,412 5,277 3,968 (867) 23,790
Revaluation reserve 3,415 (69) - - 3,346
Fixed assets net of -
8,635 (92) (3,968) 4,575
related loans
Total unrestricted funds 27,462 5,116 - (867) 31,711
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The Revaluation reserve relates to freehold properties (Note 5).

Unrestricted funds — Charity

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Total funds Other Total funds
brought forward Net incoming Gross transfers recognised carried forward
at 1st April 2020 resources between funds (losses) at 31st March 2021
£’000 £’000 £’000 £’000 £’000
Unrestricted funds 26,626 5,615 (497) - 31,744
Pension reserve (2,836) 402 - (1,434) (3,868)
Free reserves 23,790 6,017 (497) (1,434) 27,876
Revaluation reserve 3,346 - 653 (726) 3,273
Fixed assets net of - -
4,575 (156) 4,419
related loans
Total unrestricted funds 31,711 6,017 - (2,160) 35,568
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111

Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

12. Restricted funds

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Total funds Total funds
brought forward Incoming Resources Net incoming carried forward at
at 1st April 2020 resources expended resources 31st March 2021
£’000 £’000 £’000 £’000 £’000
Health and social care services
- Capital funds
a. Brighton & Hove PCT 300 - - - 300
b. Brighton & Hove PCT 253 - - - 253
Capital Funds 553 - - - 553
Health and social care services
- Revenue funds
c. PHE Capital funding - 184 175 - 175 359
Blackburn with Darwen
d. PHE Capital funding - 12 12 - 12 24
East Lancashire
e. PHE Capital funding -
210 210 (4) 206 416
Central & North Lancashire
f. PHE Capital Grant - Stockton 24 - - - 24
g. Big Lottery 11 246 (248) (2) 9
h. Sova funds 358 - - - 358
i. Donations to support
individuals entering - 283 (191) 92 92
employment
Revenue Funds 799 926 (443) 483 1,282
Restricted Funds - Group and
1,352 926 (443) 483 1,835
Charity
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12. Restricted funds (cont.)

a. Brighton & Hove Primary Care Trust

Funding towards the purchase of a freehold property in Hove, East Sussex in 2010-11.

b. Brighton & Hove Primary Care Trust

Funding towards the purchase of a freehold property in Eastbourne, East Sussex in 2014- 15.

c. PHE Capital funding - Blackburn with Darwen

Funding for a women’s’ centre property refurbishment and a drugs meter at the Blackburn with Darwen project.

d. PHE Capital funding - East Lancashire

Social Enterprise Scheme for refurbishment and re-sale of furniture.

e. PHE Capital funding - Central & North Lancashire

To help create a well-led skilled and valued adult social care workforce.

f. PHE Capital Grant – Stockton

Funding of a recovery gym in Middlesbrough.

g. Big Lottery

Various funding including:

To improve systems and services to meet the needs of families where a parent is dependent on alcohol;

Building safer communities through local volunteers to work with sex offenders to minimise alienation and support reintegration to prevent sexual reoffending;

PHE grant funding to support children growing up in households with an adult dependent on alcohol;

Helping people gain employment and skills through mentoring support;

Raising awareness across Newcastle of the dangers of cocaine and crack cocaine use.

h. Sova funds

Funding towards working with military veterans to achieve an ongoing level of good health based in Rotherham.

i. Restricted donations

Various grants and donations received for specific purposes to support the training and

employability of ex-offenders.

ANNUAL REPORT 2020-2021

113

114

Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

12. Restricted funds (cont.)

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Gross Total funds
Total funds Net transfers carried forward
brought forward Incoming Resources incoming between at 31st March
at 1st April 2019 resources expended resources funds 2020
£’000 £’000 £’000 £’000 £’000 £’000
Health and social care
services - Capital funds
a. Brighton & Hove PCT 300 - - - - 300
b. Brighton & Hove PCT 253 - - - - 253
Capital Funds 553 - - - - 553
Health and social care
services - Revenue funds
c. PHE Capital funding - 10 221 (47) 174 - 184
Blackburn with Darwen
d. PHE Capital funding - - 47 (36) 12 - 12
East Lancashire
e. PHE Capital funding
- Central & North - 210 - 210 - 210
Lancashire
f. PHE Capital Grant - - 24 - 24 - 24
Stockton
g. PHE Capital funding - - 182 (182) - - -
West Sussex
h. PHE Capital funding - - 750 (750) - - -
Birmingham
i. Big Lottery - - 70 (66) 3 - 3
Hertfordshire
j. Big Lottery - Staffordshire - 139 (132) 7 - 7
k. Big Lottery - Merseyside - 31 (31) - - -
l. Big Lottery - - 4 (4) - - -
Hertfordshire
m. Big Lottery - Newcastle - 27 (27) - - -
n. Sova funds - 358 - 358 - 358
Revenue Funds 10 2,064 (1,275) - 799
Restricted Funds - Group 563 2,064 (1,275) - 1,352
and Charity
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13. Analysis of Group net assets between funds

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Creditors:
Intangible and amounts falling Provisions for
tangible fixed due after more liabilities and Total
assets Net current assets than one year charges 2021
£’000 £’000 £’000 £’000 £’000
Unrestricted funds 7,777 38,555 (84) (10,287) 35,961
Restricted funds 553 1,282 - - 1,835
Total 8,330 39,837 (84) (10,287) 37,796
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----- Start of picture text -----
Creditors:
Intangible and amounts falling Provisions for
tangible fixed due after more liabilities and Total
assets Net current assets than one year charges 2020
£’000 £’000 £’000 £’000 £’000
Unrestricted funds 8,005 32,843 (84) (8,662) 32,103
Restricted funds 553 799 - - 1,352
Total 8,558 33,642 (84) (8,662) 33,454
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14. Commitments due under operating leases

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Land and buildings Other
Group Group Group Group
2021 2020 2021 2020
£’000 £’000 £’000 £’000
Gross obligations repayable on
leases:
expiring within one year 3,812 3,423 892 698
expiring between two and
five years 7,403 5,945 664 755
expiring in more than five years 5,112 3,768 - -
Total 16,327 13,154 1,556 1,453
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15. Reconciliation of net income to net cash inflow from operating activities

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Group 2021 Group 2020
£’000 £’000
Net income for the year 6,288 5,889
Actuarial and pension (losses) (1,434) (867)
Dividends, interest and rents from investments (204) (269)
Finance charges on defined benefit pension scheme deficit payment plan 214 -
- -
Amortisation charges
Depreciation charges 155 162
-
(Loss) on fixed asset disposal (653)
Increase/(decrease) in debtors (12,217) 6,739
Increase/(decrease) in creditors 7,276 (4,742)
Increase/(decrease) in provisions 1,625 (534)
Net cash provided by operating activities 1,051 6,378
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ANNUAL REPORT 2020-2021

116

115

Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

16. Pension schemes

Introduction

Note 16 provides details of a number of defined benefit pension schemes which Change Grow Live participates in as an employer. With the exception of the Social Housing Pension Scheme, Change Grow Live has obtained formal membership of these NHS and Local Government Pension Schemes (LGPS) as a result of being commissioned to deliver services which required members of these schemes to transfer in to Change Grow Live. All the defined benefit pension schemes are closed to new members.

Social Housing Pension Scheme (SHPS)

Change Grow Live participated in the Social Housing Pension Scheme (SHPS), a multiemployer scheme which provides benefits to some 500 non-associated employers. The scheme is a defined benefit scheme in the UK. Within the scheme, Change Grow Live operated a final salary benefit structure with a 1/60th accrual rate for its members. The scheme is closed to new members and

it was closed to future accrual as at 1 April 2017 and the three active members at that time were transferred into the SHPS defined contribution scheme. For Financial Years ending on or after 31 March 2020 the way in which an employer’s Defined Benefit pension obligation in SHPS is stated in its company accounts has changed. Previously there has been insufficient information available for an employer in SHPS to account for its obligations on a Defined Benefit basis (i.e. stating assets and obligations). As a result, and as required by FRS 102, employers have been accounting for the obligation by stating the present value of agreed future deficit repayment contributions. For Financial Years ending on or after 31 March 2020, sufficient information is available for an employer in SHPS to account for its obligations on a Defined Benefit basis.

Accordingly, the change from the present value of agreed future deficit repayment contributions to the FRS102 accounting disclosures are detailed on the following page in respect of the SHPS scheme:

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2021 2020
£’000 £’000
Balance Sheet at 31st March 2020
Market value of assets 5,013 4,519
Liabilities (6,116) (5,089)
Deficit (1,103) (570)
Changes in the present value of the defined benefit obligation are as follows: £’000 £’000
Opening defined benefit obligation (5,089) (5,983)
Interest cost (118) (137)
Actuarial (loss)/gain) (1,174) 922
Benefits paid 269 113
Current service cost (4) (4)
Defined benefit obligation at the year end (6,116) (5,089)
Changes in the fair value of the scheme assets are as follows: £’000 £’000
Fair value of scheme assets on commencement of FRS102 reporting 4,159 4,474
Interest income on plan assets 106 104
Actuarial gain/(loss) 492 (103)
Employer and participant contributions 165 157
Benefits paid (269) (113)
Fair value of scheme assets at the year end 5,013 4,519
The amounts included within the Statement of Financial Activities are as follows: £’000 £’000
Net interest on net defined benefit liability 12 33
Current service cost 4 4
Total amount charged within net income/(expenditure) 16 37
Actuarial loss/(gain) 682 (819)
Remeasurement effects recognised in overall funds movement 682 (819)
Total amount charged to the Statement of Financial Activities 698 (782)
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ANNUAL REPORT 2020-2021

118

117

Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

16. Pension schemes (cont.)

NHS Pension Scheme for England and Wales

Change Grow Live has separate Directions Body status in 62 areas with NHS Pensions during the year to 31st March 2021 (2020:60).

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Assets at 31st March Assets at 31st March
2021 2020
Additional disclosure items: £’000 % £’000 %
Equities 1,771 35.3 1,717 37.8
Other Bonds 296 5.9 258 5.7
Property 536 10.7 514 11.3
Cash/Liquid 30 0.6 19 0.4
Other 2,380 47.5 2,011 44.5
Total 5,013 100.0 4,519 100.0
----- End of picture text -----

----- Start of picture text -----
|||| |---|---|---| |Actuarial assumptions:|Beginning|End| |Financial|of year|of year| |Rate of RPI inflation|2.6%|3.3%| |Rate of CPI inflation|1.6%|2.9%| |Rate of increase in salaries|2.6%|3.9%| |Rate of increase in pensions|2.4%|2.4%| |Discount rate|2.4%|2.2%|

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The leaving employer’s share of the buy-out debt is the proportion of the Scheme’s liability attributable to employment with the leaving employer compared to the total amount of the Scheme’s liabilities (relating to employment with all the currently participating employers). The leaving employer’s debt therefore includes a share of any ‘orphan’ liabilities in respect of previously participating employers. The amount of the debt therefore depends on many factors including total Scheme liabilities, Scheme investment performance, the liabilities in respect of current and former employees of the employer, financial conditions at the time of the cessation event and the insurance buy-out market. The amounts of debt can therefore be volatile over time. Change Grow Live has been notified by The Pensions Trust of the estimated employer debt on withdrawal from the Scheme, based on the financial position of the Scheme as at 30th September 2017. At this date the estimated employer debt for Change Grow Live was £5.4 million. The next valuation is expected to be published in December 2021. Change Grow Live has taken steps to mitigate this employer debt and has a SHPS defined contribution scheme alongside the defined benefit scheme. Ongoing membership of this defined contribution scheme will mean that Change Grow Live would not be in a cessation position and the employer debt would not therefore fall due.

Past and present employees are covered by the provisions of the two NHS Pension Schemes. Details of the benefits payable and rules of the Schemes can be found on the NHS Pensions website at www. nhsbsa.nhs.uk/pensions. Both are unfunded defined benefit schemes that cover NHS employers, GP practices and other bodies, allowed under the direction of the Secretary of State for Health in England and Wales. They are not designed to be run in a way that would enable NHS bodies to identify their share of the underlying scheme assets and liabilities. Therefore, each scheme is accounted for as if it were a defined contribution scheme: the cost to the NHS body of participating in each scheme is taken as equal to the contributions payable to that scheme for the accounting period. The total employer contributions payable in 2020-2021 were £1,862,146 (20192020: £1,925,892). At 31st March 2021 there were 392 (2020: 419) active members in the scheme employed by Change Grow Live.

In order that the defined benefit obligations recognised in the financial statements do not differ materially from those that would be determined at the reporting date by a formal actuarial valuation, the FReM requires that the period between formal valuations shall be four years, with approximate assessments in intervening years. An outline of these follows:

a. Accounting valuation

A valuation of scheme liability is carried out annually by the scheme actuary (currently the Government Actuary’s Department) as at the end of the reporting period. This utilises an actuarial assessment for the previous accounting period in conjunction with updated membership and financial data for the current reporting period, and is accepted as providing suitably robust figures for financial reporting purposes. The valuation of the scheme liability as at 31 March 2021, is based on valuation data as 31 March 2019, updated to 31 March 2020 with summary global member and accounting data. In undertaking this actuarial assessment, the methodology prescribed in IAS 19, relevant FReM interpretations, and the discount rate prescribed by HM Treasury have also been used.

The latest assessment of the liabilities of the scheme is contained in the report of the scheme actuary, which forms part of the annual NHS Pension Scheme Accounts. These accounts can be viewed on the NHS Pensions website and are published annually. Copies can also be obtained from The Stationery Office.

ANNUAL REPORT 2020-2021

119

ANNUAL REPORT 2020-2021

120

Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

b. Full actuarial (funding) valuation

The purpose of this valuation is to assess the level of liability in respect of the benefits due under the schemes (taking into account recent demographic experience), and to recommend contribution rates payable by employees and employers.

The latest actuarial valuation undertaken for the NHS Pension Scheme was completed as at 31 March 2016. The results of this valuation set the employer contribution rate payable from April 2021.

The Department of Health and Social Care have recently laid Scheme Regulations confirming that the employer contribution rate will increase to 20.6% of pensionable pay from this date. Change Grow Live has confirmation that the employer contribution will remain at 14.38% and that central payment will be made by NHS England and the Department of Health and Social Care for the respective proportions of the additional 6.22%.

Local Government Pension Schemes

In the process of taking over certain contracts, Change Grow Live gains admission body status into Local Government Pension Schemes which are multi-employer defined benefit schemes. During the year Change Grow Live had admission body status with the London Borough of Newham Pension Fund, the Nottinghamshire County Council Pension Fund, the West Midlands Pension Fund, the Northamptonshire Pension Fund, the London Borough of Lewisham Pension Scheme, the West Sussex Pension Fund, the Norfolk Pension Fund, the Reading Pension Fund and the Merseyside Pension Fund. All of these schemes are closed to new entrants from Change Grow Live.

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2021 2020
£'000 £'000
Market value of assets 5,357 4,892
Liabilities (8,211) (6,416)
Deficit (2,874) (1,524)
Split between the schemes: £’000 £’000
The London Borough of Newham Pension Fund (258) (109)
The Nottinghamshire County Council Pension Scheme (782) (385)
The West Midlands Pension Fund - Birmingham contract (1,122) (312)
The London Borough of Lewisham Pension Fund (155) (51)
The West Sussex Pension Fund (204) (180)
Merseyside Pension Fund (106) (91)
-
Reading Pension Fund (89)
Norfolk (158) (75)
The West Midlands Pension Fund - Walsall contract - (321)
Total 5,357 4,892
Changes in the present value of the defined benefit
obligation are as follows: £’000 £’000
Opening defined benefit obligation (6,416) (6,047)
Defined benefit obligation on admission to scheme (130) (472)
Interest cost (132) (149)
Actuarial (loss)/gain (1,062) 499
Benefits paid (113) 107
Participant contributions (42) (49)
Past service cost (46) -
Current service cost (270) (305)
Defined benefit obligation at the year end (8,211) (6,416)
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The admitted body status agreement for Change Grow Live’s membership of the Northamptonshire Pension Fund includes a ‘risk share’ arrangement. This means that Change Grow Live will not be liable for any cessation liability on termination of the admission body agreement and is therefore only liable for regular employer contributions into the schemes. On that basis, these schemes have been treated as if they were defined contribution schemes and the accounting charge is taken as being equal to the contributions payable in the accounting period. There was one member in these schemes as at 31st March 2021 (2020 - two members). The total contributions paid by Change Grow Live into this scheme during the year was £8,895 (2020: £8,803).

Accordingly, the FRS 102 disclosures below relate to the London Borough of Newham Pension Fund, the Nottinghamshire County Council Pension Fund, the West Midlands Pension Fund, the Northamptonshire Pension Fund, the London Borough of Lewisham Pension Scheme, the West Sussex Pension Fund, the Norfolk Pension Fund, the Reading Pension Fund and the Merseyside Pension Fund and all nine schemes are disclosed together as required by FRS 102.

ANNUAL REPORT 2020-2021

121

122

Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

16. Pension schemes (cont.)

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Changes in the fair value of the scheme assets 2021 2020
are as follows: £'000 £'000
Opening fair value of scheme assets 4,892 4,816
Fair value of scheme assets on admission to the scheme 62 368
Interest income on plan assets 102 127
Return on scheme assets (less) than discount rate (79) (320)
Actuarial gain/(loss) 39 (252)
Employer and participant contributions 208 260
Benefits paid 113 (107)
Fair value of scheme assets at the year end 5,337 4,892
The amounts included within the Statement of
£’000 £’000
Financial Activities are as follows:
Net interest on net defined benefit liability 30 22
Current service cost 270 305
Total amount charged within net income/(expenditure) 300 327
Net defined benefit liability b/fwd on admission to the schemes 68 104
Actuarial loss/(gain) 750 (247)
Return on scheme assets greater than discount rate 170 320
Remeasurement effects recognised in overall funds movement 988 177
Total amount charged to the Statement of Financial Activities 1,288 504
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17. Subsidiary companies

Change Grow Live Services Ltd

(Company number 6228752 (England and Wales))

Change Grow Live Services Ltd undertakes contracts delivering a broad range of health and social care services and commenced trading on 1 October 2017. The company outsources this work to Change Grow Live, its parent company, at a value equal to income receivable under the terms of the service contract less a fee in line with the service agreement between the two organisations.

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2021 2020
£’000 £’000
Income 153,392 124,051
Expenditure (153,392) (124,051)
Net incoming resources - -
2021 2020
£’000 £’000
Gross assets 35,797 25,754
Total liabilities (35,797) (25,754)
Net assets - -
----- End of picture text -----

The results of Change Grow Live Services Ltd for the years to 31st March 2021 and 2020 are consolidated in these financial statements.

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Assets at 31st March Assets at 31st March
2021 2020
Additional disclosure items: £’000 % £’000 %
Equities 3,122 58.3 2,767 56.4
Government Bonds 501 9.4 554 11.3
Other Bonds 399 7.5 347 7.2
Property 452 8.5 482 9.8
Cash/Liquid 289 5.4 151 3.1
Other 584 10.9 591 12.1
Total 5,247 100.0 4,892 100.0
----- End of picture text -----

----- Start of picture text -----
|||| |---|---|---| |Actuarial assumptions:|Beginning|End| |Financial|of year|of year| |Rate of RPI inflation|2.5%|2.6%| |Rate of CPI inflation|1.8%|2.7%| |Rate of increase in salaries|2.5%|3.7%| |Rate of increase in pensions|1.6%|2.7%| |Discount rate|2.1%|2.0%|

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ANNUAL REPORT 2020-2021

123

124

Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

17. Subsidiary companies (cont.)

Social Enterprises

The Secret Space Ltd

The Secret Space Ltd is limited by guarantee and is entitled to exemption from audit under section 479A of the Companies Act 2006 for the year ended 31st March 2021. No member of this company has required the company to obtain an audit of the financial statements for the year ended 31st March 2021 under Section 476 of the Companies Act 2006.

The results of The Secret Space Ltd for the year to 31st March 2021 and 2020 are consolidated in these financial statements.

On the 31 March 2021 The Secret Space ceased to be a subsidiary of Change Grow Live. The Secret Space will continue to trade as a separate entity.

A donation of £40K was made to The Secret Space during the year.

The income and expenditure of Secret Space and their balance sheets at 31 March are summarised below:

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2021 2020
£’000 £’000
Income 147 207
Expenditure (155) (222)
Net incoming resources 32 (15)
2021 2020
£’000 £’000
Gross assets 92 57
Total liabilities (28) (24)
Net assets 64 33
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Bounce Back Foundation

(Company Number 07675301 (England and Wales))

(Charity Number 1144297 (England and Wales))

Change Grow Live became the sole member of Bounce Back Foundation on the 29 July 2020.

Bounce Back Foundation is a registered charity, limited by guarantee. Its primary objective is the rehabilitation of ex-offenders, the relief of unemployment and the advancement of education and training principally with ex-offenders but also other socially excluded or marginalised people.

The activity and purpose of Bounce Back Foundation aligns with the charitable objectives of Change Grow Live, centred on improving the lives of individuals and the communities in which they live.

The acquisition agreement included a cash payment to a maximum of £50,000 and also included the cancellation of preference shares which had a redemption value of £214,000.

The following table shows the consolidated net assets of Bounce Back Foundation as at 29 July 2020, and the income and expenditure account for the period 29th July 2020 to 31st March 2021.

----- Start of picture text -----
2020
£’000
Net assets 25
Represented by:
Unrestricted funds (68)
Restricted funds 93
Net assets 25
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----- Start of picture text -----
2021
£’000
Income 2,077
Expenditure (2,060)
Net incoming resources 18
----- End of picture text -----

----- Start of picture text -----
2021
£’000
Gross assets 890
Total liabilities (757)
Net assets 133
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The results of Bounce Back Foundation from the period 29 July 2020 to 31st March 2021 are consolidated in these financial statements.

ANNUAL REPORT 2020-2021

126

125

Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

17. Subsidiary companies (cont.)

Bounce Back Project

(Company number 8699910 (England and Wales))

Bounce Back Project Limited is a UK incorporated and registered company, consisting of 100 ordinary shares of £1 which is a wholly owned subsidiary of Bounce Back Foundation.

Bounce Back Project Limited is a painting and decorating social enterprise,

offering training and work experience.

The results of Bounce Back Project Limited for the period 29th March 2020 to 31st March are consolidated in these financial statements.

As part of the acquisition of Bounce Back Foundation, the preference shares in Bounce Back Project Limited of £214K have been cancelled.

The income and expenditure of Bounce Back Project Limited and their balance sheet at 31 March 2021 are summarised below:

----- Start of picture text -----
2021
£’000
Income 92
Expenditure (101)
Net incoming resources (9)
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Dormant subsidiary companies

Change Grow Live also has the following wholly owned subsidiary companies, none of which have traded during the year, nor since incorporation: Change Grow Live also has the following wholly owned subsidiary companies, none of which have traded during the year, nor since incorporation:

CRI Enterprises Group Limited - company number 8719857, limited by guarantee, Nil net assets/liabilities.

Crime Reduction Initiatives Limited - company number 9832039, limited by guarantee, Nil net assets/liabilities.

SOVA – company number 03645143, limited by guarantee, Nil net assets/ liabilities

CRI Enterprises Group Limited and Crime Reduction Initiatives Limited are dormant subsidiary companies which are registered in England and Wales and are consolidated within these accounts. There were no transactions with Change Grow Live during the year.

SOVA is in the process of being struck off with Companies House and has not been consolidated within these accounts. The net assets of SOVA were £nil at 31 March 2021.

----- Start of picture text -----
2021
£’000
Gross assets 23
Total liabilities (398)
Net assets (375)
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The companies claiming exemption from audit under section 479A of the Companies Act 2006 are:

The Secret Space Ltd

Company number 9161978 (England and Wales) Charity number 1167219

ANNUAL REPORT 2020-2021

127

128

Notes to the consolidated financial statements for the year ended 31 March 2021 (cont.)

18. Investments

On 3rd November 2014 Change Grow Live acquired a 5% interest in The Reducing Reoffending Partnership Limited at a cost of £5.

On 29th July 2020 Change Grow Live acquired a 100% interest in Bounce Back Foundation at a cost of £50,000.

19. Capital commitments — Group and Charity

There are no capital commitments at the year end.

20. Trustee and related party transactions

There are no other related party transactions outside of those with group companies already disclosed above.

During the year, no Trustee received any remuneration (2019- 2020: £nil). Two trustees (2019-20: Six trustees) received general travel expenses totalling £227 (2019-20: £5,097).

During the year, Change Grow Live continued its insurance policy to indemnify the charity trustees or other officers against all risks except for dishonesty, fraud or deliberate breach of trust. The insurance cost £3,388 (2019-20: £3,080).

During the year £153.1 million (2019-20: £121.1 million) was receivable from Change Grow Live Services Ltd. At the year end £32 million (2019-20: £20.1 million) was due from Change Grow Live Services Ltd.

During the year £0.23 million was receivable from Bounce Back Foundation Limited. At the year end £0.23 million was due from Bounce Back Foundation.

During the year £nil million was receivable from Bounce Back Project Limited to Bounce Back Foundation. At the year end Bounce Back Project Limited owed £0.38 million to Bounce Back.

21. Ten year summary

The table below discloses Change Grow Live and the Group’s financial performance over the last ten years and includes details of annual growth rates and return on ‘Incoming resources’.

----- Start of picture text -----
Group
Group Group Group Group Group (Restated) Group Group Charity Charity
2020/21 2019/20 2018/19 2017/18 2016/17 2015/16 2014/15 2013/14 2012/13 2011/12
£’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000
Incoming
220,126 219,120 212,574 195,546 155,970 158,326 141,520 116,815 99,817 80,815
resources
Growth % 0% 3% 9% 25% -1% 12% 21% 17% 24% 17%
Resources
(213,838) (215,163) (210,332) (192,976) (152,433) (156,310) (139,242) (114,723) (97,595) (79,030)
expended
Net
incoming 6,288 3,957 2,241 2,570 3,537 2,016 2,278 2,092 2,222 1,785
resources
% 2.9% 1.8% 1.1% 1.3% 2.3% 1.3% 1.6% 1.8% 2.2% 2.2%
Expenditure
on raising - - - - - - (407) (331) - -
funds
Other
recognised
(1,946 1,066 (1,036) 127 (244) 2,324 277 281 (50) (887)
(losses)/
gains
Net
movements 4,342 5,023 1,205 2,697 3,293 4,340 2,148 2,042 2,172 898
in funds
% 2.0% 2.3% 0.6% 1.4% 2.1% 2.7% 1.5% 1.7% 2.2% 1.1%
Total funds
carried 37,796 33,454 28,431 27,226 24,529 21,236 16,896 16,881 14,839 12,667
forward
----- End of picture text -----

% above is in relation to ‘Incoming resources’.

Expenditure on raising funds relates to the costs incurred in bidding for the Ministry of Justice ‘Transforming Rehabilitation’ competition. Total funds carried forward were restated in 2014/15 due to the effects of the implementation of FRS 102.

ANNUAL REPORT 2020-2021

129

ANNUAL REPORT 2020-2021

130

ANNUAL REPORT 2020-2021 131

About Change Grow Live

Find out more

W: changegrowlive.org

Believe in eo le p p

Contents

A message from our CEO, Mark Moody

A message from our Chair of Trustees, Mike Pringle

Trustees’ annual report: Believe in people

Our strategy and values have guided us through the pandemic

We are guided by our values

Our values shape our strategy

Be open, be compassionate, be bold.

Lasandra

Introducing our National Lived Experience Group

How the National Lived Experience Group works

The National Lived Experience Group — a crucial resource throughout the pandemic

Using data to make a difference

The Pulse Survey — a new way of listening to the people we support

Helping services make better decisions through data

A new approach to blood borne viruses

Self-testing and the blood borne virus toolkit

Lindsay

New and innovative approaches to testing, treatment and support

Jamie

In London, the HIV Fast Track team are part of a major initiative to tackle HIV in the city

Richard

Supporting children and young people

Working with professionals to better support young people

Listening and responding to young people

Karrol

Equality, diversity and inclusion

Embracing diversity across our organisation

Welcoming our new Director of Equality, Diversity and Inclusion

Ritchie

Adapting to working digitally during lockdown

New ways for people to engage online

“It’s been challenging, but it’s also inspired us to completely rethink how we engage with the people we’re here to support.”

Keeping people safe and connected

Bridging the digital divide

Supporting homeless communities

Paul

Collaborating with The Salvation Army

Kieron

In Leeds, the Street Outreach Team have been forming lots of useful partnerships.

Ryan

Community pharmacies; a vital lifeline for the people we support

Social value; building stronger communities through our actions

Working with Bounce Back to give people a fair chance

A story from a young person supported by one of our services

Celebrating our amazing volunteers

Khayra

Bianca

Richard’s story

Non-judgemental drug advice for young people

Launching the campaign

How Smoke Free Hull made their mark during the pandemic

Welcoming new services

The Base, Kirklees

Children’s Rights Service, Derby

South Yorkshire Appropriate Adult

Sussex Domestic Abuse Complex Needs Navigator

Financial review

Reserves policy

Cash reserves

Going concern

Pensions

Our aspirations for 2021-22

Financial measures

Clinical

Service and organisational development

Research

Quality and governance

People

Digital innovation

Equality, diversity and inclusion

Service user involvement

Principal risks and uncertainties

Structure, governance and accountability

become victims of domestic abuse; or