Registered number: 03719101 Charity number: 1084124 COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) CONTENTS Page Reference and Administrative Details of the Company9 its Trustees and Advisers ChaImn,5 Ststement Trustees. Report Independent Auditors. Report on the Financial Statements SLtsment of Financial Activities 4-12 13-17 18 Balance Sheet 19-20 Statement of Cash Flows 21 Notes to the Financial Statements 22-41
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THEYEAR ENDED 31 MARCH 2024 Trustees J Dwight (Chair) Rcwade M Straton J Jansen S Malone Mcox J Comerford Company registered number 03719101 Charity registered number 1084124 Registered office Unit A 76 Kingsholm Road Gloucester Gloucestershire GLI 3BD Company secretary J Ight Chief executive officer M Kingston Independent auditors Byrd LinkAudlt & Accountancy Services Limited Je&8op Avenue Cheltenham Gloucestershire GL50 3SH Bankers Natwest 2nd Floor The Quadrangle The Promenade Cheltenham Gloucestershire GL50 1 PX Solicitors BPE st James, House St James, Square Cheltenham Gloucestershire GL50 3PR Page 1
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS ICONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Registered Manager E Weaver Senior Leadership Team M Kingston E Weaver S Hart (left August 2023) D Whitson-Jones Page 2
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) CHAIR'S STATEMENT FOR THE YEAR ENDED 31 MARCH 2024 The Chair presents their ststement for the year. This year has seen fvrther developments of Community Foster Care's therapeutlc offer, induding the development and rollout of our therapeutic assessment process. Thi8 work continues to grow and allowB US to provide additional assistance to our young people. Much work this year has focussed on winding up the work of Community Family Care. However, Community Foster Care continues to provide family support services to our foster carers via experienced and dedicated Family Support Workers. This year's deficit Is a result of the number of Foster Carers and children we look after reducing, in line with the national picture. However, our turnover has slightly increased, reflecting the more complex cases our stsff has been working with. Cost of living pressures have caused struggles for the sector, and thls has not been helped by the financial pressures Local Authorities have faced. Fortunately, good financlal planning has enabled us to continue our work as planned due to healthy reserves. Thanks go to our dedicated personnel, both staff and carers, who are doing an excellent job supporting our young people. Jennie Dwight, Chalr of tiie Board of Directors and Trustees Date: Page 3
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) TRUSTEES, REPORT FOR THE YEAR ENDED 31 MARCH 2024 The Trustees present their report and audited financial ststements for the year ended 31 March 2024. The Trustees have adopted the provisions of the Statement of Recommended Practice (SORP) "Accounting and Reporting by Charities. in preparing the Trustees, report and financial statements of the charity. The Board of Trustees Jennie Dwight (Chair) Joanna Jansen (Trustee) Mariana Straton (Trustee) Charles Wade (Trustee) Stephenie Malone {Trustee) Mary Cox (Trustee) Jane Comerford (Trustee) Structure, Governance, and Management Governin Document The organisation is a charitable company limited by guarantee, incorporated on 24 February 1999 (registration number 03719101) and registered as a Charity on 15 December 2000 (Charity number 1084124). The Charity was established under a Memorandum ofAs60ciation, as amended by Special Resolutions dated 25 November 2009, 1 February 2012, and 30 May 2012, which estsblished the objectives and powers of the charitable company and is governed under its Articles of Association. On 30 July 2018, these articles were extended to incorporate the work undertaken by Community Family Care and to enable this work to be continued by Community Foster Care (CFC). Recr itment ointment of Trustees The charity's Directors are also Trustees for the purposes of Charity law. Jennie Dwight continues to act as Chair, and the Board continues to be made up of seven Trustees. In addition to the Trustees, Foster Carers (non-voting) regularly attend the Board meetings: one from the service in the north and one from the service in the south. Their role is primarily to represent the views of the foster carers. AJI of the Charitys work focuses upon children, young people and their families and the Board of Trustees has sought to ensure that the needs of this group are appropriately reflected on the Board. For example, we have Trustees with professional backgrounds in family law, education, fostering, compliance, and employment law. The Board always seeks to ensure that it has the appropriate skill sets required to develop the Charity fijrther. Community Foster Care ensures that any new Trustee is selected and recruited safely in line wth expected practices and regulations. Trustee Trainin AJI Trustees and prospective Trustees are required to undertake an induction to familiarise themselves w5th all aspects of the Charity and its context. We ensure Trustees are provided with information regarding: The obligations of Trustees (rules of engagement)., The main documents which set out the operational framework for the Charity including the Memorandum and Articles and the Fostering Service (England) Regulations 2011,. The Charitys business strategy. Page 4
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED FOR THE YEAR ENDED 31 MARCH 2024 The Twstees & Senior Leadership Team (SLT) continue to operate within the Scheme of Delegation. This Scheme of Delegalion sets out Terms of Reference for three subgroups, each reporting to the Trustees. The Scheme of Delegation was reviewed in each subgroup in the 2023-24 year. Each group is responslble for and considers two areas of the organisation's strategy. The three Sub-Groups are: The Fostering Quality Assurance Group; Promoting Good Outcomes, People & Safeguarding Group; Finance and Resources Group. Each of these groups and the Board of Trustees meet thrice yearly. Therefore, the board is formally involved with the charity on a monthly basis. There is also provision for an extraordinary Trustee's meeting to be called if necessary. There was one extraordinary meeting held in the period which reviewed the organisations strategy and focus. The Schemes of Delegation Review 2023 worked fvrther to incorporate the wider managers and reviewed financial delegations. na en Regular reviews of the Risk Register have been embedded in the organisation's governance structure and are a standing item on the agenda of each subgroup, with each subgroup taking ownership of appropriately identified risks. A log of any change to the risk register is recorded wth justification. All major risks are regularly reviewed and systems and procedures have been established to manage these risks. The Charty's policies are regularly reviewed in light of new guidance andlor legislation received from the Govemment. CFC strives for excellence in all its work and is committed to ensuring the appropriate regulalions are adhered to, which protect the children living our families, the Foster Carers, the staff team, and the Board of Trustees. Furthermore, the organisation works with Tri.X to review policies externally to ensure they are held to the highest standard and in line with changes in legislation or recommended best practices. A key risk area to which we have not been immune is the reduction of income from our foster placements. Significant work has been taking plaGe to mitigate this risk, including enhanced financial procedures, a recruitment strategy, ensuring purchasers meet additional ongoing costs identified within placements, and routine robust financial monitoring. Community Foster Care continues to Comply with GDPR. It engages the ICO regularly to ensure its guidance is up to date, all staff are appropriately trained, and any data breaches or near misses are reported appropriately. The organisation commissioned a gap analysis of its compliance with GDPR legislats'on 1¢h identified some areas of improvement. An action plan is being developed to implement these changes. The health and safèty of employees is constantly under review, and procedurés are in place to ensure compliance with the heafth and safety of stsff, volunteers. Foster Carers, and visitors. The health and safety of children and Foster Carers are glven the highest priority, and the governance for this is di¢tated under the Fostering Service (England) Regulations 2011 . Or anis8tional Structure Community Foster Care has a Board of Trustees. which is responsible for the charitys strategic direction and meets as a Board three times a year. Recruitment of new Trustees is ongoing and continually kept under review by the Board. The Chief Exetxlive is responsible for the day-to-day provision of the service, ensuring that the charity delivers the specifjed services and meets key performance indicators. Page 5
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 The Chief Executive is supported by a Senior Leadership Team that includes a Registered Manager and Business Development Manager. Salaries for the whole staff, including the Senior Lèadership Team, are benchmarked against the wider market. The HR officer conducts this work, which is then reviewed and approved bythe Board of Trustees. The organisation continues to operate successfrjlly with one Otsted registration. We were not visited by Ofsted during the year. The Business Support Team has continued to grow in line with the organisation's business plan, particularly the marketing team, which delivers the organisation's recruitment and retention objectives. The organisation awarded a cost of living increment to foster carers and staff in the year. It continues to monitor the competitiveness of its salaries and undertakes a benchmarking process in the year. It concluded that no staff member was being underpaid for their role. As part of the organisation's strategic review in the year, the charity shifted its ole focus to Foster Care activities and not on the edge of care services. AEI non-fostering work ceased by 31 March 2024. As a result, number of redundancies were made in the year. Public Benefit and Social Im act A significant public benefit of Community Foster Care is providing opportunities for local community members to foster. Community Foster Care believes that good foster carers come from all communities and backgrounds. We activety seek carers from all communities to strengthen our ability to meetthe diverse needs of the children in the care population. The work Community Foster Care undertakes is in line with its Memorandum and Articles of Association, the geographical restriction was amended in 2004. The Trustees amended the Memorandum and Articles of Association in May 2017 to align with recent guidance. The Trustees also noted in early 2018 that the revised Memorandum and Artides of Association should be widened to allow for the wider activities of our parent charity, Community Family Care, to be undertaken within Communty Foster Care. These revisions were recttfied in the special resolution on the 30 July 2018 by the Trustees. This enabled the Trustees to dissolve the parent charity, Community Family Care on 7th May 2019. The Board of Trustees confims that they have complied with their duty in Section 17 of the Charities Act 2011 to have due regard to public benefit guidance published by the Charity Commission for England and Wales. The social impact of the work of the charity is deemed significant. Community Foster Care looks after some of society's most disadvantaged children and young people. The majority will have experienced some form of abuse and neglect, experienced difficulties with educational attainment, and are commonly isolated from their peer groups. Through our work, we provide security of family life, encouragement and guidance in education and develop self-esteem to play a more active and constructive role in society. At the end of March 2024, we cared for 32 (2023., 43) children and young people on behalf of Local Authorities, and during the year 2023-24, over 49 (2022-23. 61) children and young people benefitted from our care. This drop in children living with our families is down to a number of factors including but not limited too.. National trend of foster carer resignations. Larger proportion of higher intensity arrangements. and A number of unplanned endings in the last quarter. Page 6
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 As the organisation develops its fostering model it increases its work with more complex arrangements where young people may need more support than is set out in the specifications provided by Local Authorities. As this work has developed, the organisalion's stability rating has gradually increased over a number of years. However, there were a number of unplanned endings towards the end of the year which has resulted in this rating dropping a little at 31 March 2024. A review of these unplanned endings has taken place and has been considered by the whole organisation. Fundraising The Charity does not carry out significant fundraising activities and, as a result, has no fundraising activities requiring disclosure under section 162A of the Charities Act 2011 . Objectives and Activities The objects of the Charity as amended on 30 July 2018 are: O&JECTS The Charity's objects. restricted specifically foi the public benefit. are: (a) To operate a fosler care agency In Ihe Unrted Kingdom regarding tralnlng and approving Foster Carers in particuSar but rkot exdusivety from social and economically deprivod areas. (b) To prowde relief lo children and young people in need and in parficular those in the care of, or accommodaled by, a local authority by". providing Ihem wilh. or olhetwise assistlng in the provision of, placement or placements in suitable accommodation and providlng them with, or assisting in the provislon of, appropriale carers with the aim of Providing them th a stable lamily life; and (li) providing for their education and eslablishmenl In Ilfe. (c) To promole and protecl the good health of children, young people, adulls. and their families who are In need or who are socially and economlcally disadvanlaged in any way and in particular those who have been in Ihe care of: or accommodated by, a Local Aulhoiity by-. (t) providing training. supporl and guidance; (li) providing them wilh, or otherwise assisting in the provision of, placement or placements in suitable accommodation and providing them with, or assisting in the provision of. appropriate carets With the aim of improving family lrfe- and (iii) Providing for their educalion and establishment In life. (d) The relief of povety and in particular the assistance of children and adufts who have as children been in Local Authofity care and their families. Page 7
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 A key strand of the Community Foster Care approach is to develop longstanding relationships with communities often disadvantaged communities. Potential foster carers are targeted from all areas of the community, including socially and economically disadvantaged areas. Community Foster Care's approach has been to develop the skills and social capital wthin these specific neighbourhoods, with a viewto enabling families within these communities to provide warm. stable homes to children in need. Thss approach sees our inteNentions building the knowledge and resources within these communities. We have introduced an innovative approach to the recruitment of foster carers. Community Foster Care aims to provide.. A commitment to a child-centred approach. High-quality foster care in a family setting for chlldren and young people; Respect for racial, cultural, and religious backgrounds of all children and young people., Care for the disability, gender, and sexuality of foster children during the matching process., 24-hour support for foster carers., Carers who will respect the children's rights in their homes under the UN Convention on Children's Rights and not administer corporal punishment to any child., A commitmentto the ongoing leaming and training of foster carers. A Commitment to the ongoing learning and training of all Placement Support Workers and Social Workers: employed by Community Foster Care and all other support staff. Business Planning After considerable progress on our previous strategy (2019-2022). SLT, supported by the Trustees and wider stsff team reviewed and began to implement a new strategy that was based on the success and leaming of the previous one. Our new strategy continues to consider six threads. These are.. Fostering Better Outcomes; Talented Inspired People. Empowering Efficient Systems., Connecting Children with Families., Effective Use of Resources: Charity Viability. Senior Managers have worked closely with the Trustees to develop this ambitious plan for this period. This strategy has built a firm foundation underpinned by our values and purpose, which were reviewed with staff, foster carers and children in 2018. Based on a deep understanding of these, we have created a plan that further develops our ability to athieve our purpose. Achievements and Perfomiance during 2022-2023 The tsble below details the number of children placed with our carers at the end of each fiscal year. Planned breaks and stsying put arrangements are not included. Number of Children livina with CFC carers 2017 2018 2019 2020 2021 2022 13 17 10 19 18 35 33 31 24 20 48 50 41 43 38 2015 10 34 44 2016 13 31 44 2023 16 27 43 2024 13 19 32 North South Total 31 51 The number of thildren living with CFC families has reduced in year. It is worth noting that this hasn't led to a comparative reduction in tumover as the organisation focuses more on therapeutic and complex arrangements. Page 8
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Number of Fosterin 2017 2018 2019 11 13 14 36 34 37 47 47 51 Househokls 2020 2021 15 31 2015 15 30 45 2016 13 35 2022 15 26 41 2023 11 25 2024 North South Total 14 28 42 22 31 The recruitment of carers remains a key issue for Community Foster Care, as it does for all agencies nationwide. We Continue to invest in this area and its resources. In the past year, a Recruitment and Retention Strategy was introduced, V*hich led to the recruitment of a Marketing Manager and Content and Engagement Officer. Financial perforniance, as detailed in this report, shows the Charity maklng a deficit of £59,719 for the year. This performance is in improvement on Ihe budget agreed by Ihe board pre year. However, in the year, a prevlously unknown contractual liability came to light. This impacted the 2023-24 financial period and had material difference on the prior period resulting in a transferring deficlt to the prior period of £58,559. During 202>24 the Charity continued to make use of social medla and is continulng to develop its strategy of online recruitinent. Our 'organic' following has grown over the year. We have offices in Royal Wootton Basset, Lancaster and Workington which meet the needs of our carers in these localities. A Social Worker and a Placement Support Worker operate from these offiGes, which is also a base for training. As we continue to adopt a 'one organisation, approach other key roles are based in these offices. Our registered office is in Gloucester. Although thls office provides for the organisations Core functionalty, we are increasingly distributing fvnctionality across our footprint and using technology to enable succinct working. The organisation has worked hard to ensure our office spaces are used more effectively by staff, carers and young people. Community Foster Care is committed to providing a range of activities and support to our children and young people. Engaging young people face to face has Continued to be a priority. In the year, many activities took place, including successful community events, children's activities, and the alway8 popular summer residential. Our annual carer Christmas dinners were held across the organisation. We invited guest speakers and recognised some of our longer-serving foster carers for their commitment to the children and young people in their care. There were also several activities at Christmas for all our children. Community Family Care Going into 2023-24 the organisation continued to deliver Communty Family Care Services which included: Family & Placement Support. Art Journal Projects; Family Group Conferencing; and Youth Services In June 2023 an extraordinary meeting of the Board of Trustees was held to consider the operations of Community Family Care. The board concluded that as a small children's charity ryth reducing placement and foster carer numbers, its focus needs to be on our fostering, which is a primary task to meet our mission. Page 9
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Following years of austerity, cov119, and the cost of living crisis, the organisation simply doesn't have sufficient resources to invest time and energy in these other activities. Diversification for companies is often helpfijl or ndamental to their ongoing survival, but this is not likely to be the case with these activities. It had become evident that Local Authorities have severely restricted fvnds for preventative services. The major demand is for fostering. In recent years, we have been able to develop and specialize in our fostering offer, leading to increased fees, lch have addressed reducing placement numbers. We have agreed that Foster Carer recruitment is the key strategic priority. Therefore, these other activities, instigated with good intent and pursued with vigour and professionalism, divert resources from our key priorities. Community Family Care Services: Family and Placement Support this work continues to operate as part of the organisations fostering provision. Art Joumal Project - this project was under contract wlh one Local Authority. The work under contract was delivered and ceased at the end of the contract in December 2023. Family Group Conference Service - notice on this contract was given by the Local Authority. This was financially and not performance-driven. The contract was terminated in June 2023. Youth SeNices - CFC worked with the contract Town Council, who brought this service in-house. Staff were TUPE'd to the Town Council and continue to deliver this SeICe. This process completed in March 2024. Most staff delivering these projects were reallocated of TUPE'd to another organisation however there were unfortunately three redundancies. Financial Review 2023-24 The continued financial pr&Ure on Local Authorities is having a major impact upon the Independent Fostering Sector. The level of tumover in many of the larger foster care agencies is decllning. There was a defficit of £59,719 in 2023-24 {-2.52 % of turnover). This is in line wth the budgeted year-end position. Not withstsnding fijnds transferred to 2022-23 year. Turnover for the year was £2,369,738, a 1.90/00/0 increase on the previous year. Communtty Foster Care's principal fvnding source is the income from Local Authority contracts. This has remained very consistent. The fvnds available as at 31 March 2024 are £560,064 of1Ch £0 is restricted. This is above the organisation's set minimum level resèrves. It is vital that the Charity increases the number of Foster Carers to offer more choice to authorities when making placements and ensure that Community Foster Care maintains its strong ethical matching of children policy ile increasing its tumover. The Charity would not be fjjlfilling its purpose if pursuing increased tumover compromised the needs of children. Investment Polic The organisation doesn't ujrrently have reserves capital to invest for the purposes of capital gain. The Trustees, position is that if there is an excess of reseeS this will be invested in furthering the charitys mission. This will be reviewed in the 2024-25 year. However, during the year ended 31 March 2024, the Charity has opened new bank accounts to reap the reward of higher intèrest rates for the cash it holds at the bank. Page10
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED FOR THE YEAR ENDED 31 MARCH 2024 The Trustees continue to examine the Charity's requirements for reseeS considering the main risks to the Charty on a yearly basis. We calculate for a combination of adverse events plus the fvnds needed for a managed closedown. These reseNes are needed to meet Ihe working capital requirements of the Charity. and the Trustees are confident that at this level. they would be able to continue the current activities of the Charity in the event of a significant drop in fijnding. Additionally, if Community Foster Care ceases to operate. the additional reserves will ensure that children and young people enjoy a lengthy transition into their new placements. This position was reviewed in May 2024. At the end of the year, the reserves available to the Charity were c.£560k which is 6.8 % higher than the funds required by the reserves policy (£524.5k). Ordinarily the Trustees and Senior Leadership Team would be exploring the best waJE to invest these additional funds to benefit children, young people and families. However, in light of the concem about significant reduction in carer numbers and the cost of living crisis it is felt prudent to hold an enhanced level of reserves for at least the short term. Plans for the Future Periods The Charity has been operating within its strategic plan to drive the Charity forward over the last three years. Underpinned by a renewed belief in the Charity's purpose and values, this strategy will guide the Charity into perfod of measured gro. Over the coming three years, the charity will prioritlse: Carer recruitment. Developing the placement offer; and Ensuring the website, marketing and communication strategy remain live and active. Responsibilities of the Trustees The Trustees (also directors of Community Foster Care for purposes of Company law) are responsible for preparing the Trustees, Report and the financial statements per applicable law and the United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards). Company law requires the Trustees to prepare ffinancial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless Ihey are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expendtture, of the charitable company 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 judgments 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 ffinancial statements on a going concern basis unless it is inappropriate to presume thatthe charitable company will continue in business. The Trustees are responsible for ensuring that adequate accounting records are maintained that are sufficient to show and explain Charitys transactions and disclose, with reasonable accuracy at any time, the financial posits.on of the Charity and enable them to ensure that the financial statements comply 1th the Companies Act 2006. They are also responsible for safeguarding the assets of the Charity and ensuring their proper application is in accordance ryth Charity law, and hence, for taking reasonable steps to prevent and detect fraud and other irregularities. Page11
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Members of the Board of Trustees Members of the Board of Trustees, who are Directors for the purposes of company law and Trustees for the purposes of Charity law, who served during the year and up to the date of this report are set out on page one of this report. In accordance with company law, as the CompanWs Directors, we certifythat: So far as we are aware, there is no relevant audit information of which the Companls auditors are unaware., and As the directors of Ihe Company, we have taken all the steps that we ought to have tsken to make ourselves aware of any relevant audit information and establish that Charity's auditors are aware of this information. Auditor d Link Audit & Accountsncy Services Limited have expressed their wllingness to continue in office as auditor. This report has been prepared in accordance with the Statement of Recommended Practice,. Accounting and Reporting by Charities and in accordance w7th the special provisions of Section 415A of the Companies Act 2006 relating to small entities. Approved by order of the members of the board of Trustees and signed on their behalf by.. J Dwight (Chair of Trustees) Page 12
COMMUNITY FOSTER CARE IA Company Limited by Guarantse) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF COMMUNITY FOSTER CARE Opinion We have audited the fjnancial ststements of Community Foster Care (the 'charitable company) for the year ended 31 March 2024 thich comprlse the Statement of Financial Activities, the Balance Sheet. Ihe Statement of Cash Flows and the related notes, including a summary of significant accounting policies. The ffinancial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Stsndards, including Financial Reporting Standard 102 The Financlal Reporting Standard applicable in the UK and Republic of Ireland, (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial ststements: give a true and fair view of the state of the charitsble companys affairs as at 31 March 2024 and of its incoming resources and application of resources, including its income and expenditure for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practlce. and have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with Internalional Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are fijrther described in the Auditors, responsibilities for the audit of the financial statements section of our report. We arè independent of the charitable company in accordance ith the ethical requirements that are relevant to our audit of the financia5 statements in the United Kingdom, induding the Flnanclal Reporting Council's Ethi¢al Standard, and we have ftjlfilled 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 opinlon. Conclusions relating to going concern In audiiing the financial ststements, we have concluded that the Trustees, use of the going concem basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or condrtions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going Goncern for a period of at least e1ve months from vthen the financial statements are authorised for issue. Our responsibilities and the responslbilities of the Trustees with respect to going concern are described in the relevant sections of this report. Page 13
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF COMMUNITY FOSTER CARE ICONTINUED) Other infomiation The other information comprises the information included in the Annual Report other than the financial statements and our Auditors, Report thereon. The Trustees are responsible for the other information contained ithin the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherw7se 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 inconsistentwith the financial statements or our knowledge obtained in the course of the audit, or OtheSe appears to be materialty 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 oonclude that there is a matsrial misststement of this other information, we are required to report that fact. We have nothing to report in this regard. Opinion on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course ofthe audit: the information given in the Trustees, Report for the financial year for 1¢h the financial statements are prepared is consistent with the financial statements. the Trustees, Report has been prepared in accordance wth applicable legal requirements. Matters on which we are required to report by exception In the light of our knowledge and understsnding of the charitable company and its environment obtsined in the course of the audit, we have not identified material misstatements in the Trustees, Report. We have nothing to report in respect of the following matters in relation to wthich Companies Act 2006 requires us to report to you if, in our opinion: adequate accounting records have not been kept, or retums adequate for our audit have not been reiVed from branches not visited by us., or the financial statements are not in agreement with the accounting records and retums. or 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,. or the Trustees were not entitled to prepare the financial ststements in accordance with the small companies regime and take acfvantage of the small companies, exemptions in preparing the Trustees, Report and from the requirement to prepare a Strategic Report. Page 14
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF COMMUNITY FOSTER CARE (CONTINUED) Responsibilities of trustees As explained more fvlly 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 salisfied 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. thether due to fraud or error. In preparing the financAal statements, the Trustees are responsible for assessing the charitable compansls ability to continue as a going concern. disclosing, as applicable, matters related to going concem and using the going concern basis of accounting unless the Trustees erther intend to liquidate the charrtable company or to cease operations, or have no realistic altemative but to do so. Page 15
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF COMMUNITY FOSTER CARE ICONTINUED) Auditors. responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors, Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line th our responsibilities, outlined above, to detect material misststements in respect of irregularib'es, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.. We identified and assessed the risks of material misststement within the financial statements from irregularities. whether due to fraud or error, at the audit planning stage and discussed these among the audit engagement team. Discussions with management and those charged with governance around laws, regulations and compliance were also undertaken 8t the audit planning stage. We then designed and performed audit procedures in response to these identified risks. Such audit procedures include obtaining sufficient, appropriate audit evidence to provide a basis for our audit opinion. We obtained an understanding of the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on material amount and disdosures thin the financial statements. The laws and regulations considered were the Companies Act 2006, Charities Act 2011 together wth the Charities SORP (FRS102) and Ofsted. We have assessed the impact of any breaches in these laws and regulations and considered thether any such findings have a material impact on the financial statements. Wè also considered the systems and controls in place and the opportunities and incentives that may exist within the charity for fraud or manipulation of these financial statements. We identified the key risks in relation to fraud were management override of controls and income recognition. The audit procedures designed to respond to these risks included sample testing on joumals. review of key accounting estimates, discussion management, reviewing regulatory correspondence, legal expenditure review, and a review of Trustee meeting minutes along with sample testing income streams from source documentaiton. Our audit procedures, together with our assessment of risks identified at planning, were transparent to the charity and have been communicated to the Trustees throughout the audit as well as wthin the audit engagement team. Because of the inherent limitations of an audit, and the fact that audit procedures, whilst planned and performed in line with audit standards, test a sample of financial transacitons, there is an unavoidable risk that we will not detect all iiregularities, including those leading to material misstatement in the financial statements, or non- compliance with regulation. The risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the ffinancial statements, as wel will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occuring du to fraud rather than error. as fraud involves intentional concealment. forgery. collusion, omission, misrepresentation, or the override of internal controls. Ultimately, it is the responsibility of the Trustees for the prevention and detection of fraud and non-compliance. 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.or .uklaudito es ons'bilities. This description forms part of our Auditors, Report. Page 16
COMMUNITY FOSTER CARE IA Company Limited by Guarantse) INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF COMMUNITY FOSTER CARE (CONTINUED) Use of our report This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit Yrk has been undertaken so that we might state to the charitsble companys members those matters we are required to state to them in an Auditors, Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work. for this report. or for the opinions we have formed. Russel Byrd (Senior Ststutory Auditor) for and on behalf of Byrd Link Audit & Accountancy Services Limlted Jessop Avenue Cheltenham GlouGestershire GL50 3SH Date: Page17
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2024 As restated Total fvrpds 2023 Unrestricted funds 2024 Total funds 2024 Note Income from: Donations and legacies Charitable activities Investments Other income 1,000 2,324,065 1,099 43,573 1,000 2,324,065 1,099 43,573 2, 036 2,308,590 393 13,992 Total income 2,369,737 2,369,737 2,325,011 Expenditure on: Charitable activities 2.429,457 2,429,457 2,389, 392 Total expenditure 2,429,457 2,429,457 2,389,392 Net movement in funds 159.7201 (59,720 (64.381) Reconciliation of funds: Total fvnds brought forward Net movement in ftjnds 619,784 {59,720) 619,784 (59,720) 684, 165 (64,387) Totsl funds carried forward 560,064 560,064 619,784 The Statement of Financial Activities includes all gains and losses recognised in the year. The notes on pages 22 to 41 form part ofthese financial statements. Page18
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) REGISTERED NUMBER: 03719101 BALANCE SHEET AS AT 31 MARCH 2024 As restated 2023 2024 Note Fixed assets Tangible assets Investments 13 14 12,340 18,861 5, 000 12,340 23,861 Current assets Debtors Cash at bank and in hand 15 361,719 346,296 397,429 396,400 708,015 793, 829 Creditors: amounts falling due within one year 16 (134,249) (745, 823) Net current assets 573,766 648, 006 Total assets less current liabilities 586,106 671,867 Creditors: amounts falling due after more than one year 17 126,042) (52, 083) Net assets excluding penslon asset 0,064 619,784 Total net assets 560,064 619, 784 Charity funds Restricted fijnds Unrestricted funds 20 20 560,064 619,784 Total funds 560,064 619, 784 The Trustees acknowledge their responsibllities for complying wth the requirements of the Act with respect to accounting records and preparalion of financial statements. The fjnancial statements have been prepared in accordance with the provisions appliGable to entities subject to the small companies regime. Page 19
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) REGISTERED NUMBER: 03719101 BALANCE SHEET ICONTINUED) AS AT 31 MARCH 2024 The financial ststements wère approved and authorised for issue by the Trustees and signed on their behalf by: J Dwight (Chair of Trustees) Date.. The notes on pages 22 to 41 form part of these financial statements. Page 20
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024 As restated 2023 2024 Cash flows from operating activities Net cash used in operating activities {53,200) (178,239) Cash flows from investing activities Dividends, interests and rents from investments Purchase of tsngible fixed assets Proceeds from sale of investments Impairment of investment 1,099 (3,004) 4,061 939 393 (15,587) Net cash provided byl{used in) investing activities 3,095 (15,194) Cash flows from financing aclivities Net cash provided by financing activities Change in cash and cash equNalents in the year Cash and cash equivalents atthe beginning of the year (50,105) 1193,433) 396,400 589, 833 Cash and cash equivalents at the end of the year 346,295 396,400 The notes on pages 22 to 41 form part of these financial statements Page 21
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 General inf0mtIon Community Foster Care is registered with the Charity Commission for England and Wales (registered number 1084124). The Charity is a private company limited by guarantee registered in England and Wales (registered number 03719101). Its registered and principal office is Unit A. 76 Kingsholm Road, Gloucester, GL13BD. Accounting policies 2.1 Basis of preparation of financial statements The financial statements have been prepared in accordance with the Charities SORP (FRS 102) Accounting and Reporting by Charities.. Statement of Recommended Pra¢tÉce applicable to charities preparing their aoUnts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), Ihe Financial Reporttng Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. Community Foster Care meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy. 2.2 Going concern The Charity has cash resources and no requirement for external frjnding. The Trustees have a reasonable expèctation that the Charty has adequate resources to continue in operational existence for the foreseeable future. Although the budgeted position for the 2024-25 year is set at a fijrther defficit due to significant pressures on expenditure, the Trustees believe Community Foster Care's reseeS position is strong enough to mttigate the ongoing rlsk to the Charty. 2.3 Income Al income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. Grants are included in the Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant nds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognrtion is deferred and included in Creditors as deferred income. Where entitlement occurs before income is received, the income is accrued. Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable. Other income És recognised in the period in wthich it is receivable and to the extent the goods have been provided or on completion of the seNice. Page 22
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31 MARCH 2024 Accounting policies (continued) 2.4 Expenditure Expenditure Is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of eoonomic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each adivity are made up of the total of direct costs and shared costs, Induding support costs involved in undertaking eath adivity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs lch contribute to more than one activity and support costs which are not attributable to a single activity are apportioned beeen those aclivities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset's use. Expenditure on charitable activities is incurred on diredty undertaking the activities which fvrther the Charty's objectives, as well as any associated support costs. AJI expenditure is inGlusive of irrecoverable VAT. 2.S Interest receivable Interest on fvnds held on deposit is included when receivable and the amount can be measured reliably by the Charity. this is normally upon notification of the interest paid or payable by the institution wth whom the fvnds are deposited. 2.6 Taxation The Charlty Is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingty, the Charity is potentially exempt from taxation in respect of income or capital gains received wthin categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitsble purposes. 2.7 Tangible fixed assets and depreciation Tangible fixed assets costing £1 ,000 or more are capitalised and recognised when future economlc benefits are probable and the cost or value of the asset can be measured reliably. Tangible fixed assets are Inltially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losse8. All Costs incurred to bring a tsngible fixed asset Into its intended working condition should be included in the measurement of cost. Depretiation is charged so as to allocate the cost of tangible fixed assets less their resldual value over their estimated usefvl lives. Depreciation is provided on the followng basis: Office equipment Page 23
COMMUNITY FOSTER CARE (A Company Limited by Guarantee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies (continued 2.8 Investments Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at thè Balance Sheet date, unless the value cannot be measured reliably in 1¢h case it is measured at cost less impairment. Investment gains and losses. whether realised or unrealised, are combined and presented as 'Gainsl{Losses) on investments, in the Statement of Financ4al Activities. Investments in joint ventures are ststed at the amount of the Charitys share of net assets. The Statement of Financial Activities indudes the Charitys share of the joint ventures, net income or expenditure using the equity accounting basis. As the joint venture is a charity, the investment is presented within restricted fijnds. 2.9 Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 2.10 Cash at bank and in hand Cash at bank and in hand includes cash and short-term highty liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 2.11 Liabilities and provisions Liabiliiies are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit wll be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount thatthe Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount ratè that refiects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of Financial Activities as a finance cost. 2.12 Financial instruments The Charity onty has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans 1¢h are subsequently measured at amortised cost using the effective interest method. 2.13 Operating leases Rentsls paid under operating leases are charged to the Ststement of Financial Activities on a straight-line basis over the lease term. Page 24
COMMUNITY FOSTER CARE (A Company Llmited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies (continued) 2.14 Pensions The Charty operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Company to the fund in respect of the year. 2.15 Fund accounting General funds are unrestricted funds which are available for use at the discretion of the Trustees in fijrtherance of the general objectives of the Charity and which have not been designated for other purposes. Restricted fijnds are funds which are to be used in accordance with speiiffic restrictions imposed by donors or 1th have been raised by the Charty for particular purposes. The costs of raising and administering such fvnds are charged against the specific fund. The aim and use of eath restricted fund is set out in the notes to the financial statements. Investment income, gains and l¢y6ses are allocated to the appropriate fijnd. Critical accounting estimates and areas of judgment Preparation of the financial ststements requires management to make significant judgements and estimates. Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of fvture events that are believed to be reasonable under the circumstances. Critical accounting estimates and assumptions: Useful economic lives of tangible fixed assets The annual depreciation charge for the tsngible fixed assets is sensitive to changes in the estimated usefvl economic lives and residual values of the assets. The useful economic lives and residual values are amended when neG&ary to reflect current estimates, economic utilisalion and the physical condition of the assets. See Note 13 for the carrying amount of tangible assets and Note 2.7 for the usefvl economic lives for each Glass of asset. Rebate accruals The Charity has arrangements with Local Authorities whereby rebates are awarded based on turnover exceeding certain thresholds. The accrual for these rebates are calculated based on tumover using rebate percentages outlined within the contract. Page 25
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Income from donations and legaciès Unrestricted fvnds 2024 Total funds 2024 Grants 1,000 1,000 Unrestricted funds 2023 Total funds 2023 Donations Grants 36 36 2,036 2, 036 Income from charitable activities Unrestricted funds 2024 Total funds 2024 Provision of foster care Early Intervention Services 2,249,341 74,724 2,249,341 74,724 2,324,065 2,324,065 As restated Total fvnds 2023 Unrestricted funds 2023 Provision of foster care Early InteNention Services 2, 189,553 119,037 2,189, 553 119,037 2,308,590 2, 308, 590 Page 26
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMEhrrs FOR THE YEAR ENDED 31 MARCH 2024 Investment income Unrestricted funds 2024 Total funds 2024 Bank interest 1,099 1,099 Unrestrid8d fvnds 2023 Total fvnds 2023 Bank interest 393 393 Other incoming resources Unrestricted funds 2024 Total funds 2024 Other income 43,573 43,673 Unrestricted funds 2023 Total funds 2023 Other income 13,992 13,992 Page 27
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Analysis of expenditure on charitable activities Summary by fund type Unrestricted funds 2024 Total 2024 Provision of foster care Earty Intervention Services 2,337,301 92,156 2,337.301 92,156 2,429,457 2,429,457 Unrestricted fvnds 2023 Total 2023 Provision of foster care Early Intervention Services 2,260,619 128,773 2,260,619 128, 773 2,389,392 2,389,392 Analysis of expenditure by activities Activities undertaken directly 2024 Support costs 2024 Total funds 2024 Provision of foster care Early Intervention SeNices 1,745,524 92,156 591,777 2,337,301 92,156 1,837,680 591,777 2,429,457 Page 28
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Analysis of expenditure by activities (contlnued) Activth'es undertaken directly 2023 Support costs 2023 Total fvnd8 2023 Provision of foster care Eatly Intervention Services 7,590, 683 728, 773 669,935 2,260,618 128, 773 1, 719,456 669,935 2,389,392 Analysis of direct costs Early Provision of Intervention foster care Services 2024 2024 Total funds 2024 Staff costs Foster carers, costs Children's care and activities Travel & Subsistence Stsff training Cleaning Premises expenses Printing, postage & stationery Telephone Miscellaneous Subscriptions Ewipment maintenance Recruitment Advertising & promotion 479,192 1,137,120 11,167 25,308 944 4,671 70,937 3,271 881 957 66 1,141 8,678 1,192 81,118 644 8.967 919 240 560,310 1,137,764 20,134 26,227 1,184 4,671 70,937 189 50 931 957 66 1,141 8,678 1,221 29 1,745,525 92,156 1,837,681 Page 29
COMMUNITY FOSTER CARE (A Company Limited by Guaranteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Analysis of expenditure by activities Icontinued) Analysis of direct costs (continued) Early Provision ol InteNention foster care Servi8 2023 2023 Total ftinds 2023 Staff costs Foster carers, costs Children's care and activities Travel & Subsistence Staff training Cleaning Premises expenses Printing, postage & stationery Telephone Social worker Mlscellaneous Subscriptions Equipment maintenance Recruitment Advertising & promotion 298,125 1, 167,019 8.174 12,372 23, 629 7,691 26, 682 4, 266 109,414 407, 539 1,167,079 20,382 14,022 24,871 1,691 26,682 4,355 12,208 1, 650 1,242 89 95 1, 125 3, 536 2, 086 9,627 25,812 95 3,133 3,536 2,086 9,627 27,974 2, 008 2, 162 1,590,683 128, 773 1, 719,456 Page 30
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Analysis of Èxpenditure by activities (continued) Analysis of support costs Provision of foster care 2024 Total funds 2024 Staff costs Depreciation Foster carers, costs Insurance Children's care and activities Travel & Subsistence staff training Printing, postsge & stationery Telephone Legal, professional & accountsncy Miscellaneous Subscriptions Equipment maintenance Recruitment Advertising & promotion Accountancy & Audit 352,382 9.525 26,122 14,758 18,201 8,386 25,493 342 352,382 9,525 26,122 14,758 18,201 8,386 25,493 342 12,478 13,038 5.255 46,578 2,194 46,564 10,458 12,478 13,038 5,255 46,578 2,194 46,564 10,458 591,777 591,777 Page 31
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Analysis of expenditure by activities {continued) Analysis of support costs (continued Provision of foster Care 2023 Total funds 2023 Staff sts Depreciation Insurance Children's care and activities Travel & Subsistence Cleaning Premises expenses Printing, postage & stationery Telephone Legal, professional & accountancy Miscellaneous Subscriptions Equipment maintenance Recruitment ACUntancY & Audit 494, 796 11,014 15,329 12, 796 77,023 2. 053 32,396 497 7, 824 16,190 8,879 4,293 36,570 75 10,200 494, 796 11,014 15,329 12,796 17,023 2, 053 32,396 497 7, 824 16,790 8,879 4,293 36,570 75 10.200 669,935 669,935 10. Auditors, remuneration 2024 2023 Fees payable to the Companls auditor for the audit of the Company's annual accounts 7,000 7, 590 Fees payable to the CoMpanS auditor in respect of: All non-audit services not included above 1,995 1, 580 Page 32
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 11. Staff costs 2024 2023 Wages and salaries Social security costs Contribution to defined contribution pension schemes 804,493 72,989 35,210 796,423 70,478 35,434 912,692 902,335 Redundanw payments totslling £9,171 were paid during the year ended 31 March 2024. This expenditure is re¢ognised in line with the expenditure accounting policy. £nil was owing at year end. The average number of persons employed by the Company during the year was as followB: 2024 2023 Senlor staff Other staff members 25 28 29 32 The number of employees Ose employee beneffts (excluding employer pension costs) exceeded £60,000 was: 2024 2023 In the band £90,001- £100,0) The remuneration of the key management personnel amounted to £292,735 {2023: £299,414). Key management personnel are defined as the Chief Executive, Registered Manager, SeNice Manager and Business Development Manager. 12. Trustees. remuneration and expenses During the year, no Trustees received any remuneration or other benefits (2023 - £NIL). During the year ended 31 March 2024, expenses totslling £148, in relation to travel, were reimbursed or paid directly to 1 Trustee (2023 - £NIL). Page 33
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 13. Tangible fixed assets Office equipment Cost or valuation At 1 April 2023 Additions 67,512 3,004 At 31 March 2024 70.516 Depreciation At 1 April 2023 Charge for the year 48.651 9,525 At 31 Mard) 2024 58,176 Net book value At 31 March 2024 12,340 At 31 March 2023 18,867 14. Fixed asset inveslments Investment in joint ventures At 1 April 2023 Disposals At 1 April 2023 Charge for the year Impairment on disposals 10,000 (10,000) 5,000 939 (5,939) Net book value At 31 March 2023 Page 34
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 15. Debtors 2024 2023 Due within one year Trade debtors Other debtors Prepayments and accrued income 324,987 9,186 27,646 359, 855 4, 726 32,848 361,719 397,429 16. Creditors: Amounts falling due within one year 2024 2023 Bank overdrafts Trade creditors Other tsxation and social security Pension fund loan payable Other creditors Accruals and deferred income 33,020 19,716 6,075 15,958 59,458 39,413 16,365 5,981 21,951 62,113 134,249 145, 823 2024 2023 Deferred income at 1 April 2023 Resources deferred during the year Amounts released from previous periods 8,750 135 (8,750) 8, 750 Deferred income at 31 March 2024 135 8, 750 Income has been deferred in respect of work to be carried out in the 2024-25 financial year. 17. Creditors: Amounts falling due after more than one year 2024 2023 Accruals and deferred income 26,042 52,083 Page 35
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 18. Financial instruments 2024 2023 Financial assets Financial assets measured at fair value through income and expenditure 346,296 396,400 Financial assets measured at fair value through income and expenditure comprise cash at bank and in hand. 19. Prior year adjustments Following an intemal audit at a Local Authority, the Charity $ made aware that long term placement discounts had not been rellected within income. A prior year adjustment has been recognised to reduGe income and recognise the amount now owed to the Local Authority within creditors. This impacts the year ended 31 March 2023 by an amount of £17.549', reducing income in the financial year and increasing creditors at year end. £41,010 relates to long term placement discounts for the year ended 31 March 2022 and previous financial years. This has been refiected wthin the financial statements through an adjustment to brought forward funds for the year ended 31 March 2023.The creditor balance of £58,559 owed to the Local Authority is aged in line the repayment plan agreed with the Local Authority, Page 36
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 20. Statement of funds Statement of funds - current year Balance at 31 March 2024 Balance at 1 April 2023 Income Expenditure Unrestricted funds General Funds 619,784 2,369,737 (2A29,457) 560,064 Statement of funds - prior year Balance at 31 March 2023 Balance at l April 2022 Income Expendtiure Unrestricted funds General Funds- all funds 684,165 2,325,011 (2,389,392) 819,784 21. Summary of funds Summary of funds - current year Balance at 31 March 2024 Balance at 1 April 2023 Incow* Expenditure General fvnds 619,784 2,369,737 (2,429,457) 560,064 Summary of funds - prior year 8alanGe at 31 March 2023 Balance 8t 1 April 2022 Income Expenditure General fijnds 684, 165 2,325,011 (2,389,392) 619, 784 Page 37
COMMUNITY FOSTER CARE (A Company Limited by Guarantse) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 22. Analysis of net assets between funds Analysis of net assets between funds - current period Unrestricted funds 2024 Total funds 2024 Tangible fixed assets Current assets Creditors due wthin one year Creditors due in more than one year 12,340 12,340 708,015 708,015 (134,249) (134249) (26,042) (2642} Total 560,064 560,064 Analysis of net assets between funds - prior period Unrestricted funds 2023 Total ftinds 2023 Tangible fixed assets Fixed asset investments Current assets Creditors due within one year Creditors due in more than one year 18,861 5, 000 793, 829 793, 829 (145, 823) (145,823) (52,083) (52,083) 18,867 Total 619, 784 619, 784 Page 38
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 23. Reconciliation of net movement in funds to net cash flow from operating activities 2024 2023 Net expenditure for the period (as per Statement of Financial Activities) (59,720) (64,381) Adjustments for: Depreciation charges Dividends, interests and rents from investments Decreasel(increase) in debtors Increasel{decrease) In credltors 9,525 (1,099) 35,710 (37,616) 11,014 (393) (136, 128) 11,649 Net $h used in operaling activities (53,200) (178,239) 24. Analysis of cash and cash equivalents 2024 2023 Cash in hand 346,296 396,400 Total cash and cash equivalents 346,295 396.400 26. Analysis of Changes in net debt At 1 April 2023 Cash flows At 31 March 2024 Cash at bank and in hand Bank overdraft8 repayable on demand Debt due within 1 year 396,400 (50,104) (22) (94> 346396 122) (6,075) 15,9811 390,419 (50,220) 340,199 Page 39
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 26. Pension commitments The Charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Charity in an independently administered fund. The pension cost charge represents contributions payable by the Charityto the defined contribution scheme fund and amounted to £35,210 (2023.. £35,434). Contributions totalling £5,857 (2023.. £5,981) were payable to the fvnd at the balance sheet date and are included within creditors. 27. Operating lease commitments At 31 March 2024 the Company had commitments to make future minimum lease payments under non- cancellable operating leases as follows: As restated 2023 2024 Not later than 1 year Later than 1 year and not later than 5 years 18,980 8,495 4t,070 27,475 27,475 68,545 The prior year operating lease disclosure has been restated to include an operating lease which had previously not been included. The expense in relation to operating lease rentals has also been restated to in¢lude this lease. The following lease payments have been recognised as an expense in the Statement of Financial Activities.. As restated 2023 2024 Operating lease rentsls 41,070 32,576 28. Related party transactions During the year, Trustee M Straton was paid £5,901 (2023: £6,005) in relation to her work as Agency Decision Maker. £3,045 (2023.. £593) remained payable at year end. During the year, Trustee J Jansen was paid £617 (2023.. £525) in relation to her work as an Independent Panel Mernber. £Nil (£2023: £Nil) remained payable at year end. During the year ended 31 March 2018, the Charty invested £10,000 in Skyrocket Partnership. This is a joint venture arrangement but equity accounting has not occurred on the basis that the Charitys share of the net income is immaterial. An impairment charge of £5,000 was recognised in the year ended 31 March 2021. This was reviewed in year and a fvrther impairment charge of£939 was recognised. Please also see the following post balance sheet events note. Page 40
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENrs FOR THEYEAR ENDED 31 MARCH 2024 29. Post balance sheet events The Charity wthdrew their investment in the Jolnt venture arrangement, Skyrocket Partnership, with the decision being made prior to the year ended 31 March 2024 and the proceeds from the withdrawal being received in April 2024. This has been refflected wthin the financial ststements as an adjusting post balance sheet event with the disposal of the investment on the balance sheet and recognition of the proceeds from sale of £4.061 withln other debtors at the balance sheet date. Page 41