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 2025
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) CONTENTS Page Reference and Administrative Details of the Company, its Trustees and Advisers Chairfs Statement Trustees. Report Independent Auditors. Report on the Financial Statements 4-10 Statement of Financial Activities 15 Ba1ce Sheet 16-17 Statement of Cash Flows Notes to the Financial Ststements 19-34
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2025 Trustees J Dwight (Chair) Rcwade M Straton J Jansen S Malone Mcox J Comerford H McLaughlin (appointed 13 March 2025) A Bard (appointed 13 March 2025) B Shokar (appointed 13 March 20251 D Haydock (appointed 13 March 2025) Company registered number 03719101 Charity registered number 1084124 Registered office Unit A 76 Kingsholm Road Gloucester Gloucestershire GL13BD Company secretary J Dwight Chief executive officer M Kingston Independent auditors Byrd Link Audit & Accountancy Services Limited Jessop Avenue Cheltenham Gloucestershire GL50 3SH Bankers Natwest 2nd Floor The Quadrangle The Promenade Cheltenham Gloucestershire GL50 1 PX Page 1
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS (CONTINUED FOR THE YEAR ENDED 31 MARCH 2025 Solicitors BPE St James. House St James, Square Cheltenham Gloucestershire GL50 3PR Registered Manager E Weaver Senior Leadership Team M Kingston E Weaver D Whitson-Jones Page 2
COMMUNITY FOSTER CARE IA Company Limited by Guaranteel CHAIR'S STATEMENT FOR THE YEAR ENDED 31 MARCH 2025 The chair presents their statement for the year. This year has been one of both challenge and resilience for Community Foster Care. At a time when the fostering sector nationally Gontinues to face significant pressures with fewer households coming fomard to foster and children presenting wth increasingly complex needs our charity has remained steadfast in its commitment to providing safe, nurturing family environments for children and young people. l am proud to report that, despite these challenges, the number of children and young people cared for by Community Foster Care rose to 36 at year-end, with 53 supported over the course of the year. This growth reflects not only the dedication of our staff team and foster carers but also the strength of our values-led approach. We have focused on recruiting and supporling foster families who Gan provide stability, care, and hope to some ofthe most vulnerable children in SOGiety. Our financial results show a modest deficit of £74,761 for the year, primarily reflecting investment in supporting carers and children during a period of rising living costs. The Board is reassured that reserves remain robust and close to policy requirements, and we remain confident in the financial sustainability of the organisation. We were pleased to welcome four new trustees during the year, broadening the skills and perspectives on our Board, while also continuing to benefit from the invaluable insight of foster carers who participate in Board meetings. This strengthens our governance and ensures Ihat the voices of those with lived experience are always present in our decision-making. Looking ahead, our focus remains clear-. to grow the number of fostering households, to enhance the support we offer to carers and children, and to ensure the charity continues to thrive as a financially resilient, values- driven organisation. With a committed team of carers, staff, and trustees, I believe we are well placed to meet the challenges ahead and to continue making a life-changing difference for children and young people. On behalf of the Board, l extend heartfelt thanks to our foster carers, stsff, volunteers, supporters, and partners. It is your collective effort, compassion, and belief in our mission that makes everything we do possible. Jennie Dwight Chair of the Board of Directors and Trustees Page 3
COMMUNITY FOSTER CARE IA Company Limited by Guarantee} TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2025 The Trustees present their report and audited financial statements for Ihe year ended 31 March 2025. The Trustees have adopted the provisions of the Statement of Recommended Practice {SORP) 'Accounting and Reporting by Charities" in preparing the annual 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) Hugh McLaughlin (Trustee) Anne Bard (Trustee) Bahdar Shokar (Trustee) David Haydock (Trustee) Structure, Governance, and Management Governin Document Community Foster Care (CFC) is a charitable company limited by guarantee, incorporated on 24 February 1999 (Company No. 03719101) and registered as a charity on 15 December 2000 (Charity No. 1084124). The Charity is governed by its Memorandum and Articles of Association, amended by resolutions in 2009, 2012, and 2018 to incorporate the work of Community Family Care. Recruitmenl and ointment of Trustees The charity's Directors are also Trustees for the purposes of Charity law. Jennie Dwight conkn'nues to act as Chair, and during the year the board of trustees grew to 10 member$ (4 new appointments and 1 resignation). In addition to the Trustees, I0 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 Charity's 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, finance and employment law. The Board always seeks to ensure that it has the appropriate skill sets required to develop the Charity fvrther. Community Foster Care ensures that any new Trustee is selected and recruited safely in line with expected practices and regulations. Trustee Trainin All Truslees undertake induction training, including responsibilities under charity law. regulatory frameworks (e.g., Fostering seICe8 Regulations 20111, and the Chariws strategy. Page 4
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES, REPORT ICONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Sub-committee Structure CFC continues to operate three subgroups reporting to Trustees: 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 th 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. Rlsk Mana ement Regular reviews of the Risk Register have been embedded in the organisation's govemance 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. The Charity's policies are regularly reviewed in light of new guidance andlor legislation received from the Government. CFC strives for excellence in all its work and is committed to ensuring the appropriate regulations are adhered to, which protect the children living with our families, the Foster Carers, the staff team, and the Board of Trustees. Furthermore, the organisation works with Tri.X to review policies extemally to ensure they are held to the highest standard and in line with changes in legislation or recommended best practices. All major risks are regularly reviewed and systems and procedures have been estsblished to mitigate these risk as part of the charitys risk management. Or anis tion ruc ure Community Foster Care has a Board of Trustees, which 15 responsible for the charity's strategic direction and meets as a full Board three times a year. Recruitment of new Trustees is ongoing and continually kept under review by the Board. The Chief Executive is responsible for the day-to-day provision of the service, ensuring that the charity delivers the specified services and meets key performance indicators. The Chief Executive is supported by a Senior Leadership Team that includes a Registered Manager and a Business Development Manager. Salaries for the whole staff, including the senior leadership team, are benchmarked against the wder market. The HR officer conducts this work, which is then reviewed and approved by the Board of Trustees. The organisation continues to operate successfully wth one Otsted registration. We were not visited by Otsted during the year. 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 processes. Public Benefit and Social Im act A significant public benefit of Community Foster Care is providing opportunities for local community members to Page 5
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES. REPORT ICONTINUED FOR THE YEAR ENDED 31 MARCH 2025 foster. Community Foster Care believes that good foster carers come from all communities and backgrounds. We acb'vely seek carers from all communities to strenglhen our ability to meet the 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 Board of Trustees confirms 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 charty 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 aGtive and constructive role in society. At the end of March 2025, we cared for 36 (2023., 32) children and young people on behalf of Local Authorities, and during the years 2023-24, over 53 (2022-2023; 49) children and young people benefitted from our Care. This is an increase on the previous year but not at the levels of prior years. This is chiefy due to.. National trend of Foster Carer Resignations Larger proportion of higher intensity arrangements Challenges in recruiting Foster Carers As the organisation develops its fostering model it increases its work wth more complex arrangements there young people may need more supportthan is set out in the speciffiotions provided by Local Authorities. Fundraising The Charity has no fvndraising activities requiring disclosure under S162A of the Charities Act 2011. Page 6
COMMUNITY FOSTER CARE IA Company Limited by Guarantee TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Objectives and Activities The objects ofthe Charty as amended on 30 July 2018 are.. O&JECTS The Charity's objects, restricted specifically loi the public benefit, are.. (a) To operate a foslercare agency in the United Kingdom regaTding training and approving Foster Carers in particular but nol exdusively from social and economically deprived areas. (b) To prowde relief lo children and young people in need and in parficular those In the care of: or accommodated by, a local aulhority by: (i) providing them with, or othe[Se assisllng in the provision of: a Flacement or placements In suitable accommodation and providing them Viith, or assisling in the provision of. approtiriate carers with the aim of providing them a stable family lrfe,. and (if) providlng for their educalSon and eslabllshment in life_ (c) To promote and protecl the good health of children: young people, adults, and their familie5 who are in need or who are socSalty and economically disadvantaged in any way and in particular those who have been in the care of, or accommodated by: a Local Aulhority by". providing training, supporl and guidance.: (li) providing them wiih, or otheiSe assisting in the piovislon of, a placement or placements in suitable accommodation and providing them with: 01 assisting in the provision of, appropriate carers with Ihe aim of improving family life- and (iii) providing for their education and establishment in life (d) The relief of povety and in particular the assistance of children and aduRs who have as children been in Local Authorlty care and their famli ies. A key strand of the Community Foster Care approach is to develop longstanding relationships with communities often disadvantsged communities. Potential foster carers are tsrgeted from all areas of the community, induding socially and economically disadvantaged areas. Community Foster Care's approach has been to develop the skills and social capitsl within these specific neighbourhoods, with a view to enabling families within these communities to provide warm, stable homes to ¢hildren in need. This approach sees our interventions building the knowledge and resources wthin 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 children 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 ihe children's rights in their homes under the UN Convention on Children's Rights and not administer corporal punishment to any child Page 7
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 A commitment to the ongoing learning 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 staff 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 Charty Viability. Achievements and Perfomiance during 2024-2025 Placement numbers increased slighlly whilst the national picture continues to decline. Recruitment and retention remain a key priority. At the yearend there were 33 approved families. CFC delivered a range of activities and events. including Residentials, Christmas meals, activity days, support groups and training. Financial Review 2024-25 Total income.. £2,200,087 (2023-24: £2,369,737) Total expenditure: £2,274,848 (2023-24: £2,429,457) Deficit.. £74,761 (2023-24- £59,720) Funds carried forward: £485,303 (2023-24: £560,064) ves me ollc The organisation doesn't currently have reserves capital to invest for the purposes of capitsl gain. The Trustees, position is that if there is an excess of reserves this will be invested in furthering the charivs mission. During the year, the Charity has opened new bank accounts to reap the reward of higher interest rates for the cash it holds at the bank. Reserves Poli The Trustees conts-nue to examine the Charitys requirements for reserves considering the main risks to the Charity on a yearly basis. We calculate for a combination of adverse events plus the fijnds needed for a managed closedown. These reseNes are needed to meet the 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 fvnding. 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 2025. At the end of the year, the reserves available to the Charty were c.£485k which is 2.40/0 lower than the ndS required by the reserves policy {£497K). The trustees are not concerned about this and seek to redress this in the 2025126 year. Page 8
COMMUNITY FOSTER CARE IA Company Limited by Guarantee TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 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 period of measured growth. Over the coming three years, the charity will prioritise-. Carer recruitment Developing the placement offer Ensuring the website, marketing and communication strategy remain live and active Responsibilities of the TNstees The Trustees (also directors of Community Foster Care for purposes of Company lawl 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 financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to. select suitsble 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 ether 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 a going concern basis unless it is inappropriate to presume that the 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 Charity's transactions and disclose. with reasonable accuracy at any time, the financial position of the Charity and enable them to ensure that the financial ststements comply with the Companies Act 2006. They are also responsible for safeguarding the assets ofthe Charity and ensuring their proper appli¢akn'on is in accordance with Charity law, and hence, for taking reasonable steps to prevent and detect fraud and other irregularities. 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 Company's Directors, we certify that.. So far as we are aware, there is no relevant audit information of which the Company's auditors are unaware; and As the directors of the Company, we have taken all the steps that we ought to have taken to make ourselves aware of any relevant audit information and establish that Charity's auditors are aware of this information. Auditor Page 9
COMMUNITY FOSTER CARE (A Company Limited by Guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025
Byrd Link Audit & Accountancy Services Limited have expressed their willingness 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 with the special provisions of Section 415A of the Companies Act 2006 relating to small entities.
A Truste and signed on its behalf by:
J (Chair of Trustees) Date: \ ct \ \ I \ "2. S
Page 10
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF COMMUNITY FOSTER CARE Opinion We have audited the financial statements of Community Foster Care (the 'charitable company,) for the year ended 31 March 2025 thich comprise the Statement of Financial Activitie5, the Balance Sheet. the Statement of Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in Ihe UK and Republic of Ireland, (United Kingdom GenerallyAccepted Accounting Practice). In our opinion the financial statements.. give a true and fair view of the state of the charitable company's affairs as at 31 March 2025 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 wth United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance wth the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) IISAS (UK)) and applicable law. Our responsibilities under those standards are fvrther described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance th the ethical requirements that are relevant to our audit of the financial statement5 in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtsined is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going Concem In auditing the financial statements, we have concluded that the Trustees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not idenkn'fied any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report. Page11
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF COMMUNITY FOSTER CARE ICONTINUED) Other inf0mtion The other information comprises the information induded in the Annual Report other than the financial statements and our Auditors, Report thereon. The Trustees are responsible for the other information Contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misststement 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. Opinion on other matters presGribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Trustees, Report for the financial year for which the financial statements are prepared is consistent wth the financial ststements. the Trustees, Report has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of our knowledge and understanding of the charitsble company and its environment obtained in the course of the audit, we have not identified material misststements in the Trustees, Report. We have nothing to report in respect of the following matters in relation to lch Companies Act 2006 require5 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 received from branches not visited by us,. or the financial statements are not in agreement with the accounting records and returns,. or certain disclosures of Trustees, remuneration specified by law are not made., or we have not received all the information and explanations we require for our audit., or the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies. exemptions in preparing the Trustees, Report and from the requirement to prepare a Strategic Report. Page 12
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF COMMUNITY FOSTER CARE (CONTINUED) Responsibilities of tNstees As explained more fvlly in the Trustees, Responsibilities Ststement, 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 Companls 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. 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 wth our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.. 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 stsge and discussed these among the audit engagement team. Discussions Mth management and those charged with governance around law5, regulations and compliance were also undertaken at 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 disclosures within the financial statements. The laws and regulations considered were the Companies Act 2006, Charities Act 2011 together th the Charities SORP (FRS102) and Ofsted. We have assessed the impact of any breaches in these laws and regulations and considered ether any such findings have a material impact on the financial statements. We also considered the systems and controls in place and the opportunities and incentives that may exist wthin 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 journals, review of key accounting estimates, discussion with 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 wth our assessment of risks identified at planning, were transparent to the ¢harity and have been communicated to the Trustees throughout the audit as well as within the audit engagement team. Page13
COMMUNITY FOSTER CARE
(A Company Limited by Guarantee)
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF COMMUNITY FOSTER CARE (CONTINUED)
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 irregularities, 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 financial 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: w.frc.org.uk/auditorsresponsiblllties. This description forms part of our Auditors' Report.
Use of our report
This report is made solely to the charitable company's trustees, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's trustees 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 Statutory Auditor)
for and on behalf of Byrd Link Audit & Accountancy Services Limited
Jessop Avenue
Cheltenham
Gloucestershire
GL50 3SH
Date: 27 November 2025
Page 14
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUN FOR THE YEAR ENDED 31 MARCH 2025 Unrestricted funds 2025 Total funds 2025 Total fvnds 2024 Note Income from: Donations and legacies Charitable activities 16 2,183,046 2,941 14,085 15 2,183,046 2,941 14,085 2, 324,065 1,099 43,573 Investments Other income Total income 2,200,087 2,200,087 2, 369, 737 Expenditure on: Charitable activities 2,274,848 2,274,848 2,429,457 Total expenditure 2,274,848 2,274,848 2, 429,457 Net movement in funds 174,7611 174,761) (59, 720) Reconciliation of funds: Total fijnds brought forward Net movement in funds 560,064 174,761) 560,064 174,761) 619,784 (59, 720) Total funds carried fophiard 485,303 485,303 560, 064 The Ststement of Financial Activities indudes all gains and106ses recognised in the year. The notes on pages 19 to 34 form part of these financial ststements. Page15
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) REGISTERED NUMBER: 03719101 BALANCE SHEET AS AT 31 MARCH 2025 2025 2024 Note Fixed assets Tangible assets 13 6,240 72,340 6,240 12,340 Current assets Debtors Cash at bank and in hand 14 334,997 287,652 361, 719 346,296 622,649 708,015 Creditors: amounts falling due within one year 15 <143,585) (134,249) Net current assets 479,064 573. 766 Total assets less current liabilities 485,304 586, 106 Creditors.. amounts falling due after more than one year 16 (26,042) Net assets excluding pension asset 485,304 560, 064 Total net assets 485,304 560, 064 Charity funds Restricted funds 17 Unrestricted funds 17 485,304 560, 064 Total funds 485,304 560, 064 The entity was entitled to exemption from audit under section 477 of the Companies Act 2006. The members have not required the entity to obtain an audit for the year in question in accordance wth section 476 ofthe Companies Act 2006. However, an audit is required in accordance wth section 144 of the Charities Act 2011. The Trustees acknowledge their responsibilities for complying wth the requirements of the Act with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small Companies regime. Page 16
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) REGISTERED NUMBER: 03719101 BALANCE SHEET (CONTINUED) AS AT 31 MARCH 2025 The fjnancial statements were approved and authorised for issue bythe Trustees and signed on their behalf by: J Dwight (Chair of Trustee The notes on pages 19 to 34 form part of these ffinancial statements. Page 17
COMMUNITY FOSTER CARE (A Company Limited by Guarantee STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 2025 2024 Cash flows from operating activities Net cash used in operating activities (60,541) (53,200) Cash flows from investing activities Interest Purchase of tangible fixed assets Proceeds from sale of investments Impairment of investment 2,941 (1,043) 1,099 (3, 004) 4,061 939 Net cash provided by investing activities 1,898 3,095 Cash flows from financing activities Net cash provided by financing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning ofthe year 158,643) 346,295 (60,105) 396,400 Cash and cash equivalents at the end of the year 287,652 346,295 The notes on pages 19 to 34 form part ofthese financial statements Page18
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 General information 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, GL1 3BD. Accounting policies 2.1 Basis of preparation of financial statements The financial statements have been prepared in accordance with the Charities SORP (FRS 102) Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. 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 otherwse stated in the relevant accounting policy. 2.2 Going concern The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The Trustees have considered the level of fvnds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern. The Charity has cash resources and no requirement for external funding. The Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. The budgeted position foi the 2025-26 year is set at a small surplus, the Trustees believe Community Foster Care's reserves position is strong enough to mitigate any ongoing risk to the Charity. 2.3 Income All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. Grants are included in the Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its re¢ognition is deferred and included in creditors as deferred income. Where entitlement occurs before income 15 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 is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service. Page19
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies (continued) 2.4 Expenditure Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third paty, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, induding support costs involved in undertaking each activty. Direct costs attributable to a single activity are allocated directly to Ihat activity. Shared costs lch contribute to more than one activity and support costs which are not attributable to a single activty are apportioned belween those activities on a basis consistent wth the use of resources. Central staff costs are allocated on the basis oftime spent, and depreciation charges allocated on Ihe portion of the asset's use. Expenditure on charitsble activities is incurred on directly undertaking the aclivities which fvrther the Charty's objectives, as well as any associated support costs. All expenditure is inclusive of irrecoverable VAT. 2.5 Interest receivable Interest on TrdS held on deposit is included when re1vable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the institution with whom the fvnds are deposited. 2.6 Tangible fixed assets and depreciation Tangible fixed assets costing £1,000 or more are capitalised and recognised when fvture economic benefits are probable and the cost or value of the asset can be measured reliably. Tangible fixed assets are inits-ally recognised at cost. After recognrtion, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended worn9 condition should be included in the measurement of cost. Depreciation is charged so as to allocate the cost of tsngible fixed assets less their residual value over their estimated useful lives. Depreciation is provided on the following basis: Office equipment 2.7 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. 2.8 Cash at bank and in hand Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. Page 20
COMMUNITY FOSTER CARE (A Company Limited by Guarantee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies Icontinued) 2.9 Liabilities and provisions Liabilities are recognised en there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount ofthe settlement can be estimated reliably. Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. 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 ofthose amounts, discounted at the pre-tax discount rate that reflects the risks specific lo the liability. The unwinding of the discount is recognised in the Statement of Financial Activities as a finance cost. 2.10 Financial instruments The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are inikn'ally recognised at transaction value and subsequently measured at their setuement value with the exception of bank loans which are subsequently measured at amortised cost using the effedive interest method. 2.11 Operating leases Rentals paid under operating leases are charged to the Statement of Financial Activities on straight-line basis over the lease term. 2.12 Pensions The Charity 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. 2.13 Fund accounting General funds are unrestricted funds which are available for use at the discretion of the Trustees in fvrtherance of the general objectives of the Charity and which have not been designated for other purposes. Restricted fvnds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such fvnds are charged against the specific fvnd. The aim and use of each restricted nd is set out in the notes to the financial statements. Investment income, gains and losses are allocated to the appropriate fund. Page 21
COMMUNITY FOSTER CARE (A Company Limited by Guarantee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Critical accounting estimates and areas of judgment Preparation of the financial statements requires management to make significant judgements and estimates. Estimates and judgments are conts-nually 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 tangible fixed assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The usefrjl economic lives and residual values are amended when necessary to reflect current estimates, economic utilisation and the physical condition of the assets. See Note 13 for the carrying amount of tangible assets and Note 2.6 for the useful economic lives for each class of asset. Rebate accruals The Charty has arrangements wth Local Authorities whereby rebates are awarded based on tumover exceeding certain thresholds. Any accrual for these rebates are calculated based on turnover using rebate percentages outlined wthin the contract. Income from donations and legacies Unrestricted funds 2025 Total funds 2025 Total fvnds 2024 Donations 15 Grants 15 Page 22
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Income from charitable activities Unrestricted funds 2025 Total funds 2025 Total fvnds 2024 Provision of foster care Early Intervention Services 2,183,046 2,183,046 2,249,341 74, 724 2,183,046 2,183,046 2, 324, 065 Investment income Unrestricted funds 2025 Total funds 2025 Total funds 2024 Bank interest 2,941 2,941 1, 099 Other incoming resources Unrestricted funds 2025 Total funds 2025 Total funds 2024 Other income 14,085 14,085 43,573 Page 23
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Analysis of expenditure on charitable activities Summary by fund type Unrestricted funds 2025 Total 2025 Total 2024 Provision of foster care Early Intervention Services 2,274,848 2,274048 2,337,301 92,156 2,274,848 2,274048 2,429,457 Analysis of expenditure by activities Activities undertaken directly 2025 Support costs 2025 Total funds 2025 Provision of foster care 1,667.013 607,836 2,274,849 Activities undertaken directly 2024 Support costs 2024 Total funds 2024 Provision of foster care Early InteNention Services 1, 745,524 92,156 591.777 2,337,301 92,156 1,837,680 591, 777 2, 429,457 Page 24
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Analysis of expenditure by activities Icontinued) Analysis of direct costs Early Provision of Intervention foster care Services Total funds 2025 2025 2025 Staff costs Foster carers. costs 487,715 1,027,257 18,517 28,614 4,644 4,250 71,653 2,235 864 487,715 1,027,257 18,517 28,614 4,644 4,250 71,653 2,235 864 624 9,679 1,454 1,484 812 7,211 Children's care and activities Travel & Subsistence staff training Cleaning Premises expenses Printing, postage & stationery Telephone Social worker MislIaneOUS Subscriptions Equipment maintenance Recruitment Advertising & promotion 624 9,679 1,454 1,484 812 7,211 1,667,013 1,667,013 Page 25
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Analysis of expenditure by activities (continued) Analysis of direct COSt5 (continued Early Provision of Intervention foster care Setvices 2024 2024 Total funds 2024 Staff costs Foster carers, costs Children's care and activities Travel & Subsistence staff training Cleaning Premises expenses Printing, postage & stationery Telephone Miscellaneous Subscriptions Equipment maintenance Recruitment Advertising & promotion 479, 192 l.t37, 120 11,767 25,308 944 4,671 70,937 3,277 881 957 81,118 644 8,967 919 240 560,310 t, 737, 764 20.134 28,227 1,184 4,671 70,937 3,460 931 957 66 1, 141 8,678 1,221 189 50 66 1, 141 8,678 1,792 29 1, 745,525 92,156 1, 837,681 Page 26
COMMUNITY FOSTER CARE IA Company Limited by Guarantee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Analysis of expenditure by activities (continued) Analysis of support costs Provision of foster care 2025 Total funds 2025 Total funds 2024 Staff costs Depreciation Foster carers. costs 414,877 7,143 20,758 15,466 18,400 4,803 18,930 317 493 414,877 7,143 20,758 15,466 18,400 4,803 18,930 317 493 352,382 9, 525 26,122 14,758 18,201 8,386 25, 493 Insurance Children's care and activities Travel & Subsistence Staff training Premises Èxpenses Printing, postage & stationery Telephone Legal, professional & accountancy Mis¢ellaneous Subscriptions Equipment maintenance Recruitment Advertising & promotion Accountsncy & Audit 342 11,086 12,081 5,577 47,512 5,004 15,195 10,194 11,086 12,081 5,577 47,512 5,004 15,195 10,194 12,478 13,038 5,255 46.578 2,194 46,564 70,458 607,836 607,836 591, 777 10. Auditors. remuneration 2025 2024 Fees payable to the Companvs auditor for the audit ofthe CoMpanS annual accounts 7,280 7, 000 Fees payable to the Company's auditor in respect of.. All non-audit services not included above 2,075 1,995 Page 27
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 11. Staff costs 2025 2024 Wages and salaries Social security costs Contribution to defined contribution pension schemes 793,649 74,927 34,016 804,493 72, 989 35,210 902,S92 912,692 Redundancy payments totalling £nil were paid during the year ended 31 March 2025 {2024.' £9,171). This expenditure is recognised in line with the expenditure accounting policy. £nil was owng at year end (2024.. £nil). The average number of persons employed by the Company during the year was as follows: 2025 2024 Senior staff Other staff members 23 25 26 29 The number of employees whose employee beneffits (excluding employer pension costs) exceeded £60,000 was: 2025 2024 In the band £60,001- £70,000 In the band £90,001- £100,000 In the band £110,001- £120,000 The remuneration of the key management personnel amounted to £267,791 (2024: £292,735). Key management personnel are defined as the Chief Executive, Registered Manager, Business Development Manager and Service Manager (Service Manager in the prior yeai only). 12. Trustees. remuneration and expenses During the year, no Trustees received any remuneration or other benefits f2024- £NIL). During the year ended 31 March 2025, expenses totslling £NIL, were reimbursed or paid directly to Trustee (2024- £148, paid to 1 Trustee, in relation to travel expenses) Page 28
COMMUNITY FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 202S 13. Tangible fixed assets Office equipment Cost or valuation At 1 April 2024 Additions 70.516 1,043 At 31 March 2025 71,559 Depreciation At 1 April 2024 Charge for the year 58,176 7,143 At 31 March 2025 65,319 Net book value At 31 March 2025 6,240 At 31 March 2024 12,340 14. Debtors 2025 2024 Due within one year Trade debtors Other debtors Prepayments and accrued income 302,249 2,746 30,002 324, 987 9,186 27,546 334,997 361,719 Page 29
COMMUNITY FOSTER CARE {A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 15. Creditors: Amounts falling due within one year 2025 2024 Bank overdrafts Trade creditors Other taxation and social securty Pension fund loan payable Other creditors Accruals and deferred income 22 71,798 16,787 6,399 16,968 31,611 22 33, 020 19,716 6,075 15,958 59,458 143,585 134, 249 2025 2024 Deferred income at 1 April 2024 Resources deferred during the year Amounts released from previous periods 135 8, 750 135 (8, 750) {135) Deferred income at 31 March 2024 735 Income was deferred in the prior year in respect of work to be Carried out in the 2024-25 financial year. There is no deferred income at 31 March 2025. 16. Creditors: Amounts falling due after more than one year 2025 2024 Accruals and deferred income 26, 042 Page 30
COMMUNITY FOSTER CARE (A Company Limited by Guarantee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 17. Statement of funds Statement of funds - current year Balance at 31 March 2025 Balance at 1 April 2024 Income Expenditure Unrestricted funds General Funds 560,064 2,200,088 12,274,848 485,304 Statement of funds - prior year Balance at 31 March 2024 Balance at l April 2023 Income Expenditure Unrestricted funds General Funds 619,784 2,369, 737 (2, 429,457) 560, 064 18. Summary of funds Summary of funds - current year Balance at 31 March 2025 Balance at 1 April 2024 Income Expenditure General funds 560,064 2,200,088 12,274,848) 485,304 Summary of funds - prior year Balance at 31 March 2024 Balance at l April 2023 Income Expenditure General funds 619, 784 2,369, 737 (2, 429,457) 560,064 Page 31
COMMUNITY FOSTER CARE IA Company Limited by Guaranteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 19. Analysis of net assets between funds Analysi5 of net asset5 betYen funds - current year Unrestricted funds 2025 Total funds 2025 Tangible fixed assets Current assets Creditors due within one year 6,240 6,240 622,649 622,649 (143,585) 1143,585) Total 485,304 485,304 Analysis of net assets between funds - prior year Unrestricted funds 2024 Total funds 2024 Tangible fixed assets Current assets Creditors due within one year Creditors due in more than one year 12,340 12,340 708,015 708,075 (134, 249) (134,249) (26, 042) (26, 042) Total 560, 064 560,064 Page 32
COMMUNITY FOSTER CARE (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 20. Reconciliation of net movement in fund5 to net cash flow from operating activities 2025 2024 Net expendlture for the year (as per Ststement of Finan¢ial Activities) <74,761) (59, 720) Adjustments for: Depreciation charges Interest 7,143 (2,941) 26,722 <16,706) 9,525 (1,099) 35,770 (37,616) Decrease in debtors Decrease in creditors Difference due to rounding Net cash used in operating activities (60,641 (53,200) 21. Analysis of cash and cash equivalents 2025 2024 Cash in hand 287,652 346,295 Totsl cash and cash equivalenls 287,652 346, 295 22. Analysis of changes in net debt At 1 April 2024 Cash flows At 31 March 2025 Cash at bank and in hand Bank overdrafts repayable on demand Debt due wthin 1 year 346,296 (22) 16,075) (58,644) 287,652 122 16,399) {324) 340,199 {58,968) 281.231 Page 33
COMMUNI FOSTER CARE IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 23. 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 Charity to the defined contribution scheme fund and amounted to £34,016 (2024: £35,210). Contributions totalling £6,399 (2024: £5,857) were payable to the fvnd at the balance sheet date and are included within creditors. 24. Operating lease commitments At 31 March 2025 the Company had commitments to make fvbjre minimum lease payments under non- cancellable operating leases as follows: 2025 2024 Not later than 1 year Later than 1 year and not later than 5 years Later than 5 years 43,212 143,852 151,143 18,980 8,495 338,207 27,475 The following lease payments have been recognised as an expense in the Statement of Financial Activities: 2025 2024 Operating lease rentals 46,371 41,070 25. Related party transactions During the year, Trustee M Straton was paid £6,426 (2024.. £5,901) in relation to her work as Agency Decision Maker. £Nil12024'. £3,045) remained payable at year end. During the year, Trustee J Jansen was paid £507 (2024: £617) in relation to her work as an Independent Panel Member. £Nil (2024.. £Nil) remained payable at year end. Page 34