Sandwell Community Caring Trust (A Company Limited by Guarantee) Annual Report and Financial Statements Year ended 31 March 2024 Charity number . 1086162 Company Number.. 03286106 Feltons Feltons Chartered Accountants. Birmingham B13JR *ADIAPYA8• 1911212024 COMPANIES HOUSE A23
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Sandwell Community Caring Trust (A Company Limited by Guarantee) Report and financial statements Year ended 31 March 2024 Contents Page Reference and admlnistrative details Report of the trustees Independent auditor's report on the financial statements Statemont of financial activities incorporating income & expenditure account 13 Balance. sheet 14 Cash flow statement 15 Notes forming part of the financial statements, incorporating Statement of accounting policies 16 Othe'r notes to the financial statements 22 The followlng page does not form part of the ststutory financial ststements: Detailed income and expenditure ac.coun1 34
Sandwell Community Caring Trust (A Company Limlted by Guarantee) Reference and Admlnistrative Details Trustees Mrs S A Rogers Mr G.Walker Mrs M Hall MrA S Coley Mr5 K L Jones F A Betteridge appointed 13 November 2023 resigned 1. April 2023. Company'secretary Mrs T D Graham Key managèment'personnel ,Andrew Coley Chief Execuiive Re9lstered office Trigate Building Hagley Road W86t Oldbury England 868 ONP Charfty number 1086182 Company registration number 03286106 Audllor Felton5 8 Sovereign Court 8 Graham Street Birmingh8rn 813JR Bankers 8arclays Bank plc 47 Hlgh Street Dudley West Midlands DY1 IPP Sollcltor$ Wfighl Hassall LLP Olympus Avenue Leaminglon Spa Wack$hire CV34 6BF Page 1
Sandwell Community Caring Trust (A Company Limlted by Guarantee) Rèport of the trustees Year ended 31 March 2024 The Irustees present their report and the financial statements af the charity for the year ended 31 March 2024. The trustees have adopted the provisions Df the Stalement of Recommended Practice (SORP) 'Accounting and Reporting by Charities" in preparing the annual report and financial stalements of the charity. The financial stalements have been prepared In accordance with the accounting policies set out In note5 to the accounts and comply with the charity's governing document, the Charities Act 2011 and Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published in October 2019 . Trustee8 of the charlty Detalls of the trustees who served during the year and to the date these accounts are approved are included in the Reference and Administrative details on page 1. Objectives and activlties The Trust'5 objectives are to promote the relief of and provide relief, support and assistan to individuals who. by reason of old age, mental illness or physical or learning disabi1Stles, require special care and attention. To promote, in particular, the relief of and support and assistance to beneficiaries who are resident in or associated to Sandwell MBC, Walsall MBC, Dudley MBC and Torbay Care Trust or any of its nei9hbourlng councils. There has been no change in these during the year. In shaping our objectives for the year and planning our aclivitles, the trustees have considered the Charity Commission's guidance on public benefit, including the guidance 'public benefit.. running a charity (P82}'. Whilst the adverse consequences of the covid-19 pandemic have gradually subsided, covid-19 continues to pose challenges to the adult social care sector. Despite this, the Trust has managed to meet the objectives highlighted above. Throughout the year the Trust has SUGce5sfully kept its residents, tenants and employees safe. The principal activity of the Trust is lo provide health and social care services to older people and adults with learning andlor physical disabilities. The Trust currently provides residential care for over 110 older people, 88 of whom are suffering with dementia, 1 $0 days of day care each week for adults with profound learning and or physical disabilities and care and support to over 280 adults with learning disabilities in supported Ilving. As reported in the previous years, financial statements. the pandemic had a detrimental impact upon occupancy, particularly within residential care, which contributed to a deterioration in financial performance. However, on positive note, the recovery in occupancy levels within residential in the latter part of that financial year continued in the financial year ended 31 March 2024. One of the continuing major objectives during the financial year has been to fully understand the implications of austerity on Local Authority income and the impact that this would have on the fees paid for Ihe delivery of Adult Social Care. In addition, the Charity will need to continue to clarify the implications of the continued rise in the National Minirnum Living Wage, particularly in the context of on-going austerity. Page 2
Sandwell Community Caring Trust {A Company Llmited by Guarantee) Report of the trustees (continued) Year ended 31 March 2024 Objectives and activities (continued) There is no restrictlon on who Can access the services provided by Sandwell Community Caring Trust. All the care packages which are provided are based on the clinical and social needs of each individual. Admission to Sandwell Community Caring Trusvs seNices normally takes place after a multi-disciplinary needs assessment, which involves the prospecb've ser¥ice user and their family. The Trustees have paid due regard to guldance Issued by the Charity Commission in deciding what activities the Charity should undertake. The services provided by Sandwell c.ommunity Carlng Trust are compliant wllh the Commission for Racial Equalities Code of Practice. Due to the nature of the servlces that it provides, the charity does not rely on the use of volunteers. Strateglc report The description under the headings "Achievements and performance" and "Financial review" meet the ompany law requirements for the Trustees to present a strategic report. A¢hlevements and performanc• The Trust has continued to ma'intain and fulfil its contractual obligations and achieved its targets securing ongolng provlsion for the care of vulnerable people. Two of the Trust's main key performance Indicators are the level of employee sickness and staff tumover. Employee sickness levels are monitored through the year. The staff turnover for this year was 17% (2023'.19Vo) whlch was a decrease of 2 percentage poinls compared to last year. Staff turnover not only has a financial impact on the Trust but also impact on the quality of care that is provided to its service users. These levels have remained constant over the years which contribute to a consistent happy work force that provide a high quality of care to the vulnerable people that deserve to receive continuity from the service they need. Despite the difficulties experienced during the pandemic. the Trust successfully maintained the standard of care provision without recourse to the use of staffing agencies and continues to do so. The quality of the care that the Trust provides is rneasured and regulated by the Care Quality Commission and Is reflected in their Inspectlon reports on the Trust's services. Page 3
Sandwell Community Caring Trust (A Company Limited by Guarantee) Report of the trustees (continued) Year ended 31 March 2024 Flnancial revlew (including reseNes policy,) The company's balance sheet as detailed on page 14 shows that the funds before the 2024 defined benefit pension scheme liability amounted to £8,736,631 (2023.. £8,570,188). The closing position Including the pension scheme liability as at 31 March 2024 was £8.736,631 {2023= £8,570,188). The Statement of Financial Activities on page 13 of these financial statements shows a surplus expenditure of £448,443 {2023.' net deficit expenditure £888,442) for this financial year, This considerable improvement in financial performance is attributable to a number of contributory factors, the most significant of which are fee increases as a result of the fair cost of care increases which have generated significant increases in fees paid by local authorities, residential Gare home occupancy rates being at near-capacity and the implementation of cost control measures. The Balance Sheet, on page 14 of these financial statements, shows net current assets of £1,701.804 (2023: £1,755,932). The Trustees are reassured that the Charity continues to meet its loan obligations and working capltal requirements, when due, from its cash at bank balances. Having considered the above., in conjunction with projections for the year ending 31 March 2025, at the time of approving the financial statements, the Trustees have a reasonable expecialion that the Charity has adequate resources to continue in operational existence for the foreseeable future. Thus, as confimied in note 1.2 on page 16, the Trustees continue to adopt the golng concern basis of accounling in preparing the financial statements. It is the policy of the Charity that unrestricted funds before the defined pension scheme liablllty. which have not been designated for a specific use, should be maintained at a level equivalent lo 10°/o of incoming resources from charitable activlties. The Trustees consider that reserves at this level will ensure that, in the event of a significant reduction in funding, they will be able lo continue the Charity's curnt activities while consideration 15 glven to ways In whlch additional funds may be ralsed, Having developed a clear understanding of the Impllcatlons of austerlty on local authority contracts and the impact of the continued rise in the National Minimum Living Wage, as reported in previous years, the Charity introduced changes in the terms and conditions of its employees that reflect Ihe new financSal environment within which it operates. These changes were implemented in October 2018 and the Charity continues to ass8SS th8 impact of these changes and review ils financial position, in the cont8Xt of its operating environment. on a regular basis. Investment powers and policy The charity currently has no long-temi investments but takes advantage of short-term cash flow situations by placing funds with institutions approved by the Board. Page 4
Sandwell Community Caring Trust (A Company Limited by Guarantee) Report of the trustees (continued) Year ended 31 March 2024 Risk management The Trustees have assessed the major risks to which the Charity is exposed and are satisfied that systems are in place to mitigate exposure to these major risks. The Trustee Board is responsible for overseeing the charitys risk management actlvities. Detailed consideration of risk is delegated to the Senior Management Team, who are continually reviewing this matter and reportlng thereon to the Trustee Board. Through the risk management process established for the charily, the Trustees are satisfied that the major risks have been identified and processes for addressing them have been implemented. It is recognised Ihal any control systems can only provide reasonable but not absolute assurance that major risks have been adequately managed. In previous years the defined benefit pension scheme deficit has had a significant impact on the net assets of the Trust and is based on the valuatlon provided by the Scheme's actuarles In accordance with Generally Accepted Accounting Practice. The key risk to the Trust surrounding such a pension deficit is the funding of future contributions for both Schemes in place. This is mitigated by the fact that both Schemes no longer admit new members 8greement with Sandbvell MBC that any employer contributions above the agreed 17.9Yo relating to the EMI Scheme will be paid by the Council although the current employer contributions are 11.50/0 for this particular scheme. Furthermore, when an employer applies for admitted body status, the WMPF requires a guarantor or a Bond to cover any costs in the event of insolv8ncy. The WMPF has procedures in place to mitigate the risks of rogue employers. It should be noted that as at 31 March 2024 there was deemed to be a detlned benefit pension surplus of £8.4m (2023: £6.6m). However. under FRS 102 a pension scheme surplus is only recognised as an asset in the balance sheet to the extent that the employer can recover a surplus through reduced contributions or refunds. Therefore, in accordance with these reqU1ments the defined benefit pension Ilability Is shown as nll on the balance sheet. See further details at note 24. The Trustee Board is aware of the combined risks posed by austerity on local authority contracts and the increase in the National Minimum Living Wage. They have clear plans which will address these risks and ensure the continued sustainability of the Charity, The Trustees previously reported on the outcome of a CQC inspection of its SUPPOrted living services in July 2021. The inspection rated SCCT'S supported living services as 'inadequate.' This rating came as a complete surprise and in response a detailed action plan, to address all the concerns noted in the report, was implemented. This aclion plan was accepted by CQC and all the local authorities which commissioned our supported living services. Following the Implementation of the action plan our supported living services were reinspected in February 2022. This follow-up inspection report recognised all the improvemenls that had been made and noted the very positive comments made by our service users and their families and other professionals working in partnership with SCCT. The overall rating was 'requires improvement.. The inadequate rating from the report In July 2021. whilst very disappointing, did not represent any risk to the sustainability of SCCT as a business. All the key commissioners of our seNices remained confident in the services we provided and left all their contracts in place. Our commissioners worked with us to ensure thal we addressed the issues highlighted by CQC. Page 5
Sandwell Community Caring Trust (A Company Limited by Guarantee) Report of the trustees (continued) Year ended 31 March 2024 Risk management (continued) The Senior Strategy Meeting process Instigated by SCCT'S commissioners, In response to the CQC report published on 14 September 2021, was closed with no further action required. It was previously reported thal SCCT would request a further full inspection of Supported Living Services by the CQC with the previous Chief Executive expectlng the service to regain ils 'Good' rating. This has not occurred yet due to the CQC revising its regulatory approach and, in particular, its criteria for conducting re-inspections. SCCT wlll continue to explore the possibllity of securing a further full inspectlon of ils Supported Llving SeNices. Plans for future periods The Trust is always looking towards the futur.e, seeking out new prospects and contracts to enable them to continue to deliver seNices to those most needy. The Trust Is able to take advantage of any opportunities for expanslon particularly through the transfer of providers from local authorities, as austerity and budget deductions fully impact on local authority expenditure on adult soclal care, Structure, governance and management Goveming document The Charity Is a charitable company limiled by guarantee. and was set up on 1 April 1997. It Is ,governed by Memorandum and Articles of Association. The Trustees, who are also the directors for the purpose of company law, and who seNed during the year were: Mrs S A Rogers Mr G Walker Mrs M Hall Mr A Coley Ms K Jones (appointed 12 October 2023) Appointment of trustees The Board of Trustees may fill vacancies arising during the year by appointing Trustees themselves, but any Trustees so appointed shall retsin their office only until the next Annual General Meeting when they shall be eligible for re-election. Any appointments made are wth due regard to the broad range of relevant skills required by the Board of Trustees and the specialist skills and experience offered by the appllcant Trustee. None of the Trustees has any beneficial interest in the company. All the Trustees are members of the company and guarantee to contribute £1 in the event of a winding up. Page 6
Sandwell Community Caring Trust {A Company Limited by Guarantee) Report of the trustees (continued) Year ended 31 March 2024 Organlsatlon The goveming body of the Charity is the Board of Trustees which comprises 4 members and has met 4 times a year together with the Senlor Management Team. The Chief Executive has been appointed by the Trustees to manage the day-to-day operations. Trustee induction and training Indivldual Trustee training is undertaken by Trustees on a need basls but training for the full Board of Trustees and Senior Management Team takes place ai least annually and focuses on governance issues. Relatedpartles and co-operatlon wlth other organlsatlons None of our trustees recelve remuneratlon or other benefi't from their work with the charity. Any connection befvleen a trustee or senior manager of the charity with a client or suppller must be disclosed to the full board of trustees in the same way as any other contractual relationship with a related paty. Related party transactions in the current year are described in notes 10 8nd 25 to the accounts. Paypolicy for senior staff The Trustees are. responsible for determining the pay and conditlons of key management personnel. This is done in consultation with an external human resources company who provide advice on comparative posits'ons across the sector. The Chlef Executive Officer is responsible for recommending any changes In pay and conditlons of the remainder of the paid service. Employee Involvement The Charity's policy Is to consult and discuss wllh empbyees, through unions, staff councils and at meetings, matters likely to affect employees, interests. Information of matters of concern to employees is given Ihrough information bullelins and reports, which seek to achieve a common awareness on the part of all employees of the financial and economic factors.affecting the group's performance. Dlsabled persons Applications for employment made by disabled persons are always fully considered, bearing in mind the apts'tudes of the applicant concemed. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the Charity continues and that the appropriate training is arranged. It is the pollcy of the Charity that the Iraining, career development and promotion of disabled persons should. as far as possib5e, be identical to,that of other employees. Page 7
Sandwell Communlty Carlng Trust IA Company Limited by Guarantee) Report of the trustees (contlnued) Year ended 31 March 2024 Auditors A resolution proposing that Feltons be reappointed as auditors of the company will be put lo the m8mbers. Disclosure of information to auditor We, the directors of the company who held office at the date of approval of these Financial Statements as set out above each confirm, so far as we are aware, that.. there is no relevant audit information of whkh the coffjp.any's auditors are unaware,. and we have taken all the steps that we ought to have taken as directors in order to make ourselves aware of any relevant audit information and to establish that the company's audilors are aware of that informatlon. The Trustees, report, including the Strateg1¢ Report. was approved by ihe Board of Trustees. Mrs M Hall Dated.. 8 December 2024 Page 8
Independent Auditor's Report to the Trustees of Sandwell Community Caring Trust (A Company Llmlted by Guarantee) Opinion We have audited the flnancial statements of Sandwell Community Caring Trust (the 'charitable company'} for the year ended 31 March 2024 which comprise the Statemenl of Financial Activities, the Balance Sheet, the Statement of Cash Flow8 and notes to th8 financial statemenls. Including signrficant accounting policies. The financial reporting fiamework that has been applied in Iheir preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" (Unlted Kingdom Generally Accepted Accounting Practice). In oilr opinlon the financial stalements give a Irue and fair view of the state of the charitable company's affaits as 8131 March 2024, and of its incomlng resources and application of resources. including its income and expenditure, for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and have been PrePad in aCcOrdae with the requitements of the Companies Act 20(. Basls for oplnlon We conducted our audit in accordan¢e with Internatlonal Standards on Auditing (UKJ {ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial slalements section of our report. We are independent of the charitable company in accordance with the ethlcal requirements that are relevant to our audit of the financial statements In the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethlcal responsibilities in accordance wth these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relatlng to going cohcern In auditing the financial statements. we have Goncluded that the trustees, use of the 90ing concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to ovents or conditions Ihal, indivldually or colleclively, may cast significant doubt on the charitable Company's ability lo continue as a going concern for 8 period of at least e1ve months from when the financial slalements are authorised for issue. Our responslbilities and the responsiblltties of the trustees with respect to going concern are described In the relevant sections of this report. Other infofmatlon The other infomation comprlses th8 Information included In the trustees annual report. other than the fln8n¢ial statements and our auditor's report thereon. The trustee5 are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other infonnalion and, except to the extent olhemise explicitly staled in our report. wè do not express any fom of assurance conclusion thereon. Page 9
Independent Auditor's Report to the Trustees of Sandwell Community Caring Trust (A Company Limited by Guarantee) (continued) Our responsibility is to read the other information and, in doing so, consider whether the other informalion is materially Inconsistent with the financial statements or our knowledge obtained in the course of the audit or otheiSe appears to be materially misstated. If we identify such material inconsistencies or apparent material misstalemenls, we are required to determine whether this give5 rise to a material misstatement in the financial statemenls themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information. we are required lo report that fact. We have nothing to report in this regard. Oplnion on other matters prescrlbed by the Companles Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Trust88s' Report for the financial year for whlch the financial statements are prepared is consistent with the financial statements: and the Trustees. Report have been prepared in accordance with applicable legal requirements. Matters on whlch we are requlred to report by exceptlon In the light of our knowledgè and understanding of the company and its environment obtained 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 relatlon to which the Companles Act 2006 requires us to report to you if, in our opinion.. adequate accounting records have not been kept, or the financial statemenls are not in agreemenl wbth the accounting records and returns,. or certain disclosures of trustees, remuneration specified by law are not made; or we have not ieceived all the information and explanations we require for our audit., or Ihe trustees were not entitled to prepare the financial statements in accordance with the small companles regime and lake advantage of the small companies, exemptions in preparing the Trustees. Report and from the requirement to prepare a Strategic Report. Responslbllltles of trustees As explalned more fully in the trustees, responsibilities statement {set out on page 5), the Iruslees (who are also the directors of the charitable company for the purposes of company. law} are responsible for the preparation ol the financial statements and for being satiSfd that they give a true and fair view, and for such internal control as the trustees detemine is necessary to enable the preparation of financial statemenls that 'are free from material misstatement. whether due to fraud or error. In preparing the financial statemants, the trustees are responsible for assessing. the Charitable companls ability to continue as a goin9 concern, disclosing. as appllcable, matters related to"going concern and using the going concern basis of accounting unless Ihe trustees either inlend to liquidate the charitable company or to cease operations, or have no realistic allernalive but lo do so. Page 10
Independent Auditorfs Report to the Trustees of Sandwell Communlty Caring Trust (A Company Llmlted by Guarantee) (continued) Audltor's responslbllities for the audlt of the ftnanclal statements Our objectives are lo obtain reasonable assurance about whether the financial statements as a whole are free from malerial misstatement. whether due to fraud or error, and to issue an audilorfs report that includes our opinion. Reasonable assurance is a high level of assuran, but is not a guarantee that an audit conducted in accordance with ISAS {UKI will always detect a material misslalemenl when il exists. Misslalemenls 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 with our responsibilities, outlined above, to detect material mis51alements in respect of irregularities, including fraud. The specific procedures for this engagement and the exlenl to which these are capable of detecting irregularities, including fraud is detailed below.. We reviewed the company's Gontrol and risk managemeni procedures and p18nned our work based on our assessment of those controls and proceduTes,- Thls revlew included an assessm'ent of the risk of material misslatement duè to èrrors, fraud Énd management override of controls for all material areas in the financial statements., We made enquiries of management and the company's lawy8rs regarding any actual or potential liligalion andlor ¢lalms; Financial stalements disclosures were reviewed and checked for compliance with applicable laws,. Deiailed testing was conducted on balances and transactions including unusual items and those of indivsdual 51gnlfic8nce to the financlal statements., Data analyti¢s'were used In order to identify unusual or significant trends: Communlcalions with management and those charged with governance regarding relevanl matters was undertaken throughout the audit and on completion. Because of the Inherenl limitations of an audit, there is 8 risk that we wlll not detect all irregularities, including those leading to a material misslalemenl in the linancial .sl8tements or non.-compliance with regulation. This risk increases Ihe more that compliance with a law or regulation is removed from the events and Iransaclions reflected in Ihe financial statements, as we will be less likely lo become aware of instances of non-compliance. The risk is 81so greater regarding irregularities occurring due to fraud rather than error. as fraud involves intentional GOnalMent, forgery, collusion. omission or misrepresentation. A further description of our responslbllities for the audlt of Ihe finan¢lal statements is located on Ihe Financial Reporting Council's website at .frC.Or9.Uk]audltorSre$ponslb1lIte5. This description fomis part of our auditor's report. Page11
Independent Auditor's Report to the Trustees of Sandwell Communlty Caring Trust (A Company Limited by Guarantee) (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 work has been undertaken so that we might state to the charitable company's members those mallers we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone other than the charitable company and the charltable company's members as a body. for our audit work, for this report, or for the opinions we have formed. Davld W Farnsworth FCA (Senlor Statutory Audltor) For and on behalf of Feltons, Statutory Auditor 8 Sovereign Court 8 Graham Street Birmingham B13JR Dale '. Page 12
Sandwell Community Caring Trust (A Company Limited by Guarantee) statement of financlal activities for the year ended 31 March 2024 Restrlctsd Restrlcted general funds Unr•strictsd. funds pen8lOn fund Totsl 2024 Total 2023 Notes Income Donations arKI legacies Income fmm charitable'.8Ctivities.' Residential. care.home fees 30,326. 30.326 35,854 16,154,478 16.154,478 14,198,034 Investmenl income 9,500 9,500 4,080 Total Income 16,194,304 16.194.304 14,237,968 expendlture Charitable actlvlll8S.' .Oporational and support¢O8t8 Other costs . Amount pald.to SM8C Flnanclng costs 15,792,703 {282,000) 15,510,703 14.502,283 450,000 174,127 12 235,158 235,158 Total expenditur• 16,027 861 282.000 15,745 861 15.126,410. Net incomo1{èxpenditure) befor transfers 166,443 282,000 448,443 1888.442> Gross translers be¢en funds Net.Incom•l(expendltur•) after transfers 166,443 282,000 448,443 (888,442) other recognlsed galng111099081 Actuarial gainsl{losses) on defined benefit pension Schemes 24 (282.000) {282:OOQ) 1,824,000 Not movèment In funds 166,443 166.443 935,558 Reconciliation of funds Total funds brought forward 8,196,795 373,393 8.570,188 7.634,630 To.tal funds carried forward 8,363,238 373.393 8,736,631 8,570,188 .All income. and expenditure derive from continuing aclivilies. The statement of financial aclSvities includes all galns and losses recognlsed durlng the year Page 13
Sandwell Community Carlng TruBt IA Company Limited'by Guarantee) Company Number . 03286106 Balance sheet as at 31 March 2024 I Charity number:: 1086162 2024 2023 Not08 Flxed a88et8 Tangible assets 13 .9,520.085 9,520,085 Current assets Debtors Cash at bank and in hand 14 1,962,929 1497,826 3,460.755 2.063,734 1,313.857 3,377,591 Creditors: amounts falling due.withln one year 15 1758,951 1621,659 Net current assetsl{Ilabllltle8) Total assets. les$ current Ilabilitles 1..701.804 1,755.932 11.221,889 11',276,017. CredStors'. amounts falllng due alter more than one year 16 12,485,258) {2,705,8291 Net assets excludlng penslon Ilablllty 8,738,831 8,570,188 Deflned benefit penslon Ilablllty Net assets 8,736,631 8,570,188 Funds of the charlty Rejtrlcted fund8 General fund 19 373,393 373.393 Unrestrlcted lunds General fund Pension fvnd 19 8.363,238 8.196,795 8.363.238 8,196..795 Total funds 8,736,631 8,570,188 These a¢UnIS havo been prepared In ¥ccord8n¢e.with the speclal prowsions of Part 15 of the Companles A¢t 2006 relating to small companies. Th•. not•s on pag•9 16 to 33. form part ol'lhese accounts. The financi81 glalements were approv•d by the board of tnjsloes on 6 Docember 2024 and w•M gned on its behjlf by. Mrs M Hall (Chair) Page 14
Sandwell Community Caring Trust (A. Company Limited by Guarantee) Statement of cash flows for the year ended 31 March 2024 Noles 2024 2023 Cash flow. from operating activities 22 694.706 (1,051,271) Inte$t paid Net cash flow from operating actlvltles 694,706 1.051,271 Cash flow from. investing activities Interest received 9,500 4,080 Net cash flow from investlng actlvities 9.500 4,080 Cash flow from financlng actlvltles Repayment of bank loans (520,237) (259,543) Net cash Ilow from flnanclng actlvltS05 520,237 259.543 Nat Increase l <d•crèase} in eash and cash equlvalents 183,969 11,306,734) Cash and cash equivalents at 1 April 2023 1,313,8.57 2,620.591 Cash and cash oqulvalents at 31 March 2024 1.497,826 1,313,857 Page 15
Sandwell Community Caring Trust (A Company Llmited by Guarantee) Notes to tha flnancial statements for the year ended 31 March 2024 1. Accounting policies General Informatton Sandwell Communlty Caring Trust is a charitable company limlted by guarantee . In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is given in the charity information on page 1 of these financial statement6. The nature of the charity's operations and principal activities are to provide health and social care services to older people and adults with learning and or physlcal disabilities. 1.1 Basis of'preparation The Gharity constitutes a public benefit enb'ly as defined by FRS 102. The financial statements have been prepared In accordance with Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their a¢counls in aGcordance with the Financial Reporting Stsndard applicable in the UK and Republic of Ireland Issued In October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republlc of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and VK Generally Accepted Accounting Practice. The significant accounting policies applled In the preparation of these financial statements are set out below. These policies have been consislenlly applied lo all years presented unless othep•vlse stated. 1.2 Golng concern The financial statements have been prepared on a golng concern basls as the trustees belleve that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expendllure for a period of 12 months from the dale of aulhorising these financial slalements. 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 is conscious of continuing cost pTrssures across the sector and wlll, therOre. continue to restilct costs as lar as posslble whilsl seeking new incomè sources that are consistent with its charitable obJecliv8s. The frust 11 also oontinue to lobby local authontie5 gardIng a sustainable level of carn fees. 1.3 Funds Unrestricted funds are available for use at the discretion of the trustees In lurtheran¢e of the.general objectives of the charity and which have not been designated for other purposes. Restricted funds are funds which are to be used in accordance with spe¢lfi¢ reslri¢tions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and adminislering such funds are charged against the specific fund. The.aim and use of each restricted fund is set out in the notes to the financlal statements. Page 16
Sandwell Community Caring Trust IA Company Limited by Guarantee) Note8 to the financial statements for the year ended 31 March 2024 (continued) 1. Accounting policies (continued) 1.4 Income rocognition All incorning resources are Included in the Statement of Financial Activities (SOFA) when the charlty is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably .and it is probable that the income will be received. Grants recelvablo Grants are included in the Statement of Flnancial Activitles on a recelvable basis. The balance of income received for specific purposes bul not expended during the period is 'shown in the relevant funds on the balance sheet. Where income is received in advance of enlillemenl of receipt its recognltion is deferred and included in creditors as deferred income. Where entitlement occurs. before Incomé Is recelved, the income Is accrued. Donatlon$ Donations are recognised on a recelvable basls where there Is certalnty of recelpt and the amount can be reliably measured. If there are conditions attached lo the donation and this requires a leve5 of perfomance before entitlement can be. obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they wlll be ftjlfilled. Interest recelvable Interest on funds held on deposlt Is included when receivable and the amount can be measured reliably by the charity.. thls is normally upon notlflcation of the interest paid or payable by the bank. Other Income Other income, Includlng the hire ol facS1ilies, Is recognlsed in the period il Is receivable and to the extent the goods have been provided or on completion of the service. 1.5 Expendlture recognltlon All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the.category. Expenditure is recognised where there is a le9al or constructive obligation lo make paymenls to third parties, It Is probable that the settlement will be required and the amount of the obligation can be measured reliably. Page 17
Sandwell Community Caring Trust (A Company Limited by Guarantee) Notes to the financial statements for the year ended 31 March 2024 (continued) 1. Accounting policles Icontlnued) 1.5 Expondlture recognltlon (continued) Expenditure Is categorised under the following headings.. Charitable activities These are costs Incurred in activities undertaken to further the purposes. of the charlty and thelr associated support costs. Governanco costs These Include the costs 8ttribulable to the trust's compllance wlth constltulional and slatutory requirements, including strategic management,'and trustees, meetings and reimbursed expenses. Irrecoverable VAT Is charged as an expense agalnsl the activlty for whlch expendlture arose. 1.6 Allocatlon of support costs Support costs are those that assist Ihe work of Ihe charity but do not directly represent charitable activities and include office ¢osts. governance costs and administrative payroll costs. Where support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds'and expenditure on charitable activlties. The bases on which support costs have been allocated are set out In nolo 8. 1.7 Tangible fjxed asset8 Tangible fixed assets are stated at cost (or deemed cost) or valuatlon less accumulaled depreciation and accumulated impairment losses. Cost Includes cost$ direGlly allributablè to making the asset capable .of operating as intended. Land and buildings. and long leasehold'are not depreciated. At each reporting date the Charity review5 the carrying amounts of Its tanglble assets to determine whether there is any indication thal those assets have suffered an impairment loss. If any such Indicalion.existS. the recoverable amount of the asset Is estimated in order to determine the exlent of the impalrment loss. if any. 1.8 Cash at bank and in hand Cash at bank and in hand includes cash and short term highly liquid Investment5 Wlth a short maturity of three monlhs or less from the date of acquisition or opening of the deposit or similar acGDunt. Page 18
Sandwell Community Caring Trust (A Company Limited by Guarantee) Notes to the financial statements for the year ended 31 March 2024 (continued) 1. Accountlng policies (continued) 1.9 Flnanclal instrumènts The charity has elected to apply the provlsions of Section 11 'Basic Financlal Instruments, and Section 12 'Other Financial Instruments Issues, of FRS 102 to all its financial instruments. Financial instruments are recognised in the Charitys balance sheet when the Charity becomes party to the contractual provisions of. ihe instrument. Financial assets .and liabilities are offset, with the net amounts presented in trtre financial stalemenls, when there is a legally enforceable right to set off the recognised amounts and thera Is an Intention to settle on a net basls or to'realise the asset and settle the liability simultaneously. Bas financial 8S$8ts Baslc financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effecllve interest rate method unless the arrangement constitutes a financing IransaGts'on, where the transaction 15 measured at the present value of the fulure receipts discounted al a market rate of interest. Financial assets class*fied as recelvable wlthin one year are not amortlsed. Basio financi81 liabilities Baslc financlal liabilitles, including creditors and bank loans are irsllially recognlsed al IransaGtlon prlce unless the arrangement constitutes a finanang .transaction, where the debt. instrument is measured at" the present value of the future payments discounted at a market rale of Interest. Flnancial liablllties classlfied as payable thin one year are not amortlsed. Debt instruments are subsequently carried at amortised cost. using the effeclSve interest rale method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as Current liabilities if payment is due within one year or less. If not, they are presented as non-current liabililies. Trade creditors are recognlsed initially at transaction price and subsequently measured at,amort15ed cost using the effective interest method. D8¢09n10n of financial li8biliti8S Fin8ncial liabilities are derecognised when the Charit1$. contractual obligatlons expire or are. discharged or ,cancelled. 1.10 Operatlng loasos Rentals payable under operating leases are charged to the SOFA on a straight line basis over the period of the lease. Page 19
Sandwell Community Caring Trust IA Company Limited by Guarantee) Notes to the financlal statements for the year ended 31 March 2024 {continued) 1. Accountlng.policies (continued) 1.11 Taxat5on The charity is an exempt charity within the meaning of schedule 3 of the Charitses A¢1 2011 and is considered lo pass the tests sel out In Paragraph 1 Schedule 6 Finance.Acl 2010 and theiefore it meets the definitlon of charitable company for UK corporation tax purposes. 1.12 Penslon benefits Ouring the year the Trust operated LGPS defined benefit penslon schemes and a defined contribution pension scheme. Payments lo defined contribution retirement benellt schemes are charged as. an expense as they fall due. Nellher of the defined benefit schemes admlt new rnember5. New memb?r3 01 staff are admltted Into the defined contribution scheme on their employment with the Charity. The cost of providing benefits under defined benefil plans is determined separately for each plan using the projected unit eredlt method and Is based on acluarlal advice. Actuarial valuations are obtained at least triennially and are updated at each balance sheet date. The change In the nel defined benefil Ilakn'llly arislng from employee service durlng the year is reco9nlsed a$ an employee cost, The cost of plan introductlons. benefit changes, settlements and curtailments are recognised as incurred. The net interest element is determlned by multiplying the net defined benefft Ilability by the discount rate. taking into account any changes in the net defined benefit liability during the perlod as a result of contribution and benefit payments. The nel interest IS fecognised in Incomel(expenditure) for the year. Remeasurement changes comprise acluaiial gain and losses, the effect of the agset celllng and the return on the net defined benefit liability excluding amounts included in net interest. These are recognised immediately In other recognlsed galns and losse$ In the period in which they occur and are not reclasslfied to Incomellexpenditure) in subsequent periods. The net defined benefit pension asset or liability In the balance sheet comprlses the total for each plan of the Psent value of the defined benefit obligation (using a disGount rate on high quality corporate bonds) less the fair value of plan assets out of which the obligations are to be settled directly. Fair value is based on markel price infomiation, and in the case of quoted securlties is Ihe publlshed bid price. The value of a net pension benefit asset is limited to the amount that may be recovered either through reduced contributions or agreed refunds from the s¢heme. Terrnination benefits are employee benefits provided in exchange for the termination of an employee's involvement in the Charlty. Redundancy costs are recognised immediately once the Charity Is demonstrably c¢)mmitted to terminate employment. Page 20
Sandwell Community Carlng Trust (A Company Llmited by Guarantee) Notes to the flnanclal statements for the year ended 31 March 2024 (continued) 1. Accounting policies (contlnued) 1.13 Employee benefits. The Cost of any unused holiday entitlement is recognised in the period in which the employee's services are received. Temination payments are recognised immediately as an expense when the Charity is demonslfably committed lo terminate th2 employment of an employee or to provide termination benefits. 2. Crltlcal accounting estlmates and judgements In the application of the Charity's accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experlence and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are revlewed on an ongoing basis. Revisions to accounting estlmales are recognisèd in .Ihe period in'which the e511mate is revised where the revlsion affects only that period, or in the perlod ol the revlsion and future perlods where the revision affects both current and future periods. Crltlcal Judgements Recoverabilty of trnde debtors A provislon for doubrful debtors from operallons is sel up when the likellhood of recovering the debt Is diminished. The level of provision will be based on any currenl repayment plan entered inlo and which Is being adhered to by the debtor, together with an estimate of the likelihood of the amounts being fully recovered. K•y sources of estimation uncertainty Defined benefil pension scheme The charity has an obligation to pay pension benefits to certain employees. The cost of these benefit5 and the present value of the obligation depend on a number of factors including . life expectancy, asset valuations and the discount rate on corporate bonds. Management estimates these factors In determining the net penslon obligation in the balance.sheet. The assumptions reflect'historical experience and cutrent trends. See note 24 for the disclosures relating to the defined benefit scheme. Page 21
Sandwell Communlty Carlng Trust (A Company Llrnited by Guarantee) Notes to the flnancial statem8nts.for the year ended 31 March 2024 Icontinued) 3. Prior year Statement of Financial Activitles (year end 31 March 20231 RgStrict•d pensloD lund Restricted general funds Unrestrlcted fund9 Total 2023 Income Donations and legacies Income from chaiilable activities .Inveslmenl income Total income 35.854 14.198,034 4.080 14,237,968 35,854 14.198,034 4,080 14,237.968 Expendlture Charitable acliviti8s Amount paid lo SMBC in the year other Total expendlture, 14,291,283 450,000 174,127 14,915 410 21.1.000 14.502,283 450,000 174,127 15,126,410 211000 Net Incomol{expÉndlture) béfore transfern <677,442) 1211.000) 1888,4421 Actuarial galn on dellned benefit pension schemes 1,824,000 1.824,000 Net movement In funds <67.7,442) 1,613,000 935,558 Reconclliation of funds Total funds brought foward 8,874,237 (1,813.0001 373,393 7',634,630 Total lunds carrled forward 8,196,795 373,393 8.570.188 4. Donations and legaeies Unrestricted Restricted funds funds Total 2024 Total 2023 Donations and gifts Covid-19 govemment support Grants 19,187 19.187 24,000 11,854 11.139 30,326 11,139 30,326 35.854 General donations and income for digilalisation project. Page 22
Sandwell Community Caring Trust IA Company Limited by Guarantee) Notes to the financlal statements for the year ended 31 March 2024 (Gontinued) 5. Income from charltsble actlvltles R¢¥trlctod pension fund Restricted ggn&ral funds Unrestrlcted funds Total 2024 Total 2023 Rasldenlial care horne fees 1.6,154,478 16,154,478 14.,198.034 16 154,4.78 16.154,478 14 198 034 6. Intrestment Income Unrestricted Restricted funds funds Tolal 2024 Total 2023 Deposit account int8rest 9,500 9,500 4,080 9.500 9.500 4,080 7. Exp•ndlture on charitable activllles Resldentlal and day care. 8•r4ice8 Activity Activity Totsl 2024 Totsl 2023 OperatSonal and gUPPOrt ¢osts Staff costs Heal and11ght Rent, rates and insurance Telecommunications Other staff costs Motor and travel Repairs, renewals and. equlpment hlre Cleanlng, waste and pest control Other office cosls and sessionals Prfntlng, postage and.stalionery Provisions Support costs {see note 7) Governance costs (see note 7) 10,633,340 174,581 1,003.611 7,044 21,646 60,450 539,707 142.648 84,880 6.187 364,159 2,428,292 44,158 10,633.340 174.581 1.003,611 7,044 21.646 60,450 539,707 142,648 84,880 6,187 364,159 2,428,292 44,.158 9,986,122 164,295 1,044,938 10,231 44,614 92,828 544,673 138,756 84,127 5,582 250,494 2,070,777 64,846 15 510,703 15,510,703 14,502,283 Total expenditure on charitable activities was £15,510,703 (2023 - £14,502,283) of which £15,510,703 12023 £14,502,283) was unre51ricted and £nil {2023- £nil) was restricted. Page 23
Sandwell Community Caring Trust IA Company Limited by Guarantee) Notes to the financlal statements for the year ended 31 March 2024 {contlnued) 8. Analysis of gupport and governance costs Basis of allocation General 8UPPOrt Governance function Totsl 2024 Total 2023 Staff Gosls Heat and light R'ent, rales and insurance Telecommunications Other staff costs Motor and travel Repairs, renewals and equlpmenl hire Cleanlng, waste and pest control Other office costs and sessionals Prinling, postage and slalionery Provisions Audit and accoUnlancy,Selc8s Legal and other professional Staff time Usage Usage Usa9e Usage Usage 1,111,220 10.694 368.929 38,208 182.337 33,357 1,111,220 10,694 366,929 38,208 J82,337 33.357 1.158,204 8,786 325,685 39,570 172,990 45,062 Usage. Usage Usage Usage Usage Governance Govemance 1 $7,720 81,134 417,235 24,011 5.447. 157,720 81,134 417,235 24.011 5,447 40,110 110,700 1,712 177,578 29.971 519 47,880 16,966 2,135.623 40,110 2 428 292 44.158 2,472,450 9. Net Incomellexpondlturel for the year Nel Income l {expenditure} Is slated after charg.lng I Icredltlng): Totsl 2024 Total 2023 Operatlng lease rentals Office equipment Premises Bank inlerest payable Auditors. remuneration 108,222 1,066,246 75,866 1,111.625 47,880 The audilors rernunerallon amounts to an audit fee of £15,000 (2023 - £32,880) and other services of £nll {2023 - £15.000}. 10. Trustees and key management personnel remuneratlon and expenses A Coley CeIVed remuneratlon in the year of £98.00012023 - G Walker, £124.000) paid lo hlm for hls role as Chief Executive and not.as a trustee of lh& charity. No trustee was reimbursed expenses during the year.{2023- £nil). The Trust considers its key management personnel compris8 of Chief Executive Officer. The total amount.. of employee benefits received by key management personnel was £98'.000 (2023- £244.105). Page 24
Sandwell Community Carlng Trust (A Company Limited by Guaranteel Notes to the financial statements for the year ended 31 March 2024 {continuedl 11. Analysis of Staff costs and numbets a) Staff costs . Total 2024 Total 2023 Wages and salaries Social security costs Other penslon cosls 10,727,813 891.151 111,828 11,730.792 13.768 11,744,560 9,660,751 845,978 620,134 11.126.863 17,463 11,144,326 Severance payments Included In other pension costs above is an adjuslmenl of £282,000 (2023 £218.000) r81ating lo the Incrèasèd pension costs as a result of the 2024 P.ension Expense Calculation in respect of pension beneflts provided by the Local Government Pension Scheme.. The amounts abova relate to the shortlall in contrlbutions as advlsed by the Actuary of £31,000 (2023 - £169,505), interest Gosls advised by the Adtuary of £313,000 {2023 - £45,000) and adminislration costs advised by the .Acluary of £nil (2023- £3,495). b) Staff numbers . The average monthly number of employees and full time equivalents during the year was as follows.. 2024 Number 2023 Number Care Finance and administration 475 13 488 448 13 461 c) Higher paid staff The number of employees whose employee benefits (excluding employer pension costs) exceeded £80,000 was .' 2022123 Nurnber 2021122 Number £70.001- £80,000 £90.000- £100,000 £120,001- £130,000 12. Other costs T¢)tal 2024 Total 2023 FlnanrR costs 235,158 174.127 Page 25
Sandwell Community Caring Trust (A Company Limited by Guarantee) Notes to the financial statements for the year ended 31 March,2024 Icontlnued> 13. Tangible fixed.assets Land and bulldlngs Long leasehold Office equlpment Total Cost Al 1 April 2023 and 31 March 2024 8,969,945 550.140. 9.520,085 Depreclatlon At 1 April 2023 and 31 March 2024 Net book values At 31 March 2024 8,969 945 550.140 9,520,085 Al 31 March 2023 8 969 945 550,140 9,520,085 Freehold land and buildings with a carrying amount of £7.467,081 12023 - £7,467,081) have been pledged to secure borrowing5 of the 'Charily. The Charlty 'ls not allowed to pledge these assets as "s8curiiy for other borrowings or lo sell them to another entity. Barclays Bank plc hold a debenture wllh a flxed and floallng charge over the undertaklng. Depreclation on Ireehold property 19 not provided as the twstees feel that slgnific8nl replacement and maintenance works are.carried out on an annual" basis and therelore there is no material change to the nel book value al the yoar end. 14. Debtors Totsl 2024 Total 2023 Debtors from operations Prepayments and accrued income Other debtors 1,654.169 260,837 47,923 1,874,442 75,056 114,236 1.962.929 2,063.734 Page 26
Sandwell Community Caring Trust (A Company Limited by Guarantee) Notes to the financial statements for the year ended 31 March 2024 (continued) 1S. Creditors - amounts falling due within one year Total 2024 Total 2023 Bank loans Creditors from operations Taxation and social"security Accruals and deferred Income Olher credStors 220,572 305,875 199,307 975,110 58,087 1,758,951 520,238 162,895 200,747 713,075 24,704 1,621,659 Daferred Income Deferred Income al 1 April 2023 Resources deferred in the year Amounts released from previous years Deferred income at 31 March 2024 186,223 127,866 186,223 127,866 222,566 186,223 222.566 186,223 At the balance sheet date the charity was holding funds received in advance for a digilalisation project and residential care fees. 16. Creditors - amounts fallln'g'due after more than one year Total 2024 Total 2023 Bank loans 2,485.258 2,705,829 17. Loans and overdrofts Totsl 2024 Total 2023 Bank loans 2.705.830 3.226.067 Payable wilhln one year Payable after more.than" one year 220,572 2.485.258 2,705.830 520,238 2.705.829 3.226,067 The long term loans are secured by fixed charges,ag8ins1 the properties lo which they relale. 'The interest rales on the loans vary from 39A to 7.5% and repayment terms vary from 2023 to 2038. Page 27
Sandwell Community Caring Trust (A Company Limlted by Guarantee) Notes to the financial statements for the year ended 31 March 2024 (continued 18. Commitments under operating leases Al.31 March 2024 the charity was comrnitied lo making the followlng payments under non- cancellable operating leases Total 2024 Total 2023 Within one year Wilhin fvjo to five years Inclusive 1n.ovgr five years 1,332,217 4,788.621 18.102,072 24.222.910 1.305,111 4.402.172 15,942,782 21,650,065 19. Analysls of funds 8alanc• at 1 Aprll 2023 Balance at 31 March 2024 Incomlng rèsourees Resources èxpended Transfers Regtrieted funds. Alsop House Pension 373,393 373,393 282.000 282,000 282.000 (282.000) 373,393 373.393 Unre8trlcted funds General fund 8 196,795 8,196.795 16,194,304 16,194.304 16.027.861 16,027.881 8,363 238 8.363,238 Total funds 8,570,188 15,745,861 16,194.304 . 282,000 8,736.631 Nam• olfund De8crSptlon, nature and purpos• of fund Rèstrl¢ted general fund Money glven to the charity where the donor requlres that a grant or donallon be spent for a specific project. Fund5 relating lo Alsop House wore recelved from the Lottery.'Communlly Fund and 9211A of the asset value would be repayable to BIG In the event of the disposal of the asset prior lo 1 February 2025. Th& remainder of the funds are not repayable. Unrestricted géneral fund. "The free reserve5 of the .charity whlch are not designated lor partlcular purposes. Page 28
Sandwell Community Carlng Trust IA Company Limited by Guarantee) Notes to the financlal statements for the year ended 31 March 2024 (continued) 20. Analysls of net ass•ts between funds Fund balances at 31 March 2024 are represented by.. Restricted pension fund Restricted general funds Unrestrlcted funds Total funds Tangible flxed assets c.urrent assets Current liabilities Long term liabS11118s Total net assets 9,146,692 3,460,755 (1,758,951) 2.485.258 8 363.238 373.393 9,520,D85 3,460,755 (1,758,951) 2,485.258 8 736,631 373,393 Comparative Infomation in respect of the preceding period is as follows Restricted penslon nd Restricted general funds Total Unrestrlcted fund8 funds Tanglbl8 fixed assets Current assets Current liabilities Long term liabililles Tolal net assets 9,146,692 3,377,591 (1,621,659) 2.705 829 8,196.795 373.393 9,520,085 3.377,591 {1.621.659) ,705,829 8,570,188 373.393 21. Flnanclol commltments¥ guarantees and conllngent Ilabllltle$ In the 2017118 financial year SCCT entered into a lease with Real E51ale Investors PLC and Sandwell Valley School (SVS) to a¢1 as the guarantor of the rent should the tenant ISVS) fall to pay. The lease runs fiom 29 September 2016 to 28 September 2041 with a rental charge of £120,000 plus VAT per annum. 22. Reconclliation of net Incomel(expendlture) to net cash Ilow from operatlng actlvltles Total 2024 Totsl 2023 Nel incomel(exponditure) for the y88r Interest receivable Defined benefit pension schem& cost less contributions payable {note 24) Defined benefit pension scheme finance cosU(income) (note 24) Defined benefit pension scheme unfunded benefits paid (Increase) I decrease in debtors Increase l (decrease) in creditors 448.443 (9.500) 39,000 (313,000) (8,000) 100,805 436.958 (888,442) {4,080) 166,000 45,000 (310,190) {59,559} Net cash flow'from operating activities 694,706 1,051.271 Page 29
Sandwell Community Caring Trust (A Company Limlted by Guarantee) Notes to the financlal statements lor the year ended 31 March 20241contlnued 23. Analysis of changes in net {debtlffunds At1 April 2023 Cash flows At31 March 2024 Cash al bank and In hand 1,313,857 183,989 1,497,826 Loans lalling due within one year Loans falling due after more than one year (3,017.733) 2,797,161 (220,572) (208,334) (2.2.76.924) (2,485,258) {1,912,2101 704,206 11,208.004 24. Retlrement benefit schemes Defined contribution schemes The Charity operates a defined conlilbulion pension scheme for all qualrfying employees. The assets of the scheme are held separately from those of the charity in an independenlly admln161ered fund. The charge lo profil or loss In resp8¢1 of defined contribution schemes was £2S7.936 {2023 - £280,134). Dollned beneflt schemeB The charity operates a defined benefit penslon plan lof qualifylng employeos providlng beneflls based upon final pensionable pay. The pension plan is funded by the payment of contributions and assets of the plan are held in a separately administered fund. The most recent comprehensive acluariol valuallon of penslon plan assets and the present value of the defined benefit obligation were carried out al 31 March 2019. The fair value of the pension assets al 31 March 2024 are in excess of the present value of'the defined benefit obligation ai thal dale. Thls give5 rise lo a surplus of £8,423,000 (2023 - £6,602.000). The surplus Is iecognised in the financial statements only to the extent that the Trusl can ieeover that surplus. either through a reduction In fulufe contributions or through a refund to the Charity. The Charity is not able to determine thal future contributions wll be reduced nor wlll it receive a refund in the foreseeable future. Therefore the surplus of £8,423,000 {2023 - £6,602,000) is not recognised as an asset at 31 March 2024. An adjustment has bEen made Ihrough the Statement of Financial Activities to r8flect this.. Prlncipal actuarial assumptions At31 At31 March 2024 March 2023 3.7.8Oh 4.75% 2.78Q 3.009 4.839A 4.00% Discount rate for scheme liabilities Rate of increase for pensions in payment l inflation Rale of increase In salarie5 Page 30
Sandwell Communlty Carlng Trust (A Company Limited by Guarantee) Notes to the financial statements for the year ended 31 March 2024 {contlnued) 24. Retirement benetit schemes (eontlnuedl Mortality assumptions The.assumed life expectations on retlremenl age 65 are.. At31 At31 March 2024 March 2023 Retiring today Males Females Retiring in 20 years Males Females 20.3 22.7 21.7 22.7 19.5 24.4 20.0 24.9 Amounts r•cognl8ed In the 81alem•nt ofllnanclal actlvltl•s Total 2024 Total 2023 Current service co$l' Interest InGome Interest cost 179,000 11,121,000) 808,000 1134,0001 315,000 {641,000) 686,000 360,000 Amounts taken lo other comprehensive. income Total 2024 Total 2023 Actual relurn on.scheme assets Interest income Retum on scheme assels Actuarial change5 relatèd to scheme assets 129,000 641.000 770,000 1.824,00.0 1121,000 1,121.000 282,000 The actual return on scheme assets was 9.70•h (2023.. 59A) The amounts Included on the balance sheet arising from the charlty.s obligalions In respect of defined benefit schemes are Ss follows.. Totsl 2024 Total 2023 Present value of defined benefft obligallons Fair value of plan assets Deflclt In $¢heme 25,690,000 25.690.000 23.793.000 23,793.000 Changes in the present value of defined benefit obligations were as follows . 2023124 202W23 At 1 Aprll 2023 Current service cost Benefits paid Unfunded benefits paid 'Employee conliibulions Aoluarial gainsl(losse5) Interest cost Adjuslmenl for uncognISed surplLts in.scheme At31 March 2024 23,793,000 179,000 (590,000) (8.000) 54,000 49,000 (367,000) (8,822,000) 808,000 686,000 1,821000 6,602,000 25,690,000 23,793,000 25,566.000 315,000 (603,000) Page 31
Sandwell Community Caring Trust (A Company Llmited by Guarantee) Notes to the financlal statements for the year ended 31 March 2024 {continued) 24. Ratlrement benefit schemes (continued) The deflned benefit obligations arise from plans funded as'follows Total 2023124 Totsl 2022123 Wholly unfunded obligations Wholly or partly funded obligatlons Adjustment for unrecognised surplus in schemg 89,000 17.178,000 8,423,000 25,690,000 90,000 17,101.000 6,602,000 23.793.000. Changes in the fair value of Trust'$ share of schem¢ assets were as follow$ . 2023124 2022123 Al l Aprll 2023 Interest income Return on assets less interest Benefits paid net of Iransfers in Employer contributions Employee contributions Other At 31 March 2024 23,793,000 23,953,000 1,121,000 641,000 1,172.000 (770.000) (590,0001 {603.000> 140,000 142,000 54,000 56.000 374,000 23,793.000 25,690,000 The trust's share of the assets in the scheme was . 31 P41arch 2024 31 March 2023 Equities Property Bonds Cash and other liquld assets Totsl market value of assets 15.670,900 7.193,200 1,541,400 1.284.500 25,690 000 16,179,240 1,665,510 5,234,460 713,790 23 793,000 The l818St asset split that has bèen provided allows lor index relums, where required. on each asset category lo determine the split of a55els. 25. Related party transa¢tlons The followng. related party transactions look place during the period .' 2024 2023 Sandwell Valley School Limited Company in which M Hall, A Coley and G Walker are direclors Income received from related party during the year Expenditure lo relaled company during the year Amount due froml(to) related company al year and '7.920 2.584 14.368 Page 32
Sandwell Community Caring Trust {A Company Limited by Guarantee) Notes. to the financial statements for the year ended 31 Mah 2024 {conlinuedl 25. Rolated party transactlons l¢ontlnuedl 2024 2023 Lymph Care UK Company in which G Walker is 8 memb8r ofthe board In¢ome received from related paty during the year Amount du? froml{lo) related company at year end 3.870 4.245 2.000 250 26. Conllngent Ilablllty The Trust is currently disputing a dilapidations liability of £158,989 claimed by its former landlord. A piovislon has been made In these accounts for any potenti21 liability arising. Page 33