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2021-12-31-accounts

Charity Registration No. 1086393 Company Registration No. 04055338 (England and Wales)

LANGDON COMMUNITY

(A COMPANY LIMITED BY GUARANTEE)

TRUSTEES’ ANNUAL REPORT AND ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2021

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr N Henry
Mr M Blane
Mr B Miller
Chief Executive Mr N Taylor
Company Secretary Mr B Shine
Charity number: 1086393 (England and Wales)
Company number 04055338 (England and Wales)
Principal address Unit 506,
Centennial Park,
Centennial Avenue,
Elstree,
Borehamwood
WD6 3FG
Registered Office Unit 506,
Centennial Park,
Centennial Avenue,
Elstree,
Borehamwood
WD6 3FG
Auditor Crowe U.K. LLP
55 Ludgate Hill
London
EC4M 7JW
Bankers Lloyds TSB
7thFloor
40 Spring Gardens
Manchester
M2 1EN

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) CONTENTS

Page
Trustees’ Annual Report 1–5
Independent auditor’s report 6-8
Statement of financial activities 9
Balance sheet 10
Statement of cashflows 11
Notes to the accounts 12-20

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2021

Charity information

The Trustees present their annual report and the financial statements for the year ended 31 December 2021. The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with Langdon Community’s Memorandum and Articles of Association, the Companies Act 2006, the Charities Act 2011 and the Charities SORP (FRS102).

Reference and administrative details

Langdon Community is a registered charity (No. 1086393) and a company limited by guarantee and not having share capital (No. 04055338) the registered office is as shown on the legal and administrative information page.

The Trustees on the date of this report are as follows: -

Mr N Henry Chairman Mr M Blane Mr B Miller

The current Trustees have the power to remove and appoint Trustees, as does The Langdon Foundation. There is a minimum of 3 and a maximum number of 10 Trustees who may be appointed to the Management Board.

The Management Team of the Charity is:

Mr N Taylor Chief Executive
Mrs H Sowa Director of Operations
Mr A Weinstock Director of Business Development and Community Services
Ms N Ramgutty Registered Manager - Supported Living Edgware/Borehamwood
Ms C Rayner Registered Manager - Supported Living Manchester

The work of Community is supported by the Langdon Group:

Mr B C Shine Finance Director & Company Secretary Mrs S Pollins Director of Fundraising & Marketing Mr D Johnson-Clarke Head of Housing & Facilities Management Mrs E Russell HR Manager

The external advisers of Langdon Community are as set out on the legal and administrative information page.

Structure, governance and management

Langdon Community was incorporated and established Memorandum and Articles of Association on 18th August 2000. This was amended in May 2007 and again in March 2011.

The Board of Trustees is responsible for the overall governance of Langdon Community as a charity. Trustees are coopted by the existing Board of Trustees or nominated by the Trustees of The Langdon Foundation. Individual Trustees may remain Board Members until death, resignation or by unanimous vote of the Board to terminate a Member’s membership of the Company. There are no individual subscriptions or other sums payable by Members.

The management of the charity and regulatory compliance is delegated to the Chief Executive and an effective partnership exists with the Chairperson of the Board. The Chief Executive reports to Trustees at Board Meetings. The Langdon Foundation has introduced a more organised induction programme which includes a dedicated portal containing information about the history of Langdon, guides on Trustee responsibilities, current strategy, governance documents and Board reports. The Board as a group receive presentations on compliance and latest practice at least annually.

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2021

Structure, governance and management (continued)

The Trustees review management remuneration annually. The above management personnel are remunerated through Langdon Foundation or Langdon Community. The Langdon Foundation ensures its salaries remain competitive in the labour market, through conducting an annual pay review, paying individuals in line with normal industry practice and standards, and benchmarking salaries against other employers. Langdon determines the pay range for a vacancy prior to advertising it, following the creation and/or amendment of a job description and specification. On appointment the starting salary is determined within that range to be offered to the successful candidate, based on relevant qualifications, experience and any recruitment and retention needs. Senior Leadership salaries are based on the same economic factors specified above, such as qualifications, experience and other factors like supply and demand, but a spot salary is used on appointment and thereafter the cost of living increase, as appropriate.

Corporate governance

Processes are in place to ensure that performance is monitored and that appropriate management information is prepared and reviewed regularly by both the Chairperson and the Management Board. Specific areas of responsibility are delegated to Trustees covering the main areas of operation of the Charity and in maintaining the Charitable Objects of the organisation.

Systems of internal control are designed to provide reasonable assurance against material misstatement or loss.

They include:

Objectives, activities, achievements and performance

Langdon Community’s declared objectives are:

“The relief of individuals with special educational needs or mental illness and other associated difficulties including by the provision of education and through the provision of support to their families and (save for purposes incidental and ancillary to those objects), no other purposes. The Charity shall be established in accordance with the tenets of the Jewish religion”.

The Langdon Community mission statement is:

“Langdon Community seeks to provide support to enable young Jewish adults with learning difficulties/disabilities to determine and maintain a lifestyle of their own choosing which affords dignity, fulfilment and individual status and maximises their potential for independence in the wider community”.

“The Community seeks to empower and enable people to enjoy lifestyles, which are age, culture and needs appropriate”.

The principal activities of Langdon Community are to achieve these objects through the delivery of Supported Living Services and an Employment Service.

In line with available guidance the Charity’s strategic planning is based on delivering a range of supports and services within the following key areas:

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

Objectives, activities, achievements and performance (continued)

This year’s principal activities, objectives and achievements are provided in the Group’s consolidated accounts, The Langdon Foundation. The key areas for Langdon Community are summarised below;

Our Supported Living service now supports 102 people (106 in 2020) and we also support 12 people through our Outreach service (13 in 2020). The number supported through Outreach temporarily dropped during the Covid19 pandemic.

New Chapters is established in Harrow and Manchester as a social enterprise selling second hand books through Amazon. This provides an environment for our people with a learning disability to develop work based skills enabling them to then move in to work with an employer. Turnover in 2021 was some £10,000 per month ith 2020 even though the service was impacted by the Covid19 pandemic

Employment Service continues to be provided in addition to the statutory funded Supported Living service. We are rightly proud of our achievements: 15% of people are in paid work and not in receipt of any social security employment benefits, 28% are in paid work but working less than 16 hours per week and 25% are in voluntary work or vocational training. These numbers were slightly lower in 2021 as the Covid19 pandemic affected the work and workplaces that some of the people that we support are linked to.

Langdon’s Brady Clubs give Jewish youth aged 12-19, with learning disabilities, the opportunity to meet new people, make friends and have fun. The clubs give young people the opportunity to be involved in the planning of their programmes and give input into the running of their youth groups. The provision of this service “went virtual” as a result of the pandemic. In 2021 we added two additional age groups (9-11 years and 19 plus).

Community continues to arrange and support people on self-funded vacations, although these were mainly put on hold as a result of the Covid19 pandemic.

Financial review, management policies and results for the year

The Statement of Financial Activities (SoFA), set out on page 9, shows that Langdon Community had income of £4,412,847 (2020: £4,082,132) of which £4,299,895 (2020: £4,080,143) was paid out on expenses, leaving a surplus of £112,952 (2020: £1,989).

Principal sources of funding

Direct care and support of residents is funded by the respective home Local Authorities for each individual. This constitutes the majority of the Charity’s income. Other funds are raised by the Langdon Foundation who organise fundraising events and co-ordinate the activities of our supporters in the wider community on behalf of the Langdon charities. Langdon does not use professional fundraisers or involve commercial participators. There have been no complaints about fundraising activity this year.

Reserves

The view of the Board of Trustees is that Langdon Community should retain sufficient reserves to cover 3 months operation of the charity. This was reviewed during the period to reflect current Charity Commission guidance. This consideration also factors current external threats to funding so as to maximise service continuity. Our operating income comes from the government, mostly through contracts for care services with Local Authorities. In the event that these contracts were terminated and the income stopped, we would also stop providing the care services thereby reducing costs. The Trustees consider that the charity needs to hold adequate reserves against the risk that these contracts might cease and has deemed that a minimum of three months’ income is appropriate. Based on the budget for the year ending 31 December 2022 this would amount to c£1,050,000. Reserves as detailed below currently satisfy this desired level

At 31 December 2021, Langdon Community had unrestricted balance sheet fixed assets and net liquid assets of £1,793,513 (2020: £1,729,875), with liabilities due of £301,573 (2020: £350,886), leaving the total financial reserves at £1,491,941 (2020: £1,378,990). The charity had a free reserve of £1,337,604 (2020: £1,238,770) after allowing for £122,941 restricted reserves (2020: £83,596) and £31,397 (2020: £56,624) of tangible fixed assets.

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2021

Investment policy and performance

The present investment policy is that Langdon Community does not hold shares or investments.

Grant making policy

Langdon Community has within its Articles of Association the ability to make grants and during the year no applications were received.

Staff training and career development

Langdon Community is committed to the training, career development and welfare of its employees. An individual’s career development is assessed through annual appraisal and supervision. Training programmes are provided to meet ongoing needs, with the aim of developing employees for both their current and their future roles. The training strategy and plan is based on Langdon Community’s organisational objectives and the requirements of the wider Langdon Group.

Future plans

Langdon’s strategic plan is to achieve growth. Commissioners, Assistant Directors and Social Service Team Managers are being contacted in local authorities in our target areas of North London, Hertfordshire, Salford and Bury. Langdon aims to work with the local authorities to develop flexible services to meet the needs of each authority. This approach could include partnerships with Housing Associations, Outreach services or Employment services.

Initiatives for new preventative services as required by the Care Act 2014 have been developed for specific local authorities. As mentioned above, our Brady Club is adding two additional age groups during 2021

Connected charities

Langdon Community is connected to three charities, these being The Langdon Foundation, Langdon Housing and Langdon College, which are all registered with the Charity Commission. The Langdon Foundation raises funds and provides finance to Langdon College, Langdon Housing and Langdon Community.

Langdon Community operates 30% of its operational services from freehold premises owned and let to members by The Langdon Foundation.

The Langdon Foundation has the right to appoint and remove trustees of Langdon College, Langdon Housing and Langdon Community.

Public benefit

The Trustees have complied with their duty in Section 17 of the Charities Act 2011 to have due regard to the guidance published by the Charity Commission. The benefit to the public is manifestly demonstrated by the achievements contained in this report, all of which seeks to extend and improve the care of young people whose life chances, aspirations and contributions to society will be enhanced as a result.

Risk management

Risks are identified and assessed at an operational, project and corporate level, against the agreed aims and objectives of the Charity. We have identified 2 significant risks that face the charity. The maintenance of financial stability is at risk as the Charity’s income is primarily in the form of care packages which are being squeezed by current government policy. We regularly review our cash position and forecast and have a borrowing facility in place. We have a robust budgeting process and a quarterly re-forecasting cycle. There is a risk that our quality of service may fall and affect the safety and wellbeing of the people we support. We have a rigorous ongoing training program and regular review with care staff to ensure that our people and processes are working.

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2021

The Covid19 pandemic added an additional risk in 2020 and 2021 and we prepared specific action plans in response to the situation. This is causing delays and cancellations to our fundraising activities which has been abated in part by an emergency appeal and applications to various trusts for special grants. Additional PPE has been purchased as needed and we have adapted our way of working with those we support and in our offices. Most of the income that relates to Supported Living arrangements from statutory sources has remained secure. Costs have been reduced where possible and we took advantage of the UK Government’s Furlough scheme.

Disclosure of information to auditors

Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have each further confirmed that they have each taken appropriate steps to identify such relevant information and to establish that the auditors are aware of such information.

Trustees’ responsibilities in relation to the financial statements

The Charity’s Trustees (who are also the directors of Langdon Community for the purposes of company law) are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”.

Company law requires the Charity Trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing the financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and to enable them to ensure that the financial statements comply with the Companies Act 2006 and the Charity’s constitution. They are also responsible for safeguarding the assets of the Charity and the group and hence taking reasonable steps for the prevention and detection of fraud and other irregularities.

This report has been prepared in accordance with the special provisions of the Companies Act 2006 relating to small companies.

On behalf of the board of Trustees

Mr N Henry Chairman of Trustees 1[st] December 2022

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF LANGDON COMMUNITY

Independent Auditor’s Report to the Members of Langdon Community

Opinion

We have audited the financial statements of Langdon Community (‘the charitable company’) for the year ended 31 December 2021 which comprise the Statement of Financial Activities, Balance Sheet, Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

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

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

TO THE MEMBERS OF LANGDON COMMUNITY

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITOR’S REPORT

Matters on which we are required to report by exception

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

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

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 5 the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

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

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

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.

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

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

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITOR’S REPORT

TO THE MEMBERS OF LANGDON COMMUNITY

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other management and inspection of regulatory and legal correspondence, if any.

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

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

Use of our report

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

Tim Redwood Senior Statutory Auditor For and on behalf of Crowe U.K. LLP Statutory Auditor

London

14 December 2022

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 DECEMBER 2021

Note
Income from:
Donations
3
Charitable activities
4
Investment income
5
Total income
Expenditure on:
Charitable activities:
Supported living arrangements
6
Total expenditure
Net Income/ (expenditure)
Transfers between funds
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
17,18		 Unrestricted
funds
Restricted
funds
Total
funds
2021
Total
funds
2020
£
£
£
£
-
180,533
180,533
187,681
4,085,945
146,369
4,232,314
3,893,506
-
-
-
945
4,085,945
326,902
4,412,847
4,082,132
3,736,640
563,255
4,299,895
4,080,143
3,736,640
563,255
4,299,895
4,080,143
349,305
(236,353)
112,952
1,989
(275,698)
275,698
-
-
73,607
39,345
112,952
1,989
1,295,394
83,596
1,378,990
1,377,001
1,369,001
122,941
1,491,942
1,378,990

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

LANGDON COMMUNITY Company registration number 04055338 (England and Wales) (A COMPANY LIMITED BY GUARANTEE) BALANCE SHEET AS AT 31 DECEMBER 2021

Note
Fixed assets:
Tangible assets
14
Current assets:
Debtors
15
Cash at bank and in hand
Total Current assets
Liabilities:
Creditors: Amounts falling due within one
year
16
Net current assets
Total net assets
The funds of the Charity:
Restricted funds
17
Unrestricted funds
Total funds
18		 2021
£
31,397
1,683,445
78,672
1,762,117
(301,572)
1,460,545
1,491,942
122,941
1,369,001
1,491,942		 2020
£
56,624
1,396,153
277,099
1,673,252
(350,886)
1,322,366
1,378,990
83,596
1,295,394
1,378,990

The financial statements have been prepared in accordance with the special provisions of the Companies Act relating to small companies.

The notes at pages 12 to 20 form part of these accounts.

Mr N Henry Trustee

Approved and authorised for issue by the trustees on 1st December 2022

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) STATEMENT OF CASHFLOWS

FOR THE YEAR ENDED 31 DECEMBER 2021

Note
Net cash (used in)/provided by operating activities
20
Cash flows from investing activities:
Interest received
Purchase of tangible fixed assets
Net cash (used in) investing activities
Change in cash and cash equivalents in the reporting period
Cash and cash equivalents at the beginning of the reporting period
Cash and cash equivalents at the end of the reporting period		 2021
£
(191,467)
-
(6,959)
(6,959)
(198,426)
277,099
78,673		 2020
£
138,575
945
(20,378)
(19,433)
119,142
157,957
277,099

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021

1 Accounting Policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

1.1 Basis of preparation

The financial statements have been prepared in accordance with 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 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

1.2 Preparation of the accounts on a going concern basis

The accounts have been prepared on a going concern basis and the trustees believe there to be no material uncertainties about the Charity’s ability to continue as a going concern when taking account of the support given and the funds raised by the parent charity, the Langdon Foundation. A letter of support has been provided by the Langdon Foundation covering the period to 31[st] December 2023.

1.3 Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.

Income from government or other grants, whether “capital” grants or “revenue” grants is recognised when the Charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

Income received for the provision of care is recognised in the period in which care is provided.

Investment income is accounted for when receivable.

1.4 Expenditure

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates.

Charitable expenditure comprises those costs incurred by the Charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include the audit fees and costs linked to the strategic management of the Charity.

All costs are allocated to the one charitable activity.

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2021

1 Accounting Policies

(Continued)

1.5 Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:

Leasehold improvements 18% straight line
Computer equipment 33% straight line
Fixtures, fittings & equipment 25% straight line
Motor vehicles 25% straight line

Single items of equipment with a value less than £1,000 have not been capitalised.

The policy with respect to impairment reviews of fixed assets is that these assets are inspected regularly for any impairment and any defect remedied so as to maintain the current value.

1.6 Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered and provision for bad and doubtful debts. Prepayments are valued at the amount prepaid net of any trade discounts due.

1.7 Cash at bank and in hand

Cash at bank and cash 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.

1.8 Creditors and provisions

Creditors and provisions are recognised where the Charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

1.9 Financial instruments

The Charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

1.10 Pensions

Langdon Community operates defined-contribution schemes. The amount charged to the SoFA in respect of pension costs and other post-retirement benefits is the contributions payable in the period.

1.11 Operating leases

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

1.12 Fund accounting

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity. Restricted funds represent income received which is allocated by the donor to a specific project. The restrictions are binding on the Trustees of the Charity.

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021

1.13 Critical accounting estimates and areas of judgement

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

The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects the current and future periods.

In the view of the Trustees, no assumptions concerning the future or estimation uncertainty affecting assets and liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.

2 Legal status of the Charity

Langdon Community is a registered charity (No. 1086393) and a company limited by guarantee and not having share capital (No. 04055338) the registered office is Unit 506, Centennial Park, Centennial Avenue, Elstree, Borehamwood WD6 3FG

The Charity is incorporated in England & Wales and does not have share capital and is limited by guarantee. In the event of the company being wound up, the maximum amount which each member is liable to pay is £10.

3 Income from donations

Unrestricted Restricted
funds funds Total funds Total funds
2021 2020
£ £ £ £
Grants and donations - 180,533 180,533 187,681

Donations relating to unrestricted funds were £nil (2020: £72,299). Grants relating to restricted funds were £180,533 (2020: £115,382). The grants were from The Langdon Foundation for community projects including employment, New Chapters, Brady Club and member activities.

4 Income from charitable activities

Unrestricted Restricted
funds funds Total funds Total funds
2021 2020
£ £ £ £
Provision of care and associated 4,085,945 146,369 4,232,314 3,893,506
income

Income for provision of care and associated activities was £3,836,058 unrestricted and £57,448 restricted in 2020.

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021

5 Investment income

5
Investment income
`
Interest receivable (unrestricted 2020)
6
Analysis of expenditure
Supported living
Staff costs
Motor and travel
Rent
Costs recoverable from residents
Office expenses
Other direct costs
Governance costs (see note 7)
Depreciation		 2021
2020
£
£
-
945
Total
2021
Total
2020
£
£
3,741,392
3,531,756
11,958
10,515
98,845
73,615
20,318
-
24,646
23,777
361,227
401,186
9,321
8,057
32,186
31,237
4,299,895
4,080,143

Expenditure on charitable activities was £4,299,895 (2020: £4,080,143) of which £3,736,640 was unrestricted (2020: £3,694,415) and £563,255 was restricted (2020: £365,352).

7 Analysis of governance costs

The Charity initially identifies the costs of its support functions. It then identifies those costs which relate to the governance function. Having identified its governance costs, the remaining support costs together with the governance costs are all allocated against the one charitable activity. Some support functions including finance and HR are managed and funded directly by The Langdon Foundation. Audit fee is allocated equally across all four group companies.

Audit
Bank charges		 2021
2020
£
£
6,420
6,000
2,901
2,057
9,321
8,057

8 Net expenditure for the year

This is stated after charging:

2021 2020
£ £
Depreciation 32,186 31,237
Auditor’s remuneration 6,420 6,000
Operating lease rentals - property 98,845 73,615

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021

9 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel

Wages and salaries
Social security costs
Pension
The number of employees having benefits in excess of £60,000 were
£70,000 - £80,000		 2021
2020
£
£
3,379,061
3,200,790
288,409
262,784
73,922
68,182
3,741,392
3,531,756
2021
2020
Number
Number
1
1

This employee had retirement benefit costs accruing under a defined contribution pension scheme of £5,749 (2020: £5,740) in the period.

The key management personnel of the Charity comprise the senior management team as detailed on page 1 of the trustees’ report. The total payments made by the charity in respect of the senior management team who are employed directly by the Charity were £187,517 (2020: £217,977).

The remuneration of some key management personnel is through Langdon Foundation.

Ex gratia termination payments of £1,220 were paid during the year (2020: £30,300)

None of the Trustees (or any persons connected with them) received any remuneration during the year (2020: nil) and none of them were reimbursed for expenses during the year (2020: nil).

10 Staff Numbers

The average monthly number of employees during the year was as follows:

Care support staff
Management and administrative staff
Total		 2021
2020
Number
Number
134
24
136
21
158
157

11 Pension and other post-retirement benefit commitments

Langdon Community operates two defined-contribution schemes.

The Charity contributes towards the Langdon Group Schemes run by Nest and Aegon which are defined contribution schemes. The assets of the schemes are held separately from those of the Charity in independently administered funds. The pension cost charge represents contributions payable by the Charity to the funds. Contributions payable during the year were £73,922 (2020: £68,182).

The expense has been allocated to unrestricted expenditure on the same basis as wages and salaries.

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021

12 Related party transactions

The charity is connected to The Langdon Foundation (registered charity number: 1142742, registered company number: 07621714), Langdon College (registered charity number: 1088936, registered company number: 4104466) and Langdon Housing (registered charity number: 114743, registered company number: 07623246), all of which are incorporated charitable companies registered in England and Wales that do not have share capital and are limited by guarantee.

At the year end, the charitable company had a debtor of £901,829 (2020: a debtor of £773,605) due from The Langdon Foundation. During the year, Langdon Community was charged £5,700 (2020: £5,700) as rent by The Langdon Foundation. Donations of £180,533 (2020: £115,382) were received by the Langdon Foundation and paid over to Langdon Community. These donations are included in Note17. The remaining debtor related to the costs settled by Langdon Community on behalf of The Langdon Foundation and the bank transfers to meet the cash shortfalls in The Langdon Foundation.

At the year end, the charitable company had a creditor of £nil (2020: a creditor of £4,584) due to Langdon College in respect of shared personnel costs.

The ultimate controlling party of Langdon Community is The Langdon Foundation (registered charity number: 1142742, registered company number: 07621714) in whose accounts the results have been consolidated. The Langdon Foundation is considered as the ultimate holding company as it is the sole member of Langdon Community Limited. The Langdon Foundation owns properties, raises funds and gives donations to Langdon College, Langdon Community and Langdon Housing. Consolidated accounts for the Langdon Foundation can be obtained from the same registered office as the charity

13 Corporation tax

As a charity, Langdon Community is exempt from UK tax on income and gains to the extent that these are applied to its charitable objects. No UK tax charges have arisen in the Charity, during the year or the previous year.

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2021

14 Tangible fixed assets

Cost:
As at 1 January 2021
Additions
As at 31 December 2021
Depreciation:
As at 1 January 2021
Charge for year
As at 31 December 2021
Net book value
As 31 December 2021
As 31 December 2020		 Leasehold
Improvement
s
Computer
equipment
Fixtures,
fittings &
equipment
Motor
vehicles
Total
£
£
£
£
£
54,002
39,263
32,131
76,558
201,954
5,999
960
-
-
6,959
60,001
40,223
32,131
76,558
208,913
35,185
39,263
29,656
41,226
145,330
14,818
187
2,475
14,707
32,186
50,003
39,450
32,131
55,933
177,516
9,998
773
-
20,625
31,397
18,817
-
2,475
35,332
56,624

All assets are used for charitable purposes.

15 Debtors

ebtors
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income
reditors: amounts falling due within one year
Trade creditors
Amounts owed to group undertakings
Taxation and social security costs
Other creditors
Accruals		 2021
2020
£
£
479,176
322,857
901,829
773,605
27,332
25,981
275,107
273,710
1,683,445
1,396,153
2021
2020
£
£
28,758
32,857
-
4,584
89,931
140,985
33,252
39,571
149,631
132,889
301,573
350,886

16 Creditors: amounts falling due within one year

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021

17 Analysis of charitable funds

Analysis of movements in restricted funds

Balance as Income Expenditure Transfers Funds as
at 1 at 31
January December
2021 2021
£ £ £ £ £
Brady Club 23,000 128,034 (70,754) - 80,280
Employment & Social Enterprise - 49,220 (324,918) 275,698 -
Ambassadors Manchester 1,834 - - - 1,834
Supported Living Manchester 10,663 759 (11,422) - -
Employment/Social Enterprise
Manchester - 2,520 (2,520) - -
Mini Bus 6,140 - (368) - 5,772
Occupational Therapist 5,000 - (5,000) - -
Staff Training 4,000 - (4,000) - -
Infection Control 32,959 146,369 (144,273) - 35,055
83,596 326,902 (563,255) 275,698 122,941
Analysis of movements in restricted funds – prior year
Balance as at 1 Income Expenditure Transfers Funds as
January 2020 at 31
December
2020
£ £ £ £ £
Brady Club - 43,143 (20,143) - 23,000
Employment & Social Enterprise - 41,000 (307,372) 266,372 -
Ambassadors Manchester 1,834 - - - 1,834
Supported Living Manchester - 6,863 (395) 4,195 10,663
Mini Bus 17,507 9,010 - (20,377) 6,140
Activities 14,640 - (14,640) - -
Occupational Therapist 5,000 - - - 5,000
City Bridge Trust - 9,650 (16,745) 7,095 -
ICT Equipment - 1,716 (1,944) 228 -
Staff Training - 4,000 - - 4,000
Infection Control - 57,448 (24,489) - 32,959
38,981 172,830 (385,728) 257,513 83,596

Transfers are made from unrestricted funds to restricted funds to meet a deficit on those funds.

LANGDON COMMUNITY (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021

18 Analysis of net assets between funds
Unrestricted Restricted
funds funds Total
£ £ £
Fund balances at 31 December 2021 are represented by:
Tangible fixed assets 31,397 - 31,397
Current assets 1,639,176 122,941 1,762,117
Creditors of less than one year (301,572) - (301,572)
1,369,001 122,941 1,491,942
Fund balances at 31 December 2020 are represented by:
Tangible fixed assets 56,624 - 56,624
Current assets 1,589,656 83,596 1,673,252
Creditors of less than one year (350,886) - (350,886)
1,295,394 83,596 1,378,990
19 Commitments under operating leases
Land and Buildings
The future minimum payments under non-cancellable operating leases are: 2021 2020
£ £
Expiry date:
No later than one year 55,532 52,650
Later than one year and not later than five years - 52,650
Later than five years - -
55,532 105,300

The above commitments are a combination of the properties leased from The Langdon Foundation and third party landlords.

20 Reconciliation of net movement in funds to net cash flow from operating activities

Net movement in funds
Add back depreciation charge
Deduct interest income shown in investing activities
(Increase)/Decrease in debtors
(Decrease)/Increase in creditors
Net cash provided by operating activities		 2021
2020
£
£
112,952
1,989
32,186
31,237
-
(945)
(287,292)
45,063
(49,313)
61,231
(191,467)
138,575