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2021-03-31-accounts

WALTHAM FOREST CHURCHES NIGHT SHELTER -

WFCNS LIMITED

Company Limited by Guarantee No 03844727

Registered Charity No 1086888

ACCOUNTS FOR THE YEAR ENDED

31 MARCH 2021

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

INDEX TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

C O N T E N T S

Page
Legal and administrative information 3
Report of the trustees and directors 4 – 9
Report of the independent auditors 10 - 11
Statement of Financial Activities 12
Balance Sheet 13
Cash flow statement 14
Notes forming part of the financial statements 15 – 21
The following page does not form part of the audited financial statements
Detailed income and expenditure account 22

Page 2

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

LEGAL AND ADMINISTRATIVE INFORMATION

Directors and Trustees W Reid
B J P Lynch
G A Stowe
A Mustafa
E Petersen
M A Dumri
E J Hamilton
Bankers CAF Bank Ltd
25 Kings Hill Avenue
West Malling
Kent
ME19 4JQ
Chief Executive J Saunders
Registered Office 740 Forest Road
Walthamstow
London
E17 3HR
Company Registration No 03844727
Charity Registration No 1086888
Auditors Fredericks Limited
Chartered Accountants & Registered Auditors
106 Charter Avenue
Ilford, Essex
IG2 7AD

Page 3

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 MARCH 2021

Purposes and Aims

Waltham Forest Churches Night Shelter is registered in England and Wales under company number 3844727 and charity registration number 1086888.

The Charity is governed by its Memorandum and Articles of Association. Our charity’s purposes, the charity’s ‘objects’ are to relieve the poverty of single persons in the London Borough of Waltham Forest and the surrounding areas who are homeless by the provision of a hostel, information and advice services, and other appropriate support services:

• To develop the capacity and skills of homeless people in such a way that they are better able to identify and meet their needs, enabling individuals to participate more fully in society.

• To provide counselling for single homeless people who have alcohol or substance misuse support needs.

• To provide advocacy, housing advice and housing support to relieve poverty among single homeless people living in Waltham Forest and the surrounding areas.

• To promote social inclusion for the public benefit by preventing people from becoming socially excluded, relieving the needs of those who are socially excluded and assisting individuals to re-integrate into society.

Ensuring our work delivers our aims

We review our aims, objectives and activities each year, looking at what we achieved against the outcomes set for the previous 12 months. Throughout 2020/21, trustees considered how a short-term reduction in planned activities, as a result of the Covid-19 pandemic, would affect the charity achieving its strategic aims and objectives set.

The focus of our work

Our main objectives continued to be activities targeted towards supporting greater self-sufficiency and independence and increasing access to suitable longer-term, move-on housing options. Activities were severely curtailed due to the unprecedented restrictions as a result of the global Covid-19pandemic.

During 2020/21 we :

How our activities deliver public benefit

All our charitable activities focus on supporting people to re-build lives to end the cycle of homelessness and move-on successfully to suitable permanent accommodation.

In shaping our objectives for the year and planning our activities the trustees have considered the Charity Commission’s guidance on public benefit.

We support single, homeless men and women aged 18 to 65 years. Many of the individuals we work with have some level of mental health support need, ranging from depression through to Schizophrenia or Personality Disorder requiring clinical interventions. At any one time at least two-thirds of the client group have varying levels of alcohol and/or drug dependency.

We received 80 referrals to Branches in 2020/21. Of these, 22 moved into the hostel. The median age of individuals accessing our services was 35 years. Over the previous three years, the median age has reduced from 40 years.

In 2020/21, 26.6% of referrals were aged 25 and under - 16-20 years (3 people) and 21-24 years (13 people) - and 25% were 25-29 years of age. 22% of the referrals were aged 30-39. As in previous years, the majority of people living in Branches hostel over each quarterly period were male, 76% (17) of occupants.

Page 4

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

REPORT OF THE TRUSTEES (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

In 2019/20, we saw an increasing number of under 25s referred to our services, with 24 (19.2%) of referrals aged 25 and under. 25 people (92.5%) across each quarter living in Branches were male.

How we are financed

The major income stream is through rental payments for each unit of accommodation in Branches. We also have a provider contract with Waltham Forest council for Supported Housing for Homeless Single Adults. Throughout the year, we received various financial donations ranging from monthly Gift Aid donations from individuals to funds raised by schools through targeted activity, and from local faith groups and business sector supporters.

During 2020/21, we continued to realise the benefits from our fundraising efforts. We raised funds primarily from Trusts and Foundations, and they have provided one-off grants and grants for between one and five years. With their support we have been able to purchase equipment for the hostel and residents, pay towards running costs, and recruit to jobs needed to provide a person-centred approach to support in Branches.

We are grateful to funders, and acknowledge those who supported us in 2020/21:

How our services are accessed

We are an agency-referrals only project. Within the terms of the provider contract the primary referrer is Waltham Forest Housing and its designated referring agencies. We also have reciprocal referral arrangements with organisations within Waltham Forest and neighbouring boroughs that provide temporary housing.

In 2020/21 we received 80 referrals. Of the 22 referrals able to move in to Branches hostel during the year. 18 people had a mental health support need; and 16 of the 22 also had a substance support need. People can stay for up to 18 months, and exceptionally for up to 24 months. For anyone living in a hostel for homeless people, a stay of longer than 24 months is detrimental to well-being and successful move to independent living.

Premises

We provide accommodation in our 27-bed purpose-built hostel known as ‘Branches’. Each of the 27 rooms is selfcontained, with en suite bathrooms, and we have one disabled-accessible room. Each set of third floor rooms has its own kitchen and laundry facilities, shared by six rooms. The spacious ground floor communal area is used for socialising and has dining facilities.

The hostel is WiFi enabled. Our well-stocked library houses IT facilities for residents, serves as a quiet space, and is used for training and meetings. This space is available 24/7 for clients’ personal use. Our garden is cared for by green-fingered, enthusiastic residents and volunteers!

We are fortunate to have an on-site gym equipped with rowing and running machines, and cycles, which are used regularly by people living in Branches.

We serve a freshly cooked meal most evenings from our professional-grade kitchen, for which we have a five-star hygiene rating. Individual volunteers and church groups prepare a broad range of culinary and ethnic delights, reflecting the diverse resident community within Branches.

What we provide

We have accessible support services between 8am and 8pm for people living in Branches and for those who have movedon to more permanent accommodation. The Night Concierges Team ensures the safety of clients, visitors, and the premises during out-of-office hours.

Support and advice

The Intake, Support and Resettlement team provides welfare and benefits advice and advocacy on all housing matters, and facilitates access to training, education, volunteering and employment opportunities. A primary aim is to support individuals regain lost life-skills, which are key to ensuring people can move-on more confidently and feel that they have better control of their lives.

Page 5

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

REPORT OF THE TRUSTEES (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Throughout 2020/21, we provided advice and advocacy services, and completed applications for welfare and housing benefits for current and former residents of Branches hostel. We supported 2 people a week on average to complete applications.

Resettlement

The resettlement programme is a key component of the services we provide. Resettlement is available for all who are preparing to move-on and includes floating support for at least six months after moving-on. The resettlement programme includes a tenancy management course covering essential daily life-skills from how to set up utilities’ and rent payments via a bank, to buying food for weekly meal planning, supporting people to be more confident when managing daily life on their own. Although resettlement is a time-limited programme, we operate an ‘open door’ policy for accessing services. Clients can and do use our support services for as long as needed. This is usually for welfare advice or for the social company that Branches hostel provides.

During 2020/21 we provided resettlement and welfare advice for 40 former residents of Branches, 12 of whom had left Branches two years previously. We supported 100+ homeless people, rough sleepers or people threatened with homelessness, who contacted us for information. Much of the support had to be provided by telephone or via Whats App groups / online meetings.

Social inclusion

While staying at Branches hostel, all who can are encouraged to volunteer or take part in some kind of meaningful activity. These are ways of opening up social activity leading to inclusion, while helping to develop self-confidence. During 2020/21 the opportunities for volunteering were drastically curtailed. 10 people were able to do a volunteering activity during the first easing of restrictions in local charities for between two and six hours a week.

People continued to have opportunities to pursue training or education courses, develop or relearn practical skills mainly through online e-learning. We purchased additional laptops so that more people could make use of this provision.

Due to Covid-19, we were unable to provide the broad range of additional services we had come to expect. Only in the middle of the year during the first easing of Covid-19 restrictions, and towards the end of the year were we able to bring in external trainers to the hostel. 10 people living in Branches attended managing money and budgeting courses. Of those, 8 (80%) improved their money management skills during their stay at Branches hostel.

E-learning offered opportunities: 4 clients benefited from CV development; 6 took up IT and literacy skills; 2 followed SIA (Security and CCTV) certification courses; and 2 people secured part-time employment: 1 at a local supermarket, and 1 doing clothing repairs in a local dry cleaner.

Health and well-being

As with all charities dependant on volunteers, we are very fortunate to have professional volunteers who provide regular sessions at Branches, which contribute to improving clients’ well-being. Unfortunately, due to the global Covid 19 pandemic, we lost these valuable, additional resources and were only able to reinstate these intermittently.

Despite this temporary loss of additional services, we were able to recruit a Cognitive Behavioural Therapy Practitioner in November 2020. That role has since provided much-needed therapy services for people living in Branches hostel.

The Covid-19 pandemic meant severely reduced access to external clinical support services. Nevertheless, through clinical partnerships, clients were able to access counselling, mental health and substance misuse support through online one-toone sessions. During the year, 10 clients benefited from these sessions, with 6 reducing or better able to manage their substance dependency.

Clients who moved on

In 2020/21, we moved on 22 people. Of these, 13 people moved into private rented accommodation; 3 moved to sheltered accommodation; 2 returned to family; 1 moved into social housing; 2 people were sectioned; and 1 person abandoned his accommodation.

Page 6

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

REPORT OF THE TRUSTEES (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Summary of Outputs and Outcomes

Support Action Participants Outputs / Outcomes
People moved on 22 19 (86%) moved to chosen
accommodation
Managing money and budgeting 10 8 (80%) said they improved their
money management skills
On-line / telephone support, substance
recovery programme		 10 6 (60%) felt they were better able to
manage their substance addiction;
Volunteering 10 10 felt they had improved skills and
social integration
Short courses - CV and Interview Preparation;
and ICT and computer courses		 10 10 said they had improved skills
Access to employment 2 secured part-time employment
Resettlement support for people who moved
on in 2019/20 and 2020/21		 47 42 (89.4%) of those who moved on
were supported to maintain their
accommodation
Telephone queries and visitors to Branches
hostel		 120 Provided with advice or support
relating to tenancy matters and welfare
benefits claims
Food and personal provisions 35 65 food parcels provided for former
residents of Branches who had delays
in receiving welfare benefits’payments
Cognitive Behaviour Therapy (CBT) 18 73 counselling sessions provided
between January and March 2021

Support for our work

Volunteers continued to support us with an estimated 1,200 volunteer hours provided. We received donated goods with an approximate value of £22,000 compared with the previous year’s donations of £18,000. We gratefully acknowledge the strong and consistent support we had throughout the year from local schools, faith groups, other charities, local people and local businesses who provided clothing and food donations, and enthusiastically raised funds for Branches hostel.

Financial Review

During the period, the Charity received a payment of £148,052 from the London Borough of Waltham Forest under the provider contract for the provision of Supported Housing for Homeless Single Adults .

The Charity continued to receive housing benefit, amounting to £442,252 during the year, a 3% increase from £430,396 the previous year. The Charity recorded a surplus of £66,415 during the year, a reduction on the previous year’s surplus of £199,404. This reduction was due in part to targeted investment for improving Information Technology, recruiting additional staff and securing practicable improvements in service delivery for the benefit of beneficiaries.

In 2017/18, the trustees began forward planning for 2021 and beyond. In 2018/19, trustees appointed the services of a Fundraising Consultant, in keeping with our Fundraising Strategy. That appointment delivered significant returns on investment through securing diversified sources of revenue income in 2019/20 in the form of one-off and longer-term grants. In 2020/21, although the Charity saw a reduction in revenue grants, the trustees have determined to continue with the services of the Fundraising Consultant, who is retained to secure capital funding towards achieving one of the Charity’s strategic aims, as set out below.

Page 7

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

REPORT OF THE TRUSTEES (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Reserves and Investment Policy

The Charity aims to maintain free reserves at approximately £270,000. This would equal approximately sixmonths’ running costs. The trustees set this to ensure an appropriate timescale for the transition of support and resettlement of clients, should that become necessary. In addition, the trustees have designated £350,000 in a separate unrestricted fund to be used towards the acquisition of a second stage property for move-on accommodation.

Capital project to acquire move-on accommodation

A strategic aim of the Charity is to acquire a property to be used as a second stage for move-on from Branches hostel. The Charity is looking to raise capital funding of £1,250,000+ towards the premises, which will accommodate six former residents of Branches. These will be people who are not fully ready to live independently, yet do not require the level of support provided in Branches hostel. They will be accommodated for up to 12 months as they build on the learning and life-skills developed while living in Branches hostel.

Where the financial situation permits, trustees have agreed to designate further funds in addition to the £350,000 specified, towards the acquisition of the premises.

The trustees formed a Task and Finish Group (TFG) comprising three WFCNS Board trustees and the Chief Executive to have appropriate strategic oversight of this significant project. Following a feasibility study, the trustees determined that several funding and financing avenues would be required for the successful completion of the project. The Charity has retained the services of a Fundraising Consultant to secure the broadest possible range of capital and revenue funding for various stages of the project’s development. The Charity is also looking to recruit a Property Acquisitions Manager who will deliver the project until completion.

Risk Management

The trustees have established a detailed Risk Register and actively review the major risks, which the Charity faces on a regular basis and have established systems to mitigate them as far as possible.

Appointment of Trustees

The Charity is governed by a board of directors. New members are selected by the directors and all members are subject to re-election every three years. The current board has a membership of seven people. Each trustee brings specific skills and expertise to our board, to ensure we maintain the optimum level of knowledge required to govern effectively.

We continue strengthening our board and are looking for new trustees who will bring additional expertise in the areas of business and property development.

The board meets every two months to agree key policy decisions, set and review strategy, and oversee the performance of the organisation. The day to day running of the Charity is undertaken by the Chief Executive.

Statement of Trustees’ Responsibilities

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

The trustees are responsible for keeping proper accounting records which 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. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 8

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

REPORT OF THE TRUSTEES (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Statement as to disclosure of information to auditors

So far as the trustees are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company’s auditors are unaware, and each trustee has taken all the steps that he or she ought to have taken as a trustee in order to make himself or herself aware of any relevant audit information and to establish that the company’s auditors are aware of that information.

A resolution proposing the re-appointment of Fredericks Limited as auditor will be submitted at the Annual General Meeting.

Small Company Rules

These accounts have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

……………………………………………

Gilbert Stowe

Date:

Page 9

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS

FOR THE YEAR ENDED 31 MARCH 2021

Opinion

We have audited the financial statements of Waltham Forest Churches Night Shelter – WFCNS Limited (the 'charitable company') for the year ended 31 March 2021 which comprise the Statement of Financial Activities, the Balance Sheet, Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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 auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

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 Auditors 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 the provisions available for small entities, in the circumstances set out in note 14 to the financial statements, 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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Report of the Trustees, but does not include the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, 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, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

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

Page 10

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Matters on which we are required to report by exception

In the 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 Report of the Trustees.

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

Responsibilities of trustees

As explained more fully in the Statement of Trustees Responsibilities set out on page eight, 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.

Our 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 a Report of the Independent Auditors 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.

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 Report of the Independent Auditors.

S.G. Duker (Senior Statutory Auditor) for and on behalf of Fredericks Limited Chartered Accountants Statutory Auditors 106 Charter Avenue Ilford, Essex IG2 7AD

Date:

Page 11

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2021

Total Total
Unrestricted Restricted 2021 2020
INCOME AND EXPENDITURE Notes £ £ £ £
INCOMING RESOURCES
Rental income 442,252 - 442,252 430,396
Grants 2 226,052 20,806 246,858 308,379
Donations and miscellaneous income 30,442 - 30,442 30,279
Interest received 221 - 221 490
---------- --------- ---------- ----------
Total Income £695,967 £23,806 £719,773 £769,544
---------- --------- ---------- ----------
RESOURCES EXPENDED
Cost of generating funds
Cost of generating income (50,508) - (50,508) (23,508)
Charitable expenditure
Community projects 3 (539,037) (63,813) (602,850) (546,632)
---------- --------- ---------- ----------
Total Expenditure £(589,545) £(63,813) £(653,358) £(570,140)
---------- --------- ---------- ----------
Net surplus/(deficit) for the year
before and after transfers
109,422
 (43,007) 66,415 199,404
Balance brought forward 500,915 75,632 576,547 377,143
---------- -------- ---------- ----------
Balance carried forward
at 31 March 2021 £610,337 £32,625 £642,962 £576,547
====== ===== ====== ======

The notes on pages 15 to 21 form part of these financial statements.

Page 12

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED Co No 03844727

BALANCE SHEET

AS AT 31 MARCH 2021

2021
 2020
Note £ £ £ £
Fixed assets 8 12,129 21,943
Current assets
Debtors 9 71,751 52,860
Cash at bank and in hand 599,418 563,188
--------- ----------
Net current assets 671,169 616,048
---------- ----------
Total assets 683,298 637,991
Creditors: amounts falling due
within one year 10 (40,336) (61,444)
---------- ----------
Total assets less current liabilities £642,962 £576,547
====== ======
Funds:
Unrestricted funds 15 260,337 250,915
Unrestricted funds (designated) 16 350,000 250,000
Restricted funds 17 32,625 75,632
---------- ----------
Total Funds £642,962 £576,547
====== ======

These financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small charitable companies.

ON BEHALF OF THE BOARD:

…………………………………….

Alan Mustafa - Trustee

…………………………………… Gilbert Stowe - Trustee

Date:

The notes on pages 15 to 21 form part of these financial statements.

Page 13

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED Co No 03844727 CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2021

2021 2020
£ £
Cash flows from operating activities
Cash generated from operations 36,829 215,964
--------- ---------
Net cash from operating activities 36,829 215,964
-------- ---------
Cash flows from investing activities
Purchase of tangible fixed assets (599) (14,761)
Sale of tangible fixed assets - -
---------- ----------
Net expenditure from investing activities £ (599) £(14,761)
---------- ----------
Increase in cash and cash equivalents 36,230 201,203
Cash and cash equivalents at beginning of year 563,188 361,985
----------- ----------
Cash and cash equivalents at end of year £599,418 £563,188
====== ======

RECONCILIATION OF NET INCOMING RESOURCES TO CASH GENERATED FROM OPERATIONS

2021 2020
£ £
Net incoming resources 66,415 199,404
Depreciation charges 10,413 13,420
------------ ------------
76,828 212,824
(Increase)/decrease in trade and other debtors (18,891) 4,300
(Decrease)/increase in trade and other creditors (21,108) (1,160)
----------- ----------
Cash generated from operations £ 36,829 £215,964
======= ======

CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 March 2021

Year ended 31 March 2021
31.03.21 31.03.20
£ £
Cash and Cash equivalents £599,418 £563,188
====== ======
Year ended 31 March 2020
31.03.20 31.03.19
£ £
Cash and Cash equivalents £563,188 £361,985
====== ======

The notes on pages 15 – 21 form part of the accounts

Page 14

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021

1. Statutory information

Waltham Forest Churches Night Shelter is a private company and charity limited by guarantee registered in England and Wales. The companies registered number and registered address can be found on the company information page. The presentation currency is £ sterling.

1a. Accounting policies

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) ‘Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)’, Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ and the Companies Act 2006.The financial Statements have been prepared under the Historical Cost Convention.

Incoming Resources

Grant income is accounted for on an accruals basis when the funding is considered definite. Otherwise it is accounted for when received. Donations and legacies income is accounted for on a received basis.

Fixed assets

Fixed assets are written off in the year of acquisition unless considered to be significant in amount.

The equipment is depreciated on a 25% straight line basis.

Allocation of Expenditure

Expenditure is accounted for on an accruals basis and is directly allocated within the Statement of Financial Activities to one of the following headings:-

(i) Fundraising and publicity

The direct cost of fundraising activities and the direct overheads required to support these activities.

(ii) Charitable expenditure

The direct costs of providing services to clients.

(iii) Governance costs

The cost of those activities necessary to the running of the company as an organisation not directly attributable to activities in furtherance of the charity’s objects nor the costs of generating funds.

(iv) Cost allocation

All costs are allocated between the expenditure categories of the Statement of Financial Activities on the basis designed to effect the use of the resource. Costs relating to staff are apportioned on a time spent basis, property costs are allocated by floor space, other costs are allocated with reference to an estimate of the resource usage.

(v) Donations in kind

Pension Costs

The charity makes contributions to a defined contribution scheme, the assets of the scheme being held separately from the assets of the charity. The pension cost charge represents contributions payable to the scheme.

Fund Accounting

Funds held by the Charity are either:-

Unrestricted funds – these are funds which can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds – these are funds that can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Page 15

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1. b ACCOUNTING POLICIES (continued)

Significant judgements and estimates

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical judgements in applying the entities accounting policies:

There are no specific judgements apart from those involving estimates as detailed below that management has made in the process of applying the entities’ accounting policies that have a significant effect on the amounts recognised in the financial statements.

Critical accounting estimates and assumptions :

The company makes estimates and assumptions concerning the future. The resulting accounting estimates can differ from the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of the assets and liabilities within the next financial year are addressed below:

Page 16

WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021 (CONTINUED)

2. Grants

2021
Unrestricted Restricted Total 2020
£ £ £ £
London Borough of Waltham Forest 7,688
-		 7,688 30,750
Supporting People 140,364 - 140,364 75,249
Drapers - - - 15,000
Charles S French - - - 3,000
Lloyds Bank 30,000 - 30,000 30,000
Garfield Weston - - - 30,000
Goldsmiths - - 3,000
Henry Smith 40,000 - 40,000 40,000
Albert Hunt Trust - - - 5,000
Shanley Foundation 5,000 - 5,000 2,130
Mrs Smith & Mount Trust - - - 5,000
Sport England - - - 9,250
Charities Trust (Nationwide) - - - 50,000
Streets of London - - - 10,000
Lloyds Bank – Covid 19 - 6,425 6,425 -
29thMay 1961 Charitable Trust 3,000 - 3,000 -
National Lottery Equipment - 9,381 9,381 -
Edward Gosling Foundation - 5,000 5,000 -
---------- --------- ---------- ----------
£226,052 £20,806 £246,858 £308,379
====== ===== ====== ======

2(a) Donations

Donations of goods estimated to be in the region of £15,000 per annum and volunteer staff hours amounting to a cost of approximately £35,000 are not included in income due to the problems involved in quantification. Similarly, they are not included within expenditure.

3. Direct charitable expenses

3.
Direct charitable expenses
2021
Unrestricted Restricted Total 2020
£ £ £ £
Salaries
306,459		 45,757
352,216		 310,053
Pensions 6,679 - 6,679 5,346
Rent, rates and services 134,732 - 134,732 132,398
Travel, subsistence and entertaining 590 -
590		 401
Repairs, renewals & IT costs 23,066 3,002 26,068 22,915
Printing, stationery and postage 607 - 607 1,209
Telephone, mobile and internet 2,948 - 2,948 3,018
Refreshments and food 6,250 - 6,250 3,833
Insurance 3,020 - 3,020 3,005
Sundry expenses 166 - 166 867
Consultancy & professional fees 8,379
-		 8,379 7,248
Bank charges and interest
97		 - 97 88
Equipment hire and purchase 10,303 14,304 24,607 12,529
Cleaning and laundry 8,249 - 8,249 7,715
Training costs 1,867 - 1,867 1,362
Recruitment expenses 407 - 407 5,758
Other expenditure on residents 2
-		 2 471
Amortisation costs 9,663 750 10,413 13,420
Motor expenses 238 - 235 451
Subscriptions 1,235 - 1,238 934
Staff entertaining 400 - 400 250
Events & publicity costs 470 -
470		 271
Support costs (note 5) 13,210 - 13,210 13,090
---------- --------- ---------- ---------
Total charitable expenses £539,037 £63,813 £602,850 £546,632
====== ===== ====== ======

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WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021 (CONTINUED)

4. Operating surplus is stated after charging

2021 2020
£ £
Auditor’s remuneration £3,210 £3,090
==== ====
5. Support Costs
(Governance Costs)
2021
Unrestricted Restricted Total 2020
£ £ £ £
Staff costs 10,000 - 10,000 10,000
Audit fee 3,210 - 3,210 3,090
-------- --- --------- --------
£13,210 - £13,210 £13,090
===== == ===== =====

6. Trustees’ remuneration

The trustees did not receive any emoluments and no out of pocket expenses were paid during the year.

7. Staff costs

During the year, the average monthly number of employees of the company and staff costs were as follows:

2021 2020
£ £
Community projects 9 9
Management and administration 2 2
--- ---
11 11
== ==
2021 2020
£ £
Wages and salaries 335,436 296,639
Social security costs 26,780 23,414
Other pension costs 6,679 5,346
---------- ----------
£368,895 £325,399
====== ======

No member of staff earned more than £60,000 per annum.

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WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021 (CONTINUED)

8. Tangible Fixed Assets

Cost
Equipment Total
£ £
At 1 April 2020 73,299 73,299
Additions in year 599 599
Eliminated on disposal
-		 -
-------- --------
At 31 March 2021 £73,898 £73,898
===== =====
Depreciation
At 1 April 2020 51,356 51,356
Charge for the year 10,413 10,413
Eliminated on disposal - -
-------- --------
At 31 March 2021 £61,769 £61,769
===== =====
Net Book Value
31 March 2021 £12,129 £12,129
===== =====
31 March 2020 £21,943 £21,943
===== =====
9. Debtors
2021 2020
£ £
Rent debtors 24,049 18,158
Grant income 38,616 26,952
Prepayments and accrued income 9,086 7,750
-------- ---------
£71,751 £52,860
===== =====
10. Creditors: Amounts falling due within one year
2021 2020
£ £
Trade creditors 6,120 29,956
Accruals and deferred income 4,295 4,907
Other creditors 23,322 20,863
Tax and Social Security 6,599 5,718
--------- --------
£40,336 £61,444
===== =====

11. Taxation

Waltham Forest Churches Night Shelter – WFCNS Limited is a registered charity and is thus exempt from taxation of its income and gains. No tax charge has arisen in the year.

12.

Pension cost

Waltham Forest Churches Night Shelter – WFCNS Limited operates a defined contribution pension scheme. The contributions for the year were £6,679 (2020 - £5,346).

13.

Limited liability

The charity is limited by guarantee. The Memorandum and Articles of Association of the company restrict the liability of members on winding-up to £1. In the case of winding-up, none of the accumulated funds are distributable to members, but shall be given, or transferred, to some other charitable institution having similar objectives.

14. APB Ethical Standard – Provisions available for smaller entities

In common with many other charities of our size and nature, we use our auditors to assist with the preparation of the financial statements.

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WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021 (CONTINUED)

15. Unrestricted Funds

15.
Unrestricted Funds
Brought Incoming Carried
forward Resources Expenditure Transfers forward
£ £ £ £ £
General fund 220,915 472,915 (363,493) (100,000) 230,337
Designated fund (note 16) 250,000 - - - 350,000
London Borough of
Waltham Forest - 7,688 (7,688) - -
Supporting People - 140,364 (140,364) - -
Drapers - - - - -
Lloyds Bank 10,000 30,000 (35,000) - 5,000
Henry Smith 10,000 40,000 (30,000) - 20,000
Albert Hunt Trust 5,000 - (5,000) - -
Mrs Smith & Mount Trust 5,000 5,000 (5,000) - 5,000
29 May 1961 Charitable Trust
-		 - 3,000 (3,000) -
---------- ---------- ---------- --------- ----------
£500,915 £698,967 £(589,545) £ - £610,337
====== ====== ====== ===== ======

16. Designated Funds

The Trustees have decided to designate £250,000 in a separate unrestricted fund to be used towards the acquisition of other premises.

17. Restricted Funds

Restricted Funds
Brought Incoming Carried
forward resources Expenditure forward
£ £ £ £
Charles S French 2,250 - (750) 1,500
Shanley Foundation 1,130 - (1,130) -
Sport England 9,250 - (4,923) 4,327
Charities Trust (Nationwide) 50,000 - (23,202) 26,798
Streets of London 10,000 - (10,000) -
Screwfix Foundation 3,002 - (3,002) -
Lloyds Bank – Covid 19 - 6,425 (6,425) -
National Lottery Equipment - 9,381 (9,381) -
Edward Gosling Foundation - 5,000 (5,000) -
-------- ---------- ---------- ----------
£75,632 £ 20,806 £ (63,813) £ 32,625
===== ====== ====== ======

The restricted funds are essentially to cover general running costs and specific staff costs. The grant from Charles S French relates to capital costs.

18. Related Party Transactions

There were no related party transactions during the year.

19. Analysis of Net Assets Between Funds

Net Total Total
Assets 31.03.2021 31.03.2020
£ £ £
Unrestricted Funds £610,337 £610,337 £500,915
====== ====== ======
Restricted Funds £ 32,625 £ 32,625 £ 75,632
====== ====== ======
Total Funds £642,962 £642,962 £576,547
====== ====== ======

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WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021 (CONTINUED)

20. Operating Lease Commitments

At 31 March 2021 the charity had the following commitments:-

2021 2020
£ £
Expiring Expiring
after 5 years after 5 years
Land and Buildings £69,600 £69,600
===== =====

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WALTHAM FOREST CHURCHES NIGHT SHELTER - WFCNS LIMITED

INCOME & EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2021

2021 2020
£ £
INCOMING RESOURCES
Voluntary Income
Grants – other 106,494 233,130
Housing benefits 442,252 430,396
Supporting People grant 140,364 75,249
Bank interest received 221 490
Sundry donations 11,266 11,999
Service charges 19,176 18,280
---------- ----------
£719,773 £769,544
RESOURCES EXPENDED
Salaries and pension costs 368,895 325,399
Rent, rates and services 134,732 132,398
Travel, subsistence and entertaining 590 401
Repairs, renewals and I T costs 26,068 22,915
Printing, stationery and postage 607 1,209
Telephone, mobile and internet 2,948 3,018
Refreshments and food 6,250 3,833
Insurance 3,020 3,005
Sundry expenses 166 867
Audit fees 3,210 3,090
Professional and consultancy 8,379 7,248
Bank charges and interest 97 88
Equipment purchase and hire 24,607 12,529
Cleaning and laundry 8,249 7,715
Training costs 1,867 1,362
Recruitment expenditure 407 5,758
Other expenditure on residents 2 471
Amortisation costs 10,413 13,420
Motor expenses 235 451
Subscriptions 1,238 934
Events and publicity 470 271
Staff entertaining
400		 250
Fund raising consultancy fees 50,508 23,508
---------- ----------
Total expenditure £653,358 £570,140
---------- ----------
Surplus for the financial year £66,415 £199,404
===== ======

Page 22