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2023-03-31-accounts

Charity Registration No. 1092578

Company Registration No. 04068994 (England and Wales)

HEREFORDSHIRE HEADWAY

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

HEREFORDSHIRE HEADWAY

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees G.O. Blyth Dr. P.N. Hawker (Chair) W. J. Finn H. Ponting T.J. Evans P. H. Harper Secretary G.O. Blyth Chief Executive Officer H. M. Mapp Charity number 1092578 Company number 04068994 Registered office and Headway House principal address Trenchard Avenue Credenhill Hereford Herefordshire HR4 7DX Independent examiner David Farebrother BSc (Hons) BFP ACA Kendall Wadley LLP 71 Graham Road Malvern Worcestershire WR14 2JS Bankers Barclays Bank plc 1-3 Broad Street Hereford HR4 9BH

HEREFORDSHIRE HEADWAY

CONTENTS

Page
Trustees' report 1 - 3
Independent examiner's report 4
Statement of financial activities 5
Balance sheet 6
Notes to the financial statements 7 - 21

HEREFORDSHIRE HEADWAY

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2023

The Trustees present their annual report and financial statements for the year ended 31 March 2023.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Charity's Memorandum and Articles of Association dated 06 September 2000 as amended by a Special Resolution dated 15 November 2001, the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (effective 1 January 2019).

Objectives and activities

The Charities Objects are:

The Trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims, objectives and operations. Services have been developed to maximise public benefit. Such services include the provision of a day centre delivering clinical and life-style enablement services, outreach and mentoring, respite care, local information, awareness raising and support for individuals and professionals.

Herefordshire Headway was entered on the register of charities 23 years ago. Since this time we have supported many hundreds of people and their families who have been affected by the devastating effects of acquired brain injury (ABI) providing relevant and specific support to meet individual needs. 53 people currently attend our day centre on a weekly basis and we provide an outreach service for many more. The outreach service has been funded by the National Lottery Community Fund for the last 5 years, this project will end in June 2023, sadly Health and/or Social Care funding will not replace it. Plans for a less in depth but affordable drop in service each Thursday is being made available to carers, families and anyone needing individual short term advice and support, this service is already in the advanced stages of development.

We now have more service users than before COVID but the average hours of attendance are fewer with many people attending half or only one day per week. This has proved challenging as there are more people to provide general support to but less earned attendance income thus making greater demands on staff time to support them with health, social and most often benefit issues which they are experiencing. This has created additional cost pressure for the organisation throughout the year.

Due to the national economic challenges the country faces, both charitable and public sector funding has proved more difficult to attract so creating a perfect storm.

Achievements and performance

Our beneficiaries and their families have faced ever changing challenges throughout the year and Herefordshire Headway has adapted with them. Yet again this year our in-centre service offer has been adapted in line with service demands making it yet more enablement focused. Nurse-led support services have become very popular and are being further developed as people try to become more self-reliant with statutory services struggle to meet demand and the cost-of-living crisis bites.

HEREFORDSHIRE HEADWAY

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2023

Financial review

During the year income amounted to £349,667 (2022: £288,676) and expenditure to £322,003 (2022: £289,956). Of the income £71,761 (2022: £38,888) was derived from services provided under contract for Herefordshire County Council (Day Opportunities and the Outreach Services schemes). Overall, this resulted in a net surplus for the year of £27,664 (2022: net deficit of £1,280). At the year end the reserves of the Charity amounted to £442,775 (2022: £415,111), comprising restricted funds of £127,213 (2022: £133,992), designated funds of £36,470 (2022: £36,470) and general funds of £279,092 (2022: £244,649).

The Statement of Financial Activities (SOFA) on page 5 reflects a continuation of last year's positive financial position reflecting an increase in unrestricted charity reserves. Unrestricted Charity reserves (excluding designated funds) not required to support fixed assets now stand at £263,181 and represent approximately one year of unrestricted operating costs. After taking into account all requirements for holding reserves the Trustees regard this level of reserves as both reasonable and prudent.

We are pleased to report that management,fundraising and administration costs remain under control and an improved pricing structure for delivered services is maintaining a stable funding base for the continued development of services and facilities in pursuance of our charitable objectives.

The Trustees monitor risk using the risk register which is an integral part of the annual business planning process. Annual planning takes place in January each year the final plan being ratified prior to April and then monitored throughout the year. The Trustees are satisfied that systems are in place to mitigate exposure to the major risks.

Structure, governance and management

The Charity is a company limited by guarantee governed by its Memorandum of Articles of Association dated 6 September 2000 as amended by a Special Resolution dated 15 November 2001. It is registered as a Charity with the Charities Commission, number 1092578, and is exempt from corporation and income tax on its charitable income.

All members of the Board of Trustees exercise their authority in the capacity as Directors under the relevant company legislation and as Trustees of the Charity. Given the company's charitable status the term 'Trustee' rather than 'Director' is used throughout.

The Trustees, who are also the Directors for the purpose of company law, and who served during the year were: G.O. Blyth Dr. P.N. Hawker (Chair)

W. J. Finn H. Ponting T.J. Evans P. H. Harper

As set out in the Articles of Association one third of the Trustees retire by rotation each year but only if at least two Trustees will remain in office. Any member entitled to vote at a general meeting may propose one member for appointment or reappointment as a Trustee. The number of Trustees shall be at least five and not more than ten all of whom must be members. All the Trustees co-opted under section 3.7 of the Articles of Association serve until the AGM following their appointment when they may seek election as Trustee.

Training is provided as necessary using guidance provided by the Charity Commission and the wider Headway network.

None of the Trustees has any beneficial interest in the company. All of the Trustees are members of the company and guarantee to contribute £1 in the event of a winding up.

The Board of Trustees, which meets regularly, governs the Charity. A Chief Executive is appointed by the Trustees to manage the day to day activities of the Charity. To facilitate effective operations the Chief Executive has delegated authority for these day to day operational matters. Remuneration of staff is approved by the Board having due regard to the tasks undertaken by the relevant members of staff.

HEREFORDSHIRE HEADWAY

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)

FOR THE YEAR ENDED 31 MARCH 2023

This report has been prepared in accordance with the special provisions for small companies under Part 15 of the Companies Act 2006.

The Trustees' report was approved by the Board of Trustees.

W. J. Finn

Trustee Dated: 29 November 2023

HEREFORDSHIRE HEADWAY

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF HEREFORDSHIRE HEADWAY

I report to the Trustees on my examination of the financial statements of Herefordshire Headway (the Charity) for the year ended 31 March 2023.

Responsibilities and basis of report

As the Trustees of the Charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).

Having satisfied myself that the financial statements of the Charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the Charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Since the Charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ICAEW, which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

D W Farebrother BSC (Hons) BFP ACA Kendall Wadley LLP

Granta Lodge 71 Graham Road Malvern Worcestershire WR14 2JS

Dated: 29 November 2023

HEREFORDSHIRE HEADWAY

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2023

Unrestricted
Restricted
funds
funds
2023
2023
Notes
£
£
Income from:
Donations and legacies
3
67,662
165,849
Charitable activities
4
115,421
-
Investments
5
735
-
Total income
183,818
165,849
Expenditure on:
Raising funds
6
10,501
-
Charitable activities
7
138,874
172,628
Total resources
expended
149,375
172,628
Net income/(expenditure) for
the year/
Net movement in funds
34,443
(6,779)
Fund balances at 1 April
2022
281,119
133,992
Fund balances at 31
March 2023
315,562
127,213		 Total
Unrestricted
Restricted
funds
funds
2023
2022
2022
£
£
£
233,511
89,632
112,748
115,421
86,260
-
735
36
-
349,667
175,928
112,748
10,501
16,434
-
311,502
144,132
129,390
322,003
160,566
129,390
27,664
15,362
(16,642)
415,111
265,757
150,634
442,775
281,119
133,992		 Total
2022
£
202,380
86,260
36
288,676
16,434
273,522
289,956
(1,280)
416,391
415,111

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.

HEREFORDSHIRE HEADWAY

BALANCE SHEET

AS AT 31 MARCH 2023

Notes
Fixed assets
Tangible assets
13
Current assets
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within
one year
15
Net current assets
Total assets less current liabilities
Income funds
Restricted funds
17
Unrestricted funds
Designated funds
18
General unrestricted funds		 2023
£
18,063
336,734
354,797
(54,324)
36,470
279,092		 2022
£
£
142,302
29,399
353,678
383,077
(118,133)
300,473
442,775
127,213
36,470
244,649
315,562
442,775		 £
150,167
264,944
415,111
133,992
281,119
415,111

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2023.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The accounts were approved by the Trustees on 29 November 2023

W. J. Finn

Trustee

Company Registration No. 04068994

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

Charity information

Herefordshire Headway is a private company limited by guarantee incorporated in England and Wales. The registered office is Headway House, Trenchard Avenue, Credenhill, Hereford, Herefordshire, HR4 7DX.

1.1 Accounting convention

The financial statements have been prepared in accordance with the Charity's Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The Charity is a Public Benefit Entity as defined by FRS 102.

The Charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

Designated funds comprise funds which have been set aside at the discretion of the Trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Incoming resources

Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the Charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the Charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

(Continued)

1.5 Resources expended

Liabilities are recognised by the charity where a contractual obligation exists or for goods services received that have not been invoiced.

Resources expended are allocated to funds in accordance with the nature of activity to which that expenditure relates. Staff costs are allocated to the relevant funds on a time spent basis.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold Land and buildings Nil Improvements to freehold property 5% Straight Line Greenhouse and kiln 5% Straight Line Fixtures, fittings & equipment 10% Straight Line Computers 33.3% Straight Line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7 Impairment of fixed assets

At each reporting end date, the Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand and deposits held at call with banks.

1.9 Financial instruments

The Charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Charity's balance sheet when the Charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest. Financial assets classified as receivable within one year are not amortised.

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

(Continued)

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price. Financial liabilities classified as payable within one year are not amortised.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled.

1.10 Employee benefits

Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.11 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.12 Leases

Rentals payable under operating leases, including any lease incentives received, are charged as an expense on a straight line basis over the term of the relevant lease.

1.13 Government Grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received

2 Critical accounting estimates and judgements

In the application of the Charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical 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 ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

3 Donations and legacies

Unrestricted
Restricted
funds
funds
£
£
Donations and gifts
5,997
-
Grants
60,845
165,849
Membership fees
820
-
67,662
165,849
For the year ended 31 March 2022
89,632
112,748
Donations and gifts
Other
5,997
-
5,997
-
Included above are grants received
The Albert Hunt Trust
-
-
Garfield Weston Foundation
-
-
E F Bulmer
5,000
-
The Eveson Charitable Trust
25,000
-
Co-op Local Community Fund
-
4,102
Jordans
20,000
-
Herefordshire Council Discretionary
-
-
Hereford Council infection Control
4,154
-
Hereford Council Omicton support fund
6,691
-
Lottery - Stay Well/Stay Safe
-
155,907
The Rowland Trust
-
2,240
The D'Oyly Carte Charitable Trust
-
3,600
60,845
165,849		 Total
2023
£
5,997
226,694
820
233,511
5,997
5,997
-
-
5,000
25,000
4,102
20,000
-
4,154
6,691
155,907
2,240
3,600
226,694		 Total
2022
£
8,007
193,678
695
202,380
202,380
8,007
8,007
2,000
15,000
5,000
20,000
-
20,000
18,930
-
-
112,748
-
-
193,678

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

4 Charitable activities
Unrestricted Unrestricted
funds funds
2023 2022
£ £
Daily attendance income 36,253 32,077
Services provided under contract 71,761 38,888
Ancillary trading income 1,962 11,242
Formal Licence Agreement Income 5,445 4,053
115,421 86,260

5 Investments

**Unrestricted ** Unrestricted
funds funds
2023 2022
£ £
Interest receivable 735 36
6 Raising funds
2023 2022
£ £
Fundraising costs of grants and donations - unrestricted
Staff costs 10,501 16,434

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

7 Charitable activities

Staff costs
Depreciation and impairment
Subcontractor fees
Running costs
Transport
Food costs
Bank charges
Other costs
Share of support costs (see note 8)
Share of governance costs (see note 8)
Analysis by fund
Unrestricted funds
Restricted funds		 2023
£
163,094
18,884
32,528
8,312
11,064
651
223
2,459
237,215
58,320
15,967
311,502
138,874
172,628
311,502		 2022
£
108,847
18,795
32,833
8,452
6,218
935
184
4,806
181,070
73,634
18,818
273,522
144,132
129,390
273,522

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

8 Support costs

Support
costs
Governance
costs
£
£
Staff costs
36,869
10,501
Printing, postage and
stationery
364
-
Heating and lighting
6,637
-
Insurance
7,826
-
Water rates
497
-
Telephone
2,025
-
Repairs and renewals
1,356
-
Waste and cleaning
2,459
-
Computer costs
(528)
-
Health, safety and
training
815
-
Membership and
affiliations
-
903
Legal and professional
costs
-
2,514
Independent examiners
fee
-
2,049
58,320
15,967
Analysed between
Charitable activities
58,320
15,967		 2023
£
47,370
364
6,637
7,826
497
2,025
1,356
2,459
(528)
815
903
2,514
2,049
74,287
74,287		 2022 Basis of allocation
£
65,999 Time spent
1,294 See 1.5
6,521 ""
934 ""
390 ""
1,884 ""
3,638 ""
2,970 ""
1,385 ""
944 ""
947
Governance
3,536
Governance
2,010
Governance
92,452
92,452

9 Trustees

None of the Trustees (or any persons connected with them) received any remuneration or travelling expenses during the year (2022- £Nil).

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

10 Employees

Number of employees

The average monthly number of employees during the year was:

Administration and support
Direct services
Employment costs
Wages and salaries
Social security costs
Other pension costs		 2023
Number
4
13
17
2023
£
212,066
6,376
2,525
220,967		 2022
Number
4
10
14
2022
£
182,929
6,633
1,718
191,280

During the year termination payments comprising redundancy, payments in lieu of notice and holiday pay of £15,799 (2022 - £Nil) were made.

Of the 17 (2022 - 14) members of staff employed, 1 is full time (2022 - 1) and 16 are part time (2022 - 13).

There were no employees whose annual remuneration was £60,000 or more.

11 Taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

12 Transfers

In 2022 a transfer was made from the designated fund to the general unrestricted reserves of £20,000, representing bursaries paid out in that year.

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

13 Tangible fixed assets

Freehold Land
and buildings
Improvements
to freehold
property
Greenhouse
and kiln
Fixtures,
fittings &
equipment
Computers
£
£
£
£
£
Cost
At 1 April 2022
30,470
140,055
6,981
20,845
34,630
Additions
-
790
7,974
2,253
-
At 31 March 2023
30,470
140,845
14,955
23,098
34,630
Depreciation and impairment
At 1 April 2022
-
46,459
1,898
8,706
25,749
Depreciation charged in the year
-
7,042
748
2,310
8,784
At 31 March 2023
-
53,501
2,646
11,016
34,533
Carrying amount
At 31 March 2023
30,470
87,344
12,309
12,082
97
At 31 March 2022
30,470
93,596
5,083
12,138
8,880		 Total
£
232,981
11,017
243,998
82,812
18,884
101,696
142,302
150,167

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

14
Debtors
Amounts falling due within one year:
Trade debtors
Other debtors
Prepayments and accrued income		 2023
£
11,929
-
6,134
18,063		 2022
£
11,216
9,291
8,892
29,399

15 Creditors: amounts falling due within one year

Notes
Other taxation and social security
Deferred income
16
Trade creditors
Accruals
Deferred income
Arising from Income in advance of service date
Current liabilities		 2023
£
2,816
34,088
1,734
15,686
54,324
2023
£
34,088
34,088		 2022
£
3,003
106,608
1,027
7,495
118,133
2022
£
106,608
106,608

16 Deferred income

The amount deferred represents monies received from the Lottery Fund as yet unspent. The income is released to the Statement of Financial Activities as expenditure is incurred. Monies remaining unspent at the completion of the project are to be returned to the Big Lottery Fund.

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

17 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement in funds Movement in funds Movement in funds Movement in funds
Balance at Incoming Resources Balance at Incoming Resources Balance at
1 April 2021 resources expended 1 April 2022 resources expended
31		 March 2023
£ £ £ £ £ £ £
Refurbishment building and equipment 110,297 - (6,300) 103,997 3,516 (6,301) 101,212
Gardening fund 3,360 - (240) 3,120 - (240) 2,880
Workshop Tools 280 - - 280 - - 280
Refurbishment Equipment 7,666 - (1,253) 6,413 2,826 (1,478) 7,761
Groundwork UK Landscaping Fund 10,094 - (614) 9,480 - (614) 8,866
Lottery Project - 112,748 (112,748) - 155,907 (155,907) -
Replacement Pottery Kiln 2,891 - (256) 2,635 - (109) 2,526
Lottery 2 - Stay Well/Stay Safe 11,410 - (5,705) 5,705 - (5,705) -
National Emergency Trust DCMS fund 4,636 - (2,274) 2,362 - (2,274) 88
Music Therapy Fund - - - - 3,600 - 3,600
150,634 112,748 (129,390) 133,992 165,849 (172,628) 127,213

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

17 Restricted funds

(Continued)

Building Refurbishment - This fund represents grants received from The Bailey Thomas Charitable Fund, Santander Foundation, Sylvia Waddilove, The Sobell Foundation, Novum Law, Clothworkers, Morrisons Foundation ,ACT Foundation and the Co-Op Local community Fund. The aim of these grants is to assist with the costs of improving our premises.

This fund also represents grants received from The Jordans Foundation, who assisted with the workshop refurbishment.

Gardening Fund - This fund represents a grant received from Jules Thorne and Gillian Bulmer. The aim of these grants is to assist with the costs of improving the garden equipment, in particular the greenhouse.

Workshop Tools Fund - This fund represents a grant received from the Co-op Community. The aim of this grant is to assist with the costs of acquiring new tools for the workshop. Incoming resources this year relate to a legacy.

Refurbishment Equipment Fund - This fund represents grants received from the Hedley Foundation, Beatrice Laing, Bernard Sunley, Childwick Trust and Rowland Trust. The aim of these grants is to assist with the cost of acquiring equipment for the refurbished therapy suite and day care areas.

Groundwork UK Landscaping Fund - This fund represents grants received from Tesco, and also the Co-op Local Community Fund, with an aim to improve the the garden at Headway House.

The Lottery Fund - This fund represents grants received from the National Lottery. The aim of the grant is for development of a home and community support service that allows us to work intensively with individuals, carers, families and communities at home and in their own environments, self reliance and resilience being the core goal.

Replacement Pottery Kiln - This fund represents a grant received from the Sylvia Waddilove Foundation UK. The aim of this grant is to assist with the "Kiln Work" project.

Lottery 2 - Stay Well/Stay Safe, Stay in Touch - a Coronovirus Community Support grant to enable charitable activities to continue in the community during the Covid-19 pandemic.

National Emergency Trust DCMS fund - IT Equipment - This fund represents a grant received via The Herefordshire Community Foundation. The aim of this grant is to provide electronic equipment so activities can be re-delivered to clients at home, necessary as a result of Covid-19 restrictions.

Music Therapy Fund - represents a grant received from The D'Oyly Carte Charitable Trust to support the cost of running music therapy services

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

18 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

Movement
in funds
Balance at Transfers Balance at Incoming Balance at
1 April 2021 1 April 2022 resources 31 March 2023
£ £ £ £ £
Building refurbishment 6,000 - 6,000 - 6,000
Headway House 30,470 - 30,470 - 30,470
Client bursary 20,000 (20,000) - - -
56,470 (20,000) 36,470 - 36,470

Building refurbishment - This fund represents grants received in 2018 from the Masonic Charitable Foundation Community Awards. This has been set aside with the costs of improving our premises.

Headway House - In 2019, Headway House was transferred to a designated fixed asset fund. This has been set aside to more clearly present the free reserves of the charity.

Client Bursary - the trustees designated £20,000 income as a Bursary fund to assist clients who are required to fund their own fees, this was fully expended in 2022.

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

19
Analysis of net assets between funds
Unrestricted
funds
Designated
funds
Restricted
funds
2023
2023
2023
£
£
£
Fund balances at 31 March 2023 are
represented by:
Tangible assets
15,911
30,470
95,921
Current assets/(liabilities)
263,181
6,000
31,292
279,092
36,470
127,213		 Total
Unrestricted
funds
Designated
funds
Restricted
funds
2023
2022
2022
2022
£
£
£
£
142,302
9,310
30,470
110,387
300,473
235,339
6,000
23,605
442,775
244,649
36,470
133,992		 Total
2022
£
150,167
264,944
415,111

HEREFORDSHIRE HEADWAY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

20 Operating lease commitments

At the reporting end date the Charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Within one year
Between two and five years
In over five years		 2023
£
1,585
2,600
-
4,185		 2022
£
1,585
3,926
259
5,770

The operating leases represent leases from third parties for the provision of office equipment and other services. The leases are negotiated over terms of 5 to 7 years and rentals are fixed for the term of the lease. There are no options in place for either party to extend the lease terms.

The charge included in the statement of financial activities in connection with these leases is £1,585 (2022 - £1,758).

21 Related party transactions

There were no disclosable related party transactions during the year (2022 - none).

Remuneration of key management personnel

The remuneration of key management personnel, considered to be 2 employees (2022 - 2) is as follows.

2023 2022
£ £
Aggregate compensation 60,446 58,074