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← Dewis Centre For Independent Living

2023-03-31-accounts

REGISTERED COMPANY NUMBER: 03179464 (England and Wales) REGISTERED CHARITY NUMBER: 1098229

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

FOR

DEWIS CENTRE FOR INDEPENDENT LIVING

Bevan Buckland LLP Chartered Accountants And Statutory Auditors Ground Floor Cardigan House Castle Court Swansea Enterprise Park Swansea SA7 9LA

DEWIS CENTRE FOR INDEPENDENT LIVING

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Page
Report of the Trustees 1 to 6
Report of the Independent Auditors 7 to 9
Statement of Financial Activities 10
Balance Sheet 11
Cash Flow Statement 12
Notes to the Cash Flow Statement 13
Notes to the Financial Statements 14 to 22
Detailed Statement of Financial Activities 23 to 24

DEWIS CENTRE FOR INDEPENDENT LIVING

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

The trustees are pleased to present their annual directors' report together with the financial statements of the charity for the year ended 31 March 2023 which are also prepared to meet the requirements for a directors' report and accounts for Companies Act purposes.

The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity's governing document, the Charities Act 2011, 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

Objectives and activities for public benefit

Dewis Centre for Independent Living is an organisation which recognises choice as a fundamental human right. It believes that through informed choices disabled people can gain greater independence and greater control over their lives.

All our charitable activities focus on the provision of services which support and respond to disabled people's desire to gain greater choice in their lives and are undertaken to further our charitable purposes for the public benefit. It is an organisation of disabled people and non-disabled people who are committed to these aims. Our main activities are listed below.

Page 1

DEWIS CENTRE FOR INDEPENDENT LIVING

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

STRATEGIC REPORT

Achievement and performance

Covid-19 pandemic seemed at last to be behind us, but management were still cautious when staff became ill. Staff testing positive were asked not to attend the office to prevent any spread of the virus. As the year progressed and winter of 22/23 passed, occasions of positive Lateral Flow Tests became less, either due to the strain not being picked up by the LFTs or indeed the potency of the disease had passed by. Office working was almost back to normal, although Perspex screens are still in situ. Advocates began to return to working out of their satellite offices.

The staff based at Head Office were settling in to their new location in Melin Corrwg although space was somewhat restricted. With Advocates returned to working out of the office and the Direct Payment team at full complement after months of recruitment, the decision was taken to add Suite 2 to the rental agreement to accommodate the Advocacy department and make room in Suite 4 for the DP Advice team.

At the end of March 2023, the number of people having a Direct Payment, supported by Dewis CIL was 1,754. That number having risen from 1,683 at the end of March the previous year. Whilst this figure shows an overall increase of 71 people having a Direct Payment service through Dewis CIL, it is not indicative of the amount of work undertaken by the DP Advice team. During the year, the advice team received over 409 referrals into the scheme. A great deal of work is undertaken at the start of the referral in terms of a first visit to discuss what a Direct Payment is, then follow up appointments to discuss the details of the job description, advertising and recruitment. Of those 409, 131 people decided at some point, not to continue with Direct Payments. Reasons vary between moving into residential care, admitted to hospital, passing away, and so forth. During the year, 204 people ceased using the service, for similar reasons as above.

For the service users employing their own PAs, Dewis CIL's service supports approximately 5,000 PAs. PAs are paid a variety of pay frequencies, fortnightly, four weekly or monthly. Taking into consideration the amount of service users per pay frequency, the payroll department would have processed approximately 25,050 payrolls, issuing some 75,100 payslips. Of the 1,754 service users, 1,053 had a managed account, some 41,067 individual payments through the charity's bank account. In addition, the 204 individuals ceasing with the service would have needed accrued annual leave and possibly in lieu of notice and redundancy payments to be calculated. An incredible amount of support provided by the payroll team.

Payroll continue to expand the take up of the timesheet spreadsheet template, which is an electronic service, thus eliminating the need to receive paper timesheets and send out paper payslips and copies. Everything remains in a digital format, from the timesheet, to the payslips, IR bills and pension letters, all in a bid to improve the service user experience and negate the need for paper.

In December 2022, Dewis CIL hosted an event to celebrate the International day of Disabled People. It was hosted in the All Nations Centre in Cardiff with 120 guests. The event played host to Service Users, Local Authority Staff, Dewis CIL Trustees, staff and Volunteers, dignitaries and partners from the third sector. Service users, Trustees and staff shared their lived experiences. In addition, Jane Hutt MS, Minister for Social Justice and Julie Morgan MS, Deputy Minister for Social Services addressed attendees around Continuing Health Care (CHC) and around the Social Model of Disabiity.

The current CEO maintained their full membership of the Chartered Institute of Payroll Professionals and the Payroll and Financial Services Manager passed her first year of a payroll degree and will continue with the second year in the coming months. They qualify as an associate member of the CIPP.

The smooth-running of the Organisation ultimately depends upon all aspects of its established processes working in harmony. Particularly so is adherence to the line of responsibility and to the structure of the management of the Charity through its appointed Trustees. Throughout 2022/2023, the Trustees once again have shown unerring commitment to the aims and well-being of Dewis C.I.L. in the committee meetings conducted bi-monthly and through regular email exchanges with the CEO.

PLANS FOR 2023/2024

The nature of contracts and commissioning means that it is inevitable that contracts are re-tendered when they come to their closure date. It is our intention to retain our present contracts going forward. Therefore, as part of our planning for 2023/24 we will work hard to retain our Direct Payment contract in Rhondda Cynon Taf, when if falls due for re-tender as well as the Advocacy contract within the same Local Authority. We will also be looking to submit tenders for new opportunities across Wales in respect of Direct Payments and Advocacy as they become available.

Page 2

DEWIS CENTRE FOR INDEPENDENT LIVING

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

As part of our ongoing succession planning, we will support staff who are eligible to study for the Institute of Leadership & Management and Training (ILM) Level 4 qualification which is geared towards middle management, as well as staff undertaking the level 5 qualification. Two of the charity's senior management have already completed their level 4 and are considering their level 5. We will maintain our support for staff members in continuous professional development. This applies to formal qualifications under QCF (in Health & Social Care and Advice & Guidance) and other identifiable professional study that might be applicable to individual roles.

We aim to consolidate staff awareness and knowledge through training in key areas of social care procedure and practice, particularly in relation to direct payments and Independent Professional Advocacy, rights, safety and good practice including the legal landscape relating to our work. We aim to offer the staff team, access to BSL online beginner's course, in a bid to upskill staff wherever possible.

We plan to develop and improve our social media presence. This will involve setting-up a staff group to consider and advice on best practice, as well as innovation, in our use of social media. This will include our website and how it, and other social media, might help to grow service user involvement. We would like to include a smart phone app, specifically for Direct Payment use and a way of safely bringing people together to provide peer support.

Pay policy for senior staff

The directors consider the board of directors, who are the charitable company's trustees, and the senior management team comprise the key management personnel of the charitable company in charge of directing and controlling, running and operating the organisation on a day-to-day basis. All directors give of their time freely and no directors received remuneration during the year. Details of directors' expenses and related party transactions are disclosed in notes 9 and 10 to the accounts.

The pay of the senior staff is reviewed annually at Trustees' meetings along with a general review of all staff salaries.

Risk management

Each year it is necessary to assess and appraise possible risks to the efficient and successful functioning of the Organisation. The evaluation of these potential risks informs our decision-making from the start of the year and throughout the year. They may, in nature, be financial, strategic, staff related, quality assurance, continuity threatened or be unforeseen and therefore potentially something we must be reactive to if we cannot be proactive to the threat. As such, we all have roles to play.

These roles are outlined as we develop our yearly Business Plan, so we place great importance in relating the various work and targets therein to an accompanying Continuity Plan. This key document contains our evaluation of the various business risks associated with our work and our responses in order to maintain services to a reduced but temporary level until the issue is resolved. Dewis CIL's business Continuity Plan outlines our response and strategy in the event of unanticipated and unintended occurrences, both externally or internally.

Our risk assessment considers financial contingencies such as cash flow, capital expenditure items and staffing requirements which might therefore create fluctuations in payroll. Our business reserve capital is there to meet this risk. We always consider risk assessment as it extends to staff safety and well-being. This is especially so when running a service where lone working and external visits feature so prominently across our services. Our policy review and guides, such as the staff handbook, reflects our vigilance in ensuring that staff complies with procedures for their safety and that of our service users.

Risk assessment is of high importance to all of us at Dewis CIL. This is why it features as a core agenda item for Trustees' meetings. At a macro level it is a consideration for the future of the Organisation as we develop services. It naturally exists at a micro level for each and every one of us, trustees, staff, volunteers and service users.

Financial review

Results

The charity had a surplus for the year of £29,919 (2022: £18,215). Income in the year was £1,805,192 (2022: £1,756,554) and expenditure was £1,775,273 (2022: £1,738,339). Unrestricted funds at the year end total £969,773 and free reserves are £908,052.

Page 3

DEWIS CENTRE FOR INDEPENDENT LIVING

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Reserves Policy and Going Concern

The trustees have established a policy where charitable funds not committed or invested in tangible fixed assets (the free reserves) held by the charity should equate to 3 to 6 months of resources expended. At this level of reserves, the committee feels that it would be able to continue the current activities of the charity in the event of a significant drop in funding. At present, the free reserves amount to £904,730 at 31 March 2023 (2022: £878,787) which equates to approximately 6 months of the resources expended at current levels.

The charitable company is in a good cash position with an increase in cash and cash equivalents in the year of £26,860 (2022: £174,130).

Principal Funding Sources

During the year, the organisation's principal sources of funding were from the following county borough councils:

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The organisation is a charitable company limited by guarantee and has been granted permission by the Registrar of Companies to omit 'limited' from its title. The company was registered as a charity on 26 June 2003. On 25 May 2006 the organisation's name was changed from Rhondda Cynon Taff Centre for Independent Living to Dewis Centre for Independent Living.

Recruitment and Training of Management Committee

Trustees are elected from the general membership of the organisation at the Annual General Meeting. The Management Committee also has the power to co-opt additional members. New trustees are briefed on their duties by the Chair of Trustees and the Chief Executive.

Organisational structure

Dewis Centre for Independent Living currently has a Management Committee of 8 members who meet each month whether it be for a full Trustee meeting (quarterly) or for the HR sub committee and the Finance sub committee meetings (quarterly also). These sub-committee meetings feed back to the full trustees' quarterly meetings and are responsible for the strategic direction and policy of the charity.

Ensuring our work delivers our aims

The trustees confirm that they have referred to the Charity Commission's guidance on public benefit when reviewing the aims and objectives and in planning future activities. They have referred to the guidance contained in the Charity Commission's general guidance on public benefit and consider that they have complied with their duty under section 17 (5) of the Charities Act 2011.

The aims, objectives and activities are reviewed each year. This review looks at what has been achieved and the outcomes of the organisation's work in the previous twelve months. The review helps us to ensure that the charity's aims, objectives and activities remain focused on our stated purposes.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

03179464 (England and Wales)

Registered Charity number

1098229

Page 4

DEWIS CENTRE FOR INDEPENDENT LIVING

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Registered office

Suite 4 and 5 No 1 & 2 Melin Corrwg Upper Boat Pontypridd CF37 5BE

Trustees

M Jones D Davey M D Williams W T Evans P Flower J Thomas T Price V Smith

Senior Statutory Auditor

Henry Lloyd Davies

Auditors

Bevan Buckland LLP Chartered Accountants And Statutory Auditors Ground Floor Cardigan House Castle Court Swansea Enterprise Park Swansea SA7 9LA

TRUSTEES' RESPONSIBILITY STATEMENT

The trustees (who are also the directors of Dewis Centre for Independent Living for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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 incoming resources and application of resources, including the income and expenditure, of the charitable company 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 charitable company 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

AUDITORS

The auditors, Bevan Buckland LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

Page 5

DEWIS CENTRE FOR INDEPENDENT LIVING

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on ............................................. and signed on the board's behalf by:

.......................................................................... M D Williams - Trustee

Page 6

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF DEWIS CENTRE FOR INDEPENDENT LIVING

Opinion

We have audited the financial statements of Dewis Centre for Independent Living (the 'charitable company') for the year ended 31 March 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the 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).

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 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 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 trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not 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. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors 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.

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 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 the audit:

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:

Page 7

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF DEWIS CENTRE FOR INDEPENDENT LIVING

Responsibilities of trustees

As explained more fully in the Trustees' Responsibilities Statement, 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.

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

We identify and assess the risks of material misstatement of the Financial Statements, whether due to fraud or error, and then, design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

We discussed our audit independence complying with the Revised Ethical Standard 2019 with the engagement team members whilst planning the audit and continually monitored our independence throughout the process.

Identifying and assessing potential risks related to irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

Enquiring of management, including obtaining and reviewing supporting documentation, concerning the Charity's policies and procedures relating to:

Audit response to risks identified

In addition to the above, our procedures to respond to risks identified included the following:

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

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.

Page 8

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF DEWIS CENTRE FOR INDEPENDENT LIVING

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 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.

Henry Lloyd Davies (Senior Statutory Auditor) for and on behalf of Bevan Buckland LLP Chartered Accountants And Statutory Auditors Ground Floor Cardigan House Castle Court Swansea Enterprise Park Swansea SA7 9LA Date: .............................................

Page 9

DEWIS CENTRE FOR INDEPENDENT LIVING

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2023

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
2
Charitable activities
5
Grants and contracts
Payroll services
Other trading activities
3
Investment income
4
Total
EXPENDITURE ON
Charitable activities
6
Charitable activities
NET INCOME
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
fund
£
964
1,783,964
12,911
717
6,636
1,805,192
1,775,273
29,919
939,854
969,773		 Restricted
fund
£
-
-
-
-
-
-
-
-
-
-		 2023
Total
funds
£
964
1,783,964
12,911
717
6,636
1,805,192
1,775,273
29,919
939,854
969,773		 2022
Total
funds
£
20
1,743,033
11,917
1,375
209
1,756,554
1,738,339
18,215
921,639
939,854

CONTINUING OPERATIONS

All income and expenditure has arisen from continuing activities.

The notes form part of these financial statements

Page 10

DEWIS CENTRE FOR INDEPENDENT LIVING

BALANCE SHEET 31 MARCH 2023

Notes
FIXED ASSETS
Intangible assets
12
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
NET ASSETS
FUNDS
17
Unrestricted funds
TOTAL FUNDS		 Unrestricted
fund
£
36,338
25,383
61,721
210,332
971,913
1,182,245
(274,193)
908,052
969,773
969,773		 Restricted
fund
£
-
-
-
-
-
-
-
-
-
-		 2023
Total
funds
£
36,338
25,383
61,721
210,332
971,913
1,182,245
(274,193)
908,052
969,773
969,773		 2022
Total
funds
£
27,417
33,650
61,067
175,502
945,053
1,120,555
(241,768)
878,787
939,854
939,854
939,854
939,854
969,773
969,773

The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:

............................................. M D Williams - Trustee

The notes form part of these financial statements

Page 11

DEWIS CENTRE FOR INDEPENDENT LIVING

CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 MARCH 2023
2023
Notes
£
Cash flows from operating activities
Cash generated from operations
1
41,302
Net cash provided by operating activities
41,302
Cash flows from investing activities
Purchase of intangible fixed assets
(13,272)
Purchase of tangible fixed assets
(7,806)
Interest received
6,636
Net cash used in investing activities
(14,442)
Change in cash and cash equivalents in
the reporting period
26,860
Cash and cash equivalents at the
beginning of the reporting period
945,053
Cash and cash equivalents at the end of
the reporting period
971,913		 2022
£
199,304
199,304
(9,072)
(16,311)
209
(25,174)
174,130
770,923
945,053

The notes form part of these financial statements

Page 12

DEWIS CENTRE FOR INDEPENDENT LIVING

NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2023

1.
RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES
2023
£
Net income for the reporting period (as per the Statement of Financial
Activities)
29,919
Adjustments for:
Depreciation charges
20,424
Interest received
(6,636)
(Increase)/decrease in debtors
(34,830)
Increase in creditors
32,425
Net cash provided by operations
41,302		 2022
£
18,215
30,211
(209)
71,584
79,503
199,304

2. ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.22 Cash flow At 31.3.23
£ £ £
Net cash
Cash at bank and in hand 945,053 26,860 971,913
945,053 26,860 971,913
Total 945,053 26,860 971,913

The notes form part of these financial statements

Page 13

DEWIS CENTRE FOR INDEPENDENT LIVING

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

1. 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.

Critical accounting judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgments, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgments about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results in the future may differ from these estimates.

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 and in any future periods affected.

Estimation Uncertainty

The charity makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. Management consider their to be no estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

Income

Income is recognised in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

Grants, including grants for the purchase of fixed assets, are recognised in full in the Statement of Financial Activities in the year which they are receivable.

Income from room hire is recognised when the hire takes place.

Donations and all other receipts generated from fundraising are reported on a receivable basis.

Investment income is included when receivable.

Incoming resources from charitable trading activity are accounted for when earned.

Expenditure and irrecoverable vat

Expenditure is included in the accounts on an accruals basis. Expenditure has been split between unrestricted and restricted funds and analysed between functions. The latter allocation has been performed on a percentage basis derived from the time spent on such activities by the Charity's employees, or directly where possible. Resources expended include attributable VAT which cannot be recovered.

Allocation of support costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the activities of the charity. These costs have been allocated between cost of raising funds and expenditure on charitable activities.

Intangible assets

Intangible assets are measured at cost less accumulated amortisation and any accumulated impairment losses.

Software development costs are recognised as an intangible asset when all of the following criteria are demonstrated:

Page 14

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DEWIS CENTRE FOR INDEPENDENT LIVING

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

1. ACCOUNTING POLICIES - continued

Intangible assets

Amortisation is charged so as to allocate the cost of intangibles less their residual values over their estimated useful lives, using the straight-line method. The intangible assets are amortised over the following useful economic lives:

If there is an indication that there has been a significant change in amortisation rate or residual value of an asset, the amortisation of that asset is revised prospectively to reflect the new expectations

Tangible fixed assets

Fixed assets are stated at cost less accumulated depreciation. The costs of minor additions costing below £100 are not capitalised.

Depreciation is provided at rates calculated to write off the cost of each asset over its expected useful life as follows:

Leasehold property Straight line over length of lease

Fixtures, fittings and equipment 25% straight line

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Restricted funds are income which has a specific purpose and the income must be used for the purpose or - project it has been given.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Subsidiary Company

Dewis Independent Services is a subsidiary company of the charity. It has been dormant from its incorporation in April 2015 and therefore there is no requirement to consolidate the results.

Debtors

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

Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

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.

Financial instruments

The charity only has financial assets and liabilities of a kind that qualify as basic financial instruments.

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continued...

DEWIS CENTRE FOR INDEPENDENT LIVING

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

1. ACCOUNTING POLICIES - continued

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 method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting end date.

Financial assets, other than those held at fair value through profit and loss are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Basic financial liabilities

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business 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.

Pensions

The charity operates a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the charity. The annual contributions payable are charged to the Statement of Financial Activities.

Employee benefit

The costs of short-term employee benefits are recognised as a liability and an expense.

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

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

Leasing

Rentals applicable to operating leases are charged to the Statement of Financial Activities over the period in which the cost is incurred.

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DEWIS CENTRE FOR INDEPENDENT LIVING

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

2.
DONATIONS AND LEGACIES
Donations
3.
OTHER TRADING ACTIVITIES
Training and room hire
Miscellaneous Income
4.
INVESTMENT INCOME
Deposit account interest
5.
INCOME FROM CHARITABLE ACTIVITIES
Activity
Grants
Grants and contracts
Payroll services
Payroll services
Grants received, included in the above, are as follows:
Local authorities funding
Gwent Carers
6.
CHARITABLE ACTIVITIES COSTS
Charitable activities		 Direct
Costs
£
1,604,022		 2023
£
964
2023
£
-
717
717
2023
£
6,636
2023
£
1,783,964
12,911
1,796,875
2023
£
1,749,169
34,795
1,783,964
Support
costs (see
note 7)
£
171,251		 2022
£
20
2022
£
1,000
375
1,375
2022
£
209
2022
£
1,743,033
11,917
1,754,950
2022
£
1,743,033
-
1,743,033
Totals
£
1,775,273

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DEWIS CENTRE FOR INDEPENDENT LIVING

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

7. SUPPORT COSTS

Printing, postage and stationery
Advertising and recruitment
Telephone
Computer costs
Audit fees
Legal and professional fees		 General
Support
£
33,631
12,959
33,245
62,903
-
-
142,738		 Governance
£
-
-
-
-
16,818
11,695
28,513		 2023
£
33,631
12,959
33,245
62,903
16,818
11,695
171,251		 2022
£
35,435
3,426
21,846
58,269
11,632
11,093
136,874

8. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

Auditors' remuneration
Depreciation - owned assets
Computer software amortisation		 2023
£
16,818
16,073
4,351		 2022
£
11,632
28,094
2,117

9. TRUSTEES' REMUNERATION AND BENEFITS

For the year ended 31 March 2023 no Trustee nor any person with a connection with a Trustee received any remuneration from the Charity (2022: Nil).

Trustees' expenses

Travelling and other incidental expenses amounting to £104 (2022 - £175) were reimbursed to 3 (2022 - 3) Trustees.

10. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs		 2023
£
1,246,119
108,361
37,362
1,391,842		 2022
£
1,176,329
95,675
36,065
1,308,069

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

Costs of raising funds
Charitable activities		 2023
1
52
53		 2022
1
55
56

No employees had employee benefits in excess of £60,000 (2022: £60,000). Pension costs are allocated to activities in proportion to the related staffing costs incurred and are wholly charges to unrestricted funds.

The management team of the charity are made up of the Chief Executive Officer, Advocacy Manager, Direct Payments Manager, Direct Payments Project Manager and Payroll and Financial Services Project manager. The total employee benefits of the key management personnel were £216,877 (2022: £206,763).

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continued...

DEWIS CENTRE FOR INDEPENDENT LIVING

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

11.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
fund
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
20
Charitable activities
Grants and contracts
1,743,033
Payroll services
11,917
Other trading activities
1,375
Investment income
209
Total
1,756,554
EXPENDITURE ON
Charitable activities
Charitable activities
1,738,339
NET INCOME
18,215
RECONCILIATION OF FUNDS
Total funds brought forward
921,639
TOTAL FUNDS CARRIED FORWARD
939,854
12.
INTANGIBLE FIXED ASSETS
COST
At 1 April 2022
Additions
At 31 March 2023
AMORTISATION
At 1 April 2022
Charge for year
At 31 March 2023
NET BOOK VALUE
At 31 March 2023
At 31 March 2022		 Restricted
fund
£
-
-
-
-
-
-
-
-
-
-		 Total
funds
£
20
1,743,033
11,917
1,375
209
1,756,554
1,738,339
18,215
921,639
939,854
Computer
software
£
30,240
13,272
43,512
2,823
4,351
7,174
36,338
27,417

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continued...

DEWIS CENTRE FOR INDEPENDENT LIVING

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

13. TANGIBLE FIXED ASSETS

COST
At 1 April 2022
Additions
At 31 March 2023
DEPRECIATION
At 1 April 2022
Charge for year
At 31 March 2023
NET BOOK VALUE
At 31 March 2023
At 31 March 2022
14.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Prepayments and accrued income
Prepayments
15.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade creditors
Social security and other taxes
Wages Control
Other creditors
16.
LEASING AGREEMENTS		 2023
£
184,501
25,831
-
210,332
2023
£
13,752
22,951
50,662
186,828
274,193		 Fixtures
and
fittings
£
152,878
7,806
160,684
119,228
16,073
135,301
25,383
33,650
2022
£
157,979
16,323
1,200
175,502
2022
£
6,463
19,062
38,712
177,531
241,768

Minimum lease payments under non-cancellable operating leases fall due as follows:

Within one year
Between one and five years
In more than five years		 2023
£
124,207
363,558
12,847
500,612		 2022
£
22,784
112,857
-
135,641

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continued...

DEWIS CENTRE FOR INDEPENDENT LIVING

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

17. MOVEMENT IN FUNDS

At 1.4.22
£
Unrestricted funds
General fund
939,854
TOTAL FUNDS
939,854
Net movement in funds, included in the above are as follows:
Incoming
resources
£
Unrestricted funds
General fund
1,805,192
TOTAL FUNDS
1,805,192
Comparatives for movement in funds
At 1.4.21
£
Unrestricted funds
General fund
921,639
TOTAL FUNDS
921,639
Comparative net movement in funds, included in the above are as follows:
Incoming
resources
£
Unrestricted funds
General fund
1,756,554
TOTAL FUNDS
1,756,554
A current year 12 months and prior year 12 months combined position is as follows:
At 1.4.21
£
Unrestricted funds
General fund
921,639
TOTAL FUNDS
921,639		 Net
movement
in funds
£
29,919
29,919
Resources
expended
£
(1,775,273)
(1,775,273)
Net
movement
in funds
£
18,215
18,215
Resources
expended
£
(1,738,339)
(1,738,339)
Net
movement
in funds
£
48,134
48,134		 At
31.3.23
£
969,773
969,773
Movement
in funds
£
29,919
29,919
At
31.3.22
£
939,854
939,854
Movement
in funds
£
18,215
18,215
At
31.3.23
£
969,773
969,773

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continued...

DEWIS CENTRE FOR INDEPENDENT LIVING

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

17. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
TOTAL FUNDS		 Incoming
resources
£
3,561,746
3,561,746		 Resources
expended
£
(3,513,612)
(3,513,612)		 Movement
in funds
£
48,134
48,134

18. RELATED PARTY DISCLOSURES

Details of related party transactions can be found in notes 9 and 10 of the financial statements.

19. MANAGED ACCOUNTS

The charity acts as an agent for a number of its clients and holds £2,795,427 in managed bank accounts. These funds are not included in the balance sheet of the charity.

Page 22

DEWIS CENTRE FOR INDEPENDENT LIVING

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

INCOME AND ENDOWMENTS
Donations and legacies
Donations
Other trading activities
Training and room hire
Miscellaneous Income
Investment income
Deposit account interest
Charitable activities
Grants
Payroll services
Total incoming resources
EXPENDITURE
Charitable activities
Wages
Social security
Pensions
Training costs
Rent, rates and service charge
Insurance
Light and heat
Cleaning and repairs
Hire equipment
Staff travel and welfare
Bank charges
Subscriptions
Sundries
Dilapidation costs
Relocation costs
Grants repayable
Bad debts
Amortisation of computer software
Depn of short leasehold
Depn of fixtures & fittings
Support costs
Support costs
Auditors' remuneration
Carried forward		 2023
£
964
-
717
717
6,636
1,783,964
12,911
1,796,875
1,805,192
1,246,119
108,361
37,362
7,404
82,821
8,333
868
7,733
7,566
31,098
11,084
322
3,418
-
-
29,000
2,109
4,351
-
16,073
1,604,022
16,818
16,818		 2022
£
20
1,000
375
1,375
209
1,743,033
11,917
1,754,950
1,756,554
1,176,329
95,675
36,065
5,654
107,045
7,055
12,413
8,233
6,747
22,347
9,673
4,644
560
(8,000)
14,152
65,999
1,836
2,117
2,812
25,282
1,596,638
11,632
11,632

This page does not form part of the statutory financial statements

Page 23

DEWIS CENTRE FOR INDEPENDENT LIVING

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

DETAILED STATEMENT OF FINANCIAL ACTIVITIES
FOR THE YEAR ENDED 31 MARCH 2023
Support costs
Brought forward
Telephone
Postage and stationery
Advertising and recruitment
Computer expenses
Legal and professional fees
Total resources expended
Net income		 2023
£
16,818
33,245
33,631
12,959
62,903
11,695
171,251
1,775,273
29,919		 2022
£
11,632
21,846
35,435
3,426
58,269
11,093
141,701
1,738,339
18,215

This page does not form part of the statutory financial statements

Page 24