Roglstered numb8r: 03738249 Charity number: 1100403 steps to Work Trustees, report and financial statements For tho year ended 31 March 2022 dJDAINS ACCOUNTANTS STEPS TO WORK SPR>. Trustee Report 2021-22 STEPS WORK SPR>. Contents ststementfrom the Chair...................................,....................................... .......................................-.- Steps To Work.....................,..................-......................-...-...-....-... Startink Polnt RecWIt￿nt..................................... ststementof Publlc Benefit (Stepg Toworkl.......................................................................................... Ourvision. Our Mlsslon............ Our Values. Our Strateglc DKferentlators & USP.... Obiectlwes & ACtI￿tI￿ to Provide Public Be[￿It...........................................................................................,...................... Strutture. Governonre & Management.......................................................... Governlng Document.........,...................... Orgoni5atlonal Structure...............,-...-.................. Appointtnent of Tru5tee5....................................................................................... ... . Restructu￿ ofcommlttees.... .. 8oard of Trusteeg...................................... ........ Restructure ol EXeurt￿e Team....... Exe¢utfveTeam............,..........,......................,.....................................................................-...............................................-. Wlder Menagementyearn... Registèred Office....... Independent Auditor........ Our Progrornme5........................................................................... .10 8ulldini Better Opportunitie$18801.. BRIDGES................................. .10 .10 B1￿k Couniry Future5..,.......... Work & H*alth Prograrn￿ IWHPI........................... . WHPJob Entry.. Targeted Support IJETSI............,................................-..............................................................................11 Klckstart Scheme........ .11 .11 Connectln8 Communitles.. DWP Restart Scheme............. .12 .11 Ourcommltments......,........................,........................ .14 Our Commitrnent to Investors In People. Leaders In Di¥er51ty& Di5JL41ityConfident.............................................,.........14 Ourcommltment to Quèllty Standèrds1150 9￿11... .14 Our Commltment to Environmentally Su5talnable Development1150 140011................................................................ .14 Information security Mar*aBement Sy5tern51150 27￿1)......................... Bu51ness Contlnulty Management Sy5terns (ISO 223011......................-........................................... .Is .15 I STEPS WORK SPR>. I￿sk$ & Opportunltle5..................... .... Str?te8lc Rlsks...................................................-..............................................................,...,......................................-........16 Opportunltles.............................................. .16 .16 Our Future... . .17 Reduclng Our Financial VulDer4bility....................................,.............................-................................................................17 Increa51nKThe Profitablllty of Qur Tfèdln8Ami.... Mer8in8 With Anoth2r Orghnisation.............................................-.....................................................................................17 Addressing OurPenslon Deldt.. .17 StrateBic Oblectfves 2022-25... . .17 .17 Financ¢al Review...........-.... .18 5ummari5ed ACcoUr￿........................................................................................................................................................I9 Trustee5' Statemerbt..........................................-................................................................................................................20 I STEPS TO WORK SPR>. Statement from the Chalr l am dell8hted to have been appointed as Chair of thÈ Boa￿1 of Trustees at Step5 TO Work, having been a proud meM￿r of the Board sinte 2017. 1 would IlkÈ to th8nk my predecessor, Mlke Gahlr, who hws done an OLttStandini lob In t¢Jmln8 ihe Charity around and lea￿n8 us In a stable posltlon. Qjmpared to three years a80, this Is a trènslormed or8anisatton. We have turned around finances and cuhure. Our plpeline 15 more robust and ouroper3tion)I rnanagement 15 StTonger. We have exEeeded our tarzet to Increase financial reserves by £lmby March 2022, ali8ninBbwth our strètegicgoalto become self-financing. Itl5remJT*ablet￿twe are nowableto report posluve balar￿e 5heetfor the6ioup* In lar8e part duetothe reductlon ofour penslon defidt. lrnportantty. theconwlldated balance sheet nowalso ￿pOrtS netassers wmpared to prevlousyears of net Ilabllitie5. On top ol this, thè profitability of Startine Point Recruitment durinE 2021-22 has e￿eded all prewous years. We •re well posltloned to deliver a profit ol £lm profit that eluded us duTrng 2021.22 and look at how we can achieve a £1.5m profit durln8 2023-24. We e¥pecttostarttwonewtradln8armsln 2022-23-tralnlTrganderferpNse- and I lookforwardto reportlng progress. Despite the lastin8 impKts of the pandÈrnir, our prvjerts have rtsntinuEd to deliver above expertaJons. Tht DWP Klckstart kheme has enabled us to provlde plècement opportunklesto help hundreds of youn8 peDple forge new careers, whllst our dellvery ol WHP JETS and the DWP Restart Scheme has allowed u5 to g￿e those people made redundant because of COWD chance to change their future employment prospects. I would like to exteTra my heartfelt thanks to all rnembers of staff aCrD￿ the Step5 To Work Group for t￿1r hard work ar￿ dedlcation in helpln8 those who are amongst the vulneTrbl? members of our communities. Looklngahead, l am exclted bythe prospeLtsahead andwlllbeworkinKd05elywiththe Boardand ExecutlveTeamto eny¥e with and develop 10.WO pe¢ple, who will help ustowinthÈ waron tslÈntata time whenemployersa￿ la￿ wlth wldenlo6 skills 8apsand strttggllngto retrult. Ina post-P8ndemlcand post-Brexkworld. chartties such asstepSToWork￿II collaborète and partner wlth others to ensure that ernployer needs for skilled employee5 are addressed, and that every Indlvldual h05 the oppprtunity to find sustainable, reward1￿ and meanlntrulwDrL I want us to reach to all commtjnltles and flnd the besr wayto progress hldden tslent. This ￿14 mean Inve5tln8 lttal commvnltiesandthe organisation5thatsuppDrtthem. wemustlmproveopporwnitiestomar8lnallsed and undersupported ¥rDup5 Including lone parents, people who have experienced domestic wolence,the ex-rnilitsry and ex-offendEr& Ow 3-ye)rstr•te8ylsta improvÈoursustsinèblltLV andourlmp8tt, and I wlll be looklngtorthe Executlve todrfvethata8eTh and more. I will brine ill my resourtes to bear ensvTlnE that opportunI￿e$ ￿M)In open and that we can ply our part in bringin¥ the chartty5ectorteqether under• conwnon cause. Prof. Paul C3dman Chair of the Board of Trustees I STEPS WORK SPR>. Who We Are At Step5 To Work we ￿lIeVe thatihose who lacÈthe bl￿eSt barrlersdeserstihe mort help to build o briihter fvture. As a Iharity whh over 20 years. ewerience, we are committed to drlwng positNe than8e withln the cammunltles we serve throu8hthedellveryolempioyrnentSUPPOrtseryb￿5. We5UPPOrtlocal unemplDy8dfe51dentsto bulld thelrconfiden¢e, ¢alA new skills, l)cethelrchallenges, and ultlmètetyobtsin secure employment and ftnènual stablllty. A5a cornffjercial a8enty, we at Starting Point Recrultment ISPRI are proud of our unlque approaeh that breaks the mould of tradltlonal recrultsnent a8encie5', 100% ol our annual profit5 a￿ donated to employment support projects that help to pos1t1ve￿ transform the Ilve5 of Ioc31 people. For almost 20 years, we h3ve been provK*inÈ recrultment S2￿CeS to malor cllents acrossthe West Mldlands. We build all of our candidate and client relation5lipson trust. Togetherwe create futwes that help communitles and busine55e5 succeed. Purpose Steps TD Work WE bellEve that peDplewith the biggest barriers deser¥e the most help to bulld a brfghterfLrture. SPR To donate IQO% of our profits to charlty and dfNe a respJn51blÈ recrultrnent revolutlon. Ststempnt ol PubSic Bpnpfit (Steps To Workl The publlc beneffts that flow frDm our purpose are.. lal an enhanced quality of Itfe and ser￿e of Well-be1￿ thrnuBh engagement wth and partyclpatlon In attl￿tIeS and event5 that brln8 people together, leadlngto Improvement5 In physlcal andemotionalwell-bein& antta moreMableandcoheslve¢ommuniry,' Ibllncreased opportunltlestoengageln new¥rtlvltyes that bring people tO6ether, leadingto Èreater social coheslon 4nd fumlment; Icl enhan￿d employment PTospects that lead to sustainable and rewardin8WOfk and a ptr5itive irnpart on business, the ewnomyand future prospetts. riijr Vj. Innovation & Entrepreneurship Favourlng an unconventional approach, we value and rewett the knoWkd￿. Ideas and oplnlons of others to o￿T¢0[T challenge5 and ochleve results. Cost Consclousne55 Whetherit ielate5totlme. moneytsre4uipment, wetakecaretoenwreresourtr expenditure Islustlfied,therebyoptlmlslpg efficlenclesand redutlng wastage. Relentles5 Achievernent WÈ aredeeplypassionateaboutwhatwedoandalway5Strivetoachie¥e mort, supportirY8peop1e toovercorne theirbhrrle and reallse their amb￿0￿ Relatlonshlp Orientatlon As an or8anisatlon. we p051tion people at the heart of everthing we dD. forKlng long.term relotion5hlp5 Wlth all of our stakeholder uoups bycommunicatlng with clarlty. Managed Risk Champlonlng ownershlpi we take pride in our work and re$wn$lbillty fof our actsons, encoura8lni all members of st•ff acuvely conirlbute towards the future of the organ15ation, Our Str?tpqic Diffprentiator& & UEP What makes us djfferent Is the way we comblThe the de51¥ery of sodèl values and commerdal actlv4tles to delher value to custorners. All of ourcommerclal surpluses a￿ invested Into sustalnln8 OUT charftable ￿1VItIes. Objertive< R, ALFj¥,Ities To Provldp Public Benefit StepsTo Work. throuzh its actmties aim5to.' Supportthose who fatr multlF4e barrlersfind sustalnable. rewardln8 arld rneanlrwful￿b5. De¥elop and ddlver a Mrfde range ofempbyment pro¥rnmmes se￿nIthe 81ack Countryand ¥￿er West Midlands re¥ion. Provlde pro8re551on opmunitie5for IDcal people cf the West Midla￿jS, Includlng re5idEnt5 of Sl•ffordshlre, Dudley, Sandwell, Walsall and Wolverhatnpton. Develop collaborat1¥* partnerships other local or8an15ats0￿ to support theeMploya￿l1ty needsof residents. Provhle local peoplewithtempoiary acenLy worker Op￿rtUnItIes1hr0uIh ourtradinlam. , STEPS TO WORK SPR>. Structure. Governance & Management GovernlnE Document steps To Work is reglstered a5 a Company ￿rnited by 8uarantee In Ert￿afftd and Wales IRef.- 37382491 and Is wemed In ¢¢ord•n¢e vjith its Memora*dum and Article5 of AssociatIL￿. Or¢anlsatlonal Structure The Board of frustees meets bi-monthly 8nd rece￿$ clear and conclse reports from the Chlef Executlve Officer and Exttutive Tearn on Strateg￿ and operational Issues. Each report contalns key financial and perforniance data for our ddivery PTO8rammes. together wth a serles of reCtrnMenda￿Ons on which the board are required to make decisions. The tasks and declsions a550ciated wlth runnlng the compony are delegated tg the Chief ExetutNe Officerwith supportof the ExecutNe Te3m. Thls structure allows deci51onsto be made In line wlth the company MemofandumandArtkle$ olAssoclatlon, togetherwiih Ihe agreed pollcle5 and procedure5 thatcover.. Business Oe¥elopment Business Mana8ement Contract & ServKe Le¥el Agreement Obligations Resource De¢lsions, Includlng People, Property and IT Marketln8 ActI￿tIeS Quality of Serwres Envlronmental Impact Health & Safety Sale8uardlng Appointment of Trustees New Yrustee53re appolnled throu8h a process of OPEn recrultment. TO become a Trustee, candldates must elther Ilve or work w￿h1n the West Mldland5 and be a supporter of t work belnE delivered by Steps To Work. wh115t havlng the required 5k1115to enhance our governan￿. Expressions of lrterest for new Trustees are SDtsght throu8hout each year. Anyone exprè551ng an Interest Wll Iven 8 copy of the lob description and person specification and )sked to complete an appllcètion fomi by an agreed closin8 date. Inte￿eWSwiII be Set up wth è panel of existiw Trustees and the Company Secretary whowlll tske a¢count ofthe candidate's 5ki115and abilitie5 asthe basi$fora ￿¢0mmendat￿n to theAnnualGeneral Meetlng held In September each yÈar. Job de5criptionsand job spetificationsare produced forthe maln keyrole5and for8eneralTrustees. Apwlntment5 are made based on individuol skills hnd abilities. A Trustee￿ handbook Trs used that OU￿[ne5 the fole of the Trustee alonl with a Tru5tee5' inducknOTr book, whith provldes furtherlnformatlon hboui the role and it5 responsibllltles. A bud8et Is set asldeto develop board members and pro￿de tralnlng where ￿quIred, en5urfn8 that all Trustee have a common understsndlnE and etho5. I STEPS TO WORK SPR>. & To en5we continuity whilst attractinB new Trustees. a rollln8 PTO8ramme of annual changes has been 48reed whereby¥ll members￿11. over a three-year programme, be Subject to wss1ble retlrement. Durlng 2021-22, our prlorlty has been to ensure we have attracted new tTUStee5 o range of 5k1115 Ind c#mpeteoces to the Steps To Work and SPR Boards to conform to the Charity Code of Governance's prin¢lple& We wlll contlnue to focus on best PT3£tice regardingdlversity of rewesentatlon ènd thinking. Restructure of Committeès Ourlng 2021-22. the ExecutNe Team alongside the compleuon of the Strategic Plan for 2022-25 and thè prÈwratl¢n of the Tran51ormatlon Programme 2022-15. revlsited ihe comrnlttee strucbJre. The prevlOU5 structurè had servl¢Èd a period of stab11$5atlon. The keythemeslorthe next 3 years Isgrowth and Impact. To suppvrt th15 the cornrnltteÈ 5tructure15 now.. STW Board SPR Board Finance OvÈrslght Fore518ht Board of Trustees Prof. Paul Cadman Ichalrl Mlke fjahir (Qut¥olng Chairl Sally 8eavan (Vice-chairl Amy Deakin Matt Green Ryan Ha￿e¥ Serlal Entrepreneur DIreCt￿ (Lakes Showerini Spacesl Head of Bu51nes5 Management &Credit Enablement Isantsnder) Channel Partnershlps Manager (Westem Unlonl Chief Exe¢utfve Officer Ildex COnsul￿n￿l S)Ilcltor (Mi115 & Reeve LLPI rE Ben Jones Darren Lake Prof. Deborah Lock Rob pollard Julie Teague Shar¢n Thomps)n Dlrector of EnerBy Servlces- Re51Bned March 2022 Chlef Executlve Officer (Pure Cloud Solutlon51 Dlrertorof Business School (Blrnilngham Qty Unlversityl-joined January 2022 Direttor (Lightbox Dlgkèll Man8EinÈ Director ILl8htbox DI8￿41) Counclllor IBirmin8ham Councill- Re5iinEd 5eptÈn*Jer 2021 Trustees whDjolned the Board durin8 2021-22￿11 be ratlhed at ihe Steps To Work GroupAGM In November 2022, Including Interlm Chair. Rp,triii lurp of ExpculiveTpim Durln8 2021-22, the ExecLrtlve Team wasformed with the headhunti￿ of a Deputy CEO and Chiel Operations ci[fi￿r. Expcutive Team Bhanu Dhlr Caroline Hill Andrew Sh8W Nadlne Watts Chlef Executlve Offlcer Chief Flnance Offtcer Deputy Chlel Executive OFfl¢ef Chiel OFerations Officer Wlder Management Team Mkhelle Bennett Debble Brid82n Tom Byrne Gemmè Calwn Janet Chell Zoe Cunnlngham Team Leader (JETS) Head ol Flnance & Payroll Marketln8 Manager Operation5 Project Lead Contratt Co-ordinatorlSPRI Performance Operatlons Manager STEPS TO WORK SPR>. Cieran Donnelty Peter Outton Kate Dzluba Ern1￿ Edwards Ayesha Farooq Stephanie Hammond ShellÈy Henlan Ja551 Kalnth Veena Kaur Helen Kennedv Diane Morris Nlkkl Nahal Ral Saral Stscey Waln Sean whI￿V Colleen Whlte Cry5tlni Woollry Operatlon5 Manèger ISPRI Partnership Co-ordlnator18BO Evc4vel Area Manager IBBOI Team Leèder (Kickstirtl Health, SalEty & Wellbeing OffI￿r Heèd of EDI & Community Impact Area Manager IWHPI Commerclal Operatlon5 Mana8er ISPRI Team Leader (JET51 Partnership Co-ofdlnator IBBO E*nlvel Bid Manager A5515tant Mana8er (Aestartl HR Manager Partnership Co-ordlnator IBBO Brldgesl Hearj of Sales, Tralnin8 & Development Partnership Co-ordTrnator18BO Bfidge51 Heid of Quallty & Governance Re.gistered Office Floor6 Townend House Park Street Walsall WSI INS Independent Auditor Oain5Audit Urnlted Iforrnerfy Daln5 LLPI 15 Colmore Row Birmingham B3 2BH I STEPS WORK SPR>. Our Programmes 8ulldlnp 8etteT ODportunitlÈ$18BOI BBO Is a Datlonal pro8ramme funded bythe EUrOpean￿ClaI Fund and The National LotttryCommunltyFund. Steps To Work are proud to have been aw8rded two grants, enabTln8 us to ddlver BBO prrjjects acT055 the Black Courbtry ènd In Staffordshire. Ouriwo projects. Brldges and Evolve, conslstof a number of partnerorgani5ations dellvering speciali5tsupport Se￿￿5 and Inierventlons to Participants who are po&tioned furthest away from the labour market who Dfters la￿ multiplè barrler5 to employment. To date, the Bridges Proje￿ h•5 recelved over £19 million to deliver se￿￿$ across the Black Country,. this Is the lar8est amount of fundlng awarded across the country for a BBO programme. Evolve ddlvers semces In the StaffoTdshire area and has received over £6 mllllon In fvndlr4. BRIDCIE The BulldlnK Reachible l•dividu)l Dwms G81nin8 EM￿0¥meTrt & Skllls IBRIDGESI prolectlslormed of IS dellverypartners, operating xr0$5the four Black Country boroughs ol Dudley. Sandwell, Walsall and Wolverhampton. These ￿rtnerS prowde a locallsed, multl-faceted, targeted and adaptable pro8ramtne offErin8 varied and individually tailo￿ approache5 and servi￿$ to meet the needs ol participants. The partners work together under a shared aim to offer 5tippcirt and assistance to those mott In need acr05S the Bllck Country afid, where requlred, can connert them to speclallst seNlce5 In thelr bcal area. The project seeks to 5UPPOrt the m05t di5advantè8Ed people who are not In anyform ofwot*. aged 25 years and over, and lace slgnfflcantbarrierstoemployment. Therei5no pre5rrfbed limittothe amountof support èn Indlvldual can re￿￿te￿h11$t enzazed upon the pro8r8mme. and partlclpants may remain engaged for Six month5 or three years dependent upon thelr barriers and need$. Thls prole£t was orl8inally funded vnlil 31st December 2019 by the European Sodal Fund and the Natlonal Lottery Community Fund and Commen￿ in ju￿ 2016, with all delivery partners operatlonal by January 2017. In 2021, we we dwisÈdthatihÈ progrbmme had been ektended until 2023, with an add￿onal zrantallocation recelved tohelp tondnut the WPPDri that particlpants are already receivin¥ throughout the region. Between Aprll 2021 and March 2022, 80d new slèrter5 en84ged with thE progrèmme, eath of them reCeI￿ry Indlvlduallv tallored support.. 191 partlclpants have pro8ressed Inio employment and 117 Into educatTron or tralnlng. Since July 2016 to March 2022, a total of 5,136 particl￿nts have been 5UPPDrted by Brld8e& wlth 1,814 progresslng employment. education ortraininE and 4 fvrther 18B Into Independent job search. Ivolve The Evolve programme, made up of 8 Partner orgofjlsatians, supwrts partlclpant5 who face multlple and complex barr￿r$ to employment and soclal inclusion. As of 2021. 5tepsToWork beganto undertakean attive dellvery role in thlsprogrèmme. hawin8 previously been the lead oryanisation Sole￿ ￿SpOnSIble lor managlng the £6.261.433 grant. The project, which commenced in January 2017, i5delivered atrossthe Lichf1eld. Cannocl Tamworthand East StaffoTdshire D15tricts. Orfglnally belng funded by ihe European Socldl Fund and the Notional Lottery Community Ftsnd untll 31st De£ember 2019, It W05 announced In 2021 that thSs prc8ramme too hasbeen extended untll 2023. SlrnllartothE aforementioned Bridges programme, Evolve Seeks to supportthosewho are BmonEStthe m05t Olsathantaged &￿thIn the local communitywho are not in any formof employmÈn¢ aged 16 years and over. and fo￿ slgnlflcant barrler5 to employment. Between April 2021 and March 2022. 232 participants engaged With the Evofve PTo8ramme, wkh 69 ho￿n8 progressed Inio employment and 62 Into educatk)n ortralning. Slnce the prole¢tcommenced, a total of 1,545 p8rtkipaDts io I STEPS WORK SPR>. have been 5UPPOrted by Evolve. wlth 593 hawng pro8re55ed into ernplDyrrent, edutatlon or trainin8 èftd è further 83 into Independentlob 5eèrch. In total, Brld8es and Evolve have supported ) total of 6,681 partl£lpènts betweenjuly 2016 to March 2022, vAth 2,407- •lbelt 36% of participants- wogressing into employment opportunitie5, educati￿ ortralnln& and 271 moving Into Independent job search. Black Country Fiifiirp5 Funded by the National Lottery Community Fund, Black Country Futures was lèvnched in Mèy 2020 at the helght ol the COVID-19 pandemic. Provhlln8 SUPPDrttoBlackCountryresldÈntsa8ed 16and above, thls prolectserves to ra15ea5piraiitsns, develop personal and employabl11ty5￿1l5, and imwovethe economk stab15ityof participants, enabllngthernto xhievethei¥ true potential. Promotingan in¢lusive approach. the Prolectoffers specialist supportforthD5e in need of extra asslstance. In¢ludln8 pec*ple at rlsk ol redundanry or on zero-hour tontracts, 85 well as IndI￿dualS who are unable to access support elsewhe￿. Bv workln8 closely wlth our 14 speciallst delivery portner5, 81o¢k Country Futures offers a wlde range of support semces that meei the Spec￿1¢ needs and requirernents Df indivklual particlpaNs. Thls covers benefit5 ad￿Ce, hou5Ing 5uppor( d18￿11 skills, and employabllity/skllls tralnlng. Between Aprll 2021 and Mor¢h 2022, B23 new starter5 commenced the programme, each of them recei￿nI indlvldujlty tallored support,. 143 particlpants have proBre55ed inlD ernployment ènd 147 Into educatKsn or tralnlng. Since the project launthed in IAay 2020. 1,678 partlthpant5 have erKyaged wlth Black Country Futures. of these. 251 have pro8re55ed Into ernployrnent and 260 into educatlon ortr3ininE. In addltlon, 69% of participants reported that thelr Confiden￿ and mctwation hatl increased as è result ofthe support they rKelved, whllst 1,091 saldthot they feel more optimistlc about thelrfutures. Work & Health ProEramme IWHP} Co-finanred by thÈ European social Fund. the Work & Health ProBr8mme is a Welfare to Work programme commissioned byihe Departmeniforwork & Pen5I0ns IDWPI. It15 designed to improveÈrnployment 0￿COmeSfor individualswith phy51¢al and mental heakh condltlons or dlsabllltles. as well as those who hove been unemployed lor rI￿e than two years. As one Df elght Dellvery Partnefs, Steps To Work h8vÈ been r￿pOnsIble fcf Ser￿ prtsvlslon across Sandwell and Dudley slnce January 2018. The approach Implemented byWHP is heavily tailoredio meet the specific key Ilfe area need5 of Indl¥Adual partlcipants and 16 dlfferent to other programme5 because it recoBnisesthat everyone... Is dlfferent.. Hasthelr own Set ol challerys: Has thelrown iThJI￿dUal reasonsfor beingoLrt of worL. Will have a dSfferent path to finding a job. FIBures representatlvefor perlodfrorn l$tAwil 2021 to 31st March 2022.. siart5 422 Job Efttry- 1st lobs 245 2nd Day Jobs Total lobs 329 li STEPS TO WORK SPR>. WHP Job Entro. Tarivtpd Support IIFT-. I A5 anexlension totheaforernentioned Work& Health Programme, steps To Work are wrrklnK8$8 I¢Kallsed Su￿¢ontr4¢lor to Shaw Trust for WHP JETS, a Government-funded scheme launched in November 2020 to support those left jcbless as sult of the CQVID-19 pandemic, Through JETS, a maxlrnum of &months Ilghttou¢h' employa￿lttyS1lpP0rt Ss belng delivered to Black Country resldentswho have been out of work and in rereipt of benefits fDr at least 13 week5. wilh 5ethces belng delivered dlgitally to 8roups of partlclpants. Thi5 5UPPOrt ￿ntludeSIntQrvkewCO3£hlnL wellbelng workshcps, and sesslons thatfocus on confidence bulld1￿. For those who require additlonal guidance. more Intenslve one-to￿ne 5UPPOrt 15 being prowded withln COVID-seeure e￿rOnMeThts thatadhere to social distantin18uldelines and safety regulatlons. Between Aprll 2021 and March 2022, 28,504 indiwduals have re￿￿e￿ support￿8 JETS. amuntln8to a total of 36.574 dellvery began in hlovember 2021. As Steps To Work are è Specialist interyention provider in the scheme, the orynisjtion does not collect data relatlnB to job outtomes orfurther tralnlng. DWP Kick¢t3rl Schemp Launched by the Department ftsf Work & Pensions IDWPI. the Klck5tart scheme Is a £2 bllllon fund to create hl8h quallty month work pla¢ement5 for young people aged 16 to 24. A5 an offirial Gatewayfor the Scheme. Steps To Work are helplni Èmployers ocr0s5 the country acce55 Governrnent lundlng to Create these placeff*nt opportunlties. Thls fundlng pays employe15 IIKM of the Natitrnal Mlnlmum Wage for 25 hour5 per weel plus associated employer National InsurgrKe contrlbutien5 and mlnimum automatlc enrolment contrlbutions. As part ol thelr Involvement in the Scherne, Step5 To Work 31so donver a wrap-around employment support PTO8rammè to each youn£ person during their placement. This iTrdudes a skills Jsse5sment. CV writlng support and intervlew techDique workshops, as well as sessions focused on teamwork, oriariisation, communication and employabllitysklll5. Wlth the Scheme now enterln8 Its flnal Months. Step5 To WDrk have supported 63 ernptoyers to ffi11247 pl4¢Em¢nt opportunitiesforyoun8 people acro￿ a lange ollndustrysectors. Includlng rall, retall and recrultrnenL Ofthe5e placemènts, 8Oyoung pÈoplÈ ha¥e managed to sustatned permanent employment withln thelr platement compaThv. Connertln8 Communitles The Connec￿ng Communlties programme, funded through the West Midlands Comblned Authorlty. Is a p￿en1-bY-re5￿lts contrart rnanaged by Steps To Work with dellvery being undertaken by Community Together ac. The programme 15 ddlvered In Glaxote, the most deprlved area of Tamworth, and 15 open to people byho Ilve in tx have a connectlon to that awe?. Fourcohorts of partlclpants are includeLI in the progrjmme. Includlng-. Hardest to Help lunemployed for 2 veèrs or longer). Hard to Reach (unemployed for I to 2 yearsl.. Rapid Progres%on Ivnemployed for les5 than a yearl,. Employed ProRresslon Ith05e in work who wish to take on more hour5 or payl. Between 1st Aprll 2021 and 31st March 2022, there hève been 35 new stans on the Connetting CDmmunltle5 programrne, wlth *here belng 25 job outcomes. 43 job reteniions and 15 progres51ons Into work. Steps TD work ha5 generated £10,187 in income from the WMU Cornn￿￿n8 Communitie5COlltract durlng 2021-22. Slnce launchlng in 2018, the prolrnmme has en8aged with 438 pJrticlpant5Jcrossthe 4 ￿￿rementIoned Cohorts. The￿ hjs een a real struggle to enEage wlth the h6rd-to-reach particl￿Tht5, but the programme has exreeded by en8•Bln8the r•pkl prO8￿SSIon cohort and ¥Ath rapld progresslonh)b stsrts, theretw ￿denC￿n8 the posltlve Im￿tt It has had upon the labour market ol Gl•sCOte. 12 I STEPS WORK SPR>. DWP Restsrt Scheme launched bythe Department forwork & Pensions IDWPI injuly 2021 as partofthe GovemmenVs'Plan foTJob5',Ihe Restart Scheme Is a £2.9bn progTammÈ designed to hÈlp the mlllions of people a£ross the country whose ernployrnent prD5pect5 have been dlrectty lrnpacted bythe COVID-19 pandemlc. As • lo¢ali9ed SU*￿tontractor to Serco, Steps To Work are prowding Unwersjl Credit tlaimènts who ha¥R been out of ￿rk for at least 9 month5 Wlth onhanced support tts flnd lobs wlthln thelr Ic. Our Commltments Our Commltment to Investors In People, Leaders In Diverslty & Disabllity Confident At Steps To WorK we prlde ourselves In belni an etrwloyei who demn5trates falme55. equallty and excpllent tommunicaiion, and supports ￿ employees in their development. We are 3 Dlsabllty Confident Leader and hold Invegtor5 in People èt Gold Standard and Leadersin Dlverstty Standards. Theseaccredhations are beneficlèl to gtepsTo Work not ofily because they sUPPOrtour bhl and tender appllcations. butthey also help us to 8ssess ourprxtlce5 on a continual bo51s and constantly srrsve t? Improve. J INVESTORS ¥ IN PEOPLE Gold Leaders in Oiversity Our Commitment to Quality Standards (ISO 9Crf)11 We are committed to Using ISO 9001 to improve the qU311ty￿-$ery[ce provlslon to all our LXJStomers, both Internal and emrernal. on a coniinulw basls. We do this by having a team of colleagues are trained Internal qualltyaudltors. plannln8 è yeèr-long cycle ol audlts on all aspects of Steps To Work activitles and by revlewlng. implementlng and ev•luatln8 theirflndln85. Audlts cover custorner activitle5 on all delivery programme5, Customer satlsfattion and complalnts, as %Yell ès corporate functions Ilke HA and FInan￿. The audlt hndines are rev*wed by SeTh￿r le￿IerS and good practice 15 ￿mplemented acros5 the company. We consult wlth our customer5 on a rezular ba51sto ensure we are meeting thelr expectation5 by holding re8ularforums and a5klngforthelr ftedback. We erwre that our mana8ernent information Systems are revlewed regularly and reflert custome¥ and quallty requirements. Iso 9001 .' 2015 fGIST ERE I) Cerffft*Nty.375482021 Our Com mitmènt to Environmentally Sustainable Development We reto¢ni$e that the environrnent Is a major factor sn detemilnlng the quallty of Ilfe In and around the ¢ommunlt5es and areas in whlch we Operate. We are cornmltted tc envlronmental 5UStalnablllty and alm to ensure thai our actlvltles do not use pollutlon or have detrlmental effect on the envlronment and the Communtfiesthe￿ln. Our apprttach eDntlnues to be to reduce the impact ol our own and Dur partner5, actiTrAtles by placini the 'EnvironmenV at the heart of our approath, complementèd by the adoplion of an Enwronrnental MJnJ8ernent System and objectlve5 that are In Ilne ￿th the rÈquirements of the ISO I4￿1 Stondard. Cemmltrnent to the en￿rOnMental pollcy and the mar￿￿ernent System that Iles behlnd It comes from the leadetshlp of t or8anlsatlDn andls cascaded down toall levels. Whilstthe overall objectlve Is not to create pollutlDn, we havefocu5e¢J UPDn numberof key aspectsthat occuras a rÈsultof Duf JttlvltlesandwrktDmlnlmiseanyresultant ne8ativetmpattor Incre•se èny positlve impètts. Partit4Jlararea5 tsf focus have included.. Energy & Natural Resources M8lntenan¢e A¢tiwties Waste Managernent 14 I STEPS WORK SPR>. Procurement Travel & Tran$P￿￿n Nuisance n Identlfylng keyarea5. 50meolwhich are Identrf￿ above,we have con5ideredwh4tweneedtodoto tneetour¢ornpli•nEe obleJlvès. Thls proces5requlres a regularrevlewof14islatlve, stèkeholder. customer andcllent requlrementsto ensure our approach remalns current. Personnelwlll continue to be encouraeedto contributeto en￿ronMental perfomièncethrou8h the proV￿510n of information, tralnin8 and awareness se55ion5. Further iommunication i4 p￿r￿di{ environmèntal bullÈtins. team briefin8s Ind en￿rOnmental Trotlceboardsthat are located around our sltes. Informètion <•eurlty Manaqernent System$11S0 ?70011 ISO 27001 15 the internatlonal standard fDr Informèiion Secuflty Klanagement. We work towards the prlnclples of thls standard, as It provides the frarnework that enab￿ Steps To Woth to assLwe itsewthèi our Infomiatlon security measures A￿ effe£tive. We Implementour Informatlon Securitymanagement Systemthrough prograrnme speclficsecurlty Plans, where app1Icable. These are a requirement of a number ol our programmes. The￿ are overall polkles and procedu￿$ in place ihat toyer InforMat￿n Security. Inforrnation and ComrnunicatiDn Systems. Information Seturily Incident M8n88ement and Data Protettionl GDPR. Buslness Continutty Manalement Systems (ISO 223011 Weworktowardslheprl￿IPleS of the B￿{ne$S Continuty Management stsndard, as Itpro¥lde5theframewcrkthatenable5 StepsTo Workto identifypotentlal threats, aswdl asthe Impattsto bus1ness0pÈr￿1onsthatthOsethreat$. If reallsed, mlghi cause. We have a Business Continuity Plan to as*st in the re£overy of our busine55. Rlsks & Opportunltle% tr•tPEir Ri¢k Risk Impact Probability StètL For*afd Plafi The relèiionship withthe contract mpfia&eThenttp3m15 verygoDd., ¢hildren'sservlces have ¢ommitted to U5.. we are looWnz at W3y5to turn our agencys13ff Into a55ets. The needsof the ocon¢mlcally Inacifv? are notdÈcllnin8. We wlll fund contlnuatSDn of Service From r*erves. Ilw* lose the Mvcontrnttwhh Walsall MBC. ourca5h f￿W may resu￿ InSTW becDmln8 non* able. 5Pft Fundin8forthètwQ BBO PrD8r3mm2S IBdd8es and Eva￿) fln15he5 InApril 2023 Fl•an£e People custornefs, 5takeholdersand ourown teams. If do not modify bu5ine5S proce55e5 lO￿l￿wIng the pandemio we may ￿seEr￿ll￿d. Maikitin8 Implèment3tiDn Otn￿ brand strote wllh externJl suppoff Implementatlon of a nevi bu5Ini55 odel. Mornltor culture change throuHhSLT,. implemEntatlon of HRstr¥ttry. Implementation olnew values 2022.23 chan8e, we ore unllkÈlyto sel ppDrtunftle5 and BrDw. tfwe do Doi complywlth the Charbty Code of GD¥ernance, we Will undermlne ourstr4tP8i¢ aims. PeDP GovÈrnincÈ Continuou5 ImprovEment rnanayd by er51ght Cornm1ttee. Opportunlties Desplte the ongolng CQVID-19 p3ndemlc signlficantly lrnpacting upon the global economy, the Stsps T¢ Wprk Group were orice aEain 5ucre5$1ul in prolbt and contlnued wlth the positNe transformatiDn repDrted on In 2021>21. Durfni 2021-21 5ucce55fully contributed towardsour 2019-22 strategic objective5 bv.. Addin8 El.2m to reserves, thereby beatingthe 5tr1tewc tarw. Oevelopment ol new busine55 Opportunities In enterprlse, appren￿ceshIps and supportlngeducaiion. ContiThulng to outperform cornpetitorson WHP and Restart. StrengihenlnE ourtradin&arm r4pocity. We are well p05itionedto tske advantage of the lollowin8 OPPOrtunttles In 2022-23.. Oemonstratlon of thought leadership in EDI and the role of co8nitl¥e dfverslty In dellyerlng supertor pertormance. Modernisation efficlet)cy and impreved user e¥perien¢eihr0￿Ih inhwtment in appropriate software 501utbns and exploration of cloud techrK>Io8y. CoThtlnued success In securing contract opportuniues lor STW aThl Commerclal opportuntttes forSPIL Maxlmise oursocial Value dellvery and utili5e our5urplustolulPIl our wrpose and deliver self-funded projects nd initiatives. Extend brand reach and re(OEnition for STW, SPR and all lssoclated projects. FurthÈrde¥elopment of our stakeholder and ernployef enKaKernent 5tratewek CaThtlnuDUS Improve￿￿nI to aid #ro￿, stabilise internal prO￿$se5 and eliminate waste. Implement a clear on8olng strate8y for 2022-2S based OTh improvlng sustalnablllty and Increasin8our Irrps¢t. 16 STEPS WORK SPR>. Our Future Compared to threeyear5 880, this is a transformed org8nisatlon. We have turned ar0undlinan￿s and culture. Our pipellne 15more robustand ouropeiational management Isstrofi8er. 5eLF-finantlngremainsa long-termgoal and asthe dlfferentlated buslness model brought about by cornblnlng Steps To Work and StartlnB Polnt Recruitment becomes clear, we rem)in committed to what we 5t8ted last year: A WD-prDiect based StepsTo Work that Improves the empltryment capabllltlesof eNwyone we en8age wth,. Trading arms with effertive employer engagement.. loy81 employer customerswho rely on ourthought leadeT5hlp and expertlse In deployment to enhance thelrown eapabllltie5 in a rnore uncertaln future, P8rtnersth8t havethe capacity to particlpate as egualswlthin our5upp￿ chalns. Reducln8 Our Flnancial Vulnerability Wè have exceeded ourtargei to increase nnanci81 reserves by£lm by Mèrch 2022. Incre35inp The Profitibillty of Cur Tridlni Arms The WDfltsblllty ol Stsrtln8 Polnt Recrultment durlrw 2021-22 has eKceeded all yevlous year5. We ¥re well posltloned to deliver o profit ol £lm prolltthai eluded us durlng 2021-22 and10gk at how we can achieve a £l.Srn profit during 2023-24. We expectto starttsvo new tradiTr% arms In 2022-23., tr&inin8 and enterprk%e and I look forwafdto ￿portIng progress. Merging Wlth Another Organi￿tIon Our 5trèngthenÈdllnèndal [￿ltIon wlll en4￿e us to coTr4derthls a5 èn opportunty. s￿)uld sultsble portners be Identlfled. In addltlon, we need to partner wtth MO￿ and more not for prgfit organlsatlons to create a value ¢haln across the Wert idIands. Addressing Our Penslon Deficit Our pension deficlt ha5 decreased slgnrflcantly from 2020-21 to 2021-22. a rEversal of the prE￿ouS yearf5 set back. Whllst we hh¥e a potential liabilityth•twouldcrystalise atthe pointweeltherdosethe LGPS scheme orthe last person lea¥e&The Board 8re al￿et0 the Issue and are Co￿lde￿In¥ their 5trateBy. Strategic Objectives 2022-2025 Improve oursustalnabiiiry through the addltlon of newtradln8 arw&,' Increase our Impact through reaching out into ¢ommunitlesand estab115hlTrg a r*twork of hubs.. Estsbli5h opportunitie5throu8h the UK Shared Prosperity Fund; Complete ourbuslness model that reathes Into ¢ommunltles and develops a loyal band of employer¢ustomers,' Preparingfor challenge5 beyond 2025. 17 STEPS TO WORK SPR>. Flnancial Revlew NEf Movement of Funds Durin8the perlod thechèritycontlnued to complywlth Flnanclal Reportlng Standard 102and the Companleskt120061,' thls h45 meantthe pen$lon reserve hès decreased from £3.579.QOOto E2.458.fyJD Basis of Preparation TheflnarKial Statements have been p￿Pared In accordan￿WIth Flnanclal Reportln8 St•nd•rd 102, thls has notlmpacted on the reSuItsf￿theVeIr. Totsl Funds at Year End Unrestrlcted general lund5 have I￿reased IrDm £1,829,205 to £2,600,327 followng the surp]u5 before actuarlal penslon losse5 recorded in theyejf. Grant Income All grant Income comes from either service level aireernents or frorn irant agreements wlthin the public *ctllr. Incorne15 derlved from expenditure Incurred to support local people wlth up 5kllllng or In Improvin8 their asplr/tlon to secure sustslnable employment. NET Incoming Resources An Increase has been seen inthe net Incoming resources due to newcontracts belngundertaken bythe parent ch8rlty. Resources Expended Total resources expended durfngthe per*d have Increased dueio new woletts be8lnnirvd In the tharhlble parent 18 STEPS TO WORK SPR>. Summarised Accounts Step8 to Vlorf4 (A compony lkniited by guoranleo) Consolldotod Stot4mgni of finaiiclol odlvltlo8 {IncOrpoT￿1ng ineome ond &xponth￿10 fjccoumtl For the yew *nded 31 March 2022 Duglgnfyted iunds 2022 R¢Jtricted Unroglrlct8d nds fuiids 1022 2Q22 Tolol fuiids 2022 Totol fund¥ 2021 Nots IncoHW ond D¢patbDn5 and 329 S329 4,819,785 12,2H1fAI 130 186.65 2.282.764 11.895.861 615 Ch*ik4)le activif¢es 4.816,935 11204,160 130 Inveslrneftts Totol Income omd 4015.935 12.211469 17.029,404 14.365.890 ExpendliuTr. on: Ra51fj9 lund¥ charit.￿?￿ acth.vili 11.2M563 97,620 11,258,563 4,808,119 11.534,349 2.502.7r9 68.555 4,641,944 Toi41 Èxi>endityr¢ 68.555 4.641.944 11,3S183 1&Or￿,68% 14.037.108 Nèt lexpenthknt¥el (68.555) 174,991 85&286 962,722 328,782 341,155 1174,9911 1166,1641 Nèi movwnotsi In liinds bèlwe othw tècugni8od g&lp8 MI 109$65 AC￿￿￿121 nslltosegsl definÈtJ bttefil Pen￿0￿ schgn)ets Nèl movwnoni In liiAd8 212,6(lJ 6YO.122 962,722 328,782 1.202.000 11.608.iTrJO) 272,600 1,892,122 2,164,722 {1.279.2181 Reconclliation thndy T￿1 fw)ds Iwhl 55.149 11.749.795) (1.6946461 1415.4281 N81 Mo￿￿￿nI in 272,6(10 1.892,122 2.164.722 11,27921B} iunds cwrl•d frK*a 327.749 142,327 470.076 I1,694.￿6} 19 STEPS TO WORK SPR>. St•p• Trtowk {A ¢ompMy IIMll•d by uu4r•nt••l R•ui•tsrndnurnb•r. 03738249 Con•olld•t•d b•l•no• *hMI A• It 31 2022 2022 2021 Not• 14 100M96 55.149 C￿￿￿t 4¥•01• St¢x*s Dètlors Cisli ot be￿1 ond li hand 10 17 11.fjos 1,927,514 3,2•2.106 1.043,841 2.039514 ,231A75 3.088,951 C1￿￿or5. wnounts duo withln 18 12,404,294> {1,859,7481 2,827,181 1,829,205 Yotsl ••••M ¢uff•n¢ll•blll• 2,•2BP76 1.884,354 13,579,IXQI Dofinod bw0N ￿nsk)n sclwio l•blrty 20 470.076 1,89a,6461 Chirlty fund• Dgstyjngtod FuRd5 Ro$lr*tod lun¢J5'. unre91￿1￿ funds eXc￿dty pen*on fiabuty Pgnsbn r090Ne 327,Y49 $5.149 2.100,327 12J58.OQOI 1,829.205 79.ofp)I 22 Tolfil uDroslri¢a*J funds 22 142A27 11,749.1951 470076 11,89d,6461 TruKtp*s' Statempnt These summary flnanclal ststernent5 are not stètutcry flnanclal stètement5. We conflrm that the Informatlon Eontalnèd In the summary flnanclal statements Is taken from the audlted finantial statements lor the yÈar ended 31 March 2022 and include5 detai15 relatlThgto both the Con5011dated Statement gf Finincial Actiwtie5 and the Con5didated B314nce ShEet. The full financial statements were approved and signed by the Trustee5 on 14 October 2022 and I￿11 soon be Submitt￿ to the Ch8rlty Commlsslon and Companies House. ThÈy re￿fved an unquallfied audir repgrr from Dalns Audit Llmbied on 14 O£tober 2022 and coples can be obtalnedfrom Steps Towork. 20 STEPS WORK SPR>. Dlsclosure of lrtformation to Auditor Each of the persons who are Trustee5 at the tirne when thi5 Trustees, report 15 approvets has ¢onfim)ed that.. so fèra5thatTru5teei5 awa￿, the￿ i5no relèvantaudlt infortnation of whichthecharity's aL￿110r lsunawa￿, and thatTru5tee ha5taken allthe Steps thatouBht to hfft beent¥ken as a Ttustee inorderto be aware of anyrdevbnt audit information and to estsbli5h thatthe Charity's auditor is aware of that information. Audltor The trustees, havln8 been notlfied of the cessatlon of the partnership known a5 DDlns LLP. resofved that MHA Ma¢1Th￿e Hudson be appointed 0$ sU￿e$SOr auditOT Wth effÈtt from tsl Aprfl 2022. Thls Is in accordarKe with sectlon 4B5 of the Companie5Act 2￿6. On Behalf of the Board of Trustees Prof. Paul Cadman Chair of the Board of Trustees 23 November 2022 21 STEPS TO WORK SPR>. Steps To Work & Starting Point Recruitmerrt, Floor 6, Townend House, Park StreeL Walsall, WS11NS 01922 627555 www.stepstowork.co.uk I wwwstartingpointrecruitrnent.co.uk Charity Number: 1100403 Stgps to Work IA company Ilmlted by guarantsel Statement of Trustees. rpsponslbllltlgs For the year ended 31 March 2022 The Trustees (who are also the directors of the charitable comparby for the purposes of company law) are responsible for preparing the Tru$lees' repori including the Strategic report and the financial statements i accordance with applicable law and United Kingdom Accounting SlandarLls (United Kingdom Generally Accepted Accounting Pfacl*el. Company law requires the Trustees to prepare financial statements for each financial . Under tompany law. the Trustees must not appiove the financial statements unless they are salisfbed that they give o true and faif view of the slate of affairs of the Group and the charitable company and of their incoming resources and application of ￿$OUr￿$, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required lo.. select suitable accounting pOI￿leS and then apply them consistently,. observe the methods and principles of th& Charities SORP IFRS 102)., make judgements and accounting estimates that are reasonabl8 and prudent., stale whether appI￿able UK Accounting Standards IFRS 1021 have been followed, subject lo any material departures disclosed and explained in the financial slalemenl8', prepar? thg financial slalemenls on the going concern basis unless il is inappropri&te lo presumg that the Group will continue in bugln888. The Trustees are rèsponsible foi keeping adequate accounting records that are suffi'cient lo show and gxplain the Group and the charrtable eompanls transactions and disclose with rea8on&ble accuiacy al any time the financial position of the Group and the ¢hari18ble company and enable them lo ensure that the financial statements comply with the Companies Act 2006. They ar& also r8sponsible for safeguording the assets of the Group and the charitable cofflpany and hence for taking reasonable steps for the prev8nl¥)n and detection of fraud and olher irlegularities. The Tru81ees are re8pon8ible for the mainlenance and integrity of the corpofale and financial inform8tio includerl on the Group's website. Legislation in the United Kingdom governing the preparation and dissemination of financial slalgmenls may differ from legislation in other jUfisdi¢lion5. Page 1 stgP$ to Work IA company Ilmitad by guarantee) Ind&pendent audltor's report to the Iljem￿￿ of Steps to Work Opinion We have audited the flnancial stslemenls of Stops lo Work {the 'parenl charitable companVI and ils 8ubsidiaries {Ihe 'group') for the year ended 31 M8rch 2022 which comprise Ihg Consolidated slalemenl of financial actniities. the Consolidated balance sheet, the Charitable company balance sheet, the Consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framewoTk that has been appl￿ in their prep8ralion 13 applicable law and un￿ed Kingdom Accounting Standards, including Financial Reporting Sland8rd 102 'The Financial Rèporting Standard applicable in the UK and Republic of Iieland, (United Kingdom Generally Accepted Accounting Practice). In our opinion thg financial statements.. give a true and fair view of the stste of the Group's and of the parent Gharilable company's aff8irs as al 31 March 2022 and of thè Group's incoming resources and application of resources, including ils incom8 and expenditure for thg year then ended,. have been prcpedy prepargd in accofdancè Wbth United KingdL)m G&neTalty Accepted Accounting Pfgolice.. have been prepared in accordance wth the fequirements of th8 Companies Act 2006. Basis for oplnlon We condLKle(S our audit in accordance with Internation81 Standards on Auditing IUIQ IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the Auditorf8 re8ponsibililies for the audit of the financsal statements section of our report. We are independgnl of the Group in accordance with the ethical requirements that are relevant lo QUF audit of the financial slalemenls in the United Kingdom, including the Financial Reporting Council's Eth￿al Standard, and we have fullillècl our other ethical responsibilities In accordance with these r8quirements. We believe th81 the audit evidence we have obtained is sufficient and appropriate lo provide a basis for our opinion. Conclu81on8 relatlng to golng con¢em In auditing the financial statements, w9 have coneluded that the Trustees, use ol the going concem b89is of a￿OUnting in the prepafalKJn of the financial slalemenls is appropriate. Based on the work we hav8 pertormed, we have not identified any material uncertaintEs relating to &vents OT conditions that, individually or collectively, may Gasl sIgn￿lCan1 doubl on the Group's or the p8renl charitable companvs abilty Icl continue as a going concern for a period of at least ￿1Ve months from when the financial statements are authorisgd for issue. Our re8pon8it)Ilitles and the r8sponsibililies of the Trustee8 with respect lo going ¢on¢em are described in the re￿vant Soclions of thi$ report. Page 2 Steps to Work IA company Ilmlted by guarantee} Ind9pendgnt audltorf5 report to the Members of Stops to Work (continued) Other Information The other inlormalion comprise8 the infomiation included in the Annual report other than the financial stat￿ents and our Audilorfs report Ihereon. The Trustees are responsibl8 for the other information CL)ntained within the Annual report. Our opinion on the financial stalemenl8 doe8 not cover the other infomiation and, ex¢gpl to the extent olhernise explicrtly slated in our ieport, we do not express any form of assurance conclusion Ihereon. Our responsibility is to lead the other infomiation 8nd, in doing so. consider whether the Other information ss materially inconsi4tenl with the financial statements or our knowledge obtained in the oourse of the audit, or othe￿iSe appeafs lo be materially mi$$laled. If we identify such material inconsislencws or apparent material misstatements, we are required lo d818rmine whether this gives rise lo a material misstalem8nl in the financial statements themselves. If, based on the work we have perfomed, we conclude khal there is a material misstalemenl of this other informallon, we are required to report that fact. We have nothirvJ lo report In this regard. Opinion on other matters pre$crib9d by the Cornpanies Act 2006 In our opinion, bas&J on the work undertaken in the course of the oudtt.. the information given in the Trustees, report including the Strategic report for the financial year for wh￿h the financial slatsments a￿ plepared is consislenl wfth the financial slalements. the Trustees, report and the Strategic r8Fx)rt have beers prepared in accordan¢$ wtth applicable legal requirements. Mattgrs on whSeh we are roqulred to report by oxcgptk>n In the light ol our knowledge and understanding of the charitable company and its enwronmenl obtalned in the course of the audit, w8 have not idenlrfied material misstalemenls in the Trustees, report including the Strgtegic report. We have nothing to report in respeGI of Ihg following rnaller5 in relat￿￿ lo which Compani8s Act 2006 requires U5 to report to YDU if, in our opinion.. the parent charitab18 company has not kept adeguale and sufficienl accounting recordB, or reluTn$ adequate for our audit have not been received from blanches not visited by us., or the parent charitablè company financial stalomenls are not in ag¢eemènl wlth the accounting recoTds and roturns,. or cgrtain disclosures of Trustees, remuneralDn specified by law are not made,. or we have not 1oGeived Bll the information and explanations we requife for our audit. Rgsponsibilities of trustees As exploingd more fulty in thè Tru8tees' r8sponsibililies statement, the Trustees (who are also the directors of the charitable CDmpany for the purposes of company lawl are responsible for the Preparati￿ of the financial statements and for belng satisfied that Ihoy give a true and fair vi9w, and for such internal control as the Trustees determine is necessary lo enable the preparation of financ￿1 51atemen15 that are free from material misslalement, whether du8 lo fraud or error. In preparing the financial slalemenls, the TruBte8s are responsIb￿ for a8ses8ing the Group's and the parent charilabb company's abllfty lo continue as a going concem, disclosing. as aPpI￿able. matters related to going concern and using the going Goncern basis of accounting unless the Trust88s either intend lo Iyuidalè the Group or the parent charitable company or lo cease operations, or have no realistic alternative but to do so. Page 3 Steps to Work IA company Ilrnited by guarantee) Indopondent audllor's report to the hlombgrs of Steps to Work Icontlnued) Audltorfs responslbllltlos fol thg audit of th8 financial statsrnents Our objectives are to obtain reasonable assurance about whether the financi81 statements as a whole are free from material misslatemenl, whether due to fraud or erro(, and to Issue an Audilorfs roport that includes our opinion. Reasonable assurarsce is a high level of assurancè, bul is not a guaranleg that an gudit conduthd in accordanGe with ISAS (UK) will a￿ayS delecl a molerial misstalemgnt when it exists. Misstalemenls can arise from fraud 01 error and are consKl&red malerkgl if, individually or in the aggregate, they COLtld reasonably be expected to influencg the ewnomic deeisions of users taken on the basis of these financ￿1 statements. Iriegubritles, Including ffaud, are inBtancgs of nOn<0mpl￿nC& w￿h laws and regulations. We design procedurgs in line with our responsibilities. outlined above, to dolecl material misstatements in respect of irregularities, including fraud. The extent lo which OLtr procedures are capable of delecling irregularities. including fraud is detailed below.. Our approach to Klentfying and assesslng the rl8k8 of material mis8tatemenl in respect of Irregular￿les. includlng fraud and non-compliance wbth laws arsd regulalKJns, was as folk)w8'. the senior stalulory auditor ensured that the engagement team colle¢lThiety had the appropfiale competence, capabilf(ies and skills to ￿enIty or recognise non-compliance wf(h applicable laws and regulations., we identified the laws and regulations applicable lo th8 comp8ny through discussions with directors and other management, and from our commercial knowledge 8nd experience of the charity sedor,. we fwused on specific laws and regulations which we Considered may have a direct material effect on the financial statements or the operations of the company, including the financial feporting legislation. Companies Act 2006, taxation legislation, ant￿bribery, employment, &nd environmental and health and safely legislation., we aBses5ed thè extent of complianc8 with Ihg lawB and regulations idantSfted above through making 8nquiries of management and inspecting legal correspondence., and identified laws and regulations were communicated within the audit 18am regularly and the team remained alert to instances of non-complk2nce throughout the audit. We 888essed the Susceptibility of the companls financlal 8talemen18 to material misstal8ment, including obtaining an underslandlng of how fraud mighl occur, by.. making enquiri8s of managgment as lo where they cons¢dered there was susc9Ptibilty to fraud, their knowledge of aC￿al. suspected and alleged fraud., and onsidering the intemal controls in place lo mitigate risks of fraud end non4ompliance with law8 and regulations. To address Ihg risk of fraud through management bias and ovgrridg of controls, we.. performed anatytical proceduTes lo identify any unusual or unexpected relalionship3', tested journal entries to identify unusual IransaclDns', assessed whether jLKlgement8 and assumption6 made in deleryninirYJ the accountlng estimates set out in Note 3 were indicative of potential bias.. and investigated the rationale behind significant or unusual transactions. In response to the risk of Irregularltles and non-compliance with laws and regulations, we designed procedure8 which incluLled. bul wefe not limited lo.. ?grgeing financial statement disclosures to undertying supporting documenlaliorb-, reading the minutes of meetings of those charged wlh governance,. enquiring of management as to actual and potential liligalion and claSms.' and reviewing Co￿Spondence with HMRC, relevant regulators and the company's legal advisors. Page 4 Steps to Work IA Gompany Ilmlted by guarantee) Independent audilor's report to thè Momb•rs of Stsps to Work Icontinuod) Audltor* respon$ibilitiBs for th9 audlt ￿ the flnanclal statements Icontlnuedl Becausè of the Inherent Ilmit81ions of an audit. there is # risk that we will not detect all irregularities, includirvJ those leading to a materigl misstatement in Ihg financial statements or non-compliance with regulaliDn. This risk increases the more that compliance with a law or regulation IS femoveLI trom the events and transactions fellected in the financial statements, as we will be less likely lo become aware of instances of DOn￿OmplI8￿Ce. The risk is also greater regarding wre9ularilies occurring due lo fiaud rather than error, as fraud involves intentional concealment, lorgery, collusion. omission or misrepresentation. A further description of our responsibilities for the audit of the financial $talemenls is located on the Financial Roporting Council's websiie at.. www.frc.or .uklauditorsr8s onsibililies. This descripbon forms part of our Audilorfs report. Use of our report This report is made $0181y to thg ¢harilable comparsy's members, as a body, in accordance wrth Chapter 3 of Part 16 01 the Companies Act 20Q6. Our audit work ha8 been undèrtaken 80 that we might stsle to the charitable companls membefS those mallers we are required to slate to them in an Audilols report and for no other purpose. To the fullest exterst parmitt￿ by law, wo do not accept or assume responsibility lo anyone other than the charitable company and ils members, as a body. for our audit work, for this report. or for the opinlons we have formed. Artdr￿ Morris FCA Isonior statutory auditor) for and on behalf of Dalns Audit Limited staluloTy Audrtor Chartered Accountants Birmingham 23 November 2022 Page 5 Steps to Work IA company limited by guar8nt991 Consolidated Statement of flnan¢lal actlvitigs Iln¢orporatlng Income and expenditurg account) For the year ended 31 March 2022 D85ignated funds 2022 Restrlcted UnTgStrictsd furtds funds 2022 2022 Total funds 2022 Total lund8 2021 Not¢ Incom8 and endowmènts from: Donat￿n8 and legacies Charitable activities Trading activtties Investments 5,329 2,850 12,204,160 130 5,329 4.819,785 12,204.160 130 186.650 2.282,764 11,895,861 615 4,816,935 Total Income and endowments 4,816.936 12,212,469 17,029.404 14,365,890 Expendlture on: Raising funds Charitable activities 11.258,563 97,620 11,268,563 4,808.119 11,534.349 2,502,759 68,665 4,641,944 Total expondlturg 68,555 4,641,944 11,356,183 16,066.682 14,037,108 Net Incom&1 lèxpendltur81 Transfers betsveen funds Net movom8nt In funds before other recognl$gd gains and losses Actuarial gainslllosses} on defined ben8fil pension schemes Net movement In funds 168.6651 174,991 856,286 962.722 328,782 22 341,155 1174,9911 1166,164) 272,600 690.122 962,722 328,782 20 1,202,000 1.202.000 {1,608,0001 272,600 1,892,122 2,164,722 11.279,21 Bl Rgconclllatlon of funds: Total fvnds brought foFward Nel movement in funds 22 55,149 11.749,7961 11,694,646) 1415,4281 272,600 1,892,122 2,164,722 11,279,218) Total funds carrled forward 327.749 142.327 470,076 11,694,646) Pag8 6 steps to Work IA company Ilmlted by guarante81 Regi$t9red number., 03738249 Consolidated balanc8 sheet As at 31 March 2022 2022 2021 Nots Fix8d assets Tangible a8sets Current assets 14 100,896 55,149 Stocks Debtors Cash at bank and In hand 16 17 11,655 1,927,314 3,292,606 5,596 1,643,841 2.039,514 5,231 A75 3,688,951 Creditors.. amounts falling due within one year 18 12,404,294) (1,859,746) Ngt current a$sgts 2,827,181 1,829,205 Total assèts less currant liabilitios 2,928.076 12,458,000) 1,884,354 13,679,000) Defined benefit pension scheme lthjility 20 Total net assets 470,076 11,694,646) Charfty funds Desiunaled Funds Unreslricled funds excluding pension liability Pension reserve 327.749 55,149 2.600.327 12,458,000) 1.829,205 (3,579,000) 22 Total unrestricted funds 22 142,327 11,749,795) Total funds 470,076 11,694,646) The Trustees acknowledge Ihelf responslbllSlles for complylng ￿1￿ the requirements of the Act with respect to accounting records and preparation of financial Slatemenls. The financial 6talemenls were approvèl and aL•thorised f¢x issue by the Truste8$ on 23 November 2022 and Signed on their behalf by.. P Cadman Chair of the Board of Tru61ees Thè notes on pages 10 10 32 form part of these financial statements. Page 7 Steps to Work IA compgny limitad by guarantee) Règlstered number: 03738249 Charlty balanco shoet As at 31 March 2022 2022 2021 Not Fixèd assets Tangiblo assets Investments 14 15 100.895 55,149 100.896 55.150 Current assets Stocks Debtors Cash at bank and in hand 16 11,556 1,770,350 1.745.716 5,596 1.098,282 1,137.446 17 3,527,621 2.241,324 Creditors.. amounts falling due within one year 18 (833,838} (545,517) Ngt currnnt assets 2,693,783 1.695.807 Total ay8et8 les6 currgnt IlabllltlB5 2,794,679 12.458.000) 1,750,957 Defined benefit pensk)n scheme liability 20 (3,S79,ODOI Totsl net ass•ts 336.679 (1,828.0431 Charlty funds Designated funds Unreslricled funds Unrestricted funds excluding pènsion liability Pension reseNe 327,749 55,149 2,466,930 (2,458.0001 1,695,808 {3,579,0001 Total unrestricted funds 8,930 11,883,192) Total funds 336,679 11,828,043) The charitable comparsys net movement in funds for the year was £2,164,722 (2021- £11.279,217}1. The Trustees acknowledge their responsibilities ftsr complying with the requirements of the Ad vllh respect lo acttjunting records and preparation of financial Statements. The financial statements were approved and aulhorised for issue by the Trustees on 23 November 2022 and $igned on their behalf by.. P Cadman Chair of the Board of TTU81ees The notes on page5 10 to 32 fomi part of th8s& financial slatemenls. Page B Steps to Work {A company Ilmtted by guarantsel Consolidated statement of cash flow$ For the ygar gnded 31 March 2022 2022 2021 Note Cash flows from operatlng actlvltle8 Nel cash used in operatsng 8¢livilies 25 1,367.263 718,723 Cash flows from Snve8tlng actlvltl05 Dividends, interests 3nd ren18 from investments Purcha8e of fixed assets 130 1114.301) 615 {38,6481 Ngt ¢8$h used In Invegtlng actlvltles (114,171) (38,0331 Change In ca$h and cash equivalents In the year Cash 8nd cash equivalents at the beginning of the year 1.253,092 680,690 1,358,824 2,039.514 Cash and cash aquivalonts at the ènd of the year 26 3.292,606 2,039,514 The notes on pages 10 to 32 fomi part of th8so financial slatemenlB Page 9 Steps to Work A company Ilmlted by guarantee) Notes to the financlal statements For thg ygar ended 31 March 2022 General Infomiation steps to Work is a ch8rilable compgny incorporated in EngSand and Wales under Companies Act and registered as a charity with the Charity Commission. The address of the registered office is given in the company infomation section. Th9 nature of the company's operations and its principal actNilie5 are set out in the Trustees, report. AccountSng poll¢ie$ 2.1 Basls of preparatlon of financlal $tatements The financial statements have been prepared in accordance with the Charitie5 SORP IFRS 1021 Accounting and Reporting by Charsties.. Statement of Recommended Practice applicable to ehar"rties preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ifeland IFRS 1021 leffeclwe 1 January 20191. the Financial Reporting Standard applicable in Ihe UK and Republ￿ of Ireland {FRS 1021 and the Companies Act 2006. Steps ID Work meets the definition of a public beneff( gnlty under FRS 102. Assets and liabilities are initi8lly recogrsi5ed al historical cost or transaction value unless otherwise staled in the ￿levant accounting policy. The Consolidated statement of financial actiwli98 {SOFAI and Consolidated balance sheet consolidate the financial slatemenls of the chafitable company and 11$ sUbB￿lary undertaking. The resutts of the subsidiary are consolKlated on a line by line basis. The charitable compBny ha5 taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and ha5 not presented its own Stal8menl of hnancial adivilieB in these rinencvl slalements. 2.2 Company result The income and expenditure account for the yeaf dealt with in the financ￿1 statements of the chari18ble company showed B Eurplus before actuarial losses of £962,72212021 a surplus before actuarial lossès of £328,782). 2.3 Company status The charitable eompany Is a company limiled by guar8ntee. The member8 of the company are the Trustees. In the event of the company being wound up, the liability In respect of the guarantee is Ilmlled to £1 per memb8r of the company. 2.4 Going ¢onc8rn After maklng approprf8te enqui￿8, the Trustees have a rea80nable expectation Ihot the compgny has adeguale resources lo continue in Dperatigr4al existence foi the foreseeab￿ future. Fof this reason, they continue lo adopt the going concern ba51$ in preparing the financial statements. Page 10 Stèps to Work IA company limited by guarantee) Notgs to the financial statements For the year onded 31 March 2022 Accounting policies (continued) 2.6 Income All income is recognised once the charitable company has entit￿ment lo the income, it is probable that the income will be received and the amount of incc*n& receivable can be measured reliably. Gifts in kind donatecl for distribution are included at valuation and recognised a5 income when they are distributed lo the projects. Grfts donated for resale are included as income when they are sold. Revenue is recognised to the extent Ihat it is piobable that the economic benefits wlll fbw lo the Cc4npany and the revenue can be reliably measured. Revenue is measured as the falr value of the consideration received or receiv8ble, excluding discounts, rebates. value 8dded tax and other 581gs taxes. The following criteria mu51 a550 be mel before rev&nue is recognised.. Renderin of ervices Revenue from a contract to provide seNce8 is recognised in the period in whlch the services are provided in accordance with the stage of Complet￿)n of the contract when 811 of the follo￿n conditions aTe saltsfied.. - the amount of revenue can b6 measured reliabty., il is probable that the Company will T8ceive the consideration du8 under the contract., - the stage of completion of the contract at the end of the reporting period can be measure(I reliabty,. and - the costs Incurred and the costs lo ¢omplele the contract Can be measured reliably. 2.6 Expendlture Expenditure is recognised once th8re is a legal or con8lruclive obligation lo transfer econom benefit lo a third paty, it is probabl8 that o transfer of economic ben9fits will be requifed in settlement and the BmDunl of the obligation can be measured reliably. Expenditure is classified by activity. The c051s of each activity arg made up of the total of difecl costs and shared costs. including support costs invO￿d in undertaking each aGlivity. Direct costs attributable to a single aclThiity are allocated diredly lo that activity. Shared costs which contribute lo more than one activty and 5UPPOrt C0515 which are not attributable lo a single aclivty 8re Bpportioned between th088 actiw119s on a basis eonsislent with the use of resources. Central staff costs are allocated on the basls of time spent, and depreelalion charges allocalgd on the portion of the asset's us&. Expenditure on ralsinu funds includes all expenditure incurred by the GTOUP to Taise funds lor its char¢lablo PUfpose$ and includes costs ol all fundraising aclhiities events and non-charitable trading. Expenditure on charitable aclivili&s is incurred on direclty undertaking the activities whi¢h further the Group's objectives, 85 well as any a880cialed support costs. 2.7 Support ¢08t apportlonmgnt Support costs aro allocated direetty to the activity whiGh they relate. WheT6 support costs relate to ever81 actNities, they have been allocated lo each of the activities. This is performed on the basis of the number of direct staff support8d duTiny the period In the relevant actNty. The number of stsff involved in on actwsty is deemed lo be the appropriate ba818 for allocating support costs as il closely roflocls the resource usage of the support functions of the core activities. Tho number ol staff working on a particular 8clivity is determined by the eslim8led equivalent time devoted by 8 full time staff member to perfomi the task. Page11 steps to Work IA company Ilmlted by guarantee} Notes to the flnanclal statements For the year ended 31 March 2022 Aceountlng pollcies (continued) 2.8 Government grants Grants are accounted for under the acerual8 model a8 permitted by FRS 102. Grants of a revenue nature are recognised in tho ConSol￿dated slalèmenl of financial activit￿5 in the same period a$ the related expendkure. 2.9 Intèrest recelvable Interest on funds held on deposf( is included when receivable and the amount can be me88urgd reliably by the Group., this is nomalty upon notification of the interest paid or payable by the flnancial instilthion with whom the funds are depositsd. 2.10 Taxatlon The charitable company is con8Klered lo pass the tests set out in Paragraph 1 Schedule 8 of the Finance Act 2010 and therefore il meets the definition of a charitable company for UK corporation lax purposes. Accordingly, the charitable company is polenlyally exempt from laxalion in respect ol income or capital gains received within categories ¢over&d by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such inwrne or gains afe applied exclusively lo charitable purposes. 2.11 Tanglble flxed 05sets and depreclatlon Tangible fixèd as8els are Init￿1￿ recogrbised at cost. Alter recognition, under th& cost model, tangible fixed a$sels are measured al cost 18s$ a￿UMulated depreciation and any accumulalod impairment losses. All costs incurred lo bring a tangible fLxed asset Into its Intended working condi(ion should be included in the measurement of cost. Depreciation 18 charged so as lo albcale the cost of tangible fixed assets 1955 their residual value pver their estimated useful Iwes. using the slrai9ht4ine method. The estimated useful INes are as lollows.. Leasehold land and buildings 3 years Fumilure, fittings and equipment- 3 years The assets, residual values, useful lives and depretialKJn methods aT8 rewewed, and adlusled prospectively ff appropriate, or rf there 18 an indication of 8 slgniftsnt change since the last reporting 2.12 Investments Investments in subsKliari8s are valued al cost less provision for impairment. 2.13 Stocks Stocks ar8 valued al the Iow8r of cost and nel realisable value. 2.14 Debtor8 Tra(Je and other debtors are recognised al the settlement amount after any trade discount off8r8d. Piepaymenls are valued al the amount pfepaid n81 of any trade discounts due. Page 12 Steps to Work IA company Ilmlted by guarantee) Notes to the financial statements For the year 9ndod 31 March 2022 Accounting policle$ Icontlnuedl 2.15Ca8h at bank and In hand Cash al bank and in hand includes cash and ghort-lemi highly liquid investments with a short malurily of three months or less fiom thè dale of 8cquisitson or opening of the deposrt or similar eccounl. 116 LSabllltle6 Liabilitie5 and prOrfiS￿ns are ￿COgnisec1 when there is an obligalron at the Balance sheet dale as a result of a past event, f( is probable that a transfer of econom￿ benefit will be required in setllemenl, and the 8mount of the settlemerst can be 8Stimaled reliably. Lkgbilrties are Tecognised at the amount that Ihe charitable company ants.¢￿PaIfrs it will pay to settle the debt or the amount It ha$ ro¢0ived as advancèd payments for the goods or services it musl provide. Provi8ion8 ar8 measured al the beBI eBllmate of the amounts Tequired to seltlg the obligalKJn. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted al the pre-tax discount rate that r&f18cts the risks specific to the liability. The unwinding of the discount is roco9nised in the ConsolidateLI statement of fin8ncig1 activities wfchin interest payable and similar charges. 2.17 Flnanclal Instrumgnts The Group only has financial assets and financial liabilities of a kind that qualify 88 basic financi81 instruments. Basic financial instruments are iniliglly recDgnised al Irans8Ction value and subsequently measured at Ihelr settlemènt Value with the exception of bank loans whiGh are subseqLtently mèasltred al amortised cost using the effeclwe interest method. 2.18 Operatlng leases Rentals paid under operatiny leases are charged lo the Gonsolidated ststement of financlal actnthie8 on a straight lin& basis over the ￿ase term. 2.19 Pgnslons The Group operates a defined contribution pensDn scheme and the pension charge Tepresenls the amounts payable by the Group lo the fund in respect of the year. The GTOUP also operates a delined benefft Pension schem8 and the pension chafge is based on a full acluarkgl valuat￿n dated 31 March 2022. The differenc8 between the fair value of the a8sels held in the charity5 delined benelil pension scheme and the scheme's liabilities measured on an actuari81 basis using the projected unil method are recognised In the charity's balance sheol as a pension scheme asset or liability as appropriate. The carrying value of any resulting pension 8cheme as69t is restrided to the extent that the charty is able to recove( the surplus either through reduced contributions in the future or through refunds to the scheme. Changes lo Iho defined benefrt scheme as$el or liabilty ari8ing from factors other than cash contribution by the charity are charged to the Consolidated 8l&lemenl of financial activities in accordance with Financial Raportlng Standard 102. Page 13 Step5 to Work IA company IlmSted by guarantpe) Notes to the Ilnanclal $tatemgnts For the year ended 31 March 2022 Accountlng pollcles Icontinuad) 2.20 Fund accountlng Ggneral funds are unreslricled lunds which are available for use at the discretion of the Truslees in furtherance of the genefal objective8 of the Group and which have not been desbgnated for olher purposes. Deslgnaled funds comprise unrestricted funds that have begn set aside by the Trustees for particular pu¥posgs. The aim and Llse of each designated fund is sel out in the notes lo the financial statements. Reslri¢ted funds Bre funds which are lo be used in accordance with specific reslridions imposed by donors or which have been raise(I by the Group for particular purposes. The costs of raising and admlnislering such funds are charged against the sp9cific fund. The aim and use of each reslricled lund is sgt out in the llotes to the financial slalem8nts. Inveslment income, gains and bs$es are allocatèd to the appropriate fund. Judgements and key sourcgs of ostlmatlon uncertainty In the application of the group's accounting policies. which are described in note 2, the TTuslees are required lo mak& judgements, eslimales and 8ssumplions about the carrying amounts of assets end ligblililies that are not fè8dily apparent from olheT soU￿es. The estlmales and associalerl a8sump11￿S are bosed on historical exper￿nCe and other factors Ihal are conSide￿d to be ￿leVant. Actual results may differ from these estimates. Critical accounting estlmates and assumptions.. Deflned benefftpension scheme liabllify The present value of the defined b?nefil penS￿n scheme liability de￿ndS on a number of faclofs that are detem)ined on an actuarial basis using a variety of assumptions. The assumptions used in determining the net cost or income for pensions include the discount ratè. Any changes in these assumptions, which are disclosed in note 20, will imwt the carrying amount ol tho pension liability- Crlilcal areas oljudgement: Dgprecialion Tanglble fixed assets are depreciated over their useful lives taklrKJ into account residual values %there appropiiate. Tho actual lives ol the assets and Tesidual values are assessed annualty and may vary depending on 8 number of factors. In re-asse55ing the asset lives, factors such as technological innovation, product life cycles and mainlgnance programmes are taken into account. Residual values onsideT such things as ftrtuie market condrtions, the remgining 14fe of the asset and projected di8P0881 values. Page 14 steps to Work IA company Ilrnlted by guarantee) Notes to the flnanclal ststements For th8 year ended 31 March 2022 Income from donatlons and 1gga¢ies Re6trlcted Unrestricted fund5 funds 2022 2022 Total funds 2022 Govornment grants Coronavirus Job Retention Seheme Income Coronavirus Inilial Response Grant 5,329 6.329 5,329 5.329 Restricted Unrestrlcted tunds fund5 2021 2021 Total funds 2021 Govemmont grants Coronavlws Job Retention Scheme income Coronavirus Initial Re8pon8e Grant 16,818 8.000 161,832 178.650 8,000 24,818 161,832 186,650 Tho GfOUP furloughed certain employees under the government's Coronavirus Job Retention Scheme. The funding received of £5,329 {2021- £178.650) relates lo claims made in respect of the year. The Group ￿e1Ved funding of £Nil (2021 £8,000} from the Coronavirus Response Fund designed lo support the work of charities during the eoronavirus outbreak in particular those prOv￿1ng key services and supporting vulnerable people durin9 the cr￿1￿. Income from charltable actlvltles Rostrictgd Unrestricted funds funds 2022 2022 Total funds 2022 Support for the ungmployed 4,B16.935 2.850 4,819.785 Restrlctod Unr05trfctgd funds funds 2021 2021 Total funds 2021 Support for the unemployed 2,281,764 1,000 2,282,764 Page 15 Steps to Work IA company Ilmlted by guarnntee} Notes to th9 linancial stat8mènts For the year ended 31 March 2022 Income from other tradlng activitl&s Incom8 from non charltable tradlng actlvltl86 Unrestrlcted funds 2022 Totsl funds 2022 Trading subsidiary fevenua 12.204,160 12.204,160 Unrestrlcted lunds 2021 Totsl funds 2021 Tradlng subsidiary revenue 11,895,861 11,895,861 Inveslmont Incomé Unrestrlcted funds 2022 Total funds 2022 Investment inwme 130 130 Unrostrlcted funds 2021 Total lund8 2021 Investment income 615 615 Page 16 8tBps to Work IA company Ilmitgd by guargntoel Notes to the financial statoments For the year ended 31 March 2022 Expendtture on ralslnu funds Tradlng subsldlary expendSture Unrestricted funds 2022 Total funds 2022 Cost of sales Administration expènses Administration staff 10,887,776 10,867,776 140,581 140,581 250,206 260,206 11,258,563 11,268.563 Unre5trl¢tgd funds 2021 Total funds 2021 Cost of salès Adminislralion expenses Adminigtralion staff costs 11,241,778 11,24a,778 125,468 125,468 167.103 167,103 11,534,349 11,534,349 Page 17 Steps to Work IA company Ilmltsd by ouarantee) Not9$ to thg financial statements For the year ended 31 March 2022 Anatys18 of expendlturfr on charitable actlvltles Summary by fund type D88ignated Restricted Unregtrkted funds funds funds 2022 2022 2022 Total funds 2022 Support for the unemployed 68,555 4,641.944 97,620 4,808,119 Designated Re$trlctod Unr95trictod fund5 funds funds 2021 2021 2021 Total funds 2021 Support for the unemployed 57,301 2,408,000 37,458 2,502,759 10. Analys18 of exp8ndlture by actlvltlgs Dlre Support costs 2022 Total funds 2022 2022 Support for the unemployed 4,248,284 559,835 4808.119 Dlre¢t Support costs Total funds 2021 2021 2021 Support for the unemployed 1,956.365 54S,393 2,502,758 Page 18 Steps to Work {A company Ilmltod by guarant991 Notes to the flnancial statsm8nts For the year ended 31 March 2022 10. Anatysis of expendlture by actlvltle8 Icontlnued) Analysls of dlrect costs Total funds 2022 Total funds 2021 Depreciation SaL8ry and temporary workers coslts Beneficiary related costs Advertising and promot￿)n Premises costs 57.301 1.388,691 104,167 40,559 365,$47 3.231,254 289,977 67,307 691,191 4,248,284 1,956.365 Anatysis of support costs Total fund5 2022 Total funds 2021 Management Financg Mprkeling Human resourc8S Other Governan￿ ¢ost8 276,505 92.804 44.160 51,70S 79,042 16.619 270,363 60,959 43,251 56,943 90,418 22,459 669,835 546,393 11. Audltorfs romungratlon 2022 2021 Fees payable lo the charitable company's auditor for the audit of the chafitable companls annu81 Bccounls Fegs payable lo the charitable company's auditor in respect ol: Corporation lax Compliance 14.495 13,800 1,050 1,000 Page 19 8tsp8 to Work IA company limited by guarantee} Notès to the flnanclal statemgnts For thg year ended 31 March 2022 12. Staff ¢05ts Group 2022 Group 2021 Company 2022 Company 2021 Wages and salaries Social security costs Pension 2,680.949 208,266 128.971 1,981,187 156.529 113,158 2,223,424 183,362 122,924 1,805.753 144,433 104,361 3,018,186 2,250,874 2,629,730 2,054,547 The average number of pgrsons employèd by the charitable company duriw the yeaf was as follows.. Group 2022 Group 2021 No. Company 2022 No. Company 2021 No. Project officer Employment agency Administration and fin8nce 40 22 40 38 38 67 80 60 The numbgr of gmployges whose empwe benefts (excluding employer pension costsl exceeded £60,000 was.. Group 2022 Group 2021 In the band £70,001- £80,000 In the band £90.001- £100,000 Th8 amount of employe8 benefits received by kgy management personnel for their services to the charity totalS8d £250,560 {2021- £230,207). 13. Trustees, remungratlon and expen8e8 During thè year. no Trustees rgceiv8d any remunerdlion or other bengfits12021- £NILI. During the year end8d 31 March 2022, no Trustee expensets have been incurred12021- £NILI. Page 20 Stgps to Wort( IA company1Smlt8d by guardnteel Notsg to the financlal ststsments For thè year ended 31 March 2022 14. Tangible flxed assets Group Lgasohold Furnlture. land and fixiures and buildinps fittings Total Cost At 1 April 2021 AddiliDns 19,139 8,100 469,605 106,201 488,744 114.301 At 31 March 2022 27,239 575,806 603,045 Depreciatlon Al 1 April 2021 Charge for the year 17,042 4,371 416.553 64,184 433,595 68.566 Al 31 March 2022 21,413 4BO.737 502,150 Net book valuè At 31 March 2022 5.826 95.069 100,895 At 31 March 2021 2.097 53,052 S5,149 Page 21 Steps to Work {A company Ilmlted by guarnnteg) Notes to the financial statements For the year ended 31 March 2022 14. Tanglble flxed 886et8 {contlnuedl Company Leasehold Furnlture, land and flxtures and buildings fittingg TotAI Cost Al 1 April 2D21 Additions 19,139 8,100 439.320 106,201 458A69 114.301 At 31 March 2022 27,239 646.521 572.760 Dopreclatlon At 1 ApTiI 2021 Charge for the year 17,042 4,371 386,268 64,184 403,310 68,555 Al 31 March 2022 21,413 450,452 471,865 Net book value At 31 Mafch 2022 5,826 95,069 100,895 At 31 March 2021 2,097 53,052 SS.149 15. Fixgd assgt investments Investments in sub$idiary company Company Cost Al 1 April 2021 At 31 March 2022 Page 22 Stops to Work (A company Ilmlted by guarantegl Notes to the flnanclal ststements For the ygar ended 31 March 2022 16. Stocks Group 2022 Group 2021 Cornpany 2022 Company 2021 Goods for resale 11.555 5,596 11,55S 5,596 17. Debtors Group 2022 Group 2021 Company 2022 Company 2021 Trade debtors Amounts owed by group undertakings Other debtors Prepayments and accrued income 1,036.140 1,237,500 251,121 770,080 484.098 266,051 343,551 673,725 493,1B8 398,986 406,341 81.006 1,927,314 1,643,841 1,770,350 1,098.282 18. Credltors: Amounts falllng due within one year Group 2022 GTOUP 2021 Company 2022 Company 2021 Trade creditors other taxallon and social security Other creditors Accruals and deferred income 1,363.690 fAO,842 5,390 494.472 792,908 599,5D5 106,3e9 360,944 510,426 172.872 90,334 303,136 95,132 56.915 150,540 2,404,294 1,859,746 833,838 545,517 19. Contlngent Ilabllltles The income Claims of the ch8rlty are 8ubiect lo period￿ audits by the awardlng organisalons. These audits coylcl resull in income previously claimed having to be repaid. The Trustee5 do not consider th81 any material liability would arise as a resuli of the reviews and accoidingty no clawback provision is made in the financial statements. Page 24 stgps to Work (A company Ilmlted by guarantee) Notes to the Ilnan¢ial statemènts For the yèar ended 31 Ma￿h 2022 Pension commitments The Group oper819S 8 d8fined contrlbulion p8n8ion scheme. The assgt6 of the scheme are hekl sepaiatety from those of the Group in an independently administered fund. The pension Charge represents contributions payable by the Group lo the fund and amounted to £117,431 12021 £B9,5951. ContribLrtions of £10,762 12021 £10,799) were payable lo the fund at thè balance sheet dale and are in¢luded in creditor8. The Group opera19s 0 defined beneftt pen81on scheme. The company bebngs to the Wesl M%Jlands Molropolitan ALrthorities Pension Fund whKh is a defined benefit pension scheme. The assets of the scheme are held 5eparalety from those of the company in independently adminisleFed funds. The full actuarial valuation of the clefined benelil schgme was cariied out al 31 March 2019, to review the financial position of the Fund and to set approprkqle contribution rates ft)r each employer in the Fund for Ihg period 1 April 2Q20 and 31 March 2023 as required under Regulation 62 of the Local Goverment Pension Scheme Regulations 2013. The companrfs share of the assets and liabilf(ies of the scheme since joining have been estimated 8131 March 2022 by a qualffied independent ￿tUary on a Financial Rèporting Standard 102 basis. The major assumptions a131 Mttroh 2022 u8ed by the ￿tUary were.. Principal actuarial assumptions at the Balance sheet date (expressed as weighted averages).. At31 March At 31 March 2022 2021 Discount roie Flrture salary increa$e$ Future penS￿)n incfeases 2.76 4.15 3.15 2.05 3.85 2.85 At 31 Pllarch At 31 March 2022 2021 Years Years Mortality rates lin yeorsl -for a male aged 65 now - at 65 for a male aged 46 now - for a fem81e aged 65 now - al 65 for a femal8 aged 45 now 21.2 22.9 23.6 25.4 21.6 23.9 23.4 25.8 Page 25 Steps to Work (A company Ilmlt8d by guaranteè) Notes to the flnanclal statements For the year ended 31 March 2022 Penslon commitments (contlnuod) Sensltlvlty analys At 31 March At31 March 2022 2021 Discount rale +0.1'h 018counl rate -0.1Vo Salary increase +0.1% Salary increase -0.1% Pension increase + deferred revaluation +0.10h Pension incfeas& + deferred r9valualion ￿.1% f8 expectancy +1 year Llfe expectancy-1 yeaf 1196.0001 196,000 20,000 120,0001 175,000 1175,0001 342.000 1342,0001 232,000 1239,0001 1218,0001 212,000 {19.000) 18,0 1398,0001 381,000 Thg Group's share of the assets in the scheme wa5.. At31 Mar¢h At 31 March 2022 2021 Equltie8 Gilts other bonds Propety Cash other 4,083,000 3.283,000 555,000 214,000 403,000 333,000 785,000 1.341.01)0 427,000 243,000 Totsl falr valu8 of assots 6,094,000 5,573,000 The actual return on scheme assets was £461,DJQ12021- £895,000). The amounts recogn16ed In the Consolidated slatomgrit of financial actiwlies are as folk)ws.' 2022 2021 Current semca cost Nel interest on defined l￿bilty Administrative expenses Total amount re¢ogni58d in the Consolldated stat•ment of linanclal actlvltles 127.000 73,000 91,000 45.000 3.000 200,000 139,000 Page 26 Staps to Work {A company limitgd by guaranteg) Notgs to the flnanclal statements For the year ended 31 March 2022 20. Pgnslon commltments Icontlnuedl Movemgnts in the present valuè of the defined benefit obligalh)n were as follows.. 2022 2021 Openlng defined b8nefft obligation Past $eNi¢e ¢otsl Aclu8iiBI l98ins}IIDsse5 Benefrts pald Interest cost 9,162,000 6,573,000 18,000 1856.0001 2,394,000 176,000) 178.000) 188,000 154,000 127.000 91.oc Current semce c051 loslng dpfingd benefit obligation 8,535,000 9,152,000 Movements in th8 fair value of the Group's share of scheme assets were 88 follows.. 2022 2021 Opening fair valu8 of 8cheme assets Inlergst in￿rne Actuarial gains Conlrlbulions by employer ConlributDns by scheme pgrticlpanls Benefits paid Admlnislrallon expen8e8 5,573,000 115,000 346.000 119,000 4,617,000 109,000 786.000 124,000 18,000 178,0001 13,0¢)0) 176,0001 Closing lair value of scheme assets 6,077,000 S,573,000 21. Operntlng lea88 commltmants At 31 March 2022 the Group and the charitable company had commitments to make future minimum lease payments under non-cancellable operating leases as foll)ws-. Group 2022 Group 2021 Company 2022 Company 2021 Not later than 1 ygar Later than 1 year and not kter than 5 year5 44,523 33,392 59,847 Tl,916 44,623 33,392 59,847 77,916 77.915 137,763 77,915 137,783 Page 27 Steps to Work IA company Ilmlted by guorantsel Notes to tho flnanclal statgm9nts For thg year ended 31 March 2022 22. Statgment of fund$ Statomant of funds - current ygar Balance at 31 March 2022 Balanca at 1 April 2021 Transfers inllout) Gain$1 (Losses) Income Expgnditurg Unr95trlctgd funds General Funds Pension reserve 1,829.206 12,212,469 111,275.183) 1188,1641 2.600,327 13,579,000) 181,0001 1.202.000 12,468,000) 11.749,796) 12,212,469 111,356,183) 1166,1641 1,202,000 142,327 Dgslgnated funds Flxed a88ets Rgdundan 66.149 168.5551 114,301 226,854 100,895 226,854 65,149 168,5551 341,166 327,749 Restrlcted funds Support for the uneMploy￿j 4,816,935 14.641.944) {174,9911 Total of funds 11,694.6461 17,029,404 116,066,682) 1.202.000 470,076 Reslricled funds represgnt the funds of the parent charrtablg company that are applied specifically to projects in helping people into employmgnl. Designated funds comprise amounts IEd up in fixed assets and amounts ringfenced to cover poterstial lulure redundancy costs on completion of specific piolects. P8ge 28 Step8 to Work (A Gompany Ilmltèd by guarantee) Notes to the financial statemonts For the year end8d 31 March 2022 22. Statement of fund8 Icontlnuedl Statemgnt of funds - prfor yoar Bolonce at 31 March 2021 Balance at 1 Aprll 2020 Transfeys Galnsl Inlloutl (Losses) Income Expondlture Unrestrlctod fund8 General Fund8 Pensk)n reserve 1,466.769 12.069.308 111.541,80T) 1155,065) 1,829,205 11,956,000) 115,000) 11,608.0001 13.57Q.0001 {489,231) 12,059,308 111,556,80n 1155,0651 11,608.0001 (1,749,795) Deslgnatgd fund8 Fixed assets 73,803 (57,301) 38,647 55.149 Restrlcted funds Support for the unempbyed 2.306,582 12.423,000) 116,418 Total of funds {415,4281 14,365,890 114,037,108) 11,608,000) 11.694,6461 Page 29 steps to Work (A company Ilmlted by guarantee) Notes to thè flnanclal statements For thg year ended 31 March 2022 23. Summary offund$ Summary of funds- current year Balance at 31 March 2022 Balancè at 1 April 2021 Trdnsfeys Inlout Gainsl (Losses) Income Expènditure G8rb8ral funds Designated funds Restricted funds 11,749,795) 12,212A69 {11,366,183) I166,164} 1.202,000 142,327 65.149 {68.5551 341,155 327,749 4,816,936 14,641,944) 1174,9911 11,694.6461 17.029,404 116.066,6821 1.202,000 470,076 Summary of funds- prior year Balance at 31 March 2021 Balance at l Aprll 2020 Transfers inlout Galnsl (Losses) Income Exponditur9 Goneral funds Designated lunds Reslrtcted fund8 {489,231) 12,059,308 111,556,807) {155.Ch851 11,608,000) {1,749,7951 73,803 157,3011 38,647 55,149 2,306,582 12,423,000) 116.418 (415,4281 14,365,890 (14,037,108) 11,608,000) 11,694,646) Analysls of net assets between funds Analysls of net assets between funds - curr9nt year Dèslgnated Unrestrlcted funds funds 2022 2022 Totsl lund9 2022 Tangible fixed assets Curr@nl assets Creditors due within one year Provisions for liabilit￿ and charges 100,895 226,854 100,896 5,004,621 5,231.475 {2,4(14,2941 12,404,294) {2,458,0001 12.45B.0001 Total 327,749 142,327 470,076 Page 30 stops to Work IA company Ilmlted by guarantee} Notes to the flnanclal statements For the year ended 31 March 2022 Anatysl$ of ngt ass9ts betweèn funds Icontinuedl Analysls of net assets between fund8 - prlor year D951gnatgd Vnrostrlcted funds funds 2021 2021 Total funds 2021 Tangible fixed assets Current assets Creditors du8 within one year Provisions for liabilities and charges S5,149 55,149 3,688,951 3,688.951 11,859,746) (1,859,746) {3,579,000} {3,579.000) Total 55,149 11,749,795) 11,694,646) 26. Reconclllatlon of ngt movgment In fun(ts to net cdsh Ilow from op&ratlng a¢fjvltltts Group 2022 Group 2021 Nel income for th8 year per 518lomenl of Financial Aclivitiesl 962,722 328.782 Adjustments for.. Depreciation charges Dividends, interests and rents from investsments Defined benefit pension contributions Pension cost borne by pension fund Increase in debtors Inoreasg in cr$ditors Ilncrease} in Stocks 68.SS5 11301 1119,0001 200,000 1283,4731 544.548 15,9S9 57.302 16151 1124,000) 139,000 289,002 34,848 16,5961 Net cash provldod by opgraung adivities 1,367,263 718,723 28. Analy518 of cash and cash èquNalents Group 2022 Group 2021 Cash in hand 3,292.606 2.039.514 Total cash and cash oqulvalents 3.292.606 2.039.514 P8ge 31 step8 to Work IA company limited by guarante8) Notes to the fSnanclal statèmènts For thg year 8ndad 31 March 2022 Anatysls of changes In net debt At 1 April 2021 Cash flows At 31 March 2022 Ca8h al bank and in hand 2,039,514 1,253,092 3,292,606 2B. RelAted party transactlons As a r9suIt of mgnagement charges, commerci81 recharges and gift aid dislribulions. the Charity had debtor with ils subsidiary undertaking, Starting Point Recrultm&nt Limited. al the balance sheet date of £770,08012021- £673,725). The group is related lo PCS Mobile SolLrtion8. PCS IT Servlces and Pure CIoLtd Solutions Ltd since TNstee D Lake is a Director at each of these companies. During the year, the group incurred expenditure with these componies pf £17,501, £Nil and £361,395 respeclively12021 - ￿.554, £5.172 and £152,677 iespeclively}. At the balance sheet date, trade creditors of £39.418 (2021 - £24,468> werè due to these Companies. Pagg 32