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← Freeways Trust

2025-03-31-accounts

Registered number: 05026647 Charity number: 1102216

FREEWAYS TRUST

(A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

CONTENTS

Page
Reference and Administrative Details of the Charity, its Trustees and Advisers 1
Trustees' Report 2 - 5
Trustees' Responsibilities Statement 6
Independent Auditors' Report on the Financial Statements 7 - 10
Statement of Financial Activities 11
Balance Sheet 12
Statement of Cash Flows 13
Notes to the Financial Statements 14 - 26

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2025

Trustees F S Morton
C C Britton
D Y Pincott
B E Sawyer (resigned 5 June 2025)
N J Morgan (resigned 13 June 2024)
K C Gascoigne (appointed 12 August 2024)
Company registered
number
05026647
Charity registered
number
1102216
Registered office
Leigh Court Day Centre
Pill Road
Abbots Leigh
Bristol
BS8 3RA
Company secretary
R L Burkinshaw
Independent auditors
Bishop Fleming Audit Limited
Chartered Accountants
10 Temple Back
Bristol
BS1 6FL
Bankers
Barclays Bank plc
86 Queens Road
Clifton
Bristol
BS8 1RB
Solicitors
Burges Salmon LLP
One Glass Wharf
Bristol
BS2 0ZX

Page 1

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2025

The Trustees (who are also the directors of the charity for the purpose of the Companies Act) present their annual report together with the audited financial statements of Freeways Trust (the charity) for the year ended 31 March 2025. The Trustees confirm that the Annual Report and financial statements of the charity comply with the current statutory requirements, the requirements of the charity’s governing document 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).

Since the charity qualifies as small under section 383, the strategic report required of medium and large companies under The Companies Act 2026 (Strategic Report and Directors’ Report) Regulations 2013 is not needed.

Objectives and Activities

The core objective of the charity, as outlined in its Memorandum of Association, includes the care and relief of adults with a learning disability by the establishment or acquisition, maintenance and operation of residential houses and hostels and training centres .

Freeways Trust fulfils this purpose primarily through the ownership, development, and leasing of high-quality, accessible properties that are used to provide care and support services. Properties are made available either:

The Charity works in close partnership with Freeways, Commissioners, and local stakeholders to ensure that the built environment supports person-centred care, independence, and long-term wellbeing.

Our work is guided by a shared Vision with Freeways to be “A Provider of Choice” underpinned by our Mission of “Quality, Wellbeing and Evolution.” These values drive our commitment to sustainable, inclusive, and futurefocused property solutions.

The Trustees confirm that they have complied with the duty to have regard to the Charity Commission’s general guidance on public benefit, “Charities and Public Benefit”.

Structure, Governance and Management

Freeways Trust is a company limited by guarantee (Registered no. 5026647) registered in England and Wales and a registered charity (Registered no. 1102216). The company is limited by guarantee having no share capital. In the event of the company being wound up every member undertakes to contribute to the assets of the company up to an amount not exceeding £1.

Freeways Trust was established in December 1987 under a deed of Trust as a registered charity. From 1 April 2004, the activities of the charity were incorporated. The governing document is the Memorandum and Articles of Association of the company and members of the Board of Trustees are the Directors of the company.

The Trustees have delegated day to day finance management of the charity to the Company Secretary. In addition, the Trustees have appointed a Strategic Estate Manager to lead the preparation and implementation of an estates strategy and also report on the performance of the charity against strategic plans set and agreed by the Trustees. The Trustees meet bi-monthly.

During the year, one Trustee resigned and one new Trustee was appointed to the Freeways Trust Board. New Trustees invited to join the Board are selected on the basis of their experience and skills. Trustees are encouraged to attend appropriate external training events where these would facilitate the understanding of their role.

A separate charity, Freeways (Charity no. 298603), mainly has common Trustees to Freeways Trust, but is not under common control and both organisations have similar charitable objects. A small number of staff work across both organisations in a shared office space at Leigh Court.

Page 2

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

All Trustees give of their time freely and none receive remuneration or other benefit for their work with the Charity. Trustees are required to disclose all relevant interests and register them with the Company Secretary and any connection between a Trustee and a related party of any other organisation with which the charity cooperates is disclosed in the same way as any other contractual relationship with a related party.

Details of Trustee expenditure and related party transactions are disclosed in note 10 of the financial statements.

Risk Management

The Trustees are responsible for identifying, assessing, and managing the major risks facing the Charity. A formal risk management framework is in place, underpinned by:

Principal Risks Identified:

The upcoming changes to NICs pose a manageable financial risk, given the Charity’s staffing profile and sector constraints. The Executive Team continues to monitor government updates and model projected financial impacts.

The Charity’s reserves, regular financial reviews, and tight operational controls support a robust risk mitigation environment.

The charity’s reserves, financial oversight, and financial modelling form key components of its overall risk mitigation approach. The risk management framework is embedded throughout the organisation and reviewed regularly to ensure it remains responsive to both external developments and internal priorities.

Key Management Personnel Remuneration

The Trustees consider the Board of Trustees, the Company Secretary and the Strategic Estate Manager to comprise the key management personnel of the charity in charge of directing and controlling the charity and running and operating the charity on a day-to-day basis.

The pay of the Company Secretary and Strategic Estate Manager is reviewed annually and can be increased in accordance with average earnings. In view of the nature of the charity, the Trustees benchmark against pay levels in other charities of a similar size and also take into account sector experience.

Main Achievements

In 2024–25, the Charity continued to make significant progress across its estate strategy, enabling the delivery of safe, suitable and modern living environments for individuals with complex needs.

A key success this year was the collaborative work between the Charity, Freeways, NHS England (NHSE), and the BNSSG Integrated Care Board (ICB). This multi-agency approach led to the creation of a bespoke living environment for an individual with significant behavioural needs. Through careful planning, temporary relocation, and construction of a tailored space, this intervention significantly improved outcomes for the individual and enabled capacity for another person returning to the area from residential college.

The Charity also made progress in digitising property compliance. Working with Freeways, all statutory safety checks are now accessible via a centralised electronic system, allowing for greater transparency, improved maintenance tracking, and real-time access to service-related documentation across locations.

Page 3

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

Property Management and Maintenance

The Charity continued to own and lease:

A structured repairs and maintenance programme was delivered during the year, encompassing both planned and reactive works. A maintenance service was also provided for the property 4A The Beach. This property, which Freeways Trust previously supported under a service level agreement, was gifted by its owners to the Charity during the year.

Evolution and Future Plans

In response to changing demand and sustainability challenges, Freeways made the difficult decision to close one residential home, Kenneth House, in Bristol, which had experienced long-standing vacancies. A sensitive, phased closure plan was implemented over six months to minimise disruption to residents and staff. This closure means that property is due to be sold by the Charity in 2025-26.

Simultaneously, the Charity advanced the redevelopment of its Whites House site in Bristol, a longstanding residential service nearing the end of its usable life. Following successful planning approval, construction commenced in 2024 on 8 new purpose-built flats and two Positive Behaviour Support (PBS) units, offering sustainable, future-proof housing options.

The Trust has worked closely with Freeways and North Somerset Council to design a new supported living service in Weston-Super-Mare. Planning approval has been secured and it is hoped that construction will begin in 2025–26.

Key Priorities for 2025-26

Investment Policy

The funds available to Freeways Trust are intended for the purchase of new, or improvement to existing properties, so Trustees do not consider it prudent to invest monies on a long-term basis. The policy to invest surplus cash in short-term deposits from one week to up to twelve months has been followed during the financial year and Treasury deposits made on behalf of the Trust.

Reserves Policy

The Trustees review the reserves policy annually in accordance with Charity Commission and SORP guidance. The policy requires the Charity to maintain free reserves (unrestricted and not designated or tied up in fixed assets) equivalent to at least two months of operational expenditure.

The current reserves are considered prudent to cover:

As at 31 March 2025, the Charity held:

The Trustees acknowledge that reserves will be used in 2025-26 to support the redevelopment at Whites House and the proposed Trewartha Park project.

Page 4

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

In light of legislative changes taking effect from April 2025, including the increase in Employer National Insurance contributions (NICs) and reduction in the NIC threshold, staffing costs are expected to rise. These financial pressures are factored into financial modelling and future budgeting assumptions.

Going Concern

The Trustees have assessed the Charity’s ability to continue as a going concern. This assessment considered the Charity’s reserves position, forward-looking cash flow modelling, project commitments, and emerging risks, including inflationary pressures and employment cost increases.

The Trustees are satisfied that there are no material uncertainties and have concluded that it is appropriate to prepare the financial statements on a going concern basis.

Disclosure of Information to Auditors

Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:

Approved by order of the members of the board of Trustees and signed on their behalf by:

F S Morton Chair

Date: 8th October 25

C C Britton Trustee aif

Page 5

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

STATEMENT OF TRUSTEES' RESPONSIBILITIES FOR THE YEAR ENDED 31 MARCH 2025

The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' Report 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. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 6

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FREEWAYS TRUST

Opinion

We have audited the financial statements of Freeways Trust (the 'charitable company') for the year ended 31 March 2025 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, 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, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the 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 United Kingdom, including the Financial Reporting Council'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 other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Trustees are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of 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.

Page 7

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FREEWAYS TRUST (CONTINUED)

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Companies Act 2006 and Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

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.

Auditors' responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

As a result of these procedures, we have considered the opportunities and incentives that may exist within the organisation for fraud and identified the highest area of risk to be in relation to revenue recognition, with a particular risk in relation to year-end cut off. In common with all audits under ISAs (UK) we are also required to perform specific procedures to respond to the risk of management override.

Page 8

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FREEWAYS TRUST (CONTINUED)

We have also obtained understanding of the legal and regulatory frameworks that the Charity operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the Charities Act 2011, Charity SORP 2019, FRS 102 and the terms and conditions attaching to material grants received by the Charity.

In additions, we considered the provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Charity's ability to operate or avoid a material penalty. These included data protection regulations, health and safety regulations and employment legislation.

Our procedures to respond to the risks identified included the following:

We also communicated 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.

As a result of the inherent limitations of an audit, there is a risk that not all irregularities, including a material misstatement in the financial statements or non-compliance with laws and regulations, will not be detected by us. The risk increases the further removed compliance with a law or regulation is from the events and transactions reflected in the financial statements, given we will be less likely to be aware of it, or should the irregularity occur as a result of fraud rather than a one off error, as this may involve intentional concealment, forgery, collusion, omission or misrepresentation.

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 Auditors' Report.

Page 9

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FREEWAYS TRUST (CONTINUED)

Use of our report

This report is made solely to the charitable company's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's trustees 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 its members, as a body, for our audit work, for this report, or for the opinions we have formed.

David Butler ACA DChA Bishop Fleming Audit Limited Chartered Accountants Statutory Auditors 10 Temple Back Bristol BS1 6FL

Date: 17 October 2025

Bishop Fleming Audit Limited are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 10

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2025

Note
Income from:
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Investments
6
Total income
Expenditure on:
Charitable activities
Total expenditure
Net income before net gains on
investments
Net gains on investments
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2025
£
510
1,166,028
47,484
74,966
1,288,988
1,087,637
1,087,637
201,351
-
201,351
12,721,665
201,351
12,923,016		 Restricted
funds
2025
£
667,752
-
-
-
667,752
11,798
11,798
655,954
-
655,954
519,150
655,954
1,175,104		 Total
funds
2025
£
668,262
1,166,028
47,484
74,966
1,956,740
1,099,435
1,099,435
857,305
-
857,305
13,240,815
857,305
14,098,120		 Total
funds
2024
£
-
1,052,288
30,391
68,938
1,151,617
936,132
936,132
215,485
26,500
241,985
12,998,830
241,985
13,240,815

Page 11

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER:05026647

BALANCE SHEET AS AT 31 MARCH 2025

2025 2025 2024
Note £ £
Fixed assets
Tangible assets 11 10,968,968 9,322,185
Investment property 12 364,000 364,000
11,332,968 9,686,185
Current assets
Debtors 13 223,882 51,805
Cash at bank and in hand 2,640,060 3,581,301
2,863,942 3,633,106
Creditors: amounts falling due within one
year 14 (98,790) (78,476)
Net current assets 2,765,152 3,554,630
Total net assets 14,098,120 13,240,815
Charity funds
Restricted funds 15 1,175,104 519,150
Unrestricted funds
Designated funds 15 225,912 1,702,344
General funds 15 12,697,104 11,019,321
Total unrestricted funds 15 12,923,016 12,721,665
Total funds 14,098,120 13,240,815

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

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

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

F S Morton C C Britton Chair Trustee Date: 8 October 25Type text hereType text here Ub ihe

The notes on pages 14 to 26 form part of these financial statements.

Page 12

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025

Cash flows from operating activities
Net cash used in operating activities
Cash flows from investing activities
Interest received
Purchase of tangible fixed assets
Net cash used in investing activities
Cash flows from financing activities
Net cash provided by financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
The notes on pages 14 to 26 form part of these financial statements		 2025
£
950,531
74,966
(1,966,738)
(1,891,772)
-
(941,241)
3,581,301
2,640,060		 2024
£
473,356
68,938
(310,180)
(241,242)
-
232,114
3,349,187
3,581,301

Page 13

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

1. General information

Freeways Trust is a private company limited by guarantee, incorporated in England and Wales, with the registered company number 5026647 and the registered charity number 1102216. The charity's registered office is Leigh Court Day Centre, Pill Road, Abbots Leigh, Bristol, BS8 3RA.

2. Accounting policies

2.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The financial statements 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), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

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

2.2 GOING CONCERN

The Trustees have assessed the Charity’s ability to continue as a going concern. This assessment considered the Charity’s reserves position, forward-looking cash flow modelling, project commitments, and emerging risks, including inflationary pressures and employment cost increases. As at 31 March 2025, the Charity had a net asset value of £14,098,120 (2024: £13,240,815) and cash at bank of £2,640,060 (2024: 3,581,301).

The Trustees are satisfied that there are no material uncertainties and have concluded that it is appropriate to continue to prepare the financial statements on a going concern basis.

2.3 INCOME

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Grants are included in the Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

2.4 EXPENDITURE

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Page 14

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

2. Accounting policies (continued)

2.4 EXPENDITURE (CONTINUED)

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.

All expenditure is inclusive of irrecoverable VAT.

2.5 INTEREST RECEIVABLE

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.6 TANGIBLE FIXED ASSETS AND DEPRECIATION

Tangible fixed assets costing £NIL or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives.

Depreciation is provided on the following bases:

Freehold property - 50 years straight line
Plant and machinery - 5-10 years straight line
Motor vehicles - 5 years straight line

2.7 DEBTORS

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

2.8 CASH AT BANK AND IN HAND

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

2.9 LIABILITIES AND PROVISIONS

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of Financial Activities as a finance cost.

Page 15

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

2. Accounting policies (continued)

2.10 FINANCIAL INSTRUMENTS

The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.11 PENSIONS

The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.

2.12 FUND ACCOUNTING

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

3. Income from donations and legacies

Unrestricted
funds
2025
£
Donations
510
Grants
-
510		 Restricted
funds
2025
£
550,000
117,752
667,752		 Total
funds
2025
£
550,510
117,752
668,262		 Total
funds
2024
£
-
-
-

Page 16

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

4. Income from charitable activities

Unrestricted
funds
2025
£
Rental income from Freeways
555,864
Rental income from supported living properties
610,164
1,166,028
TOTAL 2024
1,052,288		 Total
funds
2025
£
555,864
610,164
1,166,028
1,052,288		 Total
funds
2024
£
534,996
517,292
1,052,288
5. Income from other trading activities
Income from fundraising events
Unrestricted
funds
2025
£
Other income
47,484
TOTAL 2024
30,391
6.
Investment income
Unrestricted
funds
2025
£
Bank interest
74,966
TOTAL 2024
68,938		 Total
funds
2025
£
47,484
30,391
Total
funds
2025
£
74,966
68,938		 Total
funds
2024
£
30,391
Total
funds
2024
£
68,938

Page 17

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

7. Analysis of expenditure by activities

Provision of care services
TOTAL 2024
Analysis of direct costs
Staff costs
Depreciation
Management charge
Legal and professional fees
Repairs and maintenance
Other property expenses
Training costs
Analysis of support costs
Governance costs		 Activities
undertaken
directly
2025
£
1,077,522
1,077,522
914,616		 Support
costs
2025
£
21,913
21,913
21,516		 Total
funds
2025
£
1,099,435
1,099,435
936,132
Total
funds
2025
£
161,200
319,955
23,152
72,675
290,489
205,569
4,482
1,077,522
Total
funds
2025
£
21,913		 Total
funds
2024
£
936,132
936,132
Total
funds
2024
£
121,550
311,618
22,602
73,875
236,859
148,112
-
914,616
Total
funds
2024
£
21,516

Page 18

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

8. Auditors' remuneration

2025 2024
£ £
Fees payable to the Charity's auditor for the audit of the Charity's annual
accounts 5,410 5,250

9. Staff costs

Wages and salaries
Social security costs
Other pension costs		 2025
£
134,691
22,547
3,962
161,200		 2024
£
99,800
18,651
3,099
121,550

The average number of persons employed by the Charity during the year was as follows:

Administration
Maintenance		 2025
No.
1
4
5		 2024
No.
1
5
6

No employee received remuneration amounting to more than £60,000 in either year.

The key management personnel comprise the Trustees, the Company Secretary and the Strategic Estates Manager. The total employee benefits of the key management personnel of the charity was £89,779 (2024: £32,288). Some of these costs are included in the management charge.

10. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2024 - £NIL).

During the year ended 31 March 2025, expenses totalling £Nil were reimbursed or paid directly to 2 Trustees (2024 - £2,008).

During the year, Trustee indemnity insurance was purchased at a cost of £6,580 (2024: £4,760) to cover Trustees, directors and employees.

Page 19

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

11. Tangible fixed assets

COST OR VALUATION
At 1 April 2024
Additions
Transfers between classes
At 31 March 2025
DEPRECIATION
At 1 April 2024
Charge for the year
At 31 March 2025
NET BOOK VALUE
At 31 March 2025
At 31 March 2024		 Freehold
property
£
13,887,219
839,967
(312,837)
14,414,349
4,622,834
314,483
4,937,317
9,477,032
9,264,385		 Plant and
machinery
£
37,200
-
-
37,200
37,200
-
37,200
-
-		 Motor
vehicles
Assets
under
construction
£
£
27,360
36,824
-
1,126,771
-
312,837
27,360
1,476,432
6,384
-
5,472
-
11,856
-
15,504
1,476,432
20,976
36,824		 Total
£
13,988,603
1,966,738
-
15,955,341
4,666,418
319,955
4,986,373
10,968,968
9,322,185

There was a depreciation charge of £11,798 to the restricted fund in the year (2024: £9,870) and a net book value at the year-end of £434,280 (2024: £444,150) in relation to charges held by NHS England over a freehold property.

During the year £312,837 was transferred from Freehold Properties to Assets Under Construction to recognise the ongoing work at Orchard Cottage and Whites redevelopment.

Assets under construction relate to the development works ongoing at Orchard Cottage, Whites redevelopment project and Trewartha Park.

The tangible fixed assets are all used to support Freeways Trust activities.

Page 20

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

12. Investment property

VALUATION
At 1 April 2024
At 31 March 2025		 Freehold
investment
property
£
364,000
364,000

Investment property relates to land owned at Leigh Court Farm. The fair value of the land is based on an independent valuation carried out by Nancekivell & Partners in March 2024.

13. Debtors

TRADE DEBTORS
Trade debtors
Amounts owed by group undertakings
Prepayments and accrued income		 2025
£
175,364
38,936
9,582
223,882		 2024
£
-
-
51,805
51,805

14. Creditors: Amounts falling due within one year

Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income		 2025
£
36,737
5,581
18,259
38,213
98,790		 2024
£
36,378
4,271
20,218
17,609
78,476

Page 21

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

15. Statement of funds

Statement of funds - current year


UNRESTRICTED FUNDS
DESIGNATED FUNDS
Strategic Estate Programme
GENERAL FUNDS
Reserves
TOTAL UNRESTRICTED
FUNDS
RESTRICTED FUNDS
NHS Grant
Orchard Cottage grant
Restricted Asset Fund - 4A The
Beach
TOTAL OF FUNDS		 Balance at 1
April 2024
£
1,702,344
11,019,321
12,721,665
444,150
75,000
-
519,150
13,240,815		 Income
£

-
1,288,988
1,288,988
117,752
-
550,000
667,752
1,956,740		 Expenditure
£
-
(1,087,637)
(1,087,637)
(11,798)
-
-
(11,798)
(1,099,435)		 Transfers
in/out
£
(1,476,432)
1,476,432
-
-
-
-
-
-		 Balance at
31 March
2025
£
225,912
12,697,104
12,923,016
550,104
75,000
550,000
1,175,104
14,098,120

8

Page 22

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

15. Statement of funds (continued)

Statement of funds - prior year

UNRESTRICTED FUNDS
DESIGNATED FUNDS
Strategic Estate Programme
GENERAL FUNDS
General Funds
TOTAL UNRESTRICTED
FUNDS
RESTRICTED FUNDS
NHS Grant
Orchard Cottage grant
TOTAL OF FUNDS		 Balance at
1 April 2023
£
1,702,344
10,767,466
12,469,810
454,020
75,000
529,020
12,998,830		 Income
£
-
1,151,617
1,151,617
-
-
-
1,151,617		 Expenditure
£
-
(926,262)
(926,262)
(9,870)
-
(9,870)
(936,132)		 Gains/
(Losses)
£
-
26,500
26,500
-
-
-
26,500		 Balance at
31 March
2024
£
1,702,344
11,019,321
12,721,665
444,150
75,000
519,150
13,240,815

Strategic Estate Programme - The Trustees gave designated funds to implement the programme of estate improvements and replacements planned to take place over the next 7 to 10 years.

NHS Grant - a capital grant from NHS England for use in providing supported living accommodation for people with a learning disability.

Orchard Cottage Grant - a capital grant from BNSSG ICB for use in providing and improving specialist supported living accommodation for people with a learning disability.

4A The Beac h - a residential property gifted to support the delivery of supported living accommodation for adults with a learning disability.

Page 23

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

16. Summary of funds

Summary of funds - current year


Designated funds
General funds
Restricted funds
Summary of funds - prior year
Designated funds
General funds
Restricted funds		 Balance at 1
April 2024
£
1,702,344
11,019,321
519,150
13,240,815
Balance at
1 April 2023
£
1,702,344
10,767,466
529,020
12,998,830		 Income
£

-
1,288,988
667,752
1,956,740
Income
£
-
1,151,617
-
1,151,617		 Expenditure
£
-
(1,087,637)
(11,798)
(1,099,435)
Expenditure
£
-
(926,262)
(9,870)
(936,132)		 Transfers
in/out
£
(1,476,432)
1,476,432
-
-
Gains/
(Losses)
£
-
26,500
-
26,500		 Balance at
31 March
2025
£
225,912
12,697,104
1,175,104
14,098,120
Balance at
31 March
2024
£
1,702,344
11,019,321
519,150
13,240,815

17. Analysis of net assets between funds Analysis of net assets between funds - current year

Unrestricted
funds
2025
£
Tangible fixed assets
9,832,040
Investment property
364,000
Current assets
2,825,766
Creditors due within one year
(98,790)
TOTAL
12,923,016		 Restricted
funds
2025
£
1,136,928
-
38,176
-
1,175,104		 Total
funds
2025
£
10,968,968
364,000
2,863,942
(98,790
14,098,120

Page 24

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

17.
Analysis of net assets between funds (continued)
Analysis of net assets between funds - prior year
Unrestricted
funds
2024
Restricted
funds
2024
£
£
Tangible fixed assets
8,841,211
480,974
Investment property
364,000
-
Current assets
3,594,930
38,176
Creditors due within one year
(78,476)
-
TOTAL
12,721,665
519,150
18.
Reconciliation of net movement in funds to net cash flow from operating activities
2025
£
Net income for the year (as per Statement of Financial Activities)
857,305
ADJUSTMENTS FOR:
Depreciation charges
319,955
Interest received
(74,966)
(Increase)/decrease in debtors
(172,077)
Increase/(decrease) in creditors
20,314
Revaluation of investment property
-
NET CASH PROVIDED BY OPERATING ACTIVITIES
950,531
19.
Analysis of cash and cash equivalents
2025
£
Cash in hand
2,640,060
TOTAL CASH AND CASH EQUIVALENTS
2,640,060		 Total
funds
2024
£
9,322,185
364,000
3,633,106
(78,476)
13,240,815
2024
£
241,985
311,618
(68,938)
18,745
(3,554)
(26,500)
473,356
2024
£
3,581,301
3,581,301

Page 25

FREEWAYS TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

20. Analysis of changes in net debt

At 1 April At 31 March
2024 Cash flows 2025
£ £ £
Cash at bank and in hand 3,581,301 (941,241) 2,640,060

21. Contingent liabilities

There is a contingent liability in respect of the capital grant of £493,500 from NHS England to provide accomodation for people with learning disabilities. Should Freeways Trust cease to provide this accomodation or an agreed alternative then the grant would be repayable based on the current value of the property and the original proportion funded by the grant.

22. Related party transactions

The majority of the Trustees are also the Trustees of Freeways, a charitable company that provides residential, supported living and day care services for persons with learning disabilities. Freeways leases some of the charity's properties and paid £555,864 (2024: £534,996) to the charity in the year ended 31 March 2025.

Freeways Trust paid £17,046 (2024: £2,801) to Freeways and received £52,450 (2024: £54,756) in respect of management charges during the year. At the year end, Freeways Trust was owed £38,936 (2024: owed £3,171) by Freeways. This balance is included within debtors (2024: creditors).

Page 26