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2023-03-31-accounts

REGISTERED COMPANY NUMBER: 05018587 (England and Wales) REGISTERED CHARITY NUMBER: 1102433

REPORT OF THE TRUSTEES AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

FOR SOUTH WEST LONDON LAW CENTRES

Haysmacintyre LLP 10 Queen Street Place London EC4R 1AG

SOUTH WEST LONDON LAW CENTRES

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

Page
Reference and Administrative Details 1
Report of the Trustees 2 to 15
Report of the Independent Auditors 16 to 18
Statement of Financial Activities 19
Balance Sheet 20
Cash Flow Statement 21
Notes to the Cash Flow Statement 22
Notes to the Financial Statements 23 to 34

SOUTH WEST LONDON LAW CENTRES

REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 MARCH 2023

TRUSTEES

Allan Blake Clara Clint (resigned 1.12.22) Marion Edge (resigned 30.3.23) Claire Gilbert (resigned 1.12.22) John Linwood (resigned 30.3.23) Sarmad Qureshi Simon Tinkler Sarah Towler (resigned 30.3.23) Nimmisha Aslam (appointed 1.12.22) Sarah Bergstrom (appointed 1.12.22) Susan Field (appointed 1.12.22) Bernd Halschka (appointed 1.12.22) Keith Alastair Livingston Boak (appointed 1.12.22) (resigned 23.3.23)

COMPANY SECRETARY Stacey Edgar REGISTERED OFFICE 5th Floor Davis House Robert Street Croydon CR0 1QQ REGISTERED COMPANY 05018587 (England and Wales) NUMBER REGISTERED CHARITY 1102433 NUMBER AUDITORS Haysmacintyre LLP 10 Queen Street Place London EC4R 1AG CHIEF EXECUTIVE Patrick Marples BANKERS CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2023. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

Objectives and activities

Purposes and aims

The objects of the Charity are: the relief of poverty, suffering and distress by the provision of legal advice, assistance and representation, and the advancement of education for those resident, working or in full time education in South West London, including the London boroughs of Croydon, Kingston upon Thames, Merton, Richmond upon Thames, Sutton and Wandsworth and, in exceptional circumstances, residents from other areas; and the promotion of other such purposes which are exclusively charitable according to the law of England and Wales as the Trustees may from time to time determine.

The main activities undertaken in relation to those purposes are:

Public benefit

The Trustees referred to guidance contained in the Charity Commission's general guidance on public benefit when reviewing the law centre's aims and objectives and in planning and reviewing all our activities. South West London Law Centres (SWLLC) is a community based, legal practice working to relieve poverty, suffering and distress for the most disadvantaged and vulnerable members of our communities, in need of help at difficult times in their lives to resolve legal problems. We broadly help those who cannot afford a lawyer to access social welfare law. Public benefit is delivered by the provision of free legal advice or affordable charges for services and representation at court in social welfare law. The professional services and the housing court duty scheme are funded by legal aid, grants, and donors, and operates from four branches in, Battersea, Croydon, Merton, and Kingston. The Kingston Branch closed in March 2023. We will continue to deliver the court duty scheme at Kingston County Court with other services that used to be delivered from Kingston being delivered from other offices. We continue to charge for some services in employment and immigration where funding through legal aid is no longer available. Our Pro Bono legal advice clinics are free and staffed by volunteer advisors.

By these means, the Charity aims to improve access to justice to vulnerable members of the community in South West London.

There were many highlights to 2022/23 framed by the continuing impact of increase in the cost-of-living, the restriction in our resources and therefore our ability to deliver our services. The majority of our clients have always been in a cost of living 'crisis' situation: this is nothing new. The prolonged wider national impact is affecting greater numbers and highlighting the situation on a national basis that our clients have consistently lived in. There has been no significant policy change to use social welfare law services to relieve the effects of this 'crisis'. We can see through the long history of our work that we do have an impact on those in urgent need. Our project work that runs alongside our legal aid work has always been focused on this. We were able to assist an additional 117 individuals and families compared to the previous year bringing the total number helped in 2022/23 to 6,778.

All Case Studies use fictitious names to protect the identity of staff and clients.

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

OBJECTIVES AND ACTIVITIES

Volunteers

The use of hundreds of volunteers alongside our 42 employed staff (32 average FTE) has been at the heart of our law centre operations for a long time. SWLLC runs one of the largest Pro Bono Legal Advice Clinic services in the UK delivered through a team of around 400 volunteer lawyers. This service empowers clients by encouraging them to take better steps to resolve problems themselves, where necessary with some follow-up by advisers (e.g. drafting documents or writing letters on clients' behalf).

We continued to operate our pro bono programme remotely through booked appointments held over the telephone or through video conferencing. In a survey of our service users and volunteers we received positive feedback on the way the service operates. In the current environment we recognise that the service may not be meeting the needs of everyone in our community and that there is a need to widen its scope. We have therefore approached a number of supporters for assistance to adapt and streamline the remote pro bono clinic services to make them easier to use. Our longer-term aim is to move to a system of more flexible advice times. We continue to see if we can adapt the pro bono offering so we can develop specialisms to carry out some casework. During the year we established an innovative new partnership with BPP Law School - Employment Law For London: this service offers a free 30-minute telephone advice appointment for all London residents needing legal advice about a workplace issue. We continue to look at the feasibility of bringing back an element of a face-to-face pro bono clinic service.

Volunteers also help us in every aspect of our work: from supporting reception during the daytime and in the evening with administrative tasks, to working as casework assistants to support our casework teams. The work includes undertaking legal research, assisting with creating bundles of documents, note taking and drafting letters. Following the pandemic, we have started to reintroduce volunteers to undertake these tasks although in smaller numbers. We continue to use internships in our immigration and employment teams; through these placements some interns have gone on to successfully gain paid employment. We want to expand this programme. Typically, our volunteers have been those seeking new skills/experience to get back into the job market or students wishing to further legal careers. On average daytime volunteers stay with the law centre between 3 - 6 months.

"Volunteering at SWLLC has greatly developed my understanding of legal aid and its scope in asylum and housing law. I have also gained exposure to various other areas of law through triaging clients for pro bono clinics. This has given me invaluable experience in the legal sector, and it has been immensely rewarding to be part of the process of providing equal access to justice." (Volunteer)

We estimate the value of daytime volunteering to be £37,500. An estimate of the value of pro bono work provided by evening volunteers is in excess of £1.4 million, calculated on the basis that each client (including follow up work and supervision time) can on average take a combined total of 3 hours of volunteer time at £164 per hour. This is a high street rate, higher than the legal rates that the law centre staff recover for professional services in casework and representation.

"My drive to volunteer comes from seeing a small difference that my time can make to others. Some people lose hope by the time they come to me because they have had no joy anywhere else. A conversation of only 10 minutes sometimes makes a huge impact upon their life and motivates them and gives them the direction they need to resolve their issue. It's almost like a buzz from seeing people coming out of their dark places and into the light as a result of only a few minutes of my time which makes me want to continue in giving whatever I can for as long as SWLLC want me!" (Pro bono lawyer)

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Achievement and performance

The Table below summarises our principal Activities in three main areas. Overall, in 2022/23, we assisted 6,778 clients (6,664 in 2021/22) with direct services.

----- Start of picture text -----
Inputs Activities Outputs
Housing Team: Six Activity I - Provision 2,925 cases (2,655 in
solicitors, including one of representation in 2021/22) We carried
who undertakes social welfare law forward 539 cases at
community care and covering community the start of the year.
welfare rights cases, care, debt,
plus two paralegals discrimination
attached to the team employment, housing,
one of whom qualified immigration, asylum,
post year end. public law and welfare
Debt Team: Five rights
caseworkers.
Immigration Team:
Four solicitors and two
OISC registered
caseworkers, including
one undertaking public
law.
Employment Team:
Two caseworkers.
Cost of Living: Two
crisis navigators and
two welfare rights
caseworkers supporting
the work of the housing
and debt teams. A
Community
Engagement Manager
promoting the law
centre work.
Housing Team (as Activity 2 - Housing 899 cases (806 in
above) Possession Court 2021/22)
Duty Scheme
Pro Bono Team Client Activity 3 - Pro Bono 2,954 clients seen
Services Manager, Legal Advice Clinic (3,200 in 2021/22).
daytime and evening delivered remotely
reception staff, and pro since March 2020
bono lawyers
----- End of picture text -----

Activity 1: Provision of representation in social welfare law

Outcomes - full specialist casework service in a broad range of social welfare law in the areas of community care, debt, discrimination, employment, housing, immigration and asylum, public law and welfare rights, collectively referred to as 'social welfare law'. Our legal work has a broad range of outcomes

Impact Report

There are a range of impacts from our casework as illustrated in the examples below.

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

1. Community Care

We help people obtain the appropriate community care assessment and services that they are entitled to. Casework enables people with mental illness, learning disabilities or other care needs to get the support they are entitled to. This also helps to reduce isolation for these often very lonely individuals struggling to cope alone in the community.

2. Debt

We help people with a strategy for dealing with debts as early as possible in the process as well as challenging unenforceable debts. Work is focussed on reducing debt and finding affordable and manageable debt solutions. We work with individuals and families to calculate an affordable budget, so that they can get back on track. We also help people to apply for grants from a variety of sources to support their everyday needs.

Our debt team, funded through Debt Free London, supported 1,749 people last year. We continue to see high demand and saw 538 clients through our Cost of Living/Welfare Rights team.

Our funder Debt Free Advice has awarded the team a Trustpilot score of 4.9 out of 5 based on feedback from 172 of our clients.

"I liked the service, the adviser listened carefully tried to get into the problem, I somehow even calmed down, she consoled me and said not to be upset, then they can and will help. I hadn't asked anyone for help before and in my situation, it was embarrassing to ask." January 2023, 5 Stars

Nirmay's Story - A Debt Case Study

"Ten years ago, I was a victim of fraud from a member of my family who took advantage of me by using my credit card. They took out loans in my name of over £50,000. It was very stressful, and I ended up with depression and then lost my job."

Although Nirmay told his credit card company in 2014 about the fraudulent loan, it was only after he contacted the Law Centre for help with his case that they finally agreed to write off the account balance and sent a goodwill payment. They have also now reimbursed him for the payments made, plus interest.

"Getting this money will make a huge difference to me after ten years of struggling. I was put in a situation I couldn't get out of until I contacted South West London Law Centres. They helped me out and all the members of staff worked extremely hard for me throughout. They used so much of their energy and got me out of the dark hole I was in and into the bright light."

3. Cost of Living

We support people to maximise their income; claim the right benefits and get further assistance such as claim grants for individuals in need. We continued to develop our service based on external evaluation and through new grants from the Lottery Community Fund and London Legal Support Trust/Greater London Authority. We now have team of four - two Crisis Navigators and two welfare rights caseworkers. Our Crisis Navigators support the work of the whole organisation by:

a. Being the consistent point of contact for those accessing multiple services;

b. Securing additional funds for the client to enable them to stabilise their short term crisis;

c. Channelling clients through to our specialist caseworkers/ legal staff so that their time is prioritised on providing necessary expert advice and representation; and

d. Acting as case manager to ensure all internal and relevant external services are working together and the client understands how they all fit together to resolve their issues.

Denise's story - Cost of Living - Debt case study

'I was living in a women's refuge due to domestic violence. The council pointed me to the Law Centre for help with debts, but I had too much on my plate to focus on it.

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

'A money adviser, discussed different financial scenarios with me. She also mentioned unclaimed support funds for my autistic son. I knew about these, but with the domestic violence situation, I hadn't acted on it.

'After a while, when I was rehoused and felt more settled, the money adviser connected me with a caseworker to apply for Disability Living Allowance (DLA) for my son. She patiently helped me fill the lengthy form over the phone. When I received the full DLA amount, it marked my journey to financial stability. With a clear calculation on balancing work and childcare, I adjusted my work hours. Using the DLA wisely, I arranged a tutor for my son. He's flourishing now.

'I've significantly reduced my debt and stopped relying on credit. The support from the Law Centre has been instrumental. The Caseworker's persistence and the DLA funds have been pivotal in confronting my debt and rebuilding my life. I'm deeply thankful.'

Denise was living in emergency accommodation following domestic violence and was referred to us for help with her debts. We gave her debt advice and referred her to our crisis navigator who helped her successfully apply for Disability Living Allowance for her son. Following the advice and support she received she is now in a much better position financially and she is able to build a new life with her children.

4. Employment

We help people on a wide range of issues including; dismissal, suspension, discrimination, unpaid wages and failure to pay the minimum wage; notice or redundancy pay, holiday pay, breach of contract, grievances, appeals; and settlement agreements. We also specialise in discrimination cases funded through our legal aid contract. Through this work we help people to remain in their jobs and where appropriate obtain redress for bad employment practice.

This work is funded through grant funding, legal aid and various methods of affordable charging. We now have two caseworkers. This year we worked on 36 cases and increased our reach through volunteers to support weekly employment advice clinics along together with our general pro bono clinics where we advised 595 people.

Employment Case study - Matha's Story

'When Covid came along, given my heart condition, I made the decision to shield. I'm a single mum and have had financial struggles in the past. It's important to me to be working. I was still waiting for a shielding letter when I spoke to my GP. I let my employer know their recommendation. Two days before my May pay date, I received a letter saying I was absent without leave and faced disciplinary action. The country was in lockdown!'

'I had a mental breakdown, diagnosed with depression and anxiety. The fear of leaving my job without any support loomed large. Financial difficulties mounted, leading to rent delays and dependency on neighbours

'I reached out to Citizens Advice, and they directed me to the Law Centre. The tribunal lasted five days. When the judgment arrived, I was overwhelmed with relief. The compensation I received was beyond my expectations. I'm deeply grateful for all the support I received during this ordeal.'

*Matha started working for her employer in 2019. Her medical condition, which affects her cardiovascular health, prompted her to request work-from-home accommodations in early 2020 due to Covid-19. The relationship with her employer deteriorated, impacting Matha's mental health. We pursued legal action for disability discrimination on Matha's behalf and won a week-long hearing at the Employment Tribunal, being awarded £45,000.

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

5. Housing

We work with people on a wide range of different housing issues covering possession, unlawful eviction, homelessness, disrepair and anti-social behaviour, all helping people keep or gain a home. We also act for the homeless by ensuring local authorities accept their statutory duties to provide housing. We worked on 242 cases and 899 clients were assisted as part of the Housing Possession Court Duty Scheme.

Judy's Story - Housing Case Study

Judy works as a carer and was living with her partner and adult daughter. When her partner died, she contacted the Housing Association to have the tenancy changed to her name. They replied saying she had no right to succeed and should vacate the property. Our housing solicitor took on her case under legal aid and began legal proceedings against the Housing Association, providing evidence and witnesses to prove the relationship and therefore the right to succession. Judy won her case and has taken over the tenancy meaning she and her daughter can stay in their home.

'At the trial, the judge said I would get the tenancy. I just felt elated. I knew I was right. At one stage I'd felt like giving up on the whole thing because of the stress and anxiety it caused, but then I knew in my heart that what I was doing was right. The Law Centre's solicitor and the barrister who represented me in court were so supportive and compassionate and that meant a lot because it had been a very stressful situation - I work with vulnerable people and I'd constantly been thinking I may be homeless for no good reason.

'Without the solicitor's help I think I would have lost the tenancy. He knew the process so well, that if it was anybody else, I don't think they would have fought as hard and possibly done so much work for me. I fully trusted him throughout the whole process, and I really believe that we would have lost this tenancy for no good reason if it wasn't for the Law Centre.

'It's been quite a journey, and a long one, but it's ended very well, and I will be forever thankful to the Law Centre for that.'

Community Engagement and Housing

Over the last year our Community Engagement Manager has continued talking to the community about what they want from the law centre. As a result of a community survey, we continue to develop a series of themed workshops on using the law to support our community. These workshops evolve and have a series of case studies that are dissected as a group to find routes to remedy the situation using the same practice on each situation: Identify, Evidence, Report, Connect.

A major theme from our consultations are issues around access to, and the condition of, housing. We are assessing how we can further help beyond the current strictures of the legal aid scheme. Through new funding from Trust for London we have organised support groups for people to talk about their experiences of living in temporary accommodation and have been helping them to campaign for change. This has led to taking part in various consultations. We continue to use our community engagement work to ask the community about their needs and from this we have developed a series of pilots that have attracted grant funding.

6. Migrants and Asylum Seekers

This work is focussed on enabling clients to obtain Leave to Remain. With this 'gateway' status, they can work and earn an income legally, re-unite with family left behind and maximise their life chances. Many of the people who eventually come to us have failed to have their cases fully dealt with and were exploited by other lawyers. We also worked on the EUSS scheme.

Our small team specialises in dealing with unaccompanied minors, victims of trafficking and modern slavery, domestic violence and minority groups such as LGBTQ+. We worked on 206 cases. Our pro bono clinics advised 392 people on immigration issues. Through new funding from Greater London Authority we are working with South London Refugee Association in a London wide consortium to improve the immigration status of those who are street homeless as a way of helping them to move from being homeless.

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Inara's Story - Immigration Case Study

*Inara had an arranged marriage in her home country. Her husband was violent towards her, forced her to have an abortion and took a second wife. She managed to flee with a family member and they travelled to the UK on student visas. Fearing she would be subject to an honour killing if she returned to her country, as had happened to one of their relatives, they lodged separate claims for asylum in the UK. These were refused as were their joint appeals. Inara was represented by three different fee-paying solicitors during this process.

She eventually came to the Law Centre where our immigration solicitor took on her case. By this point, the family member was no longer able to support her, she became homeless and was suffering from various physical and psychological conditions.

Our solicitor submitted a fresh claim with new evidence, including a psychological assessment, background country evidence and witness statements. The case went to judicial review and Inara was finally granted refugee status earlier this year, eleven years after first arriving in the UK.

Inara said: "You were there for me during a very difficult time. I will never forget what you have done. At this difficult time it's so nice to feel appreciated."

7. Public law

We have the ability to litigate against public authorities, this includes dealing with Home Office delays and refusals to make decisions on immigration and asylum cases.

8. Welfare Rights

We assist people with cases including appeals to the second tier Tribunal. We can further litigate suitable cases beyond this. Most of this work is now undertaken by our Cost of Living team.

Activity 2: Housing Possession Court Duty Scheme

Outcome - Emergency housing representation across 3 county courts: Croydon, Wandsworth and Kingston for hearings listed that day. This helps clients to defend themselves against possession and home evictions in both rented and mortgage cases.

Our duty solicitors have provided emergency legal advice/representation to clients last year in three courts and saved many from eviction often providing pro bono benefit assistance to address underlying issues relating to the benefit cap and bedroom tax.

Impact - We continue to achieve a high success rate. In 2022/23 we represented 899 people.

Julia's story - Court Duty Scheme case study

Julia, a mother grappling with depression and alcoholism, found herself in the Croydon County Court's waiting area. With no one to turn to and a staggering £12,000 in rent arrears threatening her and her children's housing stability.

"I was very scared and nervous, while reading about being evicted. It was quite scary and I had no idea what to do or where to start."

When our County Court duty solicitor recognized Julia's dire need for legal help, we stepped in. Julia's case was complex. She had a four-month-old possession order, hadn't appealed or set aside the order, and was facing imminent eviction.

Upon investigating, we uncovered that her Housing Benefit had been unjustly terminated in 2001, leading to the arrears. Our Law Centre successfully cleared her rent account, negotiated a settlement where the council agreed to pay damage of £2,400 for inconvenience and distress, complete repairs of the property and restore her tenancy.

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

"After hearing that I will keep my home and receive compensation as well, I got really happy. I was relieved. It felt like the stress on my shoulders had lifted and I could feel a sense of security. SWLLC really made a great impact in my life. I am in a secure and stable place at the moment, which would not be possible without the help of the Law Centre"

Activity 3: Pro Bono Legal Advice

Outcome - Our Volunteering Programme Our clinic programme has run remotely since March 2020 addressing legal problems in their early stages and covering a wide range of legal subjects: Crime, Criminal Injury, Consumer, Employment, Family, General Litigation, Housing, Immigration, Inquests, Motoring Offences, Personal Injury, Small Claims, Wills and Probate.

From the feedback we receive, we know that this advice unlocks problems, helps people move on with their lives and builds confidence. Here are just a few of the comments clients have given:

"I have used the Law Centre on two separate occasions for housing matters. I cannot recommend them enough. On both occasions I felt that my issue was dealt with very efficiently."

"I spoke to two solicitors from your office. They were knowledgeable, informative and I got the outcome I hoped for thanks to their help. It's a brilliant service."

"Your law advisors are extremely professional and give appropriate and right advice for the situation a person is in. I would give your advisors ten out of ten. The advice is always spot on. Thank you so much for the service."

"I followed her advice and used the information she provided and I was able to reach an immediate resolution with the other party after about four months of going round in circles."

Other major achievements

Operational successes

Throughout this period, the Law Centre has taken various successful steps to secure its future:

Maintaining Financial Control - The Senior Management Team's work has been significant in maintaining our cashflow in a difficult operating environment where there is restricted legal aid and competitive grant funding opportunities.

Increased grant funding - We are grateful for the support provided by our funders that allowed us to continue to operate in these difficult times. Through the year we have been able to extend the reach of the law centre through new funding streams which now total 22. These have included:

Lottery Community Fund, Crisis Fund - has helped secure funding for our Cost of Living Team funding, a crisis navigator, part time welfare rights casework as well as embedding community engagement in the project.

London Legal Support Trust/Greater London Authority - funded a one year Cost of Living pilot for a further crisis navigator and welfare rights caseworker.

Greater London Authority - in partnership with South London Refugee Association funding for 1.5 new regulated immigration caseworkers to assist street homeless with their immigration status.

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Trust for London - in partnership with Citizens Advice Croydon funding a temporary accommodation project in partnership with to enhance our community engagement to campaign on the issues of those living in temporary accommodation.

We continue to apply and develop our grant portfolio with continuing success into the next financial year, developing partnerships and including new funding from the Legal Education Foundation to fund a new trainee solicitor post. We continue to look for funding and partnerships that can help us develop the next generation of lawyers working in social welfare law.

Maintaining quality - We continued to pass both our Lexcel and Legal Aid quality audits remotely with a positive audit assessment as detailed below:

Despite the current difficulties and challenges, SWLLC should be highly commended for sustaining an extremely high level of compliance against the Lexcel Standard. There will still be short term challenges around continuing to sustain those high levels of compliance in the face of continuing change and development both internally and externally. It was very clear, however, that compliance is a deeply embedded part of the culture and, in Lexcel terms, SWLLC remains an exceptionally efficient and exceptionally well run organisation!! The significant ongoing work, and influence, of the Head of Legal Practice/Lexcel SRO will continue to provide a stable platform from which to address those challenges.

Given the current context, one of the key critical challenges for SWLLC is to fully embed, its "new normal" in terms of the "post pandemic" context. This will enable the organisation to then regroup and continue to grow and develop. SWLLC will need to continue to proactively consider what that "new normal" will mean both for culture, working methods, funding, supervision and compliance. There is also a need "to continue to protect the culture" - it is the culture that, in large part, has both enabled, and will continue to enable, the successful development of the organisation. Integral to all of this will be the need to maintain a cost effective organisation structure, and the continued refinement of the culture which will need to remain proactively focussed on client care, development/growth, funding sources, agile decision making and agile working".

Lexcel Audit (April 2023)

External Awards

The Law Centre has been recognised in the following Awards:

Excellence Award for Outstanding Achievement 2022

Our immigration team was rated excellent in an independent peer review by the Legal Aid Agency. We are one of the few agencies across the country that achieve this highest rating

"An exceptional level of client care was provided to vulnerable clients. A large proportion of the files reviewed related to clients who were vulnerable as a result of their youth, mental illness, physical illness, or experience of trauma (sometimes all of these)."

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Financial review

Financially, as for many in this sector, this year has been challenging.

Restrictions of the Legal Aid Sentencing and Punishment of Offenders Act 2012 (LASPO) continue to make it extremely difficult for the Law Centre to operate as fairly and effectively as it should. Legal Aid is now worth less than 50% in real terms than a decade ago. We continue to find ways to address the difficulties this causes to our funding, now supported currently by 22 grant funders to whom we are extremely grateful. We are considering ways we can further harness the legal profession's support as well as increasing even further the number of grant-funded projects we can undertake.

The charity's income for the year was £1,569,154 compared to £1,509,383 in 2021/22. The total expenditure in the year were £1,544,089 compared to £1,574,499 in 2021/22. The net result produced a surplus of £25,065 (2021/22 deficit (£65,116)). Restricted funds increased by £19,308 and unrestricted general funds also increased by £5,757.

SWLLC held funds of £640,620 at the year-end, of which £139,155 was restricted and £501,465 was unrestricted.

In 2022/23, South West London Law Centres' main source of funding was Grant Income, due to challenges around Legal Aid income. We received funding and grants from AB Charity, Access to Justice Foundation, Citizens Advice Croydon (Croydon Advice Providers Together), Croydon Relief in Need, Debt Free Advice, DWP (Kickstart), Greater London Authority (Homeless Immigration Project), Here for Good, Law Centres Network, London Legal Support Trust, London Borough of Croydon, London Borough of Merton, London Borough of Kingston, Lottery Community Fund, Merton Giving, Merton Social Prescribers, The Good Things Foundation, Tides Foundation (Blackrock), Trust for London and Wimbledon Guild.

SWLLC retained a number of donors and corporate sponsors as well as raising funds through various fundraising activities.

Reserves policy

The Trustees have considered the following factors when considering a reserves policy:

The nature of the law centre's business means that at any one moment in time it has very considerable work in progress. This is reflected in its material reserve position. The Trustees have adopted a target for unrestricted reserves of three months expenditure which is approximately £390,358. At March 2023, our unrestricted reserves stood at £501,465 (2021/22 £495,708). Because reserves are effectively held as work in progress rather than cash the Trustees continue to prioritise effective management of work in progress turning it into cash as well as looking for other means whereby cash reserves can be built up. This will continue to be a major focus of the Law Centre's work in the coming year.

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SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Going concern

The ongoing impact of the freezing of legal aid and limited alternative sources of funding available for the operational activities of South West London Law Centres has increased the focus on going concern. There is considerable impact on the ability of the Law Centre to earn Legal Aid income through an effective 20 year freeze on rates of renumeration. The Law Centre has expanded its share of grant income where we can. The Trustees continued measures to deal with this crisis, by undertaking a scenario-based budgeting exercise to quantify the potential deficit and put in place early savings measures.

Although the start of 2022/23 was recognised as being difficult, following work on pilot projects started in the previous year we have been successful in a number of longer three year commitments which provide more stability. New funding has been awarded from the Lottery Community Fund, Trust from London and Greater London Authority. As a result of this we ended the year making a small unrestricted surplus. In previous years the law centre has been successful in reducing the defecit and even ending the year with a surplus through effective cost management and seeking new grant and income oppertunities.

This work continues into the current year 2023/24 by harnessing our community engagement work, listening to what the community wants and further developing pilots we have added to our portfolio by getting new funding from London Borough of Wandsworth, expanding our reach through funding by Surrey County Council and seeking funds to help train new solicitors through The Legal Education Foundation and Propel. However, we did loose grants from London Borough of Croydon due to the authority being placed in special financial measures.

A budget is being set for 2024/25, which continues to reflect the challenges that we face going forward. However, we are optimistic that the relationships that we have developed with new and existing funders, and the efforts put into diversifying our fundraising based on new areas of demand, will assist towards meeting our commitments as well as seeing our legal income grow.

The Law Centre will start the year 2024/25 with a smaller budgeted deficit than in previous years. The Budgets are regularly reviewed by the Trustees at Board level and through a Finance Sub- Committee.

Principal risks and uncertainties

Fundraising note

We are mindful of the code issued by the Fundraising regulator. We did not use any third parties in our fundraising activities and no complaints were received in the year.

South West London Law Centres undertook a strategic review and developed a revised three year strategic plan. The Law Centre undertakes a formal risk management review throughout the year. This forms part of the business plan cycle. It involves identifying the types of risk the charity faces, prioritising them in terms of potential impact and likelihood of occurrence, and identifying ways of mitigating the risks. The major risks are reviewed regularly by the trustees on a quarterly basis through a risk register covering governance, regulatory and compliance, financial, operational and external factors.

Page 12

SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Plans for the future: The Year Ahead - Our Strategic Objectives 2023 -24

Update - Impact of COVID-19 and last strategic plan

Our last three year plan was written before the pandemic. It was an ambitious attempt to modernise and drive our growth to meet ever increasing demand for our services. Covid-19 was so disruptive that we had to set aside plans for strategic growth and focus on survival. The impact of the pandemic will be felt for some considerable time and has been closely followed by a wide reaching cost of living 'crisis' impacting our clients, demand on our services and our ability to deliver them. The reality is that our clients have always been in 'crisis' mode: it is the extension of that distressed state to far more families and individuals and its public recognition that has heralded the term 'crisis'. Through concerned and generous funders we have been able to significantly increase the levels of our grant funding. However, our legal income has remained depressed, poorly remunerated and slow to recover from the pandemic. Recruitment at all levels has become substantially more difficult, but particularly for qualified legal staff in social welfare areas of law. The legal profession, Law Colleges and Universities are not generating lawyers with the skills and knowledge that our clients need.

Although we did not achieve all we set out in our last plan, we did establish some strong building blocks that are helping us move forward. These have included:

The overall direction of the plan and the goals for the next three years has not changed significantly. We have set out the actions for the next year only as the environment continues to change rapidly.

How we measure success and the vision for the previous iteration of the strategic plan are set out below.

Success is Unlocking Justice through....

Where do we see the Law Centre in 3 years' time 2026 SWLLC is....

Page 13

SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

Despite the challenges brought about by the pandemic and the cost of living crisis, we believe we have made considerable progress towards these objectives. We now need to consolidate what has been achieved and re-focus on our strategic growth in order to maintain the current trajectory.

We owe a huge debt of gratitude to all our many sponsors and funders. They have stuck with us and expanded in number during a very difficult period for the sector.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Constitution and Organisational Structure

South West London Law Centres (SWLLC) is a Charitable Company limited by guarantee. It was incorporated under a Memorandum and Articles of Association which were amended 15 December 2017, and was granted charitable status on 2 March 2004.

The overall responsibility of SWLLC belongs to the Trustees (board of directors) which meets bi-monthly. The Board is supported by a Finance and Human Resources Sub Committees who are responsible for setting salaries. Day to day responsibility for managing the law centre is delegated to the charity's Chief Executive Officer (CEO), Patrick Marples and the Senior Management Team, comprised of the Deputy CEO, Stacey Edgar, Head of Legal Service and Housing Solicitor, Katy Forkah. The remuneration for key management staff is determined by following a criteria of consistency with the responsibilities assigned, and alignment and success in achieving the organisation's overall strategic aims and prevailing market trends.

Appointment of trustees

SWLLC is a charitable company managed by a board of voluntary trustees comprised of local groups and individuals. Voluntary organisations from SWLLC's catchment area, representing vulnerable individuals and groups in need of our services, are encouraged to become members of the organisation and stand for election to the board as are concerned individuals from across the six boroughs. The amended articles changed the way that trustees are appointed. The size of the board is now restricted to 12 and trustees are eligible to stand for up to 2 terms of 4 years before a break. Trustees due for re-election retire from office at the AGM and those eligible can stand for re-election.

Induction and training of new trustees

Skill gaps on the Board are regularly identified and as a result efforts are made to identify new Trustees capable of filling any gaps. Induction and training of trustees is currently carried out on an ad-hoc basis as and when the needs arise. The Trustees have developed an induction programme and are reviewing training policies as part of its current review.

Related parties

There are no related parties' transactions.

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of South West London Law Centres for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Page 14

SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued

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

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

Report of the trustees, approved by order of the board of trustees, as the company directors, on

and signed on the board's behalf by:

.................................................................

Trustee

Page 15

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SOUTH WEST LONDON LAW CENTRES

Independent auditor's report to the members of South West London Law Centres

Opinion

We have audited the financial statements of South West London Law Centres for the year ended 31 March 2023, which comprise the Statement of Financial activities, Balance Sheet, Cash Flow Statement, and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, 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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Trustees' 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.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

Page 16

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SOUTH WEST LONDON LAW CENTRES

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report (which incorporates the directors' report).

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

Responsibilities of trustees for the financial statements

As explained more fully in the trustees' responsibilities statement set out on page 15, 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.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's 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:

Based on our understanding of the charitable company and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to the regulatory requirements of the Charity Commission, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, Charities Act 2011, and Payroll and Sales Taxes.

We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to the posting of inappropriate journal entries or the manipulation of accounting estimates, such as the recognition of work in progress. Audit procedures performed by the engagement team included:

Page 17

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SOUTH WEST LONDON LAW CENTRES

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves 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 auditor's report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

Lee Stokes (Senior Statutory Auditor) for and on behalf of Haysmacintyre LLP 10 Queen Street Place London EC4R 1AG

Date:

Page 18

SOUTH WEST LONDON LAW CENTRES

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

Notes
INCOME FROM
Grants and donations
3
Legal and advice services
4
Investment income
5
Total
EXPENDITURE ON
Raising funds
6
Charitable activities
7
Legal and advice services
Total
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
230,148
409,863
872
640,883
42,149
592,977
635,126
5,757
495,708
501,465		 Restricted
fund
£
928,271
-
-
928,271
-
908,963
908,963
19,308
119,847
139,155		 2023
Total
funds
£
1,158,419
409,863
872
1,569,154
42,149
1,501,940
1,544,089
25,065
615,555
640,620		 2022
Total
funds
£
1,141,992
367,373
18
1,509,383
38,573
1,535,926
1,574,499
(65,116)
680,671
615,555

The notes form part of these financial statements

Page 19

SOUTH WEST LONDON LAW CENTRES (REGISTERED NUMBER: 05018587)

BALANCE SHEET 31 MARCH 2023

Notes
FIXED ASSETS
Tangible assets
14
CURRENT ASSETS
Work in progress
15
Debtors
16
Cash at bank
CREDITORS
Amounts falling due within one year
17
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
NET ASSETS
FUNDS
19
Unrestricted funds
Restricted funds
TOTAL FUNDS		 Unrestricted
funds
£
11,604
316,801
453,366
189,051
959,218
(469,357)
489,861
501,465
501,465		 Restricted
fund
£
-
-
-
139,155
139,155
-
139,155
139,155
139,155		 2023
Total
funds
£
11,604
316,801
453,366
328,206
1,098,373
(469,357)
629,016
640,620
640,620
501,465
139,155
640,620		 2022
Total
funds
£
11,951
422,249
393,599
233,840
1,049,688
(446,084)
603,604
615,555
615,555
495,708
119,847
615,555

The financial statements were approved by the Board of Trustees and authorised for issue on 13 December 2023 and were signed on its behalf by:

.............................................

Trustee

The notes form part of these financial statements

Page 20

SOUTH WEST LONDON LAW CENTRES

CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2023

----- Start of picture text -----
2023 2022
Notes £ £
Cash flows from operating activities
Cash generated from operations 1 103,863 (109,501)
Net cash provided by/(used in) operating activities 103,863 (109,501)
Cash flows from investing activities
Purchase of tangible fixed assets (10,369) (645)
Interest received 872 18
Net cash used in investing activities (9,497) (627)
Change in cash and cash equivalents
in the reporting period 94,366 (110,128)
Cash and cash equivalents at the
beginning of the reporting period 233,840 343,968
Cash and cash equivalents at the end
of the reporting period 328,206 233,840
----- End of picture text -----

The notes form part of these financial statements

Page 21

SOUTH WEST LONDON LAW CENTRES

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

1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES

Net income/(expenditure) for the reporting period (as per the
Statement of Financial Activities)
Adjustments for:
Depreciation charges
Interest received
Decrease/(increase) in work in progress
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Net cash provided by/(used in) operations		 2023
£
25,065
10,716
(872)
105,448
(59,767)
23,273
103,863		 2022
£
(65,116)
7,260
(18)
(29,899)
174,862
(196,590)
(109,501)

2. ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.22 Cash flow At 31.3.23
£ £ £
Net cash
Cash at bank 233,840 94,366 328,206
233,840 94,366 328,206
Total 233,840 94,366 328,206

The notes form part of these financial statements

Page 22

SOUTH WEST LONDON LAW CENTRES

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

1. ACCOUNTING POLICIES

BASIS OF PREPARING THE FINANCIAL STATEMENTS

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

GOING CONCERN

The trustees consider there are no material uncertainties about the Charity's ability to continue as a going concern. The financial position, reserves levels and future plans gives the trustees confidence the Charity remains a going concern for the foreseeable future.

INCOME

All income is recognised in the Statement of Financial Activities when the company is legally entitled to the income and the amount can be quantified with reasonable accuracy and receipt is probable.

Legal Aid Agency income is accounted for on a receivable basis when the income is measurable and certain. In the case of Legal Aid, the Legal Aid Agency income is usually recognised once they have confirmed the payment. Legal Help income is recognised under the Unified Contract when SWLLC has closed the cases and is entitled to claim the fee.

Voluntary income is received by way of donations and covenants and is included in full in the statement of financial activities when receivable.

Grant income is recognised in full in the statement of financial activities in the year in which it is receivable or received whichever is the earlier.

EXPENDITURE

All expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources.

Overheads have been allocated on the basis of staff time.

Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of charitable activities.

Support costs are those incurred directly in support of expenditure on the objects of the company. Any irrecoverable VAT is written back to general expenditure.

Governance costs are those incurred in connection with enabling the company to comply with external regulation, constitutional and statutory requirements, and in providing support to the Trustees in the discharge of their statutory duties.

TANGIBLE FIXED ASSETS

Assets costing more than £100 are capitalised, where the benefits of capitalisation are material.

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following basis:

Furniture, fittings and equipment - Over 3 years

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continued...

SOUTH WEST LONDON LAW CENTRES

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

1. ACCOUNTING POLICIES - continued

WORK IN PROGRESS

Work in progress represents the value of all open legally aid funded cases. These cases had been opened but were not yet completed, as at 31 March 2023. Work in progress has been valued at the lower of cost and net realisable value taking into account payments that have already been received.

TAXATION

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

FUND ACCOUNTING

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

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors which have been raised by the company for particular purposes. The cost 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.

HIRE PURCHASE AND LEASING COMMITMENTS

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

PENSION COSTS AND OTHER POST-RETIREMENT BENEFITS

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

2. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Although these estimates are based on the trustees' best knowledge of the amount, events or actions actual results ultimately differ from these estimates. Estimates have been used in the calculation of the pension liability and valuation of the contribution by volunteers. The valuation of our work in progress is normally looked at on a quarterly basis, to assess the value of time earned but not billed. A provision is held against legal casework where it has been determined that the likelihood of recovery of costs is low.

3. GRANTS AND DONATIONS

General donations
City solicitors donations
Pro bono volunteers
London borough of Merton
London borough of Croydon
Other grants		 Total
Funds
2023
£
12,658
178,025
14,686
56,000
57,342
839,708
1,158,419		 Total
Funds
2022
£
19,483
116,863
37,500
56,000
38,551
873,595
1,141,992

The charity received no donations in kind in 2023 (2022: NIL).

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continued...

SOUTH WEST LONDON LAW CENTRES

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

3. GRANTS AND DONATIONS - continued

The charity has benefited during the year from pro bono legal volunteers, whose professional services had we paid for would have been valued at £1.6m (2022: £1.6m).

We have calculated the financial benefit provided to SWLLC, by the volunteers by estimating the cost of day time volunteers only. At a conservative estimate, daytime volunteers provide the equivalent of £37,500 in added value (£7.50ph administration/reception and £15ph casework support).

We estimate the value of pro bono work provided by our evening volunteers at around £1.6 million pounds - on the basis that each client (including follow up work and supervision time can take a combined total of volunteer 3 hours at a cost of £168p). We have used an estimated high street rate, which is higher than the legal rates that the law centre staff recover, and also assumed that rates have stayed fixed since last year.

4. LEGAL AND ADVICE SERVICES

----- Start of picture text -----
2023 2022
£ £
Legal and advice services 409,863 367,373
5. INVESTMENT INCOME
2023 2022
£ £
Interest receivable 872 18
6. RAISING FUNDS
2023 2022
£ £
Support costs - staff 33,041 31,122
Other support costs (see note 8) 9,108 7,451
42,149 38,573
7. CHARITABLE ACTIVITIES COSTS
2023 2022
£ £
Legal and advice services
Direct staff costs 822,151 812,895
Direct activity costs 47,332 76,431
Support costs (see note 8) 632,457 646,600
1,501,940 1,535,926
----- End of picture text -----

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continued...

SOUTH WEST LONDON LAW CENTRES

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

8. SUPPORT COSTS ALLOCATED TO ACTIVITIES Support costs, included in the above, are as follows:

Fundraising
Charitable
£
£
Staff costs
33,041
372,733
Premises costs
4,689
119,637
Office and administration
4,419
106,874
Insurance costs
-
10,713
Governance costs
-
22,500
Total
42,149
632,457
Overhead costs have been allocated on the basis of staff time.
SUPPORT COSTS ALLOCATED TO ACTIVITIES
PRIOR YEAR
Fundraising
Charitable
£
£
Staff costs
31,122
355,953
Premises costs
3,134
113,238
Office and administration
4,317
149,865
Insurance costs
-
6,115
Governance costs
-
21,429
Total
38,573
646,600		 2023
£
405,774
124,326
111,293
10,713
22,500
674,606
2022
£
387,075
116,372
154,182
6,115
21,429
685,173		 2022
£
387,075
116,372
154,182
6,115
21,429
685,173
2021
£
277,828
113,993
118,067
29,374
-
539,262

9. NET INCOME/(EXPENDITURE)

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

Auditors' remuneration
Depreciation - owned assets
Hire of plant and machinery		 2023
£
15,000
10,716
25,843		 2022
£
15,000
7,260
32,408

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continued...

SOUTH WEST LONDON LAW CENTRES

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

10. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 March 2023 nor for the year ended 31 March 2022.

TRUSTEES' EXPENSES

There were no trustees' expenses paid for the year ended 31 March 2023 nor for the year ended 31 March 2022.

11. STAFF COSTS

STAFF COSTS
Wages and salaries
Social security costs
Other pension costs		 2023
£
1,118,754
107,131
2,040
1,227,925		 2022
£
1,053,777
106,151
43,838
1,203,766

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

Legal service and advice
Support and fundraising		 2023
22
10
32		 2022
26
11
37

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continued...

SOUTH WEST LONDON LAW CENTRES

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

12. STAFF COSTS - continued

No employee received remuneration amounting to more than £60,000 in either year. The remuneration of the Charity's key management personnel in the year was £56,038 (2022: £54,975).

Redundancy payments were £NIL (2022: £2,690) in the year.

13. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

INCOME FROM
Grants and donations
Legal and advice services
Investment income
Total
EXPENDITURE ON
Raising funds
Charitable activities
Legal and advice services
Total
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
307,219
367,373
18
674,610
38,573
679,251
717,824
(43,214)
538,922
495,708		 Restricted
fund
£
834,773
-
-
834,773
-
856,675
856,675
(21,902)
141,749
119,847		 Total
funds
£
1,141,992
367,373
18
1,509,383
38,573
1,535,926
1,574,499
(65,116)
680,671
615,555

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

14. TANGIBLE FIXED ASSETS

COST
At 1 April 2022
Additions
At 31 March 2023
DEPRECIATION
At 1 April 2022
Charge for year
At 31 March 2023
NET BOOK VALUE
At 31 March 2023
At 31 March 2022
15.
WORK IN PROGRESS
Work-in-progress
16.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Other debtors
Prepayments and accrued income		 2023
£
316,801
2023
£
148,035
191,144
114,187
453,366		 Plant and
machinery
£
128,867
10,369
139,236
116,916
10,716
127,632
11,604
11,951
2022
£
422,249
2022
£
58,205
208,673
126,721
393,599

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

17. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Clients' funds held
Trade creditors
Social security and other taxes
Other creditors
Accrued expenses		 2023
£
149,238
232,503
37,319
7,258
43,039
469,357		 2022
£
109,916
239,889
30,729
21,083
44,467
446,084

18. LEASING AGREEMENTS

As at 31 March 2023, the charity had annual commitments under non-cancellable operating leases as follows:

Within 1 year
Between 2 and 5 years		 Land and buildings
2023
2022
£
£
51,958
58,700
-
51,958		 Land and buildings
2023
2022
£
£
51,958
58,700
-
51,958		 Other
2023
£
17,706
38,662		 2022
£
17,706
56,368
51,958 110,658 56,368 74,074

19. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Fixed asset fund
Restricted funds
General fund
TOTAL FUNDS		 At 1.4.22
£
473,388
22,320
495,708
119,847
615,555		 Net
movement
in funds
£
16,473
(10,716)
5,757
19,308
25,065		 At
31.3.23
£
489,861
11,604
501,465
139,155
640,620

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

20. MOVEMENT IN FUNDS - continued

Net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Fixed asset fund
Restricted funds
General fund
TOTAL FUNDS		 Income
£
640,883
-
640,883
928,271
1,569,154		 Expenditure
£
(624,410)
(10,716)
(635,126)
(908,963)
(1,544,089)		 Movement
in funds
£
16,473
(10,716)
5,757
19,308
25,065

Comparatives for movement in funds

Unrestricted funds
General fund
Fixed asset fund
Restricted funds
General fund
TOTAL FUNDS		 At 1.4.21
£
520,356
18,566
538,922
141,749
680,671		 Net
movement
in funds
£
(36,599)
(6,615)
(43,214)
(21,902)
(65,116)		 At
31.3.22
£
483,757
11,951
495,708
119,847
615,555

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Fixed asset fund
Restricted funds
General fund
TOTAL FUNDS		 Income
£
674,610
-
674,610
834,773
1,509,383		 Expenditure
£
(711,209)
(6,615)
(717,824)
(856,675)
(1,574,499)		 Movement
in funds
£
(36,599)
(6,615)
(43,214)
(21,902)
(65,116)

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

Fixed Asset Fund

This represents the net book value of fixed assets held within unrestricted funds.

RESTRICTED FUNDS

London Legal Support Trust - Surrey
Lottery CF
Crisis Project
London Legal Support Trust
Merton Council
Merton Giving
Merton Social Prescribers
London Borough of Merton (EUSS)
The Access to Justice Foundation
The Croydon Relief in Need
The Good Things Foundation
The Tides Foundation - Blackrock
Trust for London (ELAN)
Trust for London
Employment
Trust for London Temporary
Accommodation
Trust for London - London Community
Response Fund
Wandsworth Council
Crisis Fund
Projects
London Borough of Wandsworth -
EUSS
Wandsworth Rent Subsidy
Wimbledon Guild
Total
AB Charitable Trust
Citizens Advice Croydon
London Borough of Croydon
Debt Free Advice
GLA Homeless
Grant to Clients
Here for Good
LCN Crisis Grant
Locality
London Legal Support Trust
Cost of
Living		 -
34,471
-
5,000
-
-
-
24,777
-
-
-
-
-
2,667
-
12,500
-
24,000
-
-
119,847
Brought
Forward
£
-
-
8,932
-
-
-
-
-
7,500		 58,333
14,259
160,966
-
56,000
7,744
20,000
-
79,672
7,500
2,000
7,602
6,564
16,000
25,000
-
15,958
21,473
12,588
10,000
928,271
Income
£
20,000
34,211
23,131
230,412
26,421
1,980
42,457
28,000
-		 (58,333)
(34,114)
(82,490)
-
(56,000)
(1,405)
(18,750)
(24,777)
(79,672)
(7,500)
-
(7,602)
(6,564)
(18,667)
(21,788)
(12,500)
(14,736)
(32,531)
(6,294)
(10,000)
(908,963)
Expenditure
£
(20,000)
(34,211)
(32,063)
(230,412)
(26,421)
(1,676)
(42,457)
(28,000)
-		 -
14,616
78,476
5,000
-
6,339
1,250
-
-
-
2,000
-
-
-
3,212
-
1,222
12,942
6,294
-
139,155
Carried
Forward
£
-
-
-
-
-
304
-
-
7,500

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

Purpose of restricted funds:

AB Charitable Trust a grant towards the cost of a part time Communications manager post

Citizens Advice Croydon - Croydon Advice Providers - a partnership grant with Croydon Citizens Advice under Croydon Council's Community Fund for the provision of a pro bono clinic service in Croydon

London Borough of Croydon - a grant received towards rent of the office at Davis House

Debt Free Advice a grant received from Toynbee Hall in consortium with other London advice agencies, funded by the Money and Pensions Service to provide face to face debt advice across South West London

Greater London Authority (GLA) Homeless a grant to provide immigration advice and casework to rough sleepers as part of a pan London partnership, working alongside South London Refugee Association in the South West Region.

Grants to Clients - grants received from various sources for direct payments to clients .

Here for Good- a grant to fund a EU Settlement Scheme caseworker seconded to Here for Good.

Law Centre Network Crisis - a partnership grant with Law Centres administered by the Law Centres Network to provide welfare rights and immigration support to Crisis Hubs. A further grant was received to fund support core costs.

Locality - a carried forward grant towards refurbishment cost of the Merton office

London Legal Support Trust Cost of Living - a new grant to fund a specialist welfare rights and

crisis navigation service. This is part of a wider pan London partnership funded through the GLA

London Legal Support Trust - Kingston & Surrey - grants to continue to support development of

work in Kingston and Surrey.

London Legal Support Trust - a grant carried forward for the refurbishment of our offices in Merton

Lottery Community Fund - Crisis Project a new grant to fund a specialist welfare rights and crisis navigation service as well as management and community engagement costs

Merton Council a grant to fund specialist advice and casework in Merton.

Merton Giving - a grant to fund additional training and supervision costs for volunteers working on the Cost of Living project

Merton Social Prescribers - a grant to provide debt advice to referrals from Merton Social Prescribing team

London Borough of Merton - EUSS - a grant towards the funding of part of an immigration post specialising on helping those needing support with EUSS applications

The Access to Justice Foundation grants under wave 3 of Cost of Living and Help Accessing Legal Support to support access into law centre services.

The Croydon Relief in Need a grant towards crisis navigation support for people in Croydon.

The Good Things Foundation a grant to fund digital training for clients coming through our Cost of Living projects.

The Tides Foundation Blackrock a grant towards developing a complaints clinic on welfare

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

rights decision making.

Trust for London (Elan) - a grant to support a coordinator for the Employment Legal Advice Network, a forum for employment advice agencies across London

Trust for London Employment a grant towards the cost of an employment caseworker.

Trust for London Temporary Accommodation Project - a new grant to develop coordination and campaigning for better conditions of those in temporary accommodation through community engagement work.

Trust for London - London Community Response Fund a continuation grant towards the cost of a community engagement post,

Wandsworth Council Crisis Fund Projects grants towards specialist welfare rights/ crisis support and towards additional training and supervision for volunteers working on the Cost of Living project

London Borough of Wandsworth - EUSS - a grant towards the funding of part of an immigration post specialising on helping those needing support with EUSS applications

Wimbledon Guild a grant towards welfare rights support

21. RELATED PARTY DISCLOSURES

The aggregate of donations received from the Trustees in the year was £NIL (2022: £360).

There were no other related party transactions for the year ended 31 March 2023 (2022: NIL).

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