2022-01-31-accounts - Addictions North East

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Addictions North East

Charity No. 1102494

Company No. 05028930

Trustees' Report and Unaudited Accounts

31 January 2022

Addictions North East Contents

	Pages
Trustees' Annual Report	2 to 4
Independent Examiner's Report		5
Statement of Financial Activities		6
Summary Income and Expenditure Account		7
Balance Sheet		8
Notes to the Accounts	9 to	14
Detailed Statement of Financial Activities	15	to

Page 1

Addictions North East Trustees Annual Report

The trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the unaudited financial statements of the charity for the year ended 31 January 2022.

REFERENCE AND ADMINISTRATIVE DETAILS

Company No. 05028930

Charity No. 1102494

Registered Office

5a Station Terrace East Boldon NE36 0LJ

Directors and Trustees

The Directors of the charitable company are its Trustees for the purposes of charity law. The following Directors and Trustees served during the year:

E. Barnes I.W. Kay C.E. Lilley S.J. Newton F. Nicholson J.B. Vickers A.D. Welsh

Company Secretary

R.A. Percival

Accountants

Brewster & Co (NE) Ltd 5a Station Terrace East Boldon Tyne & Wear NE36 0LJ

OBJECTIVES AND ACTIVITIES

The Charity's objects are

a) to promote the prevention, recognition and treatment of problems related to the use of alcohol, drugs, related substances and other addictions, in particular but not limited to

b) the provision of advice, information, support and counselling to such persons, their families and carers c) the provision of a range of holistic therapies and treatments such as reflexology, aromatherapy, massage and reiki, osteopathy, chiropractic, acupuncture, herbal medicine and homeopathy and To promote such other charitable purposes as may from time to time be determined.

ACHIEVEMENTS AND PERFORMANCE

Page 2

Addictions North East Trustees Annual Report

The welfare of recovering alcoholics, addicts and their carers and people with general well-being issues such mental health and neurodiverse conditions is paramount to the objectives of the Charity.

In conjunction with Addictions UK, we have some developed twenty-six training courses relating to abstinence well-being issues. These courses are available through our Training Portal

(www.addictionstraining.co.uk) Initial training sessions have been held and we are pleased that these OCN Accredited courses are proving to be popular with Health Practitioners, Service Users and Carers / Family Members.

Our Volunteers and Staff provide targeted support to clients in recovery both in our own managed housing and in their own accommodation throughout the North East of England. We have been pleased at the development of new group training sessions which has had positive feedback from attendees. These therapeutic sessions have partly been conducted remotely through Zoom / Microsoft Teams and this has allowed us to expand our support and training services throughout the crisis of the Covid-19 Pandemic and beyond. Our face-to-face support and therapy sessions are conducted six days per week for up to three sessions per week – details of which are available on our website.

We were pleased to receive housing benefits payments from Durham County Council for an increased number of service users. Our Housing Recovery Programme has now become a major source of assistance for over sixty people in recovery. We continue to expand this service and are working hard to tackle waiting lists from vulnerable men and women. We are receiving increased numbers of self-referrals through social media and word of mouth. Our referral and partnership links with public and third sector agencies are also proving to be productive.

The Trustees hope that we will be able to expand our work in the next reporting period - especially with clients who find it difficult to access available services and experience addictions issues or mental health or neurodiverse problems. We are working currently with just over one hundred and fifty people providing outreach support, advice, information, and counselling.

We also plan to develop our work with other people who find it difficult to access traditional services because of social or economic exclusion issues. Addictions North East will increase this work to further tackle social exclusion during the next year. We are well equipped to deliver the objectives, being a registered charitable body as well as being a limited liability company and having close associations with other similar voluntary and statutory agencies.

We have managed to promote additional welfare rights and advocacy services to our client group and assisted many people with applications for Employment Support Allowance, Personal Independence Payments and Universal Credit. We continue to attended numerous Tribunal Hearings for our clients and support them in DWP Assessment Interviews.

Our Trustees have now purchased three houses in Seaham, County Durham. We plan to increase the number of our own purchased properties which will provide security for the longer-term development of our charity. Addictions UK have purchased five houses for our charitable use.

Page 3

Addictions North East Trustees Annual Report

Future Strategy:

Addictions North East remains committed to supporting the development of its radical new approach to provide 24/7 crisis support for recovering addicts and their carers plus delivering wellbeing, mentoring and confidence building activities in both group and one-to-one service delivery. The development of our well-being services and increased training work is both positive and exciting. Our plans to accept self-funding service users will provide a balance between Public Sector funded placements and self-funded individuals. The Trust has received referrals from other specialist drug & alcohol agencies. Support, especially to carers, has been a priority. Facilitating employment and support to individuals, especially after people commence recovery is a priority for the Trust to promote. We are pleased that we have maintained our excellent relationship with many other third sector agencies In the North East Region Additionally, we have helped facilitate the creation of other support measures with associated agencies.

We are grateful to our funders and supporters and to the Trustees for their never-ending help and support. Addictions North East hold mentoring, counselling sessions and training sessions throughout County Durham and neighboring counties. We are seeking further resources to expand our services and we are concerned at the inadequate levels of Talking Therapies available in the North East Region. More services are needed especially in rural areas and more isolated communities.

Programme has now become a major source of assistance for over sixty people in recovery. We continue to expand this service and are working hard to tackle waiting lists from vulnerable men and women. We are receiving increased numbers of self-referrals through social media and word of mouth. Our referral and partnership links with public and third sector agencies are also proving to be productive.

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

The above report has been prepared in accordance with the provisions applicable to companies subject to the small companies regime as set out in Part 15 of the Companies Act 2006 and in accordance with the Charities SORP (FRS 102).

Signed on behalf of the board

I.W. Kay Trustee 31 January 2022

Page 4

Addictions North East Independent Examiners Report

Independent Examiner's Report to the trustees of Addictions North East

I report to the charity trustees on my examination of the financial statements of Addictions North East for the year ended 31 January 2022 which comprise the Statement of Financial Activities, the Summary Income and Expenditure Account, the Balance Sheet and the related notes.

Responsibilities and basis of report

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

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

Independent examiner's statement

As the charity's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of BA HONS FCA.

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

accounting records were not kept in accordance with section 386 of the 2006 Act ; or
the financial statements do not accord with those records; or
the financial statements do not comply with the accounting requirements under section 396 of the 2006 Act other than any requirement that the financial statements give a 'true and fair' view which is not a matter considered as part of an independent examination; or
the financial statements have not been prepared in accordance with the Charities SORP (FRS 102).

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

Charles Brewster BA HONS FCA Brewster & Co (NE) Ltd 5a Station Terrace

East Boldon Tyne & Wear

NE36 0LJ 31 January 2022

Page 5

Addictions North East Statement of Financial Activities

for the year ended 31 January 2022

Unrestricted funds 2022 £ 16,387 518,691 -	Restricted funds 2022 £ - - 42,300	Total funds 2022 £ 16,387 518,691 42,300	Total funds 2021 £ 6,783 415,591 77,582
535,078 354,394 55,006	42,300 56,318 -	577,378 410,712 55,006	499,956 318,969 50,240
409,400 -	56,318 -	465,718 -	369,209 -
125,678 -	(14,018) -	111,660 -	130,747 -
125,678	(14,018)	111,660	130,747
125,678 134,377	(14,018) 17,161	111,660 151,538	130,747 20,791
260,055	3,143	263,198	151,538

Page 6

Addictions North East Summary Income and Expenditure Account

for the year ended 31 January 2022

Income Gross income for the year Expenditure Total expenditure for the year Net income before tax for the year Net income for the year	2022 £ 577,378 577,378 465,718 465,718 111,660 111,660	2021 £ 499,956
		499,956
		369,209
		369,209
		130,747
		130,747

Page 7

Addictions North East Balance Sheet

at 31 January 2022

Company No. 05028930 Notes 2022 £ Fixed assets Tangible assets 9 55,753 55,753 Current assets Debtors 10 142,985 Cash at bank and in hand 126,478 269,463 Creditors:Amount falling due within one year 11 (12,018) Net current assets 257,445 Total assets less current liabilities 313,198 Creditors:Amounts falling due after more than one year 12 (50,000) Net assets excluding pension asset or liability 263,198 Total net assets 263,198 The funds of the charity Restricted funds 13 Restricted income funds 3,143 3,143 Unrestricted funds 13 General funds 260,055 260,055 Reserves 13 Total funds 263,198	2021 £ -
	- 51,919 108,978
	160,897 (9,359)
	151,538 151,538 -
	151,538
	151,538
	17,161
	17,161 134,377
	134,377
	151,538

These accounts have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

For the year ended 31 January 2022 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

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

Approved by the board on 31 January 2022

And signed on its behalf by:

A.D. Welsh Trustee

31 January 2022

Page 8

Addictions North East Notes to the Accounts

for the year ended 31 January 2022

1 Accounting policies

Basis of preparation

The financial statements have been prepared in accordance with 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 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Change in basis of accounting or to previous accounts

There has been no change to the accounting policies (valuation rules and method of accounting) since last year and no changes have been made to accounts for previous years.

Fund accounting

Unrestricted funds These are available for use at the discretion of the trustees in furtherance of the general objects of the charity.
Designated funds These are unrestricted funds earmarked by the trustees for particular purposes. Revaluation funds These are unrestricted funds which include a revaluation reserve representing the restatement of investment assets at their market values.
Restricted funds These are available for use subject to restrictions imposed by the donor or through terms of an appeal.

Income

Recognition of Income is included in the Statement of Financial Activities (SoFA) when the charity income becomes entitled to, and virtually certain to receive, the income and the amount of the income can be measured with sufficient reliability.
Income with related Where income has related expenditure the income and related expenditure is expenditure reported gross in the SoFA. Donations and Voluntary income received by way of grants, donations and gifts is included in the legacies the SoFA when receivable and only when the Charity has unconditional entitlement to the income.
Tax reclaims on Income from tax reclaims is included in the SoFA at the same time as the donations and gifts gift/donation to which it relates. Donated services These are only included in income (with an equivalent amount in expenditure) and facilities where the benefit to the Charity is reasonably quantifiable, measurable and material.

Volunteer help The value of any volunteer help received is not included in the accounts. Investment income This is included in the accounts when receivable. Gains/(losses) on This includes any gain or loss resulting from revaluing investments to market value revaluation of fixed at the end of the year. assets Gains/(losses) on This includes any gain or loss on the sale of investments. investment assets

Page 9

Addictions North East Notes to the Accounts

Expenditure

Recognition of Expenditure is recognised on an accruals basis. Expenditure includes any VAT which expenditure cannot be fully recovered, and is reported as part of the expenditure to which it relates.
Expenditure on These comprise the costs associated with attracting voluntary income, fundraising raising funds trading costs and investment management costs. Expenditure on These comprise the costs incurred by the Charity in the delivery of its activities and charitable activities services in the furtherance of its objects, including the making of grants and governance costs.
Grants payable All grant expenditure is accounted for on an actual paid basis plus an accrual for grants that have been approved by the trustees at the end of the year but not yet paid.
Governance costs These include those costs associated with meeting the constitutional and statutory requirements of the Charity, including any audit/independent examination fees, costs linked to the strategic management of the Charity, together with a share of other administration costs.
Other expenditure These are support costs not allocated to a particular activity.

Taxation

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

Freehold investment property

Investment properties are measured initially at cost and subsequently at fair value at each balance sheet date and are not depreciated. All gains or losses are taken to the Statement of Financial Activities as they arise.

Stocks

Stock is included at the lower of cost or net realisable value. Donated items of stock are recognised at fair value which is the amount the charity would have been willing to pay for the items on the open market.

Trade and other debtors

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

Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and on hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities. In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the company's cash management.

Trade and other creditors

Short term creditors are measured at the transaction price. Other creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Page 10

Addictions North East Notes to the Accounts

Research and development

Expenditure on research and development is written off in the year in which it is incurred.

Foreign currencies

Monetary assets and liabilities denominated in currencies other than the functional currency of the charity are translated at the rates of exchange prevailing at the end of the reporting period.

Transactions in currencies other than the functional currency of the charity are recorded at the rate of exchange on the date that the transaction occurred.

All exchange differences are are taken into account in arriving at net income/expenditure.

Leased assets

Where the charity enters into a lease which entails taking substantially all the risks and rewards of ownership of an asset, the lease is treated as a finance lease.

Leases which do not transfer substantially all the risks and rewards of ownership to charity are classified as operating leases.

Assets held under finance leases are initially recognised as assets of the charity at their fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. The corresponding liability to the lessor is included in the balance sheet date as a finance lease obligation. Lease payments are apportioned between finance expenses and reduction of the lease obligation so as to achieve a constant rate of interest on the remaining balance of the liability. Finance expenses are recognised immediately, unless they are directly attributable to qualifying assets, in which case they are capitalised in accordance with the charity's policy on borrowing costs.

Assets held under finance leases are depreciated in the same way as owned assets.

Operating lease payments are recognised as an expense on a straight-line basis over the lease term. In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefit of incentives is recognised as a reduction of rental expense on a straight-line basis.

Pension costs

The charity operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payments obligations. The contributions are recognised as expenses when they fall due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the company in independently administered funds.

Receipt of donated goods, facilities and services

All donated goods, facilities and services received are recognised within incoming resources and expenditure at an estimate of the value to the charity.

2 Company status

The company is a private company limited by guarantee and consequently does not have share capital.

Page 11

Addictions North East

Notes to the Accounts

3 Income from donations and legacies

Unrestricted £ 16,387 16,387 Unrestricted £ 518,691 518,691 Restricted £ 42,300 42,300	Total 2022 £ 16,387 16,387 Total 2022 £ 518,691 518,691 Total 2022 £ 42,300 42,300	Total 2021 £ 6,783
		6,783
		Total 2021 £ 415,591
		415,591
		Total 2021 £ 77,582
		77,582

Restricted £ 56,318 56,318 Unrestricted £ 55,006 55,006	Total 2022 £ 410,712 410,712 Total 2022 £ 55,006 55,006	Total 2021 £ 318,969
		318,969
		Total 2021 £ 50,240
		50,240

No employee received emoluments in excess of £60,000.

Page 12

Addictions North East Notes to the Accounts

9 Tangible fixed assets

Cost or revaluation Additions At 31 January 2022 Net book values At 31 January 2022 10 Debtors Other debtors 11 Creditors: amounts falling due within one year Other creditors Accruals 12 Creditors: amounts falling due after more than one year Bank loans and overdrafts 13 Movement in funds At 1 February 2021 Restricted funds: Restricted income funds: 17,161 Total 17,161 Unrestricted funds: General funds 134,377 Total funds 151,538	£ 50,753 50,753 50,753 2022 £ 142,985 142,985 2022 £ 10,318 1,700 12,018 2022 £ 50,000 50,000 Incoming resources (including other gains/losses ) £ 42,300 42,300 535,078 577,378	£ 5,000 5,000 5,000 Resources expended £ (56,318) (56,318) (409,400) (465,718)	£ 55,753
			55,753
			55,753
			2021 £ 51,919
			51,919
			2021 £ 7,959 1,400
			9,359
			2021 £ -
			-
			At 31 January 2022 £ 3,143
			3,143
			260,055
			263,198

Page 13

Addictions North East Notes to the Accounts

14 Analysis of net assets between funds

Analysis of net assets between funds
Fixed assets Net current assets Creditors due in more than one year and provisions Reconciliation of net debt Cash and cash equivalents Bank loans Net debt	At 1 February 2021 £	Unrestricted funds £ 55,753 257,445 (50,000) 263,198 Cash flows £	Total £ 55,753 257,445 (50,000)
			263,198
			At 31 January 2022 £
	108,978	17,500	126,478
	108,978 - - 108,978	17,500 (50,000) (50,000) (32,500)	126,478 (50,000)
			(50,000)
			76,478

15 Reconciliation of net debt

16 Related party disclosures

Controlling party

The company is limited by guarantee and has no share capital; thus no single party controls the company.

Page 14

Addictions North East Detailed Statement of Financial Activities

for the year ended 31 January 2022

Income and endowments from: Donations and legacies Other trading activities Other Total income and endowments Expenditure on: Charitable activities Total of expenditure on charitable activities Legal and professional costs Accountancy and bookkeeping Management charges Total of expenditure of other costs Total expenditure Net gains on investments Net income Net income before other gains/(losses) Other Gains Net movement in funds Reconciliation of funds: Total funds brought forward Total funds carried forward	Unrestricte d funds 2022 £ 16,387 16,387 518,691 518,691 - - 535,078 354,394 354,394 354,394 1,700 53,306 55,006 55,006 409,400 - 125,678 125,678 - 125,678 134,377 260,055	Restricted funds 2022 £ - - - - 42,300 42,300 42,300 56,318 56,318 56,318 - - - - 56,318 - (14,018) (14,018) - (14,018) 17,161 3,143	Total funds 2022 £ 16,387 16,387 518,691 518,691 42,300 42,300 577,378 410,712 410,712 410,712 1,700 53,306 55,006 55,006 465,718 - 111,660 111,660 - 111,660 151,538 263,198	Total funds 2021 £ 6,783
				6,783
				415,591
				415,591
				77,582
				77,582
				499,956 318,969
				318,969
				318,969 435 49,805
				50,240

				50,240
				369,209 -
				130,747
				130,747 -
				130,747
				20,791
				151,538

Page 15