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2021-03-31-accounts

Company no. 04608163 Charity no. 1111055

Crossroads Care Gloucestershire Limited Formerly known as Crossroads Care Central & East Gloucestershire Limited

Report and Audited Financial Statements 31 March 2021

Crossroads Care Gloucestershire Limited

Reference and administrative details

For theyear ended 31 March 2021
Company number 04608163
Charity number 1111055
Registered office and 10 Sabre Close
operational address Quedgeley
Gloucester
Gloucestershire
GL2 4NZ
Trustees Trustees, who are also directors under company law, who served during
the year and up to the date of this report were as follows:
Nana Addae-Baah Appointed 17 May 2021
Georgina Brown Appointed 5 May 2021
Peter Elliot Resigned 7 December 2020
David Godding Resigned 25 November 2020
Paul Holmes
Natalie Hyett Appointed 7 December 2020
Elizabeth Keen
Peter Mitchener Appointed 17 May 2021
Farai Nyadundu Appointed 5 May 2021
Elaine Pearson-Scott Resigned 22 February 2021
Nicholas Potts Appointed 24 May 2021
Sheila Reynolds
Secretary Helen Baker
Bankers Barclays Bank UK PLC CAF Bank Ltd
1 Churchill Place 25 Kings Hill Avenue
London Kings Hill
E14 5HP West Malling
Kent
ME19 4JQ
Auditors Godfrey Wilson Limited
Chartered accountants and statutory auditors
5th Floor Mariner House
62 Prince Street
Bristol
BS1 4QD

1

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2021

The trustees are pleased to present their annual directors’ report together with the audited financial statements of the charity for the year ending 31 March 2021. The trustees confirm the financial statements comply with the current statutory requirements, the requirements of the charity's governing document and Statement of Recommended Practice (SORP) 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).

Structure, governance and management

Name

The full name under which the charity is registered is Crossroads Care Gloucestershire Limited. Until 16 November 2020 the charity was registered under the name of Crossroads Care Central and East Gloucestershire Ltd. The decision to change the name was made to clarify the geographical area in which the charity operates.

Governing document

The charity is a company limited by guarantee and does not have share capital. It is established under a Memorandum of Association and is governed under its Articles of Association. The company is a Network Partner of the Carers Trust. The charity is registered with the Charity Commission under the provisions of the Charities Act 2011. The area of benefit is the county of Gloucestershire, Swindon and Wiltshire.

Organisational structure

The charity is governed by a board of trustees, who have been co-opted onto the board and are nonexecutive Directors of the charitable company. The board of trustees met at least monthly to receive financial and operational reports. All trustees give their time freely. No trustee received remuneration or other benefit from their work with the charity in the year. Details of Directors' expenses and related party transactions are disclosed in note 7 to the financial statements. The Chair asks trustees to declare any declaration of interest at the beginning of every meeting. The day-to-day management is formally delegated to the Chief Executive Officer.

The Board identifies specific skills it requires to lead the organisation effectively and recruits accordingly. Vacancies are advertised using specialist help to reach a diverse field of potential applicants. Potential new trustees are invited first to meet with the Chair and Chief Executive. This enables them to meet key staff informally before they are then invited to shadow a board meeting. Most of these meetings have had to be held virtually due to Covid-19 restrictions. Before their appointment is confirmed by the Chair and Board, all required checks of identification and Disclosure and Barring Service have been completed. New trustees undergo appropriate induction procedures after appointment and have their training needs reviewed regularly. During 2020/21, three trustees resigned from the Board and four new trustees were appointed. A further two trustees were going through the approval process at the end of March 2021.

The Board has also appointed an Independent Governance Advisor whose purpose is to support and strengthen the Board’s effectiveness and ability to deliver against the charitable objectives, and provide independent and objective oversight and advice to improve the quality and consistency of trustee decision-making.

2

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2021

In the light of the Coronavirus pandemic, the charity had to furlough some of its operational staff and contract its service delivery. To ensure our continued viability in the face of this unprecedented challenge, we had to make the difficult decision to re-structure our management team with the loss of one management post.

Pay policy

The pay for all employees of Crossroads Care Gloucestershire is reviewed annually by the board of trustees. The following pay principles are applied:

Strategic planning

The trustees are responsible for the strategic direction and governance of the charity. We produce a 3-year strategic plan. The current strategic plan (2019 – 2022) contains key objectives with an accompanying budget. The strategic plan is developed in conjunction with feedback from carers and staff and has been worked on extensively by the board of trustees. Our plan provides the focus required to ensure that we continue to become increasingly sustainable, innovative, flexible and efficient.

In any normal year, the plan is reviewed at strategy review meetings. These meetings focus on what we have achieved against the targets, the outcomes of our work and fundamental changes taking place in the sector. We examine the success of each key service and the benefits brought to the group of people we aim to help. Annual strategic reviews also help us ensure our aims, objectives and activities remain focussed on our purpose, vision and values.

However, this has been far from a normal year. The last quarter of 2019/20 saw the sudden arrival of the Coronavirus and the first of what turned out to be three lockdowns during 2020/21 and all the associated restrictions. The focus of the charity shifted from implementing a three-year strategy to planning and managing an ever-changing scenario on an almost daily basis. However, during the summer as we emerged from the first lockdown, we were able to undertake a strategic review to consider what we had achieved, what the main immediate and longer-term challenges were, and how to meet them. In March 2021 we were able to hold a full strategic planning review and decide on key areas requiring priority actions as we moved into the first quarter of 2021/22. To ensure that we met the challenging targets we had set for 2021/22 we introduced several sub-committees which would take forward the priority actions in a systematic way.

Objectives and activities

The charity’s principal objective is to relieve the stresses experienced by carers and beneficiaries by providing a range of services that provide practical support and give the carer a break. The area of benefit is five local authority districts in the County of Gloucestershire, namely: Gloucester City Council, Cheltenham Borough Council, Cotswold District Council, Stroud District Council, and Tewkesbury Borough Council, and their environs, together with Swindon Borough Council and Wiltshire County Council, and their environs.

“Beneficiaries” means any person or people who have care needs because of disability, illness or age.

“Carers” means any person or individuals involved in the provision of care for a person or people who have care needs because of disability, illness or age.

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Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2021

Our mission is to provide a range of services that recognise and respond to the individual needs of family carers, and people with care and support needs, offering them peace of mind and understanding; to improve their own health and well-being by giving them time to be themselves and take a break from caring.

Our values

1. Quality: We ensure that our services are high quality, flexible, responsive and continually improving.

2. Staff: Continually investing in our staff training and development.

3. Trust: We understand that our services only respond to carers' needs when they trust us to care for the person they support.

4. Caring: All family carers and people with care needs feel recognised, valued and supported.

5. Individualised: Services that are tailored to meet the needs of individuals.

6. Respectful: Appreciating people’s differences, lifestyles and choices, and working with them to provide safe support that is meaningful and of use.

7. Understanding: Empathy as we walk alongside carers in their everyday lives.

8. Partnership Working: We actively seek collaboration and partnership with other organisations to explore joint projects and relationships.

9. Integrity: We trust, respect and value each other.

Public benefit

The trustees confirm that they have had regard to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the charity’s aims, objectives and in planning its activities.

The principal objective is to provide practical support to carers and those they care for by offering short breaks to relieve the stress of carers and promoting their own health and wellbeing as well as the person with care needs. This helps to ensure that the carer can continue as a carer and the person with care needs is able to stay at home for longer. To achieve this, we will:

However, the implications of lockdowns, shielding, social distancing and keeping our own staff safe has dramatically changed how we support carers. We have had to rapidly rethink how best to support carers and in a way that best meets their changing needs and circumstances, and to reduce their sense of isolation and loneliness.

We also recognise that we provide services to people who live in very rural areas and for those who do not have transportation we provide fully accessible minibus transport to ensure people are able to access our services. The service provided by Crossroads Care Gloucestershire is available to all carers within the districts of Cheltenham, Tewkesbury, Cotswolds, Stroud and Gloucester currently.

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Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2021

Risk management

The board has a duty to take all reasonable steps to assess and manage risks to the charity’s activities, beneficiaries, property or reputation. A comprehensive risk register control system is in place to monitor those risks identified to which the charity is exposed, categorised as:

Systems and procedures have been established to mitigate the risks the charity faces and is reviewed annually. The Risk Register sub-committee would normally meet quarterly to monitor any “trigger” factors that might indicate an increased risk, and to take steps to reduce that risk The Coronavirus has re-drawn the whole landscape of risk management and the board has responded by increasing the frequency of board meetings, sometimes even weekly, to address each new risk as it arose and to anticipate future risks arising as a consequence of the pandemic, lockdowns and restrictions.

This is in addition to the already prevailing external risks due to cuts in local authority budgets for social care and the increase in costs associated with the delivery of high quality services. The previous year had an adverse impact on our financial performance due to changes in contract arrangements and reduced numbers of referrals. However, by March 2019 the number of referrals had increased and the operation of the new contract with PeoplePlus had stabilised.

Our strategic plan would have been to further develop our Day Clubs and Out & About services and to ensure their cost effectiveness, and to offer a service to more people looking to self-fund their care and/or to supplement care funded by the local authority. Coronavirus meant that all our group based services had to close and many carers receiving support at home declined their visits due to very understandable concerns about infection. Our recruitment drive was put on hold and all our Day Club and Out & About staff were furloughed or offered alternative work within the organisation where possible. All office based staff were able to work from home. As the year progressed, we were able to introduce a more tailored one-to-one “Activities at Home” service which has been well received, and care at home and carer’s breaks have gradually resumed as lockdown measures have eased and people’s confidence levels have increased.

Crossroads Care Gloucestershire operates in a highly regulated environment, and failure to comply with regulations could lead to substantial penalties, and cancellation of our registration. This has already been mentioned as one of the key risks identified in our Risk Register. Compliance risks are mitigated through the implementation of the Care Quality Commission (CQC) standards and high levels of staff training. Comprehensive policies and procedures are in place to ensure compliance along with regular quality monitoring and appropriate action to mitigate those risks. Our Outstanding rating, awarded by CQC at our last inspection in September 2018, is evidence of our past achievements in managing risks and this ethos has continued throughout the pandemic.

Trustees were always aware that some risks to the charity may arise from factors outside of our control or not of our making, as well as those risks that could be anticipated and reduced. The board of trustees consider that systems and controls that were, and remain, in place to monitor, manage and mitigate the charity’s major risks remain effective.

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Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2021

Achievements and performance

Coronavirus has increased feelings of isolation and loneliness for many people but there can be no doubt that the pressure on carers during 2020/21 has been intense. Whilst we continued to deliver Care at Home throughout the whole pandemic, our group based services had to close in March 2020 and 8 staff who worked on Out & About and Day Clubs were furloughed. One staff member transferred to our Care at Home service permanently. In October we were able to bring back five of the remaining staff on furlough to recommence support to carers by adapting the way we delivered these services and offering “Activities at Home” instead. However, in January 2021, 3 staff went back on furlough due to lockdown 3. Carers are now indicating their willingness to access group based services again and during the last quarter of 2020/21 we began to prepare for the re-opening of a new Day Club near Cirencester in May 2021 and are planning for more to re-open again.

Throughout the pandemic we have continued to deliver breaks for carers in Gloucestershire working as a subcontractor to Gloucestershire County Council contract holders, PeoplePlus. With some carers declining breaks due to understandable concerns with Coronavirus we negotiated our contract terms with PeoplePlus to reduce loss of income.

We focussed efforts to fundraising, in particular applying for many grant opportunities that were made available to support charities due to Coronavirus. We were successful with several applications and in total received £323,509 in Trust and Foundation grants, of which £263,710 were restricted. This included grants from Gloucestershire County Council Infection Control totalling £33,054 which was ring fenced from central government and has been used to support us throughout the pandemic to reduce the rate of COVID-19 transmission and help with wider workforce resilience.

Throughout the pandemic we have been in receipt of free PPE via the PPE Portal which has been available to all social care providers. This has ensured that we have been able to provide the correct PPE to all our staff, following the government guidelines, to ensure staff and the people we support have been kept safe.

Following a successful application to the Carers Gloucestershire Legacy fund we received funding to start a project called Changing Lives Pathway to support carers to prepare and plan for a time when their caring responsibilities end and to help them move on after their caring role ends. We are pleased to offer this to carers as we believe that supporting carers as they approach the end of their caring responsibilities and beyond is a vital role for us.

In December we received a £100,000 grant from Barclays 100 x 100 Community Relief Fund. This is funding a project to provide vital respite breaks to carers who would not otherwise meet the criteria to be eligible for local authority funding.

In October we received £108,156 from The Julia & Hans Rausing Trust Charity Survival Fund which has been used to pay for core costs of the charity.

Thanks to funding from the Covid-19 Support Fund, Carers Trust gave us £30,000 of funding for a project called Making Carers Count. The project focused on unpaid carers who have been disproportionately affected by the Covid-19 pandemic. We used the funding to adapt the way we delivered our group services to continue to provide them with a safe service.

6

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2021

We are extremely grateful to all of our donors and grant foundations for the support they have shown us throughout this year. The funding we have received has not only helped the charity to survive the challenges of the pandemic but has given us the opportunity to deliver some new and exciting projects that supports our core charitable aims.

Whilst this has been a challenging year for us, we felt sufficiently confident in our ability to emerge from this a stronger, more responsive and resilient organisation that we decided to move to a larger office when the tenancy for our old office came up for renewal. In November 2020 we moved to an office that included additional rooms that would enable us to develop our own training initiatives and larger office space for staff returning from working from home, and to accommodate the new staff we intend to recruit to develop our core services. We also took this opportunity to upgrade our IT hardware and software systems so that we would be better prepared for the developments to come.

To coincide with the office move, we also decided that the time was right for a whole new look, so we changed our name to better reflect the geographical area in which we work, and to make it easier for people searching for services to find us. We have rebranded everything from our stationery to our uniforms and issued press and media releases to advertise our new brand. Work had also begun on upgrading our website to keep it up to date and relevant.

Whilst there have been fewer opportunities this year for applying for various care awards, we are immensely proud of our Care Co-ordinator who was a national finalist in the Great British Care Awards in June 2020.

Crossroads Care Gloucestershire prides itself on the culture of the organisation. Care, kindness and quality of care runs through the heart of the charity. The board wishes to express it sincere thanks to all of the staff who have shown immense dedication and commitment to the both the organisation and the people they support. We have been amazed by the outstanding efforts to ensure we have provided a safe service throughout the worst of the pandemic and are very proud of the team.

Plans for future periods

This time last year we wrote that “ the environment remains to be the most challenging the sector has faced. ” In many ways the situation has not changed at all but in other ways it has changed dramatically. Whilst there is still huge uncertainty about the future regarding the implications of the Coronavirus, Crossroads Care Gloucestershire is in a far better position to meet the demands and uncertainties ahead. The impact on our carers over the last year has prompted us to think about new ways of delivering our services and to seek out carers who we would not otherwise know about.

We have spent 2020/21 building firm foundations for our future:

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Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2021

At the heart of everything we do remains our intention to provide the best quality service to carers and those they support, where people can be assured of receiving a prompt and tailored service to meet their needs and to keep abreast of new developments to support carers.

Fundraising practices

Fundraising is carried out internally and led by the CEO with Trustee input. However, in future it is to be led by the CEO in conjunction with the newly formed fundraising sub-committee. This subcommittee will regularly review fundraising activity.

The charity currently does not employ a dedicated fundraiser. We do not engage third party professional fundraisers.

Fundraising is focused on grant and trust applications and not direct fundraising from the public. The charity is registered with the Fundraising Regulator.

Financial review

Despite the challenge of the pandemic, it is pleasing to report our financial position at the end of March 2021 is very strong and we have strengthened our financial position to ensure the sustainability of the charity going forward. The Statement of Financial Activities for the year ended 31 March 2021 shows a net surplus of £353,871, leaving funds to be carried forward of £532,156.

Total income for the year increased by £311,564 – 34%, to £1,219,460 (£907,896 in 2020). This was mainly due to focussing efforts to fundraising and the success of grants from Trusts and Foundations which totalled £323,509.

Income from private care at home services fell by £28,505, 6% on last year, to £448,426. This decrease was anticipated and is a result of people who usually receive care at home, self-isolating and cancelling services during the height of the pandemic.

Income for services provided to PeoplePlus for the delivery of carers' breaks fell by 33% to £259,412 (2020: £390,331) Again this was as a result of the pandemic and many carers cancelling their own break to prevent staff visiting the home.

Domiciliary home care services, funded by Gloucestershire County Council, income increased by 39% on last year to £26,460 (£19,027 in 2020).

Total expenditure decreased by £168,632, to £865,589, (£1,034,221 in 2020).

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Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2021

The charity took advantage of the government Bounce Back Loans on offer in light of the uncertain times of the pandemic and during the full lockdown period and received £50,000 which is held in a separate account. The charity received £150,469 from the Coronavirus Job Retention Scheme for staff who had been furloughed.

Investment policy

In 2020 we closed the Scottish Widows CAF 90 Day Notice savings account which held £27,477 due to very low interest rates and to bolster our cash flow by transferring the funds to our current account for immediate purposes. As we end the year with increased reserves, the trustees and the newly formed finance sub-committee will consider moving some funds into higher interest deposit accounts as part of the regular review of investments and the investment policy.

Reserves policy

The trustees have reviewed the reserves policy of the charity. The trustees consider it is prudent to maintain the established policy of holding three months' operating cost, which we consider as our minimum level of reserves to provide ongoing support to those receiving our services in an event of a significant delay or absence of funding and income.

Total reserves at 31 March 2021 were £532,156 of which £415,564 were unrestricted funds. Our reserves are beyond policy expectations largely due to our successful fundraising activity and furlough grant applications required to offset the increased risk to the organisation from the Covid-19 pandemic as earlier outlined in the Financial Review. The newly formed finance sub-committee and the trustees will be reviewing the reserves policy in line with the Strategic Plan of the organisation.

Trustees will determine how best to utilise the excess unrestricted reserves. For example, we are considering settling our Bounce Back Loan as the charity has financially stabilised towards the end of the year. Trustees will also consider utilising excess unrestricted reserves to fund projects and activities to further the charity’s objectives. The reserves policy will continue to be reviewed annually.

Statement of responsibilities of the trustees

The trustees (who are also directors of the charity for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

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

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Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2021

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which 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 for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Members of the charity guarantee to contribute an amount not exceeding £5 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

Auditors

Godfrey Wilson Limited were appointed as auditors to the charitable company during the year and have expressed their willingness to continue in that capacity.

Approved by the trustees on 14 August 2021 and signed on their behalf by

Sheila Reynolds

Sheila Reynolds - Chair of Trustees

10

Independent auditors' report

To the members of

Crossroads Care Gloucestershire Limited

Opinion

We have audited the financial statements of Crossroads Care Gloucestershire Limited (the 'charity') for the year ended 31 March 2021 which comprise the statement of financial activities, balance sheet, statement of cashflows and the related 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 charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

11

Independent auditors' report

To the members of

Crossroads Care Gloucestershire Limited

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

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ 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 the trustees

As explained more fully in the trustees’ responsibilities statement set out in the trustees’ report, the trustees 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 they 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 charity’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 charity or to cease operations, or have no realistic alternative but to do so.

12

Independent auditors' report

To the members of

Crossroads Care Gloucestershire Limited

Our responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue 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 procedures we carried out and the extent to which they are capable of detecting irregularities, including fraud, are detailed below:

(1) We obtained an understanding of the legal and regulatory framework that the charity operates in, and assessed the risk of non-compliance with applicable laws and regulations. Throughout the audit, we remained alert to possible indications of non-compliance.

(2) We reviewed the charity’s policies and procedures in relation to:

(3) We inspected the minutes of trustee meetings.

(4) We enquired about any non-routine communication with regulators and reviewed any reports made to them.

(5) We reviewed the financial statement disclosures and assessed their compliance with applicable laws and regulations.

(6) We performed analytical procedures to identify any unusual or unexpected transactions or balances that may indicate a risk of material fraud or error.

(7) We assessed the risk of fraud through management override of controls and carried out procedures to address this risk. Our procedures included:

▪Testing the appropriateness of journal entries;

▪Assessing judgements and accounting estimates for potential bias;

▪Reviewing related party transactions; and

▪Testing transactions that are unusual or outside the normal course of business.

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. Irregularities that arise due to fraud can be even harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

13

Independent auditors' report

To the members of

Crossroads Care Gloucestershire Limited

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 charityʼs 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 charityʼs members those matters we are required to state to them in an auditorʼs 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 charityʼs members as a body, for our audit work, for this report, or for the opinions we have formed.

Alison Godfrey

Date: 18 August 2021

Alison Godfrey FCA (Senior Statutory Auditor)

For and on behalf of:

GODFREY WILSON LIMITED

Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD

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Crossroads Care Gloucestershire Limited

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 March 2021

Restricted Unrestricted
Note
£
£
Income from:
Donations and legacies
3
263,710
221,354
Charitable activities
4
-
734,298
Investments
-
98
Total income
263,710
955,750
Expenditure on:
Raising funds
26,704
4,367
Charitable activities
120,414
714,104
Total expenditure
6
147,118
718,471
Net income / (expenditure)
and net movement in funds
7
116,592
237,279
Reconciliation of funds:
Total funds brought forward
-
178,285
Total funds carried forward
116,592
415,564		 2021
Total
£
485,064
734,298
98
1,219,460
31,071
834,518
865,589
353,871
178,285
532,156		 Restated
2020
Total
£
19,803
886,289
1,804
907,896
4,086
1,030,135
1,034,221
(126,325)
304,610
178,285

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 15 to the accounts.

The 2020 comparatives have been restated in line with the Charities SORP (FRS 102), as described in notes 3-6. The restatements are purely reclassifications of income and expenditure and do not affect net income / (expenditure).

15

Crossroads Care Gloucestershire Limited

Balance sheet

As at 31 March 2021

Note
Fixed assets
Tangible assets
10
Current assets
Debtors
11
Cash at bank and in hand
Liabilities
Creditors: amounts falling due within 1 year
12
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after 1 year
13
Net assets
14
Funds
15
Restricted funds
Unrestricted funds
General funds
Total charity funds		 £
74,156
542,352
616,508
(50,454)		 2021
£
9,435
566,054
575,489
(43,333)
532,156
116,592
415,564
532,156		 2020
£
3,080
107,391
103,550
210,941
(35,736)
175,205
178,285
-
178,285
-
178,285
178,285

These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.

Approved by the trustees on 14 August 2021 and signed on their behalf by

Sheila Reynolds

Sheila Reynolds - Chair of Trustees

16

Crossroads Care Gloucestershire Limited

Statement of cash flows

For the year ended 31 March 2021

Note
Cash used in operating activities:
Net cash provided by / (used in) operating activities
16
Cash flows from investing activities:
Interest from investments
Purchase of tangible fixed assets
Net cash provided by / (used in) investing activities
Cash flows from financing activities:
Cash inflows from new borrowing
Net cash provided by financing activities
Increase / (decrease) in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
17		 2021
£
399,029
98
(10,325)
(10,227)
50,000
50,000
438,802
103,550
542,352		 2020
£
(153,827)
1,804
(1,150)
654
-
-
(153,173)
256,723
103,550

17

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

1. Accounting policies

a) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

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

b) Going concern basis of accounting

The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of unrestricted reserves, budgets for 2021/22 and the potential financial implications of the ongoing Covid-19 pandemic. The charity received additional restricted funding in 2020/21 that has also been carried into future periods. The charity has budgeted a surplus for 2021/22 and, as at Q1, are on target to deliver this. There are no material uncertainties about the charity's ability to continue as a going concern.

c) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.

Income from the government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

Income received in advance of provision of care is deferred until criteria for income recognition are met.

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Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

d) Donated services and facilities

Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item, is probable and the economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised.

On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

e) Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity: this is normally upon notification of the interest paid or payable by the bank.

f) Funds accounting

Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity.

g) Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

h) Allocation of support and governance costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated in full to charitable activities.

i) Termination payments

Where an employee receives a termination payment, the cost is recognised at the date that the employee is notified.

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Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

j) Tangible fixed assets

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

Fixtures and fittings 4 years' straight line Computer equipment 4 years' straight line Office equipment 4 years' straight line

k) 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.

l) Cash at bank and in hand

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

m) Creditors

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.

n) Financial instruments

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

o) Pension costs

The company operates a defined contribution pension scheme for its employees. There are no further liabilities other than that already recognised in the SOFA.

p) Accounting estimates and key judgements

In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

Depreciation

As described in note 1j to the financial statements, depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life.

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Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

2. Prior period comparatives: statement of financial activities

Income from:
Donations and legacies
Charitable activities
Investments
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
Net income / (expenditure)
and net movement in funds		 Restricted
£
£
-
19,803
-
886,289
-
1,804
-
907,896
-
4,086
-
1,030,135
-
1,034,221
-
(126,325)
Unrestricted		 Restated
2020
Total
£
19,803
886,289
1,804
907,896
4,086
1,030,135
1,034,221
(126,325)

3. Income from donations and legacies

Income from donations and legacies
Donations
Legacies
Trusts and foundations
CJRS income
Total income from donations and legacie		 Restricted
£
£
-
8,086
-
3,000
263,710
59,799
-
150,469
s
263,710
221,354
Unrestricted		 2021
Total
£
8,086
3,000
323,509
150,469
485,064		 Restated
2020
Total
£
1,303
-
18,500
-
19,803

The prior year comparatives have been restated to include from Gloucestershire County Council care agreements of £19,027 within income from charitable activities. There was no restricted income in the prior year.

21

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

4. Income from charitable activities

Income from charitable activities
Private care services
PeoplePlus
Gloucestershire Council Council agreements
Total income from charitable activities		 Restricted
£
£
-
448,426
-
259,412

-
26,460
-
734,298
Unrestricted		 2021
Total
£
448,426
259,412
26,460
734,298		 Restated
2020
Total
£
476,931
390,331
19,027
886,289

The prior year comparatives have been restated to include income from Gloucestershire County Council care agreements of £19,027 previously classified within donations, and to include the delivery of private and contracted care services, previously shown as other activities. There was no restricted income in the prior year.

5. Government grants

The charitable company receives government grants, defined as funding from Gloucestershire County Council, Cotswold District Council, the National Lottery Community Fund and the Coronavirus Job Retention Scheme to fund charitable activities. The total value of such grants in the period ending 31 March 2021 was £206,385 (2020: £10,000). There are no unfulfilled conditions or contingencies attaching to these grants.

22

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

6. Total expenditure

Total expenditure
Staff costs (note 8)
Travel
Office costs
Vehicle costs
Memberships and
subscriptions
IT costs
Insurance
Rent
Audit and accountancy
Miscellaneous costs
Advertising
Training
Depreciation
Recruitment
Uniforms
Bad debt
Trustees expenses
Sub-total
Allocation of support and
governance costs
Total expenditure		 Raising funds
£
26,704
-
-
-
-
-
-
-
-
-
4,367
-
-
-
-
-
-
31,071
-
31,071		 Charitable
activities
£
526,567
39,412
-
31,360
-
-
4,687
2,095
-
455
-
4,273
-
-
2,109
-
-
610,958
223,560
834,518		 £
118,403
228
32,523
-
17,554
16,480
7,690
8,565
7,091
4,115
-
-
3,970
3,683
-
1,975
1,283
223,560
(223,560)
-
Support and
governance
costs		 2021 Total
£
671,674
39,640
32,523
31,360
17,554
16,480
12,377
10,660
7,091
4,570
4,367
4,273
3,970
3,683
2,109
1,975
1,283
865,589
-
865,589

Total governance costs were £7,236 (2020: £3,994)

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Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

6.
Total expenditure
Prior period comparative
Staff costs (note 8)
Travel
Office costs
Vehicle costs
Memberships and
subscriptions
IT costs
Insurance
Rent
Audit and accountancy
Miscellaneous costs
Advertising
Training
Depreciation
Recruitment
Uniforms
Bad debt
Trustees expenses
Activities
Sub-total
Allocation of support and
governance costs
Total expenditure		 Raising funds
£
-
-
-
-
-
-
-
-
-
-
4,086
-
-
-
-
-
-
-
4,086
-
4,086		 Charitable
activities
£
645,244
70,506
-
30,759
-
-
5,428
17,010
-
751
-
5,420
-
-
4,208
-
-
26,330
805,656
224,479
1,030,135		 Support and
governance
costs
£
140,432
381
30,309
-
11,390
15,132
8,000
5,040
3,553
4,149
-
-
1,036
4,294
-
309
454
-
224,479
(224,479)
-		 Restated
2020 Total
£
785,676
70,887
30,309
30,759
11,390
15,132
13,428
22,050
3,553
4,900
4,086
5,420
1,036
4,294
4,208
309
454
26,330
1,034,221
-
1,034,221

The prior period has been restated for reanalysis of expenditure between headings. Total expenditure is unaffected.

24

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

7. Net movement in funds

This is stated after charging:

Depreciation
Operating lease payments
Trustees' remuneration
Trustees' reimbursed expenses
Auditors' remuneration:
Statutory audit (including VAT)		 2021
£
3,970
34,449
Nil
1,283
5,940		 2020
£
1,036
28,707
Nil
454
3,540

Trustees expenses representing travel and training costs amounting to £1,283 were paid in the year (2020: £454).

8. Staff costs and numbers

Staff costs were as follows:

Salaries and wages
Social security costs
Pension costs
Redundancy costs		 2021
£
610,708
36,117
11,619
13,230
671,674		 2020
£
720,832
51,329
13,515
-
785,676

Redundancy costs total £13,230 for the year (2020: £nil) for 1 member of staff (2020: Nil), due to reduction of income from care services as a result of the Covid-19 pandemic.

No employee earned more than £60,000 during the year (2020: nil).

The key management personnel of the charitable company comprise the Trustees, Chief Executive Officer and Senior Management. The total employee benefits of the key management personnel were £146,233 (2020: £139,844).

Average head count 2021
No.
33		 2020
No.
40

9. Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

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Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

10. Tangible fixed assets

Cost
At 1 April 2020
Additions in year
Disposals
At 31 March 2021
Depreciation
At 1 April 2020
Charge for the year
On disposals
At 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020
11. Debtors
Trade debtors
Prepayments
Other debtors
12. Creditors: amounts due within 1 year
Bounce back loan
Trade creditors
Other taxation and social security
Accruals
Other creditors		 £
2,096
-
(1,051)
1,045
1,492
428
(1,051)
869
176
604
Fixtures and
fittings		 £
29,190
8,105
(20,393)
16,902
26,714
3,311
(20,393)
9,632
7,270
2,476
Computer
equipment		 £
2,728
2,220
(2,728)
2,220
2,728
231
(2,728)
231
1,989
-
2021
£
58,371
9,839
5,946
74,156
2021
£
6,667
24,266
9,758
5,940
3,823
50,454
Office
equipment		 Total
£
34,014
10,325
(24,172)
20,167
30,934
3,970
(24,172)
10,732
9,435
3,080
2020
£
101,753
5,638
-
107,391
2020
£
-
5,300
23,784
2,500
4,152
35,736

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Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

13. Creditors: amounts due after 1 year

Creditors: amounts due after 1 year
Bounce back loan
Analysis of debt maturity
Amounts payable:
In less than one year
In 1 - 2 years
In 2 - 5 years
More than 5 years		 2021
£
43,333
2021
£
6,667
10,000
30,000
3,333
50,000		 2020
£
-
2020
£
-
-
-
-
-

Loans comprise an unsecured bounce back loan received from Barclays, to help mitigate the effects of Covid-19 on the organisation. Interest is payable at a rate of 2.5% from July 2021.

14. Analysis of net assets between funds

Tangible fixed assets
Current assets
Current liabilities
Non-current liabilities
Net assets at 31 March 2021		 £
-
116,592
-
-
116,592
Restricted
funds		 £
9,435
499,916
(50,454)
(43,333)
415,564
Unrestricted
funds		 Total
funds
£
9,435
616,508
(50,454)
(43,333)
532,156

There were no restricted funds in the prior year.

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Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

15. Movements in funds

Restricted funds
Barclays
GCF Legacy Fund
Julia and Hans Rausing Trust
GCC Infection Control
GCC Thriving Communities
GCF Coronavirus Recovery and Resiliance Fund
Total restricted funds
Total unrestricted funds
Total funds		 At 1 April
2020
£
-
-
-
-
-
-
-
178,285
178,285		 Income
£
£
£
100,000
(783)
99,217
10,000
(125)
9,875
108,156
(108,156)
-
33,054
(33,054)
-
7,500
-
7,500
5,000
(5,000)
-
263,710
(147,118)
116,592
955,750
(718,471)
415,564
1,219,460
(865,589)
532,156
Expenditure
At 31 March
2021		 Income
£
£
£
100,000
(783)
99,217
10,000
(125)
9,875
108,156
(108,156)
-
33,054
(33,054)
-
7,500
-
7,500
5,000
(5,000)
-
263,710
(147,118)
116,592
955,750
(718,471)
415,564
1,219,460
(865,589)
532,156
Expenditure
At 31 March
2021
116,592
415,564
532,156

Purposes of restricted funds

Barclays

To support family carers and those they care for who live at home by giving carers a break from their caring role.

GCF Legacy Fund

To provide support for carers to prepare and plan for a time when their caring responsibilities end, and provide support to move on after their caring role ends.

Julia and Hans Rausing Trust

To fund core costs and overheads of the charity to ensure sustainability due to Covid-19.

GCC Infection Control

To support adult social care providers to reduce the rate of Covid19 transmission and support wider workforce resilience.

GCC Thriving Communities

To support family carers and those they care for who live at home by giving carers a break from their caring role.

GCF Coronavirus Recovery and To fund core costs to bring the service manager back off furlough Resiliance Fund to resume services.

Prior year comparative:

There were no restricted funds in the prior year.

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Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2021

16. Reconciliation of net movement in funds to net cash flow from operating activities

Net movement in funds
Adjustments for:
Depreciation charges
Interest from investments
Decrease / (increase) in debtors
Increase / (decrease) in creditors
Net cash provided by / (used in) operating activities
Analysis of changes in net debt
Cash
Loans falling due within 1 year
Loans falling due after 1 year
Total		 At 1 April
2020
103,550
-
-
103,550		 2021
2020
£
£
353,871
(126,325)
3,970
1,036
(98)
(1,804)
33,235
(47,633)
8,051
20,899
399,029
(153,827)
438,802
542,352
(6,667)
(6,667)
(43,333)
(43,333)
388,802
492,352
Cash flows
At 31 March
2021		 2020
£
(126,325)
1,036
(1,804)
(47,633)
20,899
(153,827)
492,352

17. Analysis of changes in net debt

18. Operating lease commitments

The charity had operating leases at the year end with total future minimum lease payments as follows:

Amount falling due:
Within 1 year
Within 1 - 5 years		 2021
£
29,967
3,956
33,923		 2020
£
28,707
16,746
45,453

19. Related party transactions

There were no related party transactions in the current or prior year.

29