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2022-03-31-accounts

Charity registration number 1115012

Company registration number 05776865 (England and Wales)

RELATE NORTH & SOUTH WEST SUSSEX ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

RELATE NORTH & SOUTH WEST SUSSEX

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees J Barber
S Hill
R Hodgetts
L Parsons
R Simmons
E Skyrme
S Whittaker
C Allison (Appointed 16 November 2021)
Secretary L Phillips
Charity number 1115012
Company number 05776865
Registered office The Orchard
1-2 Gleneagles Court
Brighton Road
Crawley
West Sussex
RH10 6AD
Independent examiner Darren Harding ACA FCCA DChA
Richard Place Dobson Services Limited
1-7 Station Road
Crawley
West Sussex
RH10 1HT

RELATE NORTH & SOUTH WEST SUSSEX

CONTENTS

Page
Trustees' report 1 - 10
Independent examiner's report 11
Statement of financial activities 12 - 13
Balance sheet 14
Notes to the financial statements 15 - 25

RELATE NORTH & SOUTH WEST SUSSEX

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT)

FOR THE YEAR ENDED 31 MARCH 2022

The trustees present their annual report and financial statements for the year ended 31 March 2022.

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 2022. 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 2015).

Objectives and activities

The objects of the charity as stated in the Articles of Association are:

  1. To educate the public concerning the benefits of secure couple relationships, marriage and family life in order to improve the emotional, sexual and spiritual well-being of individuals which is derived from committed relationships;

  2. To seek to enhance the good health, both mental and physical, of adults and children by increasing public awareness of the benefit of committed couple relationships, marriage and family life and working to prevent poverty, hardship and distress caused by the breakdown of such relationships;

  3. To provide counselling, advice, education, guidance and relief to adults and/or children in relation to any aspect of contemporary life or work which may prejudice their physical or mental well being, or influence either directly or indirectly, their present or future family or couple relationship;

  4. To relieve those in need by reason of youth, age, ill-health, disability, financial hardship or other disadvantage;

  5. To promote research into all of the above objects and to make the results available to the public.

Vision

Relate's vision is of a future in which healthy relationships form the heart of a thriving society.

Mission

Relate's purpose is to help people make those personal changes which enable them to engage in committed and loving relationships for the benefit of themselves, their family and society.

To develop and support healthy relationships by:

Relate aims to deliver its services with cultural sensitivity and without discrimination. The Charity's principal activity is the provision of counselling for couples, individuals, families and young people experiencing relationship difficulties, and the provision of sexual therapy.

Public benefit

Our aim is to provide our services to clients irrespective of age, disability, gender, marital status, sexual orientation, race, religion or ability to pay. We do all we can to support clients on limited incomes and we have been able to provide services to children and to some disadvantaged couples and families at reduced costs.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

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RELATE NORTH & SOUTH WEST SUSSEX

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Overview

As we reflect back on 2021/2022 for this report, we are in reality standing in the early months of the following financial year, which so far holds a tangible sense of a new, post-pandemic world – at least in terms of no longer living with restrictions and lockdowns. It is important to hold in mind from the current vantage point that during the first six months of 2021/2022, we were still deeply mired in the Covid pandemic, with all the organisational implications associated with that. As yet, we don’t have data or experience from a full post-Covid financial year to fully assess the lasting impact and changes to our organisation and the clients we serve, but we are beginning to get a sense of what will go back to “normal”, and what is likely to be a permanent shift in the way that we work.

Zoom and phone counselling continues to be our primary mode of delivery, with many clients appreciating the greater flexibility and availability of this form of counselling, and many counsellors preferring the flexibility and savings this offers. However, by the end of 2021/2022 a growing number of potential clients expected and wanted a face to face service as the country as a whole started to return to normal. At this point, approximately 28% of our sessions were delivered face to face. Across the whole Federation, many centres had not even begun to resume face to face counselling by the end of the year, with Relate National centres in particular still operating fully by Zoom. In that sense, our centre has been ahead of the game, but like other centres, we face the challenge of a workforce now settled into the status quo of mostly remote working. Encouraging the team and counsellors back into an office setting, particularly with familiar spaces lost during the pandemic, has been a big part of our focus in the latter half of the year, and will be moving forward.

Like many centres around the country, we have experienced a significant and consistent drop in paid client income. Levels in the last financial year were 44% below pre-pandemic levels. However, our income as a whole has increased by 12% on pre-pandemic levels, and is coming from different sources. Pre-pandemic, 62% of our total income was from paying clients, compared to just 32% in the 2021/22 financial year. However, last year, 24% of our income came from a completely new income stream – GP contracts. In addition, the Charity Shop performed well above target for the full year, bringing in 26% more income than prepandemic, and accounting for 32% of our total income. Expenditure remained mostly static compared to pre-pandemic levels, with increased spending on IT and remote working offset in part by savings on buildings and physical spaces. Despite knowing that reliance on statutory funding going forward is not a viable option for us, statutory grants were down 35% in the 2021/22 financial year compared to pre-pandemic, and other trusts/funders accounted for 7% of our total income. Our grateful thanks go to all the funders who have supported us through the year and who are listed below under the Financial Review . The last financial year ended with a small deficit.

These changes give us pause for thought as we consider how to move forward most effectively and serve our clients in the best way possible. We must weigh up whether these changes are here to stay, or will revert back as we move further out of the pandemic era. Certainly what we are experiencing as an organisation reflects what feels like long-lasting change in the needs of our clients. Many of our clients now struggle to pay full cost for appointments post-pandemic and in the midst of the national cost of living crisis. The boost in Charity Shop income may be another facet of the same trend. More than half of our clients last year received our services either free of charge or at a subsidised rate, and this trend is continuing and even increasing in the current financial year. Interestingly, along with the greater number of free and subsidised sessions, we have witnessed an increase in DNAs (Did Not Attend), representing more wastage. Pre-pandemic, 89% of booked sessions were attended, compared to 80% last year.

In addition, the type of client we are seeing is changing, in terms of the counselling they are seeking, where they are based and the complexity of their presentation. Much of this change has been driven by the GP contracts. Individual counselling now accounts for 19% of total sessions delivered, and children and young people’s (CYP) counselling for 15%. The number of CYP sessions delivered last year was 44% higher than pre-pandemic levels, and this will increase in the new financial year with additional CYP contracts. Couples counselling, family counselling and psychosexual therapy, on the other hand, were down by 20%, 66% and 48% respectively, although couples counselling still accounts for the lion’s share of our work.

Another key change driven by the increase in clients coming through Crawley GP surgeries has been the skew of clients coming from the Crawley area. In 2021/2022, nearly half of all clients were from Crawley Borough Council, compared to 29% the year before. Clients from Horsham and Mid-Sussex District Councils fell slightly, but the biggest drop in client numbers came from the Chichester area, dropping from 21% to just 9% of total clients. This of course also coincides with the relinquishing of our leased Market Road premises the previous year.

The final, and most serious implications of the changing client profile is the increase in the high-level and complex cases we are seeing, particularly among children and young people. Post-pandemic impact combined with a local and national overload on statutory services with a duty for crisis care and specialist intervention means that cases we wouldn’t have considered supporting in years gone by are now sitting with us. There is a growing sense that there is nowhere else for them to go. We have started to build up partnerships with CAMHS and other outside agencies and to increase support for our team through additional training and crisis management processes, but there is no doubt that the increased complexity is having an impact on counsellors and staff following an already challenging period of service delivery.

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RELATE NORTH & SOUTH WEST SUSSEX

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

The picture is still changing, and some of the shifts are likely to be a permanent feature of the organisation and its clients moving forward. In many ways, coming out of the pandemic has been more challenging than going into it. When we closed down our face to face services in 2020/2021, there was only one way to go, and we had plenty of government support and low-hanging fruit from funders to see us through. This past year and looking ahead, the full impact of the pandemic is being felt both by the team and our clients, funding available is harder to come by, and the way ahead has many more choices and implications. More than ever, a massive thank you goes out to the organisation’s staff, counsellors, trustees, volunteers and funders who have stayed the path, embraced the changes, and ensured that amidst the shifting sands a solid and well-received service has been delivered to our clients throughout the year.

PRE- AND POST-PANDEMIC COMPARISONS

Cases

Pre-pandemic (19/20) During pandemic (20/21) Post-pandemic (21/
22)
Appointments offered
 3910 2798 4068
Appointments attended
 3480 2337 3294
**% appointments attended ** 89% 84% 80%
Number of cases
 967 486 652
Number of individuals
 1354 661 896

Finances

Pre-pandemic During pandemic
 Post-pandemic
Income 340,489 323,088
 381,325
Expenditure 378,232 320,616
 387,171
Surplus/Deficit -37,743 2,472
 -5,846

Sources of income

Pre-pandemic During pandemic Post-pandemic
Client income 211,581 156,126
(incl
GP
contract)
119,333
% client income 62% 48% 32%
GP contracts £0 Incl in client income 91,320
% GP contracts 0% Incl in client income 24%
Shop income 97,271 45,998 122,313
% shop income 29% 14% 32%
Statutory grants 30,670 50,702 20,015
% statutory grants 9% 16% 5%
Trusts/foundations £0* 45,889 28,344
% trusts/ foundations 0% 14% 7%
Other 967 24,373 0
% other 0% 8% 0%

Sources of expenditure

Pre-pandemic During pandemic Post-pandemic
Charity shop
 46,335 43,107 56,577
% charity shop
 12% 13% 15%
People
 267,705 226,780 284,381
%people
 71% 71% 73%
Support/governance
 64,192 50,729 46,213
% support/governance
 17% 16% 12%

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RELATE NORTH & SOUTH WEST SUSSEX

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Our services

During the course of the year we offered 4,068 appointments and 3,294 (80%) were attended. Although more appointments were offered compared to pre-pandemic, fewer were attended because of higher DNA rates. Of the 3,294 appointments attended, 1,681, or 51% were subsidised in some way to enable access to clients who would not have been able to afford the full session fee.

Appointments
attended		 Appointments
subsidised		 Proportion
of
appointments
subsidised
2021/
2022
Proportion
of
appointments
subsidised
2020/
2021
51%
33%
25%
46%
886 435 49%
824 427 52%
771 396 51%
813 423 53%
Type of subsidy Appointments attended Proportion
of
total
subsidised appointments
2021/2022

Proportion
of
total
subsidised appointments
2020/2021
Bursary
from
local
grants
150		 11% 50%
Free counselling through
PCN
1,199		 65% 33%
Subsidy
from
core
funding
169		 12% 8%
Subsidy
from
Relate
National contracts
92		 7% 4%
Other local funding 71 5% 5%

Services accessed

Children and young people’s services, and adult individual counselling increased dramatically compared to pre-pandemic, mostly due to the GP contracts. In every other category we saw fewer clients than in pre-pandemic levels. Relationship counselling continued to make up the biggest proportion of our service delivery this year, accounting for just over half of all attended appointments.

Type of service Number of sessions
attended
% of total service		 % change
In 2021/2022 from
pandemic 2020/2021
% change in 2021/
2022
from
pre-
pandemic 2019/2020
Initial Assessment 268 8% -7%* -49%*
Relationship
Counselling		 1706 52% +8% -20%
Individual
Counselling		 640 19% +305% Not
recorded
sig
increase
Psychosexual
Therapy		 87 3% +9% -48%
**Family Counselling ** 96 3% -16% -66%
CYP Counselling 497 15% +328% +44%
ALL SERVICES 3,294 100% +41% -6%

*Figure skewed by recording anomaly. More initial assessments took place than this.

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RELATE NORTH & SOUTH WEST SUSSEX

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Contract and partnership work

During 2021/2022, we extended the existing Primary Care Network (PCN) pilots to full contracts, allowing patients of eight GP practices in Crawley to access either short-term young people’s counselling from a counsellor based in the GP surgery, or shortterm adult counselling via Zoom from a team of Relate counsellors, all free at the point of delivery. Both contracts are aimed primarily at individuals and had received referrals for 76 young people and 384 adults during 2021/2022 (and including the first three months of 2021). During the last quarter of the financial year, two further children and young people’s contracts were set up with the remaining PCN’s in Crawley which meant that from 1[st] April 2022, every GP surgery in Crawley would have access to a Relate CYP counsellor.

We continued ongoing work with sixth form college Collyers, with a counsellor supporting four members of pastoral staff to safely hold the load of the college students’ emotional wellbeing through half-termly supervision sessions. Collyers students and staff are also eligible for short-term counselling at reduced rates.

We were also part of a local initiative with Sussex Police whereby Relate was part of a range of organisations offering holistic support to families where the young person is at risk of offending. However, despite our involvement and availability, no referrals to family counselling were made to us through this contract.

About our clients

During 2021/2022, we worked with 652 cases, which amounts to 896 individuals supported during the course of the year. 59% of our clients were female and 41% male. The average age was 48 years old, compared to 45 years old last year. Half of clients did not give their ethnicity, reduced from the two-thirds of clients who did not give their ethnicity the previous year. New systems were put in place in October 2021 to more consistently capture client ethnicity. 14% of the clients who responded were from ethnic groups other than white British.

Approximately 20% of clients completed an after service form. A large proportion of those respondents were individual adults who came to us through the PCN contract. Of those who completed the forms, 98% said they were either satisfied or very satisfied with the service they had received and 2% were unsatisfied. 91% of clients said they felt very listened to and understood by the counsellor, and 70% said the counselling had helped them to understand themselves better.

Some feedback from our clients

COUPLES AND FAMILIES

“It’s been really helpful for me to understand my husband and myself better. I think what I have learnt will be very valuable going forward.”

“Very happy with our Relate counselling. Our counsellor totally knew our needs and helped us through a difficult time in our marriage. I would not hesitate to recommend the team and to come back if I thought I needed more help.”

“I feel the process was excellent and it has really help my wife and I make improvements to our relationship. A very positive experience.”

“Our counsellor was very understanding and didn't take sides. Her manner and tone came across very calmly and relaxed. She has helped to get us back on track.”

“We sought help from relate after our relationship was under a lot of strain, it was so easy and quick to arrange an assessment. The counsellor assigned was a lovely lady who has helped us immensely. We had lost how to communication without arguing. She understood and taught us to communicate and find us again. She really listened and spoke to us on our level that we could understand and felt that our advice was individual and tailored to us.”

INDIVIDUALS

“I found the counselling really helpful. To be able to talk to somebody impartial and listen to different ideas of ways that I can treat situations. It has been invaluable. Thank you.”

“The counsellor was extremely helpful, understanding, friendly and very easy to talk to. We worked through a lot and being able to talk in confidence about my issues brought to light the problems and causes, some of which were never considered.”

"It feels nice to be able to open up to someone after years of holding everything in. It has made me open up to things that I never though about and see it in a different approach"

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RELATE NORTH & SOUTH WEST SUSSEX

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

“I felt very safe with my counsellor, and she immediately made me feel at ease. I had a very positive experience through Relate and would feel comfortable accessing the support again if I needed it.”

YOUNG PEOPLE

“I feel more confident in my ability to handle my emotions. I feel validated in the way that I feel.”

“I found it helpful in understanding how to be less anxious and stressed and to be happier and think of good things.”

“I found these sessions very helpful. It was nice to speak to someone with an unbiased opinion.”

“I could talk freely about stuff that I normally do not share.”

Age range of client Number of clients in this
age range
Percentage of clients in
this age range 2021/2022
Percentage of clients in
this age range 2020/2021
Under 18 95 11% 6%
18-29 111 13% 13%
30-39 208 23% 24%
40-49 236 26% 26%
50-59 164 18% 22%
60-69 61 7% 8%
70-99 21 2% 2%
Client council area Number of clients in
this council		 Number of clients in
this council
Percentage of clients
in this council 2021/
2022
Percentage of clients
in this council 2020/
2021
Crawley
Borough
Council
434		 48% 29%
Horsham
District
Council
193		 22% 21%
Chichester
District
Council
81		 9% 21%
Mid Sussex District
Council
62		 7% 11%
Arun
District
Council
28		 3% 5%
Out of area 52 6% 8%
Not specified 46 5% 5%
Client ethnicity
Percentage of clients in this
ethnicgroup2021/2022
White British
86%
Asian British
5%
Black British
3%
Other White
3%
Mixed Race
2%
Other
1%
Client ethnicity Percentage of clients in this
ethnicgroup2021/2022
White British 86%
Asian British 5%
Black British 3%
Other White 3%
Mixed Race 2%
Other 1%

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RELATE NORTH & SOUTH WEST SUSSEX

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

How clients accessed our
services		 Number of clients Percentage of clients
2021/2022
Percentage of
clients 2020/2021
Contract with centre 321 36% 15%
Self referral (always known
about us)		 267 30% 47%
Online (google search/
website/RelateHub)		 73 8% 8%
Friend or familymember 72 8% 8%
Ex-client 44 5% 5%
Otherprofessional 44 5% 9%
Advertising and social media
(incl Facebook, posters,
leaflets,radio)		 5 1% 1%
Other 11 1% 1%
Did not respond 53 6% 6%

Leavers & Starters

Our counselling team grew over the year with the addition of two new counsellors in training, Annie Aitchison and Majeed Iltaf. In addition one of our experienced counsellors, Emma Huband, embarked on a young person’s training course due for completion early in the new financial year. We were also joined by three new experienced counsellors: Sara Ines Genevini working with young people and families; and Nirvana Crowley and Asya Boteva Mohammed, both recruited to work with individual adults through the adult PCN contract.

During the year we welcomed two new members of staff to the office team, Maura Fayle as Administration Assistant and Clare Ball as Contracts Administrator. We also welcomed William Freeman to the post of Charity Shop Assistant following the departure of Julie Adshead. William moved away shortly after taking up the post and we have since been happy to welcome Maxine Delaney to the role. During the year we also said goodbye to First Voice Administrators Jo Powell and Jess Simpson.

We have had some changes to our Board of Trustees, with our Chair Sue Millership and Treasurer Alan Lane standing down at the AGM in November 2019 after many years of faithful service. Sam Whittaker and Louise Parsons stepped into the interim role of Co-Chair, and Judith Barber became our new Treasurer. We also welcomed former counsellor Cheryll Allison to the Board.

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RELATE NORTH & SOUTH WEST SUSSEX

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

FINANCIAL REVIEW

Financial position

The Statement of Financial Activities on page 12 shows a deficit of £5,846 (2020/21: surplus of £2,472) and this has been reflected in the Balance Sheet as set out on page 14. This deficit was a planned position, as the Trustees agreed during the year to appoint a temporary Assistant Operations Manager, which was an additional post to support business development. This role was funded from reserves. The balance of Unrestricted Funds is adequate to fulfil the company’s obligations.

Funding sources

We are always grateful to our partners and funders who have consistently supported the vital work of Relate North & South West Sussex over the years. We would like to say a massive thank you to the following funders:

Funding to support the whole organisation & all areas
served
Easy Fundraising
Arnold Clark Community Fund
Gatwick Airport Community Trust
Ernest Kleinwort Charitable Trust
Sussex Community Foundation
Julia and Hans Rausing Trust
£46
£1,000
£1,500
£3,000
£3,733
£2,980
Crawley
Crawley Borough Council
Longley Trust		 £26,265
£1,000
Horsham
Horsham District Council
Horsham District Community Lottery		 £4,750
£41
Chichester
Bassil Shippham & Alsford Trust		 £250

Once again, we are extremely grateful and appreciative of the efforts of Cara Hyde and her team of assistants and volunteers for making our Charity Shop such a success. In the last financial year the shop made a net profit of £65,736 (2020/2021: £2,891) outperforming all targets post-lockdown.

Reserves policy

The Charity needs reserves to enable it to meet its charitable obligations and commitments it enters into. The Trustees believe that the ideal level of reserves to meet its general purposes and specific activities should be up to the equivalent of four months operating costs (currently approximately £110,198) calculated and reviewed annually. We believe that the reserves should be maintained or built up to the desired level in stages as necessary, consistent with the charity's overall financial position and its need to maintain and develop its charitable objectives. At the end of the financial year, the level of freely available reserves stood at £86,625 (2020/2021: £89,643).

FUTURE PLANS

In October 2021, after 18 months of operation within the pandemic, staff and trustees met with an external facilitator to start the conversation about planning ahead. It was still too early to have a handle on what a post-pandemic world would look like, and how this would impact our organisation in the long-term. We used the time both to recognise and bed in our key strengths of responsiveness, flexibility, cohesive team spirit and specialist skills, and to identify areas of stuckness which needed to be addressed, most notably low pay, key person dependency, stretched resources, outdated branding and message, and clunky internal systems. Out of the day we agreed that any new vision would need to:

Ensure a rich, smooth client journey Enable us to fully reach our local community with our message and service Make certain our organisation is sustainable and effective over the long term

To this end a programme of change work began during the final quarter of 2021/2022, beginning with the recruitment of a temporary Assistant Operations Manager to support the Centre Manager with day to day work, freeing up resource to implement change. First steps will include a deep-dive into: a) understanding the strengths and blocks of the current client journey; b) competitor and partner analysis in West Sussex; c) client needs assessment. Recommendations from these areas will be taken forward in 2022/2023 to re-shape the service going forward.

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RELATE NORTH & SOUTH WEST SUSSEX

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The Charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

Recruitment and appointment of new trustees

Relate North & South West Sussex recruits trustees with particular skills, who have an interest in relationships, families and young people. All new board members receive a comprehensive induction pack about Relate North & South West Sussex and as to their responsibility as charity trustees and company directors. We offer trustees internal and external workshops and on-going advice, information, training and guidance relating to their duties and the charity's operations.

The Board of Trustees is responsible for the overall governance of the Charity. Trustees are elected, appointed or co-opted, the total number of Trustees not being less than six nor exceeding eighteen.

The Trustees generally meet between six and 12 times a year, review strategy and operational performance, and set operating plans and budgets. The Board delegates the exercise of certain powers in connection with the financial management of the Charity, controlled by requiring regular reporting back to the Board, so that all decisions made under delegated powers can be ratified by the full Board in due course.

Organisational structure

The company is governed by its Memorandum and Articles of Association adopted in 1999 and updated in May 2014.

Relate North & South West Sussex Limited is a member of the Relate Federation and has been granted a non-exclusive licence to use the Relate name and logo.

The Trustees, who are also directors of Relate North & South West Sussex for the purpose of company law, are responsible for the annual report, and for the preparation of financial statements for each financial year, in accordance with applicable law and United Kingdom Accountancy Standards (United Kingdom Generally Accepted Accounting Practice).

The Treasurer, Chair, Centre Manager and Finance Manager undertake the financial management of the charity. They meet regularly to review the budget and management accounts and to prepare financial papers for review by the Trustee Board every two months. They ensure proper procedures are in place to manage cash resources prudently and to maximise income from liquid resources whilst maintaining sufficient funds to meet daily cash requirements. They advise the Trustee Board on the appropriate level of free reserves and of any significant change needed in financial management strategy. Forecasting is a key element of the financial management activities and forecasts are reviewed regularly at Trustee meetings.

The Centre Manager is responsible for the day to day management of the Charity's affairs and for implementing policies agreed by the Board of Trustees. The Supervisors, Finance Manager, Development Manager and the Administrative Support Team assist the Centre Manager.

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

In preparing these financial statements, the Trustees are required to:

The Trustees have overall responsibility for ensuring that the Charity has appropriate systems and controls, financial and otherwise. They are also responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Charity and for their proper application as required by charity law. They must take reasonable steps for the prevention and detection of fraud and other irregularities and to provide reasonable assurance that:

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S￿]￿ RHo6g AL8tte i]1¢y￿& J6N(Nankn2O21) CAJ]is( ZLI LLL<JIL 10

RELATE NORTH & SOUTH WEST SUSSEX

INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF RELATE NORTH & SOUTH WEST SUSSEX

I report to the trustees on my examination of the financial statements of Relate North & South West Sussex (the charitable company) for the year ended 31 March 2022.

Responsibilities and basis of report

As the trustees of the charitable company (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 charitable company 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 the charitable company’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Since the charitable company’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 , which is one of the listed bodies.

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

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.

Darren Harding ACA FCCA DChA

Richard Place Dobson Services Limited 1-7 Station Road Crawley West Sussex RH10 1HT

Dated: 20 December 2022

page 11

RELATE NORTH & SOUTH WEST SUSSEX

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2022

Current financial year
Unrestricted
Unrestricted
Restricted
funds
funds
funds
general
designated
2022
2022
2022
Notes
£
£
£
Income from:
Donations and legacies
3
48,359
-
-
Charitable activities
4
210,653
-
-
Other trading activities
5
122,313
-
-
Investments
6
-
-
-
Total income
381,325
-
-
Expenditure on:
Raising funds
7
56,577
-
-
Charitable activities
Counselling
8
327,766
1,078
1,750
Total charitable expenditure
327,766
1,078
1,750
Total expenditure
384,343
1,078
1,750
Net (expenditure)/income for the year/
Net movement in funds
(3,018)
(1,078)
(1,750)
Fund balances at 1 April 2021
89,643
18,362
10,881
Fund balances at 31 March 2022
86,625
17,284
9,131		 Total
2022
£
48,359
210,653
122,313
-
381,325
56,577
330,594
330,594
387,171
(5,846)
118,886
113,040		 Total
2021
£
119,836
156,126
45,998
1,128
323,088
43,107
277,509
277,509
320,616
2,472
116,414
118,886

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

page 12

RELATE NORTH & SOUTH WEST SUSSEX

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2022

Prior financial year
Unrestricted
Unrestricted
Restricted
funds
funds
funds
general
designated
2021
2021
2021
Notes
£
£
£
Income from:
Donations and legacies
3
119,628
208
-
Charitable activities
4
156,126
-
-
Other trading activities
5
45,998
-
-
Investments
6
1,128
-
-
Total income
322,880
208
-
Expenditure on:
Raising funds
7
43,107
-
-
Charitable activities
Counselling
8
265,790
7,249
4,470
Total charitable expenditure
265,790
7,249
4,470
Total expenditure
308,897
7,249
4,470
Gross transfers between funds
(2,982)
2,982
-
Net (expenditure)/income for the year/
Net movement in funds
11,001
(4,059)
(4,470)
Fund balances at 1 April 2020
78,642
22,421
15,351
Fund balances at 31 March 2021
89,643
18,362
10,881		 Total
2021
£
119,836
156,126
45,998
1,128
323,088
43,107
277,509
277,509
320,616
-
2,472
116,414
118,886

page 13

REIATE NoRfH & SOUTH ￿ST SUSSEX ASAT31 MAR(H2022 T￿￿￿leaS 4T27 3941 1133T2 C&8b 8tbankaudiBlw¥J 114.yf 117J13 -lJ7.O19 - 14 (5J12) (i.A60) 115.159 113WO 9.131 lQ881 17284 J&362 89fj43 io&( 113.1 lJ&8$6 yrnrath131 Mtrth2tr22. se<*itm47&

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

Charity information

Relate North & South West Sussex is a private company limited by guarantee incorporated in England and Wales. It is also a charitable company registered with the Charity Commission. The registered office is The Orchard, 1-2 Gleneagles Court, Brighton Road, Crawley, West Sussex, RH10 6AD.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charitable company's Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charitable company is a Public Benefit Entity as defined by FRS 102.

The charitable company has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements are prepared in sterling, which is the functional currency of the charitable company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Designated funds comprise funds which have been set aside at the discretion of the trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the charitable company is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Legacies are recognised on receipt or otherwise if the charitable company has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

Grants are credited to the Statement of Financial Activities in the year in which the charitable company becomes entitled to them.

Other trading activities includes income from goods donated to the shop to be sold on and is recognised when the goods are sold.

Charitable activities include client income received by way of counselling, PST and other client income and is recognised when received.

Investment income is recognised in the year it relates to.

page 15

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

1.5 Expenditure

Liabilities and related expenditure are recognised in full in the financial statements as soon as an obligation arises and include VAT.

Cost of generating funds includes expenses related to running the Charity Shop and are recognised as incurred.

Expenditure represents the costs directly attributable to charitable activities including governance costs and external Independent Examiner fees.

Support costs now include governance costs which are costs associated with meeting the constitutional and statutory requirements of the charitable company and include Independent Examiner fees, accountancy fees, legal and professional fees and bank charges.

Allocation and apportionment of costs

The main activities of the charitable company are counselling and running the Charity Shop, so all costs related to these are classed as direct charitable costs. All other costs are allocated as support costs.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Fixtures, fittings & equipment 33.3% Straight Line Computers 33.3% Straight Line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less.

1.8 Financial instruments

The charitable company only has financial assets and 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.

1.9 Taxation

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

1.10 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charitable company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.11 Retirement benefits

The charitable company operates a defined contributions 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.

page 16

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

1.12 Debtors

Debtors are recognised at the settlement amount due.

1.13 Creditors

Creditors are recognised where the charitable company 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 are normally recognised at their settlement amount after allowing for any discounts due.

2 Critical accounting estimates and judgements

In the application of the charitable company’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Donations and legacies

Unrestricted
funds
general
2022
£
Legacies receivable
-
Grants received
48,359
48,359
Legacies receivable
Malcolm Simmonds Legacy
-
-		 Total
2022
£
-
48,359
48,359
-
-		 Total
2021
£
2,000
117,836
119,836
2,000
2,000

page 17

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

3
Donations and legacies
Grants receivable for core activities
Crawley Borough Council
Crawley Borough Council Covid 19 grant
Yorkshire Building Society (Charities Trust)
Groundwork Tesco Bags of Help
Groundwork Tesco Covid 19 Community Fund
Julia and Hans Rausing Charity Survival Fund
National Lottery Covid 19 Fund
Sussex Community Foundation Crisis Fund 1
Sussex Community Foundation Crisis Fund 2
2.6 Challenge (Just Giving)
Horsham District Council
Bassil Shippham and Alsford Trust
Mid Sussex District Council
HMRC JRS Grant
Gatwick Airport Community
Hoare Trustees
Longley Trust
Arnold Clark
Earnest Kleinwort Charitable Fund
Relateen Crawley Borough Council
Other
4
Charitable activities
Sales within charitable activities
5
Other trading activities
Charity shop income		 (Continued)
15,265
15,265
26,265
2,667
2,667
19,908
-
-
1,000
-
-
1,166
-
-
500
-
-
28,292
-
-
9,036
3,733
3,733
2,500
-
-
1,374
-
-
1,770
4,750
4,750
4,600
250
250
250
-
-
137
-
-
21,038
1,500
1,500
-
2,980
2,980
-
1,000
1,000
-
1,000
1,000
-
3,000
3,000
-
11,000
11,000
-
1,214
1,214
-
48,359
48,359
117,836
Counselling
Counselling
2022
2021
£
£
210,653
156,126
Unrestricted
Unrestricted
funds
funds
general
general
2022
2021
£
£
122,313
45,998

page 18

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

6 Investments

Total Unrestricted
funds
general
2022 2021
£ £
Interest receivable - 1,128
7 Raising funds
Unrestricted Unrestricted
funds funds
general general
2022 2021
£ £
Charity shop expenses
Operating charity shops 28,839 18,091
Staff costs 27,738 25,016
Charity shop expenses 56,577 43,107
56,577 43,107

page 19

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

8 Charitable activities

Counselling Counselling
2022 2021
£ £
Staff costs 259,348 206,224
Depreciation 2,688 2,444
Advertising 332 -
Sundries 195 1,648
Counsellor training 5,112 2,720
Counsellor expenses 12,677 10,604
Staff expenses 271 284
Travelling expenses 3,758 2,856
284,381 226,780
Share of support costs (see note 9) 44,257 48,328
Share of governance costs (see note 9) 1,956 2,401
330,594 277,509
Analysis by fund
Unrestricted funds - general 327,766 265,790
Unrestricted funds - designated 1,078 7,249
Restricted funds 1,750 4,470
330,594 277,509

page 20

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

9 Support costs

Support costs
Governance
costs
£
£
Operating lease charges
19,759
-
Insurance
4,172
-
Telephone
2,578
-
Printing and stationery
617
-
Sundries
5,407
-
Office equipment & IT
software
11,174
-
Repairs and renewals
550
-
Independent examination
fees
-
1,860
Bank charges
-
96
44,257
1,956
Analysed between
Charitable activities
44,257
1,956		 2022
Support costs
Governance
costs
£
£
£
19,759
24,556
-
4,172
3,105
-
2,578
2,587
-
617
364
-
5,407
9,079
-
11,174
8,445
-
550
192
-
1,860
-
2,310
96
-
91
46,213
48,328
2,401
46,213
48,328
2,401		 2021
£
24,556
3,105
2,587
364
9,079
8,445
192
2,310
91
50,729
50,729

Governance costs includes payment to the Independent Examiner of £1,860 (2021- £1,860).

10 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charitable company during the year.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 March 2022 nor for the year ended 31 March 2021.

11 Employees

The average monthly number of employees during the year was:

2022 2021
Number Number
Staff 28 35

page 21

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

11
Employees
Employment costs
Wages and salaries

Social security costs
Other pension costs
 (Continued)
2022
2021
£
£
269,303
217,273
8,690
6,020
9,093
7,947
287,086
231,240		 (Continued)
2022
2021
£
£
269,303
217,273
8,690
6,020
9,093
7,947
287,086
231,240
231,240

Key Management Personnel

The trustees consider five members of staff to be key management personnel. The total employment benefits of key management personnel were £93,470 (2021 - £101.687).

There were no employees whose annual remuneration was £60,000 or more.

Fixtures, fittings
& equipment
Computers
£
£
Cost
At 1 April 2021
4,465
11,462
At 31 March 2022
4,465
11,462
Depreciation and impairment
At 1 April 2021
4,465
7,735
Depreciation charged in the year
-
2,688
At 31 March 2022
4,465
10,423
Carrying amount
At 31 March 2022
-
1,039
At 31 March 2021
-
3,727
13
Debtors
2022
Amounts falling due within one year:
£
Prepayments and accrued income
3,941
14
Creditors: amounts falling due within one year
2022
£
Accruals and deferred income
5,312		 Total
£
15,927
15,927
12,200
2,688
14,888
1,039
3,727
2021
£
2,497
2021
£
1,860

page 22

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

15 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement in funds Movement in funds
Balance at Incoming Resources Balance at Resources Balance at
1 April 2020 resources expended
1 April 2021		 expended 31 March
£ £ £ £ £ 2022
£
Relateen Chichester 950 - (680) 270 (160) 110
Relateen Crawley 14,401 - (3,790) 10,611 (1,590) 9,021
15,351 - (4,470) 10,881 (1,750) 9,131

Restricted funds relate to income that has been set aside for the Young People's service also known as Relateen.

16 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

Movement in funds Movement in funds
Balance at Incoming Resources Transfers Balance at
1 April 2021 resources expended 31 March
£ £ £ £ 2022
£
Computers 1,078 - (1,078) - -
Succession planning 5,000 - - - 5,000
Counsellor training 5,759 - - - 5,759
Marketing 1,000 - - - 1,000
Charity Shop 5,525 - - - 5,525
18,362 - (1,078) - 17,284

page 23

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

16 Designated funds

(Continued)

Movement in funds Movement in funds
Balance at Incoming Resources Transfers Balance at
1 April 2020 resources expended 31 March
£ £ £ £ 2021
£
Computers 3,587 - (491) (2,018) 1,078
Succession planning - - - 5,000 5,000
Counsellor training 7,459 - (1,700) - 5,759
Marketing 1,000 - - - 1,000
Charity Shop 5,525 - - - 5,525
- - - - -
Family Counselling 4,850 208 (5,058) - -
22,421 208 (7,249) 2,982 18,362

The Computers fund has been set aside in order for the charitable company to update their computers, during the current financial year £1,078 has been spent on computers.

The Succession planning fund has been set aside in order for the charitable company to have the necessary funds for any key personnel changes that may happen in the future.

The Counsellor training fund has been set up so the charitable company can provide training for their counsellors in the future when required.

The Marketing fund has been set aside in order for the charitable company to market their future services further.

The Charity Shop fund has been set aside to update the electrics in the shop and any other repairs that are required.

The Family Counselling fund has been set aside to offer subsidies or free counselling to families seeking counselling who are on low incomes and unable to afford full-cost counselling.

page 24

RELATE NORTH & SOUTH WEST SUSSEX

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

17 Analysis of net assets between funds

Unrestricted
funds
Designated
funds
Restricted
funds
2022
2022
2022
£
£
£
Fund balances at 31 March 2022 are represented by:
Tangible assets
1,039
-
-
Current assets/(liabilities)
85,586
17,284
9,131
86,625
17,284
9,131
Unrestricted
funds
Designated
funds
Restricted
funds
2021
2021
2021
£
£
£
Fund balances at 31 March 2021 are represented by:
Tangible assets
3,727
-
-
Current assets/(liabilities)
85,916
18,362
10,881
89,643
18,362
10,881		 Total
2022
£
1,039
112,001
113,040
Total
2021
£
3,727
115,159
118,886

18 Operating lease commitments

Lessee

At the reporting end date the charitable company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Within one year
Between two and five years
In over five years		 2022
£
31,740
92,527
144,000
268,267		 2021
£
22,004
80,000
144,000
246,004

19 Related party transactions

There were no disclosable related party transactions during the year (2021 - none).

page 25