2024-03-31-accounts

REGISTERED COMPANY NUMBER: 05480423 (England Wales) REGISTERED CHARrrYNtrMBER: 1115017 Strategic Repor¢ Report of tbe Trustees and Group Finan¢ial Statements for the Year EDded 31 March 2024 for Kaleidoscope Projert Advantage AwuDtanry & Advisory Ltd Chartered Accountants & Statutory Avditors Avalon House 5-7 Cathedral Road Cardiff CFI19HA

Kaleidoseope Project Contents of the Group Financial Statements lor the Year Ended 31 March 2024 P8ge Strategic Report I to4 RepL¥rt of ihe Trustees 5t07 Report of the Independent Auditors 8 to 10 CollsDJidated Statetuent of Financial Acttvities Consolld4ted Balance Sheet 12 Cknarltable Company Balance Sheet 13 Consolidated Cash Flow Ststen)ent 14 Notes to the Consolldated Cash FIDW Si4temeDt 15 Notes to the Consolldated FiDancial StAtements 161037

Kaleidoscope Project Strategic Report for the Year EDded 31 March 2024 The Trustees present their repoTL lacorpo￿]ng the strategic re￿rt. aJ)d financial stateM￿ts for the yehr en(led March 31, 2024. The financial statements have been PTepared in a¢¢ordance with the accounting policies set out in the notes to the financial statements and comply with the cbarity's governing document. the Companies Act 2006 and"Accounting and Reporting by Cbarxties.. Statement of RecomTnerLded Pwtice applicable to Ch￿ltieS prepating their a¢counts in accordance with the Financial REporting Standard applicabl¢ in the UK and Republi¢ Of Ireland (FRS102) (effective l January 2019)" OBJECTIVES AND ACTIV￿lEs Our Pu ose We support people with thug. alcohol a￿) rnental heaIth issues 50 they cm have a brighter ￿t￿re in their communities. We believe tbat social justice is fiJndamentaI to a better society and ar¢ ￿ti￿nitted to being globally responsiljle citizens. ore Valu Integrity, EngageD)enL Excellence and Innovation are our CO￿ values. Our objectives framework includes a focus on.. R¢sgarch development and innovatioll People development Sustainable business Globally Tesponsible Co-Production Quality management Campaigning What we do Since l968, Kaleidog¢ope ha5 aimed to create a culfi￿¢ and environment where people feel valued and service users are inspired lo reach their goals. We seek to tackle the stigma that people witb dnjg, alcohol, and mental health issues face. We do this tbrough direct campai￿1ng and lobbying for better government policies that support, not punish, our servi¢e user community. To deliver a success￿1 service we recognts¢: Service useTS have skills and experi¢nc¢s that bring about chan8e for thernselve4 their peers and their comrnunitie5. Developing and investin8 in our people build comp￿S1on&[e and pioneering teams. Innovation begins by listening to our colleagues and servicc users and involving them in service design arLd delivery. We do this by recrniting and retaining high quality staff. who are Critical to our success. We ettcourage our teams to Strive for excellence and to innovate. We understand that th¢ key to social care is engagement frtTrm people with TDt¢grity. KAleid05¢0pe achieves its obiectivcs throu8h the provisTon of the following service5'. DnL8 dependency seTvice5 whicb take a h8nn reduetion approach to users to enable th￿n to reduce the risks of using thugs and to help them to stop using if that is iheir aim. Alcohol servicu offering support to all who are in need. Couns¢lling and advice. Residential services catering for vulnerable adults. Trnitiing services to h¢lp people acquire new skills and qtulifications. in order to a¢￿'eve their goals in lifr. PUBLIC BEP4EFIT As noted in tbe Objeclives aod Activities above, we have ¢8refvlly considered the Cbarity CollllDission guidance on public beneftt wben setting alld reviewing our Aims and Objective5. We aim to benefit all those requiriag s¢rvices in relation to preventioa and treatrnenl of substark¢¢ misuse and we gr¢ focused on successful se￿l¢e delivery. In order to enhan¢¢ th￿¢ public benefits, w¢ Work ¢los¢ly with organt&ation5 in th¢ Climi￿ justi¢¢ syst¢m and othei statutory bodies. Page I

Kaleidoscope Project Strategic Report for the Year Euded 31 March 2024 ACHIEVEMENTS AND PERFORMANCE K&leido8cope provides a range of 5¢rviccs iti relatiorj to tbc prcvention and treatDJent of sthstance us¢. Services are pTovid¢d i]L England and Wales, ainly through contracls wirh A￿a Planning Board5 who decide the nature and scope of these S¢Tvices. We also hav¢ a Detox and R¢hab facility on the Wirral callcd Birchwood @ Kaleidoscope Housc. Kaleidoscope has had another suc¢essful year alld coniinues to grow. We havc 5c¢n sncreased access to all of our services. The Gwent Drug and Alcohol Service (GDASI continucs to be our largesl and longest established service contract and it coutinu25 to fmd new ways to engage with service users, including seeing the first graduates from the Peer Araderny showing the 5ucces% of training Peer Volunteers who have lived or living experience. The Cardiff and Vale DTug Alcohol Service (CAVDAS) established in 2022 is continuing to evolve, and ha5 launched a mobile outr¢8ch hann redueiion seEvi¢e in the forn of 'Tim' tbe haTrn reduction van. We havc other substance use colltncts throughout Wales. Our full rang of services includes, engagement and counselling. intervention5. Drop In, training and education. diversionary activities, and specialist services to those out of work. We moved into our new Birchwood Detox and Rehab Centte in May 2023 and now operate 25 rooms providing an extensive range of delox packages that are tailoTed to individual service user needs. W¢ a150 provide xesideutial rehabilitation progrdnunes based on a ther&p¢ulic cojnmunity model, We have made a considerable investmeTIt in this facility thai is set in exteDSiVC grounds wher¢ residenis have the opPorn￿1ty to relax and recover in peaceful surroundings. Residents are referred from a large rattge of healthcare providers throughout England Wales. We are always focused on the quality of service provided and very proud of our Platinum Investor% in People award, particularly as this is recognition by an independent body. REVtEW OF BUSINESS Total IDwme has increased by 17 /0 in 2023-24 to £18.6m from £15.8m in 2022-23. Margins ou 311 contracts are tight, with underlying inflation pushing costs higher when servic¢ c0mm15sioners are looking for Cost savings. We conrinue lo f￿u$ on the effjcicnt and effective control of eosl&. A comparison of the headline fjnancial amourlls for the last ihree years ar¢ as follows.. 2023-24 £'ooo 18,669 2092-23 £'ooo 15,881 Totsl incoming ￿soUrce Unresirictcd incoilling resou￿¢$ Unrestricted surplusl(defLClt) 1 5,424 693 13.046 758 PLANS FOR FirrirRE PEIUODS Our kcy focus remains our support of people with drug. ￿cohol and mental health issues so they can have a brighter fi3Nr¢ in tbeir colltrAunities. In so doing we plarA to retain and win new service Contracts to sustain the services we have noled in Obj¢ctiv¢g and Aclivilies. Th¢ rccruitment and r¢t¢ntion of high qua]ity colleagues is Tequired to underpin our goals. We will look to recruit and rctain colleagues who have 3 d¢5ire to strive for excell¢nc¢, k-¢¢n to innovate and who understand the key to social care 1% engagernent that comes from people who have integrity. Our prigrity is to provide quality serYic¢s that we can benchmark against recognised external stand￿d$, as well as SUTV#yS undertaken witb service users and colleasucs. We are operatLng in a challengiog economic envirDfLment and we recog￿se that w¢ n¢ed to be cosl efficient and focused on contiuuous improvejnent. Energy efficiency is critical the increase in energy costs and we are tsking advalltage of opportunities to expand our use of electric vehicles and solarpanel soluttons. Kaleidoscope is comttiitted to bann reduction al￿ we will continue to Work with a nurnber of bodies and parthers to increase tkne options that are av&ilable foT our serviG¢ u$￿S. We are leadiTh8 tbe way in terms Df the introduction of Co-Produ¢tion, involving th08e witlL lived ¢xperience in.. Best practice in teTms of service design and delivery acTOS$ a rauge of healtb and Social ¢ar¢ s¢ttings', Settsng goals in relation to supporting service users in terms of tbeu engagemeDL self-actuali5atiOTL ttaining and development" aud Establi51Ling way5 of con]batting stigtlla. Page 2

Kaleidoscope Project Strategic Report for the Year Ended 31 March 2024 Our focus on Co-Production is aligned with our commitment to research. development aDd inrjovation. We are alsD exploring the irnpiementation of D￿g Consurnpti(m Rooms. As part of our core objectives we are launching a Researcl Develop￿ellt and Tnnovation pm8rn3Dme that seeks to keep us at the forefront of pioneering s¢rvice design 8t￿ delivery. This is overseeL by a Board Subgrotw and in due Course will op¢tate within a discrete f]nancial entity within the Kaleidoscope family of Charitie5. EMPLOYEE RELATIONS We aitn to be a fair. ¢quitsble and provide a diveTre envlronment wherc ourpeople 2Te SUPPOrted to be healtby safe, happy and successful in their work environments. PRINCIPAL IUSKS AND UNCERTAINTIES Risk exists where there is uncertainty surrounding evenls and their outcomes thAi may have a significant impact on our ability to: achieve OUT aims. satisfy the exp¢¢tations of our stskeholders" and operate efficielltly, Risk management 1$ the responsibility of the Tn￿tee9 and 8￿rdinglY a sehethile suMMa￿Ing PTilloip81 risks together with mitigating factOTS and appropiiate risk rnanagement procedut¢s is ftITmaily reviewed by the Boerd at least once per year. Ea addiiion lo this the Board has launched two subwups, one focused on Finance and BUsin￿S PlaDning lo scn]tinise financial risks (and opportunities) in more depth, aod one on Risk and Governance to scrutinize the chaTity's maDageD)ent of all non-financTa] risks, including clinical and health and safety risks. These subgroups meet at leagt quarterly and have led to a revision of Kaleidoscope's operational k¢y perf0M)￿¢¢ measures and an expansion of the scope of the organizational risk register and resolution process All of our service contracts are performing in line with budget. The Birchwood @ K4lcidoscope House Detox and Rehab Centre is a higher risk because its financial success is dettrniined by what we achieve itt iern)5 of room occupancy, rdtes achieved and good management of underlying costs, mainly staff relat&l. This has been a key focus for u$ whilst w¢ are re4stabli5hing this facility on & larger s¢ale and on new site. Another key ehalleJ)8e is ensuring that w¢ fill all of our stsff positions but also managing costs in a bighly competitiv¢ human resources rnarket. Tight financial control of overbeads and Head Office costs is an important requircmenL PRtNCIPAL FiINDING SOURCES Kaleidoscope's prin¢ipal fijnding partneT5 duriD8 the year were Unitary Authorities, LL)cal Health Boards, The Mi0i5ty of Juslice and Welsh Govemmenl. INVESTMENT POLICY AND OBJECTIVES During the year, Kaleidoscope invested its balance of casb reserves with Barclays Bank Natwest Banking Group. The arnount8 invested are in separate accounts and where possible take advantage of higbeT iDtuesl rettm)s on longer terrn noli¢e accounts, placed on &ccounl up to a m8XiTnum of 120 days. KESERVES The Trustees have set a reserves policy that requires reserves lo be maititained at a l¢v¢l that would allow Continu￿¢¢ of core activities in the event of a period of wntinu¢d unforeseen fin￿Cial difficulty and that a level of readily accessible fimds is retained. The Trustees assess tbe Tequired level of R¢servcs on an annual basis, alongside the highlighted r¢quirements from operating activity. This takes ccount of the financial environment that Kaleidoscope operates io and reviews the pot¢Dtial impact of risks within the annual budget. The current SI￿atiOn whexe Kaleidoscope has considerable reserves and sigtiificanl amounts on deposit is considered appropIiate for the tirne being. The f]Dan¢ial reserves are considered satisfactory for: protscti(m agaiDSt fjnancial risks" expa)]sioa of ch*ity's business. Page 3

Kaleidoscope Project Strategie Report or the Year Ended 31 March 2024 providing neces58ry fvnds for invcstrneut in fLxed R5sets" providing fimds for special projects sucb as Co-Production. RD &[ and other polenlial new initiatives such as Drug Consu5nption Rooms. Th¢ rninimum reserves requirement equates to 3 months, turnover of whi¢kn I month is rcquired to be in Kaleidos¢op¢ continue5 10 operate consideTably above this minimum level. Key risks were assumed to include.. risks identified in the fu￿0ClaI risk review iDcludirLg financial IT systems, retcntioll and ￿rultMe￿t of &eTvice contracts, the specifjr operational challenges of Bir¢hwoo& nthintenan¢¢ of the Property base atLd increasBs in underlying costs. 2311212024 Approved by order of the b08rd of trustees on ..... . . and signed on its be]￿lf by: -. TTuslce Page 4

Kaleidoscope Project (Registered number: 05480423) Report of the Trustee5 for tbe Year Ended 31 March 2024 Tbe ttwstees who are also directors of the cbarity for the purposes of the Cornpanies Aci 2006. present their report vlith the finall¢ial statell￿ntS of the charity for the year ended 31 Mar¢h 2024. The tnlstees have adopted the provisions of Accounttng and lieporting by Clwities.. Staternent of Recommended PTactice applicable to charities preparin8 their accounts iti accoTdon¢e witb the FinaDcial Reporting Standard applicable in the UK Republic of Ireland (FRS 102) (effective l Jaouary 2019)- OBJECTIVES AND ACTIVITIES The Charity's obj¢¢tives and activities are included in the Strategic RepoTL PUBLIC BENEFIT OUT obj¢ctÉves and activities as detsiled above focus on the prevention 8nd treaknent of substance mlsuse. W¢ work with individuals ID both England and Wales and our activities are undertaken to fiwther our cbaTitable puTposes for the public benefiL To enhance these public ben¢fJts, we work closely with olganisations in the Criminal Justi¢E system and other statutory bodies. ACHIEVMENT AND PERFORX4NCE The Cbarity's achievements and performance have b¢¢n outlined in the Strategic Report. FINANCIAL REVIEW A financial review is included in the StrAtegic Report. STRUCTURE. GOVERf4ANCE AND MAY4AGEMENT Governlng dotument Kaleidoscope is a register¢d charity (number 115017) and is also a company Iimited by guaTaniee (number 05480423) which was incorporated on June 14, 2005. The governing documents arc our mernorandum and anicles of asso¢i&tion amended by special resolution April 5, 2006. Reeruitment and a ointmtnt of new trustees Kaleidoscope has an independent Board of Trustees drnwn from a variety of backgrounds thus ensuTing 8 dAV￿se Board with & strong rnix of skills and expertence to take the Charity forwar(L When appropiiale, vacatteies on the Board are adv¢rtised through medio outlet5 and intmiews conducted. to ensure new appointD)ents will add to the skills and experience of the Board. anlsatlonxl Strueture The Board of Tnjstees aims to meet at least quarterly. B03rd D￿berS ate Proactive and uDdenake speti6¢ rwonsibilities for the governance of the Charity. The day to day nuujing of the tharity is througb a Structure of delegation from the Board, to the Cbief Executive and on to its Busine55 8Dd Servi¢c Managers. Dduction and traini of new Trustees All new Tnjsfres are pmvid¢d with historical and Cu￿1 information to enable them to appreciate the woik a￿d etbos of the chatity. ement Remulleration In order to achieve our ambitious goals, the TTuste¢s T¢￿gnISe il needs to attract And retsin key maaa8em¢nt personnel wbo b&ve the expertise, enthusian 2nd ability to lead by example and contribute to the ¢hatity's Succ￿. Consequently. the ability to offez a compelling value proposilion to staff is TEgaTded &s a criti¢al success f2CtOT. In common with other small entrepr¢n¢urial companies ID the charity sector, Kaleidogcope's value propositioD to staff includes supportive teamwork, personal development and Significant job satisfaction frorn tb¢ Social impact thal the charity belps to E¢n¢rat¢. Remunerdtion is of cour5¢ Llllportanl, nd we Tecognise that we also need to set pay and benefits at levcls that are competitive for the sector. and which Teco8nis¢$ an individual's abilities, responsibilities and eXp￿]ence. In most cases this results iti reiJiulleratioD tbat tends to be lower than the people concerned would be able ro earn in the On￿ller¢I&l sector. The Temulleration of key manag¢]nent is S[miD￿sed inNote I I to the finallcial stat¢mcnts. Kaleidoscopes highestpaid employee is the Chief Executive and irL the year ended Mar¢h 3 1, 2024 his remungrntion was £67,174. Page 5

Kaleidoscope Project (Regislered number.. 05480423) Report of the Trustees for the Year Ended 31 March 2024 REFERENCE AND ADMINISTRATIVE DETAJLS Re￿Stered Company number 05480423 (England and Wales) Registered Charity nujnber 1115017 Registered office Resolven House St Rvfellons Business Park Fortran Toad St Mellons CF3 OEY Trustees Kasim Aleem Ali Daniel Leo Anlebi Julian M￿k QuentlD Knight George Blackwood Charlion Natalie Davies (resigned 14.11.231 St¢phen Paul Davison (resigned 22.12.23) Rachael H￿ding-BroWn (8PPOlDted 6.6.24) Catherine Marie Pepinst¢r Ann Marie Procier Pamela Frances Rutter (resigned 9.10.24) Vijay Shanmuganathan (resigned 22.9.23) ￿￿'k Alan Tudor David FairfLY Vickery (&ppoinied 6.6.241 Alison Lewis (Appointed 22.11.24) AudltDrs Stephen John Bickertoll Advanla8e A¢Count8n￿ & Advisory Ltd CharteTed Ccrtified Accounlanls and Statstory Auditors Avalon House 5-7 Cathedral Road Cardiff CFI 19HA Solicitory Clarks Lega] 5th Floor Thsllnes Tower Station Road Reading RGI ILX Page 6

Kaleidoseope Project (Registered number: 05480423) Report of the Trnstees for the Year Ended 31 March 2024 EVENTS SINCE THE EPm OF THE YLiR Information relatiug to events since the end of the year is given in the notes to the financial statements. KEY MANAGE1¥￿NT PERSONNEL Chief Executive- Martin Bbkebmugh Executive tea7n- Lisa Ki¢h. Geoff Thom4 Kalliz Malek1￿ GaTeth Watts. Rondine Molinaro STATEL￿NT OF TRUSTEES, RESPONSIBILTTfES The trustees {who are also th¢ ditectors of Kaleidoscop¢ Project for the purposes of company law) are responsiblB for PTepaTing the Strategic RepDrL the Report of the Trustees and the fimancial Ststrments in accordance with appli¢able law and United Kingdorn Accovnting Standards (United Kingdom Generally Accepted A¢¢ounting Prartice). Company l&w requires the trnstees to prepar¢ fllmncial statements for each fiDttncial year which give a true and fair view of the state of affairs of the charilable eompany and of the incomlng reSou￿¢S and applicarion of resOu￿¢s. including the Tncome and expenditure, of the ¢haTitable company for that period. In preparing those fin￿¢1￿1 Statements, the tru%tees are required to &clect suitable accounting poli¢i¢s and then apply them consistently. observe the methods and PriDwles in tbe ChaTity SORP; make judgements and estimates that are re450nable and PTuderLt' Prepare the financial stat¢ments on the going concern basis unles5 it is inappropriats to Presume that the Charitable company will continue in business. The trust¢¢5 are Tesponsible for keeping proper accounting ￿COrdS which disclose with reawnable accuracy at any tim¢ tbe financial position of the ctthritable Company and to enable thetn to ensure that the financial ststements eomply with tbe Companies Ad 2006. They are also responsible for safeguarding the assets of tbe charilable company and hence for taking r￿onable sw)s for the prevention and detection offraud and other irregularities. In so far 8S the tTUStees are aware: there is no relevant audit information of which th¢ tharitable company's Audito￿ are unawar¢; and the t￿Stee$ have taken all st￿$ that they ought to have tsken to make thernselves aware of any relevant audit ?nforn)&iion and to establish that the auditors are aware of ihai inforn)ation. 2311212024 Approved by order of the board oftrustees on............................................. Jod signed on its behalf by: Trustee Page 7

Report of the Independent Auditors to the Members of Kaleidoscope Project (Registered number: 05480423) Opinlon We have audited the fmancial stat¢m¢ots of K￿eld0S¢ope Ptoject Group (and the'PaTent ¢h8n"table eottwaDy') for the year ended 31 March 2024 which comprise the consolidated Statcment of Financial Activities, tbe Co[￿011dated Balance Sbeet, the PaTeni clwitsble company balancc sheet, the consolidated Casb Flow Statemcnt and notes to thc f￿all¢la1 statemeThts, including a surnnw of sigtllficant accounting policies. Tbe finaD¢ial Eeporting fr&mcwoTk that has been applied in tbeir preparatiOTh is appb"cablc law and Unlted Killgdom Accouniing Staudards (Unitcd Kingdom Geneially Accepted A¢couThtsng Practice), including Financial Reporting Standard 102 'The Financial ReportiDg StandaEd applicable in thc UK at)d Rcpublic of Ireland,. tn our opinion the financial 5t&tements.' give a trne alld fair view of the 5talc of the chaTitable group's and company's aff)its &4 at 31 March 2024 and of its incoming resources 8nd application Df Tesources, including st5 income and eX￿ndIt￿¢, for the year then ended- have been properly prepared in accordance with United Kingdom Generdlly Accepled AocouThtitig Prncticc, including Financial Reporting Standard 102 'The Financial Reporting Stand￿d applicable itL the UK and Republic of Ireland,; and have been prepared in accordance with the iequirernents of the Companics Act 2006. B95is for opinion We conducted our audit itl &cGordance wilh International STandaTds on Audiiing (UK) {ISAs (UK)) and applicable law. Our responsibilities under those stalldards ate fi]rther described in the Auditor5, rcspons?bilities for tbe audii of rhe financial statements section of our report. Wc are independent of the charitable co]llpany in accordance wirb the ethical requiTements thar are relevani to our audit of the r)Thancial staterncuts in th¢ UK including the FRC, Ethical StLmdard, and we have fulfilled ow other ethtcal respon5ibiliti¢s ID accordance with ihese requirements. We believe that the audit evidence we have obtained is sufficient and appropriat¢ to provide a basis for our opiThion_ Conclusions relAting to going Concer In auditing the fin8n¢ial statements, we have con¢luded that the ttustees, use of the going concern basis of ￿oUntIng in the preparatioll of d)e financiBI statements is appropriate. Based on the work wc have p¢rformed, we bave not identsfied any maierial uncertainties relaling to events or condilions that, individually or collectivcly? may casi significant doubt on the ¢baritable bryoup's and Company's abibty io continue as a going concetn foi a period of 81 I¢BSi twelve months from when tbe financial statement5 arc z4Uthorised for Issue. Our responsibilitkes and the responsibilities of the trustees with r¢speet to going concern ar¢ d¢scribed in the Televant sections of this report. Other InformatlDn The tNstees are responsible for th¢ other information. The other inf0m￿lion coinprises the inforn)alion included in the Annual Report. other than the financi&l st&iements and eur Report of th¢ Independent Audito￿ thereon. Our opinion on the fiEw>ci&I staiements doe5 not cover the other infortnation and, except ro the eXt￿t otherwise explicitly staled in our report, we do not express any fortn of assurance conclusion thereon. In connection with our audit of thc flnancial stsiemenls, our respollsibiliry 1$ to read the oth¢T infortnation and, in doing 50, Gonsider wheih¢r the other infonrJ&rion is inaterially inconsistent with thc financial statements or our knowledge obtained in the audit or othcrwise appe￿5 to be Inaierially missl&t¢d. If we identify su¢h material inconsistencies or apparent Tnaterial misstsrements, we TequiTed to determine whether this gives rise lo & matcrial Tllisstalemenl in the financial statements themselves. If, b￿d on the work we haye perfonned, we conclud¢ th&t there is a materiLI n]isstaternent cif ihis Oth￿ inforniJtion. we are requii¢d to report that fact. We have ttoihitig to Tq)Ort in this Tegard Oplnlons oo other mAtter5 prescrlbed by the Companies Act 2006 En our opinion, based on the work undertaken in the COUTS¢ of the audit.. the infOrn￿tIon given in the Group Sttalegic Report and the Group Report of the Trustees for the fvjancial year for which the f]nancial statements aTC prcpared is ¢onsisteTLt with ihe financial statements- and the GTOUP StratC8i¢ Report and the GrOl￿ Report of the Trustec5 has been pzepared in accoTdan¢e with applicable legal rquirement8. Page 8

Report of the Independent Auditors to the Members of Kaleidoscope Project (Registernl numbèr: 05480423) Matters on which we are required to report by exception In the ligbt of the knowledge and understaDding of the charitsble group and company and its environment obtsined in tILe cours¢ of the audit, we hav¢ ot identified Mat￿Ra1 mi5slatements in the Group Strategic R¢pon and the Group Report of the Trustees. We have nothing to report in respect of the following matters where the Cornpanies Act 2006 requires us to report to you if. in our opillion: adequate accouoting records have uot been kept or returns adequate for audit have not been received from branches not Y151ted by us; or tht financial statements are not ID agreement witb the accouEtiDg records and returns. or certL7n disc105yres of trust¢es' remunerdtion specified by law are not made. or we have not received all the InfOrn￿tIOn ar)d explanations we require for our autht. Responsibilities of trnstres As explained more fully in tb¢ Stsiement ofTtustees' R¢sponsibilities. the trustees (who ar¢ 8lso the d]r￿Tr of the charitable group and company for the pU￿oSe5 of company law) are responsible for the prepardtion of th¢ fllJaDciai statements and for being s*isfied that they give a tye and fair view, and for such internal control as the trustees detern)tne is necessary to enable the PTepardtion of financial statements that &re free from matcrial misstatement. whether due to hud or eThor. In preparing the financial statemetLts, the tNst¢es are respollsibl¢ foT assessing the cknitable group company's ability lo continue as a gDing con¢¢rn, disclosing, as applicable. matters r¢l#(ed lo golng concern and using the going concern basis of accouniing unless the tru$t¢es either ititend to liquidate the charitable company or to eease operations, OT have no realistic alternative but to do so. Our responsibilitie5 for the audlt of the financial ststements Our objectives are to obtain Teasonable as.%UTance about whether the financial statements os a whole are free from materittl misstatement, whether due to fraud or ermr, atLd to issue a Report of the Independent Audilors that includes our opinion. Reasonable assurance 15 a high level of 845surance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a materiat rnisstatement when it exists. Misstatements can kTise from fraud or error and aTe considered material if. individually or in the aggregate. they eould T¢asonably be expected to iThflu¢n¢e the economic decisions of usezs taken on tbe basis of financial statements. Irregularities, including fraud. are in$tsn¢e5 ofnonrycornpliance witb laws and regulations. We desi￿￿ PToc¢dures in line with ourresponsibilities, outlined above. to d¢t¢ctmateriai misstaternents in respect of irregularities, including fraud. The extrnt to which our procedures aTe ￿Pable of delecling iTregul8Titics including fraud is detsiled below.. .The engagement Partn￿ ensured ihat the engagement team ¢olle¢tively had the appropriale competence. capabilities and skills ts identify or r¢¢ognise non40mplianet with applicable laws and regul￿10ns. •We obtained und¢￿tAndIng of thc legal and regulatory frameworks applicable ￿ the company alld the sector in which they operate. We detennined that the following laws and regulations wer¢ most significaDt.- The Cornpanies Act 2006 , UK corporate taxation laws, eMpl0￿C￿t legislation and health 2nd safety legislotion. .We obtained An understsnding of how the company a￿ complying with those legal and regulatory frazneworks by Makll￿ inquiries to management. We comborated our inquiries tknu8h our review of le8al cottespondence. .We assessed the susceptibility of the Company's financial ststements to ttllfrrial misstatements. including how fraud might occur. Audit procedures perfornied by the engagement lean) included: . Tnuking enquiries of management as to where they consid¢T¢d there was susceptibiity to fraul their knowledge of acttthl. suspected and alleged fraud- • idelltifjing and asscssin8 the ¢ffKtiveness of controls mwwement has in place to prevent and detect fraud; • understanding how those charged with 8ovcrnance considered and addressed th¢ potentia] fDr override of controls or otber inapwopriate influence over the financial reporting process" ' performing anaI￿lea[ procedures to identify any Unusual or vnexpected relationships. ' challenging assumptions and judgements mad¢ by management in its Signifi￿llt accounting esttmates: • identifying and testing journal entries, iti particular any journal entries posted with unusual account combtllations" and . assessing the extent of compliance with relevaat laws and regulations. Page 9

Report of the Independent Audilors to the Members of Kaleidoscope Project (Registered oumber: 05480423) There are it)herent limitation5 in audit procedures describcd above. The more removal tbat law5 and regulations are fron] finimeial tran$￿tionS, the less l)kely it is th&t we would b￿Orne aware of non-compliancc. Auditing starld?￿S also limit tbe audit procedures iequircd lo identify non- cornpliaThce with laws and rcgulations to enqu]ry of th¢ directors and other management and the inspeaion of Tegu13tory and legal correspondcnce, if any. Materi81 misstaternents that arise due to fraud ¢an be haTdeT to detrct than tILOge that arise ftom error as they D)ay involve d¢libernte con¢eAimetLt or Qollusion. A futth¢T description of OUT responsibilities for the audit of tbe f]nancia] ststements is located on tbe Financi￿ Rcporting Council's website at www.frc.org.uklauditorsresponsibilitics. This descripiioJ fonns part of out Report of thc Independent Auditors. Use of our report This Teport is made solely to Ib¢ charitable company's members. as a body. in accordance wilh Chapter 3 of Part 16 of the CoD]panies Act 2006. Our audit work has been undeTtaken so thar we might Slate to thc charitable company's Tnemb¢rs those marters we are requirBd to state to them in an auditOTS' report and foI no other purpose. To the fullest exient permitted by law, we do not accepi or assume responsibility to anyone otheT than th¢ charifable coin any and the c table ¢ompa ersasa our audit worL for Is ort, or for ihc opiniojjs we have fornied. Stephen John Bickcnon (Senior Stattjtory Auditor) for and on behp41f of Advauiage Accountsncy & Advisory Ltd Cbarter¢d Ccrtified Accountatjts and Siattltory Audilors Avajon Hoiise 5-7 C&thedral Road Cardiff CFII 9HA Date.. Page 10

Kaleidoscope Projett Consolidated Statement of Financial Activities (Incoryorating an Income and Expenditure ActOllDt) for the Year EDded 31 March 2024 31.3.24 Total fimds 31.3.23 Total ftuids as restated UnreslTiCted fiu)d Restricted fimds Endowment fund Notes tNCOME ATr4D EP4DOWMENTS FROM Donatsons and legacies 3,518 226,513 230,031 326,811 Charitable activities Drug and alcohol treattnent service5 Residential Services 13.837,645 1,350.768 3.OE8.414 16.856.059 1.350,768 13,968,266 1,351,756 Other trading activities Investrnent income 52,181 182.364 232.959 232,959 Total 15,424,890 3.244.927 18,669.817 15,881,378 EXPENDITURE ON Charit2ble activities Drug and alcohol treathient serviccs Residential Servi¢cs Capital Grants 13,108.342 1.662,644 2.922,031 16.030,373 1.662.644 258 276 13.120,703 1.201,984 391,025 258 276 Total 14,770.986 3.180,307 17,951.293 14713,712 Net gain￿(losSes) on investments NET INCOMEI(EXPENDITURE) 693.278 64,620 757,898 1,167.666 TTaDsfers between fund$ 123,411 (77,161) (46,250) NET MOVEMENT IN FUNDS 816.689 (12,541) (46250) 757.898 1,167,666 BICONCILIATION OF FUNDS Totsl funds brought fornrd As previously reporti Prior year adjustsD¢nt 4,413,077 1.645,536 1.327.860 1.262.917 123.750 5.864,687 2,908,453 5.789.675 1.815,799 As restated 6,058,613 2.590.777 123.750 8,773,140 7,605,474 TOTAL FUNDS CARRLED FORWARD 6.875,302 2,578236 77,5(Ki 9.531038 8,773.140 The not¢s forn] part of these frLancial statements Page 11

Kaleidoscope Projeet Consolid2ted Balance Sheet 31 March 2024 31.3.24 Total funds 31.3.23 Total fimds as restated Unrestiicted fijnd Restricted funds Endowment fund Notes FIXED ASSETS Tangible assets InvEStment property 15 16 2,981,142 2.503,800 1,031.024 4,012,166 2,581300 3,676,654 2,541926 77.500 5,484,942 1.031.024 77.500 6.593,466 6,218,580 CURRENT ASSETS Debtors Cash at bank 17 3,217.717 2 898 956 ?25.000 3,442,717 4 543 467 J.656,951 2 767 167 6.116,673 1.869511 7,986.184 6,424.118 CREDITORS Amounts falling due within one year 18 (4.664,647) (4,664,646) (3,437,400) NET CURRENT ASSETS 1.452 026 1869512 3 321538 2 986718 TOTAL ASSETS LESS CURRENT LIABILITIES 6,936,968 2,900,536 77,500 9,915,004 9,205,298 CIiEDITORS Amoun15 fAllin8 due after more than one year 19 (322,3001 (322.300) (338.491) PROVISIONS FOR LIABILITIES 21 (61,666) (61.666) (93.667) NET ASSETS 6,875,302 2 578 236 9,531,038 8 773,140 FUNDS Unrestricted ft)nds R¢5tricted funds Endowment funds 6,875,302 2,578,236 77,500 6,058,613 2,590,777 123,750 TOTAL FUNDS 22 9.531,038 8,773.140 2311212024 The financial State￿entS were approved by the Board of Trustees and &uthorised for issue on .... .... ... . by., and were signed oll its behalf The notes form part of these financial statements Page 12

Kaleidoscope Project (Registered number: 05480423) Balance Sheet 31 March 2024 31.3.24 Total fimds 31.3.23 Total funds &q restated Unrestricted fund Restricted funds Notes FIXED ASSETS Taugible ￿sets Investment propety 15 16 2,981,142 2,046,300 1.031.024 4,012,166 2.046.300 3.676.654 2,000.000 5.027.442 1,031,024 6,058.466 5,676,654 cirRRENT ASSETS Debtors Cash at bank 17 3,568,539 2,642,308 22S,O 1.644,511 3.793,539 4.286,819 4,541,130 1.977,497 6.210.847 1,869,511 8,080,358 6,518,627 CREDITORS Amounts falling due within one year 18 (4.635,032) (4,635,031) (3,407.426) ET CURRENT (LIABILITIES)IASSETS 1.575.81S 1,869,512 3.445.327 3,111.201 TOTAL ASSETS LESS cifRMNT LL4BILITIES 6,603,257 2.900,536 9,503,793 8,787,855 CRIDITORS Amtsunts falling due after more thdn one year 19 (322.300) (322.300) (338,491) NET ASSETS 6,603257 2,578,236 9,181.493 8,449,364 FUNDS Unrestricted fimds Restricted funds 6,603,257 2.578,236 5,858,587 2,590.777 TOTAL FUNDS 9,181.493 8.449364 The financial stat¢mcnts w¢r¢ appTov¢d by the Board of Trustees and authorised for issue on ........................................ ..., and wert signed on its behalf by.. Trustee The Dotes forn] part of these financial stat¢m¢nts Page 13

KHleido$cope Project Consolidated Cash Flow Statement lor tbe Year Ended 31 March 2024 31.3.24 31.3.23 a5 restated Notes Cash flows from operating activities Cash generated from operations 2 015 901 93,822 Net cash provided by operating activitie5 2,015,901 93.822 Cash flow5 from investing activities Purchase of tangible fixed ￿￿et$ Interest Teceived (392,431) 152.830 (2,404,698) Net cash (used inllprovided by investing aclivilies 239.601) 2 335 418) Change In cash and c45h equivalents ill the reportiDg period Cash and eaih equlvalents at the begiDning of the reportlng periDd 1,776,300 (2,241,596) 2 767 167 S 008 763 Cash and cash equivalents at the end ofthe reporting period 4,543.467 2,767 167 The notes fonn part of these fu]aDcial statemenls Page 14

Kaleidoscope Project Notss to the Con501idated Cash Flow Ststement for the Year Ended 31 March 2024 RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACllVTTtEs 31.3.24 31.3.23 as reststed Net IDcome for the reporting period (as per the Ststemellt of Th)anCI￿ Activities) Adjustments for- Depreciation chArg¢s Interest received Losses on investments Loss on th"sposal of fixed assets Provisions rnovernent (Inc￿&Se)/d¢¢rea5e in debtsrs Incr¢asel(decrease) in creditOTS 757.898 1.167,666 56,919 (152.830) 9,374) 32.096 (69.280) (32.0011 214234 (58,333) (1.619,581) 641,254 N¢t cash provided by operations 2.015.901 ANALYSIS OF CFIANGES JN NET FUNDS At 1.4.23 Cash flow At 31.3.24 Net cash Cash at bank 2.767.167 1776.300 4.543 467 2.767.167 1.776JOO 4.543.467 Totsl 2.767.167 1776,300 4,543 467 The note5 fonll part of these financial ststements Page 15

Kaleidoscope Project Notes to Ihe Consrfjlidated Financial Slatements for the Year Ended 31 March 2024 ACCOtJNTING POLICtES Bagis of preparAnE the finaDcixl ststements The fillancial 5tatement5 of tlje charitable company, which is a public benefit entsty under FRS 102, have bcell prepared in accordance with the Chanties SORP (FRS 1021 'Accounling and Re]N)rting by Charities.. Statement of Recommended Pta¢tic¢ applicable to charities prepanng their accounts in accoIdance with the Financial Reporting Stsudard applicable in the UK and Republic of Irel￿d (FRS 102) (effective l Janukry 2019),. Financial Rcporting Standard 102 The Financial Repotting StAndard applicable the UK and Republic ofirelalld, aDd the Companies Act 2006. The f￿anCIal statements have been prepared ullder the h￿orical c05t convention. as modified by th¢ revaluation of ¢¢rtain assets. The Group's fim¢tional and pTesenl8tional currency is thc pound sterling (£). and balanccs are rounded to the llearest £1. Basis of CL¥nsolidation Th¢ Group fu￿nCIal Statements include the results of the Cbaritsble CoTtLPaUy and of its wholly controll¢d subsidiary. The consolidated entity is kJown as the 'Group'. The subsidiary undcrtakings are consolidated on a line by line basis within th¢ Consolidated Statement of Finallcial Aetivilies. No separate Statement of Financial Activities (SOFA) has been prepared for tbe CharitAble Company as pennitted by Scctioll 408 of the Companie5 Act 2006. The subsidiary is Arch iniliativc, Company nunJbeT 0281?012. ¢harity number 1024945. Their results for 31 March 2024 were turnover of £75,074, expenditur¢ of £49,305 giving a nct Tesuli foi this year of £25,769 sutplus. The overall balance sh¢¢t year end position of £349,545 which is Tnade up of assets of £791,648 Ic55 liabilirie5 of £442,103. Income All incotnc is recogDised in the Statement of Financial Activitses once the charity entitlem¢ni to ihe funds. it is probable that the income will be received and the amouut ¢an be meaSUTed reliably. Incomc froim graut5, whether'capital, or kv¢nue' grants, is recOgnis￿ wh¢D the ￿0UP has eniitl¢menl to Ibe fullds, any perfomance conditions attached lo th¢ grants have been met, it is probable that the income will b¢ received and the amouni can be measured reliably. Cash donations are recognised on receipt. Other donations are reocgnised once the group has b¢¢n notified of the donation, unless perfoni)ance conditions requirc deferral of th¢ amount. tncome Igx recoverable in relation to donations received under Gift Aid or deed5 of covertanl is recognised at the tinie of th¢ donation. Incotne from charitable act?vities includes amounL8 received undcr contrncl. aDd is reCo￿lsed where there is entitlement, certainty of rccgipt and thc #Tnount can b¢ measured with suificienl reliability. Income is deferred when thc Contract specified that they must be used in accounting period5. Rental income is recognised in the period lo which it relates. Other incorne consist of nonÈeslass¢ts received from subsidiary entities. This is recognised Wh￿ the risks and rcw8rds have betn transferred. Legacies arc re¢o8nised either when the chariry is aware that probat¢ hLS been grdnted, Ihc ¢stMte bas b¢¢D finpdlised and notification has been made by th¢ executor (s) to the Trust that ) di5tr>bulion wiu be made, or when a distribution is received froin the ¢stste. Receipt from ll legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notifi¢d of the exe¢utoes intention to make a distribution. Where legacies have been notified to the charity, or the cbarity is aware of the sT￿tIll8 of probate, and the rileria for income recogtiition have not been met, then the le8acy is treated as a contingent asset and disclosed if rn&terial. Expeodfiiure Liabilitie5 are reGognised as expenditure as soon as tb¢re is a leg￿ or constructive obbgation comtnitting the charity to that expenditure. it IB probable tbat a trar¢s£er of economic benefits will be Fequired ID settlenwLt and the amount of the obligatioll ¢an be measured reliably. Expenditure is a¢￿U￿ted for on an aG¢rua]s basis and has becD classified ullder headings tbat aggregaie all cost relatrd to the c&tegory. Where ¢osts cannot be directly attributed to particular bEadmgs they have been allocated to activities on & basis consistent with thB use of resources. Page 16 continued...

Kaleid05cope Project Notes to the Consolidated Financial Ststements- continued for the Year Ended 31 M2rch 2024 ACCOUNTING POLICIES. continued Employee benefits Short term b￿crIts including holiday pay are re¢ognised &$ an expenge in the peTiod in whicb the service is Tcceived. T¢m)inatioll benefits are recognised immediately as an eXpe1￿C when th¢ charitable ￿n?PanY is de7nonstrably committed to tero)inate ibe eniployment of an employee or to provide termination benefits. Allocation and apportionment of costs Charitable expenditure comprises those costs iticurred by the charity in the delivery of its 8ctivities and servlces for its benefi¢iaries. Kt includ¢s both cosls that can be allocated directly to sucb a¢tiviues those costs of an indirect Dature necessary to SUPPOrt thern. Governance costs include those costs a￿o¢lated with meeting the CO[￿lItUtiOn￿ 2nd stahrtory r4uirements of the cbarity and include the audit fees and costs linked to the Strategic management of the cbarity. All costs are allocated between the expenditure categories of the Ststement of FinancTal A¢livities on a basis designed to Teflect the use of th¢ resource. As the charitable ¢ornp8lly has ottly one cbaritable aetivity all costs are allocated directly tg this activity. TangRble fjxed assets Depreciation is provided at the following annual rnt¢s in order to write off each asstt over its estimated useful life. Freehold PTopety- 2 /0 10 33.330/0 on cost Long ltrdsehold- IO/u on ¢ost Fix￿leS and Fittings - 10-500/• on ￿$t 2nd 200/0 reducing balance Motor V¢hi¢les - 339/0 on cost Tangiblc r￿ed asscts are initially measured at cost 2nd subsequently measured at cost or valuatioN net of depre¢?ation and any impairment 1055CS. Investment5 Fixed Asset investments in subsidiartes are held at cosL Investment property Investment propety TS showTA al rnost retent va]uation. Any ￿gregale surplus or deficit arising from changes in fair valu¢ is recogDised in the Statement of FinRnci21 Activities. Debtors Amounts recoverable on contrncts are recognisal at th¢ s¢ttlement amount due after any discount offered. Pryayments are valued dt tlye amount Prepaid net of any trade discounts due. Cash at bank and In hand Cash It bank and cash in hand includes ¢th and short lern highly liquid invesimeDt5 with a 5bort maturity of three months or less from th¢ date of acquigition or opening of the deposit or similar ac¢ounL Creditors and provision5 Creditors and provisÉons are recognis¢d where the cbaTity h&$ a present obligation resullin8 from t4 past event that will probably result in the transfer of funds to a third paty and the amount due to settle the obligation can be rneasured or estimated reliably. Creditors and provisions are nonnally recognised at their settlemettt aD)ount after allowing for any trade discounts due. Financial instruments The Group onIy has f￿ancIal assets Jnd fllwicial ]iabilities of a kiDd that qualify as basic financial InSt￿ments. Basic fJnan¢ial iL5tTuments are initially T¢¢ognised at tranS￿tiOn value and subsequently measuted at their settlement value. Page 17 continued...

Kaleidoscope Project Notes to the Consolidated Finallcial Statements - continued for the Year Ended 31 March 2024 ACCOUNTJ21G POLICIES - ¢ontinued Taxatlon The group 15 considered to pass the tesL8 set out in Pardgrdph I Schedule 6 Fitsance Act 2010 and therefore it meets the definition of a charitable company for UK cotpoiatiojj purposes. ACCO￿l￿g1y, the cbarity is potent￿lY exernpt from taxation in respect of income or capital gains received within categories covered by Chapler 3 Part I I Corpor&tion Tax Act 2010 01 S¢ction 256 of the Taxation of Chargeable Gains Act 1992. to the extent that such income OT gaiL% are applied ex¢lusively to charitable purposes. Fund ac¢ountitig Unrestricted funds can be used in ￿cOrdanCe with the charitsble objcctives al tbe discretion of the 1rn5te65. Restii¢ted funds cAn only be UMI for particular restricted purposes within the objects of the clwity. Restrictions ￿lse when specified by the dorjor or when funds are raised for particular restricted PllTPOSes. Further explanation of the nalurc and PUTPOSC of cach fiu)d is included in the )wt¢s to th¢ finan¢ial statcments. Leasing commltments Rentals paid uuder operating leases are charged to the Ststement of Financial Aetivitieg on a str&ight line basis over the period of the lease. Pension costs and other post-retirernent benefits ThE subsidiary of the group has a defined b¢nefLI p¢nsion scheme. the full detstls of this scbeme are included in th¢ notes lo the accounts which shows the calculation and assumption provided by the actuary to iTiclude the amounLS in ihe f￿ancial $￿tementS. The parent operates a defined contrtburion pension scheme. Contriburions payable to the scheme are chaTgcd to the slatement of fu￿￿5￿1 activiiies in the period to which they relate. Crltlc81 accounting estimRte5 and judgernellts The Group inakes estimates and assumpiions concerting the future. The resulitn8 accountiTh8 estimates will. by definition, seldom equal the r¢lat¢d actual results. The estimates and assumptions thai have 8 significanl risk of causing a material adjustthent to the carrying amounts of a5seis and liabilities within the next year are detailed below.. Cr5tlc41 aC¢OUDtiDg estitDgtes and judgements (i) The annual depieciation chargc for t&ll￿blE fixed assets is sensilive to changes in the e5¢imales useful ￿onOmiC lives and residual value5 of the assets. The useful economic lives and residual values are re-&sse5sed annually. Th¢y arc aTnended wben necess￿ to reflect cuThent estimate, based on the eurrent estimate and tbe physical condilion of the 8sws. Related OrEaDisation Tlie Kaleidoscope Projcct has a managcmcnt agreement with a related or8anisation, the Kaleidoscope (Kingston) Housing Association Limited. Tliis agre¢ineni was significanily revised durin the year. UThJer the currenl agTeemcnt, th¢ Housing Association maintains llnd insures its hostel property in Kingston while the Project takes responsibiliry for the day to day management of the hDsfel and fos providing resideThts with residential care and with the appropriate social, educational and medical amenitics. In rcturn for accESS to tbe Hostel. the Project Pays an ynnual managem¢at fe¢ to th¢ A5socialion that is based on the costs incurred during the year by the AssDciatlOD. The Project also leases a floor of ils K2 building in Kingston to the Housing A550ciation on a 99 year1¢3s¢ from 27 Febnwy 2003 and t8ke5 responsibility for the services provided to the users of tbat floor on beha]f of the AssociatiorL. The sep￿￿tion of the Associp41ion's and Project's accounls (which should be Tead tO8ether) reflects this Structure and the distinct services PTovided by the Association and thc Ptoject. Page 18 continued...

Kaleidoseope Project Notes to the Consolidated Financial Statements - continued for the Year Ended 31 March 2024 DONATIONS AND LEGACIES 31.3.24 31.3.23 as restated Donations Capital grants 3.518 226 $13 1,342 325.469 230031 326811 Included in the above is & specific grant from Newport City Council to cover dilapidation at locations At which ibe charity ulldertakes tbeir services. Grants received, includ¢d in the above, are as follows: 31.3.24 31.3.23 85 r¢stated Capital Grants 226,513 OTHER TRADING ACTIVITIES 31.3.24 31.3.23 ag restated Miscellaneous income INVESTMENT )24COME 31.3.24 31.3.23 as reslated Rents received Deposit account interest Tnter¢st receivable-trading 64,440 15.689 152 830 113,084 69,280 232.959 182 364 INCOME FROM CHARITABLE ACTtVlTIES 31.3.24 31.3.23 &$ restated Activity Drug and alcohol treatment service5 Service Level Agre¢m¢nls Hostel, detox and tth3bilitstion provision 16.856,059 13,968,266 Residential Services 1,350,768 1,351,756 15 18206,827 ￿20 022 Pag¢ 19 ontinued...

Kaleidoscope Project Notes to the Consolidated Financial Statement5 - continued for the Year Ended 31 March 2024 CHARTTABLE ACTIVITIES COSTS Direct Costs (see note 7) Support costs (see note 8) Totals Dnlg and a]cohol trEatI￿ellt services Residential Services Capitsl Grants 15,020.066 l.662.644 2S8.276 1,010,307 16,030,373 1,662.644 258 276 16,940,986 1,010,307 17 951,293 DIRECT COSTS OF CHAIUTABLE ACTITrryTIES 31.3.24 31.3.23 as restated Staff costs Leasing of premises and equipmenl Premises costs Medical supplies Catering costs Training aod stsff cos15 Office expenses Travel & subsistence Partnets, Agency workers and Sub-conlrdcIoTS Client rcl&tcd costs Bad debts Legal and profes5iona] Finance costs Depreciation 7.316,016 5,731 910,485 4.061.215 104,755 112,762 538,136 206.657 3,459,847 184,952 (12,386) 29,142 271 23.403 6,152,102 5,111 1.108,933 2,604.873 93,357 I10,637 648,773 123,346 2,701,880 242,474 (30.9741 38,878 4,965 16.940,986 13,804,355 Page 20 continued...

Kaleidoscope Project Notss to the Consolidated Financial Statements - continued for the Year Ended 31 March 2024 SUPPORT COSTS Governance costs Man4irement FinaDce Totsls Drug and alcohol treatrnent services 984.947 21.360 4,000 1,010.307 984.947 21,360 4.000 1.010 307 Support costs. included in the above, are as follows: 31.3.24 31.3.23 as Te5tated Wages Liccnces & registration Office expenses Legal & professional fees Audit & accountancy Management charge Insurance, health & safety Dilapidation provision movement Finance charges Travel & SubsT5tence Training Premises cosi Catering costs Depr¢¢iation Pensions Bank charges 579.757 75,805 113,167 50,643 18.109 10,000 91,944 (116,189) 6.007 29.582 50,375 39.720 6,504 33.515 21.360 489,951 71,695 18,530 61,387 17,304 10.000 89,160 4,841 40,532 14,709 32,037 32.096 22,413 E 010 307 904,655 NET 174col￿EI(ExPENDllTU￿&) Net in¢omel(expenditur¢) is 51ated after cbargin￿(Cred?ti￿g).' 31.3.24 31.3.23 as rtstat¢d Depretiation - owned assets Other operatiTJg leases 56.919 5,731 32.096 5,111 Page21 continued...

Kaleidoscope Project Notes to the Consolidated ￿ancial Statements - continued for the Year Ended 31 March 2024 TRUSTEES, REhtUNERATTON AND BENEFITS There were no trnfftes, Temuneralion or other bcnefits for the y¢ar ended 31 March 2024 nor for the year endcd 31 March 2023. Trustees, expeuses Arch Initiatives... There wwe no trustees, expenses paid for the year ended 31 March 2024 llor for tbe year cnded 31 March 2023. Kaleidoseo ePro ect:. During the year, S trustees were rcittthursed tTavel expeuses ￿ £1,282 (2023: £582). ii. STAFF COSTS 3 1.3.2024 31.03.2023 as restated Kaleidosto ePro Wage% & salaries Social s¢¢urity costs Other p¢nsion cost5 e¢t:. 7,041,854 629,804 224 115 5,927,034 523,498 191,521 7 895,773 6 642 053 Th¢ average monthly number of employees during the year was as follows.. 31.3.24 31.3.23 as reglated Charitable activities MAllageinent and admsnistratiorA 254 17 224 25 271 249 Th¢ nurnber of employ¢¢s whose employee benefits (excluding employer pension Costs) exceeded £60,000 w&s: 3 1.3.24 31.3.23 a5 restated £60,001- £70,000 £70.001- £80,000 The total eniployee benefits includiDg pension contributions of the key managBtnent personnel were £342,894 (2023: £303,975). ATch Initiatfives:_ There are no slaff employa a5 the charity 15 adrninistered by Kaleidoscope Project. Page 22 continued...

Kaleidoscope Project Notes to the Consolidated Financial Statements - continued for the Year Ended 31 March 2024 12. COMPAIL4TIVES FOR THE STATEMETrrr OF FINANCIAL ACTivfTIES Unrestricted fund Restricted fimds Endowment fund Totsl funds as rest&ted 114COME AND ENDOWMENTS FROM Donations and legacie5 1.342 325.469 326,811 Charlltable Sctivities Drug and alcohol treatrnent services Residential SeTVi¢eS 11.467,368 lJ51,756 2.500,898 13.968,266 1.351,756 Other tradiT)g activities Investtnent Income 52.181 174,104 52,181 182364 8,260 Total 13.046.751 2.834.627 15.881.378 Ch2rltsble actlvltles Drug 2nd alcohol treatment services Residential Service$ Elderly Capital Grant Dru8 Trgatsnents 11.049.341 1.201.984 2,017,579 13,066,920 1,201,984 391,025 391.025 53,783 TDtsI 12,305,108 2 408.604 14713 712 Net gains on invcstn]ents NET NCOME 741,643 426.023 1.167.666 Trdnsfers between funds Net movement in fund5 752.893 426.023 (11,250) 1,167,666 RECONCILIATION OF FUNDS Total funds bTought forward As previously reported Prior yw adjuslment 4269.519 E.036201 1.385,156 779 598 135,000 5,789,675 1,815,799 As restated 5305.720 2,164,754 135.000 7,605,474 TOTAL Fuf4DS CARRIED FORWARD 6,058,613 2,590,777 123.750 8.773.140 Pag¢ 23 colltinued...

Kaleidoseope Project Notes to the Consolidated Financial Statements - continued for the Year Ended 31 March 2024 13. PRIOR YEAR ADJUSTMENT The executive directors revicwcd thc historic treatrnent of r¢veDuc Tccognition. It was identified that some revenue had previously been treated as defeTred incomc in ￿dItorS tather than being recogniscd ID the Statement of Financial Activities in the year it was received. In order to ensure we demonstratr good financial integtity, defettcd amounting to £1,815.798 at Martb 312022 has bccn rc-staled in the opentug reserves for the year cnded Mareb 31.2023. In the year end March 31,2023 defe￿¢d kllco￿e of £2.908.452 previously treated in creditors wa5 &1so re-stated aDd accounted for in the 2023 comparative data in the Stalement of Financial Activities for the year. 14. CHARITABLE COMPANY RESUL TS The Clwitable Cornpany h85 taken 8dv8ntage of Section 408 ofthe Comp2nies Act 2006 and has not included its owtj income aDd expenthture in these fts)an¢ial sL4t¢ments. The results of Kaleidoscope Project (the Charitsble Company) are: Tot81 2024 Total 2023 as restated Total income resou￿¢8 Total resources expendcd N¢t gains oll inv¢stin¢nts l8,594.743 15,820,510 (17,908,914) (14,659,929) 46,300 Nel suTplusl(deficit) 732,129 1,160.581 Funds: Ai l April 2023 8,449,364 7 288 783 At 31 March 2024 9,181493 Is. TANGIBLE FIXED ASSETS FixtUTes Freehold propety Long leasehold fittings Totsls COST Al l April 2023 Additions 3,752,729 250.893 245,481 20.816 960,289 120 722 4,957,999 392,431 Ai 31 m￿Ch 2024 4,(M)3,122 266.297 1,081011 5,350,430 DEPRECIATION At l April 2023 Charge for year 422,199 15,041 844.105 1,281,345 At 31 Mawh 2024 450,588 17,297 870,379 1,338,264 NET BOOK VALUE At 31 March 2024 3.552.534 249 000 210,632 4012 166 At 31 March 2023 3.330,030 230.440 116 184 3,676,654 Page 24 contirLued...

Kaleidoscope Project Notss to the Consolidated Finantial Statements - continued for the Year Ended 31 M2rch 2024 15. TAYL GtBLE FIXED ASSETS - tonlinued CHARrrABLE FIXED ASSETS (CHARrrABLE COMPANY) Freehold PTopety Lollg tAsehold FixtUTes fixture5 Totsl Cost or Valuation At l April 2023 AdditioDs Disposals 3,752,229 250.893 245,481 20,816 675.525 120.722 4,673,235 392.431 At 31 Nlarth 2024 4 003.122 266.297 796,247 5.065.666 Depreciation At l April 2023 ChArge Eliminated 422,199 28.389 15.041 2,256 559,341 26,274 996,581 56.919 At 31 Ma￿h 2024 450 588 17 585.615 1053 500 Net Book Value At 31 Mar¢h 2024 3 552 $34 249,000 210.632 4 012 166 At 31 Marcb 2023 3.330,030 230,440 116.184 3,676 655 Cbarltable Company The Group. and Charitabl¢ Company received grants of £423,684 and £66.697 in prior yearE for prDpcty and fixtttres And fittings expenditur¢ ectively. These grants have been deducted from the cost of the assets brougbt fo3waTd. The Welsh Assembly Government has a legal clw8e over the property at Powells Plae¢. Nwort which h¥ a net book valuc of £525.970 (2023.. £540,881) at the balance sheet date. 16. INVESTMENf PROPERTY FAIR VALUE At l April 2023 Revaluation 2,541,926 At 31 March 2024 2 581,300 NET BOOK VALUE At 31 March 2024 2,581.300 At 31 March 2023 2,54k.926 The investment propety held iti Kaleidoscope Proje¢t been 501d in September 2024 for £2.046.300. This has been used for market value as It 31 March 2024. The iAvestllLeTht PTQP¢rty held in Arch Initiative5. had all illdepende￿ valuation under(aken post year end on 19 Septernber 2024. The trustees wnsider this to be an accuTaE tefle¢tion of fair value at 3 L March 2024. Page 25 continued...

Kaleidoscope Project Notes to the Consolidated Financial Statements - £ontinued for the Year Ended 31 March 2024 io. INVESTMENf PROPERTY- continued Charitable Company MARkST VALUE As at l April 2023 R¢Yalll3tio 2.000,000 As Yil 31 March 2024 2,046,300 NET BOOK VALUE At 31 Marcb 2024 2 046 300 At 31 Mar¢h 2023 2 000 000 Fair valuc at 31 March 2024 15 represented by.. Valuatiott in 2024 Cost 609,374 1971926 2 581.300 17. DEBTORS 31.3.24 31.3.23 as restated Arnounls falling due wiibin on¢ year- Trade d¢btOTS Other debtors Prepayments gnd accrued income 2,888,624 249,988 304,IOS 3,480,782 115,863 3,442 717 3656951 CbArltable Comp&ny 31.3.24 31.3.23 as restated Amounts falliDg due within one year.. Trade debtors Oilier debtors Prepayments and ￿CrUed ineon 2,888.624 249,988 304,105 3,471,032 115,863 60,306 Amounts falling due after moT¢ than one year: Amount5 owned by 8roup undertaking 350,822 893,929 3,793,539 4,541,130 Included within other debtors, in both the Group and Ch￿1t￿ble Company, is £9,589 (2023.. £106,508) due froin Kaleidoscope (KingstQD) Housing Association Liu)ited. Page 26 continued...

Kaleidoscope Project Notes to the Consolidated Financial Ststements - Continued for the Year Ended 31 March 2024 i& CREDrfoRS: AMOUNTS FALLING DUE WITHIN ONE YEAR 31.3.24 31.3.23 as r¢stated Trdde cieditOT$ Social se¢urity and other tsxes Other creditors A¢cruals and defe￿ed income 1.751,587 156,638 2,067,469 688.952 1.299.226 125,571 1,480.309 532,294 4 664.646 3.437.400 Chiritable Company 31.3.24 31.3.23 as Teslated Trad¢ ¢reditors Social 5ecvrity and other taxes Other creditors Accrna]s and deferred income 1.741,587 156,638 2,067,469 669,337 1,284,252 125,571 1,480.309 517.294 4 635 031 3,407,426 19. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR 3 1.3.24 31.3.23 as Te5tated Other creditors 322 300 338,491 ChaTitAble Company 31.3.24 31.3.23 as restated Other creditors 322 300 338 49l 322.300 338 491 20. LEASING AGREEMENTS Mininium lease pa)rynents und¢T non-cancellable operatiTJg leases fall due as follows: 31.3.24 31.3.23 as restated Within one year Between one and five yea 89.384 355,920 84.347 335 389 419,736 Page 27 continued...

Kaleidoscope Project Notes to the Consolidated Financial Statements - continued for the Year Ended 31 March 2024 21. PROVISIONS FOR LIABtLITtES 31.3.24 31.3.23 Provisions 61,666 93,667 A pro￿510￿ of £61,666 is being Ca￿led for the arnount due on the Churity's defu)ed pension seheme. The delai15 of the schem¢ are disclosed innote 21. At thE end of the Ye￿ thc actu￿)81 valuation indicated that the scheme was in an &ssEt position of £201,000. This amount bas not been recognised in the accounts &8 it is the ClwiV5 intention to withdraw from the s¢h¢me should a reasonable buy out posilion be negotiated. Current discussions have highlighted th&1 the amount would bc in the region of £42.000 to £102,000. Due to this it 15 f¢lt that the curyent li&bility held is a more accurate r¢tlectioA) of the Charity's Posltion thao the £201.000 asset. 22. MOVEMENT IN FUNDS Prior Net Tiansfers between funds year adjusln)ent movemeTJt in funds At 01.04.23 At 31.03.24 Unrestrlcted funds Generd fund 4,413,077 1.645,536 693,278 123,411 6,875,302 Restricted funds Asset Fund 1.327.860 (37.199) 1,290,661 Other resticied ftmd5 Powys Counsellin8 Powys Co-Production GDAS Harni Reduction GDAS External Training DDAS Patliway5 to Change GDAS Co-occuring Pilot Buvid&l Fund￿8 Powys Housing Peter Harrison Foundatio Li8hthouse- ABpihealtb GDAS Bi8 Lottery Leases 161.438 28.057 (1,377) 175,764 10.400 27.800 46.225 771.580 33,030 10,000 (34,547) (107,892) 18.999 28,057 19,999 176,070 27.532 33,310 38,212 774.215 33,030 10,000 12,238 18,613 97,300 2,578,236 16,591 306 4,785 (8,814) 5.510 (8,013) 2.635 25,946 12,238 l8.613 97,300 64.620 1,327,860 1,262,917 (77.161) Endowment funds WiLThI PCT 123,750 (46,250) 77,500 Total funds 5,864.687 2,90&453 757,898 9,531,038 See note 13 foT prior year adjustm¢nt. Page 28 continued...

Kaleidoseope Project Notes to the Consolidated Financi21 Statements - continued for the Year Ended 31 ￿[arCh 2024 22. MOVEMENT IN Ft7NDS - continued Net movement in fimds, included in tbe above are as follows: Incoming resources Resources expauded Gains and losses Movement in funds Unrestricted funds General fimd 15,424,890 (14.770.980 39.374 693.278 Restrieted funds Asset Fund 226,513 490,640 20,000 241.995 (263,712) (525.187) (3,409) (241.689) (8.814) (25.690) (8.013) (2200,793) (300) (37.199) (34,547) 16,591 306 (8,814) 5,510 (8.013) 2,635 12,238 18,613 97,300 64.620 Other restricted ftmds Powys Co-ProduJion GDAS Hann Reduction GDAS External Trnining DDAS Pathways to Change GDAS Co-occurring Pilot Buvidal Funding Ligtbous¢- APBIHealtb GDAS Big Lottery Leases 312(KJ 2203,428 12,538 18.613 97,300 (3.180,307) 3,244,927 Endowment funds Wirral PCT Total funds 18,669,817 (17,951,293) 39J74 757,898 Pag¢ 29 continued...

Kaleid05cope Project Notes to the Consolidated FiDancial State￿elltS - Continued for the Year Ended 31 March 2024 22. MOVELVIENT IN FUNDS - continued Comparatives for movement ID funds PrioT year Net movement Transfers between At 01.04.22 adjuslment in funds fijnds At31.03.23 Unrestricted funds General fund 4,269.519 1.036,201 741,643 11.250 6,058,613 Restricted fund5 Asset Fund Oiber reslicted fimds Powys CouDselling Powys Co-Production GDAS HartD Reduction GDAS External Training DDAS Patl)ways to Chavjge GDAS Co-occuring Pilot Buvidal Funding Powys Housing Peter Harrison Foundation 1,385,156 (57,296) 23.940 (4801 (1,377) 85,126 10,400 16.666 (6.249) 331.043 14.250 10.000 426,023 1,327,860 161,439 28,056 (1,377) 175,763 10,400 27,800 46,225 771,581 33,030 10,000 2,590,777 140,080 28.S36 (2.58 l) 88.056 2,581 11.134 52,474 440538 18,780 1,385,156 779,598 EDdowmeDt funds Wirral PCT 135,0(K) (11,250) 123,750 Totsl funds 5,789.675 1,815,799 1,167,666 ,773,140 See nol¢ 13 for prior year adjustment. Page 30 ontinued...

Kaleidoscope Project Note5 to the Conso]idated Financi￿ Statements - tontinued for the Year Ended 31 March 2024 22. MOVEMENT IN FufiDS_ colltinued Comparative net movemcnt in funds, ineluded in the above are a5 follows: Incoming resources Resources expanded Movement ID funds Umrestricted funds General fund 13.046,751 (12.305.108) 741.643 Restricted funds Asset Fund 333,729 280,392 (391,025) (256,452) (480) (16,837) (227,567) (57,296) 23,940 (480) (1,377) 85,126 10,400 16,666 {6,249) 331,043 14,250 10.000 426,023 Other restricted funds Powy$ Counselling Powys Co-Produ¢tio GDAS Hann Reduction GDAS External Trdining DDAS Pathways to Change GDAS Co-o¢¢urring Pilot Buvidal Fuyjding Powys Housing Peter HarTison Foundation 15.460 312,693 10.4Crf) 38.699 26,949 1.792.055 14.250 iO,O(K) 2,834,627 (22,033) (33.198) (1.461,012) (2,408,604) 15.881J78 (14,713,7J Z) 1,167,666 Page 31 continued...

Kaleidoscope Project Notes to the Con501idated Finaneial Statements - continued for the Year Ellded 31 March 2024 22. MOVEKEP4T IN FUNI)S - continued Charfitable CDmpaDy Prior year adjusrmeni Net movement in funds Transfer5 between fiJDds At 31.3.24 At 1.4.23 Unrestrlcted funds Gencral fijnd 4.213,051 1.645.536 667,509 77.161 6,603257 RestrActed fund5 Assei fi]nd Other rcstricted funds Powys Counselling Powys Co-ProductiO GDAS HArm Reduction GDAS Exiern81 Training DDAS Pathways to Change GDAS Co-occllrring Pilot Buvidal Funding Powys Housing Peter Ha￿1$0￿ Found&tion Lightbouse - APBIHealtb GDAS Big Lottery Leases 1,327.860 (37.1991 (34,5471 1,290.661 18,999 28.057 19,999 176.070 27,532 33,310 38,212 774,215 33.030 10,000 12,238 18,613 97,300 161,438 28.057 (1.377) 175,764 l D,400 27,800 46,225 771,580 33.030 10,000 (107.892) 16,591 306 (8.8141 5,510 (8,013) 2,635 4,785 25,946 12,238 18,613 97,300 1,327,860 1262,917 77,161 2,578 236 TOTAL FUNDS 5540911 2 908.453 732,129 9 181493 CompAfAtfiYes for movement in fund5 Prior year adjustment Net movement in funds Transfers b¢ttveen funds At 31.3.23 At 1.4.22 Unrestricted funds General ftind 4,087,828 1.036,201 734,558 5,858,587 Restricted funds Ass¢t fund Otlier restricted ￿ndS Powys Couy)selling Poys Co-Production GDAS Harm Keduclion GDAS External Trdining DDAS Pathways to Change GDAS Co-ofjcuffing Pilot Buvidal Fundirlg Powys Housing Peter Elatrison Foundation 1,385,156 (57,296) 23,940 (480) (1,377) 85,126 10,400 16,666 (6,249) 331,043 14,250 io,ocKJ 1,327,860 161,439 28,056 (1,377) 175.763 10,400 27,800 46.225 771.581 33,030 10,000 140,080 28.536 (2.581) 88,056 2,581 11.134 52.474 440.538 18,780 1.3S5,156 779 598 426.023 2,590 777 TOTAL WUNDS 5,472,984 1,81 S,799 1,160,581 8,H9,364 Page 32 continued...

Kaleidoscope Project Notes to the Con501idated Y￿ancial St2tements - continued for the Year Ended 31 Ilarch 2024 22. MOVEMENf IN FiINDS- contitiued Arch Initiatives: Unrestricted funds The unrestricted funds comprise those funds whicb the trustees aTe free trj use in accordance with the charitable objectives. Endowment funds The Wirrnl PCT endowment fijnd is a ￿t expressly for th¢ purpos¢ of purchasing and refijrbishing the property known as 88-90 Atgyle Street. In accordance with the gTant agree7t)ent these grants will be credited to the endowment fAll￿ and likewise restricted w the purpose of the development of the propety Kalei os¢0 e Pro e¢tr.- Unrestricted funds comprise th0￿ funds which the trustees are free to use tn ￿e0rd•ll¢e with the ¢b￿ltable objectives. Restricted fijnds can only be used for particular Testrieted pu￿OSeS within th¢ objects of the cbarity. Restrictions artse when spec?fied by th dorLQT or when funds are rnised for particular restricted puryo$es. Restricted futtds ¢otnprise.' The asset fijnd [￿resents propeIty and fixturei and ffftings which h8v¢ be¢D stturnl with the help of wnt funding. The fund increases each year with the receipt of ￿rther capital grants and reduces by an arnount each year equivalent io the deprttialion chaT8es on those L4sets and lor by repair costs treated as revenue expenditLtre. Other Restricted Funds Other restrteted fuDds with baJ3nces1¢5s than £5,000. ounsellin Delivery of counselling provision for Powys service users. s Co-Production Funding froro APB CommissioDing tean] ty deliver peer volunteer activities and harni reduction eVeni￿groUps. GDAS HaTm Reduction Funding received (rom Gwent APB to purchasc haTm reductir)n quipment and dclivery of hann r￿uctiOn initiatives (BBVNalaoxone elG). GDAS EKt¢rnal Trainin Revenue received for the delivery of training to external agencies. Utilised for TrniDin8 materiab and purehasillg of ¢￿ernal training. DDAS Pathwa s to Chan Funding received from Dyfed APB to deliver counselling to Dyfed Service UscT5. DA Fundin8 for the delivery of Cowoccuring ments] health and substance use servie Buvidal Fundin Fundin8 for th¢ purchase of Buvidal. Po s Housin Funding for Powys Outreach Workers. Peter Harrison Itoundation Grant funding subsequently caacelled and returned. ealth Grant Funding from Gweni H¢alth Se￿Ices for building costs & building admin￿￿.0￿1￿8nJge￿￿Lt. GDAS BT Funding for Diversionary Activities (Outdoor Pursuits). Leases Funding for leases that relate to future periods. Tronsfer8 between funds Transfers between funds are due to a mis-allocation between fimds in PTior years. See llot 13 for the prior year adjustmeit. Page 33 continued...

Kaleidoseope Project Note5 to the Consoltdated Financial Statements - continued for the Year Ended 31 March 2024 23. EMPLOYEE BENEF￿ OBLIGATIONS Arch Jnitiatives participates in tbe Mercer DB Master Trust (tht sGh¢m¢) forllwly known as The Federation Plan. The scheme is a multi<mployer defined benefit Scheme. We are now reportiThg the tesults of tbe 2024 a¢￿ar￿al Y￿llatLon. Scheme Membership M¢rnb¢rship of the scheme As nmde up of 6 defeThed pensioner5 and 2 retired pensioners. thcrc arc no active pensioners. The dats &ttributablc by type of member is as follows: Member Det"erred rnemberg Deferred rnembers Pensioners Pensioners Descriptioll Total deferred pensions Tevalued to valuaiion date - {£ p.a.) Average agc weighted Total pensions payabl¢ (£ p.a.) AverAge a8e weighted by pension S April 2023 5,845 47 2,484 71 5 April 2020 6,808 44 2,103 68 The breakdgwTJ of the liability is set out below- Description 2023 Valuation £'fJOQs 419 (42) (176) 201 192°/0 2020V&luation £IOOOs 234 1541 (3321 (1521 Assets Liabilities- Pensioners Liabilities - Deferred members Overall position Fulldkng Level Revlsed Investment 5 April 2L123 strategy after S Allocation /• Aprll 2023 0/ 99 30 Asset5 Summary 5 April 2023 Alloc*tioD£'O(KI 414 PoolEd Investment Vehicles Bank Tailortd Credit UK IDnatioD Linked Gifts Sterllng InfiatioD Linked LDI Total 20 40 io 100 419 100 Analysls of Experlence Sfinee Last ValuatloD £'ooo (152) (2) 58 183 128 (40) 28 (21 201 Sh&rtfall on 5 April 2023 JntEr¥sl Contributions less expenses Changes in nwket conditions (liability impact) Exccss investnienl returns Inflalion eKperieTLee Impact of changcs to ststement of fundill8 principles MisG¢llan¢ous Surplus on 2023 assumptions Expected 2023 shorrfau E5timgted shortfall at 2023 on 2020 a55umptlotts (96) 175 Page 34 continued...

Kaleidoscope Project Notes to the Consolidated Finantial StatemÈnts - continued for the Year Ended 311¥12rch 2024 EMPLOYEE BENEFrr OBLIGATIONS - contlllued Changes Since the Valuation Date The return on th¢ pension assets in the period April 1, 2023 to August 31. 2023 was estimated at . 4￿/￿$. This does not tske into account any contributions received or benefits paid out since the valuatiou dat¢. Had the conditions ￿ August 31, 2023 applied at the valuation date, it is estimated that the teclmical PTovision would bave bccn 150/D lower than the va]ue in this reporL Taken together the change in flljancial conditions would bave l¢d to au improven￿nt in the overnll fi￿ditig positiOII. FinAncial Assumptions - IVIaffin Financial #s5WnptiO￿ for TeebDical provisions 2023 ValiiAtion 2020 Valuation Gilt curve +1.40/ts p.a. Gilt curve +1.5 % p.a. Gilt curve +0.50/ts p.a. Gilt Curve 40.50/0 p.a. tnflation ¢urve Inflalion curve IiPl_0.75Qh until 2030 R￿I from that yearRPI - 0.75'A p.& until 2030 RPI from that yeaT tn line with RPI assumptions In line with RPI assun)ptions In lin¢ witb CPI assumptions In line with CPJ assumptions Gilt curv¢ +0.5 /0 P. Gill Curve +2.O/D p.a. 0.69D/o p.& 2.71 /0 P.& Pre retiTement discount Tate P05t retirement discount xate RPI inflatio)J CPI inflation RPI p¢nsion increases CPI pension increases Recovery plan retum Average Gilt Yield curve Av¢rnge inflatiou curv¢ 3.350/0 P.& Demographic assumptions- for Tethni¢al provisions 2023 Valuatii(fvTh 2020 Valuation 115% of S3PL4 1150/J of S3PxA CMI 202211.50A, S Core] CME 2019 [1.5ts/0,S-7.5] RPI_0.75•/o until 2030 li￿1 from that year RP[ -0.750/0 until 2030 RPI from thal ye8r 900/0 married for both males and ftmales 90 /0 M￿Tled for both M￿e$ and females All members assumed to retiTe at norn)alAII members assumed to retir¢ at nornial retirement retiremeni age. Membets who are past their age. MernbeTS wbo aTe past their norn]al retiretnent nomal rettrtm¢nt are assumed ¢0 retire at the ar¢ assumed to retire at the valuation dale. valuatioa date. Commutation No casb commutstion where 500A of 318Oths USiTAg CUTrerAt commutation factors bcnefit formula Includes wh. Where the for membets without casb on top benefit fornjula does rot include ¢&8h. members are assumed to tske S0(/lo of their maximum cash entillemenl, based on tb¢ U￿nI cash commutstion factor. 500/0 of 3180ths Using c￿￿ent comrnutation factors for 7nemb¢r5 Witbout cash on top. No allowance (fimded by s¢parateNo allowanee (fund￿ by separ4te contributions by contributions by the enwloyer.) the eTDployer.) Mortality- base tsble Mortality - ￿tL￿e improvements CPI inflation Proportions maJricd Age of retirement Comrnutstion Exp¢ns¢s Other A%sumptioD5 Agsumed rate at last Assumed rate during iDter valuation p.a. valuation period p.a. 0.630/0 15.73 /0 Investment Teturns - assumed for the putpose of the 2020r ecovery plan Revaluation up to retirement in line with B￿1 in line with CPI Pension increases in payment in line with RPI in line witb CPI 6.090/0 1.82D/o 6.09% 4.49% 1.82/ Page 35 continued...

Kaleidoscope Project Notes to the Consolidated Financial Statements - continued for the Year Ended 31 March 2024 23. EfrfpLOYEE BENEFIT OBLIGATIONS - c(Jotinued Global Pandemics and Climate Change For the 2023 v8luation the potential impacts of glob￿ pandemics and clitDate change have b¢en consideIed. These included the following Climate change shock scenarios: Potential Impact (21123 #nd 2020 valuation) -0.50/D p.a. +0.50/0 p.a. -0.25 years UK long dated inleIest dale Inflaiion UK life expectancy ￿.25 years Equity inarket re-pricing Diversified growth fund re-pricing-7.5 /0 Investment grade credit spread widcniug Impact on high yield debt -7.59/0 0.20/0 p.a. -5% Te¢hDical Pr(>visiotts Sensltivity 0/0 Change In Liability +2.3 /0 +3.20/0 +5,5/0 +2,8/0 +less than O, l % Pre retirement discount rate reduced by O.?5D/oP.a. at each ieTm +2.3fy Post retirement discount rale reduc¢d by 0.25/0 p.a. at each tetrn Inflation assumptson iticre&%ed by 0.250/0 p.a. al each remi +5.5 / Mejnbers on¢ yeaT younger Cash conunutation assumption increased by Ioyty Summary of Benefjts Main benefits of the two underlying scbemes.. NHSPS Scbeme LGPS Scheme 60th B￿hdaY 65th Birthday 1180th of final pay 1160th of final pay for each Complete for each coThplel¢ year of service year of service Up 10 3 tin)es thePart of pellsion can metnbus pension be ex¢h8nged for a cash free sum In line with cpi Froill agc SS to 60 Nonnal retirement date Norn)al retirement perlsion Norntsl retirement eash Increase lo pension Early retiI¢ment pension In lin¢ with ryi Available after the 8e of 55 or on ill health Deatb after retirement.. * luinp sum On de&th within 5 On deatb within l O y¢ars of years of con)mencetnent of coimrenceinent 0£ pension pensioll One half Df 37.50/D of m¢mb¢rs members pension pension dependanV5 pension Page 36 contirLued...

KaIeidoscope Project Notes to the Consolidated Financial Statements - contÉnued for the Year Ended 31 March 2024 24. CONfINCENf LLIBILrriES The tharity may be required to repay filnding if it fads to comply witb conditions laid doTrD by the various funding pTrvideTS. Included in tnvestment properties is the purcbase and refurbisbment costs of a buildillg oll tyle Street, Birkenhead. A grant of £S00.000 was re¢eived from the Wtrral Priynary Care Tn)st (WPCD tOW8Tds tbese costs. WPCT bold a legal charge ov¢i the pmpety dated 31 March 2009, the tenns of which are that should the propety be sold within 20 years a ser percentage of the sale5 proceeds will revert back to NVPCT. The percentsge remittable is tapeTed dovrn to Oyo over 20 years. As at 31 March 2024 the Amount repayable would be.. £77,500 (2023 - £135,OC 25. RELATED PARTY DISCLOSURES Kaleidosco e Pro eetr.- During the year, Kaleidoscope Project Limited paid D)anagem¢nt fee5 to Kaleidoscope (Kingston) Housing Association Limited of £25,000 (2023.. £nil). At tbt year ettd, included in debtors (note14} Is a balance of £9.590 (2023 £106.508) which rcmained outstanding from leidoscope (kn"ngston) Flousing Asso¢iation Limite(L This amount is repayable on dernand and is non-interest bearing. There were no other r¢tated paty tsansaclions iti eithu the year ended. rch Inhlatlves:_ The ch￿itable company ha5 tskeD advantage of exemptio￿ uThder the ternts of Financial Repotting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of IrelaDd'. Dot to dis¢los¢ related paty tranS￿tiO11$ with wholly owlled 5ub5idiari¢s within the group. 26. POST BALINCE SHEET EVENTS The sale of Ibe property at Kingston is due to be completed at September 20, 2024 £2,046,300 for an awd wm. 27. ULTIMATE PARENT COMPAKY The charity's parent company at Ihe ba]ance sheet dale was Kaleidoscope Project (company number 05480423. chaTity number 1115017), a charitable company incorporated in the UK.The pa￿n1'S principal activities include the provisioll of bolistic we and support Se￿iCe$ to those suffering due to povety, age, inf7rn7ity, substsnce abuse or physical aDd Toental hardship or di5tr¢ss. Copies of group accounts are 8v&ilable frorn either Companies House OT from the regisi¢Ted office at Resolven House. St Mellons Business Park, Fortran Road, St fvlellons, Cardiff CWJ OEY The ultimate controlling Party arc th¢ trustees of the parent company Kaleidoscope Project. Page 37 continued...