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2021-03-31-accounts

Charity Registration No. 1116773

Company Registration No. 05822301 (England and Wales)

HALOW PROJECT

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

HALOW PROJECT

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr J Stevens
Mr M Day
Ms S Hill
Mr M McArthur
Mr R Meins
Mr T Oliver
Mr C Evans
Secretary Mr R Meins
Non-statutory Directors Mr C Livingston Director of Business Services and halow care
(resigned 5 October 2021)
Mr G O'Connor Director of halow project services
Charity number 1116773
Company number 05822301
Registered office Carroll House
11 Quarry Street
Guildford
Surrey
United Kingdom
GU1 3UY
Auditor Azets Audit Services
Ashcombe Court
Woolsack Way
Godalming
Surrey
United Kingdom
GU7 1LQ

HALOW PROJECT

CONTENTS

Page
Trustees report 1 - 17
Independent auditor's report 18 - 20
Statement of financial activities 21 - 23
Balance sheet 24
Statement of cash flows 25
Notes to the financial statements 26 - 42

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2021

The Trustees present their report and financial statements for the year ended 31 March 2021.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity'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)".

Objectives and activities

The principal activity of the charity in the year under review was to provide benefit to young people with a learning disability in Surrey and the surrounds.

halow project is a registered charity dedicated to creating opportunities and supporting young people aged 16+ with a learning disability so that they are able to live independent, meaningful, fulfilled lives and become more involved in their local community.

The young people we work with want the opportunity to:

halow project provides access to social activities, community-based learning and work-like experiences funded through a mixed model of fees, fundraising and enterprise.

From April 2020 to March 2021, halow project supported 142 individuals across our services, with many young people using several services:

In total, halow project delivered 4,252 hours of social and learning activities over the year to 131 individuals and flexibly provided 32,165 hours of care to 50 individuals in their homes &/or communities. Delivery across the organisation was slightly reduced compared to the previous year due to the impact of Covid lockdowns.

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Halow Project Business Priorities for 2020-21

Despite our excellent results in 2019-20, there were still many more young people with learning disabilities who could benefit from halow ’s unique blend of services and support. The Trustees and Senior Leadership Team were determined to grow halow ’s reach and impact and the appointment of a second senior executive (the two working as joint CEOs) in January 2020 started the process of reviewing every aspect of the organisation to ready itself for the next phase in its development. In addition, at the end of 2019-20, it was decided to merge halow care CIC with its charitable sister company halow project . All halow care staff and services were transferred to halow project on 1 April 2020. The financial year 2020-21 therefore saw a number of changes in priorities in readiness for the future growth of the charity.

Our Mission

To develop innovative and responsive services, led by a skilled, supported and committed workforce, to meet the needs of young people with a learning disability to live, learn, socialise and work in the community.

Our business objectives for 2020-21 were:

  1. Continue to deliver high quality, innovative, and person-centred services and to exceed expectations of the young people themselves, families, commissioners and the local community.

  2. 2.Build the foundations to implement our Exceptional Person-Centred Care (EPC) strategy.

  3. Ensure the smooth transition of staff into the expanded charity and further strengthen the values-based approach to recruitment, training and delivery.

  4. Continue to grow all daytime group services - Building Futures, Social Activities, A Reason To Get Up - by delivering to more young people and through increased service variety and enrichment.

  5. Thoroughly review all areas of the business to maximise efficiency and effectiveness and look at further development opportunities.

  6. Launch a new pathway of the Building Futures programme, funded through local authority SEND route, rather than Adult Social Care resulting in 2 separate year A groups and 4 concurrent year groups overall. 7. Continue to respond effectively to the Covid-19 pandemic.

  7. Investigate and introduce new central technology solutions to further aid efficiency and growth.

  8. Review halow ’s governance arrangements to begin alignment with the Charity Governance Code.

Achievements and Performance

Each year this report is a chance to reflect on the many achievements that our young people and the company have achieved in that time. We are grateful to all those who have been a part of this organisation and we hope you will continue to join us in meeting the ongoing challenges of nurturing and enabling independence in young people with a learning disability in Surrey and surrounding districts.

Feedback from young people and families on halow staff continues to be good, remarking on the positive relationships formed, the progress made towards their goals and the safety and happiness of young people accessing halow services.

The Trustees (Company Directors) are pleased to report progress in all areas identified in 2020-21 and it is a credit to our teams that, despite the huge challenges of the global pandemic, we were able to deliver services for more young people than in previous years, have invested further in the quality of our services, and end the year in a healthy financial position.

Everyone at halow wishes to thank all our young people, families, staff, volunteers, commissioners, funders and supporters for your support for our work this year and we would particularly like to thank Surrey County Council for their engaging and committed approach in continuing to support us during the pandemic.

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Our 2020-21 Plans and Achievements:

1. Continue to deliver high quality, innovative, and person-centred services and to exceed expectations of the young people themselves, families, commissioners and the local community.

Aim: To continue to raise the bar in all our services.

2020-21 Achievements

COVID 19 meant that we had to introduce numerous new / adapted services quickly. These services involved regular feedback and resulting changes to delivery, maintaining their value to our clients at such a difficult time. Our Social Activities ‘Youth Committee’ reverted to an online offer. This proved a benefit, as the group were able to have more productive discussion on the activities / content they would like to do as well as keeping in contact with friends during lockdown restrictions. This session has remained online.

A key document for halow is our support assessment, aiming to identify everything about a young person’s ambitions and support needs. We reviewed and updated this document and the processes required internally to ensure quality. We also put this online so that young people and their families could start completing the form when they wanted to, speeding up the whole process. This has resulted in a better standard of information at referral to a service and ensured that services can then push on with helping young people meet their goals.

ARTGU has instigated regular person-centred review meetings for participants, similar to those done on our Building Futures programme. This has enabled ARTGU to ensure that sessions are meeting the needs of their young people. The continued use of these practices in Building Futures were a key element of our response to the mental health challenges raised by Covid.

Our plans for 2021-22 include:

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

2. Build the foundations to implement our Exceptional Person-Centred Care (EPC) strategy.

Aim: To develop new, individual person-centred plans, and introduce into them ambitious outcomes across 7 areas: Health & Wellbeing; Independent Living Skills; Relationships; Personal Hygiene; Education / Employment / Occupation; Community & Social; and Citizenship / Rights & Responsibilities. To do this we need to first build capacity and knowledge within the staff team.

2020-21 Achievements

An experienced part-time Recruitment and Training Coordinator was recruited (started September 2020). We recruited 2 additional Senior Buddies in Q1 and commenced a new Senior Buddy training programme from Q2 onwards. Regular training and meetings helped provide a more cohesive service and allowed the Lead/Seniors to support the development of certain EPC areas.

Buddy headcount increased over the course of the year to record numbers by December 2020. However, the impact of Covid (some infection but mainly the need to self-isolate) meant that the service was stretched for long periods in late Q3 and through Q4.

The Lead Buddy and 1 Senior Buddy became part of the on-call rota in December 2020 which strengthened this part of the service. The on-call function was further improved in January 2021 to reduce the demands on the Care management team.

We identified suitable funding sources to support EPC delivery and set a specific budget for 2021-22.

Our plans for 2021-22 include:

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

3. Ensure the smooth transition of staff into the expanded charity and further strengthen the valuesbased approach to recruitment, training and delivery.

Aim: To ensure existing staff from the two formerly separate organisations, plus new staff recruited during the year, feel part of one inclusive and dynamic team whose main goal is to enhance the lives of young people with learning disabilities.

2020-21 Achievements

All halow Care CIC staff were successfully transferred (TUPE) into the charity on 1 April 2020. We implemented the recommendations of the Government’s Good Work Plan which improved all Buddies’ terms and conditions . To aid staff transition and to help ensure everyone was kept up to date during the various lockdowns, the Directors initiated monthly all-staff briefings which were well received. These will continue going forward.

In March 2021 we completed a successful consultation with Buddies that resulted in enhanced pay rates for 2021-22, ensuring that all halow staff would be earning at least the Real Living Wage. Staff satisfaction surveys were conducted in August 2020 and March 2021 to help inform senior management on the focus for further development work.

During the year we continued to recruit fantastic candidates who shared our values. We introduced a new recruitment campaign which attracted dozens of new Buddies, as well as expending a number of other teams, particularly Building Futures. In January 2021, we launched new online training system (Atlas) which enabled remote learning could be completed at times to suit staff, plus instant monitoring of training course compliance/completion.

During the autumn, we undertook a mapping exercise of all staff members’ completed and outstanding training, researched the best training to deliver the EPC aspirations, and developed a proposal for trustees on the best ways to implement EPC through staff training. Based on their roles and training history, all members of staff were allocated specific mandatory and recommended Atlas modules to complete. Further training opportunities were limited by Covid-related issues but will be implemented in 2021-22.

Our plans for 2021-22 include:

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

4. Continue to grow all daytime group services - Building Futures, Social Activities, A Reason To Get Up - by delivering to more young people and through increased service variety and enrichment.

Aim: To offer a further enriched variety of programming through all three services, and begin to fulfil expansion in each service, despite the COVID-19 pandemic.

2020-21 Achievements

Having always been a completely face-to-face service, the sustained periods of lockdown forced halow to change almost overnight to online delivery. From a standing start, the staff managed to implement high quality sessions accessed by the vast majority of service users this providing a lifeline for vulnerable young people at the most critical time. The learning from this experience will give us extra flexibility and possibilities in the future.

With the continued help from Surrey County Council, Building Futures was able to expand to 4 year groups in October 2020. Many of the new participants joined via SEND transition referrals which opens up a new cohort of young people for halow to support.

ARTGU was fully subscribed with some sessions having a waiting list. Initial work was completed on how ARTGU could be further expanded in the coming years. Young people now have Person Centred Plan (PCP) review meetings (similar to Building Futures) and are being supported to explore moving on from this transitional programme into activities in their communities.

Despite lockdown restrictions, 119 young people managed to engage in Social Activities this year. Online delivery was embedded - with art groups, discos, a reading and discussion group, and a chat group particularly successful, all of which will continue.

This relationship was based around face-to-face delivery, which was not possible, so the relationship was paused. However, contact was maintained, and remote support given, throughout 2020 /21 which was very much appreciated by Think18. Both parties would like to resume the relationship when possible.

Our plans for 2021-22 include:

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

5. Thoroughly review all areas of the business to maximise efficiency and effectiveness and look at further development opportunities.

Aim: To free up staff administration time through greater use of technology, better definition/separation of staff roles and responsibilities, and better coordinated trustee-staff interaction.

2020-21 Achievements

A swathe of new software and hardware (see KPI 8) was purchased and implemented during the year which has helped halow make huge strides forward technologically.

Reviews of each department took place over the second half of the year. Care, Building Futures and Fundraising all had intensive reviews with clearly defined, costed action plans produced. The HR and Finance had interim reviews with some immediate changes actioned. ARTGU and Social Activities had initial reviews with some minor changes made.

A new Year Lead and Project Worker joined the Building Futures team in summer 2020 to support the programme’s expansion. A Building Futures Manager was recruited in Q4 to aid the department’s continued plan growth. A Recruitment & Training Coordinator helped deliver net gains in staffing numbers and launched a new online training platform. Several changes to the Care team were implemented to share the workload more evenly across more staff.

All roles were grouped into new pay bandings to provide greater clarity and to support future recruitment. A new Buddy pay structure was consulted on and agreed by staff for April 2021.

Each department developed a detailed action plan which allowed greater planning and reporting to be implemented despite staff working remotely. Each of the 168 objectives were monitored monthly and RAG ratings were shared with the Board at each meeting to identify areas of progress and risk.

The new halow committee structure (see KPI 9) allowed greater communication between operational staff and trustees thus improving understanding and oversight.

Our plans for 2021-22 include:

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

6. Launch a new pathway of the Building Futures programme, funded through local authority SEND route, rather than Adult Social Care resulting in 2 separate year A groups and 4 concurrent year groups overall.

Aim: To work closely with Surrey County Council’s SEND (Special Educational Needs and Disabilities) team to introduce the planned new year group for September 2021.

2020-21 Achievements

Building Futures is mainly funded by local authority commissions but also relies on grants and awards from generous trust funders. Because of the lack of lead in time to approach funders, the new SEND year group required local authority start-up funding which was achieved. We maintained an excellent working relationship with the SEND team through regular communication and briefings.

Despite the uncertainties caused by Covid, whereby some potential participants stayed in existing settings, the minimum number of 7 young people was achieved.

Successfully recruited 1 new Year Lead and 1 new Project Worker in July 2020. Successfully recruited an experienced manager in March 2021.

Further work to foster referrals for Sept 2021 and Sept 2022 has already taken place.

Original plans were to expand to delivery in Woking for September 2021 but it has been agreed to move this back to September 2022, due to the impact of COVID-19.

Our plans for 2021-22 include:

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

7. Continue to respond effectively to the Covid-19 pandemic.

Aim: To keep young people at the heart of the decisions we make whilst ensuring the ongoing health of the business and the welfare of staff.

2020-21 Achievements

The sudden restrictions on people’s movement and social interaction were a shock to everyone and most keenly felt by young adults with learning disabilities struggling to understand what was happening and why.

A halow counselling service was started and then quickly extended under the first COVID lockdown, with up to 6 young people having weekly appointments at any one time. A number of young people used this invaluable service ensuring they did not have to endure long waits to access services through other routes.

The employee helpline also saw an understandable increase in use, and halow also utilised the kind offer from a former colleague, and now student counsellor, who offered employees free counselling sessions. Both services were well received with those that used them having found them extremely useful.

Keeping in touch regularly with furloughed or remote staff /YP. This was a key part of our early response to the COVID new ways of working. New meetings were introduced to help support working from home, regular communiques to all staff were well received and line managers would regularly contact furloughed workers. This was a largely successful operation, with minimal reports of any discontent.

Account balances were monitored through increased frequency of Finance subcommittee meetings in the first part of 2020/21. Although all main events could not take place, this funding was largely replaced by increased fee income from SCC, an injection of £41,500 for the expansion of Building Futures, and significant savings from the furlough scheme and adapted delivery in key services (most notably supported living and Building Futures).

halow had to move quickly away from relying on desktop computers, with an urgent need for an increased number of laptops. Some of these were funded internally, and circa £5,000 was supplied by a specific trusts grant. COVID accelerated the need for this modernisation of our IT. Furthermore, some staff either borrowed equipment from the office, or purchased specific items they needed for home (remaining halow property).

Our learning programmes moved to online delivery on the announcement of lockdown 1, with no break in service. Many were able to physically access sessions (i.e., had computer and internet access) but some lacked either the skills or application, and this took significantly more person-centred work in each caseparticularly in Building Futures and ARTGU. Engagement in our sessions remained strong, ensuring payment from SCC. Interestingly, some young people were more comfortable online than in person.

Building Futures were delivering some face-to-face programmes again by June 2020 and ran some of the first DofE expeditions in the county. Academic content was extended through the usual activity period in July and August, with huge credit to the expanded delivery team. ARTGU were also delivering some face-to-face sessions by August 2020 and have maintained high service levels. Social Activities have offered new and innovative sessions and followed guidelines to deliver face to face sessions like group sports.

Government financial support was received via our partners, Surrey County Council, which allowed us to pay for staff to be on standby to restrict movement of staff between settings, run a weekly Covid testing service, pay staff in full when sick or requiring to isolate, and get vaccinated. Free Personal Protective Equipment (PPE) was also supplied by the Government, with all frontline staff requiring to be protected at all times. Facemasks were also worn by all office-based staff. The use of anti-viral cleaning materials across our services was significantly increased, the cost of which was borne by halow .

All staff that could work from home did so – once able to return to the office, strict infection control measures were in place, with limits on numbers, social distancing, increased ventilation and cleaning, plus weekly testing in place. The return to face-to-face in daytime group services was carefully managed with clear communications, PPE, temperature checks for young people on arrival, and access to testing when it became available.

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Thanks to Government infection control funding we were able to support staff isolate (when required) on full pay, helping to keep our service users and other colleagues safe from possible infection. In addition, the funding allowed staff to be paid to be vaccinated and test themselves for Covid. We implemented mandatory weekly testing for all staff and volunteers which enabled us to rapidly respond to positive results when required.

Whilst essential supported living sessions continued to require face-to-face staffing support, and some services continued online, many services were mothballed and users of our Buddy Service paused their support, meaning many staff were without their normal work patterns. By utilising the Government’s Coronavirus Job Retention Scheme (CJRS), commonly known as furlough, we were able to ensure staff without work were paid in full for the first few months of the pandemic.

As the CJRS changed we were able to welcome staff back part-time and/or undertake extensive training whilst still receiving financial support. The training increased staff skills and quality for when they returned to normal working patterns. We also utilised opportunities to focus people’s time on key objectives. Examples included getting the CRM up and running as a database and fundraising tool, updating the system and process for halow support assessments, and implementing a new HR management system.

Our plans for 2021-22 include:

8. Investigate and introduce new central technology solutions to further aid efficiency and growth.

Aim: To move forward digitally to enable more mobility, have better record keeping/reduced paper-based systems, improve efficiency, and reduce duplication of information generally.

2020-21 Achievements

At the start of the year we started using a new finance/accounting system – Xero. The initial set up was done at exactly the time of the first lockdown, which made matters much more complicated, but it has proved to be more efficient over time.

Buddy rota setting and payment became much easier in Q3 with the introduction of RotaCloud. Now instead of planning and reporting using excel or paper-based systems, RotaCloud enables real time shifts to be published, updated and changed – and for staff and clients to be informed immediately – and staff to clock their hours in real time. The whole process is now smoother and has reduced duplication and errors significantly.

Atlas was introduced in December 2020 allowing consolidation of all electronic and paper-based HR records into one easy-to-use system. The platform also contains a wealth of online training resources which allowed all staff to access both mandatory and recommended modules relevant to their role. Attendance can be monitored remotely, and reports completed much more quickly.

Donorfy became operational in September 2020 allowing all key contacts to be stored in one place. Training for department leads took place and the CRM is starting to be embedded in the way we work. Reports for funders have instantly become easier to complete.

Having worked with advisers from Hireful during Q3 to improve our recruitment profile and processes, January 2021 saw the start of our new Applicant Tracking System. The portal creates easier processes for both applicants and hiring managers alike. Shortlisting and other administration tasks are now much smoother, and data is more secure.

All day services – Building Futures, ARTGU and Social Activities - have adapted to online delivery. This is most appropriate to continue in some form in social activities, and these activities have become further embedded into the timetable as a result. Support assessments are now available online for completion, speeding up the process for prospective clients. Following our values, they are always followed up in person to ensure we have the right information. The use of telephone card payments increased, and we purchased additional equipment to help facilitate this, which will also be used when taking payments at fundraising events.

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Through new trust grants, we have invested in dozens of new laptops for office staff, project leaders and senior buddies, with new laptops soon on order for each S/L house. Staff can now work wherever they need to.

Our plans for 2021-22 include:

9. Review halow’s governance arrangements to begin alignment with the Charity Governance Code.

Aim: To strengthen our governance in line with best practice to ensure that the organisation: continues to be run in the best possible way; attracts new talent onto the Board; is more agile in its decision-making; and remains attractive to funders.

2020-21 Achievements

A new Chair, Chris Evans, was appointed from within the Board in January 2021.

A skills analysis matrix was developed in Q4 but its implementation was delayed until 2021-22 due to Covidrelated pressures.

This was completed in Q4 with three committees to be up and running from Q1 of next year with a mix of trustees and staff members:

Human Resources & Staff Welfare Committee:

Quality & Innovation Committee:

Our plans for 2021-22 include:

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Statement of compliance with Charity Commission guidance

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

Use of volunteers

halow is supported by a small group of dedicated regular volunteers who enable more young people to take part in the daytime activity and learning programmes, and support halow at fundraising events. Volunteers are supported with training, complete DBS checks, and undertake weekly Covid testing.

Achievements and performance

Each year this report is a chance to reflect on the many achievements that our young people and the company have achieved in that time. We are grateful to all those who have been a part of this organisation and we hope you will continue to join us in meeting the ongoing challenges of nurturing and enabling independence in young people with a learning disability in Surrey and surrounding districts.

Feedback from young people and families on halow staff continues to be good, remarking on the positive relationships formed, the progress made towards their goals and the safety and happiness of young people accessing halow services.

The Trustees (Company Directors) are pleased to report progress in all areas identified in 2020-21 and it is a credit to our teams that, despite the huge challenges of the global pandemic, we were able to deliver services for more young people than in previous years, have invested further in the quality of our services, and end the year in a healthy financial position.

Everyone at halow wishes to thank all our young people, families, staff, volunteers, commissioners, funders and supporters for your support for our work this year and we would particularly like to thank Surrey County Council for their engaging and committed approach in continuing to support us during the pandemic.

Financial review

The financial accounts for the year to March 2021 show a net deficit of £11,337 as shown on the Statement of Financial Activities on Page 22.

The cash flow statement shows an increase in cash and cash equivalents of £66,988 during the year.

Income overall decreased pro rata by 32% over the year on existing activities. This was essentially a reflection of the inability to organise many of the face to face fundraising activities due to Covid. This included halow ’s annual bike ride, events at Goodwood and the Ace car quiz all of which, circumstances permit will reappear as soon as is possible.

The inclusion of the previous Care activities resulted in an increase of £903,660 of revenue in this year in Project.

Reserves Policy

It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six months’ expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

Restricted funds amounted to £1,411 at the year end.

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Financial effect of significant events

Covid significantly affected fundraising income ( down £177,982 from 2020) and donations from legacies ( down £ 109,882 from 2020). Special funding from Surrey County Council and the furlough scheme both enabled halow to exit the year and the enter the New Year with no major impact on its ability to maintain services and staff into the next trading year.

Risk Management

The Trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The Trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to the major risks.

The Board regularly discusses the major risks to which the charity is exposed. Systems and procedures have been established to mitigate the risks the charity faces. The annual fundraising plan focuses on diversity of funding and activities to mitigate these risks, should they occur. This plan is regularly reviewed and updated in line with targets, performance and external climate. Internal cost control risks are minimised by the implementation of procedures for overseeing and authorising major transactions and projects. Safeguarding, quality control and regulatory compliance are also assured through the implementation of effective procedures and checks.

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Structure, governance and management

Governing document

The charity is a company limited by guarantee, incorporated on 19 May 2006 and registered as a charity. The company was established under a Memorandum of Association which defined the objects and powers of the charitable company and is governed under its Articles of Association.

The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

Mr J Stevens

Mr M Day Ms S Hill Mr M McArthur Mr R Meins Mr T Oliver Mr C Evans

Recruitment and appointment of new trustees

Current Trustees are already familiar with the practical work of the charity. Prior to the appointment as a new Trustee, the candidate is met by individual Trustees and officers of the charity to ensure that he/she is fully aware of the requirements and the statutory duties of a Trustee, and to ensure that the person is suitable to hold such an appointment.

halow project has a Board that met every two months in 2020-21. It is responsible for the strategic direction and policy of the charity. At present the Board has 7 members from a variety of professional backgrounds relevant to the work of the charity. A number of sub-committees and a scheme of delegation is in place and day to day responsibility rests with the two Directors (joint Chief Executives). The joint CEOs are responsible for ensuring that the charity delivers the services specified and have responsibility for day-to-day operational management.

No new trustees joined halow this year. No training was delivered due to Covid restrictions.

Pay scales have been set for all levels of staff through benchmarking and regular review of the employment market. If financially viable, progression up a job-related pay scale is decided after considering the achievements of individuals and teams during the year.

halow project is committed to paying all staff at least the Real living Wage.

Trustees do not receive remuneration for their services to the charity.

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Statement of Trustees responsibilities

The Trustees, who are also the directors of halow Project for the purpose of company law, are responsible for preparing the Trustees Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company Law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the 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 are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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

Auditor

Azets Audit Services were appointed as auditor to the company and a resolution proposing that they be reappointed will be put at a General Meeting.

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Fundraising standards

halow subscribes to the Fundraising Regulator’s Fundraising Promise. In addition to this, we are developing our own promise to supporters which includes the following:

Honesty, transparency and accountability are key values for us and we encourage and support all staff to uphold these values in the work they do. For our fundraising team this involves:

We receive over 20% (62% in 2020 excluding Care) of our income from the generous support of individuals, charitable trusts and companies. We raise these funds from one-off donations, regular giving (via direct debit), applications to grant-making trusts, corporate fundraising activities and legacy promotion to encourage supporters to consider leaving a gift to halow in their will.

Our fundraising activities are undertaken by a small team of in-house staff (one part-time Fundraising Manager and one part-time Fundraising Assistant). Our charitable trusts fundraising is delivered by a professional fundraising company, working on a 2 day per week basis. Their work is closely monitored to ensure that it is of the highest standard and to ensure that funders receive the very best experience with us. This monitoring includes: weekly meetings with the inhouse team; regular liaison with service delivery managers; monthly supervisions with the relevant Director; quarterly written reports to the board and attendance at some board and committee meetings; and reviews of fundraising applications, reports and correspondence with funders, all of which is now fully captured on the new Donorfy database. Like us, our professional fundraiser adheres strictly to the Fundraising Regular’s Code of Fundraising Practice and relevant Chartered Institute of Fundraising guidance for best practice in fundraising.

We do not engage any other external agencies to fundraise or engage with donors on our behalf.

Over the past year we received no complaints about our fundraising. We define a complaint as an expression of dissatisfaction from a supporter or funder. No complaint is ever disregarded, and all complaints are passed on to colleagues and managers and we seek always to learn from these and to use this learning to inform future fundraising practice.

As a charity that supports some of our community’s most vulnerable young people, we have strict guidelines with regard to soliciting funds from anyone who may be classed as vulnerable (through reduced mental capacity, poverty or ill health). Although many of our young people are keen to support our fundraising through sponsored events, attending our carol service or helping on the stand at a community fundraising event, we never ask our young people to make a donation to the charity either face to face or through a fundraising appeal. All staff and contractors are trained and supervised to ensure that when we are aware of a person’s vulnerability, it is not appropriate to solicit funds from them. Where a frail or elderly individual expresses interest in leaving a gift in their will, we always encourage them to speak to their family first to ensure that we do not influence their decision.

HALOW PROJECT

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Disclosure of information to auditor

Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The Trustees r eport was approved by the Board of Trustees.

Mr J Stevens

Dated: 4 November 2021

HALOW PROJECT

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF HALOW PROJECT

Opinion

We have audited the financial statements of halow Project (the ‘charity’) for the year ended 31 March 2021 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice) .

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

HALOW PROJECT

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF HALOW PROJECT

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the d irectors ' r eport included within the Trustees r eport.

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

Responsibilities of Trustees

As explained more fully in the s tatement of Trustees r esponsibilities, the Trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: http s :// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

HALOW PROJECT

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF HALOW PROJECT

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council’s website, to detect material misstatements in respect of irregularities, including fraud.

We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework. Based on this understanding, we identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.

In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of noncompliance. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Use of our report

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

Robert Southey (Senior Statutory Auditor) for and on behalf of Azets Audit Services 11 November 2021 Chartered Accountants Statutory Auditor Ashcombe Court Woolsack Way Godalming Surrey United Kingdom GU7 1LQ

HALOW PROJECT

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021

Current financial year
Unrestricted
Restricted
funds
funds
2021
2021
Notes
£
£
Income from:
Donations and legacies
2
119,768
3,300
Charitable activities
Building Futures
3
309,512
-
Social activities
3
1,450
-
A Reason To Get Up
3
32,578
-
Buddy Support Services
3
111,903
-
Supported Living
3
768,470
-
SCC Infection Control & Workforce Capacity
3
4,287
19,000
Fundraising activities
4
98,266
89,845
Total income
1,446,234
112,145
Expenditure on:
Raising funds
5
130,151
-
Charitable activities
Building Futures
6
364,386
96,980
A Reason To Get Up
6
111,421
7,500
Social Activities
6
101,035
2,150
Information and Awareness Raising
6
101,189
-
Buddy Support Services
6
103,711
-
Supported Living
6
551,193
-
Total charitable expenditure
1,332,935
106,630
Total resources expended
1,463,086
106,630		 Total
2021
£
123,068
309,512
1,450
32,578
111,903
768,470
23,287
188,111
1,558,379
130,151
461,366
118,921
103,185
101,189
103,711
551,193
1,439,565
1,569,716		 Total
2020
£
232,950
285,245
32,209
45,533
-
-
-
366,093
962,030
175,674
327,900
100,839
90,855
99,248
-
-
618,842
794,516

HALOW PROJECT

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021

Unrestricted
Restricted
funds
funds
2021
2021
Notes
£
£
Net (outgoing)/incoming resources before
transfers
(16,852)
5,515
Gross transfers between funds
4,104
(4,104)
Net (expenditure)/income for the year/
Net movement in funds
(12,748)
1,411
Fund balances at 1 April 2020
358,747
-
Fund balances at 31 March 2021
345,999
1,411		 Total
2021
£
(11,337)
-
(11,337)
358,747
347,410		 Total
2020
£
167,514
-
167,514
191,233
358,747

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.

HALOW PROJECT

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021

Prior financial year

Unrestricted
Restricted
funds
funds
2020
2020
Notes
£
£
Income from:
Donations and legacies
2
120,309
112,641
Charitable activities
Building Futures
3
285,245
-
Social activities
3
32,209
-
A Reason To Get Up
3
45,533
-
Fundraising activities
4
365,593
500
Total income
848,889
113,141
Expenditure on:
Raising funds
5
175,674
-
Charitable activities
Building Futures
6
261,460
66,440
A Reason To Get Up
6
78,331
22,508
Social Activities
6
66,662
24,193
Information and Awareness Raising
6
99,248
-
Total charitable expenditure
505,701
113,141
Total resources expended
681,375
113,141
Net (outgoing)/incoming resources before transfers
167,514
-
Net (expenditure)/income for the year/
Net movement in funds
167,514
-
Fund balances at 1 January 2019
191,233
-
Fund balances at 31 March 2020
358,747
-		 Total
2020
£
232,950
285,245
32,209
45,533
366,093
962,030
175,674
327,900
100,839
90,855
99,248
618,842
794,516
167,514
167,514
191,233
358,747

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.

HALOW PROJECT

BALANCE SHEET

AS AT 31 MARCH 2021

2021
Notes
£
Fixed assets
Tangible assets
12
Current assets
Debtors
13
145,343
Cash at bank and in hand
338,191
483,534
Creditors: amounts falling due within
one year
14
(162,741)
Net current assets
Total assets less current liabilities
Income funds
Restricted funds
Unrestricted funds		 £
26,617
320,793
347,410
1,411
345,999
347,410		 2020
£
145,427
271,203
416,630
(75,996)		 £
18,113
340,634
358,747
-
358,747
358,747

The financial statements were approved by the Trustees on 4 November 2021

Mr J Stevens Trustee

Company Registration No. 05822301

HALOW PROJECT

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2021

Notes
Cash flows from operating activities
Cash generated from operations
23
Investing activities
Purchase of tangible fixed assets
Net cash used in investing activities
Net cash used in financing activities
Net increase in cash and cash equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year		 2021
£
(20,116)		 £
87,104
(20,116)
-
66,988
271,203
338,191		 2020
£
(12,053)		 £
111,066
(12,053)
-
99,013
172,190
271,203

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

Charity information

halow project is a private company limited by guarantee incorporated in England and Wales. The registered office is Carroll House, 11 Quarry Street, Guildford, Surrey, GU1 3UY, United Kingdom.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's governing document, 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 charity is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling , which is the functional currency of the charity. Monetary a mounts 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.

The financial statements have been prepared for the year ended 31 March 2021. As a result the comparative amounts presented in the financial statements for the 15 month period to 31 March 2020 are not entirely comparable.

1.2 Going concern

The charity has been impacted by the coronavirus pandemic during the year due to being forced to forgo many fundraising activities. However, despite this, the charity has remained in a surplus at the year end and therefore a t the time of approving the financial statements, the Trustees have a reasonable expectation that the charity 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.

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.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.

1.4 Income

Income is recognised when the charity 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.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

Legacies are recognised on receipt or otherwise if the charity 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.

Buddy Support Services and Supported Living income is included in the financial statements as it becomes receivable.

The charity receives government grants in respect of projects aimed at vulnerable young people. Income from government and other grants are recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met, then these amounts are deferred.

In addition, the charity received Coronavirus Job Retention Scheme (CJRS) funding during the year which is recognised in the Statement of Financial Activities on an accruals basis.

1.5 Expenditure

Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure is inclusive of VAT.

Costs of generating funds comprise the costs associated with attracting donations and legacies and the cost of trading for fundraising purposes.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and service for its beneficiaries. It includes both costs that can be allocated directly to such services and those costs of an indirect nature necessary to support them.

Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.

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 and fittings 25% on cost

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 net income/(expenditure) for the year.

1.7 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .

1.8 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, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.10 Taxation

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

1.11 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 charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.12 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.13 Leases

Rentals payable under operating leases, including any lease incentives received, are charged as an expense on a straight line basis over the term of the relevant lease.

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

2 Donations and legacies

Unrestricted
Restricted
funds
funds
2021
2021
£
£
Donations and gifts
43,998
3,300
Grants receivable
75,770
-
119,768
3,300
Donations and gifts
Donations
19,347
-
Corporate donations
20,097
3,300
Gift aid
4,296
-
Other
258
-
43,998
3,300		 TotalUnrestricted
Restricted
funds
funds
2021
2020
2020
£
£
£
47,298
76,502
2,200
75,770
43,807
110,441
123,068
120,309
112,641
19,347
7,664
2,200
23,397
48,961
-
4,296
19,877
-
258
-
-
47,298
76,502
2,200		 Total
2020
£
78,702
154,248
232,950
9,864
48,961
19,877
-
78,702

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

3 Charitable activities

Income from charitable activities
Analysis by fund
Unrestricted funds
Restricted funds		 Building
Futures
2021
£
309,512
309,512
-
309,512		 Social
activities
A Reason To
Get Up
2021
2021
£
£
1,450
32,578
1,450
32,578
-
-
1,450
32,578		 Buddy
Support
Services
2021
£
111,903
111,903
-
111,903		 Supported
Living
SCC Infection
Control &
Workforce
Capacity
2021
2021
£
£
768,470
23,287
768,470
4,287
-
19,000
768,470
23,287		 Total
2021
£
1,247,200
1,228,200
19,000
1,247,200		 Total
2020
£
362,987
362,987
-
362,987

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

3 Charitable activities

(Continued)

For the year ended 31 March 2020

Income from charitable activities
Analysis by fund
Unrestricted funds
Fundraising activities
Unrestricted
Restricted
funds
funds
2021
2021
£
£
Volunteer-led fundraising
85,949
-
Fundraising events
11,990
89,845
Trading
327
-
Fundraising activities
98,266
89,845		 Building
Futures
Social
activities
A Reason To
Get Up
£
£
£
285,245
32,209
45,533
285,245
32,209
45,533
TotalUnrestricted
Restricted
funds
funds
2021
2020
2020
£
£
£
85,949
259,201
500
101,835
104,300
-
327
2,092
-
188,111
365,593
500		 Total
2020
£
362,987
362,987
Total
2020
£
259,701
104,300
2,092
366,093

4 Fundraising activities

5 Raising funds

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Fundraising costs
Fundraising activities 27,115 51,585
Fundraising events 1,065 36,468
Staff costs 38,480 39,055
Support costs 61,291 44,671
Fundraising costs 127,951 171,779

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

5 Raising funds
Trading costs
Trading
Support costs
Trading costs		 (Continued)
-
2,161
2,200
1,734
2,200
3,895
130,151
175,674

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

6 Charitable activities

Staff costs
Direct costs
Share of support costs (see note 7)
Share of governance costs (see note 7)
Analysis by fund
Unrestricted funds
Restricted funds		 Building
Futures
A Reason
To Get Up
2021
2021
£
£
212,484
52,579
58,410
7,735
270,894
60,314
183,872
56,576
6,600
2,031
461,366
118,921
364,386
111,421
96,980
7,500
461,366
118,921		 Social
Activities
Information
and
Awareness
Raising
2021
2021
£
£
41,914
20,720
2,664
16,978
44,578
37,698
56,576
61,291
2,031
2,200
103,185
101,189
101,035
101,189
2,150
-
103,185
101,189		 Buddy
Support
Services
Supported
Living
2021
2021
£
£
72,175
504,013
12,000
12,992
84,175
517,005
18,859
33,003
677
1,185
103,711
551,193
103,711
551,193
-
-
103,711
551,193		 Total
2021
£
903,885
110,779
1,014,664
410,177
14,724
1,439,565
1,332,935
106,630
1,439,565		 Total
2020
£
311,869
142,447
454,316
158,379
6,147
618,842
505,701
113,141
618,842

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

6 Charitable activities

(Continued)

For the year ended 31 March 2020

Building
Futures
A Reason
To Get Up
Social
Activities
Information
and
Awareness
Raising
£
£
£
£
Staff costs
181,959
58,806
50,075
21,029
Direct costs
74,225
16,721
19,687
31,814
256,184
75,527
69,762
52,843
Share of support costs (see note 7)
69,037
24,366
20,305
44,671
Share of governance costs (see note 7)
2,679
946
788
1,734
327,900
100,839
90,855
99,248
Analysis by fund
Unrestricted funds
261,460
78,331
66,662
99,248
Restricted funds
66,440
22,508
24,193
-
327,900
100,839
90,855
99,248		 Total
2020
£
311,869
142,447
454,316
158,379
6,147
618,842
505,701
113,141
618,842

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

7
Support costs
Support
costs
Governance
costs
£
£
Staff costs
327,148
-
Depreciation
11,612
-
Operating lease charges
37,800
-
Premises costs
44,639
-
Computer costs
16,629
-
Printing, postage and
telephone
10,524
-
Staff welfare and
expenses
16,293
-
Insurance
-
-
Sundry expenses
6,046
-
Bank charges
217
-
Bad debts
560
-
Accountancy fees
-
11,985
Legal and professional
-
-
HR consultancy
-
4,939
471,468
16,924
Analysed between
Fundraising
61,291
-
Trading
-
2,200
Charitable activities
410,177
14,724
471,468
16,924		 2021
£
327,148
11,612
37,800
44,639
16,629
10,524
16,293
-
6,046
217
560
11,985
-
4,939
488,392
61,291
2,200
424,901
488,392		 Support
costs
Governance
costs
£
£
112,293
-
13,540
-
21,434
-
18,441
-
10,968
-
8,840
-
12,296
-
2,818
-
2,295
-
125
-
-
-
-
3,162
-
191
-
4,528
203,050
7,881
44,671
-
-
1,734
158,379
6,147
203,050
7,881		 2020
£
112,293
13,540
21,434
18,441
10,968
8,840
12,296
2,818
2,295
125
-
3,162
191
4,528
210,931
44,671
1,734
164,526
210,931

Support costs are all apportioned on the basis of staff headcount.

8 Net movement in funds
Net movement in funds 2021 2020
£ £
Net movement in funds is stated after charging/(crediting)
Depreciation of owned tangible fixed assets 11,612 13,540
Operating lease charges 37,800 21,434

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

9 Auditor's remuneration

The analysis of auditor's remuneration is as follows:

Fees payable to the charity's auditor and associates:
Audit of the charity's annual accounts
Non-audit services
Independent examination		 2021
£
10,500
-		 2020
£
-
3,162

10 Trustees

None of the Trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.

11 Employees

Number of employees

The average monthly number of employees during the year was:

Administrative
Fundraising
Operational
Management
Employment costs
Wages and salaries
Social security costs
Other pension costs		 2021
Number
10
2
59
1
72
2021
£
1,142,219
94,926
32,368
1,269,513		 2020
Number
2
3
11
1
17
2020
£
416,874
35,554
10,789
463,217

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

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

12 Tangible fixed assets

Cost
At 1 April 2020
Additions
At 31 March 2021
Depreciation and impairment
At 1 April 2020
Depreciation charged in the year
At 31 March 2021
Carrying amount
At 31 March 2021
At 31 March 2020
13
Debtors
Amounts falling due within one year:
Trade debtors
Amounts owed by associate undertakings
Other debtors
Prepayments and accrued income
14
Creditors: amounts falling due within one year
Notes
Other taxation and social security
Deferred income
15
Trade creditors
Other creditors
Accruals		 Fixtures and fittings
£
59,815
20,116
79,931
41,702
11,612
53,314
26,617
18,113
2021
2020
£
£
42,355
23,119
-
94,029
3,457
6,674
99,531
21,605
145,343
145,427
2021
2020
£
£
21,367
10,232
32,878
16,176
14,112
10,557
83,855
31,606
10,529
7,425
162,741
75,996

HALOW PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

15 Deferred income

2021 2020
£ £
Arising from Deferred income 32,878 16,176

Deferred income is included in the financial statements in relation to services invoiced in advance.

16 Retirement benefit schemes

Defined contribution schemes

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

The charge to profit or loss in respect of defined contribution schemes was £32,368 (2020 - £10,789).

17 Movement in 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: Current year

Current year
Movement in funds
Balance at 1 Incoming Resources Transfers Balance at 31
April 2020 resources expended March 2021
£ £ £ £ £
The Edward Gosling Foundation: IT
-		 4,615 - (4,104)
511
Gardening for DISA - 1,000 (1,000) - -
W S Limited - 3,300 (3,300) - -
Guildford Poyle Charity - 5,000 (5,000) - -
The Coleman Charitable Trust - 2,500 (2,500) - -
Percy Bilton Charity - 400 - - 400
Douglas Arter Foundation - 500 - - 500
COVID-19 funding - 94,830 94,830 - -
Total Restricted Funds - 112,145 (106,630) (4,104)
1,411

HALOW PROJECT

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021

17 Movement in Funds

(Continued)

Edward Gosling Foundation

Funding was provided for the purchase of five laptops and reading mats.

Gardening for DISA

Funds provided for materials for ARGTU and BFG projects

WS Limited

Funds provided for the provision of Spirit Journey project, which included listening and responding to music, enquiry, self-reflection and making connections

Guildford Poyle Charity

Funds provided to facilitate remote services provided in lieu of face to face sessions

The Coleman Charitable Trust

Funds provided to enhance remote support services

Percy Bilton Charity

Funds provided for the purchase of musical instruments

Douglas Arter Foundation

Funds provided for the purchase of specific ARGTU project items

COVID-19 funding

Various grants were provided to support the charity during the pandemic, which included some core costs in respect of changing operations from face to face to remote and the purchase of specific equipment to enable remote services. All of this funding was spent in the year.

HALOW PROJECT

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

17 Movement in Funds (Continued)
Prior year
Movement in funds
Balance at 1 Incoming Resources Transfers Balance at 31
January resources expended March 2020
2019
£ £ £ £ £
Sexual Health: Community
Foundation for Surrey - 9,158 (9,158) - -
Get Healthy: UNUM - 9,560 (9,560) - -
Get Healthy: Community
Foundation for Surrey - 6,000 (6,000) - -
Get Ready: Guildford Borough
Council - 5,000 (5,000) - -
Get Ready: Baily Thomas
Charitable Trust - 15,000 (15,000) - -
Building Futures: No Fear Bridge - 20,000 (20,000) - -
Building Futures: Borrows
Charitable Trust - 2,500 (2,500) - -
Building Futures: Hedley
Foundation - 3,000 (3,000) - -
Building Futures: Surrey County
Council members' allocation - 340 (340) - -
A Reason to Get Up: Borrows
Charitable Trust - 2,500 (2,500) - -
A Reason to Get Up: Surrey County
Council members' allocation - 660 (660) - -
A Reason to Get Up: Hayman
Solicitors - 100 (100) - -
Total Restricted Funds - 73,818 (73,818) - -
18 Analysis of net assets between funds
Unrestricted Restricted
Total		 Unrestricted Restricted
Total
funds funds funds funds
2021 2021
2021		 2020 2020
2020
£ £ £ £ £
£
Fund balances at 31
March 2021 are
represented by:
Tangible assets 26,617 -
26,617		 18,113 -
18,113
Current assets/
(liabilities) 319,382 1,411
320,793		 340,634 -
340,634
345,999 1,411
347,410		 358,747 -
358,747

19 Operating lease commitments

HALOW PROJECT

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

19 Operating lease commitments

(Continued)

At the reporting end date the charity 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		 2021
£
42,829
26,525
69,354		 2020
£
42,829
32,369
75,198

20 Related party transactions

Transactions with related parties

At the balance sheet date the charity was owed £ nil (20 20 : £ 94,029 ) from halow care CIC . The charity also incurred expenditure of £ nil (20 20 : £ 228,255) on behalf of halow care CIC during the period.

21 Company limited by guarantee

halow project is a company limited by guarantee and accordingly does not have any share capital. Each director has pledged to contribute £1 in the case the charitable company becomes insolvent.

22 Charges held

A charge is held by Property Investment Holdings Limited for the sum of £8,519 (and such other sums as may be deposited by the company from time to time pursuant to the terms of the said deed) the interest from time to time accrued and any sums from time to time deposited in respect of value added tax.

HALOW PROJECT

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

23
Cash generated from operations
(Deficit)/surpus for the year
Adjustments for:
Depreciation and impairment of tangible fixed assets
Movements in working capital:
Decrease/(increase) in debtors
Increase/(decrease) in creditors
Increase in deferred income
Cash generated from operations
24
Analysis of changes in net funds
The charity had no debt during the year.		 2021
£
(11,337)
11,612
84
70,043
16,702
87,104		 2020
£
167,514
13,540
(85,425)
(739)
16,176
111,066