OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2021-12-31-accounts

Registered number: 05964574 Charity number: 1117979

The Blackthorn Trust

(A company limited by guarantee)

Trustees' report and financial statements

For the year ended 31 December 2021

The Blackthorn Trust

(A company limited by guarantee)

Contents

Page
Reference and administrative details of the charitable company, its Trustees and advisers 1
Trustees' report 2 - 5
Independent auditors' report on the financial statements 6 - 8
Statement of financial activities 9
Balance sheet 10
Statement of cash flows 11
Notes to the financial statements 12 - 24

The Blackthorn Trust

(A company limited by guarantee)

Reference and administrative details of the charitable company, its Trustees and advisers For the year ended 31 December 2021

Trustees Hazel Christine Adams
Maureen Bortolozoo (appointed 13 October 2021)
Abbie Holyer
Dr David McGavin
Andrew James (appointed 8 December 2021)
Jonathan Shaw, Chairman
Justine Sloover
Company registered number
05964574
Charity registered number
1117979
Registered office
St Andrew's Road
Maidstone
Kent
ME16 9AN
Company secretary
Denise Thursby
Key Management Personnel
Emma Halpin
Susanna Odin
Nathalie Belmas
Denise Thursby
Independent auditors
UHY Kent LLP t/a UHY Hacker Young
Chartered Accountants
Statutory Auditors
Thames House
Roman Square
Sittingbourne
Kent
ME10 4BJ
Bankers
National Westminster Bank PLC
3 High Street
Maidstone
Kent
ME14 1HJ
CAF Bank Limited
25 Kings Hill Avenue
Kings Hill
West Malling
Kent
ME19 4JQ
Solicitors
Brachers
Somerfield House
59 London Road
Maidstone
Kent
ME16 8JH

Page 1

The Blackthorn Trust

(A company limited by guarantee)

Trustees' report For the year ended 31 December 2021

The Trustees, who are also directors of the charity for the purposes of the Companies Act, are pleased to present their report and the financial statements for the charity for the year ended 31 December 2021. The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Document

The Blackthorn Trust is a company limited by guarantee governed by its Memorandum and Articles of Association. The charitable company was incorporated on 12 October 2006 as The Blackthorn Trust. It is registered as a charity with the Charity Commission.

Organisation

The Board of Trustees is made up of people with expert knowledge and life experience including local people. It meets a minimum of six times per annum. It is aided and informed by a Management Group led by the Chief Executive to whom the day to day management of the charitable company is delegated.

Trustee induction and training

All serving trustees understand the methods and purpose of the charity. When new people are appointed to the Board, a programme of familiarisation with the charity and its work is put into effect, and advice for trustees published by the Charity Commission is provided. As new guidance is notified, it is made available at Board meetings. Board members have free access to all members of staff, enabling them to be fully aware of the charity’s activities and ways of working.

Trustees

The Trustees, (who are also directors of the company for the purposes of company law), who served during the year are stated on page 1.

Risk Management

The Trustees have a risk management strategy which comprises:

Alongside on-going systems to identify and manage non-financial risks within the areas of safeguarding, health & safety and environmental health, greater focus on financial risk has been necessary in recent years. In particular, the changing commissioning environment and the general economic context has led to a greater degree of uncertainty, requiring regular and detailed attention to the potential impacts of these developments and necessary contingency plans to mitigate them. This has been vital since the outbreak of the Covid-19 pandemic and the management of lockdowns.

OBJECTIVES AND ACTIVITIES

Principal Activity and Objectives

Blackthorn’s stated objectives are “for the public benefit to relieve sickness, promote good health, advance the education and selfdevelopment of people with severe and/or chronic illness or disability (either physical or mental) by providing medical, educational and rehabilitation services, developed out of the perspective of Anthroposophy (see (1).

The Trust works with individuals with long term mental health, or chronic physical health, conditions - providing specialist therapies and training placements in social enterprise workshops such as (cooking, café, woodwork, craft and gardening), alongside one-to-one mentoring support to help people back into employment, education or volunteering.

Many individuals who come to Blackthorn are leading isolated lives and facing multiple health and social disadvantage. Most have not responded to mainstream interventions. Blackthorn aims to help people take up the challenge of their condition by reducing, or moderating their symptoms and encouraging purposeful activity. The combination of therapy, work and community on offer maximises the individual’s chances of achieving long-term improvement, thus helping them to find their potential in life and optimise their ability to work and integrate in the wider community, with all the individual, social and economic benefits this brings.

(1) The anthroposophical approach (Gk. Anthropos human being, Sophia wisdom) seeks an understanding of each person’s spiritual, soul and bodily constitution in relation to health and illness, and thus to enhance what may be achieved by way of additional interventions (medical therapeutic, social and occupational) alongside essential conventional ones.

Page 2

The Blackthorn Trust

(A company limited by guarantee)

Trustees' report (continued) For the year ended 31 December 2021

Public Benefit

The Trustees have referred to the guidance in the Charity Commission's general guidance on public benefit when reviewing their aims and objectives and in planning future activities. In particular the trustees consider regularly how planned activities will contribute to the aims and objectives that have been set.

Volunteers

The Blackthorn Trust's work would not be possible without its dedicated and loyal group of regular volunteers, who provide significant support to the staff in running the wide range of social enterprise workshops that take place on-site, and with clerical and fund raising tasks. There is an ongoing need for experienced and skilled volunteer support from the local community which is managed by a volunteer coordinator.

Beneficiaries

We provide a place to change for people with significant life struggles due to long term physical or mental health challenges. Given the opportunity to engage with the social, therapeutic support and training enables each person to find their way to re-engage fully with life, work and their community. Our ultimate goal is that our beneficiaries have the resilience to live a fulfilling life and achieve their goals.

COVID-19 Pandemic Response

The Trust has spent 2021 rebuilding services and adapting to changes in government guidelines for offering services to our service users and the general public. Alongside this the focus has been securing contracts and obtaining grant funding to keep services going and create new ones to respond to the needs the pandemic has identified.

The need for services to tackle long Covid and loneliness soon became apparent, and Blackthorn Trust was able to respond, once funding was found to offer placements for mental health support and to create a project specifically aimed at supporting the debilitating symptoms of long Covid.

ACHIEVEMENTS AND PERFORMANCE

Annual Report

Introduction

The Shaw Trust

Live Well Kent have continued to fund the contract and have extended the term of the contract to September 2021 when it will be retendered with key providers. The Shaw Trust have been reluctant to resume face to face services despite them being available in September in 2020 preferring to stay with the virtual offering. This has continued into the 2nd and 3rd lockdown.

Involve KCC Older Service User Program

Blackthorn has been successful in securing a contract for £16,200 with Involve supporting their contract to work with the over 55’s with workshops in craft and gardening. Discussions are underway to extend and increase subject to funding.

Blackthorn Trust Pain Programme

The NHS Clinical Commissioning Group have continued to fund the contract which has been renewed until 31 March 2023.

Long Covid Pilot Project

Funding was secured in Dec from Brachers to run a pilot program to evaluate Blackthorn’s therapeutic approach to long covid using the same process as the successful NHS pain programme. Other funding is being requested to supplement this and allow a larger number of participants to be referred by local GP’s.

DWELL (Diabetes & Wellbeing) European Funded Project

The Trust has continued to be the largest provider of this service in Europe and has received additional funding until the contract end Dec 2022. Discussions have started regarding ongoing funding and research post contract end.

FINANCIAL REVIEW

The Statement of Financial Activities on page 5 shows an overall surplus for the year of £158,024. There was a small deficit of £30,802 on restricted funds and a surplus of £188,826 on unrestricted funds. The surplus on unrestricted funds was largely attributable to significant legacy income received during the year, for which the Trustees were extremely grateful.

Page 3

The Blackthorn Trust

(A company limited by guarantee)

Trustees' report (continued) For the year ended 31 December 2021

Reserves Policy

The Trustees continue to believe that the Charity should aim to build financial reserves and "the emergency operating result" (EOR) because:

Going concern

The Trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for at least the next year. The Trustees continue to adopt the going concern basis of accounting in preparing the financial statements, and the accounting policy in respect of going concern, which sets out the basis and assumptions made, is disclosed in accounting policy note 1.2.

Investment Powers

Aside from retaining a prudent amount in reserves each year most of the charity's funds have been spent in the short term so there have been few, if any, funds for long-term investment.

Property assets

The Trust has established a significant asset base of £804,923 through the purchase over the years of a major proportion of the land upon which it operates as well as a portfolio of buildings including the Medical Centre, Café, Garden Room training kitchen, craft studio and office building. All of these buildings support continuity and stability of our activities, as well as bringing ongoing income to the Trust.

PLANS FOR FUTURE PERIODS

The Shaw Trust

Discussions are on-going to develop and increase the funding for the contract with the Shaw Trust for 2022 and beyond to provide mental health short courses at Blackthorn. The Trust is working closely with the Shaw Trust to maintain and develop the relationship to strengthen and grow the new contract, by engaging with the navigators employed by Shaw Trust and engaging with the senior leadership team.

NHS Pain Management Contract

This contract is to support 35 patients with chronic pain referred by their GP and is oversubscribed with a waiting list of more than 35 patients (one year). The contract is renewed until March 2023.

Adolescent Mental Health Services

Since the pandemic the Trust have worked to build a stronger relationship with CAMHS and create a direct referral route. The statistics show the huge number of young people that do not transition to adult services once they reach 18. Blackthorn is well placed to support this transition and is working with CAMHS to evidence this and gain additional funding to continue this work from the Lottery Reaching Communities Fund.

Grant Funding

The Trust is awaiting a decision from Reaching Communities Lottery fund to create faster referrals for young people and additional services that include therapy as well as training workshops to offer the best support at a critical time in the individuals lives hopefully avoiding the need for life long adult mental health support.

Employment Services and Blackthorn Career Learning and Development Program 'Next Steps'

The Next steps program ran online in 2021 and was supported by the National Careers service for 1:1 support. The Trust is seeking additional funding to incorporate this into the 8 week training workshop program offered.

Involve (KCC Older Service User Program)

As part of the Involve network of providers Blackthorn is well placed to evidence the impact

Page 4

The Blackthorn Trust

(A company limited by guarantee)

Trustees' report (continued) For the year ended 31 December 2021

Response to Long Covid

The Trust plans to develop a therapy led program to support local people suffering with the effects of long covid. This is being funded by Brachers and The Cobtree Foundation and by mid-2022 will have 12 patients being evaluated. The intention is to attract the attention of the CCG and gain funding to keep this work going post 2022.

Lamplight Database

Funded by Lloyds Foundation Blackthorn now has a robust CRM capable of evaluating and reporting all the services provided by the trust. This will enable us to report on the impact of our work, evaluate and identify our strengths and areas to focus on improving.

Trustees' Responsibilities

The Trustees (who are also directors of The Blackthorn Trust, for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (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 charitable company 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 giving a true and fair view, the Trustees are required to:

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

In so far as the Trustees are aware:

Auditors

UHY Kent LLP were appointed auditors to the company and a resolution proposing their reappointment will be put to the Annual General Meeting .

Small company provisions

This report has been prepared in accordance with the small companies regime under the Companies Act 2006.

Approved by order of the members of the board of Trustees and signed on their behalf by:

Jonathan Shaw - Chair

(Chair of Trustees)

Justine Sloover - Trustee (Trustee)

Date: 15/09/2022

Page 5

(A company limited by guarantee)

The Blackthorn Trust

Independent auditors' report to the Members of The Blackthorn Trust

Opinion

We have audited the financial statements of The Blackthorn Trust (the 'charitable company') for the year ended 31 December 2021 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 charitable company'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 Auditors' 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.

Page 6

(A company limited by guarantee)

The Blackthorn Trust

Independent auditors' report to the Members of The Blackthorn Trust (continued)

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes 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 charitable company'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.

Auditors' responsibilities for the audit of the financial statements

We have been appointed as auditor under section 145 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the charity and the wider not-for-profit sector in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to possible acts by the charity which were contrary to applicable laws and regulations including fraud. We also considered the extent to which non-compliance might have a material effect on the financial statements and considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011 and the Companies Act 2006. We evaluated management’s possible incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to revenue recognition and management bias.

Audit procedures performed included a review of the financial statement disclosures to underlying supporting documentation, enquiries of management, testing of journals and evaluating whether there was evidence of bias by the Trustees that represented a risk of material misstatement due to fraud. Audit procedures were also performed on the government grants received during the year for the Coronavirus Job Retention Scheme, due to its material nature and potential for fraud.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.

Page 7

The Blackthorn Trust

(A company limited by guarantee)

Independent auditors' report to the Members of The Blackthorn Trust (continued)

Use of our report

This report is made solely to the charitable company's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's trustees 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 its members, as a body, for our audit work, for this report, or for the opinions we have formed.

UHY Kent LLP

Chartered Accountants Statutory Auditors Thames House Roman Square Sittingbourne Kent ME10 4BJ

Date: 15 September 2022

UHY Kent LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 8

The Blackthorn Trust

(A company limited by guarantee)

Statement of financial activities (incorporating income and expenditure account) For the year ended 31 December 2021

Note
Income from:
Donations and legacies
3
Charitable activities:
4
Rental income
NHS pain management contract
Sales in garden, cafe and craft shop
Other trading activities
Investments
5
Other income
Total income
Expenditure on:
Raising funds
Charitable activities
6
Total expenditure
Net income/(expenditure)
Transfers between funds
15
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward
15		 Unrestricted
funds
2021
£
418,734
72,422
94,414
34,782
2,898
3
-
623,253
46,885
376,746
423,631
199,622
(10,796)
188,826
947,926
188,826
1,136,752		 Restricted funds
2021
£
106,693
-
-
-
-
-
-
106,693
-
148,291
148,291
(41,598)
10,796
(30,802)
32,302
(30,802)
1,500		 Total
funds
2021
£
525,427
72,422
94,414
34,782
2,898
3
-
729,946
46,885
525,037
571,922
158,024
-
158,024
980,228
158,024
1,138,252		 Total
funds
2020
£
452,407
78,720
89,292
17,356
7,875
19
5,810
651,479
42,563
531,389
573,952
77,527
-
77,527
902,701
77,527
980,228

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

The notes on pages 12 to 24 form part of these financial statements.

Page 9

The Blackthorn Trust

(A company limited by guarantee) Registered number: 05964574

Balance sheet As at 31 December 2021

Note
Fixed assets
Tangible assets
11
Current assets
Stocks
Debtors
12
Cash at bank and in hand
Creditors: amounts falling due within one year
13
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after more than one
year
14
Total net assets
Charity funds
Restricted funds
15
Unrestricted funds
15
Total funds		 2,638
346,116
140,391
489,145
(61,777)		 2021
£
804,923
427,368
1,232,291
(94,039)
1,138,252
1,500
1,136,752
1,138,252		 827
106,564
177,303
284,694
(37,901)		 2020
£
850,569
246,793
1,097,362
(117,134)
980,228
32,302
947,926
980,228

The entity was entitled to exemption from audit under section 477 of the Companies Act 2006. The members have not required the entity to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006. However, an audit is required in accordance with section 145 of the Charities Act 2011.

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Jonathan Shaw, Chair

(Chair of Trustees)

Justine Sloover, Trustee (Trustee)

Date: 15/09/2022

The notes on pages 12 to 24 form part of these financial statements.

Page 10

The Blackthorn Trust

(A company limited by guarantee)

Statement of cash flows For the year ended 31 December 2021

Note
Cash flows from operating activities
Net cash used in operating activities
17
Cash flows from investing activities
Dividends, interests and rents from investments
Purchase of tangible fixed assets
Net cash provided by/(used in) investing activities
Cash flows from financing activities
Cash inflows from new borrowing
Repayments of borrowing
Net cash (used in)/provided by financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
18		 2021
£
(22,690)
3
-
3
-
(14,225)
(14,225)
(36,912)
177,303
140,391		 2020
£
109,631
19
(13,334)
(13,315)
50,000
(9,212)
40,788
137,104
40,199
177,303

The notes on pages 12 to 24 form part of these financial statements

Page 11

(A company limited by guarantee)

The Blackthorn Trust

Notes to the financial statements For the year ended 31 December 2021

1. General information

The Blackthorn Trust is a charitable company limited by guarantee, registered in England and Wales. Its registered office is Blackthorn Medical Centre, St Andrews Road, Maidstone, Kent, ME16 9AN.

The nature of the charity's operations, and its principal activity is to relieve sickness, promote good health, advance the education and self-development of people with severe and/or chronic illness or disability (either physical or mental) by providing medical, educational and rehabilitation services, developed out of the perspective of Anthroposophy.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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 March 2018), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Blackthorn Trust meets the definition of a public benefit entity under FRS 102.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The currency used in the financial statements is Pound Sterling.

2.2 Going concern

The trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charitable company to continue as a going concern. The trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements.

The trustees have carefully considered whether the charitable company will have adequate resources to continue in operational existence for the foreseeable future, by reviewing both income and expenditure and cash flow projections for the coming twelve months. They have concluded that these indicate a reasonable expectation that the charity will continue as a going concern for year ahead from the date of approval of these financial statement, and that it therefore remains appropriate to continue to adopt the going concern basis of accounting in preparing the financial statements.

2.3 Income

All income is recognised once the charitable company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the charitable company has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the charitable company, can be reliably measured.

Grants are included in the Statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

Page 12

(A company limited by guarantee)

The Blackthorn Trust

Notes to the financial statements For the year ended 31 December 2021

2. Accounting policies (continued)

2.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Expenditure on raising funds includes all expenditure incurred by the charitable company to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the charitable company's objectives, as well as any associated support costs.

All expenditure is inclusive of irrecoverable VAT.

2.5 Government grants

Grants are credited to the Statement of financial activities as the related expenditure is incurred.

2.6 Tangible fixed assets and depreciation

Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

At each reporting date the charitable company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined to be the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method. Land is not depreciated.

Depreciation is provided on the following bases:

Permanent buildings - 50 years straight line
Temporary buildings - 10 years straight line
Specialist equipment - 10 years straight line
Plant and machinery - 3 years straight line
Fixtures and fittings - 5 years straight line

2.7 Debtors

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

Page 13

(A company limited by guarantee)

The Blackthorn Trust

Notes to the financial statements For the year ended 31 December 2021

2. Accounting policies (continued)

2.8 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the charitable company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.

2.9 Financial instruments

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

2.10 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charitable company and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charitable company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

3. Income from donations and legacies

Donations
Legacies
Grants
Government grants
Analysis of funds for 2020		 Unrestricted
funds
2021
£
44,410
289,333
84,991
-
418,734
160,365		 Restricted
funds
2021
£
30,276
-
61,480
14,937
106,693
292,042		 Total
funds
2021
£
74,686
289,333
146,471
14,937
525,427
452,407		 Total
funds
2020
£
120,046
-
257,973
74,388
452,407

Page 14

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

3. Income from donations and legacies (continued)

The government grants income is claims made under the Coronavirus Job Retention Scheme. The Trust furloughed some of its staff and the funding received relates to staff costs included in note 7.

There are no unfulfilled conditions or contingencies attached to these grants.

4. Income from charitable activities

Medical, educational and rehabilitation services
Analysis of funds for 2020		 Unrestricted
funds
2021
£
201,618
185,368		 Total
funds
2021
£
201,618
185,368		 Total
funds
2020
£
185,368

5. Investment income

Bank interest
Analysis of funds for 2020		 Unrestricted
funds
2021
£
3
19		 Total
funds
2021
£
3
19		 Total
funds
2020
£
19

6. Analysis of expenditure on charitable activities

Summary by fund type

Medical, educational and rehabilitation services
Analysis of funds for 2020		 Unrestricted
funds
2021
£
376,746
285,772		 Restricted
funds
2021
£
148,291
245,617		 Total
2021
£
525,037
531,389		 Total
2020
£
531,389

Page 15

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

7. Analysis of expenditure by activities

Medical, educational and rehabilitation services
Analysis of expenditure for 2020
Analysis of direct costs		 Direct costs
2021
£
401,446
416,651		 Support costs
2021
£
123,591
114,738		 Total
funds
2021
£
525,037
531,389		 Total
funds
2020
£
531,389
Staff costs
Depreciation
Purchases
Co-workers and volunteers
Training and recruitment
Medical therapists materials
Publicity and events
Other staff costs
Repairs and maintenance
Rates and water
Light and heat
Cleaning, security and waste
Insurance
Technology
Printing, postage, stationery and telephone
Bank charges and interest
Sundry		 Total
funds
2021
£
218,942
45,643
22,759
5,905
6,392
389
3,735
5,146
33,766
4,755
8,130
14,187
7,412
9,435
10,713
1,748
2,389
401,446		 Total
funds
2020
£
210,575
62,309
16,310
6,542
1,058
489
2,788
6,260
47,946
11,956
8,959
12,301
7,107
8,782
9,998
1,894
1,377
416,651

Page 16

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

7. Analysis of expenditure by activities (continued)

Analysis of support costs

Staff costs
Light and heat
Insurance
Cleaning
Audit and accountancy
Legal and professional		 Total
funds
2021
£
98,217
390
963
97
9,937
13,987
123,591		 Total
funds
2020
£
93,134
331
924
140
9,972
10,237
114,738

8. Auditors' remuneration

2021 2020
£ £
Fees payable to the charitable company's auditor for the audit of the charitable company's
annual accounts 3,390 3,310
Fees payable to the charitable company's auditor in respect of:
All non-audit services not included above 5,974 7,810

9. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2020 - £NIL) .

During the year ended 31 December 2021, expenses totalling £ 855 were reimbursed or paid directly to 1 Trustee (2020 - £Nil) . The expenses were for various ad hoc miscellaneous office items, including refreshments and stationery.

10. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes		 2021
£
337,041
21,466
5,537
364,044		 2020
£
319,155
20,946
6,171
346,272

Page 17

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

10. Staff costs (continued)

The average number of persons employed by the charitable company during the year was as follows:

Operational charitable activities
Management and administration		 2021
No.
14
3
17		 2020
No.
13
3
16

No employee received remuneration amounting to more than £60,000 in either year.

Key Management Personnel

During the year, gross salaries, social security contributions and pension contributions made to these staff amounted to £145,101 (2020 - £135,699) . No other benefits were provided to these employees during the year.

11. Tangible fixed assets

Cost
At 1 January 2021
At 31 December 2021
Depreciation
At 1 January 2021
Charge for the year
At 31 December 2021
Net book value
At 31 December 2021
At 31 December 2020		 Freehold
property
£
1,442,934
1,442,934
628,414
35,740
664,154
778,780
814,520		 Plant and
machinery
£
80,101
80,101
73,042
4,094
77,136
2,965
7,059		 Fixtures and
fittings
£
217,261
217,261
188,271
5,812
194,083
23,178
28,990		 Total
£
1,740,296
1,740,296
889,727
45,646
935,373
804,923
850,569

Included in land and buildings used for direct charitable purposes is the part of the property used by The Blackthorn Centre medical practice. The trust and medical centre share facilities and staff, and work in an integrated way that achieves the aims of the charity and are indistinguishable for this particular purpose.

Page 18

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

12. Debtors

Trade debtors
Other debtors
Prepayments and accrued income		 2021
£
20,816
1,344
323,956
346,116		 2020
£
41,278
617
64,669
106,564

13. Creditors: Amounts falling due within one year

Other loans
Trade creditors
Other creditors
Accruals and deferred income		 2021
£
24,037
14,862
3,329
19,549
61,777		 2020
£
15,167
8,108
3,819
10,807
37,901

14. Creditors: Amounts falling due after more than one year

2021 2020
£ £
Other loans 94,039 117,134

The aggregate amount of liabilities payable or repayable wholly or in part more than five years after the reporting date is:

Payable or repayable by instalments
Other loans:		 2021
£
11,477		 2020
£
25,509

  1. A Bounce Back Loan (BBL) from NatWest Bank plc. The loan term is 6 years but includes a 12 month capital repayment holiday at inception. The BBL scheme is 100% government backed. The interest rate is fixed at 2.5% per annum. The amount outstanding at 31 December 2021 was £49,171.

  2. A loan from the Edna Linnell Charitable Trust, secured over the trust freehold land and buildings. The loan is interest free and repayments by monthly instalments. The loan is due to be repaid in full by May 2031 and the latest date the loan can be repaid by is 1 January 2034. The amount outstanding at 31 December 2021 was £53,477.

  3. An unsecured loan from Francis and Sarah Salway. The loan is interest free and repayments by monthly instalments. The loan is due to be repaid in full by September 2024. The amount outstanding at 31 December 2021 was £15,432.

Page 19

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

15. Statement of funds

Statement of funds - current year

Unrestricted funds
Designated funds
Medicine fund
Mistletoe therapy
Other designated funds
General funds
General income fund
Tangible fixed assets
Total Unrestricted funds
Restricted funds
Grants and donations
DWELL
The Shaw Trust
Awards for all
National Lottery Community Fund
Colyer Fergusson
Job retention scheme
Total of funds		 Balance at 1
January 2021
£
1,696
14,527
1,175
17,398
79,959
850,569
930,528
947,926
6,482
-
-
-
25,820
-
-
32,302
980,228		 Income
£
-
-
-
-
623,253
-
623,253
623,253
18,226
16,491
32,040
10,000
-
15,000
14,936
106,693
729,946		 Expenditure
£
-
(14,527)
-
(14,527)
(363,458)
(45,646)
(409,104)
(423,631)
(24,708)
(27,287)
(32,040)
(10,000)
(25,820)
(13,500)
(14,936)
(148,291)
(571,922)		 Transfers
in/out
£
Balance at 31
December 2021
£
-
1,696
-
-
-
1,175
-
2,871
(10,796)
328,958
-
804,923
(10,796)
1,133,881
(10,796)
1,136,752
-
-
10,796
-
-
-
-
-
-
-
-
1,500
-
-
10,796
1,500
-
1,138,252		 Transfers
in/out
£
Balance at 31
December 2021
£
-
1,696
-
-
-
1,175
-
2,871
(10,796)
328,958
-
804,923
(10,796)
1,133,881
(10,796)
1,136,752
-
-
10,796
-
-
-
-
-
-
-
-
1,500
-
-
10,796
1,500
-
1,138,252
2,871
328,958
804,923
1,133,881
1,136,752
-
-
-
-
-
1,500
-
1,500
1,138,252

Page 20

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

15. Statement of funds (continued)

Designated funds

Designated funds at the balance sheet date represent allocations of general funds to allow for anticipated future development and maintenance, including the physic garden, medical centre and for mistletoe therapy.

Restricted funds

The DWELL fund was received in the year for a Diabetes and Wellbeing four year project. This was part funded in the year by the EU Interreg 2 Seas Programme (to pay 60% of all project costs). This was fully spent in the year.

The Shaw Trust funding has been utilised for various activities to support mental health provision.

The funding from the National Lottery Community Fund is for a specific Coronavirus Community Support programme..

The funding from the Kent Community Foundation is part of their Resilience Grants Fund. It has funded staff costs to enable development of the social enterprise cafe.

The Colyer Fergusson Charitable Trust funding has supported a pilot project to provide one year placements for two groups of twelve young people who are transitioning from Children's Mental Health Services.

Page 21

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

15. Statement of funds (continued)

Statement of funds - prior year

Unrestricted funds
Designated funds
Medicine fund
Mistletoe therapy
Physic garden
Other designated funds
General funds
General income fund
Tangible fixed assets
Total Unrestricted funds
Restricted funds
Grants and donations
DWELL
The Shaw Trust
National Lottery Community Fund
Kent Community Foundation
Colyer Fergusson
Total of funds		 Balance at
1 January 2020
£
1,835
14,527
3,094
1,425
20,881
(39,210)
899,544
860,334
881,215
21,486
-
-
-
-
-
21,486
902,701		 Income
£
-
-
-
-
-
433,825
-
433,825
433,825
20,576
61,428
35,800
49,850
15,000
35,000
217,654
651,479		 Expenditure
£
(139)
-
(718)
(250)
(1,107)
(264,919)
(62,309)
(327,228)
(328,335)
(35,580)
(100,207)
(35,800)
(24,030)
(15,000)
(35,000)
(245,617)
(573,952)		 Transfers in/out
£
-
-
(2,376)
-
(2,376)
(49,737)
13,334
(36,403)
(38,779)
-
38,779
-
-
-
-
38,779
-		 Balance at
31 December
2020
£
1,696
14,527
-
1,175
17,398
79,959
850,569
930,528
947,926
6,482
-
-
25,820
-
-
32,302
980,228

Page 22

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

16. Analysis of net assets between funds

Analysis of net assets between funds - current year

Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
Total
Analysis of net assets between funds - prior year
Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
Total		 Unrestricted
funds
2021
£
804,923
487,645
(61,777)
(94,039)
1,136,752
Unrestricted
funds
2020
£
850,569
252,392
(37,901)
(117,134)
947,926		 Restricted
funds
2021
£
-
1,500
-
-
1,500
Restricted funds
2020
£
-
32,302
-
-
32,302		 Total
funds
2021
£
804,923
489,145
(61,777)
(94,039)
1,138,252
Total
funds
2020
£
850,569
284,694
(37,901)
(117,134)
980,228

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

Net income for the year (as per Statement of Financial Activities)
Adjustments for:
Depreciation charges
Dividends, interests and rents from investments
Decrease/(increase) in stocks
Increase in debtors
Increase/(decrease) in creditors
Net cash provided by/(used in) operating activities		 2021
£
158,024
45,646
(3)
(1,811)
(239,552)
15,006
(22,690)		 2020
£
77,527
62,309
(19)
2,807
(29,798)
(3,195)
109,631

Page 23

The Blackthorn Trust

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 December 2021

18. Analysis of cash and cash equivalents

Cash in hand
Analysis of changes in net debt
Cash at bank and in hand
Debt due within 1 year
Debt due after 1 year		 At 1 January
2021
£
177,303
(15,167)
(117,134)
45,002		 Cash flows
£
(36,912)
(14,225)
-
(51,137)		 2021
2020
£
£
140,391
177,303
Other non-
cash changes
At 31
December 2021
£
£
-
140,391
5,355
(24,037)
23,095
(94,039)
28,450
22,315		 2020
£
177,303
22,315

19. Analysis of changes in net debt

20. Operating lease commitments

At 31 December 2021 the charitable company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years		 2021
£
3,154
280
3,434		 2020
£
5,279
3,506
8,785

21. Related party transactions

The charitable company has not entered into any related party transaction during the year, nor are there any outstanding balances owing between related parties and the charitable company at 31 December 2021.

Page 24