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2020-09-30-accounts

(A company limited by guarantee)

REPORT AND FINANCIAL STATEMENTS For the year ended 30 September 2020

Charity Number 1125877 Company Number 06681475

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

Contents Page
Trustees' Annual Report 1 to 19
Independent Auditors' Report 20 to 22
Consolidated Statement of Financial Activities 23
(including income and expenditure account)
Consolidated Balance sheet 24
Consolidated Statement of Cash Flows 25
Notes to the financial statements 26 to 41

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

The trustees are pleased to present their annual report together with the financial statements of the Charity for the year ended 30 September 2020, which are also prepared to meet the requirements of a Directors’ report and accounts for Companies Act purposes.

The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association and Accounting and, Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard’s applicable to the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

Chair’s Report

This report covers a timespan that starts on October 1st, 2019, which seems like a lifetime ago.

At that time, Connected Voice was embarking on an exciting period of renewal – the name of the organisation had just changed from Newcastle Council for Voluntary Service to Connected Voice and Lisa Goodwin was starting on her first day as our new Chief Executive. Between October 2019 and March 2020, Connected Voice continued to be the voice of the sector, challenging, enabling, supporting and helping. Lisa busily set about listening and learning and beginning to shape the direction for the organisation. Then in March 2020 everything changed.

The immediate focus for the organisation at that moment was, as you would expect, to understand the needs of those we support. In a matter of days, Connected Voice went from being a physical organisation in the Higham House office space to a virtual organisation dispersed across the region, and worked diligently to find out what was needed and delivered it. That might have been Connected Voice Business Services being the reliable steward of how to furlough staff through our payroll service. Or Connected Voice Haref working on translating government advice into the many languages of the communities of Newcastle and Gateshead. Or Connected Voice Advocacy making sure that the voices of vulnerable people were heard when it mattered most. Or Connected Voice Support and Development making sure that charities had the support they needed on emergency fundraising, health and safety, governance and so much more.

And with so much need, Connected Voice partnered with Newcastle City Council on CityLife Line, and delivered support to over 2,700 residents. Together, we raised funds of over £50,000 for 13 charities to support residents. We lobbied for and distributed £270,000 of core funding support from North of Tyne Combined Authority to 19 charities in Newcastle. We worked with Gateshead community organisations to secure additional core funding for them and support their community response. Spring and Summer 2020 saw a surge in voluntary work, through informal as well as formal channels, and neighbours helped neighbours as best they could. At the same time, significant conversations happened globally, nationally and locally inspired by Black Lives Matter. That was a vital reminder that even when this pandemic subsides, there are major issues as a society we have to face, including structural inequality, prejudice in all its forms, poverty and climate emergency.

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

In my report next year, I will cover from October 2020 onwards, which includes the devastating events of December and January, when so many more lives were lost directly or indirectly to the pandemic – and of course I hope to be writing about better days from Spring 2021 onwards.

In closing I want to offer some words of thanks. First, I want to thank the staff of Connected Voice, both past and present, who have adapted to the extraordinary circumstances so well. Next, I want to thank my fellow trustees and within this particular mention must be made of Steve Nash and Kate Israel who have served for many years and whose wisdom and insight have been invaluable to the organisation, to the Board and to me, personally. Last, but not least, I want to thank the voluntary sector of Newcastle and Gateshead and the many partners who have shown such support to the sector in these last 12 months – you have made such an extraordinary difference to the lives of the people who need it most in the most difficult year. You do it without fanfare and without publicity, but you do it day in and day out because you simply believe it’s the right thing to do, and for that you deserve the biggest thanks of all.

Simon Elliott,

Chair, Connected Voice

OBJECTIVES AND ACTIVITIES

The objectives of Connected Voice are, ‘to promote any charitable purpose for the benefit of any locality or community in the County of Northumberland and in the neighbourhood of the River Tyne.’

The trustees confirm that they have complied with the duty in Section 4 of the Charities Act 2006 having due regard to the general guidance of the Charity Commission with respect to public benefit when reviewing the Connected Voice aims and objectives and in planning future activities. In particular, the trustees considered how the planned activities would contribute to the aims and objectives they have set. There has been a review of the support given to voluntary and community organisations to improve effectiveness and efficiency, including the introduction of some new services across Newcastle and Gateshead. Our advocacy services extend across the wider North East area.

Connected Voice has the following values:

We amplify voices

From individuals to organisations, we believe everyone has a right to be heard. Trusted to listen, understand and advocate, we strive for excellence. We’re open and honest, we stick by people and give our support to ensure their voices are heard.

We champion equality

We believe that diversity should be celebrated and valued, and everyone deserves equality.

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

Working towards a fairer future for all, we won't stand still. By making an impact on causes big and small, we want to improve the quality of life across the region.

We inspire change

Courageous, resourceful and determined, we will challenge unfairness and ask difficult questions. Working effectively and accountably to instil confidence. We aim to become stronger and more sustainable to inspire positive and lasting change throughout our community

We support action

We understand from our own experiences the challenges people face. We truly value people and we won't judge or dictate. Leading independently and side by side with our communities and partners, we share our resources, skills and expertise to enable people to take meaningful action.

We connect people

At the heart of voluntary and community action for 90 years, we are immersed and rooted in the North East. We work collectively and inclusively to connect, grow and strengthen our society. We are warm and approachable, and we create opportunities to exchange ideas, learn from and empower one another

Today and for the Future

Our overall strategic aim is to improve quality of life through a broad programme of voluntary action recognising that priority should be focussed on the most disadvantaged communities. During 2019-20 we contributed to this aim in the following ways:

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(A company limited by guarantee)

TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

Our Volunteers

Connected Voice values the unique contribution of our volunteers and the added value they bring. It is the intention of Connected Voice that all volunteers are supported, respected and valued. We encourage volunteers to fulfil their potential and aim to provide meaningful roles where both the organisation and the volunteer mutually benefit.

We were delighted to be able to offer some of our advocacy volunteers permanent job roles. During the year the board of trustees approved a new staff volunteering policy of two days paid time off per year to enable staff to take advantage of local volunteering opportunities. We have policies and procedures in place to support our volunteers, and work closely with our partner, Volunteer Centre Newcastle, to ensure that best practice is applied with respect to volunteering.

Our staff

We recognise the value and expertise of our staff, and we strive to put in place appropriate support as a good employer. We have a range of staff engagement and involvement activities, including a Staff Council and Ideas Forum. We hold the Better Health at Work award, and achieved Gold level during the year. We are an accredited Living Wage Employer. We regularly hold ‘Time to Talk’ mental health sessions for staff and we retained our Investors In People accreditation. We continued to employ an apprentice, and plan to employ another young person as soon as is practical, through the government Kickstart scheme. During this year we signed up to the North of Tyne Good Work Pledge, making commitments to support the five pillars of the scheme.

ACHIEVEMENTS AND PERFORMANCE

Connected Voice enables and promotes voluntary and community action, providing voluntary sector organisations with services that enable them to be well run, fulfil their aims and objectives and provide them with the opportunity to extend their influence in Newcastle and Gateshead through the sector’s collective voice.

We do this by providing expert advice on governance, on the policies and procedures that voluntary organisations need to have to ensure they are safe and securely run, and by providing funding advice based on experience and knowledge of what funders are seeking in a good application.

We hold regular events to keep the sector informed about new initiatives, and to enable them to learn from and connect with each other. We provide opportunities for VCSE organisations to increase their reach and influence. Connected Voice acts as a broker for VCSE involvement, enabling engagement directly with public sector agencies and acting as a voice for the sector within multi-sector partnerships. During this year we began to re-focus our representation and voice work to ensure we are making the most of the limited time we

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

have available to do representation work, and that we are doing this work in partnership with others wherever practical.

We engage in area-wide, sub-regional, regional and national activities as we want to be able to promote, share and deliver best practice. We work with a wide range of public sector partners – local authorities, NHS trusts, Clinical Commissioning Groups (CCG), the Office of the Police and Crime Commissioner, Newcastle and Northumbria Universities and many others.

Our Haref project is a network of 80+ BAME-led community organisations who work together to tackle health inequalities. Haref saw a vital increase in capacity during the year with reinstatement of CCG funding and success in generating income in other areas. The work of Haref members in highlighting the disproportionate effects of the pandemic on BAME communities was vital, and we continue to raise the voices of those communities, and to share key public health messages, vaccinations information, etc.

Connected Voice Advocacy underwent a restructure during the year, leading to the loss of some long-serving staff. We thank them for their excellent service and wish them all the best for the future. The new structure for the advocacy team is more cost effective and puts us in a stronger position for the successful delivery of future contracts, while providing the same level of support to our beneficiaries. Our Hate Crime advocacy work and Families Through Crisis partnership work has continued at pace. We have undertaken a review and refresh of our DIY Advocate app and look forward to using it with an increased number of people over the coming year.

We focused our efforts on increasing income from our charged-for services, creating a new Commercial Development Executive role, which works across all of our teams to maximise our ability to generate income. Here is how we performed against the plans we outlined in last year’s annual report:

The Connected Voice brand and values are now embedded across the family of services. We refer to our values in our events and publications.

We have over-achieved on outputs for both contracts. One contract has been re-secured for a further year, and the other is still awaiting confirmation.

We recruited a Commercial Development Executive who has developed our paid-for offer and is working across all teams to develop paid-for services. We have a commercial team which meets regularly to review progress.

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(A company limited by guarantee)

TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

We have developed stronger partnerships as a result of the pandemic, and we have been proud to support a range of new partnerships with local members during the year that have emerged as a result of the pandemic. We worked on a new partnership with North Tyneside VODA and Northumberland CVA which will begin delivery of a new five year programme of VCSE support later in 2021.

We have continued to provide practical support and training sessions for the sector on this theme. Our staff team meet regularly to look at our climate action plan and support positive changes within the organisation.

This happened at a greater speed than expected due to the fast transition to home-working during the first lockdown. We now have in place new software and systems to make remote and paperless working easier. We have provided regular training and support to our staff to make the transition. We have been proud to offer networking events and training digitally, and this has increased take up.

Our financial position remains stable, and through the focus on paid-for services we are starting to see a return on investment in commercial development activity.

Feedback on advocacy services during the year has remained excellent, and we maintain our quality mark for the service.

We have seen a higher than usual level of staff turnover during the past year due to the senior management review, retirement and some staff moving on to new opportunities. We have continued to ensure we have a staff team which is appropriately experienced and qualified to carry out their roles. We regularly review training and development opportunities with each staff member.

A review was agreed in March 2020 and has now been fully implemented.

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(A company limited by guarantee)

TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

An independent review of staffing within Connected Voice Business Services was carried out and this has led to changes to three roles within the team, to allow for additional income generation capacity.

Connected Voice Support and Development

Our Support and Development team worked with 294 organisations in Newcastle and Gateshead across the year, providing advice and guidance on topics including governance, funding sources, legal structures, policies and procedures, and organisational development. As part of this service, the team helped organisations secure grant funding worth approximately £1.2 million .

We organised 11 networking events. Themes covered gang culture and youth crime with guest speaker Kim McGuiness (Northumbria Police and Crime Commissioner); inspiring women: showcasing women and girls’ organisations across Newcastle and Gateshead, and attended by over 120 delegates. At the beginning of the COVID-19 pandemic we made a move to virtual events with a climate emergency focused event on reducing waste, saving money and acting locally. The move to virtual events has increased attendance from our members, and we plan to have a mix of virtual and in person events in the coming years as we begin to move out of the pandemic.

The team delivered 29 training sessions on topics including Good Governance, Good Fundraising, Cyber Security, Climate Emergency and General Data Protection Regulations. The Team also organised a Newcastle and Gateshead Virtual Funding Fair hosted on Connected Voice’s website and featuring videos from VCSE organisations and local and national grant funders.

We managed, developed and launched version four of the OurGateshead website, a resource for people to find out about activities and services in Gateshead, which received 147,048 visits and 250,684 page views.

In this period the COVID-19 pandemic hit, and the team were proactive in working with Newcastle City Council and Gateshead Council to coordinate response efforts across our area, and to provide organisations with up to the minute public health messages, news on emergency funding programmes, and guidance on safeguarding and volunteering safely. We shifted to providing intensive fundraising support – drafting applications to ensure organisational sustainability while they focused on delivering frontline services.

We worked collaboratively with Newcastle City Council to develop and administer the CityLife Line website supporting vulnerable residents in the city. In addition, we raised over £50,000 through the CityLife Line Fund Appeal, which we distributed during the summer of 2020 to 19 VCSE Newcastle organisations to support people with food and essential items. We also led on the VCSE resilience programme, supporting key organisations with a mix of core funding and consultancy support to allow them to re-model or re-think services in light of the pandemic.

Premium Services

We increased our income generation through premium charged for services during the year, seeing an increase in the number of organisations using our services to undertake organisational reviews, and to complete Charity and Community Interest Company registrations.

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

Representation

During this period, we continued to ensure representation of the sector throughout Newcastle and Gateshead. We ensured the sector had a voice and represented at key meetings including health and wellbeing boards, adults and children’s safeguarding boards, community safety boards, and various strategic multi agency partnerships across Newcastle and Gateshead.

Information

We are a key source of information for the voluntary and community sector in Newcastle and Gateshead. In the reporting period we:

Connected Voice Haref

Haref works with Black, Asian and Minority Ethnic (BAME) communities to identify their key issues around health and improve the health information available to them. We help health services gain a better understanding of what communities need and we build confidence within communities so they can talk to health services about their cultural needs. Key achievements were:

Haref Network

Haref Allies

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

COVID-19 response

Ramadan calendars with safe fasting messages

BAME Cultural competency Training

Expanding the Haref team

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

Connected Voice Business Services

Our trading subsidiary Connected Voice Business Services Ltd continued to provide payroll, accounting and bookkeeping services, supporting over 200 VCSE organisations across the region.

During the year CVBS supported a large number of organisations to make the switch to digital finance, providing training as QuickBooks Pro certified advisors. We also supported organisations with furlough, providing regular information and one to one advice, and managing HMRC claims under the Coronavirus Job Retention Scheme for 40 of our payroll customers.

Connected Voice Advocacy

We are proud that during 2019/20 Connected Voice Advocacy has continued to deliver all of its services with no interruption despite the impact of the global pandemic. This has led to changes to our delivery with some advocacy being delivered remotely. Advocates have continued to offer telephone and video call support and have attended some meetings or court hearings virtually. Essential statutory advocates have continued to see people in hospitals and care homes where necessary following robust risk assessments and with safety measures in place. Advocates have been creative in delivering services continuing to stand shoulder to shoulder with more people than ever before to provide them with support to have their views heard and needs met. Advocates worked together with service users to achieve significantly improved independence, choice and control, engagement with services, access to services and health and wellbeing.

The key challenges this year have been to ensure our services were accessible to all and that those who were digitally excluded still received a quality advocacy service. We focused our attention to ensure people received the support they needed in the pandemic and that decisions made on behalf of people were done in a personcentred way avoiding any blanket decision making or human rights breaches.

The service noticed an increase in need for support for issues related to lockdown. The referrals for support with safeguarding vulnerable people, mental health issues, domestic violence, neighbour disputes and hate crime have risen considerably during the year. We saw a rise in the need for access to crisis services such as Food Banks, and advocacy around welfare rights and homelessness.

This year our service was funded to deliver community based advocacy in the following areas:

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

We provided statutory advocacy for Gateshead Local Authority, Mitford Unit the National Autism Inpatient Service, and various local authorities with out of area placements in the North East of England in the following roles:

Using the information collated from our grassroots advocacy, we were able to campaign and advocate for change in the following areas:

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

o Better commissioning processes with the Association of Directors of Adult Social Services in England (ADASS)

This year we:

Acknowledgements

Connected Voice records its appreciation to all our funders and supporters.

Connected Voice is an active member of NCVO, NAVCA, ACEVO, the Community Foundation (Tyne, Wear and Northumberland), the Advocacy Action Alliance, and OPAAL (Older People’s Advocacy Alliance) We work closely with our sister infrastructure organisations across the North East and we are members of and contribute to a number of significant and appropriate local partnerships, initiatives, boards and committees.

Social Value

Connected Voice tries to act in a socially responsible manner. We use other VCSE facilities and services wherever possible. We use sustainable products as far as possible. We try to use local suppliers. We use fair trade products. We take climate change seriously and we aim to reduce our environmental impact through the development of a climate change action plan, and regular staff meetings on this theme. The ratio of pay of the lowest earner to the pay of the top earner will never exceed 1:5. We are a Living Wage employer, accredited by the Living Wage Foundation, including apprentices and interns. During the year we have benefitted from ten active trustees who all volunteered their skills, knowledge and expertise and linked us to helpful networks and useful partners.

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

CONNECTED VOICE – STRATEGIC AIMS 2020-2021

We have agreed the following strategic aims for the year ahead:

Each team has a work plan including SMART objectives which link to the overall objectives above.

FINANCIAL REVIEW

Connected Voice bids for funds via statutory sources and charitable trusts and foundations, and generates income through paid-for services. A substantial part of our income comes through contracts. Connected Voice is assiduous in looking for appropriate sources of funding, and as an organisation responsible for advising the voluntary sector on funding sources is well placed to know what is available. We use a full cost recovery model which enables us to estimate the actual costs of a service and its true cost to Connected Voice. As the value of public sector contracts continues to decrease, this is an essential tool for us to use in deciding whether or not to bid for a service.

Senior managers and the Treasurer meet to set budgets annually and during the course of the reporting period the management team have been using a new forecasting template which has helped to improve financial management.

We hold four key contracts (with Newcastle Council, Gateshead Council, and Newcastle Gateshead CCG) and anticipate that one of these will go out to tender in the 21-22 financial year. We have had extensions confirmed on two contracts due to the pandemic meaning it has not been practical to consult and re-commission. We keep up to speed on contract publication dates and will plan our workload accordingly.

Our trustees are clear about our aims and mission and that we need to be sustainable, but keep to our vision and values. Connected Voice will not enter into partnerships and contracts which are contrary to our aims and objectives and we recognise that we need to stay within our agreed budget limits for the year.

Assets

The charity’s assets are being held to enable them to carry out its objectives. The movements in fixed assets during the year are set out in note 23 to the accounts.

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

Trading activities

The results of Connected Voice Charity Business Services Ltd, our trading company, are summarised in note 25 of the accounts. A surplus was generated during the period of £7,729 (2019: £13,586)

Financial dependency

The charity in order to meet its objectives is financially dependent on grants from the Local Authorities, government programmes and charitable trusts.

Additional funds are derived from smaller grants and charitable donations made by a variety of organisations and individuals.

Funds held as custodian trustee on behalf of others

Connected Voice and its subsidiary hold monies on behalf of other organisations. Connected Voice Business Services provides payroll and bookkeeping services to a number of small voluntary organisations and holds monies for this purpose. Further detail is given in note 31.

Reserves Policy

The trustees regularly review levels of reserves and have agreed that reserves equivalent to between three and five months running costs are appropriate for the organisation.

Three months running costs would equate to around £316,000 and five months £527,000, based on the accounts for the 12 months to 30 September 2020. The reserves should not fall below this level in order to support good governance of the organisation.

The Reserve Policy allows for the use of funds in excess of the level required to be spent in furtherance of the organisation’s vision and mission. Any proposal should be presented as an individual business case to the trustees for review and approval.

As at 30 September 2020 free reserves (unrestricted funds not invested in tangible fixed assets) are £742,276, (2019: £725,255) an increase of £17,021. The trustees monitor the level of reserves regularly and the Reserves Policy is reviewed annually with the support of the Finance Sub Group. The trustees have agreed to designate £68,951 of reserves towards further business development work, and £60,000 towards digital transformation of services, including a new digital telephony system and cloud storage and £21,049 towards additional costs arising from operating during COVID-19 restrictions.

Review of transactions and financial position

The consolidated balance sheet on page 24 indicates that at 30 September 2020 the total funds of the group are £938,086 (2019: £829,823). This was represented by tangible fixed assets of £25,257 (2019: £2,316), investments of £380,160 (2019: £397,985) and net current assets of £477,319 (2019: £429,522). Unrestricted funds of £748,860 (2019: £737,925) represent the reserves available to the organisation to fulfil its many

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

existing commitments over the long term. Restricted funds of £189,226 (2019: £91,898) represent specific earmarked projects as detailed in note 33 of the accounts.

Investment income

Connected Voice is usually in the position of having to fund a considerable proportion of its core running costs each year and the income it derives from its invested reserves is an essential component of that strategy, alongside donations, earnings and other provisions.

Tilney are the appointed wealth investment organisation managing the Connected Voice investment portfolio. The Finance Sub-Group monitors the performance of the portfolio, reviewing the quarterly financial investment reports provided by Tilney and reporting into the board meetings. Trustees support the investment objective for Connected Voice which is to yield the best financial return within the level of risk considered to be acceptable. This return can then be spent on the charity’s aims and further continuance of its objectives. The trustees are comfortable that the investments held are a diversified portfolio in order to mitigate the capital risk. The Finance Sub-Group has put forward an Investment Strategy Policy. The investment balances as at the 30 September 2020 are £380,160 (2019: £397,985). No additional funds were added to the investment portfolio in the year, all dividends and income are reinvested.

Political contributions

The charity made no political contributions.

MEMBERS OF THE BOARD OF TRUSTEES AND PROFESSIONAL ADVISORS

Registered Charity Number 1125877 Company Number 06681475 Trustees Simon Elliott Chair Anne Bonner (Term ended 2 March 2020) Nitin Shukla Vice Chair Steve Nash Kate Israel Martin Horrocks Treasurer John Litherland (Resigned 2 March 2020) Dawn Redhead (Appointed 29 April 2020 and Resigned 31 December 2020) Rosie Lewis (Appointed 29 April 2020) Elaine Slater (Appointed 29 April 2020) Paula Park (Appointed 29 April 2020)

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TRUSTEES ANNUAL REPORT For the year ended 30 September 2020

Chief Executive Lisa Goodwin
Principal Office Higham House
Higham Place
Newcastle upon Tyne
NE1 8AF
Auditors Haines Watts
17 Queens Lane
Newcastle upon Tyne
NE1 1RN
Bankers Yorkshire Bank Plc
29-31 Pilgrim Street
Newcastle upon Tyne
NE1 6RL
Unity Trust Bank Plc
Four Brindley Place
Birmingham
B1 2HB
Investment Manager Tilney
Private Wealth Management
130 St Vincent Street
Glasgow
G2 5SE

STRUCTURE, GOVERNANCE AND MANAGEMENT

The charity’s full name is Connected Voice. It is an incorporated charity registered with the Charity Commission (number 1125877) and a company limited by guarantee (number 06681475).

Governing documents

The charity’s governing documents are its Memorandum and Articles of Association.

Connected Voice is an independent charity working with the voluntary sector in Newcastle. It is run by a board of trustees elected annually by its member organisations, and by co-opted members. The Board controls the direction and policy of the work, and met ten times during this financial year. It holds a special business planning meeting with senior managers, at least once a year, in order to define the priorities for the coming year.

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Connected Voice is a membership organisation with 750 members as of September 2020.

Recruitment of trustees

Trustees are elected from the membership annually. Notice is sent to all members and if a ballot is required it is conducted by post prior to the Annual General Meeting. Trustees may only serve for a set period of time. The skills and experience of existing trustees are audited annually and new trustees are recruited in order to complement the existing trustees ensuring a wide set of skills and knowledge is reflected in the overall board. If the Board feels there are particular skills lacking, they are able to promote these during the recruitment process. The governance document allows for co-opted trustees so that specialist skills can be brought onto the board. The Chair has experience of business and Human Resources and is not from the voluntary sector, although he chairs another voluntary organisation. The treasurer is a qualified accountant who works in the public sector.

All trustees have a comprehensive induction session with the Chief Executive. They also complete a form to assess any relevant training they may need and these needs are met as far as is practical. Trustees are offered opportunities to find out more about Connected Voice and the voluntary and community sector in Newcastle and Gateshead, as well as national issues affecting voluntary organisations. Trustees receive a full induction pack including examples of best practice and guidance produced by the Charity Commission. Trustees are encouraged to be fully involved in the work of Connected Voice. Annually, the Chair carries out a confidential interview with each trustee to identify any challenges, concerns and priorities. These are collated into a single document and discussed openly at Board.

Organisational structure

The board of trustees, which can have up to twelve members, has control of the charity, including its property and its funds. The Board normally meets five times per year and there are two sub groups covering finance, and advocacy, which report into the Board. Task and finish groups of the trustees are also created as necessary – this year there were Task and Finish groups for trustee recruitment, and representation and voice. The Chief Executive is appointed by the trustees to manage the charity and has delegated authority for all operational matters.

Pay policy for senior staff

The Chief Executive implements the pay policy on an ongoing basis and is responsible for pay reviews and setting salaries for senior staff. The Board reviews the Chief Executive’s salary annually and is responsible for making any decisions about remuneration of the Chief Executive. Remuneration is benchmarked against similar roles within voluntary and community sector organisations of similar size in the North East. The need for major changes to the salary structure may be informed by a number of factors such as changes to the organisation’s annual turnover and the number of employees.

Connected Voice has a Remuneration Policy which covers all staff. Senior staff are not treated differently to other staff and all benefits (including pension contributions) are applied equally across all staff groups.

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Related parties and co-operation with other organisations

None of the trustees receive remuneration or other benefit from their work with the charity. Any connection between trustees or senior managers of the charity with suppliers must be disclosed to the full Board of trustees. In the current year no such related party transactions were reported. Trustees are asked to declare their interests before each board meeting and there is a Register of Interests.

The charity’s wholly owned subsidiary , Connected Voice Business Services Ltd , was established to operate as a commercial accountancy service and gift aids all of its profits to the charity (see note 25 to the accounts).

Risk management

The trustees have examined the major strategic, business and operational risks which the charity faces and confirm that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks. The Board review these risks on a regular basis and a full report is discussed at a Board meeting annually where mitigating actions identified and taken. Health and Safety information is presented on a quarterly basis to the Board.

Indemnity insurance

The charity has Professional Indemnity Insurance cover in respect of the Trustees and Officers of the charity.

TRUSTEES’ RESPONSIBILITIES STATEMENTS

The charity trustees are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

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

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

In so far as the trustees are aware:

Approved by the board of trustees on ............................... and signed on behalf by: 19/04/2021

....................................

Simon Elliott – Chair

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CONNECTED VOICE

(A company limited by guarantee)

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF CONNECTED VOICE For the year ended 30 September 2020

Opinion

We have audited the financial statements of Connected Voice (the ‘charitable company’) and its subsidiary (the group’) for the period ended 30 September 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of (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 charitable company 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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

However, not all future events or conditions can be predicted. The COVID-19 viral pandemic is one of the most significant economic events for the UK with unprecedented levels of uncertainty of outcomes. It is therefore difficult to evaluate all of the potential implications on the charitable company’s trade, customers, suppliers and wider economy. The trustees’ view on the impact of COVID-19 is disclosed in the accounting policies note 2.2.

20

CONNECTED VOICE

(A company limited by guarantee)

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF CONNECTED VOICE For the year ended 30 September 2020

Other information

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

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that 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 the audit:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report.

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

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 18-19 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

21

CONNECTED VOICE (A company limited by guarantee)

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF CONNECTED VOICE For the year ended 30 September 2020

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 group’s and parent 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.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed auditor under the Companies Act 2006 and report in accordance with this Act.

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

Use of Our Report

This report is made solely to the 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 auditor’s 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.

Donna Bulmer BA (Hons) ACA (Senior Statutory Auditor) For and on behalf of Haines Watts

Statutory Auditors

19/04/2021

17 Queens Lane Newcastle upon Tyne NE1 1RN

22

CONNECTED VOICE

(A company limited by guarantee)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES

(INCLUDING SUMMARY INCOME & EXPENDITURE ACCOUNT)

For the year ended 30 September 2020

----- Start of picture text -----
Unrestricted Designated Restricted Total Total
Funds Funds Funds 2020 1-Apr-18 to
30-Sep-19
£ £ £ £ £
Income from:
Donations and legacies 8 24,570 - 26,735 51,305 49,896
Charitable activities 9
Grants and contracts 732,691 - 265,268 997,959 1,356,682
Chargeable services 148,779 - 860 149,639 160,998
Other trading activities 10
- -
Subsidiary income 179,272 179,272 250,196
- -
Other trading income 12,740 12,740 14,730
Investments 11 10,941 - - 10,941 19,071
Total income 1,108,993 - 292,863 1,401,856 1,851,573
Expenditure on:
Costs of raising funds 12
- -
Subsidiary expenditure 179,475 179,475 247,042
- -
Investment management fees 3,137 3,137 5,766
Charitable activities
Operation of the charity 13 845,448 51,529 196,179 1,093,156 1,647,759
Exceptional item
Pension deficit 14 - - - - 91,913
Total expenditure 1,028,060 51,529 196,179 1,275,768 1,992,480
Net income/(expenditure) before 80,933 ( 51,529 ) 96,684 126,088 ( 140,907 )
investment gains/(losses)
- -
( 17,825 ) ( 17,825 ) 16,747
Net (losses)/gains on investments 26
Transfers between funds ( 52,173 ) 51,529 644 - -
Net movement of funds 10,935 - 97,328 108,263 ( 124,160 )
Reconciliation of funds
Total funds brought forward 587,925 150,000 91,898 829,823 953,983
Total funds carried forward 598,860 150,000 189,226 938,086 829,823
----- End of picture text -----

The Statement of Financial Activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 26 to 41 form an integral part of these accounts.

23

Charity Number 1125877 Company Number 06681475

CONNECTED VOICE

(A company limited by guarantee)

BALANCE SHEET

As at 30 September 2020

Fixed assets
Tangible assets
23
Investments
24
Total fixed assets
Current assets
Stock and work in progress
27
Debtors
28
Cash at bank and in hand
Total current assets
Creditors:amounts falling due
within one year
29
Net current assets
Total assets less current liabilities
Total net assets or liabilities
Funds of the charity
Unrestricted income funds
Designated income funds
Restricted income funds
Total funds		 2020
2019
£
£
25,257
2,316
380,160
397,985
405,417
400,301
16,259
21,687
332,574
387,116
293,375
137,877
642,208
546,680
( 109,539 )
( 117,158 )
532,669
429,522
938,086
829,823
938,086
829,823
598,860
587,925
150,000
150,000
189,226
91,898
938,086
829,823
Group		 2020
2019
£
£
25,257
2,316
380,162
397,987
405,419
400,303
-
-
373,462
399,221
256,842
146,969
630,304
546,190
( 97,637 )
( 116,670 )
532,667
429,520
938,086
829,823
938,086
829,823
598,860
587,925
150,000
150,000
189,226
91,898
938,086
829,823
Charity

The notes on pages 26 to 41 form an integral part of these accounts.

These financial statements were approved by the Board on:

and are signed on its behalf by:

Martin Horrocks Treasurer

19/04/2021

24

Charity Number 1125877 Company Number 06681475

CONNECTED VOICE

(A company limited by guarantee)

CONSOLIDATED STATEMENT OF CASH FLOWS

For the year ended 30 September 2020

----- Start of picture text -----
2020 2019
£ £
Cash flows from operating activities
Net movement in funds 108,263 ( 124,160 )
Add back:
Depreciation 6,125 3,015
- -
Loss on disposal of tangible fixed assets
Interest and dividends received ( 10,941 ) ( 19,071 )
Losses on investments 17,825 ( 16,747 )
Decrease in stock and work in progress 5,428 ( 18,832 )
Decrease in debtors 54,542 ( 118,224 )
Decrease in creditors ( 7,619 ) ( 52,431 )
Cash generated from operations 173,623 ( 346,450 )
Net cash from operating activities 173,623 ( 346,450 )
Cash flow from investing activities
-
Purchase of property, plant and equipment ( 29,066 )
-
Payments to acquire investments ( 123,349 )
-
Receipts of sale of investments 222,866
Interest and dividends received 10,941 19,071
Net cash used in investing activities ( 18,125 ) 118,588
Increase in cash and cash equivalents 155,498 ( 373,862 )
Cash and cash equivalents at start of year 137,877 511,739
Cash and cash equivalents at end of year 293,375 137,877
Cash and cash equivalents consist of:
Cash at bank and in hand 293,375 137,877
----- End of picture text -----

The notes on pages 26 to 41 form an integral part of these accounts.

25

(A company limited by guarantee)

CONNECTED VOICE

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

1 Accounting Policies

The principle accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

2 Basis of accounting

2.1 Basis of preparation

These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts.

The accounts have been prepared in accordance with 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) – Charities SORP (FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

Connected Voice meets the definition of a public benefit entity under FRS 102.

2.2 Preparation of the accounts on a going concern basis

The financial statements have been prepared on a going concern basis. The Trustees have reviewed and considered relevant information, including the annual budget and future cash flows in making their assessment. In particular, in response to the COVID-19 pandemic, the Trustees have revised their forecasts to take into account the impact on the business of possible scenarios brought on by the impact of COVID-19, alongside the measures that they can take to mitigate the impact. Based on these assessments, given the measures that could be undertaken to mitigate the current adverse conditions, and the current resources available, the Trustees have concluded that they can continue to adopt the going concern basis in preparing the annual report and accounts.

2.3 Group financial statements

These financial statements consolidate the results of the charity and its wholly-owned subsidiary Connected Voice Business Services Ltd on a line by line basis. A separate Statement of Financial Activities for the charity itself is not presented because the charity has taken advantage of the exemptions afforded by section 408 of the Companies Act 2006.

3 Income

3.1 Recognition of income

Income is recognised when the charity has entitlement to the resources, any performance conditions attached to the item(s) of income have been met, it is more likely than not that the resources will be received and the monetary value can be measured with sufficient reliability.

3.2 Offsetting

There has been no offsetting of assets and liabilities or income and expenses, unless required or permitted by FRS102 SORP or FRS102.

3.3 Trading activities

Income from trading activities is to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.

26

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

3.4 Grants and donations

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

Income received in advance or provision of other specified services is deferred until the criteria of income recognition are met.

3.5 Volunteer help

The value of volunteer help received is not included in the accounts but is described in the trustees' annual report.

3.6 Interest receivable

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

3.7 Investment income

Investment Income is earned through holding assets for investment purposes such as shares and cash deposits. it includes dividends and interest: and amounts are recognised when the charity's right to receive payment is established

3.8 Investment gains and losses

This includes any realised or unrealised gains or losses on the sale of investment and any gain or loss resulting from revaluing investments to market value at the end of the year.

3.9 Fund accounting

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

4 Expenditure and liabilities

4.1 Liability recognition

Liabilities are recognised when it is more likely than not that there is a legal or constructive obligation committing the charity to pay out resources and the amount of the obligation can be measured with reasonable certainty.

4.2 Charitable activities

All expenditure is accounted for on an accrual baisis. Expenditure on charitable activities includes the costs of voluntary sector support, advocacy and other activities undertaken to further the purposes of the charity and their associated support costs.

27

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

4.3 Governance and support costs

Support costs have been allocated between governance costs and other support. Governance costs comprise all costs involving public accountability of the charity and its compliance with regulation and good practice.

Support costs are those functions that assist the work of the charity but do not directly relate to the charitable activities. Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources.

4.4 Holding accounts

The charity and its subsidiary hold monies on behalf of other organisations as part of their payroll service. The balances held by the charity are not included within the balance sheet in accordance with SORP 2015; the balances of the subsidiary are recognised as an asset with the corresponding liability.

4.5 Operating lease

Rentals payable and receivable under operating leases are charged to the SoFA on a straight line basis over the period of the lease

4.6 Irrecoverable VAT

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

4.7 Creditors

The charity has creditors which are measured at their settlement amount less any trade discounts due.

4.8 Provisions for liabilities

A liability is measured on recognition at its historical cost and then subsequently measured at the best estimate of the amount required to settle the obligation at the reporting date.

5 Assets

5.1 Tangible fixed assets for use by the charity

Individual fixed assets costing £1,000 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight line basis as follows:

Electronic office equipment 25% straight line basis Restricted office equipment 25% straight line basis

5.2 Investments

Fixed asset investments in quoted shares, traded bonds and similar investments are valued initially at cost and subsequently at fair value (their market value) at the year end. The same treatment is applied to unlisted investments unless fair value cannot be measured reliably in which case it is measured at cost less impairment.

5.3 Debtors

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

28

(A company limited by guarantee)

CONNECTED VOICE

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

6 Legal status

Connected Voice is a company limited by guarantee, registered in England and Wales, (number 06681475) and not having share capital. In the event of the company being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.

7 Financial performance of the charity

The Consolidated Statement of Financial Activities includes the results of the wholly owned subsidiary.

The summary financial performance of the charity alone is:

Total funds brought forward
Represented by:
Unrestricted income funds
Designated income funds
Restricted income funds
Net gains/(losses) on investments
Net movement in funds for the year
Total funds carried forward
Income
Gift aid from subsidiary company
Expenditure		 Total
2020
£
1,222,584
7,728
1,230,312
( 1,104,224 )
( 17,825 )
108,263
829,823
938,086
598,860
150,000
189,226
938,086		 Total
1-Apr-18 to
30-Sep-19
£
1,601,377
13,584
1,614,961
( 1,755,868 )
16,747
( 124,160 )
953,983
829,823
587,925
150,000
91,898
829,823

29

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

Analysis of income

8
9		 NAVCA
Newcastle Hospitals
Charitable activities
Chargeable services
MECC (Making Every Second Count)
VCSE Resilience
VONNE
Individual advocacy client spot contracts
Paid for services to the voluntary sector
Training and events
NHS Newcastle and Gateshead CCG
The National Lottery Community Fund –
Neurological
Police & Crime Commissioner Northumbria
Sir James Knott Trust
RW Mann Trust
The Joicey Trust
Hadrian Trust
NECC Your Homes Newcastle
Income from grants and contracts
Community Foundation
The Barbour Foundation
Northern Neuro Alliance
Community Fund
The National Lottery Community Fund via
North East Law Centre
Newcastle East End Partnership
Gateshead Metropolitan Borough Council
Newcastle City Council
Donations and legacies
Other donations
Peoples Health Trust
The National Lottery Community Fund
Other income		 Unrestricted
Funds
£
3,000
10,000
-
1,000
7,000
-
3,000
-
-
-
-
570
24,570
232,779
-
-
-
-
-
307,912
192,000
-
-
-
-
732,691
115,986
32,253
540
-
148,779		 Restricted
Funds
£
-
6,860
-
1,000
-
10,000
-
-
-
-
2,500
6,375
26,735
-
-
35,501
46,854
18,838
57,242
-
-
-
-
11,473
95,360
265,268
-
360
500
-
860		 Total
2020
£
3,000
16,860
-
2,000
7,000
10,000
3,000
-
-
-
2,500
6,945
51,305
232,779
-
35,501
46,854
18,838
57,242
307,912
192,000
-
-
11,473
95,360
997,959
115,986
32,613
1,040
-
149,639		 Total
2019
£
3,000
-
3,765
1,000
7,000
15,000
3,000
500
5,000
5,000
-
6,631
49,896
365,764
48,933
-
38,934
7,905
73,341
475,368
327,917
14,320
4,200
-
-
1,356,682
121,977
24,956
-
14,065
160,998

30

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

Analysis of incomecontinued
10 Other trading activities
Subsidiary income
Other trading income
11 Investments
Room hire, rent office space
Interest receivable
Income on investments
Accountancy services to the charity sector
Website advertising and admin services
Advocacy App		 Unrestricted
Funds
£
179,272
179,272
1,200
10,000
1,540
12,740
246
10,695
10,941		 Restricted
Funds
£
-
-
-
-
-
-
-
-
-		 Total
2020
£
179,272
179,272
1,200
10,000
1,540
12,740
246
10,695
10,941		 Total
2019
£
250,196
250,196
-
10,825
3,905
14,730
284
18,787
19,071

Income was £1,401,856 (2019: £1,851,573) of which £1,108,993 was unrestricted or designated (2019: £1,522,177) and £292,863 was restricted (2019: £329,396).

Analysis of expenditure on charitable activities

12 Raising funds
Staff costs
Overheads
Trading subsidiary costs
Investment management costs		 Unrestricted
Funds
£
166,527
12,948
179,475
3,137
3,137		 Restricted
Funds
£
-
-
-
-
-		 Total
2020
£
166,527
12,948
179,475
3,137
3,137		 Total
2019
£
228,473
18,569
247,042
5,766
5,766

31

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

Analysis of expenditure on charitable activities continued

13 Charitable activities
Direct costs
Support costs
Governance costs
Annual review, AGM and trustee planning
Facility costs
Office costs
Professional fees
Depreciation
Loss on disposal
Audit fee
Project staff salaries
Management & admin staff salaries
Direct project costs		 Unrestricted
Funds
£
648,737
32,393
126,751
38,778
38,275
2,521
4,228
-
4,800
494
896,977		 Restricted
Funds
£
145,189
19,837
14,225
7,333
7,221
477
1,897
-
-
-
196,179		 Total
2020
£
793,926
52,230
140,976
46,111
45,496
2,998
6,125
-
4,800
494
1,093,156		 Total
2019
£
1,226,167
87,858
155,050
62,386
73,292
31,271
3,015
2,320
4,100
2,300
1,647,759

Expenditure on charitable activities was £1,275,768 (2019: £1,992,480) of which £1,028,060 was unrestricted or designated (2019: £1,609,270) and £196,179 was restricted (2019: £383,210).

14 Exceptional item

Pension deficit -
-
-
-		 -
-		 91,913
91,913

On the 19 December 2018 the trustees paid of a significant liability to TPT Retirement Solutions when the charity left its defined benefit pension scheme. The payment also included the £146,000 creditor payable after more than 1 year.

Analysis of charitable activities by activity type

15 Expenditure by activity type
Support costs
Governance costs
Project staff salaries
Direct project costs		 Voluntary
Sector
Support
£
311,091
32,647
146,839
3,089
493,666		 Advocacy
£
482,835
19,584
94,866
2,205
599,490		 Total
2020
£
793,926
52,231
241,705
5,294
1,093,156		 Total
2019
£
1,226,167
87,858
327,334
6,400
1,647,759

32

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

Analysis of charitable activities by activity type continued

16 Income
Donations and legacies
Summary analysis of expenditure and
related income for charitable activities
Grants and contracts
Other trading activities
Chargeable services
Net income/(expenditure)
Investment income
Costs		 Voluntary
Sector
Support
£
( 493,666 )
36,289
532,586
32,653
2,740
110,602
10,941
121,543		 Advocacy
£
( 599,490 )
15,016
465,373
116,986
10,000
7,885
-
7,885		 Total
2020
£
( 1,093,156 )
51,305
997,959
149,639
12,740
118,487
10,941
129,428		 Total
2019
£
( 1,647,759 )
49,897
1,356,682
160,998
14,729
( 65,453 )
19,071
( 46,382 )
17 Net income/(expenditure) for the year
This is stated after charging
17
Net income/(expenditure) for the year
This is stated after charging		 17
Net income/(expenditure) for the year
This is stated after charging		 17
Net income/(expenditure) for the year
This is stated after charging
18
There were no other fees paid to the charity's auditor (2019:£nil).
19
Operating lease rentals
Auditor's remuneration
Fees payable to the charity's auditors for the audit of the
groups' annual accounts
Salaries and wages
Analysis of staff costs, and the cost of key management personnel
Pension costs
Social security costs
Redundancy
Depreciation on tangible fixed assets		 2020
£
6,125
16,864
22,989
2020
£
4,800
2020
£
944,160
79,466
42,323
35,480
1,101,429
4,800		 2019
£
3,014
24,302
27,316
2019
£
4,100
2019
£
1,390,895
117,137
57,965
46,154
1,612,151
4,100

33

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

19 Analysis of staff costs, and the cost of key management personnel continued

No employees had a gross salary in excess of £60,000 per annum (2019: nil)

The key management personnel of the charity, comprise the trustees, the Chief Executive . The total employee benefits of the key management personnel of the charity were £67,472. (2019: £93,049).

20 Staff Numbers

The average monthly head count and the average monthly number of full-time equivalent (FTE) employees during the year were as follows:

Voluntary sector support
Equality and diversity projects
Advocacy
Charity Business Services
Management and support
The parts of the charity in which
the employee's work		 2020
Number
8.0
2.0
18.0
7.0
3.0
38.0		 2020
FTE
7.7
1.5
16.0
4.8
2.5
32.5		 2019
Number
8.0
2.0
22.0
7.0
3.0
42.0		 2019
FTE
7.2
1.6
16.5
4.8
2.4
32.5

21 Transactions with trustees and related parties

None of the trustees have been paid any remuneration or received any other benefits from employment with the charity or a related entity. (2019: none).

Trustees' expenses

The following detail the expenses incurred by the trustees.

Travel expenses 2020
£
56		 2019
£
174

Transaction(s) with related parties

There have been no related party transactions in the reporting period. (2019: none).

22 Corporation Taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objectives.

34

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

23 Tangible fixed assets

Cost
Balance brought forward
Additions
Disposals
Balance carried forward
Depreciation
Basis
Rate
Balance brought forward
Depreciation charge for year
Disposals
Balance carried forward
Net book value
Brought forward
Carried forward
24 Fixed asset investments
Listed investments
Investment in subsidiary undertaking at cost		 Restricted
Office
Equipment
-
19,771
-
19,771
SL
25%
-
1,098
-
1,098
-
18,673
2020
2019
£
£
380,160
397,985
-
-
380,160
397,985
Group		 Electronic
Office
Equipment
Total
£
£
31,101
31,101
9,295
29,066
-
-
40,396
60,167
SL
25%
28,785
28,785
5,027
6,125
-
-
33,812
34,910
2,316
2,316
6,584
25,257
2020
2019
£
£
380,160
397,985
2
2
380,162
397,987
Charity

25 Net income of trading subsidiary

The charitable company owns two £1 ordinary shares, 100% of the voting capital of Connected Voice Charity Business Services Limited, a company incorporated and registered in England and Wales. The principal activity of this company is the provision of financial and administrative services for charitable organisations.

The audit report for 30 September 2020 was unqualified.

35

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

A summary of the trading results is shown below

Listed investments
Amount gift aided to parent charity
Other income
Turnover
Amount to be gift aided to parent charity
Total assets
Total liabilities
Total Equity
Gross income
Administration costs
Market value at 1 April 2019
Net profit/(loss)
Market value at 30 September 2020
Additions at cost
Disposals at open market value
Net unrealised investment loss
Original cost		 2020
£
224,488
47
224,535
( 216,807 )
7,728
-
7,728
530,625
( 522,896 )
7,729		 1-Apr-18 to
30-Sep-19
£
298,911
284
299,195
( 285,611 )
13,584
-
13,584
237,465
( 223,879 )
13,586
£
397,985
-
-
( 17,825 )
380,160
441,695

26 Listed investments

27 Stock and work in progress

2020
2019
£
£
16,259
21,687
ebtors and prepayments (receivable within 1 year)
2020
2019
£
£
298,825
352,046
33,749
35,070
-
-
332,574
387,116
Group
Work in progress
Prepayments and other debtors
Trade debtors
Group
Amounts due from subsidiary undertaking		 2020
2019
£
£
-
-
2020
2019
£
£
227,366
311,330
33,749
35,070
112,347
52,821
373,462
399,221
Charity
Charity

28 Debtors and prepayments (receivable within 1 year)

36

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

29 Creditors and accruals (payable within 1 year)

Accruals and other creditors
Taxation and social security
Deferred income (note 30)
Trade creditors		 2020
2019
£
£
5,304
9,755
69,642
88,200
27,873
18,203
6,720
1,000
109,539
117,158
Group		 2020
2019
£
£
5,304
16,679
61,860
81,988
26,673
17,003
3,800
1,000
97,637
116,670
Charity

30 Deferred income

Deferred income comprises advance payments from grants that relate to future periods.

Amount deferred in year
Balance carried forward
Balance brought forward
Amount released to income earned from
charitable activities		 2020
£
1,000
( 1,000 )
6,720
6,720

31 Holding accounts

During the year Connected Voice’ subsidiary held monies on behalf of other organisations. Connected Voice Business Services Ltd provides a payroll and bookkeeping service to a number of small organisations and holds monies for this purpose.

Connected Voice Business Services Ltd Balance
at
01.10.19
£
177,229		 Receipts
£
8,796,136		 £
8,762,116
Payments		 Balance
at
30.09.20
£
211,249

32 Operating Leases

The future minimum lease payments under non-cancellable operating leases are as follows;

Not later than one year
Later than one and not later than five years		 2020
£
20,306
29,395
49,701		 2019
£
20,306
29,395
49,701

32 Events after the end of the reporting period

No events (not requiring adjustment to the accounts) have occurred after the end of the reporting period but before the accounts are authorised which relate to conditions that arose after the end of the reporting period.

37

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

33 Analysis of charitable funds

Analysis of movements in unrestricted funds

Year ended 30 September 2020

Unrestricted funds
General funds
Designated funds
Business development
Digital transformation
COVID resilience
Charity restructuring		 Fund
balances
brought
forward
£
587,925
587,925
100,000
-
-
50,000
150,000		 Incoming
resource
£
1,108,993
1,108,993
-
-
-
-
-		 Resources
expended
£
( 1,028,060 )
( 1,028,060 )
( 16,049 )
-
-
( 35,480 )
( 51,529 )		 Transfers
£
( 52,173 )
( 52,173 )
( 15,000 )
60,000
21,049
( 14,520 )
51,529		 Gains /
(losses)
£
( 17,825 )
( 17,825 )
-
-
-
-
-		 Fund
balances
carried
forward
£
598,860
598,860
68,951
60,000
21,049
-
150,000

Purpose of unrestricted funds

General funds The 'free reserves' after allowing for designated funds. Business development To develop and improve the chargeable services by the charity and its subsidiary. Digital transformation For new digital infrastructure including new telephony, software and processes. COVID resilience For additional costs arising from operating during COVID-19 restrictions. Charity restructuring To change the management structure of the charity.

Transfers between funds

From designated funds to
general funds
From general funds to
designated funds
Reason for transfer
The trustees agreed to set aside funds for digital transformation £60,000
and COVID resilience £22,149.
Internal re-charge of £15,000 for business development. Management re-
structure complete, £14,520 balance transferred to general funds.		 Amount
£
29,520
81,049

Year ended 30 September 2019

Unrestricted funds
General funds
Designated funds
Business development
Charity restructuring		 Fund
balances
brought
forward
£
808,271
808,271
-
-
-		 Incoming
resource
£
1,522,177
1,522,177
-
-
-		 Resources
expended
£
( 1,609,270 )
( 1,609,270 )
-
-
-		 Transfers
£
( 150,000 )
( 150,000 )
100,000
50,000
150,000		 Gains /
(losses)
£
16,747
16,747
-
-
-		 Fund
balances
carried
forward
£
587,925
587,925
100,000
50,000
150,000

38

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

33 Analysis of charitable funds continued

Analysis of movement in restricted funds

Year ended 30 September 2020

Restricted funds
SkillsBridge
BME Health and Wellbeing
HAREF (restricted donation)
HAREF
Safeguarding Training
People's Health Trust
Digital Training
VCSE Resilience
Advocacy
Advocacy – Hate Crime
Advocacy – Welfare
Advocacy – Safeguarding
Totals
Restricted IT equipment
Newcastle East End Partnership
Advocacy – Families Through
Crisis
Advocacy – Refugees & Asylum
Seekers		 Fund
balances
brought
forward
£
-
7,295
28,893
33,372
-
-
( 644 )
3,170
-
-
1,580
5,000
11,136
2,096
-
-
91,898		 Incoming
resources
£
19,771
-
-
-
38,035
11,473
-
18,838
15,000
95,360
26,644
-
10,500
47,242
5,000
5,000
292,863		 Resources
expended
£
( 1,098 )
-
( 28,893 )
-
( 20,733 )
( 6,618 )
-
( 22,008 )
( 4,260 )
( 23,237 )
( 20,902 )
( 5,000 )
( 11,108 )
( 49,338 )
( 484 )
( 2,500 )
( 196,179 )		 Transfers
£
-
-
-
-
-
-
644
-
-
-
-
-
-
-
-
-
644		 Fund
balances
carried
forward
£
18,673
7,295
-
33,372
17,302
4,855
-
-
10,740
72,123
7,322
-
10,528
-
4,516
2,500
189,226

Purpose of restricted funds

Restricted funds represent income resources used for a specific purpose within the charity as identified by the donor

Restricted IT equipment

SkillsBridge

BME Health and Wellbeing

HAREF

Safeguarding Training

Providing resources to enable key staff to work from home throughout the COVID-19 pandemic.

Facilitating and maintaining a network of professionals, volunteering their time and expertise to support the ongoing development of voluntary organisations in the North East.

Providing a structured programme of cultural competency training, primarily for staff working in health services so the BAME communities have improved access to health services in Newcastle.

Working to improve the health and wellbeing of BAME communities in Gateshead and Newcastle by providing regular networks, engagement opportunities and information to organisations in the VCS and public sector.

To make safeguarding resources available at a local level, deliver regular training sessions and create new/build on existing networks.

39

(A company limited by guarantee)

CONNECTED VOICE

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

Purpose of restricted funds continued

Newcastle East End Partnership Facilitation of the east end partnership of community buildings with the objective of it becoming independent and self-sufficient, and support across individual partner organisations with the objective of increasing capacity. Digital Training To expand our traditional support provision by giving people and communities we serve the opportunity to access online training to advance their knowledge and practice. VCSE Resilience To provide support packages comprising business resilience and management support for community sector organisations based in Newcastle. Advocacy – Families Through Providing support to families in crisis in Newcastle. Crisis Advocacy – Refugees & direct advocacy to refugee and asylum seekers to have voices heard and Asylum Seekers access to services. Advocacy Contribution to providing the overall advocacy service. Advocacy – Hate Crime Providing Hate Crime Advocacy, supporting people who have experienced, or are at risk of hate crime in the Northumbria area. Advocacy – Welfare direct advocacy to vulnerable people through benefits, appeals and sanctions process. Advocacy – Safeguarding Specialist advocacy to provide additional support to vulnerable adults living in Newcastle and Gateshead who may be victims of crime, or at risk of abuse, as a result of their vulnerable circumstances.

Transfers between funds
Between restricted and
unrestricted funds
Reason for transfer
From unrestricted funds £644 was allocated to the People's
Health Trust project to cover a small overspend the previous
year.		 Amount
£
644

40

CONNECTED VOICE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 30 September 2020

33 Analysis of charitable funds continued

Year ended 30 September 2019

Analysis of movement in restricted funds

Restricted funds
SkillsBridge
BME Health and Wellbeing
HAREF (restricted donation)
HAREF
People's Health Trust
Advocacy – Neurological
Advocacy – Partners in Health
Advocacy
Advocacy – Hate Crime
Advocacy – Welfare
Totals
Building Stronger Britain Together
MECC (Making Every Contact
Count)
Newcastle East End Partnership
Advocacy – Families Through
Crisis
Advocacy – Refugees & Asylum
Seekers		 Fund
balances
balances
brought
forward
£
4,921
13,955
15,247
66,711
-
-
-
-
17,833
8,130
3,915
-
-
-
15,000
145,712		 Incoming
resources
£
-
-
71,250
-
46,843
14,321
4,200
7,905
48,973
3,343
38,957
5,000
15,210
73,382
12
329,396		 Resources
expended
£
( 4,921 )
( 6,660 )
( 57,604 )
( 33,339 )
( 46,843 )
( 14,321 )
( 4,844 )
( 4,735 )
( 66,806 )
( 11,473 )
( 41,292 )
-
( 4,074 )
( 71,286 )
( 15,012 )
( 383,210 )		 Gains /
(losses)
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-		 Fund
balances
carried
forward
£
-
7,295
28,893
33,372
-
-
( 644 )
3,170
-
-
1,580
5,000
11,136
2,096
-
91,898

34 Capital commitments

As at 30 September 2020, the charity had no capital commitments (2019 -£nil)

35 Analysis of Group assets between funds

Unrestricted
Designated
Restricted
Total
Total
Funds
Funds
Funds
2020
2019
£
£
£
£
£
Tangible fixed assets
Investments
Cash at bank and in hand
Other net current assets/(liabilities)		 6,584
-
18,673
25,257
2,316
380,160
-
-
380,160
397,985
122,822
-
170,553
293,375
137,877
89,294
150,000
-
239,294
291,645
598,860
150,000
189,226
938,086
829,823

41