Stepg Recovery 8teps2Recovery (A Company Limited by Guarant••) Company registration number. 07269361 Trustees Report and Financial Ststements for the year ended 31st March 20Z5 Wenn Townsend Chart•red Accountants Oxford The registered and principal office of Steps2Recx)very is Lexham House. 28 St Chartes Square, London W10 6EE, and you can visit our website at www.ste s2recove .or -uK
Steps2Recovery Contents Page Legal and administrative infornation Report of the trustees Independent examiners report 10 Statement of financial acts'vities 11 Balance sheet 12 statement of cash flows 13 Notes to the financial statements 14-17
Steps2Recovery Legal and Administrative Infonnation Steps2Recovery was registered with Companies House on 1st June 2010 as a prtvate company limited by guarantee and with the Charity Commission. The charity registration number is 1138353, and our limited company number is 7269361. STATUS Registered as a company limited by guarantee on 1 st June 2010 and granted charitable status on 11th October 2010 CHARITY NUMBER 1138353 COMPANY NUMBER 07269361 TRUSTEES Bradley Bilgore - appointed 16th Septsmber 2024 Amanda Copstick Lesley Hart Sophi8 Molins- Chair of Trustees James Ohene-Djan Dean Steele - appointed 201h September 2024 and resigned 22TrJ October 2025 Tom Bolt- resigned 22nd October 2025 Charles Clode - retired 20th October 2025 Edward Frazer- retired 1st November 2025 PATRONS Anna Chancellor Matt Lucas Ant McPartlin Amzie McPartlin David Morrissey WEBSITE www.ste s2recove .or .uk REGISTERED OFFICE Lexham House 28 St Charles Square London W10 6EE PRINCIPAL BANKERS Charities Aid Foundation & Santander UK PIC INDEPENDENT EXAMINER Ajay Bahl FCA Wenn Townsend 30 St Giles Oxford OX13LE
Steps2Recovery Report of the Trustees for the year ended 31st Mar¢h 2026 The trustees {who are also directors of the charitable company) present their report and the financial statements for the year ended 31st March 2025. The trustees have adopted the provisions of the Statement of Recommended Practi (SORP) Accounting and Reporting by Charities (FRS102) in preparing the annual report and financial statements of tha charity. POSE OF T CHARITY Breaking the chain of addicbon and re-offending in community. creating a safer environment for all. The trustees have had regard to the guidance issued by the Charity Commission on public benefit. Steps2Recovery delivers public benefit by supporting clients with immediate housing support on release from prison forthose with a history ofoffending behaviour and homelessness, fuelled by drug and alcohol addictions. We know that facilitating change with this vulnerable group hclps to improve their own safoty. the safety and happiness of their families, and ultimately the safety and well-tEing of the wider community. We improve the lives of people in the criminal Justi system affected by alcohol or drug dependency by providing free high quality, abstInen-baSed treatment options, help with practical needs and end-to-end support through working with other agencies. We provide a day programme in a safe and supported residential settlng to enable and encourage clier11* Lu iimprove the quality of their lives and to fulfil their potential without recourse to alcohol, drugs and re-offending. We enable clients to: Achieve long term freedom from drink, drugs and crime, helping them to identrfy and recognise triggers that lead back to relapse and how to avoid tnem. We encourage clients 10 S the poslllve benefits of making changes to their lives and recognise their part in living well. Engage and build positive relationships during the programme, with counsellors, mentors and their peers. We encourage them to develop sustainable and positive relations outside our structured programme both by attending self-helpl mutual aid groups and repairing or rebuilding family ties giving them the best opportunity for lonq term recovery capital. Rebuild their lives, in partnership wtth other agencies to address practical issues such as skills deficits, debt, legal, social and health problems. MAIN ACTMTIES OF THE CHARITY Steps2Recovery is an independent charty based in Ladbroke Grove. West London. The chartty was established in 2010 with the initial objective of finding solutions to the problem of individuals repeatedly ending up in the prison system because of behaviour directly linked to an addiction, whether it be to alcohol or drugs. We work with people caught up in the Criminal Justice System who are mottvated to deal with their addictions and associated criminal behaviours; our central purpose is to facilitate rehabilitative improvement in their lives. Steps2Recovery takes the position that effective addiction treatment is a significant part of the solution to a health-based problem,. we stand alongside those in the Criminal Justica System and wider community who advocate for diversion rather than incarceration. Eviden clearly demonstrates that prison is an ineffective way of dealing with addiction and we know from our own outcomes that tf people can be given help precisely at the point that they are motivated to make changes in their lives, the cycle of addiction, associated criminal offending, homelessness and prison can be broken. We e1ve referrals from prisons, police and probation from across the South and East of England. In addition, homeless individuals can referfrom the community. Providing stable accommodation is the first step for a client to take control of their life.
Steps2Re¢overy Report of the Trustees (contlnued) for th• year ended 31st March 2025 Once a client is apted onto the Charity's programme, we aim to provide housing from the day a client is released from custody. Recent Ministry of Justi dats shows a 39.40/0 increase in the number of people being released from prison into homelessness. Nacro report tha( on average, about 1,070 people per month go straight from prison into homelessness. The subsistence grant for an individual leaving custody is a mere £89.52, although this can be reduced to zero if the individual has, for example, outstanding Criminal Justice debts or is released after a short senten. In these circumstances it is perhaps unsurprising that reconviction rates are high. H¢)w w• operate: We aim to be charity market leaders in the delivery free treatment for drug and alcohol addiction for prisoners on release with either no or unsuitable housing. There Is very little open access support of the type we deliver available in the UK, making our Se1 relevant and critical. Our operational activities are diverse and far reaching and are delivered in line with our values and ethos. Our organisational strategy focuses on financial sustainability as well as being charity market leaders in the delivery of effective recovery focussed treatment regardless of the ability to pay. We always aim to stay true to our mission of assisting those caught in the criminal justice system to step away trom addiction and crime and establish themselves in abStinen-baSed recovery. There is very little open aCsS support of the type we deliver currently available in the UK which makes our service as essential as ever. Operationally we spend a good amount of time building and servicing strategic partnerships within the criminal justice system. We also continue to establish relationships within the treatment sector and the wider community. We recelve referrals from prison-based drug and alcohol teams as well as via the probation seNice. We do on occasion acpt self-referrals from vulnerable people suffering with addiction related issues within the community. The Steps team is made up of Operations, Therapy Team and Night Support staff. We deliver a 12-week residential addiction programm@. Our Therapy T•am: The main role of a therapist at Steps2Recovery is to escort the client through the programme and establish sustainable and resilient recovery. They achieve this by witnessing. containing. setting aside judgment and challenging when appropriate. We understand that the role of therapist within an abstinence-based treatment setting is both personally and professionally challenging. The position of therapist at Steps2Recovery calls for flexibility and adaption to meet the complex needs of our client group. Vle actively prioritr'se a workforce with lived experience of addiction and recovery in order that clients feel truly understood and inspired to change. The counselling team at steps2Recovery is highly qualified and all are members of the British Association of Counselling and Psychotherapy. The counselling team not only fuffil the role of therapist but also and when needed mentor, role model and key work clients. It is this flexibility that ensures Sussful outcomes for our clients. Maintaining solid boundaries whilst fulfilling these roles requires a very specific skill set to sustain a healthy therapeutic environment Treatm•nt and Recovery: We recognise that it has taken a Itfetime of leamed behaviour to bring a client to our service, and they cannot hope to resolve all their issues Vthin a tweive-week period. The most important first step for any client is to understand that they suffer from a life-threatening condition that is treatable. The programme at steps2Recovery seeks to address the first most critical issue that is universally presented by all clients. This is the inability to stop using substances addictively despite the negative impacts it has on their lives as well as the impact on family friends and the wider community. This awareness is critical rf long term recovery is to be attained. We believe that a period of stable recovery in safe and supported accommodation is the only route by vthich clients may then go on to resolve long standing issues of trauma. loss. abuse, poor selfsteem and anger.
steps2Re¢ov•ry R•port of the Trustees (continued) for the year ended 31st March 2025 Put simply - The Steps2Recovery Programme is an intensive crash course that aims to kick start a life without addictlve processes. Then and only then can the long-term therapeutic worl( take place. We offer unlimited aftercare as well as individual Gounselling after the twetve-week prcy3ram to support this process. The Programme: The Steps2Recovery Programme is a timetabled series of interentionS and activities that introduce clients to their recovery potential. Most activitie5 are delivered within a group setting as this has been shown to be the most effective treatment modality for this type of issue. Wrthin a group I community environment clients can experience identification with one another which is crucial in terms of exposing the denial and isolation of addiction. Clients learn to trust, challenge and to give and receive feedback as well as gaining a sense of belonging and being united in a common objective. All clients are expected to engage with 12 step self-help groups such as Alcoholics Anonymous and Narcotics Anonymous outside of the program. The aim is to establlsh attendance at these groups in or¢Jer tnat they continue to attend wlien tieatment Gotnes to an end. Specifically, the Steps2Recov•ry programm• in¢ludes the following: Weekly individual counselling sessions Daily qroup therapy Daily Educational Workshops l Lectures l Audio Visual which focus on addiction and recovery as well as criminality, relationships, assertiveness. selfsteem, anger and relapse prevention Creative sessions including Poetry, Art. Drama and Music Wellbeing sessions including Yoga, Body Movement. Relaxation. Meditab'on, Exercise and games Regular client outings Writtcn A-- -ignments that are proeonted to th8 group Unlimited Weekly Aftercare Group Additional indtvidual counselling following successful completion of the programme Graduation Ceremony - On completion Family conjoint sessions In addition to the daily programme clients are assisted with the ft•llowlng: Benefits applications Cooking and healthy diet Education, Training, Employment, Volunteering (At the end of the 12-week programme) Reconnecting with children that have been taken into the carè system Pro bono legal advi Guaranteed abstinence-based housing following successful completion of the programme with Kairo Community Trust On going contact I support wtth the Steps2Recovery Community through s¢xial activities 202&26: KEY ACHIEVEMENTS Building blocks developed during the year have strengthened our fundraising and awareness plans, with a more coherent and diverse funding strategy, a continuing series of presentations to our main referral partners and the encouraging development of recovery units in 85 prisons in England and Wales. All of this work supports the frontline Servi we provide to our clients. In 2024-25 we supported foty-five clients to start on their joumey of recovery. Ive celebrate graduations for clients who complete the twelve-week programtne and move on to longer term, abstInen-baSed housing through a partner organisation, Kairos Community Housing. Homelessness and the fear of long-term homelessness is a huge barrier to stabilty. In 2024-25 twentyight (62% of clients) completed the Steps2Recovery programme and moved on to secure housing. The Steps2Recovery programme provid&s each individual 24 hours of face-t[face therapy in a week - this includes group, one-to-one and holistic therapies. Fora client completing the 12-week programme this amounts to 282 hours of face-to-face therapies plus attendance at 60 mutual aid meetings.
Steps2Recovery Report of the Trustees (continued> for the year ended 31st March 2025 In addition to face-to-face therapies, time is set aside for clients to complete written assignments that are shared with their peers in assignment workshops. plus mandatory attendance of at least five mutual aid - self-help - groups in the community perweek. Building a strong foundation in these community groups gives clients a peer support group for their recovery as they move on to lrfe beyond the Staps2Recovery programme. We set a high bar for recovery, with total abstinen from all drugs including alcohol, for the safety and recovery of all clients on the programme-Given this high bar a number of clients, facing recovery for the first time, do not succeed on their first attempt. Seventeen clients (38 % ) were discharged for a variety of reasons, including inappropriate behaviour or relapse with drink or drugs. In these cases, we aim to ensure that all move on to secure accommodation where possible - other housing charities. to family where possible, or to their probation support. For the total client cohort we provided an average of 265 hours of face-to-fa{ therapies and 56 community groups per client CHALLENGES In 2024-25 the Charity had a number of nSSary but unplanned calls on its finances. These included - A review and restructuring of the staff team. following the recruitment of a CEO in March 2024, resulted in the retirement of the Senor Manager with a redundancy package. In order to meet health and safety requirements a number of improvements were made to the fabric of Lexham House. The terms of our lease meant that the Charty was responsible for this work. It became apparent that, as" a result of this Yrk, the trustees needed to draw from the Charity's reservcs to improve the physiGal environment. In addition, the leadership agreed that paid night support was nSsary, rather than relying on volunteer cover and following a financial review in Dember 2024, support staff were employed to ensure 24-hour cover. Due to these many additional calls on the budget, reserves had to be utilised, and it became apparent that the Charity needed to take steps to reduce its expenditure to keep in line with its reserve policy. Steps taken in 2025-26 include slimming down the central team and using exiemal therapists as required, developing a more robust and diverse fundraising strategy and exploring our partnerships to achieve efficiencies. This will allow us to lower the risk to our reserves and ensure a three-month wind down of the Charity if needed. THOSE WE WORK WITH We are privileged to be a partner of the Taking Action on Addiction alliance and to have the support of our key housing partner, Kairos Community Trust. We aim to be a partner and supporter of all those who continue to highlight the benefits to indtviduals and society of recnvery, and who take positive action to h8lp every individual who wishes to break the bonds of addiction. We know from our clients that many of them experience issues with housing, financial management, legal matter5, GhildGare, children in care. damaged family relationships. employability, ¢duGation needs, trauma, abuse, domestic Violen and mental health. Ilhilstwe are experts in the treatment of addiction, we understand our limitations and have a clear acceptancè that we cannot fix everything ourselves. We are grateful for all those we work with that support these individual's joumey to a stable and healthy recovery.
These primary relatlonshlps start wth those whu refei clients to our service. We work very closely with prison and probation serViS as well as statutory drug and alcohol agencies, GPS. detox facilities and mental health providers to ensure a smooth transition into treatment. For those that come from prison we work closely to ensure they meet their probation requirements and meet and curtew and electronic tag requirements. We provide written progress reports as well as attending regular multi agency case reviews. ilst in our care we worf( wllth Kensington and Chelsea Housing Benefit Department and the local Job C8ntre to assist with benefit claims. Many clients come to us with poor health care histories, and we ensure that all clients are ragistered with the local GP surgery and have access to local dental care. Where possible and safe we support the rebuilding of fractured family relationships. There is much evidence that family involvement in treatment is a valuable tool to aid recovery. Government statistics estimate that 47 percent of UK adults either know or have been affected by soOne else's dependen to drugs or alcohol. Family members have experienced the worst of addiction and can often feel left behind or unsupported when their loved one Gomes into treatment. As well as the famity conjoint work we do. we also offer signposting to support services and self-help groups for family members as well as assisting with accessing counselling support. And as clients graduate and move on, V work with our key housing partner, Kairos Community Trust, to provide longer-tem, safe and abstinence-based housing. IDffiere this is not suitable, or clients leave early, we have a number of other options to refer clients to safe housing. Treasures Foundation deserve a sp8cial mention as an organisation that supports women wth histories of addiction, mental health issues and trauma. Our enoi rTlOUS Ihanks go to those Trusts and Foundations that supported us in 2024_25, without this provision we could never have provided the service we do. We are so grateful to Lloyds Bank Foundation, the National Lottery Community Fund, Moondance Foundation. City Bridge Trust, the Lambert Charitable Trust, Garfield Weston Foundation and the Caerlow TrusL Many of these have supported the Charity over multiple years. The ethos of Steps2Recovery is to never treat those seeking help in a bubble of isolation. We will actively seek to work with any agency or individu<il in the putSUit of FQSitive long-tem successful outcomes for our clignts. ST TEGIC OBJECTIVES Steps2Recovery's strategy remained rooted in its three foundational 'pillars': Consolidation, Fundraising and Creating Awareness. The Board are currently reviewing and updats'ng the Steps2Recovery strategy. In 2024- 25 developments included - Consolidation.. A revi8w of all aspects of health and safety, from working with the therapy team on improvements to assessment and admission processes to a review of all policies and procedures supporting the Charity. A programme to upgrade to our client management system, pturIng longer term progress of clients as they move on from the Charity, generously provided by a key ftjnding partner. Lloyds Bank Foundation. Fundraising.. A fundraising review and deepening relationships with existing and new funding partners. In a competitive and increasingly difficult extemal financial environment our fundraising sub-committee has explored new avenues for funding alongside our nomial activities. New events, with help from our nelwork of supporters, have been delivered with others in plan and a recgnitIon of our need to strengthen existing, and develop new, partnerships to strengthen our offer. Awareness: A programme of presentations to staff and inmates in a number of London prisons resulting in a wider span of referral agencies, increasing our resilience by building on existing links with referral organisations and statutory services. A Patron's Dinner resulted in new ambassadors willing to support our fundraising efforts and help to further our outreach and networking efforts. We are considering the recent HM Prison and Probation SeNice development of Incentivised Substance Free Living Units (ISFLS) and how this may create fvrther opportunities for closer working with prisons in the South of EngLqnd.
Steps2Recovery Report of the Trustees (continued) for the y•ar •nded 31st March 2025 Annex A - structure and gov•rnance Lesley Hart retired as Chair and was replaced by Sophie Molins. a long standing trustee of the Charity, on 30th June 2025. Sophie now supports the Chief Executive Officer in leading the charity. The Charity is led by Sammy Manzaroli, CEO, with Max Smith taking the lead for the therapeutic programme. Steps2Recovery adheres to the 2020 Charity G0Veman Code and its seven guiding principles. We remain committed to equity, diversity and inclusion and our Board reflects this commitment. Our organisation Ghart- Step 5t•ps2RKov•ry-Or8anogram 2025 TNstÉés& Dlrertors Bradlev Bilgore Amanda Copstick Sophie Mollns- Le51ev Chair Hart jarn Ohen. Djan 5Enivr Oy¢r•ligv* Fundlt)m.................... . ... Maxsmth LtJd Cwnsdfof T••m DOUB lunningham Nighl ort Manyr Counsellingleam The rights and responsibilities of the Trusteel Directors are set out in our Memorandum of Association. They do not receive frjnding or benefft from Steps2Recovery.
Steps2Recov•ry Report of the Trustees (continued) for the y•ar •nded 31st March 2025 Incomo Total income was £486,345 {2024: £384,064) an increase of £102.281. Income received from grants and contracts accounted for 500A of all income r1Ved and was £244,345 (2024: £138,001) an increase of £106,334 from the previous year. Expendltur• Total expenditure was £525,172 (2024: £391,551), an increase of £133.621. 8alanc•s Restricted balances carried fonward for use in 2024-25 have increased from £32,007 to £36,790. Unrestricted balances carried foNard for use in 2024-25 have decreased from £151,525 to £107,g15. Reserves policy The Steps2Recovery Reseries policy describes the rationale for holding and calculating its Operating ReseNe. The minimum level of the Operating ReseNe is determined by key expenses to the organisation to ensure Trustees can meet all liablllties in the event that key funded services need to be wound down. These cover.. Contractual wage costs due during wind down of services Statutory redundancy costs for employed staff. A reserve to cover rent payments and meet lease agreements. Cashflow rèserves to cover other running costs during wind down of services. The calculation to meet these conditions has resuEted in an Operating Reserrfe of £107,000. The Board are content that they meet their Reserve ambition and will review this in 2026 alongside a review of their strategic priorities for the next three years. Going concern Steps2Recovery's service delivery model means that statutorylgovemment funding is not available to us. Our ethos is based upon being able to offer ex-offenders treatment for addiction issues at the point at which they are motivated to make changes in their lives. Our treatment programme is delivered entirely free of charge and allows our client group to circumvent the lengthy community-based fijnding assessments that see so many of them lose hope and motivation and return to the cycle of addiction, crime, and prison. Funding to date has been generated by.. Applications to trusts and foundations (50%) Corporate fundraising events (11 %) Enhanced Housing Benefit (29%) Individual giving (8QA) Corporate donations (2%). Several of Steps2Recovery's Trust and Foundation grant making supporters have committed to donate across multiple years and the key fundraising events are long established and have broadly delivered consistent levels of funding over recent years. The charity has several high net worth individual supporters who have also been a constant in terms of annual donation. The larger property we relo(8ted to at the end of 2022 is leased directly and we are now responsible for collecting clients, Housing Benefft in order to cover the costs of the lease and our additional costs incurred in suptK)rting this vulnerable client group. This represents a new revenue stream and also results in an increase in annual costs. however. these costs are securely covered.
for the y•ir •nd•d 31•t Ilarch 2020 Ann•x B Th• Charfty'• OlloGts ar•: . To promote for th• bgn•fft oftho public In London th• KArth th• pnw1s1 rf 8•r¥l to tlTho ¥lctirffj. The rellef the phy8lGal arKI mentsl SiGknes5 In ne&1 lry •Jdiction kn substanc48, In partlcular by the pr(Jvislon counsekng arKI SUPWL . To promote social inclusion for the public banafft by a RwbIit apyo&h to reduce re. offending, Wofklng wlth people kn (London the east)0 are soclallyexcluded the ground8 ofthelr 8ubstanc8 abuse. and dep. incIlIj atthol aThJ drugs; (li partur, vitrns cl crirne, exthntsrs end thoir familles) to reliave the ne pw •KI ass thwn to integrnte into s•, in parfcular ty ">k&. ts". r•habilltatKin and educatlon. TRUSTEES RESPONSIBIUTIES Law applicable to inCpOrts1 charities in EnglarKI and requires the irustee5 the ¢harlty 8fKI the directots of the compwry to prepare financlal Stat financial year whh ts a and fair vlv of the state of the affairs of the charity and its financ1 that wKxl. In prnparlng those fknanclal the In1 requk•J t( suitable acGounting p)lths arKI then appty Ihem consthty. make judgements arKI es1irMtss that are reasonable prudent folbw applicable Kcounling standards and the Chariw SORP. di8closing and wlainkng any dewluro in the financial statements., and prepar• th• finanGlal slatwn¢ts on a gowy conc•m b•w unltsg tt 18 inappropriate to prnsume that tha charity will Gonlinue in opwation. The trustees are respon8ibl8 for keeping propw accounting re¢d6 which disclose with reasonable alTaGY 4,¥.: .. . at any twne the financial position of the thartty to en8blethwn to ensure thalthe finandal slalemonts cLYnpty 4 with charty Itw. They afe also res$10 for safeguarding assets d the ¢harAle ccffipany and for iaking . . reasonable Steps for the Pre11( and datlI0n fraLNI arml cther irregularRie8. The tfU8tee8 are rospM$ible for the maintenance and integrly of the ccxpornts and fmancial infomiatson . Included on the chaiity's website. Legislatb)n in the United Kingdwi govemuw the preparation arrfl ' di88emlnation of financial statemenls may diffef fr iegisiiM in jutsdKiion& This report has been prepared In accordance wilh the Statefflt d RecomMded Prathe - Arunting and ,' , Reporting by Charities (FRS102) and in accordance with the special proviSiMS of Part 15 of the Companies Act -. 2006 relatlng to small entiites. APPROVAL roved and authorised for i88ue by the Board of Tn on 11 December 2025 and signed M their alf by: Sophle Molln8 Chalr of the Board
StePs2R0very Report of the Trustees (continued) for the year •nd•d 31st March 2025 Independent Examiner's Report to the Trustses I report to the charity trustees on my 8xamination of the accounts of the company for the year ended 31 March 2025 which are set out on pages 11 to 17. Responsibllftles and basis of report As the charity trustees of the company (and also tts directors for the purposes of company law} you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ("the 2006 Acf). Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination. I report in respect of my examination of your company's accounts as carried out under section 145 of the Charities Act 2011 {'the 2011 Act.). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Independ•nt examinerfs statement Since the company's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that l am qualified to undertake the examination because l am a member of ICAEWwhich is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: accounting records were not kept in respect of the company as required by section 386 of the 2006 Act,. or the accounts do not accord with those records; or the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a Irue and fair viev/ which is not a matter considered as part of an independent examination., or the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordan with the Financial ReportÉng Standard applicable in the UK and Republic of Ireland (FRS 102)). I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. 11 Dmber 2025 Aiay Bahl BA BFP FCA Wenn Townsend 30 St Giles Oxford OX1 3LE -10-
Steps2Recovery Stat•m•nt of Financial Activities for th• year ended 31st March 2025 Unrestricted Restricted Funds Funds Totsl 2026 Total 2024 Notes INCOME AND EXPENDITURE Incom• and endowments from: Donations, legacies and grants Other trading activities.. Fundralsing events Local Government (Housing Benefft) Investment income". bank interest 183,971 110.335 294,3C6 218,433 51,165 140,680 194 51,165 140.680 194 32,143 132,954 534 Total income 376,010 110,335 486,345 384,064 Expenditure on: Charitable activities Raising fiind8 Governan costs 404,940 2,485 12,195 103,354 372 1,826 508,294 368,516 2.857 9,401 14,021 13,634 Total exp•ndltur• 419,620 105.552 525,172 391,551 N•t incomel(expenditure) before taxation (43,670) 4,783 (38,887) (7,487) Net movement in funds (43,610) 4,783 (38,827) (7,487) Fund balano•s at 1st April 2024 151,585 32,007 183,532 191,079 Fund balances at 31st March 2025 107,975 36.790 144,705 183,592 All of the above results are derived from continuing acttvities. All gains and losses r8cognised in the year are included above. The not•s on pag•s 14 to 17 form part of these financial statements -11-
RwJistored number. 07269361 Balance Sheet aB * 318t IAar¢h 2026 2025 2024 CURRENT A88Ers Debtors Cash at bank and on depogit 33.519 124.884 37.979 165.554 158.203 203,533 CURRENT LIA81LmES Arnounts f811ing due within one year (13,498) (20.001) NEf CURRENT AsseTS 144,705 183,532 NEf ASSErs 144.705 183,532 FUNDS Unrestricted funds Rtricted funds 107.915 36.790 151,525 32,007 144.705 183.532 The (xxnpany is entiued lo exryt from audit under Section 477 ofthe Companiea Act 21Th for the yoar endod 31st March 2025. The members have not requlred the ¢xrnpary10 cbtsin an audit of ils finaneial statements for the year ended 31st March 2025 In accordan wth Section 476 of the Companies Act 20[. The trustees ackn¢y their responsbifty for comptying with ts requirements of the Act with respect to Approval The financial statements were approved and auUK¥tsed tr issue by the Board rfTrustees on 11 t)ember 2025 and signed on their behalf by.. Le Hart The notss on pages 14 to 17 fomi port of the8e finanGlal staten -12-
Stsps2Recovery Statement of Cash Flows for tho y•ar •nded 31st AlarGh 2026 2025 2024 CASH FLOWS FROM OPERATING ACTIVITIES: Net cash provided byl(used in) operdting activities (40,870) {31,825) Change In Cash and cash •quival•nts in the reporting perfod (40.870) (31,825) Cash and cash equivalents at 1st April 2024 165,544 197,379 Cash and cash 4uivalents at 31st March 2025 124,684 165,554 RECONCILIATION OF NET INCOMEI(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES 2025 2024 Net (expenditure)fincome for the year as per the Statement of Financial ActNrties (38,827) (7,487) Adjusted for. (Increase}Idecrease in debtors Increasel{decrease) in creditors Other non cash adjustments 4,460 (6.503) (33,929) 9,591 Net cash (used in)IprovMJed by operab'ng activities (40,870) (31,825) ANALYSIS OF CASH AND CASH EQUIVALENTS 2025 2024 Cash at bank and in hand 124,684 65.554 124,684 165,554 The charity has no borrowings or obligations under finance leases: therefore a reconciliation of net debt has not been provided. The notes on pag•s 14 to 17 fonn part of th•se financial stat•m•nts -13-
Stsps2Re¢overy Notes to the Financial Statements for the year ended 31st March 2025 ACCOUNTING POLICIES The financial statements 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) (issued in October 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Chartties Act2011, UK Generally Accepted Practice and the Companies Act 2006. The financial statements have been pr8pared on the going concem basis and the functional currency is sterling rounded to the nearest £1. b) The charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless othepwise stated in the relevant accounting policy notes. Voluntary incoma recepied by way of donations and gifts is included in full in the Statement of Financial Activities when received unless they relate to a specific period, in which case they are recognised as income in the period to which they relate. d) Revenue grants are shown in the Statement of Financial Activities in the year to which they relate and when the conditions for receipt have been complied with. Vthere the grant has to be matched to a different period the deferred elerrEnt is deducted from incoming resources and carried forward in liabilities. Restricted funds represent grants and donations which are allocated by the donor for specific purposes. Designated funds are unrestricted funds eamiarked by the trustees for particular purposes. g) Rentals payable under operating leases are taken to the profit and loss account on a straight line basis over the lease term. EXPENDITURE ON CHARITABLE ACTIVITIES Unrestricted Restricted Funds Funds T•tAI 2025 Total 2024 Staff costs (note 6) staff travel and subsisten staff training and development Other stsff costs Rent Telephone and IT Postage and stationery Client travel and subsistence Client skills and education Operations Volunteer expenses Albion Road running costs Lexham House running costs Light, power and heating External - support workers 159,293 85.180 244,473 187.073 545 2,287 10,213 112,500 2,647 289 3,778 1,049 3,990 6,117 1,834 8,367 130,000 4.097 625 2.040 1,126 1,253 2,960 9,620 130,000 4,710 718 2.345 613 93 305 9,133 2.922 1,390 438 10,523 3.360 33.665 10,788 42,176 5,027 1.615 6,314 38,692 12,403 48,490 14,956 14,304 8.768 404,940 103,354 508,294 368,516 The 2024 comparatives of £368,516 include restricted charitable activities expenditure of £77,829 and unrestricted expenditure of £290,687 -14-
Steps2R•¢overy Notes to the Flnancial Statements for th• y•ar •Thd 31st March 2025 EXPENDITURE ON RAISING FUNDS Unrestricted Restricted Funds Funds Totsl 2025 Total 2024 Fundraising Infomation, publicity and website 2.485 372 2.857 2,621 6,780 2,485 372 2,857 9,401 All of the 2024 expenditure is unrestricted. GOVERNANCE COSTS Unr•strict•d Restricted Funds Funds Total 2025 Total 2024 Indep8ndent examinerfs fees Legal and financial 1,565 10.630 235 1,591 1,800 12,221 1,800 11,834 12,195 1.826 14,021 13,634 All of the 2025 expenditure is unrestricted. TAX ON ACTMTIES steps2Recovery is a registered charity and as such is not liable for taxation on any surplus. STAFF COSTS 2026 2024 Salaries Annual leave accrual 2025 Employers national insurance Pension contributions 222,868 (1,636) 15,688 7,553 170,007 (286) 10.804 6,548 244,473 187,073 The average number ofemployees during the yearwas 6 (2024: 6). No employee earned over£60,000 per annum. Nonè of the trustees re]Ved any emoluments or travelling expenses during the year (2024.. £85). -16-
Steps2Re¢ov¢ry Notes to the Financial Statsments (Continued) for th• y•ar •nd 31st Mareh 2025 DEBTORS 2025 2024 Accrued incom8 Prepayments Other debtors 11,002 850 21,667 9,026 29,953 33,519 37,979 CREDITOR8: AMOUNT8 FALLINO DUE WITHIN ONE YEAR 2025 2024 Accruals Deferred income 13,498 10,001 10,000 13,498 20,001 RESTRICTED FUNDS- CURRENT YEAR At Received Expenditure At 31.03.24 in year in year 31.03.25 The Christopher Needler Charttable Trust John Coates Charitable Twst National Lottery Community Fund City Bridge Trust 12.380 852 10.000 8,775 12,380 (852) (40,000) (64,700) 24,410 30,000 80,335 32,007 110,335 (105,552) 36,790 RESTRICTED FUNDS- PRIOR YEAR At Received Expenditure At 31.03.23 in year in year 31.03.24 The Christopher Needler Charitable Trust John Coates Charitable Trust National Lottery Community Fund City Bridge Trust Welland Trust 19.160 1.901 15,000 8,775 5,000 (6,780) 12,380 {1,049) 852 (65,000) 10,000 8.775 60.000 (5,000) 49,836 60,000 (77,82g) 32,007 -18-
Stsps2Recov•ry Notes to th• Financial Statements (continued) for the year ended 31st March 2025 RESTRICTED FUNDS - (CONTINUED) Tho Christopher Ne•dl•r Charitable Trust: A grant to support the promotion of Steps2Recovery and its activitj'es. The Henry Smlth Charity: A grant to support the running costs of the Steps2Recovery charity. Lloyds Bank Foundation for England and Wales: A grant to support the running costs of the Steps2Recovery charity. Jahn Coates Charitable Trust: A grant to be used for thg purposas of aducation, gmploymgnt and training. National Lottery Communlty Fund: A grant to support the running costs of the Steps2Recovery charity. City Bridg• Trust: A grant to support the employment of a Chief Executive Officer. Welland Trust: A grant to support care experienced people. 10. Related party transactions During the current period, donations totalling £1,109 (2024: £600) were received from Trustees. There were no other related party transacb'ons during the current period. During the previous period. three £10.000 short term loans were provided by trustees and subsequently repaid before year end. These were related to short tem problems associated with transitioning to a new bank account At the balance sheet date £Nil of loans provided to the Charity by the trustees (2024: £Nil) remains outstanding. -17-