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2021-03-31-accounts

Charity Registration No. 1140235

Company Registration No. 07363967 (England and Wales)

DERBY CITY MISSION LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

DERBY CITY MISSION LIMITED

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees A N Town
H C Disney
J S Millard
G J Pickup
D Radcliffe
A Mann
R N Orford
G R Watkins
Charity number 1140235
Company number 07363967
Registered office 10 Normanton Road
Derby
DE1 2GW
Auditor Azets Audit Services
Ruthlyn House
90 Lincoln Road
Peterborough
United Kingdom
PE1 2SP
Bankers Unity Trust Bank Plc
9 Brindley Place
Birmingham
United Kingdom
B1 2HB
Charity Aid Foundation Bank
25 Kings Hill Avenue
Kings Hill
West Malling
Kent
United Kingdom
ME19 4JQ

DERBY CITY MISSION LIMITED

CONTENTS

Page
Trustees' report 1 - 12
Statement of Trustees' responsibilities 13
Independent auditor's report 14 - 16
Statement of financial activities 17 - 18
Balance sheet 19 - 20
Statement of cash flows 21
Notes to the financial statements 22 - 38

DERBY CITY MISSION LIMITED

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

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

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Charity's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".

Objectives and activities

Principal activities

The principal activities of the Charity are the relief of need amongst citizens of Derby, Derbyshire and surrounding counties based on Christian principles and to advance the Christian faith in the City of Derby and other parts of the world. This is in accordance with the objects contained in the Memorandum and Articles of Association, the charity’s governing document.

Charitable objectives

The charitable objects of the company are:

In their capacity as trustees as well as directors, the trustees consider that they have complied with their duties under section 4 of the Charities Act 2006 to have due regard to the guidance published by the Charity Commission on the subject of public benefit. The charity’s activities are summarised below.

The two underlying principles are:

Our main activity for the year has been the continued running of a number of social action projects which come under object 1 of our charitable objects.

Achievements and performance

Our work among the homeless and those requiring debt advice and support to tackle extreme poverty and emerge from chaotic or addictive lifestyles is organised into two separate but operationally linked departments, Crisis Support and Poverty Prevention. Crisis Support covers the operation of our Safe Space, Nightshelters, Recovery Lunch Project and Storehouse, while the Jubilee Project and Basics Bank come under the banner of Poverty Prevention.

DERBY CITY MISSION LIMITED

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

Crisis Support

Safe Space

This is a pioneering initiative providing entrenched rough sleepers with a ‘safe space’ to rest and recover, including showering and laundry facilities and medical support, during the day and temporary accommodation overnight which began in March 2019. Funded partly by the Ministry of Housing, Communities and Local Government (MHCLG) and part-funded and operated in partnership with the Police and Crime Commissioners Office (OPCC), Derby Homes, Derbyshire Constabulary, Derby City Council (Public Health), the initial thirteenmonth pilot has been extended twice for a further fifteen months in total and we are hopeful a further extension to March 2023 will be granted. The Safe Space initiative is delivered by sixteen staff members (9.8 full-time equivalent) with additional support from a Paramedic.

On 27th March 2020, with the onset of the Covid pandemic and in response to the national directive to bring “everyone in”, Safe Space staff worked in partnership with Derby Homes to move operations to a local hotel to provide accommodation for all rough sleepers with up to 60 guests staying at one time and 141 different guests were able to isolate during the lockdown between March and mid-June 2020 when it closed. Derby was the first city in the country to be able to find alternative accommodation for everyone staying in its hotel and close it. Many cities have continued to be dependent on hotels to accommodate rough sleepers during the pandemic. In July 2020 a grant of £40,000 was received to facilitate the purchase of four separate Perspex sleeping pods and an air filtration system, which, in conjunction with two one-to-one rooms, has enabled us to provide Covid-safe sleeping conditions for six guests overnight. In September 2020, Derby City Mission was awarded the Lionel Massingham Partnership Award by Derby Homes in recognition of our outstanding partnership working, particularly with the rough sleepers during the pandemic. In February 2021, Safe Space hosted the delivery of Covid vaccinations by the Paramedic to the homeless community, many of whom are vulnerable because of underlying health conditions. Over two days just over 200 people received their first vaccination and their second vaccination. Derby is the first city in the country to have vaccinated a significant proportion of its homeless community.

During the second year of operation, which began in mid-June 2020 following closure of the hotel, 171 different people accessed the Safe Space service for varying levels of support, from showering and laundry facilities to support with benefit claims and getting into rehabilitation or a permanent tenancy. Of those 171, 125 people moved into accommodation, 14 already had accommodation but came for recovery and support to stay in their tenancies, 12 have gone to prison, one has passed away, three have been helped back to their home countries, and 16 remain in a homeless situation. In the second year Safe Space staff recorded 9606 interventions or engagements with the different guests, which equates to an average of 56 engagements per guest. This illustrates the complexity and chaotic nature of the people that we are working with and the level of work required in assisting each guest to move out of homelessness.

In August 2020, funding was secured from CRISIS for one year starting in December 2020 to employ two Moved-on Support Workers to provide support to guests moving on from Safe Space into their own accommodation. These staff assist in acquiring furniture and home equipment, setting up best value utilities and appropriate payment arrangements for essential bills. They are able to attend appointments with them and in many practical ways provide the support and encouragement for guests to maintain their tenancies and take a significant step out of the chaotic lifestyle often associated with homelessness. We have already seen ten guests helped into accommodation and continue to be supported to remain there.

Homeless Winter Provision

Due to the pandemic we were not able to operate Nightshelters in Derby, Chesterfield and Mansfield, as we have done for the last seven, two and three winters respectively, as our rolling nightshelter model involved accommodating up to 35 homeless guests in mainly open plan spaces with shared bathroom facilities. We have previously partnered with seven churches in the centres of Derby, Chesterfield and Mansfield, using a different church each night of the week, however the nature of the facilities available meant that they could not be made Covid-compliant. Our Safe Space initiative did form part of the Severe Weather Emergency Provision for homeless people in Derby City during the winter months.

DERBY CITY MISSION LIMITED

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

Under the auspices of the Ministry of Housing, Communities and Local Government (MHCLG) Rough Sleeping funding, we were invited by Derbyshire County Council and eight other Borough and District Councils, which form a partnership covering Derbyshire and Staffordshire Moorlands, to work in partnership with Derbyshire YMCA and Mount Cook Adventure Centre, located near Matlock, to provide accommodation for up to 35 homeless guests from across Derbyshire. The Mount Cook Centre has sufficient rooms with their own bathroom facilities to accommodate guests individually and Covid-safely, with plenty of space in the building to enable social distancing. However, because of the remote location, the service was open 24 hours per day, seven days per week between 15th December 2020 and 31st March 2021, rather than just in the evenings and overnight as our nightshelters had been.

Over the three and a half month period of operation, Mount Cook provided safe and secure shelter for a total of 91 guests, with a maximum of 34 staying at any one time. Weekly sessions to give advice around budgeting, debt and tenancy support were offered by our Jubilee Debt Adviser. Three guests were released from debt through Debt Relief Orders (DRO), including one with significant rent arrears which had been a barrier to him acquiring a tenancy, and the total financial benefit to those guests advised was £32,079. With the support of housing advisers and providers P3, Pathways and Spectrum Housing, 62 of our guests were helped into secure supported or shared Council accommodation on a permanent or temporary basis before the project closed on 31st March 2021. During the operating period Derbyshire Recovery Partnership supported guests with drug and alcohol addictions by providing a staff member on site, which has resulted in strengthening of professional relationships and a much greater level of engagement from guests. Derbyshire Community Dental Service have visited eight times to look after guests' dental health and Covid vaccinations were delivered by staff from Hannage Brook Medical Centre, Wirksworth. Disappointingly, only seven guests were vaccinated but nine DCM and Mount Cook staff working on site also received vaccinations. Seventeen sessions of art therapy were run to improve mental health and facilitate self-expression in a holistic manner. Local guided walks and outdoor sports were also organised to improve both mental and physical health. Homeless Link provided a £27,774 grant to run these mental health sessions as well as enabling the purchase of food, PPE and debt management support. The project was delivered by one Project Manager who was seconded from Safe Space and thirteen temporary staff members.

Recovery Lunch Project & Storehouse

Prior to March 2020 and the outbreak of the Covid pandemic, Recovery Lunch and Storehouse welcomed street drinkers, the homeless and people with chaotic lifestyles on Wednesday afternoons and Thursday evenings respectively to a warm meal and a welcoming environment where relationships of trust were built and ongoing support given. The projects would regularly see up to 60 guests come through the doors each week. A team of volunteers would prepare and serve food and another team of volunteers would sit and talk with the guests. Because of the Covid restrictions it has been impossible for these projects to operate safely for guests and volunteers, therefore it is with great sadness that we have had to suspend Recovery Lunch and Storehouse for the whole of the year and the foreseeable future. We have been able to offer limited support to this community through the Safe Space project.

DERBY CITY MISSION LIMITED

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

Poverty Prevention

The Jubilee Project

This is a free, open access debt and welfare benefits advice service. In ‘normal’ times, weekly clinics are held in three different locations across the city identified by the English Indices of Deprivation 2019 as being the areas of highest deprivation in Derby and an additional fortnightly clinic is based in a Surestart centre, sponsored by local churches. This year has been dominated by change for the project and we have very quickly had to adapt to providing advice online and over the phone. This has been managed very effectively and whilst other projects in the city have had to reduce their services, Jubilee has continued to be able to reach out to the local community. Clients are referred mainly by recommendation from former clients, or by various Derby City Council departments and other voluntary and statutory agencies. As one of only a small number of debt advisers licenced to handle tier 2 debt, we are the preferred advice agency for many statutory bodies and other charities in the city. The project works individually with each client on a weekly basis advising them of their possible courses of action, liaising with creditors, local authority departments and the Department for Work and Pensions on their behalf, helping them with forms and applications and also supporting them emotionally by means of trained volunteers. To help us cope with the increase in demand, we have trained key volunteers at each clinic to assist clients with all basic form filling and how to make some initial calls to DWP or creditors to increase the capacity of the trained debt and benefits advisers. In the year to March 2021 the project held around 2294 client appointments. From the work we undertook on behalf of our clients, our clients financially benefitted by over £1 million. We were able to help clients access over £261,493 in benefit and tax credit payments to which they were entitled, directly intervened for 47 clients to prevent homelessness, utility disconnection or bailiff/court action and 47 clients went through the process of a Debt Relief Order, writing off £665,627 of debt. 240 clients received funds through a trust fund application or a grant at a value of £46,042, almost double the number of clients helped last year. 233 debt repayment plans or payment arrangements were made on behalf of clients. During the year this project had two staff members (one full-time and one part-time), one volunteer adviser and twenty volunteers at clinics when they are open.

Basics Bank

This is a sister project to the Jubilee Project. The Basics Bank food bank service provides food parcels containing staple food items, primarily to people who are accessing and engaging with our Jubilee Project. We estimate the Basics Bank gave away approximately £52,325 (2020 - £21,300) worth of food in 2,093 food parcels this year (2020 – 852 food parcels), feeding an estimated 6,000 people. We have been in a position to be able to supply basic food items to SafeSpace as well as sharing excesses with Derby Food 4 Thought Alliance, a recently-formed foodbank collective, and other local foodbanks and homeless projects in the city (c. £10,650). All of the food is donated by members of local churches, schools and the public, including through a collection point at ASDA, Spondon which has increased three-fold in the last two years. We also receive regular deliveries of unwanted produce from supermarkets. In July 2020 the Basics Bank was moved from leased premises to the outbuildings at Normanton Road, which was a huge undertaking achieved with the help of a great team of volunteers. The project has one part-time staff member and twelve volunteers.

In March 2020 at the start of the first national lockdown, demand for food parcels increased four-fold to record levels and over the year the number of food parcels given away was almost two and a half times that of the previous year. We joined together with Derby Food 4 Thought Alliance and other food banks in the city to support the Council-run initiative Derby Community Hub to provide food for those in need and to deliver supplies to people who could not get out during the lockdown or were self-isolating on health grounds. Delivery of food parcels has continued throughout the year, apart from a two-month window in September and October 2020 when clinics were able to re-open under Covid-safe restrictions . A team of 44 faithful volunteers have carried out these weekly, and since November 2020, twice weekly food parcel deliveries to ensure that those individuals and families in need have not gone without food.

DERBY CITY MISSION LIMITED

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

Building on the lessons learnt from the Mentoring pilot scheme, we secured funding for one year from MIND to the Befriending scheme, in December 2020 to provide on-going support for clients who have been helped through our Jubilee Project or referred by external agencies to reduce the risk of them falling back into debt or becoming homeless and improve their physical and mental health. Because of the restrictions of the pandemic, this project has had to operate remotely with each volunteer being issued with a mobile phone through which to keep in contact each week and support their clients. Ten Befrienders have been trained and allocated a maximum of five clients; 30 clients had been helped through the scheme in various ways, including several receiving encouragement to attend GP or hospital appointments to address long term illnesses; two clients struggling with depression and unable to talk have been encouraged to open up by gentle text communication and supported in the knowledge that someone is there for them. The confidence of two clients has been boosted so that one is volunteering at a local charity shop and the other has a job and no longer feels he needs the support of the scheme. The project has one part-time staff member and ten volunteers.

Night-time Economy

Street Pastors

This is the Derby outworking of the national Street Pastors initiative established by the Ascension Trust. We have now been operating as a franchise for the last twelve years and put teams of Christian volunteers from up to 22 different churches into the city centre between 10pm and 4am on a Friday and Saturday night to listen, care and help. All volunteers are given forty hours of training to equip them to serve as a Street Pastor. Derby City Mission partners with Derbyshire Constabulary, Derby City Council CCTV, Derby Pubwatch, door staff, club managers and the taxi marshal scheme to ensure that a complete service of help and protection is offered to people in Derby city centre late at night. People enjoying a night out may at some point find themselves in a place of vulnerability or difficulty. It is our aim to leave someone in a better situation than when we first met them. A shift may involve helping someone sober up to ensure that they have safe transport home, reuniting people with friends, doing basic first aid for those who are injured, or simply chatting with people about their lives, hopes and fears. As a consequence of the three Covid national lockdowns during the last year, the Street Pastor project was not operating within the Night Time Economy for eight months, and two part-time staff members have been placed on furlough at times within those periods. For the remaining four months, bars and restaurants were subject to a 10pm curfew. During this time we amended our patrols to a 7pm to 11pm shift. This has meant that the levels of interventions with the public were minimal due to the need to comply with the government advice on social distancing. A number of Street Pastors have decided to retire during the last year leaving 38 volunteers still involved in this project.

Christmas Connection

Each December we run this project which gives Christmas presents to underprivileged children in Derby who otherwise might not receive any. In December 2020 we were able to give Christmas present parcels to 705 children. Around 175 of these children were referred from families being supported by our Jubilee project and we received referrals from 13 other organisations including Christian charities supporting families in need, refugees and asylum seekers, as well as churches, schools and a community centre in areas of the highest deprivation in Derby. Each Christmas parcel contains two toys, a book, sweets/chocolate, smaller stocking fillers, a soft toy (if age appropriate) and a Christmas message. Gifts are usually donated by individuals and churches, however, because of the pandemic we launched an Amazon wish list and a website appeal to enable people to make donations. Gifts to the value of £10,500 were purchased through the Amazon list and an additional £7,825 was raised through our website appeal. We also received large donations of gifts from staff at Rolls Royce, East Midlands Railways, Vinci Facilities, Huws Gray and Derby High School, as well as from a church and community toy collection in Breaston. One recipient commented, ‘Your work is transformative; for each child you give not just the gift of Christmas but the gift of kindness which could change the whole way they see the world.’ This project is overseen by the Central Services Manager and twenty volunteers.

Across all of these projects it is clear to see the benefit to the public - from helping people out of debt or addictive lifestyles to making the city centre safer at night time and providing food and shelter to homeless people during the winter months.

DERBY CITY MISSION LIMITED

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

Further Activities

In addition to these main activities, under the second Charity object we are involved in teaching Christian values and biblical truth in schools and offering a safe and friendly environment for people to explore the Christian faith through the lunchtime service at St Peter’s Church, Alpha courses and at gatherings like YADA. Prior to the pandemic, Alpha Course-based sessions have been held with enquirers who attend Recovery Lunch, Storehouse or were guests of Derby Churches Nightshelter. In partnership with City Vision, we have continued to hold a quarterly Citywide Prayer event, this year online, to gather Christians from churches across the city to pray for our city and the world.

Schools Work

With the closure of schools due to the pandemic, it has been a very different year for our self-supporting Associate Schools Worker who has had to adapt to delivering assemblies and teaching via videos, rather than in person. Class visits to deliver a five-week interactive RE teaching programme to engage groups of primary school children (Years 5 & 6) with chronological teaching of the big picture of the Bible have been replaced by videos. Interestingly, a larger number of schools have taken advantage of using the video materials, enabling more children to benefit from the teaching than when delivered in person. In partnership with workers from local churches, he has been involved in writing and recording almost weekly assemblies which have been used in four primary schools in Normanton and Littleover areas of Derby. As a member of the Derby Kids for Christ Discovery Squad team, he has helped in the recording of eight assembly videos which have been sent to all schools across Derby. No holiday camps were held at Pine Lake Centre in school holidays this year. Experience Christmas and Experience Easter, presentations of the true messages of Christmas and Easter which would normally reach 450 children from seven local primary schools, have been recorded on video and the link sent again to all the schools in Derby. Teaching via video is also opening up new opportunities to train children’s workers and parents in Tanzania and Ghana in how to communicate the Bible to children in an accessible and meaningful way.

YADA

Building on the good reputation we have in the city because of the Street Pastors ministry, we launched the concept of a dry night club venue called YADA in May 2017. The aim is to provide an alternative space for young people to gather, build authentic friendships and socialise without alcohol and also to be able to present the Christian message in a culturally relevant way. Since September 2018 we have been meeting fortnightly at BEAR, a coffee shop in the night time economy district of the city, and we were also able to engage with hundreds of students to promote YADA at University Freshers events. The more intimate atmosphere at BEAR has fostered further deepening of friendships within this community and opportunities for faith conversations. Since funding for a paid position to coordinate this project ran out in April 2019, this project has been run by a core team of seven volunteers and, with DCM’s blessing, has been established as a separate Community Interest Company (Yada Collective, no 12747405) in July 2020.

St Peter’s Service

In May 2019 Derby City Mission took over the running of a weekly church service and lunch held on Friday lunchtimes at St Peter’s Church in the city centre. The purpose of the service is to preach the Word of God, worship God together and build and support a community through sharing a buffet lunch and fellowship together. At the invitation of St Peter’s Church, Geoff Holland, DCM’s founder, and a team of volunteers started this service in 2000. The service is attended by 40-60 people each week, many of whom are retired and prefer to attend a service during the day, as well as professionals, visitors to the city and people from the homeless community. It was seen as prudent to suspend the service in mid-February 2020 with the onset of Covid because of the demographic of the community who attended the service and there are no plans to restart the service for the foreseeable future.

DERBY CITY MISSION LIMITED

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

Development of 10 Normanton Road

The last eighteen months has seen a step change in DCM’s facilities and our capability to deliver our services. In October 2019 we completed the purchase of our new community hub building at 10 Normanton Road. Immediately on completion a programme of renovation and refurbishment started, the majority of which was funded by the generosity of our supporters. This included safety certification, new roofing and drainage, fire alarm upgrade and rewiring for internet connectivity. In February 2020 we started a £150k installation of the Safe Space facility, two-thirds of which was provided by partner grants. This has provided a new selfcontained shower and toilet area, offices, medical room, kitchenette, remodelled entrance with disabled access and a CCTV and door security system. This work was completed at the end of May, enabling relocation from temporary facilities at Charnwood Street, and was ready to receive guests in June 2020 once the hotel providing accommodation for rough sleepers during the Covid lockdown was closed. In May 2020 we received a £50k grant from the Garfield Weston Foundation to enable us to redevelop two major areas of the building. Firstly, the outbuildings were refurbished to enable us to relocate our food bank from the rented warehouse on Robinson’s Industrial Estate to our main site which has greatly increased the efficiency of the Basics Bank. In addition, the public toilets in the main building have been completely refurbished which is seen as a key requirement to opening other services.

Fundraising

Due to Covid-19 fundraising over the year was incredibly chaotic as many funders halted or cancelled their usual funding streams and as such our Fundraising Strategy was rendered useless. We did however, respond quickly and maximised every opportunity as they arose. During the year we successfully applied for and were awarded over £800,000 of funding from trusts, foundations and grant funding bodies from across the statutory, business and charity sectors. This funding has been used to support our frontline services to support those most vulnerable through the pandemic as well as to pay for essential core costs which enable the running of the organisation.

We wholeheartedly thank all of our funders and individual donors without whose generosity and support many people would have suffered. As we look to the future we are developing a new Covid-19 flexible Fundraising Strategy as well as further spreading our income base to minimise operational risk to the organisation.

Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.

DERBY CITY MISSION LIMITED

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

Review of activities

All projects are reviewed by the CEO and the Executive on an ongoing basis. Operational reports for each project are submitted to the Trustees on a quarterly basis.

At Safe Space, attendance data and the number of interventions or engagements in the process of finding a suitable housing solution for each guest is recorded, along with an incident log. This information is vital for the management of the project and is reported to our funding partners on a weekly basis. At the end of the initial thirteen-month pilot a full review was carried out before the decision to accept funding for a further twelve month period commencing March 2020. A further review was carried out at the end of the current funding period.

Attendance and outcome data were collected during the period of operation of Derbyshire Winter Provision at Mount Cook Adventure Centre and shared with other local partners who assisted in finding housing and support solutions for guests. A full review of Derbyshire Winter Provision was carried out in April 2021 with the funders Derbyshire County Council and nine borough and district councils which make up the partnership covering Derbyshire and Staffordshire Moorlands (Erewash Borough Council, Amber Valley District Council, Bolsover District Council, Chesterfield Borough Council, Derbyshire Dales District Council, High Peak Borough Council, North East Derbyshire District Council, South Derbyshire District Council and Staffordshire Moorlands District Council) and partners YMCA Derbyshire and Mount Cook Adventure Centre.

In the case of the Jubilee Project, quarterly statistics are collected on quantitative outputs, including financial gain and debt written off, which has shown a continuation of the number of cases dealt with and the resulting financial outcomes over the year. Basics Bank records the number of parcels given out and has seen a sharp increase by almost two and a half times in demand compared to the previous year (2019/20: 852; 2020/21: 2093), which were able to feed a minimum of 6,000 people. Almost a third (31.6%) of the parcels were given to clients who were in debt, 12% to people who had lost their jobs and 16% to people who had been affected by Covid in other ways. A further 12% were given to clients who had issues with their benefits or had been sanctioned or their payment delayed; 12% to clients who were on low income or had budgeting issues (10%).

In normal circumstances, nightly statistics are collected by Street Pastors and these are formulated into a quarterly report and then a longer annual report. These reports are circulated amongst the statutory partners, the Ascension Trust, Derby City Council and other important bodies. However this year statistics have been minimal as Street Pastors have only been operating for four months of the year and even during that period, contact with the public and partner agencies was limited by social distancing. The relationship between the Street Pastors and local agencies has continued to be valued in the city.

For the other projects performance and review is of a more ad-hoc nature, with checks to ensure that the project is at least continuing as currently, but with some emphasis in recruiting more volunteers and making the most of opportunities that arise.

DERBY CITY MISSION LIMITED

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

Financial review

A first look at the financial results for the year to March 2021 indicates a tremendous turnaround from the disappointing results seen to March 2020. At that time we saw an overall deficit of £127k and in the current year this has moved to an overall surplus of £232k.

The factors that have led to this turn-round include:

However, this very positive change demands some further analysis. We need to differentiate between our ‘restricted’ and ‘unrestricted’ results. Our restricted funds/activity represents our use of funds provided to us for specific projects. These funds cannot be used elsewhere. Our unrestricted funds represent the amount we have available to further DCM’s charitable objectives in any way approved by our Trustees.

In 2020 we used significant restricted reserves to support our activities which resulted in a deficit in the restricted funds to March 2020 of £145k and left us with a balance of only £88k. In contrast during the year to March 2021 we saw net surpluses totalling £140k across our restricted projects resulting in reserves restricted for specific projects of £228k. This will be used to support our vital works in the future.

Moving now to the changes in our unrestricted funds, in the year to March 2020 we saw a net surplus on our unrestricted funds of £12k, while in the year to March 2021 this grew to £93k. We continued to control our expenditure to a level within our incoming unrestricted funds.

Once again in 2021 we saw our people costs being a high proportion of our total costs. After adjusting for exceptional items such as depreciation and internal charges we saw staff costs in 2021 at £595k (71% of adjusted total costs) against £672k (78% of total costs) in 2020. The significant items causing this reduction is the absence of Derby, Chesterfield and Mansfield nightshelters in the 20/21 winter season. This was partially offset by the Mount Cook winter provision in the current year.

The healthy surplus for the year means that total reserves now stand at £582k compared to £350k in March 2020. Restricted reserves increased by £140k to £228k and unrestricted reserves by £93k to £354k. Within unrestricted reserves, designated reserves (i.e. those representing the net cost of fixed assets) moved from £313k to £277k, and, more crucially, free reserves now stand at £76k against a deficit of £51k at March 2020, a hugely significant turn-round. The Trustees reviewed the free reserve target during the year and agreed that a prudent level for such reserves is 20% of operational expenditure which currently approximates to £200k, an ambitious target for the next two years but which is considered to be realistic with continued application of the lessons learned in recent years.

In June 2021 we completed the sale of our former offices at 25 Charnwood Street. We purchased these premises for a sum of £200k in June 2013 and after amortising the value of the building the book value at the date of sale was £158k. The property was sold for the sum of £252k (net of fees and charges) which resulted in a surplus of £94k. This sale enabled us to fully discharge the CAF Bank commercial loan in June 2021.

DERBY CITY MISSION LIMITED

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

Risk mitigation policy

Where appropriate, systems or procedures are established to mitigate the risks the charity faces. The significant external risks to funding are an ongoing issue that is continually monitored with a view to diversification of funding sources and activities.

Internal control risks are minimised by the implementation of procedures for authorisation of all material transactions and projects. Procedures are in place to ensure compliance with all statutory obligations e.g. Health and Safety, DBS checks, etc, for staff, volunteers, clients and visitors to the Charity where applicable. Precautionary Insurance is also in place designed to respond in the event of any claims that may arise against the Charity, in accordance with good practice. These insurance covers include public liability, employer’s liability, business interruption and trustees and professional indemnity.

The Trustees have assessed the major risks to which the Charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

Plans for the future periods

With the increase in staff and the advent of Safe Space, our head office at Charnwood Street had reached full capacity. In October 2019 we completed the purchase of our new building at 10 Normanton Road to house not only our staff and support facilities but also to become our Community Hub, to pilot and deliver a range of supplementary services building on our Crisis Support and Poverty Prevention work. Immediately on completion a programme of renovation and refurbishment started, including a purpose-built facility for Safe Space, refurbishment of the outbuildings, which has enabled us to relocate our food bank from the rented warehouse on Robinson’s Industrial Estate to our main site, and the complete refurbishment of the public toilets in the main building. W e have upgrad ed the heating system with zones to improve efficiency and installing a commercial standard kitchen that will be used to serve a new community café.

Using the new purpose-built facilities, we will continue to provide the Safe Space, 24/7 rest and recovery facility for entrenched rough sleepers, funded partly by the Ministry of Housing, Communities and Local Government (MHCLG) and part-funded and operated in partnership with the Police and Crime Commissioners Office (OPCC), Derby Homes, Derbyshire Constabulary, Derby City Council (Public Health). After a review by all parties, it is hoped that additional funding will be available to continue this ground-breaking initiative to at least until March 202 3 . Additional funding is also being applied for to employ workers to support those who have moved on from Safe Space, enabling them to get established in and maintain their tenancies.

We will continue to strengthen links between local authority services and churches to deliver activities to prevent rough sleeping and homelessness in Derbyshire and East Staffordshire.

To further expand our capacity to cope with the increasing workload, we have secured and are looking for further funding to train and retain an additional Benefits Adviser. In December 2020 we launched the Befriending scheme, to provide on-going support for clients who have been helped through our Jubilee Project or have been referred by external agencies to reduce the risk of them falling back into debt or becoming homeless and improve their mental health. We received funding from MIND for one year to launch this project and are looking for further funding to continue to support the high number of people whose mental health has deteriorated as a consequence of the pandemic. We also hope to launch an Employability Skills project in partnership with a local agency, offering online job search facilities, help with job applications and producing CVs and training in interview skills, supporting clients to get back into employment.

DERBY CITY MISSION LIMITED

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

Due to the ongoing disruption of the Covid pandemic during 2021 it is difficult to make firm plans until such time as national restrictions are lifted. We expect that our services supporting the community like St Peter’s service, Recovery Lunch and Storehouse will remain suspended for the foreseeable future due to the increased infection risks presented by gathering. We anticipate that we will have to modify the delivery of other services giving much-needed support through food parcels and debt and benefit advice to make them compliant with the Covid safety restrictions when clinics re-open. Even as schools re-open, we expect that teaching and assemblies will continue to be delivered to children via online platforms. We aim to recommence Street Pastors whenever the night time economy is open with shift times and revised operating protocols in place.

Building on the expertise and reputation of operating Street Pastors in the city, we are aiming to pilot another Ascension Trust initiative School Pastors in a local secondary school. School Pastors promote safety, emotional wellbeing and aim to reduce anti-social behaviour. They are there to listen, care and help young people to become good citizens. Volunteers will receive up to 25 hours of training to equip them for this role. The timing of this will be dependent on schools being able to accept volunteers on to their sites as a consequence of the pandemic.

Financially, plans for the future are threefold. Firstly, to increase the amount of income received towards the work particularly by targeting grant funders and projects of Derby City Mission, secondly, to keep a tight control of expenditure, and thirdly to seek to achieve and maintain the reserves policy.

Structure, governance and management

The company is a charitable company limited by guarantee with no share capital, incorporated on 2 September 2010 and registered as a charity on 7 February 2011. The company's Memorandum of Association as amended by special resolution dated 7 December 2010 and a further special resolution dated 19 July 2018, establish its objects and powers as a charitable company. It is governed by its Articles of Association.

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

A N Town

H C Disney R E Ita (Resigned 31 March 2021) J S Millard G J Pickup D Radcliffe A Mann R N Orford G R Watkins

Method of election of Trustees

The management of the charity is the responsibility of the directors/trustees who are elected and appointed under the terms of the Articles of Association.

Organisational structure

The B oard of T rustees meets at least six times per year and is responsible for the strategic direction and policy of the charity. A scheme of delegation is in place and day to day responsibility for the running of the charity rests with the Chief Executive Officer and the Executive, which comprises the Head of Finance, Head of Crisis Support, Head of Night-Time Economy and Head of Poverty Prevention. The CEO, Head of Finance and Central Services Manager all attend Trustees’ meetings, but have no voting rights. The T rustees have the opportunity to meet without the officers being present at the conclusion of each formal T rustees’ meeting, should the need arise. Operational issues are dealt with by the Executive; some projects also have a management team which can include T rustees in their membership.

DERBY CITY MISSION LIMITED

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

Policies and procedures for induction and training of Directors/Trustees

The induction and training pack for employees forms the model for an induction and training programme for D irectors/ T rustees.

The pay of the senior staff is reviewed annually and normally (subject to affordability) increased in accordance with inflation.

Benefits to Directors

The directors of the charity are also charity trustees for the purposes of charity law and all directors give their time voluntarily and received no benefits from the charity during the year ended 31 March 202 1 (see note 10).

Related parties

Derby City Mission has no other related parties that make a significant impact upon the policies adopted by the organisation.

Auditor

In accordance with the company's articles, a resolution proposing that Azets Audit Services be reappointed as auditor of the company will be put at a General Meeting.

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

A N Town

Trustee Dated: 3 September 2021

DERBY CITY MISSION LIMITED

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 MARCH 2021

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

Company Law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these financial statements, the Trustees are required to:

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

DERBY CITY MISSION LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF DERBY CITY MISSION LIMITED

Opinion

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

In our opinion, the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

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

We have nothing to report in this regard.

DERBY CITY MISSION LIMITED

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF DERBY CITY MISSION LIMITED

Matters on which we are required to report by exception

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

Responsibilities of Trustees

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

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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

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

DERBY CITY MISSION LIMITED

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF DERBY CITY MISSION LIMITED

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

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

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

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

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

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Mr Mark Jackson FCA DChA (Senior Statutory Auditor)
for and on behalf of Azets Audit Services 17 September 2021
Chartered Accountants
Statutory Auditor Ruthlyn House
90 Lincoln Road
Peterborough
United Kingdom
PE1 2SP

Azets Audit Services is eligible for appointment as auditor of the Charity by virtue of its eligibility for appointment as auditor of a company under of section 1212 of the Companies Act 2006.

DERBY CITY MISSION LIMITED

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2021

Unrestricted Designated
Restricted
funds
funds
funds
2021
2021
2021
Notes
£
£
£
Income and endowments from:
Donations and legacies
3
311,676
-
188,929
Charitable activities
4
160,500
-
635,348
Other income
5
6,610
-
10,068
Total income
478,786
-
834,345
Expenditure on:
Raising funds
6
9,087
-
-
Charitable activities
7
376,865
-
695,521
Total resources expended
385,952
-
695,521
Net incoming/(outgoing) resources before
transfers
92,834
-
138,824		 TotalUnrestricted Designated
funds
funds
2021
2020
2020
£
£
£
500,605
146,754
-
795,848
46,250
-
16,678
5,630
-
1,313,131
198,634
-
9,087
8,975
-
1,072,386
178,131
-
1,081,473
187,106
-
231,658
11,528
-		 Restricted
funds
2020
£
127,428
410,698
1,113
539,239
582
676,938
677,520
(138,281)		 Total
2020
£
274,182
456,948
6,743
737,873
9,557
855,069
864,626
(126,753)

DERBY CITY MISSION LIMITED

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2021

Unrestricted Designated
Restricted
funds
funds
funds
2021
2021
2021
£
£
£
Net incoming/(outgoing) resources before
transfers
92,834
-
138,824
Gross transfers between funds
34,393
(35,990)
1,597
Net income/(expenditure) for the year/
Net movement in funds
127,227
(35,990)
140,421
Fund balances at 1 April 2020
(51,124)
313,409
87,622
Fund balances at 31 March 2021
76,103
277,419
228,043		 TotalUnrestricted Designated
Restricted
Total
funds
funds
funds
2021
2020
2020
2020
2020
£
£
£
£
£
231,658
11,528
-
(138,281)
(126,753)
-
(118,535)
125,231
(6,696)
-
231,658
(107,007)
125,231
(144,977)
(126,753)
349,907
55,883
188,178
232,599
476,660
581,565
(51,124)
313,409
87,622
349,907

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

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

DERBY CITY MISSION LIMITED

BALANCE SHEET

AS AT 31 MARCH 2021

Notes
Fixed assets
Tangible assets
11
Investments
12
Current assets
Stocks
13
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within
one year
16
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after
more than one year
17
Net assets
Income funds
Restricted funds
20
Unrestricted funds
Designated funds
21
General unrestricted funds		 2021
£
£
1,029,044
2
1,029,046
14,095
35,696
415,712
465,503
(177,859)
287,644
1,316,690
(735,125)
581,565
228,043
277,419
76,103
353,522
581,565		 2020
£
£
1,081,534
2
1,081,536
10,000
81,045
130,374
221,419
(201,423)
19,996
1,101,532
(751,625)
349,907
87,622
313,409
(51,124)
(51,124)
349,907

DERBY CITY MISSION LIMITED

BALANCE SHEET (CONTINUED)

AS AT 31 MARCH 2021

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2021, although an audit has been carried out under section 144 of the Charities Act 2011.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements under the requirements of the Companies Act 2006, for the year in question in accordance with section 476.

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

The financial statements were approved by the Trustees on 3 September 2021

A N Town J S Millard Trustee Trustee

Company Registration No. 07363967

DERBY CITY MISSION LIMITED

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2021

2021 2020
Notes £ £ £ £
Cash flows from operating activities
Cash generated from operations 26 424,868 52,305
Investing activities
Purchase of tangible fixed assets (126,025) (917,099)
Proceeds on disposal of tangible fixed
assets 2,995 -
Net cash used in investing activities (123,030) (917,099)
Financing activities
Proceeds of borrowings - 575,000
Proceeds of new bank loans - 200,000
Repayment of bank loans (16,500) (6,875)
Net cash (used in)/generated from
financing activities (16,500) 768,125
Net increase/(decrease) in cash and cash
equivalents 285,338 (96,669)
Cash and cash equivalents at beginning of year 130,374 227,043
Cash and cash equivalents at end of year 415,712 130,374

DERBY CITY MISSION LIMITED

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

1 Accounting policies

Charity information

Derby City Mission Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is 10 Normanton Road, Derby, DE1 2GW.

1.1 Accounting convention

The financial statements have been prepared in accordance with the Charity's [governing document], the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The Charity is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling , which is the functional currency of the Charity. Monetary a mounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Designated funds comprise funds which have been set aside at the discretion of the Trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

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

DERBY CITY MISSION LIMITED

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

1 Accounting policies

(Continued)

Legacies are recognised on receipt or otherwise if the Charity has been notified of an impending distribution, the amount is known, and receipt is expected.

Donated services or facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. On receipt, donated services and facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

Income received in advance o f provision of other specified services are deferred until the criteria for income recognition are met.

1.5 Expenditure

Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure is reported as part of the expenditure to which it relates:

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold buildings 10-50 years straight line
Kitchen equipment 3 years straight line
Fixtures and fittings 5 years straight line
Office equipment 3 years straight line
Motor vehicles 3 years straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.

1.7 Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year . Transaction costs are expensed as incurred.

A subsidiary is an entity controlled by the Charity. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

DERBY CITY MISSION LIMITED

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

1 Accounting policies

(Continued)

1.8 Impairment of fixed assets

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

1.9 Stocks

Donated goods for distribution held at the balance sheet date are valued at the fair value of the goods at the time of receipt .

1.10 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.11 Financial instruments

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

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

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

Basic financial assets

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

Basic financial liabilities

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

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

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

Derecognition of financial liabilities

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

DERBY CITY MISSION LIMITED

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

1 Accounting policies

(Continued)

1.12 Employee benefits

Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.13 Retirement benefits

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

2 Critical accounting estimates and judgements

In the application of the Charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Donations and legacies

Unrestricted
Restricted
funds
funds
2021
2021
£
£
Donations and gifts
288,557
188,929
Coronavirus Job
Retention Scheme
grants
23,119
-
311,676
188,929		 TotalUnrestricted
Restricted
funds
funds
2021
2020
2020
£
£
£
477,486
146,754
127,428
23,119
-
-
500,605
146,754
127,428		 Total
2020
£
274,182
-
274,182

DERBY CITY MISSION LIMITED

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

4 Charitable activities

2021
£
Grants
795,848
Analysis by fund
Unrestricted funds
160,500
Restricted funds
635,348
795,848
Performance related grants
Safe Space
405,910
Derbyshire Dales District Council
97,250
Homeless Link
89,774
Garfield Weston
50,000
Crisis UK
40,750
Love Your Neighbour
30,000
MIND
27,468
Derby City Council
25,000
Derby Homes
18,767
CAF Covid Support
5,000
Mansfield Council
-
Community Welfare Fund
-
Department of Health
-
Chesterfield Council
-
Bell DR & E Charitable Trust
-
Golden Stable Charitable Trust
-
NEDC
-
Derby Police
-
Alan Bentall Charitable Trust
-
Other
5,929
795,848
5
Other income
Unrestricted
Restricted
TotalUnrestricted
Restricted
funds
funds
funds
funds
2021
2021
2021
2020
2020
£
£
£
£
£
Other income
6,610
10,068
16,678
5,630
1,113		 2020
£
456,948
46,250
410,698
456,948
186,484
-
-
-
-
-
-
34,000
-
-
63,214
43,000
33,150
15,000
15,000
10,000
10,000
10,000
10,000
27,100
456,948
Total
2020
£
6,743

DERBY CITY MISSION LIMITED

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

6 Raising funds

UnrestrictedUnrestricted
funds
funds
2021
2020
£
£
Fundraising and publicity
Seeking donations, grants and legacies
4,399
7,386
Membership schemes and social lotteries
4,688
1,589
Staging fundraising events
-
-
Fundraising and publicity
9,087
8,975
9,087
8,975
Charitable activities
Staff costs
Depreciation and impairment
Premises costs and insurances
Staff training and travel
Purchases
Sundries
Computer and telephone costs
Printing, postage and stationery
Donated food
Legal fees
Share of support costs (see note 8)
Share of governance costs (see note 8)
Analysis by fund
Unrestricted funds
Restricted funds		 Restricted
funds
2020
£
431
-
151
582
582
2021
£
511,138
4,947
26,016
3,651
19,597
57,265
12,352
2,705
62,975
-
700,646
357,486
14,254
1,072,386
376,865
695,521
1,072,386		 Total
2020
£
7,817
1,589
151
9,557
9,557
2020
£
519,756
19,243
25,321
9,728
13,328
38,277
3,167
5,885
27,621
689
663,015
187,778
4,276
855,069
178,131
676,938
855,069

7 Charitable activities

DERBY CITY MISSION LIMITED

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

8 Support costs

Support
costs
Governance
costs
£
£
Staff costs
90,613
-
Depreciation
170,574
-
Premises costs and insurances
40,797
-
Staff training and travel
1,685
-
Sundries and mortgage interest
33,302
-
Computer and telephone costs
20,515
-
Audit fees
-
7,200
Accountancy
-
600
Legal and consultancy fees
-
6,454
357,486
14,254		 2021
£
90,613
170,574
40,797
1,685
33,302
20,515
7,200
600
6,454
371,740		 Support
costs
Governance
costs
£
£
146,795
-
4,500
-
14,173
-
5,313
-
8,979
-
8,018
-
-
-
-
2,700
-
1,576
187,778
4,276		 2020
£
146,795
4,500
14,173
5,313
8,979
8,018
-
2,700
1,576
192,054

Governance costs includes payments to the auditors of £ 7,200 (2020- £ nil ) for audit fees.

9 Trustees

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

10 Employees

The average monthly number of employees during the year was:

Staff
Employment costs
Wages and salaries
Social security costs
Other pension costs		 2021
Number
26
2021
£
552,553
39,683
9,515
601,751		 2020
Number
26
2020
£
606,971
41,895
14,432
663,298

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

DERBY CITY MISSION LIMITED

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

11 Tangible fixed assets

Cost
At 1 April 2020
Additions
Disposals
At 31 March 2021
Depreciation and impairment
At 1 April 2020
Depreciation charged in the year
Eliminated in respect of disposals
At 31 March 2021
Carrying amount
At 31 March 2021
At 31 March 2020		 Freehold
buildings
£
1,089,725
119,652
-
1,209,377
36,900
168,040
-
204,940
1,004,437
1,052,825		 Kitchen
equipment
Fixtures and
fittings
£
£
5,030
49,289
-
1,938
-
-
5,030
51,227
5,030
32,794
-
4,626
-
-
5,030
37,420
-
13,807
-
16,495		 Office
equipment
Motor vehicles
£
£
22,084
12,669
4,435
-
-
(7,995)
26,519
4,674
13,059
9,480
2,660
194
-
(5,000)
15,719
4,674
10,800
-
9,025
3,189		 Total
£
1,178,797
126,025
(7,995)
1,296,827
97,263
175,520
(5,000)
267,783
1,029,044
1,081,534

DERBY CITY MISSION LIMITED

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

12
Fixed asset investments
Cost or valuation
At 1 April 2020 & 31 March 2021
Carrying amount
At 31 March 2021
At 31 March 2020
Other investments comprise:
Notes
Investments in subsidiaries
25
13
Stocks
Finished goods and goods for resale
14
Debtors
Amounts falling due within one year:
Other debtors
Prepayments and accrued income		 Other
investments
2
2
2
2021
2020
£
£
2
2
2021
2020
£
£
14,095
10,000
2021
2020
£
£
-
10,100
35,696
70,945
35,696
81,045

DERBY CITY MISSION LIMITED

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

15 Loans and overdrafts

Bank loans
Other loans
Payable within one year
Payable after one year		 2021
£
176,625
575,000
751,625
16,500
735,125		 2020
£
193,125
575,000
768,125
16,500
751,625

The bank loan represents a loan from CAF Bank secured on the freehold property of the charity, repayable over 10 years by monthly instalment, and at an interest rate of 3.99%.

Other loans represent interest free loans from H Disney, a trustee, of £150,000 and £425,000 from a supporter of the charity, both due for repayment 31 October 2029. These loans are regarded by the trustees as being Concessionary loans advanced to the charity at a below market rate of interest to advance the charitable purposes of the charity for the benefit of its beneficiaries. The trustees have elected to record these loans at the amount received, with adjustment in subsequent years for amounts repaid, rather than at their fair values and subsequently at amortised cost using the effective interest method, as permitted by FRS102.

16 Creditors: amounts falling due within one year

Notes
Bank loans
15
Other taxation and social security
Deferred income
18
Trade creditors
Other creditors
Accruals and deferred income
Creditors: amounts falling due after more than one year
Notes
Bank loans
15
Other borrowings		 2021
£
16,500
13,522
132,097
4,930
3,610
7,200
177,859
2021
£
160,125
575,000
735,125		 2020
£
16,500
18,137
124,500
32,503
7,383
2,400
201,423
2020
£
176,625
575,000
751,625

17 Creditors: amounts falling due after more than one year

DERBY CITY MISSION LIMITED

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

18 Deferred income

Deferred grant income
Deferred income is included in the financial statements as follows:
OPCC/DHCLG re SS Development
Laing Family Charitable Trust
Nationwide community grant
CRISIS UK
MIND		 2021
£
132,097
2021
£
-
32,000
50,000
34,750
15,347
132,097		 2020
£
124,500
2020
£
92,500
32,000
-
-
-
124,500

19 Retirement benefit schemes

Defined contribution schemes

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

The charge to profit or loss in respect of defined contribution schemes was £9,515 (2020 - £14,432).

Other creditors includes outstanding pension contributions of £2,763 (2020: £3,965).

DERBY CITY MISSION LIMITED

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

20 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement in funds Movement in funds Movement in funds Movement in funds
Balance at Incoming Resources Transfers Balance at Incoming Resources Transfers Balance at
1 April 2019 resources expended 1 April 2020 resources expended 31 March 2021
£ £ £ £ £ £ £ £ £
Jubilee - 35,199 (38,463) 3,264 - 48,715 (34,607) 20,344 34,452
Street Pastors 52,204 26,642 (34,473) - 44,373 21,551 (21,727) - 44,197
Derby Churches Nightshelter 78 106,214 (183,979) 77,687 - - - - -
Mansfield Churches Nightshelter 4,814 52,311 (53,764) - 3,361 (40) (189) - 3,132
M:Power 532 - - - 532 - - - 532
Relief of Poverty: Rough Sleeping - 360 (35,130) 34,770 - 20,374 (19,837) - 537
Schools 2,294 - - - 2,294 - - - 2,294
YADA - 474 (450) - 24 - - - 24
Christmas Connection 864 1,858 (1,060) - 1,662 19,387 (3,177) - 17,872
Partnership House - 725 (519) - 206 - - - 206
Chesterfield Churches Nightshelter 5,599 66,724 (68,758) - 3,565 1,809 (4,378) - 996
Safe Space 23,250 224,655 (250,488) 2,583 - 351,845 (340,603) 1,597 12,839
School Pastors - 3,645 (547) - 3,098 300 (56) - 3,342
Storehouse - 8,793 (3,314) - 5,479 3,186 (125) - 8,540
New Build Fund 142,964 11,639 (6,575) (125,000) 23,028 - - - 23,028
Foodbank - - - - - 77,246 (25,529) (20,344)
31,373
Wellness Cafe - - - - - 7,190 - - 7,190
MIND - - - - - 28,468 (25,932) - 2,536
Homeless Link - - - - - 62,000 (62,000) - -
Crisis UK - - - - - 36,625 (24,003) - 12,622
Love Your Neighbour - - - - - 30,125 (29,920) - 205
Mount Cook - - - - - 125,564 (103,438) - 22,126
232,599 539,239 (677,520) (6,696) 87,622 834,345 (695,521) 1,597 228,043

DERBY CITY MISSION LIMITED

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

20 Restricted funds

(Continued)

The Jubilee fund supports a completely free and open access debt and welfare benefits advice service. Clinics are run on a drop-in basis in different locations across the city on a regular basis. During the Covid-19 crisis much of this support has been provided remotely.

The Street Pastors fund is to enable teams of Christians to patrol the city centre between 10pm and 4am on Friday and Saturday nights. The teams are there to listen, care and help anyone who is vulnerable. This service has been suspended for the majority of the year due to the closure of the night-time economy due to the Covid-19 crisis.

Derby Churches Nightshelter fund supported the operation of a nightshelter in Derby during the winter months, providing a hot meal and a safe, warm place to sleep for up to 35 homeless people per night. This fund also supports the operation of our Guest Support service, which brings housing, benefits advice and other support services under one roof to help our guests in their journey out of homelessness. Due to the pandemic we were not able to operate this facility as we have done for the last seven years.

Mansfield Churches Nightshelter was funded by Mansfield District Council and Transforming Notts Together to cover the operational costs of running the Nightshelter in Mansfield in previous winters. As with the Derby Churches Nightshelter we were not able to operate this facility due to the pandemic.

The M:Power fund covers a number of small projects that need to be kept distinct. These revolve around enabling Christian churches and organisations to put on prayer and missional activities by providing governance, advice and support.

Relief of Poverty - Rough Sleeping funding was received historically through Derby City Council in the form of a MHCLG grant to deliver activities to prevent rough sleeping and homelessness in Derbyshire and E Staffordshire. This provision was replaced for the 2020/21 winter season due to the pandemic crisis and the need to move when rough sleepers into a safer environment. We assisted Derby Homes and a local hotel to accommodate guests up to March 2021 when we subsequently successfully found suitable accommodation for all guests.

Schools fund is donations given specifically for sharing the Christian message with children in schools and church-based children’s clubs.

YADA fund historically was made up of grants, donations and other income given to run the pilot of the dry night club venue which aims to provide an alternative space for students and young professionals to gather, build authentic friendships and socialise without alcohol. This, with DCM’s blessing has now been established as a separate Community Interest Company.

Christmas Connection fund is made up of donations given to purchase Christmas presents for children in need in Derby to supplement toys and presents given in kind by churches, businesses, schools and members of the public. Children are referred to us from our Jubilee Project and from churches and other Christian charities.

DERBY CITY MISSION LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

20 Restricted funds

(Continued)

Partnership House was a joint initiative between Derby City Mission, New Life Church, Ozzy Road Baptist Church and Derby City Church to provide mentoring support for formerly homeless individuals. DCM involvement in this initiative ceased in 2020.

Chesterfield Churches Nightshelter was funded by local district councils and churches to cover the operational costs of running the nightshelter in Chesterfield for winter 2019/20. As with the Derby Churches Nightshelter we were not able to operate this facility due to the pandemic.

Safe Space is funded by MHCLG and a Derby funding partnership comprising the Police and Crime Commissioners Office (OPCC), Derby Homes, Derbyshire Constabulary and Derby City Council (Public Health) to provide a 24/7 rest and recovery facility and onward support for entrenched rough sleepers.

School Pastors is a project which will aim to care for and support a ‘school community’. It will promote safety and help reduce anti-social behaviour.

The Storehouse project involved the provision of a hot meal for around 100 guests on a weekly basis in a city centre venue. Support and friendship was also provided at these events. Due to the Covid-19 crisis and lockdowns this service was suspended during the year.

New building fund is made up of donations given specifically towards the purchase and renovations of a new building for our operations and our community hub.

Foodbank is a sister project to the Jubilee fund which provides food parcels primarily to people engaged with the Jubilee project. The transfers relate to donations originally given specifically for food but, with the agreement of the donors, have been reallocated to the Jubilee project.

Wellness Café is the development of a facility to encourage clients to make better life choices, assist in client relationship building and help lonely people experience friendship in the community.

MIND is one year funding secured to launch ‘Elevate’, a befriending scheme.

Homeless Link provides a contribution to overall running costs to enable successful delivery of services to help the homeless off the streets.

Crisis is one year funding to enable DCM to employ two Moved-on support workers who help guests move into their own accommodation.

Love Your Neighbour is a grant provided initially by the Church Revitalisation Trust to respond to the needs of the most vulnerable and marginalised people affected by the Covid-19 crisis.

Mount Cook represents grants provided to fund winter accommodation for the homeless. This project was in collaboration with MHCLG (rough Sleeping), nine county, borough and district councils as well as the Mount Cook Adventure Centre near Matlock.

DERBY CITY MISSION LIMITED

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

21 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

Balance at
1 April 2019
£
Fixed asset fund
188,178
188,178		 Transfers
Balance at
1 April 2020
£
£
125,231
313,409
125,231
313,409		 Transfers
Balance at
31 March 2021
£
£
(35,990)
277,419
(35,990)
277,419

The fixed asset fund represents the undepreciated element of capitalised fixed assets funded out of the general unrestricted funds of the Charity and including the amount of £125,000 transferred from the New Building restricted fund during the prior year.

DERBY CITY MISSION LIMITED

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

22
Analysis of net assets between funds
Unrestricted
funds
Designated
funds
Restricted
funds
2021
2021
2021
£
£
£
Fund balances at 31 March 2021 are represented
by:
Tangible assets
-
1,029,044
-
Investments
2
-
-
Current assets/(liabilities)
76,101
(16,500)
228,043
Long term liabilities
-
(735,125)
-
76,103
277,419
228,043		 TotalUnrestricted
funds
Designated
funds
2021
2020
2020
£
£
£
1,029,044
-
1,081,534
2
2
-
287,644
(51,126)
(16,500)
(735,125)
-
(751,625)
581,565
(51,124)
313,409		 Restricted
funds
2020
£
-
-
87,622
-
87,622		 Total
2020
£
1,081,534
2
19,996
(751,625)
349,907

DERBY CITY MISSION LIMITED

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

23 Events after the balance sheet date

In June 2021 one of the properties owned by the Charity was sold. The proceeds were used to fully repay the CAF bank loan in June 2021.

24 Related party transactions

There were no disclosable related party transactions during the year (2020 - none).

25 Subsidiaries

Details of the Charity's subsidiaries at 31 March 2021 are as follows:

Name of undertaking Registered Nature of business Class of % Held % Held
office shares held
Direct		 Indirect
Derby City Mission Trading England and Dormant Ordinary 100
-
Limited Wales
26 Cash generated from operations 2021 2020
£ £
Surplus/(deficit) for the year 231,658 (126,753)
Adjustments for:
Depreciation and impairment of tangible fixed assets 175,520 23,743
Movements in working capital:
(Increase) in stocks (4,095) -
Decrease in debtors 45,349 11,725
(Decrease)/increase in creditors (31,161) 19,090
Increase in deferred income 7,597 124,500
Cash generated from operations 424,868 52,305
27 Analysis of changes in net (debt)/funds
At 1 April Cash flows At 31 March
2020 2021
£ £ £
Cash at bank and in hand 130,374 285,338 415,712
Loans falling due within one year (16,500) - (16,500)
Loans falling due after more than one year (751,625) 16,500 (735,125)
(637,751) 301,838 (335,913)