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2022-03-31-accounts

REGISTERED COMPANY NUMBER: 07492338 (England and Wales) REGISTERED CHARITY NUMBER: 1141044

SHREWSBURY HOMES FOR ALL (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

SHREWSBURY HOMES FOR ALL

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

Page
Reference and Administrative Details 1
Trustees' Repor 2
to7
Independent Examiner's Repor 8
Statement of Financial Activities 9
Statement of Financial Position 10
Notes to the Financial Statement 11
to15

SHREWSBURY HOMES FOR ALL

REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 MARCH 2022

TRUSTEES

Mrs C Crackett Mr A D Marshall Mr B Parr Mr S A Robbins (resigned 31.7.22) Mrs J M Webster (resigned 29.4.22) Mr A T Lines (appointed 30.3.22)

COMPANY SECRETARY

Mrs C Crackett

REGISTERED OFFICE

The Roy Fletcher Centre 12 -17 Cross Hill · Shrewsbury SY1 1JE

REGISTERED COMPANY NUMBER

07492338 (England and Wales)

REGISTERED CHARITY NUMBER

1141044

INDEPENDENT EXAMINER

TCA (Shrewsbury) LLP Third Floor 21 St Mary's Street Shrewsbury Shropshire SY11ED

CHIEF OFFICER

Mrs Joanne Gough

Page 1

SHREWSBURY HOMESFOR ALL

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2022

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2021. The trustees have adopted the provisions of 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 2015).

STRUCTURE, GOVERNANCE AND MANAGEMENT

Constitution

Shrewsbury Homes for All was established as a company limited by guarantee (Companies House number 7492338) and registered charity (Charity Commission number 1141044) in 2011. A charity with the same name was established in 1993 as an unincorporated body and all the assets of this first charity were transferred to this incorporated charity on 1 April 2011.

The charity is constituted by a set of Memorandum and Articles of Association dated 10[th ] January 2011, revised on 10 November 2021 to include provisions for remote and hybrid meetings and decision making by email.

Governance

The management of Shrewsbury Homes for All is the responsibility of the trustees who provide leadership and set the strategic objectives of the charity, including the preparation of the business plan and annual budgets, and monitor progress with regard to delivery.

The principal business of the charity is the provision of independent housing advice, the letting of properties and collection of rents on behalf of private landlords and the provision of support services to those who are homeless, inadequately housed or vulnerable.

The Shrewsbury Homes for All trustees are elected and co-opted under the terms of the Memorandum and Articles of Association. Shrewsbury Homes for All strives to ensure that its trustees are representative of the local community. Current trustees include a local landlord and a previous service user. Trustees are elected at the Annual General Meeting (AGM) by rotation and may be co-opted between AGMs.

Policies adopted for the induction and training of Trustees

All new trustees are encouraged to familiarise themselves with the practical work of the charity. In addition, they are provided with an induction pack of guidance notes detailing their responsibilities and providing them with the main documents which set out the operational framework for the charity, including

In addition, trustees are encouraged to attend any available training, and take an active role in the organisation wherever possible.

Organisational structure and decision making

The day to day running of the charity is delegated to the Chief Officer. Decisions on employment of staff are taken by the trustees in consultation with the Chief Officer. Policy and financial decisions are made by the trustees in consultation with the Chief Officer.

Risk management

The trustees have assessed the major risks to which the charity is exposed on an ongoing basis, in particular those related to its operations and finances. The major risk remains the availability of funding from Shropshire

2

SHREWSBURY HOMES FOR ALL

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2022

Council through the Sustain Consortium. Our current contract runs until March 2023 as a continuation of previous agreements, pending full re-tendering for the period from April 2023. The income received through the consortium currently comprises 59% of incoming resources. The trustees have ensured that the accounts contain sufficient reserves to cover the costs associated with the closure of the charity including staff redundancies and withdrawal from the pension scheme but also remain committed to looking for alternative sources of future funding through other available grant streams.

OBJECTIVES AND ACTIVITIES

Policies and objectives

The principal object of the charity as stated in the articles is 'To relieve those in need of assistance, in particular but not exclusively people who are homeless, in housing need or who need help to avoid homelessness. 'Strategies and policies are agreed and implemented in order to achieve this object. The range of services provided by Shrewsbury Homes for All link together to reduce homelessness in the Shrewsbury area and improve the quality of life for all who contact the charity.

Activities

The main activities of the charity continue to be:

Advice Services

Financial Help

• Rent account scheme - collecting the four weekly housing benefit payments or universal credit housing element and shortfall from the tenant and paying the rent to the landlord monthly

Support Services

Tenancy support -we provide a floating tenancy support service for at least 48 people at any time (funded by Shropshire Council as part of the Sustain Consortium).

We also offer daily telephone drop-in support to help clients with one-off needs.

These activities achieve our objects in the following ways:

SHREWSBURY HOMES FOR ALL

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2022

Volunteer Services

Shrewsbury Homes for All whilst not overly reliant on the use of volunteers is supported by individuals who undertake administrative functions and provide IT support.

Public Benefit

All Shrewsbury Homes for All activities have been undertaken with reference to the Charity Commission guidance on public benefit and are available to all. Shrewsbury Homes for All operates within an Equality and Diversity policy.

Liaison _with other Organisations

Shrewsbury Homes for All is involved in initiatives to combat the problem of homelessness in the local area, and is represented on:

Shrewsbury Homes for All liaises with, and receives referrals from, other agencies including:

Community Mental Health Teams Homes Plus/Care Plus Shropshire Recovery Partnership Citizens Advice Shropshire Housing Alliance/Wrekin Housing Trust The Shrewsbury Ark Department of Work and Pensions Social Services Departments

ACHIEVEMENTS AND PERFORMANCE

Clients for housing advice: 809 Service Users housed: 163 Number of Rent accounts: 64 Tenancies maintained for over 1 year: 20 over 5 years: 18 over 10 years: 10 over 15 years: 5

We see the length of these tenancies as evidence that, through our rent account and support schemes, we are helping our clients to achieve a stable lifestyle.

Although we have not needed to utilise our bond guarantee scheme during the year, we have helped tenants and clients to apply for Council funded Discretionary Housing Payments, to secure tenancies. We have

4

SHREWSBURY HOMES FOR ALL

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2022

managed an average of £28.451 in rent payments per month through our rent account and we have 30 landlords letting through us.

Due to the restrictions of the COVID-19 virus, we have reduced numbers of visitors to the office. We have offered support, advice and drop-in sessions by telephone and some prearranged face to face meetings. These 386 sessions covered form filling, online benefit applications, support accessing grants and services and help with making Homepoint applications and bids. During the year we also provided a formal tenancy support service to a total of 157 people.

Universal Credit is now the primary benefit accessed in Shropshire, while those on old style benefits are gradually being transferred over to this system. We have supported new tenants to access Shropshire Council's Discretionary Housing Payment (DHP) service for rent and deposit in advance, but we have experienced significant delays receiving payments. To tackle this, we use our DHP bridging fund so that we are able to pay our landlords on time whilst we await the funds. This has helped maintain our good working relationship with our current landlords and is a good incentive for prospective landlords. The restrictions of COVID-19 have of course had an impact on availability of affordable housing across the board. Alongside our ongoing relationships with longstanding landlords we continue to recruit new ones and build relationships with other housing providers.

We offer a rent collection service, and we work with tenants, The Department of Work and Pensions and the Housing Benefit office to help ensure that all the correct forms are completed, and payments are made. We see the provision of decent, affordable housing as essential for people attempting to get into work and develop relationships. We are very grateful to our existing landlords, many of whom have been letting through us for several years, and who are willing to give people the opportunity to get a foot on the ladder. The success of our service is demonstrated in that 15 of our tenants have been in properties with Shrewsbury Homes for All landlords for over 10 years, with our longest serving landlord using our services for the past 18 years.

Tenancy support is available to all new tenants but can also be accessed throughout the tenancy if the need arises. Our drop-in support service is also available for those who prefer not to sign up for ongoing support. We regard the availability of our ongoing tenancy support as a vital element in sustaining tenancies.

Funding Sources

Shrewsbury Homes for All principal funder is Shropshire Council (via the Sustain Consortium). The Sustain Consortium funds housing support work to enable vulnerable people to maintain their tenancies and improve their general wellbeing. Our unrestricted funds currently enable the charity to undertake those other activities required to fulfil our objectives. Small grants have been obtained from various funding and grant programmes such as The National Lottery, The Rotary Club and Arnold Clark. We are preparing a Business Plan, following staff and trustee consultation, in order to apply for larger, more sustainable grants to further fund our ongoing work.

Shrewsbury Homes for All holds cash funds and the trustees have found savings accounts with the best rates currently available, whilst leaving funds accessible to cover reductions in income.

Reserves

Designated and general funds are separately disclosed in note 8 of the accounts and are defined as follows:

General Funds - reserves available to spend at the discretion of the trustees in furtherance of the charitable objectives of the Charity. Free reserves held at the year-end were £48,900 (2021: £61,254)

Designated Funds - It is the trustees' policy to maintain sufficient designated reserves to cover all commitments in the event of a significant reduction in activity or winding up. The amount held is reviewed annually due to the constantly changing funding regimes and in the light of the risk management process. The running of rent accounts and holding of bonds for tenants requires a considerable amount of money to be ring­ fenced to ensure all commitments can be met. Furthermore, the reserves to cover the winding up of the charity needed to be sufficient to cover up to six months' running costs so that all the open rent accounts and bonds

5

SHREWSBURY HOMES FOR ALL TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2022

could be successfully transferred to another organisation without endangering any of the tenancies and ensuring a good service for both our landlords and tenants.

Due to the continuing uncertainty over the Sustain funding and the impact on Shrewsbury Homes for All's viability these designated reserves have been maintained. The increase in designated reserves during the year reflects the increased provision for redundancy and movements in other costs.

Review of the year

The year shows a deficit of £14,267 (2021: £11,639). Both year's deficits reflect the current gap between income and the running costs of the charity, and both were reduced by reductions in our pension debt on withdrawal. This has steadily decreased over recent years and the trustees are confident that this will soon no longer be a commitment. Our costs have been reduced to the minimum compatible with maintaining high standards and the trustees have decided to use the reserves built up over previous years to sustain the charity during the current tight funding conditions. During the year the charity received £10,000 in one-off grants partly relating to the pandemic. We were grateful for the continuing support from the Millichope Foundation and the £10,000 grant from The National Lottery Community Fund.

Shrewsbury Homes for All meets the definition of a public benefit entity under FRS 102.

COVID

On the 23rd March 2020 lockdown was initially introduced by the UK Government in response to the breakout of COVID-19. Throughout 2021 Government lockdowns continued to take place with staff regularly working from home to comply with this. Since lockdown measures were reduced in July 2021, Shrewsbury Homes for All has continued to adopt a hybrid method of working both from home and their offices at The Roy Fletcher Centre. This approach to working has proven to be productive, safe and flexible for the charity and its employees. Face to face drop-in sessions were suspended indefinitely and replaced with telephone, electronic, and pre-arranged face to face meetings as necessary.

We informed stakeholders, commissioners and clients of our new working practises as well as implementing new Hybrid and Flexible Working policies to set out guidelines and comply with employment law. Committee meetings are now being held in person or virtually, reflecting an amendment in our Articles of Association. Over the year, lettings have been carried out following the most up to date Government guidance. We have been able to complete statistics and reports to supply to funders at Shropshire Council which comply with current contract stipulations.

Staff will continue to work both from home and the office in line with business need.

Future plans

Trustees have started the process of reviewing our Business Plan, taking into account all of the changes resulting from COVID19, the national picture and local strategies. This will include a review of any changes in legislation, ways of working and public expectations brought about by the previous COVID19 restrictions. Funding applications will be considered as new funding becomes available in response to changing circumstances. These will include larger more sustainable funding bids.

We will continue to work with our partners in the very successful Sustain Consortium to attempt to maintain funding for support and to consider other areas of work, methods of working and funding possibilities.

Our work with landlords is always ongoing as we continue to recruit new individuals willing to let to people on benefits and low incomes and to support those who already do so. The many changes to the benefits system are confusing to many, not only landlords, and we will continue to support them as the requirements continue to change and evolve.

6

SHREWSBURY HOMES FOR ALL

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2022

TRUSTE S' RESPONSIBILITY STATEMENT

The trustees (who are also the directors of Shrewsbury Homes For All for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland"

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

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

Approved by order of the board of trustees on ... .. and signed on its behalf by: �./$/.2.Z

Mrs C Crackett[- ] Trustee

Page 7

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF SHREWSBURY HOMES FOR ALL

Independent examiner's report to the trustees of Shrewsbury Homes For All ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2022.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its 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 Act').

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 charity'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 Act.

Independent examiner's statement

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:

  1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or

  3. 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 true and fair view which is not a matter considered as part of an independent examination; or

  4. 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 accordance with the Financial Reporting 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.

-CO�' � 00(,�

C Moelwyn-Williams FCA BSc TCA (Shrewsbury) LLP Third Floor 21 St Mary's Street Shrewsbury Shropshire SY1 1ED

Date: ... . . 8-th S.ept:.ru.be; 2 0 2

Page 8

SHREWSBURY HOMES FOR ALL

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2022

INCOME AND ENDOWMENTS FROM
Donations and legacies
Charitable activities
Charitable
Investment income
Total
EXPENDITURE ON
Charitable activities
Charitable
Direct charitable expense
Total
NET INCOME/( EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
Notes
3
2		 2022
Unrestricted
funds
£
3,784
77,833
1,500
83,117
(8,546)
105,930
97,384
(14,267)
164,968
150,701		 2021
Total
funds
£
11,939
83,526
2,247
97,712
109,351
109,351
(11,639)
176,607
164,968

CONTINUING OPERATIONS

All income and expenditure has arisen from continuing activities.

The notes form part of these financial statements

Page9

SHREWSBURY HOMES FOR ALL

STATEMENT OF FINANCIAL POSITION 31 MARCH 2022

31 MARCH 2022
2022 2021
Un restricted Total
funds funds
Notes £ £
CURRENT ASSETS
Debtors 6 881
Cash at bank 183,652 207,337
184,533 207,337
CREDITORS
Amounts falling due within one year 7 (23,980) (23,971)
NET CURRENT ASSETS 160,553 183,366
TOTAL ASSETS LESS CURRENT
LIABILITIES 160,553 183,366
PROVISIONS FOR LIABILITIES 8 (9,852) (18,398)
NET ASSETS 150,701 164,968
FUNDS 9
Unrestricted funds 150,701 164,968
TOTAL FUNDS 150,701 164,968

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2022 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

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

The financial sta�ments were approved by the Board of Trustees and authorised for issue on •··:;2.[�Ef ][·/·2'2.::·· ][and were signed on its behalf by:]

Mrs C Crackett - Trustee

The notes form part of these financial statements

Page 10

SHREWSBURY HOMES FOR ALL

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Financial reporting standard 102 - reduced disclosure exemptions

The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':

the requirements of Section 7 Statement of Cash Flows;

the requirement of paragraph 3.17 ( d);

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Taxation

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

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.See further detail in note 11.

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continued ...

SHREWSBURY HOMES FOR ALL

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022

INVESTMENT INCOME

2. INVESTMENT INCOME
2022 2021
£ £
Deposit account interest 1,500 2,247
3. INCOME FROM CHARITABLE ACTIVITIES
2022 2021
Activity £ £
Landlord contributions
Sustain Consortium		 Charitable
Charitable		 15,694
49,139		 17,088
49,138
Millichope Foundation Charitable 3,000 2,500
Other Charitable 10,000 14,800
77,833 83,526

4. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 March 2022 nor for the year ended 31 March 2021.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 March 2022 nor for the year ended 31 March 2021.

5. STAFF COSTS

STAFF COSTS
2022 2021
£ £
Wages and salaries 92,606 95,955
Other pension costs (8,546) (9,541)
84,060 86,414

The average monthly number of employees during the year was as follows:

2022 2021
General activities 6 7
-- --

No employees received emoluments in excess of £60,000.

  1. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2022 2021
£ £
Prepayments 881
-- --

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continued ...

SHREWSBURY HOMES FOR ALL

NOTES TO THE FINANCIAL STATEMENTS - continued

FOR THE YEAR ENDED 31 MARCH 2022

7. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade creditors
Social security and other taxes
Tenant loan fund
Client funds - ongoing rent accounts
Client funds held for bonds
Accruals
2022
£
174
668
(3,884)
15,876
9,976
1,170
23,980		 2021
£
698
106
10,534
10,805
1,828
23,971

Shrewsbury Homes for All receives housing benefit and the shortfall due from clients at various times during the month. The money is only paid to the landlord when the rent falls due, so at the year end there is an amount held ready to do this. This amount varies substantially day to day (and so year to year) due to timing issues.

8. PROVISIONS FOR LIABILITIES

PROVISIONS FOR LIABILITIES
2022 2021
£ £
Pension debt provision 9,852 18,398

The provision relates to the estimated pension debt as set out in note 10.

9. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Designated fund
TOTAL FUNDS		 At 1.4.21
£
61,254
103,714
164,968
164,968		 Net
movement
in funds
£
(14,267)
(14,267)
(14,267)		 Transfers
between
funds
£
1,913
(1,913)		 At
31.3.22
£
48,900
101,801
150,701
150,701

Net movement in funds, included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 83,117 (97,384) (14,267)
TOTAL FUNDS 83,117 (97,384) (14,267)

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continued ...

SHREWSBURY HOMES FOR ALL

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022

9. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Comparatives for movement in funds
Net Transfers
movement between At
At 1.4.20 in funds funds 31.3.21
£ £ £ £
Unrestricted funds
General fund 76,639 (11,639) (3,746) 61,254
Designated fund 99,968 3,746 103,714
176,607 (11,639) 164,968
TOTAL FUNDS 176,607 (11,639) 164,968

Comparative net movement in funds, included in the above are as follows:

Comparative net movement in funds, incl uded in the above are as follows:
Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 97,712 (109,351) (11,639)
TOTAL FUNDS 97,712 (109,351) (11,639)

Designated funds - The running of rent accounts and holding of bonds for tenants requires a considerable amount of money to be ring-fenced to ensure all commitments can be met. Furthermore, the reserves to cover the winding up of the charity need to be sufficient to cover up to six months' running costs so that all the open rent accounts and bonds could be successfully transferred to another organisation without endangering any of the tenancies and ensuring a good service for both our landlords and tenants. The designated funds are recalculated annually.

10. EMPLOYEE BENEFIT OBLIGATIONS

Shrewsbury Homes for All participates in the Pensions' Trust Growth Plan ("the plan"). The plan is funded and is not contracted out of the state scheme.

As at the balance sheet date there were seven active members of the Plan employed by Shrewsbury Homes for All. Shrewsbury Homes for All continues to offer membership of the Plan to it's employees, although from October 2013 on a defined contribution basis.

It is not possible in the normal course of events to identify on a reasonable and consistent basis, the share of the underlying assets and liabilities belonging to individual participating employers. The Plan is a multi-employer scheme, where the assets are co-mingled for investments purposes, and benefits are paid out of the Plan's total assets, Accordingly, due to the nature of the Plan, the accounting charge for the year under FRS 102 and SORP 2015 represents the employer contributions payable. The contribution for the year was £5,847 (2021: £6,057).

The latest full valuation of the Plan as at 30 September 2017 was performed by a professionally qualified Actuary using the Projected Unit Method.The valuation revealed a shortfall of assets compared with the value of liabilities of £131.5 million.

Shrewsbury Homes for All paid contributions at the rate of 6.2% (2021: 6.2%) during the accounting period. Members paid contributions at the rate of 3.8% (2021: 3.8%) during the accounting period.

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continued ...

SHREWSBURY HOMES FOR ALL

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022

10. EMPLOYEE BENEFIT OBLIGATIONS -continued

When an employer withdraws from a multi-employer defined benefit pension scheme which is in deficit, the employer is required by law to pay it's share of the deficit, calculated on a statutory basis (known as the buy-out basis). The calculation basis that applies to the Growth Plan was amended due to a change in the definition of money purchase contained in the Pensions Act 2011, but the regulations that determine exactly how the change will apply in practice are still awaited. As the law stands, it is not yet clear whether the statutory calculation should include or exclude Series 3 liabilities. However, based upon current advice, the most likely interpretation is that Series 3 liabilities will have to be included in the calculation of an employer's debt on withdrawal.

The cost of withdrawal to Shrewsbury Homes for All as at 30 September 2020 (latest valuation provided by the Pensions Trust) would be £9,852 (2020: £18,398).

The Trustees consider this as a creditor due to the indicative removal of the Sustain funding.

11. OTHER FINANCIAL COMMITMENTS

Guarantees:

Shrewsbury Homes for All makes a bond pledge to landlords which the tenant pays towards their tenancy. This pledge is payable to the landlord at the end of the tenancy in circumstances of damage caused by the tenant or non-payment of rent. The Trustees have authorised pledges of £20K in addition to the monies received from tenants resulting in total pledged values of £31k at the year end (2020: £31K). The monies received from tenants are due back to the tenant if the tenancy finishes without liability, and are due to the landlord in case of non-payment of rent or damage.The bond pledges made by Shrewsbury Homes for All are released back to the charity for re-use if the tenancy ends without liability.

12. RELATED PARTY DISCLOSURES

One of the current Trustees (two in the previous year) is also a landlord whose homes are rented by Shrewsbury Homes for All's tenants. Whilst the legal agreement is directly between the landlord and the tenants, Shrewsbury Homes for All do act as an intermediary in the payments of rents. The value of these payments for the current financial year was £14,510 for 3 properties (2021: £14,653 for 3 properties).

All landlords are asked to voluntarily donate a 5% administration contribution from the gross monthly rent to support the work of Shrewsbury Homes for All.

Donations received from Trustees during the year totalled £nil (2021: £220).

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