OpenCharities

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

2024-03-31-accounts

Registered number: 07931728 Charity number: 1146481

The Kenward Trust

(A company limited by guarantee)

Annual report and consolidated financial statements

for the year ended 31 March 2024

The Kenward Trust

(A company limited by guarantee)

Contents

Page
Reference and administrative details of the Company, its Trustees and advisers 1 - 2
Trustees' report 3 - 10
Independent auditor's report on the financial statements 11 - 15
Consolidated statement of financial activities 16
Consolidated balance sheet 17 - 18
Company balance sheet 19 - 20
Consolidated statement of cash flows 21
Notes to the financial statements 22 - 48

The Kenward Trust

(A company limited by guarantee)

Reference and administrative details of the Company, its Trustees and advisers for the year ended 31 March 2024

Trustees

G Gibb, Chair of Board of Trustees (appointed 26 June 2024) P Andrews, Chair of Kenward Enterprises J Elks (resigned 26 June 2024) S Thomson, Chair of Quality Assurance Committee S Webster, Chair of the Finance Committee S Belton Dr. A Jones (resigned 13 December 2023) H Kendall G Monk (resigned 8 November 2024) A Price Dr. S Plummer C Munday (resigned 18 September 2024) J Park (appointed 13 March 2024) Dr M Sarfaz (appointed 13 March 2024) M Barker (appointed 26 June 2024)

Company registered number

07931728

Charity registered number

1146481

Registered office

Kenward House Kenward Road Yalding ME18 6AH

Company secretary

Paul Brown

Chief executive officer

Penny Williams

Page 1

The Kenward Trust

(A company limited by guarantee)

Reference and administrative details of the Company, its Trustees and advisers (continued) for the year ended 31 March 2024

Independent auditor

Kreston Reeves LLP Chartered Accountants Statutory Auditor Montague Place Quayside Chatham Maritime Chatham Kent ME4 4QU

Solicitors

Whitehead Monckton Limited 72 King Street Maidstone Kent ME14 1BL

Page 2

The Kenward Trust

(A company limited by guarantee)

Trustees' report for the year ended 31 March 2024

The Trustees present their annual report together with the audited financial statements of the Kenward Trust for the year 1 April 2023 to 31 March 2024. The Annual report serves the purposes of both a Trustees' report and a Directors' report under company law. The Trustees confirm that the Annual report and financial statements of the Charity comply with the current statutory requirements, the requirements of the Charity's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

About Us

Kenward Trust provides support to those affected by addiction, homelessness and crime.

The Trust was founded in 1968 by Ray and Violet Sinden, a couple with a strong Christian faith. The couple’s eldest daughter, Olive, was friendly with a Church Army Captain who worked amongst the homeless individuals on the streets of London. Many of them had been sober for some weeks and wished to remain in recovery, but there was no place that would give them shelter. Ray decided to take some of these men home for rehabilitation, but one quickly turned into three and their farm in Sevenoaks became overcrowded. The family sold up and purchased our estate in Yalding, which is where Kenward began.

From those modest beginnings, the Trust today takes in around 100 residents each year across seven buildings, as well as reaching hundreds of young people through prevention initiatives and helping others with advice and support.

Why our work is important

At Kenward Trust we provide a breadth of services, from early intervention and education in schools to residential rehab and resettlement accomodation. All our work has the same aim of helping support those with addiction issues to transform their lives and create new futures. Our work centres on giving people the opportunity to change their lives, think differently and reach their full potential.

Our Vision, Mission, Values & Christian Ethos

Our Vision:

Every individual suffering with addiction issues receives the support they need to transform their lives.

Our Mission:

To support and empower all individuals affected by addiction and homelessness so they can transform their lives and create new futures.

Our Values:

Kenward Trust has a strong sense of its Christian roots and ethos, from which we draw the underlying value underpinning every aspect of our work and the way we deliver services. At our core is our belief in empowering and involving service users and significant others in all we do.

Open minded:

We are open to new ways of collaborative working and being flexible to meet the needs of the individuals who require our support.

Care:

Care is central to everything that we do. We are compassionate and supportive within our staff team as well as to our residents.

Page 3

The Kenward Trust

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 March 2024

Empathy:

We listen. Every voice is heard and appreciated and all of our services are judgement free.

Empowerment:

We empower all that access or run our services in order for them to reach their full potential.

Education:

Being informed and reducing stigma around addiction, homelessness and crime guides all aspects of our work.

Our Christian Ethos:

Our Christian Ethos underpins the way we help people in crisis. We aim to reach out to those who are on the margins of society and we believe that everyone deserves a second chance.

Chair – G Gibb:

Taking over as Chair for this most needed charity is a privilege and I look forward to helping the CEO and the Senior Management team take even greater strides forwards.

Our values sing out in all that we do, with a staff team who support those we help with loving kindness, compassion and empathy and we aim to include all in that support.

Our Trustee team work tirelessly to support Kenward voluntarily and uphold the values of the charity, promoting and being part of the Kenward community and helping to grow and develop the organisation to meet increasing need across all age groups. Our work is inspiring and recent plaudits around our youth work have been particularly heartening.

However we need to grow to meet these needs and that takes funding and support- we encourage you to look beyond any pre-conceived ideas about those we support and contribute to our work and donate funds that will make a life-saving difference to those we help of all ages.

CEO – P Williams:

For many years, Kenward Trust has faced significant financial challenges, but for the last two years has posted a surplus for the first time in 20 years. The charity is at a pivotal moment in its journey of recovery, moving into a sustainable financial position. Despite many setbacks, not least surviving a pandemic, the unwavering commitment of the Senior Managers to the organisation's mission, and the resilience of the staff have enabled Kenward to weather the storm and emerge stronger.

Through careful planning, innovative fundraising strategies, and strengthened partnerships, the aim is to diversify the services and revenue streams, to provide financial stability, deepen engagement with stakeholders and support a robust work force.

As we embark on this next phase of the recovery journey, we do so with a new and expanded team who have a sense of purpose and optimism. Our vision is clear: to transform our recent challenges into a foundation for longterm success, ensuring that we can continue to fulfil our mission and make a lasting difference in the lives of those who depend on our support.

Page 4

The Kenward Trust

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 March 2024

Progress Against Previous Years Objectives

The focus for the last 12 months has been growth, sustainability, progression, development and have been achieved. Posting another surplus in unrestricted operations for this year is continuing the path of sustainability financially.

Growth

Re-engaging with more Drug & Alcohol units in councils, Care Grow Live (CGL) and Forward Trust, as well as more investment from central government into the sector, means we have seen a growth in referrals. With the outcome of the Dame Carole Black Report there was ring-fenced investment in the sector filtering through during the year. The Kenward Trust is achieving record occupancy levels and CQC have agreed to an increase in our license from 31 beds to 41.

Increased demand for Stage One treatment means more need for Move On accommodation. A new 10 bed resettlement property was acquired in Wateringbury, leased through Moat Housing, which has been consistently full.

Sustainability

There has been significant progress in improving the financial sustainability this year. The objective now is to build upon this progress next year, to ensure the longer-term viability of all the services that the Trust provides.

Development of the income from Kenward Place, Youth services and fundraising will be part of the increase in income along with increased accommodation in stage 1,2 and 3. During a period of rising cost pressures, we continue to look at the cost base of the Trust and strive to make savings wherever possible and exploring a switch to solar power.

Progression

The development and progress of the teams are key to the future. We have a new structure offering enhanced career progression opportunities and 4 people have received management training. We will be introducing the SMART system in November 2024 to increase the programme diversity, staff development and reduce relapses for residents.

Development

Many of the programmes we offer across all stages are designed to empower residents and offer the opportunity to discover and develop their abilities to be able to contribute to society and recognise their worth. This now includes pottery, art, horticulture, woodworking, archery, alpaca walks and activities such as parenting lessons, yoga, mindfulness.

Page 5

The Kenward Trust

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 March 2024

Achievements

We were honoured to be winners at the Kent Charity Awards in the Youth category. This was a fitting recognition of the hard work the team have put in to educating young people in school settings across Kent on the dangers of drugs and alcohol.

Andy Watson our Lead Youth Worker received a recognition award from the High Sherriff of Kent for his services in Youth and Outreach work throughout the County. Having served tirelessly over the last decade engaging with thousands of young people both in schools and in the community, he has doubtless saved many lives with his egnagement with them and early intervention.

Fundraising is a key part of our activity in terms of much needed income but also in overcoming the stigma surrounding addiction and educating people. Our highest fundraiser was from BNI Pioneer Maidstone who raised over £20,000 for Kenward Trust with many of their members completing the Three Peaks Challenge.

Future strategic Direction

Three core objectives

• Services Development – continuing expansion of accommodation in stage 2 and 3 and quality of service in stage 1. Working with partners to develop new services.

• Financial Stability – Growth of Kenward Enterprises to contribute to the charity, and a more robust fundraising plan

• Staff / Culture – training the team on the SMART programme, management training and increasing communications to develop culture

KPI’s

Page 6

The Kenward Trust

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 March 2024

Financial review

The cost of living crisis created a challenge for the business during the year. Increased interest rates and higher utility costs coupled with pay rises all increased our overhead. There was a concerted effort during the year to lift occupancy and increase base prices to offset the cost uplifts.

The Trust has a long term Business Loan from Unity Trust Bank who continue to show their support and believe in our business recovery plan. They are aware of our strategy of careful cost control and boosting capacity for income. They advanced a further £90,000 to the Trust for essential facility upgrades enabling us to increase our on-site capacity.

Total income for the year was £2,354,790 (2023: £2,088,220). This is an increase of £266,570 (12.8%) compared to 2023. The additional revenue came from a mix of increased accommodation utilisation and increased prices.

This significant increase in revenue was accompanied by a rise in costs to £2,384,902 (2023: £2,037,411), an increase of £347,491 (17.1%) compared to 2023. The largest constituent increase in these costs relates to staff costs which totalled £1,345,561 (2023: £1,107,260), an increase of £238,301 (9.4%) and is the result of pay reviews and increased staffing levels necessary to deal with the higher levels of occupancy.

The Charity had a net movement in funds of negative £(30,112) (2023: positive £50,809).

Our total funds have decreased slightly to £5,187,795 (2023: £5,217,907) at the year end, comprising £5,15,671 (2023: £5,144,926) unrestricted funds and £36,124 (2023: £72,981) restricted funds.

The Balance Sheet shows positive net current assets of £16,461 (2023: net current liabilities £18,181) which represents an increase on the prior year of £34,642.

Kenward belongs to a scheme with The Pensions Trust. Entry to the defined benefit scheme was closed several years ago and now a defined contribution auto enrolment scheme is in operation. The old scheme is underfunded which means that an actuarial deficit must be included in the accounts; the provision for this has decreased in the year to £5,550 (2022: £18,367). The overall withdrawal liability remains much higher. This will only be triggered if The Kenward Trust were to withdraw from the scheme completely, which it does not plan to do.

Page 7

The Kenward Trust

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 March 2024

Reserves Policy

The Board of Trustees has reviewed the Reserves Policy of the Kenward Trust with regard to the Charity's current operations and its future plans. Particular attention and reference has been given to guidance provided within FRS 102, Charity Commission publications RS3 and CC19 (Charity Reserves and Charities and Reserves, respectively) and Charity Commission Guidance OG43 (Charity Income Reserves).

The Board of Trustees has agreed a reserves policy equivalent to two months of employment costs. For the financial year 1st April 2023 to 31st March 2024, this was projected as £237,000. While our liquid cash reserves have been below this level for the financial year, the Board of Trustees will continue to be prepared to sell one or more of the Charity's freehold properties in order to generate the appropriate level of liquid funds. The Trustees remain confident that the Trusts growth strategy mean this reserves target is achievable in the short to medium term.

Structure, Governance & Management Governing Document

The Kenward Trust is a charitable company limited by guarantee, incorporated on 1st February 2012 and registered with the Charity Commission on 21st March 2012. The Company took over delivery of services and ownership of property from The Kenward Trust Fund (charity number 265394) on 1st April 2012.

The Kenward Trust Fund was registered as a charity on 27th March 1973 and has been governed by its Trust Deed, dated 24th May 1972. On incorporation, the fundamental elements of the Trust Deed were removed from the Charity Register on 9th January 2015. Therefore, the Charity remains governed by the vision, purpose and intentions of the founding trustees; as now set out in the Articles.

Membership is open to individuals or organisations that apply to the Charity and are approved by the Trustees. There are currently eleven members (the Directors/Trustees of the Charity), each of whom agreed to contribute £10 in the event of the Charity winding up.

Appointment of Trustees

The Articles of Association (Articles) provide that the Board of Trustees may be constituted of a minimum of three Trustees, but no more than twelve. For the purposes of the Companies Act 2006, Trustees of the Charity are also directors of the Company. In accordance with the Articles, on appointment, Trustees become members of the Company.

Under the requirements of the Articles, any person appointed as a Trustee by the Board of Trustees must retire at the next annual general meeting, at which time the appointment must be either ratified or terminated. At each Annual General Meeting, Trustees who have been in office for 3 years must retire from office, but may stand for re election.

Trustee Induction and Training

As a Care Quality Commission (CQC) registered organisation the Trustees take recruitment, induction and training of our Trustees very seriously. The Kenward Trust complies with Regulation 5 to ensure that all prospective and existing Trustees are assessed and continue to be deemed a fit and proper person to act as a Trustee of the Charity.

New Trustees undergo orientation to brief them on: their legal obligation under charity and company law, the Charity Commission guidance on public benefit, and inform them of the content of the business plan and recent financial performance of the Charity. Trustees are encouraged to attend on going, appropriate, external training events where these will facilitate the undertaking of their role. Most trustees are also on one or more committee.

Page 8

The Kenward Trust

(A company limited by guarantee)

Trustees' report (continued) for the year ended 31 March 2024

Organisation

The Board of Trustees, which can have between three and twelve members, administers the Charity. The Board normally meets quarterly and there are sub committees covering Finance, Business Development, Quality Assurance which includes People & Policies and spirituality, which also meet on a quarterly basis. A Chief Executive is appointed by the trustees to manage the day to day operations of the Charity. To facilitate effective operations, the Chief Executive has delegated authority, within terms of delegation approved by the Trustees, for operational matters including finance, employment and programme delivery.

Related Parties and Cooperation with Other Organisations

None of our Trustees receive remuneration or other benefits from their work with the Charity. Any connection between a Trustee or senior manager of the Charity with a resident, must be disclosed to the full Board of Trustees in the same way as any other contractual relationship with a related party. In the current year, one Trustee was kind enough to rent property to the Trust at a discounted rental to house some residents in our Stage 3 programme. The Trustees considered the rental and agreed it satisfied their test of reasonbleness. The Trust also commissioned an occupational health assessment from a business under the control of the Trustee at an arms length price.

The Charity's wholly owned subsidiary, Kenward Enterprises Ltd, was established to operate the social enterprise activities. Kenward Enterprises Limited was incorporated on 20th February 2016.

Pay Policy for Senior Staff

The directors consider that the Board of Trustees and the Senior Management Team comprise the key management personnel of the Charity in charge of directing and controlling, running and operating of the Charity on a day to day basis. All Trustees give their time freely and no Trustee received remuneration in the year. The pay of senior staff is reviewed from time to time. In the view of the nature of the Charity, the Trustees benchmark against pay levels in other charities of a similar size. Some senior talent is retained on a consultancy basis to attract the best people.

Fund Raising Policy

The charity undertakes fundraising activities, which include fundraising in the community, applying to and partnering with companies and grant giving trusts, appeals and organising of events. Our fundraising activities are carried out in line with the Fundraising Code of Practice as set out by the Fundraising Regulator. No third party agencies are used to fundraise on behalf of the charity. No fundraising complaints were received.

Risk Management

The charity continues to enhance and improve risk management systems. It operates a robust Risk Register that is analysed quarterly by the Finance Committee and Quality Assurance Committee. The Finance Committee oversee financial and business risks whilst the Quality Committee reviews, clinical risks, staff risks and health & safety and RAG rated. All red coded risks are discussed at the board quarterly. A full review is carried out at the annual Trustees Strategic Day.

The Risk Register identifies principal risks to delivery of strategic objectives (as directed and agreed by the Board of Trustees for each financial year).

This is an important part of our governance process and provides a vehicle through which the Trustees, Chief Executive, Senior Management Team and Project Managers, as appropriate can:

  1. Agree and analyse the Charity's strategic objectives;

  2. Identify the principal risks to achieving them;

  3. Agree necessary actions or establishment of systems and procedures to mitigate those risks identified; and

  4. Implement procedures to minimise any potential impact on the Charity, if the risks materialise.

Page 9

The Kenward Trust IA company limited by guarantee) Trustees, report (continued) for the year ended 31 March 2024 Trustees. responsibilities statement The Trustees {who are also directors of Kenward Trust for the purposes of company law) are responsible for the preparing of the Group strategic report and the financial statements in accordance with applicable law and United Kingdom (Unrted Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charrtable company and of the incoming resources and application of resources, including income and expenditure, of the charrtable group for that period. In preparing these financial statements, the Trustees are required to.. Se18Ct suitable accounting policies and apply them consistently., Observe the methods and principles of the Charities SORP., Make judgements and accounting estimates that are reasonable and prudent., Prepare th@ financial statements on the going concern basis unless it is inappropriate to presume that the charitable group will continue in operation. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the group and charitys transactions and disclose with reasonable accuracy at any time the financial posilion of the group and 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 group and hence for taking reasonab18 Steps for the prevention and detection of fraud and other irregularities. The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the Charity's website. Legislation in the United Kingdom governing the preparation and the dissemination of financial statements may differ from legislation in other jurisdictions. Statement as dlsclosure to our audltors In so far as the Trustees are aware at the time of approving our trustees, annual report.. There is no relevanl information, being infomiation needed by the auditor in connection with preparing their report, of which the Charity's auditor is unaware, and The Trustees, having made enquiries of fellow directors and the Charivs auditor that they ought to have individuaSly taken, have each taken all steps that helshe is obliged to take as a director in order to make themselves aware of any relevant audit information and to establish that the auditor is aware of that infomation. Approvad by order of the members of the board of Trustees and signed on their behalf by.. G Gibb Chair Date.. Page 10

The Kenward Trust

(A company limited by guarantee)

Independent auditor's report to the Members of The Kenward Trust

Opinion

We have audited the financial statements of The Kenward Trust (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the Consolidated statement of financial activities, the Consolidated balance sheet, the Company balance sheet, the Consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Material uncertainty related to going concern

We draw attention to note 2.4 in the financial statements, which indicates that there are a number of financial restraints and issues that the Charity faces. As stated in note 2.4, these events or conditions, along with the other matters as set forth in note 2.4, indicate that a material uncertainty exists that may cast significant doubt on the Group's or the parent charitable company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

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. Our evaluation of the Trustees' assessment of the Group's ability to continue to adopt the going concern basis of accounting included:

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

Page 11

The Kenward Trust

(A company limited by guarantee)

Independent auditor's report to the Members of The Kenward Trust (continued)

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, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' report including the Strategic report.

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

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the Group's and the parent charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Page 12

The Kenward Trust

(A company limited by guarantee)

Independent auditor's report to the Members of The Kenward Trust (continued)

Auditor's responsibilities for the audit of the financial statements

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.

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

Capability of the audit in detecting irregularities, including fraud

The objectives of our audit are to identify and assess the risks of material misstatement of the financial statements due to fraud or error; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud or error; and to respond appropriately to those risks.

Based on our understanding of the charity and the sector as a whole, and through discussion with the Trustees and other management (as required by auditing standards), we identified that the principal risks of noncompliance with laws and regulations related to health and safety, anti-bribery and employment law. We considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities SORP (FRS 102) Second Edition (released October 2019), the Companies Act 2006 and other relevant charity legislation. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. We evaluated Trustees' and management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks related to posting inappropriate journal entries to increase revenue or reduce expenditure and management bias in accounting estimates and judgemental areas of the financial statements. Audit procedures performed by the engagement team included:

Page 13

The Kenward Trust

(A company limited by guarantee)

Independent auditor's report to the Members of The Kenward Trust (continued)

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 non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Page 14

The Kenward Trust

(A company limited by guarantee)

Independent auditor's report to the Members of The Kenward Trust (continued)

Use of our report

This report is made solely to the charitable Company's trustees, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable Company's trustees those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable Company and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Kreston Reeves LLP

Samantha Rouse FCCA DChA (Senior statutory auditor)

for and on behalf of

Kreston Reeves LLP Chartered Accountants Statutory Auditor Chatham Maritime

Date: 12 December 2024

Page 15

The Kenward Trust

(A company limited by guarantee)

Consolidated Statement of financial activities (incorporating income and expenditure account) for the year ended 31 March 2024

Note
Income from:
Donations and legacies
4
Charitable activities
5
Other trading activities
6
Investments
7
Total income
Expenditure on:
Raising funds
8
Charitable activities
9
Total expenditure
Net income/(expenditure)
Transfers between funds
20
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward
Unrestricted
funds
2024
£
71,038
2,099,409
119,285
1,384
2,291,116
101,308
2,189,588
2,290,896
220
6,525
6,745
5,144,926
6,745
5,151,671
Restricted
funds
2024
£
38,454
-
25,220
-
63,674
5,281
88,725
94,006
(30,332)
(6,525)
(36,857)
72,981
(36,857)
36,124
Total
funds
2024
£
109,492
2,099,409
144,505
1,384
2,354,790
106,589
2,278,313
2,384,902
(30,112)
-
(30,112)
5,217,907
(30,112)
5,187,795
Total
funds
2023
£
211,235
1,733,188
142,927
870
2,088,220
94,595
1,942,816
2,037,411
50,809
-
50,809
5,167,098
50,809
5,217,907

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

The notes on pages 22 to 48 form part of these financial statements.

Page 16

The Kenward Trust

(A company limited by guarantee) Registered number: 07931728

Consolidated balance sheet as at 31 March 2024

Note
Fixed assets
Tangible assets
14
Current assets
Stocks
16
Debtors
17
Cash at bank and in hand
Creditors: amounts falling due within one
year
18
Net current assets / liabilites
Total assets less current liabilities
Creditors: amounts falling due after more
than one year
19
Net assets excluding pension liability
Defined benefit pension scheme liability
26
Total net assets
7,811
261,384
110,961
380,156
(363,695)
2024
£
6,233,906
6,233,906
16,461
6,250,367
(1,057,022)
5,193,345
(5,550)
5,187,795
5,386
242,657
131,576
379,619
(397,800)
2023
£
6,268,677
6,268,677
(18,181)
6,250,496
(1,020,708)
5,229,788
(11,881)
5,217,907

Page 17

The Kenward Trust (A company limited by guaranteel Registered number.. 07931728 Consolldated balance sheet Icontlnued) as at 31 March 2024 2024 2023 Note Charlty funds Restricted funds Unrestricted funds 20 36,124 72,981 Designated funds General funds 20 20 4,943,990 207,681 4,964.709 180,217 Total unrestricted funds 20 5,151,671 5,144,926 Total funds 5,187,795 5,217,907 The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements. The financial statements were approved and aulhorised for issue by the Trustees and signed on their behalf by.. G Glbb Chair Dale.. ,Iy>{L The notes on pages 22 to 48 form part of these financial statements. Page 18

The Kenward Trust

(A company limited by guarantee) Registered number: 07931728

Company balance sheet as at 31 March 2024

Note
Fixed assets
Tangible assets
14
Investments
15
Current assets
Stocks
16
Debtors
17
Cash at bank and in hand
Creditors: amounts falling due within one
year
18
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after more
than one year
19
Net assets excluding pension liability
Defined benefit pension scheme liability
26
Total net assets
3,309
452,094
100,934
556,337
(338,711)
2024
£
6,216,758
5,000
6,221,758
217,626
6,439,384
(1,057,022)
5,382,362
(5,550)
5,376,812
3,284
412,383
116,348
532,015
(381,213)
2023
£
6,245,865
5,000
6,250,865
150,802
6,401,667
(999,041)
5,402,626
(11,881)
5,390,745

Page 19

The Kenward Trust (A company limited by guarantee Registered number: 07931728 Company balance sheet (continued as at 31 March 2024 2024 2023 Note Charity funds Restricted funds Restricted funds Unrestricted funds 20 20 36,124 72,981 36,124 72,981 Designated funds General funds 20 20 4,943,990 396,698 4,964,709 353,055 Total unrestricted funds 20 5,340,688 5,317,764 Total fund8 5,376,812 5,390,745 The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by.. Chair Date.. The notes on pages 22 to 48 form part of these financial statements. Page 20

The Kenward Trust

(A company limited by guarantee)

Consolidated statement of cash flows for the year ended 31 March 2024

Cash flows from operating activities
Net cash used in operating activities (see note 24)
Cash flows from investing activities
Dividends, interests and rents from investments
Purchase of tangible fixed assets
Net cash used in investing activities
Cash flows from financing activities
Repayments of borrowing
Cash inflows from new borrowings
Net cash provided by/(used in) financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
2024
£
5,325
1,384
(96,445)
(95,061)
(20,879)
90,000
69,121
(20,615)
131,576
110,961
2023
£
142,085
870
(99,497)
(98,627)
(19,916)
-
(19,916)
23,542
108,034
131,576

The notes on pages 22 to 48 form part of these financial statements

Page 21

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

1. General information

The Kenward Trust is registered as a charitable company limited by guarantee and was set up by a Trust deed. Its registered office is Kenward House, Kenward Road, Yalding, Maidstone, Kent, ME18 6AH.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Kenward Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The Consolidated statement of financial activities (SOFA) and Consolidated balance sheet consolidate the financial statements of the Company and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements.

2.2 Fund accounting

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

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

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

Investment income, gains and losses are allocated to the appropriate fund.

2.3 Income

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

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

Page 22

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

2. Accounting policies (continued)

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

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

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

All expenditure is inclusive of irrecoverable VAT.

2.4 Going concern

Despite the Charity continuing to experience funding difficulties, the financial statements have been prepared on a going concern basis, as the Trustees are of the opinion that the Charity can continue operating for a period of at least 12 months from the date these accounts were signed.

The Charity group has net current assets of £16,461 (2023: net current liabilities of £18,181) Improvements continue to be made increasing income and closely monitoring costs.

The Trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern.

The Trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements and have concluded that the Charity has adequate resources to continue in operational existence for the foreseeable future, thus they continue to adopt the going concern basis of accounting in preparing the financial statements.

2.5 Government grants

Government grants relating to tangible fixed assets are treated as deferred income and released to the Consolidated statement of financial activities over the expected useful lives of the assets concerned. Other grants are credited to the Consolidated statement of financial activities as the related expenditure is incurred.

Page 23

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

2. Accounting policies (continued)

2.6 Tangible fixed assets and depreciation

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

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

Land & Buildings are initially recognised at cost. After recognition, under the revaluation model, tangible fixed assets whose fair value can be measured reliably shall be carried at a revalued amount, being their fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Revaluations are made with sufficient regularity to ensure that the carrying amount does not differ materially from that which would be determined using fair value at the end of the reporting date.

Fair values are determined from market-based evidence by appraisal that is normally undertaken by professionally qualified valuers. If there is no market-based evidence of fair value because of the specialised nature of the tangible fixed asset and it is rarely sold, except as part of a contributing business, a Company may need to estimate fair value using an income or depreciated replacement cost approach.

Gains and losses on revaluation are recognised in the Consolidated statement of financial activities, with a separate revaluation reserve being shown in the Statement of funds note.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Land and Buildings - 1% Revalued
Plant and machinery - 10%
Motor vehicles - 20%
Fixtures and fittings - 10%
Office equipment - 20%
Computer equipment - 20%

2.7 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Consolidated statement of financial activities.

Investments in subsidiaries are valued at cost less provision for impairment.

2.8 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

Page 24

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

2. Accounting policies (continued)

2.9 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

2.10 Debtors

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

2.11 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

2.12 Liabilities

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

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

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

2.13 Financial instruments

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

2.14 Taxation

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

2.15 Pensions

The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.

Page 25

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

3. Critical accounting estimates and areas of judgement

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions:

The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Multi-employer defined benefit pension scheme

The Charity is part of the Pensions Trust Growth Plan, however entry to this scheme was closed a number of years ago. This is a multi employer defined benefit pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. It is not possible to separately identify the assets and liabilities of participating employers on a consistent and reasonable basis.

The fund is in deficit and if the charity was to withdraw from the scheme the cost of withdrawal would have been £386,284 on 30 September 2016. The charity does not plan to withdraw from the scheme.

A revised recovery plan took effect in April 2016 with new contributions. The results of this yearly update do not affect the deficit contributions due.

Deficit contributions are due from April 2016 to 31 March 2025, with the amount increasing in April each year by 3%.

The deficit contributions due from April 2020 will be £6,790 per year.

The group operates a Defined benefit pension scheme. However, the scheme is a multiple employer scheme and the group is unable to identify its share of the underlying assets and liabilities.

A full actuarial valuation for the scheme was carried out at 30 September 2020. This valuation showed assets of £800.3m, liabilities of £831.9m and a deficit of £31.6m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme, as shown above.

Tangible fixed assets

Property valuations

Freehold land and buildings are revalued by a professional valuer every 5 years. Trustees assess on an annual basis the valuation of the properties. The value of the properties is estimated to be the open market value at the balance sheet date.

Remaining asset classes are held at depreciated cost. The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful lives and residual values of the assets. The economic lives and residual values are re-assessed annually. They are amended when necessary to reflect the current estimates, based on technological advancements, future investments, and economic utilisation. See note 15 for the carrying amount of the long-term leasehold property, plant and machinery, motor vehicles, fixtures and fittings and computer equipment.

Page 26

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

3. Critical accounting estimates and areas of judgement (continued)

Critical areas of judgement:

Lease commitments

The Charity has entered into a range of lease commitments in respect of plant and equipment. The classification of these leases as either financial or operating leases requires the Trustees to consider whether the terms and conditions of each lease are such that the Charity has acquired the risks and rewards associated with the ownership of the underlying assets.

Multi-employer defined benefit pension scheme

Certain employees participate in a multi-employer defined benefit pension scheme. In the judgement of the Trustees, the Charity does not have sufficient information on the plan assets and liabilities to be able to reliably account for its share of the defined obligation and plan assets. Therefore the scheme is accounted for as a defined contribution scheme, see note 26 for further details.

Page 27

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

4. Income from donations and legacies

Unrestricted
funds
2024
£
Donations
Grants and trusts
22,238
Community fundraising
31,138
Other
10,543
Donations received
7,119
71,038
Total 2023
155,866
Restricted
funds
2024
£
32,563
-
-
5,891
38,454
55,369
Total
funds
2024
£
54,801
31,138
10,543
13,010
109,492
211,235
Total
funds
2023
£
168,231
36,074
4,639
2,291
211,235

5. Income from charitable activities

Unrestricted
funds
2024
£
Residential rehabilitation fees
1,160,791
Housing benefit
835,091
Client cash contributions
58,471
RHI Income
45,022
Other
34
2,099,409
Total 2023
1,729,665
Restricted
funds
2024
£
-
-
-
-
-
-
3,523
Total
funds
2024
£
1,160,791
835,091
58,471
45,022
34
2,099,409
1,733,188
Total
funds
2023
£
945,608
704,423
40,364
42,405
388
1,733,188

Page 28

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

6. Income from other trading activities

Unrestricted
funds
2024
£
Telephone receipts
1,697
Rental income
38,609
Training income
17,586
Enterprise income
43,435
Other income
17,958
119,285
Total 2023
132,223
Restricted
funds
2024
£
-
-
25,220
-
-
25,220
10,704
Total
funds
2024
£
1,697
38,609
42,806
43,435
17,958
144,505
142,927
Total
funds
2023
£
347
35,814
38,894
40,741
27,131
142,927

7. Investment income

Unrestricted
funds
2024
£
Interest
1,384
Total 2023
870
Total
funds
2024
£
1,384
870
Total
funds
2023
£
870

Page 29

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

8. Expenditure on raising funds

Costs of raising voluntary income

Unrestricted
funds
2024
Restricted
funds
2024
£
£
Sundries
2,816
-
PR and marketing
11,043
5,281
Interest paid
685
-
Wages and salaries
24,846
-
National insurance and social security costs
2,264
-
Pension costs
720
-
42,374
5,281
Total 2023
52,730
816
Social enterprise
Unrestricted
funds
2024
£
Purchases (inc. opening and closing stock)
6,088
PR and marketing
4,719
Social Enterprise direct costs
17,473
Wages and salaries
24,685
Depreciation
5,969
Legal and professional fees
-
58,934
Total 2023
41,049
Total
funds
2024
£
2,816
16,324
685
24,846
2,264
720
47,655
53,546
Total
funds
2024
£
6,088
4,719
17,473
24,685
5,969
-
58,934
41,049
Total
funds
2023
£
4,087
5,715
927
38,834
2,993
990
53,546
Total
funds
2023
£
7,402
1,174
12,680
13,841
5,939
13
41,049

Page 30

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

8. Expenditure on raising funds (continued)

9. Analysis of expenditure on charitable activities

Summary by fund type

Unrestricted
funds
2024
£
Charitable activities
2,189,588
Total 2023
1,908,809
Analysis of expenditure by activities
Direct
costs
2024
£
Charitable activities
1,857,412
Total 2023
1,551,642
Restricted
funds
2024
£
88,725
34,007
Support
costs
2024
£
420,901
391,174
Total
2024
£
2,278,313
1,942,816
Total
funds
2024
£
2,278,313
1,942,816
Total
2023
£
1,942,816
Total
funds
2023
£
1,942,816

10. Analysis of expenditure by activities

Page 31

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

10. Analysis of expenditure by activities (continued)

Analysis of direct costs

Staff costs
Council tax
Light and heat
Telephone
Resident expenses
Residents catering
Therapy costs
Household costs
Motor expenses
Consultancy
Staff expenses
Volunteer expenses
Staff training and development
Agency staff
Rent and rates
TV licenses
Waste and sanitation
Testing costs
Small equipment
Animal expenses
Total 2023
Charitable
activities
2024
£
1,317,731
24,253
196,232
12,024
8,341
65,566
2,619
12,510
23,940
49,333
8,653
90
9,462
57,123
43,373
2,033
13,244
5,622
145
5,118
1,857,412
1,551,642
Total
funds
2024
£
1,317,731
24,253
196,232
12,024
8,341
65,566
2,619
12,510
23,940
49,333
8,653
90
9,462
57,123
43,373
2,033
13,244
5,622
145
5,118
1,857,412
1,551,642
Total
funds
2023
£
1,064,443
20,565
151,408
11,422
13,729
66,257
4,460
15,497
19,255
51,188
8,881
1,535
9,350
60,877
31,554
1,223
11,252
6,448
(1,328)
3,626
1,551,642

Page 32

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

10. Analysis of expenditure by activities (continued)

Analysis of support costs

Charitable
activities
2024
£
Depreciation
125,247
Printing, postage and stationery
5,594
Repairs and maintenance
58,090
Bank charges
4,256
Audit fees
17,220
IT and website costs
19,815
Recruitment costs
7,106
Health and safety
8,152
Insurance
43,164
Loan interest and arrangement fees
87,351
Legal and professional fees
6,360
Leasing of equipment
14,374
Donation platform charges
997
Governance costs
23,175
420,901
Total 2023
391,174
11.
Auditor's remuneration
Fees payable to the Company's auditor for the audit of the Company's
annual accounts
Fees payable to the Company's auditor in respect of:
Under accrued audit fees in prior year
Total
funds
2024
£
125,247
5,594
58,090
4,256
17,220
19,815
7,106
8,152
43,164
87,351
6,360
14,374
997
23,175
420,901
391,174
2024
£
12,500
-
Total
funds
2023
£
134,089
6,423
78,805
2,662
15,115
13,118
8,625
6,633
28,168
54,759
5,270
14,314
618
22,575
391,174
2023
£
11,100
4,015

Page 33

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

12. Staff costs

Wages and salaries
Social security costs
Pension costs
Group
2024
£
1,222,197
90,010
33,354
1,345,561
Group
2023
£
1,008,018
72,437
26,805
1,107,260
Company
2024
£
1,222,197
90,010
33,354
1,345,561
Company
2023
£
1,008,018
72,437
26,805
1,107,260

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

Group Group
2024 2023
No. No.
Average number expressed as headcount 70 61

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

Group Group
2024 2023
No. No.
In the band £60,001 - £70,000 1 -

13. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2023 - £NIL).

During the year ended 31 March 2024, no Trustee expenses have been incurred (2023 - £NIL).

Page 34

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

14. Tangible fixed assets

Group

Land
buildings
Long-
term
leasehold
property
Plant and
machinery
Motor
vehicles
£
£
£
£
Cost or valuation
At 1 April 2023
6,108,278
10,360
428,428
21,625
Additions
-
-
48,607
-
At 31 March 2024
6,108,278
10,360
477,035
21,625
Depreciation
At 1 April 2023
105,096
1,167
303,997
21,625
Charge for the year
40,772
412
56,455
-
At 31 March 2024
145,868
1,579
360,452
21,625
Net book value
At 31 March 2024
5,962,410
8,781
116,583
-
At 31 March 2023
6,003,182
9,193
124,431
-
Fixtures
and
fittings
£
236,267
37,643
273,910
127,126
26,842
153,968
119,942
109,141
Computer
equipment
£
40,433
10,195
50,628
17,703
6,735
24,438
26,190
22,730
Total
£
6,845,391
96,445
6,941,836
576,714
131,216
707,930
6,233,906
6,268,677

Company

Cost or valuation
At 1 April 2023
Additions
At 31 March 2024
Land and
buildings
£
6,108,278
-
6,108,278
Plant and
machinery
£
428,428
48,607
477,035
Motor
vehicles
£
21,625
-
21,625
Fixtures
and
fittings
£
170,636
37,338
207,974
Computer
equipment
£
40,433
10,195
50,628
Total
£
6,769,400
96,140
6,865,540

Page 35

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

14. Tangible fixed assets (continued)

Company (continued)

Depreciation
At 1 April 2023
Charge for the year
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023
Land and
buildings
Plant and
machinery
Motor
vehicles
Fixtures and
fittings
£
£
£
£
105,096
303,997
21,625
75,114
17,703
40,772
56,455
-
21,285
6,735
145,868
360,452
21,625
96,399
24,438
5,962,410
116,583
-
111,575
26,190
6,003,182
124,431
-
95,522
22,730
Computer
equipment
£
Total
£
523,535
125,247
648,782
6,216,758
6,245,865

Included in land and buildings is land of £1,021,320 (2023: £1,021,320) which is not depreciated.

The net book value of assets held under finance leases or hire purchase contracts included above are £850 (2023: £28,140).

Page 36

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

15. Fixed asset investment

Company
Cost or valuation
At 1 April 2023
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023
Investments
in
subsidiary
companies
£
5,000
5,000
5,000
5,000

16. Stocks

Finished goods and goods for resale
17.
Debtors
Due within one year
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income
Group
2024
£
7,811
Group
2024
£
90,062
-
13,139
158,183
261,384
Group
2023
£
5,386
Group
2023
£
77,962
-
13,128
151,567
242,657
Company
2024
£
3,309
Company
2024
£
87,579
194,588
13,139
156,788
452,094
Company
2023
£
3,284
Company
2023
£
72,585
177,980
13,128
148,690
412,383

Page 37

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

18. Creditors: Amounts falling due within one year

Bank loans
Trade creditors
Other taxation and social security
Pension fund payable
Other creditors
Accruals and deferred income
Group
2024
£
72,238
146,509
71,994
7,014
4,746
61,194
363,695
Group
As restated
2023
£
49,432
228,971
45,746
5,779
5,564
62,308
397,800
Company
2024
£
50,571
145,042
70,499
7,014
4,391
61,194
338,711
Company
As restated
2023
£
39,432
222,948
45,187
5,779
5,564
62,303
381,213

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

Group Company
Group As restated Company As restated
2024 2023 2024 2023
£ £ £ £
Bank loans 1,057,022 1,020,708 1,057,022 999,041

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

Group Group Company Company
2024 2023 2024 2023
£ £ £ £
Payable or repayable by instalments 780,437 828,410 780,437 828,410

The amounts disclosed above relate to two loans. The first loan is repayable up to December 2042 and incurs interest at a rate of 2.75% above base rate. The loan is secured against the Charity's property.

The second loan is repayable up to March 2029 and incurs interest at a rate of 2.75% above base rate. The loan is secured against the Charity's property.

Page 38

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

20. Statement of funds

Statement of funds - current year

Unrestricted funds
Designated funds
Land and buildings
General funds
Fixed asset fund
Free reserves
Pension fund reserve
Total Unrestricted funds
Balance at 1
April 2023
£
4,964,709
28,140
170,714
(18,637)
180,217
5,144,926
Income
£
-
-
2,291,116
-
2,291,116
2,291,116
Expenditure
£
(40,772)
(27,290)
(2,222,834)
-
(2,250,124)
(2,290,896)
Transfers
in/out
£
20,053
-
(26,615)
13,087
(13,528)
6,525
Balance at
31 March
2024
£
4,943,990
850
212,381
(5,550)
207,681
5,151,671

Page 39

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

20. Statement of funds (continued)

Restricted funds
Kent Fire and Rescue
RESET
Youth/Community Services
KIP - Think Differently
Outreach youth worked funding
Outreach - Sevenoaks Round
table
NFU Funding - events
Archery Project
Think Differently Film
Therapeutic Community
Henry Oldfield
Headoffice - Computers
(Boxley & SEW)
Nationwide
Charitable Trust Cobtree Forest
Chapel
P Harrison Foundation
B&Q
Lawson Trust
KCF - Patient Management
System
Historic Houses Foundation
SAS Brickwork
Total of funds
Balance at 1
April 2023
£
-
5,549
(1,140)
13,720
-
-
-
301
5,281
15,288
-
-
1,101
-
3,408
140
2,913
99
2,207
12,667
11,447
72,981
5,217,907
Income
£
200
3,650
-
4,020
26,270
-
6,443
-
-
510
11,000
2,700
-
4,000
4,881
-
-
-
-
-
-
63,674
2,354,790
Expenditure
£
-
(6,549)
-
(9,781)
(26,270)
-
-
(301)
(5,281)
(15,077)
-
-
(1,101)
-
(173)
(140)
(2,913)
(99)
(2,207)
(12,667)
(11,447)
(94,006)
(2,384,902)
Transfers
in/out
£
-
(900)
1,140
-
-
1,687
(4,747)
-
-
-
-
(1,999)
-
(1,706)
-
-
-
-
-
-
-
(6,525)
-
Balance at
31 March
2024
£
200
1,750
-
7,959
-
1,687
1,696
-
-
721
11,000
701
-
2,294
8,116
-
-
-
-
-
-
36,124
5,187,795

Page 40

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

20. Statement of funds (continued)

Statement of funds - prior year

Unrestricted funds
Designated funds
Land and buildings
General funds
Fixed asset fund
Free reserves
Pension fund reserve
Total Unrestricted funds
Balance at
1 April 2022
£
5,014,187
55,429
77,911
(18,637)
114,703
5,128,890
Income
£
-
-
2,018,624
-
2,018,624
2,018,624
Expenditure
£
(69,548)
(27,289)
(1,905,751)
-
(1,933,040)
(2,002,588)
Transfers
in/out
£
20,070
-
(20,070)
-
(20,070)
-
Balance at
31 March
2023
£
4,964,709
28,140
170,714
(18,637)
180,217
5,144,926

Page 41

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

20. Statement of funds (continued)

Restricted funds
RESET
Youth/Community Services
KIP - Think Differently
Archery Project
Think Differently Film
Therapeutic Community
Nationwide
Chapel
P Harrison Foundation
B&Q
Lawson Trust
KCF - Patient Management
System
Historic Houses Foundation
SAS Brickwork
Total of funds
Balance at
1 April 2022
£
5,500
-
20,666
301
5,281
-
1,101
-
140
2,913
99
2,207
-
-
38,208
5,167,098
Income
£
-
-
14,960
-
-
27,114
-
3,408
-
-
-
-
12,667
11,447
69,596
2,088,220
Expenditure
£
49
(1,140)
(21,906)
-
-
(11,826)
-
-
-
-
-
-
-
-
(34,823)
(2,037,411)
Transfers
in/out
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Balance at
31 March
2023
£
5,549
(1,140)
13,720
301
5,281
15,288
1,101
3,408
140
2,913
99
2,207
12,667
11,447
72,981
5,217,907

Page 42

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

20. Statement of funds (continued)

RESET - Amounts awarded by Colyer Ferguson, to be paid annually, to provide funding for a Manager. The manager controls the activities of our Stage 2 rehabilitation programme (Move-On) and our Homeless project.

Youth/Community Services - Amounts received from local councils to provide information to young people about alcohol and substance misuse. Young people are invited to site to connect with adults who have previously been residents. The funds are also used to provide out of hours support to 'hot-spots' as directed by the local councils, using the services of Kenward staff, a dedicated consultant and staff members.

KIP Think Differently - Think Differently is our secondary school drug and alcohol education programme. We update young people and answer any questions on the potential lifechanging consequences of drug, substance and alcohol misuse, dependency and antisocial behaviour.

Archery project - Grant provided as part of project to use archery in supporting the charitable objectives. Think Differently film - Linked to our think differently project above except these funds are specifically for the creation of a film to help us educate young people.

Therapeutic Community - This represents funds received for the use in our main Stage One therapeutic treatments.

Nationwide - Funds provided by the Nationwide Building Society for use in the Therapeutic Gardens and workshops for equipment and consumables.

Chapel - Donations and fundraising events have been organised for the construction of a Chapel on the main site of the Charity at Kenward House. This is an ongoing project and will involve either the construction of a separate building or the re-designation of an existing building on the site. It is unlikely that there will be any spend within the next 24 months on this project but funds will continue to be accumulated.

P Harrison Foundation - Funds provided for the purchase of gym equipment for resident use in our onsite gym.

B&Q - A grant provided for the purchase of tools and consumables for use in the Therapeutic Gardens and Workshops.

Lawson Trust - This represents funds received for the provision of bedding and testing equipment for use in our Move-on and Homeless projects.

KCF Patient Management System - A grant provided by the Kent Community Foundation for the introduction of a new digitised patient management system, including software, installation and training. Historic Houses Foundation/SAS Brickwork - The Historic Houses Foundation provided a grant for the repair of a supporting beam in the Valentine Room in our main premises, Kenward House. SAS brickwork are the contractor engaged in the repair to the beam.

Land and Buildings - This represents our fixed asset balance less any subsequent depreciation, gains or losses and loans.

Page 43

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

21. Summary of funds

Summary of funds - current year

Designated funds
General funds
Restricted funds
Balance at 1
April 2023
£
4,964,709
180,217
72,981
5,217,907
Balance at
1 April 2022
£
5,014,187
114,703
38,208
5,167,098
Income
£
-
2,291,116
63,674
2,354,790
Income
£
-
2,018,624
69,596
2,088,220
Expenditure
£
(40,772)
(2,250,124)
(94,006)
(2,384,902)
Expenditure
£
(69,548)
(1,933,040)
(34,823)
(2,037,411)
Transfers
in/out
£
20,053
(13,528)
(6,525)
-
Transfers
in/out
£
20,070
(20,070)
-
-
Balance at
31 March
2024
£
4,943,990
207,681
36,124
5,187,795
Balance at
31 March
2023
£
4,964,709
180,217
72,981
Summary of funds - prior year
Designated funds
General funds
Restricted funds
5,217,907

22. Analysis of net assets between funds Analysis of net assets between funds - current period

Unrestricted
funds
2024
£
Tangible fixed assets
6,233,906
Current assets
344,032
Creditors due within one year
(363,695)
Creditors due in more than one year
(1,057,022)
Provisions for liabilities and charges
(5,550)
Total
5,151,671
Restricted
funds
2024
£
-
36,124
-
-
-
36,124
Total
funds
2024
£
6,233,906
380,156
(363,695
(1,057,022
(5,550
5,187,795

Page 44

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

22. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior period

Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
Provisions for liabilities and charges
Total
Unrestricted
funds
2023
£
6,268,677
306,638
(397,800)
(1,020,708)
(11,881)
5,144,926
Restricted
funds
2023
£
-
72,981
-
-
-
72,981
Total
funds
2023
£
6,268,677
379,619
(397,800)
(1,020,708)
(11,881)
5,217,907
23.
Reconciliation of net movement in funds to net cash flow from operating activities
Group
2024
£
Net income/expenditure for the period (as per Statement of Financial
Activities)
(30,112)
Adjustments for:
Depreciation charges
131,216
Amortisation charges
-
Dividends, interests and rents from investments
(1,384)
Increase in stocks
(2,425)
Increase in debtors
(87,196)
Increase in creditors
1,557
Pension movement
(6,331)
Net cash provided by operating activities
5,325
24.
Analysis of cash and cash equivalents
Group
2024
£
Cash in hand
110,961
Total cash and cash equivalents
110,961
Group
2023
£
50,809
134,629
3,523
(870)
(636)
(42,955)
4,341
(6,756)
142,085
Group
2023
£
131,576
131,576

Page 45

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

25. Analysis of changes in net debt

Cash at bank and in hand
Debt due within 1 year
Debt due after 1 year
At 1 April
2023
£
131,576
(55,211)
(1,020,708)
(944,343)
Cash flows
£
(20,615)
(24,041)
(36,314)
(80,970)
At 31 March
2024
£
110,961
(79,252)
(1,057,022)
(1,025,313)

26. Pension commitments

The Charity is part of the Pensions Trust Growth Plan, however entry to this scheme was closed a number of years ago. This is a multi employer defined benefit pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. It is not possible to separately identify the assets and liabilities of participating employers on a consistent and reasonable basis.

The fund is in deficit and if the charity was to withdraw from the scheme the cost of withdrawal would have been £386,284 on 30 September 2016. The charity does not plan to withdraw from the scheme.

A revised recovery plan took effect in April 2016 with new contributions. The results of this yearly update do not affect the deficit contributions due.

Deficit contributions are due from April 2016 to 31 March 2025, with the amount increasing in April each year by 3%.

The deficit contributions due from April 2020 will be £6,790 per year.

The group operates a Defined benefit pension scheme. However, the scheme is a multiple employer scheme and the group is unable to identify its share of the underlying assets and liabilities.

A full actuarial valuation for the scheme was carried out at 30 September 2020. This valuation showed assets of £800.3m, liabilities of £831.9m and a deficit of £31.6m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme, as shown above.

Page 46

The Kenward Trust (A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

27. Operating lease commitments

At 31 March 2024 the Group and the Company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years
Later than 5 years
Group
2024
£
78,979
140,771
130,333
350,083
Group
2023
£
66,811
150,700
164,333
381,844
Company
2024
£
78,979
140,771
130,333
350,083
Company
2023
£
66,811
150,700
164,333
381,844

28. Related party transactions

During the year Kenward Trust leased two properties owned by Gillian Monk (Trustee). Total rental payments paid during the year were £22,600 (2023 - £20,700). No rent was outstanding as of year end 31 March 2024 (2023 - £Nil). The ongoing lease commitments are included within note 28. Also during the year Kenward Trust spent £420 with All Health Matters, whom Gillian Monk is also a Director (2022 - £Nil). No balance was outstanding with All Health Matters as of 31 March 2024 (2023: £Nil).

The Kenward Trust has not entered into any other related party transactions during the year (2023: £Nil), nor are there any outstanding balances between related parties and the Kenward Trust as 31 March 2024 (2023 - £Nil).

29. Principal subsidiaries

The following was a subsidiary undertaking of the Company:

Name Company Registered office or principal Principal activity
number place of business
Kenward Enterprises Limited 10017029 Kenward House, Kenward Road, To provide a
Yalding, Maidstone, Kent, ME18 commercial benefit
6AH to the parent charity
and its beneficiaries
Class of Holding Included in
shares consolidation
Ordinary 100% Yes

The financial results of the subsidiary for the year were:

Page 47

The Kenward Trust

(A company limited by guarantee)

Notes to the financial statements for the year ended 31 March 2024

29. Principal subsidiaries (continued)

Name Income Expenditure Profit/(Loss) Net
£ £ for the year liabilities
£ £
Kenward Enterprises Limited 43,435 (59,619) (16,184) (184,017)

Page 48