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2022-03-31-accounts

PROPS NORTH EAST (A company limited by guarantee)

REPORT AND GROUP FINANCIAL STATEMENTS

For the year ended 31 March 2022

Charity number 1146582

Company number 07902767

(A company limited by guarantee)

PROPS NORTH EAST

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

The trustees are pleased to present their annual directors’ report together with the financial statements of the charity for the year ended 31 March 2022 which are also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.

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

Summary by Denise Wilkins, Chair:

This year we are reporting an increase in our income from the previous year of £32,047 and an increase in expenditure of £61,211. The overall surplus for the year was £18,624. This is the second consecutive year that we are reporting a surplus and follows a number of previously reported deficits. We are pleased with our financial performance and this positive trend is forecast to continue into the new financial year.

In December 2021, we received confirmation that our tender to extend our contract of services with Newcastle City Council was successful. We were also successful in securing funding with the Home Office and Public Health under the Project Adder initiative.

Nationally £59 million has been invested in the Project Adder initiative until March 2023. This scheme focuses coordinated law enforcement activity alongside expanded diversionary programmes (such as Out Of Court Disposal Orders), using a criminal justice system to divert people away from offending. This additional funding has enabled us to work closely with the Police, Local Authority, and treatment commissioners to co‐produce detailed deliver plans for families, taking into account local need with a focus on a whole system response with enhanced partnership working.

This means we can continue to focus on our long‐term strategic plan with greater financial stability.

In response to the pandemic our Charity has adapted our services and will continue to communicate via various social online platforms, offering virtual spaces to provide connection for families. It is imperative that we continue to respond to the needs of families in the aftermath of the pandemic.

I would like to express gratitude to my fellow trustees, the dedicated staff team and all our invaluable volunteers who continue to demonstrate exceptional commitment and fortitude. I would also like to thank Nicola Mansfield‐Jones who has given notice that she is to leave the Charity later this year after 17 years of dedicated service. Nicola will continue as Chief

1

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

Executive while she helps us to recruit her successor and ensure that a smooth transition takes place.

Denise Wilkins Chair of Trustees

Our People

Trustees and Directors

Denise Wilkins – Chair of Trustees and Director Alastair Mitchell – Treasurer and Director Lynne Griffin – Trustee and Director Susan Sinton – Trustee and Director Phillip Brown – Trustee and Director

Changes in Trustees and Directors during the year: Phillip Brown appointed 17 April 2022

Staff Team

Nicola Mansfield‐Jones – Chief Executive Lyn Hunter – Service Manager Sandy Lambrou – Finance Manager Teresa Atkinson – Administration Officer/Family Intervention Worker Helen Wrigley – Family Intervention Worker Sandra Adams – Family Intervention Worker Julie Gardner – Family Intervention Worker Daniel Brocksopp – Young Persons Intervention Worker Helen Thompson – Social Impact Lead Andrea Mansfield – Administration Officer/Project Support Officer

Volunteers

Peter Toner Lesley Hardie Claire Hagelburg Muriel Goulding Sandra Davies Maria Gregson Joanne Whittington Sarah Dunn

2

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

Tamara O’Rourke Fatema Rahman

Changes in Staff Team during the year: Andrea Mansfield, Family Intervention Worker – Recruited February 2022 Teresa Atkinson, Administration – Recruited February 2022

Purpose and Aims

The purpose of the Charity as set out in the objects contained in the company's Memorandum and Articles of Association is:

“to relieve the charitable needs of carers and whole families affected by substance misuse, by the provision of advice, information, education and training, and other charitable forms of support, and by raising public awareness in all matters relating to drug and alcohol dependence, and their associated behaviours, with the overall aim being to promote sustainable whole family recovery.”

Vision

To be the best at supporting and empowering young people, adults and whole families affected by substance misuse to live healthy, fulfilling, and independent lives.

Ensuring the Work Delivers Our Aims

The Charity reviews its aims, objectives, and activities each year and updates both the strategic development and operational delivery plans to reflect the decisions taken. The review looks at achievements and outcomes of the work over the previous 12 months. It looks at the success of each key activity and the benefits brought to the groups of people the communities we serve and also the barriers, challenges and failures experienced to ensure our services are effective and fit for purpose. It also helps us ensure the aim, objectives and activities remain focussed on the stated purpose. The Trust has referred to the guidance contained in the Charity Commission's guidance on Public Benefit when reviewing our aims and objectives, and in planning our future activities. In particular, the Trustees consider how planned activities will contribute to the aims and objectives.

The Focus of Our Work

The main objectives and activities for the year were to maintain a consistent level of high‐ quality service delivery across all operational areas and to continue to progress our change management program strengthening the systems and infrastructure of the charity to support long term sustainability of our work.

3

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

How Our Activities Deliver Public Benefit

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the aims and objectives and in planning future activities. The charitable objectives are also set out in order to provide a clear and demonstrable public benefit. All our charitable activities focus on reducing the harm caused to carers and whole families affected by substance misuse. By providing these activities they further our charitable purpose for the public benefit.

Who Used and Benefitted from Our Services?

The majority of the funding we currently receive supports the residents in Newcastle upon Tyne and North Tyneside.

The North East still has some of the worst health harms in the UK with the highest rates of drug related deaths, alcohol related mortality and poverty. The North East is a region who, prior to the coronavirus pandemic, had already felt some of the harshest impacts of austerity through cuts to local authority funding. We work with families from every socioeconomic background and see higher referral rates from areas with high levels of social deprivation All services are provided free of charge to families. In 2021 work has continued to develop a framework to better understand the longer‐term impact of the pandemic alongside our current work to help us improve outcomes for those who use our services and increase accessibility across communities.

Achievements

The main areas of charitable activity are the provision of a range of evidence‐based interventions tailored to the bespoke needs of families and individuals. We deliver programmes of support that keep families and carers safe and achieve self‐directed outcomes based on expressed needs and wishes of those who use our services. These activities and the achievements are described below.

4

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

Support we Provide for Adults Caring for a Substance User:

Our work to promote recovery is underpinned three main principles:

This work is underpinned by delivering the following:

Support we Provide for Children/Young People Affected by a Substance User:

We offer a unique service to young people aged 11‐18 affected by parental or familial substance misuse in Newcastle.

Our work with young people is underpinned by three main principles:

5

(A company limited by guarantee)

PROPS NORTH EAST

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

This work is underpinned by delivering the following:

Championing the Voices of the Communities we Serve

PROPS was founded by Scotswood Women’s Drug Support Group using principles of social action and community organising. This has continued through our robust partnerships and attendance at local and regional forums, alongside empowering affected others to have a voice of their own.

Financial Review

Considerable progress continues to be made in strengthening the governance, financial resilience, and operations of the Charity. We have reviewed our strategic plan to strengthen our infrastructure.

The outcome of these actions has been an increase in income of £32,047. Expenditure increased by £61,211 and this has resulted in a surplus of £18,624 for the year and a further increase in our free reserves.

Income from trading activity and our surplus decreased this year due to last year having benefitted from a substantial one‐off trading contract. We will be working to develop a more strategic and focussed approach in our trading model in the future.

Trustees and managers continue to review and regularly monitor progress against the strategic, operational, and financial plans through trustee and finance meetings.

6

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

Principal Funding Sources

The Trustees are grateful to the following for funding the work of the Charity during the period:

We would like to give thanks to the individuals who have made personal donations to the charity over this year whose contributions allow us to make essential purchases for our services and provide much valued respite events and activities for adults and young people.

Investment Policy

The strategic aims and development of the Charity specify trustees ensure the best use of reserves over the long‐term showing due diligence and an agreed level of risk averseness. The investment objective is to create a balance between capital growth and income, which over the long run, will endeavour to maintain the real value of any assets.

The Charity does not currently hold any investments.

Pay Policy for Key Management Personnel

The board, who give their time freely and no trustees received remuneration in the year, have considered who the Key Management Personnel (KMP) of the charitable company are, as noted in the reference and administration section. Together with the board, these KMP are those in charge of directing and controlling, running, and operating the activities of the charitable company on a day‐to‐day basis. The pay of the KMP is reviewed annually.

The trustees benchmark against pay levels of other charities and similar organisations within the sector and the region. Pay levels are set using this information together with budget and forecast information, ensuring that the charitable company.

7

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

Reserves Policy and Going Concern

The calculation of free reserves is based on the definition included in the charity statement of recommended practice (SORP), which provides recommendations for accounting and reporting for charities. The trustees have examined the requirements of the charitable company to hold free reserves, those reserves not invested in tangible fixed assets, excluding long term liabilities, or designated for a particular purpose.

This exercise considered both the normal requirements for working capital and the loss of income of a hypothetical but reasonable reduction in the scale of operations. Resulting from this, the trustees considered it would be appropriate to hold at a minimum the equivalent of one to two months' payroll costs/expenditure, which would equate to holding approximately £25,000 ‐ £50,000 in free reserves.

At the year end, total free reserves (unrestricted and designated funds not invested in tangible fixed assets) were £109,131 (2021: £90,507) an increase of £18,624. As we head into 2022/2023, we are confidently forecasting a further increase in free reserves at the end of the next financial year.

The trustees will continue to budget future surpluses and diversify income generation activities in order to provide improved organisational sustainability.

The trustees recognise that whilst reserves may be used to maintain capacity within the charity and to undertake essential infrastructure projects finance, they are conscious that in the medium and longer term the charity will need to generate surpluses in order to maintain their target level of free reserves.

The need for the charity's services to continue to grow and therefore the demand on future reserves will also be greater, hence the charity continues to require future funding and the support of its funding partners.

Going Concern

The financial statements have been prepared on a going concern basis. In making their assessment the trustees have reviewed and considered relevant information, including their annual budget and future cash flows. In response to the COVID‐19 pandemic and its aftermath, the trustees have revised their forecasts to consider measures that they can take with the current resources available to mitigate the impact of the current adverse conditions. The trustees are of the view that the immediate future of the charity for the next 12 months is secure and that on this basis the charity is a going concern.

8

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

Plans for Future Periods

Following our organisational review, trustees are committed in continuing to invest time in strategic development. The true longer‐term impact of the devastating Coronavirus pandemic on communities is still yet to be realised as well as the cost‐of‐living crisis; however, we will continue to work alongside partners and adapt to any social changes we will encounter.

Due to increasing the accessibility of our services and becoming more digital, we have assessed and will continue to regularly revise our cyber security processes to ensure the charity and the community data remains secure.

We are an accredited member of the Living Wage Foundation and will continue to support the employees with a fair hourly rate of pay.

As a Charity we feel we have a social responsibility to support the climate crisis we are all currently faced with. We are committed to making a change and this year we are focussing on reducing our carbon footprint. We have become a Forest Carbon member. By working with this organisation, we will offset our carbon footprint by ensuring 100 trees will be planted. This is just the start of our commitment to global change and since becoming a member on 3[rd] June 2021 we have captured a total of 9.7 tonnes of C02, helping to plant approximately 39 trees covering 0.1 hectares.

We will continue to focus on generating unrestricted income to allow the charity to remain agile in responding to the needs of those we serve in an even greater climate of uncertainty.

There appears to be growing acknowledgment of the value of ‘charity’ fuelled by the sector wide response meeting the needs of the most vulnerable citizens in our country. We expect to see a rise in government spending to support the recovery of communities. This is apparent due to the successful bid submission of two new members of staff from Project Adder supported by Public Health and the Home Office. We have further bids submitted under this government initiative for two additional posts and feel hopeful this will be successful due to the evident need for families.

In looking to the future we will continue to work with current and potential new partners in developing agile and innovative solutions to complex problems. We will continue to explore new markets and develop new services ensuring that those who use and purchase our services have excellent experiences of our work.

The Charity will focus on the following areas:

9

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

Reference and Administrative Details of the Charity, its Trustees and Advisors

Charity Name PROPS North East
Registered Charity 1146582
Number
Company Number 07902767
Registered Office and Linskill Centre
operational address Linskill Terrace
North Shields
England
NE30 2AY
Trustees Denise Wilkins Chair of Trustees (Resigned and
reappointed 11 November 2021)
Alastair Mitchell Treasurer
Lynne Griffin Trustee (Resigned and
reappointed 11November 2021)
Susan Sinton Trustee
Phillip Brown Trustee (Appointed 17 April
2022)
Chief Executive Nicola Mansfield‐Jones Appointed January 2021
Independent Jim Dodds FCIE
Examiner Connected Voice Business Services Ltd
C/O Connected Voice
Higham House, Higham Place

10

(A company limited by guarantee)

PROPS NORTH EAST

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

Newcastle upon Tyne, NE1 8AF

Bankers Unity Trust Bank Nine Brindley place Birmingham B1 2HB

Structure, Governance and Management

Governing Document

PROPS North East is a charitable company limited by guarantee. Established as Scotswood Women’s Drug Support Group in 1997, Newcastle PROPS was registered as a charity in 1999 and incorporated as PROPS North East 12 January 2012. The company was established under a Memorandum and Articles of Association which established the objects and powers of the charitable company and is governed under its articles of association. In the event of the company being wound up members are required to contribute an amount of £1.00.

Appointment of Trustees

As set out in the Memorandum and Articles of Association the Board shall consist of no more than 12 Trustees and no less than 1. At each Annual General Meeting one third of the longest serving Trustees retire by rotation from office. A retiring Trustee is eligible for re‐election.

In the event of any skills being lost through retirement or resignation, suitable individuals are approached to offer themselves for appointment to the Board. All Trustees give their time voluntarily and received no benefits from the charity. No Trustees claimed expenses during the year.

Trustee Induction and Training

New trustees are invited to meet with the Chair and Chief Executive to familiarise themselves with the Charity and the context in which it operates. This covers:

11

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

Trustees also receive an induction pack of internal information together with publications from the Charity Commission. The Chief Executive organises opportunities for the trustees to become familiar with the work of the Charity by meeting with those who use the services of the Charity, attending groups and training and for meeting staff and volunteers. Trustees are also invited to attend issue specific focus groups or projects.

Organisation

The board of trustees has responsibility for the strategic direction and policy of the charity. Frequency of full meetings has been reviewed for effectiveness and will continue to meet on a monthly basis. Trustees have also established subgroups for financial governance and income generation that meet in addition to and report into ordinary meetings.

The trustees appoint the Chief Executive to manage the day‐to‐day operations. To facilitate effective operations the Chief Executive has delegated authority, within the terms of delegation approved by the trustees, for operational matters including finance, employment, and service delivery.

Risk Management

The Trustees have a risk management strategy that comprises:

Due to uncertainty in the economic climate and to mitigate significant external risks to funding organisation undertakes an annual strategic review. Each year the organisation produces updated Business and Action Plans which are fully consulted with trustees, management and staff teams and reviewed against progress quarterly. They are very much working documents which recognise the need for diversification, development, and expansion of the Charity’s core business. A key element in the management of financial risk is the setting of a Reserves Policy and its regular review by trustees.

Statement of Trustees' Responsibilities

The trustees (who are also the directors of PROPS North East for company law) are responsible for preparing the Trustees Annual Report and the financial statements in

12

PROPS NORTH EAST

(A company limited by guarantee)

TRUSTEES ANNUAL REPORT

For the year ended 31 March 2022

accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the 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 these financial statements, the trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure the financial statements comply with the Companies Act 2006. The Trustees 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.

Independent Examiner

Jim Dodds has been re‐appointed as independent examiner for the ensuing year ending 31[st] March 2023.

Approved by the Board on 4 August 2022 and signed on their behalf by:

………………………………………………….

Denise Wilkins (Chair of Trustees)

13

PROPS NORTH EAST

A company limited by guarantee

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES

For the year ended 31 March 2022

I report on the financial statements of PROPS North East for the year ended 31 March 2022, which are set out on pages 15 to 26

Respective responsibilities of trustees and examiner

The trustees (who are also directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The trustees consider that an audit is not required for the year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed. The charity’s gross income exceeded £250,000 and I am qualified to undertake the examination by being a Fellow of the Association of Charity Independent Examiners.

Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to:

Basis of independent examiner's statement

My examination was carried out in accordance with general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below.

Independent examiner's statement

In connection with my examination, no material matters have come to my attention which gives me cause to believe that in, any material respect:

I 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.

Jim Dodds FCIE Connected Voice Business Services Ltd Higham House Higham Place Newcastle upon Tyne NE1 8AF Date: 4 August 2022

14

PROPS NORTH EAST

A company limited by guarantee

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES

(INCLUDING THE INCOME & EXPENDITURE ACCOUNT)

For the year ended 31 March 2022

7
8
9
10
11
12
Total funds carried forward
Notes
Donations and legacies
Income:
Other trading activities:
Investment income
Income from charitable activities:
Grants and contracts
Subsidiary income
Expenditure on charitable
activities:
Operation of the charity
Total expenditure
Net income/(expenditure) and
net movement in funds
Reconciliation of funds
Total funds brought forward
Subsidiary expenditure
Total income
Expenditure
Costs of raising funds:		 79,131
Unrestricted
Funds
£
General
868
133
356,446
3,702
341,735
342,525
18,624
60,507
790
361,149		 30,000
Funds
£
Unrestricted
Designated
-
-
-
-
-
-
-
-
30,000
-		 -
Funds
£
Restricted
-
-
13,324
-
13,324
13,324
13,324
-
-
-		 109,131
2022
£
Total
868
133
369,770
3,702
374,473
355,059
355,849
90,507
18,624
790		 2021
£
Total
13
302,773
1,665
37,975
342,426
264,530
30,108
294,638
42,719
47,788
90,507

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

The notes on pages 17 to 26 form an integral part of these accounts.

15

PROPS NORTH EAST

A company limited by guarantee

Company number 07902767

CONSOLIDATED BALANCE SHEET

As at 31 March 2022

21
23
24
Notes
Fixed assets
Tangible assets
Total Fixed Assets
Debtors and prepayments
Investments
The funds of the charity
Restricted income funds
General unrestricted income funds
Designated unrestricted income funds
Creditors falling due within one year
Liabilities
Total Current Assets
Total charity funds
Net Current Assets
Current assets
Cash at bank and in hand
Total assets less current liabilities
Net Assets		 £
£
2022
2021
3,434
3,375
3,434
3,375
114,844
50,619
13,852
-
-
-
60,507
30,000
90,507
( 35,144 )
140,841
128,696
109,131
90,507
( 41,564 )
109,131
90,222
Group
87,132
-
79,131
30,000
105,697
109,131
90,507		 £
£
3,434
3,435
114,123
50,619
13,852
1
1
2022
2021
3,376
-
60,507
30,000
90,507
89,476
140,095
127,975
3,375
30,000
109,131
( 34,399 )
( 40,844 )
Charity
105,696
-
79,131
109,131
90,507
87,131
109,131
90,507		 £
£
3,434
3,435
114,123
50,619
13,852
1
1
2022
2021
3,376
-
60,507
30,000
90,507
89,476
140,095
127,975
3,375
30,000
109,131
( 34,399 )
( 40,844 )
Charity
105,696
-
79,131
109,131
90,507
87,131
109,131
90,507
1
3,375
3,376
114,123
13,852
127,975
( 40,844 )
87,131
90,507
90,507
-
60,507
30,000
90,507

The company was entitled to an exemption from audit under s477 of the Companies Act 2006 relating to small companies

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

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

These accounts have been prepared in accordance with the provisions applicable to small companies subject to the small companies regime and in accordance with FRS102 SORP.

The notes on pages 17 to 26 form an integral part of these accounts.

These financial statements were approved by the Board on: 4 August 2022

and are signed on its behalf by: Denise Wilkins Chair

16

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

1 Accounting Policies

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

2 Basis of accounting

2.1 Basis of preparation

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

The accounts have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) – Charities SORP (FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011

PROPS North East meets the definition of a public benefit entity under FRS 102.

2.2 Preparation of the accounts on a going concern basis

The financial statements have been prepared on a going concern basis. In making their assessment the trustees have reviewed and considered relevant information, including their annual budget and future cash flows. In response to the COVID-19 pandemic and its aftermath, the trustees have revised their forecasts to take into account measures that they can take with the current resources available to mitigate the impact of the current adverse conditions. The trustees are of the view that the immediate future of the charity for the next 12 months is secure and that on this basis the charity is a going concern.

3 Income

3.1 Recognition of income

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

3.2 Offsetting

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

3.3 Grants and donations

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

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

17

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

3.4 Volunteer help

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

3.5 Interest receivable

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

3.6 Fund accounting

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

4 Expenditure and liabilities

4.1 Liability recognition

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

4.2 Charitable activities

Expenditure on charitable activities includes the costs of providing support and other therapeutic activities to carers undertaken to further the purposes of the charity and their associated support costs.

4.3 Governance and support costs

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

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

4.4 Irrecoverable VAT

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

4.5 Creditors

The charity has creditors which are measured at settlement amounts less any trade discounts

5 Assets

5.1 Tangible fixed assets for use by the charity

Individual fixed assets costing £500 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight line basis as follows:

Office and computer equipment Straight line over four years Project equipment Straight line over four years

18

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

6 The summary financial performance of the charity alone is:

Analysis of income
7
Gift aid from trading subsidiary
Income
Net income/(expenditure)
Represented by:
Total funds brought forward
Total funds carried forward
Expenditure on charitable activities
General unrestricted income funds
Designated unrestricted income funds
General
Unrestricted
Funds
£
Income from donations and
legacies
Donations
868
Restricted income funds
868		 Unrestricted
Funds
Designated
-
-
£		 Restricted
Funds
2,912
Total
2022
£
370,771
18,624
109,131
90,507
373,683
355,059
30,000
79,131
-
-
-
£
109,131		 Total
2022
7,867
Total
2021
£
304,451
47,788
312,318
90,507
42,719
264,530
30,000
60,507
868
868
-
£
90,507		 Total
2021
£
1,665
1,665

19

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

Analysis of incomecontinued
8
9
10
Pavers Foundation
Adfam
-
Newcastle City Council Training
610
-
Other small grants
-
2,000
Arnold Clark
Community Foundation
Proctor and Gamble
2,021
1,500
Department of Work and
Pensions
-
Income from grants
356,446
Income from other trading activities
Other income
133
3,702
-
5,644
Trading subsidiary turnover
3,702
Investment income
Bank interest
133
126,660
92,914
The National Lottery Community
Fund
NCC - Public Health Services -
Carers Support
Collective Voice
North Tyneside Council
General
Funds
Project ADDER
73,176
750
Unrestricted
£
NCC - Community Led Local
Development programme
51,171
Income from contracts
Income from charitable activities		 -
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Funds
-
-
Designated
Unrestricted
£
-		 1,600
4,250
-
-
-
-
-
-
-
-
13,324
-
-
-
-
1,006
-
Funds
Restricted
6,468
-
£
-		 -
1,600
4,860
-
-
1,500
2,021
92,914
750
-
51,171
3,702
133
5,644
133
369,770
3,702
3,006
2022
Total
73,176

£
133,128		 2021
Total
£
-
-
1,216
21,899
20,000
12,703
-
9,110
99,710
-
9,661
-
2,714
-
125,760
302,773
37,975
37,975
13
13

Income was £374,473 (2021: £342,426 ) of which £361,149 was unrestricted or designated (2021: £319,899 ) and £13,324 was restricted (2021: £22,527 ).

20

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

Analysis of expenditure

11
12
Training costs
Independent examiners fees
Depreciation
Governance costs
Staff salaries
Other staff costs
Staff travel & meetings
Management committee costs
Premises costs
Office costs
Volunteer expenses
Promotion and publicity
Client activities
Trading subsidiary costs
Charitable activities
Overheads
Costs of raising funds
Staff costs
Professional fees
Bank charges		 2,300
General
1,393
Unrestricted
455
Funds
2,520
6,142
£
790
19,384
341,735
12,169
268,916
25,075
1,334
457
1,433
-
790
-
157
 -
-
Unrestricted
-
Funds
-
-
£
-
-
-
-
-
-
Designated
-
-
-
-
-
-
-		 -
-
-
Restricted
-
-
Funds
-
-
£
-
13,324
-

6,468
-
5,850
1,006
-
-
-
-		 457
Total
2022
8,150
£
12,169
790
268,916
19,384
1,393
1,334
12,610
1,433
455
2,520
26,081
157
790
-
355,059
-		 Total
2021
£
24,104
6,004
30,108
79
950
198
207,708
5,084
1,596
9,863
171
23,290
-
12,263
928
-
2,400
264,530

Expenditure on charitable activities was £355,059 (2021: £264,530) of which £341,735 was unrestricted or designated (2021: £242,003) and £13,324 was restricted (2021: £22,527).

13 Net income/(expenditure) for the year

This is stated after charging :
Independent examiner's fees for reporting on the accounts
Other accountancy services provided by the examiner
Depreciation		 £
2022
1,661
5,574
1,393
2,520		 £
2021
2,400
1,626
927
4,953

21

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

14 Analysis of staff costs and the cost of key management personnel

Employer's pension costs
Gross wages, salaries and benefits in kind
Employer's National Insurance costs		 2022
£
17,748
231,691
268,916
19,477		 2021
£
199,639
15,170
17,003
231,812

No employee received remuneration above £60,000 (2021: nil).

The key management personnel of the charity, comprise the trustees and the Chief Executive. The total employee benefits of the key management personnel of the charity were £41,414 (2021: £41,331).

15 Staff Numbers

The average monthly head count was 11 staff (2021: 9 staff) and the average monthly number of full-time equivalent employees during the year were as follows:

Support staff
Management / admin staff
The parts of the charity in which the employees
work		 6.5
2022
3.5
Number
10.0		 3.5
2021
Number
5.5
9.0

16 Transactions with trustees

The charity trustees were not paid any other benefits from employment with the charity in the year (2021: £nil). No charity trustee received payment for professional or other services supplied to the charity. (2021: £nil).

17 Trustees' expenses

No trustee expenses have been incurred in the year (2021: £nil).

18 Transaction(s) with related parties

No trustee or other person related to the charity had any personal interest in any contract or other transactions entered into by the charity, including guarantees, during the year (2021: nil).

19 Defined contribution pension scheme

The charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund.

The employer's pension costs represent contributions payable by the charity to the fund and amount to £17,748 (2021: £15,170) There was £nil outstanding as at 31 March 2022 (2021: £nil).

22

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

20 Corporation Taxation

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

21
22
Brought forward
Additions
Depreciation
Cost
Balance brought forward
Fixed asset investment
Disposals
Balance carried forward
Disposals
Balance carried forward
Depreciation charge for year
Tangible fixed assets
Balance brought forward
Net book value
Carried forward
Investment in subsidiary company		 Charity
1,452
20,966
£
1,393
-
22,418
-
18,984
17,591
Office &
Computer
Equipment
3,434
3,375

The charitable company owns one £1 ordinary share, 100% of the voting capital of the Positive Practice Partnership Ltd a company incorporated and registered in England and Wales (Company number 08487355). To provide training, accreditation and supervision in evidenced based interventions to staff working with adults affected by a family members substance misuse. and pays all of its profits to the charity under the Gift Aid scheme. A summary of the trading results and balance sheet for the year ended 31 March 2022 is shown below.

Profit and loss account

Taxation
Other operating income
Cost of sales
Administration costs
Donation to parent charity
Turnover
Net profit		 -
( 790 )
-
( 2,912 )
-
-
3,702
£
2022		 2021
£
-
( 53 )
-
( 30,055 )
37,975
( 7,867 )
-

23

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

22 Fixed asset investment continued

Balance sheet
Fixed assets
Profit and loss account
Called up share capital
Current assets
Creditors amounts falling due within one year		 -
1
1
747
( 746 )
2022
-
1
£		 2021
£
( 720 )
-
721
1
1
-
1

23 Debtors and prepayments (receivable within 1 year)

reditors and accruals (payable within 1 year)
Accruals
Preparation of statutory accounts
Trade creditors
Other debtors
Other creditors
Trade debtors
Deferred Income		 2021
£
£
Group
£
3,120
871
-
1,053
26,528
991
50,619
13,852
23,806
3,266
2022
2021
£
49,748
13,852
2022
Group
7,019
35,144
41,564
10,925		 871
£
2,521
2,400
991
2022
Charity
£
£
49,748
13,852
Charity
50,619
-
13,852
£
2022
2021
2021
7,019
1,053
10,925
34,399
40,844
23,806
26,528		 871
£
2,521
2,400
991
2022
Charity
£
£
49,748
13,852
Charity
50,619
-
13,852
£
2022
2021
2021
7,019
1,053
10,925
34,399
40,844
23,806
26,528
2,400
991
10,925
26,528
40,844

24 Creditors and accruals (payable within 1 year)

25 Deferred income

Deferred income comprises of advance payment from grant providers

Balance brought forward
Amount deferred in year
Amount released to income earned from
charitable activities
Balance carried forward		 2022
£
26,528
23,806
( 26,528 )
23,806

24

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

Analysis of movements in unrestricted funds

Totals
General unrestricted fund		 balances
60,507
60,507
£
forward
Fund
brought		 Incoming
361,149
£
361,149
resources		 ( 342,525)
expended
Resources
£
( 342,525 )		 -
£
Transfers
-		 forward
carried
£
Fund
balances
79,131
79,131

Purpose of unrestricted funds

General unrestricted fund The 'free reserves' after allowing for designated funds.

Totals
Designated reserves fund		 Fund
30,000
30,000
balances
brought
forward
£		 -
-
Incoming
resources
£		 -
-
Resources
£
expended		 -
-
£
Transfers		 Fund
balances
£
carried
forward
30,000
30,000

Purpose of designated funds Designated reserves fund To cover one to two months running costs including potential close down costs.

Analysis of movement in restricted funds

Totals
Community Foundation
Restricted funds
Newcastle City Council Training
NCC - Public Health Services
Adfam		 -
£
forward
brought
balances
-
-
Fund
-
-		 1,006
13,324
4,250
resources
£
Incoming
6,468
1,600		 ( 1,006 )
( 13,324)
expended
Resources
£
( 4,250 )
( 6,468 )
( 1,600 )		 -
-
-
£
Transfers
-
-		 forward
balances
Fund
carried
-
-
£
-
-
-

25

PROPS NORTH EAST

A company limited by guarantee

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 March 2022

26 Analysis of charitable funds continued

Purpose of restricted funds

NCC - Public Health Services - To provide respite for young people and adults. Newcastle City Council Training Restricted for training provided through ISIS. Community Foundation To contribute to purchase of IT equipment. Adfam Restricted for staff training.

27 Analysis of net assets between funds

Tangible fixed assets
Cash at bank and in hand
Other net current assets
Creditors falling due within one
year		 50,619
79,131
3,434
£
60,222
Funds
Unrestricted
( 35,144 )		 -
30,000
-
£
Designated
30,000
Funds
-		 -
-
-
Restricted
£
-
Funds
-		 109,131
90,222
3,434
Total
£
2022
50,619
( 35,144 )		 Total
2021
£
3,375
114,844
13,852
( 41,564 )
90,507

26