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2021-03-31-accounts

Company Registration No. 07797133 (England and Wales) Charity No. 1150126

Spring North Ltd

Company Limited by Guarantee

Trustees’ Report and Financial Statements For the Year Ended 31 March 2021

SPRING NORTH LTD

CONTENTS

YEAR ENDED 31 MARCH 2021

Page
Reference and administration details 1
Trustees’ Annual Report 2
Independent Auditors’ Report to the Trustees 11
Statement of Financial Activities 14
Balance sheet 15
Cash flow statement 16
Notes to the financial statements 17

SPRING NORTH LTD

CHARITY REFERENCE AND ADMINISTRATION DETAILS

YEAR ENDED 31 MARCH 2021

Registered Charity Name Spring North Ltd
Charity Registration Number 1150126
Company Registration Number 07797133
Registered Office Unit 21
Business Development Centre
Eanam Wharf
Blackburn
Lancashire
BB1 5BL
Auditor MHA Moore and Smalley
Chartered Accountants & Statutory Auditor
Richard House
9 Winckley Square
Preston
PR1 3HP
Key Management Personnel Mrs A Allen (Chief Officer)

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SPRING NORTH LTD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

The trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report and the audited accounts for the year ended 31 March 2021.

Spring North

The charity changed its name from Families Health and Well Being Consortium to Spring North in November 2019. The new name, logo, vision and values were launched in November 2019.

Structure, governance and management

The charity is a company limited by guarantee. It is managed by a board of experienced trustees which is responsible for ensuring the financial stability of the charity and providing advice on policy and resource management.

The company was incorporated on 4 October 2011 and was registered with the Charities Commission on 11 December 2012.

The trustees who served the company during the year were as follows:

A Barrass S Cotton D Edmundson S Swindley A Leather K McGee L Tapner C Bennett A Greenwood L Baxter (appointed 9 June 2020)

An invitation to join the Board is sent out with the AGM papers prior to the meeting. Nominations are received and voted on at the AGM by members.

As part of the induction and training programme, new Board members are required to:

All of the above are outlined in the Spring North Directors Manual 2016. None of the trustees have any beneficial interest in the company.

Overall management of the charity is the responsibility of the trustees who are elected and co-opted under the terms of the Memorandum of Articles of Association. Day to day project activity is carried out by the Chief Officer of Spring North and staff.

The Board of Trustees have delegated responsibility to the sub-finance committee for recommending pay and remuneration and establishing benchmarks and parameters used to set pay scales and wage increases for key management personnel. Overall responsibility lies with the Board members.

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SPRING NORTH LTD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

Objectives and activities

Spring North is a member based charity - comprising 103 independent VCF organisations from across Lancashire. Our aim is to support these organisations to provide wellbeing for all across the geography through collaboration and partnership working. We aim to do this by redesigning support and services to reflect the changing landscape of health and social care, addressing disadvantage, reducing inequalities and improving the resilience of local people. Through collaborations and innovation we will achieve impact.

Our values

We have a strong track record of contract management & sub-contract delivery and the feedback from commissioners, funders and delivery partners has consistently been good over the 11 years of our formation.

Spring North has in place an agreed process for sub-contracting which allows for internal competition for delivery of work where appropriate - all members are signed up to these arrangements. Spring North provides a single point of contract for commissioners and ensures the following:

Integration

The collaborative approach to planning and delivery allows for integrated support to be rolled out across Lancashire. Sub-contracted organisations report directly to Spring North using an agreed format - which are then consolidated into a single report for the funder.

Quality

All member organisations are required to evidence a quality kite-mark as a pre-requisite for membership. Quality of provision is monitored through regular meetings with our membership and the service users.

Compliance

Sub-contracted organisations are required to sign an agreement with Spring North outlining their obligations in terms of service delivery and financial monitoring. These are monitored on a quarterly basis.

Accountability

Systems and processes for reporting and monitoring are agreed with the sub-contracting organisation and Spring North. Accountability for the delivery of work lies within the delivery partnership but rests firmly with Spring North as the contract holder.

Performance

Agreed performance measure are outlined with funders at the outset of the contracts and monitored on a quarterly basis.

Efficiency

Through re-alignment of service provision, better collaboration and asset building, the Spring North model reduces duplication of services, ensures an end to end support service for the target groups and a person/family focused approach to roll-out.

Regular consultation with service users is an integral part of the work undertaken.

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SPRING NORTH LTD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

Who we are

Spring North is a member based charitable company - established and incorporated as a company in October 2011,and registered as-a charity in December 2012 and renamed and relaunched in November 2019. The organisations that make up Spring North are drawn from the VCFS across Lancashire. The trustees (who are also the Board of Directors of the company) are elected annually by the membership and are nominated by the member organisations themselves. There is also a minimum of two independent non-executive directors, one of whom undertakes the role of Chair.

How do we meet our vision and values?

Why a consortium approach?

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SPRING NORTH LTD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

Why a consortium approach? (continued)

What do we offer?

Spring North offers support to its member organisations to deliver - collaboratively - a range of interventions in order to improve emotional, mental and physical health across the life course and across communities.

Who do we support?

Ultimately the work of Spring North benefits children, families and adults of all ages in the local communities in Lancashire and the North West.

Through the take-up of both specialist and generalist services provided by members, we are engaging with vulnerable people, assessing their needs (especially physical and emotional health needs) and providing them, through our member organisations, with advice guidance and support in accordance with these. Delivery of provision is taking place in some of the most deprived local communities with a focus on vulnerable residents within those communities including;

The Board of Trustees have paid due regard to guidance issued by the Charity Commission on public benefit in deciding what activities the charity should undertake.

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SPRING NORTH LTD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

Achievements and performance

As with every business, charity, community, family and individual, the past 12 months have presented a challenge to us all. Our business strategy - predicated mainly on strong relationships and collaboration - was contested from the outset of Covid and the restrictions put upon us all. However, the organization reacted quickly and positively to the new regime of requirements and on-line meetings, digital communication and working from home became the new normal.

For many VCFSE organisations operating nationally and locally the pandemic has had a significant financial impact on their viability. Spring North recognised this to be a particular threat to some of our members organisations. In response the Board agreed to shift the criteria for the small grants programme to support those organisations who were themselves at the frontline in supporting their local communities

This year a large number of national funding opportunities and local commissioning opportunities have either been put on hold or redirected to support the local response to Covid. Despite this, Spring North has maintained its annual income level from the previous year. Whilst some commissions were concluded during the last accounting period (contracts ending rather than being terminated) the organisation has been successful in securing a number of other contracts including National Lottery funding, Department of Education Holiday Activity Fund and local commissions with our Health and Local Authority partners.

Membership of Spring North continues to grow and in terms of sub–contracts we have contracted with 19 member organisations within this financial period.

The National Lottery funding has enabled us to provide a comprehensive business support offer to our member organisations and access to a broad-range training package. To date 16 have accessed this support offer. The funding has also enabled us to extend our staff membership and employ a new Business Support Officer, providing additional support to our business development manager. Within the year we ran 24 courses with an average attendance of 288 people (12 persons per session). 14 of our member organisations participated in these courses.

Spring North is currently engaged with and represented on key strategic boards across the Integrated Care System geography (Lancashire and South Cumbria), as well as County-wide, Pennine Lancashire and BwD groups. These include the ICS Partnership Forum, ICS VCFSE Alliance, the Pennine Lancashire Community Safety Tactical Leads Group, the BwD Health and Well-Being Board and the BwD Childrens Partnership Board.

Spring North continues to support the Pennine Lancashire VCF Leadership group - a key vehicle through which genuine consultation with the sector can take place. The Chief Executive of Spring North is the elected chair of this group and she, with the other 4 x chairs of the ICP VCF Groups, comprise the membership of the above mentioned Alliance.

Spring North has also managed bi-monthly Forum meetings for our members and stakeholders enabling an unequivocal opportunity for networking and information sharing across partners.

Both the Forum meetings and the Pennine Leadership meetings have continued to be managed and have met throughout the year.

During this financial year, the Consortium has managed the following contracts:

1 VCFS Phase 2

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SPRING NORTH LTD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

2 Genetics Project BwD Commission from BwD Public Health Oct 2013 - March 2021. To improve knowledge and understanding of genetic conditions affecting children where consanguineous marriages

Commission from the Department for Education. Commenced April 2020 and ended in October 2020. Targeted delivery to engage children and young people from vulnerable families on Free school meals. The borough wide programme was coordinated by Spring North, with delivery sub-contracted to Blackburn Rovers Community Trust, Blackburn Youthzone, IMO Charity, Newground Together, Youth Action, Blackburn with Darwen Borough Council divisions; Childrens Centres / Young peoples services / Seeds Adolescent Support Unit. Food preparation contracted to Westholme Kitchens and Thomas Franks.

Sub contract from LCFT (commissioned from BwD PH) April 2017 - March 2021. To provide support for families of children under 5, emotional health and wellbeing support for teenage young people and improving access to health services (including the Everybody Centre). Partners for this project - Brook Young People, and Homestart BwD.

6 Pennine Lancashire VCF Leadership Group

Funding from TAHF, April 2018 - March 2021. To provide the administrative duties to manage this group.

Funding support facilitated by BwD Borough Council to accelerate support and safe accommodation for at-risk and homeless people. Delivery is subcontracted to CANWe Solutions CIC and Lancashire Women

Start of pilot project funding in Jan 2020 to run peer support facilitators within Custody suites – currently piloted within Preston only. We subcontract Red Rose Recovery to carry out this support.

Funding from Sustain Food power. Aiming to support vulnerable expectant Mums with wellbeing and nutrition support and advice, and regular food parcels during the pandemic. Various partners from BwDBC and Blackburn Foodbank involved in the facilitation for this.

10 Stop Loan Sharks

Funding from Birmingham City Council to raise awareness of loan sharks and effects of vulnerable families through community activity.

11 Perinatal Mental Health support

Funding from Lancashire and South Cumbria Foundation Trust to scope mental health support on offer across Pennine Lancashire for perinatal women. Homestart organization across the area engaged in this work with us.

12 Homeless Intensive Support

Funding from Homeless Link enabled us to upscale and intensify our support to rough sleepers at risk of harm during severe weather in the Winter period. Delivery was subcontracted to CGL, forming a strong wraparound team with the local authority Housing needs and Rehousing teams.

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SPRING NORTH LTD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

13 Active through Football

Fund from The Football Foundation to develop consultation work around a pilot project aimed at increasing sport take-up within communities. Various local partners such as BRCTrust, CANW, One Voice Blackburn, Newground and IMO Charity are involved in this work have been supporting this work with focus groups/consultation and engagement.

Financial review

During the year ended 31 March 2021 the charity received total incoming resources of £1,204,026. Costs of £1,182,850 were incurred in connection with the delivery of these projects and core administration, resulting in a surplus of £21,176. The costs incurred during the year included grants awarded to members of £11,500.

Reserves policy

At 31 March 2021 the charity held total funds of £206,923, all of which were unrestricted in nature.

The Trustees originally set a policy of aiming to accumulate unrestricted funds which have not been designated for a specific use which are equivalent to six months' of core running expenditure. The trustees consider that reserves at this level would ensure that, irrespective of future funding they would be able to continue the charity's current activities and cover core salaries while consideration is given to ways in which additional funds may be raised.

Core running expenditure for the year ended 31 March 2021 amounted to £210,875 (total expenditure of £1,182,850, less payments to service providers of £921,626, less member training costs of £7,294, less small grants of £11,500 and less other non-recurring costs of £31,555), and so six months’ of core running expenditure has been calculated to be approximately £105,000. As at 31 March 2021 the level of free general reserves was £206,923, which is £102,000 in excess of six months' of core running expenditure. However the trustees have revisited the reserves policy and have decided that it is appropriate to maintain a higher level of reserves at the present time, in light of the current circumstances arising from the Covid 19 pandemic.

Risk management

The main risks facing Spring North include:

Spring North response - The organisation has been involved via representation on the programme board and is well positioned to benefit from the investment in the VCF sector once the system transformation (and associated funding) has been approved.

Spring North response – Recruitment of Business Development Manager Developing new partnerships to provide innovative project proposals for future investment.

Spring North response - Management costs are agreed for each funding application by the relevant partnership at the outset of the commission/tender/project and are maintained at an appropriate level to support costs for the lifetime of the project.

Spring North Response - Sustainability strategy in place to secure future funding, engagement with key partners and transparency on delivery performance. System transformation plans with partners to improve community resilience.

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SPRING NORTH LTD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

The major risks to which the charity is exposed have been reviewed and adequate systems and procedures have been established to manage such risks.

Fundraising

We have considered the requirements of the Charities (Protection and Social Investment) Act 2016 regarding disclosures concerning fundraising and fundraising standards and confirm that these do not apply to the charity.

Plans for future periods

Spring North will continue to seek funding to deliver services across Lancashire through contracts, tenders and grant funding. We will encourage new member organisations (both associate and full) and will deliver activity according to our objectives. We will provide support to those members through information sharing on good practice, training and learning opportunities. We will ensure that all delivery, support, advice and guidance provided by Spring North is underpinned by quality assured standards. We will work closely with stakeholders and commissioners to ensure future delivery of activities aligns with local and national strategy. We will seek to diversify income sources to ensure future sustainability.

We will work with other infra-structure organisations to map funding opportunities, design innovative services and deliver worthwhile interventions which will not duplicate current provision.

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SPRING NORTH LTD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

Trustees' responsibilities statement

The trustees (who are also the directors of Spring North for the purposes of company law) are responsible for preparing the Trustees' Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year. 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 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 adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

Auditor

MHA Moore and Smalley is deemed to be re-appointed under section 487(2) of the Companies Act 2006.

Signed by order of the trustees

……………………………………….

Linda Tapner Trustee

10/11/2021 Date: ……………………………….

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SPRING NORTH LTD

INDEPENDENT AUDITORS’ REPORT TO THE TRUSTEES

FOR THE YEAR ENDED 31 MARCH 2021

Opinion

We have audited the financial statements of Spring North Ltd (the ‘charitable company’) for the year ended 31 March 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including 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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The other information comprises the information included in the trustees 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.

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SPRING NORTH LTD

INDEPENDENT AUDITORS’ REPORT TO THE TRUSTEES

FOR THE YEAR ENDED 31 MARCH 2021

We have nothing to report in this regard.

Opinions 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 trustees’ report.

We have nothing to report in respect of the following matters in relation to which the 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 set out on page 10, 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 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 charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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.

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SPRING NORTH LTD

INDEPENDENT AUDITORS’ REPORT TO THE TRUSTEES

FOR THE YEAR ENDED 31 MARCH 2021

The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below:

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.

A further description of our responsibilities is available on the Financial Reporting Council’s website at:

https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards-and-guidancefor-auditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-for-audit.aspx.

This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, 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 members 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 the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Nicola Mason (Senior Statutory Auditor) For and on behalf of MHA Moore and Smalley, Statutory Auditor

Richard House Winckley Square Preston PR1 3HP

15/11/2021 Date: ………………………..

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SPRING NORTH LTD

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT)

YEAR ENDED 31 MARCH 2021

Note
Income from:
Charitable activities
3
Other income
4
Total income
Expenditure on:
Charitable activities
5/6
Total expenditure
Net income/(expenditure)
Transfers between funds
Net movement in funds
Reconciliation of funds
Fund brought forward at 1 April 2020
Funds carried forward at 31 March 2021		 Unrestricted
funds
£
1,132,561
27,622
1,160,183
1,139,007
1,139,007
21,176
-
21,176
185,747
206,923		 Restricted
funds
£
43,843
-
43,843
43,843
43,843
-
-
-
-
-		 2021
Total funds
£
1,176,404
27,622
1,204,026
1,182,850
1,182,850
21,176
-
21,176
185,747
206,923		 2020
Total funds
£
1,075,222
-
1,075,222
1,095,335
1,095,335
(20,113)
-
(20,113)
205,860
185,747

The Statement of Financial Activities includes all gains and losses in the year.

All of the above amounts relate to continuing activities.

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SPRING NORTH LTD

BALANCE SHEET

AS AT 31 MARCH 2021

Note
Current assets
Debtors
9
Cash at bank and in hand
Creditors: amounts falling due within one year
10
Net current assets
Total assets less current liabilities
Funds
Designated funds
11
Unrestricted funds
11
Total funds		 Unrestricted
funds
£
110,514
219,885
330,399
(123,476)
206,923
206,923
-
206,923
206,923		 Restricted
funds
£
-
-
-
-
-
-
-
-
-		 2021
Total funds
£
110,514
219,885
330,399
(123,476)
206,923
206,923
-
206,923
206,923		 2020
Total funds
£
120,940
99,039
219,979
(34,232)
185,747
185,747
10,000
175,747
185,747

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

10/11/2021

These accounts were approved by the Trustees on …………………………. and signed on their behalf by:

……………………………………….

Linda Tapner Trustee

Company Registration Number: 07797133

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SPRING NORTH LTD

CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 MARCH 2021

Cash generated from operating activities
Cash provided by investing activities
Investment income
Increase/(decrease) 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
Reconciliation of net movement in funds to net cash
flow from operating activities
Net movement in funds
Investment income
Decrease/(increase) in debtors
(Decrease)/increase in creditors		 2021
£
120,846
-
120,846
99,039
219,885
2021
£
21,176
-
10,426
89,244
120,846		 2020
£
(24,500)
-
(24,500)
123,539
99,039
2020
£
(20,113)
-
(20,180)
15,793
(24,500)

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SPRING NORTH LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

Legal form

The charity constitutes a limited company, limited by guarantee as defined by the Companies Act 2006, incorporated in England and Wales. The registered office is as stated on page 1.

Basis of accounting

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice. Spring North Ltd 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 notes.

Preparation of the accounts on a going concern basis

As with most organisations, Spring North has been affected by the Covid-19 pandemic. Whilst there was the potential for an adverse financial impact, the charity was able to work with commissioners to put in place alternative delivery methods such that the majority of services could be maintained.

Spring North has not been impacted by early termination of contracts, however a couple of contracts finished at the end of the financial year, which supported specifically the homeless population. However management have been successful in securing additional funding to be able to maintain these services.

Whilst the funding landscape beyond 31 March 2022 is not yet certain, the Board are confident they will be able to maintain the existing level of income through the continuation of contracts and a positive success rate in funding applications.

The Trustees have performed a going concern review and are satisfied the charity has sufficient funds brought forward to cover core salaries and overheads for at least the twelve month period following approval of the accounts. Therefore, at the time of approval of the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for at least the twelve month period following approval of the accounts. Thus they continue to adopt the going concern basis of accounting in preparing the financial statements.

Incoming resources

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably. The following specific policies are applied:

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SPRING NORTH LTD

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies (continued)

Fund accounting

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

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

Resources expended and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure on charitable activities includes the costs of charitable activities undertaken directly to further the purposes of the charity and their associated support costs.

Allocation of support costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the charity’s activities. These costs have been allocated between expenditure on a basis consistent with the use of resources.

Financial instruments

The charity 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.

Operating leases

Rentals payable are charged on a time basis over the lease term.

2 Judgements and key sources of estimation uncertainty

There have been no significant judgements (apart from those involving estimates) made in the process of preparing the financial statements.

There have been no key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

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SPRING NORTH LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

3 Incoming resources from charitable activities

Income for delivery of services
Blackburn with Darwen Borough Council:
Genetics Project
Mental Wellbeing Hub
IAG
VCFS Phase 2
Reducing Reoffending
Rapid Rehousing
Community Ambassadors
Oldham Council:
Genetics Oldham
Community Foundation:
Community Action Fund
Department of Education:
Holiday Activities & Food Fund
Homeless Link:
Homeless Intensive Support
Lancashire Care NHS Foundation Trust:
Healthy Child Programme
Leadership Group Admin Support
Perinatal Mental Health Support
NHS England:
VCFS Leadership Network
Liaison & Diversion
NHS Blackpool CCG:
PHM
Sustain Food Power:
Feeding Future Generations
The Football Foundation:
Active Through Football
National Lottery
Management fee for core services		 Unrestricted
funds
£
6,760
-
-
75,408
-
64,835
11,600
54,750
1,500
600,650
36,397
83,317
-
10,000
5,000
34,650
13,000
13,450
4,500
-
116,744
1,132,561		 Restricted
funds
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
43,843
-
43,843		 2021 Total
funds
£
6,760
-
-
75,408
-
64,835
11,600
54,750
1,500
600,650
36,397
83,317
-
10,000
5,000
34,650
13,000
13,450
4,500
43,843
116,744
1,176,404		 2020 Total
funds
£
9,500
40,000
282,664
339,650
4,500
53,930
119,900
55,300
-
-
-
88,317
4,678
-
5,000
8,663
-
-
-
-
63,120
1,075,222

-19-

SPRING NORTH LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

3 Incoming resources from charitable activities (continued)

Included within income from charitable activities is unrestricted income of £1,132,561 (2020: £1,075,222) and restricted income of £43,843 (2020: £nil).

4 Other income

Coronavirus Support Grant
Coronavirus Job Retention Scheme
Miscellaneous Income
Service Income		 Unrestricted
funds
£
10,000
8,999
5,000
3,623
27,622		 Restricted
funds
£
-
-
-
-
-		 2021 Total
funds
£
10,000
8,999
5,000
3,623
27,622		 2020 Total
funds
£
-
-
-
-

Included within other income is unrestricted income of £27,622 (2020: £nil) and restricted income of £nil (2020: £nil).

5 Costs of charitable activities

Genetics Project
Mental Wellbeing Hub
IAG
VCFS Phase 2
Reducing Reoffending
Genetics Oldham
Community Action Fund
Holiday Activities & Food Fund
Homeless Intensive Support
Small Grants
Healthy Child Programme
Leadership Group Admin Support
Perinatal Mental Health Support
VCFS Leadership Network
Rapid Rehousing
Community Ambassadors
Liaison & Diversion
Feeding Future Generations
Active Through Football
Stop Loan Sharks
Spring North Hub		 Activities
directly
undertaken
(note 6)
£
9,246
-
-
75,408
-
54,053
1,500
597,225
36,395
-
83,317
-
8,000
-
65,645
8,200
34,650
13,446
4,500
-
10,000
1,001,585		 Support and
governance
costs
(note 6)
£
3,860
-
-
3,968
-
7,250
1,000
86,775
4,060
-
12,160
-
1,000
5,000
165
-
3,850
-
500
700
50,977
181,265		 2021 Total
funds
£
13,106
-
-
79,376
-
61,303
2,500
684,000
40,455
-
95,477
-
9,000
5,000
65,810
8,200
38,500
13,446
5,000
700
60,977
1,182,850		 2020 Total
funds
£
9,923
45,000
278,444
356,270
4,500
60,960
-
-
-
6,800
92,486
4,678
-
5,000
53,251
122,633
9,626
-
-
-
45,764
1,095,335

-20-

SPRING NORTH LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

5 Costs of charitable activities (continued)

Prior year costs of charitable activities
Genetics Project
Mental Wellbeing Hub
IAG
Local Family Offer
VCFS Phase 2
Reducing Reoffending
Genetics Oldham
Board & Facilitation Support
Small Grants
Healthy Child Programme
Leadership Group Admin Support
VCFS Leadership Network
Vulnerable People Liaison Service
Rapid Rehousing
Community Ambassadors
Liaison & Diversion
Spring North Hub		 Activities
directly
undertaken
(note 6)
£
8,850
40,000
259,134
-
339,650
4,500
54,260
-
6,800
85,326
-
-
-
50,851
106,256
8,663
-
964,290		 Support and
governance
costs
(note 6)
£
1,073
5,000
19,310
-
16,620
-
6,700
-
-
7,160
4,678
5,000
-
2,400
16,377
963
45,764
131,045		 2020 Total
funds
£
9,923
45,000
278,444
-
356,270
4,500
60,960
-
6,800
92,486
4,678
5,000
-
53,251
122,633
9,626
45,764
1,095,335		 2019 Total
funds
£
28,797
45,000
499,014
4,421
546,628
4,500
57,425
7,497
34,239
99,477
4,678
4,000
16,485
-
-
-
5,748
1,357,639

-21-

SPRING NORTH LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

6 Costs of charitable activities analysed by nature

Staff costs
Payments to service providers
Travel and subsistence
Grants to institutions
Activities and spot purchasing
Training
Meeting costs
Marketing
Consultancy fees
Stationery and consumables
Telephone
Accommodation
Insurance
IT Support
Bank charges
Bad debts
Sundry expenses
Professional fees, finance support & payroll
Governance costs – audit and accounts fee		 2021
Direct
costs
£
40,801
921,626
98
11,500
22,416
5,144
-
-
-
-
-
-
-
-
-
-
-
-
-
1,001,585		 2021
Support
costs
£
127,816
-
-
-
-
2,150
370
8,709
13,220
126
547
8,354
2,761
6,246
221
3,749
-
2,838
4,158
181,265		 2020
Direct
costs
£
46,670
897,824
2,277
8,100
9,360
59
-
-
-
-
-
-
-
-
-
-
-
-
-
964,290		 2020
Support
costs
£
102,530
107
433
-
-
609
293
5,332
-
2,484
280
7,081
1,163
3,777
249
-
59
2,688
3,960
131,045

During the year ended 31 March 2021, 11 members were awarded a total of £11,500 in small grants (2020: £8,100).

7 Net (incoming)/outgoing resources

Net resources are stated after charging/(crediting):

2021 2020
£ £
Independent auditors’ remuneration:
- Audit fee (exclusive of VAT) 3,465 3,300
- Other services (exclusive of VAT) - -

-22-

SPRING NORTH LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

8 Analysis of staff costs, trustee remuneration and expenses and the cost of key management personnel

Total staff costs were as follows:
Wages and salaries
Social security costs
Pension costs		 2021
£
156,534
9,832
2,251
168,617		 2020
£
136,934
8,618
3,648
149,200

Particulars of employees:

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

Management
Information and administration		 2021
No
1
6
7		 2020
No
1
4
5

No employees received emoluments of more than £60,000 during the year (2020: nil). None of the trustees received any remuneration during the current or previous year. No travel or related expenses were reimbursed to trustees during the year (2020: £nil).

The employee benefits paid to key management personnel including employer’s NI and employer’s pension contributions during the year was £53,048 (2020: £53,069).

9 Debtors

Other debtors
Prepayments		 2021
£
80,088
30,426
110,514		 2020
£
119,312
1,628
120,940

-23-

SPRING NORTH LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

10 Creditors: Amounts falling due within one year

Accruals and deferred income
Taxation and other social security
Other creditors		 2021
£
121,097
1,425
954
123,476		 2020
£
29,900
2,498
1,834
34,232

Included within creditors falling due within one year is deferred income of £106,184 (2020: £26,600) relating to various contracts including The Holiday Activities & Food Fund and the Homeless Link Fund.

11 Fund movement

Unrestricted general funds
Designated funds
Small grants
Total unrestricted funds
Restricted general funds
Total funds		 Brought
forward at
1 April
2020
£
175,747
10,000
10,000
185,747
-
185,747		 Incoming
resources
£
1,160,183
-
-
1,160,183
43,843
1,204,026		 Outgoing
resources
£
(1,129,007)
(10,000)
(10,000)
(1,139,007)
(43,843)
(1,182,850)		 Transfers
£
-
-
-
-
-		 Carried
forward at
31 March
2021
£
206,923
-
-
206,923
-
206,923

Small grants fund

The small grants fund provides members with the opportunity to bid for funding to run one off projects.

-24-

SPRING NORTH LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

11 Fund movement (continued)

Prior year fund movement

Unrestricted general funds
Designated funds
Small grants
Total unrestricted funds		 Brought
forward at
1 April
2019
£
170,860
35,000
35,000
205,860		 Incoming
resources
£
1,075,222
-
-
1,075,222		 Outgoing
resources
£
(1,087,235)
(8,100)
(8,100)
(1,095,335)		 Transfers
£
16,900
(16,900)
(16,900)
-		 Carried
forward at
31 March
2020
£
175,747
10,000
10,000
185,747

12 Financial instruments

Carrying amount of financial assets
Debt instruments measured at amortised cost
Carrying amount of financial liabilities
Measured at amortised cost		 2021
2020
£
£
80,088
119,312
1,425
2,498

13 Operating lease commitments

At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Within one year
Within two to five years
Over five years		 2021
£
676
-
-
676		 2020
£
654
-
-
654

-25-

SPRING NORTH LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

14 Related party transactions

Representatives, either Senior Employees or Trustees, from some of the member charities sit on the Board of Spring North Ltd. The member organisations are eligible to sub-contract and commission work from the consortium. These services are performed under formal contracts which are commissioned as part of an independent tendering process, in which the relevant individuals are not involved in discussions regarding their own organisations. During the year commissioning costs of £687,347 (2020: £897,931) were paid to the members of the consortium.

15 Company limited by guarantee

The charity is a company limited by guarantee. In the event of the charity being wound up or dissolved, each member undertakes to contribute such amount as is required, not exceeding £10, for payment of any debts or liabilities.

-26-