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← Key4life CIO

2023-12-31-accounts

Charity no. 1152426

Key4Life CIO Report and Audited Financial Statements 31 December 2023

Key4Life CIO

Reference and administrative details

For the year ended 31 December 2023

Charity number 1152426
Registered office and Units 65
operational address Easton Business Centre
Felix Road
Easton
Bristol
BS5 0HE
Trustees The trustees who served during the year and up to the date of this report
were as follows:
Paul Sternberg (Chair)
Kathryn Brewer
Solomon Curtis appointed 3 April 2023
Caroline Dollimore appointed 3 April 2023
Michael Dooley appointed 3 April 2023
Walid Yusef Haddouch appointed 3 April 2023
Lindsay Healy
Jeremy Mark Whelan appointed 3 April 2023
Chief executive officer Eva Hamilton MBE
Bankers TSB Bank
Marketplace
Somerton
Somerset
ΤΑ11 7ΝΒ
Solicitors Jayes Collier LLP
Ealing Studios
Ealing Green
London
W5 5ΕΡ
Auditors Godfrey Wilson Limited
Chartered accountants and statutory auditors
5th Floor Mariner House
62 Prince Street
Bristol
BS1 4QD

1

Key4Life CIO

Report of the trustees

For the year ended 31 December 2023

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Constitution and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2019).

Objectives and activities

The objects of the charity are:

Key4Life delivers support to young men aged 18-30 as the group most likely to re-offend. Key4Life’s purpose is to support these young men from marginalised communities, who, for whatever reason, have committed an offence or are at risk of offending, to give them opportunities, skills and support to lead positive lives and integrate into the world of work, their communities and families. Key4Life also works with children under 18 at risk of being caught up in knife crime.

In 2023 the charity has:

Despite the ongoing restrictions imposed by the pandemic, we have supported 139 new participants registered on Key4Life programmes in 2023 across 7 programmes. This brings the total number of participants supported by Key4Life over 900 including alumni receiving on-going support.

In addition, Key4Life reached a further 4,000 children through the outreach anti-knife programmes delivered in schools and 40 children across community holiday programmes.

Key4Life continues to grow and scale up with further programmes in HMP Fosse Way and HMP Thameside in conjunction with Serco. We also completed 2 preventative 'At Risk' programmes in London and the Southwest and we continued to work in HMP Forest Bank with Sodexo.

Key4Life has also hosted more pop-up events with the Food Cell (in memory of Jack Winter), a converted prison van designed to sell burgers at festivals and events.

The burger venture was created to help the men that are currently on the programme to gain experience and paid work in customer service, communication and to gain valuable business skills, along with hospitality and bookkeeping. In addition, the men received Level 1 and Level 2 in Food Safety and Hygiene. This proved to be an invaluable springboard for a number of the young men who have gone on to work in hospitality and catering amongst other sectors.

2

Key4Life CIO

Report of the trustees

For the year ended 31 December 2023

Over 60 new mentors from diverse backgrounds were trained in 2023 to mentor young men. All staff and volunteer mentors complete mandatory enhanced DBS checks before interacting with programme participants and throughout the year we implemented a training programme for staff on how to maintain boundaries with participants, identifying participants' support needs and working proactively rather than re-actively. In addition, all staff attend safeguarding training and risk assessment and conflict management training.

Alongside this, we also trained 12 new Key Mentors (former participants of Key4Life programme) to gain their AQA Award in Coaching and Mentoring, to allow them to provide peer support to young people coming through the programme.

In November we hosted our annual Gala Dinner where Suggs of Madness performed and showed his support for the YOUNITED Flag, a kitemark launched by Nile Rodgers in 2019 awarded to companies who employ an ex-offender for more than 6-months.

Achievements and performance

Charitable activities

In 2023, Key4Life delivered a total of 7 programmes to 195 young people. This total includes the prison, preventative and under 18’s work.

A list of programmes is below:

rammes is below:
London At Risk programme (19 participants)
Bristol At Risk programme (16 participants)
Southwest At Risk programme (16 participants)
HMP Forest Bank (two programmes) (49 participants)
HMP Fosse Way (40 participants)
HMP Thameside (15 participants)
Under 18s Holiday programme (40 children reached)

Fundraising activities

Key4Life predominantly receives income from grant making trusts, organisations and individual donors. We employ one full time equivalent fundraiser who is directly managed by the Head of Operations.

Fundraising from the public is not a core strategy of the charity. We do not engage in large scale public fundraising campaigns or from street, door-to-door and private site fundraising although we do welcome gifts from individuals and philanthropists on both an ad hoc and regular basis.

In 2023 we held our Gala Dinner with Suggs of Madness performing and the event raised in excess of £100,000 for the charity.

Key4Life does work with commercial participators and third-party professional fundraisers for public facing fundraising campaigns.

We would like to express our sincere thanks to every trust, individual and business who has financially supported Key4Life over the past year. Your support makes our life changing work possible.

3

Key4Life CIO

Report of the trustees

For the year ended 31 December 2023

Research

Robust, independent research continues to underpin Key4Life's work, and our results have strengthened with the average reoffending rate amongst Key4Life participants for 2023 being 7% after one year and with over 65% securing work, training or meaningful occupation.

Partnerships

Key4Life has both strengthened existing, and developed new, relationships with key stakeholders including the police, councils, prisons, businesses, mentors and trusts and foundations. In 2023, Key4Life worked with new companies who supported the charity in a variety of ways, from joining as a national partner, to offering work tasters, hosting a support meeting, running an employability workshop, providing volunteer mentors for the mentoring programme, attending interview workshops and ultimately employing our young men.

These companies really do make a huge difference, both on a local level by helping a young man change his life by offering new opportunities and on a national level through corporate sponsorship.

Developments for 2024

For the forthcoming year, our focus is to continue to expand our work in prisons. Our partnership with Serco and Sodexo will allow us to expand and deliver our 7 Step model at scale. In September 2023 we started working in HMP Fosse Way, a new state of the art prison in Leicester and will be doubling our numbers for this programme in 2024.

The proven 7 Step model continues to deliver consistent results in reducing reoffending and securing employment for some of the most marginalized young men in our Society.

In addition, the work in schools is now demonstrating that Key4Life has a role to play in preventing young people from being excluded from mainstream education and falling into crime. Prevention is better than cure – over 50% of the Key4Life participants were excluded from school. We are continuing to develop the skills and abilities of our Key Mentors giving them the opportunity to progress on their professional path.

Our work with the corporate sector is a huge priority in changing the prejudices held by much of corporate Britain against those who have an offending background. The YOUNITED flag will now be awarded to more companies across the UK in recognition of their commitment to diversity and inclusion.

Financial review

Financial position

These financial statements show the results from twelve months of activity and the comparative figures report on results from a twelve-month period.

The charity does not hold any investments.

Potential risks the charity faces depend very much on the size, nature and complexity of restricted funds granted which impact the activities we undertake.

The principal funding sources for the charity are our annual events and our restricted funds as laid out on pages 19 and 21. There is no significant pension liability arising.

2023 for Key4Life has been on one level hugely exciting with a lot of activities.

4

Key4Life CIO

Report of the trustees

For the year ended 31 December 2023

Thanks to our generous donors, the hard work of our fundraisers and the success of our second gala dinner in four years, we made a surplus of £25,828 on our unrestricted funds following a restating on our 2022 accounts to amend our accrued income in line with the Charities Statement of Recommended Practice (SORP).

Reserves policy

Reserves are provided to ensure the financial stability of the charity and the ability for it to meet its charitable objectives for the foreseeable future. The movement in reserves is shown in the note 17 to the accounts.

Key4Life will maintain unrestricted reserves at a level that is at least equivalent to two months operational expenditure, currently calculated at £150,000. The charity meets programme delivery costs from its unrestricted reserves and is committed to delivering projects after the year end. After making provision for this committed spend, the trustees are satisfied that the uncommitted reserves are more than £150,000.

The trustees review the amount of reserves that are required to ensure they are adequate to fulfil the charity's continuing obligations at their board meetings.

Key4Life has been funded by a variety of donors also through events held. Our financial statements show a total income of £1,157,081 for the year ended 31 December 2023 with a surplus for the year across all funds of £227,631.

The balance sheet at 31 December 2023 shows total funds carried forward of £727,820 which are subsequently allocated to our programmes.

Plans for future periods

The trustees have continued to regularly review and update their governance arrangements in light of new legislation and the growth in staff numbers.

We are in the process of refreshing the organisation's strategic aims and developing a business plan to consolidate our current position, whilst also exploring new opportunities. The organisation is in a good position to continue its development and is well placed to make the most of the opportunities available to reduce criminal offending and benefit society.

Structure, governance and management

The charity is controlled by its governing document, the Association Constitution, and constitutes a limited company, limited by guarantee, as defined by the Charities Act 2011.

The financial statements comply with the Charities Act 2011, the Association Constitution, and Accounting and Reporting by Charities: Statement of Recommended Practice, applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102 section 1A).

5

Key4Life CIO

Report of the trustees

For the year ended 31 December 2023

Public benefit

The trustees confirm that in compiling this report they have had due regard to the guidance on public benefit issued by the Charity Commission in compliance with the duty set out in section 17(5) of the Charities Act 2011.

Recruitment and appointment of new trustees and organisational structure

Trustees are appointed for their professional expertise and can serve more than one term. A term is defined as five years. Interested possible new trustees are required to attend trustee meetings to meet the team and become familiar with the governance requirements before being considered for any vacant positions.

Eva Hamilton MBE is the Founder and Chief Executive of Key4Life, responsible for the day-to-day running of the charity.

The board of trustees meet quarterly and deal with the administration of the charity encompassing the strategic vision, financial accountability and risk management. The trustees' meetings also include the AGM.

The operational management of the organisation is undertaken by the paid staff team.

2023 saw us welcome 5 new trustees to Key4Life, boasting a wealth of skills and experience to support the next phase in our development taking our total to 8 trustees on the board.

Risk management

The trustees have conducted a review of the major risks to which the charity is exposed, and systems have been established to mitigate those risks including the implementation of procedures for authorisation of all transactions and projects and for ensuring the consistent quality of the delivery of all operational aspects of the charitable company. These procedures are periodically reviewed to ensure that they still meet the needs of the charity.

Key management remuneration

Key4Life's remuneration policy is designed to ensure the organisation continues to be a leading charity within the rehabilitation sector, providing high quality services for young offenders and those at risk of offending. This includes ensuring remuneration levels are sufficient both to attract high calibre staff and maintain our human resource across the organisation.

Key4Life is committed to pay being aligned to performance, while ensuring that we are able to attract and retain employees critical to delivering our strategy.

The remuneration of members of the senior management team is determined by the board of trustees.

In addition, Key4Life is committed to pay the minimum hourly rates recommended by the Living Wage Foundation.

6

Key4Life CIO

Report of the trustees

For the year ended 31 December 2023

Statement of responsibilities of the trustees

The trustees are responsible for preparing the trustees' report and the financial statements in accordance with 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).

The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and the incoming resources and application of resources, including the net income or expenditure, of the charity for the year. In preparing those financial statements the trustees are required to:

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the constitution. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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 dissemination of financial statements may differ from legislation in other jurisdictions.

Members of the charity are not required to contribute to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

Auditors

Godfrey Wilson Limited were appointed as auditors to the charity during the year and have expressed their willingness to continue in that capacity.

Approved by the trustees on 8 April 2024 and signed on their behalf by

paul von sternberg

Paul Sternberg - Chair

7

Independent auditors' report

To the members of

Key4Life CIO

Opinion

We have audited the financial statements of Key4Life CIO (the 'charity') for the year ended 31 December 2023 which comprise the statement of financial activities, balance sheet, statement of cash flows and the related notes to the financial statements, 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 charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. 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.

8

Independent auditors' report

To the members of

Key4Life CIO

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of the trustees

As explained more fully in the trustees’ responsibilities statement set out in the trustees’ report, the trustees 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 they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Our 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 procedures we carried out and the extent to which they are capable of detecting irregularities, including fraud, are detailed below:

9

Independent auditors' report

To the members of

Key4Life CIO

(1) We obtained an understanding of the legal and regulatory framework that the charity operates in, and assessed the risk of non-compliance with applicable laws and regulations. Throughout the audit, we remained alert to possible indications of non-compliance.

(2) We reviewed the charity’s policies and procedures in relation to:

(3) We inspected the minutes of trustee meetings.

(4) We enquired about any non-routine communication with regulators and reviewed any reports made to them.

(5) We reviewed the financial statement disclosures and assessed their compliance with applicable laws and regulations.

(6) We performed analytical procedures to identify any unusual or unexpected transactions or balances that may indicate a risk of material fraud or error.

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. Irregularities that arise due to fraud can be even harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

10

Independent auditors' report

To the members of

Key4Life CIO

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with section 144 of the Charities Act 2011 and the regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditorʼs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Godfrey Wilson Limited

Date: 9 April 2024

GODFREY WILSON LIMITED

Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD

11

Key4Life CIO

Statement of financial activities

For the year ended 31 December 2023

Restricted Unrestricted
Note
£
£
Income from:
Donations
3
20,143
192,761
Charitable activities
4
610,533
180,500
Other trading activities
5
9,997
138,955
Investments
-
4,192
Total income
640,673
516,408
Expenditure on:
Raising funds
-
142,589
Charitable activities
438,870
347,991
Total expenditure
7
438,870
490,580
8
201,803
25,828
Reconciliation of funds:
Total funds brought forward
137,726
362,463
Total funds carried forward
339,529
388,291
Net income / (expenditure) and net
movement in funds		 2023
Total
£
212,904
791,033
148,952
4,192
1,157,081
142,589
786,861
929,450
227,631
500,189
727,820		 Restated
2022
Total
£
211,158
526,135
189,744
1,620
928,657
134,346
1,004,282
1,138,628
(209,971)
710,160
500,189

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 17 to the accounts.

Prior period income has been restated due to a correction to the income recognition policy of multi year grants in alignment with the Charities SORP. The restatements are disclosed in note 19 to the accounts.

12

Key4Life CIO

Balance sheet

As at 31 December 2023

Note
Fixed assets
Tangible assets
11
Intangible assets
12
Current assets
Stocks
13
Debtors
14
Cash at bank and in hand
Liabilities
Creditors: amounts falling due within 1 year
15
Net current assets
Total assets less current liabilities
Net assets
16
Funds
17
Restricted funds
Unrestricted funds
General funds
Total charity funds		 £
1,500
149,293
530,119
680,912
38,966		 2023
£
41,875
43,999
85,874
641,946
727,820
727,820
339,529
388,291
727,820		 Restated
2022
£
40,697
43,999
84,696
500
53,711
403,100
457,311
41,818
415,493
500,189
500,189
137,726
362,463
500,189

Approved by the trustees on 8 April 2024 and signed on their behalf by

paul von sternberg

Paul Sternberg - Chair

13

Key4Life CIO

Statement of cash flows

For the year ended 31 December 2023

Cash used in operating activities:
Net movement in funds
Adjustments for:
Depreciation charges
Loss on sale of fixed assets
Dividends, interest and rents from investments
Decrease / (increase) in stock
Decrease / (increase) in debtors
Increase / (decrease) in creditors
Net cash provided by / (used in) operating activities
Cash flows from investing activities:
Dividends, interest and rents from investments
Purchase of tangible fixed assets
Purchase of intangible fixed assets
Net cash provided by / (used in) investing activities
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		 2023
£
227,631
10,909
2,992
(4,192)
(1,000)
(95,582)
(2,852)
137,906
4,192
(15,079)
-
(10,887)
127,019
403,100
530,119		 Restated
2022
£
(209,971)
10,163
-
(1,620)
(500)
78,392
19,442
(104,094)
1,620
(4,783)
(43,999)
(47,162)
(151,256)
554,356
403,100

The charity has not provided an analysis of changes in net debt as it does not have any long term financing arrangements.

14

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

1. Accounting policies

a) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in 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).

Key4Life CIO 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 note.

b) Going concern basis of accounting

The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of unrestricted reserves. There are no material uncertainties about the charity's ability to continue as a going concern.

c) Income

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.

Income from the 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.

Contract income is recognised when the associated goods or services have been delivered.

d) Donated services and facilities

On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

e) Interest receivable

15

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

1. Accounting policies (continued)

f) Funds accounting

Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity.

g) Expenditure 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.

h) Allocation of support and governance costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities based on the proportion of staff time occupied by each activity as follows:

2023 2022
Raising funds 0% 0%
Charitable activities 100% 100%

i) Tangible fixed assets

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

Computer equipment 33% reducing balance
Motor vehicles 20% reducing balance
Fixtures and fittings 20% reducing balance

Items of equipment are capitalised where the purchase price exceeds £500.

j) Intangible fixed assets

Intangible fixed assets are amortised at rates calculated to write off the assets on a straight line basis over their estimated useful economic lives. Impairment of intangible assets is reviewed where circumstances indicate that the carrying value of an asset may not be fully recoverable. Amortisation rates are yet to be calculated as all intangible assets are currently under development and are not ready for use.

k) Stock

Stock is included at the lower of cost or net realisable value. Donated items of stock are recognised at fair value which is the amount the charity would have been willing to pay for the items on the open market.

l) Debtors

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

16

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

1. Accounting policies (continued) m) Cash at bank and in hand

Cash at bank and cash 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.

n) Creditors

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

o) 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 with the exception of bank loans which are subsequently recognised at amortised cost using the effective interest method.

p) Pension costs

The charity operates a defined contribution pension scheme for its employees. There are no further liabilities other than that already recognised in the SOFA.

q) Foreign currency transactions

Transactions in foreign currencies are translated at rates prevailing at the date of the transaction. Balances denominated in foreign currencies are translated at the rate of exchange prevailing at the year end.

r) Accounting estimates and key judgements

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

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

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are accrued income, depreciation and amortisation as described in notes c), i) and j) respectively above.

17

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

2. Prior period comparatives: statement of financial activities

Income from:
Donations
Charitable activities
Other trading activities
Investments
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
3.
Income from donations
Donations
Gift aid
Total income from donations
Prior period comparative:
Donations
Gift aid
Total income from donations
Net income / (expenditure) and net
movement in funds		 Restricted
£
£
54,827
156,331
339,791
186,344
17,817
171,927
-
1,620
412,435
516,222
-
134,346
770,720
233,562
770,720
367,908
(358,285)
148,314
Restricted
£
£
20,143
192,312
-
449
20,143
192,761
Restricted
£
£
54,827
153,622
-
2,709
54,827
156,331
Unrestricted
Unrestricted
Unrestricted		 Restated
2022
Total
£
211,158
526,135
189,744
1,620
928,657
134,346
1,004,282
1,138,628
(209,971)
2023
Total
£
212,455
449
212,904
Restated
2022
Total
£
208,449
2,709
211,158

18

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

4. Income from charitable activities

Income from charitable activities
Grants:
Swire Charitable Trust
Crucible Foundation
CHK Foundation
Henry Smith
Land Securities Properties
Lendlease
Lloyds Foundation
BRIT Trust
Garfield Weston
Charles Hayward
HCD Memorial Fund
KPMG
John James Charitable Trust
City bridge
Dr Martens Foundation
Elm Tree Trust
The Sir Peter O'Sullivan Charitable Trust
Vintners Foundation
29th May 1961 Charitable Trust
Atkins Global
Nisbet Trust
IICF
Inner London Magistrates Court Poor Box
The Fairfield Charitable Trust
Third House Trust
The Beatrice Laing Trust
Field Family Trust
Joseph Levy Foundation
Souter Charitable Trust
Tabhair Charitable Trust
The Robert Gavron Charitable Trust
The Statham Family Charitable Trust
Individually less than £5,000
Service level agreements
Total income from charitable activities		 Restricted
£
£
-
60,000
50,000
-
37,500
12,500
-
50,000
50,000
-
40,000
-
33,093
-
30,000
-
30,000
-
25,000
-
-
25,000
16,700
-
21,000
-
20,500
-
20,000
-
20,000
-
20,000
-
20,000
-
15,000
-
15,000
-
15,000
-
10,000
-
-
10,000
10,000
-
10,000
-
7,500
-
5,000
-
-
5,000
-
5,000
5,000
-
5,000
-
-
5,000
8,600
8,000
70,640
-
610,533
180,500
Unrestricted		 2023
Total
£
60,000
50,000
50,000
50,000
50,000
40,000
33,093
30,000
30,000
25,000
25,000
16,700
21,000
20,500
20,000
20,000
20,000
20,000
15,000
15,000
15,000
10,000
10,000
10,000
10,000
7,500
5,000
5,000
5,000
5,000
5,000
5,000
16,600
70,640
791,033

19

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

4. Income from charitable activities (continued) Prior period comparative:

Grants:
KPMG
Henry Smith
Impact Partnership
John Lyon's Charity
Generation IM
BRIT Trust
Charles Hayward Foundation
Sony Music
Addison Youth
Leathersellers
Swire Charitable Trust
Linder Foundation
Thames Water
Sheldon Trust
SYP Trust
Vinters Foundation
MOPAC
Clothworkers Foundation
Organics
Young Londoners Fund
Prism the Gift Fund
Tom's Trust
B&CE Charitable Trust
John Coates Charitable Trust
OPCC / Quartet Community Foundation
Individually less than £5,000
Service level agreements
Total income from charitable activities		 Restricted
£
£
15,200
36,000
-
50,000
54,360
-
40,000
-
-
38,500
30,000
-
25,000
-
25,000
-
20,869
-
20,000
-
-
20,000
20,000
-
-
15,000
10,000
-
10,000
-
10,000
-
9,500
-
-
9,100
-
8,000
-
7,493
3,000
-
5,355
-
5,000
-
5,000
-
2,500
-
9,007
2,251
20,000
-
339,791
186,344
Unrestricted		 Restated
2022
Total
£
51,200
50,000
54,360
40,000
38,500
30,000
25,000
25,000
20,869
20,000
20,000
20,000
15,000
10,000
10,000
10,000
9,500
9,100
8,000
7,493
3,000
5,355
5,000
5,000
2,500
11,258
20,000
526,135

20

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

5. Income from other trading activities

Income from other trading activities
Summer ball
Food Cell burger venture
Total income from other trading activities
Prior period comparative:
Summer ball
Food Cell burger venture
Total income from other trading activities		 Restricted
£
£
-
138,955
9,997
-
9,997
138,955
Restricted
£
£
-
171,927
17,817
-
17,817
171,927
Unrestricted
Unrestricted		 2023
Total
£
138,955
9,997
148,952
2022
Total
£
171,927
17,817
189,744

6. Government grants

The charity did not receive any government grants in the current or prior year.

21

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

7. Total expenditure

Total expenditure
Summer ball
Corporate engagement
Other fundraising costs
Project costs
Staff costs (note 9)
Administration and consultancy
Premises costs
Subcontractor costs
Depreciation
Accountancy and legal fees
Sub-total
Allocation of support and governance costs
Total expenditure		 Raising funds
£
62,145
29,911
50,533
-
-
-
-
-
-
-
142,589
-
142,589		 Charitable
activities
£
-
-
-
179,940
264,684
108,670
36,484
89,080
-
-
678,858
108,003
786,861		 Support and
governance
costs
£
-
-
-
-
55,146
31,148
-
-
10,909
10,800
108,003
(108,003)
-		 2023 Total
£
62,145
29,911
50,533
179,940
319,830
139,818
36,484
89,080
10,909
10,800
929,450
-
929,450

Total governance costs were £10,800 (2022: £4,800)

22

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

7. Total expenditure (continued) Prior period comparative (restated)

Prior period comparative (restated)
Summer ball
Corporate engagement
Other fundraising costs
Project costs
Staff costs (note 9)
Administration and consultancy
Premises costs
Subcontractor costs
Depreciation
Accountancy and legal fees
Sub-total
Allocation of support and governance costs
Total expenditure		 Raising funds
£
70,643
24,676
39,027
-
-
-
-
-
-
-
134,346
134,346		 Charitable
activities
£
-
-
-
266,770
275,157
142,011
44,826
176,332
-
-
905,096
99,186
1,004,282		 Support and
governance
costs
£
-
-
-
-
55,821
28,402
-
-
10,163
4,800
99,186
(99,186)
-		 2022 Total
£
70,643
24,676
39,027
266,770
330,978
170,413
44,826
176,332
10,163
4,800
1,138,628
-
1,138,628

23

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

8. Net movement in funds

This is stated after charging:

Depreciation
Operating lease payments
Trustees' remuneration
Trustees' reimbursed expenses
Auditors' remuneration (excluding VAT):
Statutory audit
Independent examination		 2023
£
10,909
15,816
Nil
-
9,000
-		 2022
£
10,163
15,816
Nil
105
-
4,000

Trustees' reimbursed expenses in the prior period relate to travel costs for 1 trustee.

9. Staff costs and numbers

Staff costs were as follows:

Salaries and wages
Social security costs
Pension costs		 2023
£
291,836
23,889
4,105
319,830		 2022
£
300,560
24,437
5,981
330,978

1 employee earned between £70,000 and £80,000 in the year (2022: 1, £60,000 - £70,000).

The key management personnel of the charity comprise the Trustees and the Chief Executive Officer. The total employee benefits of the key management personnel were £78,450 (2022: £73,988).

Average head count 2023
No.
8		 2022
No.
9

10. Taxation

The charity is exempt from corporation tax as all of its income is charitable and is applied for charitable purposes.

24

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

11. Tangible fixed assets (restated)
Cost
At 1 January 2023
Additions in year
Disposals
At 31 December 2023
Depreciation
At 1 January 2023
Charge for the year
On disposals
At 31 December 2023
Net book value
At 31 December 2023
At 31 December 2022		 Fixtures
and fittings
£
30,659
2,652
-
33,311
9,516
4,817
-
14,333
18,978
21,143		 Motor
Vehicles
£
15,565
11,195
-
26,760
8,278
3,696
-
11,974
14,786
7,287		 Computer
Equipment
£
27,366
1,232
(8,827)
19,771
15,099
2,396
(5,835)
11,660
8,111
12,267		 Total
£
73,590
15,079
(8,827)
79,842
32,893
10,909
(5,835)
37,967
41,875
40,697

12. Intangible fixed assets

Intangible fixed assets
Cost
At 1 January 2023 and at 31 December 2023
Amortisation
At 1 January 2023 and at 31 December 2023
Net book value
At 31 December 2023
At 31 December 2022		 Computer
software
£
43,999
-
43,999
43,999
**13. ** Stock
2023 2022
£ £
Merchandise 1,500 500

25

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

14. Debtors

Debtors
Trade debtors
Prepayments
Accrued income
Other debtors		 2023
£
61,150
12,749
72,000
3,394
149,293		 Restated
2022
£
21,035
20,305
11,181
1,190
53,711

15. Creditors : amounts due within 1 year

Trade creditors
Accruals
Other taxation and social security
Other creditors		 2023
£
11,960
11,100
14,500
1,406
38,966		 2022
£
32,261
5,026
3,997
534
41,818

16. Analysis of net assets between funds

Tangible fixed assets
Intangible assets
Current assets
Current liabilities
Net assets at 31 December 2023
Prior year comparative
Tangible fixed assets
Intangible assets
Current assets
Current liabilities
Net assets at 31 December 2022		 £
-
-
344,710
(5,181)
339,529
£
-
-
159,212
(21,486)
137,726
Restricted
funds
Restricted
funds		 £
41,875
43,999
336,202
(33,785)
388,291
£
40,697
43,999
298,099
(20,332)
362,463
General
funds
General
funds		 Total
funds
£
41,875
43,999
680,912
(38,966)
727,820
Total
funds
£
40,697
43,999
457,311
(41,818)
500,189

26

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

17. Movements in funds

Movements in funds
Restricted funds
Bristol & SW - At Risk
London - At Risk
London - Holiday Programme
London Schools
Equine Training & Therapy
Food Cell
HMP - General Fund
HMP - Forest Bank
HMP Thameside
HMP Fosse Way
Total restricted funds
General funds
Total unrestricted funds
Total funds
Bristol & SW - Holiday
Programme
Unrestricted funds		 At 1
January
2023
£
18,184
-
46,809
-
5,217
-
30,599
16,667
10,000
10,250
-
137,726
362,463
362,463
500,189		 Income
£
103,250
6,000
86,917
22,500
750
40,000
18,140
103,800
145,493
53,823
60,000
640,673
516,408
516,408
1,157,081		 £
(81,929)
(4,000)
(104,387)
(9,208)
(5,967)
(15,000)
(28,189)
(35,667)
(98,908)
(17,490)
(38,125)
(438,870)
(490,580)
(490,580)
(929,450)
Expenditure		 £
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Transfers
between
funds		 £
39,505
2,000
29,339
13,292
-
25,000
20,550
84,800
56,585
46,583
21,875
At 31
December
2023
339,529
388,291
388,291
727,820

Purposes of restricted funds

Bristol & SW - At Risk

A community programme based on our innovative 7 Step model, supporting young men at risk of offending or re-offending.

Bristol & SW - Holiday A 2 day programme for under 18's during the school holidays. Programme London - At Risk A based on our innovative 7

A community programme based on our innovative 7 Step model, supporting young men at risk of offending or re-offending.

London - Holiday Programme A 2 day programme for under 18's during the school holidays. London Schools Anti-knife crime, year group presentations at schools. Equine Training & Therapy An integral part of the 7 step model, horses are used as a valuable therapeutic training tool across all the programmes.

Food Cell A fitted out prison van that provides training and fundraising for our young men, selling handmade burgers at events in the UK.

27

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

17. Movements in funds (continued) Purposes of restricted funds (continued) HMP - General Fund

The general prison fund that supports all of the prison programmes.

HMP - Forest Bank

A pre-release programme in the prison using the 7 Step model and then supporting the young men when they are released 'through the gate'.

HMP Thameside

A pre-release programme in the prison using the 7 Step model and then supporting the young men when they are released 'through the gate'.

HMP Fosse Way

A pre-release programme in the prison using the 7 Step model and then supporting the young men when they are released 'through the gate'.

Restricted funds
Bristol & SW - At Risk
London - At Risk
London - Holiday Programme
London Schools
Food Cell
HMP - General Fund
HMP - Forest Bank
HMP - Feltham
HMP - Brixton
HMP Wormwood Scrubs
HMP Thameside
Other
Total restricted funds
General funds
Total unrestricted funds
Total funds
Prior year comparative
(restated)
Bristol & SW - Holiday
Programme
Unrestricted funds		 At 1
January
2022
£
56,541
1,648
179,797
14,696
51,284
20,212
42,920
32,528
8,073
19,009
5,837
46,056
12,729
491,330
218,830
218,830
710,160		 Income
£
42,455
20,000
250,735
11,500
20,869
22,269
4,000
40,000
-
-
-
-
607
412,435
516,222
516,222
928,657		 £
(80,812)
(21,648)
(383,723)
(26,196)
(66,936)
(11,882)
(30,253)
(62,528)
(12,754)
(19,009)
(5,837)
(35,806)
(13,336)
(770,720)
(367,908)
(367,908)
(1,138,628)
Expenditure		 £
-
-
-
-
-
-
-
-
4,681
-
-
-
-
4,681
(4,681)
(4,681)
-
Transfers
between
funds		 £
18,184
-
46,809
-
5,217
30,599
16,667
10,000
-
-
-
10,250
-
At 31
December
2022
137,726
362,463
362,463
500,189

28

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

18. Related party transactions

C Dollimore, a trustee, is also a trustee of The BRIT Trust. During the year the charity received grants of £30,000 (2022: £30,000) from The BRIT Trust. No amounts were outstanding at 31 December 2023 (2022: £nil). All transactions were carried out at arms length.

W Haddouch, a trustee, is also employed at MS Amlin. During the year the charity received event income of £1,980 (2022: £nil) from MS Amlin for a table at the annual gala event. No amounts were outstanding at 31 December 2023 (2022: £nil). All transactions were carried out at arms length.

L Healy, a trustee, is also a director of Aria Grace Law CIC. During the year the charity received event income of £4,995 (2022: £5,000) and donation of £5 (2022: £nil) from Aria Grace Law for a gala table. No amounts were outstanding at 31 December 2023 (2022: £nil). All transactions were carried out at arms length.

J Whelan, a trustee, is also employed at Havas Creative Group. During the year the charity received event income of £4,995 (2022: £nil) from Havas Creative Group for a gala table. No amounts were outstanding at 31 December 2023 (2022: £nil). All transactions were carried out at arms length.

E Hamilton, CEO and Co-Founder, is also the owner of Twelve Hides. During the year the charity made purchases of £7,100 (2022: £8,450) from Twelve Hides for rental of horses. At the year end the charity owed Twelve Hides £1,600 (2022: £1,500), which is included in trade creditors. All transactions were carried out at arms length.

19. Prior period restatement

The prior year comparatives have been restated to correct income recognition in prior periods. The impact upon the prior year brought forward funds, income, and accrued income is shown below.

In addition, the prior year comparatives have been restated to reclassify support and governance costs in the total expenditure note to the financial statements. The impact upon the prior year comparatives is a reclassification only and is represented in the total expenditure note to the financial statements (note 7) and is shown below.

Also, the prior year comparatives have been restated to reclassify app development costs as an intangible asset.

Income from donations
Original income from donations
Accrued income adjustment
Adjusted income from donations		 2022
£
236,159
(25,001)
211,158

29

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

19. Prior period restatement (continued)
Income from charitable activities
Original income from charitable activities
Accrued income adjustment
Adjusted income from charitable activities
Accrued income
Original accrued income
Grant income adjustment 2022
Brought forward funds adjustment
Adjusted accrued income
Brought forward restricted funds
Original restricted funds as at 1 December 2022
Accrued income adjustment
Adjusted restricted funds as at 1 December 2022
Brought forward unrestricted funds
Original unrestricted funds as at 1 December 2022
Accrued income adjustment
Adjusted unrestricted funds as at 1 December 2022		 2022
£
530,868
(4,733)
526,135
2022
£
299,155
(29,733)
(258,241)
11,181
2022
£
649,570
(158,240)
491,330
2022
£
318,830
(100,000)
218,830

30

Key4Life CIO

Notes to the financial statements

For the year ended 31 December 2023

19. Prior period restatement (continued) Support and governance expenditure

Prior period restatement (continued)
Support and governance expenditure
Original support and governance expenditure
Staff costs reclassification
Other overheads reclassification
Adjusted support and governance expenditure		 2022
£
4,800
55,821
38,565
99,186

Charitable activities expenditure

Original charitable activities expenditure
Staff costs reclassification
Other overheads reclassification
Adjusted charitable activities expenditure		 2022
£
999,482
(55,821)
(38,565)
905,096

Tangible fixed assets

Tangible fixed assets
Original tangible fixed assets NBV as at 31 December 2022
Reclassification of app development costs
Adjusted tangible fixed assets NBV as at 31 December 2022		 2022
£
84,696
(43,999)
40,697

Intangible assets

Intangible assets
Original intangible assets NBV as at 31 December 2022
Reclassification of app development costs
Adjusted intangible assets NBV as at 31 December 2022		 2022
£
-
43,999
43,999

31