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2024-09-30-accounts

Charity registration number 1154510 (England and Wales)

Company registration number 08675134

TOM HARRISON HOUSE

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2024

TOM HARRISON HOUSE

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees J Cass
J Cass
S Pearson
P Wright
T Downing
Charity number (England and Wales) 1154510
Company number 08675134
Registered office Tom Harrison House
4 Argyle Road
Anfield
Liverpool
Merseyside
L4 2RS
Auditor Mitchell Charlesworth (Audit) Limited
Suites C, D, E & F
14th Floor, The Plaza
100 Old Hall Street
Liverpool
L3 9QJ

TOM HARRISON HOUSE

CONTENTS

Page
Trustees' report 1 - 3
Independent auditor's report 4 - 7
Statement of financial activities 8
Balance sheet 9
Statement of cash flows 10
Notes to the financial statements 11 - 23

TOM HARRISON HOUSE

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

The trustees present their annual report and financial statements for the year ended 30 September 2024.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Memorandum and Articles of Association, the Companies Act 2006 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 (FRS 102)" (effective 1 January 2019).

Objectives and activities

The Charity's objectives are to provide treatment, support and housing for ex-service men and women, helping them achieve change and freedom from substance misuse; the provision of counselling, support and assistance to ex-service men and women returning to society and work life outside of the Armed Forces; to assist with access to voluntary work placement, education and training opportunities relevant for future employment.

Public benefit

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Achievements and performance

Tom Harrison House (THH) continues to deliver effective and responsive treatment for addiction with an ever-increasing demand for our services and support, as reported in previous years there remains a significant waiting list for the treatment programme. Treatment effectiveness remains high with only 4 (6%) unplanned versus against 64 (94%) planned exits from a total of 68 programme exits in the year.

The expansion into 11 Argyle Road last year moving all treatment into the building has been a huge success enabling the main and support offices to consolidate in 4 Argyle Road enabling more efficient and effective support and operation of the charity and the associated follow-on activities.

THH now registered with the Care Quality Commission (CQC) as an addiction treatment provider has enhanced and promoted the charity, our capabilities and success throughout the year and is proving pivotal in our relationships across the NHS and other organisations in the sector.

The female only client group sessions have been hugely successful and are market leading in support and completion rates and will continue to evolve in the next year.

We continue to work across the veteran charity sector with our unique mental health high intensity service delivering better and sustainable support to veterans in the community and we have achieved all our commitments in the year. We have also furthered our relationship with the Op Courage programme, one of our trustees is employed by the organisation and this direct interaction enhances our relationships with all NHS regions engaged and opens up potential routes to treatment for veterans identified.

These increased relationships are opening up new routes for funding for treatment and broader support for the charity continues to grow, the refreshing of our Trustee Board is in the early stages but will develop during the coming year and begin the development of ideas to consider expansion to a second site moving forward to meet the demand for the treatment we offer.

Financial review

As at the balance sheet date the company had unrestricted funds deficit of £59,335 (2023: surplus £138,291). The Trustees have assessed the major risks to which the Charity is exposed, and are satisfied that systems are in place to mitigate exposure to those risks.

TOM HARRISON HOUSE

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

Reserves policy

THH published a reserves policy for the first time in April 2025 recognising the growth and change in the organisation and is seeking to build a reserve of six months operating capital as a base reserve.

The trustees recognise that the failure in producing a reserves policy caused by the charities rapid expansion and acceleration over the past three years should have been identified earlier and will work closely with the CEO, Bookkeeper, and the auditor to ensure a sensible and realistic path to building the reserve is established, maintained, and monitored regularly during the quarterly board meeting.

Additionally, the growth and scope of the charity and its work has evolved quickly out stripping the original and existing policies in scope and scale, the trustee board is also being reset on a more professional footing with an initial task of reviewing and refreshing all policies for the operation of the charity to meet government and charity commission guidelines and responsibilities. Priorities being the reserves policy as noted above and the risk management policy to ensure objectives set by the government and the charities commission against the funding challenge of operations is monitored and THH is able to react and respond in an effective manner.

As we develop the reserves policy and refresh the operating model and other applicable policies, we are extremely conscious of the funding challenges THH faces in continuing to deliver the highly praised and successful treatment programme. The charity has always been and continues to be successful in gaining grant support and this is often how the programme is maintained, it is a growing challenging circle to deliver the annual programme, approximately 60 clients per annum is circa £1.2M in programme costs, the overheads in operating the two buildings, staff, vehicles and follow on support programmes.

The activity in promoting the charity and gaining recognition is continuous and through that programme the ability to apply for and be successful in gaining financial support, in June 2024 a £300K grant was secured and an application for a further £150K over three years from the Veterans Foundation are used to maintain the effective running and operation of the charity and delivering treatment alongside fees paid by client sponsors such as the NHS, Regional authorities and other charities. The trustees believe that the plan to build the reserves will allow THH to move into a more stable record keeping position than “going concern” and this is a priority for this operating year although it is recognised it will take some time to build up the reserve.

Plans for future periods

The Trustees will maintain a focus on liabilities and the state of unrestricted funds in light of the significant change from last year but remain confident in the charities ability to function and offer service for the foreseeable future.

Structure, governance and management

The charity is a company limited by guarantee without share capital and is governed by its Memorandum and Articles of Association.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

J Cass
D Broughton (Resigned 11 March 2025)
J Cass
K Farrimond (Resigned 4 April 2024)
A Gilmartin (Resigned 11 March 2025)
S Pearson
K Stuart (Resigned 11 March 2025)
P Wright
T Downing
A Kirby (Resigned 11 March 2025)

TOM HARRISON HOUSE

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2024

Recruitment and appointment of trustees

In accordance with the company's Memorandum and Articles of Association the company may by ordinary resolution appoint a person who is willing to act as a trustee. The current trustees may also appoint a trustee, but that trustee must retire at the next annual general meeting. The number of trustees shall not be less than three. At each annual general meeting one third of the trustees must retire from office and, if appropiate, apply to be re-elected

For the year of this report a review of Trustees has been conducted and the board reduced to five trustees with 3 trustees now retired and removed from the records in Companies House and with the Charity Commission. The board is moving to recruit 2 possibly 3 new trustees to fully reconstitute the board and create the rotation required by the paragraph above.

None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.

Statement of trustees' responsibilities

The trustees, who are also the directors of Tom Harrison House for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

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 charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Auditor

In accordance with the company's articles, a resolution proposing that Mitchell Charlesworth (Audit) Limited be reappointed as auditor of the company will be put at a General Meeting.

The trustees' report was approved by the Board of Trustees.

S Pearson

Trustee

27 June 2025

TOM HARRISON HOUSE

INDEPENDENT AUDITOR'S REPORT

TO THE TRUSTEES OF TOM HARRISON HOUSE

Opinion

We have audited the financial statements of Tom Harrison House (the ‘charity’) for the year ended 30 September 2024 which comprise the statement of financial activities, the balance sheet, the statement of cash flows 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 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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

TOM HARRISON HOUSE

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF TOM HARRISON HOUSE

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the charity for the purpose 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 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 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

We have been appointed as auditor under section 145 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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

Extent to which the audit was considered capable of detecting irregularities, including fraud

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

Identifying and assessing potential risks related to irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:

TOM HARRISON HOUSE

INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF TOM HARRISON HOUSE

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas:

(i) The presentation of the charity’s Statement of Financial Activities, (ii) revenue recognition, and (iii) the overstatement of salary and other costs, and (iv) the understatement of creditors. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

We also obtained an understanding of the legal and regulatory framework that the charity operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act and the Statement of Recommended Practice - 'Accounting and Reporting by Charities' issued by the joint SORP making body .

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the charity's ability to operate or to avoid a material penalty. These included Safeguarding and Data Protection Regulations.

Audit response to risks identified

In addition to the above, our procedures to respond to risks identified included the following:

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

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. The 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/auditorsresponsibilities. This description forms part of our auditor's report.

TOM HARRISON HOUSE

INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF TOM HARRISON HOUSE

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. 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 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 charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Mitchell Charlesworth (Audit) Limited, Statutory Auditor Accountants Suites C, D, E & F 14th Floor, The Plaza 100 Old Hall Street Liverpool L3 9QJ

27 June 2025

Mitchell Charlesworth (Audit) Limited is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

TOM HARRISON HOUSE

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 30 SEPTEMBER 2024

Unrestricted
funds
2024
Notes
£
Income from:
Donations and legacies
2
107,548
Charitable activities
3
676,566
Other trading activities
4
20,093
Total income
804,207
Expenditure on:
Raising funds
5
49,271
Charitable activities
6
952,562
Total expenditure
1,001,833
Net income/(expenditure) and
movement in funds
(197,626)
Reconciliation of funds:
Fund balances at 1 October 2023
138,291
Fund balances at 30 September
2024
(59,335)		 Restricted
funds
2024
£
183,830
-
-
183,830
-
184,335
184,335
(505)
45,751
45,246		 Total
Unrestricted
funds
2024
2023
£
£
291,378
508,644
676,566
449,888
20,093
1,155
988,037
959,687
49,271
56,870
1,136,897
915,065
1,186,168
971,935
(198,131)
(12,248)
184,042
150,539
(14,089)
138,291		 Restricted
funds
2023
£
276,102
-
-
276,102
-
230,351
230,351
45,751
-
45,751		 Total
2023
£
784,746
449,888
1,155
1,235,789
56,870
1,145,416
1,202,286
33,503
150,539
184,042

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

TOM HARRISON HOUSE

BALANCE SHEET

AS AT 30 SEPTEMBER 2024

2024
2023
Notes
£
£
£
Fixed assets
Tangible assets
14
134,667
Current assets
Debtors
15
48,866
100,291
Cash at bank and in hand
9,768
115,223
58,634
215,514
Creditors: amounts falling due within one year
17
(207,390)
(155,915)
Net current (liabilities)/assets
(148,756)
Total assets less current liabilities
(14,089)
The funds of the charity
Restricted income funds
20
45,246
Unrestricted funds
21
(59,335)
(14,089)		 £
124,443
59,599
184,042
45,751
138,291
184,042

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 30 September 2024, but has chosen as a charity to have an audit under the Charities Act 2011.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

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

The financial statements were approved by the trustees on 27 June 2025

S Pearson Trustee

Company registration number 08675134 (England and Wales)

TOM HARRISON HOUSE

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 30 SEPTEMBER 2024

Notes
Cash flows from operating activities
Cash (absorbed by)/generated from operations
24
Investing activities
Purchase of tangible fixed assets
Net cash used in investing activities
Financing activities
Proceeds from borrowings
Net cash generated from financing activities
Net decrease in cash and cash equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year		 2024
2023
£
£
£
£
(70,109)
29,466
(55,346)
(118,708)
(55,346)
(118,708)
20,000
-
20,000
-
(105,455)
(89,242)
115,223
204,465
9,768
115,223

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2024

1 Accounting policies

Charity information

Tom Harrison House is a private company limited by guarantee incorporated in England and Wales. The registered office is Tom Harrison House, 4 Argyle Road, Anfield, Liverpool, Merseyside, L4 2RS.

In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. The trustees have however noted that the net current liabilities of £207,390 and a deficit on unrestricted funds of £59,335 are a significant shift from the previous years mitigated by the increased cost charged for treatment and the progression of support bids that will complete outside the reporting period. Therefore, the trustees will continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Income

All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably, and it is probable that the income will be received.

All monetary donations and gifts are recognised in full in the statement of financial activities when receivable, provided there are no donor imposed restrictions as to the timing of the related expenditure, in which case recognition is deferred until the precondition has been met.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

Grants towards capital expenditure are recognised in the statement of financial activities on receipt.

Grants towards revenue expenditure are recognised in the statement of financial activities when the recognition criteria has been met.

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

1 Accounting policies

(Continued)

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

Expenditure, which is charged on an accruals basis is allocated between:

Expenditure incurred directly in the fulfilment of the charity's objectives (charitable activities); Expenditure incurred directly in the effort to raise voluntary contributions (costs of generating funds) and Expenditure incurred in the general running of the charity (support costs).

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Leasehold improvements 20% straight line basis Fixtures and fittings and equipment 25% straight line basis Computers 33.33% straight line basis Motor vehicles 20% straight line basis

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2024

1 Accounting policies

(Continued)

Recoverable amount is the higher of fair value less costs to sell and value in use. the estimated future cash flows are discounted to the present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in income/expenditure for the year, unless the relevant asset is carried at a revalued amount, in which case the impairment loss treated as a revaluation decrease.

Recognised impairment losses are reverser if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate if its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately, unless the relevant asset is carried in at revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2024

1 Accounting policies

(Continued)

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.10 Taxation

The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass test set out in paragraph I schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.

1.11 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.12 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

2 Income from donations and legacies

Unrestricted
Restricted
funds
funds
2024
2024
£
£
Donations and gifts
32,548
-
Grants
75,000
183,830
107,548
183,830
Grants
Goverment grants
35,000
-
Other grants
40,000
183,830
75,000
183,830		 Total
Unrestricted
Restricted
funds
funds
2024
2023
2023
£
£
£
32,548
35,352
11,269
258,830
473,292
264,833
291,378
508,644
276,102
35,000
65,290
-
223,830
408,002
264,833
258,830
473,292
264,833		 Total
2023
£
46,621
738,125
784,746
65,290
672,835
738,125

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

3 Income from charitable activities
Unrestricted Unrestricted
funds funds
2024 2023
£ £
Charitable activities
Services provided under contract 637,757 449,888
Other income 38,809 -
676,566 449,888
4 Income from other trading activities
Unrestricted Unrestricted
funds funds
2024 2023
£ £
Fundraising events 20,093 1,155
5 Expenditure on raising funds
Unrestricted Unrestricted
funds funds
2024 2023
£ £
Fundraising and publicity
Fundraising agents 49,271 48,679
Advertising - 8,191
49,271 56,870

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

6 Charitable activities

Rehabilitation
Rehabilitation
Services Services
2024 2023
£ £
Staff costs 454,987 376,632
Depreciation and impairment 45,121 18,006
Subcontractors 293,055 273,232
Client costs 47,594 77,135
Consultancy fees 52,242 13,250
Rent and Rates 37,414 41,177
Insurance 22,721 18,598
Light and heat 11,669 6,044
Cleaning 8,065 10,699
Repair and maintenance 19,969 27,254
Printing, postage and stationery 7,375 7,498
IT and telephone costs 28,901 40,714
Travel expenses 63,582 48,831
Other charitable expenditure 12,608 32,854
1,105,303 991,924
Grant funding of activities (see note 7) 13,906 55,624
Share of governance costs (see note 8) 17,688 97,868
1,136,897 1,145,416
Analysis by fund
Unrestricted funds 952,562 915,065
Restricted funds 184,335 230,351
1,136,897 1,145,416

7 Grants payable

Rehabilitation
Rehabilitation
Services Services
2024 2023
£ £
Grants to institutions:
Other 13,906 55,624

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

8
Support costs allocated to activities
Governance costs
Analysed between:
Charitable expenditure
9
Net movement in funds
Net movement in funds is stated after charging/(crediting)
Fees payable to the company's auditor for the audit of the company's financial
statements
Depreciation of owned tangible fixed assets
Operating lease charges
10
Auditor's remuneration
Fees payable to the charity's auditor and associates:
For audit services
Audit of the financial statements of the charity		 2024
£
17,688
17,688
2024
£
6,600
45,121
43,490
2024
£
6,600		 2023
£
97,868
97,868
2023
£
6,000
18,006
29,676
2023
£
6,000

11 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year (2023: £Nil).

During the year one trustee was reimbursed travel expenses totalling £1,645 (2023: £1,088).

12 Employees

The average monthly number of employees during the year was:

2024 2023
Number Number
18 18

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

12
Employees
Employment costs
Wages and salaries
Social security costs
Other pension costs
There were no employees whose annual remuneration was more than £60,000.
Remuneration of key management personnel
The remuneration of key management personnel was as follows:
Aggregate compensation		 (Continued)
2024
2023
£
£
408,187
410,146
37,778
31,205
8,094
8,597
454,059
449,948
2024
2023
£
£
291,471
191,704		 (Continued)
2024
2023
£
£
408,187
410,146
37,778
31,205
8,094
8,597
454,059
449,948
2024
2023
£
£
291,471
191,704
449,948
2023
£
191,704

The key management team includes the third party supplier The Two Three D Consultancy who were paid £80,826 during the year (2023 - £71,764).

13 Taxation

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

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

14
Tangible fixed assets
Leasehold
improvements
Fixtures and
fittings and
equipment
Computers Motor vehicles
£
£
£
£
Cost
At 1 October 2023
162,692
40,493
16,868
20,261
Additions
42,805
11,901
640
-
Disposals
(52,314)
(20,943)
(13,188)
-
At 30 September 2024
153,183
31,451
4,320
20,261
Depreciation and impairment
At 1 October 2023
65,871
24,314
13,531
12,156
Depreciation charged in the year
33,222
6,440
1,407
4,052
Eliminated in respect of disposals
(52,314)
(20,943)
(13,188)
-
At 30 September 2024
46,779
9,811
1,750
16,208
Carrying amount
At 30 September 2024
106,404
21,640
2,570
4,053
At 30 September 2023
96,822
16,179
3,337
8,105
15
Debtors
2024
Amounts falling due within one year:
£
Trade debtors
40,899
Prepayments and accrued income
7,967
48,866
16
Loans and overdrafts
2024
£
Other loans
20,000
Payable within one year
20,000		 Total
£
240,314
55,346
(86,445)
209,215
115,872
45,121
(86,445)
74,548
134,667
124,443
2023
£
41,239
59,052
100,291
2023
£
-
-

There is no specific repayments terms to the loan.

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2024

17
Creditors: amounts falling due within one year
Notes
Borrowings
Other taxation and social security
Deferred income
18
Trade creditors
Other creditors
Accruals
18
Deferred income
Other deferred income
Deferred income is included in the financial statements as follows:
Deferred income is included within:
Current liabilities
Movements in the year:
Deferred income at 1 October 2023
Released from previous periods
Resources deferred in the year
Deferred income at 30 September 2024
19
Retirement benefit schemes
Defined contribution schemes
Charge to profit or loss in respect of defined contribution schemes		 2024
2023
£
£
20,000
-
9,274
19,877
8,050
39,950
43,657
84,745
5,840
9,219
120,569
2,124
207,390
155,915
2024
2023
£
£
8,050
39,950
2024
2023
£
£
8,050
39,950
39,950
160,420
(39,950)
(160,420)
8,050
39,950
8,050
39,950
2024
2023
£
£
8,094
8,597

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

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2024

20 Restricted funds

The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.

Movement in funds Movement in funds Movement in funds Movement in funds
Incoming Resources Balance at Incoming Resources Balance at
resources expended 1 October 2023 resources expended 30 September
2024
£ £ £ £ £ £
Armed Forces Covenant
Foundation Trust 196,750 (179,663) 17,087 161,125 (178,212) -
Lloyds Bank Foundation 35,583 (35,583) - - - -
Broughton House-Veterans
community project 12,500 (12,500) - - - -
Royal Navy and Royal Marines
Charity 20,000 (1,980) 18,020 22,705 (4,000) 36,725
Pilkington Charity 5,000 (184) 4,816 - (1,006) 3,810
Brabners LLP 4,500 (239) 4,261 - (896) 3,365
Polytunnel 1,769 (202) 1,567 - (221) 1,346
276,102 (230,351) 45,751 183,830 (184,335) 45,246

Covid Response Grant, The funding was to enable the charity to maintain core therapeutic activities for veterans with addictions during the pandemic;

Positive Pathways. This funding was used to pay for wellbeing and support activities for veterans with addictions;

Sustaining Support. This funding was used to pay for wellbeing and support activities for veterans following the UK withdrawal from Afghanistan.

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2024

21 Unrestricted funds

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

At
General funds
Previous year:
At
General funds
Analysis of net assets between funds
At 30 September 2024:
Tangible assets
Current assets/(liabilities)
At 30 September 2023:
Tangible assets
Current assets/(liabilities)		 1 October
2023
Incoming
resources
Resources
expended
At 30
September 2024
£
£
£
£
138,291
804,207
(1,001,833)
(59,335)
1 October
2022
Incoming
resources
Resources
expended
At 30
September 2023
£
£
£
£
150,539
959,687
(971,935)
138,291
Unrestricted
Restricted
Total
funds
funds
2024
2024
2024
£
£
£
112,126
22,541
134,667
(171,461)
22,705
(148,756)
(59,335)
45,246
(14,089)
Unrestricted
Restricted
Total
funds
funds
2023
2023
2023
£
£
£
95,779
28,664
124,443
42,512
17,087
59,599
138,291
45,751
184,042

22 Analysis of net assets between funds

TOM HARRISON HOUSE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2024

23 Operating lease commitments

Lessee

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

2024 2023
£ £
Within one year 44,541 43,490
Between two and five years 136,444 150,353
In over five years 184,600 200,200
365,585 394,043
24 Cash (absorbed by)/generated from operations 2024 2023
£ £
(Deficit)/surplus for the year (198,131) 33,503
Adjustments for:
Depreciation and impairment of tangible fixed assets 45,121 18,006
Movements in working capital:
Decrease in debtors 51,426 49,132
Increase in creditors 63,375 49,295
(Decrease) in deferred income (31,900) (120,470)
Cash (absorbed by)/generated from operations (70,109) 29,466
25 Analysis of changes in net debt
At 1 October 2023 Cash flows Acquisitions and At 30 September
disposals 2024
£ £ £ £
Cash at bank and in hand 115,223 (105,455) - 9,768
Loans falling due within one year - - (20,000) (20,000)
115,223 (105,455) (20,000) (10,232)