2022-03-31-accounts

Charity number: 1155211

Age UK Sheppey CIO

Trustees' report and financial statements

for the year ended 31 March 2022

Age UK Sheppey CIO

Contents

	Page
Reference and administrative details of the Charity, its Trustees and Advisers	1
Trustees' report	2 - 8
Independent auditor's report on the financial statements	9 - 13
Statement of financial activities	14
Balance sheet	15
Statement of cash flows	16
Notes to the financial statements	17 - 33

Age UK Sheppey CIO

Reference and administrative details of the Charity, its Trustees and Advisers for the year ended 31 March 2022

Trustees

Mr A Doucy, Chair Mr N Martin Mr P Taylor, Vice Chair (resigned 31 August 2022) Mr P Murray Mrs S Wigglesworth (resigned 30 May 2022)

Charity registered number

1155211

Principal office

43 Trinity Road Sheerness Kent ME12 2PF

Chief executive officer

K Moore (resigned 20 January 2022) C Burgess (appointed 21 January 2022, Resigned 31 August 2022) Mrs L Nowell Hitchcock (appointed 5 October 2022)

Independent auditor

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

Bankers

Barclays Bank 12 Broadway Sheerness Kent ME12 1AE

Page 1

Age UK Sheppey CIO

Trustees' report for the year ended 31 March 2022

The Trustees present their annual report together with the audited financial statements of the Age UK Sheppey CIO for the year from 1 April 2021 to 31 March 2022.

Objectives and activities

a. Policies and objectives

The Charity's aim is to increase the reach of Age UK Sheppey CIO, enabling more people to access beneficial support, to promote the wellbeing of all older people and to make later life a fulfilling and enjoyable experience.

Key objectives are to:

• Maintain and continue to develop quality social opportunities.

• Continue developing our core community services including home support, meals delivery, befriending, companionship and virtual support groups and to support more people in their own homes assisting them to live independently for longer.

• Increase the capacity of service users on our Information and Advice service.

• Listen to older people, identifying their needs to be able to offer person-centred support wherever possible.

• Expand upon existing services as well as establish new wellbeing services to meet identified needs e.g. people with a cognitive impairment, suffering ill-health, disability, feeling socially isolated, facing financial hardship, etc.

• Expand upon the number of volunteers supporting our services.

• Remain compliant was well as taking reasonable measures to ensure we are as Covid-19 secure as practically possible, mitigating risk wherever possible.

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.

b. Strategies for achieving objectives

To enable us to achieve our objectives to a wider audience, we have adopted a number of strategies to assist us, including:

• Working closely with an extensive array of local organisations to collectively provide more coherent and coordinated support for older people, their carers and families in our local community.

• Working in partnership with our local GP surgeries (Sheppey Primary Care Network), Community Navigators and KCC Community Wardens to share resources, signpost to a wide range of community initiatives and link likeminded people together to help reduce loneliness and isolation.

• Continue to work closely with our Kent Age UK’s / Age Concerns since losing local government Kent County Council grant funding. Working together to joint bid on future funding opportunities.

• Seeking external funding to assist and enhance both our in-house centre-based and community services on offer.

• Continue to recruit and retain multi-skilled staff and volunteers to enhance and strengthen our existing team including providing appropriate training and development opportunities for them all.

• Maintaining both our ISO 9001:2015 and Age UK’s Charity Quality Standards certifications which as recognised by Charity Commission and have been upheld by our organisation since 2014 undergoing regular inspections. - Our ongoing strategy very much includes promoting greater awareness of the services that Age UK Sheppey CIO can provide in order to ensure we have a greater impact within our local community. We continue to raise our profile with the aid of local press, radio stations, working collaboratively with local businesses and similar organisations as well as utilising our own social media sites and website resources. Utilising our new Community Connector to attend networking events and promote within the local community.

• Alongside developing our existing services, we continue to explore the introduction of additional services in conjunction with our current activities offered and which can provide added benefit to all service users.

• Follow and comply with latest government / Public Health England / NHS guidelines in respect of Covid-19 wherever possible.

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Age UK Sheppey CIO

Trustees' report (continued) for the year ended 31 March 2022

Objectives and activities (continued)

c. Activities undertaken to achieve objectives

• Day Services – including social day clubs, dementia support, footcare, and hearing aid battery exchange. Reintroducing services that were on hold due to Covid restriction to include: Drop-in clinics, regular activity events, escorted day trips, hearing aid clinics and computer clubs.

• Community Services – including freshly cooked, homemade hot and cold meals delivery, home support, restricted level of companionship, shopping and prescription collections/deliveries and welfare calls/visits. - Reintroducing services that were on hold due to Covid restrictions to include: Dementia cafes, befriending, home support calls and companionship calls. Uplifting the Home support service with new Handyman service and Gardening service (subject to funding).

• Information and Advice - appointments available in person and over the telephone via Age UK Faversham and Sittingbourne.

• Marketing and advertising our services via local press and radio, leaflet distribution, collection tins held by local businesses and key establishments, working in collaboration with other similar networking groups, as well as utilising our own website and social media outlets, utilising our newly appointed Community Connector.

• Actively working in conjunction with similar organisations including Sheppey Primary Care Network, Imago, Sheppey Dementia Friendly Community, Lighthouse Group, Sheppey Community Development Forum, and local council focus groups to raise awareness and make improvements to support and aid all local residents. Working with Age UK Faversham and Sittingbourne and other local organisations on collaborative projects.

• Fundraising events and activities, raffles and donations both inhouse and via social media. Arranging events for local residents to hold stalls and and help us fund raise. Set up a Focus group to help with fundraising opportunities.

• Volunteering – including recruiting individuals both on a regular and ad-hoc basis. Connecting with Swale Voluntary Services to promote and help build our volunteer team.

• Regular internal and external reviews of all services by means of regular meetings for management teams, departmental teams and volunteers. To include team meetings and team building exercises, Spot checks for Home Support Staff, Staff reviews and regular Staff briefings and appraisals.

• Maintain any government Covid-19 compliant measures have been put in place throughout our day centres and across all our community services.

d. Impact

The Isle of Sheppey is located off the northern coast of Kent, made up of six main electoral wards and covers an area of 36 square miles. Sheppey suffers from a high proportion of deprivation and isolation along with lack of employment opportunities, community facilities, insufficient infrastructure with a rather sporadic public transport system. It is estimated around 23% of Sheppey’s population is over 65, with around 3% being over 85 and is a popular retirement location.

The number of people reaching out to Age UK Sheppey increases year on year with demand on our services becoming more and more stretched due to restrictive funding available. With such a vast area to cover across Sheppey along with quite often feeling like a closed off community from the mainland, it is apparent how our services are critical to local residents. We are told on a regular basis how we provide a much-needed lifeline, not only direct to service users, but also their families and friends too. With our team being readily available, we are able to help relieve tension and worry by providing a ‘one stop shop’ empowering older people and providing them with the tools and skills to live independently for longer.

Without our core services on offer and the social opportunities we provide, we have no doubt many older people living on Sheppey would quickly feel lonely and isolated stuck indoors with limited or, in some cases, nowhere suitable for them to go. Our clubs provide a day filled with fun, laughter, activities and companionship, which is known to help with mental and physical health as well as their wellbeing meaning fewer people needing access to and putting an ever-increasing strain on local authority services.

With the added impact from the aftermath of Covid-19 and the current financial crisis we as an organisation are struggling financially, using reserves to be able to continue our core services. We intend to uplift services moving forward by changing failing services such as our Meal Delivery Service by working in partnership with other local agencies, changing the way we deliver our Day Centre Service and looking at expanding our Dementia services.

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Age UK Sheppey CIO

Trustees' report (continued) for the year ended 31 March 2022

Objectives and activities (continued)

We remain committed to serving our local community in the best way we can and are always looking for ways to improve upon services offered. Funding opportunities are crucial to us maintaining a high calibre of service along with allowing the opportunity to expand with new projects meeting current community needs and demands. We always welcome the opportunity to work alongside and in conjunction with other external organisations, increase our outreach and knowing that together we can make a real difference on Sheppey.

Achievements and performance

a. Review of activities

Our services are accessible to those aged 50 years and over and, through achievements for the public benefit, we supported an estimated 2448 individuals by way of them accessing one of our many services included within the following broad headings:

Day Services

Age UK Sheppey CIO now operate only 1 day centre on the Isle of Sheppey; Rosemary House being based in the main town of Sheerness. Our smaller Day Centre, Roxeth closed during Covid and unfortunately remains closed due to lack of funding. As an organisation the Trustees have made the decision to sell Roxeth to build reserves to offset the loss of KCC Funding. Our Day centre provides a suitable range of social opportunities and well-being services Monday to Friday (excluding Bank Holidays) and our Rosemary House Centre acts as a community hub for local, older people, and is a great point of contact for signposting to other organisations

Since Covid-19 restrictions have been lifted all our services have now resumed.

Day Clubs – Activities offered at our centre are delivered by our dedicated team of workers and volunteers. Suitably adapted wheelchair friendly vehicles are available providing door-to-door transport, if required, and many clients attend on a walk-in basis. We provide a small breakfast menu as well as serving a freshly cooked hot two-course lunch each day and will cater for special dietary needs wherever possible.

Footcare – Our chiropody service is operated by a Foot Health Care Professional every Monday (excluding Bank Holidays).

Equipment Hire – Wheelchairs and portable commodes are hired weekly for a small nominal fee with a general increase in demand during seasonal holiday periods.

Hearing Aid Battery Exchange – Free service offering battery exchange (new for used) upon producing your NHS battery exchange book

Community Services

Meals Delivery Service – Demand on our freshly cooked hot two-course delivery services has eased since the influx of Covid19. To date we are delivering 40 meals Monday to Friday. Currently wherever possible, food used is sourced locally and we can cater for most special dietary requirements, including food allergies and/or intolerances, offering suitable alternatives. Well balanced nutritional weekly menus are produced by our kitchen team and deliveries to those living in sheltered housing has continued reflecting the trend of supporting the more vulnerable. Due to the decrease in clients for this service over the past year, we are looking at alternative ways to deliver this service so that it becomes sustainable, possibly working with Age UK Faversham and Sittingbourne on be able to continue a cohesive service.

Home Support and Companionship – This holistic service provides an extensive range of domestic tasks helping to support service users remain independent and the continued employment of our coordinator and administrator has continued to play a pivotal role maintaining the high calibre of service. Packages are tailored to meet specific needs. Again, we have seen a decrease in this service since Covid19, but are looking at new services around home support to uplift and create sustainability. Having being chosen to deliver the Home Support Funding from KCC we have been able to support the most vulnerable in our community with weekly free shopping and free meal delivery service.

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Age UK Sheppey CIO

Trustees' report (continued) for the year ended 31 March 2022

Achievements and performance (continued)

Shopping and Prescription Collections / Deliveries – This service was set up late March 2020 in response to Covid-19 pandemic and we supported in excess of 420 shopping and 301 prescription collections/deliveries. We are continuing this service as part of our Home Support.

Welfare Calls and Visits – This service was set up mid-March 2020 when both our day centre services were suspended and Covid-19 restrictions in place. Welfare calls and visits were conducted either in person (socially distanced), over the phone or by virtual means. We supported in excess of 3,315 telephone welfare calls, 2,895 welfare visits and over 260 virtual checks. Since the lift of Covid19 restrictions we have suspended this service, but are looking at a new Befriending Service subject to Funding.

Virtual Support Club – This service was set up June 202o in response to Covid-19 pandemic and our centrebased day services being suspended. Even though we were unable to facilitate clients enjoying a day of activities at our centres, we run daily 2-hour sessions by virtual means (Zoom) which allowed us to keep them engaged, their minds active and would help with their overall wellbeing whilst being at home. Our sessions proved popular with 2,051 virtual club attendances from June 2020 to end of March 2021. We also purchased suitable IT equipment (iPads with sim cards) to loan out to those wishing to join the club, but with no means to facilitate activity from their own homes. Although this service has been suspended since the lift of Covid19 restrictions, we are still engaging with housebound clients and delivering services through our Home Support.

Dementia Services

Cogs Club – For those with a mild to moderate dementia diagnosis providing a day of purposeful activity and stimulation with an aim to helping maintain active minds and bodies. Two clubs held each week with around 6 attendees in each group.

Our dementia services have grown over the past year with extra funding we are now offering:

• Dementia friendly cafes for both client and carer

• Peer support group

• Early onset group

• Befriending service

These services are in their early stage but are proving popular. Our team of dedicated Dementia Support Staff and Volunteers are essential to the running and growing of this service. We are working towards a sustainable service for our Dementia clients and hoping to include a two day a week Day Centre environment over the coming year.

Information and Advice Service

The free service offering confidential and impartial advice on welfare benefits and all associated aspects to service users, their families, carers and the wider community on Sheppey. Both home visits and centre appointments are now being taken on in collaboration with and by Age UK Faversham and Sittingbourne. Referrals to these services include benefit checks, Attendance Allowance, Disability Living Allowance, Pension Credit, Personal Independence Payment, Housing Benefit, Council Tax Disregards and Benefits, EON Warm Homes Project, Blue Badge applications. Age UK Faversham and Sittingbourne have a dedicated trained advisor in place to take on our referrals.

Volunteering

Our volunteer services have decreased since the influx needed over the Covid19 pandemic. We are working hard to increase our volunteer team and working with Swale Voluntary Services to advertise and help recruit new volunteering staff. We are developing new roles to help with our new services and continue to support our volunteering team with DBS checks, training, uniform, mileage allowance and free lunch

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Age UK Sheppey CIO

Trustees' report (continued) for the year ended 31 March 2022

Achievements and performance (continued)

Organisation

We continue to participate in working collectively with Kent Age UK’s/Concerns and others associated within the Kent Consortium as KCC evolves its policy towards contracting its support for older people. We also continue to participate in developing a joint approach with other Age UK’s to demonstrate the impact of our activities for older people across Kent.

We upheld our ISO:9001 2015 accreditation in November 2021 as well as Age UK’s Charity Quality Standards carried out by ACS Registrars.

Cloud-based client management system, People Planner, proving an asset within our Home Support service which also assists with day-to-day rostering and team data management.

Financial review

a. Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the near future. With the proposed sale of Roxeth, the trustees are confident that the lost funding from KCC will be covered for the coming year. The uplift of new services and planned changes to existing services, that are sustainable, will secure Age UK’s future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

b. Reserves policy

The Trustees have considered Charity Commission guidance and have reviewed their reserves policy in light of current funding and financial climate. The following reserves are made from the Charity’s unrestricted income fund, and are in addition to the restricted funds shown in these notes:

£25,000 Redundancy Reserve - to cover the potential cost of redundancy payments - the likely timing of which by nature cannot be foreseen.

£100,000 Funding Loss Contingency Reserve - the likely timing of which by nature cannot be foreseen. £105,000 "Castlewell" Reserve - for repairs and replacements, taken from the proceeds of sale of the Castlewell premises at Queenborough - the likely timing of which by nature cannot be foreseen.

c. Principal funding

With donations, legacies and core funding opportunities on the decline, along with the loss of local government statutory grants, there was a need to impose a modest price increase in April 2019 this has now been reviewed and an additional increase was made in January 2023. Affordability remains a key issue on the Isle of Sheppey as it includes some of the most deprived areas for pensioner poverty in the country. Further new services are needed which will be self sustainable or funded by sources other than statutory funding.

d. Results for the year

In summary, income amounted to £554,049 (2021: £775,729) and expenditure to £562,636 (2021: £528,927). There is a resulting net deficit for the year of £8,587 (2021: £246,802).

As at 31 March 2022, the total funds of the Charity stood at £1,018,791, of which £319,451 is held in designated funds, £54,016 in restricted funds and £645,324 in general unrestricted funds.

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Age UK Sheppey CIO

Trustees' report (continued) for the year ended 31 March 2022

Structure, governance and management

a. Constitution

Age UK Sheppey CIO was registered on 7 January 2014. Prior to this date the Charity was registered as an unincorporated charity called Age Concern Sheppey T/A Age UK Sheppey (registration number 271089), this charity has now been dissolved by the Charity Commission.

The principal object of the Charity is to promote the welfare of the elderly in any manner that is deemed charitable within the Isle of Sheppey.

b. Methods of appointment or election of Trustees

The governance of the Charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Constitution.

c. Organisational structure and decision-making policies

The Charity is governed by the Board of Trustees which is elected annually to oversee the organisation and running of the Charity. The Board of Trustees are responsible for approving all policies and meet on a regular basis. The day-to-day management of the Charity is devolved to the Chief Officer and staff team.

d. Policies adopted for the induction and training of Trustees

Trustees are recruited on the basis of the skills, knowledge and expertise required by the Board of Trustees to fulfil its governance role effectively. An induction procedure is followed and training is tailored according to individual needs.

e. Risk management

The Trustees have assessed the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Charity, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.

Plans for future periods

Although Age UK Sheppey have lost the funding from the KCC we continue to work closely with KCC in their programme of procured outcomes for older people in future years. We will continue to evolve our services to maintain a wide range of support to meet the needs of older people on the Isle of Sheppey and seek funding to continue and develop our services.

Members' liability

The Members of the Charity guarantee to contribute an amount not exceeding £1 to the assets of the Charity in the event of winding up.

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Age UK Sheppey CIO

Trustees' report (continued) for the year ended 31 March 2022

Statement of Trustees' responsibilities

The Trustees 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).

The law applicable to charities in England & 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 of its income and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles of the Charities SORP (FRS 102);

• make judgements and accounting estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business.

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and 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 Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the . 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.

Disclosure of information to auditor

Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:

• so far as that Trustee is aware, there is no relevant audit information of which the Charity's auditor is unaware, and

• that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the Charity's auditor is aware of that information.

Auditor

The auditor, Kreston Reeves LLP, has indicated his willingness to continue in office. The designated Trustees will propose a motion reappointing the auditor at a meeting of the Trustees.

Approved by order of the members of the board of Trustees on 13 February 2023 and signed on their behalf by:

Mr A Doucy Trustee

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Age UK Sheppey CIO

Independent auditor's report to the Members of Age UK Sheppey CIO

Opinion

We have audited the financial statements of Age UK Sheppey CIO (the 'Charity') for the year ended 31 March 2022 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

The financial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

This has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

In our opinion the financial statements:

• give a true and fair view of the state of the Charity's affairs as at 31 March 2022 and of its incoming resources and application of resources for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Charities Act 2011.

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 United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

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.

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Age UK Sheppey CIO

Independent auditor's report to the Members of Age UK Sheppey CIO (continued)

Other information

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

We have nothing to report in this regard.

Matters on which we are required to report by exception

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

• the information given in the Trustees' report is inconsistent in any material respect with the financial statements; or

• sufficient accounting records have not been kept; or

• the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, the Trustees are responsible for the preparation of the financial statements which 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 Charity or to cease operations, or have no realistic alternative but to do so.

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Age UK Sheppey CIO

Independent auditor's report to the Members of Age UK Sheppey CIO (continued)

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:

Capability of the audit in detecting irregularities, including fraud

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

• Discussions with management and assessment of known or suspected instances of non-compliance with laws and regulations (including health and safety) and fraud; and

• Assessment of identified fraud risk factors; and

• Review of cash expenditure to confirm no evidence of personal benefit; and

• Challenging assumptions and judgements made by management in its significant accounting estimates; and

• Performing analytical procedures to identify any unusual or unexpected relationships, including related party transactions, that may indicate risks of material misstatement due to fraud; and

• Confirmation of related parties with management, and review of transactions throughout the period to identify any previously undisclosed transactions with related parties outside the normal course of business; and

• Reading minutes of meetings of those charged with governance; and

• Physical inspection of tangible assets susceptible to fraud or irregularity; and

• Review of significant and unusual transactions; and

• Identifying and testing journal entries, in particular any manual entries made at the year end for financial statement preparation.

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Age UK Sheppey CIO

Independent auditor's report to the Members of Age UK Sheppey CIO (continued)

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion of the effectiveness of the Charity's internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Trustees.

• Conclude on the appropriateness of the Trustees' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in my Auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of my Auditor's report. However, future events or conditions may cause the Charity to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

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

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Age UK Sheppey CIO

Independent auditor's report to the Members of Age UK Sheppey CIO (continued)

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 its Trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Kreston Reeves LLP

Chartered Accountants Statutory Auditor Montague Place

Quayside

Chatham Maritime

Chatham

Kent

ME4 4QU

Date: 13 February 2023

Kreston Reeves LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

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Age UK Sheppey CIO

Statement of financial activities for the year ended 31 March 2022

Note Income from: Donations and legacies 3 Charitable activities 4 Other trading activities 5 Investments 6 Total income Expenditure on: Raising funds 7 Charitable activities 8 Total expenditure Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward	Unrestricted funds 2022 £ 273,494 245,900 4,612 5,142 529,148 - 536,234 536,234 (7,086) 971,861 (7,086) 964,775	Restricted funds 2022 £ 24,901 - - - 24,901 - 26,402 26,402 (1,501) 55,517 (1,501) 54,016	Total funds 2022 £ 298,395 245,900 4,612 5,142 554,049 - 562,636 562,636 (8,587) 1,027,378 (8,587) 1,018,791	Total funds 2021 £ 550,725 205,369 19,078 557
				775,729
				392 528,535
				528,927
				246,802
				780,576 246,802
				1,027,378

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

The notes on pages 17 to 33 form part of these financial statements.

Page 14

Age UK Sheppey CIO

Balance sheet as at 31 March 2022

Note Fixed assets Tangible assets 11 Current assets Stocks 12 Debtors 13 Cash at bank and in hand Creditors: amounts falling due within one year 14 Net current assets Total net assets Charity funds Restricted funds 15 Unrestricted funds 15 Total funds	1,986 46,879 849,113 897,978 (9,148)	2022 £ 129,961 888,830 1,018,791 54,016 964,775 1,018,791	1,527 21,427 861,295 884,249 (8,848)	2021 £ 151,977 875,401
				1,027,378
				55,517 971,861
				1,027,378

The financial statements were approved and authorised for issue by the Trustees on 13 February 2023 andsigned on their behalf by:

Mr A Doucy

Trustee

The notes on pages 17 to 33 form part of these financial statements.

Page 15

Age UK Sheppey CIO

Statement of cash flows for the year ended 31 March 2022

Cash flows from operating activities Net cash used in operating activities 18 Cash flows from investing activities Dividends, interests and rents from investments Purchase of tangible fixed assets Net cash provided by/(used in) investing activities Cash flows from financing activities Net cash provided by financing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year The notes on pages 17 to 33 form part of these financial statements	2022 £ (17,324) 5,142 - 5,142 - (12,182) 861,295 849,113	2021 £ 288,268
		557 (22,624)
		(22,067)
		-
		266,201 595,094
		861,295

Page 16

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

1. General information

Age UK Sheppey CIO is a charitable incorporated organisation and an exempt charity incorporated in England and Wales. The registered office is 43 Trinity Road, Sheerness, Kent, ME12 2PF. The Charity's aim is to increase the reach of Age UK Sheppey CIO, enabling more people to access beneficial support, to promote the wellbeing of all older people and to make later life a fulfilling and enjoyable experience.

2. Accounting policies

2.1 Basis of preparation of financial statements

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

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

Age UK Sheppey 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.

2.2 Going concern

The Trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements and have concluded that the Charity has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties about the Charity's ability to continue as a going concern, thus they continue to adopt the going concern basis of accounting in preparing the financial statements.

Page 17

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

2. Accounting policies (continued)

2.3 Income

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

The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the Charity has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the Charity, can be reliably measured.

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

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

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

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

All expenditure is inclusive of irrecoverable VAT.

2.5 Interest receivable

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

Page 18

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

2. Accounting policies (continued)

2.6 Tangible fixed assets and depreciation

Tangible fixed assets costing £1,000 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

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

At each reporting date the Charity assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined to be the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives on the following bases:

Freehold property	- 2% straight line
Leasehold Property	- On a straight line basis over the remaining
	term of the lease from the date at which the
	improvements are completed.
Motor vehicles	- 20% straight line
Fixtures & fittings	- 20% straight line

2.7 Stocks

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

2.8 Debtors

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

Page 19

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

2. Accounting policies (continued)

2.9 Cash at bank and in hand

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

2.10 Liabilities and provisions

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

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

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

2.11 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.

2.12 Operating leases

Rentals paid under operating leases are charged to the Statement of financial activities on a straight line basis over the lease term.

2.13 Pensions

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

2.14 Fund accounting

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

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

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

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

Page 20

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

3. Income from donations and legacies

Donations Legacies Grants Government grants Total 2021	Unrestricted funds 2022 £ 9,848 74,743 16,280 172,623 273,494 522,366	Restricted funds 2022 £ - - 24,901 - 24,901 28,359	Total funds 2022 £ 9,848 74,743 41,181 172,623 298,395 550,725	Total funds 2021 £ 18,046 - 97,839 434,840
				550,725

4. Income from charitable activities

Services income Day Centre income Total 2021	Unrestricted funds 2022 £ 120,812 125,088 245,900 205,369	Total funds 2022 £ 120,812 125,088 245,900 205,369	Total funds 2021 £ 116,471 88,898
			205,369

Total 2021

Page 21

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

5. Income from other trading activities

Special projects and miscellaneous income Internal fundraising Shop sales External fundraising Rental income Total 2021	Unrestricted funds 2022 £ 3,221 952 249 15 175 4,612 19,078	Total funds 2022 £ 3,221 952 249 15 175 4,612 19,078	Total funds 2021 £ 17,802 762 459 55 -
			19,078

6. Investment income

Investment income Total 2021	Unrestricted funds 2022 £ 5,142 557	Total funds 2022 £ 5,142 557	Total funds 2021 £ 557

7. Expenditure on raising funds

Fundraising costs Total 2021	Unrestricted funds 2022 £ - 392	Total funds 2022 £ - 392	Total funds 2021 £ 392

Page 22

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

8. Analysis of expenditure by activities

Charitable activities Total 2021 Analysis of direct costs Staff costs Rent and rates Motor travel expenses Insurances Recruitment expenses Repairs and maintenance Purchases Telephone Sub-contractor fees People Planner expenses Total 2022 Total 2021	Direct costs 2022 £ 491,241 479,524	Support costs 2022 £ 71,395 49,011 Activities 2022 £ 341,206 16,379 23,061 11,256 8,478 28,303 54,112 5,816 2,630 - 491,241 479,524	Total funds 2022 £ 562,636 528,535 Total funds 2022 £ 341,206 16,379 23,061 11,256 8,478 28,303 54,112 5,816 2,630 - 491,241 479,524	Total funds 2021 £ 528,535
				Total funds 2021 £ 353,260 13,933 24,082 2,442 1,750 14,976 58,004 7,499 - 3,578
				479,524

Of the total direct costs incurred during the financial year £24,901 (2021: £31,937) were from restricted funds.

Page 23

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

8. Analysis of expenditure by activities (continued)

Analysis of support costs

Staff costs Depreciation Advertising Television licence Printing and computer costs Postage and carriage Office stationery Legal and professional fees Consultancy fees H.R. support fees Clothing costs Training costs Short-term contracts Bad debts Auditor's remuneration Bank charges Total 2022 Total 2021	Activities 2022 £ 11,033 22,016 400 159 1,759 1,140 1,762 6,712 9,264 5,993 75 140 245 2,529 5,820 2,348 71,395 49,011	Total funds 2022 £ 11,033 22,016 400 159 1,759 1,140 1,762 6,712 9,264 5,993 75 140 245 2,529 5,820 2,348 71,395 49,011	Total funds 2021 £ 10,698 22,884 370 157 2,495 582 1,286 2,298 - - 47 1,038 - (660) 5,520 2,296
			49,011

Of the total support costs incurred during the financial year £1,501 (2021: £1,500) were from restricted funds.

Page 24

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

9. Staff costs

Wages and salaries Social security costs Pension costs	2022 £ 337,480 10,932 3,827 352,239	2021 £ 348,755 11,408 3,795
		363,958

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

2022	2021
No.	No.
32	32

The average headcount expressed as full-time equivalents was:

2022	2021
No.	No.
18	16

No employee received remuneration amounting to more than £60,000 in either year.

The remuneration, benefits and management fees received by the Charity's key management personnel in the year, including employer's national insurance contributions, amounted to £94,778 (2021: £105,995).

10. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2021 - £NIL).

During the year ended 31 March 2022, no Trustee expenses have been incurred (2021 - £NIL).

Page 25

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

11. Tangible fixed assets

Cost or valuation At 1 April 2021 At 31 March 2022 Depreciation At 1 April 2021 Charge for the year At 31 March 2022 Net book value At 31 March 2022 At 31 March 2021	Freehold property £ 75,031 75,031 33,020 1,501 34,521 40,510 42,011	Leasehold property £ 318,339 318,339 228,996 14,668 243,664 74,675 89,343	Motor vehicles £ 109,555 109,555 92,363 4,298 96,661 12,894 17,192	Fixtures & fittings £ 27,744 27,744 24,313 1,549 25,862 1,882 3,431	Total £ 530,669
					530,669
					378,692 22,016
					400,708
					129,961 151,977

Page 26

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

12. Stocks

	2022	2021
	£	£
Finished goods and goods for resale	1,986	1,527

13. Debtors

Due within one year Trade debtors Other debtors Prepayments and accrued income	2022 £ 8,139 531 38,209 46,879	2021 £ 15,165 459 5,803
		21,427

14. Creditors: Amounts falling due within one year

Trade creditors Other creditors Accruals and deferred income Deferred income at 1 April 2021 Resources deferred during the year Amounts released from previous periods Deferred income at 31 March 2022	2022 £ 1,204 - 7,944 9,148 2022 £ 2,113 - (2,113) -	2021 £ 38 702 8,108
		8,848
		2021 £ 2,081 2,113 (2,081)
		2,113

Page 27

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

15. Statement of funds

Statement of funds - current year

Unrestricted funds Designated funds Fixed asset fund Redundancy reserve Castlewell reserve for renewals and replacements Funding loss contingency reserve General funds General funds Total Unrestricted funds Restricted funds Doris Harper Day Centre Lloyds Bank Foundation KCC Vehicle Replacement Funding Total of funds	Balance at 1 April 2021 £ 109,966 25,000 105,000 100,000 339,966 631,895 971,861 42,011 - 13,506 55,517 1,027,378	Income £ - - - - - 529,148 529,148 - 24,901 - 24,901 554,049	Expenditure £ (20,515) - - - (20,515) (515,719) (536,234) (1,501) (24,901) - (26,402) (562,636)	Balance at 31 March 2022 £ 89,451 25,000 105,000 100,000
				319,451
				645,324 964,775
				40,510 - 13,506
				54,016
				1,018,791

Page 28

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

15. Statement of funds (continued)

Statement of funds - prior year

Unrestricted funds Designated funds Fixed asset fund Redundancy reserve Castlewell reserve for renewals and replacements Funding loss contingency reserve General funds General funds Total Unrestricted funds Restricted funds Doris Harper Day Centre Lloyds Bank Foundation Kent Community Foundation People Planner KCC Vehicle Replacement Funding Total of funds	Balance at 1 April 2020 £ 108,726 25,000 105,000 100,000 338,726 Balance at 1 April 2020 £ 359,765 698,491 Balance at 1 April 2020 £ 43,511 - - 3,578 34,996 82,085 780,576	Income £ - - - - - Income £ 747,370 747,370 Income £ - 24,959 3,400 - - 28,359 775,729	Expenditure £ (21,384) - - - (21,384) Expenditure £ (474,106) (495,490) Expenditure £ (1,500) (24,959) (3,400) (3,578) - (33,437) (528,927)	Transfers in/out £ 22,624 - - - 22,624 Transfers in/out £ (1,134) 21,490 Transfers in/out £ - - - - (21,490) (21,490) -	Balance at 31 March 2021 £ 109,966 25,000 105,000 100,000
					339,966
					Balance at 31 March 2021 £ 631,895 971,861
					Balance at 31 March 2021 £ 42,011 - - - 13,506
					55,517
					1,027,378

Page 29

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

Designated funds

The designated fixed asset fund equates to the net book value of fixed assets at the balance sheet date, excluding the property known as Roxeth which is restricted.

The designated redundancy reserve is monies that have been set aside in order to be used in the event that the Charity need to make any members of staff redundant.

The Castlewell reserve comprises a proportion of the monies generated by the Charity upon selling the Castlewell Day Centre property during the 2015/16 financial year, plus a donation from Southern Water and has been set up in order to fund the costs of any future substantial renewal or replacement costs.

The funding loss contingency reserve has been set up to fund any essential costs through a major reduction in public funding.

Restricted funds

The Doris Harper Centre Fund is a restricted fund. In 1999 the freehold property known as Roxeth was conveyed to Age UK Sheppey CIO by the Women's Royal Voluntary Service Trustees Limited, who held the property subject to certain restrictions contained within the Doris Harper Will Trust. These restrictions require the property to be used as an old peoples home, or in a similar capacity, for the local residents of Leysdown and the Isle of Sheppey. Depreciation charged each year on this property is allocated against the fund.

The Lloyds Bank Foundation fund is funds restricted to support the management and administration of the Home Support Service.

The People Planner Grant restricted fund represents grant funding received by the Charity to be used for the acquisition and set up costs of the People Planner software.

During the 2019/20 financial year the Charity received a grant of £34,996 from Kent County Council to be used towards funding two new vehicles. At the Balance Sheet date one of the vehicles had been purchased, and so this has been transferred out of the fund in the year, with the balance carried forward to be used for the purchase of the second vehicle, when required.

16. Summary of funds

Summary of funds - current year

Designated funds General funds Restricted funds	Balance at 1 April 2021 £ 339,966 631,895 55,517 1,027,378	Income £ - 529,148 24,901 554,049	Expenditure £ (20,515) (515,719) (26,402) (562,636)	Balance at 31 March 2022 £ 319,451 645,324 54,016
				1,018,791

Page 30

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

16. Summary of funds (continued)

Summary of funds - prior year

Designated funds General funds Restricted funds	Balance at 1 April 2020 £ 338,726 359,765 82,085 780,576	Income £ - 747,370 28,359 775,729	Expenditure £ (21,384) (474,106) (33,437) (528,927)	Transfers in/out £ 22,624 (1,134) (21,490) -	Balance at 31 March 2021 £ 339,966 631,895 55,517
					1,027,378

17. Analysis of net assets between funds

Analysis of net assets between funds - current year

Tangible fixed assets Current assets Creditors due within one year Total	Unrestricted funds 2022 £ 89,451 884,472 (9,148) 964,775	Restricted funds 2022 £ 40,510 13,506 - 54,016	Total funds 2022 £ 129,961 897,978 (9,148)
			1,018,791

Analysis of net assets between funds - prior year

Tangible fixed assets Current assets Creditors due within one year Total	Unrestricted funds 2021 £ 109,966 870,743 (8,848) 971,861	Restricted funds 2021 £ 42,011 13,506 - 55,517	Total funds 2021 £ 151,977 884,249 (8,848)
			1,027,378

Page 31

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

18. Reconciliation of net movement in funds to net cash flow from operating activities

Net income/expenditure for the year (as per Statement of Financial Activities) Adjustments for: Depreciation charges Dividends, interests and rents from investments Decrease/(increase) in stocks Decrease/(increase) in debtors Increase in creditors Net cash provided by/(used in) operating activities 19. Analysis of cash and cash equivalents Cash in hand Total cash and cash equivalents 20. Analysis of changes in net debt At 1 April 2021 £ Cash at bank and in hand 861,295

2022 2021 £ £ (8,587 246,802 22,016 22,884 (5,142) (557) (459) 550 (25,452) 17,555 300 1,034 (17,324) 288,268 2022 2021 £ £ 849,113 861,295 849,113 861,295 Cash flows At 31 March 2022 £ £ (12,182) 849,113

Page 32

Age UK Sheppey CIO

Notes to the financial statements for the year ended 31 March 2022

21. Pension commitments

The Charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Charity in an independently administered fund. The pension cost charge represents contributions payable by the Charity to the fund and amounted to £3,827 (2021: £3,795). There was £Nil outstanding at the Balance sheet date (2021: £702).

22. Operating lease commitments

At 31 March 2022 the Charity had commitments to make future minimum lease payments under noncancellable operating leases as follows:

Not later than 1 year Later than 1 year and not later than 5 years Later than 5 years	2022 £ 5,000 20,000 - 25,000	2021 £ 5,000 20,000 5,000
		30,000

23. Related party transactions

Alan Doucy, Trustee, is the majority shareholder of Sharrock Insurance Serviced Limited. Age UK Sheppey CIO paid £7,593 (2021: £256) to this company during the financial year. There were no amounts outstanding at the Balance sheet date (2021: £Nil).

Paul Murray and Nigel Martin, Trustees, are director and secretary of Sheppey Matters. Age UK Sheppey CIO paid £875 (2021: £Nil) to this company during the financial year. There were no amounts outstanding at the Balance sheet date (2021: £Nil).

During the year the Charity paid £11,996 to Age UK Faversham and Sittingbourne, in respect of the secondment of C Burgess, in her role as the Chief Executive Officer and member of Key Management Personnel.

Page 33