**Charity registration number 1156329 (England and Wales)** **Company registration number 08387544** ## **DITCH THE LABEL LTD** ## **ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS** **FOR THE YEAR ENDED 28 FEBRUARY 2025** ## **DITCH THE LABEL LTD** ## **LEGAL AND ADMINISTRATIVE INFORMATION** |**Trustees**|J Blackman| |---|---| ||L Kishore| ||A Luff| ||R Reynolds Newton| ||H Fischer| ||C Callaghan| ||R Dénoux| |**Charity number (England and Wales)**|1156329| |**Company number**|08387544| |**Registered office**|Freedom Works Barts House| ||Black Lion Street| ||Brighton| ||BN1 1JE| |**Independent examiner**|Sedulo London Limited| ||605 Albert House| ||256-260 Old Street| ||London| ||EC1V 9DD| (Appointed 10 April 2025) (Appointed 5 June 2025) (Appointed 25 October 2024) (Appointed 8 November 2024) (Appointed 5 June 2025) (Appointed 25 October 2024) (Appointed 18 November 2025) ## **DITCH THE LABEL LTD** ## **CONTENTS** ||**Page**| |---|---| |Trustees' report|1 - 3| |Independent examiner's report|4| |Statement of financial activities|5| |Balance sheet|6| |Statement of cash flows|7| |Notes to the financial statements|8 - 17| ## **DITCH THE LABEL LTD** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** ## _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ The trustees present their annual report and financial statements for the year ended 28 February 2025. 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 charitable company's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" 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)". ## **Objectives and activities** To preserve and protect health and advance education surrounding youth issues, equality and bullying for the Public benefit by: 1) Operating as a youth charity with a core aim to advance and promote the wellbeing of our beneficiaries; young people aged 12-25. We will work across five key areas: bullying prevention, mental health & wellbeing, digital literacy, healthy relationships and identity (primarily orientated around protected characteristics) by raising awareness of the issues faced by young people to improve outcomes across their lives. 2) Contributing towards the fields of research and innovation within our respective core focal areas (see 1) by carrying out primary and secondary research, in addition to the analysis of big data (i.e. social listening) in collaboration with selected partners. This learning will inform our direct support provision and public campaigns to benefit our youth beneficiaries and wider society. 3) Supporting our youth beneficiaries by providing direct advice and facilitating peer-to-peer support on digital forums for our youth beneficiaries as a means of aiding their navigation through the common challenges associated within our core focal areas (see 1), thereby improving their outcomes across health, mental health, social wellbeing, education and future prospects. 4) Advance education through the research, development and distribution of educational materials in both traditional and digital educational environments to directly benefit our youth beneficiaries and educational practitioners. 5) Raise awareness and positively influence societal attitudes and behaviours towards our five key focal areas (see 1) by using public awareness campaigns and sharing our research and insights publicly to benefit our youth beneficiaries and wider society in order to improve outcomes in their lives. 6) Advocate the needs and challenges of young people to key stakeholder groups and policy makers by monitoring and evaluating the experiences and opinions of young people and amplifying and reflecting their voice in order to positively benefit their lives across wider society. 7) Provide secondary support, advice, information and resources to additional stakeholder groups; such as parents/guardians, educators and industry in order to further benefit our youth beneficiaries and advance the education and future prospects of young people. ## _Public benefit_ We have referred to the guidance contained in the charitable company Commission's general guidance on public benefit when reviewing our objectives and in planning our future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives they have set. - 1 - ## **DITCH THE LABEL LTD** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** ## _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ ## **Achievements and performance** ## _Significant activities and achievements against objectives_ 2024 saw lots of changes at Ditch the Label starting with the exciting news in April 2024 that our Founder and CEO, Liam Hackett was awarded an MBE in the New Year Honours list. The MBE was in recognition of Liam’s contribution to the charity sector and supporting young people across the UK to navigate issues such as mental health, identity, bullying and relationships. We continued to reach young people on our own support platform and through the continued funding from partners such as L’Oreal to provide traditional therapy sessions (by Zoom or in the Metaverse). We are proud to report that to date, 100% of the young people engaged in the program have reported significant progress in their mental health, with 93% achieving recovery on anxiety (GAD) measures and 85% achieving recovery on low mood (PHQ) measures. We continued to deliver the vital mental health presentation (‘Brave Talk') across UK universities; this gives essential skills and tips on what to do and how to support a friend or relative that may be struggling. This hugely successful programme will continue throughout 2025 and into 2026. Our commitment to our support services for young people has been helped by the recruitment of an additional support mentor, enabling us to respond to demand upon our services. Currently our mentors speak 8 languages in addition to English and is a vital service in removing barriers for young people and helping navigate long waiting times from NHS mental health services which are under increasing pressure. Our education materials for teachers (Ditch the Label Education) continue to support educators and reach thousands of young people in the classroom. These are completely free to download and ready to deliver by teachers. In 2024, 6,165 educators downloaded our school resources reaching a minimum of 92,475 students. Further, Ditch the Label, funded by our partner BRP, developed a free and complete Education Module on Intimidation (‘Detener La Intimidación’) in Mexican Spanish for delivery in schools across Mexico. The end of 2024, saw us bid a grateful farewell to our Founder and CEO Liam Hackett, who left Ditch the Label after 19 years. ## In summary: - Welcomed 962 young people to our dedicated support community with 19,487 posts. - Support Mentors responded to 2,057 individual support requests, consisting of hundreds of responses giving support over a few days to several months, plus an additional 640 confidential support requests comprising 3,204 responses. Total number of young people supported was 2,697. - Support Mentors made and/or recorded 119 safeguarding or welfare concerns, some of which successfully saved the lives of young people who were either in crisis or in a dangerous situation. - Removed 117 individual pieces of extreme, hateful, abusive or harassing content from social media platforms. - Provided over 300 hours of ‘traditional’ therapy over Zoom or in the metaverse We remain committed to responding to the existing and emerging needs of all young people aged 12-25. ## **Financial review** The financial year shows a deficit of £138,164 compared to a deficit of £845 in 2024. Income remained similar to last year at £601,554 compared to £615,045 in 2024. Expenditure totalled £739,718 compared to £615,890 in 2024 which is due to incurring additional salary obligations and legal costs. ## _Reserves policy_ It is the policy of the charitable company that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to three month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charitable company’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year. - 2 - ## **DITCH THE LABEL LTD** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ ## **Structure, governance and management** The charitable company was established under a Memorandum of Association which established its objects and powers and is governed under its Articles of Association, amended 3 November 2024, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. The charitable company is also a registered charity with the Charities Commission. 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 Blackman|(Appointed 10 April 2025)| |---|---| |L Kishore|(Appointed 5 June 2025)| |A Luff|(Appointed 25 October 2024)| |R Reynolds Newton|(Appointed 8 November 2024)| |H Fischer|(Appointed 5 June 2025)| |MD McCarthy|(Appointed 25 October 2024 and resigned 18 November 2025)| |R Barrie|(Resigned 28 October 2024)| |SR H Comins|(Resigned 28 October 2024)| |VR Miller|(Resigned 24 May 2024)| |JJ Diez-Aguirre|(Resigned 28 October 2024)| |HR Smith|(Resigned 28 October 2024)| |J Afia|(Resigned 28 October 2024)| |MG Woodruff|(Resigned 28 October 2024)| |AM Benjamin|(Resigned 28 October 2024)| |C Callaghan|(Appointed 25 October 2024)| |R Dénoux|(Appointed 18 November 2025)| ## _Recruitment and appointment of trustees_ New Trustees may be proposed by the CEO, their representative, The Company Secretary or any Trustee and shall be appointed by the appropriate resolution at a meeting of the Board of Trustees. Trustees are appointed for a term of three years. At the end of that term Trustees may be reappointed subject to a majority vote of the board of Trustees. There is no cap to the number of times an individual can be appointed to the board of Trustees. Trustees are initially invited on to the board for a probationary period of 3-months at which point the position will be reviewed by both parties before extending the position to a full board member if appropriate. The trustees' report was approved by the Board of Trustees. J Blackman ## **Trustee** 24 December 2025 - 3 - ## **DITCH THE LABEL LTD** ## **INDEPENDENT EXAMINER'S REPORT** ## **TO THE TRUSTEES OF DITCH THE LABEL LTD** I report to the trustees on my examination of the financial statements of Ditch The Label Ltd (the charitable company) for the year ended 28 February 2025. ## **Responsibilities and basis of report** As the trustees of the charitable company (and also its directors for the purposes of company law), you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006. Having satisfied myself that the financial statements of the charitable company are not required to be audited under Part 16 of the Companies Act 2006 and are eligible for independent examination, I report in respect of my examination of the charitable company’s financial statements carried out under section 145 of the Charities Act 2011. In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the Charities Act 2011. ## **Independent examiner's statement** Since the charitable company’s gross income exceeded £250,000, the independent examiner must be a member of a body listed in section 145 of the Charities Act 2011. I confirm that I am qualified to undertake the examination because I am a member of the Association of Chartered Certified Accountants, which is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: - 1 accounting records were not kept in respect of the charitable company as required by section 386 of the Companies Act 2006. - 2 the financial statements do not accord with those records; or - 3 the financial statements do not comply with the accounting requirements of section 396 of the Companies Act 2006 other than any requirement that the financial statements give a true and fair view, which is not a matter considered as part of an independent examination; or - 4 the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached. Emma Houghton FCCA Sedulo London Limited 605, Albert House 256-260 Old Street London EV1V 9DD 27 December 2025 - 4 - ## **DITCH THE LABEL LTD** ## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** ## _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ |||**Unrestricted**|**Unrestricted**| |---|---|---|---| |||**funds**|**funds**| |||**2025**|**2024**| ||**Notes**|**£**|**£**| ||||**restated**| |**Income from:**|||| |Donations and legacies|**2**|221,107|240,384| |Charitable activities|**3**|277,902|239,317| |Other trading activities|**4**|100,000|133,071| |Investments|**5**|2,545|2,273| |**Total income**||601,554|615,045| |**Expenditure on:**|||| |Raising funds|**6**|19,550|43,489| |Charitable activities|**7**|720,168|572,401| |**Total expenditure**||739,718|615,890| |**Net expenditure and movement in funds**||(138,164)|(845)| |**Reconciliation of funds:**|||| |Fund balances at 1 March 2024||517,286|518,131| |**Fund balances at 28 February 2025**||379,122|517,286| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The notes on pages 8 to 17 form part of these financial statements. - 5 - ## **DITCH THE LABEL LTD** ## **BALANCE SHEET** ## _**AS AT 28 FEBRUARY 2025**_ |**Notes**
**Fixed assets**
Tangible assets
**12**
**Current assets**
Debtors
**13**
Cash at bank and in hand
**Creditors: amounts falling due within one year**
**14**
**Net current assets**
**Total assets less current liabilities**
**The funds of the charitable company**
Unrestricted funds
**15**|**2025**
**£**
80,074
284,986
365,060
(19,752)|**£**
33,814
345,308
379,122
379,122
379,122|**2024**
**as restated**
**£**
128,272
361,746
490,018
(16,850)|**£**
44,118
473,168| |---|---|---|---|---| |||||517,286| |||||517,286| |||||517,286| The notes on pages 8 to 17 form part of these financial statements. The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 28 February 2025. 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. The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476. 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 24 December 2025 J Blackman ## **Trustee** Company registration number 08387544 (England and Wales) - 6 - ## **DITCH THE LABEL LTD** ## **STATEMENT OF CASH FLOWS** ## _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ |**Notes**
**Cash flows from operating activities**
Cash absorbed by operations
**18**
**Investing activities**
Purchase of tangible fixed assets
Proceeds from disposal of tangible fixed assets
Investment income received
**Net cash generated from/(used in) investing activities**
**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**|**2025**
**£**
(926)
-
2,545|**£**
(78,379)
1,619
-
(76,760)
361,746
284,986|**2024**
**£**
**£**
(90,395)
(29,095)
3,278
2,273
(23,544)
-
(113,939)
475,685
361,746| |---|---|---|---| The notes on pages 8 to 17 form part of these financial statements. - 7 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ ## **1 Accounting policies** ## **Charity information** Ditch The Label Ltd is a private company limited by guarantee incorporated in England and Wales. The registered office is Freedom Works Barts House, Black Lion Street, Brighton, BN1 1JE. ## **1.1 Basis of preparation** The financial statements have been prepared in accordance with the charitable company's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" 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)". The charitable company is a Public Benefit Entity as defined by FRS 102. The financial statements are prepared in sterling, which is the functional currency of the charitable company. 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 charitable company has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees 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** Income is recognised when the charitable company is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. Cash donations are recognised on receipt. Other donations are recognised once the charitable company has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. Income from sponsorship fees is recognised in the year in which it relates and therefore entitled to the income, and net of VAT. ## **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. - 8 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ ## **1 Accounting policies** ## **(Continued)** ## **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: Fixtures and fittings 25% Reducing Balance Computers 25% Reducing Balance 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 charitable company 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). ## **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 charitable company 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 charitable company's balance sheet when the charitable company 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. - 9 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ ## **1 Accounting policies** **(Continued)** ## _**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. ## _**Derecognition of financial liabilities**_ Financial liabilities are derecognised when the charitable company’s contractual obligations expire or are discharged or cancelled. ## **1.10 Taxation** The charity is a charitable company and is generally exempt from UK corporation tax on income and gains applied for charitable purposes. However, certain non-primary purpose trading and other activities may be subject to UK taxation. Tax charges are recognised in the Statement of Financial Activities (SOFA) within expenditure on raising funds or charitable activities as appropriate, and in the Statement of Financial Position as current tax liabilities. ## **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 charitable company 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**|**Unrestricted**| |---|---|---| ||**funds**|**funds**| ||**2025**|**2024**| ||**£**|**£**| |Donations and gifts|221,107|240,384| - 10 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ ## **3 Income from charitable activities** ||**Education and**|
**Education and**| |---|---|---| ||**support**|
**support**| ||**services**|**services**| ||**2025**|**2024**| ||**£**|**£**| |Education talks|4,250|1,250| |BRP - Services expansion|273,652|238,067| ||277,902|239,317| |**Analysis by fund**||| |Unrestricted funds|277,902|239,317| ## **Charitable trading income** BRP - we are a proud charity partner for BRP, a global leader in the world of power sports vehicles and boats. We work together on their program "Ride Out Intimidation" - a global cause and joint mission to create real and lasting social change and impact to youth in Mexico. This is delivered through direct support and educational resources in the Spanish language. ## **4 Income from other trading activities** ||**Unrestricted**|**Unrestricted**| |---|---|---| ||**funds**|**funds**| ||**2025**|**2024**| ||**£**|**£**| |Sponsorship fees|100,000|132,000| |Merchandise sales|-|1,071| |Other trading activities|100,000|133,071| |**Income from investments**||| ||**Unrestricted**|**Unrestricted**| ||**funds**|**funds**| ||**2025**|**2024**| ||**£**|**£**| |Interest receivable|2,545|2,273| ## **5 Income from investments** - 11 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ ## **6 Expenditure on raising funds** ||**Unrestricted**|**Unrestricted**| |---|---|---| ||**funds**|**funds**| ||**2025**|**2024**| ||**£**|**£**| |**Fundraising and publicity**||| |Fundraising agents|19,550|21,934| |Staff costs|-|15,945| ||19,550|37,879| |**Trading costs**||| |Other trading activities|-|5,610| |Total costs|19,550|43,489| ## **7 Expenditure on charitable activities** ||**Education and**|**Education and**| |---|---|---| ||**support**|**support**| ||**services**|**services**| ||**2025**|**2024**| ||**£**|**£**| |**Direct costs**||| |Staff costs|227,670|243,529| |Consultancy fees|58,860|34,077| |Travelling expenses|854|17,828| |Marketing and social media|23,944|15,801| |Website costs|6,811|17,759| |Subscriptions|829|2,033| ||318,968|331,027| |**Share of support and governance costs (see note 8)**||| |Support|305,655|226,086| |Governance|95,545|15,288| ||720,168|572,401| |**Analysis by fund**||| |Unrestricted funds|720,168|572,401| - 12 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** ## _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ |**8**
**Support costs allocated to activities**
Staff costs
Depreciation
Premises costs
HR, training and recruitment
Other staff costs
Insurance
Telephone costs
Computer and software
Travelling expenses
Other office costs
Bank charges
Governance costs
**Analysed between:**
Education and support services
**Governance costs comprise:**
Accountancy
Legal and professional
**9**
**Net movement in funds**
The net movement in funds is stated after charging/(crediting):
Fees payable for the independent examination of the charity's financial statements
Depreciation of owned tangible fixed assets
Loss/(profit) on disposal of tangible fixed assets|**2025**
**£**
167,738
11,159
30,952
32,339
5,509
2,343
4,138
13,763
8,585
28,518
611
95,545
401,200
401,200
**2025**
**£**
19,192
76,353
95,545
**2025**
**£**
1,000
11,159
-|**2024**
**£**
94,925
5,577
52,309
9,017
5,366
2,496
2,522
15,336
13,632
24,323
583
15,288
241,374
241,374
**2024**
**£**
9,645
5,643
15,288
**2024**
**£**
1,000
8,855
(3,278)| |---|---|---| ## **10 Trustees** None of the trustees (or any persons connected with them) received any remuneration or benefits from the charitable company during the year. - 13 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ ## **11 Employees** The average monthly number of employees during the year was: |**Employment costs**
Wages and salaries
Social security costs
Other pension costs|**2025**
**Number**
8
**2025**
**£**
350,433
30,096
14,879
395,408|**2024**
**Number**
12| |---|---|---| |||**2024**
**£**
318,209
25,162
11,028| |||354,399| Redundancy and termination payments totalling £30,000 (2024: £Nil) were made in the reporting period to 1 (2024: 0) member of staff. The number of employees whose annual remuneration was more than £60,000 is as follows: ||**2025**|**2024**| |---|---|---| ||**Number**|**Number**| |£70,000 - £80,000|-|1| |£110,000 - £120,000|1|-| ## **Remuneration of key management personnel** The Key Management Personnel is considered to be the Trustees (who are not remunerated) and the Chief Executive Officer (who is remunerated). |Officer (who is remunerated).||| |---|---|---| ||**2025**|**2024**| ||**£**|**£**| |Aggregate compensation|138,007|92,974| - 14 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** ## _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ |**12**
**Tangible fixed assets**
**Fixtures and**
**fittings**
**£**
**Cost**
At 1 March 2024
24,527
Additions
926
At 28 February 2025
25,453
**Depreciation and impairment**
At 1 March 2024
12,739
Depreciation charged in the year
3,076
At 28 February 2025
15,815
**Carrying amount**
At 28 February 2025
9,638
At 29 February 2024
11,787
**13**
**Debtors**
**Amounts falling due within one year:**
Trade debtors
Corporation tax recoverable
Other debtors
Prepayments and accrued income
**14**
**Creditors: amounts falling due within one year**
Trade creditors
Other creditors
Accruals and deferred income|**Computers**
**£**
66,659
-
66,659
34,400
8,083
42,483
24,176
32,331
**2025**
**£**
36,000
23,102
19,130
1,842
80,074
**2025**
**£**
14,248
1,004
4,500
19,752|**Total**
**£**
91,186
926| |---|---|---| |||92,112| |||47,139
11,159| |||58,298| |||33,814| |||44,118| |||**2024**
**£**
98,636
-
27,181
2,455| |||128,272| |||**2024**
**£**
1,910
3,575
11,365| |||16,850| - 15 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ ## **15 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 1 March 2024**|**Incoming**|**Resources**|**At 28 February**| |---|---|---|---|---| |||**resources**|**expended**|**2025**| ||**£**|**£**|**£**|**£**| |General funds|517,286|601,554|(739,718)|379,122| |**Previous year:**|**At 1 March 2023**|**Incoming**|**Resources**|**At 29 February**| |||**resources**|**expended**|**2024**| ||**£**|**£**|**£**|**£**| |General funds|518,131|615,045|(615,890)|517,286| ## **16 Prior Year Restatement** The previous years financial statements contained mis-allocations in respect of unrestricted and restricted funds. During the year, an exercise had been completed to review and re-allocate income and expenditure to the correct funds. The 2024 financial statements have also been amended to remove the incorrect Corporation Tax liability included. The net effect of these changes are as follows: |Funds|2024 £|2024 restated|Adjustment| |---|---|---|---| |Unrestricted Funds|(382,632)|517,286|900,918| |Restricted Funds|877,015|-|(877,015)| |Total Funds|494,383|517,286|23,903| The financial statements have also been restated to amend the presentation of costs to show a more accurate reflection on the cost categories and their associated charitable activities. The net effect of this was £nil. ## **17 Related party transactions** There were no disclosable related party transactions during the year (2024 - none). - 16 - ## **DITCH THE LABEL LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** ## _**FOR THE YEAR ENDED 28 FEBRUARY 2025**_ |**18**|**Cash absorbed by operations**|**2025**|**2024**| |---|---|---|---| |||**£**|**£**| ||Deficit for the year|(138,164)|(845)| ||**Adjustments for:**||| ||Investment income recognised in statement of financial activities|(2,545)|(2,273)| ||Gain on disposal of tangible fixed assets|-|(2,965)| ||Depreciation and impairment of tangible fixed assets|11,159|8,855| ||**Movements in working capital:**||| ||(Increase)/decrease in stocks|-|5,610| ||Decrease/(increase) in debtors|48,269|(110,579)| ||Increase in creditors|2,902|11,802| ||**Cash absorbed by operations**|(78,379)|(90,395)| - 17 -