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## **CHANGING LIVES CHARITY**
**Trustees' Annual Report & Financial**
**Statements for the year ended 30 September 2025**
A Company Limited by Guarantee and a Registered Charity
Company Registration No 9517906
Charity Registration No 1161892
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|**CONTENTS**|**Page**|
|---|---|
|Officers and Professional Advisers|3|
|Annual Report of the Trustees|4 - 9|
|Independent Examiner's Report|10|
|Statement of Financial Activities|11|
|Balance Sheet|12|
|Statement of cash flows|13|
|Notes to the Financial Statements|14 - 19|
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## **OFFICERS AND PROFESSIONAL ADVISERS**
**Company Number** 9517906 **Charity Number** 1161892 **Registered Office** Unit 2a, Kimberley Road, Clevedon, North Somerset BS21 6QJ
**Trustees (who are also directors for the purposes of Company law)**
Daniel Sibthorpe (Chair) Ian Burnham FCA Jennifer Schaefer Catriona Aldwinkle (appointed 23 January 2025) Martin Knight (appointed 23 January 2025) **Secretary** Terry Mears **Bankers for Changing Lives Charity** CAF Bank Limited, 25 Kings Hill Avenue, Kings Hill, West Malling, Kent, ME19 4JQ Lloyds Bank plc. Clevedon Branch **Independent Examiner** Gravita, Chartered Accountants, 2[nd] Floor, South, One Castle Park, Bristol, BS2 0JA
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## **CHANGING LIVES CHARITY**
## **Report of the Trustees for the year ended 30 September 2025.**
The Trustees are pleased to present their report together with the financial statements of the Charity for the year ended 30 September 2025.
The financial statements comply with the requirements of the Charities Act 2011, the Companies Act 2006, the Articles and Memorandum of Association of the Company and the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).
**Changing Lives Charity** (CHANGING LIVES) is a Charity registered with the Charity Commission and operates as a Company Limited by Guarantee which is registered at Companies House and has been operating in this form since 2015. CHANGING LIVES is physically centred in Clevedon but operates throughout North Somerset.
We aim to bring love, recovery, support, unconditional acceptance and encouragement to the people of North Somerset without fear or favour of their background, beliefs, ethnicity or personal status.
## **Overview of 2024/25**
The reporting period Oct 2024-Sept 2025 has been a critical year in the reshaping of the charity and bringing to fruition many of the plans projected in previous Trustees’ Reports. An overview of this is as follows:
- _CHANGING LIVES_ enjoyed the services of the Interim CEO, Ian Burnham, throughout this period which resulted in a year of stability and financial control
- Under Ian’s direction and the valued contribution of Staff, Volunteers and Trustees, _CHANGING LIVES_ made an operating surplus of almost £48k in the year – this was as a **direct** result of implementing the objectives of the internal “Business & Investment Plan” created in 2021 and as refreshed in 2024.
- 2 new Trustees were appointed to strengthen the existing team making 5 Trustees – this was implemented on 23[rd] January 2025. Catriona Aldwinkle brings experience of large company management, fiscal control and personnel management. Martin Knight brings experience of running charities, housing knowledge and commercial acumen.
- The charity WDGB Ltd (working name KeySteps) was merged with _CHANGING LIVES_ from 1[st] April 2025 and brought some positive financial assets, private rental housing (PRS) experience, a number of supported service users and more reach in Weston-super-Mare which complements the mission of _CHANGING LIVES_
- A new experienced fundraiser was appointed in January 2025 and she has proved to be very effective in this role but the real benefit is likely to be delivered in future years
- _CHANGING LIVES_ underwent a significant rebranding which made the Charity much more visible in the community and sought to integrate the Retail, Logistics with our Community Support
- Significant steps were taken in reviewing the restructuring of the loans given to _CHANGING LIVES_ and this work has been completed in the 2025-2026 financial period.
- _CHANGING LIVES_ welcomed a new Counsellor who is working mainly in Andrew House
- The Reserves position has significantly improved.
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## **Charitable Object**
The Charitable Object of _CHANGING LIVES_ is "The relief of those in need by reason of youth, age, illhealth, disability, financial hardship or other social or economic disadvantage". The Articles of Association include powers to make grants, donations, or loans to organisations that further the aims of _CHANGING LIVES_ . The charity's work ranges throughout North Somerset.
## **Vision**
The _CHANGING LIVES_ vision is to bring hope and a future for those who experience life-affecting trauma. We do this by:
- providing high quality workplace training and employment opportunities (through supported volunteer roles) to equip them to assume a fulfilling life in the community
- offering access to a range of therapeutic support including a mentor to facilitate their recovery
- expanding the social enterprise to increase our capacity to meet the growing demand from those in need of help by making available suitable, safe, supported accommodation to those joining the work-based recovery programme who are currently homeless or at risk of becoming homeless
- assistance in obtaining housing in the Private Rental Sector for those currently homeless or at risk of homelessness.
It is understood that many addictive behaviours are a result of chronic trauma in early developmental years. Trauma may take many forms: abuse (of all types), neglect, or loss of a significant person or carer. These experiences result in lasting physiological and psychological damage leading to permanent health, relational, and social disadvantage. _CHANGING LIVES_ has reaffirmed its aim to enable those affected to live fulfilling lives and contribute to the well-being of the community.
## **Mission**
Provide an environment where every person whose trauma results in addiction, homelessness, mental health problems and offending behaviour, can find both restoration through compassionate care and hope for the future.
## **Values**
Our values are our guiding principles that underpin all that we do. They are _CHANGING LIVES_ ’s nonnegotiables, part of our DNA and hold the key to honouring and supporting each other.
These values are:
- Every person is unique and has a life that really matters
- Every person is shaped by the compassionate love of God and has a true worth
- We are committed to walking together, sharing hope and trust and building community
## **The Core Work of** _CHANGING LIVES_
## **Community Support**
_CHANGING LIVES_ operates a number of schemes to help restore lives and encourage people back into independent living.
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- **Volunteer Plus** (V+) is a workplace programme of volunteering, education, and training combined with supportive therapeutic input and the offer of a mentor to accompany the service-user throughout the programme and beyond. The programme aims to equip the person for independent living, employment, and a fulfilling life. This is a unique programme and offers a holistic approach to trauma-related addictions. The programme continues to develop and adapt to ensure it meets the communities' needs. We are particularly keen to reach women in crisis.
- **Andrew House** is located in Clevedon and provides safe, supported housing for up to 11 men and integrates with V+, offering the benefits of a therapeutic community for those who require a safe place to live and a greater level of support as they recover their ability to manage a tenancy of their own. Accommodation is available for men who currently live in or remotely from Clevedon, have no satisfactory accommodation, or need to escape the damaging social networks to which they currently belong to enable recovery to take firm root. We continue to see residents move on, either back to their families or into independent living. This year, Andrew House operated at around 65% capacity. We continue to receive encouraging reports from residents on the quality of the care and counselling they receive.
- **Housing** is a constant need for _CHANGING LIVES_ in North Somerset in the Private Rental Sector (PRS). With the merging of KeySteps, _CHANGING LIVES_ now supports around 100 people in PRS property in North Somerset (mainly in Weston-super-Mare). _CHANGING LIVES_ continues to find PRS property for clients moving out of Andrew House and for single men and women who are either homeless or at risk of homelessness in the community. _CHANGING LIVES_ also provides help for clients when benefits change for clients.
## **Social Enterprise**
_CHANGING LIVES_ ’s primary trading goal is to re-purpose donated furniture and household goods and for these to be resold through our Retail outlets. _CHANGING LIVES_ also has a partnership with Horfield Prison for refreshing furniture.
- **Retail** embraces a number of selling outlets for donated goods. There is a _**Shop**_ and a _**Thrift Store**_ located in the town centre, a _**Furniture Warehouse**_ on the Industrial edge of Clevedon and a **V** _**irtual Shop**_ (which uses Shopify) operating on the internet which can be accessed through our website www.changinglives.org.uk . _CHANGING LIVES_ was rebranded during the year and this new image has a strong visual appeal and manages to encapsulate many of our values. Certain high-value goods are sold through **Clevedon Auction House** who have been kind enough to waive their selling fees.
- **Logistics** - _CHANGING LIVES_ operates 3 Luton vans which are based at the Warehouse and are used for providing house clearance services (including bulky waste), collection and delivery of furniture to Customers; operating the Welfare Provision Scheme (WPS) to source and deliver white goods to needy individuals on behalf of North Somerset Council.
## **Public Awareness**
_CHANGING LIVES_ has a strong presence in Clevedon because of the retail outlets; throughout North Somerset, the vans are also very visible. In addition, _CHANGING LIVES_ uses the following ways to engage.
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- **Internet** – there is a strong presence on the internet using the website and social media. Social media is used to alert the public to new stock, news events and so on.
- **Employment** – _CHANGING LIVES_ employed 13 staff on the 30 September 2025. These staff come from all sorts of backgrounds and share an amazing loyalty, pride and commitment to _CHANGING LIVES_ . Their skills are why _CHANGING LIVES_ is able to look to the future with confidence.
- **Volunteers** are essential to the well-being and sustainability of _CHANGING LIVES_ . The Trustees desire to engage with the widest variety of people of goodwill in our community. As they give their time freely, they are rewarded with fulfilment, companionship, and a sense of 'giving back'. Last year, we had registered 42 active volunteers who contributed 260 hours a week to _CHANGING LIVES_ .
- **Donations** often accompany the purchase of goods when buyers sign up for Gift Aid on an optional tick box; this contributed about £7,500 in the period.
## **Financial Review**
_CHANGING LIVES_ is pleased to report a surplus in the year ended 30 September 2025 of almost **£48k** . This represents encouraging and sustained progress in recent years. 2023 showed a deficit of £77k. In 2024 that had reduced to £14k. The 2025 result includes a one-off net contribution of around £30k resulting from the merger with the KeySteps charity which was completed at the end of March 2025. The underlying surplus was therefore £18k against a prevailing climate of difficult times in the third sector not least the fact that Employer’s National Insurance and the National Minimum Wage had both increased significantly in the second half.
_CHANGING LIVES_ received the following grants during the year:
- £4,000 from **The Burden Trust** during September 2025 for we are most grateful.
It is also worth noting that
- The house was professionally valued in July 2025 and it is worth some £200k more than its book value as expressed in the Fixed Assets of the Balance Sheet
- A new mortgage was obtained just after this year-end which has strengthened the Balance Sheet further (see below)
## **Post year-end developments**
Since the start of the current financial year, there have been a number of positive developments:
1. The refinancing of loans relating to our purchase of Andrew House has been completed. _CHANGING LIVES_ has obtained a mortgage of £300k from Charity Bank which was transacted at the end of Oct 2025 and this has enabled _CHANGING LIVES_ to repay the balance of the loan that Muller’s (£192,508) had made to us and which was due to expire at the end of Sept 2025. We have also taken the opportunity to repay £110k of an existing outstanding loan which was also due by the end of 2025. This has considerably improved our financial standing.
2. Ian Burnham as Interim CEO completed his 3-year tenure in Feb 2026. Ian has been instrumental in delivering cultural change to the organisation; his financial acumen has led to a significant improvement in _CHANGING LIVES_ ’s financial stability. The Trustees worked through a series of requirements for the profile of the person who should implement the vision of the Trustees in the
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future. As a result, Nicola Cook joined _CHANGING LIVES_ as a part-time Director of Operations at the beginning of Feb 2026.
3. _CHANGING LIVES_ has attracted a number of new grants and donations since the year-end for which the Trustees are particularly grateful.
4. A new Support Worker for Andrew House was appointed in Dec 2025 and this will enable more service-users to be helped with the resultant utilisation of capacity improving. It should be noted that he “graduated” from Andrew House himself a few years ago.
5. From the beginning of Jan 2026, for a trial period of 6 months, a full-time Manager has been appointed to oversee the **Thrift Store** and enable it to open 6 days a week – the performance of this enterprise will be analysed carefully during this time.
## **Reserves Policy**
_CHANGING LIVES_ has adequate equity in the freehold property (net of all outstanding loans) to be comfortably solvent. There are sufficient reserves of cash to meet _CHANGING LIVES_ ’s day to day commitments.
The Trustees consider that the Charity will continue as a going concern for the foreseeable future and a period of at least 12 months from the date on which these financial statements are approved:
1. The Charity holds free reserves as detailed in the financial statements;
2. Financial forecasts for the next 3 years anticipate a modest surplus thereby increasing the level of free reserves to cover 3 months operational costs;
3. The Trustees will only extend the Charity's programme for its beneficiaries following careful consideration of the financial impact on the Charity.
## **Expression of thanks**
The Trustees wish to express their sincere gratitude for the hard work and extraordinary level of commitment of all the employees, consultants and volunteers who contribute to the health of _CHANGING LIVES_ . The Trustees extend this expression of thanks to the partners and those special people who freely give their time and considerable expertise supporting the work of the Trustee Board as advisors. The charity would like to express thanks to local churches for their energy, support and financial commitment. Finally, the Trustees wish to thank the people of North Somerset and beyond, who shop, donate and support the work of _CHANGING LIVES_ in so many ways. Without the tireless efforts of everyone involved, _CHANGING LIVES_ would not survive, let alone thrive.
## **Compliance Matters**
The financial statements comply with the requirements of the Charities Act 2011, the Companies Act 2006, the Articles and Memorandum of Association of the Company, and the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS102).
## **Governing document**
_CHANGING LIVES_ is controlled by its Memorandum of Articles dated 30 March 2015.
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## **Public Benefit**
The Trustees confirm that they have fulfilled their duty under the Charities Act 2011 to have due regard to the public benefit guidance published by the Chairity Commission.
## **Training for Trustees**
The training of Trustees is regularly reviewed to ensure compliance with best practice.
## **Organisational Structure**
_CHANGING LIVES_ is administered by a Management Committee comprising the Trustees, Secretary and Director of Operations. There is provision to co-opt other members onto this.
## **Management of Risk**
The Trustees have a duty to identify and review the risks to which _CHANGING LIVES_ is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The Trustees meet regularly and are sensitive to the risks which attend all charities (such as the risk of money laundering, and risks to its reputation) and to any special potential risks arising from the Charity's activities.
## **Safeguarding Policy**
The continuing developments of the Charity require a constant review of the Safeguarding Policy; accordingly, we review and amend the policy annually.
## **Volunteers and Employees**
_CHANGING LIVES_ employed 10 full-time staff, 3 part-time staff and had 42 active volunteers as at 30[th] September 2025.
Approved by the Board of Trustees on:
2nd June 2026
and signed on their behalf by:
............................................................
Daniel Sibthorpe, Chair of Trustees
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## **Independent Examiner's Report to the Trustees of Changing Lives Charity**
I report to the Charity Trustees on my examination of the accounts of the Charitable Company for the year ended 30 September 2025.
## **Responsibilities and basis of report**
As the Charity's Trustees of the Charitable Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
I report in respect of my examination of your Charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination, I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
## **Independent examiner's statement**
Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe:
1. accounting records were not kept in respect of the Charitable Company as required by section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
4. the accounts 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 accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).
I have no concerns. other than the matter set out below 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 accounts to be reached.
……………………………………………………………… Matthew Bracher BSc FCA Institute of Chartered Accountants in England and Wales Gravita Chartered Accountants 2nf Floor, South One Castle Park Tower Hill Bristol BS2 0JA
Date…2 June 2026…………………………
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## **CHANGING LIVES CHARITY STATEMENT OF FINANCIAL ACTIVITIES (incorporating Income and Expenditure Account) YEAR ENDED 30 SEPTEMBER 2025**
|_Note_
**Income and endowments from:**
Donations and legacies
_2_
Charitable activities
_2_
Direct beneficiary sales
_2_
Investments
_2_
Other income - corporation tax refund
**Expenditure on**
Charitable activities
_3_
Direct beneficiary cost of sales
_3_
**Net income/(expenditure) before tax**
Tax payable
**Net income/(expenditure)**
Total funds brought forward
**Total funds carried forward**|**2025**
**2024**
**Unrestricted**
**fund**
**Unrestricted**
**fund**
**£**
**£**
**84,910**
52,461
**179,245**
199,142
**491,780**
453,065
**1,550**
1,490
**-**
4,526
**757,485**
710,684
**356,750**
387,940
**352,957**
336,590
**709,707**
724,530
**47,778**
(13,846)
**-**
**-**
**47,778**
(13,846)
**40,740**
54,586
**88,518**
40,740|
|---|---|
All income and expenditure derive from continuing activities.
The statement of financial activities includes all gains and losses recognised during the year.
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## **CHANGING LIVES CHARITY (Registered number: 9517906) BALANCE SHEET AS AT 30 SEPTEMBER 2025**
|_Note_
**FIXED ASSETS**
Tangible Fixed Assets
_9_
**CURRENT ASSETS**
Debtors
_10_
Cash at Bank
**CREDITORS**
Amounts falling due within one year
_11_
**NET CURRENT (LIABILITIES) / ASSETS**
**TOTAL ASSETS LESS CURRENT LIABILITIES**
**CREDITORS**
Amounts falling due after more than one year
_12, 13_
**NET ASSETS**
**FUNDS**
Unrestricted Charitable Funds brought forward 1 October 2024
Surplus/(Deficit) for the year
Unrestricted Charitable Funds at 30 September 2025|**2025**
**2024**
**Unrestricted**
**fund**
**Total funds**
**£**
**£**
**578,240**
534,372
**578,240**
534,372
**33,286**
22,931
**129,257**
86,840
**162,543**
109,771
**360,193**
339,903
**(197,650)**
(230,132)
**380,590**
304,240
**292,072**
263,500
**88,518**
40,740
**40,740**
54,586
**47,778**
(13,846)
**88,518**
40,740|
|---|---|
The Charity is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the period ended 30 September 2025.
The members have not required the company to obtain an audit of its financial statements for the period ended 30 September 2025 in accordance with Section 476 of the Companies Act 2006.
## The Trustees acknowledge their responsibilities for:
(a) ensuring that the charity keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and,
(b) preparing financial statements which give a true and fair view of the state of affairs of the Charitable Company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the Charity.
These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.
The financial statements were approved by the Board of Trustees and authorised for issue and were signed on its behalf by:
.............................................................
## Daniel Sibthorpe
Date: 2nd June 2026
The notes form part of the financial statements.
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## **CHANGING LIVES CHARITY (Registered number: 9517906)**
## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 SEPTEMBER 2025**
|_Note_
**Cash flow from operating activities**
_15_
Interest paid
**Net Cash flow from operating activities**
**Cash flow from investing activities**
Payments to acquire tangible fixed assets
**Net cash flow from investing activities**
**Cash flow from financing activities**
Loan interest paid
**Net cash flow from financing activities**
**Net increase/decrease in cash and cash equivalents**
**Cash and cash equivalents brought forward**
**Cash and cash equivalents carried forward**
**Cash and cash equivalents consist of;**
Cash at bank and in hand
Dividends, interest and rents from investments|**2025**
**2024**
**£**
**£**
**109,647**
**20,838**
**-**
**-**
**109,647**
20,838
**1,550**
1,490
**(58,385)**
(2,437)
**(56,835)**
(947)
**(10,395)**
(21,816)
**(10,395)**
(21,816)
**42,417**
(1,925)
**86,840**
88,765
**129,257**
86,840
**129,257**
86,840|
|---|---|
The notes form part of the financial statements.
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## **CHANGING LIVES CHARITY NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 30 SEPTEMBER 2025**
## **1 ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the Charity, which is a public benefit entity under FRS 102, 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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
The Charity is a company, incorporated in England and Wales, limited by guarantee having no share capital and, in accordance with the Memorandum of Association, every member is liable to contribute £1 towards the costs of dissolution and liabilities incurred by the Charity in the event of the company being wound up. The address of the registered office is given in the charity information on pages 4 to 5 of these financial statements.
The financial statements are prepared in sterling which is the functional currency of the Charity and are rounded to the nearest £.
## **Going concern**
The Trustees consider that the Charity will continue as a going concern for a period of at least 12 months from the date on which these financial statements are approved for the following reasons:
- The Charity holds free reserves as detailed in the financial statements.
- Financial forecasts for the next 3 years anticipate a modest surplus thereby increasing the level of free reserves.
- The Trustees will extend the Charity’s programme to its beneficiaries only following careful consideration of the financial impact on the Charity.
- The Trustees therefore consider it appropriate to adopt the going concern basis of preparation of the accounts.
- Work is in hand to refinance the loans by way of a shared ownership investment model of the house. The Charity remains solvent (on the basis of the most recent valuation of the freehold property) despite the pressures on the monthly results and the repayment of loans. Encouraging progress has been made to deal with both issues and a back-up plan is in place should that be required.
## **Incoming Resources**
Income is recognised in the Statement of Financial Activities once the Charity has entitlement to the funds, and it is probable that the income will be received and the amount can be measured reliably. Donations and gifts are accounted for when received. Income tax reclaimed in relation to amounts received under gift aid is included in the same period as the income to which it relates.
## **Resources Expended**
All resources expended are accounted for on an accruals basis.
Direct costs are allocated to charitable activities and raising of funds as appropriate. Support costs are apportioned to charitable activities and raising funds in line with the proportional split of income (excluding donations and investment income). Property expenses are apportioned as support costs with the exception of Andrew House costs which are directly allocated to charitable activities.
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## **CHANGING LIVES CHARITY NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 30 SEPTEMBER 2025**
## **1 ACCOUNTING POLICIES - continued**
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives of the discretion of the trustees.
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
- Freehold property Not depreciated - Fixtures & fittings 3 years straight line Motor vehicles - 5 years straight line
All fixed assets are stated at purchase cost plus incidental expenses of acquisition. No provision for depreciation has been made for freehold property as it is the view of the Trustees that the estimated residual value of each property is not materially different from the carrying value.
## **Taxation**
The Charity is exempt from corporation tax on its charitable activities.
## **Debtors**
Debtors are measured on initial recognition at settlement amount after any amounts advanced by the Charity. Subsequently, they are measured at the cash or other consideration expected to be received.
## **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.
## **Creditors**
The Charity has creditors which are measured at settlement amounts.
## **Financial instruments**
The Charity only has financial assets and 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.
## **Pension costs and other post-retirement benefits**
The Charity operates a defined contribution pension scheme. Contributions payable to the Charity's pension scheme are charged to profit or loss in the period to which they relate.
## **Donated goods and services**
The value of services provided by volunteers is not incorporated into the financial statements.
Where goods or service are provided to the Charity as a donation that would normally be purchased from suppliers, the contributions are included in the financial statements as an estimate based on the value of the contribution.
## **Concessionary loans**
Concessionary loans include those payable to third parties which are interest free or below market interest rates and are made to advance charitable purposes. The charity has applied S34 of FRS102 with regards to the valuation of loans to public benefit entities so that discounted present value and an associated interest charge are not recognised. All loans are measured at cost.
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## **CHANGING LIVES CHARITY NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 30 SEPTEMBER 2025**
## **2**
|**INCOME**
**Donations and legacies**
Donations
Other income (Gift Aid)
Grant income
Total donations|**2025**
2024
**£**
£
**66,476**
24,308
**14,419**
13,453
**4,015**
14,700
**84,910**
52,461|
|---|---|
Donations include £46,151 received from Keysteps following the closure of the charity on 31 March 2025. Keysteps previously provided bonds to landlords to support tenancy agreements for individuals with a poor credit history. With effect from 1 April 2025, the activities of Keysteps were transferred to Changing Lives Charity, and the charity donated all of its net assets and funds to Changing Lives Charity on winding up.
|**Charitable activities**
Rental Income
Welfare Provision Scheme
Delivery
Other
Total charitable activities
**Direct Beneficiary Sales**
Sales
Auction sales
Bulky waste
House clearance
Total raising funds
**Investments**
Income from investments
Total investments
Total income
Charitable activities to raising funds ratio
Grants received, included in the above, are as follows:
Albert Hunt
Laing Trust
Sport England
The Burden Trust
Westport c/o University of the West of England
Grants received under £1,000|**100,469**
110,884
**64,729**
69,307
**11,817**
11,870
**2,230**
7,081
**179,245**
199,142
**300,971**
304,105
**9,529**
5,929
**132,014**
101,137
**49,266**
41,894
**491,780**
453,065
**1,550**
1,490
**1,550**
1,490
**757,485**
706,158
**27:73**
30:70
**671,025**
652,207
**2025**
2024
**£**
£
**-**
7,000
**15**
2,530
**-**
3,600
**4,000**
-
**-**
160
**-**
1,410
**4,015**
14,700|
|---|---|
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## **CHANGING LIVES CHARITY NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 30 SEPTEMBER 2025**
## **3**
## **4**
|**COST SUMMARY**
**Charitable**
**activities**
**Raising**
**funds**
Direct costs (note 4)
**303,442**
**208,829**
Support costs (note 5, restated)
**53,308**
**144,128**
**356,750**
**352,957**
**DIRECT COSTS**
**Costs of charitable activities**
Appliances for Welfare Provision Scheme
Consulting/professional fees
Direct property expenses (see below)
Depreciation - charitable activity
V Plus wellness costs
Welfare Provision Scheme installation
Salaries - charitable activity
Employers NI
Pensions costs
**Total direct costs attributable to charitable activities**
**Direct Beneficiary cost of sales**
Bulky waste disposal
Consulting/professional fees
Depreciation - raising funds
Motor vehicle expenses
Operating lease payments
Rental costs for waste
Repairs & maintenance
Salaries - trading employees
Pensions costs - raising funds employees
**Total direct costs attributable to beneficiary cost of sales**
**Total direct costs**
**DIRECT PROPERTY EXPENSES (Andrew House)**
Consulting and professinal fees
Insurance
Light, power, heating
Loan interest on property
Repairs & maintenance
Rates
Telephone and Internet
**2025**|Charitable
activities
Raising funds
329,857
201,062
58,083
135,528
387,940
336,590
**2025**
2024
**£**
£
**47,629**
54,968
**37,301**
45,027
**39,176**
43,090
**985**
985
**2,652**
2,805
**5,968**
6,644
**151,171**
150,110
**15,676**
23,559
**2,884**
2,669
**303,442**
329,857
**18,057**
13,543
**3,515**
11,404
**13,532**
8,866
**18,000**
16,122
**5,538**
7,439
**18,057**
13,543
**899**
-
**128,775**
127,872
**2,457**
2,273
**208,829**
201,062
**512,271**
530,919
**5,850**
-
**3,683**
3,683
**10,584**
8,114
**10,395**
21,816
**3,010**
3,556
**4,728**
4,578
**926**
1,343
**39,176**
**43,090**
2024|
|---|---|
17
## **CHANGING LIVES CHARITY NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 30 SEPTEMBER 2024**
|**5**
**SUPPORT COSTS**
Advertising and marketing
Bank fees
Charity admin costs (see note 6)
Claims from Keysteps
Food & drink
General expenses
IT software and consumables
Printing, stationery and postage
Staff well-being
Staff training
Subscriptions
Telephone and internet
Travel - national
Charitable activities 27% (2024 -30%)
Direct beneficiary cost of sales 73% (2024 -70%)|**2025**
2024
**£**
£
**23,548**
20,752
**2,528**
1,199
**134,907**
144,949
**2,650**
-
**4,071**
3,108
**8,907**
7,350
**8,448**
8,432
**3,833**
1,544
**575**
-
**757**
638
**624**
693
**4,802**
3,407
**1,786**
1,539
**197,436**
193,611
**53,308**
58,083
**144,128**
135,528
**197,436**
193,611|
|---|---|
The apportionment of support costs in the prior year has been restated to reflect the respective allocations.
18
## **CHANGING LIVES CHARITY NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 30 SEPTEMBER 2025**
|**6**
**CHARITY ADMINISTRATION COSTS**
Audit & accountancy fees
Salaries
Pensions costs
Employers NI
General expenses
Insurance
IT software and consumables
Rent
Rates
Light, power and heating
Repairs and maintenance
Subscriptions, postage and stationery
Telephone and internet
Interest on loans
Consulting and professional fees
**7**
**STAFF COSTS**
Wages and salaries
Social security costs
Pension costs|**2025**
2024
**£**
£
**455**
3,266
**31,105**
30,887
**593**
549
**1,742**
2,618
**990**
441
**7,778**
10,660
**8,448**
8,433
**36,172**
34,476
**10,843**
7,735
**10,285**
23,298
**3,276**
10,294
**4,457**
2,237
**1,909**
2,064
**12,141**
7,991
**4,713**
-
**134,907**
144,949
**311,051**
308,869
**17,418**
26,177
**5,935**
5,491
**334,404**
340,537|
|---|---|
The average number of employees during the period was 15 (2024 - 15).
No employees received emoluments in excess of £60,000 in 2025 or 2024.
**8 INDEPENDENT EXAMINER'S REMUNERATION**
The Independent Examiner’s remuneration consists of the following:
|For independent examination
For non-audit work|**2025**
2024
**£**
£
**1,082**
1,030
**1,618**
1,540
**2,700**
2,570|
|---|---|
19
## **CHANGING LIVES CHARITY NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 30 SEPTEMBER 2025**
|**9**
**TANGIBLE FIXED ASSETS**
**COST**
As at 30 September 2024
Additions
Disposals
As at 30 September 2025
**DEPRECIATION**
As at 30 September 2024
Charge
Disposals
As at 30 September 2025
**NET BOOK VALUE**
As at 30 September 2025
As at 30 September 2024
The loan of £193,963 is secured on the freehold property.
**10**
**DEBTORS**
Trade debtors
Other debtors and prepayments
**11**
**CREDITORS: Amounts falling due within one year**
Loans from Trustees and related parties
Trade creditors
Social security and other taxes
Other creditors and accruals
Mortgage loan on property repayable under 1 year
Vehicle finance loan|£
£
**520,934**
**15,908**
**-**
**5,223**
**-**
**-**
**520,934**
**21,131**
**-**
**7,888**
**-**
**2,528**
**-**
**-**
**10,416**
**520,934**
**10,715**
520,934
8,020
**Freehold**
**Land &**
**Buildings**
**Fixtures &**
**Fittings**|£
£
**20,140**
**556,982**
**53,162**
**58,385**
**11,190**
**-**
**11,190**
**-**
**62,112**
**604,177**
**14,722**
**22,610**
**11,989**
**14,517**
**(11,190)**
**(11,190)**
**15,521**
**25,937**
**46,591**
**578,240**
5,418
534,372
**2025**
2024
**£**
£
**7,886**
10,093
**25,400**
12,838
**33,286**
22,931
**2025**
2024
**£**
£
**110,000**
110,000
**32,184**
17,168
**7,566**
5,530
**13,314**
13,242
**192,508**
193,963
**4,621**
-
**360,193**
**339,903**
**Motor**
**Vehicles**
**Total**|
|---|---|---|
Included in other creditors is £2,474 (2024 - £3,059) in relation to pension contributions owing.
20
## **CHANGING LIVES CHARITY NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 30 SEPTEMBER 2025**
**12 CREDITORS: Amounts falling due after more than one year**
|Loans from Trustees
Over 5 years
Over 1 year, under 5 years
Company loan
Over 5 years
Vehicle finance loan
**13**
**SECURED DEBTS**
The following secured debts are included within creditors:
Mortgage loan on property
**14**
**RELATED PARTY TRANSACTIONS**
The Charity has received loans from trustees and related parties as follows;
Repayable in less than 1 year
Terry Mears
Repayable in over 1 year
Ray Wilson
Repayable in over 5 years
Repayable in over 5 years
Jeff Peacock
Repayable in over 5 years
Management Limited*
Management Limited*|**2025**
2024
**£**
£
**187,500**
187,500
**5,000**
5,000
**71,000**
71,000
**28,572**
-
**292,072**
263,500
**2025**
2024
**£**
£
**192,508**
193,963
**2025**
2024
**£**
£
**110,000**
110,000
**5,000**
5,000
**122,000**
122,000
**71,000**
71,000
**65,500**
65,500
**373,500**
373,500|
|---|---|
* From Keystone Projects & Management Limited (of which David Tomlinson, a Trustee of Changing Lives Charity until 31 March 2023, is a director and shareholder).
The above concessionary loans are not secured and are interest free.
|Between 1 and 5 years
Over 5 years|**127,000**
-
**65,500**
-
**192,500**
-|
|---|---|
During the year, I Burnham, a trustee of the charity was paid consulting fees of £23,525 (2024 - £22,941) in his position as consultant, acting CEO, of the Charity.
Expenses totalling £20 were paid to one trustee for travel during the year ended 30 September 2025 (2024 - £11).
21
## **CHANGING LIVES CHARITY NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 30 SEPTEMBER 2025**
## **15 RECONCILIATION OF NET INCOME/ (EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES**
|Loan interest paid
Increase / (decrease) in creditors
**Net cash flow from operating activities**
Net income / (expenditure) for year / period
Depreciation and impairment of tangible fixed assets
Loss on disposal of fixed asset
Income from investments
(Increase) / decrease in debtors|**2025**
2024
**£**
£
**47,778**
(13,846)
**14,517**
9,851
**-**
4,703
**(1,550)**
(1,490)
**(10,355)**
512
**48,862**
(708)
**10,395**
21,816
**109,647**
20,838|
|---|---|
22