## **ANNUAL REPORT & FINANCIAL STATEMENTS** Creating a **better future** through compassionate grant-making **Year ended 30th June 2024** Company Registration Number ~~09~~ 923402 (England and Wales) Charity Number: 1169016 ## **CONTENTS** **3. REFERENCE & ADMINISTRATIVE DETAILS OF THE CHARITABLE COMPANY & ITS ADVISORS** **32 - 38. INDEPENDENT AUDITORS REPORT** **39. STATEMENT OF FINANCIAL ACTIVITIES** **4. FOREWORD** **40. STATEMENT OF FINANCIAL POSITION** **5. VISION, MISSION & VALUES** ## **41. STATEMENT OF CASHFLOWS** ## **6. STRATEGIC OBJECTIVES** **42 - 46. PRINCIPAL ACCOUNT POLICIES** **7- 16 ACTIVITIES, ACHIEVEMENTS AND PERFORMANCE** **47 - 50 NOTES OF THE FINANCIAL STATEMENTS** **17. PLANS FOR THE FUTURE** **18 - 25. FINANCIAL REVIEW** **26 - 29. STRUCTURE, GOVERANCE AND MANAGEMENT** **30. DISCLOSURE OF INFORMATION TO AUDITORS** **31. SMALL COMPANIES EXEMPTION** ## **REFERENCE & ADMINISTRATIVE DETAILS OF THE CHARITABLE COMPANY & ITS ADVISORS** ## **TRUSTEES** Fiona Ellison **(CHAIR)** Aisha Butera (resigned on 04.03.24) Anne Dokov David Ripley (appointed on 01.08.24) Elizabeth Morris (resigned on 31.12.23) Fiona Smith (appointed on 01.08.24) Heather Bowman James Holton (appointed on 01.08.24) John Weguelin **AUDITOR:** Buzzacott LLP, 130 Wood Street, London, EC2V 6DL **BANKERS:** Unity Trust Bank plc, Four Brindley Place, Birmingham, B1 2JB **INVESTMENT FUND MANAGER:** Cazenove Capital, 1 London Wall Place, London, EC2Y 5AU Louise Winterburn (appointed on 01.08.24) Ronald Williamson Anne Harling **(COMPANY SECRETARY)** ## **LONGLEIGH FOUNDATION** **CHIEF EXECUTIVE OFFICER:** Aileen Edmunds **REGISTERED OFFICE:** Suite C, Lancaster House, Grange Business Park, Enderby Road, Whetstone, Leicester, LE8 6EP **REGISTERED COMPANY NUMBER:** 09923402 (England and Wales) **REGISTERED CHARITY NUMBER:** 1169016 3 ## **FOREWORD** Longleigh is a compassionate grant-making Foundation working in partnership with Housing Associations to improve the wellbeing of social housing residents. We know that many people living in social housing experience multiple disadvantages, including poor mental health and financial hardship. Our goal is to provide timely financial support and wrap around services, to mitigate crises, maximise income, help make a house a home, and promote overall wellbeing. This report summarises our charitable activity for the year ended 30th June 2024, along with our financial statements. We have risen to this challenge by securing additional funding for our research programme, making operational savings and using unrestricted reserves to increase the resources available for charitable work. I am proud of our small but mighty team, who have delivered over £555k in hardship grants to customers in crisis, invested over £234k in community projects and contributed £47k towards strategic research to influence long-term change. Our impact is made possible thanks to the continued support from our principal donor, Stonewater, whose support, commitment and collaboration enables our work to happen. In these challenging times, I am grateful, more than ever, for their support. ## **A message from our Chair, Fiona Ellison** Our focus is always on maximising the support we provide and the impact we make for social housing residents. This year has been challenging, with increasing demand and a difficult economic environment for housing associations, affecting available resources. We know that this economic climate will remain tough for some time, and so I welcome fresh insight and expertise from four new board members and our new CEO, as we look to create more opportunities for social housing residents to thrive. 4 ## **VISION, MISSION & VALUES** ## **Vision** To be the charitable foundation partner to the social housing sector, supporting transformation in the lives of residents and communities. ## **Mission** By continuously improving our understanding of the difference we make and the value we bring, to partner with social housing providers to enable more lives to be transformed across more communities. ## **Values** Compassionate - We are kind, empathetic, fair, and inclusive. Collaborative - We value and include diverse voices and build trust by owning our responsibilities. Agile - We are proactive and are committed to continuous improvement; to learning and unlearning. Insightful - Our practice and decisions are rooted in evidence bases, from research through to lived experience. Ethical - We do what is right, not what is easy. 5 ## **STRATEGIC OBJECTIVES** In 2020/21, we launched our five-year strategy, Progress and Partnership, with the ambition to increase support more people in need, and to strengthen our internal systems for growth. Since then, we have navigated a volatile environment, including the pandemic and inflation. Our donors have faced similar challenges, compounded by changes in legislation and regulation. In response, we have revisited our strategic aims this year to focus on defining and embedding purpose, strengthening our evidence base, building operational resilience, and ensuring financial sustainability, as we plan for 2025 and beyond. 6 ## **ACTIVITIES, ACHIEVEMENTS & PERFORMANCE** We help relieve pressures on social housing households caused by cuts to services, stagnant wages and welfare benefits, and the rising cost of living. We provide direct financial support through grants to residents in crisis, and work with external organisations to offer wraparound services in mental health and financial wellbeing support, through our Circles of Support programme. ## **We help people who are:** - Fleeing domestic abuse: covering storage and moving costs. - In financial crisis: funding essentials like food, energy top ups, and children’s school uniforms, and offering free financial wellbeing support through our Circles of Support programme. - Looking for work: helping with travel and clothing costs for interviews. - Wanting to learn new skills: covering course fees and associated costs like childcare. - Struggling to make their house a home: providing funding for carpets, white goods, furniture, and bedding. Living with mental health challenges: Offering relief from financial worries through our grant-making alongside free counselling and financial assistance through our Circles of Support programme. Recognising that many challenges faced by social housing residents are systemic we: Fund research to understand residents’ needs and how best to support them. Advocate for changes in landlord practices. Call for wider societal change. 7 ## **DIRECT SUPPORT THROUGH GRANTS TO INDIVIDUALS** This year, Longleigh distributed **£554,462** in individual grants to **658** households, a **10% reduction** due to the economic challenges facing Housing Associations leading to a decrease in donations. These grants were awarded as follows: **----- Start of picture text -----**
530 Hardship Grants
60 Crisis Grants
LONGLEIGH 18 Critical Incident
Grants
GRANTS
33 Flooring
Grants
10 Education, Training &
Employment Grants
**----- End of picture text -----**
**----- Start of picture text -----**
While Hardship Grants and
Education, Training, and
Employment Grants saw
declines, Flooring Grants
rose by 34% due to increased
awareness following the
publication of our research.
**----- End of picture text -----**
8 **----- Start of picture text -----**
Employability Support
Other Items 1%
10%
Utility Vouchers
4%
White Goods
32%
Flooring
9%
Food Vouchers
19%
Household Essentials
25%
**----- End of picture text -----**
As a charity we ensure that our limited resources reach those in greatest need by applying clear eligibility criteria. The top five reasons for grant applications, representing **88%** of total applications, have remained consistent and are as follows: - Diagnosed health condition or disability. Mental health condition or substance addiction. Moving from homelessness/supported living into independent living. - Fleeing from an abusive relationship. Family with children in receipt of free school meals. Our individual grants are exclusively for residents of our major donor, Stonewater Ltd, but we also provide grants to Stonewater staff. This year, we approved **7** grants to Stonewater staff, totaling **£7,341.** 9 ## **SUPPORTING SHARON** Sharon, 52, struggled with anxiety and depression, which were exacerbated by financial difficulties. With two daughters depending on her, including one who was pregnant, Sharon found herself unable to afford her food and energy bills while waiting for her Universal Credit award. Longleigh provided a grant that covered eight weeks of food and energy vouchers, helping Sharon and her daughters during this difficult time. The services Longleigh offered were amazing. The grant helped me get on my feet and out of trouble with fuel bills and groceries until my Universal Credit was sorted. I am very grateful for all your help in my time of need. Going forward – I will be able to pay my bills and be able to eat and keep warm. 10 ## **CIRCLES OF SUPPORT THROUGH GRANTS TO ORGANISATIONS** Longleigh distributed £183,660 in grants to organisations, to provide wrap-around support for recipients of individual grants, aiming to reduce the likelihood of the need for future financial assistance. Despite a 54% decrease in project grant funding due to reduced donations compared to the previous year, we prioritised key areas of need. Using our Theory of Change, we focused resources on delivering consistent support in both financial and mental wellbeing areas. We provided continuation funding for the following projects: ## **Financial Wellbeing** **We donated £75,460** to Clean Slate to continue offering financial coaching. This includes advice on maximising income, in-depth budgeting support, advocacy, and help with benefits applications and employment. The project aims to deliver an average financial gain of £1,500 per person. **Additionally, £90,000** was committed to Kickstart Project – an internal pilot at Stonewater aimed at reducing new tenancy turnover, often linked to debt. The project has shown significant results, with new tenancy turnover reducing from 0.72% to 0.51%. Customer satisfaction with the service stands at 89.59% with 2411 customers supported and 255 high need cases referred to Clean Slate for additional support. ## **Mental Wellbeing** **We donated £18,200** to Kaleidoscope Plus Group (KPG) to offer six weeks of person-centered counselling for Stonewater residents. Given current NHS waiting times, offering initial assessments within a week has proved invaluable. 11 ## **LAYLA’S JOURNEY TO FINANCIAL STABILITY** Layla, 33, was working as a care assistant but was struggling with childcare – especially as some of her children have additional needs. As a single mother, she had to move to a zero hour contract which put pressure on her finances. When she found out about Longleigh’s financial wellbeing offer through Clean Slate, she was struggling with her rent arrears which totalled over £4000 and were being deducted from her UC. Through working with Clean Slate, Layla was able to access the Local Authority - Exceptional Housing Cost Fund with an award for £2,500, clearing a large part of her rent arrears. She was also awarded a Longleigh grant for £200 weekly shopping vouchers for four weeks and £160 for utility bills for 1 month. And finally, the Family Fund awarded her an additional £500 for Sensory toys and Clothing. Layla’s relief was palpable. As Charlotte, our Head of Grant Programmes says ‘support with money goes beyond the practical, we see the impact of financial relief on people’s mental health every day’ 12 ## **JAYNE’S PROGRESS FROM ANXIETY TO CONFIDENCE** Jayne was referred to our funded counselling service after struggling with anxiety, agoraphobia and panic attacks following domestic abuse. From the initial assessment, Jayne expressed her desire for help to ‘Getting out and do daily things.’ She was supported to explore her feelings and understand the root of her anxiety, using solution focused techniques, including exposure therapy, to help her make gradual progress. She started by taking small steps, like getting ready to leave the house without going anywhere, which helped her manage her anxiety without overwhelming her. Jayne said, ‘I am finding this so helpful’. In the last session she said, ‘thank you for your help, it was nice to feel heard and to go at my own pace, I’ve enjoyed our work together’. 13 ## **TACKLING SYSTEMIC ISSUES THROUGH RESEARCH PROJECT FUNDING** We recognise that many of the issues faced by social housing residents are systemic, and as part of our response, we fund pioneering research to advocate for changes in landlord practices, and wider societal shifts. In 2023/24, Longleigh **awarded £47,000 in research grants** , marking a 17.5% increase over the previous year. This growth was largely driven by securing external funding for the first time. These funds allowed us to support the Voices for Tenants feasibility study, and continue research into the need for floor coverings in social housing. ## **Voices for Tenants** We contributed £7,000 to conduct a feasibility study to look at how social housing tenants could collectively have an influence on housing issues at a national level. Together with the G15, we co-funded the Voices for Tenants (VfT) Steering Group, to commission the study which will engage residents across diverse communities. The report on the findings will be published in Autumn 2024. We are grateful to Fusion21 who funded Longleigh’s involvement in this project. ## **Floor Coverings in Social Housing** We committed £40,000 to Altair Ltd, to research the need for floor coverings in social housing. We released a series of reports, including tenant insights, landlord perspectives, and a final report which includes business cases for Housing Association Boards to initiate pilot projects. These findings were distributed to sector CEOs and MPs, and presented at the Housing2024 conference, and a NHC round table. VfT Steering Group Chair, **Joseph De-Ville** 14 ## **THE ORGANISATIONS THAT RECEIVED FUNDING DURING THIS ACCOUNTING PERIOD WERE:** **----- Start of picture text -----**
Funding
Project / Organisation Name Primary Activities
Awarded (£)
Financial inclusion training, products and 1-1 support for
Clean Slate 75,460
individuals in financial hardship and difficulty.
Kaleidoscope Plus Group Emotional wellbeing and counselling support. 18,200
Kickstart Tenancy Project focusing on prevention, monitoring and early intervention
90,000
Sustainability for new residents to aid longer tenancies.
Research project regarding the lack of flooring provision in social
Altair 40,000
housing.
Voices for Tenants Feasibility study into the need for a National Tenant Voice 7,000
Total Project Grant Expenditure 230,660
PROGRAMME
CIRCLES OF SUPPORT
RESEARCH PROJECTS
**----- End of picture text -----**
15 ## **PUBLIC BENEFIT** Longleigh Foundation meets its public benefit obligation by creating opportunities for social housing residents to thrive. Our support focuses on the most vulnerable individuals served by the social housing sector, by: Funding essential household items. Crisis support such as food and energy top-ups. Financial resilience through welfare rights, debt advice and employability; and mental health support. 16 ## **PLANS FOR THE FUTURE** Looking forward to the year ahead, Longleigh’s focus will be on: Embedding purpose across our grant-making programmes including a full review of our Individual Grants. Raising our profile through our new in-house communications expertise. Building partnerships to enable growth and reach. 17 ## **FINANCIAL REVIEW** ## **INCOME** Total income was **£1,247,787** (2023: £1,205,817), with the majority coming from Stonewater Ltd restricted donation and investment **EXPENDITURE** : income. Total expenditure was **£1,187,959** (2023: £1,572,392)k **OPERATING COSTS** primarily spent on individual, project, and research grants. These costs amounted to **£402,837** (2023: £430,470). Of this, £44,604 (2023: £65,632) covering direct overheads, governance costs, and fundraising expenses. The Foundations operating costs align with sector averages, with 71% spent directly on grant-making. The Foundation continues to grow and invest in working effectively and proportionately while benchmarking operational efficiency. 18 ## **INVESTMENT** Longleigh maintains a long-term investment in Cazenove’s Charity Responsible Multi-Asset Fund (RMAF), focusing on ethical investments with a return objective of 3-5% return after inflation and fees. We also have a Treasury Management policy to ensure sufficient liquidity through secure and accessible deposits. Our policy ensures investments align with our values and invested responsibly and ethically. The RMAF follows a strong Environmental, Social and Governance policy, including screening to exclude investing in areas of significant social or environmental harm and providing regular updates on its social impact. The Finance and Investment Committee reviews the investment’s performance quarterly and meets with the investment managers at least annually. The Board has agreed to an independent triennial review of the investment strategy and investment managers, with the first one due in May 2025. Our investment was valued as **£6,332,188** (2023: £5,928,659) at year end and there were net investment gains for the year of **£400,507** (2023: net investment gains of £53,437). The Foundation’s total return for the year ended 30th June 2024 achieved an 11.2% (2023: 5%) return this year. The Finance and Investment Committee met with Cazenove twice in the past year to discuss the current economic situation and how Cazenove are reacting to the current market conditions. The investments have performed well this year, but markets continue to be volatile. The board are comfortable with Cazenove’s regular reviews to ensure the investment strategy remains robust in the current market. 19 ## **RESERVES** The total reserves at year end were **£8,358,888** (2023: £7,897,553). This is made up of **£8,139,575** (2023: £7,657,049) restricted funds and £219,313 (2024: £240,504) unrestricted funds. Our short-term reserves policy requires unrestricted cash reserves to meet the next 3.5 month’s forecast operating costs. The minimum level is there to ensure there is enough liquidity for Longleigh to operate efficiently in a period of uncertainty or turbulence while the trustees review the strategy. This 3.5 month forecast operating costs is currently a balance of **£136,000** , and our unrestricted reserve fund of £219,313 at year end exceeds this policy. Our long-term reserves policy is to ensure the restricted fund does not fall below a value of 12 months operating costs, plus the maximum potential value of all multi-year grants, assuming they all meet their reporting requirements. At year end, this is a figure of **£466,286** The restricted fund exceeds the minimum reserves policy with a balance of £8,139,575 and is to be used in accordance with the donor’s specifications, as described in **Note 13.** Our aim is to build restricted reserves that generate income to cover a reasonable level of grant expenditure and operating costs. Reserves are being built up from the annual donations from Stonewater Ltd, as agreed with them. This is to ensure that Longleigh has the financial resilience to meet unexpected falls in income and periods of uncertainty. 20 ## **RISK MANAGEMENT** Trustees review Longleigh’s risk register at each board meeting, based on the likelihood and potential impact, alongside mitigating actions. The Chief Executive supports the Trustees in monitoring changes in risk levels or the emergence of new risks. A Board risk appetite framework is in development, which will guide future risk monitoring. Key risks identified in FY23/24 are detailed below: **----- Start of picture text -----**
Risk Mitigation
Establish a sustainable funding agreement with Stonewater for better
Over reliance on one major donor longer-term planning.
1
(Stonewater) Develop a new business strategy to secure additional funding partners and
diversify income sources.
Set realistic budgets and work plans.
Review income and expenditure monthly, reforecast quarterly.
Follow the agreed financial standing order procedures and use the Finance
2 Failure to meet the annual budget
and Investment Committee and Board for additional cost approvals.
Review budget sign off and delegated authority annually (last review:
09/23.
**----- End of picture text -----**
21 ||||| |---|---|---|---| ||3|Reduction in return-on-investment value|F&I Committee to monitor performance and receive quarterly updates
from our fund managers, Cazanove.
Regularly review and update the Treasury & Investment policies.
Keep some investments in cash given the current market conditions,
reviewed by the F&I Committee.
Investment fund managers to attend F&I bi-annually (last visit: 01/24) and
main Board annually.
Review fund managers every 3 years (last review: 2022).| ||4|Inability to demonstrate charitable impact|Embed Theory of Change into all grant processes.
Report Longleigh grants through 360 Giving.
Maintain regular conversations with Stonewater colleagues to understand
customer needs.| ||5|Stonewater Reputational Crisis|Recruited a Head of Comms, PR and Brand in April to ensure crisis
communications planning is in place.| ||6|Lack of Comms support|Recruited a Head of Comms, PR and Brand who will develop a
communications and engagement strategy and plans.| 22 ||||| |---|---|---|---| ||7|Breakdown in relationship/trust with
Stonewater|Adhere to the memorandum of understanding and reporting frameworks.
Hold regular meetings between CEOs and Chairs.
Demonstrate impact/Social return on investment for annual donation.
Implement a comms and engagement plan for Stonewater colleagues and
customers.| ||8|Instability in staff team|Embed mission and values in team culture with regular engagement
through team meetings.
Review colleague wellbeing during 121s and informal check-ins.
Ensure up to date HR policies and key data is maintained on shared drives.
Review Business Continuity plan annually (Last review: 01/24).
Key staff on three month notice periods.
Provide a thorough induction plan for new staff.| ||9|Outdated Policies and Procedures|Audit policies and set a schedule for updates, with clear ownership.
SMT checks the review plan monthly and Board reviews it annually.| ||10|Cost of Living impacts on delivery|Review individual grant criteria regularly (last review: 11/23).
Maintain strong budget management.
Manage relationships with Stonewater
Explore partnerships with second-hand goods providers.| 23 ||||| |---|---|---|---| ||11|Safeguarding Incidents|Annual safeguarding training for all staff (last completed: 02/24).
Safeguarding policies and procedures in place and regularly reviewed.
Staff contact details and next of kin data stored centrally - audited
annually in February - last completed 02/24).
Safe Recruitment practices to be followed.| ||12|IT and System Issues|Ensure weekly backups of IT systems.
Ensure all IT systems and hardware are maintained and regularly review
the service agreement.
Staff receive annual training on cyber security.| ||13|Fraudulent or misuse of awarded funding|Research and project grants funding agreements in place and monitored
by Grants Programme Manager.
Prioritise vouchers for individual grants and secure receipts for high-value
items.
Monthly audit of individual grants by Individual Grants Manager with results
reviewed by Grants Programme Manager.| ||14|Breach of GDPR legislation|Compliance with processes and policies.
Maintain Cyber Essentials certification and ICO membership.| 24 ||||| |---|---|---|---| ||15|H&S noncompliance|Annual DSE assessments and training for all staff (last completed: 02/24).
Staff can raise H&S concerns in 121s and team meetings.| ||16|Breach of charity law|Maintain strong financial controls and HR oversight.| ||17|Trustee Board lacks relevant
skills/commitment, diversity and lived
experience|Annual skills audit and Board review.
Use skills audit results for trustee recruitment and fixed terms refresh for
the Board.
Implement recommendations from the external governance review,
including recruiting new trustees.| ## **FUNDRAISING** Longleigh Foundation does not actively solicit donations from individuals and has received no fundraising complaints. 25 ## **STRUCTURE, GOVERNANCE AND MANAGEMENT** ## **GOVERNING DOCUMENT** Longleigh Foundation is a company limited by guarantee, governed by its Memorandum and Articles of Association. It is registered at Companies House (no 09923402) and with the Charity Commission in England and Wales (no 1169016). ## **TRUSTEES** The trustees have been selected based on their relevant experience, skills, and knowledge in governance, the charity's work, and the social housing sector. As our founder and principal donor, Stonewater Limited (as set out in the articles), can appoint one person as a trustee. During the period, Aisha Butera and Elizabeth Morris resigned from the Board, and a recruitment exercise was conducted in quarter four, with four new members scheduled to join the Board next financial year. Trustees are appointed for three-year terms of office and may seek re-appointment for further terms, up to a maximum of nine consecutive years. With our new Chair and CEO now in place, we commissioned our first external governance review to assess compliance and governance arrangements and to identify and plan for improvement. Our Board is committed to Equality, Diversity and Inclusion (EDI) and embedding continual development in this area. 26 ## **FINANCE & INVESTMENT COMMITTEE** To support the trustees to fulfil their financial responsibilities, our finance and investment committee meets quarterly to review Longleigh’s risks, finances and investments, and to make recommendations to the board. The committee consists of two trustees with investments and accounting expertise and the Chair, bringing the knowledge of charity finances. ## **DECISION MAKING** The Board of Trustees is collectively responsible for ensuring that Longleigh adheres to good governance practices, complies with all legal and regulatory obligations, and protects the Foundation’s resources. The Board meets quarterly to set strategy and policies, oversee finances and grant funding, and monitor overall performance. Additionally, the Board reviews and determines the remuneration of key management personnel on an annual basis. Trustees are not remunerated for their services. Longleigh has adopted the UK Charity Governance Code for smaller charities 2020 and regularly monitors its compliance with this code. During 2023/24 Longleigh complied fully with the Code with the exception of some of the detailed requirements on benchmarking of performance, impact assessment and equality, diversity and inclusion on which active plans are in place. Day-to-day management of the Longleigh Foundation is delegated to the Chief Executive, who, along with the staff team, oversees the charity’s work by following grant-making policies and procedures and implementing operational processes to fulfil the charity’s mission. During the year, the Longleigh Foundation received Company Secretarial services from Stonewater Limited. 27 ## **RELATED PARTIES** The Longleigh Foundation is primarily funded through donations from Stonewater Limited. The trustees recognise their charitable responsibilities and state formally that the charity’s activities will always be consistent with pursuing the achievement of its social objects. Any benefit which may accrue to Stonewater Limited from the Longleigh Foundation’s activities will be incidental and outweighed by the contribution to the Foundation’s charitable objectives. **Please see note 16** for further Related Party transaction details. ## **STATEMENT OF TRUSTEES’ RESPONSIBILITIES** The trustees (who are also directors of Longleigh Foundation for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards). Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. 28 In preparing these financial statements, the trustees are required to: - Select suitable accounting policies and then apply them consistently. - Observe the methods and principles in the Charities SORP. - Make judgments and estimates that are reasonable and prudent. - State whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and - Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions, disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006 and the provisions of the charity’s constitution. 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. The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. 29 ## **DISCLOSURE OF INFORMATION TO AUDITORS** Insofar as each of the trustees of the charitable company at the date of approval of this report is aware, there is no relevant information needed by the charity’s auditor in connection with preparing the audit report of which the charitable company’s auditor is unaware. 30 ## **SMALL COMPANIES EXEMPTION** In preparing this report the trustees have taken advantage of the small companies’ exemptions provided by section 415A of the Companies Act 2006. Approved by the trustees on 20th November and signed on their behalf by: Fiona Ellison Chair 31 ## **INDEPENDENT AUDITOR’S REPORT TO MEMBERS OF LONGLEIGH FOUNDATION – YEAR TO 30TH JUNE 2024** ## **OPINION** We have audited the financial statements of Longleigh Foundation (the ‘charitable company’) for the year ended 30th June 2024, which comprise the statement of financial activities, the statement of financial position, the statement of cash flows, the principal accounting policies and the notes to the financial statements. 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). This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members 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 charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. In our opinion, the financial statements: Give a true and fair view of the state of the charitable company’s affair as of 30th June 2024 and of its income and expenditure 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 Companies Act 2006. 32 ## **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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ## **CONCLUSIONS RELATING TO GOING CONCERN** In auditing the financial statements, we have concluded that the Trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report. 33 ## **OTHER INFORMATION** The Trustees are responsible for the other information. The other information comprises the information included in the Annual Report and Financial Statements, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. ## **OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006** In our opinion, based on the work undertaken in the course of the audit: The information given in the Trustees’ report, which is also the directors’ report for the purposes of company law, for the financial period for which the financial statements are prepared is consistent with the financial statements; and The Trustees’ report, which is also the directors’ report for the purposes of company law, has been prepared in accordance with applicable legal requirements. 34 ## **MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION** In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: Adequate accounting records have not been kept; or - The financial statements are not in agreement with the accounting records and returns; or - Certain disclosures in respect to the remuneration of Trustees specified by law are not made; or we have not received all the information and explanations we require for our audit; or the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the Trustees’ report and from the requirement to prepare a strategic report. ## **TRUSTEES’ RESPONSIBILITIES** As explained more fully in the statement of Trustees’ responsibilities, the Trustees (who are also the directors for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. IIn preparing the financial statements, the Trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or has no realistic alternative but to do so. 35 ## **AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS** Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: We ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations. We obtained an understanding of the legal and regulatory frameworks that are applicable to the charitable company and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework (Statement of Recommended Practice Accounting and Reporting by Charities preparing this accounts in accordance with the Financial reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, and the Companies Act 2006). 36 We assessed the susceptibility of the charitable company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: making enquiries of management as to their knowledge of actual, suspected and alleged fraud; and Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. To address the risk of fraud through management bias and override of controls we: - Performed analytical procedures to identify any unusual or unexpected relationships. - Performed substantive testing of expenditure including the authorisation thereof; and Reviewed journal entries to identify unusual transactions. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: Reviewing the minutes of meetings of those charged with governance; and Enquiring of management as to actual and potential litigation and claims. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the Trustees and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. 37 A further description of our responsibilities for the audit of the financial statements is located on the Financial� Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s� report. ## **USE OF THIS REPORT** This report is made solely to the charitable company’s Trustees, as a body, in accordance with Chapter 3 of Part 16� of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable� company’s Trustees those matters that 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� charitable company’s and the company’s Trustees as a body, for our audit work, or the opinions we have formed. **Gumayel Miah (Senior Statutory Auditor) For and on behalf of Buzzacott LLP 130 Wood Street** ## **London** **EC2V 6DL** **Date : 18 December 2024** 38 The notes on pages **47 to 50** form part of these financial statements. 39 The notes on **pages 47 to 50** form part of these financial statements. The financial statements were approved and authorised for issue by the board and were signed on its behalf on 20th November 2024. Fiona Ellison Trustee ## **Longleigh Foundation** A Company Limited by Guarantee Registered Number: 09923402 40 The charity does not hold any debt instruments and therefore a reconciliation of changes in net debt has not been included. The notes on pages **47 to 50** form part of these financial statements. 41 ## **PRINCIPAL ACCOUNTING POLICIES: YEAR ENDED 30th JUNE 2024** ## **CHARITY INFORMATION** The charity is a company limited by guarantee (registered number 09923402, charity number 1169016), which is incorporated in the UK. The address of the registered office is Suite C, Lancaster House, Grange Business Park, Enderby Road, Whetstone, Leicester, LE8 6EP. ## **BASIS OF PREPARATION** The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice, Accounting and Reporting by Charities (applicable UK accounting standards including the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), and the Companies Act 2006). Longleigh Foundation meets the definition of a public benefit entity under FRS 102. The financial statements are presented in Sterling to the nearest pound. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note. The principal accounting policies adopted in the preparation of the financial statements are as follows: ## **SIGNIFICANT JUDGEMENTS AND ESTIMATES** The area in the financial statements where these judgements and estimates have been made is in relation to the allocation of indirect operating costs, and in estimating the useful economic lives of tangible and intangible fixed assets. 42 ## **GOING CONCERN** The trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. The trustees have made this assessment in respect to a period of at least one year from the date of approval of these financial statements. The trustees of the charity have concluded that there are no 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 are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due. ## **INCOME** All income is recognised once the charity has entitlement to the resources, it is probable that the resources will be received and the monetary value can be measured with sufficient reliability. Donations are recognised on a receivable basis where receipt is probable and the amount can be reliably measured. Donations are accounted for as unrestricted, unless there are restrictions under the terms on which they are received or solicited. ## **EXPENDITURE** Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes VAT which cannot be recovered. Expenditure on raising funds comprises those costs directly attributable to the management of our investment fund, communications strategy and other fundraising costs which are incurred in seeking voluntary contributions for the charity. 43 Expenditure on charitable activities comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. These include project and research grants to third party institutions and hardship grants to individuals. All multi-year project grants are subject to satisfactory annual review and reporting as set out in the funding agreement and are therefore only accounted for when this condition has been met. Estimated future costs of existing projects grants are shown in note 17 to the financial statements. Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity, as well as working to best-practice standards (as set out in the Governance Code) and include audit fees and costs linked to strategic management of the charity. These are allocated in line with the policy below. ## **ALLOCATION OF OPERATING COSTS** Operating costs, including direct staff costs, are allocated directly to the activity that they relate to where possible. Indirect operating costs have been apportioned to the activity based on the estimated staff time spent on each activity. This is 5% to raising funds, 75% individual grants, 15% project grants and 5% research grants (2022: same allocation). The above apportionment of staff’s time reflects the fact that individual grants are much more time intensive, with a higher volume and lower value per grant than project grants. 44 ## **FINANCIAL INSTRUMENTS** The company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. All basic financial instruments are held at amortised cost. Financial assets comprise cash at bank, together with trade and other debtors. Financial liabilities comprise all creditors except social security and other taxes. ## **FIXED ASSETS AND DEPRECIATION** All assets costing more than £1,000 are capitalised and valued at historical cost. Depreciation on assets is charged to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method. The estimated useful life for computer equipment is three years. The estimated useful life for the Grant Management System is five years. ## **INVESTMENTS** Investments are initially measured at cost and subsequently at market value. Investment gains and losses, whether realised or unrealised, are recognised in the statement of financial activities in the period in which they arise. ## **DEBTORS** Debtors are initially recognised at their settlement amount and subsequently at amortised cost of their recoverable amount. Prepayments are valued at the amount prepaid. 45 ## **CASH** Cash at bank includes cash in short term highly liquid investments and cash in deposit accounts that are available on demand or have a maturity of 100 days or less. Investment cash included within current assets are deposits and liquid funds held by our investment managers for use over the next 12 months. ## **CREDITORS** Creditors are recognised when there is an obligation at the balance sheet date because of a past event, it is probable that a transfer of funds to a third party will be required in settlement and the amount due to settle can be measured or estimated reliably. Creditors are initially recognised at fair value, being the amount, the charity anticipates it will pay to settle the debt, and subsequently at amortised cost. ## **FUND ACCOUNTING** The charity’s unrestricted general fund consists of funds which the charity are free to use for any purpose in furtherance of its charitable objects. Restricted funds are funds that can only be used for specific restricted purposes within the objects of the charity as laid down by the donor. Expenditure which meets this criteria is charged to the fund. Further explanation of the nature and purpose of each fund is included in **note 13** to the financial statements. 46 NOTES TO THE FINANCIAL STATEMENTS: YEAR ENDED 30TH JUNE 2024 3. EXPENDITURE ON RAISING FUNDS 2024 2023 1. DONATIONS tjrea 5raff cl￿1 althation orKJconsuttonts herfundroi5in9COSt5 Invesiment Man(Nw f AIIwoiion ol support costs AIILXQ-.ion ol governon￿costs(n0te6) Total 26,404 44.549 2.886 11.9 5.510 2.749 65.652 2024 Tatoi funds 9,948 5.560 Is 44,604 Unrwirtteil fvnds ReStr￿•d fvDds Slljtlewtster Lmnlled Ol**rdonotW5 •OB.3•9 8.109 91&508 •08,J99 11.$ 920.055 527 Totol a527 4. EXPENDITURE ON CHARITABLE ACTIVITIES- UNRESTRICTED 2025 2024 unr•Str￿le& Resrrtted Prolect grants toolher 0rwn15at￿nS lo¢otion ol wpptrt coys 1ndiyiduoI Gron15 25.460 225.L siortewoteff Litied Otherdonotths 901224 5.820 907.014 901,224 6.672 907.596 4.203 652 852 Total 290.000 5. EXPENDITURE ON CHARITABLE ACTIVITIES- RESTRICTED 2. INCOME FROM INVESTMENTS Grants Grants to frfr•ct undertd¢en ether overhead by Longl•bqh LYgat*otloThs Costs G￿ernanc• costs (not• 6) 2024 Tt)ttsl funds Supwrt COSts 2024 Total UnreorKred IL*nds Restrthd f￿ndS Restrict Indivduol oion15 Project gronts Re5ea'¢h 9rants Total 550,259 170.663 00.398 .080 5,560 101,858 37.658 7.532 1511 47.701 85•.978 9.845 S4,671 1.MS,692 InvÉstments Bonk inieresi Ttstol 3.624 1.521 4,94S 521eo7 327.451 1.321 320,7$2 158.200 47.000 205.200 325807 550,259 206,694 202J ca¥rs (noteo) 202J Unresfrlcted lunds Restrcfed costs 7thvtholgronts ojecfgianis Res*Ythowts Toiol 6/5.￿ 164.406 14505 41.259 8.248 2.750 52.2J7 875597 39&905 46.2 1.214260 Investments 8cnklnieresi 4.031 Z91.450 215.407 361622 lQ5X 15TO 6.485 292.921 JQl.622 180.gv 47 The Charity employed eight staff members during 2024 (2023: seven). Some staff are part time, and the full time equivalent is 6.5 staff members (2023: 6.3) One employee received emoluments between £60,000 - £70,000 for the year ended 30 June 2024 (2023: one employee receiving between £60,000 - £70,000). Pension costs are payable in respect of defined contribution pension schemes and are accounted as part of the Charity’s restricted funds. Contributions are recognised in the statement of financial activities in the period which they are payable to the scheme. The assets of the scheme are held separately from those of the Charity in an independently administered fund. £673 has been reimbursed to four trustees in respect of travel and expenses incurred on the charity’s activities (2022: £1,947 to five trustees). Key management personnel comprise the trustees and Chief Executive. The total remuneration of the charity’s key management personnel (including employer’s national insurance and pension contributions) for the year was £64,627 (2023: £75,697). 48 8. TANGIBLE FIXED ASSETS 10.INVESTMENTS computer *qulpm¢nt 2024 2023 Cost .651 5.060 <2.696> 12,013 MorkekvolutoEstort of thtyety Addititsllot cosi thsposols proceeds Net reolised ond unreo11sedwkn/(&￿) Mtsfkekvolutrot 3ry' Junt Ctssh held W InvesTtrÈni mno9ers Total Corr￿￿9 valw at W Jlme S4)20.565 ,628 50Tr.846 Additon5 Diswsds At SO Jvnt 2024 (10,n8) 55.437 5.920.56S &094 5.928.659 4WJ.S07 6￿.?00 DewecKltion 6.331188 Chofgeforiheyeor D￿￿￿5￿$ At 301h June 2024 1665 <2.698) 0,150 Hl*¢xl¢¢ort ot W'J S.69¥.S20 5.688,892 The followlng holdin9s ore considereLI motefiol to the overoll volue tsl investments. represenllng over 5% of rhe overall morkei voluv. N•t botsk va1ts•9 At SO June 2024 5.875 5.480 Z024 2023 At 301h June 2023 SCI￿erGIOb]IsU$to￿tlevQK schr£￿er WM Jot41 sus1oir￿oie 907.629 1,724.192 1.852.554 9. INTANGIBLE FIXED ASSETS Grant Monogement Syst•m 11. DEBTORS 2024 2023 Cost July 2023 Additons Diswsds At 30th June 2024 55.700 Prepoymen15 A((iued Incw Total 19.922 6176$ 20,043 67.338 87.381 55,700 Amorttsotkin 2.380 1.140 12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Chtsr9e for Ihe yeor Diswads At 301h June 2024 9.520 2024 2023 Net br*)k ¥alLtes At 5011) June 2024 At SO Jurhe 2023 Trodecrdjitors Accruols for ¢ronts poy(*le Tgxfflionond sociol 5ecuriiy Other (rcrual$ Total 35.767 29.045 5.%4 21152 91.928 26.262 98.748 26,190 33.320 2è.510 155.*A2 49 13. MOVEMENT IN FUNDS 15.ISSUED SHARE CAPITAL The L% &fflited by guarantee tsnd not hove shore copitol. ot Incomkng Il•sourctt N•t galn on 1" J￿d 2023 r•s¢ur¢¢s •nd•d kn¥tttMents 30ih June 2024 16. RELATED PARTY TRANSACTIONS Slonewoter Limited Is Longlelgh FoundOll￿'S fovndlng donor. Slonewoler Llmbted donote £910.52512023. £901.2241 to Longlelgh Foun 8.358.8è8 2024 2025 companysecre1uK￿ 5eTvces1orl￿UeOr ProiecT4¢onts 9.000 lTrlh22 June2Q23 521101 7.OB7.52 $.210.JQI (290.(W) 0.282.59?J (1.512$92J 24Q504 7.051.049 1.69/55J As sei our in ihe onicles. Sionewoier Llmiied con oFpoinl one person os o Iwsiee. Heoiher Bowmon wos Ihe nominoied Iruslee l.W480 1205.611 SA457 5J.4J/ The donaiions recelved from Stonewoier Lld ore restrlcied. In Ihoi Ihe gronis ore io be vsed the benefit of Stonewoter resldent& members of residents. families liwng In Slonewoter opertie5 ond the comtnunities Wlthin which Sionewoter operotes Thedonol1￿ con (450 be used itswords generol overheods reouired 10 SUPPWI the obove work. 17.GRANT COMMITMENTS Mulli-yeor ￿OrnI$ ore subject to odditionol 0￿￿1 reporting requirements bein9 met by the recipienis before they ore due ond recognised os o liobilily in the linonciol sioitynent> They are therefore included 0$ o Iiobilily until the rewiing reouirernent Is mei. There were no fvlvre gronis dL* In 24-25. 12023. £15O.QQ0d￿ fft 23-24). 14. ANALYSIS OF NET ASSETS BETWEEN FUNDS 18.TAX The comwty Is ot￿rItY wilhln the rneonirKJ of I Schedule 6 Flnon¢e Act 20K). Accordingly. Ihe com￿nY is polenllglly exempl from tQXOlion In respect Qf in¢c¥T* ty ¢opii¢I golns Wilhin coiegorie5 covered by Chcpier S ol Pon li ol Ihe Corporoiion Tox Aci 2010 or Secllon 256 of ihe Toxollon ol Chorgeoble Golns Act 19)2. to the extent Ihot svch [rK(￿e goins ore owied exclusively 10 choritoble purpxe vnromrthd R•#rkl*O 2024 FW ossers Cwiwil ossels 6.562.215 1.868.260 141.¥2B) .138.575 0.562.>43 1088.575 220313 No tox chor¢¥s orose in the year. 220.315 8.556.888 2033 ror 16x459 1.842.252 55.062? 705/.049 5.905.459 2.0&7. 5SO62) /89/.55Y 24Q504 240.504 50