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2021-12-31-accounts

Charity Number: 1169383

The Bread and Butter Thing

Report and financial statements For the period ended 31 December 2021

The Bread and Butter Thing

Contents

For the period ended 31 December 2021

Reference and administrative information ...................................................................................... 1 Trustees’ annual report .................................................................................................................. 2 Independent auditor’s report ....................................................................................................... 13 Statement of financial activities (incorporating an income and expenditure account) ................... 17 Balance sheet ............................................................................................................................... 18 Statement of cash flows ............................................................................................................... 19 Notes to the financial statements ................................................................................................. 20

The Bread and Butter Thing

Reference and administrative information

For the period ended 31 December 2021

The Charitable Incorporated Organisation was registered with the Charity Commission with the name of Heathfield Drive on 27 September 2016. The name was changed to The Bread and Butter Thing on 6 June 2017.

Charity number 1169383 Registered office The Bread and Butter Thing and operational 6 Meridian Place address MANCHESTER M20 2QF Trustees Trustees who served during the year and up to the date of this report were as follows: Paula Smith Chair Mary Jennings Will Bentley Julia Hillman Louise Nicholls Graeme Douglas Key management Mark Game Chief Executive personnel Victoria Harper Chief Operations Officer Justine Garner Chief Financial Officer Jane Partington FCA Partnerships Director Bankers Santander 712-716 Wilmslow Rd Manchester M20 6DQ Auditor Sayer Vincent LLP Chartered Accountants Invicta House 108-114 Golden Lane LONDON EC1Y 0TL

1

The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

The trustees present their report and the audited financial statements for the period ended 31 December 2021.

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the CIO constitution and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

Objectives and activities

Purposes and aims

The purposes of The Bread and Butter Thing as set out in its constitution are:

The trustees review the aims, objectives and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remain focused on its stated purposes.

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.

The charity's main activities and who it tries to help are described below. As set out in its constitution, its charitable activities are undertaken to further The Bread and Butter Thing’s charitable purposes for the public benefit.

2

The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

Aims:

Tackling poverty premiums and providing nutritious food

The charity works with pre-existing community projects in known areas of deprivation. Beneficiaries of the service are introduced through our partners who know the area already and who identify those people in need of support. Our services are delivered at their premises.

The BMJ and the Child Poverty Action Group amongst others have shown that Covid disproportionately affected our communities. Responding to the National Food Strategy Dame Louise Casey notes that “The pandemic has turned the divide between the rich and the poor into a gaping chasm. Sadly, the fact is that the less well-off you are, the more likely you are to be prey to unhealthy food, it's a slowly unfolding tragedy”.

There is a policy focus on extreme hunger and poverty accounting for 4% of the UK. Yet there are 21% who are ‘just about managing’ and struggling to access a healthy diet. TBBT’s model uniquely addresses this population at scale.

Our members come from a wide range of ages and backgrounds. They are mostly of working age and are responsible for supporting other family members. Through the provision of low-cost food and household goods, the charity reduces the price that our members must pay for these items, thus tackling the poverty premiums they would otherwise face. Members save money each week they shop with us. The average weekly saving our members report is £26.50. 86% say they can now afford to feed their family for the week.

The Bread and Butter Thing do not believe that low-cost food needs to be unhealthy or restricted in variety. We redistribute fruit and vegetables, chilled food and cupboard food every week and have regular sales of frozen items. 88% of our members tell us that they have tried new food since shopping with us and 75% eat more fruit and vegetables.

Our members also tell us that accessing household goods such as cleaners, toilet roll, washing powder can be expensive in their communities. We are constantly expanding our supply so that we can also improve access to these items.

3

The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

We are conscious that our members rely on us, and we make sure we do not let our members down. Covid has been a particular challenge over the last couple of years as many of our community partners have had to close and the recent Omicron variation has meant sickness levels amongst staff and volunteers have increased significantly. We have redesigned our service where necessary to ensure that our food deliveries have continued through the pandemic, and we have not missed a single delivery since the start of the crisis. We want to thank our staff and volunteers for the enormous commitment they have shown to make this possible.

Strengthening Community Assets

TBBT works with pre-existing community organisations identified with the support of local stakeholders. We partner with these hubs to help them serve their community more and improve the use of community assets. From the beginning we have believed in the importance of building on what is already there rather than coming into a community to start something new.

During 2021, we have been able to increase the number of local partners we are working with by nearly 50%. On 31 December 2021, we were working with 53 community partners, ‘hubs’, including churches, drop-in centres, community cafes, food banks and schools. By hosting a Bread and Butter service, these projects can add to the support they provide to their community.

TBBT’s lively and enjoyable weekly events attract the community with around 50-80 local residents attending. Our approach is non-stigmatising and connects people by creating networks of trust through shared activity. 97% of members say we are good for their community and 90% enjoy coming to shop with us.

We also identify other service providers who might be able to offer support to the community building on the footfall and audience we can guarantee. We focus on the areas where our members are most likely to benefit, for example help with fuel costs, debt issues, income maximisation and employability. Our policy is to work in partnership with organisations already providing services in these specialities rather than do it ourselves. Covid created challenges in bringing in these other services locally but, as the restrictions reduced, we have been able to reintroduce them. During 2021, we have worked with Citizens Advice, Electricity North West, Groundworks, Eat Well Manchester, Credit Unions, Maximus and many others bringing local access to their services to our hubs.

Community partners report improved engagement with our members. The regular contact from the weekly deliveries increases footfall and connects more people with the other services which our partners offer. In addition, members are regularly swapping recipe ideas, hints and tips on using the food we supply, contributing to better communication and an enhanced community spirit.

Our members also enjoy the social aspect of our service. Coming each week to chat and meet others reduces social isolation. 98% people feel welcome shopping with us and 59% have made new friends in the community since joining.

4

The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

Build Resilience

Our aim is to support communities to help themselves. Each of our hubs is staffed by a volunteer team made up of people from the local area who set up and manage our service each time we deliver.

We are supported by over 400 volunteers each week who give up their time on a regular basis to deliver the service. Most come to their local hub ready to meet our staff members and to sort, pack and distribute the food and goods to their fellow members. Others work at our warehouses, collecting and organising the food for the hubs. Every week, between them, they provide more than 1,000 volunteering hours. We could not do it without them.

Volunteers are given a briefing each time and provided with training in manual handling and food safety. They also work with us to design Covid safe processes making sure service can continue whilst keeping people safe.

Throughout the inception and development of TBBT, we have consistently found that the communities in which we work have a strong pride and appetite to support themselves. Nearly 40% of our members have expressed an interest in volunteering opportunities. The volunteers come from our communities and know most of the members we serve. They feel ownership of the service and see TBBT as part of their community.

Reducing Waste and finding new sources of surplus food and goods

2021 has been a year of continuing high demands in supermarkets as we continued to socially distance, whilst the food industry had to deal with shortages in work force, logistics and reductions in availability of goods.

Throughout the year, we have worked tirelessly to source food to redistribute and the corresponding transport solutions to ensure we can continue to grow our network of food clubs to meet the demands of the cost of living shockwaves we faced.

One of our major supporters throughout 2021 has been Morrisons. They have supported our work since our inception. During 2021, we have been working with them on engaging wider into their manufacturing sites and distribution centres and as a result have seen a 36% uplift in the food we have received from them.

Our work on reducing food waste focusses primarily on the top two aspects of the statutory guidance issued to the food industry by DEFRA in the Food Waste Hierarchy. The first priority is to minimise waste and surplus created, then second is to feed humans wherever possible with the surplus generated.

5

The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

Most of the work in this year has been understanding the shifting landscape in the pandemic and how we can work closely with industry to support them and help to develop new ways of minimising waste with as little disruption and investment as possible.

As a result, new partnerships have been formed by working closely with sectors of the food industry. Collaborations with organisations such as Worldwide Fruits show how relatively straightforward barriers such as surplus fruit being in trays that need returning can create challenges within the redistribution sector.

Barriers to redistributing surplus food have been a consistent topic for us throughout the year. We were pleased to see WRAP and IGD start to address the issues surrounding redistributing “Own Label” or supermarket branded food. We were part of the industry working group that developed WRAP’s Best practice on redistributing own-label products within the supply chain.

The guidance was issued in July 2021, and it was great to see it adopted by Sainsbury’s in September 2021. Although Morrisons already widely adopt such practices and have a wide array of redistribution partners, we will continue to work with the remaining retailers to encourage them to widen the number of redistribution organisations they work with to minimise the volume of surplus food going to waste.

The more we engage with manufacturers and the wider food industry supply chain, the more we can see how many own label opportunities are going to waste simply because of retailer restrictions on who can take this food. The work we did with Anthesis in 2019 showed that 72% of edible food waste in supply chain is own label and our experiences with the sector only reaffirms this.

We have been able to demonstrate that working with The Bread and Butter Thing, alongside existing redistribution routes can significantly reduce the amount of own label food going to waste whilst maintaining brand integrity. We have already demonstrated this for Asda and Coop in 2021 and look forward to sharing this evidence with other retailers during 2022.

Throughout the pandemic, we worked with DEFRA as they purchased food for us to support people shielding and isolating. However, it is pleasing to see our model expand in 2021 without any purchased food. There are literally tens of thousands of tonnes of food per annum yet to unlock and we will continue to work with industry to innovate and redistribute a growing amount and variety.

Achievements and performance

The charity started its activities in late 2016 and has increased its operations every year. Local access to healthy food at a good price can be a significant problem in the areas we work in and we find that residents are keen to support us meaning that community hubs once open continue causing our weekly deliveries to grow and grow. In 2021, we were proud to win the Third Sector Award’s Charity of the Year and the Volunteering Team of the Year recognising our impact in the communities we serve.

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The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

Some key statistics from our work:

Description At end of 2021 At end of 2020
Membership 23,000+ 14,000+
Number of families supported 2,600+ 2,000+
Meals equivalent per week based
on DEFRA figures		 74,000+ 57,000+
Volunteer hours per month 5,000+ per month 3,900+ per month
Community Hubs 53 36
Value of volunteer hours £ 390,000 £ 266,000
Community hub members served 105,000 80,000

Covid-19

Covid-19 had a significant impact on the charity and its operations. Immediately the first lockdown was announced most of our community hubs were forced to close. We were committed to keeping going, recognising that the need for healthy low-cost food provided locally would be greater than ever. We were able to hire at very short notice a new large indoor space in Greater Manchester. This gave us a place where we could store and pack food safely ensuring social distancing. This arrangement lasted until April 2021 when we were able to return to our usual location.

During 2021 we have added to our usual operations. We have continued to work with Manchester City Council as part of their emergency food response. In addition, we have provided additional food to support residents in Darlington, Newcastle, and Hartlepool to supplement the free school meals provision.

Financial review

Income for the year was £2,189,768 of which £858,185 came from membership fees and £1,331,583 from grants and donations.

During 2021, we were awarded grants totalling £720,000 which will cover a 1 to 2 year period. During 2021, we have recognised income of £304,840 from grants awarded in 2019 and 2020, and £855,627 from grants awarded in 2021 as shown in Note 3.

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The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

During 2021 we have been fortunate to have received funding for growth from a range of funders. We have been funded to open new hubs by Darlington Borough Council, Hartlepool Council and Durham Council and Tameside Public Health. In each case, the funding allowed us to purchase a new chilled van and to open 5 hubs in communities within their area.

In addition, the Purslow Trust and the Lyons Trust came together to fund our expansion into Warrington and Trafford Housing Trust have provided funds to support our central logistics. Salford Families in Need, a new charity, enabled us to open new hubs in Salford, increasing our reach across Greater Manchester.

DEFRA/WRAP provided £450,000 to enable us to build a chiller and freezer in our central warehouse and to fit out a packing room. This has increased our capacity to deliver a wide range of food safely.

We continue to see growing demand from new and existing community partners, and we are continuing to develop new sources of surplus food and goods. The Bread and Butter Thing wants to bring these things together to save our members more money and ensure that surplus food is eaten by humans whenever possible.

Reserves policy and going concern

The Board of Trustees have reviewed the charity’s finances and will endeavour to maintain reserves in unrestricted funds of at least 3 months committed expenditure. Based on a current review of spend, this would require £239,684 to be held.

At the 31 December 2021, the charity was operating in accordance with this policy with a carried forward funds balance of £1,592,568, including £641,043 unrestricted. The board has designated £250,000 towards the strengthening of the charities processes and infrastructure for the longterm and to maintain the services at this higher level (see note 16). Therefore, general funds at the yearend are £391,043.

Fundraising statement

After the initial investment, TBBT’s model aims to be self-sustaining with our membership income covering the running costs once the hubs are established. Therefore, the charity raises funds only to support its expansion and to invest in the wider services we can provide to our communities, members, and volunteers.

All fund-raising is carried out by the senior management team and no professional fund raisers, or commercial participators are used. There have been no complaints within the year.

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The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

Plans for the future

2021 has seen the continuance of challenges caused by the Covid crisis. The impact of lockdown wasn’t the same for everyone, neither will the impact of unlocking. In addition, the cost of living increases seen across many sectors will hit our members hard and create widening inequalities.

We believe that this emphasises how precarious the economic position is for many families and how rapidly their situation can change from just about managing to needing support to access affordable healthy food. The service provided by TBBT provides an early intervention approach by helping to prevent the families being trapped in poverty. This alongside the community spirit we help to engender – with members able to see a friendly face and enjoy a little conversation when collecting their bags – has been more important than ever and will continue to provide essential support throughout 2022.

TBBT has an aspiration to take our model national. During 2021 we have significantly expanded into the North East and we want to do more. It has become very clear through the Covid crisis that there is a need for access to good quality low-cost food for families who are just about managing. Traditional food banks provide emergency help for people who need help immediately and provide a vital service. However, there are many other people who struggle to afford enough good quality food to feed their families well. The impact of the choices they must make, between food and fuel or going without meals, can be seen in health inequalities, educational gaps and many other wellreported outcomes.

Food banks are often not designed to provide the longer-term support needed. In addition, many of these families do not want a handout. They want to be helped to make their money go further. The TBBT model is aimed at these communities. We will provide healthy low-cost food until they get back on their feet and are able to shop as they wish. In return, the membership fee pays for the food, Hub leaders provide volunteers to run the service and the space for us to operate. This allowed our communities to help themselves.

At the end of 2021, Durham Council committed to funding 5 new hubs which will open during 2022. In addition, since the year end, Kirklees Council (supported by Cummins Group) and North Tyneside Council have both agreed to support our expansion into Yorkshire and further into the North East. Together with the full roll-out of the Warrington van, we can already foresee 75 hubs by the end of the year.

On top of this, we are talking to many other organisations about possible funding for expansion. We believe this alternative type of sustainable, mid-tier food provision, generating its own income and sourcing its own food should be a priority for the next few years to improve the health and community well-being in low-income areas.

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The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

Principal risk and uncertainties

The trustees have ultimate responsibility for risk management and TBBT’s internal control systems. They are satisfied that appropriate systems and processes are in place to identify key risks and mitigate against them. For example: the management team reviews organisational risks and ensures that internal control measures are in place and are adequate.

The trustees are responsible for ensuring that an effective system of internal financial control is maintained and operated by the charity. The system of internal financial control is based on a framework of regular management information, administrative procedures and a system of delegation and accountability.

Like every other charity, we faced the uncertainties which came with the Covid crisis. We worked hard to build in contingency plans for the most likely risks and, so far, have been able to deal with situations which have arisen without missing a delivery. We continue to face the challenges created by sickness in our volunteers and staff and have improved our systems and processes to allow us to move quickly to deal with what arises.

We face a continuous challenge of sourcing sufficient healthy food to feed our families. During the year we have greatly widened the number of suppliers we deal with and have improved our infrastructure to allow us to deal with large donations quickly and efficiently. We continue to invest in this area, so our expansion is underpinned with the right food.

Structure, governance, and management

The organisation is a Charitable Incorporated Organisation (CIO), incorporated and registered as a charity on 27 September 2016 in England and Wales.

The CIO was established under its constitution which established the objects and powers of the charity and is governed under its constitution.

The day-to-day management of the charity is delegated to Mark Game, the Chief Executive. Trustees are required to disclose all relevant interests and register them with the trustee charity lawyer and in accordance with the charity's policy withdraw from decisions where a conflict of interest arises.

The pay of the senior management team is decided by the Trustees. The aim is to pay a fair salary for the not-for-profit sector bearing in mind affordability.

All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 6.

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The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

Operation of the Board of Trustees

The Board of Trustees meets four times a year to review the organisation’s work and services, and to agree the strategic goals for the charity. The Board also reviews its own operation, effectiveness and governance on an annual basis. The trustees delegate the day-to-day operations and staffing of the charity to the management team. At each quarterly meeting, they review recent developments to ensure they are in line with the strategic goals agreed.

Appointment of trustees

An annual review of the recruitment needs of the Board of Trustees is carried out under the leadership of the Chair, including an audit of the current knowledge, experience, skills and abilities, and how they will be affected by any Trustee departures in the future.

Trustees are appointed based on their skills and knowledge of the various sectors in which we operate. For induction and training, all new trustees come and work with the team on site to make sure they understand the operations and can form direct relationships with the team. In addition, every 6 months, Board meetings are held at the warehouse so that these contacts can be renewed. Finally, there is an annual gathering of trustees, community partners, member representatives and staff where trustees have an opportunity to talk to a wide range of service users and supporters.

Related parties and relationships with other organisations

Throughout 2021, The Bread and Butter Thing has continued to work closely with food industry partners. We have strong working relationships with Asda, Amazon, Greencores, Greeneking, Worldwide Fruit, Soreen, Co-op, Cranswick, Kellogg’s and Morrisons. They have supported us with goods as well as volunteering support and press coverage. We are hugely grateful to them all.

In addition, the new relationships with councils in the North of England, including, Warrington, Tameside, Kirklees, North Tyneside and Newcastle have been instrumental in supporting us to expand.

Once again, we are especially grateful to the Morrisons team for their continued operational support and partnering with us to help us grow. Morrisons plan to continue their work with TBBT in deeper engagement in their food making sites.

Statement of responsibilities of the trustees

Law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the charity's financial activities during the period and of its financial position at the end of the period. In preparing financial statements giving a true and fair view, the trustees should follow best practice and:

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The Bread and Butter Thing

Trustees’ annual report

For the period ended 31 December 2021

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011. 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 charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Auditor

Sayer Vincent LLP was reappointed as the charity's auditor during the year and has expressed its willingness to continue in that capacity.

The trustees’ annual report has been approved by the trustees and signed on their behalf by

Paula Smith Chair of Trustees 10 May 2022

12

Independent Auditor’s report

To the members of

The Bread and Butter Thing

Opinion

We have audited the financial statements of The Bread and Butter Thing (the ‘charity’) for the year ended 31 December 2021 which comprise of the statement of financial activities, balance sheet, statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on The Bread and Butter Thing'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.

13

Independent Auditor’s report

To the members of

The Bread and Butter Thing

Other Information

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

We have nothing to report in this regard.

Matters on which we are required to report by exception

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

Responsibilities of trustees

As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

14

Independent Auditor’s report

To the members of

The Bread and Butter Thing

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

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 are set out below.

Capability of the audit in detecting irregularities

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

15

Independent Auditor’s report

To the members of

The Bread and Butter Thing

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

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity's trustees as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Date: 7 June 2022

Sayer Vincent LLP, Statutory Auditor

Invicta House, 108-114 Golden Lane, LONDON, EC1Y 0TL

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The Bread and Butter Thing

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 December 2021

Note
Income from:
2
3
4a
5
Reconciliation of funds:
Donations and Grants
Charitable activities
Charitable activities
Total expenditure
Total income
Expenditure on:
Total funds carried forward
Total funds brought forward
Net income for the year		 Unrestricted
£
59,392
966,455		 Restricted
£
3,454
1,160,467		 2021
Total
£
62,846
2,126,922		 Unrestricted
£
12,759
752,035		 Restricted
£
-
1,040,548		 2020
Total
£
12,759
1,792,583
1,025,847 1,163,921 2,189,768 764,794 1,040,548 1,805,342
853,357 691,920 1,545,277 472,096 673,058 1,145,154
853,357 691,920 1,545,277 472,096 673,058 1,145,154
172,490 472,001 644,491 292,698 367,490 660,188
468,553 479,524 948,077 175,855 112,034 287,889
641,043 951,525 1,592,568 468,553 479,524 948,077

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in Note 16.

17

The Bread and Butter Thing

Balance sheet

As at 31 December 2021

Note
Fixed assets:
10
Current assets:
11
Liabilities:
12
14
15a
Unrestricted funds
Total charity funds
Designated Funds
General Funds
Creditors: amounts falling due after one year
Cash at bank in hand
Short term deposits
Tangible assets
Total net assets
Restricted funds
The funds of the charity:
Debtors
Creditors: amounts falling due within one year
Net current assets
Total assets less current liabilities		 £
149,362
680,000
232,288		 2021
£
687,981		 £
107,838
-
734,024		 2020
£
300,744
687,981
904,587		 300,744
647,333
1,061,650
(157,063)		 841,862
(194,529)
1,592,568
-		 948,077
-
1,592,568 948,077
951,525
295,000
346,043		 479,524
250,000
218,553
1,592,568 948,077

Approved by the trustees on 10 May 2022 and signed on their behalf by

Name: Paula Smith Title: Chair of Trustees

18

The Bread and Butter Thing

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 December 2021

Note
£
£
Cash flows from operating activities
Net income/(expenditure) for the reporting period
644,491
(as per the statement of financial activities)
Depreciation charges
118,463
Loss on disposal of fixed asset
207
Interest on finance lease
228
(Decrease)/increase in debtors
(41,524)
(Decrease)/increase in creditors
(31,538)
690,327
(505,907)
-
(505,907)
(6,156)
(6,156)
(501,736)
734,024
a
232,288
At 1 January
2021
Cash flows
£
£
Cash at bank and in hand
734,024
(501,736)
a
Total cash and cash equivalents
734,024
(501,736)
Finance lease obligations
-
-
Total
734,024
(501,736)
2021
Cash flows relating to finance lease
Net cash provided by / (used in) investing activities
Purchase of fixed assets
Cash flows from financing activities:
Net cash provided by / (used in) operating activities
Cash flows from investing activities:
Short term deposits
Analysis of cash and cash equivalents and of net debt
Net cash provided by / (used in) financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 Note
£
£
Cash flows from operating activities
Net income/(expenditure) for the reporting period
644,491
(as per the statement of financial activities)
Depreciation charges
118,463
Loss on disposal of fixed asset
207
Interest on finance lease
228
(Decrease)/increase in debtors
(41,524)
(Decrease)/increase in creditors
(31,538)
690,327
(505,907)
-
(505,907)
(6,156)
(6,156)
(501,736)
734,024
a
232,288
At 1 January
2021
Cash flows
£
£
Cash at bank and in hand
734,024
(501,736)
a
Total cash and cash equivalents
734,024
(501,736)
Finance lease obligations
-
-
Total
734,024
(501,736)
2021
Cash flows relating to finance lease
Net cash provided by / (used in) investing activities
Purchase of fixed assets
Cash flows from financing activities:
Net cash provided by / (used in) operating activities
Cash flows from investing activities:
Short term deposits
Analysis of cash and cash equivalents and of net debt
Net cash provided by / (used in) financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 Note
£
£
Cash flows from operating activities
Net income/(expenditure) for the reporting period
644,491
(as per the statement of financial activities)
Depreciation charges
118,463
Loss on disposal of fixed asset
207
Interest on finance lease
228
(Decrease)/increase in debtors
(41,524)
(Decrease)/increase in creditors
(31,538)
690,327
(505,907)
-
(505,907)
(6,156)
(6,156)
(501,736)
734,024
a
232,288
At 1 January
2021
Cash flows
£
£
Cash at bank and in hand
734,024
(501,736)
a
Total cash and cash equivalents
734,024
(501,736)
Finance lease obligations
-
-
Total
734,024
(501,736)
2021
Cash flows relating to finance lease
Net cash provided by / (used in) investing activities
Purchase of fixed assets
Cash flows from financing activities:
Net cash provided by / (used in) operating activities
Cash flows from investing activities:
Short term deposits
Analysis of cash and cash equivalents and of net debt
Net cash provided by / (used in) financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 £
£
660,188
45,289
-
765
(45,081)
137,932
799,093
(247,575)
-
(247,575)
(12,312)
(12,312)
539,206
194,818
734,024
Other non-
cash changes
At 31
December
2021
£
£
-
232,288
-
232,288
-
-
-
232,288
2020		 £
£
660,188
45,289
-
765
(45,081)
137,932
799,093
(247,575)
-
(247,575)
(12,312)
(12,312)
539,206
194,818
734,024
Other non-
cash changes
At 31
December
2021
£
£
-
232,288
-
232,288
-
-
-
232,288
2020
690,327
(505,907)
(6,156)		 799,093
(247,575)
(12,312)
(6,156) (12,312)
At 1 January
2021
£
734,024		 Other non-
cash changes
£
-
(501,736)
734,024		 539,206
194,818
232,288 734,024
Cash flows
£
(501,736)		 At 31
December
2021
£
232,288
734,024 (501,736) - 232,288
- - - -
734,024 (501,736) - 232,288

19

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

1 Accounting policies

a) Statutory information

The Bread and Butter Thing is a Charitable Incorporated Organisation, governed by a Constitution and registered in England and Wales (Charity Number 1169383).

The registered office address is 6 Meridian Place, Manchester, M20 2QF.

b) Basis of preparation

The financial statements have been prepared in accordance with 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) - (Charities SORP FRS 102), The Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

c) Public benefit entity

The charity meets the definition of a public benefit entity under FRS 102.

d) Going concern

The board has considered the impact of both Covid 19 and future plans and the trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.

The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

e) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

f) Donations of gifts, services and facilities

Donated professional services and donated facilities are recognised as income when the charity has control over the item or received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), volunteer time is not recognised so refer to the trustees’ annual report for more information about their contribution.

On receipt, donated gifts, professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

g) Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

h) Fund accounting

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund.

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular purposes.

i) Expenditure and irrecoverable VAT

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

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

20

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

Resources expended are allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration of each activity, comprising the salary and overhead costs of the central function, is apportioned on the following basis which are an estimate, based on staff time, of the amount attributable to each activity.

Where information about the aims, objectives and projects of the charity is provided to potential beneficiaries, the costs associated with this publicity are allocated to charitable expenditure.

Support and governance costs are re-allocated 100% back to the charitable activity.

Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities.

k) Tangible fixed assets

Items of equipment are capitalised where the purchase price exceeds £500. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

Plant and Machinery 2 - 10 years
Office Equipment 2- 3 years
Motor vehicles 5 years
Website & Software 3 years

l) Debtors

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

m) Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. Cash balances exclude any funds held on behalf of service users.

n) Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

o) Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

21

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

Other donations and grants income
Interest
All income from donations in 2020, was unrestricted.		 Unrestricted
£
59,350
42		 Restricted
£
3,454
-		 2021
Total
£
62,804
42		 2020
Total
£
12,007
752
59,392 3,454 62,846 12,759

3 Income from charitable activities

Total income from charitable activities
DEFRA Covid-19 Food Charity Grant
Scheme
Membership income
Trafford Housing Trust
Kellogg's
One Darlington Partnership
Darlington Borough Council
First Choice Homes
Pursloe Trust and Lyons Trust
Salford Families in Need
Gift in Kind
County Council of Durham
Hartlepool Borough Council
Lyons Trust
CAF Resilience Fund
Tameside Council
Amazon
Duchy of Lancaster
FareShare
Other small grants
DEFRA/WRAP Capital Large Scale Grant
DEFRA Packing Room Grant
Manchester City Council Food
Response
County Council of Durham
DEFRA/WRAP Small Scale Food Waste
Prevention Grant		 Unrestricted
£
858,185
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
108,270		 Restricted
£
37,503
-
21,768
56,108
-
-
45,856
401,928
50,000
55,354
125,001
39,299
118,241
-
48,952
85,984
-
-
-
-
54,473
20,000
-		 2021
Total
£
858,185
37,503
-
21,768
56,108
-
-
45,856
401,928
50,000
55,354
125,001
39,299
118,241
-
48,952
85,984
-
-
-
-
54,473
20,000
108,270		 Unrestricted
£
642,547
-
10,000
-
-
-
-
-
-
-
-
-
-
-
10,000
-
15,000
10,000
12,108
12,580
39,800		 Restricted
£
-
12,100
23,500
65,300
40,795
37,500
110,000
115,283
-
-
572,922
-
-
-
10,000
45,148
-
-
-
8,000
-		 2020
Total
£
642,547
12,100
33,500
65,300
40,795
37,500
110,000
115,283
-
-
572,922
-
-
-
20,000
45,148
15,000
10,000
12,108
20,580
39,800
966,455 1,160,467 2,126,922 752,035 1,040,548 1,792,583

The gift in kind of £108,270 (2020: £39,800) is for the venue hire received free of charge during the year to conduct core activities.

22

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

4a Analysis of expenditure (current year)

Staff costs (Note 6)
Other staff costs
Other direct costs
Combined liability insurance
Depreciation
Legal fees
Governance
Audit and accountancy
Office costs
Impact measurement and reporting
Other costs
Warehouse costs
Support costs
Governance costs
Total expenditure 2021
Total expenditure 2020		 Charitable
Activities
£
517,515
59,472
450,315
-
109,529
-
-
-
-
32,566
11,113
175,113		 Governance
costs
£
5,583
-
-
-
-
-
-
7,550
-
-
-
-		 Support
costs
£
90,335
15,587
-
6,390
8,934
-
-
-
18,323
32,566
4,000
387		 2021
Total
2020
Total
£
£
613,432
392,639
75,059
52,212
450,315
446,320
6,390
4,228
118,463
45,185
-
5,642
-
847
7,550
8,375
18,323
11,490
65,132
-
15,113
47,682
175,500
130,534
1,545,277
1,145,154
-
-
-
-
1,545,277
1,145,154
1,355,623
176,522
13,133		 13,133
-
(13,133)		 176,522
(176,522)
-
1,545,277 - -
1,145,154 - -

23

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

4b Analysis of expenditure (prior year)

Staff costs (Note 6)
Other staff costs
Other direct costs
Combined liability insurance
Depreciation
Legal fees
Governance
Audit and accountancy
Office costs
Other costs
Warehouse costs
Support costs
Governance costs
Total expenditure 2020		 Charitable
Activities
£
302,889
45,378
446,320
-
37,036
-
-
-
-
-
130,534		 Governance
costs
£
5,250
-
-
-
-
-
847
8,375
-
-
-		 Support
costs
2020
Total
£
£
84,500
392,639
6,834
52,212
-
446,320
4,228
4,228
8,149
45,185
5,642
5,642
-
847
-
8,375
11,490
11,490
47,682
47,682
-
130,534
168,525
1,145,154
(168,525)
-
-
-
-
1,145,154
962,157
168,525
14,472		 14,472
-
(14,472)
1,145,154 -

24

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

This is stated after charging / (crediting):

This is stated after charging / (crediting):
2021 2020
£ £
Depreciation 118,463 45,289
Auditor's Remunerations:
Audit (excluding VAT) 6,300 6,000
Other services (excluding VAT) 1,200 1,200

6 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel

Staff costs were as follows:

Staff costs were as follows:
Employer’s contribution to defined contribution pension schemes
Social security costs
Salaries and wages		 2021
£
555,292
47,272
10,868		 2020
£
356,603
28,965
7,071
613,432 392,639

No employee earned more than £60,000 during the year (2020: none).

The total employee benefits (including pension contributions and employer's national insurance) of the key management personnel were £115,572 (2020: £108,300).

The charity trustees were neither paid nor received any other benefits from employment with the charity in the year (2020: £nil). One trustee received payment for professional services supplied to the charity at arms length (see Note 8) (2020: one).

Trustees' expenses represents the payment or reimbursement of travel and subsistence costs totalling £228 (2020: £242) incurred by 1 (2020: 1) members relating to attendance at meetings of the trustees.

7 Staff numbers

The average number of employees (head count based on number of staff employed) during the year was 23.7 (2020: 13.6).

Staff are split across the activities of the charity as follows:

Support
Governance
Charitable activity		 2021
No.
21.7
1.9
0.1		 2020
No.
11.6
1.9
0.1
23.7 13.6

25

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

8 Related party transactions

There was one related party transaction to disclose for 2021 (2020: 1). £4,555 was paid to BD2 (2020: £8,174.60); the marketing business of Will Bentley (a trustee), for the use of professional services. All transactions were performed on an arms length basis.

There are no donations from related parties which are outside the normal course of business and no restricted donations from related parties (2020: none).

9 Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

10 Tangible fixed assets

Tangible fixed assets
Disposal
Additions in year
At the start of the year
Cost
At the start of the year
At the end of the year
Depreciation
At the end of the year
At the start of the year
Charge for the year
At the end of the year
Net book value
Disposal		 Plant &
Machinery
£
123,786
254,531
-		 Office
equipment
£
10,813
6,335
(311)		 Motor
vehicles
£
245,714
239,521
-		 Website &
Software
£
12,405
5,520
-		 Total
£
392,718
505,907
(311)
378,317 16,837 485,235 17,925 898,314
2,966
36,033
-		 7,004
3,974
(104)		 77,745
73,496
-		 4,259
4,960
-		 91,974
118,463
(104)
38,999 10,873 151,241 9,219 210,333
339,317 5,964 333,994 8,706 687,981
120,820 3,809 167,969 8,146 300,744

All of the above assets are used for charitable purposes.

11 Debtors

Debtors
Trade debtors
Other debtors
Prepayments and accrued income
Grants receivable		 2021
£
13,722
41,471
39,299
54,870		 2020
£
-
22,050
45,148
40,640
149,362 107,838

26

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

12 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
Taxation and social security
Amounts due under finance lease
Accruals
Deferred income (note 13)
Trade creditors
Pensions
Other creditors		 2021
£
-
33,665
9,193
2,608
162
19,351
92,084		 2020
£
5,929
30,284
12,567
1,899
4,884
10,499
128,467
157,063 194,529

13 Deferred income

Deferred income is comprised of Darlington Borough Council, and Trafford homes grants, Tameside MBC, and Hartlepool Borough Council, where funding is given in advance.

Balance at the beginning of the year
Amount released to income in the year
Amount deferred in the year
Balance at the end of the year
Amounts due under finance lease (Note 17)
Creditors: amounts falling due after one year		 2021
£
128,467
(128,467)
92,084		 2020
£
36,000
(36,000)
128,467
92,084 128,467
2021
£
-		 2020
£
5,929
- 5,929

27

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

Tangible fixed assets
Net current assets
Tangible fixed assets
Net assets at 31 December 2020
Analysis of net assets between funds (prior year)
Net assets at 31 December 2021
Net current assets		 General
unrestricted
£
30,672
610,371		 Restricted
£
657,309
294,216		 Total
funds
£
687,981
904,587
641,043 951,525 1,592,568
General
unrestricted
£
176,232
292,321		 Restricted
£
124,512
355,012		 Total
funds
£
300,744
647,333
468,553 479,524 948,077

15b Analysis of net assets between funds (prior year)

28

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

16a Movements in funds (current year)

Restricted funds:
Total restricted funds
Designated funds
General funds
CAF Resilience Fund
DEFRA/WRAP Capital large scale
Trafford Housing Trust
County Council of Durham 2
other income
Tameside grant MBC
Hartlepool Borough Council
County Council of Durham
DEFRA/WRAP Small Scale Food Waste
Prevention Grant
Manchester City Council Food Response
Darlington Borough Council
Morrisons Trust
DEFRA Packing room grant
Purslow Trust and Lyons Trust
Salford families in need
Kellogg's
Our Manchester
Unrestricted funds:
One Darlington Partnership
Total funds		 At 1 January
2021
£
-
33,060
40,795
-
355,012
-
-
-
-
-
-
-
-
-
16,663
15,996
17,998
-		 Income &
gains
£
37,503
21,768
56,108
45,856
55,354
48,952
85,984
118,241
125,001
39,299
401,928
50,000
54,473
20,000
-
-
-
3,454		 Expenditure
& losses
£
(34,107)
(28,649)
(59,980)
(45,855)
(119,547)
(48,952)
(48,625)
(81,617)
(89,103)
-
(43,356)
(38,040)
(15,490)
(20,000)
(6,000)
(6,000)
(6,600)
-		 Transfers
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-		 At 31
December
2021
£
3,396
26,179
36,923
1
290,819
0
37,359
36,624
35,898
39,299
358,572
11,960
38,983
-
10,663
9,996
11,398
3,454
479,524 1,163,921 (691,920) - 951,525
250,000 - (27,777) 72,777 295,000
218,553 1,025,847 (825,580) (72,777) 346,043
948,077 2,189,768 (1,545,277) - 1,592,568

The narrative to explain the purpose of each fund is given at the foot of the note below.

29

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

16b Movements in funds (prior year)

Restricted funds:
Total restricted funds
Designated funds
General funds
Kellogg's
Our Manchester
DEFRA/WRAP Small Scale Food Waste
Prevention Grant
Manchester City Council Food Response
Lyons Trust
CAF Resilience Fund
Other small grants
Unrestricted funds:
First Choice Homes
Trafford Housing Trust
One Darlington Partnership
Darlington Borough Council
DEFRA Covid-19 Food Charity Grant
Scheme
Morrisons Trust
Total funds		 At 1 January
2020
£
22,996
21,996
-
23,063
40,000
-
3,979
-
-
-
-
-
-		 Income &
gains
£
23,500
-
12,100
-
65,300
40,795
37,500
110,000
115,283
572,922
10,000
45,148
8,000		 Expenditure
& losses
£
(28,498)
(6,000)
(12,100)
(6,400)
(72,240)
-
(41,479)
(110,000)
(115,283)
(217,910)
(10,000)
(45,148)
(8,000)		 Transfers
£
-
-
-
-
-
-
-
-
-
-
-
-
-		 At 31
December
2020
£
17,998
15,996
-
16,663
33,060
40,795
-
-
-
355,012
-
-
-
112,034 1,040,548 (673,058) - 479,524
-
175,855		 -
764,794		 -
(472,096)		 250,000
(250,000)		 250,000
218,553
287,889 1,805,342 (1,145,154) - 948,077

Purposes of restricted funds

Manchester City Council Food Response

Manchester City Council set up a city-wide food response to support residents in need through the Covid crisis. We have been funded to support Manchester residents with deliveries of food and other essential items through the immediate crisis and its after effects.

DEFRA Covid-19 Food Charity Grant Scheme

During the Covid crisis, DEFRA provided funding to purchase additional food to deal with the huge demand created by the crisis.

DEFRA/WRAP Small Scale Food Waste Prevention Grant

Defra have provided funding for a pilot to trial a back of store collection project, working across retailers to generate new food for redistribution.

Durham County Council -have provided funding to allow us to expand in Durham and to establish a warehouse for local redistribution working with Darlington and Hartlepool, in 2021 they committed to fund a further van.

Tameside Council - have provided funding for an expansion of the service into Tameside out of our Greater Manchester warehouse.

DEFRA/WRAP Capital large scale Grant - this was funding provided to support the purpose of Freezers and chillers for the warehouses in addition to further vans.

30

The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

Purposes of restricted funds (continued)

Hartlepool Borough Council - have provided funding to allow us to expand further in the Tees Valley and to establish a warehouse for local redistribution working with Durham and Darlington

One Darlington Partnership

One Darlington Partnership provided funds for the purchase of a van, with another £85,000 committed for 2020 to enable deliveries in the Darlington area.

Darlington Borough Council

Darlington Borough Council have provided funding to allow us to expand further in the Tees Valley and to establish a warehouse for local redistribution working with Durham and Hartlepool.

Trafford Housing Trust

Trafford Housing provided a grant to support a van and driver working in Trafford for one day a week. In 2020 they further supported us to open 3 new hubs in Trafford during the Covid crisis.

The Purslow and Lyons Trusts - have joined together to fund the expansion of our services in to Warrington. 2021 has seen the Trust fund a van.

Our Manchester

The grant was given to support the purchase of a van and driver to work in North Manchester.

Kellogg's

Kellogg's provided a grant to enable a van to be purchased and to cover the salary for a driver.

DEFRA Packing room grant - DEFRA have provided funding for a pilot packing food in our Trafford warehouse.

CAF Resilience Fund

The CAF Resilience fund has provided a grant for the additional costs of providing support during the Covid crisis.

Lyons Trust

Lyons trust provided funding to purchase additional food to be delivered in the Christmas week.

First Choice Homes

A grant was provided to cover delivery costs, for a van in Oldham operating 5 days a week, including a driver's salary.

Salford families in need - provide funding for to deliver a new hub in Salford (Barton Moss) utilising an existing van.

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The Bread and Butter Thing

Notes to the financial statements

For the year ended 31 December 2021

Purposes of designated funds

In 2020, in anticipation of the growth of operations, the Board designated £250,000 to be used to strengthen the charities operations and infrastructure for the long-term. Due to resource constraints arising from the impact of Covid, there has been a delay on this work and the projects are not yet complete. The Board have reviewed the status of the projects at 31 December 2021 and amended the designated funds to reflect the costs of completion at the end of the year. The revised designated funds at 31 December 2021 are £295,000.

17 Operating and finance lease commitments payable as a lessee

The charity's total future lease payments under an operating lease is as follows for each of the following periods


periods
Less than one year
One to five years		 2021
2020
£
£
53,528
72,790
42,524
96,052
96,052
168,842
Property		 2021
2020
£
£
-
5,929
-
-
-
5,929
Motor Vehicle
96,052 168,842 - 5,929

Finance lease taken out in May 2018 for the purchase of a van to aid charitable activities. In 2021 the finance lease was fully paid off.

18 Legal status of the charity

The Bread and Butter Thing is a Charitable Incorporated Organisation, governed by a Constitution and has no share capital. The charity registered in England and Wales (Charity Number 1169383).

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